Hodder Law Weekly Newsletter - March 23, 2023
Hello everyone, I hope you are all having a great week! The price of Bitcoin as of Thursday, March 23 at 6:20 p.m. EST is $28,205.
Headlines.
Lobbying group hunts for proof that feds are targeting crypto. The Blockchain Association has submitted a Freedom of Information Act request to the FDIC, the Federal Reserve, and the Office of the Comptroller of the Currency to learn more about the coordinated effort to choke off access to bank accounts for crypto companies and the demise of Signature Bank.
Fidelity Investments has opened Bitcoin trading to the public. Fidelity's newly opened platform allows customers to purchase Bitcoin, but it can't be transferred to a self-custody wallet. In terms of institutions, Fidelity is probably a trustworthy custodian, but always remember, not your keys, not your coins.
Fed takes coordinated steps to boost dollar liquidity; Bitcoin Tops $28K. Several western allied central banks are making moves to ensure an open flow of U.S. dollars in the global financial system. Dollar swap lines between these central banks have been opened up on a daily basis rather than weekly to calm the volatile markets in the wake of several banking failures.
Coinbase considers setting up a non-U.S. trading platform. The United States is pushing development overseas with its regulation by enforcement tactics. Coinbase Global received a wells notice from the SEC earlier this week.
FedNow is set to launch in July. What the instant payment service could mean for a digital dollar and stablecoins. This new service is being marketed as offering customers full reserve banking, fast settlements, low fees, and environmental sustainability. These are the rails being built for a CBDC, which could lead to Chinese-style social credit scores and tyranny.
Terraform Labs founder, Do Kown, was arrested. Federal prosecutors filed criminal fraud charges against the Do Kown, who already faced civil charges in the U.S. and was arrested earlier Thursday.
Bank runs like these are the reason bitcoin exists. An exposed bank is no different from an exposed Ponzi scheme, albeit one that’s regulated under the rule of law. Although unscrupulous crypto companies like FTX and Celsius ran on a similar fractional reserve model, a lack of regulation hasn’t afforded them the same leniency under the law.
Watch the latest HodlCast on my YouTube channel.
Hodder Law Firm Blog. Signature Bank Receivership. Recently, the state regulators put New York-based Signature Bank into receivership, causing many to question the limits of the government's power to take over private property. While the bank was not taken over due to insolvency, it was done as a preventative measure to protect depositors and ensure the bank's stability. Click to read the rest of the article on the Hodder Law website.
CoinDesk All About Bitcoin. I was interviewed on CoinDesk earlier this week to discuss Coinbase's case at the Supreme Court. California refused to uphold Coinbase's arbitration clause, and class actions are moving forward where users are suing because they gave their password to a scammer who stole their money. Coinbase would rather settle the matter in arbitration as it bargained for in its Terms of Service. I'd be surprised if the Supreme Court doesn't agree with Coinbase here, we will find out in early June.
Your brain is like a super-computer, and your self-talk is the program it will run.
Make it a great week!
Sincerely,
Sasha Hodder
Hodder Law
