Chinese Crypto Giant Huobi Launches Billion-Dollar Blockchain Fund

Huobi Labs, a blockchain incubator that is part of the Huobi exchange, has signed an agreement with Tianya Community to build a “Global Cultural and Creative Blockchain Lab” in Hainan Province, China, alongside the launch of a billion-dollar industry fund that aims to back the blockchain industry globally.

Under the background of the “new era of Chinese socialism characteristics,” the government has given Hainan Special Economic Zone a new mission of economic reformation. President Xi Jiping, personally planned, deployed and promoted the national strategy.

Huobi To Support National Strategy

Huobi China will support the national-level strategy and will use its technology, resources, talents and capital in the global blockchain industry to contribute to Hainan Special Economic Zone development and explore the construction of an international free trade port, the company announced on its website.

This year, the Huobi Group will:

1. Move Huobi China headquarters (Not Huobi Global, Nor Huobi Pro) to Hainan in the Hainan Ecological Software Park.
2. Build 10 global blockchain labs in collaboration with top global industry companies.
3. Build a global blockchain research institute with the world’s top universities.
4. Build a 40,000-square-meter blockchain incubator.
5. Create a billion-dollar global blockchain industry fund.

Huobi Seeks Government Partnership

Huobi was among China’s biggest cryptocurrency trading platforms prior to crippling domestic regulations that effectively curtailed the industry. After closing its Chinese trading platform in October, Huobi founder Leon Li summed up China’s curtain call as a “watershed moment” for the industry before launching Huobi Pro, its international trading platform headquartered in Singapore.

Huobi’s recent announcement to offer its own token, dubbed “Huobi Token” (HT), is another step in the former Chinese exchange giant’s diversification strategy, which includes an expansion into major cryptocurrency markets in South Korea and Japan.

The utility token is based on the Ethereum blockchain’s ERC-20 standard and will be capped at 500 million tokens. ‘Huobi Token, short for “HT”, is a token system based on Blockchain launching and management,’ the firm explained in a post on its website.

Bittrex Will Remove 82 Tokens Due to Lack of Liquidity in Small Cryptocurrencies

Bittrex, one of the largest cryptocurrency exchanges which also powers UpBit, South Korea’s second biggest exchange operated by Kakao subsidiary Dunamoo, has stated that it will remove 82 tokens from its trading platform.

Token Removal

“Occasionally, there are circumstances that lead Bittrex to remove a coin’s wallet or market from the Bittrex Exchange,” said the Bittrex team. “We will be removing the wallets included in the list below on March 30, 2018. Once these wallets are removed, we will no longer be able to recover these coins. Users must withdrawal their coins before March 30, 2018, in order to keep them.”

The Bittrex team also stated that several cryptocurrencies have broken blockchains that have disabled users from withdrawing their balances.

“The coins marked with an asterisk (*) have broken blockchains or wallets that will not allow withdrawals,” said Bittrex, referring to cryptocurrencies like CRYPT.

On leading trading platforms, it is difficult for exchanges to sustain a stable order book if a cryptocurrencies does not have enough liquidity and demand from users of the platform. Lack of liquidity leads to price manipulation, which can be initiated with funds as little as $50,000, as shown in the recent study done by cryptocurrency trader Sylvain Ribes.

By using a method called slippage–a process of selling $50,000 worth of a particular cryptocurrency on a trading platform to measure its impact on the price–, Ribes evaluated the liquidity of digital assets on major exchanges like OKEx and GDAX. While GDAX had a slippage of less than 1 percent, on OKEx and other cryptocurrency-only exchanges with low market cap or volume cryptocurrencies, each sale of $50,000 led to a 2 to 10 percent drop in the market value of cryptocurrencies.

“A bit of wash trading and artificial volume inflation is to be expected in a thoroughly unregulated market. What I did not expect was the magnitude of the fraud,” said Ribes. “Many pairs, albeit boasting up to $5 million volumes, would cost you more than 10% in slippage, should you want to liquidate a mere $50k in assets,” he added.

Wash trading and price manipulation is common on major trading platforms with small cryptocurrencies or low-volume cryptocurrency pairs. The US Securities and Exchange Commission (SEC) recently warned investors against pump and dump schemes that are often seen in the cryptocurrency market.

“Fraudsters often try to use the lure of new and emerging technologies to convince potential victims to invest their money in scams. These frauds include ‘pump-and-dump’ and market manipulation schemes involving publicly traded companies that claim to provide exposure to these new technologies,” SEC’s statement read.

SEC’s Involvement

Earlier this month, the SEC requested cryptocurrency exchanges to either de-list ICO tokens or register with the agency in order to continue providing support for tokens. For US-based cryptocurrency exchanges like Bittrex, it is mandatory to register with the SEC before processing trades involving tokens.

Throughout next few months, many major exchanges will likely de-list or remove small cryptocurrencies that are prone to pump and dump schemes, and market manipulation.

Could Ripple, Bitcoin and Ethereum return to previous high?

CRYPTOCURRENCIES such as Bitcoin, Ripple and Ethereum are all in the green today after a turbulent start to the year. But could all three top tokens return to their previous record highs? Here are the latest price predictions.

Bitcoin had a good weekend after a poor start to 2018, dropping to under $6,000 at the start of February.

As of Marsh 17, CryptoCoinHubs  highlights a peak up to $8,150  at the time of writing.

Ethereum is up at $600  with Ripple  at $0,66. While LiteCoin , a Litecoin is currently worth $160

The rises come after a damaging month for cryptocurrencies as a whole. After peaking at about $834billion on January 7, the market plunged an eye-watering 66 percent, wiping out some $553billion, according to CoinMarketCap.

But with Bitcoin, Ripple and Ethereum all back in the green today, many crypto experts are confident that the market can reach new heights this year.

Could Ripple, Bitcoin and Ethereum return to previous high?

Thomas Glucksmann of GateCoin told CNBC: “Increasing regulatory recognition of cryptocurrency exchanges, the entrance of institutional capital and major technology developments will contribute to the market’s rebound and push cryptocurrency prices to all new highs this year.”

He added bitcoin, the biggest and best-known cryptocurrency, could be “pushing $50,000 by December”.

Jamie Burke, CEO at Outlier Ventures, is bullish about the cryptocurrency market, insisting it has the potential to reach $1trillion.

He told CNBC: “We believe after February the market will likely go on a bull run comparative if not greater than last year potentially reaching the trillion-dollar mark before a proper crypto winter sets in where the market becomes more focused on proper market fundamentals.”

And Panos Mourdoukoutas, writing for Forbes, suggested that after “ being in a deep correction for a few weeks, Bitcoin, Ethereum, Ripple, and Litecoin have been coming back nicely over the last week, gaining 19.87%, 10.48%, 30.57%, and 53.90% respectively”.

He added the crypto turnaround after the recent crash comes as equity markets rebounded from the sell-off early in the month.

And he also wrote the cryptocurrency “technicals” remain strong, saying “83 cryptocurrencies [are] advancing and only 17 declining among the top 100 listed currencies.”

Dennis de Jong, managing director of UFX, says he believes cryptocurrencies remain strong and will not plummet for good in 2018.

He told Express.co.uk: “It may not capture the headlines like the volatility of bitcoin has in recent months, but there have been considerable advances in the underlying technology of the blockchain.

“Many industries are already live with, or in the process of testing, blockchain use cases that have potentially huge knock-ons for data management and security advancements.

“The relationship between crypto usage and investment in the space underpins bitcoin’s value to an extent, and for this reason I can’t see it going anywhere soon.”

But as central banks attempt to kickstart regulation – Citibank India being the latest financial authority this week to ban cryptocurrency payments on debit or credit card – some investors believe the market slump could be an indicator of an overall crash in all financial markets.

Bleakley Financial Group CIO Peter Boockvar said: “If bitcoin resumes its decline here, I think that equity investors should pay attention.”

Ripple Could Be The Next Bitcoin

Bitcoin has made some investors very rich. Those who purchased the digital currency back in the old days when it was trading for a few dollars. And it could make more investors rich provided that it continues to rise to new highs.

But that’s unlikely, as large percentage gains are hard to come by at these price levels—north of $10,000.

Coin Price* Market Cap
Bitcoin (BTC) $10,751.90 $181,767,449,663
Ethereum (ETH) $788.19 77,266,069,902
Ripple (XRP) $0.91 35,513,987,185
*As of Wednesday, 11 a.m.

Still, there’s Ripple, trading below a $1. And there are experts who believe that it could be the next Bitcoin, one day.

Craig Cole of CryptoMaps is one of those experts.”Ripple just might be the catalyst in making cryptocurrency more mainstream,” says Cole.

Its faster transaction speeds and lower fees make it easier for financial systems to embrace the virtual currency, which is partly why Ripple’s value has increased dramatically just this year. Ripple is helping financial institutions save money and it is only expected to become even more prevalent in payment flows. The virtual currency is certainly on the rise and has the potential to be the first token to truly disrupt an industry, and if it does, expect XRP to reach Bitcoin-like levels of ubiquity in the near future.

John-Paul McCaffrey, Associate Director ITRC, Long Island University, agrees. “Although currently there isn’t a platform to exchange fiat currency for Ripple (XRP) this may change sooner than you think,” says McCaffrey. “There is speculation that Coinbase will be adding this to their list of cryptocurrencies they have available for fiat exchange. Providing easy liquidity through Coinbase alone will attract new interest in XRP.”

That will take some time says Roman Guelfi-GibbsCEO, Lead Systems Designer for Pinnacle Brilliance Systems Inc.

Ripple certainly has the potential to move up a notch in 2018, but I think it will be more likely in 2019. As the market observes more projects being coded in other algorithms such as XRP, ETH will likely take a backseat to the next big coin/token. It will take some time for the markets to digest this, so I am projecting 2019 to be the likely time for it to take place. Of course, with crypto, anything can happen, so watch closely.

Not everyone is that enthusiastic about the prospects of Ripple catching up with Bitcoin. Like Shidan Gouran, president of Global Block Chain Technologies.

Ripple is unlikely to go up by one or two notches in the cryptocurrency world in 2018, and this is the case for three reasons. The first reason is the sheer dollar volume that separates each of the three currencies in the top positions, in terms of their market cap. Bitcoin is at over $191 billion, Ethereum is at over $84 billion, and Ripple is at over $35 billion. To displace Ethereum would require a deficit of about $49 billion to be closed (which is more than double Iceland’s entire national GDP). The second reason is that the use cases for Ripple are mostly for the trade of assets, not for day-to-day spending. As consumer awareness of cryptocurrencies will rise significantly in 2018 and beyond, the interest of the masses will be on cryptocurrencies that can be used as currencies, not just for investment transactions. Finally, the third reason is that because Ripple cannot be bought with fiat currencies, one must purchase existing cryptocurrencies such as Bitcoin and Ethereum to purchase XRP. This goes on to feed demand for Bitcoin and Ethereum, and will only solidify their positions as the top two cryptocurrencies on the market.

Actually, the last point is no longer true. Recently, the French exchange bitit.io added Ripple and Litecoin to its coin offerings. This means that Ripple can now be purchased directly. At least that’s what the site claims, though I couldn’t verify how easy the process is and what are the relevant fees.

Still, Ripple investors have to wait for quite some time before they replicate the success of early Bitcoin investors, provided that it gains traction by users—and that big governments, big banks or hackers do not crush cryptocurrencies across the board.

[Ed. note: Investing in cryptocoins or tokens is highly speculative and the market is largely unregulated. Anyone considering it should be prepared to lose their entire investment. Disclosure: I don’t own any Bitcoin.]

Belarus Wants to Run a Global Crypto Hub

Belarus President Alexander Lukashenko, who’s labored for years under the title of Europe’s last dictator, is making a bid for a shiny new image as the continent’s freewheeling cryptocurrency king.

 Lukashenko, who’s ruled the former communist republic that’s wedged between Poland and Russia since 1994, signed a decree on Friday offering tax breaks and legal incentives for dealing in digital currencies in an effort to turn Belarus into an international tech haven.
 “Belarus will become the first government in the world that opens wide opportunities for the use of blockchain technology,” Lukashenko said in a statement in his website. “We have every chance of becoming a regional center in this area.”
 The decree legalizes business based on blockchain — the technology underlying cryptocurrencies such as bitcoin — and all digital “tokens,” as Belarus seeks to become a global crypto coin hub for raising funds via so-called initial coin offerings, or ICOs. Revenue and profit from all operations using digital tokens will be exempt from taxes until 2023, while there’ll be measures to simplify the flow of venture capital between Belarus and other countries, according to a summary of the decree published by Viktor Prokopenya, one of the businessmen lobbying for the legislation

Belarus is seeking to capitalize on a thriving tech industry that’s grown up there in recent years as young programmers have created products that appeal far beyond the borders of the former Soviet republic. The phone messaging application Viber was developed in Belarus as were the NYSE-listed offshore programming company EPAM Systems Inc. and the popular online gaming service World of Tanks, which made founder Victor Kislyi the country’s first billionaire.

Sandbox Haven

Even as Alphabet Inc., owner of Google, and Facebook Inc. snapped up Belarus-made startups, the country’s restrictive business environment made it all but impossible for venture capital to flow freely into promising ideas. Lukashenko’s new law may change that.

Belarus plans to cloak its repressive reputation with a “sandbox” — the creation of a legal tech enclave where companies working with digital currencies will pay no taxes and rely on some elements of English law in commercial matters, a radical innovation for a country whose security service is still called the KGB.

The sandbox would be set up within the so-called Hi-Tech Park, which the authorities opened in 2005 near the capital, Minsk, to try to spur innovation. Today, most of the park’s  residents are offshore software companies taking advantage of cheap and skilled local programmers as well as reduced taxes to serve foreign clients.

’Tech Nation’

Lukashenko said this month that his goal in signing the decree is to make Belarus a “tech nation.” The country’s major technology companies lobbied for the legal changes, which also gained support among government officials and in the central bank.

The novelty of the proposed law is that Belarus would provide legal clarity for dealing in digital currencies which is yet unseen in other countries, said Denis Aleinikov, whose law firm Aleinikov and Partners helped to draft the decree. It also establishes a direct legal link between issuers of tokens and their obligations toward the holders.

To protect against fraudsters, the regulation would set capital requirements for operators of cryptocurrency exchanges. It would also introduce “smart contracts” in Belarus — self-executable computer-coded applications that serve as an alternative to traditional paper agreements.

“The decree has been written exactly the way our tech community wanted it,” Vsevolod Yanchevsky, head of Hi-Tech Park, said in an interview in Minsk. “Belarus will be one of the best jurisdictions in the world for cryptocurrencies and blockchain.”

South Korea says no plans to ban cryptocurrency exchanges

South Korea’s finance minister said the government has no plans to shut down cryptocurrency trading, welcome news for investors worried that authorities might go as far as China’s tough action in blocking virtual coin platforms.

The comment by Kim Dong-yeon on Wednesday comes as traders at home and around the world have been spooked by conflicting comments from government officials in South Korea, a major hub for cryptocurrency trade, that Seoul was planning to ban local digital coin exchanges.

“There is no intention to ban or suppress cryptocurrency (market),” Kim said, adding the government’s immediate task is to regulate exchanges.

Reinforcing Seoul’s intent to tighten the screws on a market widely seen as opaque and risky by global policymakers, the country’s customs earlier on Wednesday announced it had uncovered illegal cryptocurrency foreign exchange trading worth nearly $600 million.

“Customs service has been closely looking at illegal foreign exchange trading using cryptocurrency as part of the government’s task force,” it said.

South Korea has been at the forefront of pushing for broad regulatory oversight of cryptocurrency trading as many locals, including students and housewives, jumped into a frenzied market despite warnings from policy makers around the world of a bubble.

Seoul previously said that it is considering shutting down local cryptocurrency exchanges, which threw the market into turmoil and hammered bitcoin prices. Officials later clarified that an outright ban is only one of the steps being considered, and a final decision was yet to be made.

CRYPTO CRIMES

Customs said about 637.5 billion won ($596.02 million) worth of foreign exchange crimes were detected.

Illegal foreign currency trading of 472.3 billion formed the bulk of the cryptocurrency crimes, it said in a statement, but gave no details on what action authorities were taking against the rule breaches.

In one case, an illegal FX agency collected a total of 1.7 billion won ($1.59 million) from local residents in a form of “electric wallet” coins to transfer it to a partner agent abroad. The partner agent then cashed them out and distributed the settlement to clients based in that country, according to the statement.

In South Korea, only licensed banks and brokers can offer foreign exchange services. Local companies and residents who move more than $3,000 out of the country at a time must submit documents to tax authorities explaining reasons for the transfers. Annual overseas transfers of more than $50,000 must also be reported with similar documents.

Effective from Jan. 30, authorities imposed rules which allow only real-name bank accounts to be used for cryptocurrency trading designed to stop virtual coins from being used for money laundering and other crimes.

Among other breaches, Customs said there were also cases where investors in Japan sent their yen worth 53.7 billion won to their partners in South Korea for illegal currency trade.

It said authorities will continue to monitor for any violations of foreign exchange rules or of money laundering activities.

Bitcoin stood at $10,123.13 as of 0842 GMT on the Luxembourg-based Bitstamp exchange. The heightened regulatory scrutiny around the world, however, has seen bitcoin dive about 27.1 percent so far this month, on track for its biggest monthly decline since January 2015.

Cryptocurrencies got another jolt last week after Tokyo-based exchange Coincheck said hackers stole over $500 million in one of the world’s biggest cyber heists.

7 Investors Who Put Millions Into Cryptocurrency

In case you’re searching for counsel about crypocurrencies , the most vital voices to take after originate from the individuals who have put their cash where their mouth is. Financial specialists who have emptied extensive aggregates into bitcoin, ethereum  , monero and other blockchain-sponsored monetary forms aren’t simply guiding other individuals. They have genuine skin in the amusement. When they tell individuals that they’re hanging on and not offering, you can be sure that they truly do have confidence in advanced monetary standards.

Here are seven individuals with real digital money ventures who are upbeat to tell other individuals what they’re doing.

Marc van der Chijs

Marc van der Chijs knows a developing open door when he sees one. He used to be situated in China where his ventures included tudou.com, a Chinese YouTube. Since moving to Canada, he’s pulled out all the stops into digital currency. He’s currently an executive of FirstCoin.com, a venture bank for token and coin offerings. Take after his tweets for a hopeful yet practical perspective of digital money.

Ari Paul

Ari Paul is the CIO and fellow benefactor of BlockTower Capital, a specific digital currency speculation organization. His experience is in venture administration, and he likewise writes about crypto contributing at the TheCryptocurrencyInvestor.com. It’s a site that ought to be on each digital money holder’s perusing list.

Michael Novogratz

Michael Novogratz has surely put his cash where his mouth is. In December 2017, as the dollar cost of bitcoin was dropping essentially, he tweeted that 30 percent of his total assets was in crypto resources. In any case, he likewise noticed that his cryptographic money venture firm Galaxy Digital had put a crypto fence investments on hold. He stays bullish on cryptographic forms of money yet watch his activities to track here and now developments.

The Winklevoss Twins

Tyler and Cameron Winklevoss may be best known for blaming Mark Zuckerberg for taking their thought for an informal organization, yet they now run Gemini, a digital money exchanging stage. In April 2013, when bitcoin was worth $120, they purchased $11 million worth of coins, around 1 percent of the considerable number of coins available for use at the time. That buy has since made them among the primary bitcoin extremely rich people.

Barry Silbert

In December 2014, the US Marshall’s office sold off 50,000 bitcoins that it had seized from Silk Road, an online commercial center for the most part utilized for offering unlawful merchandise. Everything except 2,000 of those bitcoins were purchased by Barry Silbert, the originator and CEO of Digital Currency Group, a cryptographic money venture firm. That early buy at $350 per coin transformed $16.8 million into more than $670 million inside three years. He’s as yet giving digital currency venture counsel.

Tim Draper

Of those 50,000 bitcoins, the staying 2,000 went to Tim Draper. A customary financial speculator who runs his own VC firm, Draper has likewise turned into an evangelist for all things crypto. Like other bitcoin financial specialists, he stays idealistic notwithstanding when the market falls. Read his tweets to discover why.

Juthica Chou

Juthica Chou is the president and fellow benefactor of LedgerX. Her experience is in customary subsidiaries exchanging yet LedgerX is the primary stage for purchasing bitcoin choices that is governmentally controlled. It gives an approach to institutional financial specialists to partake in the development of digital money. She’s not on Twitter, but rather the blog at LedgerX gives an awesome understanding into the long haul prospects of cryptographic money.

The world of cryptocurrency—and how it could make you rich

Need to get sufficiently rich to fill baths with dollar charges only for kicks? Could Bitcoin get that going? We should make a plunge.

At the point when Bitcoin appeared in 2009, its initial adopters purchased up a lot of the advanced cash for pennies. From that point forward, Bitcoin’s esteem has expanded significantly, transforming a few of those underlying financial specialists into tycoons. Be that as it may, the financial matters encompassing Bitcoin and different types of computerized money like Ethereum, Ripple, Litecoin, and most as of late, Bitcoin Cash, all named “digital currency,” can be eccentric and entangled.

One immense advantage to utilizing cryptographic money is that it can’t be stolen or fake. At the point when advanced monetary forms are traded, they’re changed over into indecipherable code that makes them secure as well as influences the sender and beneficiary to seem unknown. Not at all like ordinary cash, advanced monetary standards are not government managed. No high bank expenses, no vacillations in view of government directions, and no degenerate bank shenanigans. Sounds entirely decent, isn’t that so?

Shockingly, with decentralization comes flimsiness, and digital currencies are known for being exceedingly unstable and flighty. Like most high-chance ventures, this leaves open door for achieving strange levels of riches (which means you can at long last clean out your nose in hundred dollar greenbacks).

For the normal individual to make progress in digital money commercial centers, he or she should get learning. That is the place the Beginner’s Guide to Cryptocurrency Investing comes in. It will give all of you the learning you’ll have to settle on savvy decisions and transform your physical money into a sizable advanced reserve.

Through the span of 27 addresses and 2.5 hours of substance, this program will show you techniques for putting resources into altcoins, how to augment your arrival, and how to change over those coins once more into genuine cash. You’ll find out about the different cryptographic forms of money accessible and which is ideal for you and you’ll plunge into the computerized cash group, gathering significant research and bits of knowledge en route. At long last, you’ll have the capacity to evaluate the genuine estimation of the whole market and choose where and when to make your turn.

Right now is an ideal opportunity to make your computerized fortune. Get the Beginner’s Guide to Cryptocurrency Investing for $15, a mind blowing diminishment from the standard $180 cost.