This week’s significant update involves the SEC ceasing its investigation into Ethereum. The regulatory body has paused its efforts to classify ETH as a security, largely due to pressure from Ethereum developer Consensys.
However, despite the SEC halting its investigation, Consensys is continuing its lawsuit against the agency. Let’s delve into more details.
Bitcoin
Standard Chartered, a UK-based bank, is setting up a trading desk for Bitcoin and Ethereum. This London-based desk will soon start operating as part of the bank’s foreign exchange trading unit.
In addition, MicroStrategy has strengthened its position as the largest corporate holder of Bitcoin. The company acquired an additional 11,931 BTC for $786 million, bringing its total to 226,331 BTC, valued at nearly $15 billion.
Moreover, the VanEck Bitcoin Exchange-Traded Fund (ETF) reached a notable milestone by debuting on the Australian Securities Exchange (ASX) on June 20.
Ethereum
The SEC’s decision to drop its investigation into whether ETH is a security is a significant victory for the crypto industry. This decision followed Consensys’s request for clarification on Ethereum’s status in light of the approval of spot Ethereum ETFs.
Despite this, Consensys, a leading Ethereum software company, is moving forward with its lawsuit against the SEC. They seek clearer regulations for the cryptocurrency sector even after the SEC ended its 14-month investigation into Consensys.
Back in 2017, Vitalik Buterin and Joseph Poon introduced Plasma, a proposal aimed at bringing Visa-level transaction volumes (between 1,700 – 4,000 transactions per second) to the Ethereum network.
Security
On June 9, Kraken, a cryptocurrency exchange, disclosed that it was exploited by a security researcher who managed to steal $3 million worth of assets. Blockchain security firm CertiK identified itself as the researcher, stating that it had informed Kraken about a vulnerability that enabled the removal of millions from the exchange’s accounts.
Central Bank Digital Currencies (CBDC)
Swiss digital asset specialist Nabatech has chosen Polkadot’s Substrate blockchain to build its digital asset platform for central banks and financial institutions, after evaluating seven potential platforms.
Regulation
Tyler and Cameron Winklevoss have each donated $1 million in Bitcoin to support former President Donald Trump’s reelection campaign. This move comes in response to the Biden administration’s strict stance on cryptocurrencies.
In another regulatory update, David Hirsch, the head of the SEC’s Crypto Asset and Cyber Unit, has stepped down from his position.
During Coinbase’s State of Crypto Summit 2024, billionaire and cryptocurrency advocate Mark Cuban stated that Gary Gensler’s actions as the head of the SEC could jeopardize President Joe Biden’s chances for reelection.
These developments mark significant shifts in the cryptocurrency landscape, highlighting the ongoing interplay between regulation, innovation, and market dynamics.