Crypto news recap: SBF’s trial, Binance’s market share drops, and PayPal’s NFT moves
ALBAWABA- In this week’s crypto roundup, we delve into key stories shaping the crypto world. The trial of former FTX CEO Sam “SBF” Bankman-Fried in New York grabs headlines, while Binance’s market share continues to slide. Additionally, PayPal’s patent application hints at NFT involvement, showcasing the growing influence of digital assets in mainstream finance. These developments offer a glimpse into the dynamic crypto landscape so let’s dig in!
Former FTX CEO Sam Bankman-Fried’s Trial Begins Amid Accusations of Fraud and Blame-Shifting
The trial of Sam “SBF” Bankman-Fried, the former CEO of FTX, commenced in New York on October 4, following the commencement of jury selection the day before. Assistant United States Attorney Thane Rehn asserted that SBF had utilized FTX customer funds for personal enrichment and to bolster his standing among politicians via donations. Rehn contended that despite SBF’s claims of a crypto market downturn, the trial’s evidence would reveal his fraudulent activities, with testimony from individuals in his inner circle, including his girlfriend, Caroline Ellison, implicating them in financial wrongdoing. In response, SBF’s attorney, Mark Cohen, alleged that Ellison and Changpeng Zhao, CEO of rival cryptocurrency exchange Binance, bore some responsibility for FTX’s downfall. For a detailed account of Sam Bankman-Fried’s trial’s first week, please check out our recap.
Binance’s Market Share Decline Persists as Competitors Thrive Amid Regulatory Hurdles and Strategy Shifts
Binance, a prominent cryptocurrency exchange, has witnessed a continuous decline in market share for the seventh consecutive month, with analysts attributing its dwindling fortunes to the rise of competitors like HTX (formerly Huobi), Bybit, and DigiFinex. Data analysis conducted by CCData and reported by Bloomberg revealed that Binance’s share of the spot market dropped from 38.5% in August to 34.3% in September.
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In the derivatives market, Binance’s share similarly declined from 53.5% to 51.5% during the same period. Experts pointed to ongoing regulatory challenges in the United States as a key factor contributing to Binance’s market share slump, while also highlighting the impact of the exchange discontinuing its zero-fee trading promotion for major trading pairs and its withdrawal from the Russian market, which previously accounted for 7% of its traffic.
PayPal Pursues NFT Integration with Patent Application for Token Transfer System
PayPal has recently submitted a patent application to the United States Patent and Trademark Office for a system designed to facilitate the transfer and acquisition of NFTs (Non-Fungible Tokens). Although the specific service provider was not explicitly disclosed in the patent document, Ethereum was referenced, indicating a potential association with the Ethereum network.
This move signifies PayPal’s interest in enabling users to engage in NFT transactions, marking a notable development in the convergence of traditional payment platforms with the expanding NFT ecosystem.
