Bitcoin News and Finance: What You Need to Know

Welcome to Latam Insights, a compendium of Latin America’s most relevant crypto and economic news during the last week. In this issue: Honduras opens a central bank digital currency (CBDC) consultation, Venezuela applies officially to join BRICS, and Trubit launches Pix payment integration in Brazil. Honduras Opens CBDC Issuance Public Consultation The Central Bank of Honduras has opened a public consultation regarding issuing a central bank digital currency (CBDC). The public consultation marks the next phase of a plan to modernize the country’s payment systems. In a report issued by the bank, titled “The Future of Money and Payments in Honduras, which route to Follow?” the institution considers the implications and changes it must apply to its legal system to adopt a CBDC. The poll asks users about the central bank’s role in the national payments system, proposing a series of options to modernize it, including launching a CBDC, designing a bank-managed payments system, and prom...

The Indian Presidency of G20 has put forward proposals for a roadmap to introducing a global regulatory framework for crypto assets. India believes a more coordinated policy will be needed to enforce international standards in the field and adequately minimize associated risks. India’s G20 Presidency Provides Its Input for FSB and IMF Global Crypto Regulatory Roadmap India, the current President of the Group of 20 forum of the world’s largest economies ( G20 ), has made some suggestions regarding the regulation of crypto assets. With the proposals, New Delhi seeks to help prioritize certain “areas of work essential to achieving a comprehensive, cohesive and coordinated global policy” for the sector. In a Presidency Note released on Aug. 1, India said that while “considerable work” has been done so far by intergovernmental organizations to prepare regulatory standards for the crypto industry, it believes that more coordination is needed to consistently implement regulations adopted...

Former Celsius Network Alex Mashinsky will now have to defend himself against a lawsuit filed by New York Attorney General Letitia James after a New York County Supreme Court Justice rejected his attempts to have the suit dismissed. The court’s decision blocks the attempt by Mashinsky to stop James from seeking to preclude him from issuing securities or serving as a company officer in the state. Mashinsky Misstatements Induced Investors to Deposit Assets on Celsius A United States judge has rejected former Celsius Network CEO Alex Mashinsky’s attempt to have the court dismiss a lawsuit filed by New York Attorney General (NYAG) Letitia James, a report has said. The court’s decision blocks the attempt by Mashinsky to stop James from seeking to preclude him from issuing securities or serving as a company officer in the state. In her judgment, New York County Supreme Court Justice Margaret Chan reportedly argued that James’ lawsuit should be allowed to stand because there are enough a...

The American rating agency Fitch’s recent downgrade of the United States’ credit rating from AAA to AA+ may embolden proponents of a BRICS currency, Riley Adams, a personal finance expert, has said. Adams however argues that there are certain “geopolitical issues” that must be overcome first before the BRICS currency becomes a reality. Debt Ceiling Standoffs and the Impact on the U.S. Credit Rating According to Riley Adams, a personal finance expert and the CEO of Young and the Invested , the credit rating agency Fitch’s recent downgrade of the United States to AA+ will likely “embolden anyone in the BRICS [Brazil, Russia, India, China, and South Africa] that supports the creation of a new currency.” Adams, also a certified public accountant (CPA), told Bitcoin.com News that Fitch’s report on the country also “relays legitimate concerns about how the budgeting process has devolved in the U.S.” As reported by Bitcoin.com News, Fitch has tied its downgrade of the U.S. long-term for...

The Russian government has legally recognized digital currencies issued by other nations, local crypto media reported. The respective legislative changes have been made alongside the adoption of a dedicated law regulating the introduction of Russia’s own digital ruble. Amendments Legalizing Foreign CBDCs Enter Into Force in Russia Russian authorities have granted digital currencies of other states a similar status to that of the digital ruble, the Russian crypto news outlet Bits.media informed readers on Thursday, quoting the government’s official online portal for legal information. The recognition of other central bank digital currencies ( CBDCs ), such as China’s digital yuan , for example, has been done through amendments to Russia’s federal law “On currency regulation and currency control” which entered into force on Aug. 1, the report details. The update adds to the definition of foreign currency the text “issued in digital form by the national central bank of a foreign sta...

The president of a New Delhi-based think tank believes that World War III has already begun. He also anticipates the BRICS economic bloc (Brazil, Russia, India, China, and South Africa) merging with the Shanghai Cooperation Organization (SCO). “A single merged organization will be much more clearer, stronger and grow into very meaningful pole,” he described. Indian Analyst on BRICS Merging With SCO, World War III Robinder Sachdev, president of Imagindia Institute, a New Delhi-based think tank and research center, has shared his predictions on World War III and the possible merger of the BRICS economic bloc and the Shanghai Cooperation Organization (SCO). The BRICS nations are Brazil, Russia, India, China, and South Africa. The SCO members comprise China, India, Iran, Kazakhstan, Kyrgyzstan, Pakistan, Russia, Tajikistan, and Uzbekistan. “Both BRICS and SCO are initially founded by China and Russia. Many big picture goals of both organizations are same. It is necessary for both organ...

The CEO of asset management firm Devere Group says the world is shifting “away from a dollar-dominated financial system.” Emphasizing that a shift away from U.S. dollar influence “could have positive implications for Asian economies,” he described: “With the dollar losing its stranglehold, Asian economies would also likely experience a diversification of reserve currencies, paving the way for greater regional trade and investment opportunities.” How Reducing Dollar Dependence Could Benefit Asian Countries Nigel Green, CEO of asset management firm Devere Group, published an opinion piece in Asia Times on Friday arguing that the decline of the U.S. dollar could benefit Asian economies. The executive began: I believe that we are witnessing in real time the world beginning to shift away from a dollar-dominated financial system. “Among other reasons, this is because astronomic levels of debt, and the enormous amount of desperate money-printing to monetize these debts, have caused a c...

On August 4, 2023, Miami Republican mayor Francis Suarez announced that he’s accepting cryptocurrencies for campaign donations. The 2024 presidential candidate revealed the decision to accept digital currencies during a Coindesk TV broadcast. 2024 Presidential Candidate Francis Suarez Embraces Crypto Donations Francis Suarez , the current mayor of Miami, is well known for his stance toward bitcoin and crypto assets, and Suarez is looking to challenge incumbent president Joe Biden in the 2024 U.S. general election. On Friday, the mayor announced that he’s accepting crypto assets for campaign donations, joining two other candidates who have revealed they are accepting bitcoin for donations as well. Suarez broke the news on a Coindesk TV broadcast . “Officially, my campaign is accepting bitcoin,” Suarez disclosed. “This is a process of developing technologies that are going to create democratizing opportunities for wealth creation and are not manipulated by a human being’s ulterior mo...

JPMorgan’s economists have jettisoned previous predictions of an impending U.S. recession. Their chief U.S. economist, Michael Feroli, is confident that the American economy will maintain a modest but steady growth trajectory throughout the remainder of the current year and well into 2024. JPMorgan Foresees U.S. Economic Growth Amid ‘Ridiculous’ Fitch Downgrade and Recession Fears Echoing Bank of America’s revision of its economic outlook, JPMorgan’s team of economists have likewise set aside their earlier recession projections . The top-ranking bank in the nation initially forecasted a downturn for 2023. However, their principal U.S. economist, Michael Feroli, now holds a more optimistic view that the U.S. can successfully dodge a full-scale recession. “While a recession is no longer our modal scenario, risk of a downturn is still very elevated,” Feroli wrote on Friday. “One way this risk could materialize is if the Fed is not done hiking rates. Another way in which recession ris...

The government of Venezuela formalized its proposal to be part of BRICS, a geopolitical and economic bloc comprised of Brazil, Russia, India, China, and South Africa. Venezuelan President Nicolas Maduro explained that he hoped for a positive reception of the proposal by the nations that are part of the bloc. Venezuela Officially Applies to Enter BRICS Nicolas Maduro, President of Venezuela, announced that the government had already presented an official application to join the BRICS bloc, comprised of Brazil, Russia, India, China, and South Africa. In a weekly TV program “Con Maduro Mas,” Maduro detailed that Venezuela hopes to join the organization to “learn, support and help” grow the bloc’s vision. Maduro stated : Venezuela made its proposal to join the group and we hope it will be positively valued by the nations that integrate it. Maduro praised the role of the BRICS bloc in the international geopolitical arena, declaring that it constituted “the driving force behind the e...

Registered users of Binance have hit 150 million, the crypto exchange’s founder and CEO, Changpeng Zhao (CZ), announced on social media. The milestone has been reached despite increased regulatory pressure on the world’s largest trading platform for digital assets in the past few months. Crypto Exchange Binance Adds 30 Million Users in a Year The biggest cryptocurrency exchange by daily trading volume, , now has 150 million registered users, its chief executive unveiled in a tweet on Thursday. In the post, CZ also marked some of the company’s recent successes that came amid heightened regulatory scrutiny of its business operations around the world. This year, Binance has been targeted by authorities in a number of its established markets. In the U.S., it’s involved in legal battles with the country’s securities and derivatives commissions, which sued it for breaking laws in their respective fields. In Europe, the exchange is under investigation by French prosecutors for money la...

Economists have warned about the adverse impact of Fitch’s U.S. rating downgrade on the dollar. One expects the downgrade to “accelerate” the process of de-dollarization globally. Another stated that it may be “a part of the gradual decline of the U.S. dollar system.” Impact of Fitch’s Rating Downgrade on US Dollar Several economists have offered their perspectives on the adverse effects stemming from Fitch Ratings’ decision to downgrade the long-term foreign-currency issuer default rating of the United States from AAA to AA+. Fitch Ratings is one of the top three credit rating agencies in the U.S. Citic Securities’ chief economist, Ming Ming, told the Global Times on Wednesday: Amid the increasingly complex geopolitical situation today, more and more countries have started the de-dollarization process and Fitch’s downgrade of the U.S. rating may accelerate that process. In response to Fitch Ratings’ downgrade, both the White House and Treasury Secretary Janet Yellen released ...

Economist Peter Schiff has warned of an impending collapse of the U.S. dollar even though he sees Fitch’s downgrade of the U.S. rating this week as “meaningless.” While cautioning about a financial crisis and a crash, Schiff emphasized: “Given the trajectory of U.S. government deficit spending, a dollar collapse is inevitable.” Schiff on US Rating Downgrade, Crash, Dollar Collapse Economist and gold bug Peter Schiff warned of a U.S. dollar collapse and the challenges faced by the U.S. economy in a series of tweets this week. His warnings come after Fitch Ratings downgraded the United States’ long-term foreign-currency issuer default rating from AAA to AA+. Fitch is one of the three largest credit rating agencies in the U.S. Noting that “Fitch downgrading U.S. Treasuries to AA+ from AAA is meaningless, as Treasuries are junk bonds,” Schiff tweeted on Wednesday: When it comes to rating sovereign credit, the primary risk is currency depreciation, not default. Given the trajectory o...

Robert Kiyosaki, the renowned author of the bestselling book Rich Dad Poor Dad, has emphasized his concern about an impending crash of the U.S. economy after a prominent American credit rating agency downgraded the U.S. rating. “Brace for crash landing. Sorry for the bad news,” Kiyosaki said. Robert Kiyosaki’s Crash Landing Warning The author of Rich Dad Poor Dad, Robert Kiyosaki, has reiterated his warning about the U.S. economy heading for a “crash landing.” His cautionary message followed the decision by Fitch Ratings, one of the top three credit rating agencies in the U.S., to downgrade the U.S. debt rating from AAA to AA+. Rich Dad Poor Dad is a 1997 book co-authored by Kiyosaki and Sharon Lechter. It has been on the New York Times Best Seller List for over six years. More than 32 million copies of the book have been sold in over 51 languages across more than 109 countries. Kiyosaki tweeted Wednesday: First shoe to drop. Fitch rating services downgrades U.S. credit rating ...

U.S. tech giant Meta is preparing to launch multiple chatbots powered by artificial intelligence (AI) as early as September. According to an article quoting knowledgeable sources, the company seeks to encourage user engagement on its social media platforms with the chatbots that could also be used to collect more user data. Meta Seeks to Seize on Chatbot Hype, Challenge Competitors With ‘AI Agents’ Meta, the owner of Facebook and Instagram, is gearing up to present in the next few weeks a number of AI-based chatbots designed to exhibit different personalities, the Financial Times wrote this week, quoting people familiar with the tech conglomerate’s plans. The company has been designing prototypes that can take the form of different characters and have discussions with the 4 billion users of its social media platforms, according to the sources, who also revealed that the chatbots have been dubbed “personas.” For example, Meta explored creating one that emulates Abraham Lincoln and...

The enlargement of BRICS will be “near the top of the agenda” at the organization’s summit in August, the Kremlin Spokesman Dmitry Peskov told media. While recognizing the importance of the topic, Peskov indicated that participants in the meeting will likely discuss some differences on the matter. Expansion-Related Issues to Be Determined During BRICS Summit, Putin’s Spokesman Says With a growing number of nations either applying formally or showing interest in joining the BRICS group of developing economies, Russian President Vladimir Putin’s Press Secretary, Dmitry Peskov, highlighted expansion as a key topic for the talks at the bloc’s top level meeting in Johannesburg later this month. Expanding BRICS (Brazil, Russia, India, China, and South Africa) is “near the top of the agenda” and will be discussed at the upcoming BRICS summit, although nuances exist regarding expansion prospects, the Russian official told reporters. “This is a very important topic because we see that inc...

Coinbase, one of the largest U.S.-based cryptocurrency exchanges, is moving to add support for Lightning Network on its trading platform. Brian Armstrong, CEO of Coinbase, confirmed that the exchange was looking into the best ways to achieve this task, reaffirming his support for bitcoin payments. Coinbase Mulls Adding Support for Lightning Network Coinbase, the U.S.-based cryptocurrency exchange, has given an update about the possible integration of Lightning Network operations on its platforms. The Lightning Network is a second-layer scaling protocol for Bitcoin, with the aim of allowing users to benefit from almost real-time transaction times and low fees. Answering a post where former Twitter CEO Jack Dorsey criticized him for ignoring Bitcoin and the Lightning Network in the payments arena, Coinbase CEO Brian Armstrong stated : We’re looking into how to best add Lightning. It’s non-trivial, but I think worth doing. I’m all for payments taking off in Bitcoin. Furthermore, ...

Russia says that a common BRICS currency is unlikely to be feasible in the near future but the process of de-dollarization of the global economy is inexorably underway. Russian Press Secretary Dmitry Peskov added that many countries, including those that do not face sanctions, are gravitating towards using national currencies in trade settlements. BRICS Currency and De-Dollarization With the BRICS leaders’ summit on the horizon, there is a growing discussion about de-dollarization and the feasibility of a common BRICS currency. The BRICS nations comprise Brazil, Russia, India, China, and South Africa. The summit will take place from Aug. 22-24 in Johannesburg. Dmitry Peskov, Press Secretary of the President of the Russian Federation, told reporters on Thursday that experts are discussing the possibility and feasibility of introducing a common currency, Russian state-owned news agency Ria Novosti reported (translated by Google’s AI program). “This is still a discussion process, it i...

New analysis from the Network Contagion Research Institute (NCRI) reveals that bots on the social media platform X (formerly Twitter) likely played a major role in amplifying the value of cryptocurrencies tied to the now-defunct FTX exchange and its sister firm Alameda Research . Social Media Bots Boosted FTX-Listed Coins, Says Report Analyzing over three million posts from 2019 to 2023 mentioning 18 FTX-listed coins, NCRI’s report found bot-like X accounts made up around 20% of online chatter about these cryptocurrencies. The study suggests this inauthentic social media activity effectively forecasted price changes for half of the FTX-associated coins examined. NCRI’s analysis shows FTX promotions on X immediately preceded surges in the coins’ values, with the proportion of inauthentic posts steadily growing over time to around 50% of total chatter. The findings indicate manipulative tactics were used to artificially boost market sentiment after the coins’ FTX listings. The rep...

In an unexpected revelation, Ilya Lichtenstein, 35, confessed to being the original hacker behind the 2016 cyberattack on crypto exchange Bitfinex, a theft that was once worth $4.5 billion. Lichtenstein made the admission while pleading guilty to laundering the stolen bitcoin in a Washington, D.C. federal court, with his wife, Heather Morgan, also pleading guilty to related charges. Groundbreaking Admission: Ilya Lichtenstein Confesses to 2016 Bitfinex Hack Until the court’s admission on Thursday, the person responsible for the hack from Bitfinex was unknown to the public. Though not charged with the hack itself, Lichtenstein faces a maximum of 20 years in prison for one count of conspiracy to commit money laundering. His wife, Morgan, an aspiring rapper known as “ Razzlekahn ” could face up to five years. This is the first time the identity of the hacker has been disclosed, with the couple facing significant prison time, as CNBC first reported on the matter. The Department of Ju...

Despite months of increasingly positive economic indicators, a majority of Americans still believe the economy is worsening, according to a new CNN poll. CNN Poll Reveals Majority See Worsening Economy The survey of 1,279 adults found that 51% think the U.S. economy remains in a downturn that is getting worse, even as indicators like job growth, GDP, and inflation suggest stabilization or improvement. The persistent pessimism comes as U.S. president Joe Biden nears the launch of his 2024 reelection campaign against Republican contenders. CNN conducted the poll from July 1 to July 31 using a combination of online surveys and live telephone interviews. The results have a margin of error of plus or minus 3.7 percentage points. Economic concerns dominated when respondents were asked to name the most important issue facing America today. Nearly half pointed to issues like inflation, poverty, and the overall economy. Dissatisfaction with personal finances also remains high, with 55% s...

Founder of bankrupt crypto exchange FTX, Sam Bankman-Fried (SBF), has sought to avoid being jailed, denying prosecutors’ accusations of witness tampering that followed an interview he gave for the New York Times. The indicted crypto mogul also argued that revoking his bond would violate his right to free speech. Bankman-Fried Says He Never Tried to Intimidate Witnesses Ahead of Trial Sam Bankman-Fried, the founder and former chief executive of failed crypto exchange FTX , claims he has never attempted to intimidate witnesses in his trial set to begin in October. In a letter to U.S. District Judge Lewis Kaplan in Manhattan, quoted by Reuters and Bloomberg, he insisted there was no reason for him to go to jail as requested by the prosecution. Last week, U.S. prosecutors asked Kaplan to jail SBF after an article published by the New York Times quoted excerpts from a diary written by Caroline Ellison, former CEO of Bankman-Fried’s hedge fund Alameda Research and his former girlfriend....