by Florin Oprea
Reuters Staff – Reuters
The Virtual Currency Girls said they had refused an offer to be paid in yen and would stay loyal to cryptocurrencies despite a $530 million cyber heist jeopardizing their chances of getting paid.
DNT: In a strange kind of way, they are already an important “voice” for crypto… So, it’s a good and simple marketing decision…
FAO: Question is: what does Coindaddy have to say about this?
Bryan Menegus – Gizmodo
A short-lived and relatively unknown cryptocurrency project built on Ethereum called Prodeum disappeared – along with the money a small number of hapless investors sunk into it. All that remained of its website was a white page with the word “pen_s” written on it.
DNT: I know this isn’t funny, but I couldn’t help myself but laugh for a moment when I saw this title. Sorry for those “hapless investors”.
FAO: Well, surely this isn’t very funny for the “handful of people” that joined this ICO, but c’mon, the ICO was announced through a press release describing Prodeum as a Lithuanian blockchain project “to overhaul the Price Look-up (PLU) labeling process” on fruits and vegetables…This brings us to the real problem: lack of investment knowledge – regulation sets could be a solution…read below…
Mitsuru Obe -Nikkei Asian Review
The cryptocurrency boom has created fertile ground for hackers and fraudsters in Asia, where market experts warn that financial literacy is not keeping pace with economic growth.
“There is no such thing as a perfectly safe investment,” said Hideto Fujino, president of investment advisory Rheos Capital Works. “Only fraudsters make such a promise. This has to become common knowledge, but it hasn’t.”
FAO: Unfortunately all unregulated markets are fertile ground for fraud and manipulation.
Nour Al Ali – Bloomberg (subscription)
BTCC, which was known as BTC China when it was founded in 2011 and run by American Bobby Lee, was purchased for undisclosed terms by unnamed Hong Kong-based blockchain investment fund.
FAO: I guess we’ll hear more often about BTCC from now on.
Stan Higgins – CoinDesk
Two former employees of distributed ledger startup Ripple are raising money for a cryptocurrency hedge fund. Tim Lewkow and Eli Lang are seeking funds to back Fractal Investments, which invests in crypto-assets, per its official website. The company dates back to last summer and has maintained a public profile primarily through its Twitter account.
FAO: Can you feel the trend?
Flynn Murphy – Morningstar
Unlike other alternative investments, crypto currencies such as bitcoin are more accessible to retail traders compared to institutional investors because cryptos’ small market caps and thin trading volumes make it difficult to efficiently build sizable positions.
Katsuji Kamei – Nikkei Asian Review
Japan’s Financial Services Agency took administrative action against Coincheck, following the theft of 58 billion yen ($534 million) worth of NEM digital money. The watchdog said it ordered the exchange to investigate the vulnerabilities that led to the heist and submit a plan for “effective system risk management” to prevent a recurrence.
FAO: See why regulation is sometimes needed?
Cheang Ming – CNBC
South Korean regulatory plans to tackle cryptocurrency speculation spooked investors earlier this month. But as the new rules take effect, participants in the market are sounding a positive note.
FAO: See, that wasn’t that bad after all…
Olga Kharif – Bloomberg (subscription)
A more than $500 million record heist from a Japanese cryptocurrency exchange, the latest in a long line of high-profile hacks, is directing attention to a new kind of venue that makes it harder for would-be thieves. They’re not, however, impervious to attack.
Tim Culpan – Bloomberg
Many don’t understand how these exchanges work, and that’s why hacking is such a problem.
DNT: Very good story about how crypto trading actually works. As long as centralized exchanges will act as the custodians, the hack will remain a major problem.
Brenna Hughes Neghaiwi – Reuters
The president of a foundation that controls funding for a cryptocurrency project called Tezos has pledged to “step back” from his role once the project is back on track, after months of dysfunction and public battles with Tezos’ founders.
DNT: Check our FREE ARCHIVE for more information about the dispute between Tezos co-founders, Arthur and Kathleen Breitman, who control the code, and the Tezos Foundation, which controls the funds.
Alexandra Ma – Business insider
Two bitcoin traders were robbed at gunpoint at their home in rural England by criminals who forced them to carry out cryptocurrency transfers. Danny Aston and his girlfriend, Amy Jay, who jointly run a cryptocurrency trading company, were forced to digitally transfer bitcoin by four men who broke into their house in Moulsford, Oxfordshire.
Alexander Weber – Bloomberg (subscription)
German supervisors ordered a Berlin-based firm to immediately stop offering the exchange of clients’ Bitcoins into euros, saying it had no permission to offer such brokerage services.
Leonid Bershidsky – Bloomberg
Messenger apps have proven that they can double as powerful payment platforms — just look at the trillions being spent using WeChat in China. But can it work for cryptocurrencies as well? Pavel and Nikolai Durov, the brothers who founded the Telegram messenger, are about to find out.
FAO: VC firms Kleiner Perkins Caufield & Byers, Benchmark and Sequoia Capital have announced their intention to invest $20m (each) in the ICO.
Justina Vasquez – Bloomberg (subscription)
Seagate Technology shares erased a gain of more than 5% in premarket trading after providing few details on its stake in Ripple.
Kailey Leinz – Bloomberg (subscription)
Shares rise more than 8% after 91-for-1 split. Volume surges after slowing to a trickle before move. More than 700,000 shares had been traded to boost the price to as high as $19.60 in New York.
Rob Urban – Bloomberg (subscription)
Authorities around the world worry that cryptocurrencies could become tax havens.
FAO: I am sure governments’ have lots of other worries involving the crypto-economy.
Resty Woro Yuniar – SCMP
Confidence in cryptocurrency markets may have taken a major hit in recent weeks, but the same cannot be said of the value of the technology it relies on – the blockchain.
FAO: Florin Adrian Oprea, Editor-in-chief Blockchain Daily News
DNT: Decebal Nicolaie Todarita, Editor Blockchain Daily News