SEC Targets Binance & SEC Sues Coinbase [ Crypto Espresso 6.7.23 ]

It's Wednesday and you know what that Means it's the same thing we do every Wednesday pinky try to read the news Headlines I'm your brainy host Andrew And this is crypto espresso your teeny Tiny daily shot of caffeinated crypto Headlines and let's go first up the U.S Securities and Exchange Commission has Classified 12 cryptocurrencies as Securities in a legal complaint against Binance the world's largest crypto Exchange for allegedly selling Unregistered Securities the SEC claims That binance violated the Securities Act Of 1933 by offering digital assets that Are considered investment contracts Under the Howie test according to the SEC some of the cryptocurrencies that Fall under this definition are cardano Cosmos filecoin polygon and Solana the Sec's action could have significant Implications for the crypto industry as It could subject these tokens to Stricter regulations and disclosure Requirements it could also affect the Investors who hold these tokens as they May face legal risks or losses if the Tokens are delisted from exchanges or Deemed illegal binance has denied the Sec's allegations and said that it Complies with all applicable laws and Regulations in the jurisdictions where It operates binance has vowed to fight The sec's lawsuit and defend its rights

And interests and they made it clear That customer funds are and always have Been safe and secure on their platforms And as always I gotta say it binance is The parent company of coin market cap But binance isn't the only entity facing The sec's scorn coinbase is also facing A lawsuit for allegedly violating Securities laws the SEC claims that Coinbase has operated as an unregistered Broker exchange and clearing agency and Has offered several tokens that are Considered Securities without proper Disclosure Deja Vu the SEC has been Cracking down on crypto companies since FTX collapsed in November of 2022 Raising concerns about investor Protection and Market Integrity coinbase Has challenged the lawsuit saying it has Complied with all applicable regulations And has sought Clarity from the SEC on Crypto rules for years coinbase's Chief Legal officer Paul Grewal said that the Sec's enforcement only approaches Hurting the US economy and Innovation he Also said that coinbase will continue to Operate its business as usual and will Fight the sec's case in court if Necessary a recent Cyber attack on Atomic wallet a popular cryptocurrency Wallet service resulted in the theft of 35 million dollars worth of digital Assets from its users according to Elliptic a blockchain compliance

Analytics firm some of the stolen funds Have been converted to bitcoin and sent To a crypto mixer called sinbad.io this Mixer is known to be used by the Lazarus Group a notorious hacking group linked To North Korea additionally while it's Connected to the atomic wallet hack have Been connected to wallets that are Connected to previous hacks by the Lazarus group elliptics investigations Team reported that sinbad.io is likely a Rebranded version of blender.io which Was another mixer that was sanctioned by The U.S treasury Department for Laundering over 100 million dollars in Crypto assets stole in by the Lazarus Group Atomic wallet acknowledged the Hack on June 3rd and claimed that it Affected less than one percent of its Monthly active users it also advised its Users to report the illicit transfers to The most popular crypto exchanges which Could potentially prevent the Hackers From exchanging or cashing out their Funds however elliptic's findings Suggest that it may already be too late For many victims as their funds have Already been mixed and laundered through Sinbad.io fintech trading app Robinhood Is currently evaluating the listing of Tokens that have been named as Unregistered Securities in recent Enforcement actions by the SEC against Binance and coinbase yeah we just talked

About that Robin Hood's Chief legal Compliance officer Dan Gallagher Testified before the house agriculture Committee stating that the company is Actively reviewing the sec's analysis to Determine appropriate actions while Robinhood holds a broker-dealer license For Securities trading Gallagher Expressed doubts about the company's Ability to trade tokens listed as Unregistered Securities such as Solana Polygon and card Dano due to the lack of Disclosures typically required for Security Investments during the hearing There were concerns raised about the Lack of mandatory disclosures and Transparency in the crypto space Gallagher highlighted the need for Compulsory disclosure standards in the Digital asset realm as retail investors Often struggle to understand the nature Of their crypto Investments Representative John Duarte expressed Skepticism about the effectiveness of Disclosures for crypto projects Comparing the situation to special Purpose acquisition companies which had Faced criticism for insufficient Disclosures and poor outcomes for retail Investors and meanwhile that's that's Actually what it's called meanwhile a Bitcoin backed and ai-powered life Insurer has raised 19 million dollars in Funding to enable deceased Bitcoin

Holders to pass on their digital assets To their loved ones the funding round Was co-led by Sam Altman CEO of openai And Lachi groom an original employee at Stripe gradient Ventures a google-backed Venture capital fund led the second Round of funding meanwhile the company Operates as a licensed and regulated Life insurance company in Bermuda Utilizing artificial intelligence for Claims processing and health risk Assessment premiums and claims are Exclusively in Bitcoin with the company Generating Revenue through lending a Portion of the collected premiums and Charging interest on the loans by Leveraging AI for various processes and Conducting all transactions in Bitcoin Meanwhile aims to provide a tech enabled Solution for the transfer of digital Assets after death and meanwhile in my Engagement Spiel not the company I was Relating to something happening Elsewhere not meanwhile the company Though I guess I just mentioned them now So turns out meanwhile is in my Engagement be all in all forms Before your brain hurts too much please Like this video subscribe to our YouTube Channel and click on that little bell Icon to get buzzed whenever a new crypto Espresso video goes live uh thoughts on Today's episode meanwhile giving you a Brain ache yeah I know

Well comment below because I read those Comments today Meanwhile I'll take them meanwhile too Seriously meanwhile questions about our Headlines or crypto in general take that Plungeness Alex in the description below Alex is always a great resource for all Things web 3 and the metaverse end that About does it for today as always I've Been your host Andrew these have been Your headlines and we'll see all of your Beautiful shining faces tomorrow