The battle between stablecoins and the U.S. government doesn’t appear to be waning anytime soon.
Coinbase, one of the biggest crypto exchanges in the world, has become the latest platform to suspend the trading of Binance’s stablecoin BUSD, following an order from US regulators to cease minting the token immediately. While USD Coin (USDC), the second largest stablecoin, seems to be benefiting from BUSD’s difficulties, analysts worry that this might be short-lived if the battle rages on.
Meanwhile, Big Eyes Coin (BIG), the largest cryptocurrency presale in recent memory, launches a new feature in Stage 12 that gives its investors one more chance to profit before the coin’s launch.
Trouble in Paradise for Binance USD (BUSD)
The U.S. Securities and Exchange Commission (SEC) issued a Wells notice to Paxos, the blockchain infrastructure platform that powers Binance USD, at the beginning of February, signalling that an investigation may result in charges. The SEC claimed that the company was selling unregistered security with its BUSD stablecoin.
The New York regulator also ordered Paxos to stop issuing BUSD, the stablecoin supported by Binance, and cited a number of unresolved issues with Paxos’ management of its connection with Binance as the reason for the order.
Changpeng Zhao, the creator of Binance, announced the news on Twitter, insisting that the exchange licensed the Binance brand to Paxos and that BUSD is “wholly owned and managed by Paxos.” Paxos has also released statements disagreeing with the SEC’s position and promising to fight back with legal action if necessary.
Built on the Ethereum blockchain, BUSD had over $16 billion in holdings as of January 31 but has lost roughly $6 billion as of the time of writing.
Will other stablecoins catch a stray?
When the SEC began its enforcement action against BUSD, investors ran for the hills. However, some stablecoins have benefited from the confusion. The market leader in stablecoins, Tether USDT, has increased its dominance to $70.3 billion, cornering nearly 53% of the market, while competitor Circle’s USD coin now has a market share of 31.3% and a value of $42 billion.
Despite the crackdowns, cryptocurrency prices are rising as individual investors re-enter the market.
The stablecoin market has grown by $2bn since the Paxos debacle, but how long will stablecoins be able to exist in their current form with the SEC on their backs?
Big Eyes Coin launches 10k loot box
Barely a week after the launch of three tiers of loot boxes, the new presale record breakers, Big Eyes Coin, has put forward another tier as they add further fuel to its presale boom.
The new loot box called Excali-Paw Master Chest costs $9,999 to buy and has rewards ranging from $10k to $1,000,000. It was released into the public domain yesterday.
As you may be aware, the other three boxes are the Cute Box, Kitty Vault and Super Saiyan Box. With the purchase of The Cute Box, which costs $100, you could potentially receive $5k in cash. If you invest $500 to unlock the Kitty Vault, you could potentially win a payout of $25k. Lastly, there is the Super Saiyan Box, which costs $1,000 and has a $100k potential reward. It is difficult to resist taking a look when there is a chance to gain up to 5000% ROI.
The introduction of loot boxes is proving to be fairly successful because they offer a fun gambling component that is typically seen in video games and give players a chance to earn significant rewards when they unlock them. The tokens themselves serve as prizes in this scenario.
Since there are only a finite number of loot boxes available, now is the ideal moment to purchase if you think the project has what it takes to be the next great thing.
The bottom line
Stablecoins represent the “safer” part of the crypto market. Since they are frequently backed by conventional assets like the US dollar or US treasuries, which are intended to hold a consistent value, each unit is expected to maintain a value of $1.
In the face of scandals, fraud, and criminal activity, they have quickly established themselves as the core of the cryptocurrency market due to their considerable security against volatility.
While other stablecoins keep an eye on what comes of Paxos’ run-in with the regulator, Big Eyes continue to soar through its presale with record numbers.
Interested in knowing more about Big Eyes Coin? Then click on the following links below:
BIG EYES (BIG):
Presale: https://buy.bigeyes.space/
Website: https://bigeyes.space/
Telegram: https://t.me/BIGEYESOFFICIAL
