A bipartisan divide is making it very difficult for the crypto industry to gain footing in the U.S. Legal attacks and the resulting confusion mean that until 2024 (and possibly after), builders won’t have clarity on what they are and aren’t permitted to do within the U.S.A.   Democrats have been aggressive with their attacks on the crypto industry since their 2020 election, and this has come with renewed force since the 2022 midterm elections. A large part of this is because fraud is common in the cryptocurrency space, and 2022 had record levels of fraud.  Additionally, there a ..read more

In 2013, the Obama Administration put an unofficial initiative called “Operation Choke Point” into place that targeted financial access for legal but undesirable industries in the U.S.A. Now, it seems like the same thing is happening for crypto, in what industry insiders are calling “Operation Choke Point 2.0”. Source: ABCnews.com Long thought to be a conspiracy theory, the confirmation of Operation Choke Point in recent years led to controversy across the States. With the recent collapse of Signature Bank, Silicon Valley Bank, and Silvergate Bank, as well as banks making an effort to stifle ..read more

Bitcoin (and cryptocurrency in general) is a risk-on asset. So why has it gone up so much in Q4 2022 and Q1 2023? Interest rates have risen significantly in that time and there are several patterns we can discern that might give some hints of what’s to come in the market. The crypto sector isn’t benefiting from any new narratives or inventions that would cause prices to go up, which leads us to consider macroeconomic factors.  In 2020, a massive amount of USD was injected into the system. Crypto bulls predicted a bull run as soon as the money printing began, but it took until Q4 to see th ..read more

Secure Digital Markets just launched its exclusive magazine: The 2023 Market Outlook. This is your key to keeping up with the ever-evolving crypto market. Our team of experts has gone above and beyond to provide you with unmatched insights, ensuring that you stay ahead of the curve. The 2023 Market Outlook is brimming with never-before-seen interviews and in-depth analyses curated exclusively for our discerning clients. We’ve handpicked the brightest minds in the crypto sphere – from visionary builders to seasoned investors – to bring you their insights and help you make better decisions in th ..read more

On January 17th, 2023 the US Justice Department announced charges against cryptocurrency exchange Bitzlato and shut down the exchange. Since then, discerning parties have raised questions about the actions of the DOJ and why they are going after relatively unknown companies when so many massive companies have gotten away with much more. The DOJ’s Big Announcement  Working in conjunction with the FBI, OFAC and FinCEN, the DOJ broke the news on Wednesday that they had taken down the Bitzalato exchange. Earlier in the day, they released an ominous press release about a “major international c ..read more

On January 19th, 2023, Genesis announced its filing of Chapter 11 restructuring. As a former top-tier lender and broker in the cryptocurrency space, Genesis has suffered an aggressive fall from grace. Now the question is how this will affect the rest of the industry and when the contagion will stop. Genesis Has Over $3 Billion in Liabilities On January 20, Genesis Global Holdco, LLC filed for Chapter 11 bankruptcy reorganization in the U.S. Bankruptcy Court for the Southern District of New York.  This all comes after recent revelations that Genesis owes creditors over $3 billion. Accordin ..read more

The past week has been packed with panic over the collapse of Silvergate Bank, Silicon Valley Bank, and Signature Bank. We’d like to provide some insight as to what we think happened, as well as an update on how this affects clients of Secure Digital Markets.  Turmoil in the U.S. banking industry is never good, but these banks had particularly strong affiliations with the cryptocurrency market. Many firms are struggling, and we’re sending our best wishes out to them. We are here to help and if the SDM infrastructure can be of any help, please don’t hesitate to reach out.  The Post-Mo ..read more

In case you missed the news, the Ethereum Merge has finally happened! After 5 years of discussion (that were meant to only take 5 months), September 15th marks the official date of the upgrade to the Beacon Chain. There are still many more upgrades to come, but this is one major step towards realizing the roadmap. Its successful implementation removes development risk from the network, and the price of ETH rose significantly in anticipation of the upgrade. Basics of the Merge The Ethereum Merge is a major shift in the way the entire network is run. What makes it different from a simple softwar ..read more

In an upsetting move for Celsius users, a court has ruled that all funds held in “Earn” accounts are the property of Celsius. Since Celsius first froze fund withdrawals in June 2022, users have been waiting to see what the fate of their funds would be. Now, they know that they are unlikely to recover all (or any) of their funds. The judge’s ruling subordinates user claims to other secured claims and is a painful blow for any investors who had significant funds in Celsius’ “Earn” offering.  A 2022 Disaster that Won’t Fade Away The Celsius collapse in June 2022 was a major event in the mark ..read more

Shell, the worldwide oil giant, is now making a big push into the Bitcoin (BTC) mining industry. Based on several recent announcements, Shell is betting that Bitcoin mining will make a profitable vertical to target.  Shell will start offering its lubricant and cooling solutions to BTC miners. Additionally, Shell has signed a two-year sponsorship agreement for the Miami Beach Bitcoin conference and Bitcoin Magazine.  This is a major legitimizing factor for the BTC network, as Shell is one of the largest oil and gas companies in the world. Both of these sponsorships are part of a plan ..read more