Top Stories This Week The SEC delivers final response

Top news this week

​​The Securities and Exchange Commission (SEC) provides final response in the Ripple XRP case

The US Securities and Exchange Commission has filed a relief brief challenging Ripple’s position on sanctions in its ongoing legal battle. The SEC is seeking to impose hefty fines on Ripple after Judge Torres ruled that XRP is not a security in automated sales. Ripple maintains that any fines should not exceed $10 million, citing no fraudulent intent. On the other hand, the agency insists that Ripple misinterpreted the court order and minimized its liability. Both sides are now awaiting the final ruling. Stuart Alderotti, Ripple’s chief legal officer, criticized the SEC, arguing that its reputation continues to deteriorate.

Grayscale withdraws implementation of its futures ETF

Grayscale withdrew its 19b-4 filing for an Ethereum futures exchange-traded fund just three weeks before the US Securities and Exchange Commission was set to make a decision on it. On May 7, the cryptocurrency asset manager filed a notice of withdrawal from the Grayscale Ethereum Futures Trust with the Securities and Exchange Commission, which was scheduled to make a decision on May 30. Traders quickly sold Ethereum short after the announcement. Analysts believe the ETF futures implementation was a “Trojan horse” to push the agency to approve its spot ETF proposal. As May 23 approaches, analysts are becoming more skeptical about the SEC’s approval of a spot Ethereum ETF.

Dormant Bitcoin address wakes up in Satoshi era after 10 years

A dormant Bitcoin address containing 687 BTC ($43.9 million), dating back to the era when Satoshi Nakamoto was still active, has woken up after 10 years. On May 6, she transferred her holdings to two different wallets, sparking curiosity among the cryptocurrency community. While speculation often links these wallets to Satoshi himself, experts believe they are most likely owned by miners or early buyers. Notably, 1.75 million Bitcoin wallets have remained inactive for more than a decade, containing approximately $121 billion worth of Bitcoin at current prices.

FTX proposes “billions in damages,” but not everyone is happy

FTX has proposed a new plan to compensate creditors affected by its collapse in 2022, offering to pay all claims plus additional compensation for the time value of their investments. This plan, which requires approval by the US Bankruptcy Court in Delaware, offers a 118% recovery for claims worth less than $50,000, covering 98% of its creditors. However, the compensation is based on the value of assets at the time of FTX’s bankruptcy in November 2022, not current prices, despite the significant 280% rise in Bitcoin’s price since then. The proposal has upset some investors, who are demanding reimbursement at current market rates.

Nigerian officials have proposed a secret settlement for cryptocurrencies, says Binance CEO

Binance was allegedly pressured by Nigerian officials to enter into a $3 million settlement regarding compliance issues. Reports reveal that a Nigerian official demanded cryptocurrency payments to resolve issues related to Binance’s compliance with Nigerian cryptocurrency regulations. The exchange is said to have rejected the payment request through its local legal representation and continued settlement negotiations. The relationship between the exchange and local authorities recently escalated with the arrest of Binance executives.

Winners and losers

And at the end of the week, Bitcoin (Bitcoin) he is in $60,848ether (Ethereum) in $2,932 and XRP (XRP) in $0.49. Total market capitalization is at $2.26 $1 trillion, according to CoinMarketCap.

Among the top 100 cryptocurrencies, the top three altcoin gainers this week are Akash Network (act) By 38.34%, Render (rendering) By 36.04% and tonquin (tons) By 23.60%.

The three biggest altcoin losers this week are Core (essence) At -19.24%, the wormhole (w) at -17.98% and Lido DAO (I am doing) At -15.87%.

For more information on cryptocurrency prices, be sure to read Cointelegraph’s market analysis.

Most of the quotes are memorable

“Cryptocurrencies are a small part of our overall markets. But they are a big part of the scams, scams and problems in our markets.

Gary GenslerChairman of the US Securities and Exchange Commission

“Digital assets have emerged as an important issue in the upcoming elections.”

Christine SmithCEO of the Blockchain Association

“If you had asked me 20 years ago whether the central bank business model was indestructible, I would have said no. Now I’m not sure anymore.”

Joachim NagelPresident of the German Central Bank and member of the European Central Bank

“More of the same from the SEC — failing to apply the law faithfully and trying to fool the judge.”

Stuart Alderottichief legal officer at Ripple

“We are pleased to be in a position to propose a Chapter 11 plan that contemplates the return of 100% of the bankruptcy claim amounts plus interest to non-government creditors.”

John J. Ray IIIChief Restructuring Officer and CEO of FTX

“The (digital) assets industry needs to get its act together and adapt to the laws that apply to it, not the other way around.”

John Red Starka former US Securities and Exchange Commission official

Weekly forecast

Bitcoin price “maintains” the $265,000 level once the tedious consolidation process is over – analysts

Bitcoin’s price could continue its upward trend and triple its market value, pushing its price above $260,000, according to founder and CEO of market and blockchain analytics firm CryptoQuant, Ki Young Ju.

“Bitcoin network fundamentals could support a market capitalization three times its current size compared to the recent cyclical peak,” Yong Joo explained in a May 8 post on X.

Young Joo was referring to a chart comparing Bitcoin’s price and associated hashrate to market cap ratio, highlighting the ongoing volatility of cryptocurrencies and the resilience of the Bitcoin network.

The chart reveals that the ratio of Bitcoin’s hash rate to market capitalization has increased significantly in 2024, indicating a potential increase in market activity and investor interest.

FUD for the week

The trader loses a 7-figure sum due to the 0L hard fork

A pseudonymous trader known as NN allegedly lost over $1 million worth of cryptocurrencies due to an unauthorized hard fork of the 0L network. According to a May 8 post on X, the trader claimed that the team behind the network decided to implement a hard fork to address the “rogue” member. This action destroyed 4% of the total supply and wiped out many wallets, including those of traders like NN, who bought 147 million Libra tokens in February 2023, worth $1.47 million at the time.

Former CEO of Digitex Futures Exchange pleads guilty to violating bank secrecy law

Adam Todd, founder and former CEO of Digitex Futures Exchange, has pleaded guilty in federal court to failing to establish an anti-money laundering (AML) program at the company. The US Attorney’s Office for the Southern District of Florida announced on May 7 that Todd admitted to “willfully causing” the exchange to violate the Bank Secrecy Act. Todd was indicted in February for operating an unregistered futures platform for US clients between 2018 and 2022 without implementing anti-money laundering and know-your-customer (KYC) programs. He faces up to five years in prison and a $250,000 fine.

Ethereum L2 Eclipse CEO Steps Down Amid Sexual Misconduct Allegations

Neil Somani, founder and CEO of Ethereum layer-2 blockchain company Eclipse, announced that he will “temporarily reduce” his role as the public face of the company due to allegations of sexual misconduct. In a May 9 post on X, he denied the accusations, asserted they were false and said: “I have never sexually assaulted or harassed any woman.” Somani said Eclipse’s leadership will handle the responsibilities while he works to clear his name.

This week’s top magazine pieces

What do cryptocurrency market makers actually do? Liquidity or manipulation

Market makers face difficult ethical choices in a world where they are often accused of manipulating markets.

“Sic AI’s on each other” to solve the AI ​​threat: David Brin, author

Elimination And mailman Author David Brin devises a clever plan to prevent AI systems from going rogue. But can we pull it off?

Buy altcoins now, but sell before “mid-2025”: Charles Edwards, X Hall of Flame

Charles Edwards’ analysis of altcoins notes that the beginning of this cycle was “textbook,” but traders will need an altcoin exit strategy.

Participate

The most engaging reads on blockchain. It is delivered once a week.

Editorial Board

Cointelegraph writers and reporters contributed to this article.