Hey there, PoI readers! 🌟

Mochi here, ready to dish out the 77th serving of our tantalizing tech and web3 newsletter. From Ripple's CEO calling out the U.S. government's pursuit of Tether to OpenAI's GPT-4o bringing AI-human interaction to new heights, we've got a smorgasbord of stories to sink our teeth into. So, grab your favorite snack, settle in, and let's embark on another thrilling adventure through the ever-evolving landscape of digital assets! 💡

INTEL BRIEF

🟧 Ripple CEO Brad Garlinghouse believes the U.S. government is targeting Tether, which could have significant implications for the crypto ecosystem.

🟧 OpenAI has unveiled GPT-4o, a more advanced and humanlike version of ChatGPT that can interpret video and audio in real-time, offering a more natural and expressive conversational experience.

🟧 Bitfarms CEO Geoffrey Morphy has stepped down immediately following his filing of a $27 million lawsuit against the company, with co-founder Nicolas Bonta taking over as interim president and CEO.

🟧 The Philippines central bank has approved a pilot for PHPC, a peso-backed stablecoin, in partnership with Coins.ph, to test its real-world performance and potential uses within a sandbox environment.

Ripple CEO: U.S. Government's Pursuit of Tether Could Shake Up Crypto Markets

In a recent episode of the World Class podcast, Ripple CEO Brad Garlinghouse made a bold claim: "The U.S. government is going after Tether, that is clear to me." While Garlinghouse did not provide specific details, he emphasized the importance of Tether in the crypto ecosystem and the unpredictable impact that potential U.S. regulatory action against the stablecoin issuer could have on the markets.

Garlinghouse's comments come amidst Ripple's own plans to launch a stablecoin in 2024, backed by dollar deposits, short-term government Treasurys, and other cash equivalents. The Ripple boss also suggested that another crypto-related black swan event, similar to the collapse of FTX, is "100%" likely to occur.

Tether, the company behind the world's largest stablecoin by market capitalization, USDT, has faced scrutiny in recent years. In October 2021, the company paid a $41 million fine to the Commodity Futures Trading Commission for misrepresenting its reserve holdings. More recently, U.S. Senator Cynthia Lummis and Representative French Hill urged the Department of Justice to investigate Binance and Tether for potential support of terrorism.

As the crypto industry continues to navigate regulatory challenges, the fate of Tether remains uncertain. Garlinghouse's comments serve as a reminder of the potential ripple effects that regulatory action against a major player like Tether could have on the broader crypto market.

Ripple CEO believes the U.S. government is targeting Tether

Potential regulatory action against Tether could have significant, unpredictable impacts on the crypto ecosystem

Tether has faced scrutiny over its reserve holdings and transparency in recent years

OpenAI's GPT-4o: A Leap Forward in AI-Human Interaction

OpenAI has introduced GPT-4o, a significant upgrade to its popular ChatGPT AI model. Dubbed "GPT Omni," this new version of the chatbot boasts the ability to interpret video and audio in real-time, responding more convincingly and naturally, akin to human conversation.

GPT-4o's demos showcase its impressive capabilities, from offering interview preparation advice and calling customer service on behalf of the user, to sharing dad jokes, translating bilingual conversations, and even reacting to a user's puppy with endearing enthusiasm. OpenAI's CEO, Sam Altman, expressed his amazement at the technology, stating, "It feels like AI from the movies; and it's still a bit surprising to me that it's real."

The new AI tool marks a considerable advancement compared to its predecessors, such as ChatGPT-4, which often struggled with multi-tasking and information loss. GPT-4o's ability to process text, audio, and images simultaneously, coupled with its enhanced vision and audio understanding, sets it apart from existing models. It can even pick up on a user's emotions and breathing patterns, further humanizing the interaction.

Accessibility is another key aspect of GPT-4o, as it will be available to both paid and free ChatGPT users through the ChatGPT API. The text and image-only input version launched on May 13, with the full version set to roll out in the coming weeks.

Additionally, GPT-4o is reportedly 50% cheaper and much faster than GPT-4 Turbo, with response times similar to those in ordinary human conversations.

OpenAI has introduced GPT-4o, a more advanced and humanlike version of ChatGPT.

GPT-4o can interpret video and audio in real-time, offering a more natural conversational experience

The new AI tool is accessible to both paid and free ChatGPT users and boasts improved speed and cost-efficiency compared to its predecessors.

Bitfarms CEO Departs Abruptly Amid $27M Lawsuit Against the Company

Bitfarms, a prominent cryptocurrency mining firm, has terminated its President and CEO, Geoffrey Morphy, with immediate effect. The move comes in response to a $27 million lawsuit filed by Morphy against the company on May 10 in the Superior Court of Ontario, alleging breach of contract, wrongful dismissal, and aggravated and punitive damages.

Bitfarms had previously announced plans for Morphy to continue leading the company until a suitable replacement could be found. However, the recent legal action has prompted the mining firm to take swift action, with Bitfarms co-founder and chairman Nicolas Bonta stepping in as interim President and CEO until a permanent successor is appointed in the coming weeks.

The company has unequivocally stated that it believes Morphy's claims are "without merit" and intends to "defend itself vigorously" against the lawsuit. This unexpected development comes at a time when Bitfarms is gearing up for significant investments in upgrading its mining equipment, with plans to invest approximately $240 million following the BTC halving event, potentially increasing its hash rate capacity to an impressive 21 exahashes per second.

Despite the legal turmoil, Bitfarms continues to report strong mining performance, having earned 269 BTC in mining rewards and transaction fees in April alone. The company is set to announce its earnings for the first quarter of 2024 on May 15, although its stock (BITF) on the Nasdaq has taken a hit, falling roughly 29% since March 25.

Bitfarms CEO Geoffrey Morphy has been terminated immediately due to a $27 million lawsuit he filed against the company.

Co-founder Nicolas Bonta has been appointed interim President and CEO until a permanent replacement is found

Bitfarms believes Morphy's claims are without merit and intends to defend itself vigorously

Philippines Embarks on Peso-Backed Stablecoin Pilot with “Coins.ph”

The Philippines is taking a significant step towards embracing digital assets as the Bangko Sentral ng Pilipinas (BSP) greenlights a controlled trial of PHPC, a national stablecoin pegged 1:1 to the local peso. This pilot, conducted in partnership with crypto wallet provider Coins.ph, aims to evaluate the stablecoin's real-world performance, its impact on the local fiat ecosystem, and its potential applications in various domains.

Under the terms of the deal, Coins.ph will maintain cash reserves in pesos equivalent to the circulating supply of PHPC within the sandbox environment. The pegging of the stablecoin to the local currency is designed to facilitate a smooth transition back to its physical fiat counterpart, ensuring stability and trust in the digital asset.

The sandbox testing will explore PHPC's potential uses, which include "domestic and cross-border payments, trading with other virtual assets, hedging against market volatility, and providing collateral and liquidity in DeFi applications." The results of this pilot will be crucial in determining whether PHPC will transition from the sandbox environment to real-world usage, subject to final evaluations and approvals by the central bank.

This initiative is not the first of its kind in the Philippines. In July 2019, UnionBank launched PHX, a payments-focused stablecoin pegged to the Philippine peso, to drive greater financial inclusion. PHX was implemented on UnionBank's i2i platform, which stands for island-to-island, institution-to-institution, and individual-to-individual.

As the Philippines continues to explore the potential of stablecoins and digital assets, the outcome of the PHPC pilot will be closely watched by both the financial industry and the crypto community.

The Philippines central bank has approved a pilot for PHPC, a peso-backed stablecoin, in partnership with Coins.ph

The sandbox testing aims to evaluate PHPC's real-world performance, impact on the local fiat ecosystem, and potential uses.

The results will determine whether PHPC will transition from the sandbox environment to real-world usage.

And there you have it, my brilliant PoI readers! I hope this edition left you feeling informed, entertained, and maybe even a little bit more excited about the future of crypto (despite some of the bumps in the road). Remember to stay curious, stay informed, and keep spreading the love. Until next time, this is Mochi, signing off with a virtual high-five! ✋😄

P.S. Don't forget to share your thoughts, questions, and favorite crypto memes with us. Every voice matters in the PoI community, and we'd love to hear from you! 🗣️❤️ Share the newsletter and let's keep the conversation going!

🍨📰 Catch you in the next issue! 📰🍨