SBF's lawyers make sentencing recommendations / IRS hires two former crypto executives / VanEck launches new NFT marketplace [EN]

Show Notes

Sam Bankman-Fried's lawyers recommend a maximum of six and a half years in prison for the FTX founder, the NFT market shows signs of recovery with $1.8B in sales in December 2023, the IRS hires former crypto executives to enhance digital asset expertise, VanEck launches a self-custodial NFT marketplace called SegMint, and Strike expands its Bitcoin payment services to seven African countries.

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Host 1:"Salutations, aficionados of cryptocurrency! Delighted to be your effervescent and erudite host, in the company of our extraordinary fact-checker."
Host 2:"Ah, quite guilty as charged! Always poised to unravel the enigmatic mysteries of the crypto world, my dear fellow aficionados."
Host 1:"And that's precisely why we complement each other so splendidly! You're well aware of our penchant for thrilling pursuits, aren't you?"
Host 2:"Indubitably. A well-crafted legal drama is akin to a double shot of espresso for me, I must say!"
Host 1:"Prepare yourself for a bit of a shock! We've just received some fresh news about FTX founder, Sam Bankman-Fried. His legal team is proposing a maximum sentence of six and a half years behind bars."
Host 2:"Quite intense, isn't it? One can't help but ponder whether they permit cryptocurrency trading within the confines of a correctional facility!"
Host 1:"Quite an intriguing thought! However, let's pivot to something more uplifting - our beloved NFT market is displaying signs of resurgence, boasting an impressive $1.8 billion in sales in December alone!"
Host 2:"Absolutely splendid news! Have you heard about VanEck's new self-custodial marketplace, SegMint?"
Host 1:"Indeed, quite fascinating news! It appears to be a genuine game-changer. However, there's more to impart to our splendid audience. We've also been informed that the IRS is enlisting former crypto executives to augment their expertise in digital assets."
Host 2:"It's akin to entrusting the cat with the custodianship of the milk, isn't it?"
Host 1:"Marvelous observation! And here's another fascinating morsel of information - Strike is expanding its Bitcoin payment services to seven African nations, thereby enhancing accessibility to Bitcoin."
Host 2:"Quite a bustling day in the crypto realm, wouldn't you say?"
Host 1:"Absolutely spot on! Ladies and gentlemen, do stay with us as we delve deeper into these captivating topics, bringing you the latest and most remarkable news from the world of cryptocurrency!"
Host 1:"Keeping abreast of the latest developments in the crypto sphere, are we?"
Host 2:"Ah, you know me, always endeavoring to keep abreast of the latest technological trends. What's the latest buzz, then?"
Host 1:"Ah, let me regale you with the latest on Sam Bankman-Fried, the erstwhile CEO of FTX, a cryptocurrency exchange now defunct. His legal team has recently presented their sentencing recommendations to U.S. Judge Lewis A. Kaplan in an extensive 98-page memorandum."
Host 2:"Ah, indeed, I recall that case! He was indeed convicted on all seven counts, including wire fraud, money laundering, and misappropriation of customer funds, wasn't he?"
Host 1:"Indeed. And for our esteemed audience members who may not be well-versed in these legal intricacies, wire fraud entails engaging in deceptive schemes to unlawfully obtain funds, money laundering involves the process of disguising illicitly acquired proceeds as legitimate, and misappropriation of customer funds occurs when a company utilizes its clients' funds for its own purposes without their explicit consent."
Host 2:"Quite an intriguing turn of events, wouldn't you say? His legal team is now proposing a maximum sentence of six and a half years behind bars, with a just sentence falling within the range of 63 to 78 months. Quite the departure from the 100 years that U.S. probation officials had previously recommended, wouldn't you agree?"
Host 1:"Indeed, they did. Their contention also revolves around the argument that SBF ought not to be compelled to make restitution or forfeit any assets as part of his sentencing. Their belief is firmly rooted in the notion that FTX's patrons and creditors will be made whole through the company's ongoing bankruptcy proceedings."
Host 2:Fascinating. I've also been informed that SBF's father has highlighted his son's mental health challenges, including autism and ADHD, which could potentially place him in considerable jeopardy within a high- or medium-security prison.
Host 1:"Indeed, the memorandum is quite comprehensive. It even encompasses letters of support from a wide array of individuals and organizations, including SBF's parents, charitable institutions, public health advocates from Africa, and an expert in the field of autism."
Host 2:"Indeed, this legal matter is proving to be quite intricate, isn't it? And it's my understanding that the prosecution has until March 15 to submit their response to the memorandum, correct?"
Host 1:"Indeed. SBF's sentencing hearing is set for March 28 at the Metropolitan Detention Center in Brooklyn, New York. It's a waiting game from here on out, isn't it?"
Host 2:"Absolutely riveting. It's a captivating case, and I must say, the unfolding events are bound to be quite intriguing. For our esteemed listeners with a keen interest in this matter, rest assured that we'll keep you thoroughly informed in our forthcoming episodes."
Host 1:"Ah, my dear colleague, you're our resident crypto whiz kid. I've been hearing some chatter about a resurgence in the NFT market towards the end of 2023 and the start of 2024. Could you possibly enlighten us on this intriguing development?"
Host 2:Absolutely splendid! According to CryptoSlam, a prominent NFT data aggregator, global NFT sales soared to an impressive $1.8 billion in December 2023. Quite the leap from the year's low of $299.2 million in September, wouldn't you agree?
Host 1:"Remarkable! So, we're witnessing a six-fold surge in just three months? Quite akin to stumbling upon a golden ticket in your chocolate bar, wouldn't you say?"
Host 2:"Quite amusing, isn't it? And there's more to the tale. It marks the first instance since February 2023 that global NFT sales soared past the billion-dollar milestone. The industry has certainly sustained its momentum, concluding January with a commendable $1.2 billion in sales."
Host 1:"Indeed, quite an intriguing rollercoaster ride, wouldn't you say? The NFT market experienced a notable downturn before this impressive recovery. It's akin to the twists and turns of a thrilling amusement park attraction, wouldn't you agree?"
Host 2:"Indeed, quite a tumultuous period for the NFT market, mirroring the broader fluctuations in the crypto sphere. From March to November 2023, NFT sales endured a protracted decline over eight consecutive months. Notably, esteemed NFT collections such as the Bored Ape Yacht Club and Pudgy Penguins witnessed a substantial decrease in their floor and average sale prices."
Host 1:"When we discuss the 'floor price', we're essentially alluding to the minimum price at which an NFT is listed for sale. As for the 'average sale price', it quite simply denotes the mean price at which these NFTs are exchanged. Quite fascinating, isn't it?"
Host 2:Indeed, it was a challenging period for NFT enterprises and their stakeholders. Numerous NFT-related companies found themselves compelled to downsize their workforce. Even prominent investment firms such as Tiger Global and Coatue Management opted to reduce their holdings in NFT companies, precipitating a decline in their overall valuations.
Host 1:"So, this recent resurgence is indeed a welcome reprieve for the NFT market, wouldn't you say? It's akin to the sun finally peeping through after a long, wintry spell."
Host 2:"Indeed, quite a breath of fresh air after a long winter, wouldn't you say? And for our esteemed listeners with a vested interest in the NFT market, this resurgence must be a most welcome relief, wouldn't you agree?"
Host 1:You know, we often refer to the crypto world as the wild west, don't we? Well, it appears that the sheriff has arrived in town. The IRS, America's tax watchdog, has enlisted the expertise of two former crypto executives to assist them in navigating the digital asset space.
Host 2:"Quite an interesting choice, isn't it? It's akin to appointing a fox as the guardian of the henhouse, wouldn't you say?"
Host 1:(laughs) Quite right, old chap. These chaps aren't your run-of-the-mill executives. They've had their fingers in the pie with some of the heavyweights of the crypto world, such as Binance.US, Consensys, and TaxBit. For our esteemed listeners who may not be acquainted with these names, they are indeed major players in the crypto industry.
Host 2:Ah, I perceive. So, they're enlisting the expertise of some rather prominent figures in the crypto realm. Pray, who might these crypto luminaries be?
Host 1:"Ah, the first luminary in question is Sulolit Mukherjee, who held the esteemed position of global head of tax at Consensys and Binance.US. Her expertise extends to collaborations with the Blockchain Association, Coinbase, and even venerable financial institutions such as JPMorgan and HSBC. Quite the impressive pedigree, wouldn't you say?"
Host 2:Impressive credentials indeed. And what about the other individual?
Host 1:"Seth Wilks, who held the esteemed position of vice president of government relations and success at TaxBit, and Sulolit Mukherjee, who served as the global head of tax at Consensys and Binance.US, will be lending their expertise to the IRS for matters of compliance and enforcement within the crypto industry. Quite the intriguing development, wouldn't you say?"
Host 2:"Ah, they're essentially the IRS's crypto savants, aren't they? Quite a logical choice, I dare say. If one wishes to unravel the enigma of the crypto realm, it's imperative to have individuals who've traversed its intricate pathways, wouldn't you agree?"
Host 1:"Quite right. IRS Commissioner Danny Werfel emphasized the importance of leveraging private sector expertise in their endeavors pertaining to digital assets. Quite a prudent move, wouldn't you say?"
Host 2:"Fascinating. And what might be the broader implications of this development?"
Host 1:"Ah, it seems the IRS is on the cusp of finalizing regulations that would necessitate crypto firms to furnish comprehensive details regarding their clients' transactions. Not only to the IRS, mind you, but also to the U.S. Treasury Department's Financial Crimes Enforcement Network."
Host 2:"Ah, it appears they're cinching the reins on the crypto world. One might say it was an inevitable turn of events."
Host 1:"Indeed, it's not merely a matter of regulation. The IRS's financial crimes investigation unit has observed a notable uptick in cases of tax evasion linked to cryptocurrency. It seems they are truly raising the stakes in their efforts."
Host 2:"Quite intriguing, isn't it? The crypto world is renowned for its resilience and ingenuity. Let's observe how they adapt to this new overseer in the neighborhood. And to our esteemed listeners, we shall ensure you are kept abreast of this unfolding narrative. Stay tuned!"
Host 1:"Have you heard about VanEck's latest endeavor? It's akin to constructing a digital Fort Knox! Quite the intriguing development, wouldn't you say?"
Host 2:"Ah, you're referring to their innovative self-custodial NFT marketplace and digital asset platform, aren't you? SegMint, I believe it's called. Quite the digital playground for crypto enthusiasts, wouldn't you say?"
Host 1:"Absolutely! They've joined forces with a number of other tech firms to bring it to fruition. The aim is to enhance accessibility and security in the digital asset sphere. It's as if they're endeavoring to democratize the world of digital assets."
Host 2:"Ah, I've come across their Lock & Key model. It's akin to having a fortified vault for your digital assets, and you can grant access without compromising security. Quite a clever concept, isn't it? It's like handing someone the key to your abode, but ensuring they can't make off with anything!"
Host 1:"It certainly is. They're even including some complimentary features, such as a multi-sig wallet solution and NFT minting capability. It's akin to acquiring a Swiss Army knife for your digital assets, wouldn't you agree?"
Host 2:"Quite so. The multi-sig wallet necessitates multiple signatures to carry out a transaction, thereby adding an additional layer of security. And the NFT minting capability is a delightful feature for those inclined to create their own NFTs. It's akin to having the ability to produce your own currency, wouldn't you say?"
Host 1:"Quite the intriguing development, I must say. They're initially targeting crypto enthusiasts who are already in possession of or seeking access to NFTs. And would you believe it, they're rewarding their inaugural users with an Adventurer NFT that grants access to additional perks. It's akin to receiving a golden ticket to Willy Wonka's chocolate factory, wouldn't you agree?"
Host 2:"An astute maneuver indeed. However, it's imperative to note that the platform is not slated for release in the U.S. Their sights are set on engaging users in Europe and Asia. It's akin to a strategic game of Risk, but with the realm of crypto as the playing field!"
Host 1:Quite right. Self-custodial solutions such as this bestow upon users complete control of their assets, thereby mitigating personal financial risks. It's akin to assuming the role of one's own financial institution, wouldn't you say?
Host 2:Absolutely. VanEck has been quite the mover and shaker in the crypto sphere. They recently rolled out their very own Bitcoin ETF in the United States, a bold move indeed. It's almost as if they're striving to establish themselves as the Amazon of the crypto realm!
Host 1:"And they're not halting their endeavors there. They've already submitted an application for an Ether ETF. It's quite evident that they are dedicated to pushing the boundaries in the crypto world. It's as if they're embarking on a crypto crusade!"
Host 2:"Absolutely. It's a thrilling era to be immersed in the world of crypto, no doubt about it. It's akin to a captivating roller coaster ride that you never want to disembark from!"
Host 1:You know, we're constantly discussing the potential of cryptocurrency in emerging markets, don't you?
Host 2:"Indubitably! It's akin to an uncharted realm for financial ingenuity. And let's not overlook the emergence of a whole new universe of memes!"
Host 1:"Absolutely! Speaking of uncharted territories, have you heard about Strike, the Bitcoin payments app? They've just unfurled their services in Africa. It's as if they're erecting a financial conduit to the continent! Quite the audacious move, wouldn't you say?"
Host 2:"Goodness, that's quite significant! Which specific countries are we referring to?"
Host 1:"Seven countries for the time being - Gabon, Ivory Coast, Malawi, Nigeria, South Africa, Uganda, and Zambia. However, their ambitions extend even further."
Host 2:"Indeed, a shrewd maneuver. Africa holds tremendous potential for financial innovation. Moreover, numerous nations in the region grapple with soaring inflation rates and currency devaluation, posing significant challenges for individuals striving to save and amass wealth."
Host 1:"You've hit the nail on the head! That's precisely what Strike's CEO, Jack Mallers, articulated. He's of the belief that their platform has the potential to alleviate some of these financial struggles."
Host 2:"And how precisely does Strike intend to accomplish that?"
Host 1:"Strike Africa will facilitate the purchase and sale of Bitcoin and Tether, as well as enable deposits and withdrawals using local fiat currencies. Additionally, it will harness the power of Bitcoin's Layer-2 scaling solution, the Lightning Network. This will empower African customers to conduct swift and cost-effective cryptocurrency transactions and cross-border payments."
Host 2:Ah, just a moment. For our esteemed audience members who may not be familiar with it, would you be so kind as to elucidate the concept of the Lightning Network?
Host 1:"Quite a valid point! The Lightning Network functions as a 'layer' positioned atop a blockchain, specifically Bitcoin's in this instance. Its purpose is to expedite transactions by temporarily storing them off the primary blockchain until they are finalized. It's akin to the express lane on a motorway, wouldn't you agree?"
Host 2:"Quite remarkable! It's as if they're constructing not just a mere bridge, but a veritable superhighway for financial transactions."
Host 1:"Indeed, Strike has quite the track record. They've previously operated in the U.S., El Salvador, and Argentina. Quite the worldly adventurers, wouldn't you say?"
Host 2:"Quite the profound observation, I must say. Hindsight does indeed offer a crystal-clear view, doesn't it? It's rather facile to opine on the matter now, especially with Bitcoin commanding a value exceeding $59,000. However, let's not disregard the fact that during that period, Bitcoin was an enigmatic concept, comprehended by only a select few."
Host 2:"Quite a valid point, old chap. It's not merely about the missed opportunities, but also about the invaluable lessons we glean from them. And in the realm of crypto, there's always a new tidbit to uncover. For instance, did you happen to be aware that there are over 4,000 cryptocurrencies in circulation today?"
Host 1:"Absolutely. Noah's counsel to the audience was to embrace mistakes, glean wisdom from them, and then deliberate on whether they would repeat them. He posits that perfection eludes us all, and those who believe otherwise are either not pushing their boundaries or are not in a sufficiently challenging milieu."
Host 2:"Indeed, that's quite sound advice. It applies not only to the realm of cryptocurrency but to life in general. Embracing mistakes as stepping stones to success is a notion worth pondering. And let's not forget, in the world of crypto, each day presents a new opportunity for learning and growth."
Host 1:"Indeed they did! It's quite fascinating, isn't it? Strike has established its headquarters in both the U.S. and El Salvador. The Chicago office manages operations in the U.S., while the El Salvador office oversees global operations. Quite the strategic setup, wouldn't you agree?"
Host 1:Absolutely! With trailblazers like Strike at the forefront, one can only speculate about the marvels that lie ahead. And to our esteemed audience, we eagerly anticipate your reflections on this matter. Is cryptocurrency destined to shape the future of finance?
Host 1:"Quite right. And to our esteemed audience, should you find yourselves pondering questions about the realm of crypto or any other fascinating tech subjects, do not hesitate to drop us a line. We are here to assist you in navigating this exhilarating world."
Host 1:"Did you hear about Trevor Noah's recent revelation at the Web Summit Qatar? It seems even he's succumbed to a touch of FOMO for not boarding the Bitcoin train earlier. Quite the unexpected turn of events, wouldn't you say?"
Host 1:"Quite right. Noah did express regret for not taking the time to comprehend Bitcoin. He underscored the notion that life is replete with mistakes and risks, and it behooves us to glean wisdom from them."
Host 1:"Imagine, he confessed that his failure to invest in Bitcoin when it was valued at zero dollars remains his most colossal blunder. Quite the revelation, wouldn't you say?"
Host 2:"Remember, the only foolish question is the one left unasked. So, do keep those inquiries flowing, ladies and gentlemen! Your curiosity is most welcome here."
Host 2:"Absolutely, I recall that development. El Salvador indeed took the groundbreaking step of adopting Bitcoin as legal tender, didn't they?"
Host 2:"Ah, indeed! Trevor Noah, the erudite humorist from The Daily Show? Pray, do enlighten us on his recent musings at the Web Summit Qatar."
Host 2:"It's quite intriguing to witness the transformative impact of crypto on the global financial landscape, wouldn't you agree?"
Host 2:Great inquiry! Let's carry on this discourse with our esteemed audience. Do stay tuned, ladies and gentlemen!