Category: Cryptocurrency exchange news

November 2nd, 2017 by VK-edit

There are currently 110 digital currency hedge funds in existence, representing $2.2 bln in assets, with over eighty digital currency hedge funds launching so far in 2017.

However, these hedge funds are generally small, and with a limited track record. The majority of these funds are in the the $5M to $20M range.

The large institutional investors (insurance companies, pension funds, and large mutual funds) are still sitting on the fence. This may be due to the wild digital currency price swings, as well as the relative lack of regulation and limited liquidity. They do not want to put their core business at risk.

In addition, out of all the crypto-currencies in existence, many are unlikely to survive and prosper, and some may also lead to fraud.

Another way for fund managers to invest in the crypto-currency market could be via a basket of hedge funds which include a crypto fund.

Posted in Cryptocurrency exchange news, Cryptocurrency market news

November 1st, 2017 by VK-edit

The growth of bitcoin derivatives is another step toward the development of the digital currency as an established asset class. 

CME, the global exchange for options and futures trading, will be offering derivatives for bitcoin, from the fourth quarter, pending regulatory review. The bitcoin futures contract will be cash-settled and based on the CME CF Bitcoin Reference Rate (BRR).

Terry Duffy, CME’s CEO, stated: “Given increasing client interest in the evolving cryptocurrency markets, we have decided to introduce a bitcoin futures contract”. Regarding the U.S. Commodity Futures Trading Commission’s application process, he added “We’ve been working with the regulator. They understand our application. And they understand our model very, very wel,”.

CME isn’t the first exchange to look into ETFs tracking bitcoin futures: 3 months ago, the Chicago Board Options Exchange announced it planned to offer cash-settled bitcoin futures by early 2018.

 

Posted in Cryptocurrency exchange news

October 30th, 2017 by VK-edit

Trading 212’s app is currently the most popular trading app in the UK, from trading shares, commodities and now crypto-currencies. According to Trading 212, the contribution of crypto-currencies to its total business is significant.

Trading 212 is surfing the wave of the digital currencies market, which has increased from $10 billion to $170 billion in 2017.

Customers can already trade bitcoin, ether, bitcoin cash, dash, ripple, monero and neo. And before the year end, additional crypto currencies will be added, including ethereum classic, iota, eos, lisk, augur, zcash, qtum, omisego, cardano, ark, steem, stratis and waves. And for those who do not want to buy a full bitcoin, its Bitcoin Mini market quotes a price for 10% of the value of a bitcoin.

A key difference compared with most exchanges is that it uses contract for differences (CFDs). This may reduce the complexity and the risk of owning digital currencies but is banned in the USA.

The Trading 212 app also includes a real-time chat facility, educational tools and regular cryptocurrencies analysis.

A number of forex brokers also offer crypto-currency trading, such as InterTrader, Avatrade.com and Trade.com.

 

Posted in Bitcoin news, Cryptocurrency exchange news, Ethereum and Ether news, IOTA news, Monero news, Ripple and XRP news

October 23rd, 2017 by VK-edit

Buying and selling digital currencies is still unregulated in Australia because “e-currencies” are defined “an internet-based, electronic means of exchange” backed by something physical like a “precious metal” (gold or silver), or “bullion”, in the Anti-Money Laundering and Counter-Terrorism Financing Act. This definition does not cover digital currencies such as Bitcoin because they are backed by a cryptographic algorithm and not “something physical”.

However, Australia’s Parliament should close this loophole by voting in the coming days on new anti-money laundering regulations. As a result, digital currency exchanges would have to register with AUSTRAC, identify their customers and report any suspicious transaction. As part of the new bill, AUSTRAC would be granted more power to monitor these exchanges.

A couple of months ago, Justice Minister Michael Keenan said “Businesses that trade digital currencies for money, and vice versa, will be required to enrol and register with AUSTRAC”, and that these businesses would need to “establish, implement and maintain an AML/CTF (anti-money laundering and counter-terrorism financing) program”. 

“Unregistered person” will no longer be allowed to provide digital currency exchange services. Also, exchanges will have to “report threshold transactions and suspicious matters to AUSTRAC, and keep appropriate records”.

Lasanka Perera, the Independent Reserve’s director, commented that “these new laws would be good for the industry, it will give more confidence to investors, consumers and businesses to enter the industry,” he said.

There is a growing impetus from various countries to regulate digital currencies. ACIC, the Australian Criminal Intelligence Commission, reported in August that “Virtual currencies, such as Bitcoin, are increasingly being used by serious and organised crime groups. They are a form of currency that can be sold anonymously online, without reliance on a central bank or financial institution to facilitate transactions.”

Posted in Cryptocurrency exchange news, Cryptocurrency market news

October 11th, 2017 by VK-edit

This summer, the Moscow Exchange was considering including Bitcoin-based derivatives and exchange traded funds to its portfolio. And last month, Russia’s Finance Minister Anton Siluanov said there was “no sense banning” digital currencies, but instead that there was “a need to regulate them.”

However, Russia’s deputy finance minister Alexey Moiseev recently called Bitcoin a pyramid scheme and announced his intention only to allow “qualified investors” rather than “ordinary people” to buy Bitcoin.

Russian government-owned RT has now reported that Vladimir Putin has decided to block crypto-currencies in general, and Bitcoin in particular. Putin believes digital currencies could be used for criminal activities money laundering, tax evasion, fraud scheme and even terrorism financing.

Putin also stated that Bitcoin itself is a pyramid scheme. Russia’s central bank followed suit, calling Bitcoin a pyramid scheme: “We have seen how Bitcoin has transformed a payment unit into an asset, which is bought in order to obtain a high yield in a short period of time. This is the definition of a pyramid.”

The Bank of Russia has now started to block all Bitcoin exchanges in the country.

Surprisingly, and despite the Chinese ICO and exchange ban last month, followed by South Korea’s ICO ban, and now Russia’s Bitcoin ban, Bitcoin’s prices remain strong and close to their highest point.

Posted in Bitcoin news, Cryptocurrency exchange news, Initial Coin Offering ICO news

October 2nd, 2017 by VK-edit

Following China’s ban on Initial Coin Offerings (ICOs) last month, South Korea’s financial regulator have now followed suit and have banned local businesses from participating in ICOs. 

South Korea’s Financial Services Commission now prohibits all forms of the blockchain funding method  as well as margin trading of virtual currencies. They stated that they will crack down on offenders with severe penalties.

The FSC also intends to review the operations of digital currency companies, which may lead to on-site inspections and the analysis of digital currency accounts.

Arrest were recently made and companies shut down after a scan marketing fake crypto-currencies defrauded local investors. 

South Korea has recently benefited for China’s ban on exchanges, with a sharp increase in crypto-currency trading, with South Korean digital currency exchanges such as Bithumb seeing a strong influx of transactions. A number of Chinese exchanges are likely to shift their operations to Japan, South Korea and Hong Kong.

Ether prices have been impacted as a result of this new ICO ban, but slightly rebounded shortly afterwards.

Posted in Cryptocurrency exchange news, Cryptocurrency market news, Ethereum and Ether news, Initial Coin Offering ICO news

September 29th, 2017 by VK-edit

Dunamu is launching the Upbit digital currency exchange, with the aim to become the largest digital currency exchange in South Korea.

Upbit will trade over 110 crypto-currencies, such as bitcoin, ethereum, litecoin and ripple. By comparison, most exchanges in Korea usually trade less than 10 different digital currencies.

Dunamu signed an exclusive partnership agreement with Bittrex, the digital currency exchange based in the USA.

Pre-registration for Upbit began on 25 September. Pre-registered users will then be entered into a drawing to receive one coin from the list of crypto-currencies which will trade on Upbit, including bitcoin.

Upbit will provide users with Bitgo wallets tand Kakao Pay authentication for added security. Upbit will be available on both Android and iOS, as well as online. 

South Korean fintech company Dunamu is affiliated with Kakao Corp, which owns Kakao Talk, Korea’s leading smartphone messenger app.

 

Posted in Cryptocurrency exchange news, Cryptocurrency market news

September 25th, 2017 by VK-edit

Before 2017, there were only five completed ICO projects in China. In the first half of 2017, this mushroomed to 65 ICO projects in China, for a total amount of RMB 2.6bn.

This bubble is likely to burst as 17 crypto-currency trading platforms have now publicly announced that they are going to stop crypto-currency trading in Shanghai. BTCChina, Binance, SZZC, Lhang, ETCWin, Bitekuang, 51SZZC, Hanbiwang, Bitbill, 19800Net, FreeWillex, ICOAGE, 91ICO, ICOrace, ICOfox, ICORaise and ICO17 will no longer be involved in ICOs.

This follows the announcement earlier this month PBOC that ICOs are illegal. The government of Shanghai later instructed crypto-currency trading platforms to stop trading by end of September. 

The management of these platforms have been asked to cooperate with the refunding activities and stay in Shanghai until it is done. 

Investors are being offered refunds, and more than 90 percent of ICO projects have been refunded. However a number of investors have expressed they would prefer not to accept these refunds, as the prices of some tokens have increased. 

 

Posted in Cryptocurrency exchange news, Cryptocurrency market news, Initial Coin Offering ICO news

September 15th, 2017 by VK-edit

BTCC is the first major Chinese trading platform that will immediately stop accepting new account registrations on the BTCC exchange. Furthermore, it will cease all trading on its local exchange by 30 September. However, its mining pools service and international exchange should continue to operate.

Other Chinese exchanges such as Okcoin and Huobi haven’t yet announced if and when they will similarly close their trading operations.

Following this announcement, bitcoin’s price dropped below $3500. When earlier this year deposits and withdrawals were suspended by the Chinese regulators, bitcoin’s price dropped but later rebounded.

Posted in Cryptocurrency exchange news, Cryptocurrency market news