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Grayscale wins SEC lawsuit for Bitcoin ETF review

Crypto asset manager Grayscale Investments recently scored a big win in its battle against the United States Securities and Exchange Commission. 

In an ongoing effort to convert its Grayscale Bitcoin Trust (GBTC) into a Bitcoin exchange-traded fund (ETF), the U.S. appeals court judge accepted Grayscale’s argument that the SEC’s rejection of its recent ETF application was unfair. The SEC had alleged that the GBTC didn’t have enough safe practices and fraud protection in place.

Judge Neomi Rao gave the green light to Grayscale’s request for a second review.Previously, Rao said that the SEC did not “offer any explanation” as to why Grayscale was in the wrong.

However, the victory doesn’t automatically mean Grayscale’s Bitcoin ETF is a done deal. There’s still more to come…

Ben Simpson

BitBoy Crypto brand will no longer include YouTuber Ben Armstrong

The parent company of Hit Network, the folks behind the “BitBoy Crypto” brand, just gave the boot to its public face, Ben Armstrong.

The company alleged issues of substance abuse and financial damage as reasons behind the decision. 

In a YouTube and social media announcement, Hit Network revealed that despite its efforts to support Armstrong during his struggle with addiction, it had decided to part ways with the influencer.



This follows Armstrong facing a series of lawsuits in recent times. He was in a class-action lawsuit where investors accused him and other influencers of promoting FTX without disclosing how much they were getting paid by the exchange.

Furthermore, during the lawsuit, there were claims that Armstrong threatened the plaintiff’s lawyers and even blew off a federal judge’s orders to show up in court. The case was put on hold in June. 

SEC delays decision on 6 spot Bitcoin ETF applications

The SEC has chosen to postpone delivering a decision on six applications for spot Bitcoin ETFs in the United States. The commission has opted to extend its review period by an additional 45 days, pushing the eventual decision back until October. Shortly after the news broke, the SEC also put BlackRock, the biggest asset manager in the world, in the same delayed decision boat.

Bitwise withdraws Bitcoin and Ether Market Cap ETF application

In a surprising twist following the U.S. SEC’s announcement of delays, Bitwise has submitted a request to retract its application for its Bitcoin and Ether Market Cap Weight Strategy ETF. This application was originally submitted to the SEC on Aug. 3. It seems that Bitwise is taking a step back to reconsider its approach, despite the brief positive market sentiment that followed Grayscale’s recent SEC win.

Robinhood bought back Sam Bankman-Fried’s stake from US gov’t for $606M

Crypto and stock trading platform Robinhood scooped up more than 55 million shares of their own company that were previously owned by Sam Bankman-Fried, the former CEO of FTX. The purchase, which cost Robinhood roughly $606 million, was finalized this week after it filed the paperwork with the U.S. SEC. These shares originally held by Bankman-Fried and Gary Wang, a co-founder of FTX, through a company called Emergent Fidelity Technologies.

However, back in January, the U.S. Department of Justice seized these shares. The purchase has been in the works for a while. Robinhood’s board of directors gave it the green light in its Q4 2022 report, and an SEC filing from August confirmed that the U.S. District Court for the Southern District of New York approved the purchase without any legal complications.

Winners and Losers

Winners and Losers

At the end of the week, Bitcoin (BTC) is at $25,610, Ether (ETH) at $1,618 and XRP (XRP) at $0.49. The total market cap is $1.03 trillion, according to CoinMarketCap

Among the biggest 100 cryptocurrencies, the top three altcoin gainers of the week are Toncoin (TON) at 33.90%, Iota (MIOTA) at 13.13% and Maker (MKR) at 12.33%.

The top three altcoin losers of the week are KuCoin Token (KCS) at 15.53%, Hedera (HBAR) at 15.02% and Astar (ASTR) at 12.82%.

For more info on crypto prices, make sure to read Cointelegraph’s market analysis

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Most Memorable Quotes

“There are many cases where transparency is a feature, but people do not want most transactions in the economy to be public.”

Brian Armstrong, CEO of Coinbase

“Now that the courts are starting to rein in the SEC a bit, I think there’s some hope that the industry is kind of igniting again in the U.S.”

Jeremy McLaughlin, partner at K&L Gates

“In the end, we will win. You can’t steal someone’s company they built on their identity and win.”

Ben Armstrong, former frontman of BitBoy Crypto

“I definitely do think we could see in this next cycle $100,000 cost per Bitcoin, and that’s based on if BTC were to capture even 2 to 5% of gold’s $13 trillion place in institutional portfolios.”

Sue Ennis, vice president of Hut 8

“We see limited downside for crypto markets over the near term.”

JPMorgan analysts

“I spoke to a guy the other day that has 80 altcoins in his portfolio. There’s no way an individual investor can stay across and know exactly what 80 different coins are doing at any one time.”

Ben Simpson, founder of Collective Shift

 Prediction of the Week

Bitcoin risks ‘swift’ $23K dive after BTC price loses 11% in August

Data indicates that Bitcoin is on track for a retest of long-term support levels following a drop in BTC price as August came to a close. Reversing the gains witnessed the previous week, BTC/USD is now trading below $26,000 as of Sept. 1, according to data from Cointelegraph Markets Pro and TradingView.

Initially, market participants had reasons to be optimistic as Bitcoin held a key long-term trendline and maintained the $27,000 level. However, a decision by the U.S. SEC to delay several Bitcoin ETF applications caused a change in sentiment.Bitcoin swiftly shed $1,000 in value over just two hourly candles.

Read also


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Is China softening on Bitcoin? A turn of phrase stirs the crypto world


Features

Australia’s world-leading crypto laws are at the crossroads: The inside story

Traders have been speculating over the movements. “On-chain data suggests that $BTC lacks strong support below the $25,400 mark,” popular pseudonymous trader Ali told X (formerly Twitter) subscribers.

On-chain monitoring resource Material Indicators delivered a similarly grim picture for BTC/USD on daily, weekly and even monthly timeframes. Using signals from one of its proprietary trading tools, Trend Precognition, Material Indicators advised that $24,750 needed to hold for bulls to have a chance at clinching a rebound.

FUD of the Week

Balancer exploited in nearly $900k after vulnerability warning.

The Ethereum automated market maker and decentralized finance protocol, Balancer, confirmed that it had fallen victim to an exploit, resulting in losses of nearly $900,000. This incident occurred shortly after it had disclosed a vulnerability that impacted several pools.

An Ethereum address allegedly belonging to the attacker has been revealed by blockchain security expert Meier Dolev. Following the exploit, the address received two transfers of Dai stablecoin worth $636,812 and $257,527, respectively, bringing its total balance to over $893,978.

“Balancer is aware of an exploit related to the vulnerability below,” the protocol’s team posted on X, adding that, while mitigation measures taken in recent days had drastically reduced risks, affected pools could not be paused. “To prevent further exploits, users must withdraw from affected LPs,” the team advised.

Brian Armstrong

Brazilian crypto streamer loses money by accidentally exposing private key

A Brazilian cryptocurrency streamer is one of the latest victims of unsafe self-custody practices, reportedly losing thousands of dollars due to a private key accident. The owner of the Fraternidade Crypto channel, Ivan Bianco, unwittingly exposed his private key to a self-custodial cryptocurrency wallet during a livestream on YouTube.

In the middle of the livestream related to Bitcoin and blockchain games, Bianco apparently tried to access his passwords for the blockchain games platform Gala Games through a text file on his computer.

Unfortunately for the streamer, his Gala Games passwords were stored in the same text file as the seed phrase for his MetaMask wallet, which had a significant amount of Polygon (MATIC).

Exploits, hacks and scams stole almost $1B in 2023: Report

Cybersecurity firm CertiK reported that over $997 million was lost to flash loan attacks, exit scams and exploits in 2023. Malicious actors targeting the crypto space have taken more than $45 million in digital assets from their victims in the month of August alone and a total of $997 million year-to-date.

In the report, CertiK highlighted that exit scams took around $26 million, flash loan attacks took $6.4 million, and exploits took $13.5 million from their victims in August 2023. The cybersecurity firm confirmed that the total losses amounted to over $45 million.

Best Cointelegraph Features

How to protect your crypto in a volatile market: Bitcoin OGs and experts weigh in.

Crypto is a volatile place. Money can be as easily lost as made through the ups and downs of Bitcoin and the wider market. Bitcoin OGs, veterans and experts provide their opinions, tools and views on how to protect your crypto.

6 Questions for Leila Ismailova: Digital fashion and life after Artisant

Leila Ismailova began her professional career at the age of 15 as a broadcasting star in Belarus, the Russian-neighboring Eastern European country that plays home to 9.3 million citizens. She continued in the role for 10 years, she says, before reaching what she felt was a “professional ceiling” and beginning a journey that led to Web3.

Crypto Banter’s Ran Neuner says Ripple is ‘despicable,’ tips hat to ZachXBT: Hall of Flame

Ran Neuner is the CEO of Onchain Capital, founder of Crypto Banter, and a vocal crypto commentator on X. According to Crypto Banter’s Ran Neuner, following people you dislike on Twitter/X can actually make you smarter.

Editorial Staff

Cointelegraph Magazine writers and reporters contributed to this article.

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The final head-to-head

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The final head-to-head

This is day 35 of the campaign. Jack and Sam discuss Rishi Sunak and Sir Keir Starmer going head-to-head in the final live TV debate.

They also take a look at how the two leaders have fared throughout the campaign so far, the Gamblegate story that won’t die, and Reform going big on Net Zero – parliament’s next big battle.

👉 Tap here to follow Politics at Jack and Sam’s wherever you get your podcasts 👈

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Election 2024: I spent a week travelling on night buses to see a view of the UK politicians don’t

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Election 2024: I spent a week travelling on night buses to see a view of the UK politicians don't

There is a rhythm to a night at the Bolton Interchange.

People dart from arriving buses, racing across the concourse to catch departing ones. Sometimes they do, sometimes they don’t. Each rush is followed by a brief lull.

Every night, hundreds of lives intersect at the Bolton Interchange. The night-shift workers and commuters, those out on the town and those just a little bit lost.

Each one has their own story, some are happy to chat, most lose themselves in whatever is playing through their headphones.

I spent a week on the night buses. With the election looming, what the politicians are experiencing on their campaign battle buses is not what ordinary people are seeing. Theirs is a very different perspective.

Sky News's Greg Milam spoke to passengers on night buses
Image:
Sky News’s Greg Milam spoke to passengers on night buses

There is an unmistakeable despair about the state of the country, an indifference to what the political process might do about it and a dark humour about the future. There are very few flickers of optimism.

From the bus-spotter who says the country needs “a good clean”, to those who yearn for a Britain of a different age, to Pete, the elderly bluegrass guitarist heading for an open-mic night.

What does he think of Britain today? “Me and 50 mates are going to go to Lake Windermere to take a s*** in the water. We’ll see if they do anything to stop us, because they don’t seem to be stopping the water companies.”

It is just one of the many raw expressions of the frustration and hopelessness that I hear. As Carl, the night supervisor at the interchange, says: “Late shifts are different here. It is a real eye-opener.”

Sophia Talbot

‘Vote? I just can’t be bothered’

With her shock of white hair and ankle-length peach quilted coat, Sophia Talbot is hard to miss as she jogs across the interchange concourse. She turned 80 a few weeks ago but is still working full-time. She is taking the 125 bus home after completing filming in Bolton as an extra on the TV drama, Waterloo Road.

Sophia: The country is a mess. When I first came to Bolton 21 years ago it was a really nice place and now it’s all run down and boarded up and I think that speaks for everywhere.

Every time I go to the supermarket, I seem to get less for my money. I can drive but I can’t afford a car so that’s why I take the bus.

I do the extras work for a bit of extra money. Extra extra money, I call it.

I don’t think I’ll last long enough to see things in this country change for the better. It will take a long time for that to happen because it has gone down too far.

I probably won’t even vote. I didn’t last time or the time before if I remember right. I just can’t be bothered, and I know that’s not good because if you don’t do it, you can’t blame anybody but yourself, can you?

‘I’m treated as third class, common muck’

It is just after 8pm, still light on this early summer evening, and Janey Fairhurst is passing through the interchange on her way from Bury to Wigan, after spending the day with a bereaved friend. She lost her job in medical research in November and, after 10 interviews, is still searching for work.

Janey: My life is drastically different to what it was. There are just not enough jobs. There are jobs down South but I feel the North gets forgotten about quite a lot when it comes to politics. Maybe they need to remember that we started the industrial revolution and they wouldn’t be here if it weren’t for that so maybe give the North some more funding and more jobs.

The empire is over, Britain has just crumbled, it has been going in the wrong direction for a long time and there’s no trust between the people and the politicians.

When I was in work I felt like I was winning. I could buy the Tropicana instead of Tesco’s own brand orange juice. You don’t really think about the politics of it all when you’ve got the money.

Now, I feel like I’m treated as third class, common muck and I’m not. I come from a good family. I feel frustrated, angry, sad, belittled, in a way – judged. I worked so hard to get where I was and now I can’t get back into it.

Another night bus rider

‘The cost of living has put a lot on people’

Three buses in the morning and three more in the evening are the routine of Saila Shabir’s working life. From her home in Great Lever to her job in Manchester, she says her time spent travelling has given her perspective on the value of community and the state of the country.

Saila: I think it wouldn’t do any harm for everyone to get on the night bus and experience life from this side of things. It might not be their cup of tea but it is a way to understand what people are saying and doing.

I find it uplifting travelling on the bus in the evening because you get to see people from all sorts of backgrounds. It is amazing, really, and it opens your mind that there’s huge prospects and a really expansive community that we could all bring together under one roof.

I’m not going to say I’m despairing but the cost of living has put a lot on people. People need to work together, we can’t just rely on one set of people to do it all. I am hopeful because I do trust the right people will do the job properly. I do see the darker side of life on the buses sometimes but you need the dark to see the light.

Rick Conlon

‘I have never known this country in such a state’

From his blue suede boots to his embroidered collar, Rick Conlon is dressed for a night on the town. It is 11pm and he is making his way home to Rochdale. At 6ft4in with a shaved head, it’s easy to see why he’s well known in local boxing circles. He is jovial despite despairing of Britain today.

Rick: I’m 58 and I’m not political particularly but I have never known this country in such a state. I just think it’s really tough at the moment. I know inflation has come down but there’s a lot of people far worse off than me struggling for food and the basic necessities.

We’re the fifth-richest country in the world, I find it incredible. When I was 16, 17, 18, in Margaret Thatcher’s time, 1981 and 1982, with all that political and social unrest, the country was still a better country. We had massive unemployment but the country was still a better country. People were looked after.

There’s that old saying about how you can judge a country by how it looks after its elderly. It’s just ridiculous how little they’re paid and how little they’re thought of.

If there’s one thing that makes me optimistic, bus fares make me optimistic. Two pounds – you can’t argue with that. Even then they’re probably subsidised but that’s great, because this is a great country, it’s just the government letting us down.

Muj Malik

‘If it was up to me, I’d move country’

Muj Malik is travelling home with his partner Tabitha and five-month-old son, Zair, after another exhausting day searching for a new family home. They have faced months of frustration on growing council house waiting lists and, they say, see countless videos on TikTok from other young families in the same situation.

Muj: Things are not good in this country. My grandma moved here from Pakistan and my mum was born here so I’m third generation but, if it was up to me, I’d move country. I don’t want to live here for the rest of my life. I don’t see the point because the country is just going sideways.

At the end of the day, I’ve got a mixed-race baby, I grew up in a predominantly white area. I like the country and the people and I know there are people far worse off than us. But you’ve got war veterans from this country, people who have gone to war for this country, they’ve put their lives on the line, they’ve lost friends, and you’ve got them sitting outside of Asda homeless with no help whatsoever.

This country is fading miserably. I like the people, it’s not about the people, it’s about the way the country is run.

If you want to watch our special report on Sky News you can tune in at 10.30am, 12.30pm, 2.30pm, 4.30pm, 6.30pm and 8pm.

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Man arrested over unsolicited messages sent to MPs and others in Westminster honeytrap scandal

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Man arrested over unsolicited messages sent to MPs and others in Westminster honeytrap scandal

A man has been arrested as part of the police investigation into the Westminster honeytrap scandal.

The Metropolitan Police said they arrested a man in Islington, north London, on Wednesday on suspicion of harassment and offences under the Online Safety Act.

Multiple victims were informed by the police shortly afterwards.

Earlier this year, at least 12 men in political circles received unsolicited, flirtatious WhatsApp messages from people calling themselves “Charlie” or “Abi”, Scotland Yard said.

Explicit images were exchanged in some instances.

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A Met Police spokesman said: “On Wednesday, 26 June, police executed a warrant at an address in Islington.

“A man was arrested on suspicion of harassment and committing offences under the Online Safety Act. He was taken into custody where he remains.

“The arrest relates to an investigation being carried out by the Met’s parliamentary liaison and investigation team following reports of unsolicited messages sent to MPs and others.

“The investigation remains ongoing.”

The man who has been arrested is understood to be in his mid-20s.

Read more:
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Conservatives withdraw support for two candidates over betting scandal

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Tory MP targeted in honeytrap sexting scam

Conservative Dr Luke Evans first reported the “honeytrap”, revealing he was approached in March by two different numbers on WhatsApp “who purported to know me”.

He said he was the victim of cyber flashing and malicious communications “and blew the whistle by reporting it to the police and the parliamentary authorities as soon as this happened”.

William Wragg. Pic: PA/UK Parliament
Image:
William Wragg. Pic: PA/UK Parliament

Then-senior Conservative William Wragg stepped down from the party when the scandal erupted in April after he admitted sharing other politicians’ personal numbers to someone he met on a dating app who threatened to release compromising information and pictures he had sent them.

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