Source for BlockChain News

Monthly archive

October 2006

CoinExchange Closes Due to Financial Reasons

by
CoinExchange

CoinExchange

Over the course of the past few years, plenty of new crypto exchanges have come up that catered to a niche market, and CoinExchange was one of the better-known ones among them. In a new development, the exchange announced that it has decided to close down the business. The company stated that it was being closed down due to financial reasons.

Key Details

The exchange was known for offering some of the least popular trading pairs to traders and as such, had become quite well known. As a matter of fact, many crypto projects that had been late in raising money through initial coin offerings often went through a listing on this exchange.

It is interesting to note that CoinExchange had been one of the very few exchanges in the crypto ecosystem that did not rely on stablecoins in order to facilitate trades. Instead, the exchange offered to trade with Bitcoin and Litecoin, among others. The website will be operational until December 1 so that its users can make their withdrawals and migrate to another exchange.

That being said, trading will be continued on the platform only until October 15, since the exchange still holds $369,025 in the form of tokens. The plunging trading volumes have been the biggest reason behind the CoinExchange closing down altogether.

>> Telegram to Launch Its Telegram Open Network (TON) in October

In its statement, the company laid out the situation and made it clear that it is simply no longer a viable business. It stated, “This is purely a business decision and there has not been a security breach or any other type of incident. Unfortunately, it is no longer economically viable for us to continue offering market services.” The range of projects that had already listed on CoinExchange will now need to get a hold of new exchanges that will take them. It remains to be seen how the whole thing works out over the coming weeks.

Featured image: DepositPhotos © pitamaha

If You Liked This Article Click To Share

FCA’s Ban on Crypto Financial Instruments Affects UK Retailers

by
FCA ban

FCA ban

Earlier today, the UK’s market regulator, the Financial Conduct Authority (FCA), announced a proposal that would ban financial instruments linked to digital cryptocurrencies. The regulator has warned that such instruments using cryptocurrencies could incur huge losses for retailers who don’t understand the great risks associated with using them.

The FCA’s Ban Proposal

The FCA is targeting products such as derivatives and exchange-traded notes (ETNs), in particular, but it is also suggested that crypto-assets themselves simply didn’t suit small investors.

It cited cryptocurrencies’ “extreme volatility,” ambiguous value, and the lack of public knowledge surrounding cryptos that could lead to increased financial crime as valid reasons for the FCA’s ban.

More specifically, the proposal would ban complex financial products such as contracts for difference (CFDs), options and futures, and, as stated, exchange-traded notes.

On the proposal, Christopher Woolard, the executive director of strategy and competition at the FCA, said:

“As with our work on the wider CFD and binary options markets, we will act when we see poor products being sold to retail consumers. These are complex contracts built on top of complex assets […] Most consumers cannot reliably value derivatives based on unregulated crypto-assets. Prices are extremely volatile and as we have seen globally, financial crime in crypto-asset markets can lead to sudden and unexpected losses […] It is therefore clear to us that these derivatives and exchange traded notes are unsuitable investments for retail consumers.”

Only earlier this week, Woolard warned social media giant Facebook that its new cryptocurrency called Libra will undergo intense scrutiny from regulators. Libra is due to launch next year.

FCA’s Ban: Volatility

Cryptocurrency’s mainstream adoption is consistently hindered by the volatility of digital assets.

>> Ethereum (ETH) Struggles to Hold $300 Mark: What Next?

Taking the leading cryptocurrency by market cap, Bitcoin, as an example, after a bull run that continued for nearly two months, the coin suddenly slumped 30% in several days, falling below $10,000 USD per coin on Tuesday after hitting nearly $14,000 USD the week prior.

This instability has long been associated with the coin and leaves many vendors in fear of adoption as its worth is forever changing. In late 2017, Bitcoin reached its all-time high of over $20,000 per coin. A few months later, it had lost over 80% of its value.

What are your thoughts on the FCA’s ban?

Featured Image: DepositPhotos © eskaylim

If You Liked This Article Click To Share

Grayscale Files to Become First SEC Reporting Crypto Fund

by

Grayscale Bitcoin Trust is trading higher by 3% after it filed Form 10 with the United States Securities and Exchange Commission (SEC) to become the first-ever crypto fund to report to the regulator.

Major Development

The crypto ecosystem has grown at a breakneck pace over the past few years, and it can be said that a viable ecosystem has taken shape. Things like a Bitcoin fund could not have been envisaged half a decade ago, but they are now a reality. In a new development, one of those funds is going to report to the United States Securities and Exchange Commission. Grayscale Bitcoin Trust, which is a publicly-traded Bitcoin fund, has revealed that it has filed Form 10 with the SEC and is going to have the distinction of being the first such fund to report to the commission.

That being said, it should be noted that Grayscale has only applied for the approval, and things are far from finalized. The company released a blog post on November 19 with regards to the developments and revealed that many aspects of the fund will change if the application is eventually approved by the regulator. If approved, Grayscale Bitcoin Trust would have to abide by the rules of a company that abides by SEC rules, and that would mean the registration of its shares under the provisions of the Exchange Act.

>> Bitcoin Stays Bearish: Is the Bottom Finally in Sight?

Grayscale stated that accredited investors are going to benefit if the approval comes through. The company stated, “Accredited investors who have previously purchased shares in the Trust’s private placement would have an earlier liquidity opportunity, as the statutory holding period of their private placement shares would be reduced from 12 to 6 months.”

However, the more important thing to consider here with regards to the fund is the fact that approval will allow Grayscale to have access to a much bigger pool of investors. It shows how far the crypto industry has developed over the course of the past few years, and it is going to be interesting to see how Grayscale Bitcoin Trust operates if it does get the necessary approval from the SEC.

Featured image: DepositPhotos © sdecoret

If You Liked This Article Click To Share

NetCents Technology Wins Merchant Share

by

VANCOUVER, B.C., September 12, 2019 –  NetCents Technology Inc. (CSE:NC) (OTCQB:NTTCF) (Frankfurt: 26N) (“NetCents” or the “Company”). Canadian-based NetCents is unleashing payment freedom for cryptocurrency owners around the globe. Through its proprietary Merchant Gateway program, NetCents is winning the merchant share sign-up race and cementing its success as the seamless cryptocurrency processing payment model.

In the first 3 days of September, NetCents signed-up more merchants than the entire month of May, building on its average 95% month-over-month increases. Merchants are rewarding the Company for its seamless integration of cryptocurrency processing into their payment model, with benefits that include:

  1. new level of protocols to protect against fraud and identification theft;
  2. on the spot seamless conversion of crypto to fiat;
  3. lower transaction processing fees;
  4. merchant and staff training; and
  5. regulatory compliance.

“In our race to win market share, we need merchant share,” said Clayton Moore, Founder & CEO, NetCents Technology Inc. “We’re removing one of the industry’s largest pain points to advance both our technology and the industry.”

During 2019, NetCents’ merchants adopting the burgeoning financial services platform are from eCommerce, Travel & Tourism, and Financial industries, located in North America and Europe. Average merchant processing revenues range from CAD 1,000 and 200,000 monthly.

Creating a seamless and intuitive merchant terminal-enabled user experience for buying, selling and transacting with cryptocurrencies leads to consumer trust and adoption.  NetCents’ Merchant Gateway has compelling results with favourable monthly increases in transaction volume, average transaction value, processing volume, and new merchant sign-ups. Based on current pace, the company is projecting it will surpass a 2020 first calendar quarter with a CAD $2 million monthly processing volume.

About NetCents

NetCents Technology Inc. (CSE:NC) (OTCQB:NTTCF) (Frankfurt: 26N) (“NetCents” or the “Company”), the transactional hub for all cryptocurrency payments, equips forward-thinking businesses with the technology to seamlessly integrate cryptocurrency processing into their payment model without taking on the risk or volatility of the crypto market. NetCents Technology is registered as a Money Services Business (MSB) with FINTRAC.

For more information, please visit the corporate website at www.net-cents.com or contact Investor Relations at investor@net-cents.com

Cautionary Note Regarding Forward Looking Information

This release includes certain statements that may be deemed “forward-looking statements”. All statements in this release, other than statements of historical facts, that address events or developments that the Company expects to occur, are forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, “projects”, “potential” and similar expressions, or that events or conditions “will”, “would”, “may”, “could” or “should” occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in the forward-looking statements. Factors that could cause the actual results to differ materially from those in forward-looking statements include regulatory actions, market prices, and continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of the Company’s management on the date the statements are made. Except as required by applicable securities laws, the Company undertakes no obligation to update these forward-looking statements in the event that management’s beliefs, estimates or opinions, or other factors, should change.

Please visit the company’s website atwww.net-cents.com. For a free report on NetCents Technology Inc. (CSE:NC) (OTCQB:NTTCF) (Frankfurt: 26N) visit cryptocurrencynews.com

Please See Disclaimer

Go to Top