P2P Trading Resumes on Okex While Withdrawals Freeze Still in Effect: Tron Foundation Announces Cashout Plan for TRX Holders
Asian cryptocurrency exchange Okex says peer to peer trading is now open but the freeze on withdrawals remains in effect. In an update, Okex CEO Jay Hao reveals that buying cryptocurrency via the fiat gateway is now active as well but he fails to give a timeframe for the resumption of withdrawals. In an earlier tweet, the CEO reassures customers that their funds are safe and that withdrawals will commence as soon as possible.
On Oct. 15, Okex announced the suspension of withdrawals of cryptocurrency after an unnamed private key holder was taken into custody by law enforcement. However, since the suspension of cashouts, reports have emerged alleging large BTC withdrawals just before the announcement of the freeze.
The Okex CEO has, however, issued statements dismissing such reports. Still, anxious Okex customers are expressing dissatisfaction with the exchange’s failure to disclose details about the progress of the ongoing investigation.
On Twitter, users are venting their anger as they question the wisdom of the latest announcement that peer to peer trading is now open. One user named Maciek_sk queries the rationale of asking clients to continue trading when there is no option to cash out. In his reply to Hao’s tweet, the user explains:
There is no point in being active on the stock market from which you cannot withdraw your funds. It makes no sense. I am afraid it will lead to withdrawal from this platform.
Similarly, another user not only asks the same question but he also takes issue with the exchange’s management of private keys. He asks:
What’s the point of trading when we can’t even withdraw? and how the heck can one person result in Okex suspending withdrawals?
“Are you guys sh****g us or what? If you can’t even guarantee the security of funds and continued service why even bother running an exchange?” the user continued.
Meanwhile, in a surprising move, Justin Sun’s Tron Foundation announced it will be enabling TRX holders with funds frozen on the exchange to cash out their tokens via a specially designated account.
It is not clear what prompted the move by the Tron Foundation although a statement on the organization’s Medium page says they “have decided to shoulder their major responsibility in the industry and give users access to the unlimited 1:1 withdrawal of TRX on Okex. This decision will take effect as soon as it is announced.”
According to the Tron Foundation, this campaign “intends to help TRX holders protect their assets.”
What do you think of Okex’s management of private keys? Tell us what you think in the comments section below.
PayPal’s crypto integration may bode well for Bitcoin price as its user base could triple
PayPal’s Bitcoin integration is “probably not because they want to spur healthy adoption,” explained SatoshiLabs.
On this week’s episode of the Unhashed Podcast: Square purchases $50M worth of bitcoin, File Coin accidentally allows the sale of testnet coins, Bitmex changes leadership, why brainwallets are bad, taproot gets merged, Justin Sun ruins Bittorrent, and Coinbase starts paying Core developers.
The name is a reference to the protagonist in Neal Stephenson’s novel, Snowcrash.
Lossless Lottery PoolTogether Opens Up to More Coins, More Prizes
More games with no losers are coming to Ethereum (kind of).
PoolTogether, the lossless lottery on Ethereum that’s meant to gamify savings, is releasing its v3 today at 16:00 UTC. The site, first launched in June 2019, makes it so one player wins all the yield earned on many people’s deposits in a pool, but everyone keeps their initial deposits. That’s why it is called “lossless.” So far there have only been two pools, though, one using MakerDAO’s dai stablecoin, and the other using CENTRE’s USDC.
That’s all set to change with v3, which will enable lots more ERC-20 tokens, more yield sources and more prize distribution schemes.
“The thing they all have in common is they are no-loss, you can withdraw your money any time and they have prizes. That’s the commonality, but they have all sorts of variations,” PoolTogether founder Leighton Cusack told CoinDesk in a phone call.
Perhaps v3’s most important feature, however, is that it will enable outsiders to create new pools with their own rules.
In order to complete its third version, PoolTogether raised a little over $1 million in a seed extension round led by ParaFi Capital, with additional participation from Robot Ventures, OpenLaw’s The LAO, the MetaCartel DAO and a few angels, including Synthetix’s Kain Warwick and Aave’s Stani Kulechov.
Ben Forman of ParaFi Capital told CoinDesk in an email:
“No-loss lotteries are an underexplored and compelling alternative to high yield savings accounts. It’s a prime example of a use case that functions more elegantly on a blockchain vs. traditional financial infrastructure.”
In that way, PoolTogether makes for a good entry point into decentralized finance (DeFi) and crypto.
“Everyone is familiar with the concept of a lottery,” Dan Elitzer, an investor at a new venture firm called Nascent and one of the instigators of Yam Finance, told CoinDesk via direct message. He described PoolTogether as “a product that gives a thrill like playing a lottery, while encouraging savings and making sure users don’t lose money.”
As of Thursday, there will only be one pool on the PoolTogether website, a dai pool. Once the prize for the dai pool has enough deposits for supporting a $10,000 prize (Cusack estimates this at about $8 million), there will be a community vote on what pools to add first.
But that’s only what’s on the PoolTogether website. Also launched today is PoolToether Build, a way that anyone can construct additional pools with their own unique prize strategies.
Also with v3, the pools move toward decentralization. New pools will no longer be controllable by the PoolTogether team. No one who creates a pool will be able to touch users’ deposits in those pools. This is all part of the process for PoolTogether to get to full decentralization.
Coming out of DeFi Summer, Cusack saw outsize returns going to lots of other projects and it was hard to drive as much excitement toward PoolTogether’s model. On the other hand, because the team has been conservative and careful the project also hasn’t had any adverse events, such as users losing funds.
“There’s some jealousy when you see a protocol launch and see $100 million in it in two days,” Cusack said. “At the end of the day, I think a lot of that buzz is dying off.”
So now that the degen spirit has died down, Cusack believes the reputation PoolTogether has built since launch will pay off.
“Products that are going to stick around are going to prioritize security and safety and more sustainable methods,” Cusack said.
PoolTogether the company will retain control over the PoolTogether website for now and it’s not going to post any other prize pools until the one it has reaches that $10,000 payout.
But others will be able to build new pools right away; they will just also need to create front-ends for them at another URL.
PoolTogether Build is more like the developer tools of PoolTogether. Build will support making prize pools for any ERC-20 token that can be deposited on DeFi platforms Compound or Yearn.Finance (for now, more sources of yield to come).
Build will also support other prize strategies. So, for example, the pool could say, for example, that half of its yield goes to depositors and half to some charity. Or it could award its pool to 10 winners, rather than only one.
PoolTogether also will have new features such as referral rewards and HODLer rewards. So depositors can earn extra tickets if they recruit others into a pool or they can get extra tickets if they leave their funds in a pool over multiple cycles.
Lastly, PoolTogether is now designed to deal with liquidity mining (when deposits in a smart contract earn some kind of new token, on top of their normal yield), which is not something the team anticipated going into v2.
At its core, every PoolTogether prize pool will be two smart contracts. The first contract holds the deposits and that pool can never be changed once created, so that only depositors can withdraw the liquidity. The second smart contract collects the yield in order to distribute the prize. That smart contract can be changed by its creator, but the only thing that could ever be at risk then is the prize, not the deposits.
To deal with liquidity mining, any token sent to the wallet of the deposit smart contract will just be bounced to the corresponding prize smart contract, which should solve for any surprising new tokens that come along in the future.
PoolTogether has accumulated quite a bit of COMP over DeFi Summer. It plans to trade it all for dai that it can use to bolster returns in this first pool.
When PoolTogether first launched, it initially planned to shave off a tiny bit of the yield earned on its pools to keep the lights on.
But the team has since joined other early DeFi pioneers in turning all of its returns over to liquidity providers. For PoolTogether, that has meant continuing to shave off a little bit of the yield and putting it into what it calls the “reserve.”
As we previously reported, Coinbase Ventures had supplied PoolTogether with funds for the reserve that bolstered returns on its USDC prize pool.
PoolTogether is looking down the road toward full decentralization, one where all its users will have a say in how the protocol works, what pools are created and what prize strategies are deployed.
This will probably mean a token at some point, but Cusack is not settled on what strategy to follow there.
“We want to fully decentralize the protocol and we want to figure out the best way to do that,” he said.
He gave Compound and the automated market maker Uniswap as examples, and said:
“From my perspective, what’s worked well is when protocols that have a really high degree of traction already launch a token.”
The post Lossless Lottery PoolTogether Opens Up to More Coins, More Prizes appeared first on BTC Ethereum Crypto Currency Blog.
As Bitcoin price rises to new heights, top traders say the monthly and logarithmic chart signal that BTC is entering a new bull trend.
Bitcoin’s balance on three popular exchanges decreased by 390k BTC over the past 9 months.
The price of bitcoin jumped significantly on Wednesday after the payment processor Paypal announced cryptocurrency support. The jump in value has pushed a large number of bitcoin holders into a state of profit, according to Glassnode “percent of UTXOs in profit” statistics. Based on the current data, 98% of all bitcoin UTXOs are in a state of profit touching levels previously recorded three years ago in December 2017.
The price of bitcoin (BTC) closed at a high at $13,184 per coin on Wednesday, October 21 following the announcement from Paypal. During the evening trading sessions, the onchain research and analysis firm Glassnode tweeted about the number of bitcoin unspent transaction outputs (UTXOs) in profit. A UTXO refers to the amount of bitcoin someone holds that has not been spent and is simply stored in a bitcoin wallet.
Since then the price has dropped a hair but the price of bitcoin (BTC) is still up 4.3% over the last seven days. Long term holders have seen a 72.4% increase during the last 12 months, 34.9% during the last 90-days and 22% against the 30-day span. Glassnode’s onchain stats report, details that the subindex measuring investor “sentiment” increased ending the week “at 70 points.”
A number of crypto analysts and traders believe that bitcoin’s current price range is a key indicator for moving forward. Moreover, BTC’s dominance level, it’s market cap measured against all 7,000+ crypto assets, has risen to 63.2%. The senior financial analyst at Fxpro, Alex Kuptsikevich, believes bitcoin is testing crucial macro levels.
“At current levels, Bitcoin is testing cyclical highs,” Kuptsikevich wrote in a note to investors. “Since the beginning of 2018, it has not been able to gain a foothold at levels above $12,000. It is equally important that at new highs, indicators like the RSI are far from the overbought condition, indicating significant potential for further growth. Closing the week above $12,800 would be the highest level in two and a half years, opening a direct path of growth to the historic highs of $20,000 that we saw three years ago.”
Bitcoin breaking through two round levels of $12k and $13k opens doors for further growth. The current price dynamics led the coin to re-test the peak of July 2019, which at that time was the highest point of the rally. Nowadays, purchases take place against the background of confidence that bitcoin has more and more supporters in the traditional financial world.
Eric Demuth, cofounder and CEO of Bitpanda believes that cryptocurrencies, in general, started to “establish themselves as a trusted asset class of the worldwide financial market such as gold and stocks.” Demuth thinks that the Paypal support announced on Wednesday is just the start, as he believes more large players will be joining the crypto party.
“2020 has shown that crypto is here to stay,” Demuth explained. “There has been a huge inflow of institutional capital as well as record numbers of new retail customers adopting cryptocurrencies. I am certain we will see more big players like Paypal joining the party in 2021.”
What do you think about the high percentage of bitcoin UTXOs in a state of profit? Let us know what you think in the comments section below.
The post Price Increase Drives 98% of Bitcoin Holders Into a State of Profit appeared first on Bitcoin News.
As Bitcoin briefly surpasses $13,000, its highest price for 2020, market sentiment and fundamentals both favor a prolonged bull market.