Hello Crypto Enthusiasts!

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

Here are the top stories of the day:

1. SatoshiVM Token Drop: Following a controversial allocation with Ape Terminal, SatoshiVM's token value plummets by 38%.

2. SEC Postpones Ethereum ETF Decision: The SEC delays its ruling on BlackRock’s proposed Ethereum ETF, reflecting ongoing regulatory uncertainty.

3. Travel Denial for Changpeng Zhao: Former Binance CEO's request for UAE travel denied by U.S. court, highlighting legal complexities.

4. Magic Eden Expands Rewards: NFT marketplace Magic Eden grows its user rewards program, moving towards greater transparency and community involvement.

5. Feature of the Day - Hut 8 Counters Short-Selling Report: Hut 8 Corp. disputes a negative short-selling report, defending its merger and business practices.

   All this and more in today’s headlines!

📰 News Highlights:

SatoshiVM Token Faces 38% Dip Amid Ape Terminal Controversy🐒 [Source][Source][Source][Source][Source]

Controversy surrounds the newly launched SatoshiVM (SAVM) token, which experienced a significant 38% decline. The dispute emerged from allegations made by "MacnBTC," an advisor to SatoshiVM, against Ape Terminal, a decentralized exchange (DEX) fundraising platform. 

“MacnBTC,” claims to be one of SatoshiVM’s advisers

The accusation suggests that Ape Terminal unfairly distributed all 210,000 SAVM token allocations to its team members instead of impartially selecting winners from a pool of entrants during the SatoshiVM Initial DEX Offering (IDO). Ape Terminal vehemently denies the claims, asserting that MacnBTC, in fact, profited from token sales and engaged in questionable practices. The dispute has prompted on-chain investigator ZachXBT to criticize both parties for acting dishonestly, raising concerns within the crypto community.

The SAVM token's value plummeted by 38%, reaching $6.28 in a three-hour window following MacnBTC's initial post on Jan. 24. However, it has since rebounded to $7, underscoring the volatility and uncertainty surrounding the token amid the ongoing controversy.

SEC Delays Decision on BlackRock’s Spot Ethereum ETF to March⏰ [Source][Source][Source]

The U.S. Securities and Exchange Commission (SEC) has postponed its decision on BlackRock's proposed spot Ether (ETH) exchange-traded fund (ETF) a day ahead of the deadline. Citing the need for additional time to review the proposed rule change, the SEC has extended the deadline for a final decision on BlackRock's spot Ether ETF.

Analysts anticipate sporadic delays in spot Ether ETF applications until May, with multiple final decision deadlines approaching during that period. The delay underscores the regulatory scrutiny surrounding crypto-related financial products, and industry experts like Bloomberg ETF analyst Eric Balchunas predict a collective decision on pending spot Ether ETFs in May.

While the SEC must make a final decision on BlackRock's spot Ether ETF by Aug. 7, concerns persist within the industry about the regulatory stance and the likelihood of approval for spot Ether ETFs.

Changpeng Zhao's Attempt to Pledge Binance Stake for Travel Denied by Court✈️ [Source]

Former Binance CEO Changpeng Zhao's request to temporarily travel to the United Arab Emirates (UAE) was denied by a U.S. court, despite offering his multibillion-dollar stake in Binance.US as security.

Unsealed court documents reveal that Zhao offered his Binance.US equity, valued at $4.5 billion based on a funding round two years ago, to secure permission for a short trip to the UAE. The court filing indicates that federal prosecutors did not consent to the request, leading to the denial. Zhao, who pleaded guilty to money laundering in November 2023, is currently on bail in the United States, with a sentencing date set for Feb. 23.

The court's decision sheds light on the challenges Zhao faces in seeking temporary travel and the legal complexities associated with his case, which involves a significant amount of wealth and assets.

Magic Eden Expands Rewards Program💎 [Source][Source][Source]

NFT marketplace Magic Eden is expanding its user rewards program, building upon the success of its diamond-based rewards introduced in 2023. The platform, known for its non-tradable diamonds offering benefits like lower fees and whitelist access, plans to retroactively distribute diamonds to "Solana OGs."

In a move towards transparency and community involvement, Magic Eden has decided to open-source its protocol code and grant governance rights to the newly-formed Non-Fungible DAO. This step aligns with the broader trend in the crypto industry, where projects use non-trading points to motivate user behavior amidst increasing regulatory scrutiny. The expansion of the rewards program aims to give back to Magic Eden's original users, creators, and collectors, emphasizing a strategic approach beyond a typical points campaign.

While Magic Eden's program has sparked interest, some users express frustration regarding the ambiguity surrounding the utility of diamonds, which are not evidently tradable.

💡 Feature of the Day:

Hut 8 Challenges Short-Selling Report, Labels it as Misinformation 📉 [Source][Source]

Hut 8 Corp. has responded to last week's report from JCapital Research, labeling it as a deliberate attempt to spread misinformation. The short-selling firm's report raised concerns about Hut 8's merger with US Bitcoin, suggesting it had characteristics of a pump and dump scheme.

Hut 8's Nasdaq-listed stock experienced a notable decline following the report. The mining firm refutes the allegations, citing inaccuracies, misrepresented data, speculative claims, and unfounded character attacks in the report. Hut 8 CEO Jaime Leverton criticized the short report, emphasizing the company's commitment to addressing challenges and dismissing the speculative nature of the accusations.

The response from Hut 8 reflects the broader challenges faced by publicly traded crypto-related companies in managing their reputations amidst increased scrutiny and potential market manipulation claims. The mining firm is determined to counter what it perceives as deliberate attempts to undermine its operations, finances, and management practices.

😂 Crypto Meme of the Day: 

And that’s it for this today.

See you all tomorrow’s edition!

Jonathan Gibson
UseTheBitcoin.com