Cryptocurrency has become an ever-evolving ecosystem, with developments, trends, and breaking news emerging at a rapid pace. To help you stay informed about the latest happenings in the world of crypto, we bring you “Last Week in Crypto,” a concise rundown of the major stories and events that took place in the crypto space during the past week.
From market movements and regulatory updates to technological advancements and new projects, this weekly recap will keep you up-to-date and in the know about the dynamic world of cryptocurrencies.
- Former Ftx CEO, SBF, Faces 110 Years in Prison for Alleged Ftx Fraud
- Binance Spot Market Share Drops Again for the 7th Consecutive Month
- Taiwan Aims to Establish Crypto Law by November
- Yield Protocol to Permanently ‘Shut Down’ Operations by December 2023
- Ledger Lays off 12% Of Staff Due to ‘Macroeconomic Headwinds’
Former Ftx CEO, SBF, Faces 110 Years in Prison for Alleged Ftx Fraud
In recent developments, the former CEO of defunct cryptocurrency exchange FTX, Sam Bankman-Fried, went on trial in New York last week charged with committing one of the largest corporate frauds in US history.
According to the prosecution, Mr. Bankman-Fried stole billions of dollars from FTX clients to support his struggling hedge fund Alameda Research and support a lavish lifestyle in the Bahamas. Additionally, they described to the jury his attempt to influence politics by giving $100 million to candidates prior to the 2020 presidential election in order to secure loose crypto sector rules.
If convicted, the former CEO may be facing up to a 110-year prison sentence. The case still has a long way to go and the prosecution does not seem to be taking it lightly.
Binance Spot Market Share Drops Again for the 7th Consecutive Month
According to reports, major cryptocurrency exchange Binance has kept losing market share despite persistent regulatory problems in the United States.
Insights from cryptocurrency data source CCData reported by Bloomberg on October 5 showed that Binance’s spot market share decreased for a seventh straight month in September 2023. Binance, which had a 55.2% share of the spot market in January 2023, has seen its spot market share decrease from 38.5% in August to 34.3% in September, according to the research.
In addition to the spot market, Binance has also been losing market share in the futures market. The research claims that Binance’s market share for derivatives decreased from 53.5% in August to 51.5% in September. The exchange controlled more than 62% of the market for derivatives in January.
Taiwan Aims to Establish Crypto Law by November
Lawmakers in Taiwan are reportedly aiming to push out a first draft of a special law by the end of November 2023, according to a report from The Block.
Yung-Chang Chiang, a member of the Legislative Yuan, Taiwan’s parliament, told The Block in an interview that a dedicated crypto asset act is necessary to regulate crypto firms. He argued that the asset class diverges in many ways from a traditional financial product and should be overseen by a separate special law.
The guidelines included rules blanketing the industry, including separating assets in exchanges’ treasury from those of the customer and mechanisms for reviewing the listing and delisting of digital assets.
Additionally, the rules state that foreign virtual asset service providers cannot provide services in Taiwan without the necessary approvals from local regulatory authorities.
On the same day, major cryptocurrency exchanges operating in Taiwan formed an association to advance industry interests.
Yield Protocol to Permanently ‘Shut Down’ Operations by December 2023
Decentralized finance (DeFi) lending protocol Yield Protocol announced its decision to shut down by the end of the year due to a lack of business demand and global regulatory pressures.
Yield Protocol will cease to exist after its December 2023 series ends, which is slated to mature on December 29, 2023. In its announcement detailing the “wind down” operation, Yield Protocol confirmed that the March 2024 fixed rate series launch had been cancelled.
Unfavourable crypto regulations in the United States, Europe and the United Kingdom were also among the reasons that ultimately led Yield Protocol to shut down. Starting today, “liquidity providers for the *MS (March-September) strategies won’t accrue any further fees,” it stated.
Ledger Lays off 12% Of Staff Due to ‘Macroeconomic Headwinds’
Pascal Gauthier, CEO and chair of hardware crypto wallet manufacturer Ledger has announced the firm will be reducing its staff by 12%.
In an Oct. 5 blog post, Gauthier stated that the staff cuts had been made “for the longevity of the business,” citing the 2022 bear market and the collapse of firms including FTX and Voyager Digital. Based on data from LinkedIn, Ledger may have had around 734 employees at the time of publication, suggesting that roughly 88 people may have lost their jobs.
“Macroeconomic headwinds are limiting our ability to generate revenue, and in response to the current market conditions and business realities, we must reduce roles across the global business,” said the CEO. “Sadly, this means we are making the difficult decision to reduce 12% of the roles at Ledger.”
As the crypto ecosystem gains more and more global attention, it is a reminder that staying in the loop is essential, whether you’re a crypto enthusiast, investor, or just curious about the digital frontier.
With every passing week, it is even more glaring that the crypto market never really sleeps, and like an ever-changing friend, it keeps evolving. So, be sure to keep an eye out for the next edition, and let’s keep exploring this exciting crypto journey together!