Eagle Crest Asset Management

August 22, 2024

U.S. Unemployment Claims Slightly Higher Than Expected in Mid-August

According to Odaily, the number of initial unemployment claims in the United States for the week ending August 17 reached 232,000, slightly above the expected 230,000. The previous week's figure was revised from 227,000 to 228,000. Additionally, the number of continuing unemployment claims for the week ending August 10 was 1.863 million, close to the anticipated 1.867 million. The prior week's figure was adjusted from 1.864 million to 1.859 million.The four-week moving average of initial unemployment claims for the week ending August 17 was 236,000, a slight revision from the previous value of 236,500 to 236,750. These figures indicate a marginal increase in unemployment claims, reflecting ongoing adjustments in the labor market. The data provides insight into the current state of employment and economic conditions in the United States.

August 20, 2024

U.S Stock Futures Steady As Market Awaits Fed Signal

According to BlockBeats, on August 20, U.S. stock futures remained largely unchanged following a strong performance the previous day. The market is speculating that the Federal Reserve may soon signal a readiness to begin cutting interest rates. After the S&P 500 Index strengthened for the eighth consecutive day on Monday, traders took a brief pause.Trading volumes have decreased as investors are hesitant to make significant bets ahead of this week's Jackson Hole Economic Symposium. Kyle Rodda, a senior market analyst at Capital.Com Inc., noted that recent data has alleviated concerns about a slowdown in U.S. economic growth without sparking fears of a resurgence in inflation.

August 20, 2024

Seychelles Parliament Approves Bill To Regulate Virtual Asset Service Providers

According to PANews, the Seychelles National Assembly has approved a draft bill aimed at regulating Virtual Asset Service Providers (VASPs). The legislation mandates that VASPs seeking licenses must establish substantial operations within Seychelles, including having resident directors and offices staffed with competent employees. This law aims to balance innovation with anti-money laundering efforts and comply with the recommendations of the Financial Action Task Force (FATF).

August 20, 2024

Former Kansas Bank CEO Sentenced for Embezzlement in Cryptocurrency Scam

According to Odaily, the U.S. Department of Justice has announced that a former CEO of a Kansas bank has been sentenced to 293 months (approximately 24 years and 5 months) in prison for embezzling substantial funds to participate in a cryptocurrency scam, leading to the bank's collapse. Court documents reveal that 53-year-old Shan Hanes admitted to one count of embezzlement by a bank executive. During his tenure as CEO of Heartland Tri-State Bank (HTSB), Hanes conducted 11 wire transfers totaling $47.1 million between May and July 2023, funneling the money into a cryptocurrency wallet to engage in a crypto scam. These funds eventually ended up in multiple cryptocurrency accounts controlled by unidentified third parties. The Federal Deposit Insurance Corporation (FDIC) covered the $47.1 million loss due to the bank's federal insurance protection. Hanes' fraudulent actions led to the collapse of Heartland Tri-State Bank, resulting in a $9 million loss for investors. A federal judge has ordered a separate hearing within the next 90 days to finalize the restitution. The Department of Justice stated that Hanes' actions not only betrayed the bank and its investors but also undermined public confidence in financial institutions. The case was investigated by multiple agencies, including the Federal Bureau of Investigation (FBI) and the FDIC Office of Inspector General.

August 20, 2024

Mango Markets DAO Considers Settlement with SEC Amid Allegations of Securities Law Violations

According to Cointelegraph: Mango Markets DAO is currently deliberating a settlement offer with the United States Securities and Exchange Commission (SEC) in response to accusations that it violated U.S. securities laws. The decentralized autonomous organization (DAO), which oversees the Solana-based decentralized exchange (DEX), initiated a vote on an “SEC Settlement Offer Proposal” on August 19.The proposed settlement entails Mango DAO neither admitting nor denying any wrongdoing while agreeing to pay a $223,228 fine. Additionally, the DAO would cease all offers, sales, and resales of its MNGO tokens within the U.S., destroy any remaining tokens in its possession, and request that the tokens be delisted from all exchanges.At the time of writing, the proposal has garnered significant support, with over 106 million votes in favour and more than two days left in the voting period. The DAO’s Treasury, which holds nearly $2 million in USD Coin (USDC) and other assets, would be used to pay the fine if the settlement is accepted.Mango Markets has been under scrutiny since October 2022, following a manipulation scheme by trader Avraham Eisenberg, who exploited the protocol and drained $110 million from the platform. Eisenberg was later found guilty of fraud and manipulation in an April trial. The incident led to investigations by the SEC, Department of Justice, and Commodity Futures Trading Commission, all of which accused Mango DAO, Mango Labs, and Blockworks Foundation of violating securities regulations.The settlement proposal is seen as an attempt to avoid litigation and resolve the SEC’s allegations without admitting guilt. However, the settlement has yet to be accepted by the SEC. If approved, Mango DAO would close this chapter and refocus on its operations, though the DEX has been struggling to recover since the October heist.In related developments, MNGO token prices rose by 5.3% on the day of the proposal's release, reaching $0.015, though they remain 97% below their all-time high of $0.50 in September 2021.This proposed settlement marks a crucial moment for Mango Markets DAO as it navigates the complex regulatory landscape surrounding decentralized finance (DeFi) and seeks to move forward from a tumultuous period in its history.

August 20, 2024

Judge Denies SEC Request In Tron Foundation Case

According to CoinDesk, a federal judge has rejected a request from the U.S. Securities and Exchange Commission (SEC) in its ongoing securities fraud lawsuit against the Tron Foundation and its founder, Justin Sun. The case is being heard in the U.S. District Court for the Southern District of New York.The SEC had sought to force a pre-trial conference or require the filing of an additional response, accusing the Tron defendants of improperly advancing a new argument in their defense. The SEC claimed that the defence argued the sales of TRX and BTT did not meet the 'common enterprise' prong of the Howey Test, which is used to determine whether a transaction qualifies as an investment contract. This argument was allegedly introduced after the Tron defendants had already filed their motion to dismiss on May 30.Signed order denying SEC motion letter. Source: Courtlistener In response, Tron’s lawyers accused the SEC of attempting to create a controversy and urged the court to deny the SEC’s request. They reiterated that their defence is based on the belief that the sales of BTT and TRX fail the Howey test’s third prong, which involves the expectation of profits from the efforts of others. Tron’s attorneys argued that the SEC’s request for an additional reply document mischaracterized their argument.U.S. District Court Judge Edgardo Ramos sided with Tron’s lawyers, ruling to deny the SEC’s request. Ramos stated that since the defendants were not challenging the 'common enterprise' element of the Howey test, the SEC’s motion to strike the argument or for leave to file a sur-reply was denied.A representative for Tron declined to comment on the pending legal matters.

August 19, 2024

Fed Expected to Cut Rates in September Amid Market Anticipation

According to Odaily, market expectations for a Federal Reserve rate cut next month are growing stronger, with the Fed likely to meet these expectations. Wall Street veteran Peter Schiff has indicated that a rate cut in September is anticipated, primarily because the market is now counting on it. This expectation is cited as the reason for the rebound in U.S. stocks after a sell-off on Monday. Given that the possibility of a September rate cut has already been factored in by the market, Federal Reserve Chairman Jerome Powell has little reason not to deliver, as he consistently aims to meet market expectations and avoid surprises.

August 19, 2024

Analyst Predicts Limited Decline for US Dollar Amid Fed Rate Expectations

According to Odaily, Swiss bank analyst Ipek Ozkardeskaya has stated that the current decline of the US dollar is likely to be limited. This is because the Federal Reserve is not expected to cut interest rates as significantly as the market anticipates. Currently, the US dollar index has fallen to a seven-and-a-half-month low. Ozkardeskaya noted that market expectations for the Federal Reserve's September meeting and potential rate cuts for the remainder of the year are still too high. As a result, there is a possibility for the US dollar to rebound. She also mentioned that the potential for the euro and the British pound to rise against the US dollar should be limited.

August 19, 2024

U.S. Treasury Plans Regulatory Changes for Cryptocurrency Transactions

According to PANews, the U.S. Department of the Treasury (DOT) released its semi-annual regulatory agenda on August 16, outlining upcoming federal efforts to create a fair regulatory environment for both cryptocurrencies and traditional fiat currencies. The Federal Reserve Board (FRS) and the Financial Crimes Enforcement Network (FinCEN) are planning to amend the definition of 'currency' under the Bank Secrecy Act (BSA) to enhance reporting requirements for financial institutions handling domestic and cross-border cryptocurrency transactions.The agenda states that these agencies aim to ensure that the revised proposal will apply to transactions involving convertible virtual currencies, which are mediums of exchange like cryptocurrencies that hold equivalent value to money or can substitute for money but lack legal tender status. Additionally, the proposal will extend reporting requirements to digital assets with legal tender status, including central bank digital currencies (CBDCs). The final notice for the proposed rulemaking is currently scheduled for release in September 2025, pending approval.

August 19, 2024

ASIC Reports Over 600 Crypto Scams Shut Down in Broader Crackdown

According to Odaily, the Australian Securities and Investments Commission (ASIC) revealed last Sunday that it coordinated the removal of over 600 cryptocurrency scams last year as part of a broader effort to combat online investment fraud. ASIC stated that it has helped dismantle 5,530 fake investment platform scams, 1,065 phishing scam hyperlinks, and 615 crypto investment scams. These scams, which were often spread through fake news articles and deepfake videos of local public figures, resulted in an estimated $1.3 billion in losses last year.The regulatory body emphasized the importance of consumer vigilance regarding social media hyperlinks promoting online trading and cryptocurrency investments. ASIC noted that approximately 20 websites are shut down daily, as scammers continue to adapt and find new ways to lure victims. While there was a surge in crypto-related scams around the Bitcoin halving event in April, ASIC's data indicates that the number of such scams is decreasing month by month.