Crypto Scoop: BTC, ETH Price Spikes After Biden's Executive Order On Cryptocurrencies

Crypto adoption policies and initiatives are fast spreading across the globe. In this week's edition of the crypto scoop, we will be reviewing:

• Biden's executive order on cryptocurrencies
• The exit of Prolific developer Andre Cronje from the DeFi Space
• Dubai's crypto regulatory framework and
• Warner Bros. NFT initiative for DC fans

BTC, ETH experience price spike following Biden’s executive order

Bitcoin (BTC) and (ETH) recorded a short spike in prices following the hours before US President Joe Biden signed a first-of-its-kind executive order on cryptocurrencies. Bitcoin jumped to over $42,000, and ETH similarly moved up to $2800. Several investors were able to make profits off these price sparks. 

This week, Biden signed an executive order on crypto-assets establishing a national policy for digital assets across six key priorities. The order focuses on addressing the risks and harnessing the benefits of cryptocurrencies. Biden was expected to have signed the executive order earlier in February, but then the attacks on Ukraine may have deterred this plan. 

The executive order directs various government departments and agencies to develop policy recommendations within specific timeframes. The focus would be on protecting US consumers, investors, and businesses while protecting the US and global financial stability. The government agencies were also tasked with mitigating the illicit finance and security risks posed by the illicit use of cryptocurrencies.  The fourth priority was to promote US leadership in technology and economic competitiveness. The agencies were also tasked with supporting technological advances and ensuring responsible use of digital assets while exploring the possibility of a US CBDC. 

The relevant agencies have been tasked with providing a detailed report that should be submitted to Biden within 180 days. Speaking on the executive order, Secretary Yellen of the Treasury Department explained that this would support responsible innovation.  The Chairman of US SEC, Gary Gensler, noted that he was looking forward to collaborating with colleagues across the government to achieve important public policy goals. 

Biden’s executive order calls for a comprehensive and coordinated approach to the regulation of cryptocurrencies. There have been several speculations on the impact of this order. However, it may be challenging to gauge the impact just yet. This is because policies are yet to be formulated. However, following Biden signing the order, the markets seemed to give up their gains, bringing Bitcoin back below $40k once again. 

According to CoinGecko. Data cryptocurrency usage in Ukraine has tripled since the attack. Since the attacks, Bitcoin is currently trading at a 7% premium on a top crypto exchange platform, Kuna, indicating that local demand has outpaced available supply.

DeFi tokens price tumble following the exit of a prominent developer

Andre Cronje, a prolific developer recently announced his intention to leave DeFi behind. Andre Cronje always had a strained relationship with DeFi which he had always expressed on his blog. Some of his protocols have although driven billions in value have also suffered significant hacks that have cost millions. He may have previously taken extended sabbaticals from the DeFi space but according to the announcement, this is his final exit.

The announcement resulted in numerous sell-offs as investors seemed to pull the plug after Andre’s exit. Several tokens have tumbled even those not directly linked to Cronje such as the YFI token, Spookyswap (BOO). LiquidDriver (LQDR). TOMB, Geist Finance (GEIST). 

Frequent collaborator, Anton Nell took to his Twitter account to announce that he and Cronje were closing the chapter on developing DeFi. However, before this announcement, there were several warning signs that many may have ignored such as Cronje deleting his Twitter account. He also updated his LinkedIn account last week to reflect that he was no longer an advisor to the Fantom Foundation. Tokens which Cronje had designed their protocol AMM, Keep3r suffered a significant price tumble. 

Nell announced that the farewell means that many of the websites they had collaborated on would be shutting down. However, since the announcement there have been speculations of new front ends for interacting with this contract such as Cronje’s bribe.crv.finance. The source code is open source which means that anyone who would like to continue hosting their services is welcome to. 

Dubai announces crypto regulatory framework

Sheikh Mohammed bin Rashid Al Maktoum, Dubai's ruler, and vice president, announced the adoption of a new law regulating virtual assets such as cryptocurrencies and NFTs. "The future belongs to whoever designs it, "Maktoum tweeted. The Dubai Virtual Asset Regulation Law has been passed, establishing a new regulatory authority to regulate the virtual asset business, including cryptocurrency and NFTs.

For some years, the UAE has been at the frontline of crypto and blockchain adoption, and it is trying to cement its place as a key global financial hub. Dubai seeks to develop an advanced legal framework that protects investors and establishes worldwide standards to manage the virtual asset business due to the bill. VARA will have complete legal and financial independence and be linked to the Dubai World Trade Centre Authority (DWTCA).

VARA will have complete power over the virtual asset industry, including the ability to license, regulate, and administer it. It will have control over special development zones and free zones, but not the Dubai International Financial Centre, which is developing its own set of virtual asset regulations.

The crypto law, according to Sheikh Al Maktoum, will require residents of Dubai to register with VARA before engaging in crypto-related activities. Businesses that deal with virtual assets must also have a presence in Dubai. These operations include running a cryptocurrency exchange, transferring cryptocurrencies, and providing other token-related services.

Warner Bros, Dolphin Entertainment Pursue NFT Initiatives

Warner Bros., media and entertainment company, has announced that it is collaborate with Cartamundi Group to create hybrid trading cards based on DC Comics. Fans of the DC multiverse can use the Hro app to interact with their favorite DC superheroes, supervillains, and other DC characters.

Warner Bros. intends to issue millions of DC Comics-themed physical cards tied to redeemable non-fungible token (NFT) collectibles, designed by Cartamundi Group. Warner Bros. wants to release the hybrid collectibles through a new platform dubbed the Hro app, according to an announcement made on March 10. The announcement goes on to say that hybrid collection packs will cost anything from $5 to $120.

Dolphin Entertainment, a children's film, and television business, has teamed up with the Ethereum NFT collection The Flower Girls to create scripted and unscripted television programs, books, games, music, events, and merchandise based on the collection. Dolphin Entertainment has also stated that it plans to use Flower Girls Ethereum NFTs to produce TV shows, games, and music. Gwyneth Paltrow, Eva Longoria, and Gary Vaynerchuck are among the female-led NFT collection owners.