Apologies once again due to news delay. Steemit's HF20 upgrading still in progress.
Image source: pixabay - geralt
Cryptocurrency is moving forward. We are expecting coin prices to stabilize by the end of 2018. This effort could not be made possible without regulations stepping in to prevent fraud, black market activity, hacks and other illegal activities. On the other hand, banking bans have hindered the progress of the crypto industry.
The US Securities and Exchange Commission (SEC) has taken action to charge Bitcoin-funded securities dealer and its Austria-based CEO for violating security-based swaps funded with Bitcoin. Source: SEC - Press Release.
According to the SEC’s complaint, 1pool Ltd. a.k.a 1Broker, registered in the Republic of the Marshall Islands, and its CEO Patrick Brunner solicited investors from the United States and around the world to buy and sell security-based swaps. Investors could open an account simply with an email address and user name.
"The SEC protects U.S. investors across a variety of platforms, regardless of the type of currency used in their transactions,” said Shamoil T. Shipchandler, Director of the SEC’s Fort Worth Regional Office. “International companies that transact with U.S. investors cannot circumvent compliance with the federal securities laws by using cryptocurrency.”
Source: SEC - Press Release
SEC is also seeking sanctions against the individuals behind the allegedly fraudulent Initial Coin Offering (ICO) known as PlexCoin as well as issued a cease and desist order and a $200,000 fine to Crypto Asset Management (CAM) and its founder Timothy Enneking. Source: cointelegraph - Ana Alexandre.
Image source: pixabay - rawpixel
One of India's largest cryptocurrency exchanges, Zebpay, will be shutting down business due to the central bank's banking ban on the crypto industry. With 3 million users using its iOS and Android apps and support for 20 cryptocurrencies and 22 trading pairs, Zebpay will have to abide to the policy introduced by the Reserve Bank of India (RBI) to stop offering cryptocurrency services in India. Source: CCN - Samburaj Das.
"The curb on bank accounts has crippled our, and our customer’s, ability to transact business meaningfully. At this point, we are unable to find a reasonable way to conduct the cryptocurrency exchange business." Zebpay responded.
Source: CCN - Samburaj Das
All crypto orders will be cancelled and users will only be able to retain their tokens in their own wallets. Fiat withdrawals are currently impossible due to the banking freeze. This is definitely one of the worst regulatory nightmares.
Image source: pixabay - rawpixel
Fortunately, it was not all bad news as Intercontinental Exchange (ICE) has revealed plans to offer Bakkt’s first physically sorted Bitcoin futures contract. Bitcoin futures will be traded in USD, Euros and British GBP, inviting institutional investors to enter the cryptocurrency market indirectly. Source: blockonomi - Jimmy Aki.
“Our first contracts will be physically delivered Bitcoin futures contract versus fiat currencies, including USD, GBP, and EUR. For example, buying one USD/BTC futures contract will result in daily delivery of one Bitcoin into the customer’s account.” ICE tweeted.
Source: blockonomi - Jimmy Aki
Bakkt CEO Kelly Loeffler plans to promote 'efficient price discovery':
“A critical element to price discovery is physical delivery. Our new daily Bitcoin contract will not be traded on margin, use leverage, or serve to create a paper claim on a real asset. This supports market integrity and differentiates our effort from existing futures and crypto exchanges which allow for margin, leverage and cash settlement.”
Ushering in Bakkt's Bitcoin futures contract and their platform is a promise for better security against fraud that also brings increased stability to the crypto industry.
