Also today, why an experiment on Twitter suggests crypto bros "are too gullible for their own good."
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A high-profile account on Crypto Twitter says it's far too easy to scam people — and has performed an experiment to prove it. Fat Man Terra advertised a fake investment scheme with "intentionally obscure" details. He claims to have received 5.5 BTC in just two hours, worth over $100,000 at current market rates. In a thread, he warned "crypto bros are far too gullible and trusting for their own good." He added: "I want to send a clear, strong message to everyone in the crypto world — anyone offering to hand you free money is lying. It simply doesn't exist. Your favorite influencer selling you quick money trading coaching or offering a golden investment opportunity is scamming you." All of those who transferred BTC have received a full refund, he added.
Binance has announced that it plans to automatically convert balances of three major stablecoins into its own dollar-backed asset: Binance USD. From Sept. 29, customers who hold USD Coin, Pax Dollar and TrueUSD will see funds moved into BUSD. However, the world's biggest exchange — which is the parent company of CoinMarketCap — says users will still be able to make withdrawals in USDC, USDP and TUSD. This could have significant ramifications for USDC's standing in the stablecoin market. CoinMarketCap data shows Tether leads with a market cap of $67.5 billion, making it the third-largest cryptocurrency in the world. USD Coin has a market cap of $51.5 billion, meaning it is fourth in the rankings.
A crypto-friendly candidate has lost the race to become the United Kingdom's next prime minister. Rishi Sunak — a former finance minister who spearheaded plans to recognize stablecoins as a valid payment method — was defeated by Liz Truss. During his time as chancellor, Sunak also declared that the Royal Mint — which is responsible for making the country's coins — would release an NFT this year. But Truss, who will succeed Boris Johnson after meeting the Queen today — has made promising statements about in the past. Back in 2018, she had tweeted: "We should welcome cryptocurrencies in a way that doesn't constrain their potential. Liberate free enterprise areas by removing regulations that restrict prosperity."