The Block

Quick Take A complaint filed by the U.S. Trustee overseeing the FTX bankruptcy outlines ten complaints against the estate’s plan, including overly broad legal protection of entities involved in the bankruptcy, the unequal treatment of smaller creditors, and the lack of a carve out for fees related to a data breach suffered by the estate. A separate complaint filed by creditor activist Sunil Kavuri, among others, argues the plan should allow for in-kind distributions to help creditors avoid large tax bills,

Polygon has regained control of its community Discord server following a hack that allegedly cost one user about $145,000 in assets.The attack, seemingly from a serial hacker, comes shortly before Polygon’s planned mainnet upgrade on Sep. 4, which will transition its native token MATIC to a new token with the ticker POL.

Quick Take The SEC adopted Rule 613 in 2012 following the financial crisis, requiring national securities exchanges and the Financial Industry Regulatory Authority to maintain a consolidated audit trail, or CAT. The CAT will turn “blockchains into a massive and fully deanonymized repository for the government to search at will, without any need to show cause to obtain a warrant,” the groups said in an amicus brief filed on Thursday.

Quick Take The crypto lending sector is recovering from the cascade of bankruptcies in 2022, but firms are approaching it conservatively. This column is adapted from The Scoop newsletter.

Quick Take U.S. crypto exchange Kraken has failed to dismiss the case against it brought by the Securities and Exchange Commission. The SEC argues the exchange operated as an unregistered securities exchange, broker-dealer and clearing agency in addition to mishandling customer information and funds.

Quick Take Digital Currency Group has fully repaid its short-term debts as of June, the company announced in a quarterly shareholder letter this week. Its only remaining debt is a $1.1 billion promissory note due to its bankrupt crypto-lending unit Genesis in eight years.

Quick Take Robert F. Kennedy Jr. has been friendly toward the crypto industry over the past year and made several promises for his first potential day as president at Bitcoin 2024 last month. Kennedy also announced on Friday that he would be backing Republican candidate and former president Donald Trump

Quick Take Payments giant PayPal and crypto custodian Anchorage Digital are partnering on a stablecoin rewards program. The program will pay out yield on PayPal USD tokens held by the crypto-native bank or in Anchorage’s institutional self-custody wallet Porto.

Bitcoin spikes up as Fed says ‘time for policy adjustment’ at Jackson HoleBlockchain Association, DeFi Education Fund warn that SEC’s consolidated audit trail poses privacy concernsCrypto exchange Kraken’s motion to dismiss US SEC case deniedThe following is adapted from The Block’s newsletter, The Daily, which comes out on weekday afternoons