As the DeFi and crypto space continues to evolve rapidly, staying informed about the latest developments is vital. This weekly recap covers the most significant news and trends.
FTX Sues Binance for $1.8 Billion
FTX has filed a $1.8 billion lawsuit against Binance and its former CEO, Changpeng Zhao, alleging fraudulent transfers in a 2021 share buyout deal. The lawsuit claims Binance received $1.76 billion in FTX tokens and Binance coins in exchange for its stakes in FTX entities. FTX's bankruptcy estate alleges funds were misappropriated, possibly from customers, deeming the transaction invalid due to FTX's insolvency at the time.
18 U.S. States File Lawsuit Against SEC
A coalition of 18 U.S. states, led by Kentucky, filed a lawsuit against the SEC, accusing the agency of overstepping its constitutional authority in regulating cryptocurrencies. The Republican attorneys general from states like Texas, Florida, and Ohio argue SEC Chair Gary Gensler's approach undermines state regulatory powers and hinders innovation in the $3 trillion digital asset market.
U.S. DOJ Investigates Polymarket
The U.S. Department of Justice is reportedly investigating Polymarket, a crypto prediction platform, for potential regulatory breaches. Despite settling with the Commodity Futures Trading Commission in 2022 with a $1.4 million payment and restricting U.S. users, new allegations suggest the platform may still be accessible to U.S. citizens.
This week saw numerous significant developments in the DeFi and cryptocurrency world, including lawsuits and investigations that could affect future regulation and trust in the market.
