From the withdrawal of Bitcoin privacy wallets from the U.S. market following the arrest of Samourai wallet founders to concerns over Bitcoin mining in Iran.
Brief News
Famous “Buy Bitcoin” Artwork Sold for Over $1 Million
The iconic “Buy Bitcoin” artwork, displayed behind Janet Yellen, former U.S. Federal Reserve Chair, during a 2017 congressional hearing, sold at a New York auction for 16 Bitcoin (equivalent to $1 million). The buyer remains anonymous but is reportedly a Bitcoin veteran. The previous owner plans to use the proceeds to fund their Bitcoin startup.
Source: Coindesk.com
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Bitcoin Privacy Wallets Withdraw from U.S. Market
Following the arrest of Samourai wallet founders, zkSNACKs, the developer of Wasabi Wallet, announced it would block U.S. users from accessing its products and platforms. Similarly, ACINQ declared it was pulling its Phoenix wallet from the U.S. market. These developments highlight the regulatory challenges and instability surrounding digital currencies and privacy-focused technologies, potentially impacting users’ access to privacy tools.
Source: Bitcoinist.com
Europe Tightens Crypto Regulations with New Anti-Money Laundering Rules
Digital asset service providers in Europe will soon be required to implement stricter customer identification measures to combat money laundering. These regulations, introduced by the European Parliament, mandate firms to verify customer identities and report suspicious activities. The laws also extend to non-financial sectors such as sports clubs.
Source: Cryptoslate.com
Bitcoin Surpasses Gold in Inflation Rate Battle
After the latest halving event, Bitcoin’s inflation rate officially dropped below that of gold, reaching 0.83%, making it the rarest asset in history. This milestone results from reduced mining rewards, cementing Bitcoin’s position as a deflationary asset.
Source: Bitcoinist.com
Forecasting U.S. Dollar Weakness and Bitcoin Rally
Crypto traders anticipate a weakening U.S. dollar, encouraging risk investments and supporting Bitcoin’s growth. However, some banks forecast continued dollar strength, which may impact Bitcoin’s rally, especially given its recent trading range of $60,000 to $70,000.
Source: Coindesk.com
Tether Takes Action Against Venezuela’s Sanctions Evasion Using Crypto
Tether, the stablecoin company, has announced that it will block wallets using USDT to evade sanctions on Venezuelan oil exports. This decision follows a Reuters report highlighting the increased use of cryptocurrencies by Venezuela’s state oil company after the reimposition of U.S. sanctions on oil exports. A Tether spokesperson stated: “Tether respects the list of Specially Designated Nationals (SDN) published by OFAC and is committed to blocking sanctioned addresses.” In December, Tether blocked 41 wallets associated with entities listed on the SDN list maintained by the U.S. Office of Foreign Assets Control (OFAC).
Source: Coindesk.com
Worldcoin Leaders Meet Malaysian Officials
Sam Altman, CEO of OpenAI, and Alex Blania, co-founder and CEO of Tools of Humanity, recently met with Malaysian officials. These two are central figures in the global project Worldcoin, which utilizes iris scanning for identity verification. Their goal is to improve governmental relations and demonstrate their commitment to user data protection and privacy. The project has faced bans in countries like Spain and Portugal due to concerns over collecting and managing sensitive biometric data. Supporters of Worldcoin are addressing these concerns by pledging to delete stored biometric data and prohibiting registrations for individuals under 18 years old.
Source: TheBlock.co
Indonesian President Warns of Crypto Money Laundering Risks
President Joko Widodo urged Indonesia’s Financial Transaction Reports and Analysis Center to monitor cryptocurrency and NFT use for money laundering and terrorism financing. He cited 2021 data indicating $8.6 billion laundered via digital assets, calling for swift regulatory action.
Source: Coindesk.com
Proposal to Add Bitcoin to Swiss National Bank Reserves
A group in Switzerland has proposed amending the country’s constitution to require the Swiss National Bank to hold Bitcoin alongside gold in its foreign currency reserves. Supporters argue Bitcoin could serve as a hedge against inflation and a symbol of financial independence, while critics highlight its volatility and legal uncertainties.
Source: Bitcoinist.com
Angola Imprisons Cryptocurrency Miners
Angola officially banned cryptocurrency mining to protect national energy security. The law, effective April 10 (Farvardin 22), led the Chinese embassy to warn its citizens against violating it. Miners face up to five years in prison, with equipment confiscated. Direct involvement in mining could result in a 12-year sentence.
Source: Beincrypto.com
New Draft for U.S. Crypto Income Tax Reporting
The U.S. Internal Revenue Service (IRS) released a draft form for reporting digital asset income by brokers. Brokers, including payment service providers and custodial/non-custodial wallets, must report digital asset transfers to the IRS. Critics worry about privacy and security implications for users.
Source: News.Bitcoin.com
South Korea’s Crypto Trading Volume Hits Two-Year High
A report by Kaiko shows South Korea’s crypto trading volume, in its national currency (Korean Won), surpassed the U.S. dollar in Q1 2024, reaching a two-year peak. This surge is driven by intense competition among Korean exchanges and the approval of Bitcoin and Ethereum-based funds in Hong Kong, boosting investment in Asia-Pacific.
Source: Cryptopotato.com
Iran’s Potential in Crypto Mining Using Flared Gas
Iran, the second-largest holder of flared gas globally after Russia, announced legal crypto farms could utilize electricity generated from renewables and flared gas. With 18.5 billion cubic meters of flared gas annually (worth over $5 billion), Iran could become a major crypto mining hub. Leveraging this energy could reduce economic losses and mitigate challenges in trade caused by sanctions and FATF restrictions.
Source: Energypress.ir
Elizabeth Warren’s Concerns About Bitcoin Mining in Iran
Senator Elizabeth Warren has officially expressed concerns to senior officials in Joe Biden’s administration regarding Iran’s use of cryptocurrency mining as a means to bypass international sanctions. The letter, addressed to Defense Secretary Lloyd Austin, National Security Advisor Jake Sullivan, and Treasury Secretary Janet Yellen, highlights concerns about Iran’s growing mining capabilities. According to reports, Iran is one of the largest Bitcoin producers in the world, accounting for approximately 7% of the global Bitcoin market. Warren emphasized that the primary concern lies in the Iranian government’s directive requiring miners to sell the mined cryptocurrencies to Iran’s central bank. This practice allegedly makes transactions less traceable and facilitates sanctions evasion.
Source: Cryptoslate.com
Opposition of Iranian Parliament Members to Central Bank Intervention in the Cryptocurrency Market
Iran’s parliament opposed the general provisions of a proposal to clarify Article 44 of the Central Bank Law. Mohammadreza Pour-Ebrahimi, head of the Economic Commission, explained that the law aimed to empower the Central Bank to intervene in the official and unofficial currency and cryptocurrency markets while remaining accountable to parliament. However, the proposal was left unresolved in the current parliamentary term.
Source: ISNA
Bitcoin Enters Iran’s Real Estate Market
Bitcoin and cryptocurrencies have recently been used in Iran’s real estate transactions. Mahdi Karbasian, a member of the Tehran Realtors Association, noted that some deals are being conducted using dollars and Bitcoin. This trend is attributed to the introduction of the “Self-Writing” system, which eliminates realtors’ intermediary role in contract management. Seyed Mahdi Hejazi, head of the Isfahan Realtors Association, expressed concerns that this system, by bypassing realtor oversight, paves the way for unconventional transactions, such as trading properties for Bitcoin.
Source: Eghtesadnews.com
Chainalysis Opens Regional Office in Dubai
Blockchain analytics company Chainalysis has established its regional office in Dubai to serve Southern Europe, the Middle East, Central Asia, and Africa. The company aims to collaborate closely with the UAE government and has set up a training center to enhance government employees’ blockchain technology expertise.
Source: Cointelegraph.com
Donald Trump’s Strong Support for Cryptocurrencies
Former U.S. President Donald Trump expressed strong support for the cryptocurrency industry. Speaking at Mar-a-Lago, he promised to prevent crypto flight from the U.S. due to strict regulations if re-elected. Trump criticized President Biden’s stance on the industry and welcomed Bitcoin and other cryptocurrencies as campaign contributions. The market responded with price surges in meme coins associated with Trump.
Source: Benzinga.com
U.S. Voters Emphasize Cryptocurrency in Elections
A survey by Digital Currency Group revealed that over 20% of voters in key U.S. swing states view cryptocurrencies as a critical issue in upcoming elections. This highlights the increasing importance of digital assets in politics. Trump’s recent comments further demonstrate his team’s awareness of cryptocurrency’s role in shaping voter priorities.
Source: Coindesk.com
Andrew Tate Plans to Abandon Fiat Currency
Controversial influencer Andrew Tate announced his intention to invest $100 million in Bitcoin and completely abandon fiat currencies. Previously, he stated he converted $500,000 of his Bitcoin holdings into GameStop shares and meme coins, claiming he wouldn’t mind losing all his money if it meant causing significant losses to wealthy Wall Street investors.
Source: Coinpedia.org
Hong Kong Launches Digital Yuan Pilot
Hong Kong has initiated a pilot program for the e-CNY, China’s central bank digital currency (CBDC), marking its first rollout outside mainland China. Despite the launch, reports indicate low adoption among Chinese government employees paid in digital yuan, with many converting it to cash due to limited usability and surveillance concerns.
Source: Cointelegraph.com
U.S. Senate Overturns SEC Accounting Bulletin
On May 16, in a pivotal decision for the cryptocurrency industry, the U.S. Senate overwhelmingly passed a bipartisan bill calling for the repeal of SEC Staff Accounting Bulletin No. 121. Implemented in 2022, this bulletin required custodians of digital assets to list these assets on their balance sheets as liabilities—a mandate that faced strong criticism from the cryptocurrency community. Critics argue that the regulation unfairly categorizes customers’ digital assets as liabilities of custodians, thereby necessitating equivalent cash reserves to balance these liabilities.
Source: Bitcoinist.com
Wall Street, Congress, and Senate Push for Bitcoin Legalization
Michael Saylor, a prominent Bitcoin advocate and co-founder of MicroStrategy, known for its massive Bitcoin holdings, celebrated a victory for the cryptocurrency industry on social media. The U.S. Senate recently passed a bill allowing American banks to custody and invest in cryptocurrencies. Reacting to the development, the MicroStrategy CEO stated: “Wall Street wants Bitcoin, the House wants Bitcoin, and now the Senate wants Bitcoin.”
Source: Bitcoinist.com
