cryptodailytrading.com

New York AG Report on Cryptocurrency Exchanges Shows Concerns Over Market Manipulations

  • Alex Morris
    📰 News

    New York Attorney General accuses Kraken of breaking the law


New York AG Report on Cryptocurrency Exchanges Shows Concerns Over Market Manipulations
You may also like:

According to a Bloomberg report, New York Attorney General Barbara Underwood has recently stated that three crypto exchanges are not operating legally in the state. Notably, such big-name crypto companies as Binance and Kraken are among them.

👉MUST READ Powell Says Kraken Crypto Exchange Will Register with SEC
Powell Says Kraken Crypto Exchange Will Register with SEC

You’ve been warned

In her statement, the AG claims that the transparency of investment should be of paramount importance when it comes to trading (whether it would be traditional institutions in the likes of NYSE or newfangled cryptocurrency exchanges). Underwood believes that many platforms that facilitate trading digital assets still lack integrity in their policies, which jeopardizes their users’ safety.

Back in August, Underwood put the 13 major cryptocurrency exchanges that operate in New York under intense scrutiny, requesting the data related to their operations and all the measures that are taken by these firms to protect their customers from rampant market manipulations. Kraken, the 14th biggest exchange in the world, did not participate with its CEO Jesse Powell publically calling this inquiry “insulting” on Twitter.

Earlier, Kraken left the New York jurisdiction in 2015 due to the onerous nature of BitLicense requirements.     

Proprietary trading concerns

Another matter of concern, according to Underwood, is that some exchanges are wont to practice proprietary trading (when the company trades currencies with its own money). According to the aforementioned report, the San Francisco-based exchange Coinbase has over 20 percent of its volume inextricably connected to proprietary trading. The AG says that it poses a risk for customers since one source has too much leverage over the liquidity of a certain asset.

👉MUST READ Coinbase Releases Response to NYC Attorney General’s Probe
Coinbase Releases Response to NYC Attorney General’s Probe

Cover image via u.today
The fastest way to get crypto news is to follow our Twitter. You won’t miss a thing! Subscribe.
👓 Recommended articles

Crypto Wonders: Binance Coin (BNB) Hits Its New ATH, Surpassing Its January 2018's Peak

  • Alex Morris
    📰 News

    Binance Coin is so far the second cryptocurrency (after EOS) that managed to rebound after January 2018's drawdown


Crypto Wonders: Binance Coin (BNB) Hits Its New ATH, Surpassing Its January 2018's Peak
You may also like:

After surging by more than 14 percent over the last 24 hours, Binance Coin has managed to surpass its previous ATH that was recorded during the peak of the bull market in January 2018, according to the data provided by CoinMarketCap (CMC). The historic rally was triggered by numerous recent developments inside the exchange’s ecosystem.  

Binance Coin, CoinMarketCap
Binance Coin continues to register double-digit gains, image by CoinMarketCap

👉MUST READ Custom Blockchain Could Create Legal Problems for Binance. Will BNB Tokens be Classified as Securities?
Custom Blockchain Could Create Legal Problems for Binance. Will BNB Tokens be Classified as Securities?

BNB makes history

At the time of writing this article, the price of the BNB token is at $24.65, rising above its previous ATH of $24.46 that was recorded on Jan. 12. Hence, Binance Coin, the seventh largest cryptocurrency by market capitalization, becomes only the second asset to reach a new price peak after the crash of the speculation-driven bull market. EOS, which is sitting one spot above BNB on CMC, achieved a similar feat in May 2018.

‘Binance Coin is outpacing the overall crypto market. While Bitcoin is off 75% from its all-time-high, Binance Coin has recovered. There is fundamental growth and synergy taking place that is contributing to the rising price of Binance Coin,’ says BitBull Capital CEO Joe DiPasquale.

👉MUST READ Binance Calls for Notre Dame Restoration Donations, Crypto Community Turns Its Back
Binance Calls for Notre Dame Restoration Donations, Crypto Community Turns Its Back

Pumping other coins

On Apr. 18, Binance launched the mainnet of its custom Blockchain Binance Chain. The migration of BNB tokens from Ethereum to Binance Chain is scheduled to take place on Apr. 23. This is going to be the second largest token swap in history.

Binance, which is now completed with Ethereum, has already on-boarded some Blockchain projects, including Mithril (MITH) that experienced a 70 percent price pump after its launch on Binance Chain.

Cover image via
Join our Telegram channel to get news even faster!
👓 Recommended articles