Crypto News – As of December 25, the crypto industry was again quite chaotic. While the news about the SEC and Bitcoin Spot EFTs dropped like a bomb on the agenda, the approval of Paxos also attracted attention.
What Happened in the Crypto Industry on December 25?
While the SEC asked crypto issuers to submit spot Bitcoin ETF updates by December 29, former BitMEX CEO Arthur Hayes expressed concerns about spot Bitcoin ETFs. Paxos stood out by receiving approval from New York. Details about these three news are in the rest of the article.
Hayes is Pessimistic About Bitcoin Spot EFT
Hayes, former CEO of BitMEX, thinks that ETFs could completely destroy Bitcoin if they are too successful. In Hayes’ pessimistic scenario, if a spot Bitcoin ETF holds all or most of the Bitcoins in circulation, there won’t be enough transactions on the Bitcoin network to validate them. This would result in miners becoming dysfunctional and stopping to work.
The end result is miners turn off their machines as they can no longer pay for the energy required to run them. Without the miners, the network dies, and Bitcoin vanishes.
Hayes
Paxos Receives Approval from DFS
Reports state that Paxos’ request to grow to the Solana blockchain has been granted by the New York Department of Financial Services (DFS). It has been reported that Paxos was granted permission by the New York regulator to expand its USDP stablecoin from Ethereum to Solana, without receiving any objections. The expansion ambitions came after a thorough and drawn-out study process, according to Walter Hessert, head of strategy at Paxos.
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