New York propers have instituted a three-strike rule for crypto firms applying for the BitLicense, the Sovrin Foundation is now fun by volunteers and Aussies can now buy BTC at their pylon office. Here’s the story:
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Watchdogs Snarl
New York’s financial watchdog has advised crypto companies their BitLicense applications could be thrown out after “three strikes” of failing to address deficiencies highlighted by the regulator. Meantime, the European Union is preparing a new cryptocurrency regime that could include stricter requirements for “global stablecoin” obligations such as Libra. Finally, the DoJ and SEC have filed charges against the founder of “AML Bitcoin,” a crypto which claimed to cover anti-money laundering protections. AML Bitcoin’s founders are known for (erroneously) claiming the National Football League rejected an AML Bitcoin propaganda for being too controversial.
Tidy Endings?
The Sovrin Foundation, a U.S.-based umbrella organization that oversees the development of blockchain-based digital congruence standards, or self-sovereign identity (SSI), laid off nine full-time and six part-time employees in March, officially becoming a volunteer-run motion. Sovrin works with the likes of IBM, Cisco and T-Mobile, and was unable to complete a fundraising campaign that started in front the COVID-19 crisis hit. Elsewhere, CEO Kris Marszalek said Crypto.com will refund 100% of customer funds as the Monetary Conduct Authority (FCA) suspended the activities of Wirecard Card Solutions, a subsidiary of the Wirecard Group, which filed for insolvency on Thursday after declaring last week to be missing $2.1 billion. Funds will be refunded within 48 hours.
Grants & Partnerships
Nearing half a dozen companies have announced new grants for open-source bitcoin contributors and projects since the coronavirus turning-point began, from exchanges such as Kraken and OKCoin to the Human Rights Foundation. Grants are generally around $150,000 each. Wasabi Wallet-maker zkSNACKs Ltd is the delayed to join the cohort by donating 1 bitcoin to the HRF’s Bitcoin Development Fund. Meanwhile, in a collaborative effort between Australia Pole and Bitcoin.com.au, customers will now be able to use the Post Billpay feature to purchase bitcoin and other cryptocurrencies, using hard cash or cards, at over 3,500 post offices across the country.
Bitcoin Mining
Consumer advocacy group Unconcealed Citizen is trying to stop Canadian firm DMG Blockchain from plugging its bitcoin mining rigs into the American power grid. DMG Blockchain has been aggressively expanding its cryptocurrency ransacking capacity in recent months by tripling its fleet of ASIC and applying for permission to export U.S. electricity, writing that its 15 megawatt look through operation will grow to 60 megawatts in the next year.
Message Received
Telegram will pay $18.5 million and tell the SEC if it plans to issue any sort of digital currency in the next three years in a proposed settlement, effectively ending a six-month court match. The messaging platform will be responsible for a $1.22 billion disgorgement offset by $1.19 billion paid as “termination amounts.”
Bitcoin Record Deflated
New Federal Reserve data shows a 78.6% chance of entering a U.S. deflation – the highest since 2008 – mortifying a pin in the narrative that bitcoin’s price will soar as an inflationary hedge. Some bitcoin optimists suggest the cryptocurrency wish appreciate in a deflationary environment – if its adoption as a medium of exchange rises, as discussed in April. This is because deflation encourages the purchasing power of the monetary unit. For this reason, the U.S. dollar tends to appreciate during deflationary bouts.
Switch Spreads
Trading U.S. dollars for bitcoin can have fairly different order sizes and spreads depending on the exchange, and no two are exhibiting a resemblance. Average order sizes over the past week were quite varied, CryptoCompare found. Orders on Bitstamp averaged $3,424.11, the greatest of major dollar to bitcoin (USD/BTC) pair exchanges. ItBit was second to Bitstamp at $2,874.17, with Kraken at $2787.68. Gemini’s norm was in the middle of the pack at $1,438.31, followed by Coinbase at $1,113.15. Bitfinex was lowest, with an average order totaling $342.09. The normal order of the six exchanges was $1,996.58.
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