🇪🇺 Orange Pilling The European Central Bank
Bitcoin activists target the European Central Bank, Greenpeace's anti-Bitcoin campaign backfires, and Binance faces a CFTC lawsuit over alleged shady practices.
Welcome to This Week In Bitcoin here on Substack! This newsletter is curated and written by the team at Relai, the best place to buy bitcoin instantly.
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Hey everyone,
This week, we explore the growing influence of Bitcoin in Europe, with activists making their presence felt at the European Central Bank, as well as new legislation that could impact how cash and cryptocurrencies are used in the region. We also look at Greenpeace's anti-Bitcoin campaign and how it unexpectedly turned into a rallying cry for the Bitcoin community. Lastly, we delve into the latest CFTC lawsuit against Binance and the implications of the allegations on the crypto exchange and its CEO, Changpeng Zhao.
By the way: This weekly newsletter is also available in German; you can sign up here.
Quote of the Week:
“As trust in central and commercial banks continues to erode, Bitcoin is a viable alternative for those seeking financial sovereignty. It’s digital gold with extra features.”
🇪🇺 Orange Pilling The European Central Bank
The Bitcoin movement is gaining traction in Europe. In the wake of collapsing banks and high inflation across the eurozone, Bitcoin supporters projected Bitcoin's logo and a message to “study Bitcoin” on the European Central Bank building in Frankfurt. Meanwhile, new legislation by the European Parliament aims to limit cash and cryptocurrency payments for goods and services where customers cannot be identified, with transaction limits of up to 7,000 euros for identified users and 1,000 euros for unknown users. The reason for the new legislation is to fight money laundering and terrorism financing, according to the EU parliament. The proposed legislation is still a draft; a decision on it will be made in April. This draft bill is separate from the upcoming Markets in Crypto-Assets (MiCA) bill, set to come into effect in 2024, which will provide rules and guidelines for regulating the European cryptocurrency market.
My take: There is no reason to freak out. A lot of those rules are already implemented in EU member states. What the EU parliament is now trying to do is to harmonize differences between countries.
🌲 Greenpeace Anti-Bitcoin Campaign Backfires, Sparks ‘Badass’ Memes
Greenpeace USA's recent collaboration with Canadian art activist Benjamin Von Wong has sparked controversy – and some funny memes. The artwork, dubbed the ‘Skull of Satoshi’, is an 11-foot skull made from electronic waste and symbolizes, according to Greenpeace, the “environmental concerns surrounding Bitcoin mining”. The primary objective of the ‘Change the Code, Not the Climate’ initiative, financed by Ripple co-founder Chris Larsen, is to encourage a shift from the proof-of-work (PoW) consensus algorithm to proof-of-stake (PoS). The Bitcoin community has ironically embraced the installation, calling it ‘the best Bitcoin ad yet’ and ‘badass’. Hundreds of memes popped up, with many people using it as their profile picture. “Anyone can #ChangeTheCode. Just like anyone can change the rules of chess,” responded one of the commentators. “Go ahead, good luck finding anyone to play with.” Von Wong, the artist who created the artwork, meanwhile changed his mind about Bitcoin and tweeted, “PoS will never work for Bitcoin. It goes against its decentralized ethos!”
My take: It’s sad to see Greenpeace getting used by lobbyists like Ripple’s Chris Larsen. Bitcoin will never switch from PoW to PoS. It’s also an open-source project, so proof-of-stake versions already exist, however, no one cares about them.
🚨 Binance Hit With CFTC Lawsuit, Says CZ Traded Against Own Users
The bad news keeps dropping for Binance, the controversial and most popular crypto exchange. Co-founder and CEO Changpeng Zhao, aka CZ, positioned himself as crypto’s good guy. However, the allegations against CZ’s empire paint a picture of a shady business similar to FTX: The U.S. Commodity Futures Trading Commission (CFTC) argues in a lawsuit that Binance has no board of directors and no fixed headquarters. The document filed by the CFTC also insists that CZ is “the direct or indirect owner of approximately 300 separate Binance accounts that have engaged in proprietary trading activity on the Binance trading platform.” In other words, Binance traded against its users, similarly to Alameda / FTX. The central part of the lawsuit is that Binance deliberately lured American investors to use its platform despite failing to register with U.S. authorities, as is required by law. Binance, in turn, called the complaint “unexpected and disappointing.”
My take: The learning from FTX and all the other implosions in the ‘crypto industry’ have taught us one thing: Trust no one. Especially not the one who insists that he is the good guy.
Short news:
MicroStrategy Repays Silvergate Loan, Spends $150M Buying More Bitcoin
Magic Eden’s New Bitcoin NFT Marketplace Dominates Ordinals Market
Highlights from Relai:
There’s No Reason To Trust Banks And, Thanks To Bitcoin, We Don’t Have To
Read Relai CEO Julian Liniger's insightful analysis of the eroding trust in traditional banks and the rising appeal of Bitcoin.
Julian highlights how Bitcoin's decentralized nature and financial sovereignty offer a more resilient alternative in an increasingly complex and uncertain financial landscape.
Read the article on Bitcoin Magazine.
Disclaimer: None of this content constitutes investment advice. Always conduct your own research before investing in any digital asset.
Thank you for reading once again; we hope you enjoyed this news.
See you next week!
Your Relai Team
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