• Celsius is suing StakeHound for allegedly not returning $150 million worth of crypto assets.
• The US Senate Committee on Finance is asking the cryptocurrency industry for help in understanding how to address tax challenges and opportunities presented by digital assets.
• South Korea is requiring companies to disclose their crypto holdings in financial statements starting in 2024.
Celsius Sues StakeHound
Bankrupt crypto lender Celsius has filed a lawsuit against liquid staking platform StakeHound over the latter’s alleged failure to return $150 million worth of ethereum (ETH), polygon (MATIC), polkadot (DOT) and other tokens. According to court filings, in 2021, Celsius entrusted StakeHound with 25,000 staked native ETH, 35,000 native ETH, 40 million MATIC, and 66,000 DOT. It exchanged the tokens for StakeHound’s liquid staking stTokens. “StakeHound continues to wrongfully withhold or otherwise deprive Celsius of possession of all of these valuable Native Tokens,” Celsius said, adding that “StakeHound went even further [arguing that it] “has no obligation to exchange native ETH” for the stTokens that StakeHound previously issued to Celsius, thus threatening to permanently deprive Celsius and its creditors of” the funds. StakeHound should be required to turn the tokens over to Celsius and pay damages as well as attorneys’ and other fees, the lender said.
US Finance Committee Asks Crypto Industry for Opinions
The US Senate Committee on Finance has sent a letter asking the cryptocurrency industry for help in understanding how Congress can address tax challenges and opportunities presented by digital assets. In Tuesday’s letter , Chairman Ron Wyden and Ranking Member Mike Crapo listed questions grouped into nine categories: marking-to-market for traders and dealers; trading safe harbor; treatment of loans of digital asset; wash sales; constructive sales; staking and mining; valuation and substantiation; nonfunctional currency; and reporting. The Committee will collect answers to these questions until September 8th.
Russia’s Duma Passes Digital Ruble Bill
Russia’s lower house of parliament — known as the Duma — has passed a bill that would pave way for launching its proposed digital ruble currency . The first reading was held March 17th while second reading was held April 22nd with 458 votes in favor , 1 opposed , with 1 abstaining . The bill allows Russia’s central bank — Bank of Russia — issue its own central bank digital currency (CBDC). It also sets out rules governing issuance , circulation , storage , use & transfer of CBDCs like digital rubles . Under this law , Bank of Russia would be allowed issue CBDCs directly or indirectly through authorized operators . This move could mean Russia joins ranks growing list countries exploring launching their own CBDCs including China & European Union .
Stablecoins are ‘Existential Threat’
A recent report from Standard Chartered argued stablecoins pose an “existential threat” to countries’ policy sovereignty if left unchecked . According Faisal Khan , global head group regulatory affairs at Standard Chartered : “ We see this technology potentially becoming an existential threat monetary policy making sovereignty countries if it not managed properly .” He added that governments have been slow react new technologies such as stablecoins & need think about how they can best regulate them ensure stability across financial systems .
South Korea Requires Companies Disclose Crypto Holdings
Starting in 2024 , South Korean companies will be required disclose their holdings crypto assets financial statements according draft rules from country . Companies must disclose information regarding quantity , characteristics , business models & accounting policies related sale digital assets along profits volume & market value those assets . Additionally , any sales made through these companies will be recognized profit once obligations holders met .