US gov’t cites Caroline Ellison’s ‘extraordinary cooperation’ before sentencing

A planned settlement between the US Commodity Futures Trading Commission and crypto exchange KuCoin will likely be delayed after a policy shift at the CFTC to deprioritize cases against crypto companies under the Trump administration. CFTC attorney John Murphy submitted a letter on April 21 to District Judge Valerie Caproni, asking for more time to secure approval for a deal negotiated under the Biden administration, reported Law360.“It appears unlikely that such authorization will be granted in the near term,” he said, referencing a recent statement by acting CFTC Chair Caroline Pham that the agency’s enforcement division was to deprioritize cases against crypto companies.The CFTC charged KuCoin with “multiple violations of the Commodity Exchange Act (CEA) and CFTC regulations” in March 2024.According to the Justice Department, which also filed charges against KuCoin and two founders for violating Anti-Money Laundering laws, the exchange received more than $5 billion and sent more than $4 billion in “suspicious and criminal funds.” KuCoin, trading under Mek Global Limited, reached a $297 million settlement with the Department of Justice in January and agreed to exit the US market for at least two years. In December, the CFTC and KuCoin informed the court that they reached an agreement in principle to settle the case, however terms and details of the proposed deal were not disclosed. In March, KuCoin asked the judge for a 14-day stay to address further negotiations in line with President Trump’s executive order curtailing enforcement actions against the digital asset industry. However, this request was denied, with the judge pressing for negotiation status updates. No majority at CFTCWhen Pham announced in February that the Commission would wind down its practice of regulation by enforcement, she also noted that terminating active cases would be more difficult to deal with.The CFTC needs a majority to dismiss a case or authorize its settlement, and there is currently no majority, with two members from each party sitting on its governing body.This could change if the Senate confirms the appointment of Trump nominee Brian Quintenz to lead the financial regulator.Both parties have requested an additional 60 days or until the Commission provides “definitive direction” on the matter. Related: US regulators FDIC and CFTC ease crypto restrictions for banks, derivativesOn April 21, the CFTC’s Divisions of Market Oversight issued a request for comment to better inform them on the potential uses, benefits, and risks of perpetual contracts in derivatives markets.“Innovation and new technology have created a renaissance in markets that presents new opportunities that are accessible to more people, as well as risks,” said Pham. Magazine: Altcoin season to hit in Q2? Mantra’s plan to win trust: Hodler’s Digest

Update: April 22 at 12:35am UTC: This story has been updated to include more details of Paul Atkins being sworn in as the SEC’s chair.Paul Atkins has officially been sworn in as the 34th chairman of the US Securities and Exchange Commission.The April 21 announcement comes nearly two weeks after Atkins’ position was confirmed by the US Senate in a 52-44 vote on April 9.“I am honored by the trust and confidence President Trump and the Senate have placed in me to lead the SEC,” said Atkins, who served as an SEC commissioner between 2002 and 2008.“As I return to the SEC, I am pleased to join with my fellow Commissioners and the agency’s dedicated professionals to advance its mission to facilitate capital formation; maintain fair, orderly, and efficient markets; and protect investors.””Together we will work to ensure that the U.S. is the best and most secure place in the world to invest and do business.”Atkins is widely expected to lead a more crypto-friendly SEC than former chair Gary Gensler under the Biden administration.Source: CointelegraphHis confirmation was reportedly delayed due to several financial disclosures that he needed to file as a result of marrying into a billionaire family. Some of those financial disclosures reportedly included up to $6 million worth of crypto-related investments, including crypto custody platform Anchorage Digital and blockchain tokenization platform Securitize.Atkins has taken over from acting chair Mark Uyeda, who helped the SEC establish a Crypto Task Force in January, aimed at strengthening rapport between the commission and industry players.The SEC has also dismissed several crypto probes and enforcement actions undertaken by the Gensler-led SEC in recent months, including cases involving Coinbase, Consensys, Gemini and Uniswap.Related: Crypto industry is not experiencing regulatory capture — AttorneyThe Atkins-led SEC currently has over 70 crypto-related exchange-traded fund applications to decide on this year, Bloomberg reported on April 21.“Everything from XRP, Litecoin and Solana to Penguins, Doge and 2x Melania and everything in between,” Bloomberg ETF analyst James Balchunas said in an X post. “Gonna be a wild year.”The recent surge in crypto ETF filings reflects a “spaghetti cannon approach” from issuers testing which products the new SEC leadership might approve, fellow Bloomberg ETF analyst James Seyffart said in February.“Issuers will try to launch many many different things and see what sticks,” Seyffart said.Magazine: SEC’s U-turn on crypto leaves key questions unanswered

Coinbase has listed futures contracts for the XRP token on its US derivatives exchange, the cryptocurrency platform said on April 21.The contracts are overseen by the US Commodity Futures Trading Commission (CFTC) and offer traders “a regulated, capital-efficient way to gain exposure to one of the most liquid digital assets,” the company said in a post on the X platform.Coinbase’s XRP (XRP) futures include standard contracts representing 10,000 XRP and retail-oriented “nano” contracts representing 500 XRP each, or approximately $1,000 as of April 21, according to regulatory filings.  The contracts are the latest crypto futures to launch on Coinbase’s derivatives exchange, which also features Solana (SOL) and Hedera (HBAR) futures contracts, both added in February. Source: CoinbaseRelated: Coinbase in talks to buy derivatives exchange Deribit: ReportBurgeoning market segmentSince 2024, US exchanges — including Coinbase, Robinhood and Chicago Mercantile Exchange — have been expanding crypto futures offerings in response to strong demand from retail and institutional investors. Futures contracts are standardized agreements to buy or sell an underlying asset at a future date. They are popular for hedging and speculation because they let traders take long and short positions, often with leverage. Coinbase lists derivatives tied to some 92 different assets on its international exchange and approximately two dozen in the US, according to its website. Its US-traded products include contracts tied to memecoins, such as Dogecoin (DOGE), and commodities, such as oil and gold. Coinbase’s stock performance vs. the S&P 500. Source: JPMorganIn December, Coinbase said derivatives trading volumes soared roughly 10,950% in 2024. The exchange is reportedly in talks to buy Deribit in a bid to expand its derivatives footprint.Coinbase launched its US derivatives exchange in 2022, bringing cryptocurrency futures — including retail-oriented “nano” contracts — to tens of millions of US users.Launched in 2012, XRP Ledger is among the oldest blockchain networks and specializes in payments and decentralized finance (DeFi) applications for institutions. As of April 21, XRP’s market capitalization stands at approximately $120 billion, according to CoinMarketCap. In March, the US Securities and Exchange Commission (SEC) dropped a years-long lawsuit against XRP Ledger’s developer, Ripple, for alleged securities law violations.Magazine: Crypto ‘more taboo than OnlyFans,’ says Violetta Zironi, who sold song for 1 BTC