2023-05-09 13:43:00
The cyptocurrency sector is once more at the center of some turmoil with the episodic suspension of bitcoin withdrawals by the main player in the sector, Binance, an American exchange platform of Hong Kong origin. The principle ? Calm the game when crypto holders panic and want to convert their holdings into currencies or other cryptoassets. Either counter a “bank run” as experienced by some banks recently in the United States.
Binance blocked accounts twice this weekend, which is usually a bad sign… explaining that it was trying to solve an issue of rising transaction costs. Observers note that for now, reputable market players seated in large amounts of cryptoassets, including bitcoins, are said to be selling cautiously. This is particularly visible on the price charts showing bitcoin transactions, where we see quite clearly an increase in daily volumes when bitcoin prices once morest the euro or dollar fall. In a few days, the very volatile bitcoin thus fell by 7% before recovering slightly to 27,800 dollars.
Another bankruptcy
Moreover, as reported by Wall Street Journal of the day, the American crypto-asset trading platform Bittrex laid down its arms this week, declaring bankruptcy to the financial authorities. The company had been prosecuted for its activities by the SEC (Securities and Exchange Commission), the authority supervising in particular securities transactions (stocks, bonds or other securities) and had terminated its activities in the United States.
According to the authorities, the bankrupt company should be able to reimburse all of its customers’ assets, ie between 500 million and one billion dollars. It still ensures that it has not contravened the rules in force in the United States in terms of offering classic financial products. But the SEC clearly does not hear it that way, which is currently carrying out a major clean-up within companies active in the field of crypto-assets.
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