Bankrupt crypto lender Celsius and its former CEO, Alex Mashinsky, have been found to have violated multiple United States regulations by investigators from the Commodity Futures Trading Commission (CFTC).
This revelation comes in the wake of the company’s collapse in 2022.
According to Bloomberg’s report on July 5, citing individuals familiar with the matter, the CFTC’s enforcement division attorneys discovered that Celsius engaged in misleading practices towards investors and failed to register with the regulatory body.
Additionally, Alex Mashinsky was found to have broken several regulations.
Should the majority of the CFTC commissioners concur with the investigators’ findings, the agency may initiate legal action against the defunct crypto lender in U.S. federal court as early as this month, as per insider sources.
READ MORE: Hong Kong Government Urged To Challenge Tether and USDC
The CFTC investigators’ conclusions contribute to the growing list of regulatory actions taken against the now-defunct crypto lending platform.
On January 5, the New York Attorney General sued Mashinsky, accusing him of deceiving investors and causing substantial financial losses.
On June 16, 2022, securities regulators from five U.S. states launched an investigation into Celsius just three days after the sudden suspension of user withdrawals on June 13.
Court filings indicate that the Securities and Exchange Commission (SEC) and federal prosecutors from Manhattan have also commenced inquiries into the company.
However, Bloomberg highlights that both the SEC and the U.S. Attorney’s Office for the Southern District of New York have refrained from commenting on the investigations’ progress.
Cointelegraph reached out to both the CFTC and Alex Mashinsky for a response but did not receive any communication at the time of writing.
Lacoste, the renowned Parisian fashion brand, is at the forefront of the digital revolution, revolutionizing the way fans interact with their favorite brands.
Through their latest innovation, a captivating gaming experience called “The Mission,” Lacoste breathes new life into its iconic digital crocodile emblem, propelling its digital revolution to new heights and captivating audiences worldwide.
“The Mission” is divided into multiple chapters, running from June 29 to December 2023, each containing specific missions for players to complete.
READ MORE: NFT Blue Chip Collections Plummet to Near Two-Year Lows
By successfully accomplishing missions, users earn points and climb the leaderboards, increasing the rarity of their UNDW3 cards in the process.
The higher the rarity, the greater the rewards, utility, and asset value for players.
Exceptional performers will be rewarded with digital vouchers, while the highest-ranking player at the end of the season will enjoy an all-expenses-paid Lacoste VIP experience in Paris.
Lacoste embarked on its journey into Web3, the next evolution of the internet, when it introduced the UNDW3 collection in June 2022.
UNDW3 comprises 11,212 Genesis Pass NFTs (nonfungible tokens), acting as digital “golden tickets” that provide loyal fans with enhanced access to the iconic brand within the Web3 community.
Building on the success of the UNDW3 collection, Lacoste aims to lead the fashion industry in dynamic NFTs by transforming genesis pass NFTs into UNDW3 Cards and introducing a unique Web3 gaming experience.
Starting on June 29, the UNDW3 community can immerse themselves in an interactive adventure through “The Mission,” where they undertake quests to unlock exclusive perks.
UNDW3 cardholders gain access to The Mission website, Lacoste’s gateway to the Web3 universe.
There, users can choose quests and engage with the community through UNDW3 social channels.
Lacoste has implemented a ranking system to track the Web3 activities of each player, fostering competition and engagement.
Lacoste believes that the future of brand loyalty goes beyond mere transactions.
The UNDW3 card celebrates a broader spectrum of brand engagement, encompassing creativity, conversation, and gaming.
By pioneering the concept of dynamic NFTs within the fashion industry, Lacoste solidifies its vision and takes a leading role in shaping the brand experience and loyalty programs of the future.
The introduction of NFTs has brought about a wave of innovation in the fashion industry.
Brands now have the opportunity to transform customers into active community members by providing real-world benefits through digital assets.
With UNDW3 cards, Lacoste is spearheading this paradigm shift, rewarding community members who actively participate in co-creation initiatives, gaming experiences, and conversations surrounding the brand.
To join “The Mission,” users can visit the official UNDW3 website and Discord, where they can engage in the exciting world of Lacoste’s digital revolution.
Lawmakers in the upper house of the U.K. Parliament are pushing ahead with legislation that aims to enhance authorities’ ability to target cryptocurrencies involved in illicit activities.
During a meeting held on July 4, members of the U.K. Parliament’s House of Lords conducted a third reading of the Economic Crime and Corporate Transparency Bill.
This bill, introduced in September 2022, seeks to empower law enforcement agencies in their efforts to combat financial crimes associated with cryptocurrencies.
READ MORE: Empowering the Future of Finance: A Deep Dive into AllianceBlock
Notably, no significant proposals relating to crypto enforcement were put forward during the recent reading, with suggested amendments being described as minor adjustments.
A version of the bill dated June 27 contained provisions that amended existing frameworks to grant authorities more flexibility in seizing and recovering crypto assets.
Furthermore, the legislation clarified the government’s jurisdiction over digital assets intended for terrorism or other related purposes. Before the bill can be enacted through royal assent, U.K. lawmakers will carefully consider all proposed amendments.
In March, the U.K. government announced its plans to implement robust regulations for cryptocurrencies as part of its economic crime plan spanning 2023 to 2026.
Lawmakers expressed their intention to pass the Economic Crime and Corporate Transparency Bill by the fourth quarter of 2023 and collaborate with various agencies to enforce the Financial Action Task Force’s Travel Rule.
Furthermore, on June 19, the House of Lords conducted a third reading of the Financial Services and Markets Bill, which was signed into law on June 29.
The primary objective of this legislation is to facilitate the adoption of crypto assets within the country, demonstrating the U.K.’s commitment to fostering an environment conducive to the growth and integration of digital currencies.
Overall, the U.K. Parliament’s efforts to enact legislation for the regulation of cryptocurrencies and combat financial crimes associated with them demonstrate a proactive approach to ensuring the integrity and security of the financial system.
By streamlining enforcement authorities’ powers and providing clearer guidelines, the U.K. is taking significant steps toward safeguarding against illicit use of cryptocurrencies while encouraging the responsible adoption of digital assets.
Dubai, UAE, July 6th, 2023, Chainwire
OKX, the world’s second-largest crypto exchange by trading volume and a leading Web3 technology company, has announced the upcoming launch of Signal Trading, a marketplace where users can access automated trading strategies based on technical analysis, or ‘signals,’ which indicate whether to buy or sell crypto.
The marketplace, set to launch in August-September 2023, will allow users to choose from a range of signal providers, including institutions and pro traders. Interested users and signal providers can sign up to the waitlist to be the first to receive updates and access.
Signal Trading will be integrated with TradingView, enabling signal providers and traders to create signals directly on the charting platform, as well as specify the desired action, instrument and other parameters associated with that particular trading signal. With Signal Trading, users can access, follow and copy signals without manual execution, saving time and effort.
Advantages for signal providers include:
- Expansion opportunities by listing signals on OKX’s Signal Trading, giving them access to a marketplace of over 50 million traders
- Integrated with TradingView, a leading platform for generating signals
- In many cases, a significant reduction in latency and costs typically associated with listing signals on third-party platforms
Advantages for signal traders include:
- Avoidance of subscription fees associated with third-party platforms
- In many cases, a significant reduction in latency issues that are prevalent on third-party platforms
- Trust and reliability of using one of the world’s leading crypto exchanges
- A wide variety of signal providers to choose from and compare
OKX Global Chief Commercial Officer Lennix Lai said: “OKX Signal Trading will further improve users’ trading experience on OKX by providing access to a diverse range of high-quality signals from top providers, reducing manual entry errors and unlocking a world of trading opportunities for traders. With advanced algorithms, real-time market data and a diverse range of signal providers available, Signal Trading will be the ultimate solution for those seeking to elevate their trading game and connect with a global community of traders.”
About OKX
OKX is the second-largest global crypto exchange by trading volume and a leading Web3 ecosystem. Trusted by more than 50 million global users, OKX is known for being the fastest and most reliable crypto trading app for traders everywhere.
As a top partner of English Premier League champions Manchester City FC, McLaren Formula 1, Olympian Scotty James and F1 driver Daniel Ricciardo, OKX aims to supercharge the fan experience with new engagement opportunities. OKX is also the top partner of the Tribeca Festival as part of an initiative to bring more creators into web3.
Beyond OKX’s exchange, the OKX Wallet is the platform’s latest offering for people looking to explore the world of NFTs and the metaverse while trading GameFi and DeFi tokens.
OKX is committed to transparency and security and publishes its Proof of Reserves on a monthly basis.
To learn more about OKX, download our app or visit: okx.com
Disclaimer
This announcement is provided for informational purposes only. It is not intended to provide any investment, tax, or legal advice, nor should it be considered an offer to purchase, sell, hold or offer any services relating to digital assets. Digital assets, including stablecoins, involve a high degree of risk, can fluctuate greatly, and can even become worthless. You should carefully consider whether trading or holding digital assets is suitable for you in light of your financial condition and risk tolerance. OKX does not provide investment or asset recommendations. You are solely responsible for your investment decisions, and OKX is not responsible for any potential losses. Past performance is not indicative of future results. Please consult your legal/tax/investment professional for questions about your specific circumstances.
Contact
Press
[email protected]
London, United Kingdom, July 6th, 2023, Chainwire
Following the announcement of Veloce Media Group’s evolution to Web3, with the launch of its new blockchain utility and governance token, VEXT, it was today announced that GEM Digital Ltd will invest up to $50 million, through a structured token subscription agreement, into the organisation.
Veloce, comprising of industry-leading gaming and racing platform Veloce Esports, and race-winning Extreme E outfit Veloce Racing, has attracted over 35 million subscribers, nearly one billion monthly views, across multiple digital platforms including YouTube and Twitch, and millions of social media followers to become the world’s largest racing gaming media network.
The London-based organisation also operates esports and gaming teams and brands for some of the industry’s most influential names, including Mercedes AMG, Ferrari, McLaren, Yas Heat, whilst also establishing a successful joint venture sub-brand with Lando Norris – Quadrant – and continually competing and winning with Veloce Elites.
The introduction of VEXT in the coming weeks will position Veloce as a leading decentralised gaming and sports media organisations; providing token holders with real utility through a variety of games integrating VEXT and tangible influence, benefits and rewards across all of the Veloce Media Group assets.
The partnership with GEM Digital has all the signs of being a perfect ‘meeting of minds’, as the investment firm moves to increase its stake in this fast-moving world of sourcing, structuring, and investing in utility tokens in relevant and growing industries.
“This is a very exciting transaction ,” said Daniel Bailey, Chief Commercial Officer Veloce and CEO Veloce Racing, “It comes very soon after the announcement of VEXT and our plans to evolve our media and sports group into this truly innovative space; validating Veloce’s position as a pioneer in the industry.
“The GEM commitment will allow us to focus on growth and expansion, through acquisition of more gaming and real-life racing properties, ultimately giving our vast community further VEXT utility and influence.”
For GEM Digital, the investment has found a natural home that reflects its ambitions to work with a diverse set of organisations whilst promoting businesses in the emerging markets, supporting sustainable and inclusive ambitions through business. The investment promises to herald mutual long-term opportunities.
Website | Telegram | Twitter | Discord | Instagram | YouTube | Linkedin | TikTok
About Veloce Media Group
Founded in 2018, Veloce is a multi-pillared gaming and sports media group operating across some of the most innovative, fast-growing, and future-focused sectors in the UK.
Headquartered in London, the Veloce brand comprises of the industry-leading gaming and racing platform, Veloce Esports, and race-winning outfit, Veloce Racing, currently competing in the renowned Extreme E championship.
As the world’s largest digital racing media network, Veloce has so far attracted over 35 million subscribers and nearly one billion monthly views with a focus on esports, gaming, purpose-driven motorsport, and Web3.
Veloce is partnered with a number of high-profile teams from across the globe, running multiple gaming and esports team operations, including Mercedes AMG, Ferrari, and Yas Heat. Well established JV sub-brands, including Lando Norris’ gaming and lifestyle brand Quadrant, make up another key aspect of Veloce’s vast global network.
To learn more, please visit: https://www.velocemediagroup.com/
About GEM Digital Limited
GEM Digital Limited is a digital asset investment firm. Based in The Bahamas, the firm actively sources, structures and invests in utility tokens listed on over 30 CEXs and DEXs globally.
Global Emerging Markets (“GEM”) is a $3.4 billion, alternative investment group with offices in Paris, New York, and Bahamas. GEM manages a diverse set of investment vehicles focused on emerging markets and has completed over 530 transactions in 72 countries. Each investment vehicle has a different degree of operational control, risk-adjusted return, and liquidity profile. The family of funds and investment vehicles provide GEM and its partners with exposure to: Small-Mid Cap Management Buyouts, Private Investments in Public Equities and select venture investments.
Contacts
CEO
Rupert Svendsen-Cook
Veloce Media Group
[email protected]
Head Of Digital Marketing
Louis Broomfield
Veloce Media Group
[email protected]
The Financial Conduct Authority (FCA) of the United Kingdom has made an announcement stating that all crypto asset firms targeting users in the country must adhere to its financial promotions regulations by October 2023.
In a series of letters dated July 4, the FCA outlined that beginning on October 8, companies operating in the UK will have four legal options to lawfully communicate promotions related to crypto assets.
These options include obtaining approval or communication from an authorized party, creating promotions through a business registered with the FCA, or ensuring that the promotion qualifies as exempt under the UK’s Financial Services and Markets Act.
READ MORE:Empowering the Future of Finance: A Deep Dive into AllianceBlock
The FCA clarified that promotions encompass various forms such as websites, mobile apps, social media posts, and online advertisements.
It emphasized that these promotional activities, regardless of the company’s location, should not have a limited effect in the UK.
Jayson Probin, the crypto financial promotions lead at the FCA, warned in a LinkedIn post that non-compliance could result in criminal charges.
The FCA notice stated, “We will take robust action against persons illegally promoting to UK consumers.
This may include, but it is not limited to, placing firms on our warning list, requesting take-downs of websites, social media accounts, apps, and all other promotions that are in breach, and enforcement action.”
The FCA had initially announced the October deadline on June 8, urging crypto firms to adopt a marketing approach that allows customers a “cooling-off period” to consider the risks associated with digital asset investments.
Once firms submit the necessary registration information, the FCA estimated a processing time of up to three months to evaluate the applications.
Alongside complying with the marketing regime set by the regulator, companies must register with the FCA to engage in crypto asset activities within the United Kingdom.
As of now, the FCA has listed 42 registered crypto firms that meet its requirements, including Bitstamp, Revolt, MoonPay, and Galaxy Digital UK.
Singapore’s central bank, the Monetary Authority of Singapore (MAS), has unveiled new measures to enhance investor protection and market integrity within the cryptocurrency sector.
The MAS recently announced that crypto service providers will be required to hold customer assets in a statutory trust by the end of the year, effectively mitigating the risk of asset loss or misuse and facilitating asset recovery in the event of insolvency.
These custody measures were developed following a public consultation launched in October 2022, which aimed to identify regulatory measures to minimize risks associated with crypto trading.
The MAS received substantial interest from a diverse range of respondents during the consultation process.
READ MORE: Gemini CEO Threatens Legal Action Against DCG Over Delayed Funds
In response to the consultation, the central bank highlighted that a majority of respondents agreed that digital payment token service providers (DPTSPs) should be allowed to pool user assets in the same trust account.
However, some respondents argued that DPTSPs should be required to segregate each customer’s assets in separate blockchain addresses to enhance transparency and verification of holdings.
In addition to custody requirements, the MAS mandated that crypto companies perform daily reconciliation of customer assets and maintain accurate books and records.
DPTSPs must also ensure operational independence of the custody function from other business units and maintain access and operational controls to customers’ digital payment tokens in Singapore.
Furthermore, the MAS is considering a proposal to restrict crypto service providers from facilitating lending or staking of retail customers’ digital payment tokens, while allowing such activities for institutional and accredited investors.
Respondents offered varied suggestions, with some advocating for explicit consent and risk disclosures from retail customers, while others proposed a complete ban on these high-risk and speculative activities.
The MAS emphasized its commitment to monitoring market developments and consumer risk awareness, stating that it would take appropriate steps to ensure the ongoing balance and suitability of its regulatory measures.
These new investor protection measures aim to address industry incidents like the FTX implosion, which resulted in substantial losses for customers.
Furthermore, Singaporean firms were significantly impacted by the crypto lending crisis in 2022, with notable local entities, including Three Arrows Capital and Hodlnaut, going bankrupt during the bear market.
By implementing these measures, Singapore’s central bank seeks to bolster investor confidence and establish a robust framework that safeguards customers’ assets while promoting responsible practices within the cryptocurrency industry.
According to the CEO of Merkle Science, the United States will not lose its position as a crypto hub despite recent regulatory actions.
While many top crypto executives have started looking elsewhere due to hostile regulatory measures in the US, Mriganka Pattnaik believes that crypto activity will continue to thrive in the country, at least in the medium term.
Pattnaik argues that the US possesses a higher level of innovation and a deeper talent pool compared to regions like India, China, and the United Arab Emirates, which have strong consumer markets.
Pattnaik also points out the general market dynamics of the American economy, particularly the clarity around taxation, as key reasons why crypto firms are likely to maintain the bulk of their operations in the US.
READ MORE: Co-Founders of Collapsed Three Arrows Capital Pledge Donation to Creditors
While recent actions by US regulators, such as the Securities and Exchange Commission’s actions against crypto firms, have led to a narrative of innovation moving offshore, Pattnaik believes that over time, regulations will become more moderate and provide greater clarity in the US.
However, not everyone shares this view. Binance Dubai general manager Alex Chehade argues that clear and consistent regulation is essential for large crypto firms, including those in the US, in order to have predictability, plan effectively, and budget accordingly.
Ripple CEO Brad Garlinghouse has also stated that the crypto industry has already begun moving outside the US, citing the country’s regulatory approach falling behind other crypto-friendly regions like Singapore, the UAE, and Switzerland.
Indeed, there have been instances of crypto firms exploring opportunities outside the US.
More than 80 firms from around the world applied for a crypto services license in Hong Kong, and Winklevoss-owned crypto exchange Gemini announced its pursuit of a crypto services license in the United Arab Emirates, citing hostility and a lack of clarity on crypto regulation in the US as the reason for the move.
While regulatory actions in the US have prompted some concerns and led to the exploration of alternative crypto-friendly regions, the CEO of Merkle Science believes that the US will remain a prominent crypto hub in the coming years.
The country’s innovation, talent pool, and market dynamics, along with the potential for regulatory moderation and increased clarity, contribute to its ongoing appeal for crypto firms.
However, the need for clear and consistent regulation remains a crucial factor for the success and growth of the industry.
According to a report by CoinShares, institutional investors have primarily concentrated on Bitcoin in the past two weeks as the cryptocurrency achieves new 2023 highs.
The research, led by James Butterfill, revealed Bitcoin-centric products accounted for $310.6 million of the total inflows in the past fortnight, marking a considerable 98% of all digital asset flows.
This is a significant shift following nine continuous weeks of outflows.
In 2023, this is the second instance where Bitcoin products composed 98% of total inflows into cryptocurrency investment vehicles.
The recent boost aligns with Bitcoin’s escalating price and market dominance.
The surge is widely attributed to the Bitcoin ETF application by BlackRock on June 15, followed by similar filings from Invesco, Fidelity, Wisdom Tree, and Valkyrie.
Since these submissions, Bitcoin’s price has seen a substantial increase of 25.2%, valued at $31,131.
Additionally, Bitcoin’s market dominance, gauged by its market cap compared to the total market cap of all cryptocurrencies, rose to 51.46%.
Contrastingly, Ethereum investment products registered inflows of $2.7 million last week, marking the second consecutive week of inflows and breaking a prolonged outflow trend.
Fireblocks CEO, Michael Shaulov, indicated in a conversation with Cointelegraph that institutional investors were interested in core assets like Bitcoin and Ether, but less enthusiastic about alternate cryptocurrencies.
Shaulov explained that the Ethereum narrative revolves around the likelihood of future tokenization ecosystems being based on Ethereum Virtual Machine (EVM).
This factor could boost Ethereum’s utility. However, for Bitcoin, the narrative is less defined, but most investors recognize the cryptocurrency’s essentiality in their portfolio.
Other Stories:
Bank of America’s Crypto Research Division Publishes Tokenization Report
Bittrex Copies Coinbase As It Challenges SEC’s Authority in Legal Dispute
Binance’s Reversal on Delisting Privacy Coins Marks a Major Win for Privacy Advocates
Cryptocurrency exchange Bittrex has taken a significant step in its legal battle against the United States Securities and Exchange Commission (SEC) by filing a motion to dismiss the case.
Bittrex’s argument centers around the claim that the SEC lacks the authority to regulate cryptocurrencies as securities unless specifically granted by Congress.
By challenging the SEC’s interpretation of existing securities regulations, Bittrex aims to establish a clearer regulatory framework that accommodates digital assets.
In a strategic move reminiscent of Coinbase, Bittrex has closely aligned its arguments with those of the larger cryptocurrency exchange.
This alignment suggests that Bittrex intends to leverage the robust legal framework established by Coinbase and construct a unified defense against the SEC’s lawsuit.
Similar to Coinbase, Bittrex’s legal team highlights what they perceive as deficiencies in the SEC’s allegations concerning the trading of investment contracts.
While both defendants acknowledge that the initial sale of certain crypto assets could be classified as securities contracts, they contend that this classification does not extend to assets traded on secondary markets.
Bittrex argues that once an asset is launched and actively traded on secondary markets, it should no longer be considered a security but rather categorized as a commodity or another class of digital asset.
Furthermore, Bittrex asserts that the SEC did not adequately convey that its actions were prohibited, employing a defense strategy commonly used by cryptocurrency defendants challenging the SEC’s allegations.
The legal dispute between Bittrex and the SEC originated in April when the SEC charged Bittrex and its co-founder, William Shihara, with operating an unregistered national securities exchange.
The complaint alleges that Bittrex facilitated the trading of digital assets that met the securities criteria outlined in U.S. federal securities laws without obtaining SEC registration as an exchange.
Additionally, the SEC charged Bittrex Global, the foreign affiliate of Bittrex, with failing to register as a national securities exchange in the same complaint.
Bittrex’s motion to dismiss represents a pivotal moment in its fight against the SEC.
By challenging the SEC’s authority and aligning its arguments with those of Coinbase, Bittrex aims to establish a more defined regulatory framework that accommodates the unique characteristics of digital assets.
The outcome of this legal battle will likely have significant implications for the cryptocurrency industry as a whole, as it could set a precedent for how cryptocurrencies are regulated in the United States.
Other Stories:
Cboe Resubmits Bitcoin ETF Application With Fidelity, Collaborates with Coinbase
Shiba Inu Twitter Scam Exposed By ‘Shibarmy Scam Alerts’
U.S. Federal Reserve Certifies 57 Companies to Utilize ‘FedNow’ Instant Payments System