🪖 Israel Cracks Down on Hamas' Crypto

Advertise with us | Our Newsletters

Good Morning!

The high-profile courtroom drama surrounding Sam Bankman-Fried and the collapse of FTX continues, with Caroline Ellison, the ex-CEO of Alameda Research, testifying against her ex-lover. Ellison has accused SBF, the founder of the FTX exchange, of directing her to commit fraud.

Amid ongoing tensions in the Middle East, in response to the surprise attack by Hamas over the weekend, the Israel Police's Cyber Unit, in collaboration with UK law enforcement, has frozen cryptocurrency accounts linked to Hamas. And on a lighter note, who would've thought the McRib could be a predictor of Bitcoin's performance? As McDonald’s prepares for the much-anticipated return of the McRib, some in the fintech space are drawing parallels between the sandwich's seasonal appearance and Bitcoin's price fluctuations.

Markets

Star Witness Caroline Ellison Says Sam Bankman-Fried Directed Her to Commit Fraud (4 minute read)
Caroline Ellison, the former CEO of Alameda Research, has testified in a high-profile trial implicating her ex-boyfriend and former colleague, FTX exchange founder Sam Bankman-Fried, in alleged fraudulent activities. At 28 years old, Ellison is a pivotal witness for the prosecution, shedding light on the six-week trial. She held the CEO position at Alameda Research, a hedge fund accused of embezzling substantial funds from FTX, its affiliated cryptocurrency exchange. During the trial, prosecutors questioned Ellison about her involvement in crimes and her accomplices, to which she admitted guilt, citing Bankman-Fried as the orchestrator of the fraudulent acts. Additionally, Ellison discussed Alameda Research's use of borrowed funds from FTX customers.

Israel freezes Hamas-linked crypto accounts used for donations (2 minute read)
Israeli authorities have taken control of cryptocurrency accounts that were being utilized to gather donations for the Palestinian Islamist organization Hamas. Hamas, which exercises control over the Gaza Strip, initiated a significant surprise attack on Israel over the weekend. The Israel Police's Cyber Unit, effectively blocked crypto accounts on centralized exchanges that Hamas had been using to generate funds for their operations. Additionally, the Cyber Unit partnered with UK law enforcement to freeze an account held at a UK-based Barclays bank, which Hamas had publicly acknowledged for receiving donation funds. These diverted funds were channeled to the state treasury with the assistance of crypto exchange Binance, as reported by the Times of Israel on Tuesday.

Bored Bitcoin Analysts Point to McRib Meme for Bullish Return (3 minute read)
As the highly anticipated return of the McRib approaches next month, enthusiasts in the fintech and crypto communities have drawn attention to a peculiar correlation. McDonald’s traditionally features the distinctive McRib on its menu for a limited time, a move often associated with marketing strategies and pork pricing dynamics. Now, as the McRib's reappearance nears, observers in financial markets are exploring possible connections between its return and global asset prices, including Bitcoin. In fact, some crypto analysts are actively charting comparisons between the enticing presence of the McRib on the menu and the price fluctuations of Bitcoin.

Tech

BlackRock & Barclays First to Tap JPMorgan Blockchain for Collateral Settlements (3 minute read)
JPMorgan Chase & Co., has achieved a significant milestone by successfully executing its inaugural collateral settlement using blockchain technology. Facilitated through their Tokenized Collateral Network (TCN), the bank transformed shares from BlackRock. into digital tokens for an over-the-counter derivatives trade with Barclays. This marks a noteworthy instance of a bank-designed blockchain application being put into commercial use, emphasizing the potential efficiency enhancements this technology could bring to the financial sector. The live implementation of this blockchain application is now underway, with a promising pipeline of clients and transactions being developed. This advancement is poised to streamline financial transactions, potentially accelerating their pace and minimizing risks, particularly during periods of market instability.

Immutable taps Amazon to boost web3 gaming adoption. (2 minute read)
The blockchain-based games platform, Immutable, has announced its selection of Amazon Web Services to support successful deal closures. Immutable, known for its web3 game development platform, is expanding its strategic partnerships to drive mainstream adoption of video games built on the Ethereum blockchain. By leveraging AWS, Immutable aims to enhance its development capabilities by bringing new game studios on board and providing them with essential resources through programs like AWS Activate startup and AWS's ISV Accelerate Program, ultimately empowering them to accelerate their global launch. This collaboration aims to scale Immutable's upcoming offerings, including Immutable zkEVM, a gaming chain constructed on Ethereum (ETH), enabling game developers to integrate customized digital ownership.

Misc

Brazil’s Congress puts Binance CEO CZ in crosshairs for indictment (3 minute read)
A Brazilian congressional committee has recommended the indictment of Binance CEO Changpeng "CZ" Zhao and three other Binance executives as a result of an investigation into financial pyramid schemes in Brazil. The committee's 500-page final report, released on October 10, accuses Zhao, along with local Binance executives Daniel Mangabeira, Guilherme Haddad Nazar, and Thiago Carvalho, of engaging in fraudulent management practices, operating without sufficient authorization, and conducting securities trading without the required approval. According to the committee, led by Deputy Ricardo Silva, Binance and its executives were involved in establishing a complex network of legal entities controlled directly or indirectly by Zhao, lacking a defined business purpose and seemingly aimed at evading compliance with the law.

SBF's Lawyers Want to Ask Caroline Ellison About FTX's Anthropic AI Stake (4 minute read)
The defense team representing Sam Bankman-Fried is seeking permission to question Caroline Ellison regarding her reliance on legal advice during her tenure as CEO of Alameda Research and the valuation of FTX's stake in Anthropic AI. In recent filings made on a Tuesday evening, right after Ellison's initial day of testimony, the defense requested authorization to discuss these matters, emphasizing that Judge Lewis Kaplan had previously requested prior notice if the defense intended to raise the "advice-of-counsel" argument. Concurrently, the Department of Justice has urged the judge to disallow Bankman-Fried's defense from broaching the topic of the current valuation of FTX investments, reiterating this stance in a recent filing related to Anthropic AI. The department deems this matter irrelevant to the central question of whether Bankman-Fried improperly used FTX customer funds for personal purposes, emphasizing their objection despite recent fundraising activities by the AI firm, which could potentially impact FTX creditors in the event of a stake sale.

🐥 Best of Twitter

Thanks for reading, if you enjoyed, tell your friends!

P.S: If you're interested in the wider investing world. Check out our flagship publication.