CoinMarketCap News, Jan 16: Revealed — Why Brett Harrison REALLY Left FTX US

It's fair to say that there's a lot on the to-do list. The real risk of a global recession will be at the forefront of many minds — not to mention the cost-of-living crisis that's engulfed many major economies. Too many central banks have found it impossible to bring red-hot inflation under control, despite introducing brutal interest rate hikes.

And just one year ago, FTX was being heralded as the poster child of a crypto business done right — a model that others in the industry could aspire to. There may be red faces among those who trusted Sam Bankman-Fried, who's now under house arrest in California after his empire collapsed.

While there have been some green shoots in the crypto markets over recent days, there's little doubt that regulation of this fast-moving space will also be on the agenda in Davos. The many bankruptcies of 2022 underline the need for consumer protections — and policies to eliminate bad actors in the space.

A few years ago, Bitcoin was all too often dismissed as a joke by bankers in pin-striped suits at these events, but the 2020 bull run had seen digital assets start to be taken more seriously. It'll be interesting to see whether the sector's recent drama will undo a lot of the progress that had been made. Some central bankers may end up using FTX as a pretext for clamping down on this asset class much more aggressively.

I'm not a betting man, but I wouldn't bank on meaningful progress being made in the debate over crypto regulation in the days to come. Some countries are keen on Bitcoin, others aren't. This lack of unity makes it difficult for the whole world to reach an agreement on how to keep the industry in check.

The former president of FTX US has published a brutal 49-part Twitter thread that described what it was like working for Sam Bankman-Fried. Brett Harrison accused the 30-year-old of "hostility, gaslighting and manipulation" — and claimed their business relationship quickly "reached a point of total deterioration." He quit after just 17 months — and says decisions about the U.S. business were being made in The Bahamas without consultation. Harrison claims SBF was insecure, spiteful and foul-tempered — and hated confrontation. But crucially, Harrison says he wasn't part of the inner circle that was allegedly misusing customer funds — adding that he would have reported such activity right away if he had been suspicious.

Prosecutors will be rubbing their hands with glee following Sam Bankman-Fried's lengthy post on Substack, according to legal experts. According to Law360, a number of white collar lawyers have described SBF's in-depth article as "nightmarish" for his legal team — amid fears that it effectively amounts to "communicating their future defense aloud and locking them into it." Others suggested that it's highly likely that Bankman-Fried's attorneys wouldn't have wanted him to go into such granular detail. "Prosecutors love when a defendant provides so much information. If any of his comments are inconsistent with documents or testimony from other individuals, the government will pounce," lawyer Sean Shecter said.

Bitcoin is starting a new week on a strong footing after successfully cracking $21,000. The world's biggest cryptocurrency hit highs of $21,345.25 over the weekend, CoinMarketCap data shows. That's 37% higher than the 52-week lows of $15,599 that were recorded in the immediate aftermath of FTX sliding into bankruptcy. All of this could fuel optimism that a punishing bear market could finally be at an end — and for this to be confirmed, BTC will need to remain above $18,718 for at least one month. In an especially significant development, the Crypto Fear and Greed Index flashed a "neutral" score of 52 on Sunday — its highest score in over nine months. BTC's up 20% on the week, and 27% since the year began.

Four Britons have been jailed after being convicted of a $26m crypto fraud. Vast amounts of Bitcoin were stolen after a loophole was discovered in an Australian crypto exchange. The mastermind of the plot died before criminal charges could be brought against him. Pictures shared online showed bundles of cash and gold bars derived from this fraud, as well as luxury watches. Specialist prosecutor Jonathan Kelleher said: "These offenders used the internet from the comfort of their own homes to obtain tens of millions of pounds worth of Bitcoin which did not belong to them. Cyber-enabled crime presents an increasing threat to international economic stability, as well as to honest individual investors in cryptocurrency."

Bitcoin is starting a new week on a strong footing after successfully cracking $21,000. The world's biggest cryptocurrency hit highs of $21,345.25 over the weekend, CoinMarketCap data shows. That's 37% higher than the 52-week lows of $15,599 that were recorded in the immediate aftermath of FTX sliding into bankruptcy. All of this could fuel optimism that a punishing bear market could finally be at an end — and for this to be confirmed, BTC will need to remain above $18,718 for at least one month. In an especially significant development, the Crypto Fear and Greed Index flashed a "neutral" score of 52 on Sunday — its highest score in over nine months. BTC's up 20% on the week, and 27% since the year began.

Four Britons have been jailed after being convicted of a $26m crypto fraud. Vast amounts of Bitcoin were stolen after a loophole was discovered in an Australian crypto exchange. The mastermind of the plot died before criminal charges could be brought against him. Pictures shared online showed bundles of cash and gold bars derived from this fraud, as well as luxury watches. Specialist prosecutor Jonathan Kelleher said: "These offenders used the internet from the comfort of their own homes to obtain tens of millions of pounds worth of Bitcoin which did not belong to them. Cyber-enabled crime presents an increasing threat to international economic stability, as well as to honest individual investors in cryptocurrency."

Yet another crypto influencer has suffered a devastating hack — showing anyone can be a target. NFT God lost a "life-changing" chunk of crypto after he accidentally clicked on a Google Ad that was riddled with malware. Worse still, hackers then posted scam links to his Twitter followers — and emailed them to his 16,000 subscribers on Substack. Describing what happened over the weekend, he said: "I sat on the couch numb. I knew this was only the beginning. This wasn't a wallet compromise. My entire digital livelihood was under attack." NFT God said that he made a "critical mistake" when it came to storing his digital assets — as his Ledger had been set up as a hot wallet rather than a cold wallet.