OTC’s Weekly Retrospect 20/03–24/03/2023

Each week we bring you a round-up of the most important Bitcoin and virtual asset-related stories making waves in the cryptosphere.­­­­

Major news stories this week;

1. Interpol confirms arrest of crypto fugitive Do Kwon in Montenegro
2. Telegram Users Can Now Transfer USDT Through Chats
3. IRS aims to tax NFTs in line with other collectibles
4. Arbitrum Transaction Activity Outpaces Ethereum Ahead of ARB Airdrop
5. SEC Serves Coinbase in Latest Alleged Crypto Securities Violation

Story Summaries;

1. Kwon, a South Korean national, founded the blockchain platform behind the TerraUSD stablecoin and its sister coin Luna. Both coins lost their value in a matter of days in May 2022, wiping about $40 billion from the crypto market and setting off panic across the speculative sector. Kwon’s identity was confirmed through a fingerprint match, Interpol’s national central bureau in Seoul told CNN on Friday.
2. USDT has been added to the wallet bot on Telegram, expanding the messaging app’s facility for buying and selling crypto, according to an emailed announcement shared with CoinDesk on Wednesday.
   Integrating crypto payments into messaging apps like Telegram — in theory rendering sending cryptocurrency as easy as sending a text or a photograph — should be an extremely positive development for mainstream adoption.
3. The Internal Revenue Service (IRS) is taking steps to ensure that NFTs are taxed similarly to other collectible items. This move by the IRS follows the recent surge in the popularity of NFTs since they have gained traction in various industries, such as art, music, and sports, and have been sold for millions of dollars. The IRS has proposed that NFTs be treated as collectibles for tax purposes and has submitted the proposal for public review and comment.
4. Arbitrum, a layer-2 rollup on Ethereum, has hit an all-time high in daily transactions and unique wallets interacting with the network ahead of its airdrop. Dune analytics show that close to 240,000 unique wallets interacted with Arbitrum on March 21, nearly twice its previous peak in February 2023.
5. The SEC served Coinbase with a Wells notice Wednesday over concerns about alleged securities violations, according to a filing. The Wells notice, which precedes an enforcement action, states that the SEC will be targeting Coinbase’s spot market, staking service, Coinbase Prime and Coinbase Wallet. The agency moves forward with a Wells notice after it has determined laws have been violated through an investigation.

And that’s all for this week’s news! Wishing you a great weekend ahead!