Cryptos reel under SEC action 🤕

Hello, and welcome to our weekly newsletter! This newsletter is going to introduce you to the world of investing. And catch you up on all the drama surrounding the US securities regulator’s lawsuits against Binance and Coinbase in the US this week.

Our first stop is a refresher on some of the basics.

Every seasoned investor was once a newbie. So we know how daunting it feels to figure out what to buy and how to use an investing platform. That’s why we’re here to say it’s okay; we were there, too, with Money Moves, our brand new Youtube series on secrets of wealth creation. You can watch it on CoinSwitch Money (or below).

In the first episode of Money Moves, we bring you an interview with Neil Borate, co-author of ‘The Big Bull of Dalal Street: How Rakesh Jhunjhunwala Made His Fortune.’ Neil traces the investment journey of business magnate and billionaire Rakesh Jhunjhunwala. Take notes and look for lessons as you watch!

We’ll curate and bring you more resources from our arsenal week after week as we go along. So keep an eye out for this section if you’re starting out.

The crypto market was under stress last week. And much of the stress was due to the Securities and Exchange Commission (SEC) lawsuits against Binance and Coinbase, two of the world’s largest exchanges crypto exchanges. The SEC sued the exchanges on different grounds. But the lawsuits were also similar in that both platforms were accused of trading certain tokens that the Commission identified as “unregistered securities.”

Interestingly, BTC and ETH were not mentioned in the list of unregistered securities. So the two largest cryptos by market cap have managed to stay close to the $26K and $1.7K levels. On the other hand, crypto assets like ADA, MATIC, SOL, ALG O, and SAND which were mentioned in the SEC filing, lost considerable value, with BNB (-25%) being the worst hit.

On a positive note, Asian crypto hubs Singapore and Hong Kong are drafting policies to support crypto firms. Singapore rolled out licenses to Crypto.com and Circle, while the latter city launched regulated crypto trading for retail users.

A few cryptos were in for some interesting price action this week. To name a few:

• USDT: 0.01% ⏫ $1.00

• BTC: 3.51% 🔽 $25,888

• XRP: 3.97% 🔽 $0.5145

• ETH: 6.74% 🔽 $1746

(All data here is as of 2.15 pm, 12 June 2023.)

If investing, you must know what’s moved up (or down) and why. Here’s some news that should help you with that.

• Reacting to the US SEC lawsuits, users withdrew $4B from Binance.US and Coinbase last week. Read more here.

• The SEC listing SOL, MATIC, DOGE, ADA, and other cryptos as unlisted securities in a recent lawsuit triggered altcoin selloffs. But it turns out the altcoin loss was Bitcoin’s gain. Read more here.

• Circle, the USDC stablecoin issuer, received its Major Payment Institution (MPI) license in Singapore last Wednesday. The license enables it to foray into digital payment token services in the city-state. Read more here.

• Trading platform Robinhood reported on 27 June that it is discontinuing ADA, MATIC, and SOL trades. These were the cryptos the SEC listed as securities. Read more here.

• Banking giant JP Morgan has teamed up with six Indian banks to settle interbank dollar transactions on its blockchain trading platform, Onyx. Read more here.

• Ethereum co-founder Vitalik Buterin outlined a new roadmap for the network in a 9 May blog post. In the post, Buterin addresses topics such as L2 scaling, privacy, and wallet security. Read more here.

Before we conclude, we bring you a shot of fun in the form of a crypto crossword. We hope you enjoy it!

That’s it for now. Thanks for sticking around.

See you later, folks!

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