2024-05-14 05:33

Some users may still be experiencing a "degraded" service, the exchange said. Coinbase is back online after battling a major outage that began at 4:15 AM UTC. The exchange said some users may still experience failures when sending crypto or withdrawing fiat. Crypto exchange Coinbase (COIN) is back online after a three-hour outage that began at 4:15 AM UTC. The exchange returned to use at 07:42 UTC, according to its status page. Website visitors had received a "503 Service Temporarily Unavailable" message beforehand. The exchange noted the outage in a post on X, saying it was investigating the issue and working on a solution. “Your funds are safe,” it posted. A spokesperson for Coinbase said that company didn’t have anything to add. According to the status page, some users may still experience failures when sending crypto or withdrawing fiat, marking the service as degraded. Coinbase shares are down 1.7% in pre-market trading. The price of bitcoin (BTC) appears to be unaffected by the issue, and is trading around $61,900, according to CoinDesk Indices data, down less than 1% in 24 hours. https://www.coindesk.com/business/2024/05/14/coinbase-reports-system-wide-outage/

2024-05-14 05:09

The objective of Okto is to give global users a single-click mobile experience while traversing the Web3 space. CoinDCX has expanded the Okto wallet into an Okto ecosystem to give users a single-click mobile experience in Web3. A points program has been launched and a blockchain and the $OKTO token to power that chain will come later this year. Indian crypto exchange CoinDCX has expanded what started as the Okto wallet into an Okto ecosystem, which will include launching a blockchain, a token, and a points program starting Tuesday. The aim is to give global users a single-click mobile experience while traversing the Web3 space, its co-founders Neeraj Khandelwal and Sumit Gupta told CoinDesk in an interview. The objective of Okto’s points program is to bootstrap the launch of the Okto blockchain, which will happen later in 2024. That’s also when the launch of the OKTO token to power that chain will occur. The points program will reward users for their on-chain transactions, and those trading elsewhere can earn bonus points by moving assets to the Okto Wallet. As much as 7% of the OKTO token will be air-dropped to early users. CoinDCX launched Okto in August 2022 as a DeFi mobile app with an inbuilt wallet aimed at easing the transition of crypto consumers to DeFi. Since then, it has spent nearly two years testing ways to solve the problem of a broken user experience to engage the next billion Web3 users. “Self-custody wallet experience was completely broken and required users to go through several hurdles of the Web3 space like blockchain, self-custody, security and trust, signing transactions or gas fees," said Khandelwal. “Okto is the first such system which provides a Web 2-like single click mobile experience in the Web3." The idea of creating a native experience was made possible in phases by first, working on a solution internally to streamline the process of using DeFi's various elements. In phase two, the solution was packaged into a software development kit (SDK), which is a bundle of software development tools, and made available to external entities in a centralized scenario. This allowed developers to build applications without needing to understand the intricacies of each blockchain. “Post experiencing the challenges of building a full chain abstracted Okto wallet, in Phase 2, we introduced the Okto Web3 SDK, an industry-first embedded wallet enabling any app or internet company to fully harness the potential of Web3," Khandelwal said. ”We are now in the process of building an entire Okto Ecosystem." "We believed all CeFi platforms would eventually have a DeFi arm," said Sumit Gupta, co-founder of CoinDCX. “The Okto Chain will power thousands of applications being built in the Web3 space." More than 20 apps are being built through the SDK, 50+ chains and protocols have been integrated, and over a million wallets have been created on what they call the "Okto Orchestration Layer.” “We are not just targeting one partner or ecosystem but hope to land several partnerships to help us make this globally ubiquitous,” Khandelwal said without naming any specific entity. Read More: What’s at Stake for Crypto in India as the World’s Largest Democracy Is in the Midst of Its National Election? https://www.coindesk.com/policy/2024/05/14/indian-crypto-exchange-coindcxs-defi-arm-okto-to-launch-blockchain-and-okto-token/

2024-05-13 21:02

President Biden ordered a halt to the MineOne operation near Warren Air Force Base, citing Chinese ownership, foreign technology and proximity to a strategic missile base. The White House says a Chinese crypto-mining operation set up shop within a mile of a U.S. nuclear missile base without getting proper clearance. The order to shut it down said it's using foreign-source technology that poses national-security concerns. President Joe Biden ordered a cryptocurrency mining facility near Warren Air Force Base in Wyoming to halt operations on Monday, calling it a threat to national security. The White House order said the British Virgin Islands company behind MineOne, which is majority owned by Chinese nationals, must remove all the improvements and mining equipment on the property located within a mile of the military facility in Cheyenne – a base that houses Minuteman III nuclear missiles. The company, which bought the property in 2022, was accused of acquiring the land and starting work there without filing with the Committee on Foreign Investment in the United States (CFIUS), and a tip started an investigation into that acquisition, according to the White House. The order, which also authorized the U.S. attorney general to "take any steps necessary" to enforce it, cited the "presence of specialized equipment on the property used to conduct cryptocurrency mining operations, some of which is foreign-sourced and presents significant national security concerns," according to a related statement from the Department of the Treasury. The move "highlights the critical gatekeeper role that CFIUS serves to ensure that foreign investment does not undermine our national security, particularly as it relates to transactions that present risk to sensitive U.S. military installations as well as those involving specialized equipment and technologies,” Secretary of the Treasury Janet Yellen said in a statement. MineOne didn't immediately respond to a request for comment sent through the company's website. Read More: Crypto Miner MineOne Raises Over $20M in First Funding Round https://www.coindesk.com/policy/2024/05/13/us-blocks-china-tied-crypto-miners-as-national-security-risk-near-nuke-base/

2024-05-13 19:31

Previous outflows hovered around the $6 million mark, signaling a significant uptick in negative flows on Monday. The Hong Kong-listed spot crypto ETFs saw huge outflows on Monday, data from Farside Investors shows. Investors pulled nearly $40 million out of the six spot bitcoin and ether ETFs on the first day of the week. The Hong Kong-listed spot bitcoin and ether exchange-traded funds (ETFs) saw heavy outflows on Monday following bitcoin’s drop below $61,000 on Friday. The spot bitcoin ETFs from issuers ChinaAMC, Harvest Global, as well as Bosera and Hashkey, saw a combined $32.7 million outflows on Monday, according to data from Farside Investors. This number is significantly higher than previous outflows, which hovered around the $6 million mark. Monday marked the first time that all six crypto ETFs, including both bitcoin (BTC) and Ether (ETH), reported negative flows since their launch on May 2. Harvest Global had previously not yet seen outflows for its spot bitcoin fund. The spot ether ETFs saw $6.6 million in outflows which is also significantly higher than past numbers. After eight days of trading, investors pulled roughly $13 million out of the six ETFs, a disappointing result for the Asia-based ETFs when compared to the initial excitement phase around its U.S.-listed counterparts. Many industry enthusiasts have pointed out that the overall Hong Kong-based ETF market is relatively small, with about $50 billion in assets. In comparison, the ETF market in the U.S. is estimated at approximately $9 trillion in assets under management. Some rumors suggested that mainland Chinese investors had gained access to the funds via Stock Connect, which would open the gates for a far bigger investor base, but Hong Kong’s stock exchange told CoinDesk earlier on Monday that that rumor was false. https://www.coindesk.com/markets/2024/05/13/hong-kong-bitcoin-and-ether-etfs-see-39m-outflows-on-monday-farside-investors/

2024-05-13 19:31

In addition to paying monetary penalties, FalconX must stop providing U.S.-based customers access to crypto derivatives trading platforms. FalconX will pay $1.8 million to settle newly-announced charges from the Commodity Futures Trading Commission (CFTC) that the crypto trading firm violated commodities laws by failing to register as a futures commission merchant (FCM), according to a Monday announcement from the regulator. Through its “Edge” product, FalconX acted as a crypto prime broker, offering institutional clients – including some based in the U.S. – with access to various crypto exchanges to trade derivatives, including futures and swaps, the CFTC said in a press release Monday. Though FalconX describes itself as the “largest digital asset prime brokerage” it was not properly registered with the CFTC. One of FalconX’s portfolio companies, FalconX Bravo, has been registered with the CFTC as a swap dealer since last August, according to the Monday settlement agreement. The way in which FalconX conducted business for its institutional clients meant that accurate know-your-customer (KYC) information was often not provided to the crypto exchanges FalconX was trading with. However, after the CFTC filed suit against Binance its former CEO, Changpeng “CZ” Zhao for similar offenses in March 2023, FalconX voluntarily “changed and enhanced its approach to collecting customer-identifying information” – including requiring customers to identify the location of the assets’ ultimate beneficial owners, the location of their corporate headquarters, and the location of employees controlling the investor’s Edge account. After these new, stricter KYC requirements were put in place, FalconX told the CFTC that Edge lost half of its customers. In its settlement agreement, the CFTC said that FalconX’s remediation efforts – as well as its “substantial cooperation” with the investigation – resulted in a lower penalty than could have otherwise been imposed. FalconX must pay $1,179,008 in disgorgement and a $589,504 civil penalty, and must cease and desist from acting as an unregistered FCM. FalconX did not respond to CoinDesk’s request for comment by press time. https://www.coindesk.com/policy/2024/05/13/falconx-settles-with-cftc-for-18m-over-failure-to-register-as-futures-commission-merchant/

2024-05-13 18:57

The downtrend in inflation has stalled so far this year, putting in doubt the odds for any Fed rate cuts in 2024. The spot ETF catalyst for bitcoin has faded, putting added import on macro factors Inflation data coming Tuesday and Wednesday is likely to set at least the short-term tone for the market. Bitcoin (BTC) has managed a modest rally over the past 72 hours after an ugly close to last week, but three major economic reports later this week are among the factors that will likely set off more volatility. At press time, the world's largest crypto was trading at $62,700, up 2% over the past 24 hours, according to CoinDesk data, and ahead 4% from Friday's low. The broader CoinDesk 20 Index was higher by 1.25% over the past 24 hours. With spot bitcoin ETF buying slowing to a near halt and even going net negative on some days, macro catalysts have taken on greater importance of late. That was evident Friday morning U.S. hours when an unexpected rise in consumer inflation expectations combined with hawkish remarks from Dallas Fed President Lori Logan to send bitcoin tumbling $3,000 in minutes from the $63,300 level. Inflation data on the docket The next negative or positive catalysts are likely to come from U.S. inflation reports, namely the Producer Price Index (PPI) set for release on Tuesday at 8:30 a.m. ET and the Consumer Price Index (CPI) 24 hours later. Of the two, the CPI report is of more import and economists are forecasting that gauge to have risen 0.4% in April, in line with the March advance. The annual pace of headline CPI is seen slowing to 3.4% from 3.5% in March. The so-called core CPI – which strips out food and energy costs – is expected to rise 0.3% in April versus 0.4% in March, with the annual pace falling to 3.6% from 3.8%. It's stubbornly high inflation which has thrown a wrench into market expectations for a series of Federal Reserve rate cuts in 2024. To date, there have been exactly zero rate cuts and markets are now pricing in an 11% chance the Fed sits on its hands for the remainder of the year, according to CME FedWatch. Another fast inflation report might not just have traders abandoning hope of any easier monetary policy in 2024, but could have them begin to price in odds of the Fed's next move being an increase in benchmark rates. Other data and Powell speaks Wednesday will also bring the U.S. government's retail sales report for April, which shouldn't be overlooked as an important data point. Alongside high inflation, the U.S. economy has shown little sign that it's in need of lower rates. Though there's been a modest slowdown of late, employment gains continue to impress each month and the retail sales numbers show healthy consumer spending. Economist forecasts are for retail sales to have grown 0.4% in April versus 0.7% in March. Ex-auto and gas, retail sales in April are seen rising just 0.1% versus 1.0% in March. Investors will also get to hear from Fed Chair Jerome Powell, who at 10 a.m. ET on Tuesday is scheduled to take part in a moderated discussion with Dutch central bank Governor Klaas Knot at the annual general meeting of the Foreign Bankers' Association in Amsterdam. Powell earlier in May brushed off ideas that the U.S. economy risked falling into "stagflation" - a term made famous during the 1970s that signifies slow or negative economic growth combined with speedy inflation. "I see no 'stag' nor 'flation," said Powell at a press conference on May 1. Market participants may want to tune in on Tuesday to see if recent data is changing his mind. https://www.coindesk.com/markets/2024/05/13/cautious-bitcoin-bounce-to-face-inflation-data-hurdles-later-this-week/