SEC Lawsuits And 5 Other Eventful Things In Crypto In June – NewsTo
SEC Lawsuits And 5 Other Eventful Things In Crypto In June

SEC Lawsuits And 5 Other Eventful Things In Crypto In June

Markets tell stories and this month has been fun to read. The scorching summers across the globe marked one of the most eventful months full of flurry happenings in crypto space in 2023. The advent of larger financial firms into the crypto space to SEC suing Binance, Coinbase and other crypto biggies marked an interesting series of happenings in the ever growing crypto space. This article covers a brief overview of substantial developments in the space as this eventful month comes to an end.

SEC sues Binance and Coinbase

On June 5th and 6th, SEC, the regulatory body in USA, launched a major crackdown on two of the most reckoning forces in the world of cryptocurrencies. The financial watchdog in USA accused Binance and its CEO of working deceptively to attract US customers to their international exchange and violating security laws. They alleged Binance created Binance.US as a shield for the main company and they were operating as unlicensed securities exchange in US.

They alleged that despite publicly claiming Binance.US as a separate company, independent trading company for US investors, CEO Zhao controlled the company behind the scenes.
SEC crypto crackdown: US regulator sues Binance and Coinbase

The next day, another major lawsuit followed against another big player of the industry, Coinbase. SEC filed a 101-page lawsuit in federal court alleging Coinbase of violating SEC rules for years and allowing users to trade crypto tokens that were actually unregistered securities.

Since the collapse of FTX, US regulators have started operating actively and scrutinizing the sector. However, these lawsuits set speculations floating about the US government planning their next move to regulate crypto.

Bitcoin falls below $25K

On 14th of June, crypto market witnessed a bullish market after Federal Reserve’s June meeting. Bitcoin dropped below $25,000 for the first time since March.

Federal Reserve meetings after SEC issued a crackdown on key players in crypto industry created a negative sentiment in the market. The hawkish announcement from Federal Reserves included leaving the interest rates unchanged as anticipated.

BlackRock files for Bitcoin ETF

BlackRock, the world’s largest asset manager, decided to leap into the crypto space. On June 16th, adding to a very eventful week in crypto market, Blackrock officially filed for a Bitcoin ETF (Exchange Traded Fund).

BlackRock’s application sent massive shockwaves across crypto industry, which came just after Binance and Coinbase being sued by regulators. Previously, SEC had rejected all applications for a spot Bitcoin ETF but things could be different this time. BlackRock has a fairly good track record of getting ETFs approved by the SEC.

On June 19th, speculations started rising that Fidelity, another huge financial giant, is planning to file spot Bitcoin ETF.

On the other hand, amidst the plummeting situation of Binance, Coinbase and other major crypto exchanges after SEC launched lawsuits against them, a crypto Exchange backed by Citadel Securities, Fidelity and Charles Schwab Corp went live.

Jerome Powell says Bitcoin has “staying power”

On June 21th, Federal Reserve chairman Jerome Powell said in his address that Bitcoin has “staying power” as an asset class. He also said that US central bank should play a “robust federal role” in supervising stablecoins.

Powell said, “We do see payments in stablecoins as a form of money, and in all advanced economies, the ultimate source of credibility in money is the central bank and we believe that it would be appropriate to have quite a robust federal role in what happens in stable coins going forward.”

In 2021, Powell had once advocated the use of stablecoins as a part of “payments universe”, but ruled out any other crypto assets.

SEC approves first leveraged Bitcoin futures ETF and Bitcoin soars past $31,000

SEC approved the first leveraged Bitcoin futures ETF on June 23rd. Volatility Shares 2x Bitcoin Strategy ETF (BITX)  will launch on the Chicago Board Options on June 27.

As per the SEC filing, BITX “seeks investment results that correspond to two times (2x) the return of the Chicago Mercantile Exchange (CME) Bitcoin Futures Daily Roll Index.”

The BITX fund is designed to be a leveraged ETF, which utilizes debt or financial derivatives, specifically Bitcoin futures, to increase the potential returns of a benchmark index. By employing leverage, the fund aims to magnify short-term profits for investors. However, it’s important to note that this increased leverage also carries the inherent risk of substantial losses.

After BlackRock’s application for the first ever Bitcoin spot ETF, Bitcoin started an upward rally and soared as high as $31,000 on June 23rd. By the time this article was written, Bitcoin price surge sits at $30,480.20. 


Amidst a busy month for crypto community to cover the developments in the sector, this be a sign of the tides turning for the SEC’s fated turbulence ahead with crypto. However, Bitcoin sees a pleasant upsurge as BlackRock application for spot ETF rallies the currency to the driver seat in the bullish market.

However, for a long time, the crypto community feared that “big institutions are coming”. Well, they are finally here.

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