22 Jan. 2019: Biggest News of the Day including Huobi, NASDAQ and Coinbase

Huobi lays off a majority of its employees despite earning profits

The China-based cryptocurrency exchange, Huobi has been one of the most successful Crypto Exchange firms in recent years despite the industry facing a bear run in 2018. The company has been quite profitable with around $300 million in daily traded volumes.

But, despite the positive run, Huobi has confirmed that they are tightening their workforce by cutting staff in loss-making units such as venture funding and news aggregators, according to Livio Weng Xiaoqi, CEO of Huobi Global.

Weng said at an interview: “We do not know how long the bear market will last, so it is still possible that we will struggle to survive. We have to plan in advance and spend money carefully.”

NASDAQ CEO believes that cryptocurrency could still be a global currency of the future

In her latest article on LinkedIn, Adena Friedman, President and CEO of NASDAQ states her opinion on the trends that will affect the economy and markets in 2019. One of the points mentioned is ‘Crypto Currencies Could Still Be a Global Currency of the Future.’

She talks about how cryptocurrency could find practical utility after years of study or fail to achieve broad adoption. However, since many high-profile investors have already spent large amounts on digital currencies the previous year, the concept behind crypto is still promising.

She also mentioned how NASDAQ is “working to help cryptocurrencies gain investors’ trust by offering their technology for trade matching, clearing, and trade integrity to start-up exchanges.” She went on to say: “The extent of its impact will depend on the evolution of regulation and broader institutional adoption.”

Coinbase announces upgrades to their platform aimed at serving high-volume customers in Asia and Europe

In their latest blog post, Coinbase has announced two main features for their customers in Asia and Europe – the launch of cross-border wire-transfers to fund their accounts; and access to their US and European over-the-counter (OTC) trading desks.

The international wire transfers will allow the customers from these regions to access Coinbase’s deep pool of crypto liquidity for the first time, and they will be able to execute large volume trades with minimal price slippage.

It has to be noted that the features are available for the Coinbase Pro and Prime members.

Financial Authorities in the Netherlands have submitted a report for recommendations regarding crypto

De Nederlandsche Bank (DNB) and the Netherlands Authority for the Financial Markets (AFM) have published a report where they state two primary recommendations regarding the use and regulations of cryptocurrencies in the country.  The two recommendations are:

  1. Introduce a licensing regime for fiat-crypto exchange platforms and crypto wallet providers under the Anti-Money Laundering and Anti-Terrorist Financing Act.
    This is done to ensure effective implementation of the revised European anti-money laundering directive.
  2. Amend the European regulatory framework to enable blockchain-based development of SME funding, and reconcile the national and the European regulatory definitions of security.

South Korean Exchange Komid’s executives imprisoned for Fraudulent Volume Reports

Executives of Komid, Hyunsuk Choi and Park Mo have been sentenced to jail time for three years and two years respectively after for faking exchange volumes on their platform.

It was believed that they repeatedly entered false orders on their platform to fool investors by showing that the “transactions were happening smoothly.” The court stated that Choi had created multiple fake accounts to create multiple transactions using trading bots. They further said: “Choi has committed fraud for a countless number of victims for a long period of time.”

Image Courtesy: Wikimedia

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