Crypto exchanges Financial News

As US regulators sued three major crypto exchanges this year, billions of dollars of trading volumes have migrated to Asia. That shift could be poised to accelerate as market makers and exchanges move resources to a region where several jurisdictions have introduced regulatory frameworks and are vying for digital-asset traders. Investors and marketplaces are flocking to Singapore, Japan and South Korea — and more recently to Hong Kong, which this month introduced a new regulatory regime for crypto. Bitcoin trading activity in predominantly Asian hours have risen this year even as they slumped in US and European hours, data compiled by CryptoQuant show. The token accounts for almost half of crypto’s total market value. The resilience in Asian crypto volumes is underpinned by institutional investors who perceive the regulatory environment there as less risky, according to several market participants interviewed by Bloomberg. “With so much regulatory uncertainty in the US, Asia has become an increasingly important hub for digital-asset activity,” said Jonny Caldwell, who focuses on alternative investments including cryptocurrencies as co-head of asset management at Trovio Group. “We are observing a major shift to Asian-based exchanges and venues in the last few months.”

The Russian government is switching gears as it no longer plans to create a national cryptocurrency exchange, and instead will write rules for multiple crypto exchanges, according to a local news site. 

The Texas legislature passed a bill this week requiring cryptocurrency exchanges to provide a “proof of reserves,” the latest move by the lone star state. 

cryptocurrency was lost in the month of April this year due to crypto-related exploits, hacks, and scams, a report has shown. According to the blockchain and smart contract security company CertiK, the total funds hackers managed to drain in April from crypto projects was $103.7 million, bringing the total year-to-date loss to $429.7 million. Several significant crypto exploits occurred in April, resulting in significant losses in the industry. For instance, there was a $25.4 million loss due to an exploit of multiple MEV trading bots. In addition, Bitrue Exchange was the victim of a hot wallet exploit in which $22 million was stolen, plus, the South Korean GDAC exchange was hacked, resulting in a $13 million loss, according to the report.

Consumer-focused UK bank NatWest is putting a limit on the amount of money customers can transfer to cryptocurrency exchanges in a move that shows deteriorating relationships between digital asset firms and financial institutions. 

Crypto exchanges and intermediaries dealing with virtual digital assets will now be required to perform KYC of their clients and users of the platform. The Finance Ministry on March 7 notified that entities dealing in virtual digital assets (VDAs) will now be considered 'reporting entity' under the Prevention of Money Laundering Act (PMLA). Entities involved in the exchange between VDAs and Fiat currencies or transfer of VDAs or safekeeping and administration of VDAs, and participation in financial services related to an issuer's offer and sale of a VDA would be 'reporting entity' for the purpose of the PMLA. Under the anti-money laundering law, reporting entities are required to maintain KYC details or records of documents evidencing the identity of its clients and beneficial owners as well as account files and business correspondence relating to its clients.

What is a market maker, and how do they differ in the crypto and traditional finance markets? At the European Blockchain Conference in Barcelona, Cointelegraph discussed the topic with key market makers in the crypto industry on one of the conference’s first panels.

WazirX has finally come up with its official clarification on the issue, blaming global economic slowdown for its dire decision. In June, however, while clarifying to ETMarkets.com that it did not intend to squeeze the team size, WazirX, on the contrary, had bragged about expanding the team six times in half-a-year. According to media reports, the company has asked 50 to 70 employees of its 150 staff strength to leave the company as they are not needed anymore, but they will be paid for 45 days. The crypto market has been in the bear grip because of the current global economic slowdown, the exchange said in its clarification. «We have had to reduce our staff to weather the crypto winter.»

Amidst the bear phase, crypto exchanges in India have been facing trouble from both investors and law enforcement agencies. In an interview with ETMarkets.com, BuyUcoin's CEO Shivam Thukral says that with the new tax regime, every penny in crypto space is under tax lens and regulations for the crypto space are the need of the hour. Edited excerpts:The crypto market has been struggling lately. Do you think that woes will last longer than expected amid expectations of rate hikes and fear of economic slowdown?During the dream bull run of 2021, crypto assets delivered stellar returns which were never seen in modern human history.

crypto holdings by showing them as capital gains or business income and paying the appropriate tax. Hence, with the introduction of new income tax rules on cryptocurrency, it was apparent that there would be some discomfort in the crypto industry. The new tax rules require crypto investors to pay tax at 30% (the highest tax bracket) on profits from the sale of crypto and NFTs. Unlike in other asset classes, retail investors will not be able to set off losses incurred against crypto coins, claim expenses or deductions, or benefit from a reduced slab for long-term capital gains. To trace crypto transactions, the government has imposed 1% TDS on every crypto transfer. This has come into effect from 1st July 2022. The new TDS provision would significantly impact intraday trader's capital. The funds will be locked up to a year until the income tax returns are filed for refunds.

crypto exchanges, particularly the smaller ones, are on tenterhooks for survival. After Terra's debacle, Celcius and Three Three Arrows Capital jittered. This was followed by Vauld suspending operations. Meta (formerly Facebook) is shutting down its crypto wallet Novi by September 1, 2022. Even the Indian crypto exchanges are facing massive liquidity pressure, with volumes slumping up to 80 per cent since January. The new taxation rules are adding more pain to their sufferings.

crypto exchanges CoinDCX, WazirX and Zebpay declined by at least 70% on July 3 compared with June 30, even as the rule requiring deduction of tax at source on every transaction came into effect on July 1.Volumes on WazirX were down the most at 82%, according to data sourced from crypto research and consulting firm Crebaco. The decline was almost 70% on CoinDCX and 76% on ZebPay. While crypto exchanges say it is too early to know the actual impact of tax deducted at source (TDS) as trading volumes are typically lower on the weekend, some experts said trading would likely remain under pressure.

Cryptocurrencies that were the flavour of the season till about last year have seen a sudden fall on every matrix for the exchanges — trading volumes, value and profitability — as a crypto winter sets in following a big drop in prices in the last few months. The sudden shift in market sentiment from exuberance to fear has led to exchanges resorting to a combination of short- and long-term measures to manage working capital. The exchanges have seen a drastic drop in revenue and margins — by as much as 80% and 60%, respectively, compared to a few months back, according to industry trackers.

As prices plunge, companies collapse and skepticism soars, fortunes and jobs are disappearing overnight, and investors' feverish speculation has been replaced by icy calculation, in what industry leaders are referring to as a "crypto winter." It's a dizzying turn of events for investments and companies that at the start of 2022 seemed to be at their financial and cultural apex. Crypto-evangelizing companies ran commercials during the Super Bowl and spent heavily to sponsor sports arenas and baseball teams. The industry's combined assets back then were estimated to be worth more than $3 trillion; today, they are worth less than a third of that. Maybe.

blockchain. From a technology point of view, blockchain is a digitally distributed, decentralized ledger that helps track and verify transactions. Even though blockchain is well known for the technology behind cryptocurrencies such as Ethereum and Bitcoin, environmental researchers are now finding its use in solving the climate crisis, ranging from tracking the sustainability of products to monitoring pollution. In this article, we will explore how blockchain technology can help to combat the environmental crisis.

CoinSwitch has unveiled Crypto Rupee Index CRE8, to measure the performance of the Indian Rupee-based crypto market, the company said on Friday. The Crypto Rupee Index tracks the performance of crypto assets that represent over 85 per cent of the total market capitalisation of cryptocurrencies traded in Rupee, a press release said. «The index is based on real trades on the CoinSwitch application, which has 18 million registered users,» the release said.

insider trading in crypto assets. This makes it the first-ever case of insider trading in the digital asset market. New York-based Chastain is charged with wire fraud and money laundering in connection with a scheme to commit insider trading in non-fungible tokens (NFTs) by using confidential information for his personal financial gain. Chastain, 31, of Manhattan, was accused of secretly buying 45 NFTs on 11 separate occasions based on confidential information that the tokens, or others by the same creator, would soon be featured on OpenSea's home page.

According to Economic Affairs Secretary Ajay Seth, the government is taking inputs from various stakeholders, including the World Bank and International Monetary Fund (IMF). The government bureaucrat said that the consultation paper is almost ready and the government has gone deep into it. Seth remained tight-lipped over the timeline, but the sources suggest that it can be tabled in August this year.

Your gain is my gain, but your loss is not my loss: This is perhaps the feeling among many Indian crypto investors about the government's stand on taxing crypto gains at 30%, the highest slab, but not allowing losses to be offset against other income. If you had invested Rs 1 lakh in Bitcoin a year ago and sold it now, you would get back just about Rs 56,000 as the token's price has fallen. However, this 44% loss will not be adjustable against other income while filing taxes. As a result of this double whammy, many investors have started to explore ways to minimise the tax impact. «Crypto investors don't seem to be happy with the 30% tax. Many say it may have dampened the excitement around Indian crypto investments,» said Vihang Virkar, partner at Lumiere Law Partners. The tax has forced most investors and startups to take a relook at their strategies. Many backers are looking to hold their assets for the long term and have stopped daily trading. This trend, in turn, has hurt crypto exchanges' volumes and revenue. Presented ByDid you Know?Apparel maker G

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crypto exchanges CoinSwitch Kuber and WazirX have disabled rupee deposits for the purchase of cryptocurrency through a widely-used state-backed transfer network, spurring users to renew demands for regulatory clarity. India has spent years working on a law to ban or regulate cryptocurrencies, with a ban backed by the central bank over risks to financial stability, though a recent decision to tax income from them suggests acceptance by authorities. Wednesday's moves follow a one-line statement last week by the National Payments Corporation of India, operator of the state-backed United Payments Interface (UPI), which eases bank transfers, that it was unware of its use by any crypto exchange.