Qrafty heard that JPMorgan is settling for BlackRock, Ellison is going all out and Country Garden defaults?

***Qrafty smiling the biggest smile*** Aloha, crypto curious! I am Qrafty - the crypto lovin’ honey badger 🦡 !

Welcome to Coinqraft – the daily crypto newsletter for busy but curious people who don’t have time for the crypto drama!🌟

🦡   Qrafty has fresh bits from the crypto jungle, so let’s dive in: 📰 🌟

1. JPMorgan Settles For BlackRock

2. Caroline Ellison Is On Fire

3. CZ Indicted For Fraud In Brazil

Bonus: Country Garden Defaults?

It’s On! JPMorgan Settles For BlackRock

Well, isn't this just groundbreaking? JPMorgan, along with their pals BlackRock and Barclays, have graced us with a blockchain-based collateral settlement system. BlackRock, ever the visionary, sees the potential of tokenization in simplifying margin transactions.

They've named this marvel the Tokenized Collateral Network (TCN), because, you know, we definitely needed another acronym in the mix. It's like using tokens at a vending machine instead of bothering with the archaic paper-to-coin ritual. Efficiency at its finest!

And of course, in this context, the "treat" from the vending machine refers to the lightning speed of financial transactions. If this catches on, it might just change the game for how financial institutions handle collateral. And yes, of course it will catch on because it’s JPMorgan. For now, TCN is keeping things interesting with its focus on money market funds, but who's to say it won't become the go-to for other assets like equities and fixed income? It's a brave new world, and the banks have indebted it all.

Just to finish with a bang, here’s another piece of great news from banks:

🙃 Qrafty hopes that today’s main story brought brave badgery value to you! Now it’s time for a break, you deserve a bit of fun! 😇 👇️

Caroline Ellison Really Spilled ALL The Beans

The juice coming out of the FTX trial keeps getting more and more incredible. Yesterday we found out that the curly clown had presidential ambitions and they stole customer funds. The lengths at which these posers went to maintain the appearance of control and professionalism is absolutely astonishing. Lies, lies and more lies. But wait… there’s more! A LOT more! 👇️ 

Today, we found out that Caroline Ellison & Sam Bankman-Fried conspired to keep Bitcoin under $20k by selling customer BTC. Yes, you read that right: they sold customer BTC to artificially suppress the price. They got caught.

Question is: for whom? Why did they suppress the price of Bitcoin? Who had vested interest for Bitcoin’s price to be below $20k?

Also, who else has been doing it? Better question is: who hasn’t been doing it? It’s a very safe bet to assume that Binance, Coinbase and all the other bigger players in the space did the nastiest and most vicious possible things to get the smallest edge.

And we’re still not done! Here’s more: Ellison also mentioned that Sam Bankman Fried attempted to influence Chinese officials with a hefty $40 million to release their frozen assets, hired attorneys to lobby the government, asked the exchanges to unfreeze the funds, and opened new trading accounts under the names of a couple of prostitutes.

He also engaged in deceptive practices targeting Saudi investors in FTX's final moments and deliberately sought to incite regulatory action against Binance in a bid to undermine its competition.

Even the U.S. Attorney for the Southern District of New York, Damian Williams, described this as "one of the biggest financial frauds in American history."

CZ Indicted For Fraud In Brazil

A Brazilian congressional committee has rolled out the red carpet for none other than Changpeng Zhao (CZ) of Binance. Alongside him, three other high-ranking executives have been invited to this regulatory soirée, where they're accused of donning the hats of fraudulent managers, peddlers of unregistered securities and operators of a financial institution without the proper paperwork.

Lawmaker Ricardo Silva declared that Binance is now "surrounded by suspicion." It seems the committee has dusted off their magnifying glasses and is ready for some serious sleuthing.

But that's not all! They've also beckoned the Federal Public Prosecutor’s Office to take a peek behind the curtain at Binance's local unit, charmingly dubbed Binance Capital Management.

The committee has also urged Brazil's securities regulator, the Comissão de Valores Mobiliários (CVM), to turn the spotlight on Binance’s sale of derivatives, claiming it's akin to a "repeated violation of the securities market rules."

Back in August, the securities regulator slammed the door on a 2 million reais ($396,235) settlement related to Binance’s sale of derivatives in Brazil. It seems they weren't quite satisfied with the offered concessions.

Of course, Binance did the PR move and responded with a carefully choreographed statement. They've assured everyone that they've been putting in quite the effort to dance in step with the committee, but they're not about to let the circus tent collapse. They firmly reject any attempts to make them the target of the act, especially without a shred of proof. After all, they remind us, they're the big top players, not just in Brazil, but across the globe.

Country Garden Almost Defaults, Again

Ah, the grand financial theater that is Country Garden! They're juggling a staggering $200 billion in liabilities, not to mention nearly $11 billion in offshore bonds, all dressed in the finest dollar-denominated attire.

They've been missing a few coupon payments on them dollar bonds since last month. The clock's ticking. The 30-day grace period for these payments is about to bid us adieu.

Next week, things get really interesting. If Country Garden doesn't pull a rabbit out of the hat and come up with $15 million for a September coupon by October 17th, well, let's just say it won't be receiving any standing ovations. In fact, its entire offshore debt could be stamped with a less-than-glamorous "default" label.

In a statement that could be read as both a confession and a plea for understanding, Country Garden informed the Hong Kong stock exchange that it fully expects to be fashionably late on various offshore payments, including those linked to their beloved US dollar notes. Naturally, this could lead to some rather insistent creditors demanding their dues or, if push comes to shove, taking legal action.

So grab your popcorn. Things are far from over!

Hey hey 🙃 Qrafty hopes you are enjoying the experience here and would like to regularly get Qrafty’s letters!

If so, please click on the button below. Qrafty is really really grateful to have you here, so thank you!

Tomorrow, the sneakiest philosopher, always promising profound insights, but rarely showing up for class!

Qrafty’s thought of the day

Other stories

USDR Loses Peg, Plummets to $0.50

This is a yield generating stablecoin that theoretically is backed by real estate. It looks like its treasury has been drained. Not much of a stablecoin now, is it?

Ethereum gas fees fall to new low

So much for ultrasound money. Since memecoins, DeFi, NFTs and the metaverse are in a coma, Ethereum’s gas fees are down down down. Which isn’t really a bad thing, it’s just that ETH has turned inflationary and some people can’t stand that.

UK doesn’t want fan tokens

A parliamentary committee in the UK has urged for stricter regulations on sports fan tokens and proposed that the government establish a code of conduct for NFT platforms.

Bitcoin Cash sees activity, for some reason

Looks like BCH saw the highest increase in liquidity in the third quarter, even though its price fell 23%. Why did it get that liquidity is a complete mistery.

Market Whispers

You know that saying.. "be careful what you wish for"? Well Qrafty's been talking for a few days about Bitcoin re-testing October open.

Today it went straight through it, and it barely holds $26,600 now. Looks like a good place for longs, we got a support, we got an invalidation below today's low at $27,530 but …. with CPI news tomorrow, one might think twice before longing here. Just keep your stop losses tight to avoid any liquidation surprise.

Qrafty ends channeling his inner trader.

Today is PET OBESITY DAY!

That’s all from Qrafty 🦡 for today! Qrafty thanks you and wishes you to live each moment as if you are listening to the music you love most!

If you enjoyed Qrafty’s letters, you can make Qrafty mucho happy happy and subscribe below 👇️ Wahaha!