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Binance announces withdrawal of support for anonymous Litecoin transactions

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Binance announces withdrawal of support for anonymous Litecoin transactions

Binance announces withdrawal of support for anonymous Litecoin transactions Abdulrasaq Ariwoola · 8 hours ago · 2 min read

Binance › Litecoin › Exchanges

Binance withdraws support for Litecoin transactions where the sender’s address and transaction details can’t be verified. They warn that it could result in loss of funds.

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2 min read

Updated: June 14, 2022 at 5:12 am

Cover art/illustration via CryptoSlate

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Binance has announced that it will not support Litecoin transactions made through the MimbeWimble Extension Blocks function. The latest Litecoin function allows users to make confidential Litecoin transactions without revealing any transaction information or the sender’s address.

The cryptocurrency exchange stated that any Litecoin transactions made through the MimeWimble Extension Block would neither be received nor returned. It said this is due to its inability to verify the sender’s address and warning that there could be an eventual loss of funds by transacting users.

Binance coming under fire

Binance recently came under regulator’s watch after a Reuters report alleged that the world’s largest cryptocurrency exchange had facilitated at least $2.35 billion in illicit transactions.

Reuters alleged in the report that Binance was utilized as a “conduit” for illegal actors to clean their crypto sourced from hacks, investment frauds, and drug sales between 2017 and 2021.

The report also mentioned that the North Korean Lazarus group laundered some of the proceeds of the 2020 Eterbase hack through the exchange.

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Although a Binance spokesperson of Binance termed the report “woefully misinformed,” it adds to the woes of the crypto exchange giant, which is already subject to several investigations.

In February, the United States Securities and Exchange Commission launched a probe into Binance trading affiliates connected to its CEO Changpeng Zhao. The crypto exchange was also the subject of investigations from the U.S Commodity Futures Trading Commission, the U.S Justice Department, and the U.S Internal Revenue Service.

Binance was last year ordered to cease its operations in the United Kingdom by the Financial Conduct Authority. It experienced a similar closure in  Canada, which it attributed to Ontario becoming a “restricted jurisdiction.”

Litecoin facing rising concerns

The Litecoin MimbleWimble Extension Block function was activated on May 19, 2022, as a part of a long-awaited upgrade. It was conceived as part of the Litecoin Improvement Proposal to enhance anonymity on the network. Since its launch, however, it has drawn anti-money laundry concerns from several exchanges.

The Binance announcement is coming days after South Korean Crypto exchanges, Bithumb and Upbit announced that they would be delisting the coin.

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The crypto exchanges expressed concerns over recent modifications made to Litecoin that allows for greater privacy when conducting transactions. As stated in their notices, the increased privacy users conflict with the South Korean anti-money (AML) regulations.

Gate.io, a crypto trading platform, also announced a similar withdrawal of support for Litecoin transactions made using MimeWimble Extension Block, citing that anonymous transactions are not allowed on the platform.

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Goldman Sachs looks to buy Celsius’ assets for $2B as it is advised to file for bankruptcy

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Goldman Sachs looks to buy Celsius’ assets for $2B as it is advised to file for bankruptcy

Goldman Sachs looks to buy Celsius’ assets for $2B as it is advised to file for bankruptcy Liam ‘Akiba’ Wright · 9 hours ago · 2 min read

Goldman Sachs is seeking investors to raise $2B to buy Celsius assets if it files for bankruptcy following recent liquidity issues

2 min read

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Updated: June 25, 2022 at 3:19 am

Cover art/illustration via CryptoSlate

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Goldman Sachs is allegedly shopping around for investors to form a web3 fund to purchase Celsius assets.

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The multinational investment bank is raising $2 billion from a wide range of funds to take advantage of a potential discount on Celsius crypto assets.

Should Celsius be forced to file for bankruptcy, it may be required to sell off its assets quickly to pay back any creditors. The exchange has allegedly already been advised to file for bankruptcy by Citigroup and Akin Group.

The news was initially reported by Coin Desk, which cites people familiar with the matter as the source of information.

The struggling exchange reportedly had over $11 billion in assets as of May 2022, meaning if Goldman Sachs could purchase all of Celsius’ assets, it would be paying just 20 cents on the dollar. Whether the group is looking to take Celsius on as a going concern or strip and sell its assets is unknown at this time.

Celsius also received an unsolicited offer from rival exchange Nexo on June 12, which was not accepted. However, Coin Desk reported that Citigroup had been brought in to assess the deal. Nexo has over 4 million users compared to Celisus’ 1.7 million who claimed

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“Nexo is in а solid liquidity and equity position to readily acquire any remaining qualifying assets of Celsius, mainly their collateralized loan portfolio.”

The proposal to purchase Celsius’ “collateralized loan portfolio” is likely to have a similar focus to any potential Goldman Sachs offer. Investors currently without access to their funds held in custody with Celsius may not be enthused by Goldman Sach’s approach.

Upon filing for bankruptcy, a schedule would be created determining the order in which creditors are repaid. Investors will be hoping they will be paid out first, but there are no guarantees.

Celsius hired “restructuring attorneys from law firm Akin Gump Strauss Hauer & Feld LLP to advise on possible solutions for its mounting financial problems.” The move may signal the end of Celsius, which has been silent on the issue since June 20.

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Singapore Based Crypto Exchange Bybit Expands To Argentina

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Singapore Based Crypto Exchange Bybit Expands To Argentina

Bybit, a Singapore-based cryptocurrency exchange, has announced it will be expanding its operations to Argentina. The exchange wants to offer Argentinian citizens another platform on which to transact, given the popularity that the cryptocurrency industry is enjoying in the country. The exchange will also have a dedicated team to support Argentinian operations.

Bybit Lands in Argentina

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The growth of the cryptocurrency industry in Argentina has not gone unnoticed by international companies. Bybit, a Singapore-based, top-ten crypto exchange by volume traded, has announced that it will expand its trading operations to support Argentinian customers directly.

To better achieve this goal, the company will dedicate a team to attend to applicable requirements and support its upcoming Argentinian customers, allowing them to transact, purchase, and sell cryptocurrencies on Bybit’s platform. Also, the platform will be available in Spanish, the native language of the country.

Regarding this development, the exchange declared:

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Taking into account the level of penetration and the rapid growth in the adoption of cryptocurrencies in Argentina, Bybit has made this decision, which is due to the importance of the Argentinian market in the Latin American region.

Due to all of this, Bybit considers it is the right time to expand its operations to the country, given that there is an opportunity for onboarding users still new to the cryptocurrency movement.

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Argentinian Crypto Appeal

In recent years, Argentinians have been getting closer and closer to crypto, with this phenomenon starting after the government established limits to the number of dollars citizens could exchange, establishing a foreign currency exchange control, similar to the one established by the Venezuelan government before that. Inflation numbers have also influenced the interest in this new, alternative financial system.

The exchange is betting that this newfound interest in crypto, due to national and international market conditions, will power the demand of Argentinian users in the near future for new applications. About this, Gonzalo Lema, director of Bybit operations for Argentina, stated:

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Although macroeconomic conditions have become a factor in increasing the adoption of cryptocurrencies in Argentina, as the customer base grows, interest in other potential uses of these assets will increase, such as the possibility of receiving remittances or even paying for goods and services with them.

The company will offer all of its available services and investment instruments in Argentina, and an APY of 22% on Dai deposits, to Argentinians registering before July 11.

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What do you think about the new expansion plans that Bybit has for Argentinian markets? Tell us in the comments section below.

Sergio Goschenko

Sergio is a cryptocurrency journalist based in Venezuela. He describes himself as late to the game, entering the cryptosphere when the price rise happened during December 2017. Having a computer engineering background, living in Venezuela, and being impacted by the cryptocurrency boom at a social level, he offers a different point of view about crypto success and how it helps the unbanked and underserved.

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Image Credits: Shutterstock, Pixabay, Wiki Commons

Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is 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 this article.

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Bitcoin

Bitcoin Whale Presence On Derivatives Still High, More Volatility Ahead?

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Bitcoin Whale Presence On Derivatives Still High, More Volatility Ahead?

On-chain data shows Bitcoin whales are transferring large amounts to derivatives exchanges right now, a signal that more volatility could be ahead for the crypto.

Bitcoin All Exchanges To Derivatives Flow Continues To Show High Value

As explained by an analyst in a CryptoQuant post, BTC whale activity on derivatives exchanges still seems to be high.

The relevant indicator here is the “all exchanges to derivatives exchanges flow,” which measures the total amount of Bitcoin moving from spot exchange wallets to derivatives.

When the value of this metric spikes up, it means whales are currently moving a large number of coins to derivatives exchanges right now.

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Such a trend usually occurs around lows in the price of the crypto as whales look to get themselves long positions.

Related Reading | Bitcoin Recovery Slows Down As Whale Inflows Remain Elevated

On the other hand, low values of the indicator show whales aren’t moving much coins to derivatives at the moment. This kind of trend has historically lead to tops in the value of the coin.

Now, here is a chart that shows the trend in the Bitcoin all exchanges to derivatives flow over the last couple of years:

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Looks like the value of the metric has been quite high recently | Source: CryptoQuant

As you can see in the above graph, the Bitcoin spot to derivatives flow has spiked up recently, suggesting that whale activity is pretty high right now.

In fact, the current value of the indicator is actually the highest ever in the history of the cryptocurrency, implying there is an all-time high rate of whales on derivatives currently.

Related Reading | Bitcoin May Have Hit Bottom According to These Indicators, BTC Targets $23K?

Historically, the price of the crypto has observed significant volatility whenever the metric’s value has been elevated.

Based on this trend, the quant believes that the value of the coin could still see further fluctuations in the near future.

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The analyst also notes that a reduction in the all exchanges to derivatives flow will need to be there, for the volatility to die down.

BTC Price

At the time of writing, Bitcoin’s price floats around $21.1k, up 4% in the last seven days. Over the past month, the crypto has lost 27% in value.

The below chart shows the trend in the price of the coin over the last five days.

The value of the crypto seems to have surged up over the last couple of days | Source: BTCUSD on TradingView

After hitting a low of below $18k a week ago, Bitcoin has been trying to recover. So far, the crypto has managed to break above $21k again, but it’s yet unclear whether this recovery will last.

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Featured image from Unsplash.com, charts from TradingView.com, CryptoQuant.com

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