BitMax exchange suspended trading due to abnormal jump of course Ethereum

BitMax cryptocurrency exchange temporarily halted trading for some users in connection with the disruptions in cloud services Amazon Web Services (AWS), which was observed this morning.

«Due to abnormal market fluctuations BitMax temporarily suspended trading services for accounts that participated in the auction on 23 August from 01:00 to 03:30 EDT», — said representatives of the site.

It is expected that trading on these accounts will be resumed after confirmation and follow-up.

Outages AWS caused severe fluctuations in the price of crypto-currencies on some exchanges. So, on one of the trading platforms bitcoin price of $0,32-0,35.

At BitMax bitcoin fell to $8520, while the rate Ethereum at one point fell to $0,33.

We will remind, earlier about possible shortages of withdrawal to the background of the problems with AWS, said the trading platform Binance and KuCoin.


Study: About 50% of the funds collected by the pyramid PlusToken, went on Huobi

Researchers at analyst firm Elementus came to the conclusion that the collected PlusToken funds were made to the Singapore exchange Huobi.

According to analysts, this market segment has received almost 50% of the funds from PlusToken:

As can be seen from the table, to a somewhat lesser amounts were reported in other Asian areas —, Upbit, OKEx and According to representatives of the Elementus, the question remains why the scammers chose to withdraw cryptocurrency mainly on Huobi.

According to the researchers, PlusToken gathered ETH 10 million (almost $2 billion at current exchange rates) from more than 800 thousand participants in a Ponzi scheme. In addition, the pyramid is quite actively raised funds in bitcoin, XRP and EOS.

Thus, being the largest in the history of China the pyramid in scale PlusToken «with large margin» exceeds such fraudulent projects like BitConnect and OneCoin.

Earlier on blockchain CipherTrace company assessed the damage to investors from PlusToken of approximately $2.9 billion.


Service Chainalysis now monitors suspicious transactions 15 popular cryptocurrency

Analytical blockchain startup Chainalysis presented the system alerts in real-time Chainalysis KYT, which informs the user about suspicious transactions.

According to the developers, the system, primarily focused on cryptocurrency companies, financial institutions and allows them to reduce regulatory and reputational risks.

KYT-notifications are available for all 15 of cryptocurrency, which operates Chainalysis, including bitcoin, Ethereum, Bitcoin and Cash, as well as stabilini and ERC20-tokens, for example, DAI and Tether. Chainalysis customers themselves can configure the notifications by changing the parameters of risk in accordance with their own needs.

Vice President, product Chainalysis John Dempsey stressed that increased attention of regulators to the cryptocurrency industry requires businesses to showcase the best practices of legal compliance.

«When it comes to working with under sanctions from persons, funds received from hacker attacks, darknet markets and other illegal activity on the account every minute. That is why Chainalysis invests in quick and providing a basis for action alerts to help our customers to mitigate risks when interacting with the cryptocurrency,» said he.

Note that in the April tracking tool transaction Chainalysis KYT (Know Your Transaction) began to support coins Binance BNB stabilini Gemini Dollar (GUSD), Tether (USDT), USD Coin (USDC).


Quiz: how well do you understand bitcoin and the blockchain


You say that you know everything about bitcoin, the blockchain, can give valuable advice to correct and comment on the mistakes of others? Now I will check it out. Before you test for understanding the first digital currency and the technologies of the distributed registry. These questions were prepared by the journalists of the Bitcoin Magazine. We supplemented the material with explanations about your knowledge for understanding of the approximate level. In the comments to the test can share the results.

P. S. Obviously, in such a young and fast-growing industry is continually expanding with new methods to improve activity, to develop vocabulary, open projects. Therefore, be warned that the questions are basic in nature. So, for example, to ask about the calculation methods cryptocurrency assets or ways of finding bugs in the blockchain, we will not.

Questions for beginners and advanced users to warm up:

1. Let’s start with the obvious, but very important: who created bitcoin?

and. Acne Buterin

b. Gavin Andresen

S. Satoshi Nakamoto

d. Charlie Lee

E. Jackson Palmer

2. What is the document explaining the operation of Bitcoin is required reading?

a. The Bitcoin white paper

b. The Golden Proposal

c. E-Money: Bitcoin and the Blockchain

d. The Bitcoin Manifesto

e. The Constitution Bitcoin

3. What was the name of cretolamna exchange from Japan, which closed in 2014 due to large-scale hacking?

a. Tradehill’s

b. Bitstamp

c. Mt.Gox


e. Bit Trade

4. What is the issue of bitcoin?

and. Unlimited

b. 77,340,109

S. 3,500,000

d. 21,000,000

E. 18,650,000

5. What is the solution to scale out the network, which is developed to reduce the fee and reduce the time of transaction confirmation?

a. Instasend

b. Second Layer Network

c. Lightning Network

d. Quick Net

e. The Bitcoin Payment Network

6. What programming language was written Bitcoin?

a. Python

b. C++

c. Java

d. Pascal

7. What is the technology underlying Bitcoin?

a. Bitchain

b. Blocklink

c. Blockchain

d. CoinLedger

e. Satoshisquare

8. True or false: bitcoin can be sent to an Ethereum address?

a. Of course, I always do

b. Lie, existing technologies do not allow this user to anyone

9. What was the name of the first underground market created by Ross Ulbricht, who used bitcoin as its main currency?

a. Black Onion

b. BTC Market

c. East India Trading Company

d. Silk Road

e. Worldwide Drug Emporium

10. Bitcoin can be divided to the eighth decimal. The name of this unit?

a. Bit

b. Satoshi

c. Naki

d. Shill

e. Bitsat

Easy the knowledge test was over. Now the questions start for more advanced users. But you can do it.

11. What traditional stock exchange first translated futures bitcoin?

and. The new York stock exchange (NYSE)

b. Intercontinental exchange (ICE)

S. Chicago Mercantile exchange (CME)

d. Options exchange in Chicago (CBOE)

E. none of the above. Futures are only available for exchange on the cryptocurrency exchanges, such as BitMex and Bitfinex.

12. As in a direct translation from English are the users that generate new blocks?

a. accountant

b. miners

c. builders

d. the Association of miners of bitcoin

e. testers

13. Which of the following is NOT true for Bitcoin Cash?

and. Bitcoin Cash was generated during the ongoing debate in the Bitcoin community for the scale and speed of transactions

b. Roger Ver uses to convince new investors that Bitcoin Cash — this is the original bitcoin

C. Bitcoin Cash is usually called «Bcash», because some supporters of Bitcoin don’t want to associate with the original fork of bitcoin currency

d. Cash Bitcoin uses the hash function SHA-256

E. Cash Bitcoin completely removed the bounds of the block size

14. Where the server is processing bitcoin transactions?

and. Washington, USA

b. London, UK

S. Undisclosed location

d. The United Nations every two years to vote for a new place

E. Nowhere — Bitcoin has no server processing

15. What day was launched the Bitcoin network?

and. November 5, 2008

b. May 1, 2010

C. 3 Jan 2009

d. December 31, 2008

E. April 23, 2010

16. When the maximum exchange rate of bitcoin (as of September 27, 2018)?

and. 12 Jan 2016

b. 15 Jul 2017

S. 17 Dec 2017

d. August 3, 2018

E. Jan 10, 2014

17. Which of the following statements is true?

and. Bitcoin belongs to the NSA

b. By 2030, all the bitcoins are mined

s. Bitcoin does not have the capabilities to create smart contracts.

d. Before Satoshi created Bitcoin, he and a group of developers for free offer users nearly a million coins

E. Only chosen people can mine bitcoins

18. Over what period of time (in average) the block is created?

and. >1 second

b. 2 minutes

C. for 10 minutes

d. 60 minutes

E. 6 hours

19. What is celebrated on 22 may, the Day bitcoin pizza?

and. On this day, holders of bitcoins to buy pizza for strangers

b. In 2010, this day programmer Laszlo Changes paid 10,000 bitcoins for two pizzas

C. the day when Satoshi announced that his favorite food is pizza

d. It’s a day for acne Buterin compared the security of bitcoin with a large pizza

E. Day, organized by Pizza Hut when you can pay for your pizza with bitcoins

20. How many new bitcoins (on average) should be produced every day with the current reward?

and. 2200 except for February 29 in leap years

b. +1800

S. 5000

d. +7200

E. 150

Now you are waiting for the most difficult questions.

21. What is the difference between soft fork or hard fork?

and. Soft fork happens when you copy the code of the main project with the permission of the developers. If you hard fork the code is copied without the permission of the original developers.

b. Hard fork is an incompatible change to the Protocol because it makes a previously invalid blocks or transactions is valid. Soft fork is a change of Protocol backward compatibility makes previously valid blocks or invalid transaction.

C. Hard fork occurs at a time when miners are unable to agree on the division of the block. Soft fork occurs at a time when miners are getting together for the adoption of the decision on the distribution of remuneration for the units.

d. There is no right answer

22. How to interpret ASIC?

and. Applied Socioeconomic Investment Compository

b. Application Specific Integrated Circuit

C. Anonymous Spending Instrument for Cryptocurrencies

d. Alternative Synthetic Interoperability Circuit

E. Antiquated System for Implied Cryptography

23. And why do we need these ashiki (ASIC)?

and. Allow to access information on the investments at a high level, according to Bloomberg

b. Allow users to trade crypto-currencies between different blockchains

c. Allow to send bitcoin anonymously

d. Allow you to solve a math problem: after receiving the response generates a new block

E. Allow developers to cross-reference existing technology with old programming languages

24. Whether bitcoin is anonymous?

and. Yes, people who use bitcoin can’t track your transactions

b. No, bitcoin addresses derived from IP addresses

C. No, all transactions are recorded in the blockchain, which can be traced with analytical technologies

d. No, the address openly show the user name

E. No, bitcoins can be associated with the social security number of the user

25. What is SHA-256?

and. The secure hash algorithm used by the Bitcoin network, originally developed by the NSA

b. A set of rules that must comply with miners

C. Diagram, was developed by Craig Wright, to convince people that he is the real Satoshi

d. Annual conference in new York for crypto-enthusiasts

E. Satoshi Language used by the developers for confidential communication

26. What is a nonce?

and. An empty value in each block, which is filled by the miner of this block

b. Other name nodes

C. mining equipment

d. The most important part of the chip in mining equipment

E. the Name of a Troll on the forum in Reddit

27. What is a «difficulty» against the Bitcoin network?

and. Measure of how difficult it is to explain what bitcoin is

b. Measure of how difficult it is to find a hash

C. Measure of the time duration for transactions

d. A measure of the difficulty of measuring transaction of bitcoin from one wallet to another

E. a measure of the complexity of the recovery of bitcoin to the maximum price position

28. What is multi-SIG-check?

and. The old method of confirming a transaction of bitcoin

b. Check user permissions on storing bitcoins in a wallet that requires multiple signatures from friends and relatives

C. Form validation in the form of multiple signatures from the people who control the mining process

d. The process by which miners choose which transaction is checked three other miners, creating a signature authorizing the transaction and verifiable

E. Technology validation wallets requiring multiple signatures for a single transaction with enhanced security

29. Bitcoin consumes about 1% of world energy use. What does this mean for it security?

and. The attacker does not need to consider total energy consumption, in order to successfully carry out the attack 51%

b. Bitcoin safe to such an extent that attacks on the network will require approximately 0.0001% of the total energy consumption in the world

C. Bitcoin safe to the extent that network attacks will only take about 1% of the total energy consumption in the world

d. In order to successfully attack the network, an attacker would need 10 times more consumed by the bitcoin energy

30. What is the Root of the Merkle bitcoin?

and. A hash of all transactions in the block that allows you to check any specific transaction, without downloading the whole blockchain

b. The number of complex data that uniquely identificeret address owner of the purse

the Program, developed by David Merkle, which reveals the large inactive wallets for bitcoins

d. Cryptocurrency developed by a German Chancellor

E. Part of a complex underground system of roots that nourish the bitcoin blockchain

That’s about it. Now will be the correct answers. In this section you can look just after answering all 30 questions!

  1. S. Satoshi Nakamoto
  2. a. The Bitcoin white paper
  3. c. Mt.Gox
  4. d. 21,000,000
  5. c. Lightning Network
  6. b. C++
  7. c. Blockchain
  8. b. Lie, existing technologies do not allow this user to anyone
  9. d. Silk Road
  10. b. Satoshi
  11. Options exchange in Chicago (CBOE)
  12. b. miners
  13. E. Cash Bitcoin completely removed the bounds of the block size
  14. E. Nowhere — Bitcoin has no server processing
  15. C. 3 Jan 2009
  16. S. 17 Dec 2017
  17. s. Bitcoin does not have the capabilities to create smart contracts
  18. C. for 10 minutes
  19. b. In 2010, this day programmer Laszlo Changes paid 10,000 bitcoins for two pizzas
  20. b. 1800
  21. b. Hard fork is an incompatible change to the Protocol because it makes a previously invalid blocks or transactions is valid. Soft fork is a change of Protocol backward compatibility makes previously valid blocks or invalid transaction
  22. b. Application Specific Integrated Circuit
  23. d. Allow you to solve a math problem, after receiving the response generates a new block
  24. C. No, all transactions are recorded in the blockchain, which can be traced with analytical technologies
  25. and. The secure hash algorithm used by the Bitcoin network, originally developed by the NSA
  26. and. An empty value in each block, which is filled by the miner of this block
  27. b. Measure of how difficult it is to find a hash
  28. E. Technology validation wallets requiring multiple signatures for a single transaction with enhanced security
  29. C. Bitcoin safe to the extent that network attacks will only take about 1% of the total energy consumption in the world
  30. and. A hash of all transactions in the block that allows you to check any specific transaction, without downloading the whole blockchain

Now let’s calculate the results:

29-30 points — you’re either a geek who day and night studying the technology, or treat the pioneers in the blockchain industry. In any case — congratulations, excellent result, not all heroes wear capes. Have a nice mining and good mood. To the moon soon!

25-28 points — if cryptocurrency activity in the blockchain industry awarded academic degrees, then you would have a PhD. You have a fundamental knowledge of the vector potential growth. The rocket is already running, it will be, but not immediately.

20-24 points — also a good result. You are clearly a regular reader of the cryptocurrency media, interested in the industry, but «somewhere something is forgotten, I knew for sure, but couldn’t remember…». Understand the situation on the market of digital assets, now is not the best, it makes you nervous, and allowed the odd mistake. Don’t worry, «moon» soon.

14-19 points — you probably have heard about the blockchain and bitcoin, and discussed with friends the high cost of cryptocurrency, I thought about investing, but something stopped. In vain. Better would participate in presales-campaigns, would have received the free coins of the projects would have been drawn into an exciting but nerve cryptomgr.

8-13 points — you’re lucky, and randomly guessing answers to questions? Or have basic skills and want to continue to study bitcoin and the blockchain? Then read the materials DeCenter and DeCenter Magazine, which presents analytical articles and for newcomers to the industry including.

0-7 points — what is this Beethoven?


Media: Bitmain is going to increase Hasrat with the purchase of 600 thousand mining chips

According to The Block, the Chinese giant Bitmain alleged to have placed a bid for the purchase of 600 000 mining chips, which could potentially bring the company an additional $1.2 billion profit.

The information came from a source close to the largest Taiwanese semiconductor manufacturer TSMC. According to these reports, part of the chips presents the latest 7-nm patterns, giving the speed of the hash at 50TH/s.

The publication also says that thanks to new chips production capacity Bitmain six months could increase by 50%. This could bring the company an additional $1.2 billion in revenue and boost its capitalization to $12 billion.

Note that the total of Hasrat network of bitcoin continues to update highs and recently surpassed the mark of 80 EH/s:


ForkLog previously reported that Bitmain can raise $300-500 million through the IPO in the United States.

Also recall that for the first two months of the current year Bitmain suffered $625 million loss. Nevertheless, the company hopes to improve financial results due to the high demand for the device has a 7-nm chips.

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BitPay has blocked the transaction for $100,000, intended to save the burning forests of the Amazon

A leading payment processing BitPay has blocked the transfer for $100,000 designed to rescue the Amazon rain forest from fires. The issue drew the attention of the organization Amazon Watch, dedicated to the support of the region.

«The donor, no doubt agitated the horrific fires in Amazonian forests, tried to transfer $100 000 in our account today but the payment was rejected under the pretext that it is too high,» writes Amazon Watch.

BitPay representatives promised to check whether they can contact the benefactor and told Amazon Watch to increase the limits of payments in service settings.

In response, Amazon Watch reported that tried to do it but got a notification about the necessity to pass additional verification. It entered service in the middle of the month for both incoming and outgoing crypto-currency payments.

Fires in Amazonian forests are now in their third week. Experts say deforestation threatens the future of the planet’s ecosystems.

We will remind, earlier in August, BitPay suspended operations in Germany because of the tightening regulation of the cryptocurrency industry.


After halving indicators of complexity and Hasrat of litecoin has dropped significantly

Shortly after halving Litecoin indicators Hasrat and complexity of the production of «digital silver» fell by almost a third.

According the complexity of the network since halving decreased by 28%.

This situation may be associated with the termination of operation of the mining equipment, which became unprofitable after Polovinnaya awards.

During the same period, Hasrat LTC fell to the may stamps:

As well as the complexity of Herat fell by 28%. Data bitinfocharts

According F2pool, currently, the most efficient to mine Litecoin on devices from InnoSilicon and FusionSilicon:

With the price of electricity to $0.04 per kWh miners from these firms will bring from $0.23 to $0.50 per day. While the once popular Antminer L3+ will work approximately «zero».

We will remind, the second halving Litecoin was held on August 5, changing the block reward for LTC from 25 to 12.5 LTC.


Omkar Godbole: Bitcoin may again fall below $10 000

The recent growth of bitcoin to values above $10 200 was not supported by increasing trading volumes. This means that soon the price of BTC may continue downward correction, the analyst believes the CoinDesk Omkar Godbole.

On the hourly chart seen the release of bitcoin prices of the bearish pattern «Rising wedge»:

Chart BTC/USD exchanges are Bitstamp from TradingView

The fall in the price after breaking the lower boundary of the pattern was interrupted by the green candle. However, trading volumes are gradually declining, which indicates a strong possibility of further decline in prices to $9755.

To change moods and lift to values above the range of $550 10-$600 10, price must confidently overcome level of $10 255 corresponding to the upper boundary of the wedge. More confidence, buyers can give rise to above $10 956.

Daily and four-hour charts

Charts of BTC/USD exchanges are Bitstamp from TradingView

On the daily chart clearly seen bounce rates from the moving average (MA) with a period of 100. After the upward correction 20 Aug formed a lower low at $10 956, which is a bearish pattern. Now, this level must be overcome to continue the recovery rates.

Data from the four-hour chart shows that the probability of continuation of falling is high. Buyers need to start to push the price above $10 807 corresponding to the maximum of the candle, which confirmed the break out of the wedge.

The three-day schedule

Chart BTC/USD exchanges are Bitstamp from TradingView

On a larger timeframe formed a pattern «bearish engulfing» — the penultimate candle with his body blocked the previous one. This indicates a high probability of further decline in prices.

To radically change the situation, buyers should push the pair above the descending trend line connecting the June and July highs.

According to coin 360, bitcoin is trading at $10 181, the rise in recent days was 1.53%:

Also in the «green zone» a highly liquid altcoins.

Earlier it became known that the cryptocurrency «index of fear and greed» have fallen to record lows.


FATF-effect: as crypto-projects adjusted to the new rules on the regulation of cryptocurrencies


Four South Korean stock exchange in the near future will be required to implement enhanced security measures to comply with the new recommendations of the FATF to regulate cryptocurrency. In a separate article DeCenter already described them in detail, describing the technical difficulties for its implementation and possible consequences for the stock market. Today we figured out what areas have already begun to implement changes in their work to meet the new FATF rules, and learned how exactly they will work under new leadership.

As FATF is going to regulate cryptocurrencies

Recall, according to the recommendations of the FATF, all of the crypto currency exchange and exchange offices recognized service providers in the field of virtual assets (Virtual Asset Services Providers — VASP) and must follow the procedures of combating money laundering and combating the financing of terrorism as well as traditional financial institutions. VASP ordered to share with each other information about customers who make transaction of 1000 USD or EUR. Each VASP need to get a license and register in their jurisdiction. Responsibility for the registration, the use of anonymous cryptocurrency, mixers and switches rests with the regulators. The period of implementation of the recommendations until June 2020.

Formally, the FATF recommendations have no legal force — they do not have to perform. In fact, they are considered the international standard for combating money laundering and the financing of illegal activities in most countries of the world. June 28-29 during a summit in Osaka, the G20 endorsed the recommendations of the FATF and encouraged other countries to their rapid and effective implementation. Theoretically, for failure to comply with these recommendations, the country can put in the «FATF blacklist», but in practice do so rarely. Despite this, some jurisdictions have already started to harmonize its legislation with the requirements of the FATF.

South Korean banks are tightening rules cryptobinary

New guidelines FATF impose on commercial banks responsible for the activities of money laundering among their customers. In this regard, Korean banks have now decided to play it safe, and as a result, in July, four of the cryptocurrency stock exchange South Korea — Bithumb, Coinone, Korbit and Upbit — faced with problems when renewing their agreements with banks, said the local edition of The BChain. Earlier, South Korean banks — including ShinHan Bank, Nonghyup Bank and IBK — extended account without any objection, every 6 months. Now, according to the resource, the financial institutions of the countries have developed more stringent standards of reference accounts meeting the new requirements of the FATF.

Now the exchanges need to keep their own assets separate from client funds, to ensure the confidentiality of the data to create a working system of anti-fraud and anti-phishing. According to the source of The BChain, Bithumb, Coinone and Upbit meet the new requirements, and Korbit problems in talks with Shinhan Bank. Several accounts of the area were connected with «financial fraud» — now extend the account will be difficult.

South Korean banks believe that the new standards will not harm the profitability of kryptomere nor the principle of decentralization of the blockchain. This is just a way to weed out any illegal activities. Those who from the beginning were trusted, will not have any problems with compliance with the new guidelines, but those who have have been cases of money laundering in the past, likely to protest and speak out against this, noted several banking experts in South Korea. However, it is likely that small and medium exchange, do not have the necessary funds, simply withdraw from the market.

Also in June, the fair trade Commission Korea ordered the local crypto-platform to compensate their customers losses in case of break-ins or failures.

Regulators support the FATF

South Korea is not the only country whose regulators are beginning to change the law to comply with the requirements of FATF.

On 4 July the Ministry of Finance and the Ministry of justice of the Netherlands has promised to introduce new rules for the AML procedures, including in relation to crypto sites, in accordance with the new FATF recommendations. Among the new regulations: regulation of trade crypto-crypto sites and services on the European market, the tightening of control of ICO projects and investing in projects, struggling with the crypto-crime.

The new rules were endorsed by the FATF and the US Treasury. Steven Mnuchin, the country’s Finance Minister, spoke at the annual plenary session of the FATF in Florida, where he expressed his support to the new regulatory standards. According to Mnuchin, the regulation will allow FINTECH industry to remain «one step ahead of outlaw regimes» as anonymous the transfer of money is almost impossible (now exchange regulated FinCEN System to combat financial crimes, must disclose all parties involved in the transfers in excess of $3000). Refusal or failure to meet the newly established rules will be punished by penalties and disconnection of service. According to Mnuchin, the Federal reserve established a working group that will ensure that crypto-assets «was used only in lawful ways.»

On 8 July, the Commission on securities and exchange Commission (SEC) and regulatory authority financial industry (FINRA) also issued a joint statement on digital assets, which discussed the broker-dealer custody of securities of digital assets corresponding to the guidelines of FATF.

On 10 July the canadian government passed new regulations to conduct KYC/AML procedures with respect to any crypto-platforms: exchanges, wallets, ICO projects, and so on. Now they are considered as service providers in the field of remittances and needs to be registered in the Center for the analysis of financial operations and reporting (FinTRAC), to comply with the KYC/AML procedures to identify users and notify the regulator of all transfers over CAD 10,000. Most of the new rules will come into action on 1 June 2020. To this date the trade in virtual currencies «will have no legal force in Canada at the Federal level.»

In late July, the Brazilian regulator also released a statement about the increasing regulation of crypto exchanges. Under the new rules, the crypto currency exchange of the country must submit to the Tax authority (RFB) details of all transactions regardless of their value. Users must inform the regulator about transactions on foreign exchanges exceeding 30 000 Brazilian reais ($7800).

The requirements of the FATF have had an impact on Russian lawmakers. Further consideration adopted in the first reading the draft law «On digital of financial assets» was moved to make the concept of «cryptocurrency» — this will allow the bill to meet the requirements of FATF.

The cryptographic response to the SWIFT: finding technical solutions for data exchange about transactions

DeCenter already told me that crypto-sites not ready technical solutions and infrastructure to transfer data to each other. Traditional banks have solved this problem decades ago with the SWIFT system. So now, several crypto-projects looking for a similar solution that uses the benefits of cryptography.

There are many tools that tracks money laundering through bitcoin. So, the crypto-company CipherTrace and Shyft for more than a year working on the solution will run, which should help the crypto sites in the stringent recommendations of the FATF, while maintaining user privacy. This decision should be «cryptographic response to the SWIFT infrastructure». To do this, companies will create their own KYC/AML-ecosystem in which exchange parties can securely transmit information about users without disclosing their identities. This is achieved using the «General smart contracts» and «cryptographic controls» over access to information about users. The decision to disclose the identity of clients only upon official request from authorities. Release date of development is unknown, but it is expected that this will happen in the near future. In the same direction move such crypto-companies like Elliptic, Chainalysis and Coral Protocol — they help law enforcement agencies track of crypto-currency payments and provide AML audit services for companies.

Own way, go team Dash, which concluded in mid-July in partnership with BlockchainIntel that will «analyze cryptocurrency transactions and addresses, as well as to assess the likelihood of their use in criminal activities.» This collaboration will help team coins to comply with the regulations of stock exchanges, providing them with information about the transaction. The developers believe that this will open up Dash access to a large number of regulated sites.

As the requirements of the FATF could affect the stock market?

Despite the optimism of regulators, most members of the crypto-industry accepted recommendations of the FATF cool. Essence of the criticism lies in the fact that the implementation of the new recommendations will be difficult, expensive and may result in negative consequences for the market. Technically, the main difficulty is the need to collect and exchange data about customers and their transactions. Most exchanges and exchangers, there is no possibility to collect and submit data required by the FATF.

FATF suggests that its rules will rehabilitate the market, will accelerate institutional adoption of cryptocurrency and crypto-projects will be easier to work with conventional banks.

But the consequences can be exactly the opposite. Users privacy is important, you can go with regulated platforms. The need of large costs and infrastructural changes can lead to a substantial reduction of regulated sites, primarily small and medium ones, which will likely go into the black area. The result is a large part of the market will become even less transparent than it is now.

The requirements of the FATF the most burdensome for Central (custodian) exchanges, which hold assets. Decentralized (neostalinism) the platforms on which trading takes place directly between the accounts of the users to report on customer transactions is not necessary. Therefore it is necessary to expect occurrence in the market more number of necesitatile trading platforms and solutions.

We asked Sergey Zhdanov, General Director of the cryptocurrency exchanges EXMO, about how hurt are the new standards of FATF in any way the work of his platform. «Everyone is waiting for the decisions of the regulators of individual States and the FATF recommendations — rather, it is something that should be taken into account as a possible condition in the future, when planning business in the medium and long term. In the first place for each company is important to the decision of the regulators of the country under whose jurisdiction it falls. In the case of EXMO is the United Kingdom. Accordingly, for us it is important that the Office of financial regulation and supervision of the UK (FCA) published the final version of the guide to cryptocurrency assets, thereby defining the legal status of the cryptocurrency. As for the market as a whole, from cryptocurrencies in the context of the recommendations of the FATF, the biggest problem may arise from the anonymous coins, designed to ensure complete privacy of the financial transactions (although the issues were to them and to the FATF recommendations). And if you enact laws in exact accordance with these recommendations, we will see how most companies go into the gray area within the jurisdiction of which is not subject to the FATF», — said the head of the EXMO.


Media: three members of Libra are thinking about leaving cryptocurrency project from Facebook

At least three members of Libra are considering the possibility of exit from the largest social network Facebook, reports the Financial Times.

According to the newspaper, two members of the Association Libra discussing what needs to be «further correct steps.» The third unnamed member of the Association is seriously concerned about the possible problems and excessive control of regulators.

In conversation with Financial Times one of the partners said that the members of the Association will be difficult to comply with all applicable regulators requirements. Another criticized Facebook for the ill-conceived strategy, stating that:

«Some of these talk about the regulation was scheduled to launch. This would give the opportunity to understand how regulators would react to the project»

Also, one participant suggested that Facebook will probably «tired of always having yourself answerable for all».

The composition of the Libra Association includes 28 companies and non-profit organizations, including Calibra (a division of Facebook), Visa, Mastercard, Uber and Spotify. Initially it was assumed that each participant should contribute to the project $10 million

ForkLog previously reported that the delegation of the U.S. house of representatives is going to visit Switzerland to share with the local regulators views on Libra.

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