Bank of America Warns European Central Bank Over Digital Euro Adoption

The Bank of America has warned that the European Central Bank’s plan to launch a digital euro will have a negative impact on its banking industry.

An analyst from the Bank of America describes the move towards introducing the digital euro as “predominantly a downside risk”, stating the reduced need for third parties, monopoly, a cut into commercial bank deposits, and the substitution of current accounts for the digital currency as imminent problems.

Bitcoin Startup BitPay Files With the OCC to Create a National Trust Bank

Bitcoin payment service provider firm BitPay has filed an application with the office of the Comptroller of the Currency for permission to create and run a national bank that will be called BitPay National Trust Bank.

According to the application, the proposed national bank will be located at Georgia, and the total capitalization the national bank will receive for shares issued would be about $12 million, with 120 million shares to be issued.

Fidelity, Blockfi Partnership Offer Investors Option To Use Bitcoin As Collateral Against Cash Loans

Fidelity Digital Assets has planned to offer investors the option to use Bitcoin as collateral against cash loans. This will be done through a partnership with blockchain start-up, BlockFi.

In an interview with Bloomberg, president of Fidelity Digital Assets, Tom Jessop, said the initiative is for potential customers including hedge funds, crypto miners and over-the-counter trading desks, who wants to convert their digital assets into cash without selling.

Commenting on the partnership, Chief Executive Officer of BlockFi Zac Prince said BlockFi will manage the risk of volatility of Bitcoin by offering cash worth 60% of a loan backed by the digital asset.

Crypto Founder Risks 10 Years Jail Term Over Tax Evasion

The founder of ‘Oyster Pearl’ Cryptocurrency, Amir Bruno Elmaani, is facing two counts charges filed against him by the United States Attorney for the Southern District and the Securities and Exchange Commission on tax evasion, each of which carries a maximum sentence of five years in prison.

According to a press release from the office of the US Attorney for the Southern District of New York, Amir Bruno Elmaani, also known as Bruno Block, allegedly made millions of dollars from the sale of a new cryptocurrency but did not report the income to the IRS.

Other charges against him are: filing a false tax return, operating his business and owning assets through pseudonyms and shell companies, obtaining income through nominees, and dealing in gold and cash.