The Daily Crypto News covers the civil lawsuit filed by the State of New York against Celsius Network founder Alex Machinski for alleged fraud, accusing him of violating the state’s Martin Act, and ordering him to pay damages restitution and discouragement. Celsius, which claimed to be a safe alternative to banks for customers’ assets, filed for Chapter 11 bankruptcy after freezing withdrawals from 1.7 million customers, of which 26,000 were New Yorkers. The court ruled that all the money is officially the company’s assets, dashing customer hopes of retrieving their funds. The video also covers the Binance critic who claims that CEO CZ continuously manipulates the price of Binance Coin.
Hey guys, what is up? It’s Dusty here, and welcome back to another episode of the Daily Crypto News. Some interesting things need to be covered today, so make sure that you, well, I guess pay attention. And guys, if you’re enjoying these daily crypto videos, make sure that you press that like button. Again, it is greatly appreciated.
New York Sue’s Celsius Network Founder Alex Machinski and the Alleged Fraud
First of all, I needed to place a little update on a very peculiar story. The story is as follows: New York Sue’s Celsius Network founder Alex Machinski and the alleged fraud. Please understand that this is a pretty crazy situation, but you can see it for yourself. New York Zoo Celsius net or founder, and this most likely comes as a, well, no, it actually doesn’t come as a surprise after earlier today we noticed that hey Celsius with all their assets was supposed to be a safe alternative to banks but in turn, whenever you deposited money into there, you basically gave it away to them as well. It doesn’t belong to you anymore; it’s officially their assets. That’s exactly what the court ordered today, and obviously, people were not too happy with that, and things started rolling. And even though I’m not saying that this is a conclusion, apparently the civil lawsuit filed in New York state court in Manhattan seeks to ban Machinski from doing business in New York and having paid damages restitution and discouragement. It accuses him of violating the state’s Martin act, which gives James broad power to pursue securities fraud cases and other laws. Now Machinski promised to lead investors to financial freedom but let them down a path of financial ruin, James said in a statement. Making false and unsubstantiated promises and misleading investors is legal. Machinski, his lawyers, and lawyers for Celsius did not immediately respond to requests for comment. And Celsius based in Hoboken, New Jersey, filed for Chapter 11 bankruptcy earlier. They did that one month after they froze withdrawals from 1.7 million customers, of which 26,000 New Yorkers. And again, as you guys know, they just got ruled on today, and all the money is for them to basically keep to help in their restructuring. So people will not be getting the money back. As well, it is Celsius’s money now. And again, guys, I don’t want to be that guy, but if you’re still not using a hardware wallet, check out the link down below and get yourself a Ledger. It’s personally what I use and well, it’s one of the best things out there.
Use Juicy Exchanges and XRP on Bitmart
Second and in importance is use some juicy exchanges. Now, go for the goofed up ones. I personally use BuyBit and BitGet. Those are my favorite ones. And I saw today, for example, that apparently over $600,000 worth of XRP was traded today on major exchanges as XRP got listed onto BitMart. I don’t use BitMart, it’s the truth. So I’m not gonna sit here and tell you, “Hey guys, whoa look how amazing this is, go check it out.” Nah, I’m telling you guys exactly what I am using myself and what I trust with my money. Will I always be right? No, I’m human, but I just never liked BitMart’s attitude. And until they change up and give me some more insight information which the other exchanges are usually happy to do, like Binance, BuyBit, and all those, I’m not really willing. But that might soon change. Again, guys, if they ever convince me, I’ll also let you guys know, which I usually do. In the same sense that KuCoin, for example, I’m not against, but I took my money off, and so I took the link away, and I told you guys to also get off there because they were being a little bit vague a couple of months ago. Now in the wake of all these companies falling down in the wake of FTX, they showed some resiliency. They looked to be pretty good. And eventually, I might start working with them again. I might put my money back on, but for right now, I have nothing with KuCoin. And when I do, I’ll tell you. Then again, it’s pretty good for XRP to get a little bit of volume like that. It’s not a lot of money, necessarily. It’s just pretty good that they’re still getting new exchange listings, I guess, as all these exchanges were taking them off, so for them to get on top of something, that’s a pretty big deal.
BNB Price Manipulation and Solvency
Something that I also came across today, which I was hesitant to post, was this: “Binance critic says CZ continuously manipulates the price of BNB. Verified Twitter user, what does that mean, claims using BNB price as an indicator of solvency is era’s.” Mike Alvarez added that BNB price only represents what Binance CEO wants. Now, Mike Albert argued that crypto enthusiasts using BNB as a primary indicator of health and solvency are greatly mistaken. I don’t know anybody who does that, all right? If you’re linking BNB’s price to Binance’s health, I’m not sure exactly what’s wrong right there. BNB is a complete ecosystem. People are forgetting that BNB is not just merely a token for Binance anymore. It is huge now. He asserted that the price of BNB merely represents what the CEO CZ wants to be seen until the next liquidity shock hits. I also disagree with that partially. The Binance critic also brought the account of the legendary The Big Short trade of Michael Burry and John Paulson in 2008. “If you’re using the price of BNB as your primary indicator of health and solvency, you’ll be completely blindsided by what is likely to happen next. The BNB price is a representation only of what cc wants you to see until the next liquidity shock hits. Now, the reason I got to give him a little bit of credit is that people often seem to misunderstand the amount of power that people in this world might have. For example, could CZ manipulate the BNB price or even the Bitcoin price? Sure, in the same sense that Sam Beckman Frey heavily manipulated Solana and Serum FTT, but also, well, potentially the BNB or even Bitcoin price. All these big institutions have the power to do so. I’m not so sure that why he’s making such a big deal out of this because this is not new information. The fact that Binance is able to manipulate the BNB price if they wanted to is very logical, in the same sense that Apple could manipulate the Bitcoin price, the any entity with more value than the entirety of the crypto market cap…
That’s all for today’s episode of the Daily Crypto News. We covered some updates on the Celsius Network founder’s alleged fraud, juicy exchanges to use, and deception in the BNB price and solvency. Don’t forget to like and subscribe for more daily crypto news.