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The Federal Trade Commission (FTC), USA has announced a final regulation banning noncompete agreements on a national level, aiming to defend employees' fundamental right to job mobility, foster creativity, and encourage entrepreneurship by outlawing such agreements in the workplace. Noncompete agreements are formal contract provisions that restrict employees from competing with their employers after the termination of their employment. FTC Chair Lina M. Khan emphasized that these clauses hinder wage growth, stifle innovation, and impede the dynamism of the American economy. The FTC's proposal, initially introduced in January 2023, has garnered support from employees. It is estimated that the ban could raise worker wages by up to $488 billion over the next decade, with average earnings potentially increasing by $524 annually. The regulation could affect approximately 30 million Americans across various job levels, from minimum wage workers to executives. Despite the anticipated...

The Blockchain Association (BA) and the Crypto Freedom Alliance of Texas (CFAT) have filed a lawsuit against the United States Securities and Exchange Commission (SEC) in the Northern District of Texas. The lawsuit aims to challenge the SEC's recent expansion of the "Dealer Rule," which the industry groups argue stifles innovation in the U.S. digital asset market. In February, the SEC adopted new rules redefining "dealer" and "government securities dealer," requiring more crypto market participants to register, join a self-regulatory organization, and comply with federal securities laws. The BA and CFAT claim that this expansion creates a vague and burdensome regulatory environment for businesses involved in digital asset trading. The lawsuit alleges that the SEC failed to adequately address public concerns raised during a limited comment period and neglected to assess the potential negative impacts of the rule. Kristin Smith, CEO of the Blockchain Association, criticized the SEC's...

Ripple, the cross-border payment protocol, has contested the United States Securities and Exchange Commission's (SEC) request to impose a $2 billion fine against the blockchain company. In a recent filing, Ripple urged the court to deny the SEC's requests for an injunction, disgorgement, and pre-judgment interest, arguing that the penalty should not exceed $10 million. The filing emphasized that Ripple intends to adhere to regulatory guidance in the future and opposes the SEC's "Draconian" remedial requests, which it considers unreasonable and ungrounded in law or principle. Ripple revealed that the SEC requested $876 million in disgorgement, $198 million in pre-judgment interest, and another $876 million in civil penalties, totaling nearly $2 billion. Ripple described the requested fine as disproportionate and argued that $10 million is a more reasonable amount based on a portion of their actual revenues. The company highlighted that comparable digital-asset cases warranted similar...

The tax evasion trial involving Binance and two of its executives has been adjourned to May 17, 2024 in a Nigerian court due to a delay in formally serving the charges to Binance. The Federal Inland Revenue Service (FIRS) has not yet served Binance with tax evasion charges, leading to the delay in proceedings. Binance and its executives, including Tigran Gambaryan and Nadeem Anjarwalla, were arrested on Feb. 28 and charged with tax evasion during a visit to Nigeria. The charges stem from Binance's failure to register with Nigeria's FIRS for tax remittance. Anjarwalla was not present in court as he had left the country in March 2024. In addition to the tax evasion trial, Binance and its executives face charges of laundering over $35 million by Nigeria's anti-graft agency. The trial is set to resume on May 2. Binance, which was not represented in court, stated at a crypto conference in Dubai that it is cooperating with Nigerian authorities following Gambaryan's detention. Meanwhile,...

US prosecutors have filed charges against Charles O. Parks III, also known as "CP3O," for wire fraud and money laundering offenses related to an illegal cryptojacking scheme. Parks is accused of defrauding two cloud computing providers based in Seattle and Redmond, Washington, of $3.5 million to mine cryptocurrencies, including Ether, Litecoin, and Monero, valued at almost $1 million. Parks allegedly used multiple aliases and corporate affiliations to establish accounts with the cloud providers from January to August 2021. He accessed heightened services and benefits, such as high cloud computing services and deferred billing accommodations, using these accounts. The indictment states that Parks laundered the illegally mined cryptocurrency through decentralized cryptocurrency exchanges and a New York City-based NFT marketplace. He also evaded federal law's transaction reporting requirements by structuring payments below the $10,000 threshold. Despite having one account suspended for...

The US Senate has approved the renewal of Section 702 of the Foreign Intelligence Surveillance Act (FISA), allowing the government to collect data from tech giants like Google and Facebook without warrants. The legislation, passed with a vote of 60-34, awaits President Biden's signature to extend surveillance powers for two more years. This move has sparked concerns in the cryptocurrency community, which prioritizes privacy and decentralization, as Section 702's broad reach could potentially infringe on these principles. Critics, including Senator Ron Wyden, argue that the law might lead to unnecessary data collection on American citizens. On the other hand, some lawmakers, like Senator Elizabeth Warren, believe monitoring the crypto sector is essential for regulatory oversight. The reauthorization of Section 702 could subject crypto businesses to increased regulatory scrutiny from agencies like the SEC, CFTC, and DOJ, necessitating compliance with surveillance and data collection...

Meta Platforms has introduced early versions of its new large language model, Llama 3, featuring implementations with 8 billion and 70 billion parameters, respectively. These models aim to bolster Meta AI virtual assistant capabilities and are integrated into major platforms such as Facebook, Instagram, WhatsApp, and Messenger. The release of Llama 3 signifies Meta's strategic move to strengthen its position in the evolving AI landscape. Meta claims that Llama 3 has surpassed benchmarks for reasoning, coding, and creative writing, positioning it as a competitor to industry leaders like OpenAI's ChatGPT. In addition to computational improvements, Llama 3 enhances handling of subtle language nuances, addressing areas where predecessors struggled. These enhancements coincide with Meta's plans to launch its AI assistant in over a dozen new international markets, expanding its global reach and audience. Chris Cox, Meta’s Chief Product Officer, highlights the incorporation of combined text...

Canada is set to become one of the first nations to adopt the International Crypto-Asset Reporting Framework (CARF) for taxation by 2026, according to a supplement to the country’s 2024 annual budget reported by the National Post on April 16. The CARF, agreed upon by the Organisation for Economic Co-operation and Development (OECD) in August 2022, aims to be implemented in 47 countries by 2027, as pledged in November 2023. The framework places new reporting requirements on crypto asset service providers (CASPs), including exchanges, brokers, and ATM operators. These providers will be obligated to report various transactions to the Canada Revenue Agency (CRA), including crypto-to-fiat and crypto-to-crypto transactions exceeding $50,000 USD, and collect information on their customers, both residents and non-residents. Additionally, the budget plan proposes to raise the capital gains tax inclusion rate from 50% to 66% for annual incomes exceeding $250,000, sparking concerns within the...

According to a report by the South China Morning Post, Hong Kong customs officers have arrested three individuals in connection with a massive HK$1.8 billion ($228 million) money-laundering operation. The scheme exploited a crypto platform and bank accounts associated with shell companies. During the investigation, it was found that one account involved received significant daily deposits, with two suspects allegedly handling HK$760 million through a cryptocurrency platform, particularly Tether. Florence Yeung Yee-tak, commander of the Financial Investigation Division of the Customs Department, highlighted the challenges in investigating crypto-related money laundering due to anonymity and jurisdictional restrictions. The trio, comprising a woman and two men, allegedly set up multiple companies and bank accounts and engaged in over 1,000 suspicious transactions. While the core suspects have been arrested, investigations into the source and destination of funds are ongoing. In...

A new report by the International Monetary Fund (IMF) titled "A Primer on Bitcoin Cross-Border Flows" shows Bitcoin's growing importance as a channel for cross-border financial transactions, particularly in regions facing economic turmoil or strict capital controls. The decentralized nature of Bitcoin enables residents in countries with restrictive financial regulations, such as Argentina and Venezuela, to move capital across borders more freely. In these nations, Bitcoin serves as a vital financial tool for preserving wealth and accessing global markets, beyond its role as a speculative investment. While acknowledging the benefits, the IMF report also warns of potential risks associated with Bitcoin's widespread use for cross-border flows, including concerns about money laundering due to the anonymity provided by cryptocurrencies. The study analyzes both on-chain and off-chain transaction data, revealing that Bitcoin transactions exhibit unique characteristics compared to...

Tether, the issuer of the USDT stablecoin, has announced the establishment of four new divisions: Tether Data, Tether Finance, Tether Power, and Tether Edu. These divisions aim to offer a wide range of services, including data management, blockchain-based financial services, sustainable Bitcoin mining, Artificial Intelligence (AI), and digital education initiatives. Tether is building a more inclusive financial and technological future, expanding beyond its core business of stablecoin issuance. The company aims to create accessible financial products and services for individuals worldwide, leveraging blockchain technology to democratize the financial system. Additionally, Tether plans to launch a digital asset tokenization platform, enabling the tokenization of various assets like bonds, stocks, or funds. This initiative aligns with Tether's vision of empowering individuals and communities through technology. Paolo Ardoino, CEO of Tether, emphasized the company's dedication to...

Swedish crypto miners are facing tax bills totaling over $90 million after investigations by the Swedish Tax Agency revealed four years of misappropriations. The agency investigated 21 crypto-mining firms between 2020 and 2023, uncovering misleading or incomplete information filed by 18 firms to benefit from tax incentives. Some firms provided misleading business descriptions to avoid VAT on taxable operations, while others evaded import taxes on mining equipment and income tax on mining revenue. The crypto mining firms are required to pay over 990 million Swedish krona ($90 million) in total, including unpaid VAT of 932 million krona ($85.4 million) and tax surcharges of approximately 57.9 million krona ($5.3 million). Although some firms appealed against the demand, the administrative court upheld the appeals of only two mining firms. In November 2023, crypto mining firm Hive Digital Technologies acquired a commercial property and a data center in Boden, Sweden, to expand its...