Many Americans are expected to receive $1,400 checks following U.S. President Joe Biden signing a $1.9 trillion stimulus package into law last week. New polling suggests that much of these funds could end up in the crypto market.
A survey released today from Mizuho Securities estimates that 10% of the roughly $400 billion in funds given directly to U.S. residents could be used to purchase Bitcoin (BTC) and stocks. The Mizuho Financial Group subsidiary surveyed 235 people with a household income under $150,000. Up to 40% of respondents said they would invest the direct payments into BTC and stocks, with 61% saying they would choose Bitcoin over equities.
“Bitcoin is the preferred investment choice among check recipients. It comprises nearly 60% of the incremental spend, which may imply $25 billion of incremental spend on Bitcoin from stimulus checks,” said Mizuho analysts Dan Dolev and Ryan Coyne. “This represents 2-3% of Bitcoin’s current $1.1 trillion market cap.”
Ben Delo, one of the founders and co-owners of embattled crypto derivatives exchange, BitMEX, has surrendered to U.S authorities in New York. According to Bloomberg, Delo was arraigned remotely before U.S Magistrate Judge Sarah L. Cave during a proceeding on March 15. He pleaded not guilty to all charges and was released on a bail bond of $20 million. The bail terms stipulate that he is permitted to return home to the UK and await trial.
Delo’s surrender was part of an agreement negotiated with U.S authorities in February. The terms were coordinated with the FBI and U.S. Border Patrol to permit Delo entry into the United States, despite the defendant being subject to a travel ban from U.K. authorities. Rachel Miller, a spokesperson for Delo, stated:
“The charges against Ben are unfounded and represent unwarranted overreach by the U.S. authorities. Ben intends to defend himself against the charges and clear his name in court.”
Delo and fellow BitMEX executives Arthur Hayes, Samuel Reed, and Greg Dwyer are accused of operating an unregistered trading platform and violating U.S. anti-money laundering laws by providing unlicensed services to U.S. citizens.
XRP tokenholders have attempted to insert themselves as third-party defendants in the United States Securities and Exchange Commission’s lawsuit against Ripple Labs. A motion to intervene was filed by John Deaton of Deaton Law Firm on Sunday on behalf of over 6,000 XRP holders. Deaton, himself an XRP holder, argued that the interests of tokenholders were not being adequately represented in the securities lawsuit against Ripple Labs and its executives.
Deaton’s argument builds upon the refutation of any securities violations by Ripple Labs. Specifically, if XRP is not a security — as Ripple executives Bradley Garlinghouse and Christian Larsen claim — then the efforts of Ripple executives have no bearing on the performance of XRP.
For this reason, Deaton, along with over 6,000 concerned tokenholders, have moved to intervene as third-party defendants. The filing states:
“Given SEC’s own statements that this Court is the exclusive forum to hear claims regarding this matter, and Ripple’s position that XRP holders cannot rely on Ripple’s efforts as protection of their interests in this case and the nature of Ripple’s defense, the XRP Holders’ intervention is necessary.”
This Daily Dose was brought to you by Cointelegraph.