An eye on the charts, checking in on the ongoing battles between the SEC and Coinbase, Bitcoin Vs. Fedcoin, Coinbase announces an international exchange and Venmo offers crypto transactions while Solana and Polygon team up with Mastercard to improve credentialling. Also, Meta’s VR gaming empire struggles amid concerns for children. News in brief from FTX and Sotheby’s.
An Eye on the Charts
Major projects started out relatively flat, but gradually rose and fell over the week. As of this writing, prices are trending up, but have not yet entirely made up for losses earlier in the week. Bitcoin and Ethereum are both within 2% of where they were last week, with BTC trading just under $29k and ETH trading just under $1.9k.
Other projects had mixed results. Cardano and Polkadot are both down around 5%, with TRON up around 5%. Many other big projects had more mild gains and losses.
The SEC Vs. Coinbase
Quick catch up: The Securities and Exchange Commission has been hunting crypto companies from behind a fog of regulatory confusion. Last week, Coinbase sued the SEC in hopes of getting clear guidance (or a reprieve from a presumed incoming suit from the SEC). The SEC apparently stopped answering Coinbase’s emails while chair Gary Gensler tweeted a video saying terms are already clear.
This week, the U.S. Third Circuit Court sided with Coinbase and is giving the SEC 10 days to respond. Meanwhile, guidelines that the SEC published this week that was going to include information on digital assets cut that content, suggesting that the Commission isn’t as clear on their terms as the internally-embattled chair suggested.
The SEC aren’t the only ones going after crypto. President Biden has long encouraged government research and potential oversight of existing currencies, while also lowkey promoting the development of a Central Bank Digital Currency. A proposed tax on energy used to mine Bitcoin would be a big win for Biden in being anti-crypto, pro-environment, and making extra money for the federal government.
While the tax is being challenged by groups saying that it would hurt jobs and innovation, North Carolina has become the most recent state to pre-emptively ban a CBDC.
Despite all of these legal and political hangups, crypto organizations aren’t slowing down — often with the help of legacy fintech institutions. Coinbase announced an international exchange based in USDC amidst its ongoing battles with the SEC.
Meanwhile, Venmo will start offering fiat-to-crypto payments — similar to a move by PayPal that has rolled out over recent years — and Mastercard is partnering with Solana and Polygon to improve credentialling in crypto.
Meta’s VR Problems
Crypto companies aren’t the only ones going to court with commissions. The FTC is challenging Meta’s use of children’s data while the National Crime Agency argues against children accessing some parts of the metaverse to begin with. While the metaverse isn’t Meta and vice versa, the conflicts are linked with Meta Quest playing host to popular children’s games including Among Us.
Building its VR gaming empire has been a challenge for Meta, but maintaining it has been its own battle. Over the years, Meta purchased a number of independent gaming studios only to cancel support and lay off staff. This week, VR content creator Nathie posted a screenshot of an add for the battle royale game Population: One inside of Meta-owned social arcade shooter Echo VR, which Meta is sunsetting.
News in Brief
- The bankrupt husk of FTX is suing the bankrupt husk of Genesis over almost $4B.
- Sotheby’s continues to make a name for itself in the NFT space by opening its own on-chain NFT marketplace.