Category: Crypto Exchange

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Bitcoin Crypto Exchange Crypto News Crypto Wallets Ethereum Lightning Network

Robinhood Unveils Plans to Support Lightning Payments for 2 Million Users

At this week’s Bitcoin 2022 conference, Robinhood announced the rollout of wallets to two million eligible users with further plans to integrate the Lightning Network, according to a blog post by the crypto broker.

Robinhood chief product officer Aparna Chennapragada announced that customers who have been waitlisted for the digital wallet can now send and receive cryptocurrencies. The wallet will not, however, support Ethereum-based services such as NFTs and ERC-20 tokens.

Lightning Strikes Again

The platform is also planning to integrate the Bitcoin Lightning Network to reduce the time and cost of transactions, along with their carbon footprint. It’s another win for the Lightning Network, which has grown parabolic with an additional US$70 million raised to bring stablecoins to the network earlier this month.

The wallet will not be available to users in the US states of Hawaii, Nevada and New York “due to local regulations”. Robinhood has been testing its digital wallet feature since September 2021, completing its first alpha transfer in November and launching a beta version for tens of thousands of users in January 2022.

The reaction from the Robinhood community has been mostly positive, though according to the firm’s FAQ, any NFTs or unsupported tokens sent to a Robinhood Ethereum address will be lost.

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Crypto Exchange Crypto Hardware Wallets Crypto News Crypto Wallets Cryptocurrency Law Europe Regulation

EU Parliament Votes in Favour of KYC for Private Crypto Wallets

European Union lawmakers have voted in favour of controversial proposals that require exchanges to collect personal data from individuals who transact more than EUR 1,000 using unhosted wallets.

Bad News for Exchanges

The proposals were passed, albeit narrowly, and purport to effectively prohibit anonymous crypto transactions:

The underlying justification behind the proposals is that they intend to extend anti-money laundering (AML) requirements that apply to conventional payments over EUR 1,000 to the crypto sector. As Coinbase CEO Brian Armstrong noted, however, the burden imposed on exchanges would be extremely onerous:

Most of the pushback from industry is because non-custodial wallets aren’t necessarily customers, with commentators describing the measures as “anti-innovation and anti-privacy”.

Referring to Chainalysis data showing that less than 0.05 percent of crypto volume was related to crime, hardware wallet provider Ledger argued that the proposals were neither necessary nor proportionate. It further noted that they reduced financial freedom, consumer protection and financial inclusion, and put Europe at a competitive disadvantage relative to other jurisdictions.

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Proposals’ unintended consequences. Source: Ledger

While some noted that users would simply resort to decentralised exchanges or send EUR 999 at a time, others had a more humorous perspective:

Turning Up the Regulatory Heat

This year has already shown that European lawmakers are increasingly scrutinising the digital asset sector. A few weeks ago, the EU Parliament finally decided not to ban proof-of-work cryptocurrencies (effectively Bitcoin), after going back and forth on the matter.

The next battle is clearly over unhosted wallets and for now it appears as if the regulators are in the driving seat. Importantly, the laws have not been enacted and still need to go through tripartite meetings between the EU Parliament, European Commission, and European Council.

Despite expectations that little will derail the proposals in question, if there is one thing we know about the crypto sector it’s that it will never go down without a fight.

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Australia Banking Crypto Exchange Crypto News

Mastercard Partners with Aussie Crypto Exchange in Effort to Tackle Debanking

Australian crypto exchange BTC Markets has entered a partnership with Mastercard, allowing it to accept card payments. This will mean more options for users and a positive step toward tackling debanking on Mastercard’s behalf.

Wider Range of Banking Options

Under the terms of the agreement, Aussies will be able to deposit and withdraw Australian dollars without fees via a broad range of means. Prepaid, direct debit and credit card payments will now be available on the exchange, whereas previously BTC Markets only permitted bank transfers:

The strategic merchant partnership is also about solving the issue of debanking, where a financial institution terminates, or denies, services to a client. While the practice is not illegal, a reason must be given for the termination. Typically, a bank will claim it seeks to mitigate risk by debanking a client, particularly in cryptocurrency-related cases.

Integrating traditional financial services with blockchain technology may be a remedy to this issue.

Past Debanking Cases in Australia

Allan Flynn, the owner of Australian exchange BitcoinCanberra, managed to settle a complaint against ANZ bank in October 2021 after being suddenly debanked. It took 20 months for Flynn to reach this outcome and appeared to be a turning point in the crypto industry’s fight against the practice.

Following this case, AUSTRAC – Australia’s anti-money laundering regulator – issued a warning to banks closing unsuspecting accounts. The financial watchdog stated that “businesses vulnerable to exploitation should not automatically have their accounts closed simply to avoid managing risk”.

Banks are expected to assess risks on a case-by-case basis, without bias towards crypto-related businesses.

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Binance Coinbase Crypto Exchange Crypto News

Crypto is Expanding in Brazil as Coinbase Swoops to Buy its Biggest Crypto Exchange

Coinbase is reportedly close to acquiring 2TM, the owner of Mercado Bitcoin, Brazil’s largest exchange, according to a local newspaper that didn’t disclose its sources.

According to the report by Brazilian newspaper Estadão, Coinbase and 2TM have been in talks since April 2021, a year in which the South American nation experienced a massive surge in crypto adoption that tripled stablecoin trading.

Mercado Bitcoin surpassed three million customers in 2021, of which one-third joined the exchange in that same year. During that time, the exchange reached trading volumes of over US$7 billion.

Rio de Janeiro Turns into a Crypto Hub

Shortly after the crypto boom in Brazil, several crypto companies shifted their focus onto the nation, including other leading exchanges such as Binance and Crypto.com.

Rio de Janeiro – Brazil’s third-largest city by population – will reportedly receive crypto for tax payments, making it the first Brazilian city to embrace payments via digital assets. Commenting on the matter was Binance CEO Changpeng Zhao, who tweeted:

Binance Expands its Brazilian Base

During his visit to Brazil on March 17, Zhao said Binance was set to acquire several banks and payment processors nationally and also looked forward to expanding its 100-person Brazilian team.

Brazil has been one of the few countries in the South American region to have supported and accelerated the development of proper infrastructure for digital assets nationwide.

As Crypto News Australia reported, last year Brazil became the second jurisdiction to approve a Bitcoin exchange traded fund (ETF). Both Brazil and Peru are now looking forward to developing their own central bank digital currencies (CBDCs) by the end of 2022.

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Australia Crypto Exchange Cryptocurrency Law Regulation

Australia Announces ‘Badge of Approval’ Certificates For Crypto Exchanges

The Australian Securities and Investments Commission (ASIC) has announced that crypto exchanges can now receive a tick of approval. Any exchange that is government-approved will earn a “badge” signifying a uniquely Australian stamp of quality.

Senator Jane Hume, federal Minister for the Digital Economy, announced a market licensing regime for crypto exchanges at Australian Blockchain Week 2022.

https://www.senatorhume.com/about/about-senator-hume

Australian investors will be sure that if they use a licensed Australian exchange, they can trust that exchange will deliver on its commitments to customers and have appropriate protections.

Jane Hume, Minister for the Digital Economy

Senator Hume stated that she believes the way forward for the Australian crypto industry is through the regulation of exchanges. While ASIC badges of approval represent only a small change, it is seen as a positive step toward local cryptocurrency integration.

ASIC Busy on the Crypto Front

ASIC has had to deal with a plethora of cryptocurrency-related concerns recently, issuing a variety of warnings to Australian exchanges and investors. Most recently, it warned crypto companies to expect greater regulation in future, in line with those governing traditional finance companies.

In July 2021, ASIC chairman Joe Longo declared crypto trading a “significant area of concern“, particularly in the wake of the Covid-19 pandemic. And, in November 2021, ASIC shut down A One Multi, an unlicensed financial services business based on Australia’s Gold Coast, for suspected unlawful activity.

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Australia Crypto Exchange Crypto News DeFi Regulation

Crypto Exchange FTX Officially Launches in Australia

FTX, one of the world’s fastest-growing crypto exchanges, is rapidly expanding its presence globally, having now established a local service in Australia as announced by crypto-billionaire founder and CEO Sam Bankman-Fried:

As per a company press release, FTX Australia will offer a full range of services, including an exchange, over-the-counter (OTC) products, and even derivatives.

The announcement coincides with recent moves by the Australian government to establish a “world-leading” regulatory ecosystem for digital assets.

Senator Proposes New Crypto Legislation

During the Australian Blockchain Week conference, NSW Senator Andrew Bragg proposed legislation that seeks to lay the groundwork for a proper regulatory framework in the country. Bragg laid out four principles that the mooted Digital Service Act needs to follow:

  • technological neutrality;
  • broad, flexible principles, ie, not a prescribed code;
  • regulation by a minister, not bureaucratic agencies; and
  • the need for cooperation within government.

Bragg stated that the government should adopt these four principles if it wants to refine its approach to the crypto ecosystem, including certain components of the decentralised finance (DeFi) sector, such as DAOs (decentralised autonomous organisations). 

This will show Australia is open for business and things are clear and clean.

Senator Andrew Bragg

Bragg’s proposal came a day after a consultation paper was issued by the government, asking the industry to provide feedback by the end of the month. 

Bankman-Fried said he was largely incentivised by the efforts of the local blockchain community to help establish a clearer regulatory ecosystem for digital assets:

We are encouraged by the important work being undertaken to establish a new digital asset licensing regime.

Sam Bankman-Fried, FTX founder and CEO

Earlier this month, FTX partnered with the Ukrainian Ministry of Digital Transformation to develop a platform for crypto donations to the besieged country’s war defence.

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Australia Crypto Exchange Cryptocurrency Law Regulation

Australian ‘2022 Digital Services Act’ Published for Crypto Custody Providers

The Australian Treasury has released a consultation paper outlining its proposed regulatory approach to crypto markets with a view to potentially introducing a Digital Services Act in the next 12 months. 

Industry has been given until May 27 to provide feedback on the proposals.

This follows appearances by NSW Liberal Senator Andrew Bragg and Jane Hume, the federal Minister for the Digital Economy, at Blockchain Week where they spoke about the need for a Digital Services Act to allow Australians to safely invest in crypto and to encourage investment and innovation in the burgeoning sector.

Government Focused on Secondary Service Providers

The proposed approach focuses on the regulation of what the government calls crypto asset secondary service providers (CASSPrs), which includes exchanges, brokers, assets managers, custodians and DeFi services such as decentralised exchanges.

According to the consultation paper, the digital services legislation would effectively seek to impose two types of regulation on CASSPrs: 

  • regulation of, and the introduction of a licensing system for CASSPrs; and
  • regulations relating to custodians and the secure handling of private keys.

Purpose of the Act

The overarching purpose of the proposed regulation is to provide more protections for investors and thereby increase public confidence and drive innovation in crypto. 

This focus was reaffirmed by Minister Hume during her March 21 Blockchain Week address, describing the proposed regulation as providing an “Australian-made badge of approval for CASSPrs”. She added:

The Morrison government wants to make sure that consumers can trust the exchanges that they use to buy crypto.

Jane Hume, Minister for the Digital Economy

Specifically, the proposed regulations will seek to mitigate the risk of investors losing their assets due to exchange insolvency or lack of liquidity and security risks such as hacking.

Government on Front Foot

These newly proposed regulations are part of a broader crypto focus by the federal government which includes a crypto taxation review and a token mapping exercise, both of which are due to be completed by the end of 2022.

This follows the release of a 12-point crypto regulation plan last October and recent calls from NSW Senator Bragg for Australia’s crypto industry to pick up its pace or risk missing opportunities.

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Australia Binance Australia Crypto Exchange Giveaways Trading

Win a Brand New Tesla Model 3 Car with Binance Australia

Australian crypto exchange Binance Australia is giving away a brand new Tesla Model 3 Performance valued at A$84,900 to one lucky user from March 23 – April 20.

You can enter the giveaway via the Binance website. Please note that you must be an Australian resident to be eligible for the giveaway.

How to Enter:

To be eligible for the giveaway, new Binance users can:

  1. Sign up and complete KYC
  2. Trade at least A$50 on any crypto pairs
  3. Click “Enter Now” on the entry page

To be eligible for the giveaway, existing Binance users can:

  1. Click “Enter Now” on the entry page
  2. Use your referral link to sign up a friend
  3. You get 1 entry for every friend that signs up

For full entry guidelines, please see the official giveaway terms page.

About Tesla Model 3 Performance

Tesla Model 3 – tesla.com
  • The Tesla model 3 performance has the quickest acceleration from 0-100 km/h in as little as 3.3 seconds.
  • It has a dual motor providing unparalleled traction and control, in all weather conditions.
  • It’s fully electric so you never need to visit a petrol station again, and can charge it from home – with a range of up to 602km.
  • It has an autopilot designed to assist you with the most burdensome parts of driving.
  • Designed with your smartphone in mind, you can use it as a key and access all driver controls from a central 15-inch touchscreen.

Risk warning: Cryptocurrency trading is subject to high market risk. Please make your trades cautiously. You are advised that Binance is not responsible for your trading losses.

Binance and Binance Australia reserves the right in its sole discretion to amend or change or cancel this announcement at any time and for any reasons without prior notice.

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Crypto Exchange Crypto News Institutions Russia

Coinbase Blocks 25,000 Russian Addresses Linked to ‘Illicit Activity’

Coinbase has blocked 25,000 addresses from Russian customers supposedly linked to “illicit activity”.

Not Your Keys, Not Your Coins

As per a March 6 blog post, Coinbase said it conducted its own investigations to identify and block 25,000 addresses believed to be linked to sanctioned actors and individuals that demonstrated “high-risk” behaviour.

Later, the exchange shared the addresses with the US government to “further support sanctions enforcement”.

Today, Coinbase blocks over 25,000 addresses related to Russian individuals or entities we believe to be engaging in illicit activity, many of which we have identified through our own proactive investigations.

Coinbase blog post

What turned up the heat for the crypto community is that five days ago, Coinbase claimed it would not sabotage Russian customers by freezing their accounts at the request of Ukraine’s vice prime minister as this would “harm economic freedom”.

Most people in crypto Twitter assumed that Coinbase had received pressure from the US Securities and Exchange Commission and the Biden administration to somehow take part in economic sanctions imposed on Russia.

The exchange, however, didn’t elaborate on what it meant by illicit activities:

It’s no surprise the announcement caused a lot of controversy, bringing back the old crypto saying – not your keys, not your coins:

The general reaction of politicians and most Western governments to the Russian invasion was to condemn it and impose severe economic sanctions on the federation’s economy.

A handful of online businesses suspended their services in Russia a few days after the invasion. These included some traditional finance companies, as well as some crypto platforms and products.

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Coinbase Crypto Exchange Tokens

Coinbase Introduces ‘Experimental Asset’ Warning for Crypto Traders

Leading cryptocurrency exchange Coinbase has started rolling out a new ‘Experimental’ label to help inform its users about the potential risks of trading less established assets on their platform.

In a March 8 blog post, Coinbase said it intended to increase the number of newly created and relatively unknown tokens released on the platform and felt the label was necessary to ensure transparency and to educate users:

As we expand our asset offerings, we will be bringing on more, often newly created assets or lesser-known tokens that could come with additional trading risks, including higher price swings and increased order cancellations.

Coinbase blog post

What Assets Qualify as ‘Experimental’?

The new ‘Experimental’ label will initially be applied to all newly added assets and to assets with relatively low trading volumes.

Coinbase says these criteria may change over time and assets will move into and out of the ‘Experimental’ category depending on their age, trading volume and other market factors:

Experimental Assets Not Restricted

Assets labelled as ‘Experimental’ will not be restricted in any way: users will still be able to send, receive, buy, sell and hold assets as normal.

However, users will be required to read a warning message and confirm they understand the risks before trading an experimental asset for the first time.

Labelling Useful for New Users

The ‘Experimental’ label follows the announcement that NFTs are coming to Coinbase soon and the success of its Super Bowl ad, both of which likely attracted new users to the platform. 

Given that many of these users will be relatively new to crypto, the new label may help them avoid some uninformed investment decisions.