The Crypto ISAC (Information Sharing and Analysis Center) launches on Wednesday as a 501(c)(6) not-for-profit association dedicated to bolstering security within the cryptocurrency ecosystem. Its founding members include Aleo, Circle, Coinbase, Consensys, Evertas, Fireblocks, Hedera, Kraken, Offchain Labs, Red Balloon Security, Ribbit Capital, Solana Foundation, and Trail of Bits. Its mission is to foster collaboration […]
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Foundry to Isolate and Monetize Bitcoin Halving’s ‘Epic Satoshi,’ Distributing Earnings Among Pool Members
Foundry, a digital assets mining and staking company, has announced that it plans to monetize what it has called the “epic satoshi,” the first satoshi of the halving block, via Ordinals. If the company mines it through its mining pool, it plans to distribute the proceeds to its members based on the hashrate on the […]
Bitcoin News
House Financial Services Committee Members Demand More Time to Debate New Digital Payment Proposal
Leading members of the U.S. House Financial Services Committee, Chairman Patrick McHenry, Subcommittee Chairman French Hill, and Representative Mike Flood, have requested an extension of the public comment period for the CFPB’s proposed rule on digital consumer payment applications. This request centers on the committee’s concerns over the rule’s potential impact on the digital asset industry and its demand for a more comprehensive stakeholder review.
US Lawmakers Challenge CFPB Over Digital Asset Rule, Seek Extended Discussion
Top members of the United States House Financial Services Committee and its Subcommittee on Digital Assets, Financial Technology and Inclusion have requested an extension of the public comment period for a proposed rule by the Consumer Financial Protection Bureau (CFPB). The rule, which aims to redefine the regulatory landscape for digital consumer payment applications, has drawn scrutiny for its potential impact on the digital asset sector.
#NEW: Chairman @PatrickMcHenry, Subcommittee Chairman @RepFrenchHill, and @USRepMikeFlood sent a letter to @CFPB Director Rohit Chopra urging his agency to revisit its larger participants digital consumer payment proposed rule.
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https://t.co/CYczuI681v pic.twitter.com/W2kYVmQEM4
— Financial Services GOP (@FinancialCmte) January 30, 2024
In a letter dated Jan. 30, addressed to CFPB Director Rohit Chopra, Committee Chairman Patrick McHenry, along with Subcommittee Chairman French Hill and Representative Mike Flood, expressed concerns over the proposed rule titled “Defining Larger Participants of a Market for General-Use Digital Consumer Payment Applications.” The lawmakers argued that the rule lacks sufficient justification, provides unclear guidance for third-party service providers, and could have unintended consequences on the digital asset ecosystem.
The letter focused on several key issues. Firstly, the proposed rule was criticized for expanding the Bureau’s regulatory reach into the payments industry without adequate justification or analysis of its impact on competition and consumer welfare. Secondly, the rule’s coverage of third-party service providers remains ambiguous, leading to potential regulatory uncertainty. Lastly, the proposed inclusion of digital assets within the scope of “funds” under the Dodd-Frank Act was seen as a move that could destabilize the digital asset industry by introducing regulatory uncertainty around digital asset transactions.
Given these concerns, the representatives urged the CFPB to reopen the comment period for an additional 60 days. This extension, they argued, would allow for more comprehensive feedback from a broader range of stakeholders before any further action is taken on the rule.
The letter also pointed out the significance of peer-to-peer transactions in the digital asset ecosystem, particularly through “self-hosted wallets.” The lawmakers cautioned that the proposed rule’s broad definition might introduce regulatory risks to digital asset wallet providers, especially those that do not maintain ongoing relationships with consumers.
If the CFPB’s proposed rule goes into effect, how might it impact the crypto industry? Share your thoughts and opinions about this subject in the comments section below.
US House Committee Passes CBDC Anti-Surveillance State Act With Support of 60 Congress Members
The U.S. House Financial Services Committee has passed the CBDC Anti-Surveillance State Act, the first anti-central bank digital currency legislative effort introduced in the United States. Congressman Tom Emmer detailed that the bill halts the efforts of the Biden administration “from issuing a financial surveillance tool that will undermine the American way of life.”
CBDC Anti-Surveillance State Act Advances
U.S. Congressman Tom Emmer (R-MN) announced Wednesday that the House Financial Services Committee has passed the CBDC Anti-Surveillance State Act, which he and 50 other lawmakers reintroduced in Congress last week.
“It’s the first anti-central bank digital currency [CBDC] legislative effort introduced in the United States,” Emmer emphasized, noting that he has been working on the bill for over three years.
“Today, this bill has the support of 60 members of Congress and groups ranging from the Independent Community Bankers Association and American Bankers Association to Club for Growth, Heritage Action, and the Blockchain Association,” the congressman detailed, elaborating:
This bill is simple: It halts the efforts of this Administrative State under President Biden from issuing a financial surveillance tool that will undermine the American way of life.
The CBDC Anti-Surveillance State Act prevents the Federal Reserve from issuing a CBDC directly to individuals, including through intermediaries. This will ensure “the Fed cannot mobilize into a retail bank able to collect personal financial information on Americans,” the lawmaker described. Moreover, “the legislation prohibits the Federal Reserve from using any CBDC to implement monetary policy, ensuring the Federal Reserve cannot use a CBDC as a tool to control the American economy,” he added.
Emmer pointed out that in China, the Communist Party is using a central bank digital currency to track the spending habits of its citizens. Meanwhile, in Canada, “the Trudeau administration froze the bank accounts of individuals involved in the 2022 trucker protests. That might work in Canada, that doesn’t work here,” he said.
The lawmaker warned of growing interest in financial surveillance in the U.S. “The White House issued an Executive Order placing urgency on central bank digital currency research and development, and the agency reports to that executive order have made it clear that the Biden administration is not only itching to create a CBDC, but they are willing to trade Americans’ right to financial privacy for a surveillance-style central bank digital currency,” Emmer cautioned.
“Unlike decentralized cryptocurrencies, a central bank digital currency … is government-controlled programmable money that, if not designed to emulate cash, could give the federal government the ability to surveil and restrict Americans’ transactions,” the lawmaker stressed, warning:
This is not just alarming – it’s downright un-American. We’ve already seen examples of governments weaponizing their financial system against their citizens.
What do you think about Congressman Tom Emmer’s CBDC Anti-Surveillance State Act? Let us know in the comments section below.
US Congress Members Clash on the Potential Effect of Proposed Tax Rules on the Crypto Industry
Members of the U.S. Congress have expressed concerns about the possible problems that implementing the newly proposed crypto tax reporting requirements could create in the entire industry. Patrick McHenry, Cynthia Lummis, and others reacted differently to the potential effects of these proposals on decentralized finance platforms and stablecoins.
U.S. Congress Members Concerned Over New Tax Obligations for Defi Exchanges and Stablecoins
Several U.S. Congress members have expressed concerns over the newly proposed crypto-related tax reporting rule revealed recently by the U.S. Treasury Department and the Internal Revenue Service (IRS) and its possible effect on several elements of the cryptocurrency industry.
In a recent post on social media, Wyoming Senator Cynthia Lummis stated that while she was encouraged by the exclusion of significant parts of the crypto machinery, including miners, stakers, validators, and wallet providers, others were still included in the proposal.
Lummis, who has stressed the crypto industry is being pushed offshore before, declared:
I’m encouraged to see the U.S. Treasury finally issue its rules regarding tax reporting requirements for crypto brokers … however, I have serious concerns about the rule’s potential impact on decentralized crypto asset exchanges & its treatment of U.S. dollar-backed stablecoins.
The recently presented proposal would require cryptocurrency brokers to divulge information about their customers, giving the IRS names, addresses, and gross proceedings related to each customer transaction.
Also, the proposal’s definition of “broker” would require some decentralized finance exchanges to report the same information. This has been criticized by industry actors, who say that it makes compliance difficult.
Lummis encouraged anyone impacted by this rule to submit comments to the Department of the Treasury and the IRS during the public comment period, which will be open for two months.
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Other members of Congress have also criticized the proposal, stating that it could disrupt the activities of the cryptocurrency industry in the U.S.
Patrick McHenry, Chairman of the House Financial Services Committee, said on August 25 that this rulemaking proposal constituted an “ongoing attack on the digital asset ecosystem” from the Biden administration.
McHenry stated:
The Biden Administration must end its effort to kill the digital asset ecosystem in the U.S. and work with Congress to finally deliver clear rules of the road for this industry.
Nonetheless, Senator Elizabeth Warren has supported this proposal, explaining that “a strong rule is essential to prevent wealthy tax cheats from hiding income in digital assets, and one should be implemented by the end of the year.”
What do you think about the reaction of Congress to the crypto tax proposal? Tell us in the comments section below.
PEPE Token Heist: Former Team Members Swipe $15 Million in Tokens, Lead Developer Vows to Rebuild and Decentralize
Approximately 16 trillion PEPE tokens worth million were illicitly transferred to crypto exchanges and sold, according to an announcement from the meme coin’s anonymous lead developer. The theft was allegedly orchestrated by three former team members who accessed the token’s multi-signature wallet before removing themselves from the project. Despite this setback, the lead developer has promised to continue moving the project forward and to fully decentralize it.
Anonymous Pepe Dev Reveals Million in PEPE Tokens Stolen by Ex-Team Members
Three former PEPE team members allegedly took around 16 trillion PEPE tokens worth million from the meme coin’s multi-sig wallet on August 24, 2023. The meme coin tokens were then quickly transferred to cryptocurrency exchanges Okx, Binance, Kucoin, and Bybit and sold, according to a statement from PEPE’s lead developer.
The purported thieves reduced the required signer count for transactions from the wallet to just 2 out of 8 before draining the address of approximately 60% of its holdings. After the funds were obtained, they deleted their social media accounts and disassociated themselves from the PEPE project, the lead dev’s statement claims.
Despite this major setback, PEPE’s lead developer is promising to continue developing the meme coin and says the remaining 10 trillion PEPE tokens in the compromised multi-sig wallet are now secure. The developer plans to transfer those tokens to a new wallet and eventually burn all of them to fully decentralize the meme token project.
“I am shocked at what took place and would like to apologize for all of the fear and uncertainty and any losses the actions of these bad actors have caused members of our community,” the anonymous lead developer wrote in the statement posted on social media on August 25.
The developer said they are in negotiations to purchase PEPE-related web domains and usernames using some of the remaining tokens before burning the rest. “Once all is set and complete, I would like PEPE to be left in a position where it can stand and thrive as strong as ever in a truly decentralized and anti-fragile state,” the PEPE developer wrote.
What do you think about the PEPE meme token project’s current issues? Share your thoughts and opinions about this subject in the comments section below.
‘Nuances Exist’ Among BRICS Members Regarding Bloc’s Expansion, Kremlin Admits
The enlargement of BRICS will be “near the top of the agenda” at the organization’s summit in August, the Kremlin Spokesman Dmitry Peskov told media. While recognizing the importance of the topic, Peskov indicated that participants in the meeting will likely discuss some differences on the matter.
Expansion-Related Issues to Be Determined During BRICS Summit, Putin’s Spokesman Says
With a growing number of nations either applying formally or showing interest in joining the BRICS group of developing economies, Russian President Vladimir Putin’s Press Secretary, Dmitry Peskov, highlighted expansion as a key topic for the talks at the bloc’s top level meeting in Johannesburg later this month.
Expanding BRICS (Brazil, Russia, India, China, and South Africa) is “near the top of the agenda” and will be discussed at the upcoming BRICS summit, although nuances exist regarding expansion prospects, the Russian official told reporters.
“This is a very important topic because we see that increasingly more countries are making statements about their intention to join this group,” Peskov elaborated, quoted by the Tass news agency. However, he also admitted:
Indeed, within the framework of BRICS certain nuances exist among members on the subject of expansion, and all these nuances certainly will be discussed during the upcoming summit.
The spokesman of the Kremlin administration was referring to a recent report by Bloomberg, based on sources familiar with the matter, which revealed that China’s push for a rapid enlargement of the economic bloc is facing opposition from India and Brazil.
Peskov remarked that expansion-related issues will be determined during the BRICS summit, scheduled to take place on Aug. 22–24, as “the heads of state will talk about their position.” Russia’s president will not attend in person but will take part in the forum via video link.
“Overall, such a [high level of] interest in the BRICS group is indicative of the association’s great potential and growing authority, and, most importantly, of the hands-on nature of the group,” the representative of the Russian president emphasized.
At their summit, BRICS leaders are expected to review official applications submitted by candidates to join the organization which seeks to expand its economic and geopolitical influence on the global stage. The large number of potential members has fueled concerns in the West about the alliance becoming a counterweight to the U.S. and the EU.
Do you think the current five BRICS members will reach consensus on the bloc’s expansion? Tell us in the comments section below.
South Africa’s Foreign Minister Hints at Expansion of BRICS Bloc With 3 New Members
In a recent interview published on July 26, South Africa’s foreign minister Naledi Pandor highlighted the BRICS group of economies’ commitment to peace, asserting that these nations do not aim to “weaponize the oceans.” Moreover, leading up to the much-anticipated 15th BRICS Summit in Johannesburg next month, Pandor indicated that an announcement regarding the addition of three new countries to the BRICS nations is probable.
Ahead of 15th BRICS Summit, South Africa’s Pandor Talks Peace and BRICS Expansion
The forthcoming BRICS Summit, occurring from August 22 to 24, 2023, at the Sandton Convention Centre (SCC) in Johannesburg, South Africa, has generated considerable buzz. It is estimated that over 40 countries have either applied or expressed interest in joining the BRICS nations, comprised of Brazil, Russia, India, China, and South Africa.
Although discussions surrounding the BRICS are often linked with de-dollarization and competition with Western nations like the United States, the White House stated this week that it does not wish to restrict partnerships between countries. In an exclusive interview with South Africa’s foreign minister Naledi Pandor, the diplomat underscored that BRICS harbors no intentions of “weaponizing the oceans,” clarifying that talks of peace will be held during the 15th BRICS Summit.
Pandor also noted that a platform aimed at resolving the conflict between Ukraine and Russia would be established. “We’re not standing against anyone; we’re not standing for anybody. We work for the good of the world. We’re not seeking to weaponize the oceans, we’re not seeking to weaponize the forest, and we’re not seeking to weaponize climate change,” stated Pandor to RT. She further added that other African leaders intended to strengthen their ties with Russia.
While it has been reported that the upcoming summit will focus less attention on creating a BRICS reserve currency, expansion of membership appears likely. Ambassador Anil Sooklal, South Africa’s envoy to BRICS, hinted that the group would grow this year. Pandor substantiated these claims in an interview with RT, revealing that three new members will be joining the BRICS bloc, bringing the total to eight participating nations. Though she did not disclose the identities of the new member countries, Pandor praised the expansion as “fantastic” news.
What do you think about the upcoming BRICS Summit and the hints that there will be an expansion? Share your thoughts and opinions about this subject in the comments section below.
BRICS, Eurasian Economic Union, SCO Members Plan to Discuss Forming an Extensive Alliance
In four days, representatives from the BRICS nations and the Eurasian Economic Union free trade group are set to convene to explore the possibility of integration with the Shanghai Cooperation Organization (SCO), as revealed by a recent russia-briefing.com report. The report emphasizes the formation of a vast Eurasian regional alliance that excludes Western involvement, with the aim of fostering greater collaboration and “reformatting the global economic architecture.”
BRICS, EAEU, SCO to Discuss Moving Beyond Western Boundaries
Russia Briefing, in its May 17, 2023 publication, unveiled an interesting development involving the convergence of several prominent nations. The leaders of the BRICS nations — Brazil, Russia, India, China, and South Africa — are scheduled to convene with policymakers hailing from the Eurasian Economic Union free trade group (EAEU). Notably, the EAEU comprises Russia, Armenia, Belarus, Kazakhstan, and Kyrgyzstan. The primary objective of this gathering is to deliberate upon the prospects of integration with the Shanghai Cooperation Organization (SCO).
Set to unfold on May 24-25, the city of Moscow will play host to the second annual Eurasian Economic Forum, serving as the backdrop for these deliberations. The Russia Briefing author claims the emergence of a “massive Eurasian regional bloc is being created without Western input.” Shedding light on the upcoming gathering, Mikhail Myasnikovich, the chairman of the board of the Eurasian Economic Commission, explained the upcoming meeting’s purpose, as quoted by the publication.
“The expansion of mutually beneficial cooperation between integration formats not only contributes to the growth of national economies, but can also have a significant impact on the formation of new approaches to the functioning of the global market,” Myasnikovich stated. “The space of Greater Eurasia has unique trade, economic, transport and logistics advantages, while the human potential and resources of the BRICS countries can multiply the effect of this cooperation.”
The EAEU chairman added:
I am sure that during the discussion, the experts will be able to find practical application for the combined capabilities of the EAEU, SCO and BRICS states and propose specific ways to develop interaction between interstate associations, primarily for the benefit of the citizens of these countries.
Zelensky Visits Riyadh, Saudi Foreign Minister Insists Arab Nations Will Remain Impartial to Ukraine-Russia Conflict
Amidst a wave of keen interest stemming from numerous nations aspiring to join the BRICS bloc, the latest developments have caused continued intrigue. Reports indicate that 13 countries have formally expressed their desire to be part of the BRICS alliance, while an additional six nations have demonstrated an informal interest. Among the hopeful candidates stands Saudi Arabia, whose intentions became apparent last year. In April 2023, the Saudi Arabian Cabinet also sanctioned its decision to pursue membership in the SCO bloc.
Notably, Ukrainian president Vladimir Zelensky embarked on a recent visit to Riyadh, seeking the kingdom’s support in the face of the Russian conflict. However, Saudi foreign minister prince Faisal bin Farhan clarified that Riyadh, alongside several other Arab nations, shall maintain a stance of impartiality in this ongoing dispute.
“Since the beginning of the crisis, the Arab countries have taken a position of positive neutrality, opening dialogue with the Russian and Ukrainian parties, while ensuring Arab relations with the two sides,” Farhan conveyed in an official statement.
Are we witnessing the rise of a new global economic landscape? Share your thoughts and opinions about this subject in the comments section below.
Reverse Engineering the Future: Bitcoin.com Team Members Weigh In on ETHGlobal Tokyo Hackathon
The ETHGlobal Tokyo hackathon drew to a close on Sunday, as builders from around the world competed for 5,000 in prizes. The event was kicked off with the first-ever ETHGlobal “Pragma” summit, sponsored by Verse, among others. Engineers and representatives from Bitcoin.com also took part in the summit and hackathon, and shared their thoughts on the event and its significance for crypto and economic freedom right now, and in the near future.
A Pragmatic Start: From Summit to Hackathon
The first-ever “Pragma” summit took place on April 13 in Tokyo, Japan, as the kick-off to the wider ETHGlobal Tokyo hackathon, sponsored in part by Verse. Speakers such as Aya Miyaguchi from the Ethereum Foundation and author Balaji Srinivasan spoke at the event. The hackathon ended Sunday and saw participation from Bitcoin.com’s engineers and representatives.
Director of engineering at Bitcoin.com, Andrei Terentiev, who oversees the company’s 30+ strong engineering team, noted he was “super excited for the ETH global hackathon, especially since Japan has been closed down to outside visitors for the past three years or so, it’s a great chance to meet more of the global cryptocurrency community and share new ideas that will push forward the cryptocurrency ecosystem as a whole.” Terentiev continued:
Overall I think most participants in the event are all striving towards the same mission of cryptocurrency which is to create more economic freedom for the world. So being able to meet up in person helps spread those ideas and flourish across the world.
Data engineer at Bitcoin.com, Bolun Zhang, said of the event: “Being a tech guy, I’m always interested in keeping up with the latest trends in the industry and exploring cool projects being undertaken by my peers.”
5,000 in prizes were available from myriad industry players and platforms like 1inch Network, Gnosis Chain, Metamask, and more.
Web3, Reverse Lotteries, and Prediction Markets
“At the event, we’ll be building what we’re calling a decentralized lottery,” growth marketing specialist at Bitcoin.com Alun Stern told Bitcoin.com News just prior to the hackathon. The first part of the application is “kind of like a reverse lottery … in a traditional lottery, one person wins, and everyone else loses. In this system, everyone will win, and one person will lose. The loser’s funds will get distributed across the winning participants.”
Stern explained that the team would be designing the lottery in such a way that the loser would get a rare NFT. The second part of the app works similarly to prediction markets, he said, noting:
Somebody will be able to propose an event, they will assign an arbiter, and they will assign multiple choice options … The interesting thing about this is not only are these prediction markets used for people to bet on future outcomes — they can also be used to influence the future and basically change the future.
Stern explained that someone willing to pay enough money could bet that an influencer on social media would not promote a project, incentivizing said influencer to do just that.
Ahead of the event, a software engineer on the web team at Bitcoin.com, Julie, emphasized that the hackathon would provide many benefits, including getting people more familiar with the burgeoning world of Web3. She commented:
[The hackathon] will give us an opportunity to share ideas and work with different people on interesting new products that can help users to onboard into the crypto world, as well as help developers hone their skills and dive into Web3 if they didn’t have any experience with it before. It will be great to see what everyone comes up with!
The Bitcoin.com team wrapped up the event with an implementation prize from Scroll, a “zkEVM-based zkRollup on Ethereum that enables native compatibility for existing Ethereum applications and tools.”
What are your thoughts on the ETHGlobal Tokyo hackathon? Have you ever participated in a hackathon before? Be sure to let us know in the comments section below.