COIN BUREAU NEWSFLASH! – (23/09/22) Here are some of today’s m | Coin Bureau Insider
COIN BUREAU NEWSFLASH! – (23/09/22)
Here are some of today’s most important headlines:
Cardano Blockchain’s Vasil Upgrade Goes Live
After a three-month delay, Cardano’s Vasil hard fork has finally gone live as of Thursday at 9:44 pm UTC. The upgrade process will last five days and will enable increased network capacity, higher throughput, and lower transaction costs on the peer-reviewed, proof-of-stake blockchain platform.
According to Frederik Gregaard, CEO of the Cardano Foundation,
"Vasil will enhance Cardano's smart contract capabilities through Plutus V2, which adds greater efficiency to an already powerful smart contract platform. Ultimately, it will reduce script execution costs and transaction size, plus improve throughput."
https://decrypt.co/110356/cardano-blockchain-moves-forward-with-vasil-upgrade
IRS Wins Order for SFOX Customer Data in Crypto Tax Push
The U.S. Internal Revenue Service (IRS) has been given the authority to summon M.Y. Safra Bank via a so-called "John Doe" summons, which enables the tax authority to gather information on customers of the bank's partner SFOX, a crypto prime dealer. This is the latest in a series of such summons issued to crypto companies like Kraken, Circle and Coinbase.
IRS Commissioner Charles Rettig stated,
“The government’s ability to obtain third-party information on those failing to report their gains from digital assets remains a critical tool in catching tax cheats.”
https://www.bloomberg.com/news/articles/2022-09-22/irs-wins-order-for-sfox-customer-data-in-cryptocurrency-tax-push
Coinbase Counters WSJ Claim Its Risk Solutions Group Engaged In $100M Proprietary Trade
The Wall Street Journal recently published an article that claims Coinbase hired traders to engage in proprietary trading (i.e., trading with the company’s own funds) and staking of crypto with the goal of making a profit. According to the report, Coinbase recently conducted a $100 million test trade for its proprietary trading operation.
Coinbase published a blog post responding to these claims on Thursday. It states,
“Unlike many of our competitors, Coinbase does not operate a proprietary trading business or act as a market maker. In fact, one of the competitive strengths of our Institutional Prime platform is our agency only trading model, where we act only on behalf of our clients. As a result, our incentives and our clients’ incentives are aligned by design.”
https://cointelegraph.com/news/coinbase-counters-wsj-claim-its-risk-solutions-group-engaged-in-100m-proprietary-trade
CFTC Files the First Lawsuit Against a Decentralised Autonomous Organisation
For the first time ever, the Commodity Futures Trading Commission (CFTC) has filed a lawsuit against a decentralised autonomous organisation (DAO), including the holders of governance tokens. The DAO in question is the ‘Ooki DAO’ by decentralised trading platform bZeroX and its members have been charged with digital asset trading violations.
The case against the DAO is a result of a prior lawsuit against the founders of bZeroX- Tom Bean and Kyle Kistner, for their role in “illegally offering leveraged and margined retail commodity transactions in digital assets.” While that lawsuit has been settled, the CFTC filed a complaint against the DAO stating,
"A key bZeroX objective in transferring control of the bZx Protocol (now the Ooki Protocol) to the bZx DAO (now the Ooki DAO) was to attempt to render the bZx DAO, by its decentralised nature, enforcement-proof. Put simply, the bZx founders believed they had identified a way to violate the Act and Regulations, as well as other laws, without consequence."
The complaint goes on to state that the founders were wrong in their assumption and claim that during the relevant period multiple Ooki DAO members have “resided in the United States and have conducted Ooki DAO business from within the United States."
https://www.theblock.co/post/172274/cftc-files-lawsuit-against-decentralized-autonomous-organization
