CFTC sues Binance and Changpeng Zhao; MicroStrategy bought $150 million worth of Bitcoin (BTC); Gucci announces partnership with Yuga Labs.
Binance and CZ sued by CFTC
According to Bloomberg’s report, the US Commodity Futures and Trading Commission has sued Binance and the company’s CEO, Changpeng Zhao.
The regulator announced that it is suing the company for violating trade and derivatives laws. The CFTC filed the case in Chicago federal court.
The regulator stated that Binance did not register properly and claimed that it was avoiding obligations.
CFTC has been investigating Binance for a long time
The CFTC has been investigating whether Binance has prevented the US public from buying and selling crypto derivatives since 2021. According to the CFTC’s rules, companies must first register with the regulator before they can offer such products to the US public.
First reaction from CZ
Binance CEO Changpeng Zhao tweeted after the lawsuit was filed. In the tweet, only “4” was confusing.
This tweet by Changpeng Zhao means “FUD”. Binance CEO stated in a previous tweet that he would only write “4” as a comment on such news.
FUD is an acronym for “Fear, uncertainty, and doubt”. It signifies fear, uncertainty and doubt. Cryptocurrencies in particular aim to negatively impact the cryptocurrency industry by creating FUD on a regular basis.
MicroStrategy bought $150 million worth of Bitcoin (BTC)
According to the statement MicroStrategy reported to the US Securities and Exchange Commission (SEC) on March 27; Company announced that they bought 6,455 Bitcoins, worth 150 million, at an average of $23,238 between February 16 and March 23.
MicroStrategy, which has been on the agenda frequently with Bitcoin purchases, has a total loss of more than 300 billion dollars. MicroStrategy, which made the first Bitcoin purchase in 2023, increased the number of Bitcoins in its hands to 138,955 with this last purchase. With his last investment, the average cost of one Bitcoin held by MicroStrategy was $29,817.
Comment from Binance CEO CZ
The first comment on the subject came from Changpeng Zhao (CZ), the CEO of Binance, the world’s largest cryptocurrency exchange. After giving advice to investors after MicroStrategy’s purchase, CZ made the following statements in his statement on his official
“While some are panic selling, remember, there is always a buyer on the other side of the trade.”
Gucci announces partnership with Yuga Labs
World-renowned luxury clothing brand Gucci has announced a new partnership with Yuga Labs, the company behind Bored Ape Yacht Club.
Gucci announced that it has entered into a long-term partnership with Yuga Labs, the web3 company behind several well-known NFT collections, including Bored Ape Yacht Club, CryptoPunks, Meebits and NFT project 10KTF on March 23. The company’s aim is to strengthen its connection to web3. Yuga Labs also operates Otherside, a Bored Ape-themed sandbox.
In a statement made by Gucci, it was stated that the agreement aims to expand interaction between the communities of both companies by “exploring the commonalities between fashion and entertainment in the Metaverse”.
Gucci collaborated with 10KTF for the Gucci Grail project last year. 10KTF’s “digital artisan” Wagmi-san crafted clothing and accessories used to customize NFTs with designs by Gucci’s then creative director, Alessandro Michele.
Founded in 2021, Yuga Labs created the Bored Ape Yacht Club, which has become one of the most successful NFT projects. Later, CryptoPunks bought the rights to Meebits and 10KTF. Last March, it raised $450 million at a valuation of $4 billion.