Everything You Need to Know About the Big Week for Cryptocurrency

In the most recent edition of The Market Report, Marcel Pechman, an analyst and writer, discussed the fact that the inflation rate in the US has been dropping for eleven consecutive months, despite the Consumer Price Index rising by 4% compared to the same time last year. This figure is lower than the 4.9% reported in April, but is still above the desired 2% target.

Pechman then poses the issue of regulation in response to the U.S. Securities and Exchange Commission filing a lawsuit against Binance and Coinbase for purportedly breaking securities regulations by providing tokens such as BNB (BNB), Solana (SOL), Cardano (ADA), Polygon (MATIC) and Algorand (ALGO), among others.

When evaluating Binance’s response to the SEC’s endeavor to freeze its assets, Pechman asserts that the exchange is pushing back and indicating the inadequacy of some of the agency’s contentions, particularly concerning Merit Peak, the foreign trading entity. Pechman highlights that Binance.US customers will not suffer losses even if the regulators take more stringent action.

Additionally, Pechman elucidates why it is of paramount importance for the SEC to succeed in this instance, allowing for further activity, possibly including the U.S. Department of Justice. Nevertheless, his primary assumption is that there will be no effect on Binance’s international operations.

Next, the show discusses a proposed bill in the U.S. House of Representatives that seeks to remove and replace SEC chair Gary Gensler. According to Pechman, Gensler can only be removed if there is evidence of misconduct, which does not appear to be the case.

Pechman has noted that it appears to be a campaign to restrain the crypto sector in the United States, although the reasons for this are unclear. Nevertheless, the SEC is not the only organization involved, as the Commodity Futures Trading Commission, the Department of Justice, and the New York Department of Financial Services have all taken recent actions.

Pechman reminds everyone that the Hinman documents are from five years ago, so it would be unreasonable for a judge to rely on the opinion of a former SEC employee from that time to decide if XRP (XRP) is a security or not.

Be sure to tune in to the Cointelegraph Markets & Research YouTube channel every Tuesday to watch the show!