Blockchain
Will the US presidential election define the future of crypto?
The cryptocurrency industry is “rife with fraud, hucksters, and grifters,” according to one of the top financial regulators in the United States. Gary Gensler, chair of the US Securities and Exchange Commission (SEC), told the BBC that the global investing public has lost significant amounts of money due to crypto companies not adhering to the laws his agency enforces.
This comes as the crypto industry pours millions into political donations ahead of the upcoming US elections in November, hoping to shape more favorable future laws. In addition to the presidential race between Donald Trump and Kamala Harris, all 435 House of Representatives seats and 33 of the 100 Senate seats are up for re-election.
The future of cryptocurrency is a divisive issue between Trump and the Biden administration. Trump has been courting crypto enthusiasts, promising to make America “the crypto capital of the planet” and proposing a “strategic national bitcoin stockpile.” He recently launched a new crypto business, World Liberty Financial, marking a significant shift from his previous dismissal of Bitcoin as a potential scam.
In contrast, the Biden administration, with Harris as vice president, has overseen a broad crackdown on crypto firms. Notably, Sam Bankman-Fried, founder of FTX, was sentenced to 25 years for fraud earlier this year, and Binance founder Changpeng Zhao received a four-month prison term alongside a $4.3 billion fine for allowing illegal activities on his platform.
The SEC has also taken record action against crypto firms, including ongoing cases against Binance. Gensler emphasized that crypto companies must follow the same time-tested laws as other financial sectors to protect investors.
While crypto supporters argue that the technology offers fast and secure transactions, a Federal Reserve survey showed that the number of Americans using cryptocurrency dropped from 12% in 2021 to 7% in 2022. Harris has not made clear statements on crypto, but her team has engaged with industry leaders, giving them hope for better prospects under the next administration.
The US crypto crackdown has been mirrored in Europe, where the European Union recently introduced new regulations to curb the criminal use of digital assets. However, progress has been slower elsewhere, with the G20 working on minimum crypto standards that are not legally binding. In the US, a bill regulating cryptocurrencies passed the House but stalled in the Senate, drawing criticism for potentially weakening consumer protections.
Coinbase’s chief legal officer, Paul Grewal, advocates for the bill and emphasizes that the crypto industry is not opposed to regulation but seeks fair and consistent standards. With the elections approaching, the crypto industry has spent a record $119 million in donations, aiming to support pro-crypto candidates and challenge critics, regardless of party affiliation. Rick Claypool of Public Citizen warns that this spending is aimed at weakening oversight and consumer protections.
Source: bbc.com
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Blockchain
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Blockchain
This Week in Finance News: 11 Stories You Need to See
With thousands of press releases published each week, it can be difficult to keep up with everything on PR Newswire. To help finance journalists and consumers stay on top of the week’s most newsworthy and popular releases, here’s a recap of some major stories from the week that shouldn’t be missed.
The list below includes the headline (with a link to the full text) and an excerpt from each story. Click on the press release headlines to access accompanying multimedia assets that are available for download.
- Prosperity or catastrophe: #Insurance2040 study reveals four possible futures for the industry
By 2040, technological innovation driven by customer centricity could pave the way to greater climate resilience and more personalized offerings by the insurance industry. Alternatively, insurance could become a luxury afforded only to the wealthiest few. - Cardinal Health announces two strategic additions to its portfolio
Cardinal Health will acquire a majority stake in GI Alliance (GIA), the country’s leading gastroenterology (GI) management services organization (MSO), from a combination of GIA physician owners and funds managed by affiliates of Apollo. Cardinal Health will also acquire the Advanced Diabetes Supply Group (ADSG), one of the country’s leading diabetic medical supplies providers, for approximately $1.1 billion in cash. - BlackRock Launches New BUIDL Share Classes Across Multiple Blockchains to Expand Access and Potential of BUIDL Ecosystem
This initiative represents the next step in the evolution of the tokenization market, by enabling BUIDL to be used within leading blockchain-based financial products and infrastructure across ecosystems. - Primo Brands Corporation Announces Successful Completion of Merger of Primo Water and BlueTriton Brands
“I believe Primo Brands is positioned to be a leader in the healthy hydration beverage category, thanks to the strength of its iconic, sustainably-sourced brands, its robust operations and extensive North American network, and its responsible operation of numerous springs across the country,” said Dean Metropoulos, Non-Executive Chairman of the Board of Directors of Primo Brands. - Jackson Hewitt Tax Services Expands Workforce, Offering Job Opportunities Nationwide for Upcoming Tax Filing Season
The week-long event will launch the combined hiring of 18,000 employees to prepare for the upcoming tax filing season. The Jackson Hewitt hiring events are open to the public and include on-site interviews. Qualified candidates could receive a job offer immediately. - PNC Bank to Double Planned Branch Openings to More Than 200 Across Six States This announcement brings the bank’s total investment to approximately $1.5 billion to open more than 200 new branch locations in 12 cities across the U.S. over the next five years, while completing the renovations of 1,400 existing branches during the same time period.
- Alchemy Pay Expands Virtual Card Functionality with Google Pay Support The new card BINs added will significantly enhance the capabilities of crypto cards, expanding their support for a broader range of payment scenarios and improving transaction success rates. This advancement is particularly impactful when paired with Google Pay, one of the most popular and widely used digital payment platforms, trusted by millions for its convenience and security.
- Finaya Unveils Nationwide Homeownership Platform
From providing rich and current information about home values and property conditions, to finding helpful repair and remodeling providers, to shopping for and securing the right insurance, the platform simplifies the homeownership process, making it more accessible, convenient and efficient. - GenAI predicted to inspire revenue growth in 76% of businesses, but only 4% qualify as “leaders” in AI and analytics
Kearney’s report confirms that businesses are not only aware of how big data, AI, and analytics will impact revenue generation and enhance business strategies, but they are investing to stay ahead of the curve, too. - GameAbove Sports Acquires Meaningful Ownership Stake in Brisbane Bullets with NBA Legend George Gervin as Part of Ownership Team
This move marks a significant milestone for GameAbove Sports, a CapStone Holdings Inc. company, as it expands its influence on international basketball ahead of the Brisbane 2032 Olympics. - Most US shoppers are encountering generative AI while shopping without realizing it
A survey of 700 online shoppers in the US shows 71% are unaware of having used generative AI while shopping online even though most had recently shopped at retailers currently using it. 41% of customers say they would feel comfortable using a generative AI tool from a brand they trust.
For more news like this, check out all of the latest finance-related releases from PR Newswire.
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