Showing posts with label cryptocurrency. Show all posts
Showing posts with label cryptocurrency. Show all posts

Why Bitcoin Could Recover After a 17% Decline - The December 2019 Outlook...

Welcome to the December 2019 Crypto Outlook with Contentworks, an agency specialising in content marketing for financial services, crypto and blockchain. It’s the most wonderful time of the year for many, but will the price of Bitcoin fill traders with festive cheer, or leave them out in the cold? Let’s find out.

Bitcoin had a rough month in November. Its price declined by 17%. In total, the currency has dropped by 21% over the past three months although it has gained by more than 90% year-to-date. This means that it has outperformed stocks and gold. The S&P 500 and the Dow have gained by 25% and 20% respectively while gold has gained by just 14%. The recent decline came as sentiment shifted from volatile assets like crypto and moved to stocks as the market continued to hope that a trade deal between the United States and China will be sealed. That has not happened, seven weeks after the two countries talked about the first phase of the deal.

The price of Bitcoin also dropped as China started to crackdown against unregulated cryptocurrencies in the country. This led to the closure of cryptocurrency exchanges. The crackdown was the biggest cleanup exercise after the one done in 2017 when the price of cryptocurrencies was surging. The latest crackdown is also important because of how important Asia is to the world of cryptocurrencies. According to Chainalysis, 20 of the biggest cryptocurrency exchanges are located in Asia. In addition, 40% of all crypto transactions happen in Asia. Also, the market received reports that the CEO of a little-known exchange known as IDAX had gone missing. This means that its users had lost an unknown amount of money.

However, it is still incredibly difficult to ban cryptocurrencies as this could lead to a thriving underground industry. Instead, governments should put in place meaningful regulations. Therefore, the market will continue to pay close attention to China in December to see what happens.

The market will also focus on North Korea. In November, it was reported that the country was developing its own digital currency. Unlike the Chinese digital yuan, North Korean officials said that the currency will be more like Bitcoin. The digital yuan will be a normal currency but in digital format. It will be monitored and controlled by the PBOC. Meanwhile, North Korea’s currency will be a real cryptocurrency that will be mined by users from around the world. The country, which hosted a blockchain summit in April, hopes that its currency will help it get around the crippling sanctions placed by the United States. Talks between Kim and Trump appear to have been unsuccessful. In recent years, isolated countries like Iran and Venezuela have turned to crypto to do business.

A look at the Bitcoin chart shows that it’s likely the price could recover in December. Firstly, the BTC/USD chart has reached a 61.8% Fibonacci Retracement level on the 52-week chart shown below. This is usually an indication that prices could recover. Secondly, the price of Bitcoin has historically risen in December. It reached an all-time high in December 2017 and this year’s rally started in December. Finally, the market is still thinking of halving, which will happen in April next year. This halving could lead to a significant rally. We saw that earlier this year with Litecoin.

The market will also be watching a number of events this month. The most important ones will be the World Blockchain Summit in Bangkok, Elev8Con in Las Vegas, and the Blockchain Innovation and Investment Summit in Dubai.

At Contentworks, our team of financial professionals closely follows market movements for FX, Crypto and other tradable instruments. We are proud to serve some of the biggest crypto and fintech companies in the world by delivering high-impact articles, videos, PR and white papers. 

Information Provided via Press Release
Distributed by Global Crypto Press Association Press Release Distribution for industry.

BUSTED: 6-Month Manhunt Ends As Police Arrest... An Instagram Influencer?! Meet The Serial Sh*tcoin Peddler...

One after another, Aziz "Com" Mirza pushed any scam or ponzi scheme with a referral program, as long as he thought it would make him a profit.

Aziz's verified Instagram account is still online, and served as the primary platform to scam his 800,000+ followers.

But posting commission-earning affiliate links to other people's scams started getting old - he knew how much the owners of these scams were keeping, compared to his small cut.

While he is a Canadian citizen, he's also Arab, and claimed to be a Muslim. What seemed like a smart move at the time, he used this to target rich middle easterners - a move that will come to backfire on him.

With an established audience, and plenty of practice - he just couldn't resist starting a scam of his own...

Aziz proudly introduced what he called "Habibi Coin" claiming it somehow was the only cryptocurrency compliant with the strict Muslim Sharia guidelines. 

Ironically, the Twitter profile for Habibi Coin, which hasn't been updated since 2018, still has a pinned tweet that warns their followers to avoid getting scammed - cautioning them that "Scammers are impersonating official @HabibiCoin..."

Aziz pushed his coin with a boldness he hadn't shown previously.  Instagram posts weren't enough, so he then talked his way into a business club called the 'Muslim Entrepreneur Network', where was able to give his pitch on stage and in person to large audiences.

With promises that investors will profit or he would pay their losses out of his own pocket, he brought in a wave of 1500+ new investors with a $2000 minimum - but most invested much more.  $25,000+ investments were common, with the highest known so far from a single person being $500,000.

Aziz gives his pitch for Habibi Coin.

"Com deluded us into believing that he was an immensely successful businessman in Dubai. We were dazzled by his upholstered lifestyle and thought he could be a value addition to the network"
says the group's founder Harun Rashid.

There was even a brief period before everything came crashing down where Aziz attempted to break into US/Canadian markets, as seen in a video and podcast from US 'get rich quick' personality Tai Lopez. Surprisingly, these can still be viewed.

We attempted to reach out to Tai for a comment, and have not yet received a response.

Tai's disclaimer does warn that he "may receive compensation for products and services recommended to you" - so perhaps Aziz just paid for the right to play 'expert investor' on camera.

But in reality, Aziz couldn't even scam right.

Okay, there's no 'right way' to scam, but some scammers are smarter than others - and Aziz is far from genius.

Habbibi Coin was never listed on any exchanges, there was an ICO, followed by an announcement that they were extending the ICO dates to raise even more... and well, that's it.

Having covered so many scams, I've noticed many are smart enough to spent at least some of the funds raised on getting the coin listed on exchanges, and doing some post-ICO marketing - this way they're doing something besides just raising funds.

Sure, the scammer was never qualified to launch a real product or service, so the ending is the same - a worthless coin and a rich 'founder.  But at least that founder can blame everyone else by shrugging their shoulders and pointing to "the market" as the reason their coin lost 99% of it's value.  Then, just hope playing dumb works in your favor - unfortunately, sometimes it does.

Then, it all caught up with him...

Aziz has just been arrested in Dubai, after a resident of the nation told authorities he was a victim. Unknown to Aziz, for the last 6 months UAE authorities had been waiting for his next visit.

He is currently being held in Al Awir prison, Gulf News confirmed, with only the general charge of "fraud" given publicly thus far.

While I can't imagine what his defense would be regardless of where he was apprehended, there's not many worse places to be under arrest than in Dubai.  It's not the kind of country where you can hire a high profile lawyer to find some technicality/loophole to get off on.

So while he hasn't gone to trial yet, I feel comfortable breaking one of journalism's rules and jumping to conclusions - we won't be hearing from Aziz for awhile.

When released, he'll likely have charges in other countries to face, with the US, Canada, and Greece all saying he's under investigation as well. After serving his sentence, the UAE would then release him straight into custody of one of these countries when the time comes.

Any current and potential future scammers reading this - learn from Aziz's mistakes.  You can't be a successful scammer without making so many enemies, that you end up getting caught anyway.

For everyone else - I wish I knew what to tell you, some predictable advice like 'if it sounds too good to be true, it probably is'?  The problem is, every honest scam victim I've talked to will admit they already knew this.

Ever try to warn people they're involved in a crypto ponzi scheme, while it's profitable and paying? Try it sometime and watch them tell you how you're just mad that you missed out, while they argue to defend the people who will disappear with all their money the following week.

So - there is no advice to give people who already know better, and do it anyway.  That's why instead, I would just like to kindly request that you don't overplay your 'victim' status if you fall for one of these - you're really owed 50% of the blame.

Author: Ross Davis
E-Mail: Twitter:@RossFM

San Francisco News Desk

No-Fee Trading Of Over 25 Coins, With A $25 New User Bonus - Now Available on both iOS and Android!

The Voyager App
Crypto trading platform Voyager, created by former execs of E-Trade, Uber, and other giants, has been on a roll with one big announcement after another.

Android users are probably the happiest however, as iPhone users have had the app for months now - the Android version is finally available!

The list of supported coins is growing fast...

It seems like every month a couple more are added, the current list of supported assets is: BTC, XRP, ETH, BCH, LTC, EOS, BSV, XLM, TRX, ADA, XMR, IOT, XTZ, DASH, ATOM, ETC, NEO, BTT, ONT, DOGE, BAT, ZRX, ZEC, VET, QTUM, OMG, DGB, ICX, XVG, and ETHOS.

Ethos will soon re-brand as their native token Voyager after they acquired the digital wallet company earlier this year.

Claim $25 worth of any them, free...

If you haven't tried it out yet, you can still claim the $25 welcome credit, which comes in BTC but can instantly be traded for any of the coins the platform supports.

Not A Promotion: No trading fees, EVER...

This is why it would be worth getting the app even if they weren't giving the $25 bonus.

So, how are they staying in business without charging fees? Every time you want to buy or sell, they search multiple exchanges, instantly locking in the best price at the moment. 

Only after they find you a price below the market average, they can earn a fee by splitting any savings they find with you.  If they can't find you a better rate, you still get your coins and they eat the loss!

But supposedly, 90% of the time they're successfully finding below market deals.

Just announced: Earn interest!

Their most recent announcement allows you to earn from the crypto that you're saving!

The program will begin with 3% on Bitcoin and 5% on Ethos.

All you have to do is... nothing.  Just leave your coins sitting in the app, you'll get an interest payment every month.

Get $25 and open your free account here.

Author: Oliver Redding
Seattle News Desk

Stable Coins - From Completely Off Their Radar, To Regulators New Obsession...

It's always been one of the most discussed topics in crypto - regulations. That's because there's virtually infinite space to speculate on what may happen, and if and when it does, odds are it will effect you for better or worse.

It was in one of these recent conversation that it suddenly hit me - "do you realize how strange it is that every coin we've mentioned so far is a stable coin!?" I said.

For years we functioned under the belief that regulators were far too distracted with coins that could be pumped and dumped, and the launch of new ones (ICOs), to divert any resources to coins that will always be worth the same amount, give or take a couple cents.

Then, just about a year ago - the Tether controversy dominated headlines. 

The 'news' was really just the rumors the crypto world had been hearing for awhile, suddenly receiving a lot of mainstream press.  The accusation being that the USD reserves that 'backed' USDT's pegged $1 value were a lot smaller than the supply of USDT floating around the market.

It turned out true, and Bitfinex resorted to some creative crowdfunding to close the gap. I'm still unsure on what the final answer to 'how did this happen' was. Bitfinex blamed corrupt bankers in corrupt countries, and the fairly large group of traders who hate them insisted that wasn't enough to explain it all.

At the time the uncertainty brought Tether's growth to a grinding halt, but they've now picked up where they left off and Tether's popularity is on the rise again, and has been for several months now.

Tether actually plans to aggressively work to increase adoption of its USDT token, recently partnering with several e-commerce organizations. The Principal Technical Director of Tether, Paolo Ardoino, says "Merchants need to have a stable currency to protect their business from the volatility of other crypto assets such as Bitcoin . Tether is being widely used by merchants and e-commerce teams, but since this is a new trend we are still collecting and evaluating the data”.

Like it never even happened.

In retrospect, it's like night and day looking back on countless people making predictions of the impending doom of Tether and Bitfinex, compared with what actually happened.

The only lesson learned - it's impossible to predict what regulators will deem worthy of 'cracking down' on.  This uncertainty has motivated investors to do what they can to play it safe whenever possible, with many deciding to transfer assets to a regulated cryptocurrency exchange instead.

Just when you thought stable coins were out of the spotlight - along comes Facebook.

With the Tether fire still smoldering but no longer a ‘hot topic’, it felt like we were ready to move on, and potentially enter a period with no major controversies.  Instead, what came next was so controversial, news outlets that never cover crypto felt the need to jump in. 

The announcement that Facebook wants to create a cryptocurrency sent politicians into a frenzy.  The timing couldn't have been worse, following a string of non-crypto related scandals.

It's a dangerous mix - lawmakers who don't understand the tech, and with the belief they're stopping an evil company from some huge power grab.

On that note, we have the first ridiculous 'solution' to be proposed - Sylvia Garcia representing Texas 29th congressional district wants to classify stable coins as a security, proposed in what she's calling the "Stable Coins Act of 2019".

The one hope we have now as an industry is that finally there's a presence in Washington of lobbyists who can hopefully educate lawmakers and help insure attacks meant to stop Facebook specifically doesn't come with massive collateral damage.

So that's where things stand today, and really, literally anything can happen from here. So I will try my best to keep all of you updated!

Author: Ryan Stewart
Northern California News Desk

November Crypto Outlook: Will the New Bitcoin Rally Continue?

Welcome to the November 2019 Crypto Outlook with Contentworks, an agency specializing in content marketing for financial services, crypto and blockchain.

Cryptocurrencies have been the best-performing assets in the financial market this year. Litecoin, Bitcoin and Ethereum have gained by 138%, 77% and 26% respectively. Gold and S&P 500 in comparison have gained by 16% and 20% respectively this year. The gains seen this year are in contrast to the significant losses that happened in 2018. In October, the price of Bitcoin rose by 10% after the sharp declines experienced in the previous three months.

November will be a significant month for Bitcoin and other cryptocurrencies. The market will scrutinise the documents released by Canaan, as the company prepares for its IPO. Canaan is the second-biggest Bitcoin mining machine maker. The company has already filed papers with the SEC and is offering its size at $400 million. The company attempted going public in Hong Kong in 2018 but was rebuffed by the exchange, which considers crypto IPOs as being premature. In the latest SEC filing, the company said that it lost $48.2 million in the first half of the year.

The market will also focus on China, which is expected to launch its digital currency during the month. The People’s Bank of China (PBOC) has been building a digital currency as it hopes to ease cash transfers. The currency will be a digital version of the yuan. Critics say that the currency will lead to increased surveillance by the Chinese government. The country accelerated development of the currency after Facebook unveiled its desire to launch Libra. In a statement a week ago, President Xi Jinping hailed blockchain and suggested that China should seize the moment. This led to Bitcoin’s price to jump by 15%.

Traders will also focus on Libra, the cryptocurrency project that is being built by Facebook. In October, Libra was in the news as some of its biggest backers like Visa, Mastercard, and PayPal withdrew from the association. These companies are afraid of the spotlight that Libra has gained from global regulators and politicians. European leaders like the French finance minister have warned that they will not allow Libra to take over from the euro. In testimony to Congress, Mark Zuckerberg urged American politicians to support Libra because other countries like China would be winners if Libra was left to die.

The market will also be looking at the crypto-loan market. In a recent article, Bloomberg wrote that the loan market is worth more than $5 billion. The industry began less than two years ago and accelerated in 2018, during the big crash. Holders who were afraid of selling their Bitcoins loaned them out to people with the goal of earning interest. Other people borrowed money and used their coins as collateral. There are concerns that the new market could pose significant risks in the market.

There will be several major crypto events during November. In Athens, enthusiasts will gather for the Decentralized event on October 30 to November 1. This is one of the fastest-growing crypto-related events. Charlotte Day, the creative director of Contentworks will be a speaker at the event. In Mexico City, Meridian, the first Stellar Conference will take place. This event will target people interested in the Stellar industry. Other main events to watch will be Convergence in Spain, The Capital in Singapore, and Indonesia Blockchain Week.

At Contentworks, our team of financial professionals closely follows market movements for FX, Crypto and other tradable instruments. We are proud to serve some of the biggest crypto and fintech companies in the world by delivering high-impact articles, videos, PRs and white papers.

Information Provided via Press Release
Published By GCP Press Release Distribution Services For Industry.

Bitfinex Launches Affiliate Program with 1 Big Surprise - 3 Tiers Of Earnings!

While we knew the Bitfinex Affiliate Program was coming, what no one expected was for it to be 3 tiers.

Bitfinex rose to fame by leading the way for leveraged trading in the cryptocurrency market, offering their users up to 100X on trades, turning a $10 trade into $1000 in value.

However, Bitfinex isn't without controversy, recently they banned US members - which are still found openly discussing how they use the site anyway via proxy or VPN.  But they did lose thousands of traders who were successfully scared off of the platform.

But Bitfinex has proven to be unstoppable thus far, and I wouldn't worry about waking up one day to the site, and your commissions gone.

So, here's how the tiers will work:

- The friend you referred, you earn 18% of their exchange fees.
- People your friend referred, 6% of their exchange fees.
- Friends of friends, 2% of their exchange fees.

Bitfinex isn't an exchange for HODLers - the frequency of trading by users means this could end up being pretty lucrative.

... well, maybe.

There's one potentially huge problem - who doesn't know about Bitfinex at this point? 

But there's always new traders coming into the market, and long term this could still be a win for those who manage to get a couple people to join every week.

Anyone who signs up to Bitfinex can access the affiliate program by clicking the button at the top right of the site.

Author: Adam Lee 
Asia News Desk

1000 Tokens FREE For EVERYONE - The Blockchain Powered App That Pays Users To Explore The World...

Get paid to explore the world!

The Coin App has launched, and this is one project you want to keep an eye on.

That's because they've pulled off something new, blurring the lines between the digital and real world with the creation of "Geo Mining" - earning tokens by going to a location in the real world.

Staying true to the ideology of blockchain, users also control where those locations are. For example a business can turn their address into a geo-mining location and attract people to their location by rewarding them with tokens.

But that's not the only way to earn tokens, you'll be mining through the app as long as you have it running throughout the day.

Where they've really gone all out - their hardware.  Want to put your coin earning power into overdrive, they have an entire geomining kit that includes their pocket-sized mining sentinels and their hardware bridge.

Rather than ranting here, you can learn all about on their platform after you hurry up and claim 1000 tokens just to download the free app, there's iPhone and Android versions!


Author: Adam Lee 
Asia News Desk

Bitcoin Loans, And The Shocking Number Of Crypto Traders Who Don't Know How To Take Advantage Of Them...

It honestly surprises me at this point when I hear someone who's generally deeply involved and invested in the crypto world, and they've sold their coins instead of kept them by using them to get loans when they needed money.

For some perspective, on a 6 month loan you would have taken it out with Bitcoin in the $5000's.  Depending on how much cash you took out and spent, Bitcoin trading in the mid $8500's today means if you took out $3000 USD, your loan could already be fully paid off just by the increase in bitcoin's value - now your loan is paid back, AND you get all your crypto back.
Oh, and I should probably mention - it's all tax free!  A loan is not considered income in the vast majority of countries.

Someone please explain to me - why isn't everyone doing this?

Curious, I browsed several crypto themed online communities trying to gather what some misconceptions may be.  I spotted many people seeking a bitcoin loan shark, or try to get a bitcoin loan without collateral.   Well, that won't happen, there's no anonymous bitcoin loan or way to get an instant bitcoin loan from someone offering one when you have no collateral.

There is instant bitcoin loan verification however - moving into 2020 the number lenders to choose from is growing fast. 

Also growing in popularity - people getting a loan to buy bitcoin, with bitcoin!  It's a trick those who use generally keep quiet about.

While you'll never find crypto loans without collateral, there's so many quality crypto lending platforms you don't need to worry about putting the collateral up.   Because of smart contracts and blockchain, there's no such thing as an 'unsecured crypto loan'.

However, the thing that shocks people who have taken out loans, or earned interest on funds they lent out - the flexibility in the crypto loan world.

No penalties for paying a loan off early, and in most cases if you're doing an interest earning program - the profits become available every month!  No waiting for an investment to 'mature' - you get paid as you go.

As for where to start, we currently recommend:

If you're outside the US: YouHodler.

Inside the US: BlockFi.

Both have solid reputations, and enough past/present users that we've heard a lot of feedback 

Author: Matt Miller
London News Desk - A Partner Site of The Global Crypto Press

An Official US National Cryptocurrency? Federal Reserve President Says - It's Coming...

Patrick Harker, president of the Federal Reserve of Philadelphia, believes that sooner or later the US will develop its own national cryptocurrency. The representative considers it "inevitable" in the future, saying central banks around the world will eventually begin to issue digital currencies.

Speaking this week at the Community Banking Conference in St. Louis, Harker pointed out that the United States shouldn't rush to issue a national cryptocurrency, but stressed that it's time to begin learning how it works, saying "It is inevitable ... I think it is better for us to start getting our hands around it."

Quite a leap from less than a year ago, where researchers at the Fed quickly brushed off the entire concept, at the time saying “Cryptocurrency is still a very young technology and there are large operational risks. Overall, we believe that the call for a ‘Fedcoin’ or any other central bank cryptocurrency is somewhat naive.”

But don't expect breaking news on this front soon, Harker believes a national cryptocurrency is still at least 5 years away.

Author: Mark Pippen
London News Desk

October 2019 Crypto Outlook: What Next After the September Crypto Plunge?

Welcome to the October 2019 Crypto Outlook with Contentworks, an agency specializing in content marketing for financial services, crypto and blockchain.

In September, Bitcoin made the biggest decline this year. In the month, the price declined by as much as 20%, which led to the decline of other cryptocurrencies as well. The decline happened after the lukewarm reception of the new futures contracts by the New York Stock Exchange. The market also reacted to the news that VanEck/SolidX had withdrawn their ETF proposal from the SEC. This was a major news because enthusiasts have been following the news hoping that an ETF will bring in more demand.

In October, cryptocurrency enthusiasts will focus on price movement. They will want to see whether the decline will continue or whether the price will retest the previous highs. There are those analysts who expect the price to continue moving lower and others who expect the price to jump. In a Tweet, John McAfee said that his target of the Bitcoin price reaching $50,000 remained. In addition, traders will be focusing on the earnings season, which will start in the next few weeks. In the past, some major crypto-related news has been released during the season.

Another thing enthusiasts will be watching will be Libra, the cryptocurrency project that is being created by Facebook. The currency has continued to face increased scrutiny as regulators and policymakers think about how it will impact the world. Some countries, like China have said that they could accept the currency. Other countries, particularly those in Europe have opposed the currency. In a report by BBC, France finance minister said that the currency should be blocked in the region. He said:

"This eventual privatisation of money contains risks of abuse of dominant position, risks to sovereignty and risks for consumers and for companies. Libra also represents a systemic risk from the moment when you have two billion users. Any breakdown in the functioning of this currency, in the management of its reserves, could create considerable financial disruption. All these concerns about Libra are serious. I therefore want to say with plenty of clarity: in these conditions, we cannot authorise the development of Libra on European soil."

Europe has been very vocal in opposing the currency. The region’s cautiousness and over-regulation have been blamed for the recent slowdown in the EU’s economy. It has also been blamed for the lack of any major technology company from the region.

While Europe and some politicians from the US have opposed Libra, China has been busy developing its own digital currency. The currency is being developed by the People’s Bank of China as it tries to digitize the yuan.

In October, crypto enthusiasts will be following a number of high-level events. On October 1 and 2, focus will be in Seoul, where the CoinGeek Conference will be taking place. All eyes will be on Dr. Craig Wright, who will be the main speaker of the event. Craig has publicly claimed that he is the founder of Bitcoin. Other top speakers will be Jimmy Nguyen, the founding president of the Bitcoin Association and Lise Li from the Bitcoin Association.

On October 30 - November 1, the crypto crowd is heading to Decentralized in Athens. Decentralized has established itself as Europe’s premier conference on blockchain and digital currencies. Decentralized 2019 will bring together the world’s leading business executives and academic experts to debate current trends and future developments.

Other events that will be watched closely will be the Global Blockchain Summit in Colorado, the eight annual blockchain mastermind in Washington, and the Osaka blockchain week in Japan.

At Contentworks, our team of financial professionals closely follows market movements for FX, Crypto and other tradable instruments. We are proud to serve some of the biggest crypto and fintech companies in the world by delivering high-impact articles, videos, PR and white papers.

Information Provided via Press Release
Distributed by Global Crypto Press Association Press Release Distribution for industry.

US Based Binance Users - You're About To Get Banned! What You Need To Know To Plan Your Move...

Binance USA
With the official launch of Binance USA, you can be sure the day is coming where you will try to login to Binance just to be told you're no longer allowed to access the site.

Well, no longer allowed to trade I should say - they'll still need to give users the ability to withdraw their tokens.  Easier said than done, as we're discovering that there isn't a single exchange that allows US traders, that also lists some of the coins you may have acquired on Binance.

While publicly they've tried to downplay what a mess this is, for those who own a variety of coins accumulated on Binance, there's no way to sugar coat it - this is going to be massive headache, requiring a combination of solutions.

Originally given the date of Sept 14th, it's surprising US traders aren't locked out already - either way, it's time to plan your move.

Where we are, how we got here...

For those who haven't been following closely - in early June, Binance announced that the only way to stay compliant with US regulators was to remove US traders from their platform.

I'll refrain from going into a long rant, but we can't completely pass over how pathetic it is that the US is the birthplace of both computers and the internet - yet we're being forced onto the sidelines of the blockchain/crypto revolution as our tech-illiterate leaders do nothing to keep up with the times, and have left regulators with laws written in the 1940's to regulate crypto.

Any company raising funds via fraudulent methods deserves to be taken down, but the SEC's confusing enforcement methods have sent totally legitimate crypto start-ups running to anywhere but here.

Switzerland jumped onto the opportunity US leaders created, as their leaders authored clear guidelines that allow legitimate crypto businesses to grow, while maintaining the ability to shut down any bad apples.

But they haven't had to shut down any bad ones - Switzerland's "Crypto Valley" is now home to over 800+ blockchain companies, and so far, none are accused of anything shady.

The end result - a massive multi-billion dollar economic boost for Switzerland, and thousands of new jobs. Much of the funding coming from accredited US based investors, now spent stimulating foreign economies.

A recent perfect example of US leader's failures causing real economic loss - while Silicon Valley is the home of Facebook, it won't be home of Facebook's cryptocurrency project "Libra" - they're off to Switzerland as well.

This is just the tip of the iceberg, if you want a better understanding of just how badly the US is screwing this up, I wrote on that in more detail here.

But you get the idea - Binance, like so many other companies, wants to avoid finding themselves in the cross-hairs of a country with the deadly combo of laws written before the invention of the internet, and regulators who aren't afraid to apply them to something as new as crypto.

Long story short - this is why you're getting the boot from Binance.

For many, there won't be 1 simple solution ...

The concern isn't over 'crypto trading' in general, it's about specific coins which may or may not be determined to be an unlicensed security by the SEC.

If you own only the big coins - Bitcoin, Bitcoin Cash, Ether, Litecoin, XRP, etc, the transition will be pretty smooth.

But if you own a variety of coins, you may have a long road ahead as there is no single place to trade everything you acquired on Binance.

Binance's solution...

"Binance USA" has just opened for business, along with a $15 reward for signing up, so go ahead and make an account, it can't hurt.

Here Binance has partnered with US based company to launch - a version of Binance that uses their tech, but only offers coins they believe to have no risk of violating any US regulations.

Unfortunately, this falls way short of being a true solution for a couple reasons.

First - it isn't even available to everyone in the USA. Currently residents of 13 US states will be unable to use the US version of Binance.  However the CEO says this is only the situation at launch, and they're working on obtaining the licenses needed to open to users in these states.

Second - if you own any of the coins in question, Binance USA obviously won't be listing them either.

So even with Binance USA, you're left holding coins with no place to trade them.

For the coins left in limbo...

"Never leave coins on an exchange" is a rule I generally follow personally, and that's my official advice - find a wallet you would own the private keys to, and send them there.

But you'll still need a place to trade them when the time comes.

So, for exchanges that allow US based users and carry many of the coins you can no longer trade with Binance - you should be able to find most between KuCoin and Bittrex.

Note - you'll need an account on both, many are one or the other.  Everyone's needs are different so you'll have to take a look at which coins you have, and compare with the coins listed.

Unfortunately this doesn't solve everything - there's a few coins that appear to be completely homeless, with no exchange that allows US members listing them.

The rebel solution...

Binance has something called a "limited account" - this is an account where you're not required to prove your identity.

In theory a US resident could use a VPN and then go to Binance to create a limited account from another country.

Daily limits on this type of account is lower, I believe it's 2 BTC - so for the average trader this won't be an issue.

I'm not endorsing this option.  The risk is unknown but potentially large - what happens if you slip up?

In closing...

There's only 1 actual solution to this - and that's the US joining the year 2019 by passing laws that acknowledge cryptocurrency is a new asset class that old laws fail to properly regulate. 

There's some hope coming from a small group of congressmen, but I question if any actual work is being done these days. 

If what makes the news accurately represents the work being done in Washington DC, our leaders are busy re-visiting the 2016 election, or preparing for 2020 - all while our economy continues to bleed out billions of lost dollars through the current 'scare companies and investors away' set of policies.

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Author: Ross Davis
E-Mail: Twitter:@RossFM

San Francisco News Desk

Kim Dotcom Is On The Verge Of Launching His Crypto-Powered, Censorship-Free, Decentralized Platform That Monetizes Your Content...

Called "KIM" and found at the easy to remember address, the project is headed by Kim Dotom - the man who became a target of large entertainment companies and governments with accusations of countless copyright violations.

However, he never uploaded any pirated content - users of his site "MegaUpload" did. But those who wanted the site taken down insisted simply owning the massively popular file sharing website made him liable.

For perspective; none of today's social networks would be able to function if held to these standards - they likely host millions of copyright-violating files between video, images, and music.