Image default
Crypto

First Mover Americas: SEC Scrutnizes Crypto Audits; SBF Gets Bail

Facebook iconLinkedin iconTwitter iconCDCROP: Bail Hearing Held For FTX Founder Sam Bankman-Fried

FTX founder Sam Bankman-Fried leaves Manhattan Federal Court (Michael M. Santiago/Getty Images)

Consensus 2023 LogoJoin the most important conversation in crypto and Web3 taking place in Austin, Texas, April 26-28.Secure Your SeatFacebook iconLinkedin iconTwitter iconConsensus 2023 LogoJoin the most important conversation in crypto and Web3 taking place in Austin, Texas, April 26-28.Secure Your Seat

This article originally appeared in First Mover, CoinDesk’s daily newsletter putting the latest moves in crypto markets in context. Subscribe to get it in your inbox every day.

Top Stories

Former FTX CEO Sam Bankman-Fried has been released on bail after appearing in U.S. federal court in New York on Thursday. Bankman-Fried was told he can live with his parents on $250 million bail secured in part by their Palo Alto, California, house. His release also includes a long list of requirements for him to remain free while he faces charges. He’s not allowed to make financial transactions of more than $1,000, can’t open new lines of credit, can’t leave the house except to exercise and must go through substance abuse and mental health treatment, according to the agreement.

The U.S. Securities and Exchange Commission (SEC) is increasing its scrutiny of audits of cryptocurrency companies in an effort to warn investors who may feel assured by audits such as proof-of-reserve reports. “Investors should not place too much confidence in the mere fact a company says it’s got a proof-of-reserves from an audit firm,” said Paul Munter, the SEC’s acting chief accountant. Having such a report “is not enough information for an investor to assess whether the company has sufficient assets to cover its liabilities,” he added.

Tron founder Justin Sun was a top client of crypto asset manager Valkyrie Investments. A private financial document reviewed by CoinDesk shows that Sun, one of the richest figures in crypto, was responsible for the vast majority of a key Valkyrie division’s assets under management. He had more than $580 million of bitcoin stashed with the asset manager at one point in August. This amounted to over 90% of money at Valkyrie’s largest division, Valkyrie Digital Assets LLC.

Chart of the Day

CoinDesk - Unknown

(TradingView, CoinDesk)

  • The chart shows year-to-date performance of bitcoin and crypto stocks.
  • While bitcoin has tanked 63% this year, crypto stocks, often seen as a proxy for digital assets, have suffered bigger losses.
  • It shows that buying bitcoin is the best bet if you want to add crypto exposure to your portfolio.

Trending Posts

  • FTX Asks Judge for Help in Fight Over Robinhood Shares Worth About $450M
  • Peter Thiel-Backed Crypto Exchange Bullish Calls Off SPAC Deal
  • Crypto Markets Analysis: Strong Economic Data Is Bad News for Bitcoin Bulls

DISCLOSURE

Trending1(Andriy Onufriyenko/Getty Images, modified by CoinDesk)The Breakdown, With NLWThe Top 10 Things That Happened in Bitcoin 2022Dec 24, 20222Markets Daily Podcast CoverMarkets Daily Crypto RoundupMolly White and the Crypto Skeptics – Part 1Dec 24, 20223CDCROP: The HASH Podcast GraphicCoinDesk Podcast NetworkSam Bankman-Fried Under House Arrest; Justin Sun Was Secret Top Client of ValkyrieDec 23, 20224Rug pullMarketsCrypto Markets Today: Bitcoin Ends Penultimate Week of (Awful) 2022 on Quiet Note Dec 23, 2022

Source coindesk.com

Related posts

Dollar Reversal Could Bring Inflationary Pressure, Former US Treasury Secretary Larry Summers Warns

Blake Goodwin

With Bitcoin and Stocks Flat, Rally in DeFi Tokens Gets Notice

Blake Goodwin

Lido’s Staked Ether Surges Closest to Ether Since Terra Crash

Blake Goodwin

Leave a Comment