Ether staking reaches $85 billion, U.S. banks push SEC to update crypto definition, and Changpeng Zhao’s sentencing is delayed.
February has been a bullish month for the Ethereum network so far, with the total amount of staked Ether (ETH) in the Beacon Chain reaching 30,206,801 ETH, locking up nearly 25% of the total circulating supply. There are currently 943,974 active validators on the Beacon Chain. Between Feb. 1 and 15, investors deposited 600,000 Ether into Ethereum 2.0 staking contracts. February also saw the ETH price surge to yearly highs above $2,800. The volume is seen as a bullish sign for the Ethereum network. At least two asset managers seeking approval for an Ether exchange-traded fund are also seeking to include instaking into their products.
Major banks and financial institutions are pushing the United States Securities and Exchange Commission to revise its definition of crypto assets, which could allow them to act as custodians to the recently approved spot Bitcoin exchange-traded funds. A coalition of these institutions submitted a letter to the SEC on Feb. 14, seeking amendments to the Staff Accounting Bulletin 121 issued in March 2022. They stated that it has been two years since the issuance of the guidance, and there have been several relevant developments during the period, including the approval of spot Bitcoin ETFs. The current guidance requires banks to hold crypto assets on their balance sheet, which makes it costly and hinders their ability to provide crypto custody services at scale.
The criminal sentencing for Binance founder and former CEO Changpeng CZ Zhao has been pushed back to April 30. The notice of rescheduled hearing was filed in a Seattle Federal Court on Feb. 12. Zhao was originally due to be sentenced on Feb. 23 after pleading guilty to money laundering charges. He is expected to face up to 18 months in prison. Zhao’s legal team is expected to argue for no jail time or an alternative sentence and request to combine prison time with home detention and probation. The former executive is currently out on bail on a $175 million bond and is residing in the U.S., awaiting his sentencing.
