US Crypto Enthusiasts Should Vote for Andrew Yang in 2020, and Here’s Why

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US Crypto Enthusiasts Should Vote for Andrew Yang in 2020, and Here’s Why
Andrew Yang, a United States Democratic presidential candidate for the 2020 elections, advocates for clearer crypto regulation and Bitcoin adoption.
US Crypto Enthusiasts Should Vote for Andrew Yang in 2020, and Here’s Why

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Source: CoinSpeaker

Facebook CEO Mark Zuckerberg Faces Shareholders’ Backlash, Asked to Step Down

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Facebook CEO Mark Zuckerberg Faces Shareholders’ Backlash, Asked to Step Down
Facebook’s shareholders have accused Zuckerberg of resolving to dictatorial tactics and leveraging an excessive control on the company’s governance.
Facebook CEO Mark Zuckerberg Faces Shareholders’ Backlash, Asked to Step Down

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Source: CoinSpeaker

Uber’s IPO Filing Discloses $1.8B Loss, Raising Worries

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Uber’s IPO Filing Discloses $1.8B Loss, Raising Worries
Uber out-paced its rising competitor Lyft by more than $9 billion in revenue and at least 60 million users. That all could be seen from Uber’s S-1, the company has filed its IPO paperwork with the Securities and Exchange Commission on Thursday.
Uber’s IPO Filing Discloses $1.8B Loss, Raising Worries

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Source: CoinSpeaker

Blockstack Set to Raise $50M Via World’s First SEC-Approved Crypto Token Sale

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Blockstack Set to Raise $50M Via World’s First SEC-Approved Crypto Token Sale
Blockstack is likely to set a new precedence in the ICO Industry to be the first company to conduct its token sale under the SEC Regulation A+ framework.
Blockstack Set to Raise $50M Via World’s First SEC-Approved Crypto Token Sale

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Token Taxonomy Act makes comeback; proposes removal of cryptocurrencies from umbrella of securities

Cryptocurrencies being characterized as securities may soon fade away, courtesy of the reintroduction of the Token Taxonomy Act in the United States House of Representatives. Proponents of the decentralized currency realm have long contested decentralized currencies being labeled with the securities tag.
Proposed by Representative Warren Davidson (R), the Token Taxonomy Act will amend the infamous Securities Act of 1933 and the Securities Act of 1934, thereby removing cryptocurrencies from under the umbrella of securities. The act was also attested by Darren Soto (D), Josh Gottheimer (D), Ted Budd (R), and Presidential candidate, Tulsi Gabbard (D), who is a known crypto-investor.
The importance of the act was spelled out by Davidson, who stated that sans the act, the United States would cede the digital economy to emerging markets of the east. He stated,
“Without it, the U.S. is surrendering its innovative origins and ownership of the digital economy to Europe and Asia. Passing this legislation, Congress would send a powerful message to innovators and investors around the world that the U.S. is the best destination for blockchain technology.”
In December 2018, during the close of the legislative season, the Token Taxonomy Act was first introduced. However, it didn’t make much headway then. The recent version will clarify the powers of regulatory bodies like the Commodity Futures Trading Commission [CFTC] and the Federal Trade Commission [FTC].
However, all is not bright. The Act also looks to supersede pre-existing state laws regarding the domestic cryptocurrency industry within its borders. In legal terms, the Token Taxonomy Act will add to the National Securities Markets Improvement Act, which will increase the federal government’s power over the decentralized currency field.
This will be an unprecedented withdrawal of state power in light of the center’s overreach, many legal and crypto-analysts commented. States would cede digital assets regulation to the Federal government, in what will be a blow to not just decentralized currency, but also decentralized governance.
Several analysts have pointed out the semantic confusion that will exist when legislation for a “digital token,” or a “virtual currency” will take place. This will lead to a legal vacuum, leading to the emergence of more problems.
On the bright side, the act will allow the token seller to undercut regulatory supervision, if they can justifiably prove that they weren’t selling securities.
The post Token Taxonomy Act makes comeback; proposes removal of cryptocurrencies from umbrella of securities appeared first on AMBCrypto.
Source: AMB Crypto

Top Trending Crypto News of the Week: SEC, Binance and CoinSquare Among Major Newsmakers

Key highlights:

SEC releases framework for digital assets
Turnkey Jet receives first “no action” letter from SEC for its ICO
Google searches for Bitcoin hit the highest point since November 2018
Coinsquare to Launched stablecoin pegged to Canadian Dollar
Binance to set shop in Singapore this week

SEC releases framework for digital assets
Finally, SEC has broken its silence of cryptocurrencies as it released the framework or “Investment Contract” Analysis of Digital Assets, but not many crypto enthusiasts have been happy with it. The document which was expected to provide legally-binding guidance actually tuned out to be only a framework that “represents Staff views and is not a rule, regulation, or statement of the Commission.” The document further effectively walks through the different pieces of the Howey Test and describes how they may apply to cryptocurrencies and initial coin offerings (ICOs).
Turnkey Jet receives first “no action” letter from SEC for its ICO
Turnkey Jet scripts its name in history as it becomes the first to receive a “no action” letter from SEC for its ICO. In the second important news of this week, SEC released a 13-page letter outlining the several points of the business including the token sale details, need for blockchain, and internal analysis of the Howey Test. The letter concluded that they would take no action as long as the company met certain required criteria.
Google searches for Bitcoin hit the highest point since November 2018
Finally, everything seems to have woken up again with the rise of bitcoin. Google Trend data reveals the spike in searches was single-handedly achieved on April 2 when the price of the cryptocurrency surged nearly 20 percent in a single hour to clock $4,961, its highest price since Nov. 19. While Google Trends does not provide the exact number of searches, it is apparent the amount of worldwide “bitcoin” searches reached 90 percent of what it was on Nov. 20
Coinsquare to Launched stablecoin pegged to Canadian Dollar
Stablecoin mania doesn’t seem to be subsiding as now we may soon see a stablecoin pegged to the Canadian dollar. Coinsquare the Canadian crypto exchange has announced that it is launching a stablecoin pegged 1:1 to the Canadian dollar (CAD). The exchange plans potential roles for its new “eCAD” token in cross-border payments and remittance, peer-to-peer lending, merchant payment solutions, as well as trade settlements and forex conversions.
Binance to set shop in Singapore this week
Binance is the progressing to a newer territory and this time in Singapore. This week Binance CEO Changpeng “CZ” Zhao, at the Deconomy event in Seoul, South Korea announced that the exchange is moving to Singapore in April. He also mentioned that It will be the exchanges next Fiat to Crypto exchange servicing $SGD [Singapore dollar].”
The post Top Trending Crypto News of the Week: SEC, Binance and CoinSquare Among Major Newsmakers appeared first on Coingape.
Source: CoinGape

SEC’s framework could be used by court in the future, says Blockchain’s Marco Santori

Marco Santori, President and Chief Legal Officer of Blockchain, spoke about the impact SEC’s framework would have on security tokens, during an interview with Laura Shin for Unchained Podcast. He also spoke about the guidance on airdrops being classified as a security.
Santori stated that the framework was not precedent, clarifying that it was not “set law.” He explained that if a person loses money in an ICO and wanted to sue the ICO seller, and if that ICO seller subsequently tried to get the case dismissed, then the person would not be able to cite this in their framework.
“This would not be sufficient or at least it shouldn’t be as they teach you in law school, you would want to say actual cases that have precedential value. This does not have precedential value, but its clear reasoning. And in the absence of precedent and there is very little precedent in the crypto space, you will see courts use this as a short-cut.”
This was followed by the President stating that there will be more definite clarity in the future from court decisions, as the SEC does not get to decide what is a security. The court does, he emphasized.
Further, Santori spoke about the SEC’s guidance on airdrops, where they stated that an airdrop can be classified as a distribution of securities. To this, the Chief Legal Officer completely agreed with the SEC’s stance, adding that these were one of the few things the SEC was clear on.
[…] but, there has be a security that’s being offered separately. You have to satisfy an Howey Test independently of it being an offering of securities. In other words, in order for you to make an offering, there has to be a security underneath it. You can’t use the airdrop as an investment to satisfy the prong of an investment of money, but you can use it to satisfy the prong of whether issuer got value from it […]”
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Source: AMB Crypto

SEC provided very little new information in the framework, says Chief Legal Officer of Blockchain

Marco Santori, the President and Chief Legal Officer of Blockchain, spoke about the recent framework released by the United States Securities and Exchange Commission [SEC] during an interview with Laura Shin for Unchained Podcast.
The interview began with Shin asking Santori about the things that have become clear with the release of the guidelines. Santori stated that the commission filled in some gaps and reconfirmed some of their “thinking that [they’ve] heard in the past”. However, he stated that the regulatory body gave out very little new information in the framework.
He said,
“[…] But, it does not mean that we didn’t learn anything. In fact, I think we did learn quite a bit. In terms of the no-action letter, probably not all that useful for most crypto entrepreneurs.”
This was followed by Santori stating that in terms of guidance, the commission only summarised their previous stance on the Howey Test. He added that it also mentioned a little bit about the Director of Division of Corporation Finance William Hinman’s brief speech on the test, and some of the factors that made a token similar to a security and less likely to be a security. Santori went on to state,
“[…] So, SEC finally put much of that in writing, adding some, removing some of the bits, but they did a little more than that. They also gave fact pattern at the very end; so, look here’s one fact pattern that we know at least for sure that within this sort of circumscribed set of facts, this thing would not be a security in our minds.”
The Chief Legal Officer further stated that the SEC mainly stressed on Director Himan’s speech, where he stated that the status of a token could be shifted from being a security to a non-security. However, the commission failed to explain the circumstances that make a token a non-security. He said,
“They reconfirmed that [shit from security to non-security] here and they gave a few different facts […] in favor of security status and against security status. So those are the little bit of meats on the bones there.”
The post SEC provided very little new information in the framework, says Chief Legal Officer of Blockchain appeared first on AMBCrypto.
Source: AMB Crypto

Tesla (TSLA) Stock Sinks by 10,7% as Car Deliveries Drop

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Tesla (TSLA) Stock Sinks by 10,7% as Car Deliveries Drop
About 63,000 Tesla vehicles were delivered to customers in the first three months of 2019 – a 31% drop compared to the prior quarter. Tesla (TSLA) stock sinks sharply.
Tesla (TSLA) Stock Sinks by 10,7% as Car Deliveries Drop

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SEC guidance will never really matter to Monero [XMR], says Riccardo Spagni

Earlier today, Riccardo Spagni aka FluffyPony, the lead maintainer of Monero, spoke about the SEC’s guidance on tokens being classified as securities, in an interview with Monero Talk. Spagni particularly spoke about whether Monero can be classified as a security.
The SEC released a framework on analyzing whether a token can be classified as security or not. The framework explained the Howey Test, stating that it can be applied to anything, even if the asset did not have signs of being an investment contract. The Howey Test determines whether a contract or an asset is a security or not based on three main factors. The first factor taken into consideration is investment of money; the second is expectation of profit; and the third is common enterprise.
With respect to this, the host stated that the commission implied that the asset had to “be a true open source decentralized protocol,” adding that Bitcoin would fall under this category. He then asked Spagni whether it was the same with Monero, considering the fact that the project had no leader or control.
To this, Spagni stated that the “SEC guidance will never really matter to Monero,” as it did not have a pre-sale. He further stated that Monero’s launch was similar to that of Bitcoin, adding that this fact was “very important.” He also spoke about another aspect Monero shared with Bitcoin, the miners being the ones responsible for its emission since the beginning. He said,
[…] Monero can’t possibly be a security because a security requires a central issuer to have issued at some of the tokens or whatever upfront and sell them to people […]
Spagni added that there was, in fact, no way to buy Monero before the Genesis block, clarifying that after the first block was mined, Monero followed the “mathematically-bound emission curve.”
[…] there was no way to buy Monero before the Genesis block and from the Genesis block, it followed the mathematically-bound emission curve and there was no possible way for anyone to do, sort of, premine anything that could be sold to investors.  So that makes things massively different […]”
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Source: AMB Crypto

SEC Takes a Historic Step as it Clears its Stance on Token Offering

2018 was all buzz about US SEC and its considerations of blockchain and cryptocurrencies, but nothing actually materialized nor there was any clarity on what the regulator looking at. But finally, the air has been cleared as SEC has released a Statement on “Framework for ‘Investment Contract’ Analysis of Digital Assets”
SEC explains how Howey test should apply to digital assets
Finally, the US regulator for securities and exchanges, the SEC, has issued its first ever letter that provides an insight to companies that are considering token offering for raising capital or thinking of an ICO.
The first of its kind “No-Action Letter,” was received by the company called TurnKey Jets(TKJ), which is a startup that offers an all-inclusive private jet service including the plane crew, and pilot. Interestingly, the company’s website has no mention of a crypto-token, which appears to play a role in the actual reservation of the services. The no-action letter includes six key points as specifically relates to TurnKey Jets giving the world the points which is considered to reach this decision. To quote from the letter

TKJ will not use any funds from Token sales to develop the TKJ Platform, Network, or App, and each of these will be fully developed and operational at the time any Tokens are sold;
The Tokens will be immediately usable for their intended functionality (purchasing air charter services) at the time they are sold;
TKJ will restrict transfers of Tokens to TKJ Wallets only, and not to wallets external to the Platform;
TKJ will sell Tokens at a price of one USD per Token throughout the life of the Program, and each Token will represent a TKJ obligation to supply air charter services at a value of one USD per Token;
If TKJ offers to repurchase Tokens, it will only do so at a discount to the face value of the Tokens (one USD per Token) that the holder seeks to resell to TKJ unless a court within the United States orders TKJ to liquidate the Tokens; and
The Token is marketed in a manner that emphasizes the functionality of the Token, and not the potential for the increase in the market value of the Token.

Along with the no-action letter, SEC has also released a document called “Framework for “Investment Contract” Analysis of Digital Assets,” where it lays out a detailed explanation of how the existing Howey Test used to determine what is security is being applied to digital assets issued on a blockchain. The vast majority of the document details how the SEC views what is considered a reasonable expectation that profits will be derived from the efforts of others, a crucial factor of the test.
Also Read: Over 40 Central Banks Are Considering Blockchain Currencies: Davos Report
The most interesting section begins on page nine, with 12 characteristics that if present, mean the token offering is less likely to pass the Howey test. The first two are crucial.
“The distributed ledger network and digital asset are fully developed and operational,” and  “holders of the digital asset are immediately able to use it for its intended functionality on the network, particularly where there are built-in incentives to encourage such use.”
While there are still some gaps to be filled, the efforts of the SEC were well appreciated by the community. According to Jake Chervinsky, the lawyer who has been keeping an eye on legal and regulatory movement around cryptocurrencies tweeted saying
“The SEC published its DLT Framework today, giving us an in-depth look into how they think the Howey test should apply to digital assets. It isn’t perfect, but it is a *huge* upgrade from the DAO Report. I’ll throw some shade at the SEC later today, but for now, I give them 👍👍.”
The community has given its thumbs up to SEC which has finally broken its silence. There is a sense of optimism already that SEC may now move a bit quicker with decision-related to cryptocurrencies.
What is your view on SEC’s Framework for “Investment Contract” Analysis of Digital Assets? Do let us know your views on the same.
The post SEC Takes a Historic Step as it Clears its Stance on Token Offering appeared first on Coingape.
Source: CoinGape

Andreessen Horowitz May Soon Put $1 Billion into Crypto

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Andreessen Horowitz May Soon Put $1 Billion into Crypto
Andreessen Horowitz will soon cease to be a venture capital firm, veering away from the majority of its Sand Hill Road neighbors in Silicon Valley to instead become a registered investment advisor, or RIA.
Andreessen Horowitz May Soon Put $1 Billion into Crypto

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Source: CoinSpeaker

Elon Musk Unveils His ‘Fav Cryptocurrency’

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Elon Musk Unveils His ‘Fav Cryptocurrency’
Tesla and Space X founder Elon Musk unveiled his favorite cryptocurrency, also being chosen as the best potential CEO of the project behind it.
Elon Musk Unveils His ‘Fav Cryptocurrency’

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Source: CoinSpeaker

U.S. SEC Delays Its Decision on Bitwise and VanEck Bitcoin ETF Application to May

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U.S. SEC Delays Its Decision on Bitwise and VanEck Bitcoin ETF Application to May
The U.S. securities regulator continues to remain firm on its decision of not approving the Bitcoin ETF anytime soon. Next window for ETF decision now in May 2019.
U.S. SEC Delays Its Decision on Bitwise and VanEck Bitcoin ETF Application to May

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Source: CoinSpeaker

Top Trending Crypto News of the Week: The Bitwise Report, Bithumb, and Bitcoin ETF Among Major Newsmakers

Key highlights

The bitwise report concludes 95% of the reported volumes in Bitcoin are fake
Bithumb hacked for millions of EOS and XRP
Coindelta exchange succumbs to Indian Government’s lack of crypto regulations
SEC delays Bitwise’s and NYSE Arca Bitcoin ETF Application
Indian Apex court differs Crypto Case hearing on request of the Government

 

 
The Bitwise report concludes 95% of the reported volumes in Bitcoin are fake
This week a Bitwise report literally shook the crypto industry. The report found that 95% of the trading volume in Bitcoin was fake, ginned up through techniques like “wash trading” where a person buys and sells an asset at the same time. The report analyzed 81 exchanges and concluded that the fake traffic was being generated by 71 of them, in order to lure in lucrative “initial coin offerings” and the associated fees, which can run to millions of (fiat) dollars.
Bithumb hacked for millions of EOS and XRP
The world woke to a Saturday with the news of another hack and this time it was Bithumb. The leading exchange faced its second  hack in less than a year and this time the hackers managed to steal 3 million EOS coins and 20 million XRP. The news broke late on Saturday morning (UST) as the crypto entrepreneur and analyst Dovey Wan relayed reports apparently coming from a security firm who were auditing for Bithumb.
Coindelta exchange succumbs to Indian Government’s lack of crypto regulations
Well, the Indian Policy paralysis towards cryptocurrency has taken another exchange down and this time its CoinDelta. It was reported by the founder using the medium channel that the exchange was shutting down operations on 30 March at 2 pm IST. The exchange’s statement on Medium read “It has been really difficult for us to operate Coindelta exchange for the last 6 months. The curb on the bank accounts by RBI has made us handicapped in order to provide seamless deposit and withdrawal services.”
SEC delays Bitwise’s and NYSE Arca Bitcoin ETF Application
The approval for two Bitcoin ETFs has yet again been delayed by the Securities Exchange Commission (SEC) in the US. On 29th March 2019, SEC released a press release of its letter to the Cboe BZX Exchange, Inc., and NYSE Arca and Bitwise citing the designation of a “Longer Period” of time for the pending decision. The notice read “The Commission finds it appropriate to designate a longer period within which to take such action on the proposed rule so that it has sufficient time… Accordingly, the Commission, pursuant to Section 19(b)(2) of the Act, designates May 16, 2019, as the date by which the Commission either approves or disapproves.”
 
Indian Apex court differs Crypto Case hearing on request of the Government
The final hearing of the crypto case at the Indian apex court has now been delayed to July on request of the government. According to a local analyst, this step has been taken as India’s general election are approaching and the voting due to take place in seven phases between April 11 and May 19. The results will be announced on May 23. As per law During election time in India, ‘aachar sanhita’ or code of conduct applies. Thereby no new law can be passed which means that the government is not expected to officially announce any regulation regarding cryptos or others.
The post Top Trending Crypto News of the Week: The Bitwise Report, Bithumb, and Bitcoin ETF Among Major Newsmakers appeared first on Coingape.
Source: CoinGape