Heroes of Ukraine

«Market Leader» - news and previews making you rich.

Sunday, 10 December 19:47 (GMT -05:00)



Foreign exchange market

Another Bitcoin Fraud Is Caught


Crypto currencies are controversial. On the on hand they give investors a decent investment opportunity. On the other hand, the may be way too risky. Often times, those are both market and even non-market risks, including fraud.

 

 

 

 
In some of the previous articles, we recommended you to start with a sound financial strategy and risk management before you invest even a penny in crypto currencies. We are not trying to say that those are bad investments. They can make you money if you really know what you are doing. However, you should be really careful about it since the advantages of decentralized and anonymous currencies may turn into disadvantages and loses for your wallet.
 

 

Biggest Crypto Currency Scandals 2017
 

article_big_289091467957516.jpg

To start with, let’s recap some of the biggest scandals related to crypto currencies in 2017. Those caused a lot of troubles to both investors and average users.
 
Number one is all about Ethereum. For those of you who don’t know, this new crypto currency suddenly crashed from $370 all the way down to $10 not so long ago. Needless to say that all the investors were shocked. Most exchanges temporarily suspended transaction based on this currency. Later on, Ethereum recovered to $350, only to see another plunge down to $222. Experts say, this was all about speculative transactions designed to make the greedy traders richer. The market capitalization deflated from 110 billion dollars all the way down to around 90 billion dollars.
 
Number two is related to the owner of Bitcoin exchange Coin.mx, who was sentenced to 5,5 years in prison for money laundering with the help of this exchange (the amount is around 10 billion dollars).
 
Number three is all about China. The thing is, the People’s Bank of China has recently toughened the regulation related to crypto currencies as well as the local exchanges working with them. Before that, Chinese exchanges were the biggest and most active on the Internet. Since the regulator has been investigating into several cases related to money laundering, those exchanges were ordered to suspend offering leverage and introduce certain fees. All of that resulted in a massive flight of client capital.
 
Number four is virus Petya blocking infected PCs and blackmailing the users asking them to transfer them $300 in Bitcoins for unblocking the software and data.
 
Number five is related to Freewallet. Many of the users have found their funds missing. The total damage is over 8 million dollars.
 
Number six is about cryptocurrency HYIPs artificially increasing the yields to attract more of those unsuspecting investors, with further blocking the accounts and transferring money to anonymous accounts.
 
All of them are just some of the biggest cases, but this is just the beginning of a rather long list of scandals this year. Not so long ago, the list got even longer. The thing is that another crypto currency fraud was caught in the UK.
 

 

Fake Crypto Currency Exchange
 

1392031189_bitcoinexchanges-646x363.jpg

It is interesting to note that Renwick Haddow was previously accused of fraud in the UK but he decided to change the location and switch to American investors. This time, the SEC and the U.S. Department of Justice managed to catch him red-handed. On June 30th, the SEC accused him of fraud in New York where he was residing at that moment. In particular, he was accused of scamming the clients of 2 fake companies by creating a fake crypto-currency exchange without registering it with the SEC, which is a serious violation.
 
The essence is that he ordered his assistants to call potential investors and sell them assets through Bitcoin Store Inc. and Bar Works Inc. According to the scammed investors, they were informed about experienced top managers of those firms, which was a lie. On top of that, the financial reports were corrupted. By using those fake companies and a fake exchange, he managed to accumulate serious amounts of money, 80% of which was transferred offshore. Attracting tons of money over a short period of time became possible due to the fact that he was promising his victims really big payoffs.
 

 

The bottom line is, think twice before you decide to invest in this risky business. Never do it if you don’t know what you are getting into. And even if you are about to invest in stable crypto currencies, make sure that you are dealing with honest companies.

 

You are free to discuss this article here:   forum for traders and investors

 

Add to blog
Got a question? – Ask it here »
 

Masterforex-V Expo Names Best Forex Broker for Beginners in November 2017

Each forex broker is unique to some extent. Most of them choose to specialize in a certain kind services. Practice shows that novice traders who are just getting their feet wet in forex usually lack the required expertise to follow the right track and therefore make the same mistake. The thing is that they have some artificial knowledge about forex brokers and the services they offer. Therefore, their choice is usually random or dictated by some trivial things. In other words, it’s not well thought out.

Publication date: 10 December 07:50 AM

40% of Bitcoin Is Owned by 1000 Users

According to Bloomberg, with reference to Aaron Brown form AQR Capital Management, 40% of Bitcoin is owned by roughly a thousand users around the globe. The expert says that those “whales” may exchange information and coordinate their efforts to move the BTC exchange rate in any direction they want.

Publication date: 10 December 03:26 AM

Bitcoin Exchange Rate Exceeds $18K

The world's first cryptocurrency set another all-time high after exceeding the $18K threshold. The other day, Bitcoin reached the highest point to date at 18328,9 USD/BTC, which was confirmed by Сoinmarketcap. At that point, the market cap exceeded 306 billion dollars. It’s interesting to note that the world’s first and most expensive digital currency managed to gain 25% in 24 hours.

Publication date: 09 December 09:43 AM

Bitcoin Goes Higher and Higher

Bitcoin has been extremely volatile and setting new all-time highs one after another over the last few weeks. It’s getting harder and harder to track the BTC exchange rate since the price ups and downs are frequent and rapid. What’s the reason behind this roller coaster?

Publication date: 04 December 06:52 AM

Bitcoin and other Altcoins – Currencies or Commodities?

The cryptocurrency phenomenon has been the most discussed to topic related to financial markets this year. International experts have been discussing the essence and prospects of digital currencies.

 
Publication date: 30 November 12:09 PM

Bitcoin Reached $11K and Dropped by $2K Instantly

On November 29th, Bitcoin beat another threshold. This time, the world’s largest cryptocurrency exceeded the $10K threshold and set another all-time high at 11377 USD/BTC, only to crash by 20% at a time down to 9290 USD/BTC, Coindesk reports. All of that happened within a couple of hours.

Publication date: 30 November 09:42 AM

Bitcoin Has Easily Broken Above $10K, Setting New All-Time High

Overnight, Bitcoin set a new all-time high by exceeding a major psychological level – $10000! This unprecedented event took place on South Korean exchange Bithumb. For the first time in history, the BTC exchange rate reached 10223 USD/BTC. It was a sharp increase in the Asian demand for Bitcoin that backed this rally to the new all-time high. It’s interesting to note that Bitcoin has gained 18% over the last 48 hours!

Publication date: 28 November 06:22 AM

Aggregate Cryptocurrency Market Cap Exceeds $300 Billion

Yesterday, on November 27th, the aggregate market capitalization of all cryptocurrencies altogether exceeded $300 billion for the first time in history.

Publication date: 28 November 06:03 AM

Bitcoin Goes Over $9000

Over the weekend, Bitcoin reached two psychological thresholds. On Saturday, November 25th, the world’s first and largest cryptocurrency gained $280 per 1BTC at a time and reached 8700 USD/BTC. On Sunday, November 26th, Bitcoin gained $400 per 1BTC at a time broke 9000 USD/BTC, thereby setting another all-time high, even though the exchange rate retraced back shortly after the record.

Publication date: 27 November 03:58 AM

Alpari Cashback Paid Clients Over $6 Million in 3 Years

There are tons of various forex bonuses, promos and loyalty programs out there. Alpari Cashback, a loyalty program by Alpari broker, is especially popular with millions of international traders. Alpari, is one of the largest forex brokers in the world, with nearly 2 decades of expertise and spotless reputation.

Publication date: 26 November 02:52 PM