In the dynamic landscape of the cryptocurrency industry, the year 2023 unfolded a series of significant events, ranging from legal victories and regulatory shifts to high-profile resignations and criminal convictions. Here is a comprehensive overview of the major developments that shaped the crypto world over the past year:
XRP’s Legal Clarity:
July 13 marked a pivotal moment for Ripple and the XRP community as a U.S. judge dismissed the SEC’s case, affirming that XRP is not a security. This landmark ruling allowed XRP to resume trading on major platforms like Coinbase, signaling a positive turn for the embattled cryptocurrency.
BlackRock’s Crypto Foray:
The world’s largest asset manager, BlackRock, entered the crypto market with a bold move, filing for a Spot Bitcoin ETF on June 15, 2023, and an Ethereum ETF on Nov. 15. CEO Larry Fink’s endorsement of crypto as a digital gold and international asset further underscored the growing institutional interest in cryptocurrencies.
Sam Bankman-Fried’s Conviction:
Founder of the now-bankrupt FTX, Sam Bankman-Fried, faced a significant setback as a jury found him guilty of multiple charges of fraud on Nov. 2. The sentencing, scheduled for March 28, carries the possibility of up to 115 years in prison.
Global De-Dollarization:
In a strategic move, Russia announced support for the use of the Chinese yuan instead of the U.S. dollar in trades with Latin American, Asian, and African countries. This shift, coupled with the Chinese yuan surpassing the U.S. dollar in cross-border settlements within China, marked a significant blow to the dominance of the dollar.
Powell Acknowledges Crypto’s Potential:
Federal Reserve Chair Jerome Powell surprised the financial community in late December 2023 by acknowledging crypto’s staying power as an asset class. Powell expressed the Federal Reserve’s intent to regulate stablecoins adequately.
CZ Steps Down as Binance CEO:
Changpeng “CZ” Zhao, the founder of Binance, agreed to resign as CEO as part of a settlement with U.S. authorities over violations of international anti-money laundering provisions.
Argentina Adopts the Dollar:
In a drastic measure to address hyperinflation and economic crisis, Argentina’s newly-elected president, Javier Milei, announced the replacement of the peso with the U.S. dollar as the official currency, accompanied by the shutdown of the central bank.
Turkish Crypto Exchange CEO Sentenced:
Faruk Fatih Özer, CEO of the defunct Turkish exchange Thodex, received a staggering sentence of 11,196 years on Sept. 7 for the theft of $2 billion in customers’ crypto assets. The charges included fraud, embezzlement, and money laundering.
Grayscale Triumphs Over SEC:
In a legal victory, asset manager Grayscale successfully defended its move to transform the Grayscale Bitcoin Trust into a spot BTC ETF, prevailing in a lawsuit against the U.S. SEC.
Coinbase’s Legal Battle with the SEC:
The largest U.S. crypto exchange, Coinbase, took legal action against the SEC, aiming to compel the agency to provide regulatory clarity for the crypto industry. Coinbase alleged hostility and inconsistency in the SEC’s approach to crypto.
Hong Kong Recognizes Crypto as Property:
In a landmark ruling in April, a Hong Kong court classified cryptocurrencies as property in a case involving the defunct exchange Gatecoin, setting a precedent for future crypto-related legal proceedings.
Terra Founder Arrested in Montenegro:
Do Kwon, the former crypto fugitive and founder of the collapsed Terra ecosystem, was arrested in Montenegro on March 23, signaling a significant development in the legal pursuit of crypto-related cases.
SafeMoon Founders Arrested in the U.S.:
The founders of SafeMoon, Kyle Nagy, John Karony, and Thomas Smith, were arrested by the U.S. Department of Justice on Nov. 1, facing charges of fraud, conspiracy, and money laundering for their involvement in a Ponzi scheme.
BlackRock Partners with JPMorgan for Bitcoin ETF:
BlackRock, in anticipation of SEC approval, named JPMorgan as an authorized participant for its spot Bitcoin ETF, enhancing liquidity and market-making services for the eagerly awaited investment product.
UK’s Ambition to Become a Crypto Hub:
In December, the U.K. government reaffirmed its commitment to establishing the country as a global cryptocurrency hub, outlining plans for a clear and comprehensive regulatory framework to foster the growth of the crypto industry.
