Cypherpunk Times Monthly Roundup(January 2024 Edition)

All the latest crypto news and events from January

January 1st to January 7th:

  1. The final week of 2023 saw $243m of inflows into digital asset ETPs, bringing 2023 total flows to US$2.2bn
  1. Crypto exchange volume cracks $1 trillion for first time since late 2022
Crypto exchange volume cracks $1 trillion for first time since late 2022
December’s rise in trading volume likely due to the expected approval of spot bitcoin ETFs, said The Block’s research director.
  1. South Korea proposes ban on credit card payments for crypto
South Korea proposes ban on credit card payments for crypto
The Financial Services Commission today proposed an amendment to prohibit citizens from purchasing crypto using credit cards.
  1. Huobi Korea shuts down platform citing business difficulties
Huobi Korea shuts down platform citing business difficulties
Huobi Korea, which cut ties with HTX last year, said it is set to close services on Jan. 29 but users can still withdraw funds after shutdown.
  1. CME Bitcoin OI Dominance hits 32%, a new high.

    Meanwhile, Binance tanks to 25%, the lowest dominance since Jan 2022
  1. Dave announces repurchase of $100 million convertible note from FTX for $71 million
Dave Announces Repurchase of $100 million Convertible Note from FTX for $71 million
/PRNewswire/ -- Dave Inc. (“Dave” or the “Company”) (Nasdaq: DAVE), one of the nation’s leading neobanks, today announced it has reached an agreement with FTX…
  1. Coinbase is planning a pivotal acquisition that will allow it to launch crypto derivatives in the EU: CNBC
Coinbase is planning a pivotal acquisition that will allow it to launch crypto derivatives in the EU
Coinbase told CNBC exclusively that it entered into an agreement to buy an unnamed holding company which holds a Mifid II license.
  1. Stablecoin transfer volumes continued their upward trajectory, increasing from $920.6B to $1.2T in December.

https://public.bnbstatic.com/static/files/research/monthly-market-insights-2024-01.pdf

  1. Digital Currency Group announces that they have completed a payoff of more than $1b of debt to its creditors, including nearly $700m to Genesis
  1. Japan’s e-commerce giant Mercari plans to accept BTC payments: report
Japan’s e-commerce giant Mercari plans to accept BTC payments: report
The Japanese digital flea market platform is planning to allow users to purchase products in bitcoin by June this year.

January 8th to January 15th:

  1. Bitcoin ETFs could start trading as soon as Thursday 12th Jan - Axios

https://www.axios.com/2024/01/09/bitcoin-etf-approval-trading-wednesday-thursday

  1. SEC says it'll work with law enforcement to investigate 'unauthorized access' to X account
SEC says it will work with law enforcement following ‘unauthorized access’ to X account
The SEC said it plans to work with law enforcement after a post went out on its social media account late Tuesday.
  1. BitGo obtains in-principle approval in Singapore for digital asset license
BitGo obtains in-principle approval in Singapore for digital asset license
California-based crypto custody business BitGo said it views Singapore as an important hub for crypto innovation.
  1. SEC says that FBI is investigating hack of agency's X account
  1. Bitcoin facilitated $3.4tn in settled value and $1.4tn in peer-to-peer transfers in 2023, the third largest year for both metrics in Bitcoin’s history
Top Stories of the Week - 1/5
This week in the newsletter, we write about Bitcoin turning 15, Maker’s endgame plan, and a new tax provision that includes digital assets.
  1. SEC statement on the approval of spot Bitcoin ETF

https://www.sec.gov/news/statement/gensler-statement-spot-bitcoin-011023

  1. Bitcoin’s correlations with other major asset classes, particularly equities, have fallen from their post-Covid stimulus peaks and reverted to their long-term averages of about zero
Research Weekly - 4Q23 Review and Look Ahead | NYDIG
We look at bitcoin performance and the events that shaped 4Q23 as well as events to keep an eye out for in the coming quarter. Read more in this weekly digest of Bitcoin news and insights.
  1. Stablecoin firm Circle confidentially files for US IPO

https://www.reuters.com/markets/deals/stablecoin-firm-circle-confidentially-files-us-ipo-2024-01-11/

  1. Grayscale’s GBTC discount closes to zero for first time since February 2021
Grayscale’s GBTC Discount Closes to Zero for First Time Since February 2021
Grayscale received the regulatory green light to convert its flagship product into an ETF on Wednesday.
  1. Coinbase partners with stablecoin exchange Yellow Card in African expansion
Coinbase partners with African stablecoin exchange Yellow Card
Coinbase has partnered with Arican stablecoin exchange Yellow Card to expand its services in emerging economies as part of its global push.

January 16th to January 23rd:

  1. The average cost of production per Bitcoin, post halving, will be USD $37,856: Coinshares report
CoinShares Mining Report: The Halving and its impact on hash rate and miners cost structures
Executive Summary
  1. Day two of spot Bitcoin ETF trading tops $3.1 billion as Grayscale and BlackRock lead
Day two of spot bitcoin ETF trading tops $3.1 billion as Grayscale and BlackRock lead
After a robust first day, the action persisted as Grayscale, BlackRock and Fidelity ranked as most traded spot bitcoin ETFs.
  1. EU banking watchdog extends anti-money laundering measures to cover crypto firms
EU Banking Watchdog Extends Anti-Money Laundering Measures to Cover Crypto Firms
The European Banking Authority’s new guidance for crypto firms will take effect on Dec. 30.
  1. Cantor Fitzgerald’s Lutnick says Tether’s reserves do exist
Tether’s Reserves Do Exist, Cantor Fitzgerald CEO Says
Cantor Fitzgerald LP Chief Executive Officer Howard Lutnick said his firm has reviewed some of Tether Holdings Ltd.’s balance sheet as the stablecoin issuer’s custodian and confirmed it holds the money it says it does.
  1. While VC investment has typically correlated to Bitcoin price, that correlation broke down significantly in 2023, with Bitcoin rising 160% while crypto VC capital invested continuously making new lows
Crypto VC Q4 2023
2023 was a monumental year for cryptocurrency, with BTC rising more than 160% and ETH rising 90%, but crypto venture capital investment nonetheless declined significantly from 2022’s banner year.
  1. Treasury and IRS announce that businesses do not have to report certain transactions involving digital assets until regulations are issued
Treasury and IRS announce that businesses do not have to report certain transactions involving digital assets until regulations are issued | Internal Revenue Service
IR-2024-12, Jan. 16, 2024 WASHINGTON — The Treasury Department and Internal Revenue Service today issued an announcement informing businesses that they do not have to report the receipt of digital assets the same way as they must report the receipt of cash until Treasury and IRS issue regulations.
  1. Winklevoss' crypto exchange Gemini gets nod to launch in France amid clash with U.S. regulators
Winklevoss’ crypto exchange Gemini gets nod to launch in France amid clash with U.S. regulators
Crypto exchange Gemini has been awarded crypto registration in France, allowing the company to launch its services there, the company told CNBC exclusively.
  1. Judge grills the SEC with pointed questions as Coinbase hearing begins
Judge grills the SEC with pointed questions as Coinbase hearing begins
New York District Judge Katherine Polk Failla grilled the SEC in court, asking direct questions about what constitutes a security.
  1. EU provisionally agrees on stricter due diligence rules for crypto firms
EU provisionally agrees on stricter due diligence rules for crypto firms
If approved, the proposed rules would require crypto firms to conduct due diligence on transactions worth at least $1,090.
  1. 9% of the Bitcoin supply has never moved since it was mined —a large portion of which is believed to have been mined by Satoshi in the early days of Bitcoin’s history
A Short Guide to Bitcoin On-Chain Data for ETF Newcomers
Data on bitcoin adoption, economics, supply, usage, market value

January 24th to January 31st:

  1. Mt. Gox repays some creditors, emails others to confirm accounts
Mt. Gox repays some creditors, emails others to confirm accounts
Creditors have reportedly been contacted by the Mt. Gox trustee as it continues to fulfil bitcoin and bitcoin cash repayments.
  1. Funds stolen from crypto platforms in 2023 fell 54.3% to $1.7 billion, mostly due to a drop in DeFi hacking
  1. Enforcement actions by the SEC against crypto firms in 2023 increased 53% yearly
Hitting a record high in 2023, SEC enforcement actions against crypto firms have nearly doubled since 2021—the year Gensler took over
A new report shows how under Gary Gensler the SEC is doubling down on efforts to wrangle crypto.
  1. US files notice to sell $130m of Bitcoin seized from Silk Road agent
US files intent to dispose $117 million in bitcoin seized from Silk Road drug dealer
Convicted dark web agent’s bitcoin, seized in 2021, could be sold according to a statement from the U.S. government.
  1. Coinbase to charge fees on USDC to USD conversions over $75 million
Coinbase to charge fees on USDC to USD conversions over $75 million
Crypto exchange Coinbase said Monday that it rolled out a new fee structure for USDC to USD conversions over $75 million.
  1. German police seize $2.1B worth of Bitcoin in piracy sting
German Police Seize $2.1B Worth of Bitcoin in Piracy Sting
One of the suspects voluntarily transferred the bitcoin to the Federal Criminal Police Office.
  1. UK police seized £1.4bn of Bitcoin from China investment fraud, court told

https://www.ft.com/content/7aec98dd-6161-4ee9-8e0e-654fc7e0fae3