Here are the top stories of crypto in 2023!
This past year was a pivotal one in terms of the crypto industry’s relationship with regulators and financial markets authorities coming down on major players and financial titans threw their hats in the ring as mainstream finance took steps to accept, if not embrace, crypto.
The Stories of Crypto That Sum Up The Past Year
BlackRock Files for Bitcoin ETF
Bitcoin’s price has rebounded dramatically from its lows in late 2022, and much of the newfound interest in the crypto currency is due to the possibility of at least one spot Bitcoin ETF being approved by early next year. While futures-based Bitcoin ETFs are already available, multiple applications for spot Bitcoin ETFs have been rejected in the past.
In June, the entry of BlackRock into the spot bitcoin ETF sector changed everything.BlackRock’s ETF filing was a significant step forward for cryptocurrency. The business is one of the world’s biggest asset managers and might lend credibility to the cryptocurrency industry. After BlackRock entered the race, other industry titans, such as Fidelity, redoubled their efforts to launch their own spot ETF offerings.
The authorization of a spot Bitcoin ETF would be a watershed point in the crypto asset’s regulatory and trustworthiness. According to experts, a spot Bitcoin ETF might bring tens of billions of dollars into the Bitcoin market in a few of years.
Sam Bankman-Fried Found Guilty of Fraud
Just a year ago, FTX CEO Sam Bankman-Fried was regarded by his fans as the crypto industry’s wunderkind and possibly the world’s first trillionaire. He is currently awaiting sentencing after being adjudged guilty of fraud and conspiracy for his role in the misappropriation of customer monies at his exchange.
The entire FTX saga serves as a clear reminder that when users do not own their private keys, many of the advantages of crypto are gone. It remains to be seen if those who use crypto will take self-custody more seriously in the future.
DOJ Charges Binance and ‘CZ
Members of Congress have recently rekindled their interest in preventing the use of cryptocurrency for financial crimes. The United States Department of Justice (DOJ) has charged Binance Holdings Ltd., the world’s largest crypto exchange, raising this worry.
Binance and its founder, Changpeng Zhao, sometimes known as “CZ,” pled guilty of money laundering charges and consented to pay a total of $4.3 billion in fines and settlements.
The exchange, according to Treasury Secretary Janet Yellen, allows “illicit actors to transact freely, supporting activities ranging from child sexual abuse to illegal narcotics to terrorism, across more than 100,000 transactions.”
Coinbase, Kraken, and Binance Charged by SEC
The SEC sued Binance in June for running an unregistered securities exchange, as did Coinbase in June and Kraken in November.
The move against Coinbase was especially notable because the business has consistently emphasized its willingness to collaborate with US officials and follow the rules. Regardless of Coinbase’s objectives, the exchange has listed assets that the SEC classifies as securities.
Indian Govt. Brings Crypto Under the PMLA Act
The Indian government’s inclusion of crypto assets within the purview of the Prevention of Money Laundering Act (PMLA) marks a significant regulatory step. Under this amendment, crypto exchanges are now subject to the oversight and stringent regulations aimed at preventing money laundering activities and combating the financing of terrorism.
This move aligns with global efforts to regulate the rapidly evolving landscape of digital currencies, acknowledging the potential risks associated with their decentralized and pseudonymous nature.
Crypto exchanges, as key intermediaries facilitating the buying, selling, and trading of digital assets, are now mandated to adhere to robust anti-money laundering (AML) and know-your-customer (KYC) protocols. These measures are intended to enhance transparency, traceability, and accountability within the crypto space, addressing concerns about illicit financial activities often linked with digital currencies.
Conclusion
The SEC sued Binance in June for running an unregistered securities exchange, as did Coinbase in June and Kraken in November.
The move against Coinbase was especially notable because the business has consistently emphasized its willingness to collaborate with US officials and follow the rules. Regardless of Coinbase’s objectives, the exchange has listed assets that the SEC classifies as securities.
