In a recent filing, the U.S. Securities and Exchange Commission (SEC) has urged the Delaware bankruptcy court to reject Terraform Labs’ proposal to retain Dentons U.S. LLC as its special counsel. The SEC has raised concerns about the amount paid to Dentons, describing it as “suspicious.” SEC Raises Concerns Over TFL’s $166M Transfer The SEC...Read More
Tyr Capital Partners, a crypto hedge fund based in Switzerland, is facing accusations of mismanagement from an investor, according to a Financial Times report. Swiss prosecutors have initiated a search of the firm following allegations that started in August 2023 that Tyr Capital disregarded early warnings regarding the collapse of the FTX exchange. Tyr Capital...Read More
A federal police officer is currently undergoing legal proceedings in the Melbourne Magistrates’ Court, facing allegations of pocketing confiscated cryptocurrency from an online drug trafficking syndicate. The committal hearing, presided over by Magistrate Malcolm Thomas, is ongoing, with the defendant’s lawyer saying the case was “circumstantial” and they would dispute the accusations. Drug Trafficking Raid...Read More
The verdict in Changpeng Zhao’s court battle with the United States government will be delayed, according to a notice filed in a Seattle court. CZ, who pleaded guilty to violations of AML procedures, was allowed to remain out of custody until his sentencing in exchange for a bail bond of $175 million. A further $15...Read More
After entertaining the possibility of restarting FTX following the bankruptcy process for a long time, lawyers for the defunct exchange have announced that that plan is now scrapped, and the company will simply dissolve once all debts are paid off. Andrew Dietrich, one of the lawyers representing FTX in the court case, stated that although...Read More
To crack down on fraudulent activities and safeguard consumer interests, the Federal Communications Commission (FCC) has officially prohibited using artificial intelligence-generated voices in unwarranted robocalls across the United States. This move follows an incident where New Hampshire residents received fabricated voice messages mimicking U.S. President Joe Biden, advising against participation in the state’s primary election....Read More
A former developer at Terraform Labs, known only as “Lee,” reportedly took the stand on Monday at the 14th Criminal Division of the Seoul Southern District Court, testifying against the company’s co-founders, Kwon Do-hyeong and Shin Hyun-seung. The witness, formerly a leader within the Terra development team, provided crucial testimony against Terra founder Do Kwon...Read More
Last year, the European Union unanimously voted for the Markets in Crypto Assets (MiCA) bill, considered by most to be the first comprehensive piece of legislation addressing the crypto industry as a whole. MiCA is, in itself, part of a larger set of financial laws known as DORA – but it has also given many...Read More
Crypto lender Genesis Global has settled with the U.S. Securities and Exchange Commission (SEC) in a lawsuit related to its bankrupt Gemini Earn lending program. As part of the deal, Genesis has agreed to pay a $21 million civil penalty, contingent upon the full repayment of customers during its ongoing bankruptcy proceedings. Genesis Agrees to...Read More
In a court case that happened recently – and whose transcripts were made available today – the identities of those behind the $400 million FTX exploit that took place shortly after the bankruptcy was declared were uncovered. However, FTX was not the sole victim of the hacks. According to the court documents, a total of...Read More
Ben Armstrong, widely known as “Bitboy,” has announced the discontinuation of his daily crypto show, bringing an end to a three-year run that garnered a significant following. The decision comes amid financial challenges and legal battles that have been plaguing the influential crypto personality. Financial Strain and Mounting Legal Bills Armstrong revealed the news through...Read More
DEBT Box, a company that primarily provides users of its services with crypto mining software, was taken to court last year by the SEC. According to the regulator, DEBT Box had defrauded investors to the tune of $50 million by selling unregistered securities. The company, which provides an ecosystem to go along with its software,...Read More
According to Manhattan federal prosecutors, Mark Scott, a former partner at the U.S. law firm Locke Lord, has been sentenced to 10 years in prison for his involvement in a $400 million fraudulent cryptocurrency scheme. The sentencing took place on Thursday, and Scott was found guilty of conspiracy to commit money laundering and conspiracy to...Read More
Changpeng Zhao, the founder of the crypto exchange Binance, encountered a setback last month when a federal judge denied his request to travel to the United Arab Emirates. CZ proposed using his substantial $4.5 billion stake in Binance as collateral, based on the company’s valuation from its last fundraising round two years ago. However, the...Read More
During the pandemic, a new mandate requiring Canadian truckers that carried out trips across the border into the United States to receive the COVID-19 vaccine was wildly unpopular, resulting in what was known as the “Freedom Convoy” protest. Following a decision to protest the measure, truckers blocked the streets of Ottawa with their trucks and...Read More
A legal fund supporting the defense of Tornado Cash developers Roman Storm and Alexey Pertsev has amassed over $350,000 in contributions and gained public backing from Edward Snowden, the former NSA whistleblower. Tornado Cash has been linked to North Korean hackers and the $600 million Ronin Network attack money laundering. Tornado Cash Legal Defense DAO...Read More
The EU Parliament and Council recently reached a provisional agreement on a list of anti-money laundering and anti-terrorist financing laws. Although further deliberation on other proposed measures is yet to be had, the new measures will help streamline the efforts of the national financial agencies of EU countries in this area. Although cryptocurrencies are not...Read More
Joseph Bankman and Barbara Fried were always close to their son. A certain amount of interest in the well-being of their son and that of his business dealings is to be expected. However, the FTX estate, now led by bankruptcy specialist CEO John J Ray III, argues that SBF’s parents – particularly his father –...Read More
The U.S. Securities and Exchange Commission (SEC) has expressed a lack of opposition to postponing the Terraform co-founder Do Kwon’s crypto fraud trial and, instead, is open to waiting until he is extradited. Two court filings were submitted by federal prosecutors, outlining the case against Kwon and Terraform Labs concerning the $40 billion collapse of...Read More
A father-son duo, residents of Maryland, have been sentenced for their involvement in a dark web drug trafficking and Bitcoin money laundering scheme. Joseph Farace, aged 72, was sentenced to 19 months in federal prison on January 8 for aiding his son, Ryan Farace, aged 38, in the laundering of Bitcoin proceeds from illicit drug...Read More
Crypto firms faced substantial regulatory action, collectively paying nearly $6 billion in fines primarily due to Anti-Money Laundering (AML) violations and deficiencies in customer checks last year. This marks a significant development, as crypto and fintech groups experienced higher fines for inadequate controls than the entire traditional financial system for the first time. Crypto-Related Fines...Read More
The legal counsel for Do Kwon, the former CEO of Terra, has requested a postponement of the Securities and Exchange (SEC) trial in the U.S. due to the uncertainty surrounding the timing of his extradition from Montenegro. At the beginning of the year, the SEC brought charges against Kwon, accusing him of leading a fraudulent...Read More
Celsius, the platform whose bankruptcy plan was finally approved late last year, has recently lashed out at former clients who cashed out before the company had the opportunity to freeze their funds. Bold Propositions The former crypto staking, lending, and exchange platform that has since shifted its focus to Bitcoin mining following the approval of...Read More
In January of 2023, YouTuber CoffeeZilla posted a three-part series on Logan Paul’s CryptoZoo project. To participate in the upcoming game of the same name, customers had to purchase egg NFTs, which would then hatch, allowing the purchaser to play with and breed the animal. Rumors of a Rugpull However, the social media accounts associated...Read More
Chinese official media has highlighted the growing concern over corrupt officials utilizing advanced methods to conceal and transfer illicit gains. This trend, marked by the use of cryptocurrencies and other digital mediums, was a central topic at the 2023 annual meeting of the China Integrity and Legal Research Association. China Faces New Wave of Crypto-Related...Read More
Earlier this year, the SEC’s crusade against cryptocurrencies seemed to be coming to a head after Judge Analisa Torres sided mostly in favor of Ripple, who ruled that XRP is, broadly speaking, not a security and that its purchase could only be considered an investment contract in certain circumstances. The two parties, however, are still...Read More
China’s Supreme Procuratorate has dealt a significant blow against illegal cryptocurrency operations by sentencing Zhao Dong, the founder of RenrenBit and a minor shareholder of Bitfinex, to a seven-year prison term. The prominent crypto figure faced charges for running illegal business operations and engaging in unauthorized foreign exchange trading. This move underscores China’s continued crackdown...Read More
Mikhail Klyukin, a Russian banker sanctioned by the White House in March 2022, sold more than £15m in shares of UK-based cryptocurrency firm Copper Technologies. The firm, chaired by former Chancellor Philip Hammond, appears to have played a significant role in the decision, raising questions about the transparency of cryptocurrency transactions and potential evasion of...Read More
A U.S. appeals court has issued a mandate that formalizes the forfeiture of 69,370 Bitcoins and other cryptocurrencies linked to the now-defunct Silk Road dark web market. The ruling, confirming the judgment from August 18, 2023, marks the official conclusion of a legal saga that originated with the 2013 arrest of Silk Road founder Ross...Read More
A British Virgin Islands (BVI) court has issued a freezing order on approximately $1 billion in assets belonging to the founders of Three Arrows Capital (3AC), a once-renowned cryptocurrency hedge fund. The court’s decision aims to prevent co-founders Su Zhu and Kyle Davies, along with the latter’s wife Kelly Chen, from transferring or disposing of...Read More
