The main question you should now be considering is have we seen the bottom of the market?
Did the market bottom at the start of the month? Is it safe to start reinvesting? What did the price action on your current investments tell you about how others in the market see your existing investments? Should you be looking to invest in other cryptos other than those you hold or should you be looking to try and exit your position in any future rally, assuming we have seen out the bottom of the market?
The answer to these questions may be determined by your investment time horizon and your investment timing. Do you regularly invest. Do you try to invest lump sums at dips in the market?
As with all investments I simply encourage you to take responsibility for those investments, but more importantly make sure you have researched your investment in as much detail as possible.
What does the market know? What do you know? What does the market know that you don’t? What is affecting price? (fundamentals or technical chart action?). The reason I say this? This is what they teach at one particularly successful investment Bank. Many say this is there edge. Nothing fancy, nothing you can’t do yourself. The issue though? Its boring and hard work. Its not easy money, its not get rich quick. As I’ve said before, its real investing. Now might be the time to take a look at your investments so far, because historically crypto does better in the second half of the year. The clock is ticking!
China, Japan, Korea and Australia
South Korean cryptocurrency exchange Bithumb is launching a P2P payment platform for social media including social networking sites and blogs to be known as a “social media optimization payment platform”.
A 10B yuan (around $1.6B) Blockchain innovation fund was announced on 9 April, during the opening of the Hangzhou Blockchain Industrial Park in China, local news outlet Lie Yunwang reports. The Xiongan Global Blockchain Innovation Fund is financed by the Yuhang District Government – 30 percent of the total funds are “government-guided” – the Future Science and Technology City Administrative Committee, and the Hangzhou Haoyu Investment Management Co, which will manage the fund.
While cryptocurrencies and ICOs are banned entities in China, with countries like the U.S. and some others imposing
strict regulations on the digital currency ecosystem, Japan, a crypto friendly nation, is planning to legalize and regulate initial coin offerings. According to reports, a task force backed by the Japanese government has formulated guidelines aimed at regulating and legalizing initial coin offerings (ICOs).
Japan’s financial regulator has ordered two cryptocurrency exchanges in the country to halt their operations for two months due to insufficient know-your-customer (KYC) procedures. Effective immediately, the temporary ban will last until 5 June and 7 June, respectively, for Eternal Link and FSHO, according to two administrative penalty orders issued by the Financial Services Agency (FSA) on Friday.
According to local reports and the central bank’s recent “2018 agenda”, the People’s Bank of China aims to finish what it started in 2017 by “rectifying” all virtual currency operations, introducing new “reforms and supervision”. Ever since last year, China’s central bank has had it in for cryptocurrencies and digital asset exchanges.
Canaan Creative, one of the world’s leading cryptocurrency mining equipment manufacturers is planning to launch an IPO.
They say a rising tide lifts all boats, and as the interest in cryptocurrencies continues to grow, so too does the interest in cryptocurrency mining. Following this trend, Hangzhou-based cryptocurrency mining equipment manufacturer Canaan Creative reported a surge in 2017 for their products. Canaan is one of the leading manufacturers of cryptocurrency mining equipment and currently supplies around a quarter of ASIC miners.
South Korean financial regulators are to inspect three domestic banks over their compliance with recently introduced anti-money laundering rules for cryptocurrency exchange accounts. According to a statement on Monday, the Financial Services Commission (FSC) and the Financial Intelligence Unit (FIU) will conduct on-site inspections on the NongHyup, KB Kookmin and KEB Hana banks from 19 to 25 April.
Despite the fact that many cryptocurrency supporters do not like regulation, it seems South Korea is set to introduce taxation guidelines in July 2018, as the most recent G20 meeting, seems to kick off future taxation guidelines.
Melbourne based cryptocurrency exchange startup Blockbid has announced that it has become the third recipient of an AUSTRAC license, meaning they it has been granted permission to legally operate as a cryptocurrency exchange according to Australian law. The company stated that this is an important stepping stone to becoming an active, worldwide cryptocurrency exchange, whilst further guaranteeing a safe, transparent and compliant platform for crypto investors to trade on.
A Perth blockchain technology company is launching an investment service for cryptocurrencies as well as websites devoted to news and education about digital assets. Seeing a gap in the market, DigitalX Ltd created DigitalX Investments to give investors access to cryptocurrencies that often fly under the regular trading radar. The FSA has just published data collected from roughly seventeen domestic virtual currency exchanges after investigating these businesses for possible AML/KYC regulatory transgressions. According to the data collected from all of these exchanges, there are over 3.5M Japanese cryptocurrency traders that use these platforms.
Investors are suing Nano and responsible individuals for their role in ushering investors to BitGrail, the popular cryptocurrency exchange which inexplicably lost $170M of investor funds in February. Silver Miller has launched new class action lawsuit against Nano, formerly known as RaiBlocks (XRB) and key members of the cryptocurrency’s team.
USA and Canada
Coinbase hires Rachael Horwitz as its first VP of Coinbase as it begins to think about taking a breath after the insane growth of the past few months, it’s thinking more about what it has to say. The cryptocurrency exchange has, it says, hired Spark Capital partner Rachael Horwitz as its first VP of communications.
Facebook CEO and founder Mark Zuckerberg testifies during a US House Committee on Energy and Commerce hearing about Facebook on Capitol Hill in Washington, DC. Mark Zuckerberg has something in common with 87 million other Facebook users in that, his data was misappropriated too. Facebook has also suspended another data analysis firm for violating its policies in the wake of a scandal that alleges millions of users’ personal information was misused. Data analytics firm CubeYou, which collected information about users through personality quizzes, was suspended Sunday for misleadingly labeling its product as “for non-profit academic research” and then sharing the information with marketers, Facebook said, confirming a report by CNBC.
Last Tuesday, Canadian cryptocurrency mining giant, HyperBlock, announced their acquisition of another mining firm
by the name of CryptoGlobal for $106 Million dollars. This deal will be entirely stock-based, with HyperBlock purchasing
CryptoGlobal shares at $0.74.
A six-story townhouse on New York’s Upper East Side is listed for sale for either almost $30M in fiat or $45M in cryptocurrency, the Wall Street Journal (WSJ) reported 11 April. Blockchain seed and angel investor Claudio Guazzoni de Zanett has said that he will accept Bitcoin (BTC), Ethereum (ETH), or Ripple (XRP) for the property, noting the reason for the higher price in crypto – $45M vs. $29.95M is due to the crypto market’s volatility: “I’m a true believer in these networks, but it’s very volatile.
Longfin Corp. Longfin Corp went public on Nasdaq on 13 December 2017 and soon after announced the acquisition of Ziddu.com, a blockchain technology empowered solutions provider, however, US SEC freezes $27M in stock sales of blockchain firm Longfin. The U.S. Securities and Exchange Commission (SEC) has moved to freeze trading proceeds from alleged illegal distributions and sales of restricted shares.
Cryptocurrency and Blockchain organizations in Switzerland, Kazakhstan, and Armenia have recently joined those of Russia, China, and South Korea in filing a joint lawsuit against major Internet companies for banning crypto-related advertising, local Russian news outlet RNS reported 6 April. The plans to file the joint lawsuit against tech giants Google, Twitter, and Facebook were first revealed on 27 March.
US cloud computing giant Salesforce has hinted it could soon offer a “Blockchain and cryptocurrency solution” as its top brass gets positive on the technology. Speaking as part of a joint interview with CEO Marc Benioff at the TrailheaDX conference 5 April, co-founder Parker Harris confirmed personnel were executing a new offering for the company’s Dreamforce conference later this year.
The Gemini Exchange, owned by Tylor and Cameron Winklevosses, announced the launch of a service that allows investors to make huge deals outside the main order book. According to the official statement, published in Gemini’s blog, the service Gemini Block Trading will help traders buy and sell large volumes of bitcoins and other cryptocurrencies and will allow Gemini to compete with other companies targeting traders of an institutional level.
The Ontario Securities Commission (OSC) in Canada is investigating several cryptocurrency trading platforms after receiving a number of complaints. The OSC said that cryptocurrency exchanges, where the digital tokens are bought and sold, may fall afoul of securities law.
The Comisión Nacional de Energía de Chile (CNE), Chile’s national energy regulation organization, has launched a blockchain pilot project aimed at boosting the transparency, accuracy, and security of data relating to the nation’s energy sector. CNE is a public entity responsible for developing and coordinating plans.
Dubai Company Creates Sharia-Compliant Cryptocurrency for the Muslim World. A startup in Dubai called OneGram has created a Bitcoin-style cryptocurrency that ostensibly complies with sharia law, making it an acceptable alternative for devout Muslims. This could be a more significant development than most other competitors to Bitcoin because, while Muslim buyers have displayed great interest in cryptocurrency, there are looming fears they will be outlawed in Muslim nations as a violation of sharia’s strict prohibitions. A Dubai-based cryptocurrency company called Alibabacoin Foundation has rebuffed allegations of trademark infringement brought against it by the giant Chinese online retailer Alibaba Group Holding in a U.S. lawsuit last week.
On 7 April , Cointelegraph reported on a controversy surrounding Bitfinex, after Polish prosecutors reportedly seized €400M from two accounts at a little-known Polish bank, one of which was allegedly linked to Bitfinex. Suspicion had been raised in Polish media that the confiscated funds were involved in an international fraud and money-laundering scheme, in which criminals had been converting laundered fiat into crypto via the exchange and its affiliated accounts
The United Kingdom’s Financial Conduct Authority (FCA) will be publishing a review of cryptocurrencies this year in conjunction with the Treasury of the UK and the Bank of England (BoE), according to the FCA’s business plan for 2018/2019. At the end of March, the Treasury of the UK had announced the creation of a cryptocurrency task force with the BoE and the FCA to look into how to both regulate and support crypto technologies.
A notable confirmation that Malta is moving in the right direction regarding Distributed Ledger Technology (DLT) regulation was the recent announcement by Binance. Silvio Schembri, Junior Minister for Financial Services, Digital Economy Innovation within the Office of the Prime Minister of Malta, commented to Cointelegraph on the news: “Binance’s decision is a vote of confidence in what we’re offering as a country and as a Government in this sector, that is legal certainty in this space”.
nChain, the global leader in research and development of blockchain technologies, is pleased to announce the issuance of its first patent by the European Patent Office.
On 10 April, 22 countries in the European Union signed a Declaration on the Establishment of a European Blockchain Partnership. Aimed at cementing Europe as a world-leader in the development and launch of blockchain technologies, the international partnership claims to be “a vehicle for cooperation amongst Member States to exchange experience and expertise in technical and regulatory fields and prepare for the launch of EU-wide blockchain applications across the Digital Single Market for the benefit of the public and private sectors”.
An unknown person created a fake United Kingdom company that appears to be the same as the Telegram crypto project, the Telegram Open Network. On 28 February, an unknown entity incorporated the Telegram Open Network Limited. The document of incorporation, going by the ones presented to the British companies register, Companies House, reflected that Telegram founder, Pavel Durov, is presented as a sole shareholder, director and secretary, with the company claiming £800M ($1.13B) in paid-up capital. According to Telegram, on Twitter: “This entry is fake Most likely a prank or scam, no such company was registered by Pavel”.
Blockchain startup Proxeus and several partners including IBM Switzerland, Canton Zug and Swisscom, have joined hands to legally register the very first Swiss company using blockchain technology. The process was done by combining a digital workflow and Hyperledger Blockchain with the existing IT systems of the bank and commercial registry.
Manufacture Contemporaine du Temps (MCT) has partnered with cryptocurrency payment provider BitPay, allowing it to accept both SegWit-Coin BTC (otherwise known as Bitcoin Legacy or Core) and BCH for purchases. The company just began selling its watches online, and only accepts the two cryptocurrencies or an international wire transfer.
European law enforcement agency Europol has taken down a criminal network allegedly using cryptocurrency to launder drug money. On Monday, the European Union Agency for Law Enforcement Cooperation (Europol) announced that it had arrested 11 people and identified 137 suspects potentially involved in a criminal network utilizing cryptocurrencies and credit cards to launder money from illegal drug sales.
India and Pakistan
Sumit Gupta is launching a cryptocurrency exchange called Coindcx that enables Indian residents to trade over 30 digital asset pairs legally in BTC/ETH markets with 0.1% trading fees. The founder explains that Coindcx wants to give India’s thriving blockchain community a chance to stay alive and give it the strength to keep pushing for progress. The launch is in the midst of the RBI publishing its first bi-monthly monetary policy on 5 April which forbid any entities regulated by it from providing services to entities who deal with cryptocurrencies. “In essence, this means Indian banks won’t be able to allow its customers to acquire bitcoin in exchange for INR”.
In a notification sent to the Presidents and Chief Executives of all banks and payment system operators in the country,
the State of Bank of Pakistan (SBP) prohibited dealing in virtual currencies and tokens. The central bank went on to
clarify its stance on digital currencies, stating that they are not legal tender and that the SBP has not sanctioned the issuance, exchange or trading of these currencies: “Virtual Currencies (VCs) like Bitcoin, Litecoin…. or Initial Coin Offerings (ICO) tokens are not legal tender, issued or guaranteed by the Government of Pakistan.
So far, 17,000 people have signed a public petition to protest the central bank of India’s ban on crypto-related accounts. A Change.org petition for “Mak[ing] India at the forefront of Blockchain Applications Revolution” in response to the Indian central bank ending all dealings with crypto-related accounts this week has gained over 17,000 signatures since going online 5 April. The petition requests that the Indian government support the Blockchain and crypto sphere, specifically because it provides young people with jobs.
Amidst a raging global debate over the massive data breaches involving both private firms and government agencies, an Indian state has sought to add another potent ingredient to this explosive mix: DNA data. The government of Andhra Pradesh, India’s eighth-largest state, on 28 March announced that it had signed up a private firm to build a blockchain-based DNA database of its 50M citizens.
Different countries are trying to implement different controls over the cryptocurrency and blockchain market. South Africa is now establishing a self-regulatory agency in order to create a better framework for cryptocurrencies to spread. The South African Central Bank (SARB) will be creating a special unit that will be in charge of controlling cryptocurrency and blockchain developments. At the moment, the SARB does not regulate cryptocurrencies, but is working in order to protect investors, reduce risks, and have a better regulatory framework.
The tax authority of South Africa has warned taxpayers in the country against forgetting to report all their cryptocurrency transactions. The South African Revenue Service (SARS) announced on Friday that it expects everyone to declare cryptocurrency gains as part of their taxable income. The agency explains that cryptocurrencies are not regarded by SARS as a currency for income tax purposes or Capital Gains Tax, rather they are regarded as “assets of an intangible nature”. And, that “Whilst not constituting cash”, income received or accrued from cryptocurrency transactions can be taxed on revenue account under “gross income”.
Bitcoin Price (BTC) 9 to 13 April
On Monday Bitcoin began trading at $7,025.00 a coin. Bitcoin closed the week on Friday at $7,875.00. Eclair, the first Bitcoin wallet which leverages the power of the Lightning Network has been removed from Google Playstore. The arrival of the Eclair wallet which allows superfast micropayments through the lightning network was greeted with joy by Bitcoin enthusiasts.
Michael Lewis has no idea where the next “big short” is coming from but says it won’t come from the banking system.
Lewis’ best-selling book “The Big Short” chronicled traders who anticipated the housing market collapse and made a fortune shorting, or betting against, complex mortgage securities. “Banks are much better capitalized than they were” before the financial crisis, Lewis said at the LendIt financial technology conference in San Francisco on Tuesday.
The latest news comes from Taiwan, where the governor of the Central Bank of Taiwan has made a proposal that Bitcoin transactions be brought under the anti-money laundering (AML) regime and regulation. As mentioned, there were countries which saw a future potential in Bitcoin and other cryptocurrencies, and Taiwan was one of them.
According to Bartek Ringwelski, COO of bitFlyer, a company that claims to own the world’s largest bitcoin exchange in terms of trading volume, the next few years are critical for the cryptocurrency industry as formal regulation will decide the future course for the coming decades. In an interview with a renowned publication, Ringwelski expressed his views regarding the current regulatory scenario in the industry and also shared expansion plans of the exchange he leads. The number of businesses applying to operate cryptocurrency exchanges in the Philippines has been growing as the sector gains popularity, a senior official of the Bangko Sentral ng Pilipinas (BSP) confirmed. Since the beginning of 2018, cryptocurrency exchanges have had to face various regulations with many businesses either shutting down or thriving. Governments, central banks, and other institutions have set measures to regulate virtual currency exchanges across the world. Despite the growing scrutiny that cryptocurrencies have faced, the industry is still growing with more investors, buyers and entrepreneurs joining the virtual currency exchanges market. This was done to help protect those who wished to participate in the cryptocurrency market through virtual currency exchanges.
The Singapore government is looking to boost blockchain development in an effort to improve financial inclusion for Southeast Asian countries. In opening remarks for a meeting with finance ministers from Southeast Asian countries on Friday, Heng Swee Keat, Singapore’s minister for finance, highlighted the government’s plans to foster innovations such as blockchain to improve access to finance in the region.
Venezuela will pay the Russian Federation for providing automotive parts in its own digital currency, the Petro, according to the Venezuelan minister of foreign trade. Probably, the relations between two countries will not be limited to just auto parts trading”. [The issues of cooperation] include the purchases of automotive parts and components, of tires and batteries, as well as assembling of these vehicles in our country and the forms of payment, in which we include the payments with the use of Petro”. During the last international commission between two countries, Russia pointed out its interest in exporting from Venezuela other products too, including steel, aluminum, coffee.
Vietnam urged greater vigilance against cryptocurrency transactions and investments, as officials in its economic hub asked police to investigate what could prove to be the country’s largest cryptocurrency fraud. In a directive, Prime Minister Nguyen Xuan Phuc told the State Bank of Vietnam, the Ministry of Public Securities and other bodies to tighten the “management of activities related to Bitcoin and other cryptocurrency”, the government said.
Bitcoin Opening Price $7025.00 Close $7875.00 High $8230.00 Low $6618.07
Ripple, the fintech startup known for the XRP coin, made a $25M investment in the form of its own cryptocurrency into a dedicated sidecar vehicle alongside Blockchain Capital’s fourth venture fund. Blockchain Capital, the oldest venture capital firm dedicated to blockchain technology, announced last month that it raised $150M to invest in equity and cryptocurrency assets.
Ripple O $0.497 C $0.639 H $0.71 L $0.475
Bitcoin exchange Bitfinex has announced new support for an increased range of Ethereum tokens. On 7 April, the company posted details of the new range of tokens that will be enabled by the exchange’s expansion.
ETH O $400.43 C $494.16 H $529.19 L $387.01
The fork was initiated to protect Monero against mining centralization, as Bitmain had developed ASIC units purpose-built for mining XMR tokens. It was revealed last month that Bitmain had developed a new ASIC product specifically developed to mine Monero, creating a perceived urgency to fork among developers.
On April 6 the privacy-centric cryptocurrency monero (XMR) forked the protocol in order to make the digital asset’s mining ecosystem egalitarian. In light of this situation, the Monero developers and community decided it was best to hard fork the chain in order to render these machines useless against the network. Privacy-focused altcoin Monero (XMR) is set to receive official support from cryptocurrency hardware wallet manufacturer Ledger, lead code maintainer Riccardo Spagni has confirmed. “I saw some commits happening today to fix a couple of small issues… I’d hope that probably alongside the Monero 0.12.1 release, there will be official Ledger support”.
MONERO O $174.66 C $189.70 H $202.39 L $163.00
Lykke, a Swiss-based FinTech company building a blockchain based exchange of financial assets, announced that the Dash cryptocurrency is now available on the Lykke Exchange. Buyers and sellers now can trade in Dash directly from the Lykke Wallet mobile application.
DASH O $311.00 C $355.61 H $390.86 L $291.36
Blockchain non-profit organization the IOTA Foundation continued its high-profile hiring moves. On 9 April IOTA appointment Dr. Rolf Werner, Head of Central Europe at Fujitsu. In a blog post, executives said Werner’s “unmatched enthusiasm and drive” would bring “great value for the IOTA project as it continues to cement it’s leading role in the DLT space”. IOTA’s Trinity Desktop Wallet To Be Unveiled Soon After Release of Mobile Wallet Just over a week after announcing the security audit of the Trinity mobile wallet, IOTA announced that they are working on a desktop alpha version. Those who have had a chance to test the Trinity wallet note several new features and a more intuitive experience.
IOTA O $1.0248 C $1.32 H $1.513 L $0.96
Bitcoin Cash (BCH)
BCH O $652.68 C $742.99 H $785.65 L $623.00
ZEC O $183.50 C $231.09 H $244.19 L $174.26
LTC O $118.12 C $125.75 H $133.72 L $111.34
Crime and Viruses
The Gujarat Police’s Criminal Investigation Department recently booked an inspector and seven other policemen for allegedly abducting and extorting a Surat builder of 200 bitcoins, in what is perhaps one of the first extortion cases where the cryptocurrency has been used, The Hindu reported. The eight policemen work at Amreli district’s local crime branch unit, Ashish Bhatia, the director general of police, CID (crime), told the Hindustan Times.
Android crypto-miners have seen a staggering 4000% increase in the first three months of 2018. It seems that last year’s cryptojacking sentiment is still running with full force, as consumer crypto-miners soar 4000% in just the first three months of 2018. Malwarebytes’ Cybercrime Tactics and Techniques report for the first three months of 2018 reveals that while cryptojacking among Android consumers is soaring, ransomware detections dropped by 35% compared to the previous quarter. Crypto-mining, otherwise known as ‘cryptojacking’, on the other hand, takes place when an unauthorized third party uses the capabilities of a computer or other internet-connected device for the
purpose of mining cryptocurrency.
The Texas State Securities on 5 April, launched an emergency cease and desist order against Mark J. Moncher who was involved in a cryptocurrency trading program and a marijuana growing operation. The Enforcement Division found sufficient evidence to convict Moncher of running an unregistered cryptocurrency trading program that promised investors “returns of 8 percent per week”.
A scammer has been arrested by Philippine authorities together with his wife for allegedly bilking some $17.32 million out of at least 50 investors through a Ponzi scheme involving Bitcoin. The police said Arnel Ordonio was such a sweet talker that his custodians at the Philippine National Police (PNP) were not allowed to engage in conversation with the suspect while he was placed in isolation until criminal charges were formally filed.
The Philippines securities watchdog warned that it will regulate cryptocurrency cloud mining contracts in the country under existing securities rules. In a statement issued Tuesday, the country’s Securities and Exchange Commission (SEC) said that cloud mining contracts should be classified as securities, since, when the Howey test is applied, the process was determined to involve a money investment with the expectation of a return of profits.