Today's Top Crypto Headlines:

Good Morning Crypto Enthusiasts!

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

1. Germany sends $28 million more in Bitcoin to Bitstamp and Coinbase: Germany's $2.2 billion Bitcoin reserve, equivalent to 9% of recent daily trading volume, may trigger market volatility, according to Arkham Intelligence.

2. Canada to Sanction LiquiTrade Over Regulatory Breaches: LiquiTrade's Latoken exchange, which reportedly processed $300 million daily for 1.5 million users, has been ruled illegal in Canada by the BCSC.

3. Japan's Metaplanet Increase Bitcoin Holdings: Metaplanet has purchased an additional 42.466 Bitcoin for 400 million yen (approximately $2.48 million USD), with each Bitcoin acquired at an average price of 9,419,300 yen (approximately $58,534 USD).

4. Tether CEO Sounds Alarm on AI's Potential Dangers: Tether CEO Paolo Ardoino recently took to the social media platform X to warn about the dangers of centralized large language models (LLMs). 

News Highlights:

Germany sends $28 million more in Bitcoin to Bitstamp and Coinbase [SOURCE] 

On Monday morning, the German government proceeded to transfer Bitcoin from its reserves to cryptocurrency exchanges, sending roughly $28 million worth of Bitcoin to Coinbase and Bitstamp.

Addresses that the cryptocurrency analytics company Arkham connected to the German government sent 250 BTC apiece to Coinbase and Bitstamp. A second 500 BTC transaction totaling $28 million was also made to an unknown address. 

The German government has over $2.23 billion worth of Bitcoin, mostly seized during a January piracy bust.

Canada to Sanction LiquiTrade Over Regulatory Breaches [SOURCE] [SOURCE] [SOURCE]

A panel set up by the British Columbia Securities Commission (BCSC) has found LiquiTrade guilty of running an illegal exchange in Canada. 

LiquiTrade’s Latoken crypto exchange was initially accused of violating Canada’s Securities Act in November 2022 when it processed $300 million in daily transactions for its 1.5 million user base.

Investigating the Latoken crypto exchange

Nearly two years into the investigation, a BCSC panel found LiquiTrade violating the Canadian securities legislation:

“LiquiTrade has never been registered in any capacity under the Act, and there is no recognized exchange or clearing agency in British Columbia operated by LiquiTrade or using the name LATOKEN.”

Canadian agency cites multiple violations

The BCSC panel found that LiquiTrade enabled users to trade contractual rights of underlying crypto assets considered derivatives investments.

As a result, LiquiTrade was required to be registered under the Securities Act before it could legally facilitate contract trading in Canada, specifically British Columbia. The statement added:

“The panel also found that LiquiTrade was operating as an exchange. But it was not authorized to do so by the BCSC, as required by the Act.”

As of March 2024, Canada has banned four crypto exchanges, including Catalyx, KuCoin, Poloniex and XT exchange. On the other hand, 15 crypto trading platforms are authorized to operate in the region, which includes BuyBit, Coinbase, and Fidelity.

Japan's Metaplanet Increases Bitcoin Holdings [SOURCE] [SOURCE]

Japanese company Metaplanet Inc. has purchased an additional 42 Bitcoin, valued at $2.4 million, defying recent volatility in the cryptocurrency market. This move increases Metaplanet's total Bitcoin holdings to 203 BTC and aligns with the company's broader goal of capitalizing on international growth opportunities while hedging against Japan's ongoing economic challenges, including a weakening yen. 

Dylan LeClair, Metaplanet’s Director of Bitcoin Strategy, explained the company’s approach:

“Japan’s favorable environment for Bitcoin adoption presents a unique opportunity for corporate strategy and growth.”

The company's proactive Bitcoin accumulation strategy has been met with positive investor sentiment, as evidenced by a slight increase in Metaplanet's stock price following the announcement.

Tether CEO Sounds Alarm on AI's Potential Dangers [SOURCE] [SOURCE] 

Tether's Chief Technology Officer, Paolo Ardoino, voiced his alarm over recent reports of a significant security breach at OpenAI, a leading artificial intelligence company, earlier this year. The breach, which was reportedly not disclosed by OpenAI, allegedly resulted in the exposure of sensitive information, as detailed in a recent report by The New York Times.

Leopold Aschenbrenner, a former researcher at OpenAI, criticizes the business for having insufficient security protocols that leave it open to attack by entities with ties to foreign governments. According to Aschenbrenner, the AI chief cut relations with him due to political differences. 

Even though OpenAI maintains that its current technology poses no threat to national security, there are still worries that the company's trade secrets could fall into the hands of China. 

Crypto Meme of the Day: 

And that’s it for this today. 

With all of the recent hacks taking place, remember to protect your crypto assets with today’s sponsor Trezor hardware wallets.

See you all in tomorrow’s edition!