Payment Expert’s Blockchain Bulletin analyses how the world of blockchain is constantly evolving and heavily impacting the payments industry, with cryptocurrencies, stablecoins and regulation revolutionising the space.
This week, Gemini became the latest digital asset firm to go public and is projecting a $2.2bn market cap while over in Europe, OKX has been fined by the Dutch National Bank.
Gemini aims for $2.2bn valuation after IPO launch
Gemini, the crypto exchange founded by Cameron and Tyler Winklevoss, has listed on the Nasdaq under the ticker GEMI, filing its initial public offering (IPO) with the Securities and Exchange Commission on September 2.
The IPO opened at $17 and $19 per share of Class A common stock and could raise up to $317m at top range. Selling stockholders will grant a 30 day option to purchase an additional 2.4 million and 103,652 of shares.
Gemini is reportedly seeking a valuation of up to $2.2bn following the IPO. The crypto exchange became the latest digital asset company to go public, following Circle’s IPO on the New York Stock Exchange in June, as well as Bullish on the same exchange in August.
Having endured losses during the 2022/23 crypto winter, as well as a lawsuit that has subsequently been thrown out by the SEC, Gemini will be buoyed by the performances of Circle and Bullish, with both enhancing their valuations in the first few months of going public.
OKX fined in the Netherlands over failure to register
OKX has been fined $2.6m (€2.25m) in the Netherlands after the Dutch National Bank found the crypto exchange had not been registered for a period of time.
The time period OKX was found to have not been registered with the central bank was July 2023 to August 2024. This period was before the introduction of the Markets in Crypto Assets (MiCA) regulation, according to the Dutch National Bank.
Operating under the name Aux Cayes Fintech Co., OKX’s Dutch subsidiary was required to register from early 2020 onwards to fall in line with the country’s anti-money laundering rules. It is the lowest fine of its kind handed out to a crypto exchange, according to OKX, after Crypto.com was fined $2.85m and Kraken $4m over similar offences.
US crypto spot trading receives SEC & CFTC clarity
The Securities and Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC) are working alongside each other to provide clarity over spot crypto trading.
Registered crypto exchanges will not be prohibited from trading certain spot crypto and digital asset products in the US. In a joint statement, the SEC and CFTC confirmed these products would be tradable as long as they are compliant with the Commodity Exchange Act.
The realignment of spot crypto trading under the guidance of either the SEC and CFTC aims to demonstrate how “two agencies can coordinate to promote trading venue choice and optionality for market participants,” read the joint statement.
Nick Jones, CEO/Founder of Zumo, told Payment Expert the collaboration between the SEC and CFTC is “another example of the US deliberately and proactively embedding crypto in the mainstream”.
Bybit expands crypto debit card to Europe
Bybit has launched its crypto debit card in the European Economic Area which enables users to make payments with their preferred cryptocurrencies and stablecoins, such as Bitcoin and USDC.
Backed by the Mastercard payment network, the Bybit debit card supports transfers from Apple Pay and Google Pay and is able to withdraw cash from ATMs. Bybit confirmed the card is compliant with MiCA rules.
Bybit is also offering 20% cash on purchases made with the card throughout September for European users for $100 deposits or more. The card is also able to perform rebates on subscription payments for services such as Spotify and Netflix.
El Salvador protects its $687m Bitcoin reserves
The El Salvador Bitcoin Office announced on August 29 it will be moving its $687m worth of Bitcoin reserves across multiple blockchain addresses.
The Bitcoin Office will move 500 BTC to separate addresses in a bid to protect its reserves from quantum attacks, which overrides the cryptography of a blockchain and could possibly lead to hacks, theft and fraud.
This redistribution aims to limit the exposure to quantum attacks as unused Bitcoin addresses with only hashed public keys are considered better protected against future threats.
