Сryptocurrency and ICO news

Most important news for today
India to issue a Central Bank Digital Currency

India’s central bank, the Reserve Bank of India’s (RBI), has confirmed the creation of an inter-departmental group tasked with analyzing the feasibility of issuing a rupee-backed central bank digital currency (CBDC), Cointelegraph reports.

The impetus for investigating the issuance of a fiat-tethered CBDC reportedly derives in largely from cost considerations: the Economic Times cites statistics that suggest the cost of printing paper notes in India was 6.3 billion rupees (about $89 million) for the financial year 2018. RBI’s report noted that: “Globally the rising costs of managing fiat paper/metallic money, have led central banks around the world to explore the option of introducing fiat digital currencies”.

EY India’s Mahesh Makhija told the that "the idea of a central bank issued digital currency is very promising, though issues around digital counterfeiting will need to be addressed." He further remarked that RBI’s indication that it is open to the idea of using distributed ledger technology (DLT) for payment systems, clearing, and settlement processes is “a welcome development.”

While noting that crypto does not currently “pose systemic risks,” in its report, the bank cautioned that “the cryptocurrency eco-system [sic] may affect the existing payment and settlement system which could, in turn, influence the transmission of monetary policy.”

CBOE to launch ETH futures trading

CBOE Global Markets is looking to launch futures for Ethereum (ETH).

Sources familiar with the situation told Business Insider that CBOE Global Markets is planning to launch ETH futures by the end of 2018. CBOE will reportedly base its ETH futures on Gemini’s underlying market; the operator also based its Bitcoin (BTC) futures on the New York-based crypto exchange run by the Winklevoss twins.

The CBOE launched BTC futures trading in December last year. Futures represent an agreement to buy and sell an asset on a specific future date at a specific price, and enable investors to speculate on the BTC price without actually having to own BTC.

Last month, the Chicago Mercantile Exchange (CME) released a report on BTC futures average daily volume, saying that it increased by 93 percent in the second quarter over the first quarter of 2018. The CME also stated that the rate of open interest or the number of open contracts on BTC futures has exceeded 2,400, which amounted to 58 percent increase in Q1.

Satis Group: BTC to reach $96,000 in 5 years, XRP to fall $0.01

According to new research conducted by ICO advisory firm Satis Group, the Bitcoin price could potentially reach $98,000 in the next five years. The report written by Sherwin Dowlat and Michael Hodapp represents the fourth part of a five-part series covering the crypto space.

The report states that, in terms of upward tendencies in cryptocurrencies over the next five years, BTC will reach $96,000, Monero (XMR) will reach $18,000, and Decred (DCR) will hit $535.

Bitcoin Cash (BCH) is forecasted to slump to $268, after it “attempts to inherit brand recognition and provides minimal technological advantage to incumbents.” Cryptoassets, which have centralized ownership will supposedly represent little value, with a forecasted Ripple (XRP) price of $0.01.

The research team forecasts that the Ethereum “platform network” will lose share from nearly entire to half share in 2028: “While we do acknowledge the strong community around the ETH network, minor flaws in design and governance can expose the relatively low switching costs of overlying networks built on top of it (the ICO’s, and tokens).”

The latest study also expands on the valuation of cryptoassets needed to support a forecasted economy and provides market condition estimates for the next ten years. According to the report, the value of cryptoassets needed to support the economy will increase from approximately $500 billion next year to $3.6 trillion by 2028, while 90 percent of cryptoasset value will be extracted from penetration of offshore deposits in the next ten years.

The report says that most fundamental value to support the crypto economy will come from store of value use cases, while the analysts believe that the largest opportunity for cryptoassets will be in store of value markets.

Yahoo Finance adds BTC, LTC and ETH trading

Yahoo Finance has integrated trading with Bitcoin, Ethereum, and Litecoin on its platform. For other digital currencies there are only statistics available. The development has led some in the crypto community to say that it is an important step forward for crypto adoption.

The site supports crypto trading APIs from Coinbase and Robinhood. Following an automated brokerage connection process, buying and selling crypto via this service should be a easy for everyone.

In March, the Japanese arm of internet giant Yahoo said it will open a cryptocurrency exchange “in April 2019 or later.”  Yahoo Japan was going to buy 40 percent of BitARG Exchange Tokyo in April, and immediately dispatch executives to lay the foundations for the exchange to launch a year later.
Russian gov’t to track BTC transactions

The Russian Federal Financial Monitoring Service has ordered an analytical tool to track crypto transactions, especially those in Bitcoin.

By the end of 2018, the new application will be included in a condensed monitoring system for the organization, whose main alleged aim is to confront fraud schemes and prevent terrorism funding. The tool is expected to unite fragmented information on fraud and link different cases. The winner of the government contract to develop such a monitoring program was the Moscow-based Institute for Information Security and Analysis (SPI). The SPI had previously developed iRule software, which was widely used by the Monitoring Service itself as well as by Russian security forces and insurance companies, according to BBC. The contract worth about $2.9 million and describes a technology that would allow to track digital wallet users' activity. The tool could find a particular person’s name, bank account, credit card, and cellphone number, as well as the number of the electronic wallet. It will also include data on cryptocurrency and Bitcoin transactions.
DFINITY closed $100 million funding round

Blockchain cloud computing startup DFINITY has closed a new funding round worth over $100 million from repeat backers including Andreessen Horowitz.

DFINITY, which aims to build what it describes as an “Internet Computer,” raised a total of $102 million Swiss francs ($105 million) from partners that also featured blockchain-focused investment outfit Polychain Capital. Both Polychain and Andreessen via its investment fund a16z had previously participated in the startup’s investment, contributing to a $61 million round in February. Having raised a total of just under $200 million since its foundation in 2015, DFINITY ultimately wants to create a platform which will host the world’s next generation of software and services on a public network,” “The Internet Computer is on track to become a critical piece of the future technology stack,” he added.
Lloyd’s to insure a crypto custody platform

U.K. insurance market leader Lloyd’s of London will insure a crypto custody platform by U.S.-based custodial firm Kingdom Trust.

Kingdom Trust, which serves over 100,000 customers and has $12 billion in assets under custody, is the reportedly the “first” regulated financial institution to offer qualified custody for digital asset investments. Kingdom Trust provides digital currency storage services for more than 30 different assets.

The company is now launching insurance coverage for digital currency to protect investors against theft and destruction of assets. Matt Jennings, CEO of Kingdom Trust, said: "Qualified custody by a regulated, insured financial institution is a top priority and critical hurdle for institutions to invest in the digital asset markets. By adding another trusted specialist like Lloyd’s to our platform, we’re ensuring that current and future clients will have access to a highly-secure, complete safekeeping solution tailored to meet the challenges of institutional finance.”

In an interview with Reuters, Jennings declined to disclose the identity of the insurer that underwrote Kingdom Trust’s coverage through Lloyd’s marketplace, or the cost or terms of the policy. However, he noted that Kingdom Trust “received a ‘drastic discount’ because of its technology, a type of ‘cold storage,’ in which digital coins are stored offline.”

Digital asset index for institutional and retail investors launched in Germany

Iconiq Funds, the asset management arm of Germany-based Iconiq Holding, is launching a series of digital asset index funds beginning in Q4 2018. Investment into crypto assets will become available through traditional and regulated financial vehicles, such as exchange-traded funds (ETFs) and exchange-traded notes (ETNs).

The first digital asset index fund is planned to be launched under Maltese jurisdiction as a Professional Investor Fund (PIF). It is currently under review by Malta Financial Services Authority (MFSA). The company claims the “diversified exposure to the digital assets market” as a key selling point for this new series of instruments. An investment fund essentially hides the intricacies of crypto assets from its participant, offering participation in a selected group of tokens. An investor expects that, even if some tokens of the group won’t perform well, the growth of others will compensate for it. Iconiq Funds says the company will offer its financial products under the supervision of a governmental watchdog — such as MFSA for Malta. The team explains that, for many conservative investors, the lack of regulatory oversight was a key reason to avoid exposure to crypto assets. Later, Iconiq Funds also plans to offer other financial products suited for traditional investors’ demands, such as crypto index exchange-traded funds (ETFs) and notes (ETNs) in 2019.
Bithumb to reopen account registration

Bithumb will open up account registrations after a month-long freeze.

According to a spokesperson from banking partner Nonghyup Bank, Bithumb will meet specific requirements as dictated by South Korean law in return for regaining banking support. Nonghyup had previously suspended its services for Bithumb at the end of July, rumors at the time suggesting the decision had come after the exchange lost $17 million in its most recent hack a month previously. Bithumb has had a chequered history, with several hacks piling pressure on executives to ensure compliance. With the fresh agreement due to come into force August 30 meanwhile, markets have already begun reacting. Bithumb is currently ranked fifth largest crypto exchange in the world by daily trading volumes, seeing about $362.4 million in trades over the past 24 hours.
JP Morgan: Blockchain will replace existing technology

JP Morgan CIO Lori Beer said at a press conference in Buenos Aires that blockchain will “replace existing technology” in a few years, Cointelegraph reports.

“We will see a greater and wider use of blockchain. In a few years blockchain will replace the existing technology, today it only coexists with the current one,” Beer said.

Beer explained that JP Morgan uses blockchain technology to “simplify the payment process and to store customers’ information related to KYC (Know Your Customer) policy.” She added that blockchain technology helps to prevent money laundering.

Beer was also asked about JP Morgan’s position on buying cryptocurrencies. She explained that the bank only supports what is regulated and has specialists who are “evaluating what is happening” with virtual currencies. When asked about the institutional position regarding Initial Coin Offerings(ICOs), Beer preferred not to respond.

Earlier in August JP Morgan Chase’s CEO Jamie Dimon was optimistic about blockchain. “JPMorgan is testing blockchain and will use it for a whole lot of things,” he said.

Iran to reverse crypto ban
Iran will likely reverse its cryptocurrency ban in September, a central bank official told at the conference, paving the way for official regulation in the country. The country, which introduced a blanket ban on trading in April this year, has since seen economic turmoil return to its economy in light of fresh US sanctions, its national currency losing a significant chunk of its value since. Having previously signaled plans to create a national cryptocurrency, the Central Bank of Iran’s chief of innovative technologies Nasser Hakimi said regulatory attention would now shift to public crypto assets. “The High Council of Anti-Money Laundering has imposed a ban in light of concerns over global allegations of money laundering and financing of terrorism. But it seems that after the government’s consideration, this blanket ban will be reviewed,” he told conference members. The government will meanwhile review the trade block in September, with the outcome reportedly set to acknowledge cryptocurrency’s increasing popularity and the ineffectiveness of trying to stifle its use. Concerning the national crypto plans, Hakimi hinted these should also come to fruition, saying the project required “suitable and prevalent” support from authorities.
Baidu imposes anti-crypto measures

Chinese tech giant Baidu has joined Tencent and Alibaba in imposing new anti-crypto measures.

Baidu, Chinese competitor to Google, has closed at least two popular crypto-related chat forums with a notice reportedly informing users that the move comes “in accordance with relevant laws, regulations and policies.”

Meanwhile, Tencent — the operator of the 1-billion-user social media platform WeChat, has reportedly issued a statement announcing its own ban on crypto trading. The platform has said it will monitor daily transactions in real time and block any suspicious transactions accordingly.

Chinese e-commerce giant Alibaba — whose subsidiary Ant Financial runs popular internet payment app Alipay — has for its part said it will restrict or permanently ban any accounts it finds to be engaged in crypto trading.

All three announcements follow closely upon the heels of last week’s onslaught of toughened anti-crypto measures in China. According to CT Japan, new measures are also reportedly underway to toughen the “clean-up” of third-party crypto payment channels, including those used by OTC platforms.

Incoming event: Blockchain Unchained 2018
BLOCKCHAIN UNCHAINED Conference will be held, September 12-14th, 2018, in Geneva, Switzerland. During three autumn days, on the shores of Lake Geneva, you have a chance to meet, learn, listen to top speakers and ICO pitches (or compete in them) and network with leaders and innovators in this new space. Our approach is that of edutainment: we aim to educate and entertain. Unlike most blockchain conferences this one will be held at a super cool multi-purpose venue, Uptown Geneva, which is only a six-minute walk from the train station and a 16-minute drive from the airport. It’s big size and accessible location make it a perfect place for the ambitions of our conference. BLOCKCHAIN UNCHAINED aims to make blockchain technology comprehensible and accessible to the general public and raise awareness of how this new technology can be used in a myriad of business and banking ventures. With the goal of bridging the off-chain and on-chain worlds, they want to unchain the mystery of blockchain and expose the vast promise and potential it has for future projects. The conference has a two-fold purpose: to raise awareness of the utility of blockchain technology in the traditional world of banking & finance, and to help enable young start-ups get on their feet networking and pitching their ICOs. Start-ups, new to blockchain technology, will have an opportunity to learn how to grow, nurture, and pitch their ICO ideas. Are you passionate or just curious about blockchain? Come and enjoy talks by experts from the blockchain and traditional banking spheres and engage in networking and community building. Inspirational Talks, exciting competitions, fun contests, and many prizes will make this conference much more exciting than any other. They want to set a new example of Edutainment in the field of meetups and events in the crypto space, so you can rest assured that no detail will be overlooked. BLOCKCHAIN UNCHAINED promises to entertain, educate and help you network with leaders in the blockchain world in a setting that is educational, stimulating and entertaining. September on Lake Geneva with a chance to learn from great leaders, listen to new projects, and network with the best in the field? What’s there to hesitate, sign up and save the date! If you are interested to join, please contact [email protected] for further information.
North Korea to hold an international crypto conference
Sanctions-hit North Korea is planning to host its first-ever international conference focusing on cryptocurrencies and blockchain technology in October, according to CCN. The event will be held in the hermit kingdom’s capital of Pyongyang and will stretch for two days beginning October 1. Per various reports, the conference is expected to attract blockchain and cryptocurrency experts from all over the world. The event is scheduled to conclude with a meet-and-greet with the business leaders of North Korea. Sources told Radio Free Asia that the goal behind hosting the conference was to demonstrate the technological capabilities of the Asian country. This comes at a time when a report compiled by Korea Development Bank, a state-run financial institution in South Korea, has claimed that evidence had emerged of a small-scale cryptocurrency mining operation being run by the North Korean regime last year between May and July. However, according to Yonhap News Agency, the initiative is said to have failed though the reasons were not provided. The Korea Development Bank report seems to confirm conclusions drawn earlier that the hermit kingdom could be eyeing cryptocurrencies as a way of evading sanctions imposed on the country or as a way of financing the regime.
Bank of America applied for another blockchain patent

Second-largest bank in USA, Bank of America (BofA), has applied for another blockchain patent on the development of a secure crypto storage system.

The patent, entitled “Block Chain Encryption Tags,” describes a system of recording and storing cryptocurrency-related transactions that are handled by enterprises. In short, the invention offers a system of data security for blockchain networks by implementing encryption and linking data units to the blocks of a certain blockchain. BofA has previously taken steps for adopting blockchain technology, having filed nearly 50 blockchain-based patents as of June 2018, making it reportedly the largest holder of blockchain-related patents among all companies, even beating the tech giant IBM. While BofA is one of the leading companies that promotes innovation in the blockchain sphere, the bank is still sceptical towards cryptocurrencies, despite having acquired a patent on the development of a digital currency exchange system in December 2017. In May, BofA reiterated its negative stance toward crypto, calling it “troubling” and confirming its decision to ban clients from buying crypto with their credit cards.
Alibaba payments App to suspend OTC crypto trading
Ant Financial, the payments affiliate of Alibaba, is cooperating with Chinese regulators to scrutinize peer-to-peer cryptocurrency trading on its Alipay mobile app. Ant Financial is beefing up efforts to monitor both merchant and customer accounts, as well as notable sites that integrate the Alipay gateway to facilitate over-the-counter (OTC) crypto trading. A spokesperson from Ant Financial told CoinDesk: "We have been and will continue to closely monitor over-the-counter trading activities. If we find any transactions that we suspect are related to virtual currencies, we take appropriate measures including, but not limited to suspension of related fund transfers and permanently restricting payment collection functions of accounts involved." However, the company did not offer details on whether or how many accounts it had already found to be involved with crypto trading. WeChat Pay, another prominent mobile payments app, has also been monitoring and blocking accounts that are suspected of making crypto transactions. Alipay, WeChat Pay and bank transfer have since been used as ways for Chinese residents to purchase cryptocurrency assets.
Singapore Central Bank partners with Nasdaq and Deloitte on blockchain settlement

The de facto central bank of Singapore had signed a deal with multiple big name entities to ease digital asset settlements.

Part of its ongoing Project Ubin blockchain integration scheme, the Monetary Authority of Singapore (MAS) partnered with Singapore Exchange (SGX), along with Anquan, Deloitte and Nasdaq to deliver the enhancements. Together, the parties will create “Delivery versus Payment (DvP) capabilities for settlement of tokenized assets across different blockchain platforms,” with the latter three acting as technical partners. “This initiative will deploy blockchain technology to efficiently link up funds transfer and securities transfer, eliminating both buyers’ and sellers’ risk in the DvP process,” Tinku Gupta, head of technology at SGX and leading the project explained. MAS has continued to make positive steps to creating a cryptocurrency-friendly jurisdiction in Singapore, expressing cautious optimism about the technology’s future while championing blockchain via Project Ubin, which it has worked on since 2016.
SEC to review recent ETF rejections
The U.S. Securities and Exchange Commission (SEC) has said it will review the disapproval orders for nine bitcoin ETFs issued on Wednesday. SEC rejected proposals from three companies – Proshares, GraniteShares and Direxion – in a triple-set of orders published late yesterday. Now, according to the letters, senior SEC officials will review those orders, though it's unclear at this time when the review will be completed. As SEC secretary Brent Fields wrote in a letter addressed to NYSE Group senior counsel David De Gregorio: "This letter is to notify you that the Commission will review the delegated action." "The Office of the Secretary will notify you of any pertinent action taken by the Commission," Fields added. The news were announced by commissioner Hester Peirce, who notably dissented from a decision last month that saw the SEC shoot down, for a second time, a proposed bitcoin ETF from investors Cameron and Tyler Winklevoss.
Japan to allow crypto to grow only under its regulations

The commissioner of Japan’s financial regulator the Financial Services Agency (FSA) said that the agency wants the cryptocurrency industry to “grow under appropriate regulation,” in an interview with Reuters.

Toshihide Endo, commissioner of Japan’s FSA, told Reuters he sees the agency’s goal for developing the crypto industry as finding a “balance” between consumer protection and technological innovation. The commissioner added: “We have no intention to curb the crypto industry excessively. We would like to see it grow under appropriate regulation.”

In July, the FSA had been considering changing the legal basis for regulating crypto exchanges to oversight by the Financial Instruments and Exchange Act (FIEA), instead of its current legal foundation, the Payment Services Act.

China to block access to 124 overseas crypto exchanges
Chinese regulators are moving to block more than 100 overseas crypto exchanges from offering trading services to domestic investors. The China National Fintech Risk Rectification Office has so far identified 124 trading platforms with overseas IP addresses that are still available in the country. The office now plans to step up its efforts in monitoring commercial use of cryptocurrency and to block internet access to these trading platforms. Currently, internet access to several major exchanges such as Binance, OKEx, and Bitfinex are unavailable in China. The agency will also permanently shut down domestic websites and official accounts on the WeChat messaging app if they are found to be providing crypto trading and ICO services. The agency is also in talks with third-party payments vendors that are required to scrutinize and halt accounts that are suspected of handling cryptocurrency transactions.
9 ETF proposals rejected by SEC
The Securities and Exchange Commission (SEC) has issued rejections to bitcoin exchange-traded fund (ETFs) proposals from ProShares, Direxion and GraniteShares. In three orders published on August 22, the rejections came ahead of previously reported deadlines arising from the SEC's public-facing approval process. In all instances, the SEC stressed that it "emphasizes that its disapproval does not rest on an evaluation of whether bitcoin, or blockchain technology more generally, has value as an innovation or an investment." The rejections come mere weeks after SEC commissioners completed a review on a proposed bitcoin ETF from investors Cameron and Tyler Winklevoss, whose multi-year effort was dashed after a majority of the SEC's commissioners backed up the agency's original March 2017 decision. One commissioner, Hester Peirce, dissented that decision, later telling CoinDesk in an interview, that the move to block a bitcoin ETF is a disservice to both investors and innovators.
South Korea discusses ICO ban and “blockchain island”

Lawmakers in South Korea began discussing cryptocurrency once more in a meeting focusing on ending the country’s ICO ban, as well as other topics.

Coming amid considerable attention on both cryptocurrency and blockchain propagation from Seoul, the National Assembly meeting saw participation from government ministries including the Ministry of Science and Information and Communications Technology (ICT). In addition to debating reallowing initial coin offerings (ICOs) to operate in the country, the parties involved are also keen to press ahead with the creation of South Korea’s own ‘Blockchain island.’ Centered on the Jeju Island resort, plans for a “special zone for global blockchain and cryptocurrencies” echo the trajectory adopted by Malta in recent months. “The South Korean government prohibited all types of ICO in September last year and has come up with no related policy since then,” the source said, adding that “the entire industry is paying much attention to how its stance will change through various discussions in the National Assembly.”
Shariah-compliant crypto-exchange to launch soon in the UAE
ADAB Solutions, a UAE-based company, is set to launch the very first cryptocurrency exchange compliant with Shariah legislation. ADAB Solutions is going to launch the very first cryptocurrency exchange compliant with Shariah law. The project is conveniently called the First Islamic Crypto Exchange (FICE). The cryptocurrency exchange will operate globally, and it intends to further the involvement of Muslims and users of Islamic finance in the cryptocurrency market. Supposedly, this will become the first digital asset exchange which will be carrying out the transactions in accordance with the regulations of Islamic finance. Timur Turzhan, founder and CEO at ADAB solutions, said: Ideas that correspond to the norms of the Shariah are based on the understandable material value, have a clear business strategy, and this allows us to confidently assert that halal projects are incomparably safer successful than the many cryptocurrency initiatives. The cryptocurrency exchange will employ an in-house Shariah Advisory Board which is comprised of international Shariah experts. They will be tasked with complying with the principles of the Islamic legislation.
Bitmex paused trading that caused a pump
On August, 21st, BitMex scheduled shutdown caused a pump in the market. All except one of the top ten cryptocurrencies have seen major growth during spike, each gaining 4 to 9 percent on the day to press time. BitMEX is not listed on CoinMarketCap’s Bitcoin price and volume averages because “the BTC/USD market on BitMEX is a derivatives market NOT actually spot trading Bitcoin. As a result, it has been excluded from the price and volume averages of Bitcoin.” On its official website, BitMEX describes itself as a “Peer-to-Peer Trading Platform that offers leveraged contracts that are bought and sold in Bitcoin,” reporting daily trade volumes of $3.19 billion. There are also other news regarding this platform coming from Hong Kong Economic Times. As reported, BitMex rents world's most expensive offices in Hong Kong.
Crypto has more utility than gold
US economist Paul Krugman appeared to soften his stance on Bitcoin last week in a surprise twist, saying he believes the cryptocurrency “has more utility than gold.” “Gold is dead… Bitcoin has more utility than gold,” Paul said during a panel. "There is some chance for Bitcoin to be valuable in the future.", he added. Prior to the somewhat unexpected vote of confidence in Bitcoin, Krugman had made headlines at the end of July after he paradoxically likened Bitcoin’s technology to “setting the monetary system back 300 years.” His words produced a flurry of both press coverage and criticism from cryptocurrency figures, Nick Szabo suggesting Krugman was beholden to the fiat-based way of thinking. “Evolution is something that happens in a very decentralized and parallel way; the central banking Krugman worships has been the opposite of that,” he retaliated. Despite individual economists’ misgivings, Wall Street continues to give ever stronger signs it intends to interact with Bitcoin as an asset which will endure.
Apple co-founder to involve in a blockchain project

Apple co-founder Steve Wozniak has announced that he plans to get “involved” in a blockchain project.

At the ChainXchange conference, Steve Wozniak revealed in an interview that he plans to participate in a blockchain startup, praising the benefits of the technology. He said: “I’m involved with, very soon, my first time being involved in a blockchain company. <…> Our approach is not like a new currency, or something phony where an event will make it go up in value. It’s a share of stock, in a company. This company is doing investment by investors with huge track records in good investments in things like apartment buildings in Dubai.” Wozniak also compared the Ethereum (ETH) platform with the Apple’s App Store, as both allow thousands of companies and individuals to develop and run their own applications: “Ethereum provides the tools for a blockchain application of your own… I see more people using Ethereum that way.” Earlier this spring, Wozniak had called blockchain tech a “bubble”, even though it is “decentralized and totally trustworthy”.
Indian Police arrested Asian head of Bitconnect
A high-ranking promoter of Bitconnect has been arrested at the Delhi airport India for his involvement in the alleged multi-billion dollar Ponzi scheme that blew up earlier this year. The project was openly suspected of being a scam by many influencers and members of the cryptocurrency community from the outset due to the impossibly high returns promised in the company’s promotional materials, but this didn’t prevent many people from investing in the hopes of it being a legitimate enterprise. Head of the Asian division of Bitconnect Divyesh Darji was traveling from Dubai to the Indian capital on Saturday where he was arrested following an investigation by India’s Criminal Investigation Department (CID). DGP Ashish Bhatia of the CID said: “They launched their own ‘Bitconnect coins’ soon after demonetisation. They promoted the company on social media and by holding gala functions in cities across the world. They lured investors with 60% monthly interest and incentives in the form of ‘referral interest’.
Nvidia leaves crypto mining, while Bitmain tops its revenues
The persistent bearish mood of the crypto market has taken a toll on the stock price of Nvidia. The graphics chip manufacturing giant is considering taking cryptocurrency mining production off its budget. The company was expecting sales of about $100 million for its cryptocurrency mining products in the second quarter of 2018, however, the actual figures turned out to be around $18 million, which left it with a large amount of unsold stock. Bitmain, the Chinese cryptocurrency mining giant which produces ASIC miners, reported a revenue of over $1 billion in the first quarter of 2018. Nvidia is now focusing on developing its strengths in computer gaming, artificial intelligence, and data processing sectors. The company is getting ready to launch Geforce 20 series chips with new Turing chip architecture, which will reportedly be much more efficient than its GTX 1080 Ti and base GTX 1080 cards. Bitmain, in contrast, is planning on filing an IPO for as high as $18 billion this September. The IPO will be listed on the Hong Kong Stock Exchange and underwritten by ABC Capital Management.
Police arrested crypto thiefs, who stole $87 million
Chinese police have arrested three individuals who allegedly stole bitcoins and other cryptocurrencies worth around $87 million. They were busted the provinces of Hunan and Changchun and the country's capital Beijing after a months-long investigation launched by the police. A self-declared victim, identified by the surname Zhang, first filed a complaint to the police in the northwestern city of Xi'an in March, alleging his computer had been hacked and crypto assets worth around $14.5 million stolen. The police investigation, which received assistance from several unnamed internet companies, later located a suspect with the surname Zhou, who they claimed had made a remote attack to transfer the funds from Zhang's computer. As the investigation continued, the police further identified two alleged accomplices of Zhou that they said were highly experienced hackers. The group was further accused of having conducted a series of illegal cyber intrusions into corporate and personal networks to obtain crypto assets initially estimated to amount to 600 million yuan, or about $87 million.