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Bitcoin Gemini Exchange Review 2020

Bitcoin Gemini Exchange Review 2020
If you are planning to place assets into cryptographic types of cash like Bitcoin or Ether, in any case, you do not understand where to start, this Gemini exchange review will help you with choosing.
Gemini Bitcoin Exchange Review 2020
You need yourself to be a productive advanced cash intermediary. By what technique will you become? To help you here's an exchange review, which will give every one of you the low down information required for a powerful enthusiasm for one of the most trusted in stages the Gemini Exchange.
We should find all the more right currently review
Gemini Review :
About Gemini Exchange
Twin kin developed Gemini Winklevoss in the year 2014. The Gemini exchange is arranged in New York. The Gemini crypto exchange is open in essentially all US states, similarly as UK, Canada, Puerto Rico, Singapore, South Korea, and Hong Kong. In 2016, Gemini transformed into the world's recently approved Ether exchange.
It positions 82th greatest exchange on earth as showed by 24-hour volume on Coinmarketcap. While Gemini Bitcoin and Gemini Ethereum trading volumes are high, the exchange is endeavoring with all undertakings to fight with those stages offering a predominant piece of the cryptographic types of cash, for instance, Binance.
Reinforced Currencies
Gemini offers crypto to fiat portions and a BTC/ETH grandstand, which makes it a quick contender to any similarity to Coinbase, Bitstamp, and Kraken. At present, it is one of the most respected and ensure about exchanges open. This is in light of the fact that it has more features to help secure customers against developers. Also, it is one exchange for the CBOE Bitcoin future settlement. Gemini Mobile application is directly available, which is amazingly basic and versatile to use.
How to use Gemini?

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1) Go to the official site and snap the "Register" tab on the upper right corner.
Enter your name, email address, and mystery word for your own record. While affirming your email address, it is critical to :
Affirm your email address and enter both your region and phone number, by then you can set up 2-Factor Authentication (2FA) which will be an additional layer of security to your record.
Incorporate your monetary equalization. Starting at now, Gemini recognizes simply bank moves and wires, as a methodology for putting away holds.
To check your record, move your organization ID proof. This will help you with executing and trade US Dollars. Moreover, it will help Gemini with as per the Bank Secrecy Act (BSA) and Anti Money Laundering (AML) rules. The affirmation time may run from a couple to a couple of days.
Subsequent to completing of all the above strategies, you can use your record for financing.
gemini crypto exchange
2) Deposit Currency
In the Menu, click Transfer Funds, by then find a good pace Bank Transfer and Exchange. Enter the whole you have to store here. Moreover, note $500 consistently is the most extraordinary most extreme for Bank moves.
3) Trading Bitcoin and Ethereum
As you store by methods for bank move, they are quickly available for trading. you can purchase by encountering the menu and picking your supported trading pair. For example, for Bitcoin BTC/USD similarly as Ethereum ETH/USD.
In the wake of embeddings the expense and sum it will process your buy demand. There is another choice to trade by methods for the business community which has exhibit orders gave by various customers.
After the fulfillment of your purchase, your record will be acknowledged with your Ethereum just as Bitcoin purchases. You can sell your computerized cash on the Gemini crypto exchange. Regardless of the way that you can't make a withdrawal until your bank move has been completely arranged.
gemini sponsor organization
4)Trading Limits
By and by, For most trade strategies, there are no limitations on trades. In any case, Automated Clearing House (ACH) moves have the greatest store most remote purpose of $500 day and $15,000 consistently for singular record holders. Associations have a state of restriction for making ACH stores of $10,000 consistently or $300,000 consistently.
Gemini Marketplace
There is a Gemini business focus that runs 24*7. Here, you can have indistinguishable number of solicitations from you wish to have, with a variety of trading choices. These include:
Market Orders – With the present best open worth, the solicitations here starting dealing with quickly against resting orders.
Purpose of repression Orders – The sum is filled at or better than a given expense. The sum which isn't dispatched lays on the solicitation book diligently until it is filled or dropped.
Brief or Cancel (IOC) Limit Orders – The sum is filled at or better than a given expense. The sum which isn't filled rapidly is dropped and doesn't lay on the perpetual solicitation book.
Maker or Cancel (MOC) Limit Orders – The sum lays on the solicitation book continually at a foreordained expense. Furthermore, the entire solicitation is dropped if there is any sum that can be filled immediately.
All solicitations made on this stage are totally sponsored and fill in as a full hold exchange. In any case, there is no edge trading Gemini. Despite that, reliably the customer's record equality should have more balance than the exceptional excitement on demand books. Also, all open solicitations decline your available leveling until they are fulfilled or dropped
Gemini Fees
In the event that there ought to be an event of moves, Gemini crypto exchange has a low cost technique and stage customers can store Bitcoin, Ether, at freed from charges for both bank and wire moves. In any case, banks will charge a cost for the customers to wire money to their Gemini account. Withdrawals on the stage are free and all customers will have 30 free withdrawals for each calendar month.
Any withdrawals more than this total will pull in costs comparable to the mining charges payable on either sort out. The costs are around 0.001 BTC or 100,000 Satoshi per trade on the Bitcoin Network and 0 GWei or 0 ETH per trade on the Ethereum Network.
MakeTaker charges
0.25% is the trading costs for both sellers(makers) and buyers(takers). If it shows up at certain trade volumes, charges will be reduced. The maker charge is 0% for 30-day trading volumes that outperform 5,000 Bitcoin or 100,000 Ether. For a comparable trading entirety, the taker run after will bubble to 0.10%.
Gemini uses dynamic maker and taker charge or reimbursement timetable, and sellers can get reimbursement on liquidity-creation trades. The particular entireties depend upon net trading volumes and the buy and sell extent over a multi day time allotment. The data are adjusted as expected and more information on charges can be found here.

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charges
Concerning purchases, the base purchase whole for Bitcoin is 0.00001 BTC, or 1000 satoshis, for Ether, the base sum is 0 .001 ETH
Security-at-Gemini
Bitcoin Gemini Reviews, is a strong exchange that has a better than average reputation in everyone. The exchange goes about as a way into the universe of cryptographic cash trading. This may be in light of the fact that various customers first quit concerning purchasing Bitcoin and Ethereum. In comprehension to Coinbase, Gemini has a near space. Wherein it allows its customers to make trade clearly to and from their records.
Gemini is a not too bad choice, for people looking to securely trade either Bitcoin or Ethereum. The exchange is a potential decision for new competitors to the market similarly as logically settled sellers who like to make trades by methods for their monetary adjusts.
Latest News
Dec 17, 2019: Well realized cash related pro association State Street picked Gemini exchange for the new propelled asset pilot adventure.
Nov 19, 2019: Gemini exchange wanders into NFT's and acquired Nifty Gateway Solution, a phase to buy Non-Fungible Tokens.
Nov 14, 2019: The exchange added Stop-Limit to the solicitations being executed on the stage.
Sep 11, 2019: Gemini dispatches Gemini Custody with 18 cryptographic types of cash
Sep 5, 2019: Gemini Clearing™, a totally electronic clearing and settlement answer for off-exchange exhibited by the stage
Aud 27, 2019: Gemini Joins the Silvergate Exchange Network
Aug 22, 2019: Gemini loosens up and reaches to Australia
April 15, 2019: Gemini wallet support Segwit
Gemini Bitcoin Exchange Review
Rundown: How to Buy Bitcoins by means of Gemini
Register a record at Gemini and check email code sent to you.
Set up two-factor validation (2FA).
Give checked ID as a major aspect of the confirmation procedure.
Include ledger.
Store cash by clicking "Move Funds", "Store into Exchange" and afterward picking the sort of bank move.
Snap "Purchase" catch and round out the buy structure to get BTC.
Is Gemini Safe?
Gemini is extremely worried about its clients' wellbeing, in this manner it utilize three arrangements of security...
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Gemini Comparison with Other Exchanget
To exchange bitcoins you have to initially peruse and think about various BTC trades...
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In Which Countries Is Gemini Available?
You can arrange bitcoins through Gemini nearly in any nation, yet discover where you can't...
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Guide: Buying BTCs at Gemini
It is anything but difficult to purchase bitcoins on Gemini trade, knowing the essential standards and prerequisites...
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FAQ
Discover to what extent the exchange takes, how to pull back BTCs and what strategies for...
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Practically equivalent to Bitcoin Exchanges
We have arranged a rundown of trades, notwithstanding Gemini, that can assist you with requesting bitcoins...
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With developing worth and system, bitcoin is ready to turn into the main online resource in the realm of ventures.
Gemini bitcoin trade survey
This article is worried about one of the most well known trades with regards to BTC exchange, Gemini.
What Is Gemini?
Gemini is one of the realized digital money trades that offer an assortment of exchange apparatuses for speculators that have some involvement with the business. The organization that claims the stage is enrolled as LLC in New York State, USA, offering USD to BTC and USD to ETH exchange trade.
Purchase BTC at Gemini
Propelled in 2015, Gemini offers two unmistakable commercial centers, them being:
customary trade administrations;
bitcoin barters.
Upon its appearance, the stage offered its administrations in the US just, bit by bit including different nations all the while. The organization is possessed by the Winklevoss twins, who guarantee that they are have about 1% of the complete BTC volume.
Winklevoss siblings are Gemini's proprietors
Gemini Security
With regards to the wellbeing of your assets, Gemini applies three arrangements of safety efforts that should be referenced. To start with, the stage applies advanced money safety efforts by offering hot and cold stockpiling wallets, where cold wallets have multisig capacities to forestall hacking endeavors at your equalizations.
Gemini security
The subsequent measure is identified with the exchange where the entirety of the exchanges at Gemini are led through pre-financed accounts, implying that merchants and purchasers can't post orders on the off chance that they don't have adequate BTC or fiat monetary forms in their parities. Finally, the site security comprises of two-factor verification (2FA) and HTTP encryption of all data in regards to merchants and stage's exchanges from outsiders.
Accessible Payment Methods
As of now, Gemini acknowledges stores communicated distinctly in ACH (for US dealers) and wire moves (for every other person) communicated in USD. Credit or check cards, money stores, PayPal and numerous different alternatives are wanted to be remembered for the future however are not accessible at the present time.
Buy bitcoin by means of wire move
You ought to buy in to the Gemini news source since the organization will promote the new store strategy through that channel of correspondence.
Shouldn't something be said about Fees?
While saving or pulling back your assets communicated in fiat or computerized monetary forms, dealers would find that the administrations are done totally free. Then again, Gemini charges exchange expenses are charged dependent on a month to month net exchange volume. Taker charges can extend from 0.15% to 0.25% while creator expenses from 0% to 0.25%.
Expenses at the trade
Does Gemini Have Limits?
Cryptographic money and wire stores and withdrawals don't have any constraints forced on dealers, implying that in the event that you utilize the said administrations, you can buy, sell and pull back bitcoins with no deterrents. Singular American financial specialists utilizing ACH move, then again, have $500 every day and $15.000 month to month while institutional individuals have $10.000 day by day and $300.000 month to month store limits.
No restrictions for purchasing bitcoin
Gemini Comparison
When thinking about exchanging at any trade, you should hope to analyze the administrations, expenses and impediments with other comparative stages. In this manner, we have assembled an examination investigation where we benchmarked Gemini against two other well known decisions with regards to BTC buy: Kraken and Coinbase.
Gemini versus Kraken
Kraken, much the same as Gemini, acknowledges bank moves just, with the significant contrast being that Kraken permits 5 fiat cash stores. Notwithstanding bitcoin, there are 14 more altcoins that you can exchange with at Kraken while the two trades force check on their customers as they are both controlled organizations.
Gemini versus Kraken
Kraken is fundamentally the same as Gemini as far as expenses, as creatotaker charges go somewhere in the range of 0% and 0.26%. Bank moves do accompany little expenses at Kraken while Gemini acknowledges stores for nothing. In conclusion, while Gemini exchanges two or three nations in particular, Kraken is all around accessible.
Coinbase versus Gemini
Coinbase is viewed as one of the biggest bitcoin suppliers on the planet, offering its administrations in 32 nations, USA notwithstanding. The installment strategies at Coinbase are PayPal, bank moves and credit/check cards, two more than Gemini.
Request bitcoins by means of Coinbase trade
Confirmation is an absolute necessity have at Coinbase, much like in Gemini while expenses are a ton lower at Gemini, as you pay between 1.49% to 3.49% from exchange's an incentive at Coinbase. The two trades offer BTC vaults and wallet administrations while Coinbase additionally exchanges with Litecoin which are inaccessible at Gemini.
Gemini BTC Exchange in Different Countries
Gemini's administrations are accessible in a bunch of nations around the globe, them being the US (5 states not upheld), Canada, Japan, South Korea, Hong Kong, Singapore and the United Kingdom. The five US expresses that are not bolstered are Alaska, Arizona, Hawaii, Oregon and Wisconsin.
Gemini trade in various nations
Is It Legal?
Gemini is an American LLC that adheres to New York Banking Law guidelines, actualizing BSA (Bank Secrecy Act) and AML (Anti-Money Laundry Compliance Program) arrangements, implying that customary reviews of the BSA/AML programs are being executed. Moreover, the firm requires all merchants to have reserves pre-saved before the exchange.
Bitcoin Gemini Price, is legitimate
Another significant factor of the stage's lawfulness is the way that since its beginning, Gemini has promptly accessible money related report dating 7 years back.
Does Gemini Support Its Customers?
Concerning the client service, Gemini has a thorough FAQ page where a large portion of the exchanging questions have been replied. Notwithstanding the FAQ, you can likewise top off a shape and present a solicitation to the Gemini group with respect to any issue that you may look on the stage.
Gemini client service
Because of the regular upkeep of the site's administrations, Gemini has a "Status" page where financial specialists can see which administrations and API instruments are working right now and which are definitely not.
Manual for Buy Bitcoins from Gemini
When you have gotten the cash at your Gemini account, click "Purchase" button on the dashboard page.
Buy page for bitcoins at Gemini
Presently, round out the structure on the right, giving request type, volume or estimation of BTC you wish to get and click "Purchase" to get bitcoins in your record immediately. Try to check the BTC cost at the upper left piece of the "Purchase" page to ensure it has not changed at the time you have begun the buy procedure.
Enrollment
It is totally allowed to enroll a record at Gemini bitcoin trade and the procedure begins once you click "Register" button at the upper right corner of the site. Give your complete name, email address and secret key in subsequent stage and snap "Make My Account".
Make account at Gemini
You will get an email code which you should duplicate glue into the Gemini's check page.
Contribution of enactment code on Bitcoin Gemini Registration
The accompanying advances will open up for you to finish, in this way you have to arrangement your 2FA security apparatus, include a financial balance and give checked ID to finish the enrollment methodology.
To what extent Should I Wait for Verification?
Check stage can take between an hour and a day, contingent upon various enlistment applications Gemini has right now you have begun the procedure. You ought to set up every single essential report before you start and arm yourself with persistence as a stage would set aside effort to process your data.
Confirmation process at Gemini
Would you be able to Get Bitcoins Without Verification?
At the enlistment page, you are required to check your personality and frog your financial balance. When you have presented the records, you can't enter the stage's exchange page until the help affirms your subtleties. In this way, it is unimaginable to expect to buy supply of bitcoins without confirmation.
Obligatory confirmation before purchasing BTCs at Gemini
How to Add Money to Account?
When you have finished the enrollment and confirmation of your record, click button "Move Funds", situated in the top segment of your dashboard page. In following stage, click "Store Into Exchange" and pick either USD or Wire alternative, contingent upon what financial balance you have included at enrollment stage.
Add assets to Gemini account
You can likewise store bitcoins in your Gemini wallet too.
Store BTCs in the Gemini wallet
At the last phase of wire move subsidizing process, you have to give bank's wiring data, for example, your record number and other significant data that can be found by clicking "Bank Settings".
Give bank's wiring data
When data has been given, basically click "Store" button which will show up at the base of the page.
Secure Your Account
Keep the entirety of your record and wallet passwords out of the programmer's compass by continually evolving them. Monitor the new secret key by keeping in touch with them down on a bit of paper as to not overlook them meanwhile.
Record with 2FA on trade
You as of now have 2FA from the enlistment stage and don't give your private data to some other dealer on the stage.
FAQ
To what extent Does It Take to Make Transaction?
It takes 4 to 5 days to store assets in your Gemini account while exchanges themselves are done following you the exchange started. Diverse request types have distinctive length, contingent upon what dealer wishes to accomplish.
Sitting tight for exchanges on the trade
Would i be able to Buy Bitcoin with PayPal at Gemini?
Now, brokers can't utilize PayPal as store technique at Gemini. You ought to buy in to the trade's news channel as to get warnings if the strategy opens up to store alternative later on.
Does Gemini Have a BTC Wallet?
The stage offers two kinds of wallet administrations, one being "hot" wallet and another being vault stockpiling. Both are based just, with the principle contrast being that vault stockpiling gives extra security keys that are utilized while moving bitcoins all through the wallet. Along these lines, vault administrations are esteemed as more secure than the standard BTC wallet.
Gemini wallet
Pulling back Your Bitcoins from Gemini
At the dashboard page, click "Move Funds" and afterward "Pull back From Exchange" to begin the procedure. Pick bitcoins to continue towards the withdrawal structure. Determine the measure of BTC you with to escape the trade and give your wallet address. Snap "Survey Withdrawal" and check the data. When you are fulfilled, click "Affirm" to end the procedure. Your coins will show up inside 24 hours to your ideal area.
Pull back BTC from Gemini
Instructions to Order BTC with Credit/Debit Card at Gemini
As with PayPal, it is preposterous to expect to buy bitcoins with the assistance of credit or charge cards at Gemini, since the choice isn't accessible right now. Stay aware of trade's news and declarations as the CC/DC choice may open up later on.
Gemini Mobile App
Portable stages are yet to be created by Gemini, implying that exchange is accessible on perusing stage as it were. Watch out for the declaration, as the organization may make the push towards telephone exchange not so distant future.
Purchase BTC just on Gemini perusing stage
Gemini Analogs
Aside from Gemini, we at BitcoinBestBuy have checked on numerous different stages that can assist you with getting bitcoins effectively and securely. They all change regarding local accessibility, expenses, buy strategies and confirmation necessities, so make a point to check different articles also.
Get BTC at digital money stages
Coinbase Exchange Review
Being one of the biggest BTC exchanging stages the world, we made a survey of their charges, store choices and other important data with respect to the trade. We have likewise given bit by bit controls on the best way to buy and pull back assets and coins from Coinbase.
Coinbase survey
Full Review Coinbase Bitcoin Gemini Exchange
Find out About Kraken
Kraken is another trade that offers bitcoins through bank moves and its administrations are all inclusive accessible. We made a survey of Kraken's advantages and disadvantages, giving our customers a diagram of the trade as far as expenses the organization charges, check prerequisites and buy procedures of the stage.
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The Biggest Scams In The Crypto History: Part 2

Here’s the sequel of our previous article. You wanted — you got it. Let’s roll!
OneCoin
OneCoin is a good example of a Ponzi scheme. In 2015, the Indian company One Coin Limited began to issue digital currency without a blockchain and decentralization. The old-school MLM (Multi-Level Marketing) strategy was used for the distribution of coins.
The company was selling a wide range of training packages on crypto trading, mining and successful life. There were textbooks, presentations, and other rubbish, among which were OneCoin tokens. They were supposed to allow users to get even more tokens. But the thing was that only One Coin Limited had exclusive rights to issue of coinage. So there were no other options for mining this coin.
On the international conference the founder of OneCoin, Ruja Ignatova, presents these tokens as the Bitcoin killer. See how easy it is to fool users?
Over the years, the company has spread its network globally. And only in 2017, the project gets into a number of investigations and restrictions. Owners and employees of the company more and more often could not answer questions from investors and carried on with the nonsense about “a bright crypto-future.”
Finally, regulators and banks in Italy, Germany, Hungary, Belize, Thailand and other countries have banned the trade of OneCoin and warned users not to get engaged with this company.
In early March 2019, the current OneCoin cryptocurrency leader Konstantin Ignatov, brother of Ruja Ignatova, was arrested at Los Angeles airport. He is accused of fraud and creating a financial pyramid.
According to the United States Attorney’s Office, Ignatov and his sister misled investors all over the world, and as a result, the people invested billions of dollars in a fraud scheme. They are accused of building a billion-dollar cryptocurrency company, based entirely on deception.
FBI Assistant Director-in-Charge William Sweeney, Jr. said:
“OneCoin was a cryptocurrency existing only in the minds of its creators and their co-conspirators. Unlike authentic cryptocurrencies, which maintain records of their investors’ transaction history, OneCoin had no real value. It offered investors no method of tracing their money, and it could not be used to purchase anything. In fact, the only ones who stood to benefit from its existence were its founders and co-conspirators.”
Despite all hardships, One Coin Limited continues to work. If you check out their website you will find everything there: a meaningless text about the benefits of a “revolutionary” token and other signs of a high-quality international project that deceives people.
QuadrigaCX
It’s not possible to take your savings to the grave, right? More than 100,000 clients of QuadrigaCX are ready to argue with that. So let’s try to recount the details of this strange story.
QuadrigaCX was created in 2013 and was Canada’s largest cryptocurrency exchange.
In December 2018, Gerald Cotten (founder and CEO of the QuadrigaCX) and his wife — Jennifer Robertson, were in India on their honeymoon. During this trip Cotten suddenly passed away from Crohn’s disease. After his death, it turned out that Gerald was the only one who had access to cold wallets of the exchange platform.
Changpeng Zhao (Binance CEO) comments this situation on Twitter:
“That’s sad. There are many solutions to split private keys or signing to achieve 3/5, 5/7 etc. Never neglect security. Also, never have CEO carry private keys. Bad on many levels.”
On January 25, 2019 (that is, almost two months after Cotten’s death) a special meeting was convened to appoint QuadrigaCX’s new directors. As a result, the inconsolable widow Jennifer Robertson, her stepfather Thomas Beazley and Jack Martel were elected to take charge of a company. By the way, this meeting was held by a conference call as the widow was very busy by hastily selling the property of her deceased husband. Indeed, there was something to deal with: a yacht, a plane, and several houses. Also, dearly departed managed to take care of his Chihuahuas by opening a special trust account for them in the amount of $100,000 (which is interesting, as Cotten did not show such forethought about the clients of his company).
It’s worth to mention that the clients of QuadrigaCX had problems with the exchange for a long time — mainly related to the withdrawal of funds. The first wake-up calls took place in March 2018, when press reports negatively about delays in the withdrawal of funds the total amount of which exceeded $100,000. But that’s all just moonshine compared to the fact that in June 2017 the exchange platform lost about 15 million Canadian dollars — as explained to the community, due to a bug in the smart contract. As a result, the Canadian Imperial Bank of Commerce (CIBC) froze about $22 million in QuadrigaCX accounts. This happened in November 2018, and for all users, it would have meant the end of a remarkable business but Mr. Cotten wasn’t explaining the problems to customers, wasn’t trying to solve them, and so on. He had just married and went on a honeymoon trip to pass away exactly two weeks after freezing the accounts.
As the inconsolable widow stated in her testimony:
“To the best of my knowledge, most of the businesses of these companies was being conducted by Gerry whenever and wherever he and his computer were located”.
In February 2019, the head of Coinbase — Brian Armstrong unveiled the results of an independent investigation into the QuadrigaCX. He reported on his Twitter account the following:
“Sequence of events suggests this was a mismanagement with later attempt to cover for it.” “This implies that at least few people inside Qadriga knew that they were running fractional. If so, then it’s possible that untimely death of their CEO was used as an outlet to let the company sink”.
Brian Armstrong stressed that QuadrigaCX users started complaining about problems with withdrawing money long before Gerald Cotten’s death. Thus, the company management decided to invent a story about private keys on the laptop of the CEO to hide the financial insolvency, one of the reasons for which could be inefficient management.
Nowadays, the Canadian cryptocurrency exchange QuadrigaCX is officially bankrupt. Users of the closed Quadriga are now leading legal battles in order to recover their funds. The total amount of which is about $190 million in crypto. The exact circumstances of the disappearance of user deposits remain uncertain.
Do you think the story with QuadrigaCX was Exit Scam or Mismanagement?
Bitfinex
One of the largest crypto scandals of the year broke out on April 30, 2019. The New York State Attorney General’s Office has filed serious accusations against the biggest exchange platform — Bitfinex. According to Leticia James, the exchange platform used the reserves of Tether, an affiliated company to cover up a loss of $850 million.
Questions to Tether have been in the air for a long time. In January 2018, the critics of the main stablecoin assumed that the company, in fact, produced more coins than it actually could sustain. Some critics accused the Bitfinex in fraud and manipulation of Tether’s rate and influenced through it on the price of Bitcoin.
So what’s up with the Bitfinex? Investigators of the prosecutor’s office claim that the lost money belonged to the clients and iFinex corporation. That is why, back in October 2018, Bitfinex started having problems with the withdrawal of the funds: the clients complained about long response time and a delay in receiving currency. According to the authorities, Bitfinex transferred $850 million to Crypto Capital Corp., the payment company. The Tether reserves were used to fill the gap, but this information was not disclosed to the public. According to the first data, Tether provided funding in the amount of at least $700 million for this purposes. Withdrawing this amount of currency severely shook faith in the idea that Tether tokens are indeed fully backed by dollars.
And then Bitfinex had extraordinary difficulties in satisfying the withdrawal demands from the platform since Crypto Capital refused to process withdrawals or simply could not return any funds. One of the senior Bitfinex executives opened a can of worms by writing the following:
“Please understand all this could be extremely dangerous for everybody, the entire crypto community. BTC could tank to below 1k if we don’t act quickly.”
Soon after it was known about the serious accusations against companies, Bitfinex’s users began to panic. They started buying Bitcoin and trying to get rid of their assets in USDT. As a result, BTC was trading $350+ (6.75%) more expensive than the crypto market average.
Tether and Bitfinex published a joint statement on their official blogs in response to the allegations of missing funds. The posts allege that the companies did not receive any preliminary warnings, as well as that lawsuits from the New York Prosecutor General’s Office were “riddled with false assertions”.
According to the latest information, Bitfinex is supposed to release its own token and attract $1 billion in Tether through IEO.
What do you think about these scandals and scams? Tell us your thoughts in the comments below.
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Craig Wright: The Real Satoshi Or The Real Scammer

Today we will focus on Craig Wright, the person who took the liberty to declare himself as true Satoshi Nakamoto and who tries to take all the credit of the creator of Bitcoin, the main cryptocurrency.
Bitcoin is considered to be one of the progressive forms of payments — absolutely transparent, distributed and resistant to external influence. Its creator must be at least a genius, and most importantly, a billionaire — because a significant amount of Bitcoins mined in the early stages of the project is concentrated in his hands. It is known that Satoshi Nakamoto retired from the project around 2010 and no one knows exactly who is he really is.
In December 2015, two American publications — Gizmodo and Wired — published huge investigations aimed at finding a man who has been hiding under the name of Satoshi Nakamoto since 2008. Clues led journalists to Craig Wright, a 45-year-old entrepreneur from Australia, which on many grounds could be reckoned as a true Satoshi. For example, there were publications about the ideas of a decentralized payment system similar to Bitcoin in Wright’s blog in 2008, a year before Satoshi Nakamoto himself created BTC. Another interesting fact is that in 2013 he invested more than one million BTC in the project to create his Bitcoin Bank — supposedly only the creator of Bitcoin could own such amount of coins.
In correspondence with the publications, Craig indirectly confirmed that he is Nakamoto. At the same time, in December, 2015, Wright said that he was not going to talk about himself publicly. But almost six months later Craig Wright appeared on the front pages. Unexpectedly for many, Craig decides to give an interview to the BBC and The Economist, in which once again, but already publicly assures that he is Satoshi Nakamoto. As the main proof, Wright provided a “cryptographic signature” from the private key used in the first Bitcoin transactions by Satoshi Nakamoto himself.
Since then, Dr. Wright did not give up his words and continued to tell everyone that he is Satoshi. Later Craig said that he would sue anyone who slanders him and generally denies his merits in the creation of Bitcoin.
And while he was just talking around declaring himself as the creator of BTC — all this was tolerated and ignored. But when Wright began to threaten all who disagreed with his lies, the crypto-community decided to teach him a lesson.
Binance CEO Changpeng Zhao wrote the following on his Twitter:
“Craig Wright is not Satoshi. Anymore of this sh!t, we delist!”
His example was followed by some other exchanges, like ShapeShift and Kraken, which also announced the delisting of BSV.
Blogger and ex-hacker Nik Cubrilovic and cybersecurity researcher Dan Kaminsky published their own investigations in which Wright is exposed as a great deceiver. Enthusiasts also investigated the activities of Wright and his companies. It turned out that the purpose of the existence of many of them was to draw tax refunds and the operation of other benefits that are provided to companies focused on research activities.
When an entrepreneur’s business started to decline and companies have earned an unpleasant reputation, Wright decides to appear before the public as Satoshi Nakamoto. According to Cubrilovic’s opinion, this could improve Craig’s affairs, attract new investments and add excitement since it is known that Nakamoto owns large amounts of Bitcoins.
Craig’s opponents also notice one detail: Satoshi Nakamoto would certainly stand on the side of the Bitcoin community that would like to leave the BTC system in its original form. However, in a conversation with The Economist Wright drew a different picture: if Bitcoin power can be repeatedly scaled, then it will be able to replace not only all banking systems but many others, becoming a truly mainstream currency.
In this case, the regulation and support of such cryptocurrency would have to be taken up by large organizations — from banks, already interested in using blockchain technology, to entire states. If this happens, Bitcoin will really replace conventional currency but will lose its independence — the main reason for its creation.
Here are some interesting facts about Craig Wright:
  1. In the early 1990s, worked as a sauce cook at a French restaurant.
  2. Wright filed about 114 Blockchain-related patents since 2017
  3. Craig Wright has his own companies, for example, the Tulip Trading company, which has been very successful in developing supercomputers, as well as DeMorgan Ltd and Panopticrypt Pty Ltd, engaged in various operations with cryptocurrencies. But Wright’s main project is, of course, his own Bitcoin SV (Satoshi Vision), which appeared as a result of the fork of Bitcoin Cash in November 2018. The fork’s reason was the dissatisfaction of developers and miners with a size of the blockchain that was originally written in code. Transactions were processed very slowly, so Bitcoin Cash ABC appeared, where the size was increased to 8 megabytes. But this was not enough for Craig Wright, and he initiated the second fork, setting the block size to 128 megabytes in the currency he was in charge of.
  4. In February 2018 Wright was sued by David Kleiman — a computer scientist and cyber-security expert suspected to be one of the developers behind the Bitcoin and the blockchain tech. Kleiman said that Wright stole between 550,000 and 1,100,000 BTC.
  5. In 2018, Craig Wright was sued, accusing him of forging contracts and signatures in order to assign Bitcoins in the amount of $5 billion.
  6. In October 2017, Cointelegraph published a list of the most influential individuals from the blockchain industry. Not finding his name in it, Craig Wright appealed to the media with a comment about their negative mood regarding his personality. At the same time in the Cointelegraph ranking was the name Satoshi Nakamoto. This situation was noted as Wright’s recognition that he is not the creator of Bitcoin.
  7. Craig is suspected of repeatedly conducting operations to cash large amounts of BTC. During one of the checks, he brought the family from his native Sydney and moved to London to continue working and creating his own business.
What do you think about Craig Wright? Write your opinion in the comments below!
Like and share this article if you find it useful. Want more interesting articles on the crypto world? Follow us on Medium,Twitter, Facebook, and Reddit to get Stealthex.io updates and the latest news about the crypto world. For all requests message us at [[email protected]](mailto:[email protected]).
submitted by Stealthex_io to btc [link] [comments]

Craig Wright: The Real Satoshi Or The Real Scammer

Today we will focus on Craig Wright, the person who took the liberty to declare himself as true Satoshi Nakamoto and who tries to take all the credit of the creator of Bitcoin, the main cryptocurrency.
Bitcoin is considered to be one of the progressive forms of payments — absolutely transparent, distributed and resistant to external influence. Its creator must be at least a genius, and most importantly, a billionaire — because a significant amount of Bitcoins mined in the early stages of the project is concentrated in his hands. It is known that Satoshi Nakamoto retired from the project around 2010 and no one knows exactly who is he really is.
In December 2015, two American publications — Gizmodo and Wired — published huge investigations aimed at finding a man who has been hiding under the name of Satoshi Nakamoto since 2008. Clues led journalists to Craig Wright, a 45-year-old entrepreneur from Australia, which on many grounds could be reckoned as a true Satoshi. For example, there were publications about the ideas of a decentralized payment system similar to Bitcoin in Wright’s blog in 2008, a year before Satoshi Nakamoto himself created BTC. Another interesting fact is that in 2013 he invested more than one million BTC in the project to create his Bitcoin Bank — supposedly only the creator of Bitcoin could own such amount of coins.
In correspondence with the publications, Craig indirectly confirmed that he is Nakamoto. At the same time, in December, 2015, Wright said that he was not going to talk about himself publicly. But almost six months later Craig Wright appeared on the front pages. Unexpectedly for many, Craig decides to give an interview to the BBC and The Economist, in which once again, but already publicly assures that he is Satoshi Nakamoto. As the main proof, Wright provided a “cryptographic signature” from the private key used in the first Bitcoin transactions by Satoshi Nakamoto himself.
Since then, Dr. Wright did not give up his words and continued to tell everyone that he is Satoshi. Later Craig said that he would sue anyone who slanders him and generally denies his merits in the creation of Bitcoin.
And while he was just talking around declaring himself as the creator of BTC — all this was tolerated and ignored. But when Wright began to threaten all who disagreed with his lies, the crypto-community decided to teach him a lesson.
Binance CEO Changpeng Zhao wrote the following on his Twitter:
“Craig Wright is not Satoshi. Anymore of this sh!t, we delist!”
His example was followed by some other exchanges, like ShapeShift and Kraken, which also announced the delisting of BSV.
Blogger and ex-hacker Nik Cubrilovic and cybersecurity researcher Dan Kaminsky published their own investigations in which Wright is exposed as a great deceiver. Enthusiasts also investigated the activities of Wright and his companies. It turned out that the purpose of the existence of many of them was to draw tax refunds and the operation of other benefits that are provided to companies focused on research activities.
When an entrepreneur’s business started to decline and companies have earned an unpleasant reputation, Wright decides to appear before the public as Satoshi Nakamoto. According to Cubrilovic’s opinion, this could improve Craig’s affairs, attract new investments and add excitement since it is known that Nakamoto owns large amounts of Bitcoins.
Craig’s opponents also notice one detail: Satoshi Nakamoto would certainly stand on the side of the Bitcoin community that would like to leave the BTC system in its original form. However, in a conversation with The Economist Wright drew a different picture: if Bitcoin power can be repeatedly scaled, then it will be able to replace not only all banking systems but many others, becoming a truly mainstream currency.
In this case, the regulation and support of such cryptocurrency would have to be taken up by large organizations — from banks, already interested in using blockchain technology, to entire states. If this happens, Bitcoin will really replace conventional currency but will lose its independence — the main reason for its creation.
Here are some interesting facts about Craig Wright:
  1. In the early 1990s, worked as a sauce cook at a French restaurant.
  2. Wright filed about 114 Blockchain-related patents since 2017
  3. Craig Wright has his own companies, for example, the Tulip Trading company, which has been very successful in developing supercomputers, as well as DeMorgan Ltd and Panopticrypt Pty Ltd, engaged in various operations with cryptocurrencies. But Wright’s main project is, of course, his own Bitcoin SV (Satoshi Vision), which appeared as a result of the fork of Bitcoin Cash in November 2018. The fork’s reason was the dissatisfaction of developers and miners with a size of the blockchain that was originally written in code. Transactions were processed very slowly, so Bitcoin Cash ABC appeared, where the size was increased to 8 megabytes. But this was not enough for Craig Wright, and he initiated the second fork, setting the block size to 128 megabytes in the currency he was in charge of.
  4. In February 2018 Wright was sued by David Kleiman — a computer scientist and cyber-security expert suspected to be one of the developers behind the Bitcoin and the blockchain tech. Kleiman said that Wright stole between 550,000 and 1,100,000 BTC.
  5. In 2018, Craig Wright was sued, accusing him of forging contracts and signatures in order to assign Bitcoins in the amount of $5 billion.
  6. In October 2017, Cointelegraph published a list of the most influential individuals from the blockchain industry. Not finding his name in it, Craig Wright appealed to the media with a comment about their negative mood regarding his personality. At the same time in the Cointelegraph ranking was the name Satoshi Nakamoto. This situation was noted as Wright’s recognition that he is not the creator of Bitcoin.
  7. Craig is suspected of repeatedly conducting operations to cash large amounts of BTC. During one of the checks, he brought the family from his native Sydney and moved to London to continue working and creating his own business.
What do you think about Craig Wright? Write your opinion in the comments below!
Like and share this article if you find it useful. Want more interesting articles on the crypto world? Follow us onMedium,Twitter, Facebook, and Reddit to get Stealthex.io updates and the latest news about the crypto world. For all requests message us at [[email protected]](mailto:[email protected]).
submitted by Stealthex_io to CryptoMarkets [link] [comments]

Craig Wright: The Real Satoshi Or The Real Scammer

Today we will focus on Craig Wright, the person who took the liberty to declare himself as true Satoshi Nakamoto and who tries to take all the credit of the creator of Bitcoin, the main cryptocurrency.
Bitcoin is considered to be one of the progressive forms of payments — absolutely transparent, distributed and resistant to external influence. Its creator must be at least a genius, and most importantly, a billionaire — because a significant amount of Bitcoins mined in the early stages of the project is concentrated in his hands. It is known that Satoshi Nakamoto retired from the project around 2010 and no one knows exactly who is he really is.
In December 2015, two American publications — Gizmodo and Wired — published huge investigations aimed at finding a man who has been hiding under the name of Satoshi Nakamoto since 2008. Clues led journalists to Craig Wright, a 45-year-old entrepreneur from Australia, which on many grounds could be reckoned as a true Satoshi. For example, there were publications about the ideas of a decentralized payment system similar to Bitcoin in Wright’s blog in 2008, a year before Satoshi Nakamoto himself created BTC. Another interesting fact is that in 2013 he invested more than one million BTC in the project to create his Bitcoin Bank — supposedly only the creator of Bitcoin could own such amount of coins.
In correspondence with the publications, Craig indirectly confirmed that he is Nakamoto. At the same time, in December, 2015, Wright said that he was not going to talk about himself publicly. But almost six months later Craig Wright appeared on the front pages. Unexpectedly for many, Craig decides to give an interview to the BBC and The Economist, in which once again, but already publicly assures that he is Satoshi Nakamoto. As the main proof, Wright provided a “cryptographic signature” from the private key used in the first Bitcoin transactions by Satoshi Nakamoto himself.
Since then, Dr. Wright did not give up his words and continued to tell everyone that he is Satoshi. Later Craig said that he would sue anyone who slanders him and generally denies his merits in the creation of Bitcoin.
And while he was just talking around declaring himself as the creator of BTC — all this was tolerated and ignored. But when Wright began to threaten all who disagreed with his lies, the crypto-community decided to teach him a lesson.
Binance CEO Changpeng Zhao wrote the following on his Twitter:
“Craig Wright is not Satoshi. Anymore of this sh!t, we delist!”
His example was followed by some other exchanges, like ShapeShift and Kraken, which also announced the delisting of BSV.
Blogger and ex-hacker Nik Cubrilovic and cybersecurity researcher Dan Kaminsky published their own investigations in which Wright is exposed as a great deceiver. Enthusiasts also investigated the activities of Wright and his companies. It turned out that the purpose of the existence of many of them was to draw tax refunds and the operation of other benefits that are provided to companies focused on research activities.
When an entrepreneur’s business started to decline and companies have earned an unpleasant reputation, Wright decides to appear before the public as Satoshi Nakamoto. According to Cubrilovic’s opinion, this could improve Craig’s affairs, attract new investments and add excitement since it is known that Nakamoto owns large amounts of Bitcoins.
Craig’s opponents also notice one detail: Satoshi Nakamoto would certainly stand on the side of the Bitcoin community that would like to leave the BTC system in its original form. However, in a conversation with The Economist Wright drew a different picture: if Bitcoin power can be repeatedly scaled, then it will be able to replace not only all banking systems but many others, becoming a truly mainstream currency.
In this case, the regulation and support of such cryptocurrency would have to be taken up by large organizations — from banks, already interested in using blockchain technology, to entire states. If this happens, Bitcoin will really replace conventional currency but will lose its independence — the main reason for its creation.
Here are some interesting facts about Craig Wright:
  1. In the early 1990s, worked as a sauce cook at a French restaurant.
  2. Wright filed about 114 Blockchain-related patents since 2017
  3. Craig Wright has his own companies, for example, the Tulip Trading company, which has been very successful in developing supercomputers, as well as DeMorgan Ltd and Panopticrypt Pty Ltd, engaged in various operations with cryptocurrencies. But Wright’s main project is, of course, his own Bitcoin SV (Satoshi Vision), which appeared as a result of the fork of Bitcoin Cash in November 2018. The fork’s reason was the dissatisfaction of developers and miners with a size of the blockchain that was originally written in code. Transactions were processed very slowly, so Bitcoin Cash ABC appeared, where the size was increased to 8 megabytes. But this was not enough for Craig Wright, and he initiated the second fork, setting the block size to 128 megabytes in the currency he was in charge of.
  4. In February 2018 Wright was sued by David Kleiman — a computer scientist and cyber-security expert suspected to be one of the developers behind the Bitcoin and the blockchain tech. Kleiman said that Wright stole between 550,000 and 1,100,000 BTC.
  5. In 2018, Craig Wright was sued, accusing him of forging contracts and signatures in order to assign Bitcoins in the amount of $5 billion.
  6. In October 2017, Cointelegraph published a list of the most influential individuals from the blockchain industry. Not finding his name in it, Craig Wright appealed to the media with a comment about their negative mood regarding his personality. At the same time in the Cointelegraph ranking was the name Satoshi Nakamoto. This situation was noted as Wright’s recognition that he is not the creator of Bitcoin.
  7. Craig is suspected of repeatedly conducting operations to cash large amounts of BTC. During one of the checks, he brought the family from his native Sydney and moved to London to continue working and creating his own business.
What do you think about Craig Wright? Write your opinion in the comments below!
Like and share this article if you find it useful. Want more interesting articles on the crypto world? Follow us onMedium,Twitter, Facebook, and Reddit to get Stealthex.io updates and the latest news about the crypto world. For all requests message us at [[email protected]](mailto:[email protected]).
submitted by Stealthex_io to BitcoinAUS [link] [comments]

Craig Wright: The Real Satoshi Or The Real Scammer

Today we will focus on Craig Wright, the person who took the liberty to declare himself as true Satoshi Nakamoto and who tries to take all the credit of the creator of Bitcoin, the main cryptocurrency.
Bitcoin is considered to be one of the progressive forms of payments — absolutely transparent, distributed and resistant to external influence. Its creator must be at least a genius, and most importantly, a billionaire — because a significant amount of Bitcoins mined in the early stages of the project is concentrated in his hands. It is known that Satoshi Nakamoto retired from the project around 2010 and no one knows exactly who is he really is.
In December 2015, two American publications — Gizmodo and Wired — published huge investigations aimed at finding a man who has been hiding under the name of Satoshi Nakamoto since 2008. Clues led journalists to Craig Wright, a 45-year-old entrepreneur from Australia, which on many grounds could be reckoned as a true Satoshi. For example, there were publications about the ideas of a decentralized payment system similar to Bitcoin in Wright’s blog in 2008, a year before Satoshi Nakamoto himself created BTC. Another interesting fact is that in 2013 he invested more than one million BTC in the project to create his Bitcoin Bank — supposedly only the creator of Bitcoin could own such amount of coins.
In correspondence with the publications, Craig indirectly confirmed that he is Nakamoto. At the same time, in December, 2015, Wright said that he was not going to talk about himself publicly. But almost six months later Craig Wright appeared on the front pages. Unexpectedly for many, Craig decides to give an interview to the BBC and The Economist, in which once again, but already publicly assures that he is Satoshi Nakamoto. As the main proof, Wright provided a “cryptographic signature” from the private key used in the first Bitcoin transactions by Satoshi Nakamoto himself.
Since then, Dr. Wright did not give up his words and continued to tell everyone that he is Satoshi. Later Craig said that he would sue anyone who slanders him and generally denies his merits in the creation of Bitcoin.
And while he was just talking around declaring himself as the creator of BTC — all this was tolerated and ignored. But when Wright began to threaten all who disagreed with his lies, the crypto-community decided to teach him a lesson.
Binance CEO Changpeng Zhao wrote the following on his Twitter:
“Craig Wright is not Satoshi. Anymore of this sh!t, we delist!”
His example was followed by some other exchanges, like ShapeShift and Kraken, which also announced the delisting of BSV.
Blogger and ex-hacker Nik Cubrilovic and cybersecurity researcher Dan Kaminsky published their own investigations in which Wright is exposed as a great deceiver. Enthusiasts also investigated the activities of Wright and his companies. It turned out that the purpose of the existence of many of them was to draw tax refunds and the operation of other benefits that are provided to companies focused on research activities.
When an entrepreneur’s business started to decline and companies have earned an unpleasant reputation, Wright decides to appear before the public as Satoshi Nakamoto. According to Cubrilovic’s opinion, this could improve Craig’s affairs, attract new investments and add excitement since it is known that Nakamoto owns large amounts of Bitcoins.
Craig’s opponents also notice one detail: Satoshi Nakamoto would certainly stand on the side of the Bitcoin community that would like to leave the BTC system in its original form. However, in a conversation with The Economist Wright drew a different picture: if Bitcoin power can be repeatedly scaled, then it will be able to replace not only all banking systems but many others, becoming a truly mainstream currency.
In this case, the regulation and support of such cryptocurrency would have to be taken up by large organizations — from banks, already interested in using blockchain technology, to entire states. If this happens, Bitcoin will really replace conventional currency but will lose its independence — the main reason for its creation.
Here are some interesting facts about Craig Wright:
  1. In the early 1990s, worked as a sauce cook at a French restaurant.
  2. Wright filed about 114 Blockchain-related patents since 2017
  3. Craig Wright has his own companies, for example, the Tulip Trading company, which has been very successful in developing supercomputers, as well as DeMorgan Ltd and Panopticrypt Pty Ltd, engaged in various operations with cryptocurrencies. But Wright’s main project is, of course, his own Bitcoin SV (Satoshi Vision), which appeared as a result of the fork of Bitcoin Cash in November 2018. The fork’s reason was the dissatisfaction of developers and miners with a size of the blockchain that was originally written in code. Transactions were processed very slowly, so Bitcoin Cash ABC appeared, where the size was increased to 8 megabytes. But this was not enough for Craig Wright, and he initiated the second fork, setting the block size to 128 megabytes in the currency he was in charge of.
  4. In February 2018 Wright was sued by David Kleiman — a computer scientist and cyber-security expert suspected to be one of the developers behind the Bitcoin and the blockchain tech. Kleiman said that Wright stole between 550,000 and 1,100,000 BTC.
  5. In 2018, Craig Wright was sued, accusing him of forging contracts and signatures in order to assign Bitcoins in the amount of $5 billion.
  6. In October 2017, Cointelegraph published a list of the most influential individuals from the blockchain industry. Not finding his name in it, Craig Wright appealed to the media with a comment about their negative mood regarding his personality. At the same time in the Cointelegraph ranking was the name Satoshi Nakamoto. This situation was noted as Wright’s recognition that he is not the creator of Bitcoin.
  7. Craig is suspected of repeatedly conducting operations to cash large amounts of BTC. During one of the checks, he brought the family from his native Sydney and moved to London to continue working and creating his own business.
What do you think about Craig Wright? Write your opinion in the comments below!
Like and share this article if you find it useful. Want more interesting articles on the crypto world? Follow us onMedium,Twitter, Facebook, and Reddit to get Stealthex.io updates and the latest news about the crypto world. For all requests message us at [[email protected]](mailto:[email protected]).
submitted by Stealthex_io to bitcoin_uncensored [link] [comments]

Craig Wright: The Real Satoshi Or The Real Scammer

Today we will focus on Craig Wright, the person who took the liberty to declare himself as true Satoshi Nakamoto and who tries to take all the credit of the creator of Bitcoin, the main cryptocurrency.
Bitcoin is considered to be one of the progressive forms of payments — absolutely transparent, distributed and resistant to external influence. Its creator must be at least a genius, and most importantly, a billionaire — because a significant amount of Bitcoins mined in the early stages of the project is concentrated in his hands. It is known that Satoshi Nakamoto retired from the project around 2010 and no one knows exactly who is he really is.
In December 2015, two American publications — Gizmodo and Wired — published huge investigations aimed at finding a man who has been hiding under the name of Satoshi Nakamoto since 2008. Clues led journalists to Craig Wright, a 45-year-old entrepreneur from Australia, which on many grounds could be reckoned as a true Satoshi. For example, there were publications about the ideas of a decentralized payment system similar to Bitcoin in Wright’s blog in 2008, a year before Satoshi Nakamoto himself created BTC. Another interesting fact is that in 2013 he invested more than one million BTC in the project to create his Bitcoin Bank — supposedly only the creator of Bitcoin could own such amount of coins.
In correspondence with the publications, Craig indirectly confirmed that he is Nakamoto. At the same time, in December, 2015, Wright said that he was not going to talk about himself publicly. But almost six months later Craig Wright appeared on the front pages. Unexpectedly for many, Craig decides to give an interview to the BBC and The Economist, in which once again, but already publicly assures that he is Satoshi Nakamoto. As the main proof, Wright provided a “cryptographic signature” from the private key used in the first Bitcoin transactions by Satoshi Nakamoto himself.
Since then, Dr. Wright did not give up his words and continued to tell everyone that he is Satoshi. Later Craig said that he would sue anyone who slanders him and generally denies his merits in the creation of Bitcoin.
And while he was just talking around declaring himself as the creator of BTC — all this was tolerated and ignored. But when Wright began to threaten all who disagreed with his lies, the crypto-community decided to teach him a lesson.
Binance CEO Changpeng Zhao wrote the following on his Twitter:
“Craig Wright is not Satoshi. Anymore of this sh!t, we delist!”
His example was followed by some other exchanges, like ShapeShift and Kraken, which also announced the delisting of BSV.
Blogger and ex-hacker Nik Cubrilovic and cybersecurity researcher Dan Kaminsky published their own investigations in which Wright is exposed as a great deceiver. Enthusiasts also investigated the activities of Wright and his companies. It turned out that the purpose of the existence of many of them was to draw tax refunds and the operation of other benefits that are provided to companies focused on research activities.
When an entrepreneur’s business started to decline and companies have earned an unpleasant reputation, Wright decides to appear before the public as Satoshi Nakamoto. According to Cubrilovic’s opinion, this could improve Craig’s affairs, attract new investments and add excitement since it is known that Nakamoto owns large amounts of Bitcoins.
Craig’s opponents also notice one detail: Satoshi Nakamoto would certainly stand on the side of the Bitcoin community that would like to leave the BTC system in its original form. However, in a conversation with The Economist Wright drew a different picture: if Bitcoin power can be repeatedly scaled, then it will be able to replace not only all banking systems but many others, becoming a truly mainstream currency.
In this case, the regulation and support of such cryptocurrency would have to be taken up by large organizations — from banks, already interested in using blockchain technology, to entire states. If this happens, Bitcoin will really replace conventional currency but will lose its independence — the main reason for its creation.
Here are some interesting facts about Craig Wright:
  1. In the early 1990s, worked as a sauce cook at a French restaurant.
  2. Wright filed about 114 Blockchain-related patents since 2017
  3. Craig Wright has his own companies, for example, the Tulip Trading company, which has been very successful in developing supercomputers, as well as DeMorgan Ltd and Panopticrypt Pty Ltd, engaged in various operations with cryptocurrencies. But Wright’s main project is, of course, his own Bitcoin SV (Satoshi Vision), which appeared as a result of the fork of Bitcoin Cash in November 2018. The fork’s reason was the dissatisfaction of developers and miners with a size of the blockchain that was originally written in code. Transactions were processed very slowly, so Bitcoin Cash ABC appeared, where the size was increased to 8 megabytes. But this was not enough for Craig Wright, and he initiated the second fork, setting the block size to 128 megabytes in the currency he was in charge of.
  4. In February 2018 Wright was sued by David Kleiman — a computer scientist and cyber-security expert suspected to be one of the developers behind the Bitcoin and the blockchain tech. Kleiman said that Wright stole between 550,000 and 1,100,000 BTC.
  5. In 2018, Craig Wright was sued, accusing him of forging contracts and signatures in order to assign Bitcoins in the amount of $5 billion.
  6. In October 2017, Cointelegraph published a list of the most influential individuals from the blockchain industry. Not finding his name in it, Craig Wright appealed to the media with a comment about their negative mood regarding his personality. At the same time in the Cointelegraph ranking was the name Satoshi Nakamoto. This situation was noted as Wright’s recognition that he is not the creator of Bitcoin.
  7. Craig is suspected of repeatedly conducting operations to cash large amounts of BTC. During one of the checks, he brought the family from his native Sydney and moved to London to continue working and creating his own business.
What do you think about Craig Wright? Write your opinion in the comments below!
Like and share this article if you find it useful. Want more interesting articles on the crypto world? Follow us on Medium,Twitter, Facebook, and Reddit to get Stealthex.io updates and the latest news about the crypto world. For all requests message us at [[email protected]](mailto:[email protected]).
submitted by Stealthex_io to Anarcho_Capitalism [link] [comments]

Craig Wright: The Real Satoshi Or The Real Scammer

Today we will focus on Craig Wright, the person who took the liberty to declare himself as true Satoshi Nakamoto and who tries to take all the credit of the creator of Bitcoin, the main cryptocurrency.
Bitcoin is considered to be one of the progressive forms of payments — absolutely transparent, distributed and resistant to external influence. Its creator must be at least a genius, and most importantly, a billionaire — because a significant amount of Bitcoins mined in the early stages of the project is concentrated in his hands. It is known that Satoshi Nakamoto retired from the project around 2010 and no one knows exactly who is he really is.
In December 2015, two American publications — Gizmodo and Wired — published huge investigations aimed at finding a man who has been hiding under the name of Satoshi Nakamoto since 2008. Clues led journalists to Craig Wright, a 45-year-old entrepreneur from Australia, which on many grounds could be reckoned as a true Satoshi. For example, there were publications about the ideas of a decentralized payment system similar to Bitcoin in Wright’s blog in 2008, a year before Satoshi Nakamoto himself created BTC. Another interesting fact is that in 2013 he invested more than one million BTC in the project to create his Bitcoin Bank — supposedly only the creator of Bitcoin could own such amount of coins.
In correspondence with the publications, Craig indirectly confirmed that he is Nakamoto. At the same time, in December, 2015, Wright said that he was not going to talk about himself publicly. But almost six months later Craig Wright appeared on the front pages. Unexpectedly for many, Craig decides to give an interview to the BBC and The Economist, in which once again, but already publicly assures that he is Satoshi Nakamoto. As the main proof, Wright provided a “cryptographic signature” from the private key used in the first Bitcoin transactions by Satoshi Nakamoto himself.
Since then, Dr. Wright did not give up his words and continued to tell everyone that he is Satoshi. Later Craig said that he would sue anyone who slanders him and generally denies his merits in the creation of Bitcoin.
And while he was just talking around declaring himself as the creator of BTC — all this was tolerated and ignored. But when Wright began to threaten all who disagreed with his lies, the crypto-community decided to teach him a lesson.
Binance CEO Changpeng Zhao wrote the following on his Twitter:
“Craig Wright is not Satoshi. Anymore of this sh!t, we delist!”
His example was followed by some other exchanges, like ShapeShift and Kraken, which also announced the delisting of BSV.
Blogger and ex-hacker Nik Cubrilovic and cybersecurity researcher Dan Kaminsky published their own investigations in which Wright is exposed as a great deceiver. Enthusiasts also investigated the activities of Wright and his companies. It turned out that the purpose of the existence of many of them was to draw tax refunds and the operation of other benefits that are provided to companies focused on research activities.
When an entrepreneur’s business started to decline and companies have earned an unpleasant reputation, Wright decides to appear before the public as Satoshi Nakamoto. According to Cubrilovic’s opinion, this could improve Craig’s affairs, attract new investments and add excitement since it is known that Nakamoto owns large amounts of Bitcoins.
Craig’s opponents also notice one detail: Satoshi Nakamoto would certainly stand on the side of the Bitcoin community that would like to leave the BTC system in its original form. However, in a conversation with The Economist Wright drew a different picture: if Bitcoin power can be repeatedly scaled, then it will be able to replace not only all banking systems but many others, becoming a truly mainstream currency.
In this case, the regulation and support of such cryptocurrency would have to be taken up by large organizations — from banks, already interested in using blockchain technology, to entire states. If this happens, Bitcoin will really replace conventional currency but will lose its independence — the main reason for its creation.
Here are some interesting facts about Craig Wright:
  1. In the early 1990s, worked as a sauce cook at a French restaurant.
  2. Wright filed about 114 Blockchain-related patents since 2017
  3. Craig Wright has his own companies, for example, the Tulip Trading company, which has been very successful in developing supercomputers, as well as DeMorgan Ltd and Panopticrypt Pty Ltd, engaged in various operations with cryptocurrencies. But Wright’s main project is, of course, his own Bitcoin SV (Satoshi Vision), which appeared as a result of the fork of Bitcoin Cash in November 2018. The fork’s reason was the dissatisfaction of developers and miners with a size of the blockchain that was originally written in code. Transactions were processed very slowly, so Bitcoin Cash ABC appeared, where the size was increased to 8 megabytes. But this was not enough for Craig Wright, and he initiated the second fork, setting the block size to 128 megabytes in the currency he was in charge of.
  4. In February 2018 Wright was sued by David Kleiman — a computer scientist and cyber-security expert suspected to be one of the developers behind the Bitcoin and the blockchain tech. Kleiman said that Wright stole between 550,000 and 1,100,000 BTC.
  5. In 2018, Craig Wright was sued, accusing him of forging contracts and signatures in order to assign Bitcoins in the amount of $5 billion.
  6. In October 2017, Cointelegraph published a list of the most influential individuals from the blockchain industry. Not finding his name in it, Craig Wright appealed to the media with a comment about their negative mood regarding his personality. At the same time in the Cointelegraph ranking was the name Satoshi Nakamoto. This situation was noted as Wright’s recognition that he is not the creator of Bitcoin.
  7. Craig is suspected of repeatedly conducting operations to cash large amounts of BTC. During one of the checks, he brought the family from his native Sydney and moved to London to continue working and creating his own business.
What do you think about Craig Wright? Write your opinion in the comments below!
Like and share this article if you find it useful. Want more interesting articles on the crypto world? Follow us onMedium,Twitter, Facebook, and Reddit to get Stealthex.io updates and the latest news about the crypto world. For all requests message us at [[email protected]](mailto:[email protected]).
submitted by Stealthex_io to CryptoCurrencies [link] [comments]

The Biggest Scams In The Crypto History: Part 2

Here’s the sequel of our previous article. You wanted — you got it. Let’s roll!
OneCoin
OneCoin is a good example of a Ponzi scheme. In 2015, the Indian company One Coin Limited began to issue digital currency without a blockchain and decentralization. The old-school MLM (Multi-Level Marketing) strategy was used for the distribution of coins.
The company was selling a wide range of training packages on crypto trading, mining and successful life. There were textbooks, presentations, and other rubbish, among which were OneCoin tokens. They were supposed to allow users to get even more tokens. But the thing was that only One Coin Limited had exclusive rights to issue of coinage. So there were no other options for mining this coin.
On the international conference the founder of OneCoin, Ruja Ignatova, presents these tokens as the Bitcoin killer. See how easy it is to fool users?
Over the years, the company has spread its network globally. And only in 2017, the project gets into a number of investigations and restrictions. Owners and employees of the company more and more often could not answer questions from investors and carried on with the nonsense about “a bright crypto-future.”
Finally, regulators and banks in Italy, Germany, Hungary, Belize, Thailand and other countries have banned the trade of OneCoin and warned users not to get engaged with this company.
In early March 2019, the current OneCoin cryptocurrency leader Konstantin Ignatov, brother of Ruja Ignatova, was arrested at Los Angeles airport. He is accused of fraud and creating a financial pyramid.
According to the United States Attorney’s Office, Ignatov and his sister misled investors all over the world, and as a result, the people invested billions of dollars in a fraud scheme. They are accused of building a billion-dollar cryptocurrency company, based entirely on deception.
FBI Assistant Director-in-Charge William Sweeney, Jr. said:
“OneCoin was a cryptocurrency existing only in the minds of its creators and their co-conspirators. Unlike authentic cryptocurrencies, which maintain records of their investors’ transaction history, OneCoin had no real value. It offered investors no method of tracing their money, and it could not be used to purchase anything. In fact, the only ones who stood to benefit from its existence were its founders and co-conspirators.”
Despite all hardships, One Coin Limited continues to work. If you check out their website you will find everything there: a meaningless text about the benefits of a “revolutionary” token and other signs of a high-quality international project that deceives people.
QuadrigaCX
It’s not possible to take your savings to the grave, right? More than 100,000 clients of QuadrigaCX are ready to argue with that. So let’s try to recount the details of this strange story.
QuadrigaCX was created in 2013 and was Canada’s largest cryptocurrency exchange.
In December 2018, Gerald Cotten (founder and CEO of the QuadrigaCX) and his wife — Jennifer Robertson, were in India on their honeymoon. During this trip Cotten suddenly passed away from Crohn’s disease. After his death, it turned out that Gerald was the only one who had access to cold wallets of the exchange platform.
Changpeng Zhao (Binance CEO) comments this situation on Twitter:
“That’s sad. There are many solutions to split private keys or signing to achieve 3/5, 5/7 etc. Never neglect security. Also, never have CEO carry private keys. Bad on many levels.”
On January 25, 2019 (that is, almost two months after Cotten’s death) a special meeting was convened to appoint QuadrigaCX’s new directors. As a result, the inconsolable widow Jennifer Robertson, her stepfather Thomas Beazley and Jack Martel were elected to take charge of a company. By the way, this meeting was held by a conference call as the widow was very busy by hastily selling the property of her deceased husband. Indeed, there was something to deal with: a yacht, a plane, and several houses. Also, dearly departed managed to take care of his Chihuahuas by opening a special trust account for them in the amount of $100,000 (which is interesting, as Cotten did not show such forethought about the clients of his company).
It’s worth to mention that the clients of QuadrigaCX had problems with the exchange for a long time — mainly related to the withdrawal of funds. The first wake-up calls took place in March 2018, when press reports negatively about delays in the withdrawal of funds the total amount of which exceeded $100,000. But that’s all just moonshine compared to the fact that in June 2017 the exchange platform lost about 15 million Canadian dollars — as explained to the community, due to a bug in the smart contract. As a result, the Canadian Imperial Bank of Commerce (CIBC) froze about $22 million in QuadrigaCX accounts. This happened in November 2018, and for all users, it would have meant the end of a remarkable business but Mr. Cotten wasn’t explaining the problems to customers, wasn’t trying to solve them, and so on. He had just married and went on a honeymoon trip to pass away exactly two weeks after freezing the accounts.
As the inconsolable widow stated in her testimony:
“To the best of my knowledge, most of the businesses of these companies was being conducted by Gerry whenever and wherever he and his computer were located”.
In February 2019, the head of Coinbase — Brian Armstrong unveiled the results of an independent investigation into the QuadrigaCX. He reported on his Twitter account the following:
“Sequence of events suggests this was a mismanagement with later attempt to cover for it.” “This implies that at least few people inside Qadriga knew that they were running fractional. If so, then it’s possible that untimely death of their CEO was used as an outlet to let the company sink”.
Brian Armstrong stressed that QuadrigaCX users started complaining about problems with withdrawing money long before Gerald Cotten’s death. Thus, the company management decided to invent a story about private keys on the laptop of the CEO to hide the financial insolvency, one of the reasons for which could be inefficient management.
Nowadays, the Canadian cryptocurrency exchange QuadrigaCX is officially bankrupt. Users of the closed Quadriga are now leading legal battles in order to recover their funds. The total amount of which is about $190 million in crypto. The exact circumstances of the disappearance of user deposits remain uncertain.
Do you think the story with QuadrigaCX was Exit Scam or Mismanagement?
Bitfinex
One of the largest crypto scandals of the year broke out on April 30, 2019. The New York State Attorney General’s Office has filed serious accusations against the biggest exchange platform — Bitfinex. According to Leticia James, the exchange platform used the reserves of Tether, an affiliated company to cover up a loss of $850 million.
Questions to Tether have been in the air for a long time. In January 2018, the critics of the main stablecoin assumed that the company, in fact, produced more coins than it actually could sustain. Some critics accused the Bitfinex in fraud and manipulation of Tether’s rate and influenced through it on the price of Bitcoin.
So what’s up with the Bitfinex? Investigators of the prosecutor’s office claim that the lost money belonged to the clients and iFinex corporation. That is why, back in October 2018, Bitfinex started having problems with the withdrawal of the funds: the clients complained about long response time and a delay in receiving currency. According to the authorities, Bitfinex transferred $850 million to Crypto Capital Corp., the payment company. The Tether reserves were used to fill the gap, but this information was not disclosed to the public. According to the first data, Tether provided funding in the amount of at least $700 million for this purposes. Withdrawing this amount of currency severely shook faith in the idea that Tether tokens are indeed fully backed by dollars.
And then Bitfinex had extraordinary difficulties in satisfying the withdrawal demands from the platform since Crypto Capital refused to process withdrawals or simply could not return any funds. One of the senior Bitfinex executives opened a can of worms by writing the following:
“Please understand all this could be extremely dangerous for everybody, the entire crypto community. BTC could tank to below 1k if we don’t act quickly.”
Soon after it was known about the serious accusations against companies, Bitfinex’s users began to panic. They started buying Bitcoin and trying to get rid of their assets in USDT. As a result, BTC was trading $350+ (6.75%) more expensive than the crypto market average.
Tether and Bitfinex published a joint statement on their official blogs in response to the allegations of missing funds. The posts allege that the companies did not receive any preliminary warnings, as well as that lawsuits from the New York Prosecutor General’s Office were “riddled with false assertions”.
According to the latest information, Bitfinex is supposed to release its own token and attract $1 billion in Tether through IEO.
What do you think about these scandals and scams? Tell us your thoughts in the comments below.
Like and share this article if you find it useful. Want more interesting articles on the crypto world? Follow us on Medium, Twitter, Facebook, and Reddit to get Stealthex.io updates and the latest news about the crypto world. For all requests message us at [[email protected]](mailto:[email protected]).
submitted by Stealthex_io to Anarcho_Capitalism [link] [comments]

Craig Wright: The Real Satoshi Or The Real Scammer

Today we will focus on Craig Wright, the person who took the liberty to declare himself as true Satoshi Nakamoto and who tries to take all the credit of the creator of Bitcoin, the main cryptocurrency.
Bitcoin is considered to be one of the progressive forms of payments — absolutely transparent, distributed and resistant to external influence. Its creator must be at least a genius, and most importantly, a billionaire — because a significant amount of Bitcoins mined in the early stages of the project is concentrated in his hands. It is known that Satoshi Nakamoto retired from the project around 2010 and no one knows exactly who is he really is.
In December 2015, two American publications — Gizmodo and Wired — published huge investigations aimed at finding a man who has been hiding under the name of Satoshi Nakamoto since 2008. Clues led journalists to Craig Wright, a 45-year-old entrepreneur from Australia, which on many grounds could be reckoned as a true Satoshi. For example, there were publications about the ideas of a decentralized payment system similar to Bitcoin in Wright’s blog in 2008, a year before Satoshi Nakamoto himself created BTC. Another interesting fact is that in 2013 he invested more than one million BTC in the project to create his Bitcoin Bank — supposedly only the creator of Bitcoin could own such amount of coins.
In correspondence with the publications, Craig indirectly confirmed that he is Nakamoto. At the same time, in December, 2015, Wright said that he was not going to talk about himself publicly. But almost six months later Craig Wright appeared on the front pages. Unexpectedly for many, Craig decides to give an interview to the BBC and The Economist, in which once again, but already publicly assures that he is Satoshi Nakamoto. As the main proof, Wright provided a “cryptographic signature” from the private key used in the first Bitcoin transactions by Satoshi Nakamoto himself.
Since then, Dr. Wright did not give up his words and continued to tell everyone that he is Satoshi. Later Craig said that he would sue anyone who slanders him and generally denies his merits in the creation of Bitcoin.
And while he was just talking around declaring himself as the creator of BTC — all this was tolerated and ignored. But when Wright began to threaten all who disagreed with his lies, the crypto-community decided to teach him a lesson.
Binance CEO Changpeng Zhao wrote the following on his Twitter:
“Craig Wright is not Satoshi. Anymore of this sh!t, we delist!”
His example was followed by some other exchanges, like ShapeShift and Kraken, which also announced the delisting of BSV.
Blogger and ex-hacker Nik Cubrilovic and cybersecurity researcher Dan Kaminsky published their own investigations in which Wright is exposed as a great deceiver. Enthusiasts also investigated the activities of Wright and his companies. It turned out that the purpose of the existence of many of them was to draw tax refunds and the operation of other benefits that are provided to companies focused on research activities.
When an entrepreneur’s business started to decline and companies have earned an unpleasant reputation, Wright decides to appear before the public as Satoshi Nakamoto. According to Cubrilovic’s opinion, this could improve Craig’s affairs, attract new investments and add excitement since it is known that Nakamoto owns large amounts of Bitcoins.
Craig’s opponents also notice one detail: Satoshi Nakamoto would certainly stand on the side of the Bitcoin community that would like to leave the BTC system in its original form. However, in a conversation with The Economist Wright drew a different picture: if Bitcoin power can be repeatedly scaled, then it will be able to replace not only all banking systems but many others, becoming a truly mainstream currency.
In this case, the regulation and support of such cryptocurrency would have to be taken up by large organizations — from banks, already interested in using blockchain technology, to entire states. If this happens, Bitcoin will really replace conventional currency but will lose its independence — the main reason for its creation.
Here are some interesting facts about Craig Wright:
  1. In the early 1990s, worked as a sauce cook at a French restaurant.
  2. Wright filed about 114 Blockchain-related patents since 2017
  3. Craig Wright has his own companies, for example, the Tulip Trading company, which has been very successful in developing supercomputers, as well as DeMorgan Ltd and Panopticrypt Pty Ltd, engaged in various operations with cryptocurrencies. But Wright’s main project is, of course, his own Bitcoin SV (Satoshi Vision), which appeared as a result of the fork of Bitcoin Cash in November 2018. The fork’s reason was the dissatisfaction of developers and miners with a size of the blockchain that was originally written in code. Transactions were processed very slowly, so Bitcoin Cash ABC appeared, where the size was increased to 8 megabytes. But this was not enough for Craig Wright, and he initiated the second fork, setting the block size to 128 megabytes in the currency he was in charge of.
  4. In February 2018 Wright was sued by David Kleiman — a computer scientist and cyber-security expert suspected to be one of the developers behind the Bitcoin and the blockchain tech. Kleiman said that Wright stole between 550,000 and 1,100,000 BTC.
  5. In 2018, Craig Wright was sued, accusing him of forging contracts and signatures in order to assign Bitcoins in the amount of $5 billion.
  6. In October 2017, Cointelegraph published a list of the most influential individuals from the blockchain industry. Not finding his name in it, Craig Wright appealed to the media with a comment about their negative mood regarding his personality. At the same time in the Cointelegraph ranking was the name Satoshi Nakamoto. This situation was noted as Wright’s recognition that he is not the creator of Bitcoin.
  7. Craig is suspected of repeatedly conducting operations to cash large amounts of BTC. During one of the checks, he brought the family from his native Sydney and moved to London to continue working and creating his own business.
What do you think about Craig Wright? Write your opinion in the comments below!
Like and share this article if you find it useful. Want more interesting articles on the crypto world? Follow us onMedium,Twitter, Facebook, and Reddit to get Stealthex.io updates and the latest news about the crypto world. For all requests message us at [[email protected]](mailto:[email protected]).
submitted by Stealthex_io to CryptoNewsandTalk [link] [comments]

The Biggest Scams In The Crypto History: Part 2

Here’s the sequel of our previous article. You wanted — you got it. Let’s roll!
OneCoin
OneCoin is a good example of a Ponzi scheme. In 2015, the Indian company One Coin Limited began to issue digital currency without a blockchain and decentralization. The old-school MLM (Multi-Level Marketing) strategy was used for the distribution of coins.
The company was selling a wide range of training packages on crypto trading, mining and successful life. There were textbooks, presentations, and other rubbish, among which were OneCoin tokens. They were supposed to allow users to get even more tokens. But the thing was that only One Coin Limited had exclusive rights to issue of coinage. So there were no other options for mining this coin.
On the international conference the founder of OneCoin, Ruja Ignatova, presents these tokens as the Bitcoin killer. See how easy it is to fool users?
Over the years, the company has spread its network globally. And only in 2017, the project gets into a number of investigations and restrictions. Owners and employees of the company more and more often could not answer questions from investors and carried on with the nonsense about “a bright crypto-future.”
Finally, regulators and banks in Italy, Germany, Hungary, Belize, Thailand and other countries have banned the trade of OneCoin and warned users not to get engaged with this company.
In early March 2019, the current OneCoin cryptocurrency leader Konstantin Ignatov, brother of Ruja Ignatova, was arrested at Los Angeles airport. He is accused of fraud and creating a financial pyramid.
According to the United States Attorney’s Office, Ignatov and his sister misled investors all over the world, and as a result, the people invested billions of dollars in a fraud scheme. They are accused of building a billion-dollar cryptocurrency company, based entirely on deception.
FBI Assistant Director-in-Charge William Sweeney, Jr. said:
“OneCoin was a cryptocurrency existing only in the minds of its creators and their co-conspirators. Unlike authentic cryptocurrencies, which maintain records of their investors’ transaction history, OneCoin had no real value. It offered investors no method of tracing their money, and it could not be used to purchase anything. In fact, the only ones who stood to benefit from its existence were its founders and co-conspirators.”
Despite all hardships, One Coin Limited continues to work. If you check out their website you will find everything there: a meaningless text about the benefits of a “revolutionary” token and other signs of a high-quality international project that deceives people.
QuadrigaCX
It’s not possible to take your savings to the grave, right? More than 100,000 clients of QuadrigaCX are ready to argue with that. So let’s try to recount the details of this strange story.
QuadrigaCX was created in 2013 and was Canada’s largest cryptocurrency exchange.
In December 2018, Gerald Cotten (founder and CEO of the QuadrigaCX) and his wife — Jennifer Robertson, were in India on their honeymoon. During this trip Cotten suddenly passed away from Crohn’s disease. After his death, it turned out that Gerald was the only one who had access to cold wallets of the exchange platform.
Changpeng Zhao (Binance CEO) comments this situation on Twitter:
“That’s sad. There are many solutions to split private keys or signing to achieve 3/5, 5/7 etc. Never neglect security. Also, never have CEO carry private keys. Bad on many levels.”
On January 25, 2019 (that is, almost two months after Cotten’s death) a special meeting was convened to appoint QuadrigaCX’s new directors. As a result, the inconsolable widow Jennifer Robertson, her stepfather Thomas Beazley and Jack Martel were elected to take charge of a company. By the way, this meeting was held by a conference call as the widow was very busy by hastily selling the property of her deceased husband. Indeed, there was something to deal with: a yacht, a plane, and several houses. Also, dearly departed managed to take care of his Chihuahuas by opening a special trust account for them in the amount of $100,000 (which is interesting, as Cotten did not show such forethought about the clients of his company).
It’s worth to mention that the clients of QuadrigaCX had problems with the exchange for a long time — mainly related to the withdrawal of funds. The first wake-up calls took place in March 2018, when press reports negatively about delays in the withdrawal of funds the total amount of which exceeded $100,000. But that’s all just moonshine compared to the fact that in June 2017 the exchange platform lost about 15 million Canadian dollars — as explained to the community, due to a bug in the smart contract. As a result, the Canadian Imperial Bank of Commerce (CIBC) froze about $22 million in QuadrigaCX accounts. This happened in November 2018, and for all users, it would have meant the end of a remarkable business but Mr. Cotten wasn’t explaining the problems to customers, wasn’t trying to solve them, and so on. He had just married and went on a honeymoon trip to pass away exactly two weeks after freezing the accounts.
As the inconsolable widow stated in her testimony:
“To the best of my knowledge, most of the businesses of these companies was being conducted by Gerry whenever and wherever he and his computer were located”.
In February 2019, the head of Coinbase — Brian Armstrong unveiled the results of an independent investigation into the QuadrigaCX. He reported on his Twitter account the following:
“Sequence of events suggests this was a mismanagement with later attempt to cover for it.” “This implies that at least few people inside Qadriga knew that they were running fractional. If so, then it’s possible that untimely death of their CEO was used as an outlet to let the company sink”.
Brian Armstrong stressed that QuadrigaCX users started complaining about problems with withdrawing money long before Gerald Cotten’s death. Thus, the company management decided to invent a story about private keys on the laptop of the CEO to hide the financial insolvency, one of the reasons for which could be inefficient management.
Nowadays, the Canadian cryptocurrency exchange QuadrigaCX is officially bankrupt. Users of the closed Quadriga are now leading legal battles in order to recover their funds. The total amount of which is about $190 million in crypto. The exact circumstances of the disappearance of user deposits remain uncertain.
Do you think the story with QuadrigaCX was Exit Scam or Mismanagement?
Bitfinex
One of the largest crypto scandals of the year broke out on April 30, 2019. The New York State Attorney General’s Office has filed serious accusations against the biggest exchange platform — Bitfinex. According to Leticia James, the exchange platform used the reserves of Tether, an affiliated company to cover up a loss of $850 million.
Questions to Tether have been in the air for a long time. In January 2018, the critics of the main stablecoin assumed that the company, in fact, produced more coins than it actually could sustain. Some critics accused the Bitfinex in fraud and manipulation of Tether’s rate and influenced through it on the price of Bitcoin.
So what’s up with the Bitfinex? Investigators of the prosecutor’s office claim that the lost money belonged to the clients and iFinex corporation. That is why, back in October 2018, Bitfinex started having problems with the withdrawal of the funds: the clients complained about long response time and a delay in receiving currency. According to the authorities, Bitfinex transferred $850 million to Crypto Capital Corp., the payment company. The Tether reserves were used to fill the gap, but this information was not disclosed to the public. According to the first data, Tether provided funding in the amount of at least $700 million for this purposes. Withdrawing this amount of currency severely shook faith in the idea that Tether tokens are indeed fully backed by dollars.
And then Bitfinex had extraordinary difficulties in satisfying the withdrawal demands from the platform since Crypto Capital refused to process withdrawals or simply could not return any funds. One of the senior Bitfinex executives opened a can of worms by writing the following:
“Please understand all this could be extremely dangerous for everybody, the entire crypto community. BTC could tank to below 1k if we don’t act quickly.”
Soon after it was known about the serious accusations against companies, Bitfinex’s users began to panic. They started buying Bitcoin and trying to get rid of their assets in USDT. As a result, BTC was trading $350+ (6.75%) more expensive than the crypto market average.
Tether and Bitfinex published a joint statement on their official blogs in response to the allegations of missing funds. The posts allege that the companies did not receive any preliminary warnings, as well as that lawsuits from the New York Prosecutor General’s Office were “riddled with false assertions”.
According to the latest information, Bitfinex is supposed to release its own token and attract $1 billion in Tether through IEO.
What do you think about these scandals and scams? Tell us your thoughts in the comments below.
Like and share this article if you find it useful. Want more interesting articles on the crypto world? Follow us on Medium, Twitter, Facebook, and Reddit to get Stealthex.io updates and the latest news about the crypto world. For all requests message us at [[email protected]](mailto:[email protected]).
submitted by Stealthex_io to Bitcoin [link] [comments]

The Biggest Scams In The Crypto History: Part 2

Here’s the sequel of our previous article. You wanted — you got it. Let’s roll!
OneCoin
OneCoin is a good example of a Ponzi scheme. In 2015, the Indian company One Coin Limited began to issue digital currency without a blockchain and decentralization. The old-school MLM (Multi-Level Marketing) strategy was used for the distribution of coins.
The company was selling a wide range of training packages on crypto trading, mining and successful life. There were textbooks, presentations, and other rubbish, among which were OneCoin tokens. They were supposed to allow users to get even more tokens. But the thing was that only One Coin Limited had exclusive rights to issue of coinage. So there were no other options for mining this coin.
On the international conference the founder of OneCoin, Ruja Ignatova, presents these tokens as the Bitcoin killer. See how easy it is to fool users?
Over the years, the company has spread its network globally. And only in 2017, the project gets into a number of investigations and restrictions. Owners and employees of the company more and more often could not answer questions from investors and carried on with the nonsense about “a bright crypto-future.”
Finally, regulators and banks in Italy, Germany, Hungary, Belize, Thailand and other countries have banned the trade of OneCoin and warned users not to get engaged with this company.
In early March 2019, the current OneCoin cryptocurrency leader Konstantin Ignatov, brother of Ruja Ignatova, was arrested at Los Angeles airport. He is accused of fraud and creating a financial pyramid.
According to the United States Attorney’s Office, Ignatov and his sister misled investors all over the world, and as a result, the people invested billions of dollars in a fraud scheme. They are accused of building a billion-dollar cryptocurrency company, based entirely on deception.
FBI Assistant Director-in-Charge William Sweeney, Jr. said:
“OneCoin was a cryptocurrency existing only in the minds of its creators and their co-conspirators. Unlike authentic cryptocurrencies, which maintain records of their investors’ transaction history, OneCoin had no real value. It offered investors no method of tracing their money, and it could not be used to purchase anything. In fact, the only ones who stood to benefit from its existence were its founders and co-conspirators.”
Despite all hardships, One Coin Limited continues to work. If you check out their website you will find everything there: a meaningless text about the benefits of a “revolutionary” token and other signs of a high-quality international project that deceives people.
QuadrigaCX
It’s not possible to take your savings to the grave, right? More than 100,000 clients of QuadrigaCX are ready to argue with that. So let’s try to recount the details of this strange story.
QuadrigaCX was created in 2013 and was Canada’s largest cryptocurrency exchange.
In December 2018, Gerald Cotten (founder and CEO of the QuadrigaCX) and his wife — Jennifer Robertson, were in India on their honeymoon. During this trip Cotten suddenly passed away from Crohn’s disease. After his death, it turned out that Gerald was the only one who had access to cold wallets of the exchange platform.
Changpeng Zhao (Binance CEO) comments this situation on Twitter:
“That’s sad. There are many solutions to split private keys or signing to achieve 3/5, 5/7 etc. Never neglect security. Also, never have CEO carry private keys. Bad on many levels.”
On January 25, 2019 (that is, almost two months after Cotten’s death) a special meeting was convened to appoint QuadrigaCX’s new directors. As a result, the inconsolable widow Jennifer Robertson, her stepfather Thomas Beazley and Jack Martel were elected to take charge of a company. By the way, this meeting was held by a conference call as the widow was very busy by hastily selling the property of her deceased husband. Indeed, there was something to deal with: a yacht, a plane, and several houses. Also, dearly departed managed to take care of his Chihuahuas by opening a special trust account for them in the amount of $100,000 (which is interesting, as Cotten did not show such forethought about the clients of his company).
It’s worth to mention that the clients of QuadrigaCX had problems with the exchange for a long time — mainly related to the withdrawal of funds. The first wake-up calls took place in March 2018, when press reports negatively about delays in the withdrawal of funds the total amount of which exceeded $100,000. But that’s all just moonshine compared to the fact that in June 2017 the exchange platform lost about 15 million Canadian dollars — as explained to the community, due to a bug in the smart contract. As a result, the Canadian Imperial Bank of Commerce (CIBC) froze about $22 million in QuadrigaCX accounts. This happened in November 2018, and for all users, it would have meant the end of a remarkable business but Mr. Cotten wasn’t explaining the problems to customers, wasn’t trying to solve them, and so on. He had just married and went on a honeymoon trip to pass away exactly two weeks after freezing the accounts.
As the inconsolable widow stated in her testimony:
“To the best of my knowledge, most of the businesses of these companies was being conducted by Gerry whenever and wherever he and his computer were located”.
In February 2019, the head of Coinbase — Brian Armstrong unveiled the results of an independent investigation into the QuadrigaCX. He reported on his Twitter account the following:
“Sequence of events suggests this was a mismanagement with later attempt to cover for it.” “This implies that at least few people inside Qadriga knew that they were running fractional. If so, then it’s possible that untimely death of their CEO was used as an outlet to let the company sink”.
Brian Armstrong stressed that QuadrigaCX users started complaining about problems with withdrawing money long before Gerald Cotten’s death. Thus, the company management decided to invent a story about private keys on the laptop of the CEO to hide the financial insolvency, one of the reasons for which could be inefficient management.
Nowadays, the Canadian cryptocurrency exchange QuadrigaCX is officially bankrupt. Users of the closed Quadriga are now leading legal battles in order to recover their funds. The total amount of which is about $190 million in crypto. The exact circumstances of the disappearance of user deposits remain uncertain.
Do you think the story with QuadrigaCX was Exit Scam or Mismanagement?
Bitfinex
One of the largest crypto scandals of the year broke out on April 30, 2019. The New York State Attorney General’s Office has filed serious accusations against the biggest exchange platform — Bitfinex. According to Leticia James, the exchange platform used the reserves of Tether, an affiliated company to cover up a loss of $850 million.
Questions to Tether have been in the air for a long time. In January 2018, the critics of the main stablecoin assumed that the company, in fact, produced more coins than it actually could sustain. Some critics accused the Bitfinex in fraud and manipulation of Tether’s rate and influenced through it on the price of Bitcoin.
So what’s up with the Bitfinex? Investigators of the prosecutor’s office claim that the lost money belonged to the clients and iFinex corporation. That is why, back in October 2018, Bitfinex started having problems with the withdrawal of the funds: the clients complained about long response time and a delay in receiving currency. According to the authorities, Bitfinex transferred $850 million to Crypto Capital Corp., the payment company. The Tether reserves were used to fill the gap, but this information was not disclosed to the public. According to the first data, Tether provided funding in the amount of at least $700 million for this purposes. Withdrawing this amount of currency severely shook faith in the idea that Tether tokens are indeed fully backed by dollars.
And then Bitfinex had extraordinary difficulties in satisfying the withdrawal demands from the platform since Crypto Capital refused to process withdrawals or simply could not return any funds. One of the senior Bitfinex executives opened a can of worms by writing the following:
“Please understand all this could be extremely dangerous for everybody, the entire crypto community. BTC could tank to below 1k if we don’t act quickly.”
Soon after it was known about the serious accusations against companies, Bitfinex’s users began to panic. They started buying Bitcoin and trying to get rid of their assets in USDT. As a result, BTC was trading $350+ (6.75%) more expensive than the crypto market average.
Tether and Bitfinex published a joint statement on their official blogs in response to the allegations of missing funds. The posts allege that the companies did not receive any preliminary warnings, as well as that lawsuits from the New York Prosecutor General’s Office were “riddled with false assertions”.
According to the latest information, Bitfinex is supposed to release its own token and attract $1 billion in Tether through IEO.
What do you think about these scandals and scams? Tell us your thoughts in the comments below.
Like and share this article if you find it useful. Want more interesting articles on the crypto world? Follow us on Medium, Twitter, Facebook, and Reddit to get Stealthex.io updates and the latest news about the crypto world. For all requests message us at [[email protected]](mailto:[email protected]).
submitted by Stealthex_io to CryptoCluster [link] [comments]

The Biggest Scams In The Crypto History: Part 2

Here’s the sequel of our previous article. You wanted — you got it. Let’s roll!
OneCoin
OneCoin is a good example of a Ponzi scheme. In 2015, the Indian company One Coin Limited began to issue digital currency without a blockchain and decentralization. The old-school MLM (Multi-Level Marketing) strategy was used for the distribution of coins.
The company was selling a wide range of training packages on crypto trading, mining and successful life. There were textbooks, presentations, and other rubbish, among which were OneCoin tokens. They were supposed to allow users to get even more tokens. But the thing was that only One Coin Limited had exclusive rights to issue of coinage. So there were no other options for mining this coin.
On the international conference the founder of OneCoin, Ruja Ignatova, presents these tokens as the Bitcoin killer. See how easy it is to fool users?
Over the years, the company has spread its network globally. And only in 2017, the project gets into a number of investigations and restrictions. Owners and employees of the company more and more often could not answer questions from investors and carried on with the nonsense about “a bright crypto-future.”
Finally, regulators and banks in Italy, Germany, Hungary, Belize, Thailand and other countries have banned the trade of OneCoin and warned users not to get engaged with this company.
In early March 2019, the current OneCoin cryptocurrency leader Konstantin Ignatov, brother of Ruja Ignatova, was arrested at Los Angeles airport. He is accused of fraud and creating a financial pyramid.
According to the United States Attorney’s Office, Ignatov and his sister misled investors all over the world, and as a result, the people invested billions of dollars in a fraud scheme. They are accused of building a billion-dollar cryptocurrency company, based entirely on deception.
FBI Assistant Director-in-Charge William Sweeney, Jr. said:
“OneCoin was a cryptocurrency existing only in the minds of its creators and their co-conspirators. Unlike authentic cryptocurrencies, which maintain records of their investors’ transaction history, OneCoin had no real value. It offered investors no method of tracing their money, and it could not be used to purchase anything. In fact, the only ones who stood to benefit from its existence were its founders and co-conspirators.”
Despite all hardships, One Coin Limited continues to work. If you check out their website you will find everything there: a meaningless text about the benefits of a “revolutionary” token and other signs of a high-quality international project that deceives people.
QuadrigaCX
It’s not possible to take your savings to the grave, right? More than 100,000 clients of QuadrigaCX are ready to argue with that. So let’s try to recount the details of this strange story.
QuadrigaCX was created in 2013 and was Canada’s largest cryptocurrency exchange.
In December 2018, Gerald Cotten (founder and CEO of the QuadrigaCX) and his wife — Jennifer Robertson, were in India on their honeymoon. During this trip Cotten suddenly passed away from Crohn’s disease. After his death, it turned out that Gerald was the only one who had access to cold wallets of the exchange platform.
Changpeng Zhao (Binance CEO) comments this situation on Twitter:
“That’s sad. There are many solutions to split private keys or signing to achieve 3/5, 5/7 etc. Never neglect security. Also, never have CEO carry private keys. Bad on many levels.”
On January 25, 2019 (that is, almost two months after Cotten’s death) a special meeting was convened to appoint QuadrigaCX’s new directors. As a result, the inconsolable widow Jennifer Robertson, her stepfather Thomas Beazley and Jack Martel were elected to take charge of a company. By the way, this meeting was held by a conference call as the widow was very busy by hastily selling the property of her deceased husband. Indeed, there was something to deal with: a yacht, a plane, and several houses. Also, dearly departed managed to take care of his Chihuahuas by opening a special trust account for them in the amount of $100,000 (which is interesting, as Cotten did not show such forethought about the clients of his company).
It’s worth to mention that the clients of QuadrigaCX had problems with the exchange for a long time — mainly related to the withdrawal of funds. The first wake-up calls took place in March 2018, when press reports negatively about delays in the withdrawal of funds the total amount of which exceeded $100,000. But that’s all just moonshine compared to the fact that in June 2017 the exchange platform lost about 15 million Canadian dollars — as explained to the community, due to a bug in the smart contract. As a result, the Canadian Imperial Bank of Commerce (CIBC) froze about $22 million in QuadrigaCX accounts. This happened in November 2018, and for all users, it would have meant the end of a remarkable business but Mr. Cotten wasn’t explaining the problems to customers, wasn’t trying to solve them, and so on. He had just married and went on a honeymoon trip to pass away exactly two weeks after freezing the accounts.
As the inconsolable widow stated in her testimony:
“To the best of my knowledge, most of the businesses of these companies was being conducted by Gerry whenever and wherever he and his computer were located”.
In February 2019, the head of Coinbase — Brian Armstrong unveiled the results of an independent investigation into the QuadrigaCX. He reported on his Twitter account the following:
“Sequence of events suggests this was a mismanagement with later attempt to cover for it.” “This implies that at least few people inside Qadriga knew that they were running fractional. If so, then it’s possible that untimely death of their CEO was used as an outlet to let the company sink”.
Brian Armstrong stressed that QuadrigaCX users started complaining about problems with withdrawing money long before Gerald Cotten’s death. Thus, the company management decided to invent a story about private keys on the laptop of the CEO to hide the financial insolvency, one of the reasons for which could be inefficient management.
Nowadays, the Canadian cryptocurrency exchange QuadrigaCX is officially bankrupt. Users of the closed Quadriga are now leading legal battles in order to recover their funds. The total amount of which is about $190 million in crypto. The exact circumstances of the disappearance of user deposits remain uncertain.
Do you think the story with QuadrigaCX was Exit Scam or Mismanagement?
Bitfinex
One of the largest crypto scandals of the year broke out on April 30, 2019. The New York State Attorney General’s Office has filed serious accusations against the biggest exchange platform — Bitfinex. According to Leticia James, the exchange platform used the reserves of Tether, an affiliated company to cover up a loss of $850 million.
Questions to Tether have been in the air for a long time. In January 2018, the critics of the main stablecoin assumed that the company, in fact, produced more coins than it actually could sustain. Some critics accused the Bitfinex in fraud and manipulation of Tether’s rate and influenced through it on the price of Bitcoin.
So what’s up with the Bitfinex? Investigators of the prosecutor’s office claim that the lost money belonged to the clients and iFinex corporation. That is why, back in October 2018, Bitfinex started having problems with the withdrawal of the funds: the clients complained about long response time and a delay in receiving currency. According to the authorities, Bitfinex transferred $850 million to Crypto Capital Corp., the payment company. The Tether reserves were used to fill the gap, but this information was not disclosed to the public. According to the first data, Tether provided funding in the amount of at least $700 million for this purposes. Withdrawing this amount of currency severely shook faith in the idea that Tether tokens are indeed fully backed by dollars.
And then Bitfinex had extraordinary difficulties in satisfying the withdrawal demands from the platform since Crypto Capital refused to process withdrawals or simply could not return any funds. One of the senior Bitfinex executives opened a can of worms by writing the following:
“Please understand all this could be extremely dangerous for everybody, the entire crypto community. BTC could tank to below 1k if we don’t act quickly.”
Soon after it was known about the serious accusations against companies, Bitfinex’s users began to panic. They started buying Bitcoin and trying to get rid of their assets in USDT. As a result, BTC was trading $350+ (6.75%) more expensive than the crypto market average.
Tether and Bitfinex published a joint statement on their official blogs in response to the allegations of missing funds. The posts allege that the companies did not receive any preliminary warnings, as well as that lawsuits from the New York Prosecutor General’s Office were “riddled with false assertions”.
According to the latest information, Bitfinex is supposed to release its own token and attract $1 billion in Tether through IEO.
What do you think about these scandals and scams? Tell us your thoughts in the comments below.
Like and share this article if you find it useful. Want more interesting articles on the crypto world? Follow us on Medium, Twitter, Facebook, and Reddit to get Stealthex.io updates and the latest news about the crypto world. For all requests message us at [[email protected]](mailto:[email protected]).
submitted by Stealthex_io to CryptoPolice [link] [comments]

The Biggest Scams In The Crypto History: Part 2

Here’s the sequel of our previous article. You wanted — you got it. Let’s roll!
OneCoin
OneCoin is a good example of a Ponzi scheme. In 2015, the Indian company One Coin Limited began to issue digital currency without a blockchain and decentralization. The old-school MLM (Multi-Level Marketing) strategy was used for the distribution of coins.
The company was selling a wide range of training packages on crypto trading, mining and successful life. There were textbooks, presentations, and other rubbish, among which were OneCoin tokens. They were supposed to allow users to get even more tokens. But the thing was that only One Coin Limited had exclusive rights to issue of coinage. So there were no other options for mining this coin.
On the international conference the founder of OneCoin, Ruja Ignatova, presents these tokens as the Bitcoin killer. See how easy it is to fool users?
Over the years, the company has spread its network globally. And only in 2017, the project gets into a number of investigations and restrictions. Owners and employees of the company more and more often could not answer questions from investors and carried on with the nonsense about “a bright crypto-future.”
Finally, regulators and banks in Italy, Germany, Hungary, Belize, Thailand and other countries have banned the trade of OneCoin and warned users not to get engaged with this company.
In early March 2019, the current OneCoin cryptocurrency leader Konstantin Ignatov, brother of Ruja Ignatova, was arrested at Los Angeles airport. He is accused of fraud and creating a financial pyramid.
According to the United States Attorney’s Office, Ignatov and his sister misled investors all over the world, and as a result, the people invested billions of dollars in a fraud scheme. They are accused of building a billion-dollar cryptocurrency company, based entirely on deception.
FBI Assistant Director-in-Charge William Sweeney, Jr. said:
“OneCoin was a cryptocurrency existing only in the minds of its creators and their co-conspirators. Unlike authentic cryptocurrencies, which maintain records of their investors’ transaction history, OneCoin had no real value. It offered investors no method of tracing their money, and it could not be used to purchase anything. In fact, the only ones who stood to benefit from its existence were its founders and co-conspirators.”
Despite all hardships, One Coin Limited continues to work. If you check out their website you will find everything there: a meaningless text about the benefits of a “revolutionary” token and other signs of a high-quality international project that deceives people.
QuadrigaCX
It’s not possible to take your savings to the grave, right? More than 100,000 clients of QuadrigaCX are ready to argue with that. So let’s try to recount the details of this strange story.
QuadrigaCX was created in 2013 and was Canada’s largest cryptocurrency exchange.
In December 2018, Gerald Cotten (founder and CEO of the QuadrigaCX) and his wife — Jennifer Robertson, were in India on their honeymoon. During this trip Cotten suddenly passed away from Crohn’s disease. After his death, it turned out that Gerald was the only one who had access to cold wallets of the exchange platform.
Changpeng Zhao (Binance CEO) comments this situation on Twitter:
“That’s sad. There are many solutions to split private keys or signing to achieve 3/5, 5/7 etc. Never neglect security. Also, never have CEO carry private keys. Bad on many levels.”
On January 25, 2019 (that is, almost two months after Cotten’s death) a special meeting was convened to appoint QuadrigaCX’s new directors. As a result, the inconsolable widow Jennifer Robertson, her stepfather Thomas Beazley and Jack Martel were elected to take charge of a company. By the way, this meeting was held by a conference call as the widow was very busy by hastily selling the property of her deceased husband. Indeed, there was something to deal with: a yacht, a plane, and several houses. Also, dearly departed managed to take care of his Chihuahuas by opening a special trust account for them in the amount of $100,000 (which is interesting, as Cotten did not show such forethought about the clients of his company).
It’s worth to mention that the clients of QuadrigaCX had problems with the exchange for a long time — mainly related to the withdrawal of funds. The first wake-up calls took place in March 2018, when press reports negatively about delays in the withdrawal of funds the total amount of which exceeded $100,000. But that’s all just moonshine compared to the fact that in June 2017 the exchange platform lost about 15 million Canadian dollars — as explained to the community, due to a bug in the smart contract. As a result, the Canadian Imperial Bank of Commerce (CIBC) froze about $22 million in QuadrigaCX accounts. This happened in November 2018, and for all users, it would have meant the end of a remarkable business but Mr. Cotten wasn’t explaining the problems to customers, wasn’t trying to solve them, and so on. He had just married and went on a honeymoon trip to pass away exactly two weeks after freezing the accounts.
As the inconsolable widow stated in her testimony:
“To the best of my knowledge, most of the businesses of these companies was being conducted by Gerry whenever and wherever he and his computer were located”.
In February 2019, the head of Coinbase — Brian Armstrong unveiled the results of an independent investigation into the QuadrigaCX. He reported on his Twitter account the following:
“Sequence of events suggests this was a mismanagement with later attempt to cover for it.” “This implies that at least few people inside Qadriga knew that they were running fractional. If so, then it’s possible that untimely death of their CEO was used as an outlet to let the company sink”.
Brian Armstrong stressed that QuadrigaCX users started complaining about problems with withdrawing money long before Gerald Cotten’s death. Thus, the company management decided to invent a story about private keys on the laptop of the CEO to hide the financial insolvency, one of the reasons for which could be inefficient management.
Nowadays, the Canadian cryptocurrency exchange QuadrigaCX is officially bankrupt. Users of the closed Quadriga are now leading legal battles in order to recover their funds. The total amount of which is about $190 million in crypto. The exact circumstances of the disappearance of user deposits remain uncertain.
Do you think the story with QuadrigaCX was Exit Scam or Mismanagement?
Bitfinex
One of the largest crypto scandals of the year broke out on April 30, 2019. The New York State Attorney General’s Office has filed serious accusations against the biggest exchange platform — Bitfinex. According to Leticia James, the exchange platform used the reserves of Tether, an affiliated company to cover up a loss of $850 million.
Questions to Tether have been in the air for a long time. In January 2018, the critics of the main stablecoin assumed that the company, in fact, produced more coins than it actually could sustain. Some critics accused the Bitfinex in fraud and manipulation of Tether’s rate and influenced through it on the price of Bitcoin.
So what’s up with the Bitfinex? Investigators of the prosecutor’s office claim that the lost money belonged to the clients and iFinex corporation. That is why, back in October 2018, Bitfinex started having problems with the withdrawal of the funds: the clients complained about long response time and a delay in receiving currency. According to the authorities, Bitfinex transferred $850 million to Crypto Capital Corp., the payment company. The Tether reserves were used to fill the gap, but this information was not disclosed to the public. According to the first data, Tether provided funding in the amount of at least $700 million for this purposes. Withdrawing this amount of currency severely shook faith in the idea that Tether tokens are indeed fully backed by dollars.
And then Bitfinex had extraordinary difficulties in satisfying the withdrawal demands from the platform since Crypto Capital refused to process withdrawals or simply could not return any funds. One of the senior Bitfinex executives opened a can of worms by writing the following:
“Please understand all this could be extremely dangerous for everybody, the entire crypto community. BTC could tank to below 1k if we don’t act quickly.”
Soon after it was known about the serious accusations against companies, Bitfinex’s users began to panic. They started buying Bitcoin and trying to get rid of their assets in USDT. As a result, BTC was trading $350+ (6.75%) more expensive than the crypto market average.
Tether and Bitfinex published a joint statement on their official blogs in response to the allegations of missing funds. The posts allege that the companies did not receive any preliminary warnings, as well as that lawsuits from the New York Prosecutor General’s Office were “riddled with false assertions”.
According to the latest information, Bitfinex is supposed to release its own token and attract $1 billion in Tether through IEO.
What do you think about these scandals and scams? Tell us your thoughts in the comments below.
Like and share this article if you find it useful. Want more interesting articles on the crypto world? Follow us on Medium, Twitter, Facebook, and Reddit to get Stealthex.io updates and the latest news about the crypto world. For all requests message us at [[email protected]](mailto:[email protected]).
submitted by Stealthex_io to btc [link] [comments]

The Biggest Scams In The Crypto History: Part 2

Here’s the sequel of our previous article. You wanted — you got it. Let’s roll!
OneCoin
OneCoin is a good example of a Ponzi scheme. In 2015, the Indian company One Coin Limited began to issue digital currency without a blockchain and decentralization. The old-school MLM (Multi-Level Marketing) strategy was used for the distribution of coins.
The company was selling a wide range of training packages on crypto trading, mining and successful life. There were textbooks, presentations, and other rubbish, among which were OneCoin tokens. They were supposed to allow users to get even more tokens. But the thing was that only One Coin Limited had exclusive rights to issue of coinage. So there were no other options for mining this coin.
On the international conference the founder of OneCoin, Ruja Ignatova, presents these tokens as the Bitcoin killer. See how easy it is to fool users?
Over the years, the company has spread its network globally. And only in 2017, the project gets into a number of investigations and restrictions. Owners and employees of the company more and more often could not answer questions from investors and carried on with the nonsense about “a bright crypto-future.”
Finally, regulators and banks in Italy, Germany, Hungary, Belize, Thailand and other countries have banned the trade of OneCoin and warned users not to get engaged with this company.
In early March 2019, the current OneCoin cryptocurrency leader Konstantin Ignatov, brother of Ruja Ignatova, was arrested at Los Angeles airport. He is accused of fraud and creating a financial pyramid.
According to the United States Attorney’s Office, Ignatov and his sister misled investors all over the world, and as a result, the people invested billions of dollars in a fraud scheme. They are accused of building a billion-dollar cryptocurrency company, based entirely on deception.
FBI Assistant Director-in-Charge William Sweeney, Jr. said:
“OneCoin was a cryptocurrency existing only in the minds of its creators and their co-conspirators. Unlike authentic cryptocurrencies, which maintain records of their investors’ transaction history, OneCoin had no real value. It offered investors no method of tracing their money, and it could not be used to purchase anything. In fact, the only ones who stood to benefit from its existence were its founders and co-conspirators.”
Despite all hardships, One Coin Limited continues to work. If you check out their website you will find everything there: a meaningless text about the benefits of a “revolutionary” token and other signs of a high-quality international project that deceives people.
QuadrigaCX
It’s not possible to take your savings to the grave, right? More than 100,000 clients of QuadrigaCX are ready to argue with that. So let’s try to recount the details of this strange story.
QuadrigaCX was created in 2013 and was Canada’s largest cryptocurrency exchange.
In December 2018, Gerald Cotten (founder and CEO of the QuadrigaCX) and his wife — Jennifer Robertson, were in India on their honeymoon. During this trip Cotten suddenly passed away from Crohn’s disease. After his death, it turned out that Gerald was the only one who had access to cold wallets of the exchange platform.
Changpeng Zhao (Binance CEO) comments this situation on Twitter:
“That’s sad. There are many solutions to split private keys or signing to achieve 3/5, 5/7 etc. Never neglect security. Also, never have CEO carry private keys. Bad on many levels.”
On January 25, 2019 (that is, almost two months after Cotten’s death) a special meeting was convened to appoint QuadrigaCX’s new directors. As a result, the inconsolable widow Jennifer Robertson, her stepfather Thomas Beazley and Jack Martel were elected to take charge of a company. By the way, this meeting was held by a conference call as the widow was very busy by hastily selling the property of her deceased husband. Indeed, there was something to deal with: a yacht, a plane, and several houses. Also, dearly departed managed to take care of his Chihuahuas by opening a special trust account for them in the amount of $100,000 (which is interesting, as Cotten did not show such forethought about the clients of his company).
It’s worth to mention that the clients of QuadrigaCX had problems with the exchange for a long time — mainly related to the withdrawal of funds. The first wake-up calls took place in March 2018, when press reports negatively about delays in the withdrawal of funds the total amount of which exceeded $100,000. But that’s all just moonshine compared to the fact that in June 2017 the exchange platform lost about 15 million Canadian dollars — as explained to the community, due to a bug in the smart contract. As a result, the Canadian Imperial Bank of Commerce (CIBC) froze about $22 million in QuadrigaCX accounts. This happened in November 2018, and for all users, it would have meant the end of a remarkable business but Mr. Cotten wasn’t explaining the problems to customers, wasn’t trying to solve them, and so on. He had just married and went on a honeymoon trip to pass away exactly two weeks after freezing the accounts.
As the inconsolable widow stated in her testimony:
“To the best of my knowledge, most of the businesses of these companies was being conducted by Gerry whenever and wherever he and his computer were located”.
In February 2019, the head of Coinbase — Brian Armstrong unveiled the results of an independent investigation into the QuadrigaCX. He reported on his Twitter account the following:
“Sequence of events suggests this was a mismanagement with later attempt to cover for it.” “This implies that at least few people inside Qadriga knew that they were running fractional. If so, then it’s possible that untimely death of their CEO was used as an outlet to let the company sink”.
Brian Armstrong stressed that QuadrigaCX users started complaining about problems with withdrawing money long before Gerald Cotten’s death. Thus, the company management decided to invent a story about private keys on the laptop of the CEO to hide the financial insolvency, one of the reasons for which could be inefficient management.
Nowadays, the Canadian cryptocurrency exchange QuadrigaCX is officially bankrupt. Users of the closed Quadriga are now leading legal battles in order to recover their funds. The total amount of which is about $190 million in crypto. The exact circumstances of the disappearance of user deposits remain uncertain.
Do you think the story with QuadrigaCX was Exit Scam or Mismanagement?
Bitfinex
One of the largest crypto scandals of the year broke out on April 30, 2019. The New York State Attorney General’s Office has filed serious accusations against the biggest exchange platform — Bitfinex. According to Leticia James, the exchange platform used the reserves of Tether, an affiliated company to cover up a loss of $850 million.
Questions to Tether have been in the air for a long time. In January 2018, the critics of the main stablecoin assumed that the company, in fact, produced more coins than it actually could sustain. Some critics accused the Bitfinex in fraud and manipulation of Tether’s rate and influenced through it on the price of Bitcoin.
So what’s up with the Bitfinex? Investigators of the prosecutor’s office claim that the lost money belonged to the clients and iFinex corporation. That is why, back in October 2018, Bitfinex started having problems with the withdrawal of the funds: the clients complained about long response time and a delay in receiving currency. According to the authorities, Bitfinex transferred $850 million to Crypto Capital Corp., the payment company. The Tether reserves were used to fill the gap, but this information was not disclosed to the public. According to the first data, Tether provided funding in the amount of at least $700 million for this purposes. Withdrawing this amount of currency severely shook faith in the idea that Tether tokens are indeed fully backed by dollars.
And then Bitfinex had extraordinary difficulties in satisfying the withdrawal demands from the platform since Crypto Capital refused to process withdrawals or simply could not return any funds. One of the senior Bitfinex executives opened a can of worms by writing the following:
“Please understand all this could be extremely dangerous for everybody, the entire crypto community. BTC could tank to below 1k if we don’t act quickly.”
Soon after it was known about the serious accusations against companies, Bitfinex’s users began to panic. They started buying Bitcoin and trying to get rid of their assets in USDT. As a result, BTC was trading $350+ (6.75%) more expensive than the crypto market average.
Tether and Bitfinex published a joint statement on their official blogs in response to the allegations of missing funds. The posts allege that the companies did not receive any preliminary warnings, as well as that lawsuits from the New York Prosecutor General’s Office were “riddled with false assertions”.
According to the latest information, Bitfinex is supposed to release its own token and attract $1 billion in Tether through IEO.
What do you think about these scandals and scams? Tell us your thoughts in the comments below.
Like and share this article if you find it useful. Want more interesting articles on the crypto world? Follow us on Medium, Twitter, Facebook, and Reddit to get Stealthex.io updates and the latest news about the crypto world. For all requests message us at [[email protected]](mailto:[email protected]).
submitted by Stealthex_io to CryptoCurrencyTrading [link] [comments]

XRP and BITCOIN are still suspended on BINANCE + CARDANO ... Binance Keeps Their Crown In Response To Latest Attack HUGE Altcoin Updates - Tomochain, Wanchain, Cardano, Enjin, Crypto.Com, Binance Bitcoin OVER $10K Again, LITECOIN Leading Altcoins! Binance and MCO Updates! HUGE Altcoin Updates! Stellar, Binance US, Tomochain, Digibyte, NEO, Monero, Bitcoin Bakkt How to Check Status of Crypto Matter on Supreme Court Website  अब किसी पूछने की जरुरत नहीं है Bitcoin Reaches New Milestone! Ethereum Update, Dent Surge ...

Buying crypto like Bitcoin and Ether is as easy as verifying your identity, adding a payment and clicking "Buy". Sign up for our Wallet today. Russia’s internet censorship agency, Roskomnadzor, warned against Binance and included the crypto exchange’s primary website to the country’s prohibited domains list.. This was revealed by the crypto exchange on its Russian Telegram channel, detailing that it received the notice on Thursday, and the action was taken as the platform was offering details on acquiring digital currencies ... A top trader on Binance thinks that Bitcoin is primed to move higher in the near future. He joins many others in saying that BTC could hit the $20,000 resistance around the end of the year or start of 2021. The trader in question regularly posts profitable trades, with him clearly being a leading trader on Binance’s futures exchange. “Binance Effect”: ... For example, from early 2014 to early 2015, the price of Bitcoin fell by 75%, while UTXO cap actually rose by 15%; in the most recent bear period from the beginning of 2018 through November 2018, the price of Bitcoin fell nearly 70%, while UTXO cap only fell 5%. This echoes the findings of Calderón (2018), who utilized the CSAD model 12 to demonstrate that crypto ... A new metric just emerged in the crypto news today, showing that the Bitcoin ROI since 2015 outperforms five major indices and puts the digital asset ahead of the traditional markets.. For those of you who don’t know, the dominant coin Bitcoin (BTC) had a nearly 3,500% return on investment since 2015 which is 70 times the one of five traditional stock markets. Bitcoin’s stimulus Bitcoin crossed $15,000, the first time since January 2018. The cryptocurrency is now up 7.8% over the past 24 hours and over 108% on a year-to-date basis, with little sign of ... @TorlinaT @binance I was actively buying 800 (nov 2013) to 1000-top down to 300 (end 2015 or beginning 2016). After that I lost track of what happened. Was brutally awakened by my brother calling me in march 2017 to ask about some random shitcoin. Did my pizza in july 2017. DCA'd ever since. Digital money that’s instant, private, and free from bank fees. Download our official wallet app and start using Bitcoin today. Read news, start mining, and buy BTC or BCH. Bitcoin News is the world's premier 24/7 news feed covering everything bitcoin-related, including world economy, exchange rates and money politics. Binance Will Not Serve New York. Speaking to news magazine Cheddar in an interview on August 15, Changpeng Zhao, also known as CZ, said preparations were underway to get Binance US to market. “I would say in a couple of months now… I don’t want to promise any fixed dates… there’s a lot of work being done and a lot of things going on in flux, but I would say in a month or two,” he ...

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XRP and BITCOIN are still suspended on BINANCE + CARDANO ...

This video is unavailable. Watch Queue Queue Binance Keeps Their Crown 👑 In Response To Latest Attack ... then sold all the altcoins those users held into Bitcoin, then did a huge buy on Viacoin. Thus the attackers ended up with a whole ... Major Altcoin Updates! Tomochain soars following Binance report and listing, Crypto.com adds two fiat withdrawal solutions (Paxos, TrueUSD), Enjin is improving in Japan, Wanchain launches new ... How to Check Status of Crypto Matter on Supreme Court Website अब किसी पूछने की जरुरत नहीं है There are several things about a case you can check ... Bitcoin Has A Good Chance To Hit 100k In the Next Bull Run..But Why Don't Average People Care? - Duration: 10:24. Altcoin Daily 37,458 views Bitcoin is now the 8th largest currency! This is yet another achievement for bitcoin and the cryptocurrency industry. Billy is also looking at Etheruem and M... Bitcoin Finally Passes $10K Barrier, #Litecoin Still Leading the Altcoin Rally https://www.coinspeaker.com/litecoin-altcoin-rally-bitcoin-price-struggles/ Vi...

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