US Distillery Embraces Bitcoin for Treasury Use
Heritage Distilling, a Washington-based craft spirits producer, has announced it will begin accepting Bitcoin for payments and adopt the cryptocurrency as a treasury asset. The company, which claims to be the first publicly traded distillery to integrate Bitcoin into its business model, introduced the policy on January 10.
Heritage will accept Bitcoin for products and services via its e-commerce platform. A statement from the distillery noted that the decision was made despite the cryptocurrency’s volatility, citing the potential benefits of attracting a new customer base and the possibility of Bitcoin appreciating in value.
Heritage Distilling plans to accept Bitcoin for online purchases soon. Source: Heritage Distilling website
The company’s newly formed Technology and Cryptocurrency Committee, led by former Nubank CTO Matt Swann, played a key role in the initiative. Swann was also recently appointed to the distillery’s Board of Directors. Heritage plans to begin accepting Bitcoin for online purchases “soon,” according to its website.
Wolf Capital Co-Founder Pleads Guilty to $9.4 Million Fraud
Travis Ford, co-founder and head trader of the cryptocurrency investment firm Wolf Capital, has pleaded guilty to charges of wire fraud conspiracy. Ford was involved in a Ponzi scheme that defrauded approximately 2,800 investors out of $9.4 million between January and August 2023.
The United States Department of Justice (DOJ) revealed that Ford falsely promised investors daily returns of 1-2%, equating to an annual return of 547%. He marketed these promises through the company’s website, social media platforms, and online promotions. Instead of investing the funds as promised, Ford and his associates diverted the money for personal financial gain.
Ford admitted that the claimed returns were unattainable. He faces a maximum sentence of five years for his guilty plea to one count of conspiracy to commit wire fraud. A sentencing date has not yet been set.
US Regulators Seek Protections for Crypto Wallet Users
The United States Consumer Financial Protection Bureau (CFPB) has proposed a new rule to extend banking-like protections to cryptocurrency users. The initiative aims to safeguard users of crypto wallets and accounts against fraud and errors.
The CFPB’s proposed rule protecting users who hold crypto assets. Source: CFPB
Under the proposal, crypto service providers could be required to refund customers who lose funds due to scams or hacks. The CFPB suggested that protections under the Electronic Fund Transfer Act should apply to users of “emerging payment mechanisms,” including stablecoins and other digital assets used as mediums of exchange.
The agency clarified that assets functioning as money, such as those used for payments or value measurement, would fall under these protections. The move comes amid mounting losses in the crypto industry due to fraud. In 2024 alone, PeckShield data recorded $3 billion lost to scams and hacks, while Chainalysis estimated the figure at $2.2 billion over the past year.
As the crypto sector faces increasing scrutiny, the CFPB’s proposal reflects growing efforts to provide users with the security measures typically associated with traditional financial systems.
