The SEC has dropped this investigation into the finance stable coin BUSD as well as
stacks the Bitcoin Layer two solution. This comes a couple of weeks after they
dropped the investigation against a theorem. It's Gary Genster capitulating and the SEC saw
one two one. Situation gets really crazy as the SEC seems to be backtracking
for their Wall Street buddies and Germany has finally finished selling their bitcoin. Does
this mean bitcoin will start moving up again? We're going to break this down
and much more. Let's get into it. Hey, everybody, welcome into
the Thinking Crypto podcast. You're home for cryptocurrency news and interviews. I'm your
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listening on a podcast platform such as Spotify or Apple, please leave a five
star rating and review. Folks, we have to start by taking a look
at the price a bitcoin because Germany has officially run out of coins to sell.
They are finished, guys, and this has been one of the factors
that has been driving cell pressure and keeping bitcoin down. And I say one
right, part of it is just the market correction and the cycles playing out,
and you have some mount gock selling, but Germany was doing a significant
amount of selling, folks. So Germany's government sells off all of its bitcoin
holdings totaling two point nine billion dollars. So that is a major catalyst that
is being removed that was suppressing your price. So we could see bitcoins start
to move upwards. The r assigned, the daily is still looking bullish.
It looks like we've hit that bottom. And there's other factors like the DXY
continues to crash, so we know there's an inverse correlation there. And the
stock market, the S and P five hundred and the NASNAC have been hitting
new all time highs. All of these things are conducive to higher prices for
bitcoin. But of course the market cycles have to play out, right.
Nothing can go up in a straight line, and you have to understand Bitcoin's
going to climb out of this higher highs, higher lows, and we will
hit new all time highs. We are still in a bullmarket, folks,
and the smart money, the whales have been buying. So here we got
details that black Rock bought two thousand and seventy six bitcoin, which is about
one hundred and twenty million dollars. So over the past month or so,
they've been buying and buying and buying. And not only them, a lot
of inflows have been going into the ETF. So Hunter Horseley of Bitwise Asset
Management tweeted out twenty eight million dollar inflow into the Bitwise Bitcoin ETF today,
just today, he says, forty seven million dollars total this week. And
this is just this week. Last week they reported on different days, one
day thirty million dollars, the next day forty million dollars, and so forth.
Smart money buying a dip while retail is scared seeing the bullmarket's over same
story, different cycle. I've seen it time and time again, and this
is why I always tell you guys, look at the charge, look at
the fundamentals, keep your emotions at the door. Let's move ahead, guys.
Big day around the SEC. So Eleanor Tarota Fox Business did a great
job of summarizing this, she says. In the last couple of weeks,
the SEC has closed their investigations into several crypto firms, including Consensus and the
Etherorem investigation, and just yesterday they dropped the busd stable coin, which is
the finance stable coin which is issued by Paxos, saying it is not a
security. And then Bitcoin Stack, so Stax is the layer two solution for
Bitcoin, which is enabling smart contracts. I've had the founder Monibe on the
podcast and he tweeted out the SEC drops a three year investigation into stacks with
no action. He says, earlier this week we receive word from the SEC
that after three years, they are terminating their investigation into the Stax blockchain,
the protocol and hero system a company with no action. This is huge.
There's many layers to this cake or onion. We got to peel back here.
One is Gary Gainster and the SEC capitulating, given that there is political
pressure probably coming in from the Democrats saying, hey, we're losing in all
fronts right from the macro. Joe Biden is in a bad place right now.
I'm not trying to get to political, but I'm just thinking the facts.
And then Gary Ginster has been taking losses in the courts and you have
the entire crypto industry countersuing him. Members of Congress have been calling him out,
Democrats have turned against him, and Elizabeth Warren in the House and the
Senate right to pass the FIT twenty one bill to repeal SAB one two one.
So, as I've been saying, Gary Gainster and Elizabeth Warren on an
island by themselves here because they're losing the support of their own party. So
could this be some sort of Okay, we're going to take it easy,
We're going to put out some good stuff here that we're not doing any enforcement
actions to try to salvage some of the perception that they hate crypto and their
anti crypto. But I think it's a little bit too late. Elizabeth Warren
is the one who created the anti Crypto army campaign slogan and started building her
army, right. It had Sharad Brown and all these clowns part of it.
So I think it's a bit too late. But I think there's some
capitulation here. The timing is just interesting, right, given that the Democrats
are in a bad spot right now. You had Democrat Congressman Roe Kanna do
a crypto roundtable this week to try to help the bind An administration to take
it easy here. Right, Those things are not happening for fun. They're
happening because Democrats are hitting the panic button here. Mike see Legg, who
is a partner at Wilkie Farre, says another sec loss hero sold STX,
that's the STACKS token in a regulated a securities offering, then declared SDX a
non security. Given stx networks decentralization, sec is now dropping an investigation into
STX, seemingly conceding tokens sold in a securities offering aren't necessarily themselves securities.
Huge win. This goes back to the rule from Judge Torres in the Ripple
case. Right, the tokens themselves are intrinsically not a security. It depends
how they're offered up. It depends on the contract, just like in the
Howie case, going back to the nineteen thirties and forties, it wasn't the
oranges, the oranges you get off a tree or in the supermarket, or
you have in your home. It's not an orange tree that's somewhere in Florida,
but rather how he's packaging of those orange groves that caused the security alarm
bells to go up. Right, But Genser has been on a tear,
lying, ignoring the law, ignoring common sense, because as I've been stating
he has been weaponized by the trad fying comments to kill crypto startups and to
stop these companies. Not kill crypto, because notice that black Rock, JP
Morgan and all these folks are using crypto. They're using the blockchain technology.
So it's not to kill that technology. It's to let these trad fy incumbents
catch up. That's the whole game, folks. It's not specific to the
crypto industry. We know that many big companies in different industries they pay politicians,
right, they lobby, they do campaign donations. Well, the crypto
industry was like, we're not going to allow this anymore. They raised over
one hundred and sixty million dollars and they started going after the anti crypto people.
So, guys, this is huge. And here's what some other people
are saying about the BUSD situation. Tyler Winkebol said, the SEC and Gary
Genser are starting to get tired of losing. They just gave up on their
sham investigation into the Paxos stable coin. I wonder if the SEC will reimburse
Paxos for tens of millions of dollars they must have cost the time and expense
with this bullying and harassing behavior. Gary Ginser and his SEC are a national
embarrassment and abomination. A metalaw Man retweeted Tyler and says, and remember the
SEC did not just spontaneously come to its senses that BUSD stable coin is not
a security. Exactly two weeks ago, Judge Berman accent ruled in the Binance
case that the SEC had failed to articulate any plausible claim that busd is a
security. So, guys, two massive wins, one on the stable coin
front and one on the token itself being a security front. Right stax They
pretty much say stx is not a security. And from a stable coin standpoint,
remember, Gary Ginster was hinting over the years that stable coins could be
securities, which is completely asinine. But guys, we're winning. As I've
been saying for a long time, Gary Ginsterer and Elizabeth Warren are on the
losing side of history now. Ripple CEO Brad Garlinghouse highlighted that tomorrow is the
anniversary of Judge Torres ruling that XRP is not a security. He says,
on July thirteen, twenty twenty three, that day was a very good day
for Ripple and the entire industry and for me personally, a core memory.
We had the conviction to fight the bully that has harassed and executed an unlawful
war on our industry. As I said, when it started, I knew
we were on the right side of the law and that we would be on
the right side of history. In the year since, Gary Ginser's SEC has
ramped up its war on crypto with the false belief that they could smother this
technology and industry with failed lawsuits, false rhetoric, slander and intimidation. They
were wrong then and they are wrong now. Well put so, guys,
we're winning. The battles still rages, of course, but I think we're
seeing some capitulation here from Genser and the SEC. Now. Quick word from
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guys, there's been a lot of drama around the SAB one two one
situation right that essentially de facto prevents the banks from being able to hold crypto
directly. For example, Bny Mellon can't custody any of the bitcoin for any
of the ETFs because there's no clarity. And then the SEC tried to put
this unlawful rule in place, which we know the Government Accountability Office said,
hey, Congress has to make these rules, not you, guys, and
Democrats sided with Republicans to repeal this in the House and send it. But
Biden ultimately vetoed it. And the reason he vetoed it is not because he
knows anything about crypto, is because Elizabeth Warren probably made the call and said,
hey, don't just veto this thing, right, Because remember she sent
a letter out when the Senate was going to vote, and we were all
like, wait, why is she sending this letter out? Because she knew
the Democrats had turned against her, but she still had Biden in her back
pocket. Well, Eleanor tarryt to Fox Business Is reporting the following. She
says, I reached out to the SEC to ask about the Can you report
that the staff has created exceptions for certain banks and broker dealers to custody crypto
assets. Oh exceptions, you say, Oh little little Gary Ginster working for
his Goldman Sacks Wall Street buddies here, as spokesperson tells me that SAB one
to one guidance remains unchanged, but that certain broker dealers and custody banks have
sufficiently demonstrated to the SEC staff that their fact patterns are different from those described
in SAB one two one, such as ensuring that customers maintain ownership of their
assets even in the case of a resolution or bankruptcy. Separately, I'm also
told not by the SEC spokesperson that because SAB one to one is accounting staff
guidance, not a rule, the Commission has not been privy to the substance
of the discussion staff has had with certain banks and broker dealers about this and
are currently working to figure that out. Folks, Gary Ginser, you know,
trying to help those I had five buddies trying to, like I said,
kill the crypto startup so they can come in and take over. Caitlyn
Long weighed in on this. She said SEC leadership extracts revenge on the crypto
industry one day after Rocanna's White House session by giving the Big Bang special exceptions
from SAB one to one while sidelining crypto companies still subject to it. How
are progressives okay with such corporate favoritism? Great question, But guys, this
is why I call Gary Genser a scumbag regulator. I don't call him that
just for hyperbole or for jokes. That's what I truly believe. We're dealing
with. A scumbag. This guy doesn't respect the law, he doesn't respect
the SEC's mission. He just respects what his masters on Wall Street at telling
him, what Elizabeth Warren is telling him. And that's what we're dealing with.
And this is why I keep telling you we got to fight. Use
social media to your advantage, Call up your representatives, make content and just
put the pressure expose against her. Retweet the facts, amplify the facts that
we're putting out, because this is a part of it is a game of
narratives, and he's trying to put the narratives out there that are false.
He's trying to paint the industry in a certain negative way, right, But
we're not gonna let it happen, guys. All right, moving ahead,
we got some interesting updates here with Tornado Cash. So Amanda Tuminelli of the
Defied Education Fund a head her on the pod not too long ago. Apparently
the judge grants the delay of the Tornado Cash trial, and Amanda says this
part. Judge Falia asks whether the charges were comparable to criminally charging the creators
of WhatsApp because criminals used it. If Tornado Cash has a thousand customers and
one is a bad actor, are they criminally liable? Boom exactly. Logic
is winning here, right once again. The people who are attacking Tornado Cash
are some of the Elizabeth Warren Crowe who are in different parts of the federal
government. And you can't go after the creator of the platform and hold him
accountable for everything that goes wrong because bad actors exist. They exist in every
industry. You can't go after the platform and the person who created it because
you had some bad actor use it for a bad purpose, because there are
people using it for good purposes. So I'm glad the judge is calling this
out. This is a pretty big win. Now moving ahead, Jake Trawirsky
said something which I thought was pretty spot on. He says, if someone
other than Joe Biden wins the presidency, whoever that might be, US crypto
policy could look wildly different in twenty twenty five. As a result, many
crypto companies are delaying their products, tokens, et cetera until after the election
this summer, maybe even quieter than usual. Hmmm. I think that that's
a solid point there. We could see companies hold on until the elections are
over to see maybe Donald Trump wins, maybe someone else comes in in Biden
instead, who is not as crazy about crypto, who ignores Elizabeth Warren.
So let's see what happens here, folks. But interesting development there now,
the ethereum spot ETFs. Everybody's waiting for this. Nate Garraci of the ETF
Store said, it appears the SEC's playing the spot etheroreum ETFs one similar to
the nineteen b Dash Force. Extremely tight lipped, still think approval next week,
Absolutely no reason to delay. Eric Balachin has weighed in on this,
says, yeah, right, now it's all quiet on the western front regarding
the ETFs. Nada from the SEC this week. Unclear why they are taking
such sweet ass time. Every issuer is ready, docs are ready. It's
like a rain delay in baseball. Got to just wait. Maybe things will
move fast next week we'll see. So essentially there are no roadblocks here.
Everything is in all the issuers did what they have to do, made their
amendments of the other applications, and I've been saying we could see something by
the middle of the month. The fifteenth would be I think it's Monday.
If I'm not mistaken yet, it'll be Monday. So we could see as
soon as next week the approvals of these et apps. Germany has finished selling
their bitcoin, so we could see the market rally off of this. I'm
not saying new all time highs, just bounce and do a reversal of v
shape recovery out of this pullback, so be prepared, guys. I think
that could be a catalyst and we could see the approvals next week. That's
not a guarantee, obviously, and we'll have to wait and see final item
here. There's some big news around Abra, the crypto app and I had
Bill Barheid, the founder on I Think, a couple months ago, but
essentially crypto trading platform ABRA said it had acquired several private cryptocurrency trusts from Valkyrie
Investments. So Bill tweeted out saying they acquired trusts including Bitcoin, Tron and
Zilica. So he says, stay tuned. So it sounds sounds like big
stuff. These are signs of a bullmarket, guys. Liquidity coming in mergers,
acquisitions, partnerships, global expansions. So this is why I look at
the market holistically, charts, fundamentals, what are players doing, what's the
global liquidity look like? And all these things. So very bullish news,
guys, Let me know what you think. Leave your thoughts in comments below.
Do you think Gary Ginster and the SEC are capitulating here given they're losing
the outside pressure of the Democrats in Biden's situation right now, let me know
what you think, And guys, don't forget to grab a copy of my
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help me out. Thank you guys. I appreciate you all, and I'll
talk to you all later. Tatt