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A U.S. judge has rejected Meta Platforms’ bid to dismiss a lawsuit filed by Australian mining tycoon Andrew Forrest. The lawsuit accuses Meta of negligence for allowing deceptive Facebook ads that used Forrest's likeness to promote fraudulent crypto schemes. U.S. District Judge Casey Pitts ruled that Forrest has the right to pursue legal action against Meta. Forrest claims that over 1,000 fraudulent ads were disseminated on Facebook in Australia between April and November 2023, resulting in significant financial losses for those affected. These ads falsely depicted Forrest endorsing crypto pump-and-dump schemes and used advanced tactics, including deepfake videos and AI-generated content, to bypass Facebook’s ad review systems. Judge Pitts stated that Forrest’s allegations are sufficient to argue that Meta profited from the ads featuring his likeness, which supports claims of misappropriation. “Dr. Forrest claims that Meta profited more from ads that included his likeness than it...

The Director of the Financial Intelligence Unit of India (FIU-India) has determined that Binance operated in India without fulfilling its statutory obligations under the Prevention of Money Laundering Act (PMLA). This decision follows a thorough review of Binance's submissions. As a result, Binance must enhance its compliance protocols in line with the PMLA and its 2005 rules, which are designed to prevent money laundering and terrorist financing. This action against Binance is part of a broader initiative to ensure international crypto exchanges comply with local regulations. Recently, Binance and KuCoin were recognized as the first offshore crypto entities registered with FIU-India, marking a crucial step in meeting India's stringent anti-money laundering requirements. The push for registration intensified after FIU-India issued notices in December 2023 to nine offshore crypto exchanges, including Binance. Concurrently, Apple removed non-compliant platforms from its App Store, and...

Tether, one of the largest companies in the cryptocurrency industry, has officially launched Alloy by Tether, a new asset backed by Tether Gold. According to the official blog post, Alloy by Tether aims to redefine stability in the digital economy by combining the benefits of a stable economic unit with the security and reliability of gold. Alloy by Tether introduces a new category of digital assets known as pegged assets. The first token in the Alloy by Tether series will be aUSD₮, a digital currency designed to track the value of one US dollar. The aUSD₮ token is over-collateralized by Tether Gold (XAU₮), meaning it is backed by real physical gold stored in Switzerland. Users can create aUSD₮ tokens using Tether Gold as collateral, managed by Ethereum-compatible smart contracts on the Ethereum Mainnet. Paolo Ardoino, Tether’s CEO, expressed his excitement about the launch, stating, “We are excited to announce the launch of Alloy by Tether, offering a digital asset class backed by...

The US Supreme Court has decided to review a significant case involving Nvidia Corp.’s disclosure of its crypto mining revenue, a decision that could set a precedent for future shareholder lawsuits. Nvidia is seeking to dismiss an investor lawsuit claiming that the company misled shareholders about its reliance on crypto mining revenue prior to a 2018 market downturn. Shareholders allege that Nvidia's CEO, Jensen Huang, concealed the fact that the company's record revenue growth in 2017 and 2018 was largely driven by crypto mining-related sales of its flagship GeForce GPU product, rather than gaming sales. They argue that this lack of transparency exposed Nvidia to greater risk than what was disclosed, which became evident when the company announced a revenue shortfall in November 2018. This announcement led to a more than 28% decline in Nvidia's stock over two days, which Huang attributed to a "crypto hangover." The investors claim that internal communications would reveal the true...

El Salvador’s President Nayib Bukele has proposed the establishment of a Bank for Private Investment (BPI) to diversify financial services offered in both U.S. dollars and Bitcoin. This initiative, announced by Milena Mayorga, the Salvadoran Ambassador to the United States, aims to attract international investment and enhance the nation’s financial landscape. “As part of our economic plan for El Salvador, we propose a BPI, Bank for Private Investment, where we can diversify the financing options offered to potential investors in Dollars and Bitcoin,” Mayorga stated. The BPI proposal marks a significant step under President Bukele’s second term, following his recent re-election in February. According to El Mundo, the proposed BPI would not be subject to the stringent regulations that traditional banks face, including restrictions on engaging with overseas banks and limitations on loan amounts. The new private investment banks would require a minimum share capital of $50 million and at...

In a move towards self-regulation ahead of anticipated government action, 24 leading cryptocurrency companies in Taiwan have joined forces to establish the Taiwan Virtual Asset Service Provider (VASP) Association. Announced on 13 June, 2024, this association aims to develop industry-wide standards for the country's burgeoning digital asset sector. While Taiwan already requires cryptocurrency service providers to comply with Anti-Money Laundering (AML) laws, as mandated by the Financial Supervisory Commission (FSC) since July 2021, the broader crypto industry remains largely unregulated. However, significant regulatory changes are expected in the coming months. Last month, the Ministry of Justice proposed amendments to existing AML laws, necessitating both domestic and overseas crypto firms to register for AML compliance if they wish to operate in Taiwan. Failure to do so could result in imprisonment for up to two years. Additionally, the FSC plans to unveil a comprehensive framework...

The Swiss Financial Market Supervisory Authority (FINMA) on 13 June, 2024, announced the commencement of bankruptcy proceedings against FlowBank. The decision came after FlowBank was found to lack the minimum capital required for its business operations. FINMA also expressed concerns over potential over-indebtedness. “The bankruptcy proceedings aim to protect depositors. According to current calculations, the privileged deposits can be repaid in full out of the bank’s available funds,” said FINMA. CoinShares, which owns approximately 30% of FlowBank, acquired an additional 20.8% stake in 2022, bringing its total holding to 29.3%, with voting rights equal to 32.06%. The acquisition was valued at CHF 24,740,000 at the time. A spokesperson from CoinShares told CryptoNews, “We don’t plan to comment on FlowBank’s news.” FlowBank, launched in 2020 and founded by Charles-Henri Sabet, announced on its website that it had lost its FINMA license. “Commercial activities of the bank stopped at...

The Open Network (TON) is emerging as a beacon of promise in the blockchain world. Initially built to enhance Telegram, one of the world's most popular messaging apps, TON has evolved significantly. Despite Telegram stepping back due to regulatory issues, an independent community has championed its development and adoption, breathing new life into this layer-1 network. TON is now enabling users to interact with cryptocurrencies seamlessly, often without even realizing it. This innovation is a significant step toward mainstream crypto adoption, making digital assets more accessible and user-friendly. TON’s importance is magnified as it diversifies beyond messaging. Inspired by WeChat, Telegram is transforming into a "super app" offering a wide range of services. Restaurants can now create "mini apps" within Telegram, replacing their websites and providing easy access to services. Developers in various industries benefit from unparalleled flexibility thanks to JavaScript integration....

On June 12, 2024, Terraform Labs, the firm behind the defunct LUNA and TerraUSD, along with co-founder Do Kwon, reached a monumental settlement agreement with the U.S. Securities and Exchange Commission (SEC). This settlement, a culmination of a civil fraud lawsuit, requires the company to pay a staggering $4.47 billion, including a $3.58 billion disgorgement fee and a $420 million civil penalty. The settlement terms include disgorgement of $3.5 billion and pre-judgment interest of $466 million, summing up to $4.47 billion. Additionally, Do Kwon faces a separate settlement fee of $204 million. This deal also restricts Kwon and Terraform Labs from selling or acquiring cryptocurrency assets, particularly those within the Terra ecosystem. The SEC’s case, which dates back to February 2023, accused Terraform Labs and Do Kwon of unregistered securities sales and investor fraud related to their stablecoin project sets a precedent for how future crypto-related disputes might be resolved....

In a recent event, CleanSpark Inc.'s Executive Chairman Matthew Schultz shared insights on Donald Trump's evolving stance on cryptocurrency. Trump, joined by Riot Platforms CEO Jason Les and head of public policy Brian Morgenstern, voiced strong support for the crypto sector. “President Trump will protect your right to own Bitcoin, to mine Bitcoin, to transact with Bitcoin, and for many of us, to work in the Bitcoin industry,” stated Morgenstern, reflecting Trump’s commitment to safeguarding crypto interests. Trump underscored the role of Bitcoin mining in stabilizing the energy grid, aligning this with his vision for energy dominance. “We want all the remaining Bitcoin to be made in the USA. It will help us be energy-dominant,” Trump emphasized, signaling robust support for the sector if he returns to the White House. These developments come amidst growing scrutiny over crypto mining’s environmental impact. The US Energy Information Administration (EIA) had started collecting data...

The leading industry association formerly known as Blockchain Australia has rebranded as the Digital Economic Council of Australia (DECA). This strategic move signals a "transformative leap" towards a more inclusive vision of digital economic activities, extending beyond blockchain technology. With Amy-Rose Goodey stepping in as the new CEO, succeeding Simon Callaghan, DECA aims to reflect the evolving tech landscape. This rebranding marks a "deliberate move" to incorporate sectors such as digital ID, artificial intelligence, and cybersecurity alongside blockchain technology. Goodey, previously COO of Blockchain Australia, emphasized the necessity of this evolution to encompass the expanding digital landscape. DECA’s mission now includes catering to a diverse membership spanning crypto and Web3 companies, governmental bodies, charities, and sectors involved in tokenization, payments, and banking. “We’ve expanded significantly,” Goodey noted, highlighting the inclusion of digital ID,...