1. Two pieces of encryption legislation in the United States may not be advanced this month due to the SBF trial and the government shutdown farce
According to CoinDesk, the situation is not optimistic for new cryptocurrency laws in the United States. This year, two draft cryptocurrency laws have passed the House Financial Services Committee, one to establish the market structure of cryptocurrencies and the other to regulate stablecoins. The full House of Representatives could have debated and made progress on the two cryptocurrency bills this month. But the government shutdown farce will postpone the hearing of the cryptocurrency bill until the end of this year or early next year. But by then, the United States will enter a presidential election year and legislation will be put on the back burner. The fraud trial of FTX founder SBF will make cryptocurrency legislation a "hot potato" that few lawmakers will want to take over. Although the industry believes that it is wrong to confuse FTX with cryptocurrency as a whole, this subtle difference may be ignored by voters.
It is reported that far-right Republicans in Congress demanded drastic cuts in public spending, almost forcing the government to shut down. A spending bill was barely passed at the last minute, but this caused House Speaker Kevin McCarthy to lose his job. Regulatory expert Sean Tuffy said this would be a heavy blow to the promotion of cryptocurrency legislation. The problem is: if Patrick McHenry becomes speaker, he will have to give up his position as chairman of the House Financial Services Committee. McHenry is one of the most staunch allies of cryptocurrency and he temporarily took over McCarthy's position.
2. Bitcoin’s correlation with the S&P 500 is gradually increasing
The correlation coefficient between Bitcoin and cross-asset class prices on October 9 is as follows: The thirty-day correlation coefficient between Bitcoin and the S&P 500 is 0.348, with a cumulative increase of 0.002 in a week. The thirty-day correlation coefficient between Bitcoin and gold is 0.124, with a cumulative decline of 0.079 in a week. The thirty-day correlation coefficient between Bitcoin and the US dollar is -0.12, with a cumulative increase of 0.14 in a week. Note: 1. If the correlation coefficient value is positive, it means positive correlation; if the value is negative, it means negative correlation. 2. Correlation coefficient value ≤0.5 indicates low correlation; 0.5~0.8 indicates significant correlation; ≥0.8 indicates high correlation.
3.SignalPlus: Market focus on this week's CPI data
The market will next focus on CPI data later this week, which is expected to rise 0.3-0.4% month-on-month, with OER (Owner Equivalent Rent) and travel prices rising. In addition, earnings season will return in full force after this week, with Citi, JPM and Wells Fargo kicking off third-quarter earnings on Friday. Nearly 80% of S&P 500 companies will report results in the next 3 weeks, and profit forecasts have been quite stable, with EPS thresholds slightly higher than the past two quarters.
4. Ethereum Foundation sells 1,700 ETH via Uniswap V3
On-chain data shows that at 16:18 Beijing time, the Ethereum Foundation address exchanged 1,700 ETH for approximately 2.74 million USDC through Uniswap V3.
5. The second round of voting for the Arbitrum Security Council election has begun
The second round of voting for the Arbitrum Security Council election has begun, and there are 19 days left to vote. The second round of voting will last for 21 days. In the first 7 days, representatives will have full voting rights. From the 8th to the 21st day, the voting rights will decrease linearly. The 6 candidates who finally receive the most votes will become members of the Security Council. As previously reported, the first round of voting for the Arbitrum Security Council election has ended, and 24 nominees are eligible to advance. The Arbitrum Foundation has begun the compliance process for the 24 qualified candidates. This stage will last for 2 weeks until October 6, 2023. In addition, the final round of voting will be held on October 6.
6. The U.S. Consumer Financial Protection Bureau is considering requiring technology companies to provide information on their digital currency/stable currency business models and conduct new reviews
According to Decrypt, Rohit Chopra, director of the U.S. Consumer Financial Protection Bureau (CFPB), has warned that large U.S. financial companies are extensively collecting Americans' financial data, a practice that could lead to the U.S. eventually becoming a unified market structure like China. To address this issue, Chopra urged new regulatory measures to require payment companies to provide more information about personal data and the use of digital currencies. He stressed that the disclosure of this information is crucial because private companies have accumulated tremendous power over Americans' financial decisions.
In order to limit surveillance opportunities, the CFPB is considering directly supervising the services of non-bank financial platforms, while promoting the United States' shift to an open, competitive and decentralized banking model to ensure that personal data is not abused. In addition, Chopra also pointed out that the CFPB is ready to take new actions related to digital currencies, with a special focus on stablecoins. He emphasized that stablecoins may involve risks of surveillance and token instability, so the CFPB is considering requiring technology companies to provide more information about their digital currency business models and conduct new reviews.
7. JPEX case internet celebrity Cai Xiaodong arrested, a total of 28 people have been arrested
According to the Economic Times, one more person was arrested in the case of virtual asset trading platform JPEX. According to sources, a 28-year-old man surnamed Cai was arrested by the police at the airport after returning to Hong Kong from overseas yesterday. It is reported that he is the person in charge of the "East Branch" of the cryptocurrency exchange shop (OTC) and the Internet celebrity nicknamed "Dong Ji" Cai Xiaodong. A total of 28 people have been arrested in the JPEX case, 27 of whom have been released on bail. The police have received reports from more than 2,500 people so far, involving a total amount of 1.56 billion yuan. Cai Xiaodong posted on a social platform yesterday that he would assist the police in the investigation in Hong Kong. He clarified that he had not received any money and was not involved in JPEX's harvesting incident. He described himself as having "lost more than 95% of his assets" and stated that he was incompatible with JPEX. , and apologized to the public.
8.Stars Arena: Collaborated with blockchain security experts
Stars Arena, a social protocol based on the AVAX network, tweeted that it has started cooperation with blockchain security experts Paladin Blockchain Security and the Locrian team, which will further enhance the platform's security infrastructure and enhance the team's technical and security capabilities. According to previous news, Stars Arena said that funds have been transferred from the original fee wallet to the new Gnosis Safe multi-signature wallet, which requires 3/6 signatures and is controlled by all members of the Stars Arena team.
9. Upbit suffered about 160,000 hacker attack attempts in the first half of this year, twice as many as in the same period last year
According to Yonhap News Agency, data submitted by Dunamu, the operator of South Korean cryptocurrency exchange Upbit, to the Science, Technology, Information, Broadcasting and Communications Committee of the National Assembly of South Korea showed that Upbit suffered a total of 159,061 network attack attempts in the first half of this year, which is 2.17 times the number of attack attempts in the same period last year. The number of hacker attack attempts on Upbit increased from 8,356 in the second half of 2020 to 34,687 in the first half of 2021, 63,912 in the second half of 2021, 73,249 in the first half of 2022, and 87,242 in the second half of 2022. In fact, Upbit suffered a loss of about 58 billion won (about 43 million US dollars) due to hacker attacks in 2019. Dunamu said that in order to strengthen security, cold wallets control more than 70% of asset management, and hot wallets implement multi-structure decentralized operations; since the hacker attack in 2019, there has not been a single actual network attack.
10. Hong Kong Treasury Bureau: intends to consider appropriate regulatory agencies, forms and regulatory requirements to regulate OTC
According to the Hong Kong Economic Times, the Financial Affairs Committee of the Legislative Council of Hong Kong will discuss the regulation of virtual asset trading platforms. Regarding the feasible form of regulation of OTC, the Financial Services and the Treasury Bureau of Hong Kong responded that the government and regulatory agencies will review regulatory measures from time to time and consider introducing appropriate measures in response to market development, including regulating related businesses other than virtual asset trading platforms, which will take into account the appropriate regulatory agency, form and regulatory requirements. It is reported that Hong Kong has not officially counted the number of OTCs operating in physical stores. The industry estimates that there are more than 100 in Hong Kong, some of which handle billions of cash transactions each year. In addition, industry insiders also suggested that OTCs should be supervised by the Customs, and the existing MSO license should be extended to virtual assets. Transactions exceeding 8,000 yuan must be registered with real names. At the same time, a responsible person must receive AML training and set up a mechanism to report suspicious transactions. Customs should also set up a dedicated team and enhance professional knowledge.