Bitcoin Is Still In Larger Downtrend Unless It Clears 100-Day SMA

Bitcoin is currently trading in a broad range above the $6,500 support against the US Dollar. BTC is facing a major resistance near $7,500 and the 100-day simple moving average. Bitcoin is still in a larger downtrend below the $7,500 resistance against the US Dollar. The price is currently consolidating above the $6,500 support area. There is a major bearish trend line forming with resistance near $7,580 on the daily chart of the BTC/USD pair (data feed from Kraken). The bulls are likely to face a strong resistance near $7,500…

Florida Man Charged Over $1.6M ‘Compcoin’ Scam

The United States Commodity Futures Trade Commission (CFTC) has filed a complaint against Florida resident Alan Friedland for fraudulently raising $1.6 million through a cryptocurrency tied to a forex trading scheme. The April 16 filing accuses Friedland and his companies Fintech Investment Group, Inc and Compcoin LLC of illegally soliciting investments and publishing “untrue and materially misleading” press materials for its digital asset Compcoin from 2016 until 2018. ‘Proprietary trading algorithm’  The defendant claimed that Compcoin would allow customers to access Fintech’s proprietary trading algorithm ART and would deliver high…

Crypto Analyst Cautions Investors Against Bitcoin for 3 Key Reasons

Bitcoin is often described as gold 2.0; a superior system of storing and transferring value. It has seen a rapid increase in market capitalization since its introduction in 2009, with strong custodial, exchange, and futures infrastructure. Yet, one cryptocurrency analyst known as cryptocomicon recently laid out a series of compelling reasons why one should not invest in Bitcon. The three that stood out most were limited privacy, centralized mining, and the lack of scalability. Despite each of these being valid points to consider, they can also be seen as advantages…

Bitcoin is Risky, but Uncorrelated With Stocks: Scott Melker

Crypto trader Scott Melker says that while stocks and Bitcoin (BTC) have appeared to move in tandem since Black Thursday: “They are not correlated assets”. In a Twitter thread for his 84,000 followers, “The Wolf Of All Streets” outlined his theory about why Bitcoin will tread its own path during the financial crisis. Melker looked at the price of BTC since its creation in 2009 and compared it to assets in legacy markets like stocks. According to Melker, the cryptocurrency has only been moderately correlated with traditional markets for a…

Binance Latam Lists Bolívar Amid VE’s Struggling National Economy

On April 16, major cryptocurrency exchange, Binance, announced that they are listing the Venezuelan Bolívar (VES) in their peer-to-peer trading platform against BTC, USDT, ETH, BNB, BUSD, and EOS, with no fees attached. Exchange customers can now search for local P2P merchants who have stable cryptocurrency sources and trade them for VES. According to Binance, there are no security deposits and zero transaction fees. In recent years, Venezuela has dealt with numerous economic and political crises. These have involved measures taken by the government to control the circulation of foreign currencies…

ZA Group Says Crypto Not Likely to Be a Threat to Monetary System

As part of a recent lengthy position paper on crypto, a South African regulatory body called the Intergovernmental Fintech Working Group, or IFWG, mentioned crypto as a possible but unlikely risk to the country’s monetary system at present.   In its April 16 paper, under a section titled “the risks of crypto assets,” the IFWG said: “The risk of a parallel, fragmented, non-sovereign monetary system: The risk with potentially the widest-ranging implications is the threat to the existing financial system, in which central banks ensure an efficient monetary system through the…

Alibaba Subsidiary Ant Financial Launches New Consortium Blockchain Platform for SMEs

Ant Financial — the Chinese fintech company formerly known as Alipay— has launched a new consortium blockchain platform called OpenChain. According to an announcement on April 16, the platform would allow developers and small and micro enterprises to utilize innovative blockchain tools. They can now explore the technology further and develop better applications and smart contracts on the blockchain. Ant Financial’s General Manager, Jin Ge, claims that the launch of OpenChain will boost the efforts of almost one million SMEs and developers over the next three years. Pushing blockchain beyond…

US COVID-19 Relief Plan Will Use Fintech, but Crypto Not Welcome

American financial technology firms are now able to help Main Street businesses affected by the COVID-19 crisis via a federal relief plan, but cryptocurrency-native companies apparently don’t fit the bill. Last week, the United States Small Business Administration released an application form for nonbanks to sign on as lenders under the federal Paycheck Protection Program, referred to as the PPP, so that they can provide low-interest, forgivable loans to small businesses affected by the pandemic. Since then, a number of high-profile fintech companies have joined the scheme, but none of…

Blockchain Voting Systems Could Be the Future, but Current Flaws Persist

As shelter-in-place orders are extended throughout the United States due to the coronavirus pandemic, controversy around online voting systems has surfaced. The dangers of internet voting were recently publicly announced by the American Association for the Advancement of Science, or AAAS. On April 9, the AAAS Center for Scientific Evidence in Public Issues wrote an open letter to U.S. governors, secretaries of state and state election directors expressing great concern regarding the security of online voting systems.  While the letter stated that “internet voting is not a secure solution for…