Bitcoin is under critical selling pressure as bulls fail to reclaim the $90,000 level, while bears struggle to break below the $81,000 support zone. The market remains stuck in a tightening range, with macroeconomic uncertainty and global instability continuing to weigh heavily on investor sentiment. President Donald Trump’s latest tariff announcements have added fuel to the volatility, further shaking risk assets like Bitcoin. Despite the fragile outlook, some data suggests the worst may be behind. Top analyst Axel Adler shared insights based on the Bitcoin Realized Price by Inter-Cycle Cohort Age model — an indicator designed to measure the duration of market corrections through the appearance of a “Dead Cross.” This occurs when the realized price of newer investors crosses below that of longer-term holders, signaling a potential correction phase within a bull cycle. According to Adler, the current Dead Cross began 28 days ago. Historically, similar phases have lasted an average of 85 days. If this pattern holds, the market could spend approximately 57 more days in its current state before resolving. While this doesn’t guarantee an immediate rebound , it offers context for where Bitcoin stands in its correction and hints at how much longer the pressure may last. Bitcoin Correction May Have 57 Days Left As Market Faces Tariff Fallout Bitcoin remains under pressure after US President Donald Trump announced sweeping tariffs during Liberation Day, triggering a wave of selling across global markets. The announcement added a new layer of uncertainty to an already tense economic backdrop, amplifying volatility and shaking investor confidence in both traditional and crypto assets. Bitcoin, known for its sensitivity to macroeconomic risk, reacted with increased selling pressure, further extending its correction phase. Despite the panic, some analysts suggest this downturn may follow a familiar historical pattern. Adler’s insights using the Bitcoin Realized Price by Inter-Cycle Cohort Age model highlight the duration of correction phases by tracking the lifespan of a “Dead Cross,” which occurs when the realized price of short-term holders dips below that of long-term holders. Adler’s analysis marks each active Dead Cross period with a red circle on the chart. Historical data shows that these phases last an average of 85 days. The current Dead Cross has been active for 28 days. Based on past trends, that leaves approximately 57 days until a potential resolution, assuming history repeats. Importantly, Adler emphasizes that a true bear market is typically confirmed only when Bitcoin drops below its 365-day moving average — something that hasn’t occurred yet. For now, this phase remains classified as a correction within a broader bull cycle. While the road ahead may still involve volatility, Adler’s analysis offers a measured view: the correction could be closer to its end than many fear. Investors will now look for signs of stabilization or strength as this historical pattern plays out in real time. BTC Price Action Details: Key Levels To Watch Bitcoin is trading at $83,000 after failing to reclaim the 4-hour 200 moving average (MA) near $84,800, signaling ongoing weakness in the short term. The repeated rejection at this key technical level has left bulls on the defensive, struggling to regain momentum as bearish sentiment continues to dominate the market. The $81,000 support zone, which has held up during previous dips, is now under pressure and looks increasingly fragile. If this level breaks, a deeper correction could follow, potentially pushing BTC into the mid-$70,000 range. With macroeconomic fears still looming and broader financial markets facing instability, Bitcoin’s next move remains highly uncertain. However, there is still a glimmer of hope for bulls. A decisive breakout above the $88,000 resistance level would be a strong signal that buyers are regaining control. Such a move could confirm the beginning of a recovery phase and shift short-term sentiment back toward the upside. For now, BTC remains stuck between a weakening support and firm resistance. The coming days will be critical as bulls attempt to defend key levels and avoid further downside while watching for any breakout opportunity that could revive market momentum. Featured image from Dall-E, chart from TradingView
Bitcoin is primed for explosive growth as trade wars rattle global markets, with one expert forecasting a decisive break from equities and rising demand for decentralized assets. Bitcoin Set to Explode as Markets Crumble Under Trade War Pressure: Weiss Eric Weiss, founder and chief investment officer of Blockchain Investment Group, spoke out this week on
In the fast-paced world of artificial intelligence, where breakthroughs and innovations are as volatile as cryptocurrency markets, Google has just dropped a bombshell – the pricing for their latest AI marvel, Gemini 2.5 Pro. For those in the crypto space keeping an eye on technological advancements, understanding the cost and capabilities of AI models like Gemini 2.5 Pro is crucial. Why? Because AI is increasingly intertwined with blockchain and crypto, from enhancing security to predicting market trends. Let’s dive into why Gemini 2.5 Pro is turning heads, and emptying wallets, in the tech world. Gemini 2.5 Pro: Setting New Benchmarks in AI Performance Google’s Gemini 2.5 Pro isn’t just another AI model; it’s positioned as a leader, boasting industry-leading performance across several critical benchmarks. These benchmarks are essentially the gold standard for measuring an AI’s prowess in areas like: Coding: Evaluating how well the AI can understand, generate, and debug code. Reasoning: Testing the AI’s ability to solve complex problems and make logical inferences. Math: Assessing the AI’s mathematical and analytical skills. According to Google, Gemini 2.5 Pro excels in these areas, suggesting a significant leap forward in AI capabilities. But with great power comes a great price tag, and in this case, a surprisingly hefty one. Decoding the AI Model Pricing: What Does Gemini 2.5 Pro Cost? Let’s break down the numbers to understand why Gemini 2.5 Pro is being called Google’s most expensive AI model to date. The pricing structure is based on tokens, which are essentially units of text. Here’s the breakdown: Prompt Length Input Tokens (per million) Output Tokens (per million) Up to 200,000 tokens $1.25 $10.00 Greater than 200,000 tokens $2.50 $15.00 To put this into perspective, 200,000 tokens are roughly equivalent to 150,000 words, far exceeding the length of the entire “Lord of The Rings” series. For most standard use cases, the lower pricing tier applies. However, for extremely large inputs, the price doubles for input tokens and increases by 50% for output tokens. This tiered pricing is noteworthy because it caters to a broader range of applications, but at a premium. Google AI Pricing Compared: Gemini 2.5 Pro vs. The Competition When we stack Gemini 2.5 Pro against other AI models, the “expensive” label becomes even clearer. Consider these comparisons: Gemini 2.0 Flash: A more budget-friendly Google offering at $0.10/M input and $0.40/M output tokens. Gemini 2.5 Pro is significantly pricier. OpenAI’s o3-mini: Priced at $1.10/M input and $4.40/M output tokens, still cheaper than Gemini 2.5 Pro. DeepSeek’s R1: An even more affordable option at $0.55/M input and $2.19/M output tokens. Anthropic’s Claude 3.7 Sonnet: At $3/M input and $15/M output tokens, Claude 3.7 Sonnet is more expensive for input tokens but matches Gemini 2.5 Pro’s output token price at the higher tier. OpenAI’s GPT-4.5: A truly premium model, costing a staggering $75/M input and $150/M output tokens, dwarfing even Gemini 2.5 Pro’s cost. While Gemini 2.5 Pro is indeed expensive compared to many models, it’s positioned in a complex pricing landscape. It’s more costly than some but cheaper than the absolute top-tier models like GPT-4.5 and even Claude 3.7 Sonnet in certain scenarios. Why the High Price Tag? Demand and Computing Costs So, why are we seeing this upward trend in pricing for flagship AI models? Several factors are likely at play: High Demand: According to Google CEO Sundar Pichai, Gemini 2.5 Pro is their most in-demand AI model. This high demand, reflected in an 80% usage increase in Google’s AI Studio and Gemini API this month alone, naturally drives up prices. Computing Costs: Training and running these advanced AI models require immense computational power, translating to significant infrastructure costs. These costs are inevitably passed down to developers. Performance and Features: Gemini 2.5 Pro offers extended context windows (handling prompts over 200,000 tokens), a feature not widely supported by competitors. This advanced capability justifies a higher price point for users needing to process massive amounts of data. The tech industry’s initial reaction to Gemini 2.5 Pro’s AI model pricing has been surprisingly positive. Developers seem to appreciate the perceived value for money, acknowledging the performance gains justify the cost. However, the broader trend of increasing prices for top-tier models is undeniable. OpenAI’s o1-pro, for instance, is even more expensive than Gemini 2.5 Pro, signaling a potential new normal in AI pricing. Actionable Insights for Developers and Crypto Enthusiasts For developers, especially those in the crypto and blockchain space looking to integrate AI, here are some actionable insights: Evaluate Needs: Carefully assess your project’s requirements. Do you truly need the cutting-edge performance of Gemini 2.5 Pro, or could a more cost-effective model like Gemini 2.0 Flash or DeepSeek’s R1 suffice? Optimize Prompts: Efficient prompt engineering can reduce token usage, thereby lowering costs. Focus on clear, concise prompts to minimize unnecessary token consumption. Monitor Usage: Keep a close eye on your AI usage to avoid unexpected expenses. Utilize Google’s AI Studio or API dashboards to track token consumption. Explore Free Tier: Gemini 2.5 Pro is available for free with strict rate limits. This could be sufficient for initial testing and smaller projects. For crypto enthusiasts, the pricing trend in AI models like Gemini 2.5 Pro highlights the increasing value and cost of advanced computation. As AI becomes more integral to blockchain technology, understanding these cost dynamics will be crucial for future developments and integrations. Conclusion: Is Gemini 2.5 Pro Worth the Investment? Gemini 2.5 Pro is undoubtedly a powerful and advanced Google AI model, setting new standards in various benchmarks. Its expensive AI model pricing reflects its premium capabilities and the high demand it commands. Whether it’s worth the investment depends entirely on your specific needs and budget. For projects requiring top-tier performance and the ability to process massive datasets, Gemini 2.5 Pro could be a game-changer. However, for less demanding tasks, more affordable alternatives might be more practical. To learn more about the latest AI market trends, explore our article on key developments shaping AI features.
A crypto analyst has shared insights into the recent strength in the XRP price, suggesting that South Korea may be the reason behind it. The analyst noted that the altcoin has been seeing high trading volume on South Korean exchanges, and this localized demand may be holding up its price while other altcoins struggle to gain traction. How South Korea Is Bolstering The Price According to XForceGlobal South Korea is currently one of the major drivers of the XRP price action. In a recent post on X (formerly Twitter), the analyst disclosed that the engagement and adoption from the crypto users in South Korea was a major contributor to XRP’s bullish performance. Related Reading: Analyst Unveils Extended XRP Price Target To $44, Reveals When To Take Profits Currently, South Korea is one of the most active crypto markets in the world, leading in global trading volume across multiple assets. However, among the numerous cryptocurrencies in the market, XRP stands out the most within the country. The analyst has revealed that even during low trading days, XRP frequently outpaces Bitcoin, underscoring its high demand and adoption in South Korea. XForceGlobal has suggested that South Korea’s notable interest in XRP likely stems from its status as one of the most isolated countries in terms of crypto regulations. The analyst revealed that millions of citizens currently own the altcoin, making up about 20% of the cryptocurrency’s market cap valuation. Moreover, due to a lack of large-scale cross-border payment solutions, most South Koreans opt to use cryptocurrencies like XRP to facilitate transactions. This, in turn, fuels adoption and strengthens the cryptocurrency’s utility, which positively influences its price action. Compared to South Korea, the regulatory uncertainties and legal challenges in the United States (US) have slowed down XRP’s growth. XForceGlobal has stated that the active participation of retail institutions, strong community support, and early adoption in South Korea have helped prop up prices despite the difficulties it faced over the past years. What The Future Holds For XRP In South Korea While discussing the impact of South Korea’s support for XRP on its price action, XForceGlobal offered insights into the cryptocurrency’s future in the country. The analyst revealed that the market is at a pivotal moment where XRP has evolved from a speculative asset to a symbol of Korea’s dominance in the crypto market. Related Reading: XRP Flashes Descending Trendline, Why A Surge To $4 Is Still In The Cards Currently, Upbit, the largest crypto exchange in South Korea, holds the most significant market share of XRP in terms of total supply. The exchange reportedly has about 6 billion XRP, accounting for roughly 5% of the entire supply. XForceGlobal has revealed that the continued demand from retail investors combined with Upbit’s massive XRP reserve will make South Korea a key driver to the cryptocurrency’s global future price action. Moving forward, the analyst has discussed XRP’s price movements on the Korean won chart, suggesting that its current action may be foreshadowing upcoming events. He pointed out that the altcoin has already formed a lower low on the chart, possibly hinting at a more controlled pullback rather than an impulsive decline — an outlook he described as “arguably bearish”. The crypto analyst also noted that XRP may be forming a potential bottom on the Korean won chart, indicating a possible impulse to the upside and a bullish continuation. Featured image from Adobe Stock, chart from Tradingview.com
Smart crypto investors know that long-term wealth often starts with low-cost entries. As 2025 unfolds, three tokens stand out under the $1 mark—XRP, Cardano (ADA), and rising star MAGACOINFINANCE. Each has a different strategy, but all are attracting attention as accumulation targets with powerful upside. PRE-SALE SELLING OUT – CLICK HERE TO SECURE A SPOT NOW MAGACOINFINANCE – OVER $4.8 MILLION RAISED IN RECORD TIME Unprecedented Growth Potential MAGACOINFINANCE – MAGACOINFINANCE has already raised over $4.8 million, dominating conversations around 2025’s most promising pre-sales. With only 100 billion tokens, growing momentum, and exchange buzz building, early entry is becoming a priority for smart investors. LIMITED TIME OFFER-GET 50% EXTRA BONUS WITH CODE MAGA50X Get 50% BONUS With MAGA50X and Unlock 3,782% ROI At its current price of $0.0002704, and a planned listing at $0.007, MAGACOINFINANCE offers a 2,488% ROI, or a 25.88x return. Use promo code MAGA50X, and your entry drops to $0.0001803, pushing your ROI to 3,782%, or a 37.82x return. That means a $500 allocation could turn into $189,100 if projections hold post-launch. SOL, TON, HBAR, and BCH: Solid Contenders, But MAGACOINFINANCE Stands Out Solana (SOL) trades at $125.88, holding momentum across Web3 development.Toncoin (TON) is priced at $5.49, benefitting from Telegram-powered growth.Hedera (HBAR) sits at $0.092, pushing real-world utility via enterprise adoption.Bitcoin Cash (BCH) trades at $295.10, still favored for peer-to-peer transactions. CLICK HERE TO JOIN THE NEXT BIG BILLION DOLLAR PROJECT Conclusion As the cryptocurrency market continues to evolve, both established and emerging digital assets present unique opportunities. While Bitcoin (BTC), Ripple (XRP), and Solana (SOL) pursue growth strategies, MAGACOINFINANCE distinguishes itself with its innovative approach and attractive pre-sale incentives. Investors are encouraged to conduct thorough research, stay informed about market trends, and consider diversifying their portfolios to navigate this dynamic landscape effectively. For more information on MAGACOINFINANCE and to participate in the pre-sale, visit: Website: magacoinfinance.com Twitter/X: https://x.com/magacoinfinance Continue Reading: Top 3 Cryptos to Accumulate Under $1: XRP, ADA, and MAGACOINFINANCE
Meta Platforms Inc. intends to invest nearly $1 billion in constructing a data center project in central Wisconsin, highlighting its broader initiative to increase its investments in cloud infrastructure and artificial intelligence. The Wisconsin project would be the latest in a series of large data centers being built in the United States. Meta and Wisconsin struck up a significant project that will bring changes to the AI sector Wisconsin struck an incentive agreement in February with an unidentified business operating under a false identity to build a data center in the state with an anticipated $837 million multiyear investment. Based on a statement retrieved from an individual whose identity was disclosed because the information was confidential stated that Meta was the firm in charge of the project . On the other hand, an official from Meta chose not to comment. The Wisconsin Economic Development Corporation commented on this topic. It raised discussions based on the unidentified business it struck a project with, stating that after a contract was approved, its practice was to list the businesses with which it collaborates. Notably, in recent years, to meet the demands of cloud computing and increasingly complex artificial intelligence models, major tech companies have hurried to increase the capacity of their data centers. For instance, Meta stated that it intends to invest up to $65 billion this year, concentrating on developing AI-related infrastructure, including a sizable facility in Louisiana. In addition, it is worth noting that it already operates data centers in the Midwest, including DeKalb, a suburb of Chicago, and Iowa. Several companies have also eyed Wisconsin as a data center construction site promoting AI innovation Meta implements AI in all areas of its operations, which impacts how Facebook and Instagram target users with advertisements and arrange content in users’ feeds. Additionally, the company uses it in its consumer hardware, such as the Ray-Ban Meta glasses and Meta Quest headsets. Following the company’s growing interest in AI, CEO Mark Zuckerberg informed investors that he expected Meta to eventually invest hundreds of billions of dollars in artificial intelligence in late January. Furthermore, apart from Meta, other companies have also shown interest in building data centers in Wisconsin. For example, hyperscalers recently found Wisconsin a desirable data center construction site. In addition, Microsoft Corp. is building what may be one of its most powerful facilities south of Milwaukee, located in the state of Wisconsin. Another company on this list is OpenAI’s Stargate venture. The firm stated that Wisconsin was one of the states it was considering for growth. However, in light of Microsoft’s pullback, the rise of less expensive AI models, and the possible effects of tariffs, investors have questioned whether the rate of data center construction was sustainable. The Beaver Dam project promises significant benefits to the local community and region In February, a local economic development authority, the Beaver Dam Area Development Corporation, mentioned that future economic benefits from this project could greatly impact the community and region. That month, the city’s economic development entity stated that it was collaborating with Alliant Energy Corp. on the project and had already authorized water and development agreements. However, according to the group, the project is still pending finalization and non-local approvals. Earlier, a representative for Alliant Energy assured people that more details would be released soon, stating that the company was currently in the “exploratory and due diligence phases” of a possible Beaver Dam project. Cryptopolitan Academy: Want to grow your money in 2025? Learn how to do it with DeFi in our upcoming webclass. Save Your Spot
Get ready for the return of real-time crypto action! Pump.fun, the popular Solana-based platform for launching memecoins, is bringing back its live streaming feature. After a brief pause, the platform is set to re-engage its community with live broadcasts, signaling a fresh chapter for memecoin enthusiasts and traders alike. This exciting development, announced by co-founder “alon” on X, comes with the promise of a structured approach to content moderation, ensuring a balanced and transparent environment for its users. Pump.fun’s Live Streaming Feature Returns: What’s New? The restoration of the live streaming feature on Pump.fun is more than just a technical update; it’s a strategic move to enhance user engagement and platform transparency. For those unfamiliar, Pump.fun became a sensation in the crypto world for its streamlined process of creating and launching memecoins on the Solana blockchain. The live streaming aspect added another layer of excitement, allowing creators to connect directly with their communities and potential investors in real-time. Here’s a breakdown of what we know about the return of Pump.fun’s live streaming : Temporary Suspension Lifted: The feature, which was temporarily suspended, is now being reinstated, much to the delight of the platform’s active user base. Focus on Policy: Pump.fun is not just switching the feature back on; they are introducing a formal censorship policy . This indicates a commitment to creating a more responsible and sustainable platform environment. Transparent Guidelines: The platform is committed to establishing clear and transparent guidelines for content moderation. This move aims to build trust and provide users with a predictable framework for content creation and consumption. Community Input: Pump.fun emphasizes that the censorship policy is not set in stone. They are actively seeking feedback from their community, policy experts, and other stakeholders to refine and improve the policy over time. This collaborative approach suggests a user-centric direction for the platform’s future. Why is Live Streaming Important for a Memecoin Platform like Pump.fun? Live streaming is a powerful tool in the cryptocurrency space, especially for platforms centered around community and rapid engagement like Pump.fun. Here’s why it’s a crucial feature: Direct Community Engagement: Live streaming allows memecoin creators to directly interact with their community. This real-time interaction can foster a stronger sense of community and loyalty around a particular memecoin project. Transparency and Trust: In the often opaque world of crypto, live streaming can offer a layer of transparency. Creators can use live sessions to answer questions, address concerns, and build trust with their audience. Real-Time Updates and Announcements: Live streams are perfect for delivering immediate updates about projects, partnerships, and platform developments. This immediacy is vital in the fast-paced crypto market. Marketing and Promotion: Live streaming serves as an effective marketing channel. Creators can use live sessions to promote their memecoins, explain their value proposition, and attract new investors. Dynamic Price Discovery: The interactive nature of live streaming can even influence memecoin prices in real-time as viewers react to announcements and market sentiment shared during the broadcast. Navigating the Challenges of Censorship Policy in Crypto Introducing a censorship policy in a decentralized space like cryptocurrency is a delicate balancing act. While necessary for platform integrity and user safety, it also raises questions about freedom of speech and decentralization principles. Pump.fun’s approach to this challenge will be closely watched by the crypto community. Here are some key challenges and considerations regarding censorship policy in the crypto context: Challenge Description Defining Censorship: What constitutes ‘censorship’ in a decentralized environment? Drawing the line between content moderation and censorship is complex. Decentralization vs. Moderation: Balancing the ethos of decentralization with the need for content moderation to prevent harmful or illegal activities. Transparency and Fairness: Ensuring the censorship policy is applied transparently and fairly, without bias or arbitrary decisions. Community Standards: Developing community standards that are widely accepted and reflect the values of the platform’s users. Enforcement Mechanisms: Implementing effective and consistent enforcement mechanisms for the censorship policy . Appeals Process: Providing a clear and fair appeals process for users who believe their content has been unfairly moderated. Pump.fun and the Solana Ecosystem: A Symbiotic Relationship Pump.fun’s success is intrinsically linked to the Solana ecosystem. By building on Solana , Pump.fun benefits from its high transaction speeds and low fees, which are crucial for the rapid-fire world of memecoin trading. The platform, in turn, contributes to the vibrancy and growth of the Solana network by attracting users and activity. The restoration of live streaming on Pump.fun can be seen as a positive signal for the Solana ecosystem as a whole. It demonstrates the resilience and adaptability of platforms within the Solana space and their commitment to innovation and user engagement. As the memecoin market continues to evolve, platforms like Pump.fun play a significant role in shaping its trajectory. Their decisions regarding features, policies, and community engagement have ripple effects throughout the broader crypto landscape. Actionable Insights for Memecoin Enthusiasts and Pump.fun Users For those actively involved in the memecoin space or users of Pump.fun, here are some actionable insights to consider: Stay Informed About the New Censorship Policy: Familiarize yourself with Pump.fun’s new censorship policy once it is released. Understanding the guidelines will help you navigate the platform effectively and avoid potential content moderation issues. Engage Responsibly with Live Streams: When live streaming returns, participate actively but responsibly. Contribute to constructive conversations and adhere to community guidelines. Provide Feedback on the Policy: Pump.fun is seeking community feedback on its censorship policy . If you have constructive suggestions or concerns, make your voice heard. Your input can help shape the policy for the better. Monitor Solana Ecosystem Developments: Keep an eye on developments within the Solana ecosystem. Pump.fun’s performance and features are closely tied to the health and innovation of the Solana network. Exercise Caution in Memecoin Trading: Remember that memecoin trading is inherently risky. Live streaming and community engagement can add excitement, but always conduct thorough research and manage your risk appropriately. Conclusion: A Hopeful Step Forward for Pump.fun and its Community The restoration of live streaming on Pump.fun, coupled with the introduction of a censorship policy , marks a significant and hopeful step forward for the platform. It demonstrates a commitment to both enhanced user engagement and responsible platform governance. As Pump.fun navigates the complexities of content moderation in the decentralized crypto world, its approach and the community’s response will set important precedents for other platforms in the space. The return of live streaming is not just a feature update; it’s a signal of Pump.fun’s continued evolution and its dedication to serving the dynamic memecoin community within the vibrant Solana ecosystem. To learn more about the latest explore our article on key developments shaping Solana price action.
CoinCodex's algorithm predicts potential SHIB price increases in early April 2025. Current market indicators show a concerning trend for SHIB investors. Continue Reading: Predictive Insights Point to Potential Gains for Shiba Inu (SHIB) in Early April The post Predictive Insights Point to Potential Gains for Shiba Inu (SHIB) in Early April appeared first on COINTURK NEWS .
The U.S. Securities and Exchange Commission (SEC) has clarified that certain stablecoins, specifically those backed one-to-one by the U.S. dollar, do not qualify as securities under federal laws. This decision helps provide greater regulatory clarity in the growing field of cryptocurrency and blockchain technology. US SEC Defines Covered Stablecoins In a recent statement, after the US SEC’s incoming chair got voted in by the Senate committee , the Division of Corporation Finance defined “Covered Stablecoins” as those stablecoins that maintain a stable value relative to the U.S. dollar. These tokens are backed by assets held in a reserve, which are low-risk and highly liquid, ensuring that they can always be redeemed for U.S. dollars at a one-to-one ratio. The SEC has noted that such stablecoins are intended to be used for payment, transferring of money and for value storage rather than being investment products. The SEC provided an opinion that the process of minting and redeeming these stablecoins does not fall under the Securities Act or the Securities Exchange Act. Consequently, any parties that engage in the issuance and circulation of these stablecoins are not regulated nor required to abide by the US securities laws or register with the US SEC. Marketing of Stablecoins Clarified The US SEC further detailed that Covered Stablecoins are marketed as a stable and reliable medium of exchange, with no promise of profits or returns. In its statement, the SEC noted that these are not advertised as investments and do not provide holders with any governance rights or financial returns based on the issuer’s performance. By clarifying the marketing strategies surrounding these stablecoins, the SEC aims to prevent any confusion about their classification as securities. This moves comes post the U.S. passing the STABLE Act , establishing a regulatory framework for USD-pegged. The SEC’s statement also addresses the importance of maintaining a stable value relative to the U.S. dollar. These stablecoins are not meant to fluctuate in price like other cryptocurrencies, such as Bitcoin or Ethereum. As a result, their primary role is to facilitate transactions and act as a stable store of value rather than to generate financial returns for holders. Reserve Requirements for Stablecoins The SEC further elaborated that Covered Stablecoins are presented as a stable store of value and medium of exchange that cannot faithfully fill the role of a security promising profits or returns. The SEC, in its statement, stated that they are not promoted as an investment and they do not give the holders any rights or any type of financial returns on the issuer. In this respect, the mission of the US SEC is to define the marketing strategies concerning them in order to avoid any misunderstanding of their nature. The SEC also gives emphasis on the company maintaining stable price that does not fluctuate with the U.S dollar. These coins are relatively stable compared to other cryptocurrencies like the Bitcoin or the Ethereum because they are designed to have fixed values. Consequently, their main functions are to be used as a medium of exchange and serve as a unit of account instead of producing revenue for owners. SEC’s Application of Reves and Howey Tests According to the findings of the legal analysis, the defends used two legal benchmarks known as Reves and Howey tests to establish if the asset is a security. Under the Reves test, the SEC has held that Covered Stablecoins are akin to traditional commercial instruments as opposed to securities. Another reason is the Howey test that emphasizes that these buyers use these assets for commercial reasons with the expectation of gains other than in the form of profits. Based on its decision, the SEC decided that Covered Stablecoins do not fall under the securities definition under the federal securities laws. This decision is founded on the fact they are mainly used as a medium of exchange, and not as an investment vehicle backed by readily saleable assets. This clarification from the SEC comes as Congress continues to work on cryptocurrency legislation. While the SEC’s stance provides clarity on stablecoins, it does not address other digital assets, such as yield-bearing tokens , which may fall under securities regulations. The move aligns with ongoing efforts in the U.S. government to regulate digital assets and cryptocurrency more comprehensively. The post US SEC Rules Dollar-Backed Stablecoins Are Not Securities Under Federal Laws appeared first on CoinGape .
A massive data breach exposed thousands of Capital One customers’ sensitive data, putting them at lifelong risk of identity theft, a new class action lawsuit claims. Filed by plaintiff Andrew Willoughby, the suit alleges Capital One Financial Corporation, Capital One N.A. and Capital One Bank (USA) N.A. entities exposed its customers’ personal identifiable information (PII) due to an employee’s negligence. The suit alleges that because of inadequately protected computer systems, customers’ names, Social Security numbers, addresses, email addresses, dates of birth, telephone numbers, credit card numbers, transaction history, and other financial information exposed via a data breach. The breach happened between August 11, 2022 and May 22, 2023, when an “unauthorized actor” accessed client PII due to the employee’s “failure to maintain an adequate security system,” according to the lawsuit. The Capital One employee also allegedly delayed informing the plaintiffs of what happened in time to save them from potential identity theft crimes. Says the complaint, “Due to Defendants’ negligence, cybercriminals obtained everything they need to commit identity theft and wreak havoc on the financial and personal lives of thousands of individuals… Defendants were negligent and failed to inform Plaintiff and the Class Members of the data breach in time for them to protect themselves from identity theft.” Now, the suit alleges that “for the rest of their lives,” Capital One customers will have to face the threat of identity thieves possessing or misusing their personal information via the dark web. “The unencrypted PII of Plaintiff and Class Members may end up for sale on the dark web or simply fall into the hands of companies that will use the detailed PII for targeted marketing without the approval of Plaintiff and Class Members. Unauthorized individuals can easily access the PII of Plaintiff and Class Members.” Capital One was also recently accused of engaging in “cancel culture” by President Donald Trump’s son Eric Trump. The bank has $490.1 billion in total assets as of the end of last year. Follow us on X , Facebook and Telegram Don't Miss a Beat – Subscribe to get email alerts delivered directly to your inbox Check Price Action Surf The Daily Hodl Mix Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing. Generated Image: Midjourney The post Thousands of Americans’ Personal Information Exposed By Banking Giant Capital One, Alleges New Class Action Lawsuit appeared first on The Daily Hodl .