Key facts
- The US Department of Justice is reportedly seeking to dismiss charges against Matthew Goettsche, founder of the alleged $722 million BitClub Network fraud scheme.
- Goettsche was indicted in December 2019 for conspiracy to commit wire fraud and selling unregistered securities.
- New Hampshire's executive council rejected a proposal to issue $100 million in Bitcoin-backed bonds by a 3-2 vote.
- Circle received final approval from the US Office of the Comptroller of the Currency (OCC) to establish First National Digital Currency Bank.
- The new bank will operate under the name Circle National Trust and will initially provide fiduciary digital asset custody services for Circle and its affiliates.
In the cryptocurrency space, significant developments unfolded across regulatory and financial fronts. The U.S. Department of Justice is reportedly preparing to drop charges against Matthew Goettsche, the alleged founder of BitClub Network, a platform accused of defrauding investors of $722 million between 2014 and 2019. This potential reversal follows a memo from Deputy Attorney General Todd Blanche directing the DOJ to reconsider its 'regulation by prosecution' strategy.
Meanwhile, New Hampshire's executive council rejected a proposal to issue $100 million in Bitcoin-backed bonds, a move criticized by supporters as short-sighted. The council voted 3-2 against the initiative, which aimed to leverage Bitcoin as collateral and build on the state's crypto-friendly stance.
In a notable step for institutional adoption, Circle, the issuer of the USDC stablecoin, announced it has received final approval from the U.S. Office of the Comptroller of the Currency (OCC) to establish a federally regulated national trust bank. This new entity, to be named First National Digital Currency Bank and operate as Circle National Trust, will initially focus on digital asset custody services for Circle and its affiliates, with potential future expansion to institutional clients.