tl;dr
Cathie Wood is not playing games going after an Ethereum Spot ETF. Meanwhile, DCG's legal woes increase from the inside. Here is what is on my mind today.1. Cathie Wood's ARK Invest , 21 shares have made it official and filed for an Ethereum Spot ETF. This is a big deal since Ethereum has been deeme...
Cathie Wood is not playing games going after an Ethereum Spot ETF. Meanwhile, DCG's legal woes increase from the inside. Here is what is on my mind today.
1. Cathie Wood's ARK Invest , 21 shares have made it official and filed for an Ethereum Spot ETF. This is a big deal since Ethereum has been deemed a commodity. That places jurisdiction with the CFTC. As much as I am expecting pushback from the SEC (only because they like to pick fights and waste taxpayer money) for no reason, I think this is going to be a thing. Mind you, ETH held on exchanges is at a 5-year low. That says most people are not interested in selling their ETH.
2. The world of Digital Currency Group is imploding. They are fighting battles on many fronts. Of course, I have been reporting on their current battle with Gemini. Then you have the payout deal they just reached with some of their creditors, not including Gemini. Well, now you have Genesis over a $600M debt. The company alleges DCG borrowed $500M over 4 different credits in 2022. Is DCG attempting to doge debt? More importantly, does this strengthen the case against them brought by Gemini? Time will tell, but this is popcorn worthy.
3. In a shocking turn of events, Riot Platforms made $31.7M as Texas was going through their energy crunch. How is this so? Well, by participating in the Electric Reliability Council of Texas (ERCOT) demand response programs, Riot was able to earn that money through energy credits, by decreasing their usage. You see, Texas will give you credit if you pull back on your energy usage. Pretty interesting change of events.
4. I don't know if you have been paying attention, but Visa has been making massive moves to ensure its future. More importantly, it knows its future had better involve blockchain technology, cryptos, CBDCs and stablecoins. If you recall, they recently expanded their stablecoin settlement capabilities to Solana, launching a cross-border money system using Circle's USDC. I am sure there is more to come.
5. Back in July, I told you how Japanese financial giant SBI was singing the praises of XRP. Well, there was a reason for that and it has become clear. SBI, through their subsidiary, SBI Remit, has implement cross-border remittances using XRP. You knew something was coming, but this is a very big deal. If you have been paying attention, SBI has been involved in a lot of cross-border experiments, including DeFi transactions. This is just their latest move. For Ripple, demand is growing.
6. The Financial Accounting Standards Board (FASB) has decided to allow companies in the U.S., such as MicroStrategy, Coinbase Global, and Tesla, to use fair-value accounting to measure their bitcoin and other crypto assets. This new approach enables companies to record gains and losses immediately and classify crypto assets as financial assets. It replaces the current practice of treating crypto holdings as indefinite-lived intangible assets and valuing them at historical prices. The FASB's new accounting rules, effective in 2025, provide a more accurate and transparent method for valuing crypto assets. This is an example of impactful modernization.