THIS WEEK IN CRYPTO: BINANCE FOUNDER FACES 3 YEARS JAIL SENTENCE

MXC Official
3 min readApr 26, 2024

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Welcome to This Week in Crypto, your essential source for the latest news and insights on cryptocurrency and blockchain tech. In this edition, we’ll delve into these topics:

1. Hong Kong Greenlights Bitcoin and Ether ETFs: Trading Begins April 30
2. Binance Founder Faces 36-Month Jail Sentence, U.S. Prosecutors Demand
3. ‘Epic Sat’ from Fourth Bitcoin Halving Block Sells for $2.1M
4. Solana Mobile Pre-order Profit? Memecoin Airdrops Exceed Device Cost Briefly

Hong Kong Greenlights Bitcoin and Ether ETFs: Trading Begins April 30

Hong Kong’s financial regulator has approved the first spot Bitcoin and Ether ETFs for trading, signaling a significant development in the region’s cryptocurrency market. The Securities and Futures Commission (SFC) announced the approval, paving the way for trading to commence on April 30.

China Asset Management’s (ChinaAMC) Bitcoin and Ether-based ETFs are among the approved offerings set to launch on the designated date. These ETFs provide both retail and institutional investors with a regulated framework to invest in digital assets securely and conveniently.

The in-kind creation feature of these ETFs, unlike the cash-only model of U.S. ETFs, is expected to attract investors and potentially increase assets under management. Additionally, the launch of these ETFs may trigger a fee war among issuers, as fees for the first batch of ETFs are already lower than expected.

Binance Founder Faces 36-Month Jail Sentence, U.S. Prosecutors Demand

The founder of Binance, Changpeng “CZ” Zhao, is facing the possibility of a 36-month jail sentence as U.S. prosecutors seek punitive action against him for violating money laundering laws. The sentencing is scheduled for April 30, following Zhao’s guilty plea in November 2023.

According to court filings, prosecutors argue that given the magnitude of Zhao’s willful violation of U.S. law, an above-guideline sentence of 36 months is warranted. This request comes after Zhao pleaded guilty to violating money laundering requirements and stepped down from his position as CEO of Binance.

Zhao and Binance agreed to pay a $4.3 billion fine to the U.S. government to settle the criminal case, allowing Binance to continue operating while complying with U.S. laws. Despite stepping down from his role at Binance, Zhao remains active in the cryptocurrency industry, recently launching an educational project focused on crypto and blockchain.

‘Epic Sat’ from Fourth Bitcoin Halving Block Sells for $2.1M

An exceptionally rare satoshi, mined from the fourth Bitcoin halving block, has sold for 33.3 Bitcoin (BTC), equivalent to approximately $2.13 million. The sale took place on cryptocurrency exchange CoinEx Global, garnering significant attention within the Bitcoin community.

The auction, which commenced on April 22, attracted 34 bids before an unidentified bidder secured ownership rights to the “epic sat,” designated as sat number 1,968,750,000,000,000. This sale underscores the growing interest in rare collectible sats within the Bitcoin ecosystem.

While an ordinary satoshi is currently valued at $0.00065, certain sats hold inherent collectible value due to their unique identifiers and scarcity. As periodic events occur within the Bitcoin network, scarcity is naturally promoted, further enhancing the value of these rare sats.

Bitcoin enthusiasts can use specialized explorers to verify ownership of rare sats and transfer them to supported wallets for safekeeping. The sale of the “epic sat” exemplifies the evolving dynamics of the Bitcoin market, where collectible assets continue to attract significant attention and value.

Solana Mobile Pre-order Profit? Memecoin Airdrops Exceed Device Cost Briefly

Pre-order holders of Solana’s ‘Chapter 2’ mobile phone had a brief opportunity to profit from the yet-to-be-released device, as memecoins airdropped to buyers briefly exceeded the cost of the phone. The airdrops from two cat-themed memecoin projects, Cat in a Dog’s World (MEW) and Maneki (MANEKI), provided pre-order holders with tokens that briefly exceeded the device’s upfront cost of $450.

The MEW airdrop, which took place on April 1, saw each holder receive 37,600 tokens. At its peak post-airdrop price of $0.0089, this allocation was worth $334. Similarly, the MANEKI airdrop on April 24, which distributed 5,199 tokens to each holder, briefly reached a peak price of $0.269.

Combined with other memecoin projects, including Wuffi (WUFFI), the total value of airdropped tokens exceeded the device cost, allowing pre-order holders to profit and even make additional earnings. However, the value of these memecoins has since fluctuated, underscoring the speculative nature of the cryptocurrency market.

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MXC Official

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