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Tether Announces Appointment of New Chief Compliance Officer

July 13, 2018 |

Tether Announces Appointment of New Chief Compliance Officer

Tether has announced the appointed of Leonardo Real, a former anti-money laundering (AML) quality control manager at Bank of Montreal, as the company’s new chief compliance officer (CSO). The announcement comes just one week after Phil Potter, one of Tether’s directors, announced that he will be leaving sister company, Bitfinex.

Also Read: Japanese Police Seize Cryptocurrency for Parking Violations

Tether Announces New CCO

Leonardo Real, former AML control manager of Canada’s fourth-largest financial institution, Bank of Montreal, has been announced as Tether’s new chief compliance officer.

A press release issued by Tether has stated that Mr. Real has been brought in “to assist in setting the highest standards in compliance.” Jean-Louis van der Velde, the chief executive officer of Tether welcomed the arrival of Mr. True, stating “We are all very excited to introduce Leonardo as Chief Compliance Officer at Tether, as he joins us on what has already been a remarkable journey to date disrupting the legacy financial system. His depth of experience managing AML risk in capital markets, as well as the wealth management and commercial banking sectors, combined with his proven expertise in quality control management and strategy formulation will make him an invaluable asset to our company. All of us at Tether have every confidence in his ability to oversee and manage all relevant compliance issues as we continue to move forward and grow.”

“We are particularly excited to announce this key hire at a seminal point in the life of the blockchain and cryptocurrency sector. As the industry matures, all actors within the space shall be expected to meet a higher standard of industry best practices. As Tether continues to work to realize our vision of total transparency and unparalleled security within the cryptocurrency market, we will always endeavor to set the gold standard in regulatory compliance. Leonardo will play an important role in realizing these aims, and we are very excited to welcome him aboard as we look forward to all that lies ahead,” the Tether CEO added.

Mr. Real’s Cryptocurrency Resume

Before working with Bank of Montreal, Tether states that Mr. Real “also has experience working in financial day, stock, and futures trading,” adding that “Real is a proven thought leader in the industry, having co-written the 2016 ACAMS Today Article of the Year which focused on money laundering risks associated with cryptocurrencies.”

“Joining Tether as CCO is an incredibly exciting move for me personally, and I am particularly impressed by the motivation, dedication, and talent of the Tether team. I look forward to helping showcase Tether’s commitment to transparency and regulatory compliance within the blockchain and cryptocurrency space. As a longtime advocate of blockchain technology and the integration of cryptocurrencies into the mainstream, I am looking forward to putting my experience in AML and regulatory compliance in traditional financial institutions to use, to ensure that the Tether project can continue its work disrupting traditional industries,” said Mr. Real.

Mr. Real “also organized a Blockchain, Cryptocurrency, and AML event held in Toronto, Canada in August 2016, bringing together regulators, bankers, law enforcement professionals, and companies in the blockchain space to discuss responsible use of cryptocurrencies.”

Phil Potter to Stand Down From Bitfinex

Tether Announces Appointment of New Chief Compliance OfficerTether director, Phil Potter, recently announced that he would stand down from his role as the Bitfinex’s chief security officer, before soon leaving Tether’s supposed sister company.

Mr. Potter stated: “As Bitfinex pivots away from the U.S., I felt that, as a U.S. person, it was time for me to rethink my position as a member of the executive team.”

Tether Sends 100 Million USDT to Bitfinex

At 12:53:29 AM, 13th of July, 2018, 100 million USDT was sent to wallet that is owned by Bitfinex, following one of few major Tether issuances of recent months.

At 11:59:27 PM on the 25th of June, Tether created 250 million USDT, following the creation of the same quantity of USDT on the 19th of May.

What is your response to Tether’s appointment of Leonardo Real to the position of chief compliance officer? Share your thoughts in the comments section below!


Images courtesy of Shutterstock


At Bitcoin.com 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 Tether Announces Appointment of New Chief Compliance Officer appeared first on Bitcoin News.

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Ex-New York Chief Judge: It’s time to end cash bail

July 13, 2018 |

In New York City, only 12 percent of the people who have bail set can pay immediately. The other 88 percent are transported to the infamous jail complex on Rikers Island.
FOX News

Regulatory Round-Up: U.K. Chief Blockchain Officer, DLT Cohort in FCA Sandbox, Central Bank Calls Crypto ”Fallacy”

July 7, 2018 |

Regulatory Round-Up: U.K. Chief Blockchain Officer, DLT Companies in FCA Sandbox, Central Bank Calls Crypto ”Fallacy”

In recent regulatory news, U.K. minister, Eddie Hughes has published a report that advocates for the creation of a “Chief Blockchain Officer,” the U.K. Financial Conduct Authority has announced that a number of distributed ledger (DLT) companies have been accepted into cohort 4 of its regulatory sandbox, and Finland’s Central Bank has published a report calling cryptocurrency a “fallacy.”

Also Read: China Round-Up: Permissive Regulations Advocated, 3 Million Chinese HODLers, Xiaolai Recording Leaks

U.K. Minister Calls for Creation of “Chief Blockchain Officer”

Regulatory Round-Up: U.K. Chief Blockchain Officer, DLT Companies in FCA Sandbox, Central Bank Calls Crypto ”Fallacy”Tory MP, Eddie Hughes, has distributed a report to other ministers titled “Unlocking Blockchain,” which advocates for greater adoption of distributed ledger technology in the praxis of government, and calls for the creation of a new government position of “Chief Blockchain Officer.”

Mr. Hughes argues that the Chief Blockchain Officer “should be appointed from within the government’s existing task force to coordinate the U.K.’s strategy regarding the application of DLT to public services and data.” The report argues that the position should be expanded to cover emerging technologies such as artificial intelligence as such converge with distributed ledger technology.

The report also advocates the establishment of a long-term target of “making a 1 percent efficiency saving” through embracing distributed ledger technology.

DLT Companies Enter FCA Regulatory Sandbox

Regulatory Round-Up: U.K. MP Calls for ‘Chief Blockchain Officer’, DLT Companies Enter FCA Sandbox, Bank of Finland Calls Crypto a “Fallacy”The United Kingdom’s Financial Conduct Authority (FCA) has released a list of the 29 businesses “that have been accepted into cohort 4 of the regulatory sandbox to test innovative products, services, business models and delivery mechanisms.” The businesses accepted were among 69 firms that applied for cohort 4 of the regulatory sandbox.

A number of the firms are involved in the distributed ledger technology industry, including Blockex – a “platform that facilitates the issuance and manages the lifecycle of regulated bonds using DLT,” and Fineqia – a “blockchain-based digital platform that enables companies to issue and administer debt and equity securities, including bonds backed by cryptoassets.”

Other companies operating in the DLT sector that have been accepted in cohort 4 include Capexmove, Community First Credit Union, Etherisc, Fractal, Globacap, Natwest, Tokenmarket, Tokencard, Universal Tokens, Word Reserve Trust, and 20|30.

Bank of Finland Calls Cryptocurrency a “Fallacy”

Finland’s central bank has published a paper titled “The Great Illusion of Digital Currencies” that seeks to provide “analysis of digital currencies, including cryptocurrencies, and their potential as monetary instruments,” and claims it shows that “the concept of a digital currency is a fallacy.”

The report claims that currency comprises “a physical representation of a monetary unit of account,” and that such “cannot be digitized, as this would inevitably mean creating a financial record keeping system based on accounts.” Cryptocurrencies, the report argues, “are not currencies at all but accounting systems for non-existent assets.”

Do you think that the U.K. (and other jurisdictions) will soon appoint government positions tasked with overseeing the cryptocurrency and blockchain industries? Share your thoughts in the comments section below!


Images courtesy of Shutterstock, Wikipedia


At Bitcoin.com 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 Regulatory Round-Up: U.K. Chief Blockchain Officer, DLT Cohort in FCA Sandbox, Central Bank Calls Crypto ”Fallacy” appeared first on Bitcoin News.

Bitcoin News

Trump’s FTC consumer chief may be single most conflicted member of his administration

July 6, 2018 |

When a new consumer regulator gets appointed in Washington, Remington Gregg, as a lawyer with the advocacy group Public Citizen, routinely submits a request under the Freedom of Information Act for the appointee’s financial disclosure statement. This can help spot any potential conflicts of interest.


L.A. Times – Business

Trump’s New Communications Chief Is Former Fox News Exec

July 5, 2018 |

President Trump has chosen his fifth communications chief: former Fox News co-president Bill Shine, who will take over a post left empty by Hope Hicks’s March departure. Anthony Scaramucci, Sean Spicer, and Michael Dubke previously held the position. The AP quotes the White House as saying Shine “brings over two…
Newser

Florida CFO Advocates Creation of State “Cryptocurrency Chief”

July 5, 2018 |

Florida CFO Advocates Creation of State “Cryptocurrency Chief”

The Florida Chief Financial Officer (CFO), Jimmy Patronis, has issued a statement calling for Florida’s government to create the post of “cryptocurrency chief” to provide greater oversight to the state’s emerging digital currency sector.

Also Read: Presidential Decree Sets the Stage for Legalizing Cryptocurrencies in Uzbekistan

Florida CFO Advocates Creation of Government Post Overseeing Crypto

Florida CFO Advocates Creation of State “Cryptocurrency Chief”
Jimmy Patronis

Jimmy Patronis has issued a statement urging Florida’s lawmakers to create a new governmental post tasked with overseeing the state’s cryptocurrency industry.

The “Cryptocurrency Oversight Initiative” has received support from Florida Senate President-Designate Bill Galvano, who stated “ As technology continues to develop, our state needs to be both on the forefront of emerging trends and ahead of the game when it comes to protecting consumers from those who want to scam our residents. I applaud CFO Patronis for putting innovative proposals forward and will work with him on any forthcoming policy changes.”

Mr. Patronis said: “Florida can no longer remain on the sidelines when it comes to cryptocurrency. I have directed my office to create a position that will oversee how current securities and insurance laws apply to Initial Coin Offerings (ICOs) and cryptocurrencies as well as shape the future of these regulations in our state.”

“ICO and cryptocurrency companies based in Florida will also be required to register with the Office of Financial Regulation (OFR) under the supervision of the cryptocurrency chief. The new position will coordinate the efforts of OFR and Office of Insurance Regulation (OIR) regarding the development of policy, legislation, and regulation,” Mr. Patronis continued.

CFO Urges Florida to Develop “Comprehensive” Regulatory Response to Cryptocurrency

Florida CFO Advocates Creation of State “Cryptocurrency Chief”Mr. Patronis argues that Florida must develop a “comprehensive and balanced” regulatory framework, emphasizing the need to protect citizens from malicious actors seeking to utilize distributed ledger technology.

“We cannot allow the cryptocurrency industry to expand in Florida unfettered and unchecked with the potential for so many, including our large population of seniors, to be exploited. By taking an active, comprehensive and balanced approach, our state will provide an appropriate level of scrutiny for emerging digital asset technologies. It is absolutely essential that Florida create safeguards to protect our consumers from fraud,” said Mr. Patronis.

“The Alabama Securities Commission recently sent a cease and desist order to Platinum Coin from Miami to prohibit the company from issuing securities within Alabama. Other states have identified and are taking action against bad actors in the cryptocurrency industry. Florida must also protect our residents. […] The establishment of a cryptocurrency chief in the state will help protect Floridians from scams. Understanding the risks and benefits of this emerging industry will benefit Florida consumers. My goal is to keep pace with demand and not deter innovation while monitoring for fraudulent behavior and scams,” he added.

Do you think that the creation of state “cryptocurrency chiefs” tasked with overseeing the virtual currency industry would be positive or negative for the virtual currency ecosystem? Share your thoughts in the comments section below!


Images courtesy of Shutterstock, Wikipedia


At Bitcoin.com 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 Florida CFO Advocates Creation of State “Cryptocurrency Chief” appeared first on Bitcoin News.

Bitcoin News

Polish Chief Justice Defies Supreme Court Overhaul

July 5, 2018 |

The head of Poland’s Supreme Court defied a new judicial order that has put the nationalist government on a confrontation course with the European Union, showing up to work despite a controversial new law forcing her ouster.
WSJ.com: What’s News Europe

Body Found in Dirt Mound Feels Like ‘Deja Vu’: Police Chief

July 5, 2018 |

Nearly a decade ago, the remains of 11 women who disappeared in New Mexico in the early 2000s were found buried in shallow graves in what’s become the state’s largest unsolved serial killing. As macabre as it was, police immediately suspected more graves remained hidden, given the unsolved disappearances of…
Newser

Bitcoin in Brief Monday: Chief Strategist Quits Bitfinex, Cryptos Climb Capitol Hill

June 25, 2018 |

Bitcoin in Brief Monday: Chief Strategist Quits Bitfinex, Cryptos Climb Capitol Hill

In today’s edition of Bitcoin in Brief, “U.S. person” Phil Potter, Chief Strategy Officer at crypto exchange Bitfinex, is departing the company as it pivots away from the United States. In America, the Supreme Court mentions Bitcoin and cowrie shells in the context of money. On Capitol Hill, congressmen have been warned to disclose their crypto holdings, while a Republican Rep. calls for “light touch” ICO regulations.

Also read: This Week in Bitcoin: McAfee Backs Off, Crypto World Cup and the Mystery of 21e8

Chief of Strategy Leaves Trading Platform Bitfinex

Bitcoin in Brief Monday: Chief Strategist Quits Bitfinex, Cryptos Climb Capitol HillPhil Potter, the Chief Strategy Officer of Bitfinex, is leaving his post at the exchange, Reuters reported quoting both him and the company. Potter will be replaced by Chief Executive JL van der Velde, Bitfinex announced. Speaking of new opportunities he did not specify, Potter stated:

As Bitfinex pivots away from the U.S., I felt that, as a U.S. person, it was time for me to rethink my position as a member of the executive team.

Bitfinex, currently the fourth-largest cryptocurrency exchange by trading volume, is owned by a company based in the British Virgin Islands. The platform offers traders the opportunity to buy and sell cryptocurrencies such as bitcoin and ether. In April, Bitfinex also introduced trading for 12 altcoins.

Bitcoin in Brief Monday: Chief Strategist Quits Bitfinex, Cryptos Climb Capitol Hill

The exchange shares management with Tether Limited, the company that issues the Tether token (USDT) which, according to its developers, is pegged to the U.S. dollar. The claim, however, has been contested by critics who doubt the company holds $ 1 USD in reserve for every minted coin.

According to a research paper by the University of Texas, Tether may have been used to manipulate the price of bitcoin last year – an allegation that Bitfinex rejects. An investigation opened by the U.S. Justice Department into possible manipulations is believed to be one of the main reasons for the recent crypto market losses.

US Supreme Court Mentions Bitcoin

Bitcoin in Brief Monday: Chief Strategist Quits Bitfinex, Cryptos Climb Capitol HillSince the announcement of the US DOJ probe, several other interesting developments have been reported in the U.S. In a ruling not directly related to cryptocurrencies, the Supreme Court of the United States mentioned Bitcoin, arguably for the first time. The dissenting opinion in the Wisconsin Central Ltd. v. United States case, authored by Justice Stephen Breyer, puts forward the first cryptocurrency as an example of how views regarding money are changing over time.

The case is centered on a taxation dispute stemming from the government’s assertion that the railroad company’s stock option payments to its employees represent “money remuneration” and should be taxed, while Wisconsin Central and its workers claim the opposite. The majority opinion, written by Justice Neil Gorsuch, supported the company’s view in a 5-4 vote stating that stock options were not money and could not be subject to taxation under the Railroad Retirement Tax Act of 1934.

However, the dissenting opinion, authored by Breyer and backed by three of his colleagues, argued that the stock options were in fact money remunerations. Justice Breyer specifically refers to Bitcoin, stating that “[…] what we view as money has changed over time. Cowrie shells once were such a medium but no longer are […]; our currency originally included gold coins and bullion, but, after 1934, gold could not be used as a medium of exchange […]; perhaps one day employees will be paid in Bitcoin or some other type of cryptocurrency […]. Nothing in the statute suggests the meaning of this provision should be trapped in a monetary time warp, forever limited to those forms of money commonly used in the 1930’s.”

US Congressmen Advised to Disclose Crypto Holdings

The members of the House of Representatives will have to disclose information about their investments in bitcoin and other cryptocurrencies. The obligation covers holdings of more than $ 1,000 in US dollar equivalent, according to an announcement issued last week by the Committee on Ethics of the congressional lower house. The “Memorandum to All House Members, Officers and Employees” reads:

In particular, the Committee has determined that with respect to financial disclosure, cryptocurrencies will be treated as an “other forms of securities” and are therefore subject to reporting both on a financial disclosure filer’s annual Financial Disclosure Statement (FD Statements or Statements) and on Periodic Transaction Reports (PTRs) throughout the year.

The Committee also recommends, “due to the evolving nature of cryptocurrencies,” that anyone with questions about digital currencies or intentions to participate in Initial Coin Offerings (ICOs) contact the Committee for guidance prior to investing. In addition, House members are now obliged to report, within 45 days, any transactions with crypto assets, again in excess of $ 1,000 USD, The Wall Street Journal reported.

Congressman Calls for Light ICO Regulations

Speaking of crypto investments and the Capitol, a call was issued last week to adopt a “light touch regulatory framework” for the young crowdfunding industry. In an interview with CNBC, Rep. Warren Davidson (R-OH) said: “We want to make sure that the United States’ capital markets stay strong and vibrant, and one of the ways to do that is to provide regulatory certainty.”

Bitcoin in Brief Monday: Chief Strategist Quits Bitfinex, Cryptos Climb Capitol HillDavidson, who is a member of the House Financial Services Committee, said lawmakers have been working with representatives of the industry, including regulators, to determine how regulations should be shaped in order to drive capital. He also noted that “right now there are concerns that there is a regulatory arbitrage going on” and that “everything starts looking as a security to a securities’ regulator.”

The congressman also shared concerns that without coherent regulations the ICO sector in the U.S. may end up being regulated by a disparate patch of court rulings. “We want to protect that market,” Warren Davidson emphasized.

What are your thoughts on today’s Bitcoin in Brief topics? Let us know in the comments section below.


Images courtesy of Shutterstock.


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The post Bitcoin in Brief Monday: Chief Strategist Quits Bitfinex, Cryptos Climb Capitol Hill appeared first on Bitcoin News.

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