On December 12, 2022, Custodia Bank (“Custodia”) – a state-chartered, digital asset-focused bank based in Wyoming – was denied its motion for a default judgment in its battle with the Federal Reserve Board of Governors (the “Board”) and the Federal
Blockchain and the Law
The "Blockchain and the Law" blog, published by Proskauer Rose LLP, focuses on legal developments and regulatory issues related to blockchain technology, cryptocurrencies, and digital assets. It covers topics such as tokenized securities, stablecoin regulation, strategic Bitcoin reserves, and the evolving legal landscape for digital finance in the United States. The blog discusses federal and state legislative initiatives, regulatory proposals by agencies like the SEC, and the implications of new laws such as the GENIUS Act. It also addresses the intersection of blockchain with financial markets, compliance, and government policy, providing insights into how legal frameworks adapt to innovations in blockchain and crypto assets.
Latest from Blockchain and the Law - Page 5
When Chains Change, Do NFTs Stay The Same? How Hard Forks May Affect NFT Value and Licenses
By Jason Finger
At 2:43am EST on September 15, 2022, the first Ethereum block was validated using Proof of Stake, signaling the success of the Ethereum Merge, one of the most anticipated events in blockchain and computer science history. The Merge shifted…
CFTC Ooki DAO Enforcement Action Update: The Commission Responds
By Elanit Snow & John Warnke
District Court Declines to Dismiss NFT “Insider Trading” Indictment against Former OpenSea Employee
In late October, a New York district court refused to dismiss the Department of Justice’s (DOJ) indictment against defendant Nathaniel Chastain, who was charged with wire fraud and money laundering relating to his using insider knowledge to purchase non-fungible tokens…
In Response to the White House’s Executive Order, FSOC Releases Digital Asset Stability Report with Legislative Recommendations
By Jason Finger
On October 3, 2022, the Financial Stability Oversight Council (“FSOC”) – a collaborative body formed under the Dodd-Frank Act composed of state and federal regulators and tasked with identifying risks and responding to emerging threats to financial stability – released…
CFTC Head Urges Congressional Action on Crypto while SEC Leader Says Crypto Rulemaking is “Years Away”
Both the head of the Commodity Futures Trading Commission (CFTC) and leader of the SEC agree that the crypto markets need regulating, and specific rules may help clarify which agency has authority to regulate various cryptocurrency activities. The client alert…
Proskauer’s Cross-Disciplinary Blockchain Group Hosts ‘Digital Assets in Business and Law’ Symposium
Back in 2013, the first cryptocurrency matter hit our desks. That was the beginning of the exponential growth of our digital assets practice. Recognizing the importance of the area, we launched this blog, Blockchain and the Law. In our first…
The Outsized Impact of Blockchain on Finance
Advances in blockchain distributed ledger technology have led to dramatic growth in the role of digital assets in finance. This has resulted in new applications and technological developments involving financial services and blockchain.
Read the full article at Financier Worldwide
App Store Protected by CDA Immunity (and Limitation of Liability) for Losses from Fraudulent Crypto Wallet App
Background
The issue of fraudulent crypto-related mobile apps has received much attention of late. Back in July 2022, the FBI issued a notice, warning financial institutions and investors about instances where criminals created spoofed cryptocurrency wallet apps to trick…
Blockchain Meets Morrison: Court Rejects Blockchain Class Settlement Because of Concerns About Adequacy of Representation
The U.S. District Court for the Southern District of New York recently rejected a proposed settlement of a securities class action involving purchasers of digital tokens due to concerns about whether the lead plaintiff had adequately represented the class for…