BTC exchanges in Hong Kong are having quite the trouble complying with the new regulations from the Securities Futures Commission that demands compulsory insurance coverage against crypto theft. Let’s find out more about the insurance policies in the coming altcoin news below.
The Securities and Futures Commissions is another one of the regulatory bodies that joined in the prescription of a detailed governance framework for the virtual currency market. However, the nature of the industry brought up to the many factors which lead the platforms facing significant difficulties while trying to abide by the laws. The financial regulator of Hong Kong wants the local bitcoin exchanges to provide full coverage for the customers’ funds. The new law is a part of the regulations which are expected to come since the regulators are aiming to regulate the entire Hong Kong Crypto scene.
The SFC published a document offering a general overview of the insurance framework for the BTC exchanges which needs to be followed. An excerpt from the reports reads:
‘’The SFC generally expects that the insurance policy would provide full coverage for virtual assets held by a platform operator in hot storage and a substantial coverage for those held in cold storage (for instance, 95 percent).’’
As previously reported in the DC Forecasts latest cryptocurrency news, the Hong Kong regulators choose a different governing option from the other countries including China and Mainland. They did not ban cryptocurrency trading or ICOs but the SFC prefers to make a more robust framework which will allow the crypto commerce to thrive.
For the BTC exchanges, however, getting insurance coverage is a major issue. Insurers are not willing to create policies that will provide coverage for an industry like virtual currencies since they are not common. One of the biggest issues comes with the ongoing cyber attacks which harm the BTC exchanges the most. These attacks cost about $2billion in 2018 and some of the major exchanges were contributing with more than 50 percent of the total amount. The Insurance companies will provide only coverage for crypto exchanges and will charge a premium because of the high risks related to the digital assets. The Insurance giant Aon’s Murray Wood noted:
‘’The number of insurers and reinsurers that are willing to underwrite cryptocurrency cybersecurity risk is extremely narrow. The amount of available coverage capacity today is under US$1 billion per transaction.’’
New Jump For BTC: $8,500 Is “Again On The Table” According To Analyst
“On-chain momentum is crossing into bullish [territory]… The bottom is most likely in, any [move] lower will be just a wick in the macro view,” Woo said.There is also Glassnode, which is a crypto centric on-chain intelligence firm which recently noted that their metrics suggest that Bitcoin is bottoming and is slated to revert higher in a "strong" fashion.It is the Market Value to Realized Value (MVRV) which is implying the above mentioned, as well as showing that the crypto asset investors are believing in the topic. A reading of this would mark a bottom for the cryptocurrency market soon, too.At press time, Bitcoin is trading at $7,563 while the total market cap is $204 billion and the trading volume sits at $49 billion.
BTC Bull Narrative Rushes Further As Selling Signals Dissolves
Millennials Choose Bitcoin As Part Of Their Retirement Plans
“Propensity [to own crypto] peaked among younger respondents at 42 percent.” The Harris Poll last month found that among those aged 18 to 34, “nearly 1 in 3 prefers Bitcoin to government bonds, more than 1 in 4 prefers Bitcoin to stocks, nearly 1 in 4 prefers Bitcoin to real estate, and more than 1 in 5 prefers Bitcoin to gold.”With Charles Schwab’s findings regarding retirement savings, Grayscale Investments had an award-winning Drop Gold campaign and BTC was seen as the digital gold among the younger investors. As per other reports, millennials are likely to choose a crypto asset such as BTC if a recession strikes harder. The fear of recession has increased around the world. The traditional indicators for recession have started to show up clearly since the US treasury curve for the two-year and 10-year bonds has officially inverted starting from 2007. Also, the gold has started to rally as the stocks topped out. The global PMI readings also started to drop below 50 showing signs of recession among many other indicators. What is also concerning is that this is coming to many regions of the world and they are slowly developing chaos starting from the US-China trade war, the Hong Kong protests and the massive hyperinflation in Venezuela.
Hidden Signs Of Reversal May Drive BTC To $8,200 Soon
ETH Client Parity Forgets To Include EIP In Urgent Upgrade
Weiss Ratings Slides EOS Down The Ranks Due To Centralization
Korean Government Will Impose Crypto Capital Gains Tax In 2020
Aggregate Crypto Market Cap Is $205BLN, 0.25% Of Global Stock Market
IEO Safety: Are They Better Than Initial Coin Offerings?
Billions Of Bitcoin Moved In Minutes: What Happened?
Enjin Coin SurgeD By 60% After Microsoft Partnership
Deutsche Bank Thinks Crypto Will Replace Fiat Currencies By 2030
Brave Surpassed 10 Million Active Users Per Month: Report
Ethereum Gets New Boost From Accounting Firm Ernst & Young
China Declares Bitcoin As Property! Central Banks Prefer Crypto? SONY “Contactless” Hardware Wallet
JPMorgan Predicts A 60% Recession, Is Crypto The Best Chance Now? | [Bitcoin News // Crypto News]
Ethereum Sees Record Number of Shorts! NEM Blockchain Hub | Samsung Blockchain Supply Logistics
Crypto Jobs Up 300%! Lost BTC 20% Rate of Recovery | Only 45% of Exchanges Meet Security Standards
DC Forecasts Proudly Backed The Global Disruptive Blockchain Innovation Summit
Join us on Facebook
UPCOMING EVENTS RECOMMEND BY DC FORECASTS
- Litecoin News7 days ago
Grin Developer Suggests A Solution For MimbleWimble Privacy Issue
- Ethereum News6 days ago
Ethereum Breached Key Support Level, Further Losses Still Possible
- Ethereum News7 days ago
Vitalik Buterin Joins Petition To Free Arrested Blockchain Developer
- Litecoin News5 days ago
Litecoin Wash Trading: 93% Of All LTC Traded In One Day
- Ethereum News6 days ago
Stolen ETH From Upbit Is Moving To Unknown Wallets
- Ethereum News5 days ago
ETH Devs Decide To Delay Difficulty Bomb By Increasing Inflation
- Blockchain News6 days ago
SoftBank Launched New SBC Wallet Card Based On Blockchain
- Blockchain News5 days ago
Alibaba And Credits Leading The Chinese Blockchain Market