In a recent [podcast episode](https://open.spotify.com/episode/2iBhhDShX30sfdKOiU2agw) of The Scoop, The Block's Frank Chaparro and Kraken Chief Legal Officer Marco Santori discussed the crypto exchange's plan to launch a bank.

Kraken's ultimate goal is to support other crypto companies finding it difficult to establish a relationship with banks.

## US banks hesitant to accept crypto firms as new clients

Given increased crypto regulatory actions in the US, banks are hesitant about taking on cryptocurrency firms as new clients. The US Securities and Exchange Commission (SEC), led by Chair Gary Gensler, believes that most crypto assets offered by cryptocurrency companies are securities, thereby [subject to regulation.](/news/article/sec-probe-giving-advice-for-crypto-trading)

Following the unceremonious decline of major industry [players such as FTX](/news/article/ftx-funds-political-donations-to-be-recovered) and BlockFi, the SEC has put the US-based segment of the industry under the microscope. Following a [reported SEC probe of the Kraken](/news/article/crypto-exchange-kraken-faces-sec-probe) crypto exchange over unregistered securities, the cryptocurrency trading platform agreed to pay a $30M fine.

This resulted in the Kraken [suspending its staking operations](/news/article/crypto-tumbles-as-kraken-suspends-staking) with retail investors. This decision by the SEC did not go well with the community, investors, and even politicians.

That said, there is a silver lining for Kraken, and it is in the form of a [recent incident involving Silvergate](/news/article/silvergate-bank-crisis-sees-crypto-tank). In early March 2023, Silvergate 'missed' the deadline for 10K filings. This led the SEC to warn the bank about its capacity to carry on as a "going concern".

As a result, Ledger, Circle, Paxos Trust Company, Coinbase, and several other high-end industry clients publicly cut ties with the cryptocurrency bank. This led Kraken crypto exchange to decide to launch its own bank and support cryptocurrency firms.
 
Scrolling to the bottom of Kraken's [website](https://www.kraken.com/bank), you will see the Kraken Bank option. The facility has yet to be launched, but you can sign up for updates by filling out a short form.

According to the website, Kraken is "planning a phased launch in 2022". This may be a typing error, or the webpage needs to be updated with the latest content. It should be noted that the trading platform is the first cryptocurrency firm to be handed a US state banking charter.

Operating as an independent affiliate of the Kraken network of products, the “[Bitcoin bank](/news/article/crypto-banks-access)" will be based out of Wyoming, with a forward-facing regulatory framework. Good news may follow later this year.


Kraken Crypto Exchange Plans Bank Launch 

Launched in 2014 by Dolphin Corp. Limited Liability Company (LLC), [Binomo](https://binomo.com/en-en) is among the premier locations for traders and investors searching for a safe and secure platform to risk their hard-earned money.

Due to the stiff competition in the largely profitable trading industry, it has thrived on its mission statement to make available an innovative trading platform with a minimum investment to all types of traders, irrespective of their investing habits.

Despite the success story the platform has enjoyed so far, many potential stakeholders remain skeptical due to the numerous scamming and hacking incidents that continue to mire many trading platforms. 

As a result, I want to use this report to take a comprehensive look at the trading platform with a primary focus on its features, pros, and limited cons.

## The pros of using Binomo 

The trading platform continues to trend online due to the following:

•	It is fully certified by Verify My Trade (VMT). One of the worse things that can happen to you as a trader is to have your order on the waiting list while the intended value you had in mind continues to fluctuate to new highs and lows due to execution problems. A VMT certificate signifies the quality of trade execution services being overseen by the trading platform. While you may be interested in using many exchanges and platforms, speed of execution is one of the factors that I would like you to prioritize so that you can maintain your trading orders and see the appropriate profits reflected in your account.   

•	Binomo is an integral member of the [Financial Commission](https://financialcommission.org/about/what-we-do/). This agency was established in 2013 to serve as an external dispute resolution (EDR) body that helps brokers and traders resolve disputes associated with using platforms in a smooth, authentic, and unbiased manner. In May 2018, Binomo became a "Category A" member of the agency. As a result, you, as a trader, are protected from any potential problems that may arise as the Financial Commission is on standby to listen to any concerns you may have and resolve problems effectively.

•	It is tailored to the needs and interests of low-budget traders. Unlike many trading platforms, which come with at least $50 in minimum deposits, Binomo investing has taken a different route. Due to the high volatility involved in the decentralized finance market and the uncertainty of the centralized financial market, potential traders can deposit a minimum of $10. Since traders are normally advised to risk 5% to 20% of their entire capital on trades, you can invest as little as $1. When you become an experienced trader, you can increase this accordingly.

•	It supports many asset classes. As a brokerage platform, it offers access to several asset classes, including [crypto](/news/article/is-crypto-dead), metals, and commodities. Therefore, you do not have to switch platforms if you are interested in trading other assets that could bring enormous gains to your investment portfolio.

•	Binomo offers a range of payment methods. You can deposit and withdraw funds in many ways, including bank cards (VISA and Mastercard), [crypto wallets](/news/article/tony-fadell-launches-crypto-wallet) that support USDT from Ethereum (ERC20) and TRON (TRC20), Bitcoin (BTC), Ethereum (ETH), Binance Coin (BNB), and the US Dollar Coin (USDC) from Circle, and electronic wallets such as Perfect Money, Advcash, and Binance Pay.

•	It offers a demo account. Demo accounts are valuable to the trading journey of a novice or beginner trader. When you sign up for an account, you will receive 50,000 in virtual funds of your country's currency. This can be used to trade contracts for difference (CFD), where you invest an amount of money into an asset for a period (buy or sell) and wait for the outcome of the trade.

•	Binomo is highly accessible. Aside from accessing the brokerage on the web through a desktop application, the platform can also be accessed via the Binomo app. The mobile application is available on the Apple Store, Google Play Store, App Gallery, Galaxy Store, Aptoide, and Apptoko.

## Cons of using Binomo

•	For [crypto](/news/article/is-crypto-regulated-across-the-globe) traders interested in a large array of tokens, Binomo is not the trading platform for you. It does not support many cryptocurrencies.

Overall, it is a safe trading platform and one of the best brokerages for novices to experiment with their capital.


What is Binomo and Why is it Trending? 

## What are the best tools for trading crypto?

The cryptocurrency market has financially empowered the masses since its origin. Yet, these assets remain highly volatile and risky investments. Moreover, the rising scams in the industry have also increased the troubles of investors, especially novice ones. 

How do you excel at crypto trading to gain better profits? An easy way around it is to use the right tools to make informed decisions. There are varying types of crypto trading software that you can leverage to upgrade your trading skills. 

Here's a thorough guide on the top tools for trading cryptocurrencies that will help you develop technical investment strategies.

## Best tools for trading crypto - Exchanges

A trusted exchange is a foremost requirement for a dependable crypto strategy. Being the source of buying and selling cryptocurrencies, these platforms must be safe and secure. Therefore, it's advisable to choose one diligently. Also, various exchanges offer an array of features, making them all-in-one platforms for crypto trading.

Here you can get an idea of some of the [best crypto exchanges](/news/article/best-exchanges-for-crypto-uk) on the market.

1.	[Coinbase](https://www.coinbase.com/)
Coinbase is one of the most trusted exchanges in the industry. Plus, it can work as a complete platform for your buying and selling needs. It supports 200+ cryptocurrency pairs and offers a secure hot wallet for daily trades. Coinbase Pro also allows you advanced trade options to manage your portfolio with an intuitive UI. 

In addition, it has an Earn program through which you can earn modest amounts as interest. Although the exchange fees are slightly higher, Coinbase is an easy-to-use, beginner-friendly option with advanced features.  

2.	[Binance](https://www.binance.com/en)
Another industry leader among cryptocurrency exchanges is Binance. In terms of its trading volume, it is the world's largest exchange. Compared to Coinbase, it offers much more advanced trading features, including interactive charts, varying types of orders, trade history, and various other features.

The exchange offers more than 350 crypto tokens which help in portfolio diversification. It also has cheaper exchange rates that start at as low as 0.1%.

3.	[Coinmama](https://www.coinmama.com/)
Suppose you are just starting as a trader and looking for a beginner-friendly option. In that case, the [Coinmama exchange](/news/article/coinmama-review) can also be a good option. It has been working in the industry since 2013 and is a credible platform. Currently, it offers only 16 cryptocurrencies but includes all the popular ones like [BTC](/coins/btc), [ETH](/coins/eth), [LTC](/coins/ltc), [DOGE](/coins/doge), AAVE, and others.  

It claims to be the world's friendliest exchange. The reason is that buying and selling crypto is relatively straightforward on Coinmama. Besides, it has a quick procedure for registration. However, it's pretty limited as it does not have advanced trading features like Coinbase or Binance. 

## Finest platforms for trading crypto 

Trading platforms are one of the best tools for trading crypto as they allow you to handle multiple exchange accounts. These tools save you from the hassle of changing windows for monitoring markets on different platforms. You can manage more than one exchange profile in one place. This way, you can easily monitor the market and conveniently make trades. 

Below are the top crypto trading platforms:

1.	[Coinigy](https://www.coinigy.com/)
Coinigy is one of the frontrunners among trading platforms. It supports cryptocurrency markets of more than 45 exchanges, including both Coinbase and Binance. Moreover, you will get several intricate trading features like multiple price chart layouts, insightful indicators, and no limits on trades. 

2.	[Shrimpy.io](https://www.shrimpy.io/)
Shrimpy.io is another good option that you can use with several exchanges. It helps you to keep tabs on your accounts in 16 markets. Though it supports lesser markets than Coinigy, it offers several other features. These include automated trades, copying experienced traders, portfolio management, backtesting investment strategies, and performance tracking. 

3.	[Kubera](https://www.kubera.com/)
Another option for managing your profiles on different exchanges is Kubera. Being one of the best portfolio trackers in 2022, Kubera is a web-based solution that works well for both traditional and digital assets. You can add several wallets to it and conveniently monitor and manage them in one place. It currently offers support to 20+ exchanges. 

## Best tools for trading crypto - Wallets

Exchange wallets often are not considered secure as they are custodial. On a custodial wallet, the private key of your accounts is under the possession of exchange. This makes your assets vulnerable to potential cyberattacks on the exchange. You can also check out the [top 7 picks for the best crypto wallets](/news/article/best-crypto-wallet-uk-top-picks). 

If you do not prefer exchange wallets, here are some safer options. 

1.	[MetaMask](https://metamask.io/)
MetaMask is one of the safest browser-based wallets. Its extension is available for various browsers, including Google Chrome, Microsoft Edge, Brave, and Firefox. MetaMask supports ERC-20 tokens as well as ERC-721 non-fungible tokens. 

Additionally, it can easily be integrated with several DApps and blockchain games. 

2.	[Ledger Nano X](https://shop.ledger.com/products/ledger-nano-x)
Ledger Nano X is a trusted cold wallet. You can keep over 150,000 tokens in this hardware. Besides, it gives you complete control over your assets as you can store your private keys. So, it can be the ideal choice if you need a wallet for your long-term investments.   

## Best technical analysis tools for cryptocurrency

Technical analysis tools are the backbone of your crypto investment strategies. They give you all the essential market insights for trading decisions, using various indicators and visually presenting market sentiment and behaviour for you. All the graphs and charts help you hone your technical analysis.

Here's a list of some of the leading technical analysis tools for trading crypto:

1.	[MetaTrader 4](https://www.metatrader4.com/en)
MetaTrader 4 is one of the most advanced tools for analysing digital and conventional assets. It offers many technical indicators that help you in assessing the market easily. Most seasoned traders opt for this, but beginners may find it difficult to navigate.

2.	[TradingView](https://www.tradingview.com/)
TradingView is another handy tool for doing crypto analysis. It is known for providing technical insights on both traditional and digital assets. A wide range of exchanges and DeFi platforms use this software for charting. Besides, its 72+ insightful indicators allow you to make informed decisions. 

3.	[Cryptowat.ch](https://cryptowat.ch/)
Cryptowat.ch by Kraken exchange is another crypto analysis tool that you can use for free. It is an easy-to-use option to assist you in visualising more than ten charts on a single screen.

## Best crypto trading bots

Learning technical analysis is a steep task that requires practice and time. But crypto rookies often want to directly indulge in trades without going through the learning curve. This can be highly risky as there are some trading bot scams that you need to look out for. However, legit trading bots can solve many problems for you.

Crypto bots are sophistically designed AI-based tools that can make informed decisions for you. Also, these bots can automate your trade procedures and require minimal supervision.

Try out the following best crypto trading bots to get an idea of what AI can do for you! 

1.	[Pionex](https://www.pionex.com/en)
Pionex is a highly acclaimed crypto trading bot in the market. In total, it offers 16 types of trained models for automating trades. It includes a DCA bot, copy trading bot, and several others. Using this tool, you can run your investment strategies on autopilot. 

Also, if you do not want complete automation, you can customise it for different parts. 

2.	[Bybit](https://www.bybit.com/)
Another best tool for crypto trading on autopilot is ByBit. It is an exchange, but is also known for its copy trading bot, through which you can copy others' strategies. There are numerous seasoned traders on Bybit whom you can follow and copy. As a beginner, it helps you to learn the ins and outs of the cryptocurrency market while making trades.

3.	[Zignaly](https://zignaly.com/)
Zignaly app also proves to be a viable option for automated trading. It offers bots of several types for your trade and investment needs; you can develop your own strategy or can adopt a third party's solution. Moreover, it can be integrated with numerous exchanges and trade platforms. Zignaly's most prominent feature is its Bitcoin copy trades. 

## Best tools for trading crypto - Price tracking websites

Crypto trading requires you to keep track of market data and live prices all the time. For this reason, you must know the right websites to give you authentic insights. Among these websites, the following two are the most popular options: 

1.	[CoinMarketCap](https://coinmarketcap.com/)
CoinMarketCap is the most followed website for tracking live prices of cryptocurrencies. It maintains a list of coins based on their market capitalisation and provides all the related data. This includes total supply, circulating supply, total value locked, price history, traded volume, all-time highs and lows, etc. The website also provides data for crypto exchanges.  

2.	[CoinGecko](https://www.coingecko.com/)
The second-most popular cryptocurrency price tracking website is CoinGecko. It presents cryptocurrency stats in an organised way, which makes it easier for you to follow market data. 

## Best tools for trading crypto - Total Value Locked (TVL)

The total value locked in a DeFi platform is a significant indicator of its credibility. It is the amount that the developers deposit for the project. Several instances in the industry have occurred where project founders did not deposit TVL and escaped with rug pull. 

That's why the locked amount gives investors assurance about the platform's security.

### [DeFi Llama](https://defillama.com/)

DeFi Llama is one of the finest platforms in this regard. It provides stats for more than 800 DeFi platforms and covers 80+ blockchains. Llama allows you to track TVLs of L1 blockchains, NFT projects, and decentralised apps. 

Best tools for buying and selling crypto - News aggregators
News aggregators are also among the best tools for trading crypto as they provide all the market happenings in one place. 

There are various news websites in the industry, which makes it difficult to find what's authentic. This is where a news aggregator can be quite handy.

1.	[CryptoPanic](https://cryptopanic.com/)
CryptoPanic is one of the top crypto analysis websites, which presents all the news in one place. Its dashboard has different filters that allow you to see customised news for price actions, ICOs, and other events. 
 
2.	[FAWS](http://faws.com/)
FAWS is quite similar to CryptoPanic. However, it offers a more user-friendly interface, which makes it better for user experience. 
 
3.	[Moni Talks](/news)
Monitalks.io is a crypto community. The news section provides the latest updates and insights on the market. It also offers a newsletter free subscription for users to stay informed about the latest crypto market trends. The website also provides informative content that helps you stay up to date with the digital world.

## Bottom line

Cryptocurrency trading without assistance is a risky venture. Whether you are starting or a seasoned trader, you need to use crypto tools to grow as a trader. This thorough guide looked at various types of best tools for trading crypto. Leveraging these tools will help you learn patterns and develop a concrete investment strategy.


Best Tools for Trading Crypto in 2023

Gate Group, the parent company of renowned crypto exchange Gate.io, has reportedly applied for a new cryptocurrency license in Hong Kong. The crypto license will enable the group to launch its presence in the city through "Gate HK", a new platform dedicated to [Hong](/news/article/wow-summit-hong-kong-flagship-event) burgeoning crypto market.

Gate.io joins a growing waiting list of prominent cryptocurrency exchanges that have applied for crypto trading licenses in Hong Kong. The list includes market leaders like Huobi Global, OKX, and Bitget. 

## Gate.io joins a growing waiting list

The [announcement](https://www.prnewswire.com/news-releases/gate-group-confirmed-applying-for-new-crypto-license-in-hong-kong-301753044.html) is hot on the heels of a statement that the local government was injecting at least $6.4 million into the city's Web3 ecosystem under the 2023-2024 budget.

The government will use the [Web3](/news/article/web3-games-raised-millions) budget to organize seminars, arrange workshops to educate the public, and encourage business cooperation. In his budget speech, the city's financial secretary, Paul Chan, confirmed the Web3-related funding and creation of a crypto task force.

According to Chan, several companies were considering opening shop across the city owing to the friendly crypto regulation. He reiterated the importance of keeping up with the times and seizing the opportunity to spearhead innovation development.

[Dr. Han Lin](https://twitter.com/han_gate/status/1627865433880825857), the founder of the Gate Group, is on record referring to Hong Kong as a digital asset hub and global strategic market because of its crypto industry-leading regulatory regime.

Hong Kong’s Securities and Futures Commission (SFC) [announced on 20 February](https://apps.sfc.hk/edistributionWeb/gateway/EN/news-and-announcements/news/doc?refNo=23PR5) that it was already collecting public opinions on plans to regulate the crypto industry effective from June this year. Chan stated that the task force he will lead would comprise market participants and financial regulators, who will offer recommendations on the sustainable and responsible development of the crypto sector.

## Access to an extensive library of cryptocurrencies

Founded in 2013 and headquartered in the Cayman Islands, Gate.io is a leading cryptocurrency exchange giving users access to a comprehensive library of cryptocurrencies, including Bitcoin (BTC), Ethereum (ETH), and many others. The platform also offers numerous [trading options](/news/article/simple-cryptocurrency-trading), including futures, margin, and spot trading. 

Users relish the exchange’s intuitive, user-friendly interface that presents an array of tools that helps them analyze market trends to make educated trading decisions. Gate.io boasts robust security measures, including cold storage for user funds, two-factor authentication, and 24/7 customer support.

As more players line up to enter Hong Kong’s crypto space because of the government’s intervention, it is hoped the move will open the space further, create more jobs, and improve the economy.


hong kong skyline in blue with gate.io logo

Gate.io to make Hong Kong Web3 Debut

On 22 February, New York Attorney General Letitia James filed a lawsuit against CoinEx. The allegations state that the cryptocurrency exchange conducted business unlawfully as it failed to register with the state.

## New York sues CoinEx exchange

James charged CoinEx exchange with failing to register as a commodities and securities broker-dealer in the state. The 38-page [petition](https://ag.ny.gov/sites/default/files/memorandum_of_law_in_support_of_petition._nyoag_v._vinogloballtd_dba_coinex.pdf) filed in the New York Supreme Court alleged that CoinEx violated the state's Martin Act, which is known as one of the most rigorous anti-fraud and securities regulation laws in the US.

According to the petition, [CoinEx](/news/article/coinex-smart-chain) was "engaged in repeated and persistent fraudulent practices". The lawsuit also accused the exchange of listing tokens such as Amp, LBRY Credits (LBC), Rally (RLY), and [Terra](/news/article/terra-luna-second-airdrop) LUNA, which qualified as "both commodities and securities".

James [stated](https://ag.ny.gov/press-release/2023/attorney-general-james-sues-cryptocurrency-platform-failing-register-new-york) that the crypto exchange was not registered with the Commodity Futures Trading Commission or the Securities and Exchange Commission, as required under New York law to sell these tokens.

The petition further alleges that the company failed to comply with a 22 December subpoena sent by the Attorney General's Office to "provide testimony concerning the virtual asset trading activities of its platform".

As per the petition, James seeks a court order to prevent CoinEx from marketing itself as an exchange and stop it from operating in the state by ordering it to geoblock internet addresses and GPS location data from New York.

## Cryptocurrency exchanges must comply with legal standards

James made it clear that cryptocurrency companies cannot ignore regulatory requirements. In a statement, she said the days of cryptocurrency companies behaving as if rules do not apply to them "are over".

With this lawsuit, the New York Attorney General's office is taking a stance on upholding securities regulation laws and ensuring that companies operating in the state comply with them.


CoinEx Exchange Sued by NY Attorney General

## What is DexGuru and how can you use it? 

DexGuru, peculiarly, is not a DEX (Decentralized Exchange) itself, as the name might suggest. Instead, it helps you better understand other DEXs, with a well-executed user interface to make things easier. As the company explains on [its blog](https://blog.dex.guru/DexGuru101) – “DexGuru offers data”. 

There are a lot of complexities and technicalities when it comes to trading – especially cryptocurrency. You need to weigh hundreds of different variables to ensure you have the relevant information to make proper trades. 

To a novice trader, all these 'switches and knobs' won't really make sense, nor will they matter. However, if you're enthusiastic about trading and want to understand how the market works, DexGuru could be the perfect tool. 

You can do much with DexGuru, with [charting](/news/article/understanding-crypto-price-charts) at the core of the feature list. You can play around plenty with the charts on the app, with functions like overlaying various charts on top of each other, looking through different periods for comparison, and multiple indicators to understand trends. Moreover, you can compare and view up to nine different charts simultaneously – a dream come true for avid traders! 

You can also monitor all the trading activity related to your favourite crypto tokens 24/7. It's not just basic information like buying and selling prices; DexGuru can also help you dive in much deeper, like how much of the token whales, sharks, and bots are buying, respectively. 

You can also trade using the DexGuru platform, with a feature referred to as a "swap tool" by the developers. You can buy and sell "spot" assets on the platform without using another DEX. 

## Trading crypto, but it’s not a DEX – how? 

You might have this question in mind, "they said it isn't a DEX, but then how can you buy and sell crypto assets on it?". 

The catch is that it uses the [0x API](https://www.0x.org/) as its foundation to facilitate all crypto-related transactions. This not only helps its users trade “in-house”, but it also provides the best rates on the market. Moreover, because of using 0x, DexGuru itself doesn’t charge any extra fees, as most other DEXs do. 

It's a win-win situation for everyone, making DexGuru a great application for trading. It's insightful, easy on the eye, and facilitates cheap trading for users while providing a mountain of important data – what more could you possibly need? ## 

dexguru logo on blue image of blockchain code

What is DexGuru and How Does it Work?

There has been an explosion of crypto trading exchanges, including the arrival of Hotbit. There are many choices for investors these days, but it often becomes confusing to pick one. Security remains a major concern when selecting a platform.

This article reviews a relatively less renowned option in the crypto space, [the Hotbit exchange](https://www.hotbit.io/). Despite having more than 7 million users, the platform is ranked at #170 in [CoinMarketCap’s](https://coinmarketcap.com/exchanges/hotbit/) exchange rankings. 

Hotbit offerings, however, are next to some of the [best crypto exchanges](/news/article/best-crypto-exchange-uk-reddit). It deals with a wide range of both digital and traditional financial products. Let's find out whether the platform is secure for your crypto trading needs.

## Is Hotbit safe?

To check the legitimacy of a platform, you have to gauge several aspects. It includes observing its security measures, authorisation, and liquidity. 

## Security

Hotbit takes multiple security measures to protect investor assets. The platform’s login is backed up by two-factor authentication that restricts unauthorised parties from accessing your account. The exchange is continually audited by its internal team. It works with firms like Slow Mist and Beosin to protect investors' funds. 

Despite that, its security was challenged once by cyber attackers in 2021. Though its team managed to secure clients’ assets, their personal data was compromised. Therefore, security is one of the major concerns of investors when choosing this platform.

## Authorisation

Hotbit claims to hold licences from multiple authorities. 

Since it's an Asia-based firm, it has secured certifications from Hong Kong and Estonia's regulators. However, that does not mean it cannot operate in other parts of the world. It's a global platform in more than 170 countries and works in the US, too.

## Liquidity and volume

Hotbit claims to have high liquidity and trading volume. 

However, reviews from its users show concern for the platform's liquidity. Some users have also claimed that the platform shows 'forged' figures for the trading volume. Therefore, if you would like to invest here, it is advisable to conduct research.

## Hotbit exchange offerings and features

Here’s what the crypto trading exchange offers:

1.	Spot and ETF trading
Hotbit is a viable option for crypto trades. It offers spot trading, which allows you to instantly buy or sell crypto assets with the availability of more than 500 trading pairs.

Moreover, the platform makes crypto adoption relatively easy as it offers [crypto exchange-traded funds](/news/article/crypto-etfs) (ETFs). Both options have 1:1 leverages. 

2.	TradingView charts
Hotbit seems quite basic for seasoned traders, but it also allows some advanced features with the help of TradingView.

With the [TradingView](/news/article/tradingview-uk-101) integration, you can access multiple chart layouts, several analytical indicators, and other trading insights.

3.	An array of supported digital assets
You can also keep a diverse portfolio with Hotbit. It supports an array of cryptocurrencies, including popular options. You can find more than 800 trading pairs on it. It is well-recognised in the industry for offering new tokens in the market. 

4.	Daily current deposit interest
It is also a crypto exchange that offers daily current deposit interests. The best thing is that you do not have to lock in a certain amount of assets to earn it. Also, you can earn interest in [Bitcoin](/coins/btc), [Ethereum](/coins/eth), and other altcoins.

5.	Intuitive mobile app
An intuitive mobile app is also a handy feature of this platform. Android and iOS users can download its app to make swift trades and conveniently manage portfolios.

## Hotbit exchange fees and commissions

Hotbit is a relatively cheaper option compared to competitors. It does not charge any commissions on deposits. You can even start with as little as $1 on this exchange. Withdrawals charge platform fees. It is not a fixed amount and changes in real-time depending on the volume. 

You can track the gas fee from its withdrawal page to ensure you pay minimal charges.

Meanwhile, the transaction fees vary for order makers and takers. It costs between -0.50% to -0.05% for the transaction makers. Meanwhile, the takers must pay around 0.2% to 0.65% on each transaction. These charges will remain the same, even if you use the hidden trades feature.

## Bottom line

Hotbit is yet another crypto trading exchange in the market. It is known for offering a variety of tokens, including recently launched ones. It allows you to do spot and [ETF trading](/news/article/crypto-etf-uk) with TradingView features. Users only have to pay minimal commissions on transactions. 

However, Hotbit’s security and low liquidity can be major trade-offs against its offerings. That's why we recommend you do research before making any investment decision.


blue image of hotbit logo over image of a laptop

Hotbit: Is it a Secure Trading Platform?

[Bitrue](https://www.bitrue.com/home/) is a leading Singaporean CEX founded in July 2018 by Curtis Wang and a team of crypto enthusiasts and finance professionals. The crypto exchange also has offices in Taiwan, the US, and Europe.

The trading platform comes with a straightforward registration process (KYC is not mandatory) and enables you to buy, trade, and invest in more than 700 crypto assets, including Bitcoin (BTC), Ethereum (ETH), Ripple (XRP), Litecoin (LTC), Aave (AAVE), and Cardano (ADA).

In this 2023 Bitrue review, I cover all you need to know about the platform, including trading features, security, and fees.

## Bitrue trading features

Listed are the features of the [one-stop trading platform](/news/article/coinmama-crypto-exchange):

•	Spot trading: at the time of writing, the cryptocurrency exchange enables you to conduct quick, safe (we will detail this later), and cheap transactions in more than 1,000 trading pairs. The CEX is one of the most proactive in the business, having latched onto the Bonk (BONK) and Fronk (FRONK) dog coin trend almost immediately by offering spot options.

•	Futures trading: take advantage of numerous perpetual futures margined in stablecoins such as USD Coin (USDC), Tether (USDT), and other digital currencies.

•	Leveraged ETFs: leverage trading with near-zero risk of liquidation is made possible by the trading platform.

•	Buy and sell crypto: buy and sell a [vast range of digital currencies](news/article/how-does-crypto-trading-work) via payment options such as credit/debit card (powered by Simplex), international wire transfer (no wire fee for ACH USD payments) in currencies such as USD, EUR, GBP, AUD, CAD, and CHF, and cryptocurrency (powered by Trust Wallet).

•	Bitrue coin (BTR): by holding BTR, you can reap the benefits of a 30% discount on trading fees, voting rights (new token additions), and much more.

•	Earn: once you have purchased a crypto asset on Bitrue, you can take advantage of the “Power Piggy” feature. This feature enables you to earn a passive interest rate on your deposited crypto.

•	Copy trading: this feature will be launched on the platform soon. Copy trading enables you to automatically copy the positions opened and managed by another trader.

## Bitrue trading fees

The XRP-centric CEX charges some of the lowest fees in the industry, with a 0.098% fee applicable on BTC, ETH, and USDT trading pairs, and XRP trading pairs incurring a 0.280% trading fee. XRP/BTC, XRP/USDT, and XRP/ETH trading result in a 0.2% fee (not the usual 0.280% that other XRP trading pairs incur).

Using BTR for transaction fees will make you eligible for an additional 30% discount on the fees mentioned above. Withdrawal fees are dynamically adjusted. Here is a list of some common token withdrawal fees:

•	ADA: 1 ADA

•	BTC: 0.0005 BTC

•	ETH: 0.01 ETH

•	LTC: 0.001 LTC

•	USDC: 13 USDC

•	USDT: 2.6 USDT

•	XRP: 0 XRP

## Is Bitrue safe?

Bitrue has had its [fair share of security troubles](https://www.forbes.com/digital-assets/exchanges/bitrue/). On 27 June, 2019, the crypto platform was hacked, leading to the loss of around $4.2M in XRP and ADA. The hack affected 90 clients and was, at the time, the 17th [largest crypto exchange hack](/news/article/binance-hack) in history.

To its credit, the exchange took all the right steps to contact local authorities, issue a formal statement, and refund all customers by 4 July, 2019. On the same day, the CEX launched the BTR token, only for the server to crash immediately.

A token pricing issue occurred on the mobile platform, resulting in some traders buying the token for inflated prices. Some sellers (of course) took advantage of this vulnerability and made some quick money.

The trading platform suffers from periodic deposit and withdrawal issues and other security concerns (an attempted 51% attack on 8 January, 2019, for example). In addition, there are several customer reports of stolen funds, frozen accounts, and inadequate support.

In a nutshell, Bitrue offers some fascinating features without a flashy website, good mobile applications for Android and iOS users, and decent security features. While Bitrue wouldn't be my first choice to trade cryptocurrencies on, it certainly wouldn't be my last (DYOR!).


Bitrue Crypto Exchange Reviewed

According to [Chainalysis research](https://blog.chainalysis.com/reports/2022-crypto-crime-report-preview-russia-ransomware-money-laundering/), Binance crypto exchange processed almost $346M in illicit Bitcoin (BTC) funds for seized cryptocurrency exchange Bitzlato.

Bitzlato's Russian co-founder Anatoly Legkodymov was arrested in Miami last week on charges of operating the platform as an unlicensed money exchange business and processing $700M in illegal funds.

Reportedly, Legkodymov admitted to catering to "known crooks" through the medium of the cryptocurrency exchange. On 18 January, 2023, he was charged by the US Justice Department for fueling a "high-tech axis of cryptocrime”.

## Binance's role in Bitzlato's money laundering spree

Between May 2018 and September 2022,[ it is reported ](https://www.fincen.gov/sites/default/files/shared/Order_Bitzlato_FINAL%20508.pdf)that Binance was among Bitzlato’s top three Bitcoin-receiving counterparties, the others being Hydra, a Russia-connected darknet market, and “TheFiniko”, the supposed Russia-based Ponzi scheme.

In the same period, the seized cryptocurrency exchange’s top three Bitcoin-sending counterparties were Hydra, LocalBitcoins, a VASP incorporated in Finland, and “TheFiniko”.

According to the US Treasury's Financial Crimes Enforcement Network (FinCEN), each of these sending/receiving counterparties is associated with illicit activities, and a majority of them have substantial ties and/or operations in Russia.

It is evident that Binance is the only [high-end cryptocurrency trading platform](/news/article/guide-to-binance-uk) among Bitzlato’s top sending/receiving counterparties.

According to Chainalysis research, Binance crypto platform moved more than 20,000 BTC, worth about ~$346M at the time, across 205,000 transactions, between May 2018 and the time of Bitzlato’s closure (last week).
Around $175M worth of Bitcoin was transferred from the seized trading platform to the crypto exchange in this period, making it the largest receiving counterparty of Bitzlato.

Nearly $90M of these transfers took place after August 2021. What adds interest to this is that the Binance crypto exchange had enforced mandatory user identification at this point to combat financial crimes.

Furthermore, in a blog last year, Binance said this would help tackle ["the funding and laundering of money from illicit activities"](/news/article/binance-news-dea-uses-exchange-to-track-cartels). Moni Talks could not confirm whether the identification check was enforced in dealings with the seized cryptocurrency platform.

It is worth noting that Binance is providing assistance to international law enforcement in the quest to support the Bitzlato investigation. Currently, it is unclear whether the trading platform's financial dealings with Bitzlato are under judicial review.

The news has been met with a downturn in crypto markets, as top cryptocurrencies have tumbled in price.


Red image of bitzlato logo and falling binance coins

Binance Crypto Exchange Linked to Bitzlato

## Crypto exchange Gemini in line for the next round of downsizing

In yet another blow to the industry, crypto exchange, Gemini plans to lay off another 10% of its staff to cut back on costs.

The [report](https://www.theinformation.com/articles/gemini-is-laying-off-10-of-staff-marking-latest-blow-for-winklevoss-crypto-startup?utm_content=article_push&utm_medium=organic&utm_campaign=AB_post&utm_term=AB_post) was provided by The Information after it intercepted an internal communication plan meant for Gemini's employees. The message referred to the crypto industry's crisis, as well as some "bad actors" in the industry that caused Gemini to make this decision.

This is the third round of downsizing that Gemini is going through within the past six months, as the crypto exchange is experiencing tough times.

The president of Gemini, Cameron Winklevoss, said the company had hoped to avoid further staff cuts, but that the "persistent negative macroeconomic conditions and unprecedented fraud perpetuated by bad actors in our industry" left it with no choice.

Of course, the party in question was none other than Genesis, and its parent company Digital Currency Group. Due to Genesis' own financial issues and bankruptcy, it has failed to meet obligations to Gemini and the crypto exchange platform's special project, Earn.

Earn is an interest-paying financial instrument that Gemini offers. The finances provided for the lending were covered by the Genesis group. However, due to bankruptcy, it was unable to pay the remainder of the due costs, which – [according to Gemini ](/news/article/winklevoss-claims-genesis-owes-investors)– amounted to around $900m.

There was a back-and-forth between the two entities on social media as well, with [Twitter](https://twitter.com/gemini/status/1592873279232278532?lang=ens) being the main playground for the heated exchange.

## Increasing trend of lay-offs in the crypto industry

Gemini isn't the first crypto exchange or crypto-based company to lay off its employees in the past year. The increasing number of bankruptcies, failures, and downright fraud committed by multiple crypto entities has contributed to a huge crash in the market.

After all these companies inherit losses and find it difficult to cover their expenses, the only stakeholder with a target on its back tends to be the employee.

The mismanagement of funds by upper-level executives is becoming more and more detrimental to not just company employees, but the crypto industry itself.

We wait to see how the market revives – if it does at all – and how much trust skilled workers will have in these crypto entities once again.


red image of employees carrying boxes out of office

Crypto Exchange Gemini Cuts Staff Again 

Mercado [Bitcoin](/news/article/btc-price-today) is a Brazilian cryptocurrency exchange founded in 2016. It is centralised, has almost 1 million traders, and has a 24-hour trading volume of around 89.91 from 146 coins and 146 trading pairings. BTC/BRL (42.04) is the most active trading pair on the Mercado Bitcoin exchange. 

With more than 2 million registered clients and over 12 billion reais in transactions through 2019, the company's platform usage volume has increased 15-fold in the last 18 months. Expectations for the following two to three years are considerably higher, with a 100-200x increase predicted.

## How does Mercado Bitcoin expect to grow?

After extensive research into Google Cloud products, it was discovered that they were ideal for the demands of its IT team, particularly in terms of performance, security, stability, and support. Such expansion necessitates a highly scalable infrastructure, increased security, and enhanced application administration. The firm already utilised [Google](/news/article/solana-news-google-becomes-validator) Cloud for a few data storage functions and hosted its platform servers elsewhere.

## Mercado Bitcoin announces first stablecoin

Mercado Bitcoin (MB), [Brazil's](https://www.crypto-news-flash.com/stellar-lumens-gets-first-stablecoin-from-brazil-with-mercado-bitcoin-fostering-ecosystem-growth/) largest cryptocurrency exchange, has announced the debut of its first stablecoin, the MBRL, which is purportedly backed by reais. According to the release, the MBRL stablecoin is on the Stellar (XLM) network. 

However, the cryptocurrency exchange has stated that the MBRL stablecoin would be available on other blockchains. Furthermore, the success of a stablecoin is directly proportional to the number of chains it traverses. The objective is to accelerate the potential for the adoption of blockchain applications in Brazil, and produce solutions that empower clients' daily transactions, stated Reinaldo Rabelo, CEO of MB.

The Stellar community will benefit significantly from Mercado Bitcoin's MBRL stablecoin due to increased on-chain activity. Furthermore, the MBRL stablecoins will pay Stellar Lumens blockchain fees using XLM.

## Partnership with Druid

[Mercado Bitcoin](https://forbes.com.br/forbes-tech/2022/12/mercado-bitcoin-amplia-atuacao-e-estrutura-frente-de-games-e-e-sports/), one of Latin America's leading Bitcoin marketplaces, has launched a gaming and e-sports front, with the first announcement being the sponsorship of the INTZ squad. Druid Creative Gaming, a specialised agency, will be responsible for the strategy, conception, and implementation of MB activities for games, metaverse, activations, and sponsorships for the e-sports market.

Druid and Panamera worked together to create a film that features the streamer Sher as an ambassador. She is the first trans streamer of INTZ and was responsible for organising the first League of Legends for transgender people championship, in addition to winning the 'Best Female Streamer' award at the CCXP Awards. 

As a first initiative, Druid is launching a campaign announcing a relationship with INTZ, intending to merge the segment's present expanding strength with the crypto world's advances.


Green image of mercado bitcoin logo on abstract background

What is Mercado Bitcoin?

On 18 January, 2023, US authorities confirmed the arrest of a co-founder and major shareholder of Hong Kong-registered crypto exchange platform Bitzlato for facilitating and harboring money laundering criminals.

A Russian native currently living in China, Anatoly Legkodymov, was arrested in Miami on 17 January, 2022. 

He was booked under a section of the US Patriot Act aimed at preventing money laundering and terrorist financing. His charges included operating an unlicensed money exchange business.

Bitzlato is a crypto exchange platform [based out of Hong Kong](/news/article/is-crypto-legal-in-hong-kong) with global operations. The platform allegedly exchanged more than £500 million in cryptocurrency on the Hydra Market. The Hydra Market was the largest darknet marketplace in the world before it was shut down in April 2022. The crypto exchange co-founder also allegedly received £12 million in ransomware proceeds.

## Bitzlato labeled primary money-laundering concern 

The US FinCEN (Treasury's Financial Crimes Enforcement Network) previously named the crypto giant a "primary money-laundering concern".

This is among the most serious sanctions from the US anti-crime team as it usually works by cutting the target off financially around the globe.

The platform allowed users to sign up and operate by providing little to no personal information, making it a haven for criminals. It also allegedly posted ads on Russian-language sites telling users that they can sign up and start using the site by only providing their email address and nothing else. The company made it exceptionally easy for users to buy crypto for cash for a negligible fee and practically no personal information.

The seizure of Bitzlato does not come as a surprise. US law enforcement has been hard at work because the crypto community has been under a microscope since last year following [scandals in the industry](/news/article/how-to-avoid-crypto-scams). US authorities charged [FTX CEO Sam Bankman Fried in 2022 with eight counts of fraud](https://www.bbc.com/news/business-64036615) after the exchange filed for bankruptcy.

The operations of the Hong Kong-based exchange platform Bitzlato have been seized until the trial.


red image of bitzlato logo on red background

Bitzlato co-founder charged with laundering over £500m

Coinmama is one of the oldest crypto exchanges around, having launched in 2013. It was among the first to allow users to purchase popular crypto assets like Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC), and Ripple (XRP) using a VISA or Mastercard credit/debit card.

While Coinmama claims to be the "world's friendliest crypto exchange", how easy to use is the platform? Is the cryptocurrency exchange safe? What is the registration process? What is the fee structure?

## Is Coinmama safe?

With all that has transpired with the [FTX ecosystem](/news/article/ftx-vs-binance-liquidate-funds) in 2022, crypto users expect the safety of funds when on an exchange more than anything. If you aren’t aware of what happened (gosh, you need to read the news!), [$1-2B of customer funds have gone missing](https://nypost.com/2022/11/12/ftx-clients-out-up-to-2-billion-after-crypto-collapse-reports/). It is alleged that ex-CEO Sam Bankman-Fried moved around $10B of customer funds into Alameda Research.

First things first, ALWAYS store your [assets in a hardware wallet](/news/article/cryptocurrency-hardware-wallet). If you can’t afford a hardware wallet, turn to a trusted desktop, mobile, or paper (highly-recommended) wallet. While funds stored/kept on an exchange are yours, they are technically in the custody of the exchange and subject to potential risk and attacks.

Now, getting back to Coinmama - the platform has your back. The primary parent company behind the exchange, New Bit Ventures Ltd. (the other being Cmama Ltd.), is registered with the US Department of Treasury Financial Crimes Enforcement Network. This essentially means that the US Department of the Treasury can ensure Coinmama customers do not use the platform for financial wrongdoings such as money laundering.

Additionally, the exchange uses military-grade data encryption technology and does not store your credit/debit card details on the platform. To substantiate my claim, the platform suffered an attempted hack on 15 February, 2019. While the hackers accessed some email addresses and passwords, they couldn't latch onto and misuse user funds. The exchange simply instructed users to change their passwords - end of the story.

The cryptocurrency exchange does not store user funds on the platform either. All purchased funds are sent to a user-provided crypto wallet immediately. Last but not least, account verification adds an added layer of security. We will explore this in the next section.

These factors contribute to Coinmama being one of the safest and most trusted cryptocurrency exchanges in the business.

## Coinmama registration process

The registration process at [the cryptocurrency exchange](/news/article/huobi-exchange-who-owns-it) is fairly simple.

![coinmama 1.png](https://s3.eu-west-2.amazonaws.com/prod-monitalks-media/coinmama_1_0b0b1be485.png)
  
As illustrated above, to register at the cryptocurrency exchange, enter your email address, create a password, select your country and state of residence, and click on the Create Account button. Of course, if you want the latest information regarding discounts, promotions, and updates, tick the applicable box.

You'll be redirected to another page that asks for your personal details.

![coinmama2.png](https://s3.eu-west-2.amazonaws.com/prod-monitalks-media/coinmama2_16451e1f4b.png)
  
Enter your full name, select your date of birth, and identify your gender (they should include more options, shouldn’t they? All in for #inclusivity). Click on the Next button when done.

![coinmama3.png](https://s3.eu-west-2.amazonaws.com/prod-monitalks-media/coinmama3_5086da684b.png)
 
Now, you must select your country and state of residence (once again), enter your residential address, including your city and zip code, and input your phone number. You can then click on the Next button.

![coinmama 4.png](https://s3.eu-west-2.amazonaws.com/prod-monitalks-media/coinmama_4_647e2695e3.png)
  
We now come to the final and arguably most important step - identity verification. Coinmama requires you to verify your identity via a government-issued ID, click on a link they send you to confirm your email address, and verify your physical identity via a photo check (you will require a mobile phone with a working camera for this step). To begin the final stage of the verification process, click on the Let's Go button.

![coinmama 5.png](https://s3.eu-west-2.amazonaws.com/prod-monitalks-media/coinmama_5_a2da5f23ae.png)
  
To further help you in this process, the above image is what the email verification procedure will look like. Click on the Confirm Your Email button to, well, confirm your email address.

Once identity is confirmed, you can take advantage of the features on offer at the cryptocurrency exchange. You should remember that the entire verification process may take up to six hours.

## Coinmama features: cryptocurrencies, payment methods, loyalty program, and fees

At the time of writing, the crypto trading platform allows you to purchase 16 cryptocurrencies. These include BTC, ETH, LTC, XRP, Ethereum Classic (ETC), Bitcoin Cash (BCH), Dogecoin (DOGE), Aave (AAVE), Chainlink (LINK), and Compound (COMP).
 You can instantly purchase these cryptocurrencies with a VISA/Mastercard credit or debit card or via a bank transfer. Apple Pay, Google Pay, Skrill, and SEPA payments are available for the same. You can start with just $50. 

![coinmama 6.png](https://s3.eu-west-2.amazonaws.com/prod-monitalks-media/coinmama_6_6f7630fac7.png)

Additionally, [the trading platform](/news/article/tradingview-uk-101) allows you to sell BTC and receive money directly into your bank account. Simply enter the amount of BTC you want to sell, receive a quote for the same (with the current market price), fill in your bank details, and you will receive money in your bank account quickly and easily. There are no hidden fees for the same (we will explore the fee structure shortly).

Currently, Coinmama allows users to transact up to $15,000 in buy and sell transactions in a single day, with 24/7 access to their account and dedicated customer support.

### Fees

Fees are on the higher side. Here is the fee structure at Coinmama:

•	A commission fee of up to 3.81% on purchasing cryptocurrencies.

•	An additional 5% express fee if you use a credit/debit card. A bank transfer does not incur this fee.

•	Cryptocurrency trading incurs a 2% fee, along with an indexed market rate.

•	If you choose to sell BTC, you will incur a straight fee of 0.9% of your selling amount.

•	The withdrawal fee for selling other cryptocurrencies depends on your Coinmama Loyalty Level. Curious members are charged 1.9%, Enthusiast members must pay 1.4%, and Believer members incur a fee of 0.9%.

The high fee structure at Coinmama means that you should be extra cautious while purchasing, trading, and withdrawing cryptocurrencies. Do your own research, strictly follow market trends, learn all you can about crypto fundamentals, and only engage in a particular trading activity if you are sure of it. Otherwise, you may waste a significant chunk of your investment/investments on fees alone.

## Conclusion: is Coinmama a good crypto exchange?

Coinmama is safe and compliant and offers a few interesting features. That said, compared to [market leaders such as Binance](/news/article/bnb-chain-security-system) and Coinbase, the number of cryptocurrencies on offer and features are on the lower side. Additionally, the fee structure is very high. On a concluding note, I feel Coinmama is a good platform for those who are new to the industry, owing to its safety and ease of use.

#### Rating: 8/10


green crypto altcoins on black background with coinmama logo overlayed

Coinmama: A Good Crypto Exchange?

The largest crypto exchange, [Binance](https://www.binance.com/en), suffers massive withdrawals as the platform experiences outflows of more than $1 billion in 24 hours.

Currently, it is surrounded by [FUD](/news/article/ftx-vs-binance-liquidate-funds) and rumours that are affecting its position in the market. 

Binance CEO and co-founder Changpeng Zhao (CZ) took to Twitter to clarify the situation. He said his firm saw more than $1.14 billion of withdrawals on Tuesday. He further stated that these outflows were not the highest they processed and called it "business as usual." Meanwhile, customers are continually removing their assets from their accounts.

![binance1.png](https://s3.eu-west-2.amazonaws.com/prod-monitalks-media/binance1_b1ba9c605d.png)
 
## Binance suffers highest daily withdrawals since June

Analysis by blockchain analytical firm [Nansen](https://www.nansen.ai/) shows that this is the highest level of withdrawals in a day for Binance since June. The report also claims that the total withdrawals for the exchange have been more than $3 billion.

![binance2.png](https://s3.eu-west-2.amazonaws.com/prod-monitalks-media/binance2_5f30c95f24.png)

[Source](https://twitter.com/nansen_ai/status/1602618067598442503)

It is contrary to the figure that CZ announced on Twitter. It could be an act of downplaying the situation like FTX previously did. Nonetheless, Binance is currently fighting against investor jitters in this crypto winter.  

## FUD in the market

Since the collapse of Sam Bankman-Fried’s FTX, FUD has taken over the market. On Tuesday, Sam was [arrested for fraud](/news/article/former-ftx-ceo-sbf-arrested), considered one of the largest-scale financial scandals in US history. The FTX contagion has spread over the entire crypto market. It has damaged many digital asset firms like [BlockFi](/news/article/ftx-collapse-blockfi-suspend-withdrawals), [Gemini](/news/article/gemini-crypto-exchange-falls-prey), and [Genesis](/news/article/genesis-brokers-owes-gemini). 

Moreover, an ongoing investigation for money laundering against CZ’s firm is also making headlines. According to a [report](https://www.reuters.com/markets/us/us-justice-dept-is-split-over-charging-binance-crypto-world-falters-sources-2022-12-12/), the US Justice Department is contemplating filing a case against the exchange’s executive body, including CEO CZ.

People are hesitant to invest and are withdrawing their assets in panic. As Binance suffers, the market is continually seeing a [downward trend](/news/article/crypto-market-crashing). Amid this scenario, outrageous outflows from the largest exchange signify a long winter.


red image of woman holding binance coin. 

Binance Suffers $1 Billion in Withdrawals

The founder and disgraced CEO of the failed crypto exchange FTX, Sam Bankman-Fried, was arrested on Monday after the US Government filed a criminal indictment.

These charges follow weeks of speculation that the FTX CEO misused customer funds.

## FTX CEO arrested

Sam Bankman-Fried, popularly known as SBF, was arrested by the Royal Bahamas Police Force. The police said that the arrest was initiated following receipt of formal notification from the US Government that it filed criminal charges and is likely to request that SBF be extradited.

In a statement, the Bahamas Police confirmed that Bankman-Fried was taken into custody without a hitch at his Albany apartment complex at 6pm.

SBF's arrest resulted from financial offences alleged in the US which would also be offenses in the Bahamas, the statement said.

A sealed indictment filed by the Southern District of New York was the basis for the arrest. US Attorney Damian Williams confirmed this in a [tweet](https://twitter.com/SDNYnews/status/1602451395910803457). 

Last month, the exchange filed for bankruptcy in the US after it imploded [almost overnight](/news/article/sam-bankman-fried-lost-billions), leaving customers unable to access their funds. According to court filings, FTX owed its largest creditors around $3.1 billion.

The dramatic fall from grace has been the talk of the market. The exchange's CEO was expected to testify about the [company's collapse](https://www.nytimes.com/2022/12/09/technology/ftx-text-messages.html) in Congress on Tuesday.

## Bankman-Fried future looks clouded

According to the [New York Times](https://www.nytimes.com/2022/12/12/business/ftx-sam-bankman-fried-bahamas.html), the charges filed against Bankman-Fried include wire fraud, wire fraud conspiracy, securities fraud, security fraud conspiracy, and money laundering.

However, it's still unclear whether customers will be able to recover some, if not all, of their funds. A 2 November report on ties between FTX and Alameda, a trading company also controlled by the FTX CEO, exposed that Alameda's balance sheet was overexposed to FTT currency (FTX's token).

According to the extradition treaty between the US and the Bahamas, defendants may be returned to the US provided their offenses carry a minimum one-year sentence in both countries.

The 30-year-old has recently disregarded legal counsel and increased his public appearances, providing his version of his company's abrupt failure and typically portraying himself as an inept CEO.

"I didn't knowingly commit fraud," he said during a BBC at the weekend. SBF told the interviewer he didn't want any of this to happen and added that he was "not nearly as competent" as he believed himself to be.



red image of crime scene with pictures of Sam Bankman-Fried and a sign that says "bahamas"

Former FTX CEO Sam Bankman-Fried Arrested

Following the collapse of FTX last month, pressure is rising on US regulatory body the SEC to beef up enforcement of major crypto sector centres. 

The failure of [FTX](https://www.wsj.com/articles/sec-faces-calls-to-boost-crypto-exchange-enforcement-after-ftx-collapse-11670474070) focused attention on crypto exchanges, which serve as key hubs for individual investors and provide services such as digital-coin sales, financing, and asset storage. Despite spending more than six years studying various sector aspects, the Securities and Exchange Commission regulatory agency still needs to sue a major cryptocurrency exchange.

According to sources familiar with the topic and regulatory disclosures, the [SEC](/news/article/xrp-vs-sec-lawsuit-update) is investigating exchanges such as Coinbase Global Inc. and the US operations of Binance and FTX. It has penalised or sued dozens of token creators over the past six years.

According to the SEC, several cryptocurrencies qualify as [securities](/news/article/sec-vs-ripple-news) that should have traded under stock and bond laws. The firm's Chair Gary Gensler says that exchanges are breaching the law by selling unregistered securities and failing to follow standards that the NYSE and Nasdaq Stock Market follow.

## Lawyers believe SEC crypto enforcement is not enough

Some attorneys argue that, despite such claims, regulatory enforcement measures have yet to go far enough as the sector has matured and ordinary people are committing their assets to crypto enterprises. Mr Gensler risks substantial criticism if he does not get things going", according to the report "former SEC enforcement attorney John Reed Stark.

It was a flaw in their plan not to pursue these entities, Mr. Stark explained. 

The exchange kept trading six assets after the SEC sued a former Coinbase employee in July, alleging that the business sold seven improperly issued securities. They could have sued Coinbase, but they chose not to. According to a Coinbase spokesperson, the company thinks that none of the six digital currencies are securities.

## Crypto exchanges believe SEC is using the wrong crypto enforcement laws

According to industry lawyers, the SEC crypto enforcement approach is exhibiting signs of wear and tear after years of the SEC utilising its enforcement arm to drive the industry into its supervision.

According to some industry attorneys, the activities of cryptocurrency exchanges are so unlike those of stock exchanges that compliance with their standards is impossible.


sec logo with hands shaking in the background

SEC Crypto Enforcement Warning

The Crypto sector is highly volatile and mysterious. The latest secret is the ownership of the [Huobi exchange](https://www.huobi.com/en-us/). 

According to tracker CoinGecko, China-based Huobi Global continues to produce a notable daily trading volume of more than $300 million despite losing its position as the world's leading exchange.

On 7 October, the Huobi exchange platform [announced](https://www.prnewswire.com/news-releases/huobi-globals-major-shareholder-completes-share-sale-301644102.html) that About Capital Management (HK) Co. Ltd, a [Hong Kong](/news/article/crypto-hong-kong-etfs) based-asset management company, had become the exchange's controlling shareholder following a successful buyout deal.

While the transaction of an unrevealed amount crowns About Capital as the new controlling shareholder, the [exchange](/news/article/best-exchanges-for-crypto-uk) stated that the transition would have no impact on core operations or business management teams.
About Capital also revealed plans to create a global strategic advisory board "led by leading industry figures", in addition to other initiatives such as establishing a margin and risk provision fund and measures to improve the exchange's competitiveness.

## Justin Sun - The probable owner

According to reports, Justin Sun spent about $1 billion to acquire roughly 60% shareholding through the [Hong Kong](/news/article/is-crypto-legal-in-hong-kong)-based asset manager About Capital.

Sequoia China and ZhenFund transferred 28% of their ownership in Huobi Global to About Capital. According to insiders, Justin Sun hid his name from the agreements to avoid Chinese scrutiny.

Huobi Global rebranded to "Huobi" because Justin Sun's previous acquisition agreement prohibited shareholders from using Chinese trademarks or conducting business in mainland [China](/news/article/china-crypto-ban).

People familiar with the matter revealed a strict agreement between all parties in this equity transfer agreement regarding trademarks, particularly the use of the Chinese brand "Huobi".

In October, it was reported that the controlling shareholder of the exchange completed the share sale, making About Capital's M&A fund the new controller. Justin Sun joined the Global Advisory Committee of Huobi Global and repeatedly stated that he was not the buyer of Huobi.


Huobi Exchange - Who Owns It?

FTX’s [decline](/news/article/ftx-bankrupt-who-to-blame) has rattled the crypto market. Digital asset lending firms and exchanges are at the receiving end and falling like houses of cards. The [Gemini crypto exchange](https://www.gemini.com/) of the Winklevoss twins has also become one of the victims of FTX contagion. 

On 16 November, Gemini's Earn product experienced delays in withdrawals due to an outage. Curiously, the outage occurred just after its partner, [Genesis Global](https://genesis.global/), suspended withdrawals on its platform. Genesis took the step in the wake of the fall of the [Sam Bankman-Fried](/news/article/sam-bankman-fried-lost-billions) corporation.  

Earlier, the firm acknowledged its partner’s suspension of withdrawals in a [Twitter thread](https://twitter.com/Gemini/status/1592873279232278532). It also announced that its team is working with the crypto lender to ensure quick recovery of funds of the Earn program. 

It assured its clients that these events would not affect the activities on the [Gemini](/news/article/gemini-crypto-review) platform. However, a couple of hours later, it experienced an outage that shook investors' trust.

## Gemini crypto exchange outage caused $485m outflows

The server outage on the platform halted the operations affecting the withdrawals and deposits. However, it has only been down for about an hour. Per its official statement on Twitter, the disruption occurred at its primary databases due to the Amazon Web Services EBS.

The exchange's team swiftly recovered it and announced it was "fully back online".

![gemini exchange tweet](https://s3.eu-west-2.amazonaws.com/prod-monitalks-media/geminitweet_50471f672f.webp)
 
Moreover, it reassured its users about the safety of their funds. Nonetheless, the disruption created panic among the users, which resulted in mass outflows. 

According to [Nansen](https://www.nansen.ai/), the blockchain insights firm, more than $485 million has been withdrawn from the exchange in the past 24 hours. This is the highest outflow for any exchange in the same period. On the other hand, the inflows for the platform were only $78 million.  

## The unstoppable FTX contagion

Gemini and Genesis Global are just some digital asset service providers that suffered after the FTX collapse. Various other firms are moving towards insolvency. Crypto lenders [BlockFi](/news/article/ftx-collapse-blockfi-suspend-withdrawals) and SALT are recognised names among them. This collapse may affect many other significant firms in the future as investors' confidence seems to be shaken.


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