Elon Musk, Crypto Leaders Laud ‘Unplugging’ Of CFPB, Critics Push Back

Elon Musk, Crypto Leaders Laud ‘Unplugging’ Of CFPB, Critics Push Back

Elon Musk and the chiefs of some of the cryptocurrency industry’s key organizations have lauded the work being done by the Trump administration to “shut down” the Consumer Financial Protection Bureau (CFPB).

However, some crypto users decried the move, saying they were concerned about the Americans’ financial protection.

There has been increasing pushback from Democrats over the closure of the CFPB office announced by Acting Director Russell Vought. He told staffers to not come to the office and “not perform any work tasks” as the headquarters will be closed “this week.”

Musk, crypto leaders react

As news about Vought’s announcement spread, Musk took to X over the weekend to bid farewell to the CFPB. “CFPB RIP,” he wrote. Political commentator Gunther Eagleman commented, saying it was just another agency whose name had “nothing to do with what they do.”

The Tesla CEO responded, saying the financial watchdog “did above zero good things, but still need to go.”

Brian Armstrong, the CEO of crypto exchange giant Coinbase, said it was “the right call” to shut down the agency.

“The CFPB is unconstitutional on the face of it,” alleging further that it was “an activist organization that has done enormous harm to the country.”

Blockchain expert Anndy Lian said the CFPB was also “over reaching with other agencies.”

“Less bureaucracy, more freedom,” said veteran Bitcoiner Thutski.

Gemini exchange co-founder Tyler Winklevoss, known for his and his twin brother’s generous Bitcoin donation to U.S. President Donald Trump’s presidential campaign last year, posted a photo that showed the CFPB website with a 404 error. “CFPB Unplugged,” Winklevoss wrote.

Riot Platforms VP of Research Pierre Rochard said the CFPB “did not stop SBF and he is now in jail for fraud.”

SBF, or Sam Bankman-Fried, is serving 25 years for his role in the shocking collapse of the FTX exchange, which wiped out billions from the crypto market.

Warren protests with staffers outside the CFPB office

Since the Trump administration moved to cripple the agency, protests were staged outside the CFPB headquarters, with employees and supporters attending the demonstrations, including Sen. Warren.

Standing behind a podium, where the sign “hands off our CFPB” reads, Warren said the “fight” to retain the agency was for Americans who don’t want to get “scammed,” get chased off their homes in an “illegal foreclosure,” and for students who need to borrow money for their education “without getting defrauded.”

Behind the Massachusetts lawmaker were demonstrators holding up signs that read, “No one voted for Elon Musk,” “Elon bought the United States,” and many more to call out the crackdown.

Warren reiterated that only Congress — not Trump, nor Musk — had the power to “fire the financial cops.”

Trump slams CFPB, says Warren ‘used’ the agency

During Monday night’s question and answer session with the media, Trump was asked about his thoughts on Warren’s pushback over the CFPB’s shutdown.

“She used that [CFPB] as her little personal agency to go around and destroy people,” the president said.

Trump insisted that targeting the financial agency was “the right thing” to do.

“There was a bad group of people running it, but it was also a waste,” he added.

Some X users, crypto holders are divided over the move

While an increasing number of crypto leaders and figures have expressed support for the Trump administration’s move, some users on X are unsure whether it would be beneficial for the American public.

“Come on Brian. Great call for you and your billionaire friends, terrible for hardworking Americans who are barely protected already,” one crypto holder said in response to Armstrong’s post.

“It has done no harm. You probably never heard of it until a couple of days ago,” another said.

Project management expert Laurence Boorstein criticized Armstrong for claiming that the CFPB was an “unconstitutional” agency, saying the Coinbase CEO made such comments “based on self interest.”

One Bitcoiner slammed Winklevoss for making such comments about the agency’s shutdown, saying it only proved that the Gemini co-founder doesn’t care about clients.

It remains to be seen whether the CFPB will actually be shut down, or if the Trump admin will opt for an overhaul of the agency that ensures compliance in the U.S. financial realm.

 

Source: https://www.ibtimes.com/elon-musk-crypto-leaders-laud-unplugging-cfpb-critics-push-back-3763220

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.

Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

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Bitcoin Slips Back Below $57,000 as Short-Term Holders Threaten Volatility

Bitcoin Slips Back Below $57,000 as Short-Term Holders Threaten Volatility

Bitcoin failed to hold levels above $58,000 Thursday morning, slipping to $56,700 and trading flat on the day.

Per data from CoinGecko, the price of Bitcoin is currently $56,794, up 0.6% in the past 24 hours and down 4.7% on the week.

Even as Bitcoin dropped to a little below 20% under its all time high, a new analysis has revealed a growing growing risk factor in the crypto market—short-term holders who are currently underwater on their investments could potentially trigger significant market volatility if they decide to cut their losses.

Despite the average Bitcoin investor remaining in a profitable position, those who have recently entered the market or acquired Bitcoin in the last six months are facing substantial unrealized losses. This dynamic creates a potentially volatile situation that could impact the broader crypto market.

“The Short-Term Holder cohort remains heavily underwater on their holdings, making them a source of risk for the time being,” a report by blockchain intelligence firm Glassnode states. This group’s financial stress is evident in key metrics, with their unrealized losses dominating the overall market picture.

The report cautions that this overall stability could be disrupted if short-term holders decide to exit their positions en masse. The $51,000 price level is identified as a critical support that must be maintained to preserve the current market structure.

The average cost basis for these investors ranges from $59,000 to $65,200, significantly above the current market price.

This situation is reminiscent of the choppy market conditions seen in 2019, rather than a full-scale bear market, the report’s authors noted. However, it still presents a considerable risk.

“Until the spot price reclaims the STH [Short-Term Holder] cost basis of $62.4k, there is an expectation for further market weakness,” the report stated.

The implications of this stress on short-term holders extend beyond their individual positions. Their potential selling pressure could trigger broader market volatility, especially given the current low levels of overall profit and loss-taking activities.

Interestingly, while short-term holders grapple with losses, long-term investors appear to be in a more stable position.

The report indicates that long-term holders have slowed their profit-taking activities, and coins accumulated during the recent all-time high run-up are gradually maturing into long-term holdings.

 

Source: https://decrypt.co/248179/bitcoin-price-flirts-with-55000-as-etfs-see-seventh-day-of-outflows

 

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.

Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

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Worldcoin is amidst a World War. Here’s How it Can Fight Back

Worldcoin is amidst a World War. Here’s How it Can Fight Back
  • The project that scans the users’ iris to validate their identity is facing significant regulatory battles in many countries.
  • Worldcoin must provide concise information outlining how data will be collected, used, and stored.

Worldcoin, an innovative project with a vision of establishing a global identity and financial network, aims to revolutionize the way we perceive digital identity and currency. Founded on the ambitious goal of granting majority ownership of this network to humanity, Worldcoin endeavors to unleash economic potential, ensure online privacy, enable democratic processes, and even lay the foundation for a Universal Basic Income funded by AI.

At its core, Worldcoin comprises two crucial elements: World ID, a privacy-focused digital identity network utilizing ‘proof of personhood’, and WLD, its digital currency. The World App serves as the main interface to World ID and the Worldcoin Protocol, developed by Tools for Humanity (TFH).

‘Proof of personhood’ forms the heart of Worldcoin’s concept, verifying individual human status and uniqueness. Successful implementation of World ID could set a global standard for validating personhood and overcome challenges in online voting as well as value distribution.

Worldcoin’s foundational principles include emphasizing ‘proof of personhood’ in the AI era, aligning network incentives for genuine human involvement, and drawing parallels with Bitcoin and Ethereum’s security models. However, challenges arise, particularly regarding the collection, handling, and privacy of biometric data.

World ID, backed by the Orb biometric device, offers a privacy-focused way to verify individual identity. While it promises enhanced security through unique biometric markers, it raises concerns about data storage and ethical usage. The diversity of data privacy regulations worldwide adds complexity, prompting concerns and regulatory scrutiny in countries like Kenya, the United Kingdom, India, and the United States.

Kenya suspended Worldcoin’s activities due to security, privacy, and financial issues, raising questions about data handling, ownership, and legality.

Additionally, The Information Commissioner’s Office, the U.K.’s data protection regulator, has said that it is “examining” the project and “making further inquiries” about its data collection practices. While India’s central bank, The Reserve Bank of India, has warned that Worldcoin is not legal tender and that using it as a payment instrument is illegal. Also, The U.S. Securities and Exchange Commission has not yet commented on Worldcoin, but some experts believe it could be classified as a security, subjecting it to stricter regulations.

In a world embracing digital transformation, Worldcoin’s proposal signifies a paradigm shift in identity and finance. However, the controversial aspects surrounding biometric data and regulatory challenges highlight the need for transparency, robust safeguards, and respectful adherence to privacy laws.

As Worldcoin strives to redefine the digital landscape, its journey underscores the intricate balance between innovation and ethical responsibility. The project’s success hinges on its ability to address concerns, collaborate with regulators, and ensure data security, providing a future where digital identity and financial networks coexist harmoniously on a global scale.

Vigilant in Avoiding Exploitation

To address privacy and data collection challenges, the project should prioritize enhanced transparency regarding its data collection and usage practices. Worldcoin must provide clear and concise information that outlines how data will be collected, used, and stored. It should obtain informed consent from individuals prior to collecting their biometric data is essential. Ensuring that individuals fully comprehend the implications of data sharing and voluntarily provide consent is paramount.

Worldcoin must be vigilant in avoiding any exploitation of vulnerable populations. The project’s marketing and recruitment strategies should adhere to ethical principles and avoid targeting those who may be more susceptible.

Also, collaboration with regulatory bodies is imperative. By engaging with regulators transparently and cooperatively, the project can effectively address any concerns raised and ensure compliance with relevant regulations.

Apart from tackling privacy concerns, Worldcoin can also strengthen its industry footprint to boost legitimacy. It can collaborate with organizations specializing in privacy and data protection that could aid in developing and implementing robust best practices for data collection and utilization.

Additionally, it should create a framework for data governance that would reinforce responsible and ethical data use, further safeguarding individuals’ information. Another step could be prioritizing investments in robust security measures is essential to prevent unauthorized access and misuse of sensitive data. And educating the public about the project’s objectives, practices, and safeguards is crucial for building trust and fostering understanding among potential users.

Casting a Shadow

The emergence of Worldcoin presents a captivating vision of a globally connected identity and financial network underpinned by innovative concepts like ‘proof of personhood’ and biometric authentication. The potential benefits encompass economic opportunities, enhanced online security, and even transformative social initiatives like a Universal Basic Income funded by AI.

Nevertheless, the project has encountered its share of controversy, primarily revolving around collecting and managing sensitive biometric data. While using biometric markers for identity verification holds promise, concerns about data privacy, security, and ethical considerations have cast a shadow over Worldcoin’s ambitious goals.

Source: https://www.financemagnates.com/cryptocurrency/worldcoin-is-amidst-a-world-war-heres-how-it-can-fight-back/

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.

Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

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