Markets

‘I’m not your mother’ – DL News

Published

9 months ago

16 July, 2024

FinCrypt Staff

The outspoken cryptocurrency advocate spoke about her career at the SEC.
She discussed elections, “frustration” in some SEC cases, and Stoner Cats.

Securities and Exchange Commissioner Hester Peirce is happy to talk about cryptocurrency innovation.

Just don’t call her “crypto mom”.

Peirce has earned the affection of the cryptocurrency industry — and the nickname “crypto mom” — for her support of the industry and her fierce dissent over proposed rules and lawsuits filed against the industry under Chairman Gary Gensler.

Still, the libertarian-leaning Peirce says he approaches cryptocurrencies as a choice American consumers should be able to make for themselves.

“I find it funny, but at the same time, I have a little problem with the term ‘mother,’” the commissioner said. counted DL News in an interview last week.

“I’m not your mom.”

DL News spoke with Peirce about the SEC’s crackdown on cryptocurrencies, cryptocurrency exchange-traded funds, and the upcoming election.

A new chair

Some suggested that Peirce — one of two Republican SEC commissioners — could be its next chairman if Donald Trump is elected president in November.

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This would be a boon for the cryptocurrency industry, for whom Gensler has become an iconic foe.

Gensler’s term runs through 2026, but SEC chairs tend to step down sooner if a new administration takes over.

“If the chairman changes, typically the SEC chairman changes in response to that,” Peirce said.

The position is powerful.

The president sets the agency’s agenda and does so independently of the executive branch—which is not necessarily the case for all federal regulators.

Asked about succession at the SEC, however, Peirce made no predictions.

“It could be anyone — the president has wide latitude” to choose, she said.

Cryptocurrency Laws

Some politicians are convinced that crypto voters could influence battleground states in the November election.

Likewise, lawmakers have realized that they need to act quickly to pass cryptocurrency legislation.

The FIT21 Act — which creates a market framework for cryptocurrencies — was passed by the House of Representatives in May.

The bill would give the SEC’s sister agency, the Commodity Futures Exchange Commission, more authority over spot cryptocurrency markets.

Gensler and his CFTC colleague Rostin Behnam work closely together. But they clearly disagree on one issue — while Gensler says most cryptocurrencies are securities, Behnam claims they are commodities.

The SEC and CFTC ‘need to take a step back and remember that we both serve the American people.’

— Hester Peirce

Peirce said he doesn’t see the SEC’s relationship with the CFTC as a rivalry and was happy to see Congress working to decide where to allocate authority.

“We need to take a step back and remember that we serve both the American people and American markets. We should be thinking about who is best to do function x or y — as Congress has instructed us,” she said.

Legislation in this sector should take into account that potential innovation has nothing to do with cryptocurrency’s status as a financial asset, she said.

“There’s a lot going on in cryptocurrencies that has nothing to do with financial markets,” Peirce said.

Decentralized physical infrastructure, for example, does not fit neatly into a financial legal framework.

Regulations by enforcement

Crypto lobbyists say they want regulation because, in the absence of it, the SEC must resort to enforcement.

The Supreme Court recently gave hope to cryptocurrency litigators.

In a historic reversal of the so-called Chevron doctrine, the court essentially made it easier for judges to overrule regulators in cases where statutes are unclear.

Peirce said the agency was “still processing” what impact the decision could have on its cases.

She said, however, that she has always focused on following Congress’s intentions.

“We have to strictly follow what Congress has told us to do,” she said.

The SEC must ensure that it is following the authority Congress gave it and not “trying to adopt overly aggressive interpretations.”

Peirce did not comment on open cases — the agency is currently suing exchanges Coinbase, Binance and Kraken, among others.

But she said the SEC’s court victory against blockchain publishing company LBRY was a low point in her career as commissioner.

“This was a project where a lot of really substantial work was done, and yet we decided to sue and ended up basically shutting it down,” she said.

The SEC alleged that LBRY had violated securities laws.

“There were no allegations of fraud — it was a registration violation — and that struck me as problematic,” Peirce said.

A lawsuit against nonfungible token project Stoner Cats, which was settled by the parties, felt arbitrary, Peirce said.

“If we had applied similar logic in other contexts, we might be bringing lawsuits against all sorts of issuers of non-digital collectibles,” she said.

Unlike Gensler, who has an oft-repeated maxim that crypto companies just need to “go to the SEC and register,” Peirce said it is difficult for crypto companies to get help from the regulator.

“There is a real need for widespread guidance, and we could have spread it and helped these two projects, as well as many others,” she said.

ETF Approvals

Investors are eagerly awaiting the SEC to approve Ethereum ETFs, which Gensler said will likely happen this summer.

Peirce declined to comment on whether the SEC will approve Solana ETF applications.

But she said cryptocurrency ETFs should be treated the same way.

“That was my big frustration with the Bitcoin ETF saga. We went back and forth for 10 years” with issuers, she said until a court essentially ruled that the SEC had to allow ETFs.

“We just needed to apply the same rules we apply to other things and look at the facts and circumstances of each application.”

She cautioned, however, that the SEC’s green light does not mean the product is safe.

“Investors have different risk tolerances, different things they’re looking for, different portfolios. Their time horizons are different,” she said.

After all, she’s nobody’s mother — she’s not telling anybody how to invest.

“You as an individual can make choices for yourself and your family better than anyone else because you know your circumstances better, you know your dreams better,” she said.

“Too often, we as regulators step in and say, ‘I’m going to tell you what to do with your life.’”

Contact the author at joanna@dlnews.com.

Source

Related Topics:Gary Gensler - The Strongest Man US Election

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Markets

Crypto Markets Rebound as Spot Bitcoin ETFs Attract Massive Inflows

Published

9 months ago

17 July, 2024

FinCrypt Staff

Crypto Markets Rebound Ahead of Early Ethereum ETF Approval

This week saw $722 million worth of Bitcoin spot ETF inflows, including the largest daily inflow in a month.

Cryptocurrency markets rallied on Wednesday, driven by inflows into spot Bitcoin exchange-traded funds (ETFs).

The price of Bitcoin (BTC) is up 3% over the past 24 hours to last change hands at $65,200, according to CoinGecko. Ethereum (ETH) is up 2% and is trading at $3,471. Solana (SUN) and Polkadot (POINT) increased by 4%.

Bitcoin spot ETFs saw $422 million in daily inflows on Tuesday, the highest in the past 30 days, according to Far side data, . The all-time record for a single day was $1.05 billion on March 12.

Among Tuesday’s top contributors, BlackRock’s IBIT led with $260 million in inflows, followed by Fidelity’s FBTC with $61 million. This week has already seen more than $722 million in inflows.

Among the top 100 cryptocurrencies by market cap, Worldcoin (WLD) led with a 28% increase, followed by Helium (HNT) with 20% and Lido DAO (LDO) with 15%.

Worldcoin, a decentralized identity project led by OpenAI CEO Sam Altman, announced is extending the lockups for early investors and team members. This means that tokens will be gradually released through 2029, instead of the original 2027 plan. Token unlocks are generally seen as a negative because they increase supply and early investors can sell their tokens for profit.

Meanwhile, XRP, the token of the XRP Ledger network, jumped 8% after the CME and CF benchmarks introduced new indices and reference rates for XRP.

U.S. stocks faced a downturn on Wednesday. The S&P 500 fell 1%, while the Nasdaq Composite and Dow Jones Industrial Average both fell 2%.

Source

Markets

Altcoins on the cusp of a major breakout – WLD, AR, and INJ prices could surge by 20% in the coming days

Published

9 months ago

17 July, 2024

FinCrypt Staff

Altcoins on the cusp of a major breakout – WLD, AR, and INJ prices could surge by 20% in the coming days

Crypto markets appear to have been taken over by the bulls as major tokens have surged above their crucial resistance zone. Bitcoin surged above $65,000 while Ethereum was above $3,500, and XRP, which had remained passive for quite some time, surged over 40% in the past few days to hit $0.6. The uptrend has been captured in most altcoins, with Worldcoin (WLD), Arweave (AR), and Injective (INJ) leading the rally. Here’s what to expect for these tokens in the coming days.

Worldcoin (WLD) Price Analysis

O Worldcoin Price has been trading inside a descending wedge since it marked a new ATH near $12 in the final days of Q1 2024. The recent price action helped the price break out of the upper resistance of the wedge, breaking above the crucial resistance zone between $2.21 and $2.39. Market sentiments have changed, but technicals suggest that the bulls may remain passive for a while, which could offer some room for a bearish pullback.

The price broke out of the wedge with a significant increase in volume, but the current volume suggests that the bulls have taken a step back. Meanwhile, the RSI is about to reach the upper boundary, which could attract bearish forces. Additionally, the DMI has undergone a bullish crossover, but the decline in the ADX suggests that the rally may remain consolidated above the gains. Therefore, the WLD price is expected to maintain a horizontal consolidation between $3 and $3.3 and trigger a fresh rally to $4.4 during the next bullish rally.

Arweave (AR) Price Analysis

Arweave formed a strong base around $25, which helped the rally trigger a recovery during the bearish attack. Mt. Gox and German terror forced the price to fall below $20. However, the recent price action has brought the altcoin within the bullish range and raised expectations of maintaining a decent uptrend for a few more days.

AR price has hit one of the major resistances around $30 to $31.5, which could act as a strong base once overcome. The buying volume is slowly increasing, which could keep the bullish hopes for the rally high. Moreover, the supertrend has just flashed a buy signal, indicating a clean reversal of the trend. Therefore, AR price seems primed to maintain a healthy uptrend and rally above $40. However, if the bulls maintain a similar trend, making new highs above $50 may not be a tedious task for the bulls.

Price Analysis of Injective (INJ)

Injective price has been showing sharp strength since the beginning of the year and hence, the recent turnaround is expected to revive a good uptrend going forward. The bears engulfed the rally to a large extent, but the recent price action suggests that the bulls have regained their dominance. Therefore, INJ price is expected to maintain a strong uptrend with a bearish interference on the way down.

INJ price has surged above the lower support zone and has registered consecutive bullish candles. Although the volume is below the required levels, the OBV is maintaining a sharp uptrend. Furthermore, the Ichimoku cloud lead span B is heading towards the lead span A and a healthy crossover indicates the start of a new uptrend. However, INJ price may be out of the bears’ reach once it secures the resistance zone between $30.77 and $32.12, which seems to be on the horizon.

Source

Markets

Ethereum at $3.5K, Exchange Supply Hits 34-Month High

Published

9 months ago

17 July, 2024

FinCrypt Staff

Ethereum at $3.5K, Exchange Supply Hits 34-Month High

Ethereum (ETH) supply on exchanges has hit a 34-month high as the asset’s price surpassed the $3,500 mark.

ETH has risen 2.3% over the past 24 hours and is trading at $3,490 at the time of writing. The second-largest cryptocurrency — with a market cap of $419 billion — briefly touched an intraday high of $3,517 earlier today.

ETH Price, Whale Activity, RSI, and Exchange Supply – July 17 | Source: Santiment

Ethereum’s daily trading volume also increased by 7.6% to reach $19.8 billion.

According to data provided by Santiment, the supply of Ethereum on exchanges has reached $19.52 million ETH. This level was last seen in September 2021, when the asset was trading around the same price.

On the other hand, data from the market intelligence platform shows that the number of whale transactions has fallen by 12% in the last day — falling from 8,730 to 7,629 unique transactions per day.

The move shows that the supply of Ethereum on exchanges has been increasing with small deposits rather than large transactions from whales.

Additionally, the ETH Relative Strength Index (RSI) is currently hovering at the 60-mark, per Santiment. The indicator shows that Ethereum is slightly overbought at this price point, but it may not be in a critical position due to its large market cap.

One of the main drivers of Ethereum price increase is ETH spot expectations ETFs in the US Investment products are scheduled to start trading on July 23rd.

Source

Markets

Bits + Beeps: How to Play the ‘Trump Trade’ in Cryptocurrencies After the Assassination Attempt

Published

9 months ago

17 July, 2024

FinCrypt Staff

Bits + Bips: How to Play the ‘Trump Trade’ in Crypto After the Assassination Attempt

Also, how much will the Fed cut rates (and when)? What will be the inflows into ETH ETFs? And what is the near future for Bitcoin?

Posted on July 17, 2024 at 12:00 PM EST.

Listen to the episode at Apple Podcasts, Spotify, Capsules, Source, Podcast Addict, Pocket molds, Amazon Musicor on your favorite podcast platform.

In this episode of Bits + Bips, hosts James Seyffart, Alex Kruger and Joe McCann, joined by guest Jack Platts, dive into the market reaction to the recent assassination attempt on former President Donald Trump, analyzing how this event will influence the 2024 US presidential election and the cryptocurrency markets.

They also cover potential rate cuts: Could there be a cut in July? How big could the September rate cut be? Could the decision be influenced by the upcoming election?

They also give their predictions on what percentage of BTC ETF inflows the ETH ETFs will reach, and James talks about what he expects for Grayscale’s ETHE (hint: his outlook would be positive for ETH).

Finally, they delve into what’s next for Bitcoin as the German government runs out of BTC and Mt. Gox distributions begin. Just now?

Program Highlights:

Whether Trump’s shooting decided the election and whether the event caused a “flight to safety”
How election markets are becoming a place to watch election probabilities and whether cryptocurrencies “lean right”
Whether rate cuts will occur in July or September and by how much they will cut: 25 bps or 50 bps
How Joe sees the relationship between global liquidity cycles, rate cuts, and the potential rise of Bitcoin
What are the new updates about Ethereum ETFs and their expected launch?
Why Solana Hasn’t Performed Significantly Better Since Trump News
What Market Breadth Indicates About the Current Market Rally and the Impact of Rates on Small Caps
Everyone’s predictions on ETH ETF inflows and how much outflow we’ll see on Grayscale’s ETHE
What’s Next for BTC After German Government Exits Bitcoin and Mt. Gox Giveaways Starting This Week