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$9 Million a Day Is Lost in Cryptocurrency Scams

March 2, 2018 |

$  9 Million a Day Is Lost in Cryptocurrency Scams

In the time it takes you to read this sentence, $ 850 will have been lost to cryptocurrency scams. In the time it takes to complete this article, that figure will have risen to $ 17,000. Phishing; fraud; theft; hacking; it’s all rife. In the first two months of 2018, there were 22 separate scams involving thefts of $ 400,000 or more. Put it all together and that equates to an average of $ 9.1 million a day. Oh, and that doesn’t include 2018’s outliers – Coincheck, Bitconnect, and Bitgrail. Otherwise, the total would actually stand at $ 23 million a day.

Also read: 132 Customers File Class Action Lawsuit Against Coincheck

There’s a Scammer Born Every Minute

Welcome to 2018, where $ 1.36 billion has already been stolen by cryptocurrency scammers, and we’re only 59 days into the year. Even when the big three of Coincheck, Bitconnect, and Bitgrail are removed from the equation, that figure stands at a hefty $ 542 million. If that trend were to continue for the remainder of the year, hackers, scammers, and fraudsters would pocket $ 3.25 billion, which is the GDP of a small African nation. That figure sounds damning, and is one that cryptocurrency exponents will be swift to seize upon.

$  9 Million a Day Is Lost in Cryptocurrency Scams
2018’s major scams by category

A little context then. One of the best things about the cryptocurrency space is its transparency. This is a principle which doesn’t just apply to blockchains – it applies to the entire ecosystem. Publications such as, together with many more, while happy to report positive developments, have no qualms about disclosing the negative side of cryptocurrency. The good, the bad, and the ugly are all publicized, firstly because it’s relevant, and secondly because this knowledge helps readers defend themselves against similar scams.

It would be great to see the number of cryptocurrency thefts drop to $ 4 million a day, then $ 1 million and eventually zero, but realistically that’s not going to happen. The best that can be hoped for is a reduction in the amount lost to scammers. You don’t have to be smart to trade cryptocurrencies, but doing so will almost certainly make you smarter. The average crypto holder is more aware of security threats, both cyber and physical, and more inclined to question everything. You might one day sell your bitcoin, but you’re unlikely to ever disable your 2FA. That’s what a good grounding in the crypto trenches does.

Breaking Down 2018’s Biggest Scams profiled every major cryptocurrency scam to have been reported in the first two months of 2018. Incidents which occurred last year but were only discovered in 2018 were included, but conservative valuations were taken to avoid over-inflating the figures. Bitconnect, for example, was included, because the exit scam occurred this year, but the scheme was valued at $ 250 million rather than the maximum possible $ 1.5 billion, which seems unrealistic. Similarly, the Arise ICO scam was recorded at a lower figure than the $ 600 million reported. In some cases, it was impossible to obtain a valuation, and so that field was left blank rather than hazard a guess. Because hacks such as the Coincheck incident are so large, they have been recorded here, but omitted from the daily average.

$  9 Million a Day Is Lost in Cryptocurrency Scams
Some of 2018’s more prominent scams

The truth is, it’s impossible to put a precise figure on the amount of money lost to crypto scammers on a daily basis. With a minimum reporting threshold of $ 400k, none of the countless “micro-scams” perpetrated on Twitter and Telegram every day make the list. The purpose of establishing a ballpark figure for crypto scams is because it sets a baseline that can be tracked. will continue to monitor all such incidents, and will publish an update at the end of the year. This will reveal whether the spate of scams and their average daily cost has risen or fallen with time.

A net reduction could signal that cryptocurrency platforms and their users have gotten wiser to common attack vectors. Should bitcoin go on another bull run, as it did in late 2017, however, it would push up the average value of each successful heist, and make even the lowest hanging fruit an attractive proposition to thieves. Behind every sophisticated heist is often a simple measure that could have been taken to prevent it. Compared to the total valuation and daily trading volume of the cryptocurrency markets, the incidents reported here are but a drop in the ocean. Highlighting them, however, is the first step towards preventing history from repeating itself.

Do you think cryptocurrency scams are inevitable, or do you think through education and better security they can be reduced? Let us know in the comments section below.

Images courtesy of Shutterstock.

Need to calculate your bitcoin holdings? Check our tools section.

The post $ 9 Million a Day Is Lost in Cryptocurrency Scams appeared first on Bitcoin News.

Bitcoin News

PR: Trading Platform RobotsCrypto Is a New Promising Project on the Blockchain Which Really Deserves Your Attention!

March 2, 2018 |

Trading Platform RobotsCrypto

This is a paid press release, which contains forward looking statements, and should be treated as advertising or promotional material. does not endorse nor support this product/service. is not responsible for or liable for any content, accuracy or quality within the press release.

Cryptocurrency has recently taken global attention seriously, and the areas of its application are expanding every day. Through constant rate adjustments, many, especially small players, started to exit the digital investment market with the serious losses. Interesting, and at the same time potentially capacious is the game software market, where you can now integrate modern trends of cryptomarket and blockchain technology.

In order to combine the potential of gaming and trading markets, about a year ago RC developers created the RobotsCrypto platform – the first trading platform that could easily stabilize and increase the revenue of the digital currency.

Using this platform you can:

  • safely store money in crypto investments on the blockchain,
  • mine different details,
  • sell rare game tokens
  • and multiply them by achieving victories in the virtual arena battles for the Ethereum!


Even the most iconic and popular games all over the world today, are not able “to fill” the players wallets, but only the RobotsCrypto project makes it’s possible!

This is the first project in the world that has integrated the blockchain technology so deeply into the gameplay.

RobotsСrypto managed to unite the best trends of the world of trading, game industry and blockchain technology. It gives the possibilities not just for beginner crypto investors or experienced traders to earn crypt, but also to a large number of gamers to obtain such an interesting opportunity!

Having fun while playing the game and making profit while getting additional Ethereums sounds much better than simply losing money when spending them for the profile upgrade – as it happens in many world-famous games, you have to agree, it really deserves your attention!

RobotsCrypto developers not only created secure trade opportunities through the marketplace, but also strive to make a real revolution in cyber sport!

Robots and all the cryptogeneration equipment collected by players during this game will take part in AR battles. This is a mechanism for completing the reality, when robots and other equipment installed on players device are fighting the enemy army online.

Thus, RobotsСrypto combines new discoveries in the field of virtual reality and economy, because, judging by the latest news, the whole world is rapidly moving to blockchain. The whole ecosystem is transferred to a transparent, secure computer platform.

How to start the game?

RobotsCrypto is based on Ethereum blockchain. Ethereum is the second most popular cryptocurrency at the moment in the world. In order to gain access to the RobotsCrypto’s world of investment you need to:

  • Install the MetaMask add-in to the browser (Chrome / Firefox)
    • Keep safely your password and secret words
    • Transfer Ethereum (ETH) to the main MetaMask wallet network


  • Purchase starting game tokens on
    (until 08.03 discount rates are applicable)
    RobotsCrypto visualizes cryptocurrency in the chests, details, robots and their subsequent generations. Your savings are securely preserved, and a transparent market system will teach you how to multiply your income. And the most important thing is that you are the owner of your token!!Robots mining for you!

    Cryptocurrency always means mining – multiplying of income is directly proportional to existing capacity. Developers have found a unique solution to this function: each “correctly” assembled robot will produce details. And every detail still remains a crypto unit, which can be easily sold on the domestic market at any time.Developers do not recommend to sell the best details but to use them to upgrade your robot instead. Updating the robot’s parts increases its combat capacity and production quality.

    Win Ethereum in battles with Augmented Reality (AR)!

    In the nearest future you will be able to win one of the details and to obtain an additional Ethereum while defeating one of your opponents during the battle at the AR Arena.

    Our proposal represents simultaneous visualization of cryptocurrency, transparent trader analytics, original way of mining, game investment pro (generations and classification of robots), future battles at AR, transition of the game to the cyber sport and many other new opportunities which will be added by our developers during your exiting journey.

    More info:
    Facebook –
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    Supporting Link

    This is a paid press release. Readers should do their own due diligence before taking any actions related to the promoted company or any of its affiliates or services. is not responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in the press release.

The post PR: Trading Platform RobotsCrypto Is a New Promising Project on the Blockchain Which Really Deserves Your Attention! appeared first on Bitcoin News.

Bitcoin News

Aussie Crypto Traders Expect Tax Crackdown Ahead of New Regulations

March 2, 2018 |

With Australia set to introduce new legislation that will empower authorities to monitor and regulate the activities of cryptocurrency traders, many analysts are anticipating that the country’s bitcoin investors will face a crackdown from the the country’s tax office.

Also Read:Australian High School to Host Information Night on Cryptocurrencies 

Australia to Expand Regulatory Domain Over Cryptocurrency Traders

Australia’s new cryptocurrency regulations will see anti-money laundering legislation extended in order to greater encompass the challenges posed by virtual currencies. Analysts are expecting that the Australian Tax Office (ATO) will launch a crackdown on Australian cryptocurrency traders once the new rules are in effect.

Will Day, the ATO deputy commissioner, has stated that the extension of Australia’s anti-money laundering and counter-terrorism financing rules will result in “increased transparency” with regards to the operations of cryptocurrency traders. Cryptocurrency investors will face compulsory 100-point identification checks, with the ATO also planning to mobilize data-matching techniques in order to monitor the operations of traders under the new rules.

“The Anti-Money Laundering Counter-Terrorism Financing Act ensures that there is investor transparency through ‘know your client’ requirements. The increased transparency the law provides, combined with our data-matching techniques and a range of existing powers which address unexplained wealth, strengthen the ATO’s ability to tax cryptocurrency profits.”

ATO to Partner With OECD Anti-Tax-Avoidance Chief

Aussie Crypto Traders Expect Tax Crackdown Ahead of New RegulationsThe new legislation will see Australia’s financial intelligence agency, Austrac, extend its information-gathering jurisdiction to virtual currency exchanges. Australian cryptocurrency exchanges will also be mandated to report any cash transactions of over $ 10,000 AUD ($ 770 USD approximately).

It has been reported that the chief of the OECD’s global anti-tax-avoidance tax-force, commissioner Chris Jordan, will work closely with the ATO in monitoring the transnational flows of cryptocurrencies. Mr. Jordan will be tasked with discerning whether international virtual currencies may have tax implications, and may seek to foster joint operations involving the tax authorities of other nations.

Time Running Out for Crypto Tax Dodgers

Paul Drum of the National Tax Liaison Group has described the introduction of the new legislation as comprising “a watershed moment for the ATO and Austrac, enabling them to access and thoroughly ­review cryptocurrency exchange account data for the first time.”

Mr. Drum stated that “The effectiveness of the ­anonymity of Bitcoin and other cryptocurrencies is starting to fade. These coming changes mean that people shouldn’t ­assume they can hide forever behind blockchain technology, nor should they ­assume there are no tax consequences,” adding “Many people think of cryptocurrency trading as similar to having a bet at the casino, or backing Winx at the races. But there are usually tax consequences — and the stakes can be very high.”

Do you think that Australia’s tax authorities will launch a crackdown targeting cryptocurrency traders once the new legislation is in effect? Share your thoughts in the comments section below!

Images courtesy of Shutterstock

At there’s a bunch of free helpful services. For instance, have you seen our Tools page? You can even lookup the exchange rate for a transaction in the past. Or calculate the value of your current holdings. Or create a paper wallet. And much more.

The post Aussie Crypto Traders Expect Tax Crackdown Ahead of New Regulations appeared first on Bitcoin News.

Bitcoin News

China’s Police Force Reveals Offshore Exchange Surveillance

March 2, 2018 |

China's Police Force Reveals Offshore Exchange Surveillance

According to regional reports, China’s police agency is allegedly monitoring cryptocurrency exchanges based outside of the country. An informant details that China’s Public Information Network Security Supervision task-force is closely watching both domestic and foreign trading platforms involved with cryptocurrencies to prevent fraud, pyramid schemes, and money laundering.

Also Read: British Man in Amsterdam Allegedly Laundered €11.5m in Bitcoin Drug Money

China’s Regulators Are Watching Offshore Exchanges Dealing with RMB Closely

The local financial publication Yicai reports that China’s network security agency and police force is monitoring exchanges dealing with virtual currencies even if they are based abroad. The regulatory crackdown is being led by the Ministry of Public Security and other Chinese government agencies. According to an insider familiar with the matter, Yicai explains that the investigators are looking for possible Ponzi schemes, fraudulent trading activities, tax evasion, and money laundering crimes.

Even though many trading platforms moved offshore, the publication’s source explains they still monitored the exchanges “synchronously.” “As for the next step there will be further regulatory measures, but also to wait for the notification of higher officials,” explains the insider speaking with the regional publication.

China's Police Force Reveals Offshore Exchange Surveillance

ICO Projects and Domestic Exchanges Evade Regulations by Setting Up Businesses and Servers Internationally

The translated report further states that China’s regulatory authorities have witnessed initial coin offering (ICO) projects and domestic exchanges evade the country’s laws by setting up operations outside of China, registering the businesses offshore, and moving their servers as well.

“To this end, Chinese regulators will conduct a review of domestic bank accounts and online payment accounts for businesses and individuals suspected of helping domestic investors to make digital currency transactions at overseas exchanges,” the report details.

If the trading account is frozen, the exchange can no longer continue its operations, otherwise it is easy to involve illegal fund-raising, money-laundering and other criminal activities. 

Additionally, regulators are aware of the large amounts of over-the-counter (OTC) trading taking place outside of the country but with the operations still servicing customers dealing in RMB. “These platforms, while moving servers overseas, still ‘open doors’ to domestic users,” explains the news outlet.

What do you think about China’s police force and other authorities monitoring offshore exchanges? Let us know what you think in the comments below.

Images via Shutterstock, and Pixabay.

At all comments containing links are automatically held up for moderation in the Disqus system. That means an editor has to take a look at the comment to approve it. This is due to the many, repetitive, spam and scam links people post under our articles. We do not censor any comment content based on politics or personal opinions. So, please be patient. Your comment will be published.  

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Bitcoin News

JP Morgan Chase Fears Crypto Is Disruptive Competition

March 2, 2018 |

JP Morgan Chase Fears Crypto is Disruptive Competition

Perhaps cryptocurrency’s largest institutional nemesis is JP Morgan Chase. Led by the ever-belligerent Jamie Dimon, it and he have taken numerous opportunities to sandbag bitcoin and its spawn. Theories about why have long circled, but now there appears to be proof the legacy bank is threatened by decentralized currency in digital form, according to an internal annual report.

Also read: How To Regain Control From Nanny Zuck

JP Morgan Chase One Chastised Bitcoiners

In partial fulfilment of its fiduciary duty, JP Morgan Chase filed an Annual Report for 2017, Form 10-K: Annual report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934. It’s an exhaustive document mostly of interest to shareholders. This year, however, it contained unusual insight into the institutional mindset of the United States’ largest bank.

Under the rubric Competition, deep in the report, the bank worries aloud: “The financial services industry is highly competitive, and JPMorgan Chase’s results of operations will suffer if it is not a strong and effective competitor. JPMorgan Chase operates in a highly competitive environment, and expects that competition in the U.S. and global financial services industry will continue to be intense.”

JP Morgan Chase Fears Crypto is Disruptive Competition

Where competition seemed least likely, according to CEO Jamie Dimon, was in the area of cryptos such as bitcoin. Famously, Mr. Dimon chastised those who held or traded bitcoin as “stupid.” Indeed, the very concept, he maintained, was a “fraud.” He’d further attack his own employees who might dare dabble as risking their very job as a result. Though he’d later come off some of those remarks a tad, walking them back and almost apologizing, the truth of the matter might be more in line with taking a page from the Niccolò Machiavelli playbook: ridicule your opponent in an effort to minimize his popularity, knowing full well that foe could one day eat your lunch.

The Annual Report appears to shed light on the issue. It does list the usual suspects of other banks and institutions as competitors, warning ominously how “JPMorgan Chase cannot provide assurance that the significant competition in the financial services industry will not materially and adversely affect its future results of operations.” This seems, at least in part, due to the fact “New competitors have emerged.”

JP Morgan Chase Fears Crypto is Disruptive Competition

Disrupted by Technologies

After quick lines about the growth of e-commerce, the Report finally comes out with it. “These advances have also allowed financial institutions and other companies to provide electronic and internet-based financial solutions, including electronic securities trading, payment processing and online automated algorithmic-based investment advice. Furthermore, both financial institutions and their non-banking competitors face the risk that payment processing and other services could be disrupted by technologies, such as cryptocurrencies, that require no intermediation. New technologies have required and could require JPMorgan Chase to spend more to modify or adapt its products to attract and retain clients and customers or to match products and services offered by its competitors, including technology companies.”

And “intermediation” is Wall Street talk for banks. Cryptocurrencies can have the eventual impact of putting “downward pressure on prices and fees for JPMorgan Chase’s products and services or may cause JPMorgan Chase to lose market share,” the bank revealed.

What all this practically means for the short and long-term regarding the bank and crypto is anyone’s guess, but the following seems to give a rather large hint: “Increased competition also may require JPMorgan Chase to make additional capital investments in its businesses, or to extend more of its capital on behalf of its clients in order to remain competitive.” In other words, before it can beat crypto, it just might have to join crypto.

What do you think about JP Morgan’s latest admittals? Let us know in the comments section below.

Images courtesy of Pixabay. Jamie Redman contributed sourcing for this article.

Not up to date on the news? Listen to This Week in Bitcoina podcast updated each Friday.

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Crypto Tax Breaks Proposed by Officials in Russia

March 2, 2018 |

Crypto Tax Breaks Proposed by Officials in Russia

Tax exemptions on profits from crypto-related transactions have been proposed during a meeting at the Ministry of Economic Development of Russia. Participants also called for a 10 fold increase of the limit for individual investments in ICOs. Russians should be allowed to open accounts with foreign exchanges, officials insisted.  

Also read: Russian Lawmaker Proposes Legalization of Cryptocurrencies to Attract Investments

Tax Breaks For Corporate Earnings and Private Incomes

Proposals to amend the draft law “On Digital Financial Assets” have been mounting in Russia, as legislators are preparing to review the bill authored by the Finance Ministry. A working group composed of representatives from other ministries, government agencies, banks and companies have come up with new ideas to tweak the legislation.

Tax breaks on profits from crypto transactions have been proposed during a meeting of the group at the Russian Ministry of Economic Development, Vedomosti reported. A ministry official said that exemptions should cover not only corporate earnings, but personal incomes, as well. Participants also called for increasing the limit for individual shares of “unqualified” investors in ICOs from 50,000 to 500,000 Russian rubles ($ 8,800 USD).

Crypto Tax Breaks Proposed by Officials in Russia

The experts insisted on lifting restrictions for foreign investments in Russian ICOs. Also, the working group proposed Russian token holders be allowed to set up accounts with foreign cryptocurrency exchanges and invest in coin offerings abroad.

Representatives of the Ministry of Communications, the Justice Ministry, the Central Bank of Russia, the Federal Antimonopoly Service, “Skolkovo” Fund, Gazprombank, Sberbank, telecom companies and payment providers took part in the meeting on Tuesday. Their proposals will be reviewed by a government panel. The Finance Ministry, which has prepared the bill, is not a member of the working group.

Bill to Be Introduced In the Duma within Days

The Russian “Minfin” has been ordered by President Vladimir Putin to prepare the legislation needed to regulate the cryptocurrency sector. It is also working on its own amendments to the draft which should be introduced in Russian parliament very soon.

Crypto Tax Breaks Proposed by Officials in Russia
Alexei Moiseev

The ministry has not seen the latest proposals yet, Deputy Finance Minister Alexei Moiseev admitted. “Introducing tax exemptions is expedient, but the idea to increase the limit for individual investments in ICOs is debatable and we can discuss it,” said Moiseev, whose bill is much more restrictive in that respect.

The law is meant to regulate the new crypto sector of the Russian economy. It covers public coin offerings and the circulation of tokens separately from cryptocurrencies. The bill defines the legal status of smart contracts, too. On Wednesday Moiseev told Tass that the draft will be presented in the State Duma within days.

Finance Ministry Draft Law Draws Criticism

The bill on digital financial assets has drawn some criticism in the past few weeks. Experts from the crypto sector think that the draft of the Finance Ministry needs serious revision, as it leaves many unresolved issues. Lawyers working with crypto companies said that legal rights and obligations of market participants are unclear. The authors have provided guidelines for ICOs, but have not defined the status of tokens and smart contracts very well. Russian authorities in general have been criticized for their slow progress towards adopting crypto regulations.

Crypto Tax Breaks Proposed by Officials in Russia

The public debate has exposed some major differences between relevant institutions, notably Minfin and Centrobank, which disagree on the circulation, exchange and trade of cryptocurrencies. In Tuesday’s meeting the CBR representative has once again insisted that tokens should only be exchanged for fiat money – rubles or foreign currency, and not cryptocurrencies. On the other hand, the Finance Ministry has been pushing for allowing crypto trade on Russian exchanges. “We intend to separate tokens from digital currencies and mainly discuss tokens in the draft law. But we are ready to talk about digital currency in this or in another format”, Alexei Moiseev stated in December.

Do you expect tax breaks to be adopted as part of the new Russian legislation on cryptocurrencies? Tell is in the comments section below.

Images courtesy of Shutterstock. 

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SEC Subpoenas Shepherd ICOs Towards A+ Regulation

March 2, 2018 |

SEC Subpoenas Shepherd ICOs Towards A+ Regulation

The U.S Securities and Exchange Commission is believed to have issued dozens of subpoenas to ICOs in its quest to uncover evidence of securities fraud. Not only has it come after the startups themselves, but it’s reported to have subpoenaed their legal counsel too, as it pursues lawyers who may have facilitated any potential wrongdoing. Meanwhile, a number of companies have filed for A+ regulation, seeking express approval to sell security tokens to the public.

Also read: SEC Suspends Trading of Three Companies With Ties to Cryptocurrency

SEC Goes on a Subpoena Spree

SEC Subpoenas Shepherd ICOs Towards A+ RegulationSubpoenas are generally issued as an evidence gathering tool with the intention to prosecute if wrongdoing is established. On Wednesday, the Wall Street Journal (paywalled) reported that the SEC had issued scores of subpoenas against companies that had filed initial coin offerings. No specifics were provided however, leaving commenters to speculate on the scope and target of the offensive. In such scenarios, it is common for a single company to receive multiple subpoenas, so it is unlikely that the SEC has taken on the entire ICO landscape.

With the SEC yet to comment on the matter, speculation has mounted. The regulatory agency’s position on initial coin offerings, as voiced by its chairman Jay Clayton, is well documented. At the recent Senate hearing on cryptocurrencies, he stated that the agency’s Division of Enforcement would “continue to police these markets vigorously and recommend enforcement actions against those who conduct ICOs…in violation of the federal securities laws”.

Business as Usual for ICOs

As U.S. investors will attest, trying to find a crowdsale that will accept their contribution is nigh impossible now. The free and easy days of summer 2017, when anyone, anywhere could swap their ether for the hottest new tokens from the coolest new crowdsale seem like a distant memory. Startups that have diligently refused to accept funds from U.S. investors should have nothing to fear, but excluding this major and monied demographic isn’t an ideal solution. Moreover, U.S.-based ICOs desire the freedom to launch in their native country without fear of being shut down should the SEC decide their utility token is actually a security.

SEC Subpoenas Shepherd ICOs Towards A+ Regulation

Rather Than Flee the SEC, ICOs Are Seeking A+ Regulation

Instead of keeping a low profile and praying the SEC doesn’t come calling, some startups have been beating a path straight to their door, seeking their tacit approval. There are three types of federal securities permissions that ICOs – or indeed any company seeking to trade a security – can apply for: Regulation D, Regulation S, and Regulation A+. Regulation S is only applicable when the security is offered in a country outside of the U.S., but the other two – D and A+ – offer a possible route to compliance.

Knowbella Tech, an open science project, has gone for the A+ option, but its CEO, Mark Pohlkamp concedes that it is entering uncharted waters. “Regulation A+ is similar to a pre-sale or perk crowdfunding campaign offered on platforms like Kickstarter or Indiegogo, but also allows us to offer participants equity in our company in the form of Helix tokens, similar to cryptocurrencies,” he said. Sovereign, a philanthropic cryptocurrency targeted at Fortune 500 companies, is also considering going down this route. 

SEC Subpoenas Shepherd ICOs Towards A+ RegulationRegulation A+ isn’t without its problems though. For one thing, issuers are limited to raising $ 50 million in a 12-month period, although this solution does at least negate the need for investors to be accredited by the SEC. The alternative, Regulation D, allows the issuer to avoid being registered with the SEC, but investors must be accredited and may not sell their stake for 12 months afterwards. According to attorneys Pepper Hamilton LLP, “Since the beginning of 2018, four companies have filed Form 1-As with the SEC seeking to utilize Regulation A+ to raise funding and go public.”

The costs of obtaining regulatory approval for an initial coin offering aren’t cheap. But compared to the cost of having to cancel a crowdsale, return contributions to investors, and seek legal defense counsel after being prosecuted by the SEC, the next crop of ICOs may have little choice but to cough up and comply.

Do you think the SEC is likely to prosecute scores of ICOs, or is it simply fact finding at this stage? Let us know in the comments section below.

Images courtesy of Shutterstock.

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Genesis Launches Whale Sized Crypto-Loan Service

March 2, 2018 |

Genesis Launches Whale Sized Crypto-Loan Service

This week the institutional over-the-counter (OTC) digital currency service, Genesis Global Trading, announced it’s creating a lending subsidiary called Genesis Capital that will offer cryptocurrency loans for a fixed period of time.

Also Read: More Infrastructure Support Joins the Bitcoin Cash Ecosystem

Market Maker Lending Services

Genesis Launches Whale Sized Crypto-Loan ServiceGenesis Capital will be a new lending firm for institutional investors that provides the opportunity to borrow a wide variety of digital currencies. The new subsidiary believes individuals and businesses will need cryptocurrency loans so they can deploy market making strategies, short spot, or use as additional capital to jumpstart a project. As the digital asset scene continues to grow, Genesis Capital thinks it’s time to strike the iron while it’s hot.   

“We believe now is a great time to offer an institutional-focused lending service because it will increase general liquidity in the marketplace, encourage new financial institutions to participate in a two-sided market and increase the working capital that companies use to scale their digital currency-centric businesses,” explains Genesis Capital’s announcement.

Genesis Capital can now offer borrow on bitcoin, ether, ether classic, litecoin, ripple, bitcoin cash, zcash and other digital currencies in sizes from $ 100,000 upwards over fixed terms.

Genesis Launches Whale Sized Crypto-Loan Service

Up to $ 5 Million for Two Week to Six Month Loans

The company says being an existing cryptocurrency institutional market maker it can envision hedge funds, both spot and derivative brokerage services, and other use cases for large loans. Interested firms can fill out a form that asks for digital currency lending amounts between $ 100,000 to $ 5Mn+ USD worth of digital currencies according to the website’s submission page.

Genesis Capital says it plans to leverage its own OTC services and describes one example of lending a large block short-sale position. Borrowers will have access to Genesis Trading’s OTC platform after completing the onboarding process and will be able to initiate shorts utilizing various cryptocurrencies.

The firm’s website also details it is a regulated company that follows Federal MSB/Fincen regulatory statutes. Loan durations can be between two weeks to six months and the company explains it takes USD collateral. After the onboarding is complete Genesis says the digital currencies will be delivered “straight to your wallet.”

What do you think about Genesis Capital’s OTC-style loan service for institutional investors? Let us know in the comments below.

Images via Pixabay, and Genesis Capital.

The Bitcoin universe is vast. So is Check our Wiki, where you can learn everything you were afraid to ask. Or read our news coverage to stay up to date on the latest. Or delve into statistics on our helpful tools page.

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Dutch Bank That Once Called Bitcoin ‘High Risk’ Considers Building Crypto-Wallet

March 2, 2018 |

Dutch Bank That Once Called Bitcoin 'High Risk' Considers Building Crypto-Wallet

A Dutch multinational financial provider, Rabobank has announced the possible introduction of a ‘cryptocurrency wallet’ tethered to the company’s banking services. The news follows the bank’s recent ‘high risk’ profiling of account holders that participated in bitcoin trading. 

Also Read: Israeli Supreme Court Forbids Bank From Denying Service to Bitcoin Exchange

Rabobank Investigates the Idea of Introducing a Cryptocurrency Wallet to Its Online Banking Environment

Dutch Bank That Once Called Bitcoin 'High Risk' Considers Building Crypto-WalletThis week the Dutch institution, Rabobank, the second-largest bank in the Netherlands in terms of total assets revealed it may introduce a cryptocurrency wallet called “Rabobit.” The wallet idea is one of 22 concepts introduced in Rabobank’s internal Moonshot acceleration program. At the moment the idea is to host a cryptocurrency wallet that’s tethered to the company’s online banking environment. Rabobank says right now company employees are researching the benefits and risks tied to implementing a digital currency wallet.

“The idea of Rabobit is a cryptocurrency wallet within the online banking environment,” explains the Dutch bank.  

The employees who are currently investigating this initiative approach clients for this, both in person (street research) and via the website.

A Messy Banking Past

Rabobank also has a history of paying fines for unethical banking practices. In 2013 the bank paid a $ 1 billion fine for “unscrupulous trading practices” that were associated with the LIBOR scandal. The bank’s California unit just got into trouble this year when regulators investigated alleged money laundering associated with Mexican drug sales and organized crime. Rabobank agreed to pay $ 369 million to settle the money laundering allegations.

The Dutch institution’s webpage says if the wallet is launched it will be hosted by a trusted party and within the secure online banking environment. Further, customers can get insight to an investor’s overall liquidity by utilizing both banking and cryptocurrency accounts all in one place.

Dutch Bank That Once Called Bitcoin 'High Risk' Considers Building Crypto-Wallet

Rabobank Recently Declared Customers Who Trade Bitcoins ‘High Risk’

Even though Rabobank has launched the cryptocurrency wallet website the company says the idea hasn’t been fully established yet and the company is researching to see if demand exists.

“Rabobit has not yet been realised, there is still no official decision to introduce this. As soon as more info follows, we will communicate this,” a Rabobank representative on Twitter explains yesterday.

Just recently Rabobank warned that customers who trade bitcoins using their accounts were dealing with certain risks. Further, account holders who trade cryptocurrencies would be classified as “high risk” customers.

“Bitcoins are considered to be risky products. Customers who trade in high-risk products can have a higher risk profile. It is conceivable that companies that deal with cryptocurrencies are seen as too risky and can therefore not be accepted as a customer,” Rabobank stated on February 2.

Ownership and value transfer are completely anonymous and evade supervision by third parties, such as a government. Which means that cryptocurrency does not meet the highest standards of compliance set by Rabobank.

Even though the bank representatives state there is no official decision to introduce the wallet just yet, it seems the company is changing its mind about cryptocurrencies, and may be friendlier toward the technology in the near future.

What do you think about Rabobank back peddling on recent statements about bitcoin risks and then announcing the possibility of creating a cryptocurrency wallet? Let us know in the comments below.

Images via Rabobank building, logo, and the Rabobit website. 

At there’s a bunch of free helpful services. For instance, have you seen our Tools page? You can even lookup the exchange rate for a transaction in the past. Or calculate the value of your current holdings. Or create a paper wallet. And much more.

The post Dutch Bank That Once Called Bitcoin ‘High Risk’ Considers Building Crypto-Wallet appeared first on Bitcoin News.

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PR: Bitcoin Exchanges: Please Help Your Users Claim BCP and BCPC as Soon as Possible

March 1, 2018 |

Claim Bitcoin Parallel on Bitcoin Exchanges

This is a paid press release, which contains forward looking statements, and should be treated as advertising or promotional material. does not endorse nor support this product/service. is not responsible for or liable for any content, accuracy or quality within the press release.

Since coin claiming began at 09:00 GMT on 12 January 2018, the number of people registered at the Bitcoin Parallel website has skyrocketed.

In order to maintain the Bitcoin Parallel Ecosystem, the Bitcoin Parallel Foundation has formulated a declining distribution rule. Bitcoin holders at block height of 507,000 receive BCP and BCPC at BTC: BCP = 1: 1, BTC: BCPC = 1: 1,000. But since 09:00 GMT on 13 February 2018, the distribution rate decreased by 2% every 24 hours. After being decreased to 50%, the distribution rate would then enter into a second phase, decreasing by 1% every week—until it becomes zero.

As its work has progressed, the Foundation has received a large number of emails from Bitcoin holders about claiming BCP and BCPC. So guidelines have been created based on the questions most frequently asked. Please keep an eye on the following official locations:


And the official website:

The Foundation has also recently received many emails from exchange wallet users about how to claim BCP and BCPC. Taking into account the declining rate rule, and what is expected to be the online time in 3 to 4 months, we ask Bitcoin exchanges to please help your users who meet the claiming criteria with claiming BCP and BCPC and please allocate claimed BCP and BCPC to your users as soon as possible.
Holders of Bitcoin wallets (paper, software, or hardware) who hold Bitcoins at a height of 507,000, but who have not yet claimed BCP and BCPC, please do so at the official website as soon as possible.

Thank you.

For more information on Bitcoin Parallel, please visit:

Bitcoin Parallel Foundation

Contact Email Address
Supporting Link

This is a paid press release. Readers should do their own due diligence before taking any actions related to the promoted company or any of its affiliates or services. is not responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in the press release.

The post PR: Bitcoin Exchanges: Please Help Your Users Claim BCP and BCPC as Soon as Possible appeared first on Bitcoin News.

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