Headlines

▌US judge rejects SBF request for prosecutors to review FTX debtors

Federal Judge Lewis Kaplan of the Southern District of New York asked several questions of the FTX founder's defense team's motion to dismiss bank fraud, wire fraud, and campaign finance charges during a hearing, while challenging the defense's dismissal of bank and wire transfer charges. The fraud-alleged effort was viewed with scepticism. The judge also denied multiple motions by the defense related to the proceedings, including efforts to have the DOJ review FTX documents and materials.

▌New York bans CoinEx operations and seizes $1.7 million in encrypted assets

Cryptocurrency exchange CoinEx has been banned from operating in New York by Attorney General Letitia James. According to a June 15 announcement, more than $1.7 million worth of funds from the exchange was seized for allegedly being unregistered as a securities and commodities brokerage firm.

The agreement resolves a lawsuit against CoinEx in February, when the state of New York accused the company of falsely representing itself as an exchange and failing to register with local authorities. Under the agreement, more than $1.1 million will be returned to 4,691 New York investors, and more than $600,000 will be paid to the state as fines.

Policies

▌Texas Securities Commission files enforcement suit against Abra and its CEO

The Texas Securities Commission said it filed an enforcement complaint against various entities collectively known as Abra and Chief Executive Bill Barhydt. The actions charge the defendants with securities fraud and engaging in deception in connection with offering and selling investments in Abra Earn and Abra Boost, the state regulator said in a statement.

Specifically, it alleges that the entities offered or sold Abra Earn to accredited and non-accredited investors and Abra Boost to accredited investors. The parties collectively managed approximately $116.79 million in assets for US Abra Earn and Abra Boost investors. The agency noted that it has been leading a working group of state securities regulators organised through the North American Association of Securities Administrators.

Blockchain Application

▌Decentralised social media platform Lens protocol releases open governance model

Lens Improvement Proposals (LIPs), a decentralised social media platform on Aave, is launching a new open governance model where community members can propose improvements to the protocol. Inspired by Ethereum and Aave's improved proposal model, Lens attempts to create a framework for developers, creators, and users to participate in the decision-making process for Len's future development.

According to the announcement, there are currently three live proposals. The first proposal establishes an open governance model, while the second and third proposals center on open standards. The second proposal "will encourage the integration of third-party algorithms and machine learning (ML) services into the Lens Protocol," while the third proposal defines "how metadata will be categorised, organised, and tagged in Lens."

Cryptocurrency

▌Digital asset company Virtune launches Euro-denominated encryption index ETP in Germany

Swedish cryptocurrency ETP issuer Virtune AB has announced the entry of a Euro-denominated crypto index ETP into the German crypto ETN market. The company's basic prospectus was approved by the Swedish FSA on April 5, 2023.

The entry in Germany marks Virtune's first expansion outside of the Swedish market. The ETP is scheduled to list on the Stuttgart Stock Exchange on Thursday, June 15, 2023.