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America's Justice Department Shuts Down Its Cryptocurrency Fraud Unit

3 months ago
America's Justice Department "has shut down its unit that investigates cryptocurrency fraud," reports USA Today. A Monday night memo from U.S. Deputy Attorney General Todd Blanche said the shut down was "effective immediately." Blanche directed the closure of the National Cryptocurrency Enforcement Team and ordered prosecutors to pivot to investigating transnational criminal organizations and terrorist groups that use crypto to engage in illicit transactions... In his four-page memo, Blanche said the new order was meant to bring the Justice Department in line with Trump's own Executive Order 14178, which decreed that clarity and certainty regarding enforcement policy "are essential to supporting a vibrant and inclusive digital economy and innovation in digital assets." Blanche, one of several Trump criminal defense lawyers at the top ranks of DOJ, said the president "has also made clear that '[w]e are going to end the regulatory weaponization against digital assets'..." Consistent with that narrowing of its cryptocurrency enforcement policy, the DOJ Market Integrity and Major Frauds Unit will also cease cryptocurrency enforcement to focus on other administration priorities, including immigration and procurement fraud, Blanche said. The Washington Post got this assessment from Yesha Yadav, a Vanderbilt University law professor who closely follows cryptocurrency and financial markets. "It's hard to underestimate the importance this task force has had ... in pursuing some really huge crypto hacks and cases." More from USA Today: Public corruption and transnational crime experts warned that shutting down the unit could divert critical resources from efforts to stop criminals and corrupt regimes from using cryptocurrency for illicit gain, even as Trump claims he wants to crack down on them. "Dangerous US adversaries rely on cryptocurrencies to launder money and evade sanctions," said Nate Sibley, an anti-corruption expert and director of the Kleptocracy Initiative at the conservative Hudson Institute think tank in Washington, D.C., in a post on X. "If this is accurate, hard to see how it squares with — for example-cracking down on cartel finances or maximum pressure sanctions on Iran...." Trump's so-called "memecoin" surged from less than $10 on the Saturday before his inauguration to as high as $74.59 before eventually giving up some of its gains. The token, branded $TRUMP, has been criticized by ethics experts as a conflict of interest for the president since the company could likely benefit from his pro-crypto policies... Last month, Trump signed an order to create a federal Strategic Bitcoin Reserve, signaling new federal support for cryptocurrency in general and Bitcoin in particular. Since the first-ever White House crypto summit in March, America's Securities and Exchange Commission "has dropped more than a dozen cases against crypto firms," notes the Washington Post: Last month, both the Federal Deposit Insurance Corp. and the Office of the Comptroller of the Currency pledged to stop evaluating banks based on "reputational risk" — a practice that some venture capitalists have claimed unfairly "de-banked" founders of cryptocurrency start-ups. In other news, executives from cryptocurrency exchange Binance "met with Treasury Department officials last month," reports the Wall Street Journal, asking them to remove a U.S. monitor overseeing their compliance with anti-money-laundering laws, according to people familiar with the talks. The article adds that Binance is also concurrently "exploring" a deal with the Trump family to list its new dollar-pegged stablecoin which "could catapult it into a huge market and potentially bring in billions in profit for the family. "

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EditorDavid

For the First Time Astronomers Watch a Black Hole 'Wake Up' in Real-Time

3 months ago
Black holes "often exhibit long periods of dormancy," writes Popular Science, adding that astronomers had never witnessed a black hole "wake up" in real time. "Until now..." In February of 2024 X-ray bursts were spotted coming out of a black hole named Ansky by Lorena Hernández-García at Chile's Valparaiso University, according to the article. And what astronomers have now seen "challenges prevailing theories about black hole lifecycles." Hernández-García and collaborators then determined the black hole was displaying a phenomenon known as a quasiperiodic eruption, or QPE [a short-lived flaring event...] While a black hole inevitably destroys everything it captures, objects behave differently during their impending demise. A star, for example, generally stretches apart into a bright, hot, fast-spinning disc known as an accretion disc. Most astronomers have theorized that black holes generate QPEs when a comparatively small object like a star or even a smaller black hole collides with an accretion disc. In the case of Ansky, however, there isn't any evidence linking it to the death of a star. "The bursts of X-rays from Ansky are ten times longer and ten times more luminous than what we see from a typical QPE," said MIT PhD student and study co-author Joheen Chakraborty. "Each of these eruptions is releasing a hundred times more energy than we have seen elsewhere. Ansky's eruptions also show the longest cadence ever observed, of about 4.5 days." Astronomers must now consider other explanations for Ansky's remarkable behavior. One theory posits that the accretion disc could come from nearby galactic gas pulled in by the black hole instead of a star. If true, then the X-rays may originate from high energy shocks to the disc caused by a small cosmic object repeatedly passing through and disrupting orbital matter. It's detailed in a study published on April 11 in Nature Astronomy.... Meanwhile, scientists "have uncovered the strongest evidence yet for the existence of elusive intermediate-mass black holes," reports SciTechDaily. And there's more black hole news from RockDoctor (Slashdot reader #15,477): Given the recent work on galaxy-centre Super-Massive Black Holes (SMBHs), you may be surprised to learn that the only Stellar-Mass Black Holes (SMBHs ... uh, "BHs") identified to-date have been by their gravitational waves, as they merge with another BH or a neutron star. But the long-running OGLE (Optical Gravitational Lensing Experiment) project (1992 — present) has recently confirmed that it has detected an isolated BH not orbiting another bright object, or "swallowing" much of anything... In this case, 16 other telescopes performed sensitive astrometry (position measurement) over 11 years including the Hubble Space Telescope (HST). These multiple measurements plot an ellipse on the sky, mirroring the movement of the Earth around it's orbit — parallax. Which means this is a relatively close object (1520 parsecs / ~5000 light years).... And there is no sign of a third light emitting body nearby, which means this is an isolated black hole, not orbiting any other body (or, indeed, with any other [small] star orbiting it).

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EditorDavid

Microsoft total recalls Recall totally to Copilot+ PCs

3 months ago
Redmond hopes you’ve forgotten or got over why everyone hated it the first time

After temporarily shelving its controversial Windows Recall feature amid a wave of backlash, Microsoft is back at it - now quietly slipping the screenshotting app into the Windows 11 Release Preview channel for Copilot+ PCs, signaling its near-readiness for general availability.…

Iain Thomson

Germany's 'Universal Basic Income' Experiment Proves It Doesn't Encourage Unmployment

3 months ago
People "are likely to continue working full-time even if they receive no-strings-attached universal basic income payments," reports CNN, citing results from a recent experiment in Germany (discussed on Slashdot in 2020): Mein Grundeinkommen (My Basic Income), the Berlin-based non-profit that ran the German study, followed 122 people for three years. From June 2021 to May 2024, this group received an unconditional sum of €1,200 ($1,365) per month. The study focused on people aged between 21 and 40 who lived alone and already earned between 1,100 euros (around $1,250) and 2,600 euros ($2,950) a month. They were free to use the extra money from the study on anything they wanted. Over the course of three years, the only condition was that they had to fill out a questionnaire every six months that asked about different areas of their lives, including their financial situation, work patterns, mental well-being and social engagement. One concern voiced by critics is that receiving a basic income could make people less inclined to work. But the Grundeinkommen study suggests that may not be the case at all. It found that receiving a basic income was not a reason for people to quit their jobs. On average, study participants worked 40 hours a week and stayed in employment — identical to the study's control group, which received no payment. "We find no evidence that people love doing nothing," Susann Fiedler, a professor at the Vienna University of Economics and Business who was involved with the study, said on the study's website. Unlike the control group, those receiving a basic income were more likely to change jobs or enroll in further education. They reported greater satisfaction in their working life — and were "significantly" more satisfied with their income... And can more money buy happiness? According to the study, the recipients of a basic income reported feeling that their lives were "more valuable and meaningful" and felt a clear improvement in their mental health.

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EditorDavid