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Home Blog Page 17

Die Linke States the Attacks on Iran are Not Justified as Self Defense Under Article 51 of the UN Charter 

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A report from the Scientific Services of the German Bundestag concludes that the ongoing US-Israeli military campaign against Iran violates international law, specifically the prohibition on the use of force under Article 2(4) of the UN Charter.

The analysis, commissioned by lawmakers from the opposition party Die Linke, states that the attacks are neither justified as self-defense under Article 51 of the UN Charter nor authorized by the UN Security Council. It describes this as the prevailing opinion among international legal experts.

The 12-page opinion also examines potential German complicity. It notes that the use of US military bases in Germany such as Ramstein Air Base for operations against Iran cannot be ruled out as constituting prohibited assistance to a violation of international law, depending on the specific circumstances. This could expose Germany to legal responsibility.

The report was released or leaked in late March 2026, amid reports of US and Israeli strikes on Iranian targets; referred to in some coverage as operations like Epic Fury or Roaring Lion. It aligns with earlier comments by German President Frank-Walter Steinmeier, who called the war a disastrous mistake and a breach of international law, questioning the US justification of an imminent threat.

Chancellor Friedrich Merz has taken a more cautious or supportive stance toward US/Israeli goals, criticizing Iran’s leadership and avoiding a direct legal assessment in some parliamentary appearances, highlighting a rift within German politics. Under the UN Charter, the default rule is a strict prohibition on the threat or use of force against another state’s territorial integrity or political independence.

Exceptions are narrow: Individual or collective self-defense against an armed attack or, in contested interpretations, an imminent one under the Caroline doctrine criteria of necessity and proportionality. The Bundestag experts’ assessment hinges on whether the Iranian actions (or capabilities) met the threshold for lawful self-defense.

Critics of the strikes argue they resemble preventive or preemptive action, which most legal scholars view as unlawful absent an actual or genuinely imminent armed attack.

Proponents including US/Israeli officials typically invoke Iran’s nuclear program, proxy attacks, or long-term threats as creating an existential or imminent danger, plus broader arguments about state practice and the limits of the Charter in asymmetric or WMD contexts.

International law in this area is often debated and state-dependent; powerful actors have historically stretched interpretations; debates over the 2003 Iraq War, interventions against non-state actors, or responses to nuclear proliferation. The prevailing opinion cited is real among many academics and smaller states, but it is not universally binding—especially when major powers disagree and the Security Council is deadlocked.

Germany’s post-WWII legal culture emphasizes strict adherence to the UN Charter and multilateralism, which explains the sensitivity here and the focus on potential complicity via bases. However, this stance has been applied unevenly in practice across conflicts.

The report itself is advisory, not legally binding on the German government or courts. It reflects one institutional view commissioned by a specific political faction, though the underlying legal analysis draws on mainstream scholarship. Broader geopolitical realities— Iran’s nuclear ambitions, support for regional militias, and the failure of prior diplomatic efforts—drive the US/Israeli actions, even if they strain formal Charter rules.

This episode underscores ongoing tensions between strict textual interpretations of international law and the security imperatives cited by states facing perceived existential threats.

German Road Hauliers Warn about Rising Diesel Prices Straining Freight and Logistics Sector 

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German road hauliers have warned that sharply rising diesel prices are straining the freight and logistics sector, with potential knock-on effects for consumer prices in the near term.

The alert comes primarily from the Bundesverband Güterkraftverkehr, Logistik und Entsorgung (BGL), Germany’s main road freight association. Its president, Dirk Engelhardt, highlighted the issue in recent statements. Since the start of the war in Iran escalating Middle East tensions, diesel prices in Germany have risen by around 40 cents per liter.

This exceeds what can be explained by crude oil prices alone and reflects a global diesel shortage, with Germany seeing some of the steepest increases in Europe. For a single truck driving 10,000 km per month at 30 liters/100 km consumption, extra costs amount to about €1,200 per month.

For a fleet of 50 vehicles, this adds up to more than €700,000 per year. Smaller companies often lack hedging tools like Dieselfloater; price adjustment clauses in contracts, so costs hit them immediately. Larger operators may pass some increases on with delays.

Diesel hedging tools are financial or contractual mechanisms that help road hauliers, logistics companies, and other diesel consumers manage the risk of volatile fuel prices. They aim to stabilize costs, protect margins, and reduce uncertainty in budgeting—especially important for transport firms where fuel can represent 30-40% of operating expenses.

In the context of German hauliers, larger operators often rely on contractual tools like the Dieselfloater, while sophisticated players may use financial derivatives. Smaller companies frequently lack access to these, leaving them more exposed to sudden spikes like the recent ~40-cent-per-liter rise tied to geopolitical events.

The Dieselfloater: This is the most common and accessible tool in the German/European logistics sector. It is not a pure financial hedge but a built-in contractual mechanism.How it works: A diesel floater is a clause negotiated into freight contracts. It allows the haulier to automatically add a variable surcharge to the base freight rate when diesel prices rise above a reference level.

The surcharge is calculated using an official index often the BGL’s diesel price data or the German Federal Statistical Office’s wholesale diesel index and is shown separately on invoices

The BGL, along with other associations for parcel/express, furniture moving, and in-house logistics, has called for swift, unbureaucratic government relief to protect liquidity and keep supply chains running.

Engelhardt noted: It stands to reason that this could have an impact on consumer prices sooner or later. Transport is a core part of the economy’s backbone, so higher freight costs tend to flow through to goods prices. This warning fits into a broader picture of energy price pressures: The Iran conflict has disrupted oil markets, pushing up diesel and related fuels.

Germany is particularly exposed due to its reliance on imports and high transport intensity. Separate surveys show German consumer confidence slumping in April 2026 forecasts, with fears of renewed inflation from higher oil, gas, and petrol prices. Many expect energy costs to stay elevated long-term. Germany has faced sluggish growth or recession risks in recent years.

Higher energy and transport costs threaten to delay any recovery by raising production and distribution expenses across industry. The government has been discussing measures like fuel price caps, windfall taxes on oil firms, or targeted relief, but hauliers argue action needs to be fast to avoid insolvencies or service disruptions.

Some costs may be absorbed or hedged, but sustained high diesel prices could lead to: Higher shipping and logistics surcharges. Gradual price increases for everyday goods. Pressure on margins in an already challenged sector. This is a classic cost-push dynamic: energy shocks in transport ripple outward because logistics underpin supply chains.

Whether it materially hits shoppers depends on how quickly prices stabilize, any government intervention, and whether companies can offset via efficiency or contracts. The situation remains fluid—Broader energy policy like diversification away from volatile fossil imports will influence longer-term resilience.

CAF Expands Africa Cup of Nations to 28 Teams, Unveils Four-Year Cycle and New Nations League

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The Confederation of African Football (CAF) is shaking up its flagship tournament, increasing the Africa Cup of Nations from 24 to 28 teams while shifting the competition to a four-year cycle and launching an annual Nations League starting in 2029, president Patrice Motsepe announced Sunday.

The surprise expansion, revealed after a CAF executive committee meeting in Dar es Salaam, aims to give more nations a shot at continental glory and bring top African talent back home for the showpiece event.

“This is evidence of our commitment to world-class football,” Motsepe said, adding that the move would allow “the best African players from all over the world” to compete on the continent.

Details on how the expanded format will work, including group stages, knockout rounds, or qualification changes, remain unclear, and Motsepe offered no timeline for when the 28-team edition would debut. The last four finals have featured 24 teams, up from 16 since the 2019 expansion in Egypt.

Motsepe insisted the 2027 tournament would proceed as scheduled in the co-hosts Kenya, Tanzania, and Uganda, with a follow-up edition in 2028. After that, AFCON will settle into a quadrennial rhythm, freeing up space for the new annual Nations League. The league will feature all 54 African member associations in zonal-based competition, culminating in a 16-team final tournament every two years.

Motsepe highlighted its potential to deliver predictable, high-stakes fixtures like Kenya vs Tanzania, Ghana vs Nigeria, or Egypt vs Morocco during FIFA windows.

“We have to stop this thing of African fixtures not being predictable, consistent and reliable,” he said. “We must develop football in East Africa, which is an area of much potential.”

CAF’s General Sec. Resigns

The ambitious overhaul comes at a turbulent moment for CAF. Hours before the announcement, general secretary Véron Mossengo-Omba stepped down after five years in the role, citing a desire to pursue personal projects after more than three decades in international football administration.

The 66-year-old Swiss-Congolese official, a former FIFA executive and university friend of FIFA president Gianni Infantino, had faced mounting pressure to leave, including criticism for staying past the organization’s mandatory retirement age of 63.

Mossengo-Omba’s departure occurs against a backdrop of controversy, including CAF’s decision to strip Senegal of the 2025 AFCON title — a move that damaged the tournament’s credibility and prompted Senegal’s government to appeal the decision in the Court of Arbitration for Sports (CAS), calling it absurd.

Some staff had accused him of fostering a toxic workplace atmosphere, though an internal probe cleared him. Social media and elements within CAF’s executive committee had grown increasingly vocal in demanding change.

In his farewell statement, Mossengo-Omba said he was retiring with “peace of mind” after dispelling suspicions cast upon him, leaving CAF “more prosperous than ever.” Motsepe offered a different account later, telling reporters that Mossengo-Omba had been asked by the Democratic Republic of Congo’s president to help develop football back home.

Sources indicate the veteran administrator is expected to run for president of Congo’s football federation in upcoming elections — a move that could position him for a future tilt at CAF’s top job if Motsepe eventually steps aside for South African politics, something the billionaire has repeatedly denied.

CAF named competitions director Samson Adamu, a Nigerian, as acting general secretary.

The leadership transition and governance questions have cast uncertainty on Motsepe’s vision for reform. Expanding AFCON to 28 teams could boost revenue and broaden participation, but it risks diluting quality or straining infrastructure in host nations if logistics and qualification pathways are not carefully managed.

The shift to a four-year cycle aligns CAF more closely with the global calendar dominated by the FIFA World Cup and European Championships, while the Nations League is designed to keep competitive rhythm alive without overloading the schedule.

It is not certain that these changes will deliver opportunities for countries in underrepresented regions like East Africa, or simply paper over deeper issues of transparency and stability that have dogged African football’s governing body for years.

80% of MicroStrategy’s Retail Investors Hold STRC Compared to 40% on MSTR Common Stock 

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Strategy Inc. formerly known as MicroStrategy, ticker MSTR, has been aggressively acquiring Bitcoin and using innovative capital raises to fund it.

STRC is Strategy’s Stretch Variable Rate Series A Perpetual Preferred Stock (Nasdaq: STRC). It’s a perpetual preferred share designed to trade near a $100 par value, with a variable monthly dividend recently hiked to 11.50% for March 2026 that adjusts in 0.25% increments to stabilize the price and reduce volatility. Dividends are paid monthly in cash.

Strategy CEO Phong Le stated that retail investors now hold roughly 80% of STRC, compared to only about 40% of the common stock (MSTR). This makes STRC the clear retail favorite right now. MSTR common stock has slid roughly 12–19% year-to-date, roughly tracking Bitcoin’s recent price action. Over the past six months, MSTR has dropped more sharply ~56% in some reports, reflecting its high-beta leveraged exposure to BTC.

Retail investors appear to be seeking lower-volatility Bitcoin exposure with a high yield. STRC offers an ~11.5% annual dividend while still being tied to Strategy’s massive Bitcoin treasury; the company remains the largest corporate BTC holder and continues buying more. The structure aims to strip away price volatility by adjusting the dividend rate to keep the share price near $100.

This contrasts with MSTR common stock, which moves sharply with Bitcoin and has significant leverage via debt and equity raises. Strategy has been pivoting toward preferred capital raises including STRC, along with other series like STRK to fund BTC purchases with less dilution pressure on common shareholders. Billions have already been raised this way, and more is planned.

Many retail holders seem to prefer the income + moderated downside of STRC over the pure equity upside and volatility of MSTR common shares. STRC is still equity-like and sits higher in the capital structure than common stock for dividends, but it carries concentration risk tied to Strategy’s Bitcoin-heavy balance sheet and the company’s ability to sustain payouts.

The variable rate mechanism helps keep it stable around par, but it’s not risk-free—Bitcoin price drops, liquidity issues, or changes in investor sentiment could still pressure it. This fits Strategy’s and Michael Saylor’s broader strategy of layering different Bitcoin-linked instruments to appeal to varied investor preferences.

High-beta common stock for aggressive bulls, preferreds for yield-focused or more cautious players. The highlights how Strategy is innovating its capital structure amid volatile crypto markets. STRC is a perpetual preferred stock issued by Strategy. Its dividend mechanics are deliberately designed to promote price stability around a $100 stated amount while delivering a high, cash-paying yield.

$100 per share. All dividend calculations are based on this amount, not the current market price. Variable Annual Dividend Rate: The rate is set monthly and can change. As of March 2026, it stands at 11.50% per annum; this has been increased multiple times since launch in July 2025, when it started at 9.00%.

Dividends are paid monthly in arrears, typically on the last calendar day of each month or the next business day. They are declared by the board out of legally available funds.Monthly dividend per share = (Annual Rate × $100) ÷ 12. Example at 11.50%: ($11.50 ÷ 12) ? $0.9583 per share per month.

If a dividend is not paid or only partially paid, it accumulates and compounds monthly at the prevailing rate until paid. Unpaid dividends must generally be cleared before the company can lower the rate in future periods. This is the defining feature of STRC: Strategy’s board reviews the stock’s recent trading price—often based on the five-day volume-weighted average price (VWAP) leading up to the end of the month.

Adjust the dividend rate in the company’s sole discretion to encourage the share price to trade close to $100. If STRC trades below ~$100 especially noticeably lower, the company typically increases the rate to make it more attractive to buyers, which should support or lift the price.

If STRC trades above ~$100, the company may decrease the rate to reduce appeal and bring the price back toward par. Changes are generally made in ±0.25% increments, though larger moves have occurred.

Downward adjustments are more restricted: They cannot drop below certain floors tied to one-month term SOFR; a short-term interest rate benchmark and are limited relative to the prior rate. The company has published informal frameworks (subject to change) linking adjustments to VWAP bands.

Rate changes are announced before the next dividend period and apply to the upcoming month. This mechanism aims to “strip away price volatility” and make STRC behave more like a high-yield savings account or short-duration credit instrument than a typical volatile equity or Bitcoin proxy.

Strategy can change or suspend its adjustment framework at any time. It can also issue other preferred stock ranking equally or senior in certain respects. While designed for stability, STRC remains tied to Strategy’s overall financial health, its massive Bitcoin holdings and its ability to continue raising capital and generating liquidity for payouts.

Judge Certifies Class Action Securities Lawsuit Againt NVIDIA On Alleged Concealed Revenue from GPU Sales

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A U.S. federal judge in California certified a class-action securities lawsuit against NVIDIA and its CEO Jensen Huang. The suit alleges that the company concealed more than $1 billion in revenue from GPU sales to cryptocurrency miners during the 2017–2018 crypto boom, improperly booking it as standard gaming demand.

The class period covers investors who purchased NVIDIA stock between August 10, 2017, and November 15, 2018. Plaintiffs claim NVIDIA downplayed the role of crypto miners—who were snapping up GeForce gaming GPUs in massive quantities—while publicly attributing surging revenue to consumer gaming.

When mining demand collapsed in late 2018, NVIDIA issued weak guidance, and the stock dropped sharply. Key claims include: Internal documents, former employee testimony, and independent analyses suggest NVIDIA earned roughly $1.1–1.35 billion, some estimates up to $1.7 billion total crypto-related more from miners than it disclosed.

Much of this came from miners purchasing consumer-grade GeForce cards often through resellers or indirect channels rather than dedicated mining hardware at the time. NVIDIA allegedly minimized crypto exposure in earnings calls and filings, creating a misleading picture of sustainable gaming growth.

This isn’t entirely new. The original complaint dates back to 2018, and the case has been winding through the courts. The recent development is class certification, allowing affected shareholders to sue collectively. A case management conference is set for April 21, 2026.

NVIDIA has faced scrutiny over crypto disclosures before. In 2022, the SEC fined the company $5.5 million for failing to adequately disclose the impact of cryptocurrency mining on its business in earlier periods.

During the 2017–2018 boom, GPU shortages were widespread, with miners competing against gamers. NVIDIA later introduced dedicated Crypto Mining Processors (CMPs) in 2021 to separate the markets, but the lawsuit focuses on the earlier period. NVIDIA has not yet issued a detailed public rebuttal to the latest certification but the company has historically argued that it disclosed material information and that crypto demand was part of broader market trends.

Companies in volatile sectors like semiconductors often face such suits when revenue shifts with external cycles. NVIDIA shares (NVDA) fell around 7% on the news of the certification, reflecting investor sensitivity to any reminder of past crypto volatility—especially as the company is now heavily tied to AI data center demand.

This is a long-running disclosure dispute from the last major crypto bull run, not a new operational scandal. It highlights how intertwined NVIDIA’s GPU business once was with cryptocurrency mining before AI became the dominant growth driver. The case will likely drag on, with potential for settlement or further appeals.

For current NVIDIA investors, the bigger near-term drivers remain AI chip demand, competition, and export restrictions rather than this 8-year-old episode. If you’re holding NVDA or following the stock, this adds some headline risk but doesn’t appear to change the fundamental AI trajectory.

Plaintiffs seek recovery tied to the stock price drop after NVIDIA’s November 2018 revenue warning; when the company finally flagged a sharp falloff in crypto demand. The stock fell ~28.5% over two trading days at that time. Damages in securities class actions are often calculated using out-of-pocket models based on inflated share prices during the class period.

While exact figures aren’t public yet, the scale could reach hundreds of millions to over a billion in a worst-case judgment or settlement, especially with a large certified class. NVIDIA already paid a modest $5.5 million SEC fine in 2022 for inadequate crypto mining disclosures in fiscal 2018 quarters.

This private lawsuit is separate and more significant because it involves investor damages rather than just regulatory penalties. Most securities class actions settle before trial to avoid uncertainty and legal costs. NVIDIA has signaled confidence in its disclosures; noting that long-term shareholders did incredibly well despite the 2018 dip.

A settlement could still cost tens to hundreds of millions, covered partly by insurance, but it would represent a non-operating hit. Shares showed mixed or mildly negative reactions around the March 25–26, 2026 certification news (reports of ~3–7% dips in some sessions, though offset by broader market moves and upcoming GTC conference optimism).

The reaction was muted overall, reflecting that this is an old issue from nearly a decade ago. It serves as a reminder of NVIDIA’s past cyclical volatility tied to crypto. However, today’s business is overwhelmingly driven by AI/data center demand which accounted for the vast majority of recent record revenue, e.g., $62B+ in a recent quarter.

The 2017–2018 gaming and crypto overlap feels distant to current holders focused on Blackwell, CUDA ecosystem dominance, and hyperscaler spending.