November 2018 archive

American Securities and Exchange Commission (SEC) targets ICOs

The Securities and Exchange Commission (SEC) is fighting the ICO fraud to protect investors and small investors.

With the all-time high reaching close to 20,000 dollars, Bitcoin was the number one topic of conversation. Potential investors can trade existing crypto currencies or be part of a brand new virtual currency by investing in the ICO of a start-up. ICOs are already a billion dollar business today.

SEC is getting ready says onlinebetrug

However, the fact that these ICOs are decentralised and not subject to any authority means that there is a potential for fraud according to www.onlinebetrug/en. According to Fox Business, this is an issue that the Securities and Exchange Commission (SEC) is actively combating. In fact, the regulator’s recent move could affect dozens of crypto platforms, especially ICOs.

Although the SEC, chaired by Jay Clayton of onlinebetrug, has so far only acted in nine cases of fraudulent ICOs, sources initiated into the SEC’s correspondence have stated that the Commission is actively working on further ones. If that is true, 2018 could be a big year for the SEC to take decisive action against a large number of fraudulent ICOs.

“Crypto currencies are fraud”
Immediate sources near Clayton have claimed that the chairman is a crypto critic by drawing the usual comparisons between crypto currencies and the “dotcom bubble”. A lawyer who represents some of the SEC’s goals added:

OBVIOUSLY, THERE ARE SOME REAL COMPANIES INVOLVED IN CRYPTOS. BUT CLAYTON BELIEVES THAT MUCH OF IT IS A BIG ONE.

Harvey Pitt, a former SEC chairman:

I WOULD SAY THE DAY OF BILLING, IN THIS AREA, IS COMING. AND I THINK IT REFLECTS THE DEEP CONCERN THAT SOME OF THE ONGOING ACTIVITIES REQUIRE ACTION TO BE TAKEN TO PREVENT INVESTORS FROM BEING EXPLOITED.

Investor protection by onlinebetrug

The decentralized character of crypto currencies has become a problem for Bitcoin profit regulators. However, since ICOs are listed as securities, the SEC can claim consequences for unauthorized actions according to onlinebetrug. One of the objectives of this approach is to hold fraudulent ICOs that target retail investors accountable.

This will be a busy year for the SEC. Not only will they focus on identifying fraudulent ICOs, they will also list the highly anticipated Bitcoin ETFs to be traded in the US. Big names like CBOE and JPMorgan Chase have already supported ETF development.

Trading giant eToro launches own Bitcoin & Crypto exchange

The social trading network eToro will publish its crypto-wallet until next month before the stock market launch in the fourth quarter of 2018. In an interview, the Managing Director said that there was great interest in their new Crypto Trading Desk.

Bitcoin revolution: USA is a Phenomenal Market

eToro CEO Iqbal Gandham announced that they will launch their Crypto Wallet by August before launching their Crypto Exchange planned for Q4 2018. The Bitcoin revolution will follow as compliance with Gibraltar regulations has yet to be completed:

“We will soon launch our Crypto Exchange and our Wallet. We will look at the exchange within the next quarter, we will look at Q4. I think the wallet release date will probably be the end of July, if not the beginning of August. The exchange will be guided by certain regulatory priorities required in Gibraltar. It could be accelerated if Bitcoin’s price rises to $20,000.”

The CEO said that eToro is expanding into the US and has begun regulatory processes to establish licenses. He said the US is a “phenomenal market for cryptographic equipment”.

eToro recently announced that they will set up an OTC Trading Deks in London for institutional investors, including hedge funds and banks. This is in competition with Coinbase Custody, which launched its service on 2 July, which has already attracted $100 million.

“We’re putting together the internal processes. I think when we dot the i’s and cross the t’s we’re looking at Q4 to start the OTC switch here in the UK. Some of our customers have said that they want to do OTC trading. It will be an interesting part of the puzzle eToro is putting together.”

eToro has become a leading crypto trading platform and is not only convincing with its social media character where traders can exchange information. There is the possibility to deposit via Paypal and you can trade the most popular crypto currencies and follow famous traders and copy their strategies.

UK has no regulation for Bitcoin trader yet

Gandham is the chairman of CryptoUK, a self-regulatory Bitcoin trader organisation established by leading crypto exchanges to support the development of appropriate regulation. He will be attending the Crypto Assets Task Force in two weeks. He said that the reports from this Task Force and the UK Treasury Select Committee will shape the UK rules for Bitcoin trader and prevent scam that hopefully by the end of the year we will have clarity on the rules.

Gandham criticised the lack of regulation and called it “very confusing” for companies. He said that clarity about regulation will help “promote innovation and protect the consumer”. He called on the government to provide clear guidance, but acknowledged that research was underway.