Category: News

The 2022 crypto winter was arguably the darkest period in crypto history. Billions of dollars in market value evaporated while the entire industry’s future hung by a thread. 

Today, many players who contributed to the severe downturn remain imprisoned, await sentencing, or continue to repay their debts.

A Teeth-Chattering Winter

The infamous crypto winter broke loose due to many factors that began to unfold in early 2022 and intensified throughout the year. 

Still reeling from the COVID-19 pandemic, the global economy faced significant challenges, including soaring inflation, rising interest rates, and widespread recession fears. These economic headwinds created a challenging environment for the cryptocurrency market, contributing to its downturn.

Beyond these broader economic pressures, specific events within the crypto market intensified the downturn, leading to a widespread crisis across the entire industry. Among the most notable events were the collapse of FTX and Terra-Luna, the Three Arrows Capital default, and the bankruptcy of leading crypto lending platforms.

Figured I’d dust off some lesser known facts about SBF given today is his sentencing

1. In January ’22, Sam market sold $75M of stETH, leading to a massive depeg event which set off the Celsius bankrun and the daisy chain of events that included the blow-up of 3AC pic.twitter.com/BGHem10yhz

— Conor (@jconorgrogan) March 28, 2024

These prominent failures and alleged frauds permanently linked several individuals, such as Sam Bankman-Fried, Caroline Ellison, Do Kwon, and Alex Mashinsky, to name a few, with the crypto winter. 

Three years later, the crypto industry has achieved a significant recovery, perhaps viewing that challenging era as firmly in the past. Yet, those responsible are still dealing with the repercussions. Where are they now?

Sam Bankman-Fried (FTX Exchange)

Sam Bankman-Fried (SBF), the founder and former CEO of the FTX exchange, is serving a 25-year sentence in a federal prison in California. According to recent reports, SBF may get a reduced sentence by over four years due to credits for good conduct and potential participation in prison programs. If that happens, he will be released by 2044. 

In late 2023, SBF was convicted of fraud and conspiracy for orchestrating a scheme that misused billions of dollars in FTX customer funds.

FTX, which filed for Chapter 11 bankruptcy in 2022, is nearing its conclusion. The process proved surprisingly successful, recovering over $14.5 billion in assets. In May, FTX announced that it anticipates being able to repay 100% of the bankruptcy claim amounts plus interest to non-governmental creditors.

Caroline Ellison (Alameda Research)

Caroline Ellison was the CEO of Alameda Research, a quantitative crypto trading firm founded by SBF that became inextricably linked to FTX. She is currently serving a two-year prison sentence for her role in the fraud.

Ellison started her sentence at a low-security federal prison in Connecticut in early November 2024. She received a significantly reduced sentence because she cooperated extensively with authorities, including testifying against Sam Bankman-Fried at his trial. Like Bankman-Fried, her sentence was recently shortened by a few months for good behavior.

Alameda Research was the main destination for the misused FTX customer funds. FTX reportedly channeled billions of dollars to the trading firm to cover its debts and fund its activities. Like FTX, Alameda Research filed for bankruptcy in 2022 and is no longer an active trading firm.

Its remaining assets are now part of the larger FTX bankruptcy proceedings.

Do Kwon (Terraform Labs)

Do Kwon, co-founder of Terraform Labs, is still awaiting trial for the catastrophic collapse of his company’s stablecoin TerraUSD and sister token Luna in May 2022. Within days, this event wiped an estimated $40 billion to $60 billion in market capitalization from the crypto ecosystem.

LUNA – THE BIGGEST CRYPTO SCAM IN HISTORY.

$40 billion lost in 1 day.

The untold story of what happened

1/14 pic.twitter.com/GNMGgqQi8N

— Alex Mason △ (@AlexMasonCrypto) January 15, 2025

Officials arrested him in Montenegro in March 2023 for using falsified travel documents. After numerous legal battles, Do Kwon was extradited to the United States in December 2024 to face federal criminal charges.

Once in the US, a federal grand jury indicted him on multiple felony counts, including securities, commodities, wire fraud, conspiracy, and money laundering. Do Kwon has pleaded not guilty to all charges. His criminal trial in a New York District Court is scheduled to begin in January 2026.

Last year, the US Securities and Exchange Commission (SEC) found Do Kwon and Terraform Labs liable for civil fraud. They tentatively agreed to a settlement with the SEC, which included substantial financial penalties. This settlement effectively banned Kwon and Terraform from the securities industry.

Meanwhile, Terraform Labs filed for bankruptcy in January 2024 and is currently undergoing liquidation. This process involves selling off its remaining assets to fulfill its financial obligations and resolve outstanding claims.

Alex Mashinsky (Celsius)

Alex Mashinsky, former CEO of Celsius Network, is serving a 12-year federal prison sentence after pleading guilty to commodities and securities fraud. Sentenced last May, he also faces three years of supervised release, a $50,000 fine, and forfeiture of $48.4 million in illegal proceeds.

Celsius Network promised high interest rates on crypto deposits, but Mashinsky’s safety assurances proved false. The platform engaged in risky, undisclosed investments, including uncollateralized loans. Mashinsky was also accused of inflating Celsius’s token (CEL) price and profiting personally from its sale.

Alex Mashinsky built a $25B empire attacking banks.

“Banks are thieves,” he told millions of customers.

Now he’s in prison for 12 years for fraud.

Here’s how one man’s lies destroyed crypto’s biggest empire: pic.twitter.com/Ba78BfeV8i

— GC Cooke (@GCcookeHQ) May 16, 2025

As the crypto market faltered in mid-2022, Celsius froze all customer withdrawals on June 12, trapping billions. It filed for Chapter 11 bankruptcy a month later, deepening the crypto winter’s impact.

Celsius has since emerged from bankruptcy, restructuring its operations. It has begun distributing over $3 billion to creditors, who now jointly own a new Bitcoin mining company, Ionic Digital, Inc. Celsius is also pursuing a $4 billion lawsuit against Tether for alleged improper liquidation of Bitcoin collateral during its collapse.

Su Zhu and Kyle Davies (Three Arrows Capital)

Su Zhu and Kyle Davies, co-founders of the once-prominent crypto hedge fund Three Arrows Capital (3AC), are still largely embroiled in legal disputes. 

Zhu was arrested in Singapore in September 2023 for contempt of court, served a four-month prison sentence, and has since been released, though appeals against court summonses continue. Davies has largely evaded liquidators. Both founders face nine-year bans from Singapore’s financial regulator.

3AC’s aggressive, highly leveraged trading strategies and significant exposure to the Terra ecosystem proved disastrous. When TerraUSD de-pegged, and Luna crashed in May 2022, 3AC suffered massive losses and failed margin calls from numerous lenders. 

This insolvency and subsequent liquidation in June 2022 created a significant contagion effect, causing major distress for crypto lending platforms that had lent heavily to 3AC, cementing its role as a primary catalyst for the 2022 crypto winter.

3AC remains under liquidation and is managed by court-appointed liquidators. They aim to recover assets for creditors who collectively filed over $3.5 billion in claims.

The post Where Are They Now? The Crypto Winter Villains Who Shook the Industry appeared first on BeInCrypto.

Elon Musk officially announced the formation of the America Party, a new political movement aimed at challenging what he called a “one-party system” driven by fiscal waste and corruption.

The move follows his outspoken criticism of Trump’s recently signed $3.3 trillion Big Beautiful Bill, which Musk has called “insane” and “destructive.”

The announcement sent shockwaves across both political and crypto circles.

By a factor of 2 to 1, you want a new political party and you shall have it!

When it comes to bankrupting our country with waste & graft, we live in a one-party system, not a democracy.

Today, the America Party is formed to give you back your freedom. https://t.co/9K8AD04QQN

— Elon Musk (@elonmusk) July 5, 2025

Within hours, a meme coin named America Coin (AP)—created on Pump.Fun soared 120%, reaching a market cap of over $18 million. Trading volumes spiked as speculators rushed in, betting on Musk’s influence and virality.

While Musk has not directly endorsed the coin, traders interpreted the timing as symbolic, mirroring Dogecoin’s surge during his 2021 social media blitz. Some are already dubbing it “the Dogecoin of US politics.”

The meme coin’s rapid rise reflects growing interest in politically charged meme assets, which blend real-world narratives with speculative trading.

As Musk enters the political arena under his own banner, meme coin enthusiasts are seemingly prepared to leverage the hype.

Users are cautioned to watch out for pump-and-dump schemes surrounding this viral political saga.

The post Elon Musk Launches America Party — Meme Coin AP Surges 120% appeared first on BeInCrypto.

Bitcoin investors are currently holding an estimated $1.2 trillion in unrealized profits, according to on-chain analytics platform Glassnode.

This significant figure highlights the paper gains accumulated by long-term holders as Bitcoin continues to trade close to its record highs.

Bitcoin Investor Base Shifts From Traders to Long-Term Institutional Allocators

Glassnode data reveals that the average unrealized profit per investor stands at around 125%, which is lower than the 180% seen in March 2024, when the BTC price reached a peak of $73,000.

However, despite these massive unrealized gains, investor behavior suggests no major rush to sell the top crypto. BeInCrypto previously reported that daily realized profits have remained relatively subdued, averaging just $872 million.

This starkly contrasts previous price surges, when realized gains surged to between $2.8 billion and $3.2 billion at BTC price points of $73,000 and $107,000, respectively.

Moreover, current market sentiment suggests that investors are waiting for a more decisive price movement before adjusting their upward or downward positions. The trend points to firm conviction among long-term holders, with accumulation continuing to outweigh selling pressure.

“This underscores that HODLing remains the dominant market behavior amongst investors, with accumulation and maturation flows significantly outweighing distribution pressures,” Glassnode stated.

Meanwhile, Bitcoin analyst Rezo noted that the current trend reflects a fundamental shift in the significantly evolved profile of Bitcoin holders. According to him, the typical BTC holder has shifted from short-term speculative traders to long-term institutional investors and allocators.

Rezo pointed to the increasing influence of institutional players such as ETFs and public companies like Strategy (formerly MicroStrategy).

“The holder base has changed – from traders seeking exit to allocators seeking exposure. MicroStrategy, sitting on tens of billions in unrealized gains, keeps adding. ETFs = constant bid, not swing traders,” he said.

Notably, public companies like Strategy increased their Bitcoin holdings by 18% in Q2, while ETF exposure to Bitcoin climbed by 8% in the same period.

Considering this, Rezo concluded that most short-term sellers likely exited between $70,000 and $100,000. He added that what remains are investors who treat Bitcoin less as a speculative trade and more as a strategic long-term allocation.

The post Bitcoin’s $1.2 Trillion Unrealized Profit Pool Grows While Holders Resist The Urge to Sell appeared first on BeInCrypto.

Over the years, crypto has slowly become mainstream, with every institution and investor eager to cash in on its promise of massive fortunes. However, that wasn’t always the case.

Some individuals saw the potential in digital assets when most dismissed them as speculative fads. By betting big, sometimes everything they had, these early adopters transformed their lives, turning small investments into millions. Today, their crypto success stories stand as powerful evidence of their early faith in the industry.

Erik Finman

Erik Finman is the world’s youngest Bitcoin (BTC) millionaire. In 2011, at just 12 years old, he made a decision that would change his life. He invested a $1,000 gift from his grandmother, intended for his college education, into Bitcoin. This early investment would go on to make him a millionaire.

Finman first encountered Bitcoin at a protest, where he noticed a man wearing a Bitcoin shirt. Intrigued, he approached the man and asked about the cryptocurrency.

“He’s like a hippie, he’s like, ‘Man, I think it’s gonna end Wall Street, all the corruption, and all the bad things,’” Finman recalled. 

This sparked his curiosity, and he soon began researching Bitcoin and decided to invest. Frustrated with traditional schooling and teachers, he dropped out of high school when he was 15. By the end of 2013, when the price of Bitcoin reached $1,200 per coin, Finman sold $100,000 worth of Bitcoin

With his newfound wealth, Finman launched Botangle in early 2014. Botangle was an online education platform inspired by his disdain for conventional schooling and offering an alternative to it. In 2015, Finman sold Botangle for 300 Bitcoins.

But he didn’t stop there. The young Bitcoin investor made a bet with his parents: if he became a millionaire by the time he turned 18, they wouldn’t force him to attend college.

By 2017, Finman had fulfilled that bet. Bitcoin’s value had surged to around $2,700 per coin, and Finman’s holdings, totaling 403 Bitcoins, made him a millionaire at 18, just as he had promised.

After becoming a Bitcoin millionaire, Finman went on to launch several successful ventures. He founded MetalPay and CoinBits, a crypto investment startup. 

In addition, he created FINFund, a venture capital fund focused on disruptive technologies. Furthermore, Finman established a political action committee, Future PAC.

“By the age of 25: I dropped out of school and moved to SF.  I sold my first startup. I made my first million in Bitcoin. I created a working Dr. Octopus suit. We launched a satellite. We launched a multi-million dollar crypto startup. Gen-Z gets it done,” Finman wrote on X.

Glauber Contessoto

Glauber Contessoto, dubbed the “SlumDoge Millionaire,” epitomizes the high-stakes gamble of meme coin investing. Born in Brazil and raised in poverty after moving to the US, Contessoto worked at a music company and dabbled in stocks before learning about Dogecoin (DOGE) on Reddit. 

Inspired by Elon Musk, Contessoto decided to take a huge risk. He spent all his life savings, sold his stock portfolio, and took out a margin loan on the Robinhood app to invest $250,000 in Dogecoin (DOGE) in February 2021.

His timing was impeccable. Musk’s tweets sent Dogecoin’s price soaring. At one point, Contessoto’s holdings were worth around $3 million. 

“Ok I’m just going to put this out there. I believe I’m the first Dogecoin Millionaire of 2021. It officially happened yesterday April 15th 2021 at 6pm PST,” Contessoto shared in 2021.

However, this fortune did not last long. As DOGE prices fell, so did his wealth.

I used to have $3 Million in #Dogecoin

Now it’s $50,000

What happened?

pic.twitter.com/tOw2pNTPaI

— SlumDOGE Millionaire (@ProTheDoge) August 23, 2023

Nonetheless, unrealized losses are not losses until you sell. In 2024, he reclaimed his millionaire status.

“People laughed when I said DOGE was coming back. But I never sold, I just bought more. I have $1.2 million in DOGE currently,” he posted.

His success story of going from poverty to millions remains one of crypto’s most dramatic rags-to-riches tales.

Lea Thompson

Lea Thompson, also known as “Girl Gone Crypto,” was first introduced to cryptocurrency after witnessing a friend mine digital currencies. She received crypto payment for a project and also began making monthly investments between $500 and $1,000 in Bitcoin and Ethereum. Her early exposure paid off during the 2017 bull run when Bitcoin’s value surged.

“I got to experience that really big 2017 bull run. And that was just so exciting to see – the Bitcoin I had bought went up to $20,000,” she said.

The profits from her investments provided Thompson with the opportunity to leave her job and transition into a full-time career as a crypto content creator. She now uses her platform, Girl Gone Crypto, to share educational content about the cryptocurrency world. 

Thompson has built a massive online following, with around 243,000 followers on X, 43,000 followers on Instagram, and 16,800 subscribers on YouTube.

Her story is significant not only for her early crypto adoption and success but also for her role as a woman in a traditionally male-dominated industry. Thompson’s evolution from a casual observer to a successful influencer illustrates how timing, curiosity, and engagement in the community can lead to remarkable success in the crypto space.

The post Crypto’s Early Risers: 3 Investors Who Bet Big and Won appeared first on BeInCrypto.

Singapore is cracking down on crypto exchanges, while Hong Kong unveiled a new legal framework to encourage investment. Hong Kong may have an opportunity to attract crypto investment from across the region.

China is also liquidating seized assets, potentially giving Hong Kong-based firms an opportunity to buy these products cheaply. Still, Singapore is continuing to issue some exchange licenses, and fears of capital flight may be overblown.

Hong Kong and Singapore’s New Regulations

Although Singapore has maintained an image as a crypto-friendly country, some recent regulations aimed at exchanges may be changing the equation.

Its new, tougher guidelines took effect this week, possibly creating obstacles to the nation’s industry. However, Hong Kong could be poised to take Singapore’s place as a regional crypto hub.

On the surface, Hong Kong seems like a strange choice to replace Singapore. Sure, it approved Bitcoin ETFs, but China’s hostility to crypto is quite well-established.

However, the city could benefit from a few recent developments. Hong Kong passed new stablecoin laws while China is liquidating seized tokens, potentially creating a window for firms to acquire new assets:

“These moves are intimately connected, forming a strategic blueprint that could redefine Hong Kong’s role in the global virtual asset ecosystem. This is likely to attract quality projects looking for a compliant, liquid, and globally connected base,” Joshua Chu, a lawyer and co-chair of the Hong Kong Web3 Association, told local media.

Singapore’s new regulation aims to severely crack down on unregistered exchanges and make the licensing process more difficult.

The government is taking a harsh view on crypto crime, with cabinet ministers warning citizens to stay away from the industry entirely. That doesn’t seem good for long-term growth.

In other words, Singapore may have a head start in terms of crypto licenses, but Hong Kong has been accelerating approvals.

Last week, Hong Kong unveiled its new LEAP framework, explicitly aimed at encouraging crypto investment. If these two cities both continue their ongoing trends, a realignment seems plausible.

Still, there are many contingent factors, and this move is by no means guaranteed. Singapore may have stricter licensing requirements, but it is nonetheless approving some requests.

Earlier this week, Robinhood’s BitStamp platform announced that it obtained such a license under the new rules. Major firms are still making fresh expansions into Singapore.

In short, a lot of things are still up in the air. Hong Kong may take some of Singapore’s market share, but this switch might never materialize. Ideally, both cities will remain regional crypto hubs, each contributing to the global ecosystem.

The post Could Hong Kong Replace Singapore as a Regional Crypto Hub? appeared first on BeInCrypto.

HBAR has made a solid attempt at recovery recently, but broader market cues are pulling the altcoin back. 

Trading at $0.156, HBAR is likely to face some correction in the coming days as weak inflows and bearish sentiment weigh on its price action. Despite this, the token remains a focal point for potential future growth.

HBAR Inflows Strengthen

The Chaikin Money Flow (CMF) indicator has struggled to close above the zero line, signaling weak inflows into HBAR. This is a concerning signal, as the CMF’s failure to sustain positive movement reflects investor skepticism and a lack of strong buying interest. Although HBAR briefly crossed into the positive CMF zone for the first time in over a month, the overall market sentiment remains weak.

This struggle with the CMF suggests that investor confidence is fragile, with many hesitant to commit to HBAR at higher levels. As a result, the chances for continued upward momentum appear limited, and the likelihood of further gains remains low unless broader market conditions improve or a surge in buying interest occurs.

On a more positive note, technical indicators like the Relative Strength Index (RSI) are showing bullish momentum for HBAR. Currently sitting above the neutral 50.0 mark, the RSI indicates that buying pressure is gaining strength. This shift suggests that, despite the weak inflows, there may still be potential for HBAR to experience a positive price move if the momentum continues to build.

The RSI moving into bullish territory is a critical signal for investors, as it shows that the market is not entirely bearish. The increasing momentum could eventually work in favor of HBAR, potentially counteracting some of the challenges presented by weak inflows and broader market uncertainty. The key will be whether this momentum can sustain itself over time.

HBAR Price Prepares To Breakout

HBAR’s price has been stuck under a two-week-long downtrend, currently trading at $0.156. To escape this trend, HBAR will need to show further signs of strength, both from technical indicators and market sentiment. If the conditions outlined above improve, the token may break free from its downward trajectory.

The first major hurdle for HBAR is breaking and flipping the $0.163 level into support. This is crucial as it would pave the way for the altcoin to reach the $0.180 resistance level. Investors will need to hold their positions through this critical phase, as any premature selling could derail the potential for further gains.

However, if investor sentiment shifts to selling, whether for profit-taking or due to increased uncertainty, the bullish outlook could be invalidated. Losing the $0.154 support level would likely result in a drop toward $0.139, ending HBAR’s hopes for a continued recovery in the short term.

The post HBAR Price Struggles to Break Out: What’s Holding the Altcoin Back? appeared first on BeInCrypto.

World Liberty opened a proposal aiming to make WLFI tokens transferrable. This would mark the first major use of WLFI’s governance protocol, signaling a new era for the asset.

There are a few outstanding questions about implementation, such as partnered exchanges and potential regulatory concerns. Still, the community is currently unanimous in supporting the proposal.

World Liberty To Open WLFI’s Economy

Of all the Trump family’s crypto ventures, World Liberty Financial is probably the most prominent.

However, since it launched its WLFI token, the crypto community has greatly criticized World Liberty for not letting users trade or transfer these assets. According to a new announcement, a governance proposal to make this rule change is now live:

On this Independence Day, we’re making history.

The proposal to make $WLFI tradable is now live. Crypto is coming home — and there’s no better day to let freedom ring.

Happy 4th of July from your friends at WLFI and from the new crypto capital of the world.

…

— WLFI (@worldlibertyfi) July 4, 2025

According to World Liberty’s new proposal, this move will change WLFI’s ecosystem from closed to open participation. In addition to making WLFI tradable, it will unlock tokens for early-access investors.

Moreover, this officially inaugurates the asset’s use as a governance token, as the lack of community proposals has been a sticking point for fans.

So, why now? Rumors of tradable WLFI began swirling in mid-June as an unidentified whale spent $80 million on token acquisition. Two weeks later, World Liberty announced that it’d make WLFI transferable, further drawing community hype.

Additionally, World Liberty is undergoing some internal changes, especially as its USD1 stablecoin is becoming more popular. By opening WLFI’s governance abilities and bringing the token to the DeFi ecosystem, World Liberty can firmly delineate a new era for the asset.

Nonetheless, there are many outstanding questions about this move. What exchanges will list WLFI? How will price discovery work? Will the firm face any regulatory setbacks, considering the heavy levels of foreign investment in WLFI?

The firm has already faced recurring accusations of political corruption, after all.

Regardless of these potential issues, one thing seems clear: WLFI holders are practically guaranteed to approve World Liberty’s proposal.

Currently, the community is completely unanimous in demanding token tradability. If the firm is ready to bring a new era to WLFI, then its holders are more than ready.

The post World Liberty Financial Opens Proposal to Make WLFI Token Tradable appeared first on BeInCrypto.

The third quarter of the year and the first week of July started off with considerable volatility. Some crypto tokens posted sharp gains, while others suffered losses. However, the weekend is expected to bring about a positive shift in some altcoins.

BeInCrypto has analyzed three altcoins for investors to watch this weekend, owing to their network development.

Jupiter (JUP)

JUP has had a positive week, rising by 12.4% in the last seven days, currently trading at $0.442. The altcoin is consolidating between $0.471 and $0.424, indicating that it may be preparing for a breakout.

The Parabolic SAR indicator is positioned below the candlesticks, signaling a potential uptrend for JUP. This technical pattern suggests that buying pressure may build, which could push the altcoin higher. Additionally, the launch of Jupiter Studio, allowing the community to create tokens, could further increase demand for JUP.

With the Parabolic SAR indicating an uptrend and the launch of Jupiter Studio, JUP has the potential to break the $0.471 resistance. If successful, it could target $0.517. However, without sustained bullish momentum, the altcoin may continue consolidating within its current range, limiting short-term gains.

Dog (Bitcoin) (DOG)

DOG, the meme coin built on Bitcoin, is expected to have an airdrop event over the weekend, with Kraken exchange marketing July 6 as the date. Airdrops typically generate excitement, potentially driving demand for the token.

DOG has gained significant investor attention due to its resilience in the market. Currently trading at $0.0041, the meme coin could move toward $0.0047 if the airdrop generates heightened demand. This potential price increase could make DOG a popular choice for traders looking to capitalize on short-term movements during the event.

However, if the airdrop hype fails to create significant price changes, DOG may experience sideways movement above the $0.0039 support level. A drop below this support would invalidate the bullish outlook, potentially sending the altcoin down to $0.0035.

Hosico Cat (HOSICO)

HOSICO has gained significant attention from investors, with a 172% rise in the past week. The meme coin is currently trading at $0.0514, showing strong momentum. This surge highlights HOSICO’s potential, but market dynamics could shift as the coin faces resistance and investor sentiment evolves in the short term.

The Relative Strength Index (RSI) indicates that HOSICO is overbought due to the recent surge. However, this may lead to a cooling-off period, allowing the altcoin to build momentum for further growth. If the bullish trend persists, HOSICO could break past the $0.0619 resistance, aiming for $0.0775 in the coming weeks.

If sharp selling pressure emerges, HOSICO could lose support at $0.0486. This would invalidate the current bullish outlook, potentially leading to a decline toward $0.0347.

The post 3 Altcoins To Watch This Weekend | July 5 – 6 appeared first on BeInCrypto.