Tom Brady, Larry David and Other Celebs Face Class Action Lawsuit over FTX Endorsements

‘Crypto King’ Sam Bankman-Fried, the founder of FTX, hit rock bottom when a New York jury convicted him of fraud for stealing at least $10 billion from customers and investors. A class action lawsuit was filed by some investors who lost money against celebrities who were involved in marketing campaigns for FTX, including Tom Brady, his ex-wife Gisele, comedian Larry David, Shaquille O’Neal, NBA legend Steph Curry and tennis star Naomi Osaka. Tom Brady and Gisele may have lost as much as $50 million themselves. It is believed that FTX spent around $1 billion on marketing and celebrity endorsements. 

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  • Numerous A-list celebrities are still facing a major lawsuit following Sam Bankman-Fried’s conviction on fraud charges 
  • A class action suit accuses stars such as Tom Brady and Larry David of misleading investors though their promotion of the company  

Sam Bankman-Fried, the Crypto King, was convicted of seven counts of fraud and conspiracy on Thursday night, after the jury deliberated for just a few hours. Despite the conviction, the legal troubles for those involved in FTX are far from over.

Bankman-Fried‘s empire was built with the help of a group of A list celebrity backers who were recruited to appear in ads, host events and post on social media about the apparent merits of FTX.

They included Tom Brady, his ex-wife Gisele, comedian Larry David, NBA legend Steph Curry and tennis star Naomi Osaka. Those stars are the subject of a pending class action lawsuit in Texas.

During Bankman-Fried’s trial, former FTX executive Nishad Singh testified that he felt as though the company’s spending on celebrity endorsements was excessive. It’s thought that around $1 billion was spent on marketing by the exchange.

This frivolity arguably peaked with its February 2022 Super Bowl ad spend in what became known as the ‘crypto bowl,’ infamously the commercials featured Larry David paying a historical character who makes a series of incorrect predictions culminating in him saying that he didn’t think FTX was a good investment.

Read full article here…




Sam Bankman-Fried Convicted in Fraud and Conspiracy Trial, Faces 110 Years in Prison

A jury has found FTX founder Sam Bankman-Fried, 31, guilty on all charges in his federal fraud and conspiracy trial. He was charged with seven counts of fraud, conspiracy and money laundering in what federal prosecutors have described as “one of the biggest financial frauds in American history.” Bankman-Fried was accused of using customer deposits on the crypto trading platform FTX to cover losses at his hedge fund, pay off loans and buy lavish real estate, among other personal expenses. He could face a sentence of up to 110 years in prison. His sentencing is scheduled for March 28, 2024.

FTX was once valued at $32 billion at its peak. Bankman-Fried personally gave $40 million to politicians and political-action committees ahead of the 2022 midterm elections, mostly to Democrats and liberal-leaning groups. He was the second largest donor after George Soros during that election cycle. Ryan Salame, another top FTX executive, donated more than $23 million, mainly to Republicans and conservative groups.

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A jury has found FTX founder Sam Bankman-Fried guilty on all charges in his federal fraud and conspiracy trial.

The jury deliberated for a little over four hours before reaching a verdict on Thursday.

“We will have decorum in the courtroom when the verdict is announced,” Judge Lewis Kaplan said before the reading.

Bankman-Fried, 31, sat motionless at the defense table in an ill-fitting grey suit. He was made to stand and face the jury for the reading. He showed no emotion.

Bankman-Fried was charged with seven counts of fraud, conspiracy and money laundering in what federal prosecutors have described as “one of the biggest financial frauds in American history.”

He was accused of using customer deposits on the crypto trading platform FTX to cover losses at his hedge fund, pay off loans and buy lavish real estate, among other personal expenses.

He pleaded not guilty to all counts. With the conviction on all charges, he could face a sentence of up to 110 years in prison. His sentencing was scheduled for March 28, 2024.

As he exited the Manhattan federal courtroom Thursday night, he turned to look at his parents. His mother put her hand over her chest in a farewell gesture, while his father put his arm around her.

With his head down, Bankman-Fried appeared overcome with emotion as he stood between his lawyers, who seemed to comfort him. He nodded slightly as defense attorneys Marc Cohen and Chris Everdell spoke quietly in his ear.

Cohen said in a statement that Bankman-Fried “maintains his innocence and will continue to vigorously fight the charges against him.”

“We respect the jury’s decision. But we are very disappointed with the result,” Cohen said.

U.S. Attorney Damian Williams said the verdict sends a message “to every single fraudster out there who thinks that they’re untouchable.”

“Those folks should think again. And if they don’t I promise we’ll have enough handcuffs for all of them,” Williams said.

Read full article here…

Live Mint:      https://www.livemint.com/market/cryptocurrency/sam-bankman-fried-ftx-team-among-top-political-donors-before-bankruptcy-11669031663161.html




South Dakota Gov. Kristi Noem Vetoed Bill to Implement Central Bank Digital Currency (CBDC) in Her State

South Dakota Governor Kristi Noem vetoed a bill passed by the Republican legislature that would have centralized currency through central bank digital currency (CBDC), which Tucker Carlson pointed out is not currency, but is software. He also explained how CBDC can be used as a tool for control. The bill that she vetoed would have changed the definition of money in order to ban cryptocurrency, Bitcoin or other forms of digital currency, paving the way for government-led CBDC. She said the bill was 110 pages long and was sold as an update to guidelines to the Universal Commercial Code (UCC) and was backed by all the state’s financial institutions and banks. She said that the same language used in the bill has been given to 20 other states, sold as a UCC update, to pave the way for the federal government to control currency in order to control the people.

Governor Noem shocked Tucker Carlson when she said that the South Dakota state legislature that passed this bill probably did not even read it!

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Choke Point 2.0: Biden, Democrats, the Fed and the DOJ Are Cracking Down on Cryptocurrency

Choke Point was a 2013 Obama policy that cut off banking from businesses that the administration did not like, such as the firearms industry, legal marijuana and the loan industry. Choke Point 2.0 targets cryptocurrency (crypto) as regulators are cracking down on banks taking deposits from crypto clients. Cryptocurrencies may trade against CBDCs in the future, which could allow those in power to take control of the industry.

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Summary by JW WIlliams

Choke Point was a 2013 Obama policy that cut off banking from businesses that the administration did not like, such as the firearms industry, legal marijuana and the loan industry. The Choke Point model was used by several banks against the Dakota Access Pipeline in 2017. The policy was enacted by applying pressure via the banking sector, rather than passing laws. Trump ended it in 2017 until Democrats regained power.

Choke Point 2.0 targets cryptocurrency (crypto) as regulators are cracking down on banks taking deposits from crypto clients, issuing stablecoins, engaging in crypto custody, or seeking to hold crypto as principal. The driving force behind the crackdown is the Biden administration, certain members of Congress, the Fed, the FDIC, the OCC, and the DoJ.

The US is now influencing international organizations like the Financial Action Task Force (FATF) that plans to kill cryptocurrency by labeling anything related as “high risk”. Any countries that don’t go along with FATF are cut off from financial services. But cryptos may attract other countries. Cryptocurrencies may trade against CBDCs in the future, which could allow those in power to take control of the industry.

From Pirate Wires:

Operation Choke Point 2.0 Is Underway, And Crypto Is In Its Crosshairs

What began as a trickle is now a flood: the US government is using the banking sector to organize a sophisticated, widespread crackdown against the crypto industry. And the administration’s efforts are no secret: they’re expressed plainly in memos, regulatory guidance, and blog posts. However, the breadth of this plan — spanning virtually every financial regulator — as well as its highly coordinated nature, has even the most steely-eyed crypto veterans nervous that crypto businesses might end up completely unbanked, stablecoins may be stranded and unable to manage flows in and out of crypto, and exchanges might be shut off from the banking system entirely. Let’s dig in.

For crypto firms, obtaining access to the onshore banking system has always been a challenge. Even today, crypto startups struggle mightily to get banks, and only a handful of boutiques serve them. This is why stablecoins like Tether found popularity early on: to facilitate fiat settlement where the rails of traditional banking were unavailable. However, in recent weeks, the intensity of efforts to ringfence the entire crypto space and isolate it from the traditional banking system have ratcheted up significantly. Specifically, the Biden administration is now executing what appears to be a coordinated plan that spans multiple agencies to discourage banks from dealing with crypto firms. It applies to both traditional banks who would serve crypto clients, and crypto-first firms aiming to get bank charters. It includes the administration itself, influential members of Congress, the Fed, the FDIC, the OCC, and the DoJ. Here’s a recap of notable events concerning banks and the policy establishment in recent weeks:

  • On Dec. 6, Senators Elizabeth Warren, John Kennedy, and Roger Marshall send a letter to crypto-friendly bank Silvergate, scolding them for providing services to FTX and Alameda research, and lambasting them for failing to report suspicious activities associated with those clients
  • On Dec. 7, Signature (among the most active banks serving crypto clients) announces its intent to halve deposits ascribed to crypto clients — in other words, they’ll give customers their money back, then shut down their accounts — drawing its crypto deposits down from $23b at peak to $10b, and to exit its stablecoin business
  • On Jan. 3, the Fed, the FDIC, and the OCC release a joint statement on the risks to banks engaging with crypto, not explicitly banning banks’ ability to hold crypto or deal with crypto clients, but strongly discouraging them from doing so on a “safety and soundness” basis
  • On Jan. 9, Metropolitan Commercial Bank (one of the few banks that serve crypto clients) announces a total shutdown of its cryptoasset-related vertical
  • On Jan. 9, Silvergate stock falls to a low of $11.55 on bank run and insolvency fears, having traded as high as $160 in March 2022
  • On Jan. 21, Binance announces that due to policy at Signature bank, they will only process user fiat transactions worth more than $100,000
  • On Jan. 27, the Federal Reserve denies crypto bank Custodia’s two-year application to become a member of the Federal Reserve system, citing “safety and soundness” risks
  • On Jan. 27, the Kansas City Fed branch denies Custodia’s application for a master account, which would have given it the ability to use wholesale payment services, and to hold reserves with the Fed directly
  • On Jan. 27, the Fed also issues a policy statement which discourages banks from holding cryptoassets or issuing stablecoins, and broadens their authority to cover non-FDIC insured state-chartered banks (a reaction to Wyoming Special Purpose Depository Institutions (SPDIs) like Custodia, which can hold crypto alongside fiat for its banking customers)
  • On Jan. 27, the National Economic Council releases a policy statement not explicitly banning banks from serving crypto clients, but strongly discouraging banks from transacting with cryptoassets directly or maintaining exposure to crypto depositors
  • On Feb. 2, the DoJ’s fraud unit announces an investigation into Silvergate over their dealings with FTX and Alameda
  • On Feb. 6, Binance suspends USD bank transfers for retail clients (Binance US was not affected)
  • On Feb. 7, the Jan. 27 Fed statement is entered into the federal register, turning the policy statement into a final rule, with no Congressional review, or public notice-and-comment period
  • As of Feb. 8, Protego and Paxos’ applications to follow Anchorage and obtain full approval to become National Trust Banks are still outstanding (past the 18 month deadline), and appear likely to be imminently denied by the OCC

In sum, banks taking deposits from crypto clients, issuing stablecoins, engaging in crypto custody, or seeking to hold crypto as principal have faced nothing short of an onslaught from regulators in recent weeks. Time and again, using the expression “safety and soundness,” they’ve made it clear that for a bank, touching public blockchains in any way is considered unacceptably risky. While neither the Fed/ FDIC/ OCC statement — nor the NEC statement a few weeks later — explicitly ban banks from servicing crypto clients, the writing is on the wall, and the investigations into Silvergate are a strong deterrent to any bank considering aligning itself with crypto. What is clear now is that issuing stablecoins or transacting on public blockchains (where they could circulate freely, like cash) is highly discouraged, or effectively prohibited. It is equally evident that a bank-issued fiat token would only be acceptable to regulators if it were domiciled on a surveilled, private blockchain. No ‘unhosted’ wallets allowed.

Read full article here…




FTX Crypto Exchange Company Goes Bust, Founder who Bankrolled Democrats Loses Billions

Sam Bankman-Fried, 29, founded FTX, a cryptocurrency exchange and also created FTT, a cryptocurrency. In addition, he is the founder of Alameda, a crypto trading firm. CoinDesk published a report about Alameda and indicated that a large part of the assets listed on Alameda’s balance sheet was made up FTT cryptocurrency. FTT went into free fall in the days after the CoinDesk report and has lost around 90% of its value. Binance, a crypto exchange competitor of FTX, announced a deal to acquire FTX, but later backed out. The drama caused mass withdrawals of about $6 billion from FTX, causing an overall drop in the cryptocurrency market. Sources reported that Sam Bankman-Fried transferred $4 billion from his FTX crypto exchange to Alameda, his crypto trading firm, earlier in 2022 without telling anyone.

Sam Bankman-Fried was once declared being worth $16 billion, but is now reported to have lost all of it. FTX, the crypto exchange, filed for voluntary Chapter 11 bankruptcy and and chief executive Sam Bankman-Fried has resigned.

Losses related to FTX spread beyond the firm itself. Stock investors dumped shares of publicly traded companies that are tied to cryptocurrencies. The Securities Commission of the Bahamas, where Bankman-Fried and his company are located, has frozen some FTX assets.

 

https://www.youtube.com/watch?v=pVlkFW43820

 

 

  • The Bahamas securities regulator has frozen the assets of FTX Digital Markets, an FTX subsidiary.
  • It said it’s aware of statements suggesting the firm mishandled, mismanaged, or transferred client assets to Alameda Research.
  • The Bahamian securities regulator said any such actions are “contrary to normal governance.”

Sam Bankman-Fried’s bad week has just gotten worse. 

Certain assets of FTX Digital Markets — a subsidiary of Bankman-Fried’s FTX crypto exchange — have been frozen by the Bahamas securities regulator, the authorities said in a media release on Thursday

Attorney Brian Simms, K.C. was appointed as a provisional liquidator, after the authorities petitioned the Supreme Court of The Bahamas, the the release states.

FTX, which relocated its headquarters from Hong Kong to the Bahamas in September 2021, has been embroiled in a liquidity crisis for days. 

The Securities Commission of the Bahamas said in the announcement it’s aware of statements suggesting FTX mishandled, mismanaged, or transferred the assets of clients to Alameda Research, Bankman-Fried’s crypto trading firm.

“Based on the Commission’s information, any such actions would have been contrary to normal governance, without client consent and potentially unlawful,” the Bahamian securities regulator added.

Sources told Reuters Bankman-Fried had transferred $4 billion from FTX to Alameda earlier in 2022 without telling anyone, the news agency reported on Thursday. 

The Bahamian securities commission added it has determined the “prudent course of action” was to put FTX Digital Markets into provisional liquidation so as to “preserve assets and stabilize the company.”

Bankman-Fried’s running pillar to post to raise funds for FTX

Bankman-Fried had told investors that the firm faces bankruptcy if it did not receive emergency funding, Bloomberg reported earlier on Thursday, citing a person with direct knowledge of the matter. FTX faces a shortfall of up to $8 billion and was trying to raise $4 billion to stay solvent, per Bloomberg

Later in the same day, FTX announced on Twitter it reached an agreement with Tron, a crypto network, for the transfer of Tron-based assets from FTX to external wallets.

The turmoil at FTX kicked off over the weekend with a very public Twitter feud between Bankman-Fried and Binance CEO Changpeng “CZ” Zhao. The latter tweeted on Sunday that Binance would be liquidating all its FTT tokens — a crypto token native to FTX — due to “recent revelations.”

He didn’t specify his concerns at the time, but a November 2 CoinDesk report had been stoking market fears about FTX’s liquidity position. Bankman-Fried then hit back at Zhao on Monday, tweeting: “a competitor is trying to go after us with false rumors,” per media reports including Bloomberg and Reuters.

Bankman-Fried and Zhao then appeared to have made up with as both announced a Binance deal to acquire FTX. But Binance called off its acquisition plan on Wednesday, citing issues “beyond our control or ability to help.”

The drama weighed on market sentiment, sparking a rush for withdrawals. Around $6 billion was withdrawn from FTX in the 72 hours preceding Tuesday morning, Reuters reported, citing a message Bankman-Fried sent to staff.

 

Market Insider:    https://www.msn.com/en-us/money/markets/bahamas-freezes-certain-ftx-assets-further-crippling-sam-bankman-frieds-troubled-crypto-trading-firm/ar-AA13ZD9y#image=AA13ZckT|2

Wall Street Journal:    https://archive.ph/bLubl#selection-889.0-889.99




Cryptocurrencies Crash and Bitcoin Has Lost 70% of Its Value Since November

Major cryptocurrency exchanges like Celsius and Binance froze withdrawal transactions due to “extreme market conditions,” prompting a massive sell-off in the crypto space that resulted in a $500 billion being wiped from the market. Almost every top coin is now worth half or even less than their all-time highs. Bitcoin has dipped below $21,000 and its price is down nearly 70% from its all-time high of $69,000 last November. The immediate trigger for the crypto crash appears to be a massive sell-off by investors panicked by inflation of food, gas and energy prices as a recession looms. Investors are continuing to stay away from riskier assets and the stock market is also plummeting. The Dow Jones Industrial Average closed 876 points lower, while the S&P 500 pulled back 20% from its all-time high, marking the steepest 3-day trading decline of 2022.

Why is crypto crashing today? Cryptocurrency markets have crashed to a new low of this year today (13th June, 2022). The global market cap has shrunk below $1 trillion to $977 billion, around 12 % fall since yesterday. The global cryptocurrency market cap has fallen by around $1 trillion this year while almost every top coin is now worth half or even less than their all-time highs.

The immediate trigger for the crypto crash appears to be a massive sell-off by investors amid heightened inflation fears and pausing of withdrawal by crypto lending service Celsius. Investors are also continuing to stay away from riskier assets, which is reflecting in the stock markets as well.

Bitcoin, the biggest and most popular cryptocurrency, has fallen below $22,000 while almost all altcoins, starting from Ethereum, are bleeding prices since weekend.

Ethereum has fallen to its lowest level in more than 14 months, trading around $1155. Solana has fallen by more than 15% and is hovering around the $27 mark, according to CoinMarketCap data at the time of writing.

Experts say that the crypto price plunge indicate a falling risk appetite of investors. They are clearly wary of risky assets. With all its uncertainties and volatilities, crypto is considered as one of the most volatile instruments for investment purpose.

“The crypto market has been under pressure from the Federal Reserve, hiking the interest rates to combat inflation over the past few months. Bitcoin, Ethereum, and most cryptocurrencies suffered losses over the weekend after a broad sell-off following the data showing US inflation hitting a 40-year high,” said Edul Patel Co-Founder and CEO of crypto investment platform Mudrex.

“As investors seem to have panicked, the number of crypto liquidations has been high since Friday. Bitcoin and Ethereum plummeted as much as 7% each and are currently trading at their lowest at US$25,000 and US$1,300. The bearish trend may likely continue in the next coming days,” he added.

While altcoins have historically underperformed Bitcoin, this time they have an added pressure of potential regulatory roadblocks. A report by CoinDesk quoted an expert as saying that only a small number of altcoins are likely to survive such market movements.

Shivam Thakral, CEO of crypto exchange BuyUcoin said that the rising food, gas, and energy prices are putting tremendous pressure on the crypto market as Bitcoin and Ether have witnessed double-digit losses in the past 24 hours.

“After the consumer price index reported the highest inflation since 1981, financial markets across the globe have seen a sharp downturn,” said Thakral.

“The market is expected to remain choppy in the coming weeks and countries around the globe continue to report high inflation numbers. The current dip in the crypto prices allows investors to buy crypto at 2021 prices and we expect the seasoned investors to take advantage of the dip,” he added.

According to Darshan Bathija, CEO of crypto exchange Vauld, most investors worry that unless inflation numbers start dropping soon, the US Fed may have to tighten reigns by increasing interest rates at a faster pace than anticipated

Read full article here…

NY Post:   https://nypost.com/2022/06/14/crypto-crash-continues-as-bitcoin-briefly-dips-below-21k/




Coinbase Crypto Exchange Is Warning Bankruptcy Could Wipe Out User Funds

Coinbase Global, the US’s largest cryptocurrency exchange that also has an investment wing, reported a quarterly loss of $430 million and a 19% drop in monthly users. In the event Coinbase goes bankrupt, it says its users would be considered to be “general unsecured creditors” and might lose all the cryptocurrency in their accounts if it is stored in a wallet controlled by the exchange company. Coinbase holds $256 billion in both fiat currencies and cryptocurrencies on behalf of its customers. Coinbase stock prices hit $429 per share on the day of its initial public offering just 13 months ago — it is now $53 per share. Cryptocurrencies have recently lost value under the threat of increased regulations.

Hidden away in Coinbase Global’s disappointing first-quarter earnings report—in which the U.S.’s largest cryptocurrency exchange reported a quarterly loss of $430 million and a 19% drop in monthly users—is an update on the risks of using Coinbase’s service that may come as a surprise to its millions of users.

In the event the crypto exchange goes bankrupt, Coinbase says, its users might lose all the cryptocurrency stored in their accounts too.

Coinbase said in its earnings report Tuesday that it holds $256 billion in both fiat currencies and cryptocurrencies on behalf of its customers. Yet the exchange noted that in the event it ever declared bankruptcy, “the crypto assets we hold in custody on behalf of our customers could be subject to bankruptcy proceedings.” Coinbase users would become “general unsecured creditors,” meaning they have no right to claim any specific property from the exchange in proceedings. Their funds would become inaccessible.

That shouldn’t happen.

An individual’s ownership of cryptocurrency is supposed to be immutable and absolute; that’s one of the key selling points touted by blockchain evangelists everywhere. But when a user creates a Coinbase account, they often end up storing their cryptocurrency in a wallet controlled by Coinbase, which means the individual is giving away at least part of their control over their own funds.

Access to a crypto wallet is governed by a private key, which is a long string of characters that effectively acts as a password. Without the key, the cryptocurrency in the wallet can’t be accessed. On Coinbase, the exchange holds the private key and lets users access the funds within the wallet using a more conventional password. The setup makes it easier for users to enter their accounts, by remembering an easier password.

Yet it means that when push comes to shove, Coinbase ultimately governs whether a user gets access to those assets.

Read full article here…

Entrepreneur:   https://entrepreneur-360.com/how-does-coinbase-make-money-15269

Yahoo:    https://www.yahoo.com/now/coinbase-loses-half-value-week-224343809.html




Trudeau Gov’t Invokes ‘Terrorism’ Laws To Seize Bank Accounts & Crypto from Freedom Convoy Supporters

Canadian Prime Minister Justin Trudeau invoked the Emergencies Act, which is essentially martial law and has never been used before. It is allowed only in emergencies, in critical situations that seriously endanger the lives, health or safety of Canadians. The peaceful protests are not an emergency. Trudeau has revoked protesters’ civil liberties and has authorized men with automatic weapons to haul them to jail. Under martial law, the government may now seize dissidents’ bank accounts. Going forward, Justin Trudeau will regulate all crowd funding and cryptocurrency under the Terrorist Financing Act. The Canadian government now considers donating to a civil rights movement a form of terrorism. A critic noted that the powers authorize banks to freeze individuals’ accounts based only on suspicion, without a court order, and with legal immunity.

Youtube link:   https://www.youtube.com/watch?v=nZzJPXojtWs

Prime Minister Justin Trudeau granted his government emergency powers on Monday to crush the Freedom Convoy protests in Ottawa and across Canada.

By invoking the Canada Emergencies Act for the first time ever, Trudeau gave his government carte blanche to use every available method possible to stop the “terrorist” Freedom Convoy, including calling upon banks to freeze and seize their finances without a court order.

Link for video:   https://www.youtube.com/watch?v=qITdkH8W_6M

Deputy Prime Minister and Minister of Finance Chrystia Freeland announced that these new emergency powers will include expanding “Terrorist Financing” rules to target crowdfunding efforts that have been supporting the Freedom Convoy.

“First we are broadening the scope of Canada’s anti-money laundering and terrorist financing rules so they include crowdfunding platforms and the payment service providers they use,” Freeland said during Trudeau’s presser.

Read full article here…

Zerohedge:   https://www.zerohedge.com/political/trudeau-unleash-never-used-emergency-powers-act-counter-protests-us-canada-bridge-reopens




Kazakh Government Resigns, Shuts Down Internet amid Protests, Causes Bitcoin to Tumble

Last Wednesday, Kazakhstan, the second-largest country in the world when it comes to Bitcoin (BTC) mining speed (hash rate), experienced unprecedented political unrest due to a sharp rise in fuel prices. As a result, the country’s presiding cabinet resigned, but not before the state-owned telecommunication company, Kazakhtelecom, shut down the nation’s internet, causing network activity to plunge to 2% of daily heights. The country accounts for 18% of the Bitcoin network’s hash activity. No timeline exists as to when the internet will switch back on in the second-biggest Bitcoin mining country in the world. Bitcoin is very volatile and set a record at more than $64,000 in April 2021, but fell below $30,000 in July 2021.

No timeline exists as to when the internet will switch back on in the second-biggest Bitcoin mining country in the world.

On Wednesday, Kazakhstan, the second-largest country in the world when it comes to Bitcoin (BTC) mining hash rate, experienced unprecedented political unrest due to a sharp rise in fuel prices. As a result, the country’s presiding cabinet resigned, but not before the state-owned Kazakhtelecom shut down the nation’s internet, causing network activity to plunge to 2% of daily heights.

The move dealt a severe blow to Bitcoin mining activity in the country. As per data compiled by YCharts.com, the Bitcoin network’s overall hash rate declined 13.4% in the hours after the shutdown from about 205,000 petahash per second (PH/s) to 177,330 PH/s. The country accounts for 18% of the Bitcoin network’s hash activity.

Just days prior, the Kazakh government removed price caps on liquefied petroleum gas used for car fuel to align with market conditions, which doubled its price overnight, sparking violent protests. At the time of publication, the internet remains inaccessible in Kazakhstan. If extended, the consequences could be severe as internet services aside, the Data Center Industry & Blockchain Association of Kazakhstan expects the country to generate $1.5 billion from legal cryptocurrency mining (and another $1.5 billion in illicit) activities over the next five years.

Read full article here…




China Declares Virtual-Currency Transactions Illegal, Sends Crypto Prices Tumbling

China’s central bank declared that all activities related to digital coins are “illegal” and must be banned. The People’s Bank of China specifically targeted overseas cryptocurrency exchanges, naming Bitcoin, Ether and Tether as examples of illegal cryptocurrencies, and declaring that it was illegal for them to provide online services to residents in China. China is aggressively clearing the runway for its very own digital yuan, a central-bank digital currency that acts like credit card money Market reception for China’s central-bank digital currency has been catastrophic so far. -GEG

China expanded its escalating crackdown on cryptocurrencies on Friday when its central bank declared that all activities related to digital coins are “illegal” and must be banned.

In a statement the People’s Bank of China said the latest notice was to further prevent the risks surrounding crypto trading and to maintain national security and social stability.

Incidentally, the news was already priced in once, with rumors of PBOC crackdown sending the price of bitcoin lower in mid-September when Bitcoin traded just below $50,000.

Naming bitcoin, ether and tether as examples, the central bank said cryptocurrencies are issued by nonmonetary authorities, use encryption technologies and exist in digital form and should not be circulated and used in the market as currencies. The PBOC specifically targeted overseas cryptocurrency exchanges declaring that it was illegal for them to provide online services to residents in China.

Read full article here…



1,500 Businesses Infected by Latest Ransomware Cyber Attacks

As many as 1,500 businesses around the world have been infected by highly destructive malware that first struck software maker Kaseya, and then used that access to attack Kaseya’s customers. REvil’s site on the dark web claimed that more than 1 million targets were infected in the attack and that the group was demanding $70 million for a universal decryptor. The mass attack had cascading effects around the world; for instance, Swedish supermarket chain Coop shut about half of its 800 stores because electronic checkouts stopped working. The hackers demanded the ransom in Bitcoin, which has been used by authorities to to call for an end to private cryptocurrencies.

As many as 1,500 businesses around the world have been infected by highly destructive malware that first struck software maker Kaseya. In one of the worst ransom attacks ever, the malware, in turn, used that access to fell Kaseya’s customers.

The attack struck on Friday afternoon in the lead-up to the three-day Independence Day holiday weekend in the US. Hackers affiliated with REvil, one of ransomware’s most cutthroat gangs, exploited a zero-day vulnerability in the Kaseya VSA remote management service, which the company says is used by 35,000 customers. The REvil affiliates then used their control of Kaseya’s infrastructure to push a malicious software update to customers, who are primarily small-to-midsize businesses.

In a statement posted on Monday, Kaseya said that roughly 50 of its customers were compromised. From there, the company said, 800 to 1,500 businesses that are managed by Kaseya’s customers were infected. REvil’s site on the dark web claimed that more than 1 million targets were infected in the attack and that the group was demanding $70 million for a universal decryptor.

Read full article here…



John McAfee Found Dead. He Previously Tweeted: ‘If I Suicide Myself, I Didn’t. I Was Whackd.’

John McAfee, former presidential candidate and founder of McAfee Associates, was found hanged to death in his prison cell in Spain. Authorities claim it was a suicide. Hours before he was found dead, Spain had approved the United States’ request to extradite him for criminal tax evasion charges. In 2019, McAfee tweeted that he would not kill himself and got a tattoo of an image that says $WHACKD that was connected to a cryptocurrency token that McAfee was selling at the time. Another tweet from 2020, after he was arrested and imprisoned in Spain, declared that he would not hang himself a la Epstein. McAfee was accused of killing his neighbor in Belize in 2012.

Click link for video:   https://banned.video/watch?id=60d662126bc1da2be261c2f6

John McAfee, former presidential candidate and founder of McAfee Associates, was found dead in his prison cell in Spain. In 2019, McAfee tweeted that he would not kill himself. Another tweet from 2020 mentioned the same. However, authorities have said that his death appears to be a suicide.

In 2019, McAfee Tweeted, ‘If I Suicide Myself, I Didn’t. I Was Whackd.’

In November 2019, about a year before he was arrested, McAfee tweeted that he had gotten a “$WHACKD” tattoo and wrote that he would not “suicide myself.” He then include a link to where people could buy a “$WHACKD” token.

Read full article here…

Article about the murder of McAfee’s neighbor in 2012:  https://www.itpro.co.uk/security/33284/john-mcafee-ordered-to-pay-25-million-over-neighbours-murder