Crypto Three Things (6/27)
Jun 27, 2022
1) SEC Chair Gary Gensler calls for ‘one rulebook’ to unify crypto oversight: Gensler told the Financial Times he was in talks with colleagues at the Commodity Futures Trading Commission (CFTC) about how to coordinate efforts to hammer out a shared regulatory framework. Gensler’s remarks arrive after a bipartisan bill sparked a debate over who should be responsible for cryptocurrency supervision.
Titan’s Takeaway: The SEC and the CFTC rarely work in tandem since the first oversees securities while the second guards derivatives. Cryptocurrency – the newest asset class in decades – could bridge the gap between the two agencies as they join forces to better regulate digital assets.
2) Hackers loot $100M from blockchain Harmony’s Horizon bridge: Harmony, a layer-1 blockchain offering a two-way Ethereum bridge, was hacked last week. The breach resulted in the substantial theft of various tokens including USDT, USDC, and SUSHI, and then later swapped for ETH. The company said it is offering a $1M bounty and will advocate for “no criminal charges” should the funds be returned. The hack adds to more than $1B already stolen from bridge attacks to date.
Titan’s Takeaway: Hacks of crypto bridges that allow users to transfer coins between blockchains have been common in the crypto world. As growth continues, crypto developers will need to focus increasingly on security to curb risk.
3) Bitcoin miners under stress as $4B in loans linger: The continued price meltdown in crypto is seeing some miners struggle to keep up with repaying their loans. Many have increased the selling of their minted tokens in order to alleviate the burden, meet obligations, and cover operational costs.
Titan’s Takeaway: Selling large amounts of BTC reserves has the potential to lead prices lower and put pressure on lenders to liquidate. Default trends may get worse if crypto prices prolong their slump, posing threats to both miners and crypto lenders.
Cash Management
© Copyright 2024 Titan Global Capital Management USA LLC. All Rights Reserved.
Titan Global Capital Management USA LLC ("Titan") is an investment adviser registered with the Securities and Exchange Commission (“SEC”). By using this website, you accept and agree to Titan’s Terms of Use and Privacy Policy. Titan’s investment advisory services are available only to residents of the United States in jurisdictions where Titan is registered. Nothing on this website should be considered an offer, solicitation of an offer, or advice to buy or sell securities or investment products. Past performance is no guarantee of future results. Any historical returns, expected returns, or probability projections are hypothetical in nature and may not reflect actual future performance. Account holdings and other information provided are for illustrative purposes only and are not to be considered investment recommendations. The content on this website is for informational purposes only and does not constitute a comprehensive description of Titan’s investment advisory services.
Please refer to Titan's Program Brochure for important additional information. Certain investments are not suitable for all investors. Before investing, you should consider your investment objectives and any fees charged by Titan. The rate of return on investments can vary widely over time, especially for long term investments. Investment losses are possible, including the potential loss of all amounts invested, including principal. Brokerage services are provided to Titan Clients by Titan Global Technologies LLC and Apex Clearing Corporation, both registered broker-dealers and members of FINRA/SIPC. For more information, visit our disclosures page. You may check the background of these firms by visiting FINRA's BrokerCheck.
Various Registered Investment Company products (“Third Party Funds”) offered by third party fund families and investment companies are made available on the platform. Some of these Third Party Funds are offered through Titan Global Technologies LLC. Other Third Party Funds are offered to advisory clients by Titan. Before investing in such Third Party Funds you should consult the specific supplemental information available for each product. Please refer to Titan's Program Brochure for important additional information. Certain Third Party Funds that are available on Titan’s platform are interval funds. Investments in interval funds are highly speculative and subject to a lack of liquidity that is generally available in other types of investments. Actual investment return and principal value is likely to fluctuate and may depreciate in value when redeemed. Liquidity and distributions are not guaranteed, and are subject to availability at the discretion of the Third Party Fund.
The cash sweep program is made available in coordination with Apex Clearing Corporation through Titan Global Technologies LLC. Please visit www.titan.com/legal for applicable terms and conditions and important disclosures.
Cryptocurrency advisory services are provided by Titan.
Information provided by Titan Support is for informational and general educational purposes only and is not investment or financial advice.
Contact Titan at support@titan.com. 508 LaGuardia Place NY, NY 10012.