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To: maceng2 who wrote (178215)	9/13/2021 6:36:35 PM
From: TobagoJack	Respond to of 217764

Back to crypto metaverse stuff, indicating what can happen The fun stuff bloomberg.com Crypto Market Mischief Follows Week of Rising Regulator Scrutiny Vildana Hajric 14 September 2021, 01:36 GMT+8 No financial market wants scammers breaching the walls. But now is a particularly bad time for cryptocurrencies to be showing vulnerability to mischief. A significant spike in Litecoin followed quickly-debunked headlines that Walmart Inc., the world’s largest retailer, had agreed to accept the cryptocurrency as a payment mechanism at its stores. Litecoin’s own verified Twitter account posted a link to the press release in a tweet that was later deleted. Charlie Lee, creator of Litecoin and managing director of the Litecoin Foundation, described the tweet and press release as an “unfortunate situation” in an interview with Bloomberg News. “The @litecoin handle, we have three people who control that and one of the people this morning, before I woke up, saw the GlobalNewswire [press release] and saw Yahoo News posting it and CNBC posting it and he thought it was true because he didn’t know better,” Lee said. “Pretty soon after that he realized he had made a mistake, that it was fake and he deleted it.” Ed Moya, senior market analyst at Oanda Corp., said “itchy triggers” contributed to the initial market moves. “There’s this kind of expectation in the crypto space that you’re going to see more companies start to show how they’re going to embrace using cryptocurrencies or blockchain technologies, and it seems that there’s this belief that it’s not a matter of if but when,” Moya said. “And that’s why you have so many itchy trigger fingers here to buy any story that shows there’s a major commitment to cryptocurrencies by a large retailer.” Major cryptocurrencies gave back their advances after Walmart refuted the news. Litecoin -- which rose as much as 33% at one point -- erased nearly all its gains. Bitcoin, the largest digital asset, was down 1.7% as of 1:35 p.m. in New York after earlier having advanced roughly 4%. Other digital assets also retreated, with Bitcoin Cash, Ether and EOS all declining. The surge in Litecoin on the basis of what Walmart described as a “not authentic” press release comes as regulators are increasingly seeking to tighten their grip on the crypto space. U.S. Securities and Exchange Commission Chair Gary Gensler, who recently called crypto the “Wild West”, has signaled that he’s contemplating a robust oversight regime over the still-mostly unregulated industry. SEC’s Gensler Readies More Crypto Oversight to Protect Investors Coinbase Global Inc., the largest regulated cryptocurrency exchange in the U.S., last week lashed out at the SEC after receiving a notice that the regulator would proceed with an enforcement action if the company went ahead with its so-called Lend product. Lend is one of a growing number of yield-earning products on the market that advertise rates significantly above comparable interest-generating accounts at major banks or credit unions. Coinbase Gets Wells Notice From the SEC on Lend Product Bloomberg The headlines about Litecoin and Walmart had spread like wildfire on Twitter, where a lot of real-time crypto discourse occurs. Some crypto backers -- though they questioned why Walmart might choose to partner with a lesser-known and lesser-used coin than Bitcoin, for instance -- were thrilled to see another big name getting behind the movement. “This went from being extremely good news for crypto that strengthened the ‘polychain’ thesis to a black eye on the space in a matter of minutes,” said Stephane Ouellette, chief executive and co-founder of FRNT Financial. “Threats of market manipulation have been one of the primary focuses of regulators around these assets and to say this will get their attention is an extreme understatement.” But Lee, of the Litecoin Foundation, said he didn’t think the scam would necessarily trigger additional regulatory scrutiny. “This happens with the regular stock market also. It happens a lot more with the regular stock market than with crypto. But I’ve seen it happen a few times with crypto,” he said. Scams in crypto are not new. In the summer of 2020, the Twitter accounts of some of the most prominent U.S. political and business leaders were hacked in an apparent effort to promote a Bitcoin scam. The targeted accounts included Barack Obama and Joe Biden as well as Jeff Bezos and Warren Buffett. The efforts behind the Litecoin hoax included the creation of an email address based on a sham domain name, as well as a fake news release that included quotes attributed to real Walmart executives. The release had been submitted to a known public relations wire service and was picked up by major news outlets including CNBC, Reuters and Bloomberg News. While hoaxes that move asset prices crop up in financial markets all the time, cryptocurrencies would seem to provide particularly fertile ground for deceivers. Unlike stocks, trading is mostly untraceable -- scammers leave few tracks for regulators to follow. And it doesn’t take much to move the assets. Traders are conditioned to expect hysterical price reactions on flimsy news -- like when, say, Elon Musk tweets his approval of a crypto project. — With assistance by Elaine Chen Before it's here, it's on the Bloomberg Terminal. LEARN MORE

To: maceng2 who wrote (178215)	9/13/2021 6:46:01 PM
From: TobagoJack	Respond to of 217764

I wonder when 'somebody' will innovate a 'coin' that wraps trades of other coins inside of the 'coin' so that the primary asset remains the 'coin' even as the underlying coins got traded, net result no taxation without representation, to frustrate 'them' the 'coin' would only be disassembled at the end when fiat cash is taken out and away by banking off-ramp, and the remaining crypto assets reformulated as a new 'coin' bloomberg.com House Democrats’ Tax Plan Hits Crypto With New Rules, Again Joe Light 14 September 2021, 00:55 GMT+8 For the second time in a month, the cryptocurrency industry is staring down the barrel of a change in U.S. tax provisions meant to raise billions of dollars. This time, the proposal comes courtesy of House Democrats, who on Monday released a package of proposed tax increases to help pay for the White House’s $3.5 trillion spending package. Among the $2 trillion in tax hikes is a proposal to add commodities, currencies and digital assets to the so-called wash-sale rule, which is estimated to raise about $16 billion over a decade. If enacted, the provision would close a popular loophole that some cryptocurrency investors use to defer capital-gains taxes. As they can with stocks, investors are allowed to claim a deduction when selling cryptocurrencies at a loss. To claim the deduction for a stock sale, investors must wait at least 30 days before buying the shares back or making another investment that gives them an equivalent exposure. If they don’t, the transaction is considered a “wash sale” that’s ineligible for a capital-gains deduction. Since the Internal Revenue Service classifies cryptocurrency as property, rather than a security, investors for now aren’t subject to that rule and can quickly sell and buy the currencies while still claiming the deduction. The House Democrats’ proposal would close that loophole. The latest in global politicsGet insight from reporters around the world in the Balance of Power newsletter. Sign up to this newsletter The plan comes less than a month after the cryptocurrency industry unsuccessfully fought to exclude a provision in the Senate infrastructure bill that would require more crypto firms to report information on their users in an effort to increase tax compliance. Crypto advocates said that provision, which was projected to raise $28 billion over a decade, was unworkable and would seemingly require information from firms that can’t collect it. Though some advocates still want to change the infrastructure provision, policy analysts say there will be a lot of pressure on the House not to make changes to the bill. Unlike with the infrastructure provision, crypto advocates say that at first blush the House Democrats’ proposal on wash sales seemed less controversial. A spokesman for Coin Center, a nonprofit crypto advocacy group, called it “straight forward” and not something his group would oppose. “We are comfortable with this provision provided it only applies existing rules to crypto assets and doesn’t lead to other unintended consequences,” said Kristin Smith, executive director of the Blockchain Association, a crypto trade group. Still, Smith said it would be more ideal for the industry if the tax treatment of cryptocurrencies were addressed in a comprehensive way in the tax code, rather than piecemeal. — With assistance by Kaustuv Basu, and Allyson Versprille Before it's here, it's on the Bloomberg Terminal. LEARN MORE