Stabenow, Warren on policy
In Politico yesterday, Jasper Goodman and Eleanor Mueller looked at efforts to sway the opinion of VP Kamala Harris, the presumed Democratic presidential nominee, into the “pro-crypto” or – put another way – the”pro-innovation” camp.
Senate Agriculture Chair Debbie Stabenow (D, MI) chimes in regarding her unofficially-titled “Digital Commodities Consumer Protection Act 2.0” bill (which appears to be stymied by Republicans) and says that she “feels ‘very good’ about Harris’ approach” to digital assets. Stabenow adds about VP Harris’s views on crypto: “She knows what we’re doing, and she’s very interested in seeing what happens.” Read more in Politico.
Politico captures some spicy quotes from Senator Elizabeth Warren (D, MA), too. Thus far, Sen. Warren is providing no space for a change in views on digital assets policy in a potential Harris Administration in comparison to the Biden era.
more tips:
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- Rep. Khanna (D, CA) crypto roundtable #2 is Monday – Eleanor Terrett, Fox Business on X
what you should know: The Harris campaign may view “ambiguity” as the ultimate positioning for digital assets which may allow some digital asset voters to side with the VP in November. Post-election, they can return to a the Biden Administration’s aggressive digital policy policy with voting in the rear-view mirror.
Also, some Democrats privately maintain that Sen. Warren won’t have the same power in a Harris Administration, but that remains to be seen.
Coinbase reports
Coinbase reported its Q2 2024 earnings yesterday afternoon. It’s quarterly revenue nearly doubled from a year ago posting $1.449 billion versus $708 million. Analyst revenue estimates had been for $1.39 billion in the quarter.
Even though the slumping or static crypto markets (such as the price of Bitcoin) didn’t help drive transaction revenue, The Wall Street Journal reported Q2 “total transaction revenue more than doubled to $781 million from a year ago.” The Journal also noted that “Coinbase helps store most of the assets in U.S. exchange-traded funds holding bitcoin and ether. Its custodial revenue rose to $35 million from $17 million a year ago.” Read more.
more tips:
what you should know: The custodial revenue can thank the SEC’s Staff Accounting Bulletin 121 which has largely prevented regulated banks from offering custody services for crypto.
stablecoins
Stablecoin market faces transformation with upcoming U.S. regulations – TheStreet
US firms in the EU
On Wednesday, the European Securities and Markets Authority (ESMA) clarified expectations for overseas firms, including those in the United States, trying to do crypto business in Europe.
CoinDesk covers the news and reports, “[ESMA] said it would be illegal for an EU-authorized broker to systematically route orders it receives to a group’s execution venue if that group is located outside the EU and the broker hasn’t explored any alternative options.” Read more.
The new rules are an outgrowth of the European region’s crypto regulation framework known as Markets-In-Crypto-Assets (MiCA).
more tips:
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- Opinion to support the convergent application of MiCA – ESMA
what you should know: The big question for European crypto entrepreneurs: will the MiCA framework unlock a new age of innovation in the EU or not? At best, it’s unclear at this moment.
BITCOIN bill
Sen. Cynthia Lummis (R, WY) new bill proposing a Bitcoin strategic reserve for the United States has hit the Congress.gov database. See S.4912.
Apparently formally known as the Boosting Innovation, Technology and Competitiveness through Optimized Investment Nationwide Act – or BITCOIN Act of 2024 – industry organization Digital Chamber came out in favor of Sen. Lummis bill yesterday and tweeted that it “hand-deliver[ed] our letter to every U.S. Senate office urging them to support” the bill.
what you should know: This bill has been referred to Chair Sherrod Brown’s (D, OH) Senate Banking Committee where it will undoubtedly have to wait for the next Congress at a minimum.
podcast – layer 2 blockchains
TradFi fund operator ARK Invest published its latest “For Your Innovation (FYI)” podcast yesterday with ARK analysts speaking to Jesse Pollak, creator of Coinbase’s Layer 2 blockchain solution, known as Base.
The hour-long podcast does a great job of explaining the public-facing journey for Coinbase and Pollak and their decision to create a decentralized, “layer 2” blockchain. It seems to echo Apple’s decision to create an App Store for its iPhone in 2008. Some good “basics” in here.
what you should know: Coinbase moving from a centralized to decentralized model distantly echoes the U.S. government’s potential struggle with integrating decentralization into “winning” functions in the years to come.
VP Harris
Is Kamala Harris, a Former Prosecutor, Really Warming Up to Crypto? (Tuesday) – New York Magazine
Kamala Harris’ improving election chances could hurt bitcoin, YouHodler analyst says – The Block
former President Trump
Trump and the politics of bitcoin – Financial Times
Opinion: Trump’s Crypto Turnaround Heralds an Economic Nightmare – Foreign Policy
Former Meta Exec David Marcus Joins Crypto Republicans, Endorses Trump For President – Forbes
still more tips
Two Artists Sue SEC Over NFTs Being Classified as Securities – NFT Now
Think you own your crypto? A new UK law would make sure – DL News
Crypto players ready wishlist for potential second Trump administration – Reuters
Offline digital euro: ECB seeks input from experts – Ledger Insights
The Crypto Industry’s 2024 Election Spending Spree – Jacobin