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Bloomberg Discovers U.S. FTC’s Subpoena of Tether and Bitfinex
According to Bloomberg, the U.S. Commodity Futures Trading Commission (FTC) sent subpoenas on December 6, 2017, to Bitfinex and Tether. Both companies have the same CEO, Jan Ludovicus van der Velde. Federal authorities are going to assess if all of Tether’s coins are backed by U.S. dollars held in reserve, as the company has claimed. Neither the FTC, Tether, nor Bitfinex have provided a comment on the issue.
Hyperledger’s Sawtooth Officially Ready for Business Use
According to CoinDesk, Hyperledger’s Sawtooth software is officially ready for enterprise use. The team of 50 contributors designed Sawtooth to have modular functionality, which is supposed to enable enterprises across industries to satisfy consumer and regulatory demands. Amazon, T-Mobile, and Huawei are some of the larger enterprises that have already adopted Sawtooth in their businesses.
Samsung to Start Mass Production of Cryptocurrency Mining Hardware as Early as Today
According to TheNextWeb.com, Samsung has started to manufacture ASIC (application-specific integrated circuit) hardware designed specifically for cryptocurrency mining. Samsung will supply a Chinese mining equipment provider with the necessary hardware, who will then distribute the hardware. Reports in South Korean media suggest that mass production may be starting as early as today.
New Cryptocurrency Trading Rules Take Effect in South Korea
South Korea’s Financial Services Commission’s new rules on cryptocurrency trading took effect as of yesterday. According to MarketWatch, trading of cryptocurrencies can now occur only from established-name bank accounts, which enables banks to comply with their KYC (know your customer) and AML (anti-money laundering) requirements.
Facebook Announces Ban of ICO and Cryptocurrency Ads
According to TechCrunch, Facebook has announced a ban on ads that promote ICOs and cryptocurrency. In a blog post, Facebook’s Product Management Director, Rob Leathern, wrote that these items and events “are frequently associated with misleading or deceptive practices.” Leathern acknowledged that the policy is intentionally broad. Facebook claims it will revisit and possibly revise its policy in the future.
SEC Shuts Down AriseBank’s ICO After Co-Founders Allegedly Made Several False Claims
The SEC has shut down AriseBank’s ICO for allegedly offering and selling unregistered investment under several false pretenses. According to the SEC’s press release, AriseBank’s co-founders, Jared Rice Sr. and Stanley Ford, falsely stated that it purchased an FDIC-insured bank, falsely claimed that it gave customers the ability to obtain a Visa-card to spend any of at least 700 cryptocurrencies, and failed to disclose the criminal background of key executives.