Iranian Attack Shocks Markets, Bitcoin Dips

Plus Coinbase Seeks Early Appeal in SEC Case

Author

Nathaniel Whittemore
April 15, 2024

The Breakdown First Five - Monday, April 15, 2024

Welcome back to The Breakdown First Five — the 5 most interesting and/or important stories in bitcoin, crypto, and markets to start your day.

Iranian Attack Shocks Markets, Bitcoin Dips

5. Hong Kong ETFs approved

Hong Kong regulators have approved several Bitcoin and Ethereum ETFs. The products will be offered by major Chinese asset managers in partnership with local crypto firms. No launch date is known at this stage, but the products will feature in kind redemption rather than the cash-based mechanism used for the US ETFs. 

4. Study Von Mises 

UFC 300 winner Renato Moicano asked for his $300,000 bonus to be paid in Bitcoin. The Brazilian fighter used his post match interview to encourage his fans to study Ludwig Von Mises and the Austrian Economic school. If it wasn’t already clear, Bitcoin has crossed over into the mainstream. As fiat money dies an understanding of hard money grows. 

3. Binance Exec Located

Binance Executive Nadeem Arjarwalla has been located in Kenya after his escape from Nigeria. The regional lead fled from authorities after being detained in February as Nigerian officials blamed Binance for their currency collapsing. Nigerian authorities are collaborating with Interpol and seeking Arjarwalla’s extradition to face charges of money laundering and tax evasion. 

2. Coinbase Appeals SEC Case

Coinbase is trying to appeal the part of the recent decision in their case against the SEC. Coinbase wishes to challenge the argument that secondary token sales violate securities law. They claim that there is no investment contract between token issuers and open market purchasers. This kind of early appeal is usually not allowed and will need to be approved by the judge before it can move forward. 

1. Iranian Attack Sends Markets Tumbling

As hundreds of drones and ballistic missiles flew towards Tel Aviv, Bitcoin markets collapsed. A two day drawdown saw prices fall below $62,000. The attack was defended and the drawdown appears to have bottomed, suggesting that breathless takes were a little premature. For crypto markets, the major damage was done to long tail altcoins and leveraged traders, with more than $1.5B in liquidations and a 50% reduction in altcoin open interest.