“The White House has today released a “First-Ever Comprehensive Framework for Responsible Development of Digital Assets” outlining the conclusions and recommendations of various federal agencies after six months of studying the crypto industry.
The new framework builds on research from nine reports submitted to the President since the order, and claims to reflect ‘the input and expertise of diverse stakeholders across government, industry, academia, and civil society.’
Their concerns are wide-ranging, and the recommendations include not just the obvious (such as consumer protections, environment and national security), but go a step further to consolidate the U.S.’s role as a global crypto frontrunner by encouraging private-sector innovation and co-operation on an international level.
The framework greenlights regulators like the Securities and Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC), to continue coordinating efforts to enforce law in the industry and to share data on consumer complaints in the space.
The U.S. Treasury will take an active role in working with financial institutions to help identify and mitigate cyber risks through data sharing and analysis. It is also tasked with working with regulators to ensure crypto firms have regulatory guidance. The Treasury is expected to complete an illicit finance risk assessment on decentralized finance by the end of February 2023 and an assessment on non-fungible tokens by July 2023.
Today’s fact sheet admits there are “opportunities” to ensure that blockchain technology aligns with ‘a net-zero emissions economy.’
The report also mentions “a potential U.S. CBDC” citing many profound potential benefits in technology, the economy, security and individual liberty, but efforts in this direction are limited to a set of policy objectives.”
“Infura plans to launch a decentralized infrastructure protocol early next year. Infura enables roughly 350,000 users to easily connect dapps to the Ethereum blockchain without having to run a full node.
The introduction of a decentralized infrastructure protocol is a significant development in Infura’s plan to progressively decentralize its Web3 API services — a process that involves developing open-source code for the key components that power the tool as well as decentralizing the JSON RPC API that users utilize to connect to the Ethereum blockchain.
Qualified infrastructure providers can apply to an early access program to be a participant in the new protocol, beginning Friday.”
“Decentralized finance (DeFi) privacy protocol Railgun has launched the Railway Wallet mobile app, enabling users to privately carry out DeFi activities on the Ethereum blockchain.
Railway Wallet protects users’ transaction histories and ensures they cannot be tracked with tools like Etherscan, allowing users to privately interact with decentralized exchanges (DEX), decentralized apps (dapps) and liquidity provisions.
The mobile wallet, which is the first zero-knowledge Ethereum Virtual Machine (EVM) prover to run completely on mobile, is compatible with both Apple’s iOS system and Android. Railgun co-founder Alan Scott says it’s important for developers to build effective privacy apps as the DeFi space continues to expand.
If the future of finance is going to be DeFi, there has to be a privacy infrastructure in place, just from a consumer protection standpoint.”
“In March, the SEC said all U.S.-listed public companies that function as crypto custodians should account for their crypto exposure as liabilities instead of assets on their balance sheets and disclose risks associated with those liabilities to investors. The custody of crypto assets by lenders presents unique technological, legal and regulatory risks compared with other assets, the SEC guidance said.
Accounting for crypto held on behalf of their clients as liabilities is particularly harsh on banks because they are required to hold cash to match liabilities on their balance sheets.
An unnamed European bank looking to offer crypto custody services in the U.S. was quoted in the report as saying it would be “prohibitively costly” to do so under the new guidance.”
“The project, tagged as EthereumPOW, fell flat right at the start as users complained about glitches, and crypto exchange Poloniex, where Tron founder and early cheerleader of EthereumPOW Justin Sun is an investor, decided to support a rival proof-of-work fork. Guo, the originator of the EthereumPOW, said in a tweet that Poloniex made a “huge mistake” by backing a rival fork.
The new ETHW token’s price tumbled to as low as $8 Friday on some exchanges that listed the cryptocurrency, a 70% drop from the $30 level where it mostly traded earlier this week. Analysts doubt the longevity of any proof-of-work fork.
I spoke to a couple OTC (over-the-counter) desks, and they’re saying everyone is selling. There’s no buyer.”