Crypto Guides, Knowledge & Insights

Temasek cuts the salary of staff responsible for its failed FTX investment

Temasek cut the compensation of staff responsible for its investment in FTX, which collapsed in November.　　The move comes after the Singapore state-owned investment firm wrote off all of its $275 million investment in FTX group last year.　　Temasek, a Singaporean sovereign wealth fund that manages assets worth around $300 billion, has cut the pay of staff involved in its FTX investment that soured after the crypto exchange collapsed.　　An independent team conducted an internal review of the investment and found that although there was no misconduct by its investment team, the team and senior management “took collective accountability and had their compensation reduced,” Temasek said Monday. It did not detail the amount of compensation cut.　　Temasek had invested $275 million in FTX and FTX U.S. and wrote off all of its investments to zero after Sam Bankman-Frieds crypto group filed for bankruptcy in November. Temasek had taken a 1% stake in FTX International and a 1.5% stake in FTX U.S. as part of its investments.　　Temasek said last year it had spent around eight months in an “extensive due diligence process on FTX” and now said it is “disappointed” with the outcome of its investment and the “negative impact” on its reputation.　　“With FTX, as

2023-05-31Deep Dive

Bybit becomes latest crypto exchange to exit Canada

On May 30, Bybit, a cryptocurrency exchange, announced its intention to temporarily suspend all services and products offered in Canada until further notice, citing regulatory developments within the country. Consequently, starting from May 31, individuals who are Canadian nationals or residents will no longer have the ability to create new accounts on the Bybit platform.　　　　“In response to the evolving regulatory landscape, Bybit has made the challenging yet imperative decision to temporarily pause the availability of our comprehensive range of products and services in Canada.”　　Services to end　　Existing customers of Bybit will retain access to the exchanges services and products until July 31, after which the platform will cease support for all its offerings in Canada. However, customers will no longer be able to increase their positions beyond this deadline. Despite this limitation, they will still have full access to their funds and the ability to withdraw them or reduce their existing positions.　　Bybit has also provided Canadian customers with a winding-down period until September 30. It is crucial for customers to close their positions during this time frame, as any failure to do so will result in the automatic liquidation of all open positions in margin products and derivative contracts.　　The Canadian exodus　　Following

2023-05-31Deep Dive

Is crypto trading a threat to financial stability in Nigeria? Its Pros and Cons

By: Damian Okonkwo　　Pros of Crypto Trading in Nigeria　　a) Financial Inclusion: Cryptocurrencies have the potential to enhance financial inclusion in Nigeria, particularly for the unbanked population. By leveraging blockchain technology, crypto trading allows individuals to access financial services, transfer funds, and engage in transactions without the need for traditional banking systems.　　b) Economic Growth: The adoption of cryptocurrencies can stimulate economic growth by attracting investments and fostering innovation. Nigeria, as a hub for fintech innovation in Africa, has seen numerous startups leveraging blockchain technology to provide financial services. These initiatives have the potential to boost job creation and contribute to the overall economic development of the country.　　c) Cross-Border Transactions: Crypto trading enables fast and low-cost cross-border transactions. Nigeria, being a country with significant remittance inflows, can benefit from reduced transaction costs and increased efficiency in international remittances. This can have a positive impact on the economy by improving the livelihoods of Nigerians receiving remittances.　　Cons of Crypto Trading in Nigeria　　a) Regulatory Challenges: One of the primary concerns associated with crypto trading is the lack of clear regulatory frameworks in Nigeria. The absence of robust regulations exposes investors and consumers to potential risks, such as fraud, money laundering, and market manipulation. The absence of

2023-05-30Deep Dive

Huobi HK offers crypto trading in Hong Kong to retail, and institutional clients

Huobi HK said it applied for a regulated crypto exchange license in Hong Kong on May 29.　　Having applied for the license, it now offers spot trading to retail and institutional clients in the region.　　Huobi HK is now offering crypto spot trading to retail and institutional clients in Hong Kong, having now applied for a virtual asset exchange license.　　The exchange submitted an application notice to the Hong Kong Securities and Futures Commission on May 29, according to a statement on Twitter. Crypto firms need to apply for a license before they are able to start offering regulated services.　　The platform will work with auditors and focus on compliance and anti-money laundering regulations, it added. This will be aimed at meeting the requirements of the Hong Kong Securities and Futures Commission.　　Hong Kong recently introduced a crypto licensing regime for crypto exchanges, in order to protect retail investors and allow for innovation. Other firms including BTSE, JPEX and OKX have said they want to apply for the license.　　Huobis Hong Kong offering operates through the main Huobi website. The exchange said on May 26 that Huobi HK will list bitcoin and ether, among other major coins.　　“Regulation of web3 in Hong Kong will contribute to the

2023-05-30Deep Dive

Bali Tells Tourists: Don’t Pay With Crypto

Local authorities have warned that tourists who attempt to use crypto as a means of payment will be “dealt with firmly.”　　Foreign tourists who use crypto as a means of payment in Bali will be “dealt with firmly,” local authorities have warned.　　Speaking at a tourism development press conference on Sunday, Bali Governor Wayan Koster said that visitors who pay with crypto or break other rules could be deported, face criminal penalties, or be dealt tough sanctions.　　“Foreign tourists who behave inappropriately, do activities that are not allowed in their visa permit, use crypto as a means of payment and violate other provisions will be dealt with firmly,” the leader of the Indonesian island province said, according to Channel News Asia.　　Indonesian law dictates that all transactions carried out in Indonesia must be settled in the local currency, the rupiah. Anyone using other forms of currency can face up to one year in prison and a fine of as much as 200 million rupiah ($13,300).　　The rules were originally introduced to defend the rupiah against the widespread use of the U.S. dollar in the country.　　But in recent years a new alternative has gained traction, as crypto enthusiasts have been drawn to the so-called ‘Silicon Bali’.

2023-05-30Deep Dive

Dogecoin Chart Pattern Suggests Volatility Explosion Ahead

A technical analysis indicator called Bollinger bandwidth suggests dogecoins unusual calm could soon end with a pronounced move in either direction.　　Dogecoin (KNFind/Pixabay)　　Dogecoin (DOGE), the meme cryptocurrency known for its rapid price moves, has been unusually calm this year, underperforming market leaders bitcoin (BTC) and ether (ETH) by a significant margin.　　One technical analysis indicator called Bollinger bandwidth suggests it may be the calm before the storm.　　The indicator illustrates periods of varying volatility relative to the price gyrations and is calculated by dividing the spread between the Bollinger bands by the 20-day simple moving average (SMA) of the cryptocurrencys price. Bollinger bands are volatility lines placed two standard deviations above and below the 20-day SMA average of prices.　　Periods of rising volatility are marked by a sharp increase in the distance between the two bands and the widening of the bandwidth. Conversely, the two bands contract and the width narrows or declines during a volatility lull.　　An usually wide or high bandwidth indicates the ongoing bullish/bearish trend is nearing an end. Meanwhile, an unusually low bandwidth suggests the market may be about to initiate a pronounced move in either direction, as Fidelity　　When the bandwidth is too high, its a sign the current bullish/bearish trend

2023-05-30Deep Dive

BKEX freezes withdrawals amid money laundering probe

BKEX, a cryptocurrency exchange, has temporarily suspended withdrawals following the discovery that funds on its platform were involved in money laundering, as stated in a press release on May 29. The exchange acknowledged the situation and assured users that it is cooperating with law enforcement agencies to gather evidence. The suspension of withdrawals will remain in effect for an undisclosed duration. BKEX emphasized its commitment to assisting with regulatory investigations and restoring normal operations, prioritizing the protection of users rights. Throughout the investigation, the exchange will maintain transparent and timely communication and encourages users to reach out to customer service for any additional concerns.　　BKEX users ask questions　　BKEXs decision to suspend withdrawals has sparked criticism from some users who question why all withdrawals were halted due to the actions of a few individuals. Concerns about the platforms financial stability have also arisen, considering the recent struggles faced by other centralized exchanges. However, a representative from BKEX reassured users that services would soon be restored and advised patience. At the time of writing, BKEX has not responded to WikiBITs request for comment.　　The collapse of FTX last year has heightened scrutiny on centralized exchanges. Another example is Hotbit, which recently ceased operations due

2023-05-30Deep Dive

Market Volatility Alert: ARB/TUSD Trading Pair On Binance Drops To 0.35 TUSD

The ARB/TUSD trading pair on Binance experienced a sudden drop to 0.35 TUSD, highlighting insufficient short-term trading depth. The trading volume of ARBs reached an impressive 724,000 units.　　Source: Binance　　Yesterday, an interesting development occurred in the cryptocurrency market as the ARB/TUSD trading pair on Binance experienced a sudden drop to 0.35 TUSD, according to Wu Blockchain. However, the situation swiftly rectified itself, and the pair quickly recovered to its normal price level. During this eventful period, the trading volume of ARBs reached an impressive 724,000 units, far surpassing the typical trading volume.　　This surge in trading activity highlighted the fact that the short-term trading depth of the market was insufficient to accommodate the influx of short-term trading orders. It was evident that the sudden surge in demand for ARBs had momentarily overwhelmed the available liquidity in the market. This situation often occurs in markets characterized by rapid fluctuations, where short-term trading orders can outpace the available supply or demand.　　Despite this temporary imbalance, the market managed to stabilize and return to its normal state relatively quickly. This incident serves as a reminder of the inherent volatility and unpredictability of the cryptocurrency market. Such sudden fluctuations can present both risks and opportunities for traders

2023-05-29Deep Dive

Bitcoin Soars $28,000 After US Debt Ceiling Lift Ready To Vote

Bitcoins weekly situation update showed positive signs, with the price surpassing the $28,000 threshold after the agreement to raise the debt ceiling was announced and voted on.　　After seeing the positive news from the US debt ceiling lifting and, like the market comments from the previous article, BTC recovered when it reached the support area at $25,800 and retested the $27,000 and $28,200 areas.　　Currently, in the H4 time frame, the price is close to the strong resistance area combined with the indicators that are located in the overbought area. BTC may correct slightly here. However, on the weekly time frames, the price has appeared strong reversal confirmation candles and is likely to retest the $30,000 – $31,000 area.　　BTC price in the weekly frame. Source: TradingView　　On May 28, according to local time, US President Biden said in a speech that he had reached a final agreement with House Speaker McCarthy on raising the debt ceiling and called on Congress to approve the agreement as soon as possible.　　Biden said that reaching a debt ceiling agreement was an important step forward: “This agreement averted the worst of the crisis” and “eliminated the risk of catastrophic default.” He strongly urged the House of Representatives and

2023-05-29Deep Dive

China raises red alert on NFT, what's going on?

NFT is a hot topic of particular interest in China, and the Supreme Peoples Procuratorate has raised many concerns about this digital asset.　　The NFT Red Alert of the Supreme Peoples Procuratorate of China　　On May 15, Chinas Supreme Peoples Procuratorate issued a series of warnings and comments about the NFT. The nations top regulatory body has highlighted the risks posed by the NFT market. In addition, the Supreme Peoples Procuratorate of China noted the need for a new law for NFTs due to the sharing of some properties of digital assets.　　Procuratorate Daily is the official newspaper of the Supreme Peoples Procuratorate of China. According to multiple comments posted on the agencys article, the current NFT market in China is in its early stages and lacks detailed government regulations and industry standards.　　Chinas Supreme Peoples Procuratorate warned about the NFT.　　Prosecutor Wang Xia-fen, one of the articles authors, commented that NFT trading in China poses many financial and social risks, including fraud, price manipulation, and illegal fundraising activities. legal... Mr. Wang noted some of the NFTs on the market are counterfeit and not minted on the Blockchain.　　Despite the risks, the prosecutor also acknowledged the potential of the NFT in promoting the development of Blockchain

2023-05-29Deep Dive

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