SEC takes on cryptocurrencies again; risks associated with ARB listing; plus useful tips and announcements

Sup, crypto fam! It’s buidlbee team here with you. As always, we have prepared for you a review of the most important events in the market, a selection of useful topics and this time also expert opinions. Let's not waste precious time - this is what you will find in today's letter:

• The SEC is going to give cryptocurrency a hard time;

• There are two ARB tokens, and one of them is an imposter;

• Helpful tool overview to claim and sell Arbitrum tokens;

• How to receive MASA tokens;

• Important tips and opinions of the day;

• And of course, the quiz (the winner will get ETH tokens).

Want to know how you can make money from token unlocks? We will give a practical guidebook, "How to make money from token unlocks," to everyone who invites 1 friend to subscribe to the buidlbee newsletter!

🤜 No less important than interest rate: examining the latest SEC attack on crypto

Today we are going to look at two vectors of legal attacks on crypto in the U.S. by regulators. Why is this so important, and where will it lead in the end?

Attack Vector #1

After a rate hike and temporary stabilization of the banking system, U.S. regulators are back to their interrupted crusade against crypto.

As we predicted earlier, after the attack on staking from the Kraken exchange, the next possible target is Coinbase, which is doing exactly the same thing. And while Coinbase claimed that Kraken's problems don't concern it in any way, today the largest U.S. cryptocurrency exchange received a "Wells Notice" from the SEC, indicating that this regulator is preparing to sue for violating securities laws.

In the meantime, it should be understood that the legal attack on staking is a camouflaged attack on Ethereum itself (and all its many PoS-based clones). Yesterday, we wrote in our email about this potential threat in detail; unfortunately, it is starting to come true pretty quickly. The only good news is that this story is sure to be a long one; such legal proceedings could last for a year or even two.

The hidden meaning of launching such an aggressive attack is also clear: the bank interest rate on deposits in the U.S. is now about 1%, while staking, being conservative and safe, brings in about 15%. All this causes an increasingly massive flow of funds from the banking system to crypto, which, against the background of recent bank problems is perceived by regulators as a red flag.

Attack Vector #2

A much more interesting new case is that yesterday the SEC sued Justin Sun, the founder of TRON, who was accused of manipulating the market and selling unregistered securities. According to this formula, the next accused could be anyone at all, such as the CEO of Binance or Elon Musk. In this variant of the attack, the interpretation can be extended as broadly and flexibly as possible to any crypto influencer.

Popular crypto user @AutismCapital even issued such a warning to its subscribers:

There is an absolute non-zero chance that the US Federal government comes for personal crypto asset seizure at some point for American citizens if things continue declining further.

What will this lead to?

In the long run, this will lead to the displacement of crypto projects outside the U.S. At the same time, such an outcome will be controversial. For example, earlier, the US regulator sued the KuCoin exchange for trading Ethereum in the US, although the company itself is not a US resident and ignored the US court summons and continued its work. Technically, it is not in the U.S., but in times of the global network and cross-border nature of crypto, its physical location is not important.

The latest news already hints at such an outcome: due to the worsening cryptocurrency climate in the US, Coinbase is right now negotiating with institutional clients to open a new crypto exchange outside the US.

In conclusion, we would like to recall the rapid development of at least three crypto-friendly jurisdictions that grant licenses and access to their banking system: Hong Kong, Dubai, and Switzerland. They have created a legal paradise for crypto projects, where many well-known players are now flocking, then operating through a network around the world.

👉 Opportunities

[1] 🔔 Sell out or short-fake $ARB

Traders have sparked a 2,000% surge in a token called ARbit, having mistaken it for Arbitrum's famous token (they have the same ticket $ARB). Despite such a nasty mistake, the influx of newcomers is huge; for example, in the last 24 hours, this dead token has grown by 23%.

But before the exit from the asset becomes massive, you can either sell out profitably or try to short this fake token (which is sure to collapse when the truth becomes widely known). We're not urging you to buy or to short, we're just saying that this is a very interesting situation.

[2] 🔔 A convenient way to claim and sell ARB

DefiLlama has launched software for easy and fast claiming of the popular Arbitrum tokens (ARB) and their subsequent sale. Supported wallets: Rainbow, Coinbase Wallet, MetaMask, WalletConnect.

What the software can do:

• Contract pre-approval;

• Claiming ARB from the contract;

• Swap ARB with cheap gas on LlamaZip;

• Degen mod to help sell everything by the glass in 1 transaction.

This service is best suited for those who have no more than 11k ARB tokens. For those who have more, this one will be more convenient.

[3] 🔔Get Masa (MASA) tokens for referrals

Masa is a decentralized credit protocol that allows individuals and businesses to bridge the gap between decentralized and centralized finance (DeFi and CeFi).

The project has launched a referral program with a pool of 1 million MASA tokens. Masa Green SBT (via Ethereum, BSC, Polygon, or Celo networks) must be minted first in order to get the reward. For this activity, node runners will receive their tokens after the Token Generation Event (TGE).

Earn 10 MASA tokens for each new user you successfully refer to Masa. Each friend must mint a Masa Green SBT to be considered a successful referral. The friend who referred you will earn 10 MASA tokens once you mint a Masa Green SBT. The mint cost is $1 + gas fee (0.00552108167275 ETH). It’s about $10 in total.

Answer a quick question and get a chance to win ETH tokens.

Will the Arbitrum token be $10 on March 24 (12:00 UTC)❓

✍ Opinion of the day

Our good friend Degen Ape Trader has been trading Forex and crypto since 2013 and is the Top 1 Future Trader on the Binance Leaderboard, and the Top 1 Options Trader on Hegic Option.

Q.: What metrics to pay attention to in daily trading? What tools to use?

A.: “When looking at the chart, the most important thing is the market structure.

If I plan too long, I look to see a bottom structure, like a double bottom, fakeout at support, round bottom, or higher high - higher low, etc.

In contrast, if I plan to short, I try to find a sign of top structure: double top, rejection at resistance, round top, or lower high - lower low, etc.

One more thing to look at is the funding rate. If the funding is high, for example, 0.02++, try to avoid longing. If the funding is negative, try to avoid shorting.

The funding rate can be found here: https://coinglass.com/FundingRate

When trading futures, the most important thing is your entry price. My tips:

• Using limit orders to pay less fees and avoid slippage.

• Try not to FOMO; buy the dip and sell the rip.

• Always have stop-loss.”

Sadie, a crypto caller

Q.: Could we see the altcoin season during the next month or two? What market movement do you expect?

A.: “Honestly, the next 2 months will be a recovery process for crypto. The hope in the markets is increasing day by day. These investments will increase confidence in crypto. BTC dominance is too much for now. But over time, the volume shifting to altcoins will increase.”

Thank you for reading all the way to the end and appreciating our desire to be of assistance to you. We wish you a productive day and bags full of bucks!

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