Facebook Re-Opens for Crypto, Bitmain Approaches 51% – Best of the Week

Catch up on last week's top stories.

Facebook open for cryptocurrency again

Six months ago, Facebook banned cryptocurrency advertising outright, dealing a major blow to the industry. It has now refined its policy, deciding to allow eligible entities to sell themselves.

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To qualify, companies will have to submit an application. They will be asked relevant public background about their business, such as whether not they have a license and whether they are traded on a public stock exchange.

ICOs remain verboten.

CMC Markets to use AI

The online trading company partnered with a technology firm called Tradefeedr. It will use the latter’s products to improve certain aspects of its operations.

Specifically, it will be able to better analyse large amounts of customer data by ‘cleansing’ and segmenting it. Through this, it aims to better understand its customers and improve its liquidity management.

 

Plus500 makes London moves

CFD broker Plus500 began trading on the main board of the London Stock Exchange after announcing its intention to do so in May. It did this to improve its stature and thus enhance its ability to make acquisitions.

It was approved by the UK authorities on June 20, and it hopes to eventually get on to the FTSE 250, a list of the largest companies on the LSE.

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Bitfinex’ed tells all

Bitfinex’ed is the name of a Twitter account devoted to criticising Bitfinex/Tether. The account has almost 40,000 followers, but the identity of the owner is a mystery.

In this exclusive interview, Bitfinex’ed told Finance Magnates about the crimes that he suspects the Tether team of committing, about how Bitcoin is controlled by a small group of people. “Someone must warn people about the fraud,” said Bitfinexed.

TechFinancials

TechFinancials is a technology provider to foreign exchange brokers. It released its financial results for 2017 which were characterised by declines in profit and revenue. The company was hurt by the ban on binary options because the brokers were its customers. It also failed to expand into Japan or the US.

It intends to change direction drastically by conducting business in Asia instead.

Analysis: pump and dump schemes

Pump and dump is when you create buzz, so a price gets high, and then sell it quickly. It is an age-old tactic, but cryptocurrencies are particularly vulnerable to it. Pumpers will purchase a cheap coin, use Telegram/Whatsapp groups to get people excited about buying it so that the price goes up, and when it’s high, the pumper sells.

In this analysis Finance Magnates looks at the intricacies of these scams, the damage they can do, and how the law deals with them in the financial world.

51 percent attack alert!

Bitmain, the big boy of the Bitcoin mining world, now controls 45 percent of the market. The community is getting worried; this is dangerously close to the magic number 51.

When an entity mines more than 51 percent of the network, the can monopolise all the mining, decide on the direction of the coin, and even double spend. This is known as a 51 percent attack. In the only other instance of this happening, the entity voluntarily limited itself. But what will happen now?

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