Brazil’s Bank BTG Pactual Launches Crypto Trading Platform

BTG Pactual, Brazil’s sixth largest investment bank, has launched its cryptocurrency trading platform.

André Portilho, head of digital assets at BTG Pactual, confirmed that the crypto trading platform, called Mynt, is now officially available to the public.

Cryptocurrencies are a new technology with great potential for transformation, bringing with it risks and opportunities. Entering the cryptocurrency universe is another important step in meeting a demand from our clients and filling a gap in the market,” the executive said.

The platform currently supports trading five digital assets, including Bitcoin, Ether, Solana, Polkadot, and Cardano.

Mynt allows users to invest in cryptocurrencies with as little as 100 Brazilian reals, equivalent to $19.42.

Portilho said Mynt offers 24/7 support from a team available throughout to answer any customer questions.

Portilho noted that the platform had been available to a restricted group since May. In September last year, BTG Pactual first announced the idea of Mynt with initial plans to offer Bitcoin and Ether trading by the end of that year.

Crypto creating new business opportunities

Crypto is fast gaining mainstream acceptance in Brazil as major firms are creating new and innovative offerings around such digital assets.

Major Brazilian businesses are increasingly allowing consumers to get started with cryptocurrency quickly and easily to diversify their savings, protect against inflation, and save on transaction fees.

In July, Santander, a Spanish banking multinational giant whose branch operates in Brazil, announced plans to offer crypto trading to its customers in Brazil.

In May, Nubank, the largest Brazilian digital bank by market value, launched Bitcoin and Ether trading to allow its customers to buy cryptocurrencies on its platform.

Last month, PicPay, a major Brazilian payment app, launched a crypto exchange through a partnership with Paxos to enable users to trade cryptocurrencies.

In December last year, Mercado Libre, Latin America’s largest e-commerce company by market value, began allowing users in Brazil to buy, sell and hold crypto coins.

And many more big brands in Brazil have launched crypto trading services. The cryptocurrency market in the country is expected to grow significantly as demand remains high.

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BBC Chair Linked to Russian-sanctioned Subsidiary Blockchain Platform

Chairman of the British Broadcasting Corporation (BBC), Richard Sharp, has been shown to have ties with Vladimir Potanin, one of Russia’s richest men. 

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While there has been no direct indictment for the business relationship between Sharp and Potanin, the link has stimulated media, considering the fact that Potanin has now been placed under various sanctions for supporting the Russian regime.

Potanin is not just an ally of Russian President Vladimir Putin but also one of those men in his inner circle. Potanin has even been seen playing hockey with Putin before, showing the close bond between the two.

With the invasion of Ukraine, many Russian oligarchs were sanctioned by the United Kingdom, the European Union, and the United States of America. Despite the media fuss about Sharp’s investment in Atomyze, there is vital evidence that suggests the investment had been made prior to the time the sanctions were imposed.

A spokesperson for Chairman Sharp noted that the billionaire’s investment portfolio is managed by a Blind Trust that helped handle the investments with Atomyze.

“The arrangement was maintained after Sharp became chairman of the BBC. This blind trust has professionally managed the ABCP GP Ltd and Atomyze Switzerland interests with complete independence from Mr. Sharp and at the trust’s sole discretion since its establishment,” the spokesperson said, adding that “At the current time, the blind trust, and therefore Mr. Sharp, have no financial or directorial interests in any businesses owned and controlled by Mr. Potanin.”

Atomyze is a Russian regulated blockchain-based trading platform that plays home to a wide range of commodities, including Nickel, the metal that helped Potanin earn his wealth. 

In the aftermath of the sanctions imposed on Russia, crypto-related entities were some of the most sanctioned businesses, as regulators fear they can serve as a conduit for bypassing the established sanctions.

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BBC Chair Linked to Russian-sanctioned Subsidary Firm Atomyze

Chairman of the British Broadcasting Corporation (BBC), Richard Sharp, has been shown to have ties with Vladimir Potanin, one of Russia’s richest men. 

SHARP2.jpg

While there has been no direct indictment for the business relationship between Sharp and Potanin, the link has stimulated media, considering the fact that Potanin has now been placed under various sanctions for supporting the Russian regime.

Potanin is not just an ally of Russian President Vladimir Putin but also one of those men in his inner circle. Potanin has even been seen playing hockey with Putin before, showing the close bond between the two.

With the invasion of Ukraine, many Russian oligarchs were sanctioned by the United Kingdom, the European Union, and the United States of America. Despite the media fuss about Sharp’s investment in Atomyze, there is vital evidence that suggests the investment had been made prior to the time the sanctions were imposed.

A spokesperson for Chairman Sharp noted that the billionaire’s investment portfolio is managed by a Blind Trust that helped handle the investments with Atomyze.

“The arrangement was maintained after Sharp became chairman of the BBC. This blind trust has professionally managed the ABCP GP Ltd and Atomyze Switzerland interests with complete independence from Mr. Sharp and at the trust’s sole discretion since its establishment,” the spokesperson said, adding that “At the current time, the blind trust, and therefore Mr. Sharp, have no financial or directorial interests in any businesses owned and controlled by Mr. Potanin.”

Atomyze is a Russian regulated blockchain-based trading platform that plays home to a wide range of commodities, including Nickel, the metal that helped Potanin earn his wealth. 

In the aftermath of the sanctions imposed on Russia, crypto-related entities were some of the most sanctioned businesses, as regulators fear they can serve as a conduit for bypassing the established sanctions.

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Jump Crypto to Build New Validator Client for Solana

Following the growing security breaches on the Solana Blockchain network, Jump Crypto, a start-up known for many things in the digital currency ecosystem ranging from system redesign to investment is set to help the protocol build a new validator client. 

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This proposed validator client is bound to help the Solana protocol regain its stance as it relates to the enhanced efficiency, throughput, and reliability of the protocol. Jump Crypto said the new validator client will complement the one that Solana Labs have designed and that it will be written in the C++ programming language.

“The Solana network has seen exponential growth over the last two years, which shows no signs of slowing down,” added Anatoly Yakovenko, Co-Founder of Solana. “By adding more core contributors like Jump Crypto, the network can maintain its status as the best place to build in web3 while scaling to billions of users. I’m excited for Jump’s engineers to bring a new perspective to the network and help improve network resiliency and efficiency.”

Kevin Bowers, Jump Trading’s Chief Science Officer, has been appointed to lead the project, drawing up a team of experienced scientists and engineers that have helped develop complex algorithms, software, hardware, and networks for one of the largest low latency trading systems in the world.

The creation of a new validator client for Solana is long overdue as the protocol is now losing favour amongst its users with the recent bouts of attacks and outages it has been experiencing. The endeavour from Jump Crypto will be done in collaboration with the Solana Foundation, with both outfits working on the premise to help reposition Solana as one of the fastest and most robust smart contract networks around.

“Through Jump’s decades of work in solving some of the most complex networking challenges across traditional financial markets, we have seen first-hand the impact that improving a network’s speed and efficiency can have on an entire financial system,” said Kevin Bowers. They expressed optimism with respect to the Solana-Validator endeavour.

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Crypto Risk Platform Solidus Labs Hires Former CFTC Commissioner Dawn Stump as Strategic Advisor

Solidus Labs, a New York-based crypto risk monitoring firm, announced on Tuesday that it has appointed Dawn Stump, a former commissioner of the U.S. Commodity Futures Trading Commission (CFTC), as the company’s strategic advisor.

Stump will offer advice and support the company’s regulatory engagement and policy development strategy in her role.

Established in 2018 by former Goldman Sachs engineers, Solidus Labs is a digital asset risk surveillance firm that offers regulatory risk and compliance services.

Stump is a seasoned leader in domestic and international financial services regulation. She comes to Solidus Labs with a wide experience in capital markets and policy. Formerly, Stump served as Commissioner of the CFTC under the Obama and Trump administrations. During her time as a commissioner, she sought to educate investors about the crypto regulatory landscape.

Stump talked about her appointment: “I’m delighted to work with the Solidus Labs team, which shares my deep commitment to enabling the potential of crypto, DeFi and digital assets by mitigating the new risks they pose to investor protection and market integrity. I look forward to advising the team and supporting Solidus’ combined focus on building tailored risk monitoring tools that address crypto’s unique market integrity challenges while also working with the industry and regulators to advance dialogue and innovative approaches to policy and regulation.”

Stump joins several other former regulators who serve as advisors to Solidus Labs, including former CFTC Chair J. Christopher Giancarlo, former SEC Commissioner Troy Paredes, former Acting Comptroller of the Currency Brian Brooks, Former LabCFTC Director Daniel Gorfine, and former Hong Kong Securities and Futures Commission Innovation and Licensing leader Clara Chiu.

Beefing Up Compliance

The above appointments happen when several crypto firms are rushing to bring on former regulators.

In August last year, Donald Trump’s SEC Chair Jay Clayton joined the $2 billion crypto platform Fireblocks.

In February last year, Ripple hired Barack Obama’s SEC Chair, Mary Jo White, to defend the firm against a lawsuit from her former agency.

Last year, Binance onboarded a small army of former regulators — including former Senate Finance Committee chair Max Baucus and IRS criminal investigator Greg Monahan, among others in response to rapidly mounting regulatory concerns on the exchange.

As the digital assets industry tries to insulate, more hires may be ahead.

The influx of former regulators jumping into the crypto markets coincides with the fast-paced growth digital assets industry that has been luring bankers for years.

Former regulators are dipping their toes in the still young industry, drawing on their experience to introduce and enforce new rules in a market facing increasingly loud calls for regulatory intervention.

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CryptoPunk, Meebits Owners can now Create Commercial Projects With Their NFTs

Owners of CryptoPunk and Meebits non-fungible tokens (NFTs) can now create commercial projects and products based on their NFTs.

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The announcement comes following Yuga Labs’ release of its long-awaited intellectual property (IP) licensing deal for CryptoPunk and Meetbits NFT holders on Monday.

Yuga Labs first bought the collections from Larva Labs in March, and holders of these NFTS have been awaiting the announcement since then.

The new IP licensing agreement has put these NFT holders on the same level as the IP rights enjoyed by the Bored Ape Yacht Club’s holders, as the deal will give them full commercialisation rights to create projects and products based on their NFTs.

Some of the Bored Ape Yacht Club’s holders have already used the IP in projects.

For instance, American actor, producer, writer and director Seth Green is launching a show based on his recently-returned Ape. He reclaimed his stolen bored ape avatar NFT by spending over $300,000.

While restauranteur Andy Nguyen also opened Bored Ape-themed restaurant Bored & Hungry in Los Angeles in June 2022.

Although Yuga Labs own the IP, NFT holders can license it. 

However, in a different scenario previously, Larva Labs received criticism for handling IP licensing differently and retaining the intellectual property rights to the collections. Larva Labs’ decision also prompted at least one NFT holder to sell their CryptoPunk in protest.

Several other NFT collection creators have taken different approaches to handle IP rights.

Moonbirds NFT earlier this month switched to a public domain usage model, adopting the Creative Commons CC0 copyright code, which has provided access to anyone to commercially use and reproduce art from both Moonbirds and Oddities – its sister project.

However, this decision has also attracted backlash as holders have complained that they had bought into the project believing they had exclusive rights to their NFT.

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Celsius CEO Alex Mashinsky Involves Untimely Trading Prior to Crash: FT

The fall of renowned crypto lending platform Celsius Network has shed much light on the wobbled operations of the company in the months leading to the eventual halt in withdrawals. 

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Alex Mashinsky and the Trading Funds Misappropriation 

According to a Financial Times (FT) report, the company’s Chief Executive Officer, Alex Mashinsky, has been practically handling the firm’s trading activities since January. The report highlighted that the role assumption fueled the rancour that eventually made Celsius’ Chief Investment Officer (CIO) at the time, Frank van Etten.

Frank’s LinkedIn profile revealed that he left the company back in February, about four months before Celsius Network eventually halted withdrawals and the ensuing bankruptcy saga it is currently embroiled in.

According to the sources who spoke to the FT, Alex Mashinsky made some decisions related to the projection that the United States Federal Reserve would increase interest rates. While taking control of the firm’s trading activities was one of his actions, he also informed staff as early as January 21 that there were plans to cut costs.

Sources reportedly told the Financial Times that Mashinsky ordered the traders to “massively trade the book using bad information,” while another said that “he was slugging around huge chunks of bitcoin.”

Despite the influence Mashinsky notably wielded in the firm, the FT report noted that he was vocal about the fact that “he wasn’t running the trading desk.” While the actual figures of losses due to the influence he wielded remain unknown, the FT report shows it was worth millions of dollars.

Celsius Network and the Huge Debt Profile

Earlier, Blockchain.News reported that the latest coin report from Celsius Network revealed a bigger than reported hole in its balance sheet. The company revealed in its bankruptcy filing that its debt profile was $1.2 billion, but with recently published data, this figure was discovered to be worth $2.8 billion.

Celsius Network is deeply embroiled in the bankruptcy hearings, and ideas on how it will navigate these dark times are unclear.

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Huobi To Restrict Derivatives Trading for New Zealand Users

Huobi Global, a major cryptocurrency exchange based in Seychelles, announced on Tuesday, 16th August, that it will stop offering derivatives trading services to users in New Zealand, effective on August 23.

Houbi made an announcement on its website that it will halt services, including coin-margined futures, coin-margined swaps, Tether (USDT)-margined contracts, options, and any exchange-traded products (ETP) to New Zealand-based users.

During that particular day, the exchange said it will update its ‘user agreement’ to include New Zealand as a ‘restricted jurisdiction’ with respect to derivatives trading.

Houbi explained to restrict “New Zealand user accounts for derivatives trading in an orderly manner while ensuring the safety of user assets.”

Based on restricted jurisdiction policy, the exchange does not offer derivatives products to around 12 jurisdictions including the U.K. and mainland China.

Moreover, the exchange does not offer ‘all services” to users from 11 jurisdictions, including the U.S., Canada, Japan, Iran, and Singapore.

Expanding Global Footprint

It is unclear whether Huobi will continue providing other trading services to users in New Zealand.

In June, Huobi expanded its global footprint by winning its first license in New Zealand.

On June 21, Huobi obtained registration on New Zealand’s Financial Services Provider Register (FSPR) to provide its crypto trading services in the nation.

The FSPR registration was Huobi’s first step toward expanding its crypto trading business in New Zealand.

All cryptocurrency exchanges are required to register with New Zealand to offer trading services to local users.

The registration enabled Huobi’s local entity, HBGL New Zealand Limited, to operate a regulated foreign currency exchange, asset management services, and money transfer services in New Zealand.

Apart from that, in June, Huobi Group also obtained a new license to establish operations in Dubai.

The two latest regulatory achievements by Huobi came shortly after the company’s affiliate firm based in Thailand was permanently closed in mid-June after the Thai Securities and Exchanges Commission revoked the company’s operating license.

It means that Huobi has not met the expected requirements for its offer of services in the above-mentioned jurisdictions.

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Hodlnaut Applies for Court Protection amid Liquidity Crises

Hodlnaut, a Singapore-based digital currency lending platform, has joined its counterparts in seeking out the protection of the courts with its recent application for Judicial Management. 

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The crypto lending firm leaked some hints in a little more than a week since it announced it will be halting withdrawals based on its platform in response to the unfavourable market condition.

With the Judicial Management pursuit, Hodlnaut said it will be shielded from investors who may want to seek legal redress for losing their funds. The Judicial Management process will also present a form of a moratorium, granting the embattled crypto lender complete protection for a while.

“As we work towards stabilising our financial situation, the Founders and the Hodlnaut team in Singapore are working closely with our lawyers and have weighed various available options for our next steps,” the latest Hodlnaut announcement reads. 

“We are aiming to avoid a forced liquidation of our assets as it is a suboptimal solution that will require us to sell our users’ cryptocurrencies such as BTC, ETH, and WBTC at these current depressed asset prices. Instead, we believe that undergoing judicial management would provide the best chance of recovery. Therefore as of 13 August 2022, Hodlnaut Pte Ltd filed an application with the Singapore High Court to be placed under judicial management.”

According to Hodlnaut, it has requested the court to appoint Tam Chee Chong of Kairos Corporate Advisory Pte Ltd to be appointed as the Interim Judicial Manager and, subsequently, the Judicial Manager.

The move from Hodlnaut is somewhat related to the earlier move from Zipmex and Vauld Group, both of whom have also halted withdrawals and have landed a moratorium from the Singapore High Court. While the Vauld Group earned its moratorium earlier this month, Zipmex’s was issued this week, as reported by Blockchain.News.

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