Good Morning Crypto Enthusiasts!

Glad to have you back for another edition of the UseTheBitcoin.com newsletter.

1. Tron Foundation Challenges SEC Lawsuit: Tron Foundation challenges the SEC's lawsuit over alleged unregistered securities offerings, arguing that the SEC's jurisdiction does not extend to predominantly foreign conduct. Tron disputes the SEC's claims regarding the sale of Tron and BitTorrent (BTT) tokens, emphasizing that they were primarily sold overseas.

2. Prisma Finance Grapples with Exploit Fallout: Prisma Finance faces ongoing challenges following an $11.6 million exploit, with $540,000 still at risk from accounts yet to revoke the affected smart contract. A self-proclaimed "white hat" hacker demands public accountability from Prisma's team, withholding the return of funds until certain conditions are met.

3. Arthur Hayes Advocates for Memecoins: BitMEX co-founder Arthur Hayes defends memecoins, arguing that they play a crucial role in attracting attention and talent to blockchain networks. He highlights their potential to engage younger generations and foster innovation within the crypto space.

4. Polygon CEO Sparks Debate on Layer 3 Networks: Polygon CEO Marc Boiron sparks a discussion on the role of layer 3 (L3) networks in the Ethereum ecosystem, questioning their necessity and impact on Ethereum's value.

5. 💡Feature of the Day - Tornado Cash Developer Moves to Dismiss Indictment: Tornado Cash developer Roman Storm seeks to dismiss criminal charges alleging conspiracy to commit money laundering and violate sanctions.

6. 🫨 What’s Buzzing? Do you know anything about Backpack’s web3 wallet? Read the whole shebang from UseTheBitcoin’s latest article “Backpack Web3 Wallet Guide (Potential Airdrop)” for a chance to earn!

   
   All this and more in today’s headlines!

📰 News Highlights:

📉 Tron Challenges SEC Lawsuit 🏛️ [Source]

Tron Foundation, the force behind the layer-1 blockchain Tron, is pushing back against the U.S. Securities and Exchange Commission (SEC), arguing that the SEC's lawsuit over alleged unregistered securities offerings is an overreach. In a recent motion filed in a New York federal court, Tron Foundation contends that the SEC lacks jurisdiction over predominantly foreign conduct, emphasizing that the SEC is not a global regulator.

The SEC's legal action targets the sale of Tron and BitTorrent (BTT) tokens, acquired by Tron in 2018. Tron asserts that these tokens were primarily sold overseas, with no initial offering to U.S. residents. Moreover, Tron disputes the SEC's characterization of later secondary token sales on a U.S.-based platform as unregistered securities.

Tron's motion challenges the factual basis of the SEC's claims, arguing that the SEC fails to provide concrete evidence of wrongdoing, such as victims affected by alleged manipulative trading practices. Additionally, Tron raises concerns about the SEC's reliance on generalized claims rather than specific factual allegations.

💸 Prisma Finance Grapples with Exploit Fallout 💥 [Source][Source][Source]

Prisma Finance, a decentralized borrowing protocol, faces ongoing challenges following an $11.6 million exploit last week. Despite efforts to recover funds, Prisma reports that $540,000 remains at risk from accounts yet to revoke the affected smart contract.

Meanwhile, tensions escalate as a self-proclaimed "white hat" hacker demands public accountability from Prisma's team. The hacker, withholding the return of funds, insists on an online conference where Prisma must apologize and reveal team identities as a condition for restitution.

Prisma emphasizes efforts to secure user funds and proposes measures to mitigate losses, including reducing liquidity and staked revenue.

🚀 Arthur Hayes Advocates for Memecoins 🐕 [Source][Source]

BitMEX co-founder Arthur Hayes weighs in on the memecoin phenomenon, cautioning against dismissing these tokens as "stupid and valueless." Hayes contends that memecoins play a crucial role in attracting attention and talent to blockchain networks, thereby contributing positively to their ecosystem.

In a conversation with Real Vision CEO Raoul Pal, Hayes highlights the potential of memecoins to engage younger generations and foster innovation within the crypto space. He underscores the significance of networks like Solana and Ethereum in harnessing memecoin-driven attention for sustained growth.

While acknowledging the risks associated with memecoins, industry leaders like Hayes and Pal recognize their impact on driving adoption and fostering community engagement.

🔍 Polygon CEO’s Debate on Layer 3 Networks 🔄 [Source][Source][Source]

Polygon CEO Marc Boiron ignites a spirited discussion on the role of layer 3 (L3) networks in the Ethereum ecosystem, challenging their necessity and impact on Ethereum's value. Boiron contends that L3 networks divert value away from Ethereum, raising questions about their compatibility with the platform's scalability goals.

The debate underscores differing perspectives within the crypto community regarding the optimal approach to scaling Ethereum and maximizing its utility.

While some argue for the potential benefits of L3 networks in enhancing scalability and functionality, others express concerns about their impact on Ethereum's overall value proposition.

💡 Feature of the Day: 

⚖️ Tornado Cash Developer Moves to Dismiss Indictment 🌪️ [Source]

Tornado Cash developer Roman Storm takes legal action to dismiss criminal charges alleging conspiracy to commit money laundering and violate sanctions. Storm's legal team argues that developing Tornado Cash does not equate to money laundering, emphasizing the protocol's open-source nature and user-controlled functionality.

The motion to dismiss challenges the indictment's characterization of Tornado Cash and Storm's involvement, highlighting discrepancies in the prosecution's case.

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🫨 What’s Buzzing?:

💼 Backpack Web3 Wallet Guide (Potential Airdrop)

🌐 What Is Backpack?

• Solana-based Web3 wallet for storing, sending, and receiving cryptocurrencies.

• Focus on Executable NFTs (xNFTs) with secure gateway functionalities.

• Supports multi-currency transactions, includes built-in DEX swapping and NFT management.

• Prioritizes security with Multi-Party Computation (MPC) technology.

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Know everything about Backpack’s Web3 Wallet from UseTheBitcoin’s latest article “Backpack Web3 Wallet Guide (Potential Airdrop)” and there might be a chance for you to earn from using it more often!

😂 Crypto Meme of the Day: 

And that’s it for this today.

See you all for tomorrow’s edition!

Jonathan Gibson
UseTheBitcoin.com