• US Prosecutors charged Irina Dilkinska, the former head of legal and compliance at OneCoin, with one count of conspiracy in committing money laundering and one count of wire fraud.
• Dilkinska is accused of being involved in the laundering of more than $400 million of proceeds from the OneCoin crypto firm, as well as destroying all incriminating evidence when she discovered the arrest of a co-conspirator.
• The US Department of Justice (DoJ) has put up tighter measures with an intensive crackdown on fraudulent crypto schemes as regulation becomes more challenging in the United States.
Cryptocurrency Regulation Becomes More Challenging In The US
Cryptocurrency regulation is getting more challenging in the United States following several cases of fraud and crashes of crypto-related firms. The regulators have put up tighter measures with an intensive crackdown on fraudulent crypto schemes. Also, US prosecutors are on the scene to handle cases of persons regarding unlawful crypto activities.
OneCoin Head Of Compliance Faces 40 Years Imprisonment
In a new development, OneCoin’s head of compliance, Irina Dilkinska, faces 40 years imprisonment on charges of fraud. The executive was accused of being involved in the fraudulent crypto scheme OneCoin. Don’t wait! Jump on this Crypto Deal and get a 150% Welcome Bonus plus 100 Free Spins on your deposit today!
US Prosecutors Charge Dilkinska Regarding Involvement With Fraudulent Crypto Scheme
The United States Department of Justice (DoJ) charged the former head of legal and compliance at OneCoin, Dilkinska, on March 21 with one count each for money laundering and wire fraud which has a maximum 20 years imprisonment sentence respectively. She is accused by prosecutors for her involvement in laundering millions from OneCoin through shell companies and compromising her job title regarding Onecoin’s compliance with regulatory laws. BitStarz Player Lands $2,459,124 Record Win! Could you be next big winner? 570% up to 12 BTC + 300 Free Spins for new players & 1 BTC in bonuses every day only at Wild.io Play Now!
OneCoin Co-Founder On The Run Due To Fraudulent Scheme
Ruja Ignatova and Karl Sebastian Greenwood founded OneCoin in 2014 as a project that claimed to market a crypto token with the same name but was later discovered to be a fraudulent pyramid scheme. It offered commissions to users who got others to join their network and invested funds into purchasing educational products related to cryptocurrency trading or mining which never materialized according to reports from financial watchdogs across Europe such as Estonia’s Financial Intelligence Unit (FIU). Related Reading: Bitcoin Price Will Hit $50,000 In Under A Year This Economist Says
Cryptocurrency regulation is getting tougher due to cases involving frauds or crashes associated with it making it difficult for investors who want to venture into cryptocurrencies safely without falling prey to scams like these ones perpetrated by Irina Dilkinska and Ruja Ignatova through their respective ventures – Onecoin respectively . However , there are now stringent measures taken by regulatory bodies such as DoJ that can help reduce frauds like these while still allowing investors safe access into investing cryptos .
• Euler Finance suffered a crypto attack on March 13, losing $196 million worth of crypto assets.
• The hacker sent the stolen funds to a crypto mixer and partially returned some of the funds to a victim’s address.
• Euler Finance had threatened the hacker with prosecution if he didn’t return 90% of the funds within 24 hours.
Euler Finance Suffers Crypto Attack
The decentralized lending protocol, Euler Finance, was recently attacked by a hacker which resulted in a loss of about $196 million worth of cryptocurrency assets. The exploit happened on March 13th and took advantage of software vulnerabilities in the protocol.
Hacker Transfers Part Of Stolen Funds
PeckShield reported that 1,000 ETH tokens worth almost $1.65 million were transferred to the popular crypto mixer Tornado Cash by the flash loan exploiter. Additionally, CertiK Alert reported that 2,500 ETH tokens worth approximately $4.13 million were also moved into another address labeled as Fake_Phishing76535.
Euler Finance Gives Ultimatum To Hacker
In response to this attack, Euler Finance sent an on-chain message to the hacker’s address demanding they return 90% of the stolen funds within 24 hours or face prosecution. A reward for anyone able to help locate and recover all stolen assets was proposed at $1 million dollars.
Hacker Returns A Victim’s Funds
PeckShield also mentioned that part of these funds were returned by the attacker; 100 ETH tokens worth almost $165,202 were sent back to what appears to be a victim’s wallet address. This move came shortly after Euler’s ultimatum was issued on March 15th — it doesn’t appear that it has been taken seriously by the attacker yet as they have not returned any other funds so far.
EUL Price Drops After Attack
The EULUSDT chart shows that since this attack occurred there has been a drop in price for EUL by 14%. It is unclear how much more damage this attack will do before all stolen funds are recovered or if it will ever happen at all due to its transferral into a crypto mixer making it difficult for law enforcement agencies and blockchain analytics companies alike to track them down effectively..
• The deadline to file a claim against Mt Gox for lost funds has been extended for a month, from March 10 to April 6, 2023.
• The legal process of distributing the remaining assets of Mt Gox has been long and complex.
• A Japanese court recently approved extending the rehabilitation plan allowing creditors to receive their remaining Bitcoin by October 31, 2023.
Mt Gox Creditors Claim Deadline Extended
The Rehabilitation Trustee has pushed the registration deadline for claims against Mt. Gox for another month. Initially set for March 10th, the deadline will now be April 6th, 2023. This is due to complexities in filing claims and providing extensive documentation needed to process them.
Background on Mt Gox
Mt. Gox was once the largest Bitcoin exchange in the world until a massive hack in 2014 resulted in the loss of 850,000 BTC. This devastation caused the company to declare bankruptcy shortly after and led to a long and complicated legal process surrounding how its remaining assets should be distributed among creditors.
Rehabilitation Plan Approved
On March 30th 2020, a Japanese court approved an extension of a rehabilitation plan that allows creditors to receive their remaining bitcoin from Mt Gox by October 31st 2023 – giving them more time than previously thought necessary to register their claims and receive compensation for lost funds.
Frustrations Among Creditors
The delay in claims processing had frustrated many creditors who have waited years to receive compensation for their losses but this new extension should alleviate some of that burden as it gives them additional time file their claims before the distribution date occurs at the end of October 2023.
Notable Case in Cryptocurrency Industry
The case of Mt Gox remains one of most high-profile cases within cryptocurrency industry and many will closely watch what happens with its rehabilitation process going forward as well as how successful creditors are with receiving compensation for any losses they may have experienced due to its hack back in 2014
• BitBNS is an India-based crypto exchange that suffered a $7.5 million hack in February 2022.
• The incident was first uncovered by ZachXBT, a crypto on-chain detective company in March 2021.
• Gaurav Dahake, the founder of the exchange, admitted that BitBNS communicated with law agencies immediately after the hack was identified and some of the stolen funds were recovered.
BitBNS Hack Uncovered
BitBNS is an India-based crypto exchange that got compromised on February 1, 2022. But the incident came to light following ZachXBT, a crypto on-chain detective company, uncovered the incident on Wednesday.
Gaurav Dahake Conducts AMA Session
Gaurav Dahake, the founder of the exchange, conducted an Ask Me Anything (AMA) Session on Youtube on March 1, representing a gap of 13 months since the hack. Notably, the founder cited law agencies’ order as a reason not to reveal the hack publicly. The scam tracker company uploaded a screenshot of the BitBNS’ announcement when the platform claimed they had taken down for maintenance purposes and asked followers to “call out” them for hiding a $7.5m hack from their users.
Stolen Funds Confirmed
Don’t wait! Jump on this Crypto Deal and get a 150% Welcome Bonus plus 100 Free Spins on your deposit today! Related Reading: Is Miami Still A Home For Crypto? This Report Says Yes Also, Gaurav Dahake confirmed that number of stolen funds in his session and admitted that BitBNS communicated with law agencies immediately after the hack was identified with support from government agents and fellow exchanges.
Crypto Market Cap Declines
The total crypto market cap has declined to $990.865 Billion in daily chart according to TradingView data source.
BitBNS Took Platform Offline To Analyse Anomalies
To respond to allegations made by ZachXBT regarding BitBS’s hideout of $7 million hack from its users ,the founder conducted an online session hours after it was uncovered by sleuth firm .He urged; Most big exchanges saw such incidents Binance had funds compromised too but right before this incident they had experienced irregular activities which led them to take offline platform for few minutes so as analyse issue properly .
•The western state of Montana is proposing a bill to protect the rights of cryptocurrency miners.
•The proposed bill includes protection for home mining and forbids any form of discrimination against miners in terms of electricity rates charged.
•The Mississippi senate also passed a bill last week that permits the installation of crypto-mining equipment in households.
Montana Passes Crypto Miner Protection Bill
The western state of Montana has passed a new bill aimed at protecting the rights of cryptocurrency miners. The proposed bill seeks to provide freedom to crypto miners by forbidding any form of discrimination against them over electricity rates charged, as well as protect the act of home mining.
Missoula’s Renewable Energy Bill
In addition, the new legislation is said to be in line with Missoula’s recently proposed bill that was passed in 2020. According to this proposal, all bitcoin miners should purchase or build renewable energy assets parallel to their energy consumption rate.
Protection From Discrimination
This move comes amid concerns that crypto traders are at risk of discrimination when it comes to their operations and activities. With this new law, these entities will now receive legal protection from unfair treatment related to their profession.
Approval From House Of Representatives
Thus far, the Montana bill has received 37 votes in its favour and 13 votes against it from the Senate. In order for it to become official law, it needs approval from the House of Representatives and signature from Governor Greg Gianforte.
If approved, this law would have several beneficial effects on crypto traders including an additional tax exemption on cryptocurrency payments and recognition as “personal property” such as bonds and stocks. Moreover, similar protective measures are also being taken by other states such as Mississippi who recently passed a similar bill permitting households to install crypto-mining equipment within their premises with minimal restrictions.
• Paul Pierce settles with the Securities and Exchange Commission (SEC) for promoting digital asset EthereumMax.
• The SEC considers EthereumMax a ‘crypto security’ and charged Pierce with unlawful touting.
• As part of his settlement, Pierce will pay $1.1 million in penalties, while other celebrities have also been charged with similar offenses.
Paul Pierce Settles With SEC
The NBA Hall of Fame player Paul Pierce has settled with the Securities and Exchange Commission (SEC) over charges of unlawfully touting digital asset EthereumMax, which the regulator considers a ‘crypto security.’ This comes after the SEC continues to crack down on the crypto industry.
In 2021, NBA legend Pierce promoted EthereumMax tokens for a profit without disclosing it to followers on social media platforms. Reportedly, he was paid more than $244,000 in EMAX tokens for this promotion.
As part of his settlement with the SEC, the NBA player will pay a sum of $1.1 million as a penalty for the offense committed and discharge “approximately $240,000,” according to the SEC. Aside from the fine, Pierce’s punishment includes abstaining from promoting any crypto assets for three years.
SEC Chairman Gary Gensler noted: This case is yet another reminder to celebrities: The law requires you to disclose to the public from whom and how much you are getting paid to promote investment in securities, and you can’t lie to investors when you tout a security.”
Other Celebrities Involved
Pierce hasn’t been the only celebrity involved in this legal case; stars such as Kim Kardashian and sports legend Floyd Mayweather Jr were also part of it.
• The Securities Exchange Commission (SEC) recently settled with Kraken, Payward Ventures and Payward Trading due to their unregistered staking program.
• SEC Commissioner Hester M. Pierce dissented from the settlement, arguing that the staking program should have been registered as a securities offering instead of being shut down entirely.
• Commissioner Pierce believes that one-off enforcement actions and “cookie-cutter” analysis do not provide a solution for crypto investors in the US.
SEC Settles With Kraken Over Staking Program
Following the settlement reached by Kraken and its subsidiaries Payward Ventures and Payward Trading with the Securities Exchange Commission (SEC) on February 9th, Commissioner Hester M. Pierce stated in a report that she disagreed with and dissented with the closure of the crypto exchange’s staking program.
Staking Program Should Have Been Registered As A Security Offering
The regulator argued that this staking program should have been registered withthe SEC as a securities offering, even though registration may have presented some complications such as what disclosures would be necessary and what accounting implications there would be for Kraken.
SEC Has Been Aware Of Staking Programs For An Extended Period
Commissioner Pierce also pointed out that the SEC has been aware of these types of staking programs for an extended period, but has failed to set guidance on them or issue any sort of regulations relating to them prior to this situation. She believes that using enforcement actions to inform people what the law is in an emerging industry is “not an efficient or fair way to regulate.”
Kraken’s Staking Program No Longer Available In The US
Due to this settlement, Kraken’s staking program will no longer be available in the United States, regardless if it was registered or not. Commissioner Piers calls this action bythe SEC a “paternalistic and lazy regulator,” claiming that instead of providing a solution, they just shut it down without considering other options.
In conclusion, Commissioner Hester M. Pierce believes that one-off enforcement actions and “cookie-cutter” analysis do not provide a solution for crypto investors in the US when it comes to emerging industries such as cryptocurrencies. She calls out regulators for using strict enforcement methods instead of issuing regulatory guidance or providing solutions when it comes to these new technologies.
• Sberbank, the biggest banking establishment in Russia, is ready to launch its DeFi platform by May.
• The Product Director of the Blockchain Laboratory of Sberbank has announced that it will be open for testing from March and fully operational by April.
• Sberbank has also obtained a license from the Bank of Russia to operate as a digital asset exchange and launched an ETF for exposure to blockchain companies.
Sberbank Plans For DeFi Platform
Sberbank, Russia’s biggest banking establishment, is preparing to launch its decentralized finance (DeFi) platform by May this year. According to a report on February 3 by Interfax, the majority state-owned bank plans to roll out the project in multiple steps based on statements by Konstantin Klimenko, Product Director of the Blockchain Laboratory of Sberbank. Klimenko shared his ambition at the 7th Perm Economic Congress on Friday that he wants Russia to be the leading nation in DeFi operations.
Closed Beta Testing Phase
Klimenko further commented that they are currently in closed beta testing phase with open testing set to begin in March 2021. “From March 1, we are moving into the next phase, it will no longer be beta testing but open testing,” He said. “At the end of April, the platform will be fully open, and then it will be possible to carry out some commercial operations on it.” Additionally, Sberbank’s DeFi platform would start by providing compatibility with only MetaMask wallet but later plan to integrate with Ethereum blockchain as well for seamless transfer of smart contracts and other projects within Ethereum ecosystem.
Sberbank’s Blockchain Ventures
Sberbank is not new when it comes to exploring blockchain technology; back in March 2022 they received approval from Bank of Russia for operating as digital asset exchange and issuing its own token followed up with launching ETF for investment exposure towards leading blockchain companies like Coinbase and Galaxy Digital at same time protecting investors from crypto market volatility.
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In conclusion, Sberbank’s foray into blockchain space shows their dedication towards adopting latest technologies while staying ahead among competition while also keeping investors safe through ETF investments which gives them access towards top performing companies without bearing severe effects due to cryptocurrency market volatility thus making them one step closer towards becoming leading nation when it comes down decentralized finance operations.
• There has been tension between Ripple and the SEC leading to the legal battle that could end this year.
• Despite the bearish crypto market, crypto whales have continued to show interest in XRP tokens.
• Whale Alert has reported multiple transactions involving XRP tokens worth millions of dollars.
The Ripple Vs. SEC legal battle has been a source of tension for XRP, leading many to speculate that the case could come to a conclusion this year. Ripple CEO Brad Garlinghouse has expressed optimism that the case could be resolved earlier in 2023. The bearish crypto market has been putting pressure on XRP prices, causing many investors to become cautious. However, despite the market conditions, crypto whales have continued to show interest in the token.
On-chain data provider Whale Alert recently reported multiple transactions involving XRP tokens worth millions of dollars. The single largest transaction was a transfer of 160 million XRP coins worth over $65.53 million between two unknown wallets on January 27th. Whale Alert also recorded a transfer of 39,500,000 XRP from Bitso to an unknown wallet on January 26th, worth $16.2 million. Other notable transactions include a transfer of 30 million XRP coins worth $12.41 million from an unknown wallet to Bitso, and another whale moved 33 million XRP tokens worth $13.65 million to Bitstamp from an anonymous wallet.
The interest shown by crypto whales in XRP tokens is a positive sign for the token and could indicate that the market could turn bullish in the near future. This could lead to an increase in XRP prices as more investors enter the market. As the Ripple Vs. SEC legal battle continues, investors will be keeping a close watch on the market to see how XRP performs in the coming weeks and months.
• FLoki Inu, a meme coin birthed by fans and the SHIB community, has seen tremendous performance after its governing DAO issued an important proposal.
• The proposal proposed to burn an enormous number of its circulating tokens and reduce the tax that users pay for transacting on the network.
• Token burn is a means by which blockchain developers remove some coins permanently from circulation and aims to increase the asset’s value.
Floki Inu, a meme coin created by the SHIB community, has been experiencing a surge in price and performance after its governing body, the decentralized autonomous organization (DAO), issued an important proposal. This proposal proposed to burn an enormous amount of its circulating tokens, reducing the tax that users pay for transacting on the network, as well as addressing potential safety hazards associated with cross-chain bridges.
The token burning process is a means by which blockchain developers remove some coins permanently from circulation. This is done in order to reduce the total circulating token supply, and by extension, increase the asset’s value. The proposal issued by Floki Inu’s governing DAO stated that news of hack exploits indicates the risks from cross-chain bridges, especially ones with a large amount of tokens. It is for this reason that the developers are proposing to burn a substantial amount of its tokens, thus reducing the risk of theft and losses.
After the proposal was issued, the price of FLOKI increased by 25%, indicating the belief of the community in the project. This surge in price is a testament to the community-driven nature of the project, as well as the fact that the token burn process has been seen to be successful in the past.
The proposal also stated that the developers will look into ways to increase the safety of the project by implementing additional security measures. This includes the implementation of smart contracts, code audits, and other measures that will help protect the users of the project.
The proposal was seen as a positive step forward for the project, as it is a sign that the developers are looking to increase the safety of their users as well as increase the value of their asset. The success of the proposal shows that the community is confident in the project and believes in its long-term potential.