Aug. 8th: Boosting Investor Confidence in Bitcoin
Hello everyone and welcome to This Week in Crypto, this is your daily roundup for August 8, 2019. The Bitcoin network hash rate has just hit 80 quintillion hashes per second, Robinhood has obtained a license to operate in the UK, and Coinbase is facing a negligence lawsuit.
VC Trade Implements FATF Standards
VC Trade, a Japan-based crypto exchange launched by SBI Holdings, has integrated CoolXWallet to meet Financial Action Task Force standards. The CoolXWallet is part of the Sygna system by CoolXbit, that only allows users to withdraw their crypto assets to their wallets after completing multiple layers of KYC.
Sygna takes the responsibility of conducting KYC away from exchanges by ensuring that all wallet holders are fully KYC-ed through their wallet. This comes after the Financial Action Task Force has set firm KYC/AML guidelines for virtual asset service providers.
Robinhood Obtains Broker License In UK
Robinhood has obtained a broker’s license to launch and operate in the U.K. market. Back in January, Robinhood received a BitLicense from New York Department of Financial Services, bringing its U.S. coverage to 30 states. Robinhood also just raised $323 million a Series E this past June.
Bitcoin Hashrate Increases
Investors are increasingly considering taking shelter in Bitcoin. A couple weeks ago, the United States Federal Reserve announced that it would cut interest rates and less than a week later China devalued its currency. The U.S. Treasury Department has officially designated China as a currency manipulator.
Economist and former Goldman Sachs executive Raoul Pal believes we are approaching a currency crisis and Bitcoin will thrive throughout. In a tweet, he stated “We are at the most important juncture in FX markets in my entire 30 year career. The dollar appears at risk of an uncontrolled rise.” Bitcoin has shown to be increasingly non-correlated with traditional markets.
In addition, based on data from bit info chart, the Bitcoin network hash rate has surpassed 80 quintillion hashes per second for the first time. Hash rate refers to the amount of computing power used to validate Bitcoin transactions. The more power, the costlier it becomes for malicious actors to attack the network, therefore making the network stronger and boosting investor confidence.
Coinbase Negligence Lawsuit
Coinbase is facing a negligence lawsuit after allegedly mishandling its launch of Bitcoin Cash. court documents released on Tuesday show that US District Judge Vince Chhabria threw fraud and unfair competition charges relating to the case.
The issue resides around the fact that Coinbase allowed US dollar orders for BCH in 2017, but suspended them after just a couple of minutes, citing significant volatility.
The judge stated “The fact that Coinbase halted trading within three minutes of the launch is indicative of dysfunction. The buyers have also identified precautions Coinbase could have taken to avert the massive spike in the price of Bitcoin Cash on its exchange.” Judge Chhabria has given the go-ahead for buyers, to move forward with a negligence lawsuit against the cryptocurrency exchange.
Tezos Listed On Coinbase
Tezos (XTZ) has just been listed on Coinbase. Tezos is a decentralized computing platform based proof of stake consensus. This has been your daily roundup from This Week in Crypto for August 8, 2019. Be sure to support the podcast by subscribing on your favorite podcast app including Google Home and Alexa devices. Also join us on Telegram to let us know your thoughts at t.me/weekincrypto. Thanks for listening, we’ll see you next time.