I have read in many comment where community members keep asking why market is in red. Well here is a recent FUD that hit our dear crypto space few days back.
News from Japan 🇯🇵Japan announced it would take action against cryptocurrency exchanges that currently do not comply with the Financial Service Agency’s customer protection and anti-money laundering measures. There is a chance that the FSA will indefinitely shut several exchanges; this potential punitive action is likely to ensure exchanges are granted time to create the proper procedures to protect consumers. The exchanges that are to be targeted remains unknown; however, it is ostensible this news has shaken investors, contributing to the market’s sharp decline.
Read more here:
https://goo.gl/E2MnCr SEC Press Release 🇺🇸The SEC just released a statement regarding potentially unlawful online digital currency trading platforms. Since exchanges have become a common place to trade and sell ICO tokens, and other coins that are considered securities under the federal securities laws, then the exchange must comply with the SEC as a national securities exchange to be exempt from registration. This statement falls in line with the remarks the SEC made at the Virtual Currencies Hearing in February. The statement reaffirms that if investors want protection from the asset trading they are partaking in, they must use exchanges that are registered with the SEC. The SEC worries that many consumers believe the exchanges they use are SEC compliant, but, the truth of the matter is, few, if any, virtual currency trading platforms are SEC compliant, thereby subjecting users to potentially unlawful acts.
This clarification is necessary for investors. We believe this is just an edifying reminder from the SEC that aims to create more vigilant, cognizant consumers. The SEC is doing their due diligence by alerting participators in these markets that they may be interacting with entities that are not SEC regulated. They are not saying that these companies have to be regulated to continue operations.
The press release can be found here:
https://goo.gl/rCaeT3 Whale sells $400mm in BTCNot exactly...Mt. Gox (yes, that Mt. Gox) sold around $405 million worth of Bitcoin and Bitcoin Cash over the course of the past two months. The details of the sale were published today, March 7th, by trustee Nobuaki Kobayshi. This didn't just happen, it's been ongoing, but the details of the sale were just published today:
https://goo.gl/8sWjLoBinance Hacked!Actually Binance was not hacked. However, there were users that had their account compromised and it looks to be due to faulty API integrations that had security volunerabilities. An important reminder to be very cautious using ANY tools that use API to connect to your exchange accounts, and not to keep the majority of your assets on an exchange at all.
All of this FUD happened on the same day and has caused a huge stir and a lot of panic and made some weak hands to start selling off.
Hopefully in coming days we will hear good news and hopefully we will go back to green and bullish days.
What do you think about the news? Is there any other FUD you might think contributed ?
