@cryptocracy 3 August 2022 more from that month

KYC Undermines BTC, Binance Launches Soulbound Token How KYC undermines the **best thing about bitcoin** **(IF YOU READ NOTHING ELSE IN THIS NEWSLETTER, READ THIS)**. Man in jail for **operating Bitcoin Fog** says he never started the money laundering scheme and had nothing to do with it. *At issue here is whether dark net crypto tracing best practices that have broken up other crime schemes worked to bring a kingpin to justice in the Bitcoin Fog case, or if this is really a case of the feds having the wrong guy because, in this case, the best practices failed.* Finally, **zero-fee recurring bitcoin purchases**. *Yippee!* https://bitcoinmagazine.com/culture/argument-against-kyc-bitcoin https://www.wired.com/story/bitcoin-fog-roman-sterlingov-blockchain-analysis/ https://bitcoinmagazine.com/business/river-launches-zero-fee-bitcoin-purchases Most NFT projects **reinvest ETH** back into the system. Ethereum developers say there is a slight chance of a **MEV-boost failure** prior to the Merge. Meanwhile, Bank of America has concerns about **Ethereum’s scalability**. *Neither of these last two items are anything to be alarmed about. Raising concerns doesn’t mean there’s a huge problem.* https://cryptonews.com/news/majority-of-nft-collections-reinvest-ethereum-back-into-system-nansen.htm https://www.coindesk.com/tech/2022/08/02/ethereum-developers-address-potential-glitch-ahead-of-the-merge/ https://coingeek.com/bank-of-america-ethereum-wont-remain-dominant-if-it-doesnt-scale/

Binance has launched the world’s first **soulbound token**. Binance and Kraken are **under investigation** at the behest of foreign countries. *The interesting thing here is that Kraken is being targeted by the U.S. Treasury’s Office of Foreign Assets Control for allegedly allowing Iranians to buy and sell crypto while Binance is on the Securities and Exchange Commission’s (SEC) radar because the Philippines cried like a baby in a 12-page report.* Binance has also **delisted a cryptocurrency** the SEC thinks is a security. https://www.cryptotimes.io/binance-launches-first-ever-soulbound-token-bab-on-bnb-chain/ https://cointelegraph.com/news/coinbase-binance-and-kraken-under-scrutiny-law-decoded-july-25-august-1 https://www.forbes.com/sites/ninabambysheva/2022/08/02/binanceus-delists-cryptocurrency-sec-deemed-a-security/?sh=3d94d77414ac Tron becomes **second-largest public blockchain** by stablecoin market cap. *Total transfer value has reached $5 trillion. This milestone positions Tron as the third largest public blockchain by total value locked (TVL), which is $11 billion. That’s remarkable!* https://www.cryptotimes.io/tron-grows-to-second-largest-public-chain-by-stablecoin-market-cap/ Celsius **wants its CFO back**. *And I’d like a pancake.* https://www.cnbc.com/2022/08/02/celsius-is-trying-to-hire-its-cfo-back-at-92000-a-month-filings-say.html Crypto exchange Bitstamp has **delisted the XRP-PAX** pairing along with 13 other cryptocurrency pairs. Meanwhile, Ripple recently unlocked **1 billion XRP tokens** from two wallets. *Ripple unlocks 1 billion XRP tokens at the beginning of every month and has since 2017.* https://u.today/xrp-pair-to-be-delisted-by-bitstamp-exchange https://www.newsbtc.com/news/ripple/xrp-in-bearish-mode/ Coinbase Prime adds Ethereum staking **for institutional clients** in the U.S. Coinbase to **lay off 1,100 more workers**. https://www.coindesk.com/business/2022/08/01/coinbase-prime-adds-ethererum-staking-for-us-institutional-clients/ https://www.thedailybeast.com/crypto-bloodbath-intensifies-as-coinbase-plans-to-lay-off-1100-workers Tether sees **uptick in circulating supply** after three months of declines. *Tether isn’t out of the woods yet. The bear market isn’t over. USDC is still gaining. And it’s still hot as hell outside.* https://cryptopotato.com/tethers-usdt-circulating-supply-sees-uptick-after-3-consecutive-months-of-declines/ **CATO Institute:** Libertarian think tank proposes **practical legislation for regulating cryptocurrencies** **(A MUST-READ FOR ANYONE WHO CARES ABOUT SECURITIES LAWS)**. https://www.cato.org/briefing-paper/practical-legislation-support-cryptocurrency-innovation Ledger is looking to **raise $100 million**. https://news.crunchbase.com/fintech-ecommerce/crypto-venture-funding-unicorn-ledger-startup/ Magic Eden takes its **NFT paradise** to the Ethereum blockchain. *Wouldn’t you?* https://www.coindesk.com/business/2022/08/03/nft-exchange-magic-eden-expands-to-ethereum/ Monero’s largest mining pool has **shut down**. https://ihodl.com/topnews/2022-08-02/largest-monero-mining-pool-shuts-down/ Metaverse market share to surpass **$50 billion** by 2026. https://cointelegraph.com/news/metaverse-market-share-to-surpass-50-billion-by-2026-says-new-report The European Central Bank says bitcoin and stablecoins are worst options for **cross-border payments**. https://www.coindesk.com/policy/2022/08/02/bitcoin-stablecoins-cant-solve-global-payment-woes-ecb-study-says/ Will Central Bank Digital Currencies (CBDCs) be the **end of democracy**? C*entral banks have already put an end to democracy.* https://www.canadianmanufacturing.com/features/central-bank-digital-currencies-could-mean-the-end-of-democracy/ Could blockchain technology be the **future of philanthropy**? https://www.cnet.com/personal-finance/crypto/blockchain-backed-aid-groups-could-be-the-future-of-philanthropy/ Gucci now accepts ApeCoin for **in-store purchases**. https://www.inputmag.com/style/gucci-apecoin-crypto-bored-ape-yacht-club Michael Saylor steps down as **CEO of MicroStrategy**. *He’s transitioning into the executive chairman role and focusing his energy on the company’s bitcoin strategy. That must mean the company sees bitcoin playing a bigger role in its future and is dedicating its most knowledgeable proponent to that enterprise. This makes me wonder if future companies will have a dedicated bitcoin or cryptocurrency strategist.* https://finance.yahoo.com/news/michael-saylor-microstrategy-ceo-bitcoin-204325431.html SEC charges 11 people in **$300 million Ponzi scheme** called Forsage. https://www.ndtv.com/business/us-watchdog-charges-11-individuals-in-300-million-crypto-ponzi-fraud-3215695 Nomad hack results in **$190 million stolen**. https://www.benzinga.com/markets/cryptocurrency/22/08/28303411/copy-paste-hack-190m-stolen-from-coinbase-backed-crypto-bridge-nomad What’s next? **Crypto winter or extinction**? https://www.nationalreview.com/2022/08/whats-next-for-crypto-winter-or-extinction/ Are DAOs **more resilient to takeovers** than regular companies? *It depends. The more decentralized they are, the more secure they are against takeovers. As wealth and influence concentrate among a few, the more susceptible any DAO will be to a hostile takeover. It’s politics, and all’s fair.* https://www.nasdaq.com/articles/could-daos-be-more-resilient-to-takeovers-than-regular-companies Should the crypto crash **scare retailers**? The New York attorney general is looking for people negatively **affected by the crypto crash**. *This goes beyond merely losing money because of devaluation of currencies. Rather, the OAG is looking for people with crypto in locked accounts.* https://retailwire.com/discussion/should-the-cryptocurrency-crash-scare-retailers/ https://www.thelcn.com/news/local/state-attorney-general-s-office-seeks-people-affected-by-cryptocurrency-crash/article_ec7bc033-ae23-52be-be8e-76a97a2d5dd4.html Japan is abandoning its **digital currency plans**. https://nftnow.com/culture/japans-central-bank-has-abandoned-its-digital-currency-plans/ Binance is **hiring in Gibraltar**. *It’s getting rocky over there.* https://cointelegraph.com/news/rock-on-gibraltar-pro-crypto-regulation-pulls-binance-and-big-players *Snark and commentary in italics. Moon in Aries, Gemini in Achilles.* Cryptocracy is a decentralized newsletter published several times a week. I curate the latest news and crypto analysis from some of the brightest minds in crypto, and sometimes offer a little insightful and snarky commentary. Always fresh, always interesting, and always crypto. *First published at Cryptocracy. Not to be construed as financial advice. Do your own research.* Image credit: nansen.ai via cryptonews