Cryptocurrency News Weekly Wrap-up for September 9th, 2022

As always, it was a busy week for crypto. closing its merge with ethereum and coinbase (COIN) sued the Treasury Department over the latest development in the bankruptcy case of Celsius Network and a “crypto unicorn” involving Kathy Wood. Pay attention to the latest cryptocurrency news and price action from the past week.


Be sure to also check out this week’s coverage of cryptocurrency ETFs like BITQ, BLOK and BITS.

Click here for the latest cryptocurrency prices and news. And if you’re new to the world of bitcoin, ethereum, blockchain and more, check out our what’s on cryptocurrency page.

cryptocurrency price action

The cryptocurrency price surged yesterday amid a rally in the stock market and a slight decline in the US Dollar, which has been gaining momentum in recent weeks. Friday’s rally of Bitcoin and Ethereum lifted the broader crypto markets.

Bitcoin rebounded near $21,300 by Friday afternoon. Ethereum climbed to $1,720 near the stock market, its highest price since mid-August. Ethereum is now well above its $1,000 low since June as it upgrades its network to a proof-of-stake consensus algorithm.

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Digital asset investments are extremely volatile. While cryptocurrency fundamentals and technical indicators may differ, investors should focus on the same key objectives. First, be safe by learning when it’s time to sell, cut losses or capture profits. Second, be prepared to take profits if the cryptocurrency starts to rally.

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Check out IBD’s best cryptocurrency and crypto stocks to buy and see to help you navigate the world of digital asset investing.

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SEC Chairman Gensler Still Wants Crypto Regulation

SEC Chairman Gary Gensler reiterated the need to regulate cryptocurrencies in a speech at the Practicing Law Institute yesterday. Gensler said that most crypto tokens are securities and the industry needs regulation to protect investors. Nothing about crypto markets is inconsistent with securities laws,” he said.

Coinbase sues the Treasury Department

crypto exchange coinbase (COIN) is funding a lawsuit against the Treasury Department over its restrictions on Tornado Cash smart contracts. Coinbase is asking the court to remove Tornado Cash from the US sanctions list. CEO Brian Armstrong says the sanctions exceed the authority of the Treasury, harm innocent people, remove privacy and security options for crypto users and stifle innovation.

FTX’s Spending Spree

Sam Bankman-Fried’s FTX continues to make headlines. Crypto exchange’s investment arm, FTX Ventures, is buying a 30% stake in Skybridge Capital, the investment firm led by former Trump press secretary Anthony Scaramucci. Financial terms were not disclosed, but Skybridge will use a portion of the funding from FTX to deploy $40 million in crypto investments to make its balance sheet last longer.

But FTX Ventures didn’t stop there. It also led a $300 million investment round in Misten Labs, the Web3 development company behind Sui Blockchain. The Series B round puts Misten above $2 billion and includes investments from a16z, Apollo, Binance, Coinbase, O’Leary Ventures, and others.

FTX Partners with GameStop

Late Wednesday Night, Original Meme Stock GameStop (GME) reported a loss in the second quarter, with revenue falling 4% to $1.14 billion, while video game inventory soared. But GME stock rose on Thursday and Friday on a new partnership with crypto exchange FTX.

The pair will collaborate on new e-commerce and marketing initiatives. GameStop has tried to latch on to the non-fungible token (NFT) hype as its retail base fades. And FTX has become a lending lifeline for struggling crypto companies as the price of bitcoin has plummeted this year.

“In addition to collaborating with FTX on new e-commerce and online marketing initiatives, GameStop will begin taking FTX gift cards in select stores,” GameStop said in a release. Financial terms for the deal were not disclosed.

Insolvency Filing Employee Celsius Network Ran Ponzi Scheme

Things are getting worse for the bankrupt crypto lender Celsius Network. New filings from the Vermont Department of Financial Regulation say Celsius went bankrupt in early 2019. And at its 341 bankruptcy meeting, where creditors questioned debtors under oath, Celsius acknowledged that the company never generated enough revenue to support the yields it paid to investors. Vermont regulators say this suggests existing investors were probably paid with the assets of new investors.

Kathy Wood-Linked Crypto Firm Claims ‘Crypto Unicorn’ Status, the newly formed parent of crypto investment firm 21Shares, has raised $25 million in a funding round led by London-based hedge fund Marshall Weiss. The round gives a $2 billion valuation and the company touts itself as “Switzerland’s Largest Crypto Unicorn”.

In line with the financial news, Zurich-based was announced as the parent company of 21Shares, the world’s largest issuer of crypto exchange traded products (ETP) and token provider Amun.

The crypto firm reached its peak of $3 billion in assets under management last November, when bitcoin hit an all-time high near $69,000. did not include updated statistics in the release.

According to’s website, there are over 100 employees, and its board includes Cathy Wood, CEO of ARK Investment Management. “This round is a testament to’s early success and ability to thrive in both bull and bear markets. I am proud to be part of’s growth story,” Wood said in the financial announcement.

Marathon Digital August Bitcoin Update

Marathon Digital (MARA) produced 184 bitcoins in August, according to its latest monthly production update. This brings its production total for the year till August 31 to 2,222, which is 26% higher than the same period last year.

Marathon’s total bitcoin holdings rose to 10,311 by the end of the month, with a fair market value of $206.7 million as of August 31, when BTC was worth around $20,000. As of September 7, the holdings are worth approximately $194 million.

Its unrestricted bitcoin holdings stood at 6,483 BTC at the end of August, valued at $130 million. While its unrestricted cash was $71.4 million, down from $120.7 million a month earlier.

Marathon activated 25,000 miners in August, bringing its total fleet to 34,000 active miners. And it plans to activate an additional 65,000 mining rigs at multiple facilities over the next 90 days.

Signature bank deposits fall from crypto

signature bank (SBNY) said on Tuesday that spot deposits have fallen by $1.64 billion as of September 2, essentially driven by the recent crypto meltdown. Signature Bank saw an outflow of $4.27 billion from its digital banking space due to the crash in the crypto markets, the bank said in its mid-quarter update.

Excluding the digital asset banking team, Signature’s deposits grew $2.64 billion during the third quarter so far. The bank says its spot lending growth across nearly all of its lending businesses so far this quarter is about $2.39 billion.

Signature Bank reported that it is well positioned to meet the upper limit of its target of $1 billion — $3 billion in combined debt and securities growth for the quarter.

Ethereum Begins Merger

Ethereum began its transition to the much-anticipated proof-of-stake consensus algorithm on Tuesday. The network is wrapping up the first phase of its update with the Bellatrix upgrade, which will prepare the Ethereum blockchain for merge. The next “Paris” upgrade will complete the merge, which is expected to be finalized sometime between September 15-20.

Binance’s stablecoin shake-up

On Monday, Binance announced major changes to its stablecoin trading services that will take effect at the end of September. The world’s largest crypto exchange will automatically convert users’ stablecoin funds into its Binance USD (BUSD) tokens starting September 29. Binance says the move will increase liquidity and capital efficiency for users. But it also gives it a huge advantage over its stablecoin competition.

The second-largest stablecoin, the Pax Dollar (USDP) and TrueUSD (TUSD) stablecoins, will automatically convert to Binance’s BUSD stablecoin with USDC changes, balances and deposits. Binance will be shutting down most of its trading, staking, savings and gift card services for those stablecoins – essentially killing their usefulness on the platform. However, Binance will still allow withdrawals in the form of USDC, USDP and TUSD.

This could give BUSD a major edge over USDC in the race for stablecoin supremacy. Binance’s token is currently the third-largest stablecoin with a market cap of $19 billion, trailing USDC with a market cap of $52 billion. Tether’s USDT token is the largest stablecoin to date with a market cap of $68 billion.

Zappos Founder Combines Fantasy Sports and NFTs

The NFL kicks off its season on Thursday, and fans around the world will be celebrating or cursing the results of their fantasy draft. Meanwhile, Zappos founder and Golden State Warriors co-owner Nick Swinemarn is bringing a new form of fantasy sports to the blockchain.

Swinnern’s hellebore platform will go live on Thursday and will be the first NFT sports prediction game. Players feel the results of live sporting events and athlete performances are similar to fantasy “pick ’em up” games, earning blockchain rewards.

Users gain access by purchasing a Cyber ​​NFT and can then join leagues and play face-to-face matchups for various NFT rewards and fan experiences. Play Hellebore is the latest blockchain project to capitalize on sports hype. Dapper Labs has emerged as a leader in the space with officially licensed NFTs and partnerships with the NBA, NFL, UFC and more.

But this is the first major step forward in fantasy sports on the blockchain. And there could be a huge market for it. According to the Fantasy Sports and Gaming Association, more than 59 million people played fantasy games in North America in 2020. And the global fantasy sports market is expected to reach $38.6 billion by 2025, up from $22.31 billion in 2021, ResearchAndMarkets data shows.

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