Author: CoinDesk

Bloomberg analyst James Seyffart explains why it seems the SEC prefers cash vs. in-kind creation of spot bitcoin ETFs, and why this choice would negatively impact Grayscale. 

Listen to the episode on Apple Podcasts, Spotify, Overcast, Podcast Addict, Pocket Casts, Pandora, Castbox, Google Podcasts, Amazon Music, or on your favorite podcast platform.

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The long-awaited approval of a spot bitcoin ETF looks to be mere weeks away, and Bloomberg ETF analyst James Seyffart joins Unchained to discuss the final issues and considerations, especially the battle over whether the new funds will feature in-kind vs. cash creation and redemptions, which appears to be one of the last main sticking points in negotiations between the SEC and fund companies. He also discusses the specific impact of an ETF approval on Grayscale, which runs the $26.6 billion Grayscale Bitcoin Trust, and why he thinks the SEC has thrown in the towel on trying to classify Ethereum as a security.  

Show highlights: | 

• Why James views the multitude of potential issuers meeting with the SEC as a positive sign for the future of ETFs
• When James anticipates the ETFs will actually be listed on exchanges, which differs from their approval dates
• The crucial differences between in-kind versus cash creation and redemptions in ETFs and their impact on market dynamics
• How the choice of in-kind or cash creation and redemptions influences the overall cost structure of these financial products
• Whether the current actions of ETF issuers suggest a "bending the knee" approach to the SEC's preference for cash creations and redemptions
• How the selected ETF model will specifically impact Grayscale and the future of its GBTC offering
• The potential strategies behind BlackRock's private trust, especially in terms of integrating its Bitcoin holdings into its prospective ETF
• Why James holds a more cautious outlook for the approval of an Ethereum spot ETF compared to his confidence in Bitcoin ETFs

Thank you to our sponsors!

Arbitrum Foundation  |  Popcorn Network  |  Uniswap

Guest | 

James Seyffart, Research analyst at Bloomberg Intelligence

Previous appearances on Unchained:

Why It Looks Like BlackRock Could Win America’s First Spot Bitcoin ETF

Why a Spot Bitcoin ETF Will Probably Launch No Later Than January 10

Links | 

Previous coverage on spot Bitcoin ETFs:

How Much Money Will Flow Into Bitcoin ETFs? Here’s One Projection

Why a Spot Bitcoin ETF Will Probably Launch No Later Than January 10

Why It Looks Like BlackRock Could Win America’s First Spot Bitcoin ETF

The Chopping Block: Are We Back? The ‘Low IQ’ Response to the Potential Spot Bitcoin ETF

Unchained: 

Bitcoin ETFs Explained: What Are They & How Do They Work?

BlackRock Updates Bitcoin ETF Filing to Make Access Easier for Wall Street Banks 

Understanding the ETF creation and redemption mechanism

Nate Geraci’s tweet on in-kind/cash

James comments “the people want in-kind”

James: “I think everyone is gonna have to bend the knee to cash creates and redeems.”

Eric Balchunas suggests the SEC is only letting cash-create ETFs launch initially

Unchained Podcast is Produced by Laura Shin Media, LLC.  Distributed by CoinDesk. Senior Producer is Michele Musso and Executive Producer is Jared Schwartz. 

See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Noelle Acheson, the mind behind the Crypto Is Macro Now newsletter, explores market moves, bitcoin ETFs, the U.S. economy and more.

Today's episode is sponsored by CME Group.

To get the show every day, follow the podcast here.

Sales of Solana Phone Surge as Traders Chase BONK Arbitrage 

TradFi Goes All-In on Fed Rate Cuts. What It Means for Bitcoin 

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From our sponsors:

CME Group Cryptocurrency futures and options provide market-leading liquidity for bitcoin and ether trading. These cash-settled contracts give full exposure to crypto performance without the hassle of holding the physical position. No digital wallet? No problem. Trade nearly 24/7 in a transparent, CFTC-regulated market. Visit cmegroup.com/crypto to learn more.

Disclaimer:

This communication is not directed to investors located in any particular jurisdiction and is not intended to be accessed by recipients based in jurisdictions in which distribution is not permitted. The information herein should not be considered investment advice or the results of actual market experience. Past results are not necessarily indicative of future performance. Trading derivatives products involves the risk of loss. Please consider carefully whether futures or options are appropriate to your financial situation.

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This episode was hosted by Noelle Acheson. “Markets Daily” is executive produced by Jared Schwartz and produced and edited by Eleanor Pahl. All original music by Doc Blust and Colin Mealey.

See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

From Market trends to Blockchain’s financial disruption, Avichal explores the 2023 tech landscape. 

This episode is sponsored by Cboe Digital

In this week's installment of "Money Reimagined," Sheila Warren is joined by Avichal Garg, the Co-Founder and General Partner at Electric Capital to discuss the tech side of crypto in 2023. From crypto market trends and investor sentiment to the challenges of AI technology and its potential for abuse Avichal skillfully delves into the intricate interplay of these elements, unraveling the layers that define the complex tapestry of the crypto world.

Links | 

About Me – Avichal Garg 

Electric Capital 

Avichal Garg, Electric Capital 

A Difficult Truth: The Unspoken Mismatch of Web3 and Generative AI

Crypto Winter Is Over 

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From our sponsors:

Do you have a trusted partner for your crypto trading? Cboe Digital will introduce financially settled margin futures on Bitcoin and Ether on January 11th, 2024 with physically delivered contracts to follow.  Listed and cleared on Cboe’s U.S. regulated exchange and clearinghouse, and complemented by a liquid crypto spot market for greater ease and access.  We invite you to learn more about this and all applicable risk disclosures at cboedigital.com/coindesk.

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Money Reimagined has been produced and edited by senior producer Michele Musso and our executive producer is Jared Schwartz. Our theme song is “The News Tonight ” by Shimmer. 

See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Debating also the integration of Layer 2 functions on Ethereum's main chain, the unexplored territory of Blockchains’ identity and personal data storage; and Vitalik's deeply technical essay.

This episode is sponsored by the Stellar Community Fund

Follow the show here for more.

In this installment of "The Protocol," hosts Brad Keoun, the founding editor of The Protocol Newsletter, and tech journalists Sam Kessler and Margaux Nijkerk, explore the following stories:

 Polygon and Celestia

Celestia's "data availability" solution – pitched as a cheaper alternative to storing data on Ethereum – will become an option for builders who are using Polygon’s customizable software stack to spin up new layer-2 networks.

CRYPTO POINTS

Points rely on highly performant off-chain database systems called Servers to store and verify individual point balances.

Sam Altman and WorldCoin

World ID has added integrations with Shopify, Minecraft, and Reddit alongside a slew of developer-focused updates that could expand the OpenAI founder's blockchain-based "proof-of-personhood" service to more users.

Cronos -Crypto.com Partner

The new "Cronos zkEVM chain" is launching initially as a test network, based on Matter Labs’ software tools, which can be used to spin up new layer 2 and layer 3 “hyperchains” atop Ethereum.

PROTOCOL VILLAGE SEGMENT  - An Essay by Vitalik 

Ethereum's Buterin Floats Prospect of Taking Some Layer-2 Functions Back on Main Chain

Vitalik Buterin, a member of the Ethereum Foundation's executive board, once pushed "layer-2" networks as a way to provide faster and cheaper transactions. Now he's got ideas for "enshrining" some of those functions on the main chain.

EPISODE LINKS |  

Polygon to Offer Data Solution Celestia as Option for New Layer-2 Developers

Celestia, Blockchain Data Solution, Sees TIA Token Surge as Polygon Plan Announced

https://x.com/jonwu_/status/1735059813087015384?s=20

https://x.com/sassal0x/status/1734787782940168569?s=20

https://x.com/CoinDesk/status/1732889600425644235?s=20

https://x.com/gabrielhaines/status/1734911303980917048?s=20 

https://twitter.com/puntium/status/1734722454566887843

Sam's Worldcoin

Cronos, Partner of Crypto.com, to Start Layer 2 Network With Matter Labs

 

Sign Up for THE PROTOCOL NEWSLETTER 

From Our Sponsor: 

The Stellar Community Fund (SCF) is an open-application awards program that draws on community input to support developers and startups building on Stellar and Soroban. Accelerate your web3 project today.

Apply for Funding at communityfund.stellar.org

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The Protocol has been produced and edited by senior producer Michele Musso and our executive producer is Jared Schwartz. Our theme song is “Take Me Back” by Strength To Last.

See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Noelle Acheson, the mind behind the Crypto Is Macro Now newsletter, explores rates euphoria, a market correction, a meaningful rule change and more.

Today's episode is sponsored by CME Group.

To get the show every day, follow the podcast here.

FASB Mulls Fair-Value Accounting for Crypto Holdings: Report 

MicroStrategy Buys $250M in Bitcoin, Calling the Crypto 'Superior to Cash' - CoinDesk 

Bitcoin CEO: MicroStrategy's Michael Saylor Explains His $425M Bet on BTC 

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From our sponsors:

CME Group Cryptocurrency futures and options provide market-leading liquidity for bitcoin and ether trading. These cash-settled contracts give full exposure to crypto performance without the hassle of holding the physical position. No digital wallet? No problem. Trade nearly 24/7 in a transparent, CFTC-regulated market. Visit cmegroup.com/crypto to learn more.

Disclaimer:

This communication is not directed to investors located in any particular jurisdiction and is not intended to be accessed by recipients based in jurisdictions in which distribution is not permitted. The information herein should not be considered investment advice or the results of actual market experience. Past results are not necessarily indicative of future performance. Trading derivatives products involves the risk of loss. Please consider carefully whether futures or options are appropriate to your financial situation.

-

This episode was hosted by Noelle Acheson. “Markets Daily” is executive produced by Jared Schwartz and produced and edited by Eleanor Pahl. All original music by Doc Blust and Colin Mealey.

See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Noelle Acheson, the mind behind the Crypto Is Macro Now newsletter, explores market moves, inflation, El Salvador and more.

Today's episode is sponsored by CME Group.

To get the show every day, follow the podcast here.

World's First Bitcoin Bonds Receive Regulatory Approval in El Salvador 

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From our sponsors:

CME Group Cryptocurrency futures and options provide market-leading liquidity for bitcoin and ether trading. These cash-settled contracts give full exposure to crypto performance without the hassle of holding the physical position. No digital wallet? No problem. Trade nearly 24/7 in a transparent, CFTC-regulated market. Visit cmegroup.com/crypto to learn more.

Disclaimer:

This communication is not directed to investors located in any particular jurisdiction and is not intended to be accessed by recipients based in jurisdictions in which distribution is not permitted. The information herein should not be considered investment advice or the results of actual market experience. Past results are not necessarily indicative of future performance. Trading derivatives products involves the risk of loss. Please consider carefully whether futures or options are appropriate to your financial situation.

-

This episode was hosted by Noelle Acheson. “Markets Daily” is executive produced by Jared Schwartz and produced and edited by Eleanor Pahl. All original music by Doc Blust and Colin Mealey.

See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Experts Dorothy DeWitt and Michael Dawson discuss the implications, challenges, and potential outcomes of Binance's compliance monitorship. 

The record $4.3 billion settlement reached between Binance and the U.S. government over charges of money laundering and sanctions violations calls for the world's largest crypto exchange to maintain an independent compliance monitor for the next five years. Michael Dawson, a partner at WilmerHale, and Dorothy DeWitt, founder and CEO of Tolt Strategies, a former director at the CFTC and former general counsel at Coinbase, dissect the intricacies of this arrangement, delving into the roles and responsibilities of the compliance monitor, the potential impact on Binance's operations and the broader implications for the crypto industry.

Listen to the episode on Apple Podcasts, Spotify, Overcast, Podcast Addict, Pocket Casts, Pandora, Castbox, Google Podcasts, Amazon Music, or on your favorite podcast platform.

Show highlights:

• What exactly is a compliance monitor, and why it's essential in the Binance settlement 
• Which regulatory agencies do the monitors report to and their significance
• Why the DOJ insisted on including a compliance monitor in its settlement with Binance
• how Binance’s compliance monitor is expected to create a “ripple effect across the industry,” according to Michael
• Why Binance, despite being a non-U.S. entity, is subject to a U.S.-appointed monitor
• Dorothy's perspective on why more monitorships might be appointed in the crypto industry going forward
• How much the monitorship will cost Binance and the factors influencing their choice of monitor
• Whether the government will be able to discover other crimes with all this new information, which will be used by other agencies such as the IRS and the FBI
• Who might be appointed as the compliance monitor for Binance and why Michael favors Patrick McHenry
• What constitutes the SAR lookback and AML program consultancy
• What could happen when the government gets to look at all past transactions
• What happens if the monitor discovers any wrongdoing within Binance
• Whether the monitorship is likely to impact Binance's business operations
• Advice from Dorothy and Michael for Binance's new CEO on navigating these challenges
• Why predicting the future of Changpeng Zhao, Binance's ex-CEO, is complex, according to Dorothy

Thank you to our sponsors!  LayerZero  | Popcorn Network  | Arbitrum Foundation

Guests |  

Michael Dawson, partner, Financial Institutions Group at WilmerHale

Dorothy DeWitt,  founder and CEO of Tolt Strategies and former Director of the Division of Market Oversight at the CFTC

Links |

Settlement

DOJ Settlement Text

FINCEN Settlement Text

CFTC Settlement Text

OFAC Settlement Text

WSJ: Binance Penalties Include a Number of Crypto Industry Firsts: The Treasury Department’s FinCEN is imposing its first-ever monitorship on the cryptocurrency exchange

CoinDesk: Binance's Future and Other Questions Post-Settlement 

Unchained: Binance to Pay $4.3 Billion to Settle U.S. DOJ Criminal Probe; CEO Changpeng Zhao Pleads Guilty for Violating Bank Secrecy Act 

Law360: Binance's Compliance Chief Is Optimistic About Monitorship

The C FTC's guidance on monitorship:

CFTC Releases Enforcement Advisory on Penalties, Monitors and Admissions

Other monitors at crypto companies:

Coinbase (independent monitor):  Press Release- January 3, 2023: Superintendent Adrienne A. Harris Announces $100 Million Settlement with Coinbase, Inc. after DFS Investigation Finds Significant Failings in the Company’s Compliance Program | Department of Financial Services

Robinhood Crypto (independent compliance consultant):  Press Release- August 2, 2022: DFS Superintendent Harris Announces $30 Million Penalty on Robinhood Crypto for Significant Anti- Money Laundering, Cybersecurity & Consumer Protection Violations | Department of Financial Services (ny.gov)

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Unchained Podcast is Produced by Laura Shin Media, LLC.  Distributed by CoinDesk. Senior Producer is Michele Musso and Executive Producer is Jared Schwartz. 

See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Noelle Acheson, the mind behind the Crypto Is Macro Now newsletter, steps back from the daily markets coverage to address an often misunderstood topic: Does Bitcoin have intrinsic value?

Today's episode is sponsored by CME Group.

To get the show every day, follow the podcast here.

On today's show, we depart from the usual format – rather than a market update, Noelle breaks down a common misconception about bitcoin.

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From our sponsors:

CME Group Cryptocurrency futures and options provide market-leading liquidity for bitcoin and ether trading. These cash-settled contracts give full exposure to crypto performance without the hassle of holding the physical position. No digital wallet? No problem. Trade nearly 24/7 in a transparent, CFTC-regulated market. Visit cmegroup.com/crypto to learn more.

Disclaimer:

This communication is not directed to investors located in any particular jurisdiction and is not intended to be accessed by recipients based in jurisdictions in which distribution is not permitted. The information herein should not be considered investment advice or the results of actual market experience. Past results are not necessarily indicative of future performance. Trading derivatives products involves the risk of loss. Please consider carefully whether futures or options are appropriate to your financial situation.

-

This episode was hosted by Noelle Acheson. “Markets Daily” is executive produced by Jared Schwartz and produced and edited by Eleanor Pahl. All original music by Doc Blust and Colin Mealey.

See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Michael Bouhanna joins us to discuss the art world’s embrace of NFTs and the intersection between digital art and traditional auction houses.

Today's episode is sponsored by Chainalysis.

In this episode of "Gen C," we sit down with Michael Bouhanna, vice president, contemporary art specialista and head of digital art and NFTs at renowned auction house Sotheby’s. Michael takes us through the evolution of digital art as a movement and collectors’ growing embrace of crypto art. We discuss sales like Sotheby’s record-breaking $6 million sale of the Goose, as well as predictions for digital art's presence during Miami Art Week and beyond.

Links mentioned from the podcast: 

• Shopify COO nods to their crypto work
• Your A.I. Companion Will Support You No Matter What
• Michael on Twitter
• Sotheby’s Website

Follow us on Twitter: 

• Sam Ewen, Avery Akkineni, CoinDesk, Vayner3

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From our sponsor:

Chainalysis is the blockchain data platform. We provide data, software, services, and research to government agencies, web3 companies, financial institutions, and insurance and cybersecurity companies. Our data powers investigation, compliance, and business intelligence software that has been used to solve some of the world’s most high-profile criminal cases. For more information, visit www.chainalysis.com.

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"Gen C" features hosts Sam Ewen and Avery Akkineni, with editing by Jonas Huck. Executive produced by Jared Schwartz and produced by Uyen Truong. Our theme music is "1882” by omgkirby x Channel Tres with editing by Doc Blust. Artwork by Nicole Marie Rincon.

See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Noelle Acheson, the mind behind the Crypto Is Macro Now newsletter, explores sharp weekend correction in crypto markets, consumer expectations, NFTs and more.

Today's episode is sponsored by CME Group.

To get the show every day, follow the podcast here.

Today’s Stories:

Bitcoin's 4% Drop Cools Overheated Funding Rates, Data Show 

Pudgy Penguins to Launch Webkinz-like Virtual World in 2024 

It’s All a Game | Messari 

NFT Dashboard / CryptoSlam! 

NFT Price Floor 

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From our sponsors:

CME Group Cryptocurrency futures and options provide market-leading liquidity for bitcoin and ether trading. These cash-settled contracts give full exposure to crypto performance without the hassle of holding the physical position. No digital wallet? No problem. Trade nearly 24/7 in a transparent, CFTC-regulated market. Visit cmegroup.com/crypto to learn more.

Disclaimer:

This communication is not directed to investors located in any particular jurisdiction and is not intended to be accessed by recipients based in jurisdictions in which distribution is not permitted. The information herein should not be considered investment advice or the results of actual market experience. Past results are not necessarily indicative of future performance. Trading derivatives products involves the risk of loss. Please consider carefully whether futures or options are appropriate to your financial situation.

-

This episode was hosted by Noelle Acheson. “Markets Daily” is executive produced by Jared Schwartz and produced and edited by Eleanor Pahl. All original music by Doc Blust and Colin Mealey.

See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.