Bitcoin rose to $26,256 in Asia on Friday (September 8), with good news coming from the Biden administration. The Financial Accounting Standards Board (FASB) took action to insist that companies report their cryptocurrency holdings at current value, removing the main obstacle for U.S. companies to adopt Bitcoin as a reserve asset. The U.S. Commodity Futures Trading Commission (CFTC) called for a cryptocurrency regulatory pilot program to develop and pass rules for retail investors. Binance CEO Changpeng Zhao (CZ) cracked down on negative sentiment and ensured that there were no liquidity issues on the exchange, stimulating the strength of Bitcoin and Binance Coin.
US FASB: Companies must report cryptocurrency holdings at “fair value”
The U.S. FASB evaluated opinions on "Corporate Bitcoin Holdings at Current Value" on Wednesday and allowed staff to draft the final version of the new accounting standard, which will take effect for fiscal years beginning after December 15, 2024. The final language is expected to be approved in a written vote before the end of the year.
“I think we’ve heard from the vast majority of investors who allocate capital based on financial statement usage that this will give them better information to make decisions, so I fully support it,” said FASB Chairman Richard Jones.
MicroStrategy CEO Michael Saylor tweeted that the development "removes a major barrier to corporate adoption of Bitcoin as a treasury asset." This means that the era of mass adoption is coming.
Further reading: Biden’s sudden important policy signal: American companies are ready to adopt Bitcoin reserve assets “on a large scale”!
U.S. CFTC Commissioner: Calls for a Cryptocurrency Regulatory Pilot Program
U.S. CFTC Commissioner Caroline Pham has called for a limited pilot program to be implemented as soon as possible to address cryptocurrency regulation, according to a proposal she made. Pham said on Thursday that she plans to propose a pilot program for digital asset markets following a public roundtable discussion, claiming that the United States may soon need to "catch up" with cryptocurrency-friendly jurisdictions.
“The pilot program can create a framework for emerging technologies and market structures based on our existing laws and regulations,” Pham said. “I hope that the pilots of testing, collecting data, and developing pragmatic approaches to tokenization will ensure that we continue to fulfill our mission to foster open, transparent, competitive, and financially sound markets.”
Pham called for a roundtable of stakeholders and expected the CFTC to propose and adopt rules on cryptocurrency risks based on a previous pilot program. At the end of the program, the CFTC will decide whether to make the changes permanent.
Pham, who has served at the U.S. CFTC since April 2022, is one of five commissioners who have called for greater clarity on cryptocurrency regulation. In addition to sponsoring the commission’s Global Markets Advisory Committee, she has proposed initiatives aimed at protecting retail cryptocurrency investors.
Zhao Changpeng’s important statement: Binance does not have liquidity problems
Changpeng Zhao quelled recent rumors against Binance, saying its balance sheet and employee retention remain strong despite near-term market uncertainty. He tweeted on Thursday: "Seeing some debate in the community, when you do the right thing and there is panic (FUD), you don't have to do anything, the community will protect you."
“Let me summarize, there is a lot of negative news and rumors, bank runs, lawsuits, fiat channel closures, product reductions, employee turnover, market exits, etc. Guess what we don’t have? No liquidity problems,” he emphasized.
“All withdrawals and deposits are properly processed, all customer funds are safe (SAFU) and 100% retained,” Zhao Changpeng explained. “What we have left is to see the crypto industry win the lawsuit, the bank run to process and record the deposits, the new fiat currency channel, the smooth retirement of the old products and the launch of new products, new employees, and new markets.”
"The turnover rate of Binance's founding team may be the lowest among technology startups of similar size and age in the world. Please continue to build," he finally defended Binance's corporate system.
Observers pointed out that between July and September alone, at least 10 Binance executives left the company, including former chief strategy officer Patrick Hillmann, former product director Mayur Kamat, former Asia-Pacific head Leon Foong, and Steven Christie.
Zhao Changpeng noted in July that employee turnover is a reality for every company, especially those in a rapidly changing environment.
Bitcoin Technical Analysis
CMTrade said that from the 4-hour chart, the low-level bullish momentum of Bitcoin maintained a slow upward shock, the market bullish sentiment was evident, and there were signs of continued upward movement in the short term. The MACD indicator was weakly consolidating below the 0 axis, and the RSI indicator was weakly hovering near the 50 equilibrium line.
Resistance: 26241 26424
Support levels: 25647 25437
Trading strategy: Bullish above 25852, target 26241 26424
