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A Tether spokesperson told Cointelegraph that the stablecoin issuer will freeze all addresses of entities trying to circumnavigate sanctions on Venezuela. Binance faces legal action in Canada with authorities there claiming the exchange violated securities laws. Meanwhile, Bitcoin can no longer be considered cheap, say Fidelity Digital Assets analysts.
Tether to freeze assets of entities bypassing Venezuela oil sanctions
Stablecoin issuer Tether has confirmed that it plans to freeze assets and addresses of any entity using USDT to bypass Venezuelan oil sanctions.
A Tether spokesperson informed Cointelegraph that the company is committed to stopping payments to entities that are sanctioned by the Office of Foreign Asset Control (OFAC), including Venezuela’s state-run oil company, PDVSA.
“Tether respects the OFAC SDN list and is committed to working to ensure sanction addresses are frozen promptly,” the spokesperson said.
The confirmation came after Reuters reported that the U.S. Treasury Department had called on PDVSA customers and providers to wind down transactions by the end of May due to Venezuela’s alleged failure to implement electoral reforms.
Tether’s USDT is the largest stablecoin in the world, with a total market cap of nearly $110 billion. Tether CEO Paolo Ardoino recently claimed that competition is needed to bolster the legitimacy of stablecoins in the eyes of regulators.
Binance sued in Canada for securities law violations
Cryptocurrency exchange Binance has been slapped with a new class-action lawsuit in Canada, with plaintiffs alleging that the firm has violated local securities laws.
Ontario’s Superior Court of Justice published a certification motion on April 19 for a class-action lawsuit against Binance alleging that it sold crypto derivative products to retail investors without registration.
According to plaintiffs represented by Christopher Lochan and Jeremy Leeder, Binance sold crypto derivatives products in violation of the Ontario Securities Act (OSA) and federal law.
The latest class action against Binance comes a few years after the crypto exchange announced in June 2021 plans to cease operations in Ontario after the OSC approached the firm with a warning.
Bitcoin is “no longer cheap” says Fidelity
Financial services giant Fidelity says Bitcoin can no longer be considered “cheap,” citing several metrics to change its medium-term outlook on the cryptocurrency from positive to neutral.
In an April 22 research report, Fidelity Digital Assets said the ‘Bitcoin Yardstick’ — similar to the price-to-earnings ratio for stocks — suggested Bitcoin is now trading at “fair value.”
Fidelity researchers noted that its new neutral outlook was informed by the fact that long-term BTC holders are adding to sell pressure. Additionally, the report noted that 99% of BTC addresses are currently in profit, something which “could incentivize selling,” in the future.
Overall, the investment firm maintained its positive short-term outlook for Bitcoin as there was “some potential for short-term profit-taking” at the end of the first quarter but added there were “no extreme indicators that are commonly seen during bull market peaks.”
Source: Cointelegraph.com
