Anyone can start a Bitcoin exchange. Such platforms can be incredibly risky.
|Aug 4|| 3|
I write a newsletter on Bitcoin and cryptocurrency every Sunday morning that reaches thousands in North America. Got this from a friend? Sign up here. — E
(Founder of Japan’s ill-fated Mt. Gox Bitcoin exchange Mark Karpeles sits on an exercise ball in a Reuters interview.)
A cryptocurrency exchange platform has halted services after it lost millions of dollars in a hack.
What is that referring to? Japan’s Coincheck last year? South Korea’s Youbit in 2017? Japan’s Mt. Gox in 2014? Australia’s Cryptopia this year? Japan’s Remixpoint last month?
No, it’s Japan’s Bitpoint. Last week.
Then there are the exchanges whose users say they cannot withdraw their money — CTV has followed up on my story about Vancouver’s ezBtc.
As well, there are the exchanges accused of high-level, regulatory mishaps: two of the world’s largest, Bitfinex and BitMEX, both headquartered in Hong Kong.
Anyone can start an exchange. Such platforms can be incredibly risky.
But ironically, these platforms — gateways to buying cryptocurrency — have the most money, presence and voice in this realm. They are seen as representatives.
Terrible combination. It takes only a minority for the troubles of such platforms to boil over.
When that happens — regulatory response, public sentiment and price action — it will be ugly.
Bitcoin price: bullish momentum rises from 5-month lows
Bitcoin is rising to test levels of $11,000, although it may suffer brief pullbacks in the process, analysis shows. The world’s largest cryptocurrency is at $10,965 (C$14,506 ) as of noon Sunday, Eastern Time, up more than 15 per cent for the last seven days. Bitcoin spent the week on a nearly uninterrupted rise.
World: China’s miners seek IPO — in U.S.
China’s Canaan Creative, which makes cryptocurrency mining chips, is following its rival Bitmain Technologies in seeking an initial public offering (IPO) in the United States, reviving previously abandoned plans in Hong Kong.
An influential U.S. lawmaker — chair of a committee that deals with such matters — says the country will not succeed in banning Bitcoin if it tries.
LedgerX, which says it has obtained U.S. approval for Bitcoin-backed futures contracts, has in fact not obtained said approval. That product would have been the first such mainstream investment instrument backed by actual bitcoins.
Walmart has applied to patent a way to use a digital coin, just like Facebook’s Libra coin, even as it says it doesn’t have any plans “at this time.”
Canada: C$1.1 mln for Quadriga lawyers, accountants
A judge has approved more than C$1.1 million in fees for lawyers and the accounting firm probing the controversial demise of Vancouver’s QuadrigaCX cryptocurrency exchange. Users are claiming more than C$214 million from the platform after its founder died.
Last paragraph: MailChimp ditched for Substack
Hey there, if you noticed something different about this week’s edition — I’ve switched to a different newsletter platform, Substack, ditching MailChimp. All the cool kids seem to be on here. Substack also allows me to charge for subscriptions, which is something I’m considering — readership has grown a lot over the past months. Everyone already on here will be grandfathered in should I decide to start charging, of course. — E