Cryptocurrency Daily News Bulletin, February 6

February 6, 2018 12:30 pm Published by

Please note: Information on this post should not be construed as personal investment advice. Prices were correct at the time of writing.


U.S. Regulators. According to a Bloomberg report late last night (GMT), CFTC Chairman J. Christopher Giancarlo and SEC Chairman Jay Clayton will call attention to gaps in rules for trading digital currencies when they appear together today at 10am EST (3pm GMT) before a Senate Banking Committee hearing.

Copies of Giancarlo and Clayton’s testimonies were uploaded to the Committee’s website last night (GMT). Giancarlo and Clayton will suggest that the current patchwork of rules for exchanges and ICOs may need to be reviewed and supplemented by a federal framework. Clayton will say that “when investors are offered and sold securities – which to date ICOs have largely been – they are entitled to the benefits of state and federal securities laws and sellers and other market participants must follow these laws.” ICOs have not previously been registered with the SEC. He will also express concern that users of cryptocurrency exchanges “do not receive many of the market protections that they would when transacting through broker-dealers on registered exchanges or alternative trading systems, such as best execution, prohibitions on front running, short sale restrictions, and custody and capital requirements” and “that we are open to exploring … whether increased federal regulation of cryptocurrency trading platforms is necessary or appropriate.” He will suggest that current regulation of many exchanges, which is based on the assumption that they are money-transmission services and therefore subject to state-level regulations, may not be appropriate, given that they operate services more akin to “securities, commodities and currency exchanges.” Clayton will also tell the committee that “while there are cryptocurrencies that, at least as currently designed, promoted and used, do not appear to be securities, simply calling something a ‘currency’ or a currency-based product does not mean that it is not a security.” For Giancarlo’s testimony see Clayton’s can be accessed here:

Coinpia Exchange. Early this morning (GMT), South Korean cryptocurrency exchange Coinpia announced that it will suspend trading and deposits after it was unable to implement a customer identification system in line with the government’s recently enacted mandates.

Stock Market. The Standard & Poor’s 500-stock index fell by more than 4 percent on Monday, deepening its losses from the previous week and erasing its gains for the year. The Dow Jones industrial average sank by 4.6 percent. These falls have coincided with an increasing focus on inflation and the Fed’s plans to keep raising interest rates this year. These macro-economic trends will inevitably also have an impact on the cryptocurrency market in the U.S.

Visa and Mastercard. Visa and Mastercard have both made it more expensive to purchase cryptocurrencies after the companies reconfigured the way that these transactions are processed on their networks. This change was implemented last week.

Virgin Money. Virgin Money has banned cryptocurrency purchases using their credit cards. This move follows similar measures introduced by companies including Bank of America, Citigroup, JP Morgan, Capital One, Discover, and Lloyds Banking Group.

North Korea & Coincheck Hack. According to a Reuter’s report published today, South Korea’s intelligence agency told lawmakers that North Korean hackers could have been behind the US$530 million theft of virtual coins from Japan’s Coincheck exchange.


Individual Currencies


Waves (-25.51%)

(Positive) Feb. 5, Waves announced its collaboration with Indonesian initiative Tokenomy, which is run by the same CEO as exchange Waves hopes that they will gain access to some of the region’s largest corporations.


TenX (-20.43%)

(Positive) Julian Hosp has delivered a recorded lecture and Q & A about TenX and its goals for 2018.


KickICO (-24.35%)

(Positive) Feb. 5, a new ICO, for MindSports, was launched through KickICO.


Ripple (-15.59%)

(Negative) XRP’s value has fallen by 81% since its peak earlier this year.


Tron (-23.19%)

(Positive) Livecoin, a relatively small exchange, announced today that TRX/BTC, TRX/USD and TRX/ETH are available for trading.


Litecoin (-16.70%)

(Positive) Aliant Payment Systems, a U.S. based provider of merchant services and credit card processing, announced today that it is now offering its merchants the ability to accept Litecoin payments.


EOS (-18.71%)

(Positive) On Feb 5, DDEX, a decentralized exchange, began offering EOS/ETH trading pairs.


–, Robert Maxwell


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