Cryptospace services news, updates and speculations

[bbc.reporter]

This is where I will begin posting the news updates on different services on the cryptospace and share my skeptical thoughts hehehe.

In any case, here is a lawsuit filed against Bitmex for money laundering, wirefraud, unlicensed money transmission, market manipulation and racketeering.

The plaintiff is Pavel Pogodin, BMA LLC. Who is he? For the skeptical me, this appears to only be a lawsuit to harrass the service. I have not done full research, however. Does anyone know more about this?


Arthur Hayes, CEO of Bitmex

A new lawsuit has been filed against the parent of crypto derivatives exchange BitMEX, HDR Global Trading Limited, as well as ABS Global Trading and its co-founders Arthur Hayes, Ben Delo and Samuel Reed, accusing them of illegal activities such as money laundering.

The 106-page lawsuit, filed on Saturday by plaintiff BMA LLC in the U.S. District Court for the Northern District of California, alleged that BitMEX was designed to engage in illegal activities such as racketeering, money laundering and market manipulation, earning the defendants "billions of dollars in illicit profits." Crypto publication ForkLog first published the complaint.

The plaintiff further alleged that BitMEX operates an unlicensed money transmitting business. "According to Defendants' own data, Defendants' unlicensed money transmitting business admittedly processed, on average, $3 billion of illegal and unlicensed money transfers each day, all in violation of United States federal statute..., which is the record volume for such unlawful activity in the entire history of the monetary regulation in the United States," read the lawsuit.

Read in full https://www.theblockcrypto.com/post/65618/bitmex-accused-of-money-laundering-market-manipulation-in-new-lawsuit

[1714833207]

1714833207

[1714833207]

1714833207

[1714833207]

1714833207

[1714833207]

1714833207

[1714833207]

1714833207

[1714833207]

1714833207

[bbc.reporter]

It appears Brian Armstrong's Coinbase might become America's only powerful bitcoin exchange if the move becomes permanent hehehe.

Politics and corruption is also real in the cryptospace.


Brian Armstrong, CEO of Coinbase

A former top lawyer at Coinbase is about to take the top job at a major U.S. bank regulator, at least temporarily.

Brian Brooks, the first deputy comptroller and chief operating officer in the Office of the Comptroller of the Currency (OCC), will become acting comptroller on May 29 after his boss, Joseph Otting, steps down from the role.

Read in full https://www.coindesk.com/a-former-coinbase-lawyer-is-about-to-become-acting-head-of-us-bank-regulator

[bbc.reporter]

The conclusion of this study by the academics in U.C. Berkeley contradicts the real occurences on the cryptospace. Tether has the highest volume and it is predominantly the supporter of the whole cryptospace market, however, it cannot affect the price's inflation or collapse?

I am very skeptical on this study.


Zhao Dong, vouches for Bitfinex bank balances

Stablecoin issuances do not push up the price of bitcoin or other cryptocurrencies, according to research funded by University of California Berkeley’s Haas Blockchain Initiative.

In their report, issued Friday, Richard Lyons, U.C. Berkley’s chief innovation and entrepreneurship officer, and Ganesh Viswanath-Natraj, assistant professor of finance at the Warwick Business School, found stablecoins serve as tools for investors to react to market movements and not as drivers of price inflation or collapse.

Read in full https://www.coindesk.com/stablecoins-arent-inflating-crypto-market-study-concludes



You read that study and also read this article. These journalists are confusing hehehehe.



Tether stablecoin settled $212 billion worth of value in 2019.

Read in full https://www.theblockcrypto.com/linked/66326/tether-stablecoin-settled-212-billion-worth-of-value-in-2019

[bbc.reporter]

Are cryptospace exchanges never liable for hacked data, stolen coins and leaked information of users? This latest information breach leaked user data that includes your physical address. The hackers know where you live!

I shake my head.


Koichiro Wada, Founder of Coincheck

Japanese cryptocurrency exchange Coincheck announced on Tuesday that it suffered a data breach, which may have leaked users’ emails and personal information.

The information includes name, registered address, birth date, phone number and selfie ID, said Coincheck. The breach affected around 200 customers who made email inquiries from May 31 to June 1, the exchange added.

As of Coincheck, the exchange has previously suffered the biggest hack in crypto's history. In January 2018, Coincheck lost nearly $500 million in digital tokens. Japan-based online brokerage firm Monex Group later acquired Coincheck for $33.5 million, and the exchange is now a licensed entity.

Read in full https://www.theblockcrypto.com/linked/67278/crypto-exchange-coincheck-says-it-suffered-a-data-breach-which-may-have-exposed-some-users-personal-information

[Slow death]

This is where I will begin posting the news updates on different services on the cryptospace and share my skeptical thoughts hehehe.

Don't forget to always post news related to these stars: TOM LEE (the bitcoin bull) and Craig Wright (FAKETOSHI)

In any case, here is a lawsuit filed against Bitmex for money laundering, wirefraud, unlicensed money transmission, market manipulation and racketeering.

this is another case that will end without any outcome, i believe that Bitmex have lawyers and these lawyers should provide consulting service to bitmex so that Bitmex does not break the laws.

The plaintiff is Pavel Pogodin, BMA LLC. Who is he?

according to what i read this guy has already filed a lawsuit against FTX and Ripple and it is strange that his company location is in puerto rico

[bbc.reporter]

It appears that the prosecutors from New York cannot probe their way into anything on their case versus Bitfinex. I speculate that they are presently using one of the tricks they do in the movies. Include its coconspirators in the prosecution and force them to talk hehehe.


Justin Sun, present owner of Poloniex

An amended class-action lawsuit has been filed against Bitfinex, Tether, and affiliated entities for allegedly manipulating the cryptocurrency market.

Crypto exchanges Bittrex and Poloniex have been added as new defendants in the updated lawsuit, filed on June 3 in the Southern District Court of New York. The initial lawsuit was filed in October 2019.

The 156-page amended lawsuit alleges that the defendants manipulated the crypto market by fraudulently inflating prices and caused “billions of dollars of damage” to traders.

“Tether issued billions of USDT to itself with no U.S. dollar backing—simply creating the USDT out of thin air,” the filing says. “Tether hid that fact by ‘selling’ newly issued USDT to Bitfinex. [...] Because Bitfinex and Tether were essentially the same, Tether could simply transfer newly issued USDT into its account on Bitfinex without receiving U.S. dollars in exchange, as was required from genuine customers.”

The amended lawsuit further alleges that Bittrex and Poloniex were “knowing participants in the scheme,” meaning they knew that Bitfinex was transferring large amounts of unbacked USDT to their exchanges.

Read in full https://www.theblockcrypto.com/post/67379/amended-lawsuit-filed-against-bitfinex-and-tether-for-allegedly-manipulating-crypto-market-bittrex-and-poloniex-added-as-new-defendants

[bbc.reporter]

This is not a service in the cryptospace, however, the degree of cheapness of this deceit is higher hehehe. It appears Brave is not satisfied on only funneling money from the community from their ICO hehe.


Brendan Eich, founder of Brave Software

So when you are using the @brave browser and type in "binance[.]us" you end up getting redirected to "binance[.]us/en?ref=35089877" - I see what you did there mates

Works for binance[.]com as well

Source https://twitter.com/cryptonator1337/status/1269201480105578496

[bbc.reporter]

This news was from mainstream media Vice and the emails, Slack messages and other proof that leaked were from Motherboard, another mainstream news website.

I reckon stricter than strick regulations are coming to an exchange near you hehehe.


Cole Diamond, CEO of Coinsquare

Canadian cryptocurrency exchange Coinsquare has been artificially inflating how much currency it is trading, according to leaked emails, Slack messages, and other files obtained by Motherboard.

According to the material, Coinsquare was "wash trading," which means it was automatically buying and selling currency between accounts it controlled. The news provides evidence of a practice that is often suspected in the cryptocurrency world but rarely proven, and can draw attention from regulators.

"Turn it back on," one seemingly angry March 2019 Slack message from Coinsquare CEO Cole Diamond to other employees of the company read, referring to the code that managed internal trades after an employee switched it off, fearing retaliation from regulators.

Read in full https://www.vice.com/en_us/article/5dz35q/cryptocurrency-exchange-wash-trading-coinsquare

[bbc.reporter]

It appears that there might be a beginning of a war of the exchanges hehehe. However, why would this leak easily to bitcoin news media? I reckon that this might only be a show from Changpeng Zhao.

In any case, waiting for updates hehe!


Changpeng Zhao, CEO of Binance

In an internal note sent out today and obtained by The Block, Binance CEO Changpeng Zhao (CZ) lashed out at unnamed Chinese competitors, accused them of "trying to attack" the exchange, and told the company's employees that Binance will defend itself.

The note, whose authenticity was confirmed by multiple Binance employees, was written in both English and Chinese. It starts by stating that Binance's Chinese competitors "are desperately trying to attack us, using unprofessional methods."

In the note to staff, Zhao suggested that competing exchanges attack Binance because they mistakenly think the exchange does not have "strong [government] relationships" in China.
 
"They may feel this will hurt us, thinking we don’t have strong gov relationships in China. Both are wrong. We never proactively attack others, but we will absolutely defend ourselves, including defensive offense," the note reads.

Source https://www.theblockcrypto.com/post/68428/a-leaked-note-from-cz-to-binance-staff-says-the-exchange-will-defend-itself-against-desperate-chinese-competitors

[bbc.reporter]

This is not news from a service in the cryptospace, however, this scandal is very similar to the scandals we have witnessed on exchanges.

I reckon that Wirecard AG should create a partnership with Bitfinex and ask them to print $2 billion USDT for them hehehehe.

Also, crypto.com CRO token is pumping. Wirecard is their payment card issuer. I shake my head.


Mark Tolentino, Trustee 2 of Wirecard

A financial scandal has rocked Germany as its fintech darling comes crashing following revelations some $2.1 billion, about a quarter of its assets, has gone missing.

Fingers are now being pointed towards Mark Kristopher G. Tolentino (pictured), the so called “Trustee 2” who managed this money and apparently is not responding.

According to a mainstream German daily, after being appointed as trustee in late 2019 Tolentino is said to have opened six accounts for Wirecard with the Bank of the Philippine Islands (BPI) and BDO Unibank.

When KPMG auditors went to talk to these banks however, BPI told them there are no business relationships with Wirecard, while BDO said Wirecard is not a customer.

Wirecard is a financial company founded in 1999 that through a subsidiary was also an issuer for crypto payment card providers Crypto.com and TenX.

FT alleged in January 2019 that a senior executive was suspected of “falsification of accounts” and “money laundering,” with Wirecard launching a lawsuit in response for “unethical reporting” and market manipulation.

Source https://www.trustnodes.com/2020/06/21/mark-tolentino-the-2-1-billion-wirecard-thief

[bbc.reporter]

Maybe because Apple reckons that Defi are similar to risky gambling games and scams? They are exploitable and might also be illegal.

https://bitcointalk.org/index.php?topic=5267124.0



Coinbase CEO blasts Apple’s “restrictive” policies towards crypto and DeFi

Armstrong started off by noting, “Why would Apple want to prevent people from earning money during a recession? They seem to not be ok with it if it uses cryptocurrency. This is what our Coinbase Earn product does.” He was referring to the broader burrowing and lending market in the crypto space, one that was gained prominence in recent months across both centralized players and “DeFi” protocols like Curve and Yearn Finance.

Source https://cryptoslate.com/coinbase-ceo-blasts-apples-restrictive-policies-towards-crypto-and-defi/

[leea-1334]

I am somehow with Apple here. And to be fair I have always been with these crypto ad bans because,,, let us be honest, the real educational and useful stuff never use ads. Ads are by for-profit companies in crypto and I would rather not see 9 scams and miss out on 1 good opportunity than the other way around.

Is Defi really the opportunity for people to earn money? I really do not think so! Apple is right. It is more like gambling.

[Darker45]

Is Defi really the opportunity for people to earn money? I really do not think so! Apple is right. It is more like gambling.

I agree. There may truly be money in DeFi but it comes with significant risks. Are the returns high enough for taking the risks worth it? They may not be, and so they indeed could be compared to gambling.

Although I am not fully on the side of Apple in their bias and prejudice against crypto, it is not without valid bases and grounds. I am certainly on their side as regards their strict policies on security regarding DeFi and crypto apps. Everyone is aware how crypto is thickly populated with scammers. We could even say that there might be a ratio of 1 legit crypto app or project to 10-20 crypto scams.

[bbc.reporter]

Why did Changpeng Zhao suddenly make this ban official after dragging it and waiting long? Do they know something more about the Biden administration?

What are your speculations and theories? Your skeptical thoughts are welcome hehehe.



Crypto exchange Binance has begun blocking U.S. users from accessing its exchange platform, The Block has learned.

The move comes more than a year after Binance first announced in July 2019 that it would stop serving U.S. residents from September of that year.

Until now, the exchange was still effectively allowing U.S. users to access its platform. As The Block reported recently, a U.S. resident just had to click "I'm not [American]" to set up an account on Binance.com. It remains possible to create an account in this fashion.

Source https://www.theblockcrypto.com/post/84020/binance-blocking-us-users-exchange-email-2

[bbc.reporter]

This is certainly bullish for Paypal. However, I also predict a bullish jump in Gambler’s Anonymous registrations and attendance. Paypal has turned their users into cryptocoin gamblers hehehe.



Customers who purchased crypto through the platform have been logging into PayPal twice as much as they were before buying crypto, the company said in its investor update.

Source https://www.coindesk.com/paypal-2020-results-outstanding-finish-to-a-record-year