Developers of Ethereum DEX Protocol AirSwap Disclose Critical Exploit

Ethereum (ETH) decentralized exchange protocol AirSwap’s developers announced that they have discovered a critical vulnerability in the system’s new smart contract.

AirSwap’s team announced its findings and a possible solution for all potentially affected users in a Medium post published on Sept. 13.

A limited vulnerability

Per the release, on Sept. 12 AirSwap’s development team found a vulnerability in a new smart contract, which has already been reverted to an older version in under 24 hours after the discovery. The exploit in question could have allowed an attacker to perform a swap without requiring a signature from a counterparty under certain conditions. The scope of the vulnerability is reportedly limited:

“The affected code was present in the AirSwap system for under 24 hours, and only affects some users of AirSwap Instant between midday September 11th and early morning of September 12th. We initially identified 20 vulnerable addresses matching this pattern and quickly reduced it to 10 accounts that are currently at risk.”

Only nine addresses are at risk

AirSwap notes that the exploitable smart contract was reverted immediately after the issue has been detected and that “both the AirSwap Instant and Trader products are no longer affected by the vulnerability.” The release also discloses the nine Ethereum addresses that used the exploitable functionality during that time period.

It is noted that only the owners of those nine addresses are required to take any action to prevent loss of funds. More precisely, it is necessary that they revoke the authorization for the vulnerable smart contract by visiting the following link.

As Cointelegraph reported in mid-July, the Ethereum smart contract of 0x decentralized exchange protocol has been suspended after a vulnerability has been uncovered in its code.

Source Cointelegraph

Bitcoin Price Steady Above $10K as Binance Coin Tumbles on US News

Bitcoin (BTC) price was holding above $10,000 on Sept. 12 after a fresh boost appeared to reinforce support for five figures. 

Market visualization

Market visualization. Source: Coin360

Bitcoin price steadies above $10,000

Data from Coin360 showed BTC/USD circling $10,100 at press time Thursday, extending a broadly sideways trading pattern from the day before. 

24-hour volatility has remained reasonable for Bitcoin, with lows of $9,950 lasting only briefly before an upward bounce. 

Bitcoin seven-day price chart

Bitcoin seven-day price chart. Source: Coin360

News of a fresh blow to the potential launch of Facebook’s Libra digital currency failed to impact markets, despite France signaling the European Union would be categorically against allowing it to circulate within its borders.

For the time being, analysts and trading experts were advising investors to make the most of Bitcoin’s lesser moves up and down. 

“Watch for a break out or a tap to lower trendline. Buy support and sell resistance always,” popular Twitter commentator Jacob Canfield summarized

For Canfield, a test of significant support would focus on an area around $9,850. 

As Cointelegraph reported, opinions remain mixed about the largest cryptocurrency’s short-term prospects, with fellow Twitter analyst Crypto Michaël coming out more bullish about the state of the market on Wednesday. 

In a fresh update to followers of his Telegram trading channel, Cointelegraph contributor Filb Filb added he was long BTC under current conditions. 

Binance Coin leads fresh altcoin dip

The status quo for altcoins meanwhile was decidedly less positive. Many tokens in the top ten cryptocurrencies by market cap recorded bigger loses than Bitcoin, while Binance Coin (BNB) fared particularly badly. 

As Crypto Michaël noted, the in-house token of crypto exchange Binance is testing long-term support, now at its lowest level against BTC since February. 

“Nice bounce today, might potentially make a bullish divergence here on the daily. Holding green zone is essential,” he added, reproducing a chart of BNB/USD. 

Binance is to open a new trading platform for United States users next week, having barred them from its standard exchanges on Thursday.

Binance Coin seven-day price chart

Binance Coin seven-day price chart. Source: Coin360

Ether (ETH), the largest altcoin, fared better than most, losing just 0.9% on the day to trade at $178.

The overall cryptocurrency market cap is currently at $260 billion, with Bitcoin comprising 70%.

Keep track of top crypto markets in real time here

Source Cointelegraph

Binance’s Quarterly BNB Burn to Include Binance Futures Tokens

Binance exchange will include all future businesses and products into the scope of each quarterly burn of its native token Binance Coin (BNB).

Decision made based on community feedback

According to a blog post on Sept. 12, Binance has decided to include all its products into quarterly BNB burns in accordance with community feedback.

The new BNB burning practice will include tokens from Binance Futures, the exchange’s crypto futures platform that was rolled out in beta mode on Sept. 2, featuring a 10,000 BNB trading contest. Earlier today, Binance announced that Binance Futures will officially go live on Sept. 13.

Why tokens are burned?

Token burning is a permanent removal of existing cryptocurrency coins from circulation by the coin’s creators that is commonly practiced for deflationary purposes. 

As reported, token burning does not literally destroy them but rather renders them unusable in the future, involving the project’s developers repurchasing or taking available coins out of circulation.

Most recent BNB burn

The most recent Binance’s token burn took place on July 11, when the major crypto exchange announced the completion of the eighth BNB token burn that removed 808,888 BNB tokens ($23.7 million at the time) from Binance’s team allocation. 

The exchange noted that the burn was part of the company’s commitment to burn a total of 100 million BNB tokens and that the team’s supply equates to 40% of the total supply.

As reported by Cointelegraph, BNB slipped 5% on the day the burn was completed.

In February 2019, Binance updated its white paper’s section devoted to quarterly BNB manipulations, upgrading its former “Repurchasing plan” with “The Burn” section. 

The exchange explained that it will be destroying BNB based on the trading volume until it destroys 50% of all the BNB instead of buying back BNB each quarter, using 20% of their profits and then destroying them until the exchange buys 50% of all 100 million BNB back.

At press time, Binance Coin is the eighth biggest cryptocurrency by market share of around $204 million. BNB is down 4.7% over the past 24 hours, also seeing a 6.3% loss over the past 7 days at press time, according to data from Coin360.

Source Cointelegraph

Price Analysis 19/08: BTC, ETH, XRP, BCH, LTC, BNB, EOS, BSV, XMR, XLM

Price Analysis 19/08: BTC, ETH, XRP, BCH, LTC, BNB, EOS, BSV, XMR, XLM

Source Cointelegraph

Tether Mints 300M USDT in Chain Swap, Corresponding Burn Still Awaits

The operator of leading stablecoin USDT, Tether, minted 300 million USDT in a swap from the Bitcoin-based (BTC) tokenization protocol Omni to Ethereum, but the corresponding burn has not yet taken place.

Whale Alert, a twitter account dedicated to reporting big cryptocurrency transactions, pointed out the coinage described above in a tweet published on Sept. 12. In a second tweet submitted as an answer to the first one, Whale Alert gave an explanation of the nature of the transaction:

“This USDT mint is part of a swap. The corresponding burn on Omni has not taken place yet.”

Blockchain swap seemingly confirmed

Tether confirms this explanation in a tweet submitted from its official account the day before. The company announced a 300 million USDT swap from the Omni protocol to the Ethereum blockchain:

“In few hours Tether will coordinate with a 3rd party to perform a chain swap (conversion from Omni to ERC20 protocol) for 300M USDt. Tether total supply will not change during this process.”

Token burn?

Still, as previously mentioned, no token burn on the Omni blockchain has taken place as of yet. In July, Tether accidentally minted and subsequently burned 5 billion USDT tokens.

As Cointelegraph reported in May of last year, Tether has been subject to controversy due to lack of transparency and allegations of market manipulation.

Source Cointelegraph

Price Analysis 21/08: BTC, ETH, XRP, BCH, LTC, BNB, EOS, BSV, XMR, XLM

Price Analysis 21/08: BTC, ETH, XRP, BCH, LTC, BNB, EOS, BSV, XMR, XLM

Source Cointelegraph

Major Coins Report Mixed Signals, ETC Sees Modest Gains Following Hard Fork

Thursday, Sept. 12 — Cryptocurrency markets are reporting mixed signals today after Bitcoin (BTC) stuck above $10,000 as it was earlier today, according to data from Coin360.

Market visualization. Source: Coin360

Market visualization. Source: Coin360

BTC is up 2.19% over the past 24 hours and is trading at around $10,302 at press time. The leading coin has seen slight volatility during the day, having dropped to as low as $10,056, while the intraday high was $10,393.

Bitcoin seven-day price chart. Source: Coin360

Bitcoin seven-day price chart. Source: Coin360

As Christopher Inks of TexasWest Capital said in an interview with Cointelegraph earlier today, with many fundamental legacy market indicators flashing incoming recession, Bitcoin market participants are pushing the “Bitcoin is digital gold” narrative. But the truth is that we don’t know if it really is yet. Inks added:

“The Bitcoin market has only been around during a bullish economy, so we don’t know how it will perform during an economic downturn.”

Ether (ETH) is currently trading at around $179.4, having increased by 1.75% over the day. On its weekly chart, the coin is up just 1.51%, while its monthly chart shows losses of 15%.

Ether 24-hour price chart. Source: Coin360​​​​​​​

Ether 24-hour price chart. Source: Coin360

XRP is also reporting small gains of 0.18% today to trade at around $0.253 at press time. On Sept. 8, the altcoin rose to $0.265 making it the highest price point in terms of its weekly performance. Over the past month, the coin has lost 15.5%.

XRP 7-day price chart. Source: Coin360​​​​​​​

XRP 7-day price chart. Source: Coin360

On the top-20 digital currencies list, Binance Coin (BNB), Bitcoin SV (BSV), Stellar (XLM), Tron (TRX), Algorand (ALGO) and Chainlink (CHAIN) are down by 0.39%, 1.07%, 0.77%, 0.99%, 8.32% and 0.59% respectively.

Ethereum Classic (ETC) is up by a modest 0.09% following its Atlantis hard fork earlier today. The coin is currently trading at around $6.27.

ETC successfully performed the Atlantis hard fork in accordance with previously estimated time — between Sept. 12 and Sept. 13, 2019 — at block height 8,772,000.

ETC 24-hour price chart. Source: Coin360

ETC 24-hour price chart. Source: Coin360

The market capitalization of all cryptocurrencies on Coin360 is over $264 billion at press time.

Keep track of top crypto markets in real time here

Source Cointelegraph

US Treasury Targets Crypto Addresses of Alleged Narcotics Traffickers

The United States Department of the Treasury has added multiple cryptocurrency addresses to its Specially Designated Nationals (SDN) list under the Foreign Narcotics Kingpin Designation Act, also known as the Kingpin Act. These addresses, and the individuals associated with them, have been deemed to be associated with foreign narcotics operators.

The Treasury updated its SDN list on Aug. 21. The three alleged narcotic operators associated with these addresses are Chinese citizens Xiaobing Yan, Fujing Zheng and Guanghua Zheng. The three individuals all have associated Bitcoin (BTC) addresses mentioned on the SDN list, and Guanghua Zheng additionally has a Litecoin (LTC) address.

As explained in a White House news release from 2015, the Kingpin Act exists to ban trading and transactions between narcotics traffickers and U.S entities — namely companies and individuals. Under the act, government branches coordinate to investigate foreign narcotics traffickers. They are then named in a list that is brought before the President, who subsequently determines whether it is appropriate to impose U.S. sanctions.

Mnuchin: Bitcoin is vulnerable to money laundering

As previously reported by Cointelegraph, U.S. Treasury Secretary Steven Mnuchin believes that Bitcoin is vulnerable to money laundering. Mnuchin said that he intends to closely monitor Bitcoin and believes that billions of dollars in cryptocurrency are used for illicit purposes. 

Mnuchin has also claimed Bitcoin is used for money laundering much more effectively than the U.S. dollar. According to Mnuchin, the government combats “bad actors in the U.S. dollar every day to protect the U.S. financial system.”

Source Cointelegraph

‘We Are the Most Interested Party’ in XRP’s Success

Ripple’s CEO Brad Garlinghouse rejects accusations that his company manipulates XRP price in an interview today with CNN anchor Julia Chatterley. 

On Sept. 12, CNN’s Julia Chatterley started the interview with Ripple’s CEO Brad Garlinghouse by saying that CNN has been looking at ways cryptocurrencies can be a force for good, before progressing to discussion of whether Ripple is actively dumping XRP on the market, as some in the XRP community have alleged. 

XRP community is threatening a ‘takeover’

The First Move anchor Chatterley asked the Ripple’s CEO about the recent news that the XRP community has been threatening with a ‘takeover’, i.e. a hard fork if Ripple executives keep on dumping XRP on the market and how much ownership Ripple itself has over XRP. Garlinghouse responded by saying:

“In the XRP community, Ripple is the largest owner, and we are the most interested party in the success of the XRP ecosystem.”

Garlinghouse adds that dumping XRP onto the markets would not be in their best interest to do. “We are clearly interested in a healthy, successful XRP ecosystem, and we would never do that,” he stated.

Cointelegraph previously reported that Garlinghouse had felt the need to diffuse this situation by explaining that XRP sales are about helping expand XRP’s utility:

“Building RippleNet & supporting other biz building w/XRP ie Dharma & Forte. Reality is we DECREASED our sales by volume Q/Q and since then the inflation rate of XRP circulating supply has been lower than that of BTC and ETH.”

To the question whether Ripple can control the price of XRP, Garlinghouse responded with a firm ‘Oh no! Ripple can’t control the price of XRP anymore than a whale controls the price of Bitcoin.”

Overall usage of XRP

After taking some time to explain what Ripple is and works, and touching briefly on the fact that people will continue to speculate on different asset classes, Garlinghouse further explained that the long-term value of any digital asset is going to be derived from the utility it delivers, and points out that XRP is about 1,000 times faster than a Bitcoin transaction and about 1,000 times less expensive. Garlinghouse said:

“Bitcoin (BTC), I am long Bitcoin, and Bitcoin, I think, has a real utility around being a store of value, it is digital gold. But if a BTC transaction takes on average 12 minutes to confirm and the cost is over $1 per transaction, that is not going to be great as a payment solution. So around payments, we think XRP is uniquely and extremely well positioned to solve that payment problem.”

Source Cointelegraph

Binance to Launch US Platform Soon, Helped by a Little-Known Partner

Binance is expected to launch its upcoming exchange platform in the United States by the end of the year, with the company’s executive estimating that the platform will launch within “a month or two.”

In the interview, Changpeng Zhao (aka CZ), the CEO of Binance, predicted the launch despite acknowledging that many things are still “in flux” regarding the platform’s planned operations in the U.S. 

CZ noted that the U.S. has historically enacted “very clear regulations” regarding financial technology, adding his expectation that despite current “uncertainties in the regulatory space,” early adopters in the industry will likely be better rewarded. He stated:

“The U.S. has always been a very important market; globally it’s one of the biggest markets for any business, including in cryptocurrency. We want to be fully compliant. Before we didn’t feel we had the experience to do that but now we have our partners so we want to take this opportunity to explore the market.”

Binance announces upcoming U.S. exchange

On June 14, 2019, Binance reviewed its terms of service to restrict U.S.-based individual and corporate customers from accessing its main platform,, effective as of Sep. 12, 2019. At the time, 15% of Binance’s traffic came from customers residing in the U.S., down from 30% of traffic as of early 2018.

On the same day, Binance announced that it had begun preparations to launch an exchange to service cryptocurrency traders in the U.S. The announcement also revealed a partnership with a little-known firm called BAM Trading Services — with the partnership set to see Binance license its matching engine and wallet technologies to BAM to launch Binance US.

CZ indicated that operations of the U.S.-based platform will be “led” by BAM,” adding that the exchange will “serve the U.S. market market in full regulatory compliance.” Binance’s website quoted “a representative from BAM Trading Services,” who stated, “It is an honor to partner with Binance to launch the U.S. extension of Binance, leveraging its tier-one security and technology in tandem.”

Little is known of BAM Trading Services

Despite spearheading the efforts of the largest cryptocurrency exchange by volume to service in the U.S. market, very little is known about BAM. The company created a Twitter account during April 2019, the same month that Binance US started an account, with both accounts appearing to not have posted any tweets until the day before the partnership was announced — i.e., June 13. 

The Twitter account provides no links to a website for the firm and has only posted nine tweets so far, with the only other social media account held by the company comprising a Medium page with just a single post.

The announcement of the partnership with Binance also came one day after the U.S. Department of the Treasury’s Financial Crimes Enforcement Network (FinCEN) certified BAM Trading Services as a Money Services Business in California. Reports have shown that the Delaware Department of State’s Division of Corporations indicates BAM Trading Services was first licensed in the state of Delaware on Feb. 4, 2019.

Former Ripple exec appointed as BAM Trading Services CEO

On July 2, 2019, BAM announced that Catherine Coley, the former head of XRP institutional liquidity at Ripple, had been appointed as the company’s CEO. So far, Coley is the only representative of BAM to have been identified by name. Coley stated

“I am honored to lead BAM and bring Binance.US to North America. […] This is just the beginning of a long journey ahead, and I look forward to working with Binance as a partner to unlock more potential for the blockchain ecosystem here in the U.S.”

CZ expressed his excitement regarding Coley’s appointment, stating, “Our community is very lucky to have someone as passionate, versatile, and hardworking as Coley to lead Binance.US.”

Binance develops ‘risk assessment framework’ for prospective U.S. listings

On Aug. 10, Binance announced that it had developed a “Digital Asset Risk Assessment Framework” to determine which crypto assets will be made available on the new platform. Among the specific criteria is whether listing a prospective asset will impact Binance US’s capability to comply with U.S. Anti-Money Laundering (AML)/Countering the Financing of Terrorisim (CFT) and securities laws. Prospective listings will also be evaluated on the security of transactions made using the protocol and how realistic the roadmap and aspirations of a given project are.

The exchange will also assess whether the core team behind a prospective listing has a clear strategy to solve a “real problem and make the world a better place,” in addition to examining whether the community supporting a project has “a record of reaching compromises and consensus” to move development forward, and considering whether meaningful interaction and communication is made between an assets community and its core developers. Lastly, Binance will consider if the supply and demand dynamics underpinning a market are “reasonably fair and likely to meet Binance US’s qualitative standards.”

Thirty crypto assets under consideration for Binance US

Of the approximately 160 cryptocurrencies listed on its main platform, Binance has announced that 30 crypto assets are currently under consideration to be listed on its U.S. exchange, including the top eight cryptocurrencies by market capitalization — Bitcoin (BTC), Ether (ETH), XRP, Bitcoin Cash (BCHABC), Litecoin (LTC), Binance Coin (BNB), Tether (USDT) and EOS.

Half of the prospective listings are among the top 20 crypto assets by market cap, including 11th-ranked Lumens (XLM), 13th-ranked ADA, 15th-ranked LINK, 16th-ranked DASH, 18th-ranked NEO, 19th-ranked ETC and 20th-ranked MIOTA.

Other stablecoins — such as USD Coin (USDC), TrueUSD (TUSD) and Paxos Standard Token (PAX) — may also be listed on Binance’s U.S.-based platform.

U.S. regulations pose a challenge to crypto companies

In the U.S., cryptocurrencies are regulated as commodities rather than currencies, with currencies being described as a claim to a physical legal tender of value, whereas crypto assets do not represent a claim on an issuer.

As such, commercial digital currency transactions fall under the regulatory jurisdiction of the U.S. Commodity Futures Trading Commission (CFTC). However, exchanges must register digital assets with the Securities and Exchange Commission (SEC) should they be deemed to comprise securities. 

The sale of cryptocurrency is typically only regulated if the crypto asset is considered to be a security, or if an entity involved in the transaction is a money service business. The sale of cryptocurrency derivatives is also overseen by the CFTC.

U.S.-based crypto exchanges must also adhere to the tax regulations of the U.S. Internal Revenue Service in addition to AML/CFT and transparency requirements mandated by FinCEN. Crypto companies seeking to operate in the U.S. are also regulated by the Federal Trade Commission.

Related: US Crypto Review: Top-5 States With Welcoming Regulations

Overall, nine U.S. states have also developed cryptocurrency legislation at the state level — California, Nevada, Arizonah, Colorado, Texas, Wyoming, Illinois, Delaware and New York — further adding to the regulatory obligations for cryptocurrency exchanges seeking to operate in the U.S.

Cryptocurrency companies restrict access for U.S.-based customers

Many industry leaders have cited hostile U.S. regulatory guidelines as stifling innovation and driving an increasing number of cryptocurrency companies to bar U.S.-based users from accessing their platforms.

During May 2019, Poloniex exchange ceased offering trading services for nine crypto assets to U.S.-based traders, citing regulatory uncertainty. Regarding this, Gus Coldebella, the chief legal officer at Circle, stated: 

“There’s no question that the current regulatory approach to crypto in the U.S. breeds uncertainty and could harm innovation. We have advocated for a clear, forward-looking regulatory framework so the U.S. can realize the full potential of crypto and blockchain technologies.”

At the start of June, Bittrex blocked U.S. customers from trading 32 crypto assets, with co-founder and CEO Bill Shihara describing regulatory uncertainty as “one of the biggest obstacles to advancing blockchain technology.” 

Roughly two weeks later, Bancor opted to completely exclude U.S. users from accessing its platform.

Despite the regulatory hurdles faced by digital currency exchanges seeking to operate in the country, U.S.-based traders still comprise a major source of cryptocurrency trade volume.

Binance currently comprises one of the largest trading places according to adjusted volume rankings, with approximately $935 million worth of trades taking place on the platform during the past 24 hours, according to Coin360.

Binance to forge new partnerships to launch stablecoins

The partnership with BAM to launch Binance’s exchange in the U.S. appears as if it may comprise a blueprint for the company’s efforts to launch regional stablecoins.

Related: Binance Venus Aims to Outshine Libra and Chinese National Crypto?

On Aug. 19, 2019, Binance announced plans to launch “an open blockchain project” called “Venus,” described as an initiative to “develop localized stablecoins and digital assets pegged to fiat currencies across the globe.” 

The company emphasized that it will seek to create “new partnerships” with “governments, corporations, technologies, and other cryptocurrency companies” to assist in the launch of stablecoins targeting both developed and emerging economies. The co-founder of Binance, Yi He, recently predicted that stablecoins will come to rival fiat currencies in the near term.

Source Cointelegraph