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Shanghai Auntie (02589.HK) continues to rise, currently up over 10%.The Hang Seng Tech Index fell further to 2%, while the Hang Seng Index is currently down 1.12%.Futures Commentary by Everbright Futures: Overnight, COMEX gold weakened amid fluctuations. After opening today, overseas gold prices rebounded somewhat, with a gain of approximately 0.45% as of this writing. Market sentiment remains volatile. 1. On the policy front, the remarks made by Federal Reserve Chair nominee Warsh at his Senate confirmation hearing last night exerted some downward pressure on gold prices. Warsh stated that he is "committed to ensuring that the implementation of monetary policy remains strictly independent," emphasizing that interest rate decisions "must be strictly independent of political considerations," and pointing out that Trump never asked him to commit to rate cuts. The market interpreted this statement as a hawkish signal, coupled with his call for a "new inflation framework and communication method" from the Fed, further strengthening market expectations that monetary policy is unlikely to shift to easing in the short term, thus putting pressure on gold. 2. On the geopolitical front, a dramatic reversal occurred. Earlier today, Trump publicly stated that he did not intend to extend the ceasefire agreement between the US and Iran, which expires on the evening of the 22nd, and threatened to resume bombings against Iran after the ceasefire expires, triggering a rise in market risk aversion. However, hours later, Trump announced on social media that, at Pakistans request, he agreed to extend the ceasefire, pending Irans submission of a negotiating proposal. He also instructed the US military to continue its naval blockade of Iran and maintain a state of readiness. This fluctuating stance caused market sentiment to waver. 3. In summary, the obstruction of navigation in the Strait of Hormuz pushed up oil prices and inflation expectations, coupled with persistent expectations of Fed tightening, becoming the core factor suppressing gold prices. The US-Iran negotiations have been repeatedly uncertain, increasing short-term market divergence. Before the negotiations become clearer, traders are advised to control their positions and wait for confirmation of direction. However, given the current US stance of still favoring a negotiated solution, traders may consider buying on dips during periods of volatility.Market news: Japans finance minister will meet with the banking sector to discuss the threat posed by Anthropics Mythos model.On April 22, the highest 7-day annualized yield of Tencent Wealth Managements "Current Account +" was 1.3380%, and the lowest was 0.8440%. The highest 7-day annualized yield of WeChat Pays "Lingqian Tong" was 1.0670%, and the lowest was 1.0030%. The highest 7-day annualized yield of Alipays "Yuebao" was 1.1550%, and the lowest was 1.0000%.

California’s DFPI Investigating Multiple Crypto Lending Companies

Jul 14, 2022 14:28

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The California Department of Financial Protection and Innovation (DFPI), which regulates the activities of state-licensed financial institutions such as banks and premium finance businesses, has announced that it is investigating whether businesses that suspended customer withdrawals and transfers broke any laws.


More specifically, the government is looking at a number of cryptocurrency businesses with U.S. headquarters after some reputable lenders permanently stopped allowing transfers and withdrawals between user accounts.

Accounts for crypto assets that pay interest

In particular, the Department of Financial Protection and Innovation is concentrating on "multiple companies" that provide customers with interest-bearing crypto asset accounts, also known as crypto-interest accounts, as well as service providers who "may not have adequately disclosed risks customers face when they deposit crypto-assets onto [lenders'] platforms."


To ascertain if they are breaking any laws that fall within the purview of the Department is the main goal of the inquiry.


The DFPI previously emphasized that providers of crypto-interest accounts are not subject to the same regulations and safeguards as banks and credit unions, which is particularly concerning in light of some platforms' restrictions on customers' ability to withdraw money from and transfer funds among their accounts.


Because of this, the agency has advised customers to proceed with "great care" before answering any inquiries about investments or financial services.


Also pointing to two cease and desist orders it recently sent to BlockFi and Voyager Digital to suspend their sales in California, DFPI has shown how certain crypto-interest account providers have been promoting unregistered securities.

securing customer property

Following Voyager Digital, the second well-known cryptocurrency business to file for Chapter 11 bankruptcy in recent weeks, DFPI made its statement. The Toronto-based company calculates that it has between $1 and $10 billion in assets, over 100,000 creditors, and liabilities of the same amount.


According to Voyager Digital, the action is a part of a "Plan of Reorganization" that intends to provide customers access to their accounts once again. Customers will have the option of receiving cryptocurrency, money recovered from Three Arrows Capital, common shares in the newly reorganized business, and Voyager tokens.


Due to worries about liquidity, Celsius (CEL) has stopped withdrawals and transfers since June 12. There are rumors that the management of the firm has been discussing Chapter 11 bankruptcy with attorneys.


As it faces with the potential of bankruptcy, the business is presently seeking restructuring guidance from the advising firm Alvarez & Marsal.


Additionally, the turbulent market circumstances last week caused the Singapore-based cryptocurrency platform Vauld to stop operations. The business instantly halted all trading, deposits, and withdrawals, and said that, up until further notice, it would only accept client deposits for its collateralized loans product.


Currently, numerous platforms have had client money frozen for many weeks while the future of their depositors' assets is still unknown.