Connect with us

News

Nasdaq Enters the Race for Bitcoin Futures

Published

on

Nasdaq

Nasdaq Inc. has announced plans to introduce bitcoin futures in the near term, a sign that the the cryptocurrency arms race was intensifying among major exchanges.

The New York-based exchange expects to roll out bitcoin futures as early as next year, according to Bloomberg. In doing so, Nasdaq becomes the third major U.S. exchange to enter the burgeoning cryptocurrency market. A person familiar with the matter said the futures contract will trade on the Nasdaq Energy Futures (NFX) market, and become available as early as the second quarter.

NFX trades primarily in the energy markets.

Stiff Competition

By introducing bitcoin futures, Nasdaq will come up against stiff competition from the likes of CME Group and CBOE Inc. The Chicago-based options exchanges are planning to roll out their futures contract much sooner, and with greater institutional backing. However, that doesn’t mean Nasdaq won’t offer investors something unique.

According to Bloomberg, Nasdaq plans to differentiate itself from the competition by relying on more data for pricing the cryptocurrency. Pricing information will be drawn from VanEck, which recently pulled out of the market for a bitcoin exchange-traded fund (ETF). VanEck will supply Nasdaq pricing information from more than 50 sources. By comparison, CME will rely on four sources and CBOE just one.

The Nasdaq futures contract is also said to be better equipped to handle hard forks, a growing phenomenon in the cryptocurrency market. Hard forks are usually initiated when miners disagree about a planned upgrade in bitcoin architecture, leading to the creation of a new cryptocurrency. That’s how Bitcoin Gold (BTG) and Bitcoin Cash (BCH) came into existence.

The person familiar with Nasdaq’s plans said the exchange will reinvest proceeds from the fork back into the original cryptocurrency. This will make the process more seamless from the perspective of investors. This is particularly noteworthy, given that forks are highly volatile events.

Nasdaq’s entrance into the bitcoin market provides another legitimacy boost for the alternative asset. Once viewed as a shady and esoteric asset, bitcoin has catapulted into the mainstream in relatively short order.

Bitcoin prices have surged more than 900% year-to-date, with prices exceeding $11,000 on Wednesday for the first time ever. The uptrend is being fueled in part by expectations of greater institutional demand for the cryptocurrency stoked by CME and CBOE’s plans to initiate futures contracts.

Disclaimer: The author owns bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.

Featured image courtesy of Shutterstock. 

Important: Never invest (trade with) money you can't afford to comfortably lose. Always do your own research and due diligence before placing a trade. Read our Terms & Conditions here. Trade recommendations and analysis are written by our analysts which might have different opinions. Read my 6 Golden Steps to Financial Freedom here. Best regards, Jonas Borchgrevink.

Rate this post:

Important for improving the service. Please add a comment in the comment field below explaining what you rated and why you gave it that rate. Failed Trade Recommendations should not be rated as that is considered a failure either way.
0 votes, average: 0.00 out of 50 votes, average: 0.00 out of 50 votes, average: 0.00 out of 50 votes, average: 0.00 out of 50 votes, average: 0.00 out of 5 (0 votes, average: 0.00 out of 5)
You need to be a registered member to rate this.
Loading...

4.6 stars on average, based on 497 rated postsSam Bourgi is Chief Editor to Hacked.com, where he specializes in cryptocurrency, economics and the broader financial markets. Sam has nearly eight years of progressive experience as an analyst, writer and financial market commentator where he has contributed to the world's foremost newscasts.




Feedback or Requests?

News

Government of Malta Passes New Cryptocurrency Legislation

Published

on

Malta’s embrace of digital currency came full circle Tuesday after lawmakers passed three separate crypto-related bills that could transform the island nation into a blockchain powerhouse.

‘First in the World’

CCN broke the news Wednesday that all three bills have gone through Malta’s legislative process, putting them on track for full implementation. The second reading of the bills was carried out Tuesday night in a plenary session that began at 6:00 p.m. local time, parliamentary records show.

The approved bills include the Virtual Financial Assets Act (VFA),  the Innovative Technology Arrangements and Services Act and  the Malta Digital Innovation Authority Act (MDIA).

VFA deals specifically with the regulation of initial coin offerings (ICOs), ordering new token projects to publish whitepapers and detailed descriptions of the entire project.

The  Innovative Technology Arrangements and Services bill governs blockchain startups and other businesses looking to leverage distributed ledger technology.

MDIA will effectively serve as an industry-specific governing body that will support the development and implementation of blockchain-based regulations.

Parliamentary Secretary Silvio Schembri said the bills were a ‘first in the world’ development and also announced the person heading the newly created MDIA:

“Today Maltese Parliament unanimously approved 3 bills on DLT/blockchain, a 1st in the World. Honored to have driven these bills. Announced that Mr Stephen McCarthy will be the CEO of the new #Malta Digital Innovation Authority.”

Blockchain Island

Malta has quickly emerged as a prominent player in the blockchain industry, having already lured major exchanges and businesses to its borders. Binance has announced plans to relocate to the tiny Mediterranean nation and earlier this month disclosed that it has opened a bank account in the country. OKEx, another prominent exchange, has also announced plans to make Malta its new home.

Binance and OKEx are the world’s largest cryptocurrency exchanges by trading volume, each processing more than $950 million in daily transactions.

Binance’s decision to relocate was largely driven by its desire to enable fiat-to-crypto deposits and withdrawals, something Malta says it will accommodate through local bank partnerships.

Changpeng Zhao, Binance’s CEO, has described Malta’s regulatory stance toward blockchain and cryptocurrency as “logical, clear and forward-thinking,” adding that “dozens” of similar exchanges are planning to relocate to the country.

Disclaimer: The author owns bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.

Featured image courtesy of Shutterstock.

Important: Never invest (trade with) money you can't afford to comfortably lose. Always do your own research and due diligence before placing a trade. Read our Terms & Conditions here. Trade recommendations and analysis are written by our analysts which might have different opinions. Read my 6 Golden Steps to Financial Freedom here. Best regards, Jonas Borchgrevink.

Rate this post:

Important for improving the service. Please add a comment in the comment field below explaining what you rated and why you gave it that rate. Failed Trade Recommendations should not be rated as that is considered a failure either way.
2 votes, average: 5.00 out of 52 votes, average: 5.00 out of 52 votes, average: 5.00 out of 52 votes, average: 5.00 out of 52 votes, average: 5.00 out of 5 (2 votes, average: 5.00 out of 5)
You need to be a registered member to rate this.
Loading...

4.6 stars on average, based on 497 rated postsSam Bourgi is Chief Editor to Hacked.com, where he specializes in cryptocurrency, economics and the broader financial markets. Sam has nearly eight years of progressive experience as an analyst, writer and financial market commentator where he has contributed to the world's foremost newscasts.




Feedback or Requests?

Continue Reading

Breaches

Bithumb Hack Prompts South Korea to Hasten Cryptocurrency Regulation

Published

on

South Korea’s second-largest cryptocurrency exchange suffered a security breach on Wednesday, prompting local authorities to hasten their adoption of stricter regulations.

Bithumb Hack

Bithumb confirmed Wednesday that cyber criminals “seized” 35 billion won ($31.6 million) worth of digital cash in an apparent attack targeting user accounts. The exchange halted deposits at approximately 00:53 UTC and began a wholesale transfer of funds to cold storage to prevent further theft.

“We checked that some of cryptocurrencies valued about $30,000,000 was stolen,” Bithumb tweeted Wednesday. “Those stolen cryptocurrencies will be covered from Bithumb and all of assets are being transferring to cold wallet.”

The exchange has confirmed that it will fully compensate affected users.

An earlier update on Bithumb’s Twitter account reveals that a security upgrade was being carried out last week where it transferred to a cold wallet for safe storage. However, it is unclear whether the upgrade is linked to the theft.

In terms of trade volume, Bithumb is the world’s sixth-largest cryptocurrency exchange. The platform processed more than $355 million worth of digital currency transactions in the last 24 hours, according to data provided by CoinMarketCap.

Bithumb is the second South Korean exchange this month to have been hacked. Less than two weeks ago, more than $37 million was compromised in a coordinated attack on Coinrail. The attackers went after the exchange’s coins and lesser-known ERC-20 tokens.

South Korea to Boost Regulation

South Korea’s financial regulators have announced plans to implement stricter guidelines for virtual exchanges, and to do so more expeditiously than previously planned. The announcement, which came on the heels of the Bitthumb attack, follows months of deliberation about whether to regulate cryptocurrency exchanges like banks and other financial institutions.

As CCN notes, cryptocurrency exchanges are presently regulated as “communication vendors,” which means virtually anyone can launch an online trading platform. This designation prevents direct oversight of digital currency exchanges by financial regulators.

New crypto regulations are expected to be rolled out in the coming months, which will put South Korea’s financial authorities on par with their counterparts in the United States and Japan. In those countries, cryptocurrency exchanges must comply with laws pertaining to security and consumer protection.

Park Yong-kin, a committee member of the National Assembly, has championed stricter regulations since last year. According to local media, his views are now being echoed by other government officials.

Disclaimer: The author owns bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.

Featured image courtesy of Shutterstock.

Important: Never invest (trade with) money you can't afford to comfortably lose. Always do your own research and due diligence before placing a trade. Read our Terms & Conditions here. Trade recommendations and analysis are written by our analysts which might have different opinions. Read my 6 Golden Steps to Financial Freedom here. Best regards, Jonas Borchgrevink.

Rate this post:

Important for improving the service. Please add a comment in the comment field below explaining what you rated and why you gave it that rate. Failed Trade Recommendations should not be rated as that is considered a failure either way.
1 vote, average: 5.00 out of 51 vote, average: 5.00 out of 51 vote, average: 5.00 out of 51 vote, average: 5.00 out of 51 vote, average: 5.00 out of 5 (1 votes, average: 5.00 out of 5)
You need to be a registered member to rate this.
Loading...

4.6 stars on average, based on 497 rated postsSam Bourgi is Chief Editor to Hacked.com, where he specializes in cryptocurrency, economics and the broader financial markets. Sam has nearly eight years of progressive experience as an analyst, writer and financial market commentator where he has contributed to the world's foremost newscasts.




Feedback or Requests?

Continue Reading

News

Chinese President Xi Jinping Comes to Terms With Blockchain

Published

on

Chinese President Xi Jinping may not like cryptocurrencies, but he is a fan of the blockchain. For a nation that has cracked down on the cryptocurrency industry more than any other jurisdiction, as evidenced by a ban on initial coin offerings (ICOs) and bitcoin trading in the mainland as well as a target on bitcoin mining, the process by which more coins are created, his acceptance of the blockchain is surprisingly refreshing. He reportedly said:

“A new generation of technology represented by artificial intelligence, quantum information, mobile communications, internet of things and blockchain is accelerating breakthrough applications.”

While President Xi Jinping’s celebration of the blockchain is juxtaposed by the country’s intolerance for cryptocurrencies, it’s a step in the right direction. He said he wants China to “become the global center” for technological innovation.

China has seemingly been able to separate the blockchain from cryptocurrencies considering that in spite of the broader ban in Beijing blockchain startups and government officials have been working together to unlock the potential of the technology in the region, as CNBC reported. Meanwhile, as anecdotal evidence, hundreds of Chinese locals attended a recent blockchain conference in the United States where a pair of sessions were given in Mandarin.

But Bobby Lee, who is the co-founder of China’s maiden bitcoin exchange BTCC, which has since rebranded and whose China trading capabilities have been shuttered, suggests that the lines surrounding blockchain technology often get blurred.

Technological Revolution

President Xi Jinping in his speech to the Chinese Academies of Sciences and Engineering acknowledged the feverish pace at which technological innovation has been unfolding in the 21st century, saying: “A new round of scientific and industrial revolution is reconstructing the global innovation map and reshaping the global economic structure.”

But in key ways, Xi has shut the door to that innovation by clamping down on what once comprising the lion’s share of bitcoin trading. But if you ask Lee, he reportedly believes that at some point, the ban on bitcoin trading will be eased and China could adopt a licensing process, he’s just not sure when.

Blockchain pioneers including the likes of Wences Casares and Joseph Lubin have offered perspective on cryptocurrencies that might serve Xi well, with Lubin recently saying that “cryptocurrencies should remain unfettered” as it relates to regulation. Casares, the CEO of blockchain startup Xapo, once described the harmony in which the blockchain and bitcoin are designed to operate, saying: “If you were to remove the bitcoin, miners would disappear and so would the blockchain.”

Featured image courtesy of Shutterstock.

Important: Never invest (trade with) money you can't afford to comfortably lose. Always do your own research and due diligence before placing a trade. Read our Terms & Conditions here. Trade recommendations and analysis are written by our analysts which might have different opinions. Read my 6 Golden Steps to Financial Freedom here. Best regards, Jonas Borchgrevink.

Rate this post:

Important for improving the service. Please add a comment in the comment field below explaining what you rated and why you gave it that rate. Failed Trade Recommendations should not be rated as that is considered a failure either way.
2 votes, average: 4.50 out of 52 votes, average: 4.50 out of 52 votes, average: 4.50 out of 52 votes, average: 4.50 out of 52 votes, average: 4.50 out of 5 (2 votes, average: 4.50 out of 5)
You need to be a registered member to rate this.
Loading...

4.6 stars on average, based on 23 rated postsGerelyn has been covering ICOs and the cryptocurrency market since mid-2017. She's also reported on fintech more broadly in addition to asset management, having previously specialized in institutional investing. She owns some BTC and ETH.




Feedback or Requests?

Continue Reading

5 of 15 Seats Available

Learn more here.

Recent Comments

Recent Posts

A part of CCN

Hacked.com is Neutral and Unbiased

Hacked.com and its team members have pledged to reject any form of advertisement or sponsorships from 3rd parties. We will always be neutral and we strive towards a fully unbiased view on all topics. Whenever an author has a conflicting interest, that should be clearly stated in the post itself with a disclaimer. If you suspect that one of our team members are biased, please notify me immediately at jonas.borchgrevink(at)hacked.com.

Trending