In 2022 several crypto-based companies filed for bankruptcy, the sudden surge in the rate of bankruptcies was seen due to some major unprecedented events like the FTX collapse, Terra failure, and others which collectively wiped out billions of dollars from the market.
In a recent development, the financial regulator of California has permanently revoked the license of collapsed crypto lender BlockFi.
The California Department of Financial Protection and Innovation (DFPI) has most recently revoked the license of the lender after two years of its bankruptcy.
As per the official announcement of DFPI, the decision came following the examination of regulators after the bankruptcy of the crypto lending firm.
As per the arguments by the financial regulators, BlockFi was also found breaching California Financing Law (CFL), which is also one of the reasons for the suspension of its license.
Some leading finance experts argue that FTX’s bankruptcy is one of the secondary reasons that led to the collapse of BlockFi.
The company was allegedly having direct and indirect exposure with FTX and its founding teams, which led to the disturbance in BlockFi’s business worldwide.
The commissioner of DFPI, Clothilde Hewlett said “While we encourage innovation in our financial marketplace, companies must comply with laws and protect consumers to continue operating in California.”
According to more details, BlockFi has promised to stop engaging in any risky or unlawful business operations and has consented to accept the license revocation. Because BlockFi is insolvent and no longer in business, the DFPI decided to waive the $175,000 punishment it had previously imposed on the firm in order to put consumer protection first.
Crypto Market Price Updates!
As of writing, the cryptocurrency market capitalization was $2.5 trillion with steadiness in the past 24 hours. At the same time, Bitcoin was trading at $76, 069 growing over 1.45 percent, yet a decline of 14 percent has been observed in the past 24 hours.
It is worth noting that BTC’s market has grown more than 10 percent in the past few trading sessions reaching $1.50 trillion. As per finance experts, the current bullishness in BTC could help it to surpass its all-time high of $76,943.
Bitcoin continued to rise after Donald Trump was elected, approaching $76,000. Ethereum and Solana also witnessed increases, going up 7% and 4%, respectively.
In general, lower rates increase investors’ willingness to take on risk, which propels the cryptocurrency industry forward. The Fed’s rate decrease boosts demand for riskier assets, which contributes to Bitcoin’s attractiveness and probably drives its upward trend.
Higher levels are at $80,350 and $82,180, with immediate resistance at $77,800. Support is seen around $73,610 on the downside, with further levels at $72,120 and $71,000.
Until publishing BTC was trading above 20, 50, 100, and 200 days EMA, and at the same time its market dominance has reached roughly 58 percent making it one of the most prominent players among all registered cryptocurrencies.
