TL;DR: Welcome to In Case You Missed It (ICYMI), a daily crypto news update. KIK Interactive declared the SEC’s lawsuit twisted facts. Coinbase absolved of fraud in BCH listing case. Local.Bitcoin.com banned in Russia and China. 318 tether wallets centralize 80% of the supply. Seoul will create a cryptocurrency to reward its citizens, and EtherDelta is being investigated by Chinese authorities for an ICO exit scam.
KIK Interactive Lawsuit Heats as it Declares SEC Misinterpreted Facts
The lawsuit in which the US Securities and Exchange Commission is taking on KIK Interactive and their Kin token ICO is still raging. KIK Interactive has now turned to defense mode, stating most of the arguments presented by the SEC for the case were based on twisted facts. The SEC claims a consultant warned KIK about its product, saying “the Kin offering was, potentially, an offering of securities.” Despite this, KIK’s CEO Ted Livingston declared the SEC “cut quotes and [took them out of context] and that’s something we didn’t expect from the SEC.”
Coinbase Absolved From Insider Trading and Fraud Charges in BCH Listing Case
Coinbase was absolved of the charges of fraud and insider trading when introducing Bitcoin Cash to their platform. Coinbase introduced BCH trading and halted trade some minutes after due to the price pump it generated in the market, leaving traders unable to sell. The judge in charge of the case declared that “the complaint does not sufficiently explain how the launch manipulated the market for Bitcoin Cash or for Bitcoin. Nor does it plausibly or coherently describe Coinbase and Armstrong’s motive to manipulate the prices.”
Local.Bitcoin.com Blocked in Russia and China
The recently launched non-custodial escrow exchange Local.bitcoin.com has been blocked in China and Russia, according to a report from Roger Ver, Executive Chairman of Bitcoin.com. Local Bitcoin is a peer 2 peer Bitcoin Cash-based exchange with a non-custodial wallet and no KYC procedures. These might be among the reasons why the measure was taken by these governments, but no official statements have been made.
318 Tether Addresses Centralize 80% of Its Supply
An analysis from Coin Metrics of the tether supply found disturbing facts about its distribution. They concluded only 318 accounts held 80% of the whole tether supply on the market. John Griffin, professor of finance in Austin declared that “the concentration of Tether suggests that control of Tether is in the hands of a few central players who can swing Bitcoin prices, and have a vested interest in doing so,” supporting some claims about tether being a manipulation tool for BTC prices.
Seoul Will Create a Reward Cryptocurrency for Its Citizens
The city of Seoul, South Korea will create a reward cryptocurrency for its citizens. Called S-coin, this cryptocurrency will be given to citizens after fulfilling some of their duties, like paying their taxes and participating in public surveys for local proposals. This blockchain system will be integrated with paying services to let users really take advantage of their coins. The deadline for applying is set for November, and the city will control the associated blockchain while private companies operate it.
EtherDelta DEX Investigated by Chinese Authorities
JUSTIN and 🤦🏻♀️🤦🏻♀️🤦🏻♀️
EtherDelta is involved in a major scam in China, police officially take legal action against it
The actual beneficiaries of EtherDelta are all Chinese after ownership transition in 2017
— Dovey Wan 🗝 🦖 (@DoveyWan) August 7, 2019
One of the first decentralized exchanges, EtherDelta, is being investigated by the Chinese government on the claims they performed an ICO exit scam from their own cryptocurrency, EDT. The exchange had been sold, and the new owners organized a token sale that never really happened, and ran with the funds. According to Dovey Wan, investors reported the alleged scam to Chinese authorities, and they are now tracking EtherDelta’s owners.
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