Crypto Market Overview December 07th | Dex-Trade

Crypto Market Overview December 07th | Dex-Trade

Ripple Community Attacks Michael Saylor Over XRP Slander

In a recent podcast by Patrick Bet David (PBD), MicroStrategy Chairman and Bitcoin evangelist Michael Saylor argued that the SEC should shut down Ripple because XRP and, by extension, ETH are unregistered securities. Naturally, such a harsh statement could not pass by the Ripple community. CryptoLaw founder John Deaton was quick to respond to Sailor's "hurtful" comments and recalled that he was a brilliant rocket scientist at MIT, but also clarified that defining an asset as an investment contract or security requires special factual and legal analysis. Other members of the XRP community agreed with the founder of CryptoLaw. Ripple's general counsel, Stuart Alderothy, has stated that XRP is not classified as a security, as only a court has the power to do so in response to similar misconceptions. However, the protracted trial between the SEC and Ripple, which has been ongoing since 2020, is not over yet, and market experts are already hinting that the final decision will definitely not be in favor of the SEC. In addition, attorney James K. Filan predicts that a final ruling on pending issues in the SEC v. Ripple case, including motions for summary judgment, could be made in March 2023 or even earlier. Therefore, the XRP community has already “froze” in anticipation of good news.


Bill Ackman and Kevin O'Leary Speak Out in Support of SBF

Influential US investors Bill Ackman and Kevin O'Leary have said they believe the former CEO of bankrupt crypto exchange FTX, Sam Bankman-Freed (SBF), when he claims he was unaware of Alameda Research subsidiary's risky bets. “I lost millions as an investor in FTX and got sandblasted as a paid spokesperson for the firm but after listening to that interview [SBF at the New York Times Dealbook Summit] I’m in the Bill Ackman’s camp about the kid!” — O'Leary wrote on his Twitter. Meanwhile, US authorities are clearly looking into FTX for possible mishandling of customer funds as billions of dollars owned by the crypto exchange are still missing. After The Wall Street Journal reported that Alameda's CEO told employees about raising loans, the main question for companies is whether Alameda's customer funds were used to cover those loans. In an interview on Dealbook, Bankman-Fried stated that one of the main reasons for the collapse was an accounting error and that he did not deliberately mix up the funds. Recall, however, that SBF stepped down as CEO at the same time FTX and Alameda Research filed for bankruptcy, and his successor, John J. Ray III, recently revealed that he had never in his career witnessed “such a complete failure of corporate controls and such a complete absence of trustworthy financial information” as in FTX.


CZ Demystifies FTX Collapse and Calls SBF a Scammer

Yesterday, the CEO of cryptocurrency trading giant Binance, Changpeng Zhao (CZ), tweeted a few general things about the state of the crypto market and switched to debunking “common myths” about the FTX crash and Sam Bankman-Fried’s involvement in the event.

Here are some of his "debunkings":
FTX was killed by xyz (ie, a 3rd party).
- CZ: "No, FTX killed themselves (and their users) because they stole billions of dollars of user funds."
CZ's tweet destroyed FTX.
- CZ: "No healthy business can be destroyed by a tweet."
SBF had good intentions, but just made some mistakes.
- CZ: "Lying is never with good intentions."
"SBF perpetuated a narrative painting me and other people as the ‘bad guys.'"
- CZ: "It was critical in maintaining the fantasy that he was a ‘hero.’ SBF is one of the greatest fraudsters in history, he is also a master manipulator when it comes to media and key opinion leaders."

Of course, CZ's statements do not yet have any legal argument, since they are clearly accusatory. But it seems that these statements will become the very “tweet that will destroy FTX”...