Price of Tether Stablecoin Tanks to 18-Month Low

The price of the tether stablecoin (USDT) has fallen to an 18-month low Monday, despite a general rise in the wider crypto markets. The tether-US dollar exchange rate (USDT/USD) fell to $0.925284 at 07:00 UTC  – the lowest level since April 27, 2017 – and was last seen trading at $0.967296, representing a 2 percent drop on a 24-hour basis. The slide in the USDT price has pushed up the premium carried by bitcoin (BTC) prices on the Bitfinex exchange above $600. on Bitfinex, BTC is changing hands at $7,055, meaning prices are trading at a premium of $438 to the BPI. The leading cryptocurrency rose as high as $7,788 on Bitfinex, which operates Tether LLC, the firm that developed the USDT token.

Hong Kong’s Security Watchdog to Propose Crypto Regulation, Chairman Says

Hong Kong’s securities and futures commission (SFC) is planning to introduce crypto regulation to protect investors, the SFC chairman said. Chairman Carlson Tong Ka-shing said in an interview that the watchdog is not considering a ban on cryptocurrency platforms as the Chinese mainland has done, adding that they don’t think that a total ban is “necessarily the right approach”.  A legal framework to regulate crypto exchanges is absolutely necessary, noting that the SFC is going to consider the approach carefully as such platforms are “new technologies” and cannot treated as securities. According to the SMCP, the exchanges that are working in Hong Kong’s market have welcomed the move.

Binance Launches Its First Fiat-Crypto Exchange in Uganda

Major international crypto exchange Binance has announced that its fiat-to-crypto exchange will open in Uganda this week. As per Binance Uganda’s press release, the new branch will officially start accepting deposits and withdrawals of Ugandan shillings (UGX) Wednesday, Oct. 17. Binance Uganda notes that exchange has already begun its know-your-customer (KYC) procedures. Uganda’s national fiat can only be traded with Bitcoin (BTC) and Ethereum (ETH), but that the exchange is planning to add more pairs soon. Allegedly, Binance has plans to open several fiat-to-crypto exchanges. Binance is the largest international crypto exchange by 24-hour adjusted trading volume, seeing almost $1.8 billion in trades on the day to press time.

Europe Getting Serious About Distributed Ledger Technology

On April 10, 2018, 21 EU member states and Norway signed up to create the European Blockchain Partnership. By bringing distributed ledger technology (DLT) to European infrastructure, the Partnership hopes to make cross-border services safer and more efficient. The Partnership’s membership is currently at the very early stage of negotiating just what kind of blockchain-based public services to develop. According to Finland’s representative to the Partnership, Kimmo Mäkinen, a senior advisor at the Department of Public Sector Digitalization, the most recent meeting took place on September 17. The main topic was to discuss about the most prominent cross-border blockchain use-cases that had been proposed by member states and by the commission.” the Partnership’s 27 member nations have effectively declared that they believe DLT is here to stay and that it has genuine applicability to a range of areas. If the Partnership implements blockchain-based cross-border infrastructure, this will only have positive ramifications and knock-on effects for wider blockchain adoption elsewhere. All of which means that the future of blockchain adoption in Europe looks increasingly bright.

Bitcoin Markets Comprise Imminent Alternative to Foreign Exchange

A report authored by researchers from the Henryk Niewodniczanski Institute of Nuclear Physics has found that Bitcoin is maturing. The report, courtesy of the Polish Academy of Sciences in Krakow, concludes that Bitcoin carries “concrete potential of imminently becoming a regular market” and “an alternative to the foreign exchange.” According to Professor Stanisław Drożdż, one of the researchers who worked on the study, the most important statistical parameters of the Bitcoin market indicate very clearly that for many months now it has met all the important criteria of financial maturity. In the case of other cryptocurrencies, it will be possible to expect a similar transformation. If this happens, the world’s largest market, the Forex market, can look forward to very real competition.

Hacker Livestreams 51% Attack on Bitcoin Private

On Oct. 13, ethical hacker “Geocold” promised he would 51 percent attack an altcoin to prove how easy it was, and he did, but the attempt did not run as smoothly as he might have hoped. Over 750 viewers were tuned in, and the likes of Jackson Palmer live-tweeting the spectacle, when Twitch suddenly pulled the plug. Despite the ethical hacker having no intention of attempting to double spend coins, such as by depositing them into an exchange wallet and swapping them for BTC, the streaming provider pulled the plug, presumably in response to members of the Bitcoin Private community reporting his channel. When Geocold returned on Stream.me half an hour later, he lasted a little over 15 minutes before the same thing happened. At the second attempt, Geocold dominated BTCP’s hashrate, producing a steady 10 MSol/s versus the rest of the network’s 6 MSol/s. The evening started as an exercise on the ease of controlling low hashrate PoW coins and ended as a demonstration of the need for censorship-resistant platforms.

South Korea to Announce Its ICO Stance in NovemberSouth Korea to Announce Its ICO Stance in November

South Korean government will probably announce its official position on Initial Coin Offerings (ICOs) in November. South Korea first banned ICOs back in September 2017, saying that the practice of raising funds via the issuance of cryptocurrency tokens was almost “a gamble.” Hong Nam-Ki has revealed that the government has held a survey, because some companies are still trying to conduct ICOs despite a country-wide ban. The results of the poll are expected to be ready by late October. South Korea has recently launched a six-month youth training programme that includes courses on blockchain and other technologies. The announcement came after the news of the government’s plans to invest $4.4 billion in a number of areas of the domestic economy, including blockchain.

Crypto Exchange Bitfinex Suspends Fiat Deposits, Expects to Resume ‘Within a Week’

Major crypto exchange Bitfinex has temporarily suspended all fiat wire deposits for the Euro, U.S. Dollar, Japanese Yen and Pound Sterling. The exchange has recently been prompted to officially respond to online rumours that claimed Bitfinex was insolvent and/or facing banking issues. The exchange’s statement was partly prompted by reports that its banking partner, Puerto Rico’s Noble Bank International, is now seeking a buyer and had lost both Bitfinex and affiliated firm Tether as clients. Bitfinex’s history of banking relationships began in April 2017, when U.S. Wells Fargo & Co. allegedly refused to continue operating as a correspondent bank. Bitfinex then filed a lawsuit against the bank that was quickly dropped. Bitfinex is currently the 4th largest exchange globally by daily traded volume, seeing a 154 percent increase over the 24-hour period to see almost $633.4 million in trades on the day.

Regulators Sue ICO Company That Falsely Claimed SEC Approval

The Securities and Exchange Commission said Thursday that it secured an emergency court order against an initial coin offering and its organizer who had claimed to have received approval from the agency. Ringgold and BlockVest, the agency said, “were using the SEC seal without permission, a violation of federal law, and falsely claiming their crypto fund was ‘licensed and regulated. ” Blockvest and Ringgold also allegedly misrepresented Blockvest’s connections to a well-known accounting firm, and continued their fraudulent conduct even after the National Futures Association (NFA) sent them a cease-and-desist letter to stop them from using the NFA’s seal and from making false claims about their status with that organization, the SEC said in a statement.

China Should Consider Launching its Own Stablecoin, Central Bank Expert Says in Op-Ed

An expert from the People’s Bank of China (PBoC), Li Liangsong, and professor of Fudan University Wang Huaqing wrote an article called “Analysis of Digital Stable Coins” for CN Finance, in wich he noted that The Chinese government should consider launching its own yuan-backed stablecoin despite the current ban on cryptocurrencies. The authors suggested that China should analyze other companies’ experience and “double its efforts” to create a local stablecoin, and other digital currencies have to stay prohibited in China. The Chinese government first started its anti-crypto campaign in 2017 by closing all of the country’s cryptocurrency exchanges and banning Initial Coin Offerings (ICO). The People’s Bank of China has then warned citizens about the risks of crypto trading. Despite the crypto ban, the country has actively been exploring blockchain solutions.

Crypto Exchange Hack Losses Already 250% Higher Than 2017, Q3 Report Shows

The Australian federal government is exploring the use of blockchain-based “smart money” for use in its National Disability Insurance Scheme (NDIS). The trial, dubbed “Making Money Smart,” has been developed by the Commonwealth Bank of Australia (CBA) and Data61. The latter is a digital innovation center that forms part of the Commonwealth Scientific and Industrial Research Organisation (CSIRO) which is an Australian government corporate entity that undertakes scientific research to advance diverse local industries. Data61 says that NDIS was chosen for the proof-of-concept as it “involves highly personalised payment conditions,” outlining how under NDIS, individuals and their carers receive specified amounts of funds to spend on various goods and services provided for by the scheme. Using a Smart Money scheme would automate and secure the process, relieving users and service providers from needing to process cumbersome paperwork or administrative receipts.

Korean Crypto Exchange Sued for Controversial Token Schemes

South Korean law firm Aone filed a complaint with Seoul Central District Court on Oct. 5 against Newlink Co. Ltd., the owner of crypto exchange Cashierest. Lawyer Kim Dong-joo at Aone’s Seocho branch explained that his firm is pursuing charges against the crypto exchange for deviating from the public interest in order to restore the health of the cryptocurrency market. The suit alleges that Cashierest has committed two illegal acts by issuing its “dividend coin [called] cap (CAP)” on the capital market – first is a violation of the securities issuance procedure, as defined in Article 119 of the country’s Capital Markets Act, and the second is a violation of Article 178 which prohibits unfair trading. The law firm plans to expand the lawsuit to other exchanges such as Bithumb, Coinbit, and Coinzest. At the heart of the lawsuit is CAP, the exchange’s own token.

Swiss Financial Watchdog Issues Country’s First Crypto Asset Management License

The Swiss Financial Market Supervisory Authority (FINMA) has issued the country’s first cryptocurrency asset management license to a crypto investment fund, Crypto Fund. Crypto Fund is a subsidiary founded in 2017 by Zug-based Crypto Finance AG. The new license will permit the firm to legally offer a wide spectrum of collective investment products that track Bitcoin (BTC) and other crypto assets, including domestic funds and allows the firm to provide investment consultancy services for institutional clients. This summer, local companies partnered with the Zug, known in the crypto industry by the moniker, “Crypto Valley,”to trial a blockchain-based municipal voting system. Switzerland is proactive when it comes to regulating the new crypto space. In February, FINMA published detailed guidelines on ICOs, according to which many projects will be regulated under securities laws, while payment tokens fall under the Swiss Anti-Money-Laundering (AML) Act.

Dubai Government – Backed Digital Currency Will Get Its Own Payment System

Consumers in Dubai will soon be able to use digital currency to pay for goods, services, and utilities following a new government partnership. The deal between emcredit, a subsidiary of the Dubai Department of Economic Development, blockchain payment provider Pundi X, and its partner Ebooc Fintech & Loyalty Labs LLC will facilitate point of sale (PoS) payments in emcredit’s emcash currency. Ebooc will provide PoS terminals for in – store payments, while Pundi Ks plans to increase 100,000 units globally over the next three years. Dubai continues to position itself as a blockchain innovator at state level, with multiple schemes ongoing as part of its goal of becoming a fully blockchain-powered city by 2020.

Mastercard Patent Hints at Plan for Multi-Currency Blockchains

Mastercard has won a patent for a proposed system that would allow for the launch of different kinds of blockchains – including those that support multiple currencies.  The patent explains that a group or company may need to store different types of transaction information on a single platform – something that is currently difficult to do on a single blockchain. There is a need for a technological solution to provide a partitioned blockchain that is capable of storing multiple transaction formats and types in a single blockchain, reducing the computing resources and processing power required for deployment and operation of the blockchain, while also providing for enhanced usage of permissions for permissioned blockchains. The patent adds that an appropriately partitioned blockchain can receive information about transaction types from different computing devices.

1. Binance Labs Invests Millions in Blockchain Auditing Platform CertiK1. Binance Labs Invests Millions in Blockchain Auditing Platform CertiK

Binance Labs, the incubator wing of the Binance cryptocurrency exchange, has invested in a smart contract and blockchain audit startup, the company announced Monday. Called CertiK, the firm seeks to help secure smart contract and blockchain platforms through a formal verification process. The team has already begun working on ensuring existing blockchain platforms do not contain bugs that could lead to a loss of funds or other vulnerabilities. The investment “signals the recognition of the importance of formal verification in the blockchain industry. This technology includes CertiKOS, which has already been used in both enterprise and military programs, and is one of the tools used by the U.S. Defense Advanced Research Projects Agency (DARPA).

2. Binance Announces All Listing Fees Will Be Donated to Charity

The CEO of world’s largest cryptocurrency exchange Binance said he “hoped others would follow” his decision to donate all listing fees to charity after a sudden announcement Monday, October 8. According to the announcement, Binance will not only donate all such fees to charitable causes for the “greater good,” but also allow developers themselves to name the amount they pay, without demanding a minimum fee. Binance CEO Changpeng Zhao claimed the material was fake, he argued that it was the quality of the asset which was clinched the listing process, avoiding details about Binance’s mysterious listing fee structure. Binance is currently the world’s largest crypto exchange by daily trade volumes, seeing about $806.5 million in trades over the past 24 hours to press time.

3. Venezuela Mandates Passport Fees Must Be Paid in Controversial Cryptocurrency Petro

Venezuelans can only use the state-backed cryptocurrency, the Petro, to pay for passport fees starting next week, the country’s vice president Delcy Rodriguez said in a press conference. The average monthly minimum wage in Venezuela is four times less than the cost of the raised passport fee. Venezuela has sought to combat the side-effects of rampant inflation and a failing economy by embracing the use of cryptocurrency to circumvent capital controls. Petro, President Nicolas Maduro’s purported solution to the country’s economic crisis, has consistently courted controversy, with accusations last week claiming its developers copied the whitepaper of altcoin Dash. Along with the passport fees shake-up, Rodriguez also announced the formation of a dedicated migration police force, ostensibly designed “to preserve citizen security and migratory control.”