Crypto ETP volumes fell in September as investors sought safer options

According to a recent report by CryptoCompare, a digital asset data resource, aggregate trading volumes exchange traded products (ETP) have plummeted drastically in the month of September.  Aggregate ETP Volume ($millions) Source: CryptoCompare Overall daily cryptorrency ETP volumes plunged by roughly 74%, dropping from $186.5 million exchanged in mid-August to an average of $48 million in mid-September.  Grayscale volumes take a hit Grayscale’s Bitcoin Trust product represents the overwhelming amount of trading activity in cryptocurrency ETPs, and has therefore taken the biggest hit when it comes to trading volumes.  Grayscale’s…

Transformations in crypto exchanges and traditional institutions, Sept. 18-25

Every Friday, Law Decoded delivers analysis on the week’s critical stories in the realms of policy, regulation and law. Editor’s note The final scene of Animal Farm, Orwell’s classic fable of revolution gone wrong and a staple of secondary-school reading lists throughout the English-speaking world, features a card game. The pigs who run the farm with an iron hoof host the humans who have gone from enemies of the revolution to drinking buddies of the revolution’s leaders. The book ends with accusations of cheating and a metamorphosis realized. The pigs…

‘DeFi was vaporware from its onset’ says known crypto bear Roubini

Known for his previous comments criticizing the crypto industry, economist Nouriel Roubini recently posted fresh negativity against the digital asset sector. “DeFi was vaporware from its onset,” he said in a Sept. 24 tweet. “Now totally faltering as blockchain was always the most over-hyped technology in human history.” A slang term, Vaporware essentially refers to a highly touted product, service, etc. that holds no actual value or technology behind it.  Roubini’s tweet came in response to a post from crypto and blockchain industry author David Gerard. “DeFi is out of fashion,…

You Can Now Send Crypto on Twitter and Facebook Via Mask Network

Key Takeaways Mask Network will facilitate crypto transactions on Twitter and Facebook through a third-party plugin. Users can send crypto, swap tokens, and borrow funds. Ethereum creator Vitalik Buterin has endorsed the application. Share this article Mask Network has launched a crypto trading widget for social media users, as presented in a blog post from the project. Mask Network Integrates Facebook and Twitter With Mask Network’s plugin, crypto users can send payments, exchange cryptocurrency, borrow, follow other traders, buy from token sales, bet in prediction markets, and make use of…

Why centralized exchanges will lead crypto to the future

Decentralized exchanges are undoubtedly an exciting development in crypto. DEXs facilitate the trading of cryptocurrencies directly between users, without the need for a trusted intermediary. This, in turn, allows users to keep custody of their funds. However, while DEXs have their advantages, they still lack in terms of regulations and scalability, which are key considerations that could determine the future trajectory of the crypto industry. Centralized exchanges will continue to play a pivotal role in this ecosystem, providing the depth of liquidity needed to grow the wider crypto community. The…

Blockchain industry raises concern over EC’s proposed crypto regulations

Major players in the global cryptocurrency community have addressed the European Commission’s new legislative proposals on digital assets. The International Association for Trusted Blockchain Applications, or INATBA, has released an initial response to the Markets in Crypto-Assets (MiCA) regulations proposed by the EC. The association features major crypto companies like Ripple, ConsenSys, and Iota. In its official response to the EC, the INATBA members expressed the industry’s concerns over the proposed MiCA regulations, calling the authority to bring their forces together in further development of the regulatory framework. While the…

Gambling gangs use crypto to transfer funds abroad

Illegal gambling and casinos result in the outflow of over a trillion yuan annually (around $146.5 billion) from China, said Liao Jinrong, the director general of the International Cooperation Department under the Chinese Ministry of Public Security.  He said that the operators of the overseas gambling platforms and casinos collect the funds from gamblers using digital currencies, making the investigation into these activities more challenging for the authorities. Speaking at an event in Beijing, Liao said that the illegal outflow of such a huge amount can erode the economic security…

Major Indian exchange proposes new regulatory framework to avoid crypto ban

Major Indian cryptocurrency exchange BuyUCoin has developed a framework to regulate cryptocurrency in India that it claims has the support of “all the Indian cryptocurrency stakeholders”.  However, it is not clear yet which stakeholders helped develop the framework, or ‘sandbox’, which will be officially released on October 2. BuyUCoin, which has more than 350,000 users and handles billion-dollar transactions, described the framework as a draft set of community driven rules, propositions and implementation methods. The framework will be presented to the Indian Government. It comes after the Indian Supreme Court…

Congress sees two new bills looking to chart CFTC and SEC regulatory turf in crypto

Two major crypto bills were introduced in the U.S. House of Representatives on Thursday. One aims to establish which cryptocurrencies are securities. The other looks to put regulation of exchanges in the hands of the country’s commodities regulator. The securities bill The Securities Clarity Act, from the office of Representative Tom Emmer (R-MN) establishes a new distinction in securities law between an investment contract and the “an asset sold pursuant to an investment 22 contract, whether tangible or intangible (including an 23 asset in digital form).” The new bill is basically…

European Commission adopts digital finance package for crypto and blockchain

The European Commission is moving to provide more legal clarity and certainty for the cryptocurrency industry in its member states. On Sept. 24, the EC officially adopted a new digital finance package including digital finance and retail payments strategies, as well as legislative proposals on crypto assets.  The EC said that the new package represents the first time that the authority proposed new legislation on crypto assets. As part of the new legislative proposals, the EC pays special attention to stablecoins — a type of cryptocurrency that pegs value to…