Former FTX CEO Sam Bankman-Fried was found guilty on all seven charges brought against him, including wire fraud, securities fraud, and money laundering, in one of the largest financial fraud cases in history. A Manhattan federal court jury convicted him in just five hours on charges that he stole $8 billion from the exchange’s users. SBF now awaits sentencing and faces up to 110 years in prison.
In other news, digital asset investment products, like Bitcoin futures ETFs, have seen the largest weekly inflows since July 2022. The funds brought in $326 million as expectations rose that the US Securities and Exchange Commission is poised to approve a spot Bitcoin exchange-traded fund. The largest inflows this week came from Canada, Germany, and Switzerland, with the US accounting for 12% of those inflows.
Additionally, the US Securities and Exchange Commission has issued a subpoena to PayPal regarding its dollar-pegged stablecoin, PYUSD. PayPal launched the stablecoin in August and it is fully backed by US dollar deposits, short-term Treasuries, and similar cash equivalents. The coin currently has a market capitalization of around $150 million.
Elon Musk also revealed his plans to transform his social media platform, X, into a comprehensive financial hub. Musk aims to introduce new financial services next year, envisioning a platform that encompasses every aspect of users’ financial lives, including money and securities. Musk didn’t specify the involvement of blockchain but said that with X, you won’t need a bank account.
Furthermore, Argentina is considering merging bitcoin and energy management aligning with an emerging global trend. Sergio Massa, an Argentine presidential candidate, proposes utilizing the abundant natural gas in Vaca Muerta to fuel bitcoin mining machines. The plan seeks to repurpose excess gas, currently wasted, into electricity to power bitcoin mining operations.
Ark Invest head Cathie Wood believes deflation could be a bigger threat than inflation but that Bitcoin can serve as a hedge against both. Wood firmly chooses Bitcoin as her preferred asset for the next 10 years, stating that younger generations would prefer to hold Bitcoin over gold.
Global investment manager VanEck predicts a potential 10,600% price increase for Solana’s native SOL token by 2030. The report explores various price scenarios, from a conservative $9 to a bold $3,200, implying the possibility of Solana accommodating applications with over 100 million users in the next few years.
That’s the latest in the world of cryptocurrency this week. Stay tuned for more updates next week.
