3Commas Weekly Crypto Industry Updates June 21, 2024

Let's dive into the latest crypto news updates this week of June 21, 2024

Customers challenge exchange bankruptcy plan: ‘We never gave our coins to FTX!’:

A committee representing the interests of FTX customers has challenged a proposed bankruptcy plan, claiming that it violates their property rights.

On June 19, a representative of the FTX Customers Ad Hoc Committee, said that they want their crypto back and not a cash balance. 

The FTX Customers Ad Hoc Committee is a group formed to represent the interests of FTX customers in the bankruptcy case.

Why does it matter? Their lost crypto assets are likely worth considerably more now than they were when FTX collapsed. Taking the cash, based on the asset’s value at the time of seizure, would be settling for less. 

Solana ETF: 3iQ Files for new ETP in Canada

Solana ETF Digital asset manager 3iQ has reportedly filed for a Solana exchange-traded product listing on Canada’s Toronto Stock Exchange (TSE).

Tagged QSOL, the new ETP would offer “exposure to the digital currency SOL” and the “daily price movements of the U.S. dollar price SOL.” Coinbase Custody and Tetra Trust would serve as custodians.

Holders will accrue interest from native SOL staking yields, which the firm estimates to be around 6-8%. This will be the first from North America if it eventually gets approved. 

Why does it matter? It’s one more institutionally supported crypto investment initiative, spreading the foundation for a crypto-dominated future. 

Italy stipulates new fines for crypto market manipulation and other financial crimes

In compliance with the new European Union’s Markets in Crypto-Assets (MiCA) regulatory framework, Italy stipulates new regulatory updates to guide the crypto ecosystem in Italy.

The latest draft policy stipulated fines between 5,000 and 5 million euros ($5,400–$5.4 million) for market manipulation and other financial crimes depending on the severity and scope of the regulatory violations.

Why does it matter? The new regulatory framework has already resulted in companies like Binance reworking the mechanics of their Futures trades. This has impacted many automated trading bot providers due to the need to reintegrate the new mechanics into the API commands. 

Singapore posts digital payment tokens as high-risk in AML Landscape 

Singapore has updated its Money Laundering National Risk Assessment (MLNRA), highlighting significant risks and vulnerabilities created by digital payment token (DPT) service providers in the Anti-Money Laundering (AML) landscape.

The MLNRA highlights an increase in reported money laundering cases involving DPTs known as virtual asset service providers, and a variety of exploitation methods.

Why does it matter? It may be a signal that stronger regulations of digital payment tokens will be considered by the government of Singapore. 

North Dakota: The latest US state to revoke Binance.us License:

North Dakota’s Department of Financial Institutions Commissioner revokes Binance’s money transmitter licence, making it the seventh state to do so.

The state stipulates that the reasons for the revocation lie on Binance and founder Changpeng Zhao’s November federal conviction for conspiracy to conduct an unlicensed money-transmitting business. 

Why does it matter? It represents a regression of market penetration. U.S. regulators at the federal and state level have been very touchy about crypto regulations, and they’ve been quick to put bans and restrictions in place. Let’s hope Binance can work this out and get their bans lifted. 

Brazil’s tax department to request operational information from foreign crypto exchanges

Brazil's tax authority, the Federal Revenue of Brazil is reportedly requesting information from foreign cryptocurrency exchanges to find out how they operate in the country and whether its citizens are complying with the country’s new tax laws or not.

According to Reuters,the Federal Revenue of Brazil is expected to publish an ordinance summoning these firms for further information later this week.

Why does it matter? The tax man cometh. Whenever there is economic activity resulting in profits and losses (but especially profits) the government is going to want their share of it.