Cryptocurrency trading platform Livecoin claims that it has been hacked after the crypto community noticed the price of bitcoin shoot up to half a million dollars. Meanwhile, users are complaining that they cannot withdraw their funds, suspecting the exchange of pulling an exit scam.

Russian cryptocurrency exchange Livecoin claims that it suffered a security breach over Christmas after the crypto community observed the price of bitcoin and other cryptocurrencies soar exponentially on the exchange above their market prices.

Bitcoin was reportedly trading at about $500,000, while ETH surpassed $15,000, and XRP rose above $17. At other exchanges, BTC is currently trading at around $24,813, ETH at $630, and XRP at $0.31.

Meanwhile, a number of users are complaining on social media that their deposits were not credited to their accounts and they could not withdraw their funds from the exchange. This has caused many to suspect an exit scam.

Livecoin subsequently posted a message on its website on Christmas Eve asking customers to stop using its services. “Don’t deposit funds, don’t trade, don’t use API,” the notice reads, adding:

We are under a carefully planned attack, which has been prepared, as we assume, over the last few months. We lost control of all our servers, backend and nodes.

The notice continues, “we were not able to stop our service in time … We are working in contact with local police authorities. We really do our best to overcome this issue.”

Do you think Livecoin is exit scamming? Let us know in the comments section below.

Spot-markets for Bitcoin, Bitcoin Cash, Ripple, Litecoin and more. Start your trading here.

Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

Source: news.bitcoin.com

Author: Exchanges

by
Kevin Helms

Ripple Lawsuit Could Invoke Billions in Losses to ‘Innocent Third-Parties,’ Says Former SEC Commissioner – Crypto Money Daily

The crypto community is extremely curious about what will happen to Ripple Labs and the token asset XRP, after the U.S. Securities and Exchange Commission (SEC) recently filed a lawsuit against Ripple and two executives. On December 25, the large cryptocurrency exchange Bitstamp announced delisting XRP for U.S. customers, and a former SEC Commissioner thinks the lawsuit will invoke multi-billion losses to innocent third parties.

One of the most topical conversations in the crypto space, besides the all-time high prices, is the recent charges against Ripple Labs that were filed by the U.S. Securities and Exchange Commission (SEC). The SEC said that the regulator “filed an action against Ripple Labs Inc. and two of its executives, who are also significant security holders, alleging that they raised over $1.3 billion through an unregistered, ongoing digital asset securities offering.”

Following the SEC charges, three exchanges (OSL, Crosstower, and Beaxy) decided to drop XRP support, alongside the fund Bitwise Asset Management. On December 25, 2020, the cryptocurrency exchange based in Luxembourg, Bitstamp, announced it would be halting XRP services for all U.S. customers on January 8, 2021. In a blog post about the subject Bitstamp said:

In light of the recent SEC filing against Ripple Labs Inc., which alleges that XRP is a security, we are going to halt all trading and deposits of XRP for our US customers on 8 January 2021 at 9 PM UTC. We will closely follow the unfolding situation and continue to adapt accordingly. Our U.S. customers will still be able to withdraw XRP from Bitstamp. Customers from other countries are not affected.

The XRP action is also happening as SEC Chairman Jay Clayton decided to give his resignation. The SEC Commissioner, Hester Pierce, announced on Twitter that Elad Roisman has been appointed the acting Chair of the U.S. financial regulator. “Congratulations, Chairman Roisman,” Pierce tweeted on December 24. “I look forward to your leadership of the SEC,” she added. Moreover, The Block’s Frank Chaparro obtained a letter from Joseph Grundfest, a former Commissioner of the U.S. SEC.

According to a letter to Jay Clayton, Grundfest allegedly said that the Ripple lawsuit was “unprecedented” and there’s “no pressing reason compels immediate enforcement action.” “The views of a soon-incoming Administration and Congress as to the regulation of transactions similar to those at issue can differ substantially from current perspectives,” the Grundfest letter details.

The former SEC Commissioner further wrote:

Simply initiating the action will impose substantial harm on innocent holders of XRP, regardless of the ultimate resolution. Upon learning of the proceeding, intermediaries will cease transacting in XRP because of the associated legal risk. The resulting reduction in liquidity will cause XRP’s value to decline.

The SEC’s acting Chair Elad Roisman also reportedly discussed the evolving cryptocurrency markets back in 2018. “The SEC must examine and re-examine its rules, regulations, and guidelines to ensure that they are still working as intended to accomplish the SEC’s mission,” Roisman said at the time. “This is most recently manifested in areas such as data protection and cybersecurity, as well as the emergence of new investments and technologies such as initial coin offerings and blockchain.”

What do you think about Bitstamp dropping XRP for U.S. customers and the letter from former Commissioner Joseph Grundfest? Let us know what you think about this subject in the comments section below.

Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

Source: cryptomoneydaily.com

Ripple Lawsuit Could Invoke Billions in Losses to ‘Innocent Third-Parties,’ Says Former SEC Commissioner

The crypto community is extremely curious about what will happen to Ripple Labs and the token asset XRP, after the U.S. Securities and Exchange Commission (SEC) recently filed a lawsuit against Ripple and two executives. On December 25, the large cryptocurrency exchange Bitstamp announced delisting XRP for U.S. customers, and a former SEC Commissioner thinks the lawsuit will invoke multi-billion losses to innocent third parties.

One of the most topical conversations in the crypto space, besides the all-time high prices, is the recent charges against Ripple Labs that were filed by the U.S. Securities and Exchange Commission (SEC). The SEC said that the regulator “filed an action against Ripple Labs Inc. and two of its executives, who are also significant security holders, alleging that they raised over $1.3 billion through an unregistered, ongoing digital asset securities offering.”

Following the SEC charges, three exchanges (OSL, Crosstower, and Beaxy) decided to drop XRP support, alongside the fund Bitwise Asset Management. On December 25, 2020, the cryptocurrency exchange based in Luxembourg, Bitstamp, announced it would be halting XRP services for all U.S. customers on January 8, 2021. In a blog post about the subject Bitstamp said:

In light of the recent SEC filing against Ripple Labs Inc., which alleges that XRP is a security, we are going to halt all trading and deposits of XRP for our US customers on 8 January 2021 at 9 PM UTC. We will closely follow the unfolding situation and continue to adapt accordingly. Our U.S. customers will still be able to withdraw XRP from Bitstamp. Customers from other countries are not affected.

The XRP action is also happening as SEC Chairman Jay Clayton decided to give his resignation. The SEC Commissioner, Hester Pierce, announced on Twitter that Elad Roisman has been appointed the acting Chair of the U.S. financial regulator. “Congratulations, Chairman Roisman,” Pierce tweeted on December 24. “I look forward to your leadership of the SEC,” she added. Moreover, The Block’s Frank Chaparro obtained a letter from Joseph Grundfest, a former Commissioner of the U.S. SEC.

According to a letter to Jay Clayton, Grundfest allegedly said that the Ripple lawsuit was “unprecedented” and there’s “no pressing reason compels immediate enforcement action.” “The views of a soon-incoming Administration and Congress as to the regulation of transactions similar to those at issue can differ substantially from current perspectives,” the Grundfest letter details.

The former SEC Commissioner further wrote:

Simply initiating the action will impose substantial harm on innocent holders of XRP, regardless of the ultimate resolution. Upon learning of the proceeding, intermediaries will cease transacting in XRP because of the associated legal risk. The resulting reduction in liquidity will cause XRP’s value to decline.

The SEC’s acting Chair Elad Roisman also reportedly discussed the evolving cryptocurrency markets back in 2018. “The SEC must examine and re-examine its rules, regulations, and guidelines to ensure that they are still working as intended to accomplish the SEC’s mission,” Roisman said at the time. “This is most recently manifested in areas such as data protection and cybersecurity, as well as the emergence of new investments and technologies such as initial coin offerings and blockchain.”

What do you think about Bitstamp dropping XRP for U.S. customers and the letter from former Commissioner Joseph Grundfest? Let us know what you think about this subject in the comments section below.

The post Ripple Lawsuit Could Invoke Billions in Losses to ‘Innocent Third-Parties,’ Says Former SEC Commissioner appeared first on Bitcoin News.

Source: cryptomoneyteam.co

Author: By TeamMMG

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