THE U.S AUTHORITIES ARE KICKING CRYPTOCURRENCIES HARD.
The abrupt revelation that the United States Department of Justice (DOJ) will be announcing international crypto enforcement action in a few hours sparked a minor dip in the cryptocurrency market last week. Crypto tweeters started speculating about which cryptocurrency company the DOJ was targeting right away. Because both Binance and Tether have already come under examination from US authorities and because SBF may be providing critical information about both with authorities, many people believe that they are frauds.
When CZ, the CEO of Binance, tweeted the number 4, talk shifted to Tether. As you may recall, CZ tweeted a list of priorities earlier this month, with Ignored the FUD listed as number four. Crypto tweets naturally think that CZ was confirming that Binance was likely to be attacked. Before the DOJ disclosed that the crypto firm was cracking down on an arbitrary Russian exchange named Bitzlato, the cryptocurrency market immediately began to collapse. Even crypto GOs are said to have been unaware of the existence of the exchange where Bitzlato allegedly used bitcoin to launder hundreds of millions of dollars.
Though it appeared that the cryptocurrency trader had been paying enough attention to the headlines, the crypto market quickly moved away from the FUD and continued to grow. According to US authorities, Binance was one of Bitzlato's counterparties, as reported by Cointelegraph and others. This doesn't imply that Binance was complicit in or even knowledgeable about what Bitzlato was doing. In fact, Binance might help the FED bring down Bitzlato by giving them the information they need. This indicates that since FTX and Alameda fell, crypto firms and exchanges have come under intense scrutiny, and that additional enforcement proceedings may be forthcoming.
You should be aware that not all centralized crypto firms are subject to this examination. Recently, the SEC asserted that the mango market and its Defi governance token are securities, necessitating extensive regulation. Although this assertion was made in a multi-million dollar lawsuit against the Mango Market exploiter, it nevertheless raises the possibility that the SEC is keeping an eye on both enterprises and cryptocurrency ventures. Before its lawsuit against Ripple is concluded, the SEC is likely to wait to take action against any significant cryptocurrency companies.
A lot to cryptocurrency regulations are ongoing and cryptocurrency is still standing strong.