Crypto Flipsider News – Cryptos Tumble; Vasil launch date; Greyscale combat-SEC; Singapore Crypto Restriction; Ava Labs Conspiracy by DailyCoin

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Crypto Flipsider News – Cryptos Tumble;  Vasil launch date;  Greyscale combat-SEC;  Singapore Crypto Restriction;  Ava Labs Conspiracy by DailyCoin

Crypto Flipsider News – Cryptos Tumble; Vasil launch date; Greyscale combat-SEC; Singapore Crypto Restriction; Ava Labs Conspiracy

To read in the Digest:

  • Global Crypto Market Cap Falls Below $1 Trillion as Fed Rate Risks Rise
  • Charles Hoskinson releases updated timeline for Vasil upgrade launch
  • SEC Asks Grayscale About Security Status of Three Crypto Trusts
  • Singapore plans to restrict retailers’ access to cryptocurrencies
  • Ava Labs CEO Calls ‘CryptoLeaks’ Conspiracy Theory Nonsense

Global Crypto Market Cap Falls Below $1 Trillion as Fed Rate Risks Rise

Following the announcement of tougher measures to fight inflation by Federal Reserve Chairman Jerome Powell, the crypto market saw a sell-off.

Within three days of the announcement, the price fell from $21,804 to a one-month low of $19,600. After breaking above $20,100 for an interday high, Bitcoin price fell to $19,900.

The 3-day price chart for Bitcoin (BTC). Source: CoinMarketCap

While the entire crypto market has been sucked into the bearish pressure, it is doing better than most cryptos. After falling as low as $1,430, ETH struggled to return to $1,500. ETH is now trading at $1,490, with a +0.5% gain in the last 24 hours.

The 3-day price chart for Ethereum (ETH). Source: CoinMarketCap

The selloff saw the global crypto market capitalization fall below the $1 trillion mark for the first time in more than a month. However, the losses cannot compare to the $1.25 trillion wiped from US stock markets following Powell’s announcement.

Downside :

  • Mt Gox creditor has refuse the report that more than $3 billion worth of bitcoins (BTC) from the hack will be returned to investors starting next week.

Charles Hoskinson releases updated timeline for Vasil upgrade launch

In a livestreamed video on Friday, IOHK Founder and CEO Charles Hoskinson provided a new timeline for the rollout of the Vasil hard fork upgrade. Hoskinson explained that development of the Vasil hard fork is proceeding apace.

According to Hoskinson, the Vasil upgrade will happen “sometime in September” unless development experiences a major slowdown. He adds that there are currently no bugs capable of delaying the mainnet.

Hoskinson explained that before the release of the mainnet upgrade, Cardano Stake Pool (NASDAQ:) operators (SPOs) running the latest node 1.35. level of exchanges to support the launch.

The Cardano founder said that when the 75% SPO target is reached and three to five of the major exchanges by volume have upgraded their Cardano nodes to the latest version, the date for the Vasil upgrade will be announced.

Downside :

  • Cardano (ADA) suffered a significant price drop in 2022 following the team’s inability to meet earlier launch dates.

Why You Should Care

The Vasil is highly anticipated as the upgrade will increase throughput, reduce fees, and improve the development of smart contracts and decentralized applications (dApps).

SEC questions grayscale security status of three crypto trusts

Grayscale Investments LLC revealed that it responded to questions from the United States Securities and Exchange Commission (SEC) between June and mid-August about the security status of three of the company’s crypto products.

According to a recent filing from the world’s largest digital asset manager, three of its crypto products, Stellar (XLM), Zcash (ZEC) and Horizen (ZEN) could be classified as securities by the regulator.

If the SEC determines that these cryptos are securities, then Grayscale can suspend its trusts involving these three cryptocurrencies. Grayscale said the decision is based on the facts as they exist today.

ZEC, ZEN, and XLM Trusts provide cryptocurrency investment opportunities for investors and represent approximately US$40 million on Grayscale, or approximately US$18.7 billion in assets under management.

Downside :

  • Grayscale filed a class action lawsuit against the SEC following the agency’s rejection of his request to convert his Bitcoin Trust into a Bitcoin spot ETF.

Why You Should Care

Grayscale’s filing highlights the rapidly changing pressure from regulators as they seek to regulate the crypto industry.

Singapore plans to restrict retailers’ access to cryptocurrencies

Singapore’s central bank, the Monetary Authority of Singapore (MAS), is planning to implement new regulations that will make it harder for retail investors to trade in cryptocurrencies.

Ravi Menon, the chief executive of MAS, told a seminar on Monday that retail investors seem to be “irrationally oblivious” to the risks in crypto. He confirmed that the MAS is considering “adding friction” on retail access to crypto.

Explaining the possible frictions MAS could add, Menon said they “could include customer suitability testing and restrict the use of leverage and credit facilities for cryptocurrency trading.” .

He adds that the MAS needs to better explain the crypto policy. In January, Singapore’s apex bank issued guidelines to prevent cryptocurrency trading service providers from promoting their services to the public.

Downside :

  • Singapore was one of the most crypto-friendly nations before the collapse of the ecosystem leads to an increased push for regulation.

Why You Should Care

The potential move to restrict retail investors’ access to crypto is part of the central bank’s attempts to shield them from potential risks.

Ava Labs CEO Calls ‘CryptoLeaks’ Conspiracy Theory Nonsense

Emin Gün Sirer, the CEO of Ava Labs, has denied claims by crypto “whistleblower” CryptoLeaks that his company paid Roche Freedman to use lawsuits against competitors and mislead US regulators.

CryptoLeaks had uploaded several videos from an unknown source detailing the partnership deals and relationship Sirer and COO Kevin Sekniqi had with US attorney Kyle Roche of Roche Freedman LLP.

In one of the videos, Kyle Roche claimed that Roche Freedman was paid to attack Ava Lab rivals Dfinity and . According to CryptoLeaks, Roche Freedman and Kyle Roche obtained around 1% of the AVAX token supply and shares of Ava Labs to stage litigation and class action lawsuits to stifle Ava Lab rivals.

Sirer took to Twitter (NYSE:) on Sunday to debunk CryptoLeaks’ claims, calling them “absurd conspiracy theory.” He added that Ava Labs would never engage in such illegal, unethical, and just plain bad behavior.

Downside :

  • Roche Freedman was recently involved in a high-profile lawsuit against Solana Labs claiming SOL was an illegal security.

Why You Should Care

The seriousness of the allegations made against Ava Labs, if true, could affect the broader crypto market.

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