Lawmakers raised concerns on April 4 about 50 instances of power outages since February attributed to the illicit use of electricity by cryptocurrency miners. If the proposed bill is enacted, it could impact major industry players like Marathon Digital Holdings, which expanded operations in Paraguay last November, deploying 27 megawatts of power near the Itaipu hydroelectric plant.
The controversy in Paraguay coincides with preparations by Bitcoin miners for the impending Bitcoin halving event on April 20, which will reduce miner rewards by half. In a separate statement on April 10, ASIC expressed its apprehension regarding the Finder Earn product's provision without proper licenses or authorizations, leading to consumer protection concerns.
ASIC's appeal against this decision will be heard by the Full Court of the Federal Court, the second highest court in Australia after the High Court. The appeal process signifies the matter's significance and could potentially impact the regulatory landscape.
Despite ASIC's stance, a spokesperson for Finder expressed disappointment but affirmed the company's commitment to vigorously defend its product before the Full Federal Court. Finder's Earn product, launched between February and November 2022, allowed users to exchange Australian dollars for TrueAUD (TAUD), a stablecoin pegged to the Australian dollar, offering a return rate of 4-6%.
ASIC initiated legal action against Finder Wallet in December 2022, alleging its operation as an unlicensed financial product. While Finder Wallet discontinued the product ahead of schedule, citing strategic business decisions, ASIC maintains its position, indicating ongoing regulatory scrutiny. Despite prevailing in court, Finder has no intentions of reintroducing the Finder Earn product.
