1. Home
  2. Cryptocurrency Exchange

Cryptocurrency Exchange

Philippines’ Unionbank to Support Cryptocurrency Exchange via Mobile App

Philippines’ Unionbank to Support Cryptocurrency Exchange via Mobile AppUnion Bank of the Philippines, commonly known as Unionbank, has announced the upcoming launch of another crypto service for its clients. The financial institution will offer select users of its mobile app the option to exchange bitcoin and other digital currencies without a separate wallet. Unionbank to Add In-app Crypto Exchange Feature, Reportedly a First […]

Shiba Inu eyes 50% rally as SHIB price enters ‘cup-and-handle’ breakout mode

Indian authorities freeze more crypto funds over money laundering allegations

The Indian Directorate of Enforcement froze $46.4 million in the accounts of Vauld’s Indian branch until the exchange can account for the criminal proceeds it transferred out of the country.

India’s Directorate of Enforcement (ED) announced Friday that it has frozen the financial accounts of Bengaluru-based financial services company Yellow Tune Technologies, some of which were held by Flipvolt crypto exchange, the Indian branch of Singaporean Vauld. The move is linked to an ongoing investigation into money laundering by China-linked instant loan companies. This is the second time this week the agency has taken action in the crypto sphere in connection with that case. 

The financial watchdog announced it was freezing Yellow Tune’s bank balances, payment gateway balances and balances in the Flipvolt cryptocurrency exchange for a total of 3.7 billion rupees, or $46.4 million after determining that the company was a shell entity incorporated by two Chinese nationals using pseudonyms. According to newspaper accounts, the ED spent three days searching premises associated with Yellow Tunes.

The ED uncovered 23 entities that had deposited funds into Yellow Tune’s Flipvolt wallets that were further transferred out of the country. The ED was sharply critical of Flipvolt’s handling of the funds. The agency said:

“Lax KYC [Know Your Customer] norms, loose regulatory control of allowing transfers to foreign wallets without asking any reason/declaration/KYC, non-recording of transactions on Blockchains to save costs etc, has ensured that Flipvolt is not able to give any account for the missing crypto assets. It has made no sincere efforts to trace these crypto assets.”

Citing India’s Prevention of Money Laundering Act of 2002, the ED froze funds in Flipvolt’s accounts equivalent to the sums it transferred from Yellow Tune’s wallets to foreign wallets “till complete fund trail is provided by the crypto-exchange.” The ED called those funds “nothing but proceeds of crime derived from predatory lending practices.”

The attachment of the Flipvolt funds is just the latest bad news for Vauld. The Singaporean exchange cut its staff by 30% in June and halted withdrawals from its accounts at the beginning of July. Later that month, it sought protection from its creditors in Singapore. It was granted a three-month moratorium, which is similar to U.S. Chapter 11 bankruptcy.

Related: Singapore's financial watchdog pushes back against Terra and 3AC associations

It was reported earlier this week that the ED had frozen accounts holding $8.1 million of the funds of crypto exchange WazirX and was investigating at least nine more exchanges with ties to Chinese-backed instant loan companies. The ED noted in its latest communique that its investigation of that case is ongoing.

Shiba Inu eyes 50% rally as SHIB price enters ‘cup-and-handle’ breakout mode

FTX partners with Paradigm for ‘one-click’ futures spread trading

The global exchange will provide “guaranteed atomic execution and clearing of both legs” for the futures trades on eight cryptocurrencies.

Digital asset investment firm Paradigm has announced the launch of spreads trading in partnership with crypto exchange FTX.

In a Friday blog post, Paradigm said under the FTX partnership users would be able to utilize “one-click” trading with “no leg risk” for the spread between spot, perpetuals and fixed maturity futures on Bitcoin (BTC), Ether (ETH), Solana (SOL), Avalanche (AVAX), ApeCoin (APE), Dogecoin (DOGE), Chainlink (LINK) and Litecoin (LTC). FTX will provide “guaranteed atomic execution and clearing of both legs” for the trades.

According to Paradigm CEO Anand Gomes, the arrangement was aimed at drawing in new crypto investors interested in cash and carry trades — leveraging crypto spot purchases and futures instruments on FTX. Gomes added that the rollout could lead to new product offerings “further down the road.”

The investment firm said using atomic execution for both legs of the spreads trading was “structurally less risky” than those executed on a traditional exchange, allowing market makers to “quote much tighter prices and in significantly larger sizes.” According to Paradigm, the fees will be 50% less than that when executing two individual outright trades.

In 2019, Paradigm partnered with crypto derivatives exchange Deribit to launch a block trading solution. The firm has also invested in several crypto-related projects, including contributing toward a more than $1 billion investment in Citadel Securities, the market maker arm of hedge fund Citadel, a $12-million round for Synthetix, and a $400 million funding round for crypto exchange FTX.US.

Related: Reddit partners with FTX to enable ETH gas fees for community points

In November, Paradigm launched a $2.5-billion fund to expand its investment into crypto companies and protocols. Paradigm co-founder Fred Ehrsam said at the time the firm was “just getting started.”

Shiba Inu eyes 50% rally as SHIB price enters ‘cup-and-handle’ breakout mode

Brazilian payment app PicPay launches crypto exchange with Paxos

The integration with Paxos marks the first move for PicPay to introduce its 30 million customers to digital assets and help them understand Bitcoin.

Major Brazilian payment application PicPay is moving into cryptocurrencies by integrating a crypto exchange service allowing users to buy Bitcoin (BTC) and Ether (ETH).

The firm officially announced on Wednesday that PicPay clients can now buy, sell and store two major cryptocurrencies, BTC or ETH, directly on its app. PicPay pointed out that its choice was due to the real use cases provided by these digital assets, including security and many other benefits. The firm stated:

“Blockchain technology, which is behind coins like Bitcoin and Ethereum, is already used in the real estate sector, the insurance industry and even the art market, through non-fungible tokens.”

The new crypto feature is enabled through a partnership with the major crypto company Paxos and allows customers to use Paxos-issued United States dollar-backed stablecoin USDP. Acting as a broker and custodian, Paxos is known for cooperating with some of the world’s biggest traditional financial firms like PayPal and Venmo.

The integration marks the first move for PicPay to introduce its 30 million customers with digital assets and help them understand how people can benefit from the potential of the growing asset class. The Brazilian fintech app is working on a feature to allow their clients to pay with crypto as well.

“PicPay is one of the most disruptive players in payments in Brazil, and our goal is to lead the growth of the crypto market,” PicPay’s head of crypto Bruno Gregory said. One of the major challenges associated with crypto adoption is eliminating its complexity by expanding information about the technology so that everyone can take advantage of the new asset class, he added.

Related: Brazil beams Bitcoin from space: A case for BTC satellite nodes

Cryptocurrency adoption in Brazil has been taking off recently, with major local crypto companies like Mercado Bitcoin actively expanding operations. Local lawmakers have been working to introduce crypto-friendly regulation, initiating a bill to legalize crypto payments in June 2022.

Shiba Inu eyes 50% rally as SHIB price enters ‘cup-and-handle’ breakout mode

Crypto Exchange Hotbit Suspends Service After Law Enforcement Freezes Its Funds, Subpoenas Senior Managers

Crypto Exchange Hotbit Suspends Service After Law Enforcement Freezes Its Funds, Subpoenas Senior ManagersCrypto exchange Hotbit has announced the suspension of trading, deposits, withdrawals, and funding on its platform. The exchange said law enforcement has frozen some of its funds and subpoenaed some senior managers as they investigate a criminal case involving the exchange’s former employee. Hotbit Suspends Trading, Deposits, Withdrawals Cryptocurrency exchange Hotbit announced the suspension of […]

Shiba Inu eyes 50% rally as SHIB price enters ‘cup-and-handle’ breakout mode

Indian law enforcement accuses WazirX exchange of aiding in laundering of $130M

India’s Enforcement Directorate, which investigates financial crime, has frozen WazirX bank accounts while it looks at transfers from instant loan companies to international wallets.

India’s Enforcement Directorate (ED), the agency responsible for financial crimes, is looking at cryptocurrency exchanges suspected of processing transactions that sent more than 10 billion rupees, or about $130 million, from firms under investigation to international wallets. At least ten crypto exchanges are allegedly involved, according to an official who spoke to The Economic Times, and bank accounts of exchange WazirX have been frozen, the newspaper reported.

Transactions of up to 1 billion rupees, or $1.3 million, were allegedly made in the names of people with no connections to the money by companies under investigation in a case involving instant loans. Thes companies often had ties to China. Even though Know Your Customer/Anti-Money Laundering (KYC/AML) procedures showed the transactions to be suspicious, no enhanced due diligence was performed and no suspicious transaction reports were filed with the ED, the agency claimed.

Related: Crypto tax deters 83% Indian investors from crypto trading: WazirX report

The ED froze WazirX bank accounts, containing about 647 million rupees or $8.1 million last week, alleging that the exchange had assisted about 16 fintech companies under investigation for money laundering. WazirX released a statement on its blog Tuesday “on behalf of Zanmai Labs Pvt. Ltd,” which, it said, co-operates with WazirX along with Binance, saying that all users are subject to KYC/AML processes and the exchange cooperates fully with law enforcement. “For every transaction, we are able to produce the KYC details of the relevant user,” the blog post said.

The accusations against WazirX have drawn attention to its opaque ownership structure and the role Binance plays in it. Binance CEO Changpeng Zhao (CZ) tweeted Aug. 5 that his company did not complete the acquisition of WazirX announced in 2019. The next day, in an exchange with WazirX cofounder Nischal Shetty, CZ stated, “we asked for transferring of WazirX system source code, deployment, operations, as recently as Feb this year. This was refused by WazirX. Binance do NOT have control on their systems.”

This investigation was not the first time WazirX has been accused of inadequate AML measures. In 2021, WazirX was implicated by the ED in the money laundering of illegal online gambling proceeds, also with a Chinese connection.

Shiba Inu eyes 50% rally as SHIB price enters ‘cup-and-handle’ breakout mode

BREAKING: Curve Finance team warns users to avoid using site until further notice

A still undefined exploit of the site’s frontend appears to have resulted in the theft of over $573K USD so far.

On Aug 9, automated market maker Curve Finance took to Twitter to warn users of an ongoing exploit on its site. The team behind the protocol noted that the issue, which appears to be an attack from a malicious actor, was affecting the service’s nameserver and frontend.

Curve stated via Twitter that its exchange — which is a separate product — appeared to be unaffected by the attack, as it uses a different DNS provider. The team still encouraged users to exercise caution when interacting with the site, however.

Twitter user LefterisJP speculated that the alleged attacker had likely utilized DNS spoofing to execute the exploit on the service:

Other participants in the DeFi space quickly took to Twitter to spread the warning to their own followers, with some noting that the alleged thief appears to have stolen more than $573K USD at time of publication.

Back in July, analysts suggested that they were favorably eying Curve Finance, despite the market downturn which continues to affect the larger DeFi space. Among the reasons cited by researchers at Delphi Digital for their bullishness, they specifically called out the platform's yield opportunities, the demand for CRV deposits, and the protocol's revenue generation from stablecoin liquidity.

This followed the platform's release of a new “algorithm for exchanging volatile assets” in June, which promised to allow low-slippage swaps between “volatile” assets. These pools use a combination of internal oracles relying on Exponential Moving Averages (EMAs) and a bonding curve model, previously deployed by popular AMMs such as Uniswap.

This story is in development, and will be updated as more information becomes available.

Shiba Inu eyes 50% rally as SHIB price enters ‘cup-and-handle’ breakout mode

Binance CEO Meets Central African Republic Leader — President Touadéra Says Meeting Was a ‘Truly Remarkable Moment’

Binance CEO Meets Central African Republic Leader — President Touadéra Says Meeting Was a ‘Truly Remarkable Moment’After meeting the leaders of Ivory Coast and Senegal in July, the CEO of the cryptocurrency Binance, Changpeng Zhao, revealed in a tweet that he had recently met the President of the Central African Republic (CAR). Some of the topics discussed by the two were focused on “education, investments and crypto adoption in the Central […]

Shiba Inu eyes 50% rally as SHIB price enters ‘cup-and-handle’ breakout mode

Voyager plans to resume cash withdrawals on Aug. 11

The lending firm said clients with U.S. dollars in their accounts could withdraw up to $100,000 in a 24-hour period, with the funds received in 5–10 business days.

Crypto lender Voyager Digital Holdings has reported users may be able to make cash withdrawals from the app more than a month after suspending trading, deposits, withdrawals and loyalty rewards.

In a Friday blog post, Voyager said clients with U.S. dollars in their accounts could withdraw up to $100,000 in a 24-hour period starting as early as Aug. 11, with the funds received in 5–10 business days. The announcement followed a judge ruling on Thursday the crypto lending firm was cleared to return $270 million in customer funds held at the Metropolitan Commercial Bank in New York.

“Requests will be processed as quickly as possible but will require some manual review, including fraud reviews and account reconciliation, and timing will depend, in part, upon the individual banks to which customers transfer their cash,” said Voyager.

Voyager announced in June that it had entered into a $500 million loan agreement with trading firm Alameda Research due to losses from its exposure to Three Arrows Capital, which has also reportedly been ordered liquidated by a British Virgin Islands court. The crypto lending firm filed for bankruptcy under Chapter 11 in the Southern District Court of New York on July 5, saying at the time the move was part of a reorganization plan that would eventually allow users access to their accounts again. 

Related: Voyager can't guarantee all customers will receive their crypto under proposed recovery plan

Though Voyager previously rejected a buyout bid from Alameda and FTX in July — saying it was not “value-maximizing” for its customers — the firm said on Friday it was still considering a potential sale of the company. Following the court approving bidding procedures, Voyager said bids will be due by Aug. 26 with a hearing on the potential sale expected on Sept. 8.

Shiba Inu eyes 50% rally as SHIB price enters ‘cup-and-handle’ breakout mode

Indian authorities freeze $8.1M in WazirX funds as part of AML investigation

The Directorate of Enforcement of India alleged that WazirX "actively assisted around 16 accused fintech companies in laundering the proceeds of crime using the crypto route."

India’s Directorate of Enforcement, or ED, has announced it froze roughly $8.1 million in funds and conducted a search connected to cryptocurrency exchange WazirX as part of an investigation into instant personal loan fraud.

In a Friday announcement, the Directorate of Enforcement alleged WazirX facilitated transactions by unnamed fintech firms “to purchase crypto assets and then launder them abroad” as part of a scheme involving Chinese-backed companies circumventing India’s licensing regulations. In its investigation, the ED said it ordered WazirX bank accounts containing 646.7 million Indian rupees — roughly $8.1 million at the time of publication — frozen and conducted a search connected to co-founder Sameer Mhatre.

According to the regulator, the investigation was still ongoing. However, the ED claimed the crypto exchange had “lax KYC norms” and “loose regulatory control” of transactions between WazirX and Binance, and did not record information needed to verify from where funds were coming to purchase crypto used in the alleged fraud.

“Despite giving repeated opportunities, WazirX failed to give the crypto transactions of the suspect fintech APP companies and reveal the KYC of the wallets,” said the ED, adding:

“WazirX is not able to give any account for the missing crypto assets. It has made no efforts to trace these crypto assets. By encouraging obscurity and having lax AML norms, it has actively assisted around 16 accused fintech companies in laundering the proceeds of crime using the crypto route.”

In a Friday Twitter thread, Binance CEO Changpeng Zhao said the firm did "not own any equity in Zanmai Labs, the entity operating WazirX and established by the original founders." He added that "Binance only provides wallet services for WazirX as a tech solution," while WazirX was responsible for KYC and other operations on the exchange. 

Related: Indian regulator probes crypto exchange for alleged forex law violations

With the exodus of many crypto firms in China following a regulatory crackdown, many companies have reportedly turned to the markets in India. The ED reported that some fintech firms “backed by Chinese funds” had “piggybacked” on Indian companies with defunct non-banking financial company licences to offer lending services to residents.

The ED took similar action against WazirX in June 2021, ordering the crypto exchange to show cause related to transactions of a money-laundering investigation into illegal online betting applications involving Chinese nationals. WazirX director Nischal Shetty said at the time that the exchange went “beyond [its] legal obligations by following Know Your Customer (KYC) and Anti Money Laundering (AML) processes and have always provided information to law enforcement authorities whenever required.”

Cointelegraph reached out to WazirX, but did not receive a response at the time of publication.

Shiba Inu eyes 50% rally as SHIB price enters ‘cup-and-handle’ breakout mode