Hello everybody! Crypto industry’s last week will be remembered for a few pieces of news from Binance. The famous crypto exchange continues to move towards full dominance in the market and is preparing its own ecosystem for developers. The exchange’s analysts are expressly predicting a decline in Ethereum’s popularity, not forgetting to emphasize the revolutionary properties of their own BNB token. This week a landmark lawsuit took place in the UK making it easier for hacker attack victims to recover their money. Read our digest to learn more about these events and other news.
Bithumb to Set Up Cryptocurrency Listing Committee
South Korean exchange Bithumb has decided to set up a special committee to assess the effectiveness of specific digital currency listings. The committee will meet at least once a month.
At their meetings the committee members will analyze the potential of digital currencies. To that end, they will evaluate asset capitalization amounts, daily trade turnovers, description compliance with actual functionalities and other factors. Only those tokens that meet the exchange’s standards will be listed. Non-qualifying applicants will have two months to bring their project to the platform’s standards.
The decision was most likely prompted by the scandal the exchange faced at the end of last year. At that time the platform was accused of trading data falsification.
Binance Preparing Its Own Ecosystem
The ecosystem will be called BinanceX. It is intended for developers. The exchange posted the news in its official Twitter account.
— Binance (@binance) August 23, 2019
The details of the new project will be announced by Binance at the meetup to be held as part of ETHBerlin conference. The announcement says that Binance X is brand new developer-oriented initiative that will be launched at ETHBerlin. According to the program, the launch of the wallet for sending Binance Coin via text messages on BNBTextWallet mobile devices and BrowserBNB browser will also be announced at the conference.
Binance Forecasts Ethereum Popularity Decline
Binance analysts believe that Ethereum scalability problems can lead to companies choosing other blockchains.
Ethereum is today’s most popular blockchain for issuing tokens, but delays in transaction confirmation and high cost of transaction processing them make it less attractive.
Researchers cite Tron as an example. It stores data more efficiently in a decentralized storage, therefore it has better prospects for application in the gaming industry. According to the report, gambling accounts for more than 80% of all activities in EOS and Tron blockchains, whereas Ethereum shows 31%.
British Court Recognizes Bitcoin as Property
The British High Court that heard the case involving a hacker attack and theft of $ 1 million from Alphabit crypto fund recognized bitcoin as legal property.
The judgement has set a precedent in the English law of courts. It will now be easier for victims of hacker attacks to recover their cryptocurrencies from cryptocurrency trading platforms. Prior to aforesaid hearing, courts qualified Bitcoin as “data” rather than property. It was the reason why cryptocurrency owners could not claim their rights to cryptocurrencies in case of theft.
Libra Faces Antitrust Investigation
EU regulators have initiated an antitrust investigation into Libra. The regulators believe that the cryptocurrency may unfairly dominate the market. They have set up an executive commission examine whether Libra can be violating antitrust laws.
The regulators are concerned about several factors. First of all, Libra consortium comprises corporate giants, such as Uber, Vodafone, PayPal, Visa, Mastercard, Naspers and Stripe. Libra’s technical papers say that these companies will be directly involved in blockchain operations as node validators. There is a concern among the regulators that the association will actually be controlled by Facebook. Facebook, in its turn, claims that the network will be completely decentralized within 5 years. Experts are of a different opinion: they believe that Libra will have access to user data.
The regulator’s pressure on Libra can substantially delay the project release date. According to Zuckerberg, if the situation does not change, the project will not be presented until the second half of next year. Facebook CEO did not rule out complete closure of the initiative either.
Representatives of the European Commission refused to provide any comment on the reported investigation. Many Facebook and Twitter users agreed that the information could be part of the project’s advertising campaign.
Libra Association Members Consider Quitting the Project.
The antitrust investigation was not the only news about Libra. According to media reports, three Libra Association members are considering whether or not to continue their participation in the project in the current context of regulatory stagnation.
Two of them have criticized the management’s actions, and the third one has fears that its current business may be jeopardized due to regulators’ close attention to Libra.