27 January

Ethereum’s Economic Engine

Stablecoin legislation will be one of the top priorities for the newly formed U.S. House of Representatives subcommittee on digital assets, financial technology and inclusion. Hill said the committee’s current draft on stablecoins will serve as a model of how it will approach digital asset regulation.

We want to also pursue … a privacy statute federally, which I think is important to a digital future [and] part of the foundation of moving from an analog financial services environment to a more digital environment.

What is critical to the development of crypto in the broader market now is “accurate [and] timely information,” according to Hill, and that depends on developing “definition and expectations,” to better understand what, when and how crypto-related assets are reported.”

See Also: Moody’s Developing Scoring System for Stablecoins: Bloomberg
See Also: Tether moves to combat child abuse content marketplaces

People want layer 2 tokens and they see layer 2 adoptions happening,’ said Nick Hotz, vice president of research at the digital-asset management firm Arca, referring to the tokens associated with companion blockchain systems. Optimism is the only way to get good exposure to that theme currently.’ The OP token has surged 140% this year.

After Ethereum completes its EIP-4844 upgrade, also called proto-danksharding, later this year, it will make transaction fees on layer 2s “an order of magnitude cheaper,” Marc Arjoon, Ethereum research associate at CoinShares, wrote in a note. ‘2023 is shaping up to be the year of layer 2s.'”

See Also: Ethereum Scaling Tool Polygon’s MATIC Token Surges Amid Spike in Transactions

“For the second time, the U.S. Securities and Exchange Commission (SEC) rejected a joint effort by Ark Investment Management and 21Shares to list a spot bitcoin exchange-traded fund (ETF).

The SEC said the Cboe BZX Exchange – on which the ETF would be listed – had failed to “demonstrate that its proposal is consistent with the requirements” surrounding prevention of fraud and other malevolent practices.

ISDA, whose 1,000 members include major banks such as JPMorgan Chase (JPM) and HSBC (HSBC), set out new digital-asset standards and guidance for navigating crypto bankruptcies. The document examines how assets and liabilities can be netted off and how collateral can be enforced when bankruptcies occur, and another paper due in the coming months will look at crypto assets stored with intermediaries.

Recent failures in the crypto market have emphasized the importance of having a clear, consistent contractual framework that spells out the rights and obligations of both parties following a default.”

See Also: CFTC Commissioner Kristin Johnson Urges Congress to Expand Agency’s Authority to Review Crypto Acquisitions

“Sam Bankman-Fried’s mother, Barbara Fried, “has ignored the requests altogether,” the attorneys say, while “the debtors have not received meaningful engagement or any response from [former chief engineer Nishad] Singh or Mr. Gabriel Bankman-Fried,” Sam’s brother.

FTX, known in bankruptcy proceedings as the Debtor, alleges that Gabriel Bankman-Fried’s lobbying organization, Guarding Against Pandemics, ‘purchased a multimillion-dollar property a few blocks from the United States Capital [sic], which the debtors believe was purchased using misappropriated customer funds.’

Fried’s mother’s political action committee, Mind the Gap, also allegedly received donations from Sam Bankman-Fried and other FTX staffers, and both parents ‘resided in a $16.4 million [Bahamas] house titled in their names, despite understanding that the house was ‘intended to be the company’s property’,’ the filing said.

The FTX founder’s brother, mother and father were his “advisors,” and should be subpoenaed alongside former company executives as the company’s new management seeks to find out what happened to allegedly misappropriated funds, the filing said. Discussions with lawyers for Sam Bankman-Fried’s father, Joseph Bankman, are “ongoing” and were expected to lead to a consensual outcome.”

“StoryCo also revealed its first narrative experience, The Disco Ball, which will be released in 2023. The “immersive and collaborative storytelling experience” invites collaboration from the community to finish the main character’s journey. With a StoryPass non-fungible token (NFT), community members can access pre-release content and solve puzzles, find artifacts and collectively build out the narrative experience.

Founders Justin and J.P. Alanís said in a press release that they’re hopeful bringing Hollywood to Web3 will aid in lowering barriers to entry and foster community around immersive, interactive storytelling.”