13th December 2024 > > Crenshaw & Trump.

tl;dr

Warren’s anti-freedom and anti-liberty party is turning on its own members as its undemocratic creed rightly implodes. The conflicts of interests that the Trump family appear to be embracing are of concern to us all.

Market Snap

Market Wrap

The UK economy has moved from its pre-election trajectory of increasing growth to an entirely predictable contraction in October. I think we all know what triggered such a dramatic turnaround in the UK’s economic wellbeing. On the upside, in anticipation that Bailey – who remarkably is even more incompetent than his predecessor at the Bank of England Mark Carney, an unprecedented feat of epic proportions – will soon manipulate UK interest rates lower across the curve, the pound is selling off making our crypto bags (priced in dollars) of even greater value to us as Brits.

It was another big day for inflows to the spot BTC ETFs to the tune of $600bn. That’s 6,000 BTC stashed away compared to a daily mining production of a measly 450. In the last eleven days the ETFs have taken on more than 50,000 BTC, and there is every reason that those flows are going to continue to increase in size. There is only ever going to be 21mm BTC of which it is estimated 4mm have been lost forever. You can do the maths yourself. What does that tell you?

Curious Cryptos’ Commentary – The SEC & Crenshaw

Two days ago, the CCC reported that SEC Commissioner Caroline Crenshaw, a leading figure in Operation Choke Point 2.0, was up for re-election yesterday as a commissioner having been re-nominated by Biden near the end of her term a few months ago. It would be a stretch to describe Crenshaw as a popular figure in the crypto world.

Well, that vote by the Senate Banking Committee did not happen, and for reasons which we will all find rather amusing. You will recall that Chair of the Senate Banking Committee, Sherrod Brown, lost his seat in the recent elections due in part to the crypto industry making his local election a referendum on his personal antagonism towards cryptos:

https://www.curiouscryptos.com/post/8th-november-2024-us-politics-cryptos

Unseating Brown was undoubtedly the crypto highlight of those elections.

In a fit of pique, Brown adjourned yesterday’s meeting – the very last time he was chair – before the Crenshaw vote had taken place. Arcane operational rules meant that no vote could be taken without “special dispensation”, from whom I do not know, but that dispensation was not forthcoming.

It looks like Crenshaw will have to wait for the new administration before her re-selection bid can take place. Her chances are now hugely reduced, which is yet more good news for crypto regulation, and crypto prices, going forward.

For the very first and most probably the last time, the CCC salutes Sherrod Brown, even if his actions were motivated by immaturity rather than concern for the wellbeing of the crypto industry.

Curious Cryptos’ Commentary – US politics

The headline speaker at a crypto conference held in the United Arab Emirates was Eric Trump.

He made a bold claim:

“You’re going to have the most pro-crypto president in the history of America. Think about a president who isn’t going to allow Bitcoin and cryptocurrencies to be overregulated and stifled.”

We definitely don’t want stifled, but we also don’t want under-regulated. We want appropriate regulation that is specific and targeted, and allows crypto businesses to innovate and flourish, probably making use of safe-harbours.

Trump’s explanation for his family’s conversion to crypto is worrisome:

“The attacks on the family, the attacks on our company, the nastiness of the system, the hell that they (the banks) put us through. Had it not been for those attacks, I don’t think my eyes would have been as open to the crypto industry.”

It seems that Trump’s crypto conversion is motivated by a desire for revenge, more than anything else.

…

But I have also learnt of some other even more troubling news, which does not bode well.

The Trump family’s launch of their own crypto currency, World Liberty Financial, could not be deemed a success. With a target of raising $300mm, less than 1% of that total had trickled in after two weeks. That is, until Justin Sun got involved and bought $30mm of WLFI.

Sun, and his company Tron, are under investigation for fraud, a federal offence that applies to all financial markets in the US, and is not specifically a crypto issue. Sun himself has a little bit of Changpeng Zhao’s nature about him, with sometimes blatant disregard for regulatory norms, and does not present as a particularly trustworthy fellow from afar. Let us hope that the fraud investigation is allowed to continue its course. The alternative – that a $30mm gift to the President-elect’s family business buys you freedom from securities laws in the US – is too awful to contemplate.