Monthly Archives: March 2023

SEC Sues Jake Paul for Illegally Promoting Justin Sun’s Cryptocurrencies

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• The U.S. Securities and Exchange Commission (SEC) has sued Internet personality Jake Paul for allegedly illegally promoting cryptocurrencies tied to Justin Sun without disclosing he was being paid to do so.
• Paul settled the charges and is one of a cast of celebrities the SEC charged with participating in a scheme to illegally promote Sun-tied cryptos.
• This isn’t the first time that Paul’s crypto escapades have been scrutinized as he was previously sued for allegedly participating in a pump-and-dump scheme run by SafeMoon.

SEC Sues Jake Paul

The U.S Securities and Exchange Commission (SEC) has sued Internet personality Jake Paul for allegedly illegally promoting cryptocurrencies tied to Justin Sun without disclosing he was being paid to do so.
Paul settled the charges, making him one of a cast of celebrities the SEC charged with participating in a scheme to illegally promote Sun-tied cryptos.

Previous Crypto Scrutiny

This isn’t the first time that Paul’s crypto escapades have been scrutinized as he was previously sued for allegedly participating in a pump-and-dump scheme run by SafeMoon. His brother, Logan, also raised eyebrows with his failed nFT project CryptoZoo.

Celebrities Promoting Cryptos

The SEC alleges that Paul and other celebrities did not disclose they were paid to promote Sun-linked assets, which is an illegal practice according to securities laws. The YouTuber-turned boxer is among those accused of doing this, although it appears only he has settled the charges thus far .

Other Legal Troubles

Besides Jake Paul’s legal troubles concerning cryptocurrency investments, his company Block (SQ) is currently facing criticism from short seller Hindenburg Research over “wildly” overstating user counts while understating customer acquisition costs .

Join the Conversation in Crypto and Web3

Danny Nelson from CoinDesk encourages readers interested in understanding more about blockchain technology and cryptocurrency investments to join “the most important conversation” taking place at Austin, Texas on April 26th – 28th .

Bitcoin Rallies to 9-Month High, Fades Late to Trade Below $25K

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• Bitcoin (BTC) is hovering around $25,000 after reaching a nine-month high of about $26,500.
• The rise of the world’s largest cryptocurrency came minutes after the release of U.S. Consumer Price Index data.
• BTC had gained double digits for two consecutive days before fading late and trading below $25K.

Bitcoin Hits 9-Month High

Bitcoin (BTC) is hovering around $25,000 after reaching a nine-month high on Tuesday at about $26,500. The rise of the world’s largest cryptocurrency by market value came minutes after the U.S. Consumer Price Index was released. BTC had surged to a 9-month high above $26,500 before retreating again and trading below $25K.

Inflation Data Boosts Crypto Markets

The Bureau of Labor Statistics released their February consumer price index (CPI), which showed inflation declining to 6% from January’s 6.4% reading and the core rate increasing by 0.5%. This mildly encouraging data boosted crypto markets as bitcoin rose above $26,000 on Tuesday for the first time in nine months before losing some of its gains later on in the day.

Analysis From Tastycrypto Head Of Digital Assets

Tastycrypto Head of Digital Assets Ryan Grace discusses his crypto markets analysis and shares his insights into investor sentiment on stablecoins such as USDC and DAI compared to Bitcoin’s performance during volatile times like these when investors look to hedge against inflationary risks with safe haven assets like gold or digital currency alternatives such as cryptocurrencies that are outside traditional banking systems and beyond government control or manipulation through monetary policy decisions like quantitative easing or interest rate changes etc..

Galaxy Research Analyst Shares Insights At Consensus 2023

Head of Firmwide Research Alex Thorn will be discussing his take on “Bitcoin and Inflation: It’s Complicated” at Consensus 2023 in order to provide more clarity on how cryptocurrencies are affected by global economic news events such as CPI releases and other macroeconomic indicators driving investor sentiment towards digital asset investments over traditional financial instruments that are subject to inflationary pressures due to central bank actions that can impact fiat currencies negatively over time with regards purchasing power parity etc..

Conclusion

Overall, Bitcoin has been able to weather any storms so far this year despite some volatility due mainly driven by external factors out of its control such as inflation data releases from major economies worldwide leading many investors turning towards cryptocurrencies like BTC as a way to hedge against potential losses in their traditional portfolios while also providing an opportunity for long term growth in an increasingly digital economy driven by blockchain technology advancements throughout various industries including finance among others where decentralized ledger systems offer unprecedented levels privacy & security never seen before now made possible through distributed ledgers & smart contract protocols amongst other things making it easier than ever before for users looking for alternative investment opportunities outside traditional asset classes like stocks & bonds etc..

Lido’s LDO Token Sinks 10% Following SEC Rumors

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• Lido’s LDO token sank 10% following rumors that the SEC had delivered a Wells Notice to decentralized staking service.
• Crypto podcaster David Hoffman spread and then retracted a rumor that the SEC had served Lido with a Wells Notice.
• A spokesperson for Lido declined to comment on whether the protocol had received a notice.

Lido’s LDO Token Sinks 10%

Crypto podcaster David Hoffman spread (and then retracted) a rumor that the SEC had delivered a Wells Notice to the decentralized staking service, resulting in an immediate 10% drop in the value of Lido’s native token, LDO. A spokesperson for Lido declined to comment on whether the protocol had received such notice.

What is a Wells Notice?

A Wells Notice is a letter from the SEC detailing charges it is considering bringing against a recipient. On Friday, Hoffman said that he’d heard Lido and other crypto projects had been served with Wells Notices, an assertion he later retracted.

Rumors Spark Panic on Crypto Twitter

The rumors sparked panic on Crypto Twitter, and quickly spread across ETHDenver – one of the year’s largest crypto industry gatherings – which was taking place at the time. The rumors would suggest that the SEC is ramping up scrutiny of Ethereum and crypto staking services in general.

Hoffman Retracts His Comments

Hoffman described his comments as “a miscommunication between me and a lawyer friend”, and soon after his video spread on Twitter, he backtracked stating “the idea of a mass recent carpet bomb isn’t correct.”

Lido Spokesperson Declines To Comment

A spokesperson for Lido declined to comment on whether or not they have received such notice from the SEC.