What Happened in Crypto Today: 9 January Crypto News Highlights
What Happened in Crypto Today: Key Highlights and Updates for 9 Jan
Bitcoin ETFs See $582M Outflow Amid Market Uncertainty
U.S.-listed Bitcoin ETFs experienced a $582M net outflow, the second-largest ever, led by Fidelity’s FBTC losing $258M and BlackRock’s IBIT shedding $124M. Ether ETFs also faced $159.3M in outflows. The withdrawals followed renewed U.S. inflation concerns and Federal Reserve signals to slow policy easing. Bitcoin prices dropped 8.5% over three days, struggling below $100K. Analysts anticipate market recovery after the U.S. nonfarm payrolls report, favoring Bitcoin over Ethereum in the short term.
Gensler Reflects on Crypto Actions Before SEC Departure
SEC Chair Gary Gensler, departing on Jan 20, emphasized his tenure's focus on curbing misconduct in the crypto industry, initiating over 100 enforcement actions. He criticized the market as largely noncompliant, contrasting Bitcoin with "everything else." Gensler’s enforcement-heavy approach faced industry backlash for stifling innovation. President-elect Donald Trump nominated Paul Atkins, known for crypto-friendly views, as his successor, signaling a potential regulatory shift. Gensler cited public service resilience while noting crypto's limited public reach at under 10%.
IMF Urges Kenya to Align Crypto Laws Globally
The IMF advised Kenya to establish a clear crypto regulatory framework aligned with global standards to address risks like AML and CFT. Kenya’s outdated laws have fueled crypto scams, prompting IMF recommendations, including empirical analysis, collaboration, education, and legal clarity within 12 months. Medium- to long-term goals include implementing licensing frameworks, enhancing supervision, and cross-border cooperation. Kenya must align with the Bali Fintech Agenda, FATF, and FSB guidelines to ensure consumer protection and market innovation.
HyperLiquid Responds to Centralization Criticism
HyperLiquid faced centralization claims by Kam Benbrik of Chorus One, citing validator seat sales, closed-source code, and limited incentives. HyperLiquid denied selling validator seats, highlighting testnet-based selection and plans to increase from 16 validators. It justified its closed-source system for performance, committing to open-source post-stability. The HYPE token, launched in November, peaked at $35 after an airdrop but fell to $21. VanEck urged HyperLiquid to attract developers to sustain growth and justify valuations.
LAVA Network Surges Before Gate.io Listing on Jan 9
Lava Network ($LAVA) gains momentum ahead of its Gate.io listing on January 9, 2025, at 10:00 AM UTC. Renowned for its reliable RPC services connecting AI, apps, and wallets to blockchains like NEAR and Starknet, Lava ensures low downtime and high efficiency. $LAVA's price surged 8.83% to $0.163, with a $38.35M market cap and $1.32M 24-hour trading volume. The listing enhances liquidity, exposure, and adoption, solidifying Lava’s role in blockchain infrastructure.
