With Saturday’s events: circumventing government bans Chinese investors; the Attack on the Japanese stock exchange Coincheck; Devious ways to prey on crypto currency Market is increasing its capitalization.
• Circumventing government bans Chinese investors:
Chinese citizens still invest in Bitcoin on crypto currency, and the market, despite the intense attacks of the government. In September 2017. Chinese exchange kryptowalutowe BTCC China, Huobi and OKCoin were closed by the government. At some point, the leadership of these exchanges are unable to leave the country because of the government investigation in respect of the local works councils on crypto currency.
Three months ago, in December 2017, the biggest Chinese exchange kryptowalutowe moved to Hong Kong. BTCC China, Huobi and OKCoin changed the brand, respectively, BTCC, Huobi Pro and OKEx. They were intended to meet the rapidly growing demand from investors from Hong Kong. Soon after their meeting, trading platforms started to notice that every day the number of Chinese investors is growing exponentially. How Chinese investors have managed to bypass China’s trade restrictions with exchanges in Hong Kong. How is that possible?
In Hong Kong investors are relatively easy to create the company. For less than $ 1,000, you can legally create a company that allows for opening of Bank accounts in financial institutions with headquarters in Hong Kong. From December 2017. many Chinese investors moved money from their Chinese Bank accounts to Bank accounts in Hong Kong and started to actively trade kryptowalutami, effectively bypassing the Chinese restrictions. But unlike China, Hong Kong has a much smaller proposal in order to meet the growing demand. While China is home to major miners like Bitmain, Hong Kong does not produce a lot of Bitcoins and other crypto currency. In this regard, the bonuses in the market kryptowalutowym in Hong Kong has increased, surpassing even the South Korean market. 18. February, when the average price of Bitcoin in the world was about 11.500$, Bitcoin was sold above 13,000 dollars on Huobi Pro.
Krystal Hu, the financier from Hong Kong, said that traders outside of China have also started to use arbitrage opportunities on the market in Hong Kong. For example, 18. Jan price on Coinbase was $ 11.800$. Buying Bitcoin on Coinbase and sell it in any market in Hong Kong makes a profit of $ 1200 on each Bitcoinie.
The stock exchange of Hong Kong zintegrowały also widely used applications fintech in China, such as Alipay and TenCent’s WeChat Pay. Alipay is an application fintech is worth $ 60 billion, with more than 50% of mobile device users. WeChat Pay, which was used by only seven percent of mobile users in 2014, is currently used by more than 40 percent of mobile users in China. The integration of the two fintechowych network payment increased the accessibility of the exchanges kryptowalutowych OTC in Hong Kong for Chinese investors, facilitating investment process in the market for crypto currency.
In order to prevent Chinese investors purchase digital currency, the Chinese government and people’s Bank of China (PBoC) has asked banks to disclose suspicious transactions related to markets through Hong Kong. However, even this will not prevent Chinese investors access to the markets of Hong Kong, through apps such as Alipay and WeChat Pay.
• Attack on the Japanese stock exchange Coincheck:
The Japanese bitcoin exchange Coincheck, one of the largest in the country, fell victim to a huge hacking, resulting in executed 523 million coins with a value of about 534 million dollars. The coins were stolen a few unauthorized transaction with the hot wallet at 3:00 local time on Friday, 26. February. After hackowaniu on the stock exchange Coincheck has held a press conference, which presented the details of what happened and what will happen next.
Hack included only NEM. No other kryptowaluty, including Ripple, was not stolen, unlike the previous reports, enabled via Cointelegraph. According to representatives of stock exchanges, hackers were able to steal the private key for the hot wallet, which contained coins of the NEM, which allowed them to resource depletion. All the stolen money belonged to customers of the exchange. «Lack of» flow of funds was presented Coincheck for the Japanese Financial Services Agency and the police on the same day.
Shortly after the breach, the company ceased all payments, hoping to stop further damage in its funds. On the question whether in the near future will start to allow » at least,» cash withdrawals, Coincheck said that this will happen after we establish the best method of behavior.
It turned out that the funds were stored in a simple hot wallet but not much more secure portfolios multiple. Coincheck representatives claimed that the security system differs between the individual coins on the exchange. Other kryptowaluty on the website, there are currently stored in the numerous portfolios, but no NEM. After clicking on a media company noted that «the safety standards were not low; however, the lack of protection for NEM multisig might indicate otherwise. The company explained that it uses different types of portfolios for storage of various assets. In particular, Bitcoin and the Esters are stored in cold wallets memory, but Bitcoin also has the address several times. Ether, «taking into account its nature», is not stored in multisigowym wallets. According to their statement that more than half of permanent employees Coincheck is working on the development of the system, including security.
Looking ahead, Coincheck claimed to know the address of where the stolen NEM currently there is hackers and hopes that will be able to track criminals. Although currently the company cannot disclose how many users it applies, expressed the desire to return all the money that was lost. On the question of whether they intend to continue their activities, or they will have to default, Coincheck said that «in principle,» plan to continue their activities.
While the exchange expressed the desire to return all the lost funds are still wondering how to approach this situation. At a press conference the worst scenario would be that the funds will never be returned. You will be asked if they have some key customers, representatives of Coincheck said «I’m deeply sorry.»what happened.
• Devious ways to prey on crypto currency:
YouTube users are concerned because their computers are used for mining for crypto currency – advertising on YouTube will be accepted through Coinhive.
At a time when the value of crypto currency is changing, people’s desire to have their production in no way diminished. In fact, many people are seeking additional ways to improve production on crypto currency. One of the options, which drew a lot of people known Coinhive code, often embedded in web sites. Now appears in commercials on YouTube, and the users of the platform streaming video complain that their computers were used to mine encryption to third parties.
When reports emerged about the use of advertising on YouTube for mining Monero, Google (the company-founder of YouTube) said that the problem was solved within two hours. Nevertheless, data from social networks and Trend Micro, a company engaged in cyberbezpieczeństwem showed that infected advertising lasted to a week.
Google issued an official statement, which reads as follows:
Mining for crypto currency with the help of ads, is a relatively new form of fraud, which violates our policies and which we are actively exploring. We present our rules, using an advanced detection system on our platforms, which we update as new threats emerge. In this case, the ad was blocked in less than two hours, and the attackers were quickly removed from our platforms.
Still continues, endless arms race between protection and hackers. The reality is that some people try to obtain material benefits for themselves, without the knowledge of other people, will continue and likely expand. As long as kryptowaluty gain value, and the probability to catch and punish is basically zero, there is a good incentive for hackers to take up the efforts.
• Market increases its capitalization:
In the last 24. hours, the market volume increased by 17.4 billion. The value of Bitcoin grew by 3.5%, Bitcoin Cash of 2.4%, Bitcoin, Gold by 0.4%. The greatest growth was NEM at 22%. This increase may be due to pre-price drop after the attack on the Japanese stock exchange Coincheck. The sale created an opportunity for cheap purchases of the currency. Other kryptowaluty also record the growth of a few percent. The total turnover on the exchange today amounted to 21.1 billion dollars, and the market is estimated at 563,2 billion.
source: bitcoinist.com, cointelegraph.com, coinmarketcap.com