Need to know what happened in crypto today? Here is the latest news on daily trends and events impacting Bitcoin price, blockchain, DeFi, NFTs, Web3 and crypto regulation.
The head of crypto-friendly financial services firm Cantor Fitzgerald will lead Donald Trump’s transition team should he retake the White House this November. A Dubai court has acknowledged that crypto payments are valid under employment contracts. Meanwhile, two IMF executives have proposed increasing electricity costs for crypto miners by up to 85% through taxes.
Cantor Fitzgerald head joins Trump’s campaign
Howard Lutnick, the head of financial services company Cantor Fitzgerald, will lead Donald Trump’s transition into the White House should he be elected president this November.
Trump’s campaign confirmed the news on Aug. 16, adding that World Wrestling Entertainment co-founder Linda McMahon will also be part of the transition team. Both Lutnick and McMahon have donated heavily to Trump’s 2024 presidential campaign.
Cantor Fitzgerald is no stranger to digital assets. Since 2021, the company has managed stablecoin issuer Tether’s treasury portfolio. Earlier this month, a filing with the Securities and Exchange Commission also confirmed that the company held more than $18 million worth of shares of BlackRock’s Bitcoin exchange-traded fund.
Lutnick himself is a Bitcoin proponent, having announced the launch of a $2 billion lending program at the recent Bitcoin conference in Nashville, Tennessee.
Dubai court recognizes crypto as a valid salary payment
In a significant update to the United Arab Emirates’ judiciary approach to crypto, the Dubai Court of First Instance recognizes salary payments in crypto as valid under employment contracts.
Irina Heaver, a partner at UAE law firm NeosLegal, explained that the ruling in case number 1739 of 2024 shows a shift from the court’s earlier stance in 2023, where a similar claim was denied because the crypto involved lacked precise valuation.
Heaver believes this shows a “progressive approach” to integrating digital currencies into the country’s legal and economic framework.
Heaver said that the case involved an employee who filed a lawsuit claiming that the employer had not paid their wages, wrongful termination compensation and other benefits.
According to Heaver, the decision also sets a positive precedent that encourages the further integration of digital currencies in everyday financial transactions. The lawyer believes that this fosters a more inclusive and innovative business environment. Heaver said:
“This ruling affirms that if an employment contract includes such terms, both the company and the employee must honor them. It is reassuring to see the court recognize that wages, whether paid in fiat or cryptocurrency, are the rightful entitlement of the employee for their agreed-upon work.”
IMF execs float raising crypto mining electricity prices by 85%
Two executives from the International Monetary Fund (IMF) have suggested increasing the average crypto mining electricity costs globally by as much as 85% through taxes could put a huge dent in carbon emissions.
A tax of $0.047 per kilowatt hour “would drive the crypto mining industry to curb its emissions in line with global goals,” the IMF Fiscal Affairs Department’s deputy division chief Shafik Hebous and climate policy division economist Nate Vernon-Lin wrote on Aug. 15.
If accounting for miners’ local impact on health, the tax would rise to $0.089 per kilowatt hour, the pair said.
Hebous and Vernon-Lin wrote that the higher tax would increase the average electricity price for crypto miners by 85%, raise yearly global government revenue by $5.2 billion and reduce emissions by 100 million tons annually, equivalent to Belgium’s emissions.
They claimed a single Bitcoin transaction uses about the same amount of electricity as the average person in Pakistan uses in three years, while the artificial intelligence model ChatGPT needs ten times the amount of power compared to a Google search.
However, there have been arguments over how much emissions crypto miners produce relative to other sectors. Tech giant Amazon’s reported carbon footprint was 71.54 million metric tons of carbon dioxide in 2021 alone, already more than Bitcoin’s estimated 65.4 million metric tons.
To read article in Arabic, please visit the website Crypto Mena
Risk Disclaimer
Although Sponsored Trading can be profitable, it is associated with a significant risk of losing your investment. The risks will increase when trading on margin companies. Traders must exercise due diligence and be careful when making their trading decisions. It is the sole responsibility of the Trader to learn and acquire the knowledge and experience required to use the Trading Platform and anything that will be required to trade properl
