Bitpush editors handpick the following Web3 news for you every day:
[Bloomberg: Tether plans to raise $20 billion, with a valuation of $500 billion]
According to Bloomberg, Tether is seeking to raise up to $20 billion in a private placement. This massive fundraising would bring its valuation to approximately $500 billion, putting it on par with OpenAI and SpaceX. Tether will issue new shares, and Cantor Fitzgerald will serve as lead advisor.
Tether's USDT has a market capitalization of approximately $172.8 billion, making it the most valuable stablecoin. Circle, which recently went public in the US, is the issuer of USDC. According to CoinMarketCap, USDC ranks second in market capitalization at $74 billion.
The rate hike report comes as Tether recently announced a second-quarter net profit of $4.9 billion, with reserves exceeding $162.5 billion and liabilities of $157.1 billion. Additionally, it holds approximately $8.9 billion in Bitcoin in its reserves.
Bloomberg News said that the deal talks are at an early stage and the final financing amount may be significantly lower. In the past few weeks, potential investors have reportedly been given access to its data to facilitate the deal.
[The U.S. CFTC launches a tokenized collateral program, allowing the use of stablecoins as margin for derivatives trading]
On September 23rd, Acting Chairwoman Caroline D. Pham of the U.S. Commodity Futures Trading Commission (CFTC) announced the official launch of the Tokenized Collateral Initiative in Derivatives Markets, allowing traders to use digital assets such as stablecoins as margin. The initiative, aimed at improving market efficiency and transparency, is a key initiative of the CFTC to modernize capital markets and implement the recommendations of the Digital Asset Markets Working Group.
The CFTC launched a pilot program for non-cash collateral in February of this year, in collaboration with Circle , Coinbase , and Ripple . The program is now open for industry feedback, with a deadline of October 20th. Pham emphasized that "tokenization represents the future," and the CFTC will continue to promote responsible innovation.
[ Federal Reserve mouthpiece: Powell believes interest rates are still tight, which may open up room for further rate cuts]
According to Jinshi, Nick Timiraos, a reporter for the Wall Street Journal who is known as a mouthpiece for the Federal Reserve, wrote:
Federal Reserve Chairman Jerome Powell said that even after last week's rate cut, he still believes the Fed's interest rate stance remains slightly tight, suggesting there is room for more rate cuts this year if officials continue to judge that recent labor market weakness outweighs setbacks in inflation. Powell generally reiterated the views he expressed at a press conference following last week's rate cut. He emphasized the challenges the Fed faces in achieving its twin goals of keeping inflation low and stable and promoting a healthy labor market. Powell said: "Two-way risks mean there is no risk-free path. Cutting rates too much, too fast could keep inflation closer to 3% than the Fed's 2% target, while maintaining a restrictive policy stance for too long could unnecessarily weaken the labor market." Powell also reiterated his view that slowing job growth this summer made last week's policy shift warrant a greater focus on the labor market than earlier this year. The slightly tighter rate setting puts the Fed in a good position to respond to potential economic developments.
FTX Bankruptcy Custodian Sues Genesis Digital for $1.15 Billion in Investments
FTX Recovery Trust has filed a lawsuit against Bitcoin mining company Genesis Digital Assets (GDA) in the Delaware Bankruptcy Court, seeking to recover $1.15 billion invested by former FTX CEO Sam Bankman-Fried (SBF).
The trustee's lawsuit alleges that the investment represents "one of SBF's most reckless acts of commingling and misappropriation of funds." It also accuses GDA of providing materially misrepresented unaudited financial statements and failing to disclose significant risks, including power outages in Kazakhstan, political unrest, and new tax policies. A GDA spokesperson declined to comment.
SBF had previously been sentenced to 25 years in prison for defrauding FTX clients and investors of approximately $8 billion in assets.
[The US SEC approved Grayscale’s Ethereum ETF under the “universal listing” framework]
The U.S. Securities and Exchange Commission (SEC) has approved Grayscale’s Ethereum ETF under its new “universal listing” framework.
CZ : FT report is false; YZi Labs has not sought external financing.
CZ responded to the Financial Times report on social media, calling it false and fabricated information. He emphasized that YZi Labs has not sought external funding and has not solicited or held discussions with any investors since its rebranding. The project has never produced or presented a pitch deck, nor does it have a so-called "demo." Furthermore, YZi Labs is not a spinoff from Binance.
He further clarified that he pleaded guilty only to failing to maintain adequate anti-money laundering (AML) compliance procedures, not to "money laundering" as the media had alleged, saying the two were completely different in nature. He said that traditional media outlets were deliberately confusing the concepts of "regulatory failure" and "theft."
The founder also pointed out that the FT had tried to obtain a positive response through a lunch interview, but the final report did not match the promise, so he questioned its ethics.
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