Crypto News: Queen Murder, FDIC BTC Hedge, Trump-Musk Talks

June 7, 2024

Crypto World

Maciej Zerelik

Welcome to our newest edition of the weekly crypto update, exclusively from StealthEX and CryptoDaily. This week, we bring you the most thrilling developments in the cryptocurrency sphere. Eager to catch up on the latest buzz in digital assets? Explore our fresh digest now!

“Crypto Queen” Ruja Ignatova’s Fate Revealed: Murdered by Bulgarian Drug Lord

Ruja Ignatova, known as the “Crypto Queen,” may have been murdered by a Bulgarian drug lord, new evidence suggests. Ignatova scammed investors out of $4.5 billion through her fake cryptocurrency, OneCoin. She promised high returns, luring millions of victims. Ignatova is the only woman on the FBI’s most wanted list due to this massive fraud.

BBC’s investigation has revealed new links to organized crime. Ignatova fled with the funds, and key individuals linked to OneCoin have been arrested. Recently, William Morro was arrested for bank fraud. He allegedly moved $35 million related to OneCoin in 2016.

Ignatova sought protection from Hristoforos Nikos Amanatidis, also known as Taki. Taki, a notorious Bulgarian drug kingpin, allegedly received €100,000 monthly for protecting her. Former Bulgarian Deputy Minister Ivan Hristanov described Taki as extremely powerful and elusive.

Bulgarian journalist Dimitar Stoyanov uncovered a police report suggesting Ignatova’s murder. A police informant overheard Taki’s brother-in-law discussing Ignatova’s murder, ordered by Taki in late 2018. The report claims Ignatova’s body was dismembered and dumped into the Ionian Sea. Bulgarian officials confirmed the document’s authenticity, and multiple associates believe the theory. Ignatova had become a liability, and Taki wanted to sever his ties to OneCoin.

FDIC Report Highlights Banking Risks, Bitcoin as a Hedge

The FDIC’s latest Quarterly Banking Profile for Q1 2024 reveals alarming findings about the number of insolvent banks. In such a volatile environment, Bitcoin emerges as a strong hedge against a potential banking collapse.

The FDIC (Federal Deposit Insurance Corporation) insures bank deposits and supervises banks in the US. Its report shows 63 banks rated 4 or 5 on the CAMEL composite rating. The CAMEL system evaluates banks based on Capital Adequacy, Asset Quality, Management, Earnings, and Asset/Liability Management. A rating of 4 indicates serious supervisory concern, while a 5 signifies critically deficient performance needing immediate action.

The report noted an increase from 52 to 63 banks on the “problem bank list” in the first quarter of 2024. The FDIC considers this number within the normal range for a non-crisis period. However, unrealized losses in the US banking system have reached $517 billion, up $39 billion this quarter.

Despite these concerns, the FDIC’s report maintains an optimistic tone, claiming the banking industry showed resilience. However, with 63 banks in serious trouble, public confidence in the banking system is questionable. Many of these at-risk banks are regional, but even major banks struggle to offer value.

The best savings rates from top US banks range from 4% to 5.15%. Considering inflation and currency debasement, the average person is likely losing 12% to 14% annually. Savings accounts offering 4% to 5% fail to keep up with these losses.

The banking industry has significant influence over the US political system and media. However, customers are noticing the limited value banks provide. In contrast, Bitcoin offers freedom of transactions and a true store of value. As banks face growing scrutiny, Bitcoin presents an appealing alternative for financial security.

Choose StealthEX for Exchange and Buy Crypto

• User-Friendly — Simple and minimalistic interface for everyone.
• Fast and Private — Instant non-custodial cryptocurrency exchanges.
• Buy crypto with Credit Card.
• 1500+ coins and tokens are available for limitless, quick and easy exchanges.
• NO-KYC crypto exchanges — Buy cryptocurrency up to $700 without KYC!
• StealthEX crypto exchange app — Process crypto swaps at the best rates wherever you are.
• 24/7 Customer Support.

Earn from Each Exchange by Joining StealthEX Affiliate Program.
Become a partner right now and use affiliate tools:

• Public API — Earn from your wallet, aggregator, or exchange terminal.
• Referral Links — Recommend StealthEX to your audience.
• Exchange Widget — Built crypto exchange widget on any page of your website.
• Button — A perfect choice for traffic monetization.
• Banner — Track conversion and stats right in the personal cabinet.

Bitcoin Analyst PlanB Predicts $500,000 Cycle Top

Renowned Bitcoin analyst PlanB has updated his Stock-to-flow model, predicting a cycle top of $500,000 for Bitcoin. He anticipates a strong surge following the halving cycle, with the $100,000 level expected to be reached soon.

PlanB believes that previous Bitcoin cycles provide a reliable prediction for the current one. With the halving completed, his model forecasts $500,000 this cycle and $4 million in the next. He has incorporated five years of new data into his Stock-to-flow model, enhancing its accuracy and simplicity.

The analyst highlights the Relative Strength Indicator (RSI) as a key predictor, noting its accuracy in past cycles. He believes the RSI is behaving similarly in the current cycle. The gradual rise in the 200-week moving average also supports higher prices, suggesting Bitcoin could soon reach $100,000.

PlanB emphasizes the positive sentiment among Bitcoin holders, with 93% still in profit. He believes this sentiment will drive prices higher.

Trump and Musk Discuss Crypto Policy: Investors Optimistic

Republican presidential candidate Donald Trump and billionaire Elon Musk reportedly discussed crypto policy, surprising investors positively. This news follows reports that Musk might receive an advisory role in the Trump administration if Trump is re-elected.

Elon Musk denied discussing crypto policy with Trump but praised the industry, stating it has the potential to shift power to the people. He did not dismiss the possibility of an advisory role in the Trump administration.

Elon Musk’s relationship with the crypto market has been complex. Initially, he criticized Bitcoin for its environmental impact, and Tesla stopped accepting Bitcoin payments in May 2021 due to its energy consumption. However, Musk has recently become more supportive of Bitcoin, noting that over 50% of its energy consumption now comes from renewable sources. Despite this, Dogecoin remains his favorite cryptocurrency.

Dogecoin tops the list of cryptocurrencies that could benefit from Musk’s involvement in the Trump administration. Musk has frequently called Dogecoin the “people’s cryptocurrency” and hinted at the possibility of Tesla accepting Dogecoin payments. In March 2024, Musk announced that Tesla would enable Dogecoin payments, causing a surge in its price.

Musk has consistently promoted Dogecoin through his ventures. After purchasing X (formerly Twitter), he replaced Twitter’s logo with the Dogecoin symbol, resulting in a 40% rally. Dogecoin’s price tends to rally with favorable Musk news, whether it’s his acquisition of Twitter or a successful SpaceX launch.

CFTC Appoints Aptos CEO Mo Shaikh to Digital Assets Subcommittee

The Commodity Futures Trading Commission (CFTC) has named Aptos co-founder and CEO Mo Shaikh to its subcommittee on digital assets. This subcommittee is part of a larger advisory group that will guide the CFTC on rulemaking and regulation.

The Digital Assets Subcommittee operates under the Global Markets Advisory Committee (GMAC), established in 1998. The GMAC includes financial executives from major institutions like Citadel, HSBC, and Goldman Sachs. The subcommittee features executives from prominent financial and tech companies, including Polygon Labs, Uniswap Labs, BNY Mellon, and BlackRock.

Shaikh’s appointment marks a significant milestone for Aptos, a Layer 1 blockchain launched in October 2022. Aptos was developed using the Move programming language, originally created for Facebook’s Diem project. Experts on the GMAC and Digital Assets Subcommittee will advise the CFTC on regulations affecting international trade and business.

The GMAC advises the Commission on issues impacting the integrity and competitiveness of U.S. markets and firms engaged in global business. It addresses regulatory challenges of interconnected markets and the multinational nature of business, making recommendations on international standards for futures, swaps, options, and derivatives markets.

Shaikh had to submit a written application to be considered for the advisory group. He expressed his satisfaction with Aptos representing numerous projects in the Web3 ecosystem. Aptos aims to create a blockchain network capable of processing transactions faster than Ethereum and has raised $400 million from venture capitalists, including Andreessen Horowitz and Jump Crypto. In its latest funding round, Aptos was valued at $4 billion.

This article is not supposed to provide financial advice. Digital assets are risky. Be sure to do your own research and consult your financial advisor before investing.