Category Archives: Cryptocurrency
Want to Invest in Cryptocurrency? Consider This Stock, Which Grew 545% in 2021 – The Motley Fool
Cryptocurrencies were one of the hottest trends in 2021 as they made their way into individual investors' portfolios. A study published by the University of Chicago in July 2021 reported that 13% of Americans surveyed traded cryptocurrency during the 12 months prior, and while that is less than the 24% of Americans who traded stocks over the same period, it still shows that crypto is being adopted by more than a small niche group of investors.
However, deciding which cryptocurrency to invest in can be extremely difficult, and exchange-traded funds (ETFs) that track cryptocurrencies can sometimes charge egregiously high fees. For example, the Bitwise 10 Crypto Index Fund (OTC: BITW) charges a 2.5% expense ratio -- meaning it takes $25 for every $1,000 invested each year. This is much higher than traditional stock market ETFs like the Vanguard Total Stock Market ETF (NYSEMKT: VTI), which has an expense ratio of just 0.03%.
If you want to avoid these high fees, but aren't ready to invest directly into cryptocurrency, Coinbase Global (NASDAQ:COIN) might be a better alternative to dip your toes in the water. The company is the leading crypto trading platform for individual investors and traders, along with institutional investors. On top of that, the company's revenue is well diversified, making it a smart way to invest in this fast-growing industry. With its major growth and impressive profitability, Coinbase might be the perfect crypto play for you.
Image source: Getty Images.
There are plenty of competing platforms, but Coinbase is the primary platform that serves day traders, long-term investors, and even institutional investors. In 2021, the company had 11.4 million monthly transacting users (MTUs), and a total user count of 89 million. Importantly, the company is gaining steam among institutional investors: Its institutional investor count jumped 50% year over year in 2021.
The company's high user count has led it to become one of the largest crypto platforms in the market in terms of its assets on the platform. The company had $278 billion in assets at the end of 2021, which is almost three times larger than Robinhood Markets(NASDAQ: HOOD), which totaled $98 billion by the year's end -- and that includes all of its assets like stocks and options -- showing just how dominant Coinbase is in the crypto industry.
As the industry leader, Coinbase has benefited immensely from the major price growth in cryptocurrency, driven by Bitcoinand Ethereum.
Bitcoin Price data by YCharts
Coinbase has capitalized on this explosive growth, putting up jaw-dropping financial figures consistently over the past year. In 2021, Coinbase's revenue skyrocketed 545% compared to 2020 to $7.36 billion. What's even more impressive is that the company has been able to grow its profitability even faster. For the full year, its net income soared 1,025% year over year to $3.6 billion, while its free cash flow -- which primarily consisted of growth in custodial funds -- reached $10.7 billion over the same period.
What is critical about this revenue growth is that it is diversified across many different cryptocurrencies. The company made only 46% of its transaction revenue from Bitcoin and Ethereum activity in 2021, with the rest coming from other cryptos. This declined compared to 2020, when Bitcoin and Ethereum made up 56% of transaction revenue, and is significantly lower than other trading platforms.
Robinhood, for example, had 32% of its total revenue come from just one cryptocurrency, Dogecoin, in the second quarter of 2021.Severe reliance on trading activity from just one coin can result in top-line volatility and pose a risk to the business, similar to severe customer concentration. Therefore, it is good to see Coinbase's reliance on Ethereum and Bitcoin shrinking.
Coinbase thrives on trading volatility and price appreciation, both of which have declined in the first quarter of 2022. This could cause MTUs to fall from 11.4 million in 2021 to as low as 5 million in 2022. On the flip side, however, management believes MTUs have the potential to grow as high as 15 million for the coming year, showing how unpredictable the crypto space can be. In 2022, its average revenue per transacting user will likely drop to pre-2021 levels, meaning it could range anywhere from $34 to $55.
2022 might be a period of slower growth for Coinbase, but over the long term, it's looking to expand its platform -- along with its lead over competitors. The company is experimenting with a subscription service with access to commission-free trading and 24/7 customer support. Coinbase is also building a non-fungible token (NFT) platform, and it is even working on allowing users to create decentralized applications.
Coinbase is quickly becoming the one-stop shop for every service someone may need in the decentralized world. Shares trade at just 13 times earnings -- a steal for a company with the brand name and market leadership that Coinbase has. With that, its fast growth, and aggressive investments in its future, Coinbase looks like a great way to invest in cryptocurrency.
This article represents the opinion of the writer, who may disagree with the official recommendation position of a Motley Fool premium advisory service. Were motley! Questioning an investing thesis -- even one of our own -- helps us all think critically about investing and make decisions that help us become smarter, happier, and richer.
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Want to Invest in Cryptocurrency? Consider This Stock, Which Grew 545% in 2021 - The Motley Fool
Cryptocurrency To Be Accepted As Currency In Swiss City Of Lugano – NDTV Profit
Lugano, a city in Switzerland, is adopting cryptocurrency as a means for payment of taxes
Lugano, a city in Switzerland, is adopting cryptocurrency as a means for payment of taxes, goods, and services, as part of a new collaboration with the provider of the Tether (USDT) stablecoin. Citizens in the Italian-speaking province will be able to pay for public service fees and taxes with Bitcoin, according to city director Pietro Poretti, who co-announced the news alongside Mayor Michele Foletti and CTO of Tether Paolo Ardoino in a live-streamed event a few days ago. Over 200 merchants have already partnered with the city to promote bitcoin and Lightning payments.
Ardoino even tweeted about the same a few days ago. He shared a 15-second video that outlined all the things that you can pay for within few months in the city.
Residents of Lugano will be able to transact, invest, and pay taxes using Bitcoin, USDT Tether, and LVGA token after these three cryptocurrencies were approved as de facto legal tender in the city.
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Because it is tied to the US Dollar, the USDT Tether is a stablecoin, which means its value remains relatively stable in comparison to other cryptocurrencies. The LVGA token, which was created by the city itself, is the country's third cryptocurrency that has been recognised as de facto legal tender.
The collaboration between Lugano and Tether has been termed Lugano's Plan B'. It intends to develop Lugano into a hub for blockchain adoption in Europe.
El Salvador has already recognised Bitcoin the world's largest and oldest cryptocurrency as legal tender. El Salvador's move in September 2021, when the country became the first to recognise a cryptocurrency as de-facto money, may have accelerated Lugano's decision. Lugano's new rule is very similar to El Salvador's. Lugano wants its businesses to be able to utilise cryptos for routine transactions without difficulty. In El Salvador, however, only Bitcoin is accepted as legal tender.
Over 500 students studying cryptocurrency and Decentralized Finance (DeFi) may also get scholarships from Lugano.
Lugano will also host the Bitcoin World Forum conference in October this year.
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Cryptocurrency To Be Accepted As Currency In Swiss City Of Lugano - NDTV Profit
UAE: World Government Summit to bring global cryptocurrency players – wknd.
Summit to discuss challenges and opportunities of the next 10 years
Published: Mon 7 Mar 2022, 5:54 PM
Last updated: Mon 7 Mar 2022, 9:11 PM
World Government Summit, which will take place at Expo 2020 Dubai on March 29 and 30, will explore challenges and opportunities facing the governments as well as bring regulators and private cryptocurrency players together at one platform, said a senior official on Monday.
Omar Sultan Al Olama, UAEs Minister of State for Artificial Intelligence, Digital Economy and Remote Work Applications, said one of the main focuses of the summit is to look at what are the key challenges and opportunities that the public and private sector will face over the next decade.
What makes this summit very unique is that it convenes private sector leaders in cryptocurrency space as well as government regulators in an open dialogue because the current gap that exists is that regulators are not talking with the actual (cryptocurrency) leaders working in the private space to see where the opportunities are. The only way to bridge the gap and to overcome challenges is to make use of the opportunities to ensure we have an open dialogue and see where the common ground exists between the two players and how to put first regulations and the first step to move forward, Al Olama told Khaleej Times in an interview on the sidelines a press conference held to announce agenda of the upcoming World Government Summit.
He said the Summit will look at the challenges and opportunities that the government, as well as the key sectors, would face over the next 10 years and how they should be dealt with.
The two-day summit will also discuss the Covid-19 and how to overcome the next pandemic, as well as what the world should do for the safety and security of the people throughout the world.
Al Olama pointed out that the summit will also showcase the best in-class services and opportunities that are in the metaverse and key challenges that the governments are going to face in this field.
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The metaverse is not for everyone and it is not an easy world to go into but we believe this is going to be accelerating in terms of ease of access and ease of use. So what governments should do today to prepare for future tomorrow that has metaverse as a key component of creating a better economy and provide better services, added Al Olama.
We want this summit to be a meeting point of the greatest investors, thinkers and leaders. We are also going to celebrate The Best Minister in the World. That is an award which will be given to the minister who created the most positive change and made the world a better place, he added.
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Cryptocurrency: Definition, Advantages & Disadvantages
A cryptocurrency or crypto, is a virtual currency secured by cryptography. It is designed to work as a medium of exchange, where individual ownership records are stored in a computerised database.
The defining trait of a cryptocurrency is that they are not issued by the government agency of any country making them immune against any interference and manipulation from them.
Latest Developments regarding Cryptocurrency in India The Cryptocurrency and Regulation of Official Digital Currency Bill 2021 is likely to be introduced in the winter session of the Parliament. It is a bill that would regulate Cryptocurrency in India. On December 7 2021, Finance minister Nirmala Sitharaman asserted that the the proposed Central Bank Digital Currency will not boost cryptocurrency in India.
This article will further discuss the details of cryptocurrency within the context of the Civil Services Examination.
In simplistic terms, Cryptocurrency is a digitised asset spread through multiple computers in a shared network. The decentralised nature of this network shields them from any control from government regulatory bodies.
The term cryptocurrency in itself is derived from the encryption techniques used to secure the network.
As per computer experts, any system that falls under the category of cryptocurrency must meet the following requirements.:
Get the latest information on Cryptocurrency at 8:58 minutes on the video provided below
The first type of crypto currency was Bitcoin, which to this day remains the most-used, valuable and popular. Along with Bitcoin, other alternative cryptocurrencies with varying degrees of functions and specifications have been created. Some are iterations of bitcoin while others have been created from the ground up
Bitcoin was launched in 2009 by an individual or group known by the pseudonym Satoshi Nakamoto. As of March 2021, there were over 18.6 million bitcoins in circulation with a total market cap of around $927 billion.
The competing cryptocurrencies that were created as a result of Bitcoins success are known as altcoins. Some of the well known altcoins are as follows:
Today, the aggregate value of all the cryptocurrencies in existence is around $1.5 trillionBitcoin currently represents more than 60% of the total value.3.
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Cryptocurrency has the following advantages
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Cryptocurrencies have the following disadvantages.
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US KleptoCapture force to tackle cryptocurrency use in Russian sanction avoidance – ZDNet
The US government has launched a new initiative to tackle the use of cryptocurrency and assets to circumvent new sanctions imposed on Russia.
On Wednesday, Attorney General Merrick Garland, through the US Department of Justice's (DoJ) Office of Public Affairs, announced the creation of "Task Force KleptoCapture."
The team is described as "an interagency law enforcement task force dedicated to enforcing the sweeping sanctions, export restrictions, and economic countermeasures that the United States has imposed, along with allies and partners."
A range of sanctions has been imposed on both Russia and Belarus due to the Russian invasion of Ukraine, which is currently on its eighth day.
Sanctions include the removal of a number of Russian banks from the SWIFT global financial transaction system, travel bans, import and export bans on some goods, and asset freezes.
KleptoCapture will include "targeting" those who try to use cryptocurrency to avoid US sanctions and those who are trying to launder the "proceeds of foreign corruption" or to "evade US responses to Russian military aggression."
"The Task Force will be fully empowered to use the most cutting-edge investigative techniques -- including data analytics, cryptocurrency tracing, foreign intelligence sources, and information from financial regulators and private sector partners -- to identify sanctions evasion and related criminal misconduct," Garland says.
In addition, KleptoCapture will be tasked with preventing the "undermining" of sanctions by seizing assets "belonging to sanctioned individuals or assets identified as the proceeds of unlawful conduct" and by investigating alleged attempts to avoid Know-Your-Customer (KYC) and anti-laundering rules in the country.
"The Justice Department will use all of its authorities to seize the assets of individuals and entities who violate these sanctions," Garland commented. "We will leave no stone unturned in our efforts to investigate, arrest, and prosecute those whose criminal acts enable the Russian government to continue this unjust war. Let me be clear: if you violate our laws, we will hold you accountable."
Earlier this week, Ukraine's Vice Prime Minister and Minister of Digital Transformation Mykhailo Fedorov asked cryptocurrency exchanges to restrict accounts belonging to users in Russia and Belarus. Furthermore, the government official has also requested information from the public on the "cryptowallets of Russian and Belarusian politicians."
On Wednesday, the US Senate approved new legislation that will force organizations to report cyberattacks impacting critical infrastructure to regulators within 72 hours. Senators Rob Portman and Gary Peters said that modernization of existing incident reporting laws is "urgently needed" due to the Russia-Ukraine conflict.
We've seen a spate of cyberattacks launched against Ukraine in the lead-up to Russia's invasion, and in response, Ukraine has attempted to form an "IT Army."
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Decrypting the meaning of cryptocurrency in 200 words or less – Media Update
Find out as media updates Lara Smit decrypts the meaning of cryptocurrency here.1. What is cryptocurrency?A cryptocurrency is a digital currency that is distributed by crypto-owners on the Internet. It exists based off of a consensus network i.e. many people agree that it has a value.
This currency isn't supported by any banks or governments, which means that it isn't bound to a central authority. With no central authority, crypto has no exchange rate, making it ideal for cross-border transactions. This also means that crypto isn't directly influenced by factors like the economy and inflation.
What are your thoughts on cryptocurrency? Let us know in the comments section below.Want to keep up to date with the latest phrases? Subscribe to our newsletter.
Cryptocurrency crypto blockchain bitcoin what is cryptocurrency how is cryptocurrency created what gives cryptocurrency value what is bitcoin what is crypto
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Decrypting the meaning of cryptocurrency in 200 words or less - Media Update
Retirement: Saving With Cryptocurrency Could Be a Good Idea – GOBankingRates
With cryptocurrencies becoming more mainstream as institutional adoption and knowledge about them grow, experts are increasingly recommending incorporating them into retirement plans.
See: 31% of Near-Retirees Are Invested in Crypto Will This Bet Pay Off?Find: Financial Experts React to Rise in Crypto Retirement Plans
A survey by Capitalize noted that 56% of Gen Zers and 54% of millennials include cryptocurrencies and other digital assets in their retirement strategy, compared to only 20% of Gen Xers and 14% of baby boomers.
While betting your retirement savings on a digital currency can result in major losses, at the same time, experts claim that diversifying your retirement portfolio helps improve financial security for your future, Entrepreneur noted.
Entrepreneur estimated that to comfortably retire, Americans will need more than $1.8 million in retirement savings, on average, adding that while some feel this might not be enough to help carry them through their golden years, sentiment around digital coins and crypto is a bit more bearish for older workers than it is for younger generations.
Reflecting the increasing interest, the 2021 Trends in Investing Survey by the Journal of Financial Planning and the Financial Planning Association found that 14% of advisors said they currently use or recommend cryptocurrencies with their clients, up from less than 1% in 2020, and 26% said they plan to increase their use or recommendation of cryptocurrencies in the next year. In addition, the survey notes that 49% of respondents said their clients have asked about cryptocurrencies in the past six months.
See: Coinbase Partners With 401(k) Platform ForUsAll To Offer Crypto Options
In June for example, retirement investment platform ForUsAll partnered with Coinbase to offer employees exposure to cryptos in what the company said was the first program of its kind.
For too long, too many Americans havent had the same access to alternative investments that wealthy and professional investors have had. Our mission is to provide every American with the tools necessary to build a brighter financial future, and making these alternatives more readily available is a key step towards that, Jeff Schulte, CEO of ForUsAll, said in a statement at the time. By introducing the Alt 401(k), we are democratizing access to what drives wealth for the wealthy alternative investment options, combined with our original core offering of low-cost index funds, and personalized help.
Other options include bitcoin individual retirement accounts or crypto IRAs, which are sprouting up everywhere, but The Motley Fool warns investors to make sure they consider the hefty fees of investing in a bitcoin IRA against the tax advantages. Many charge setup fees, maintenance fees, and transaction fees, plus they often have significant account minimums, according to the report.
Whatever option you choose, if you plan on integrating cryptos into your retirement plan, make sure you are aligned with your risk appetite, and be aware of their volatility.
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Yal Bizouati-Kennedy is a former full-time financial journalist and has written for several publications, including Dow Jones, The Financial Times Group, Bloomberg and Business Insider. She also worked as a vice president/senior content writer for major NYC-based financial companies, including New York Life and MSCI. Yal is now freelancing and most recently, she co-authored the book Blockchain for Medical Research: Accelerating Trust in Healthcare, with Dr. Sean Manion. (CRC Press, April 2020) She holds two masters degrees, including one in Journalism from New York University and one in Russian Studies from Universit Toulouse-Jean Jaurs, France.
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Retirement: Saving With Cryptocurrency Could Be a Good Idea - GOBankingRates
1 Cryptocurrency That Even This Skeptic Is Buying – The Motley Fool
I admit it. I've never really been on the cryptocurrency train. While I can fully appreciate the potential of crypto's underlying blockchain technology, simply creating an unlimited number of alternative, unregulated currencies out of thin air sets the stage for disaster. Everything prompts a reaction of some sort sooner or later. Often, those reactions are unforeseen and undesirable outcomes.
However, there are a couple of up-and-comers that have caught my eye of late. Of the two in question, I might end up actually taking a shot on Stellar Lumen ( XLM -2.50% ).
Ever since they moved into the mainstream, one of my chief hangups with cryptocurrencies has been their limited degree of practical use. For a crypto to be a successful alternative to fiat money, enough sellers must be willing to accept it as payment, and enough buyers must be willing to use it as a means of payment. That has been the underlying reason so many cryptocurrencies and related stocks have been struggling of late: Not enough participants can agree on which of a plethora of altcoins out there are the ones to commonly utilize. Most of the early ones were established without a particular usage in mind.
Stellar -- Stellar Lumens, to be precise -- isn't hampered by this philosophical flaw.
Image source: Getty Images.
Established back in 2014 on its own built-in token called the lumen, Stellar's network is built from the ground up to allow large organizations to do cost-effective, cross-border business with ease. And they have. Over the course of the past seven years, the platform has facilitated over 450 million transactions, allowing payers to make payments in their local currency and payment recipients to receive payments in their local currency.
Cross-border deals can get done for dirt cheap in minutes, as opposed to a matter of days; users only need to own one lumen to do a deal, and transactional fees start as low as 0.00001 lumen. It wouldn't be out of line to describe it as the world's fastest, most complete, and most cost-effective foreign exchange. The lumen token and its corresponding blockchain ensure it all happens the right way, fairly and squarely.
The coolest part is that Stellar works with any currency, fiat and otherwise. The stablecoin USD Coin, for instance, is also compatible with the Stellar network.
It remains to be seen whether Stellar Lumens will end up being one of the world's preferred cryptos -- a requirement if there's to be any hope for the price stability needed to make a particular digital money a reasonably safe means of storing, conveying, or receiving value. Otherwise, it continues to be little more than a speculative coin toss.
The Stellar platform's certainly got the right support to become the platform of choice among the world's key players though. Technology giant International Business Machines-- better known as IBM -- is partnering with Stellar to offer IBM's corporate clients cross-border payment solutions,touting the network's speed and low usage costs. MoneyGram, Liquid Mortgage, and Knabu Bank are also working directly with Stellar to make cross-border dealmaking easier and quicker.
At the very least, would-be buyers can embrace the fact that no more of this cryptocurrency will be mined, diluting the current float in the process. If a company wants to plug into the Stellar network to use its impressive payment capabilities, it's going to have to buy some in the open market. That's a bullish backdrop, not to mention a solid start for today's owners.
This article represents the opinion of the writer, who may disagree with the official recommendation position of a Motley Fool premium advisory service. Were motley! Questioning an investing thesis even one of our own helps us all think critically about investing and make decisions that help us become smarter, happier, and richer.
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1 Cryptocurrency That Even This Skeptic Is Buying - The Motley Fool
Cryptocurrency fund inflows hit $36 million last week – FinanceFeeds
CoinShares weekly survey of cryptocurrency fund flows shows that total investment inflows into digital assets hit $36 million last week.
The asset manager writes that the renewed inflows suggest the recent headwinds for digital assets, such as the significant price weakness, were seen as buying opportunities for investors. However, crypto investment products remain in red on a YTD basis.
Interestingly, volumes in Bitcoin crypto exchanges that trade the RUB/USD pair have seen volumes rise by 121 percent week-on-week. Overall, the primary coin saw inflows of $17 million last week, entering its 5th consecutive week of inflows totalling $239 million.
Europes largest digital asset investment firm said Ethereum investment products saw minor inflows at $4.2 million. The second largest cryptocurrency in terms of market capitalisation witnessed the biggest blow so far in 2022, with YTD outflow of $109 million.
Ethereums market share has suffered in recent months due to Bitcoins dominance, and the recent combination of price drop and outflow has seen their AUM fall to $11.9 billion from a record $20 billion. As a result, Ethereum now represents 23.8 percent of the capital locked in crypto investment products.
Total assets under management (AuM) are now $50 billion, the lowest since early August 2021, which comes in line with the bearish trend in the broader cryptocurrency market. The figure is down by 41 percent from the $86 billion peak set back in November 2021.
Regionally, flows have been, one-sided, with the Americas seeing inflows of $95 million (notably Canada & Brazil) while European investment products saw outflows hit $59 million last week.
Breaking down the latest statistics, Coinshares said minor outflows were seen in most altcoins investment products. Solana and Litecoin were the worst performers with outflows of $2.6 million and $0.5 million respectively.
Tezos was the only altcoin investment product to see inflows, which totalled $4.4 million, representing 14 percent of assets under management.
Multi-asset products saw inflows of $14 million last week, with year-to-date inflows surpassing Bitcoin at $83 million. Blockchain equity funds also continued to attract new investments, having reported $8 million in inflows last week.
Digital asset investment products recorded a huge outflow of funds in the first month of the year as the broader cryptocurrency market performed poorly. Cryptocurrency funds and products had amassed inflows of $9.3 billion in 2021, significantly greater than the $6.8 billion seen in 2020, or up 36 percent year-over-year.
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Crypto experts and lawyers weigh in on cryptocurrency liability – Top Class Actions
Amid a class action against cryptocurrency exchange company Coinbase and with stories about cryptocurrency theft in the news, consumers may be asking themselves whether its safe to invest in crypto and who is responsible for hacks.
In the class action against Coinbase, several plaintiffs are claiming the company either froze their cryptocurrency accounts or allowed them to be stolen.
Because of the extreme volatility of cryptocurrencies value with freefalls of 40% within 24 hours not unheard of the inability to access an account to sell, buy, or trade cryptocurrency leads to severe financial loss, the lawsuit alleges. Making matters worse, Coinbase fails to timely respond to customer pleas for support and help, and also fails to preserve and safeguard customer funds as it promises.
With other stories about cryptocurrency theft having recently come out (most notably the recent arrests in connection with the 2016 Bitfinex hack), consumers are justified in questioning the safety of crypto. So who is liable for the theft and hacking of cryptocurrency accounts?
Agustin Barbara, a managing partner with The Crypto Lawyers, said that when youre dealing with a cryptocurrency, you are your own bank, and the responsibility falls on you.
More importantly, because there are so few firms with the necessary tools and expertise needed for handling cryptocurrency matters, it can be challenging for consumers to vindicate their rights, Barbara told Top Class Actions.
Barbara said consumers are just beginning to dabble in this space, and they dont realize how many vulnerabilities there are.
In a centralized platform, for example Crypto.com or Coinbase the ownership of your crypto is actually controlled by a single entity. Therefore, your assets are at risk, Barbara said.
While he says consumers are responsible for their own crypto assets, he also said there are certain protocols Coinbase should inherently have that it does not.
If they (Coinbase) know that so many of these things are constantly being exploited, why arent they taking it more seriously? They shouldnt have to be doing it under the threat of regulatory agencies, but rather to protect their customers, Barbara said.
Rich Sanders, lead investigator and principal at CipherBlade said Coinbase is insured against a hack of Coinbase, not against a hack of an individuals account because that individual failed to secure their account credentials.
In short: what a dumpster fire, Sanders said. One, the responsibility to secure an individuals cryptocurrency exchange account is the individuals. Exchanges provide security options, users decide which to use. I have never seen a single hack of a cryptocurrency exchange account in which the user of the exchange did not have a major cybersecurity gaff (use of SMS as a sole vulnerability, password reuse, etc.) I would bet you the entirety of my professional credibility such is the reality for Plaintiffs in that action.
According to Sanders, an exchange account being frozen by an exchange after a user falls victim to a scam or is hacked is a judgment call made by compliance teams, including a factor to keep users safe from themselves.
Exchange accounts can be locked and are more often locked for compliance reasons, such as through transaction analysis, which has nothing to do with an individuals account compromise or falling victim to a scam Sanders said.
I doubt, and doubt highly, all plaintiffs are even in the same category here, and candidly, Im not sure if the lawyers representing the plaintiffs here even know what questions to ask to determine if someone would be an eligible claimant, Sanders said.
According to Sanders, the plaintiffs in the Coinbase lawsuit were not misled about security.
Much of the lack of clarity surrounding the legal standing of cryptocurrency is due to its newness relative to more traditional currency and payment systems, but there are ways for individuals to keep their crypto secure.
Cryptocurrency users can protect themselves by doing things like:
As well as this, crypto and its trading websites will begin to see greater legislation in the near future; 33 states and Puerto Rico have pending legislation concerning cryptocurrency in the 2021 legislative session.
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