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XRP Listing Results in Coinbase Facing a Class Action Suit 0 19

Who would have thought that after XRP getting targeted directly by the SEC, it would be Coinbase that would end up getting dragged into the XRP drama? This time it is one of the users of one of the largest cryptocurrency exchanges that has hit the platform with an allegation.

It has been reported that one of the users at Coinbase has filed a class-action lawsuit against the platform. He has alleged the exchange for selling him XRP securities in the form of XRP tokens, which is an illegal act as per the U.S. regulations.

It has been confirmed by the sources that the legal document has been submitted against the case on December 30, 2020. The document has been submitted to District Court based in California. According to sources, the lawyer representing the plaintiff is Thomas Sandoval who is from St. Louis.

In the legal document, the lawyer has stated that being a digital exchange as well as a broker for cryptocurrency commodities, Coinbase does not have the approval or license for selling securities.

The allegation made by the plaintiff’s lawyer points directly towards the recent proceedings where SEC has alleged Ripple (XRP) for doing the same. Based on SEC’s allegations against XRP, it is proven that by listing XRP, Coinbase is also part of the illegal activity selling XRP securities.

The lawyer claimed that by doing this, Coinbase gained supremacy and acquired more user-base because the rest of the cryptocurrency exchanges acted only as commodity selling entities.

The lawyer of the plaintiff has alleged the exchange ‘Coinbase’ of carrying out its activities even when it knew it was breaching the regulations. In the allegation, it has been added that the Coinbase platform has defrauded a lot of its investors by doing this. The exchange knew very well what it was offering its customers and the risks that were involved.

The exchange knew that XRP was not a commodity but security and kept selling it to the investors. By doing this, it let the investors trade the XRP assets outside the legal parameters that the exchange was expected to operate.

The plaintiff claimed that he had purchased XRP through Coinbase back in November 2020. Even before the legal action was taken against Ripple (XRP) by the SEC, its prices were already fluctuating.

Since the SEC has announced taking legal action against the crypto-asset, things have turned out to be the worst for XRP. In a matter of just two weeks, Ripple’s market capitalization has dropped down by 93%. Before the allegations and legal action taken by the SEC, XRP’s market capitalization was $134 billion. After the allegation and its removal from a majority of the cryptocurrency exchanges, its capitalization is down to $10 billion.

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Bitcoin Will Drop Down to $20k a Piece, Says the Guggenheim CIO 0 7

It was just two weeks ago when Bitcoin (BTC) prices were hitting their all-time high of $41k per Bitcoin (BTC). Then suddenly the prices of Bitcoin (BTC) starting dropping significantly. In a matter of 48-hours, the price of Bitcoin (BTC) came down by $11k only to bounce back to $35k in the next couple of hours.

However, since the set-back, Bitcoin (BTC) has been having a hard time keeping up. Although there were many analysts who predicted Bitcoin’s price drop was due, yet they stated that it will grow in price again. Right after the plunge, Bitcoin (BTC) did manage to make a comeback but it was not a long-lived success.

In a matter of days, Bitcoin (BTC) again came all the way down to $33k per Bitcoin (BTC) and then again bounced back. Just a few days back Bitcoin (BTC) managed to go all the way up to $38k per Bitcoin (BTC). However, it is again sitting at $33k apiece, which goes onto show exactly how volatile Bitcoin (BTC) has become.

Bitcoin (BTC) has again become extremely volatile in the past two weeks. As it keeps showing the volatile nature, many investors have started growing uncertain about its stability. There are many investors who have already sold their Bitcoin (BTC) with fears of facing another plunge since 2017.

Based on the above case, one of the senior executives at Guggenheim Partners has made his prediction around Bitcoin (BTC) price. According to the executive, Bitcoin (BTC) is currently destined to go all the way down to $20k per BTC. No matter how many times it fluctuates and it manages to go up, Bitcoin (BTC) will eventually drop down to $20k per BTC.

According to the Guggenheim executive, Scott Minerd, Bitcoin (BTC) will not be able to hit an all-time high for the rest of the year 2021. Minerd shared his views around the price of Bitcoin (BTC) in an episode of the “Closing Bell” show airing on CNBC.

Minerd predicted that after hitting an all-time high of $41k per BTC, it is highly unlikely for Bitcoin (BTC) to again hit an all-time high in the running year.

Although Minerd has made this prediction around Bitcoin (BTC) price looking at the current situation, it does not mean that he has started criticizing Bitcoin (BTC).

According to him, Bitcoin (BTC) is still one of the most reliable investment assets and will continue to grow with respect to the adoption rate. Despite his recent comment about Bitcoin (BTC) taking a plunge down to $20k per Bitcoin (BTC), he still maintains his stance on another prediction.

Minerd has predicted that one day, Bitcoin (BTC) will manage to hit the $400k per BTC mark.

Dubai Regulatory Authority to Introduce Cryptocurrency Regulations 0 8

It was almost 11 years ago when the cryptocurrency industry was introduced to the entire world with the launch of Bitcoin (BTC). At that time, the industry was strongly opposed by the regulatory authorities as well as financial institutions.

The need for the cryptocurrency industry was felt when the traditional finance institutions had started taking too much control of people’s personal information. It was the financial institutions that had started dictating people and putting too much pressure on people.

That was the time when there was a need for an alternative to the traditional financial system to be established. A system that granted people the authority to control how much of the personal information they wanted to share with the providers. The cryptocurrency industry was developed on a decentralized platform that did not appreciate the interference of third parties. Whether it was a sale, purchase, or trade, there were no intermediaries involved on this platform.

However, the financial institutions as well as many countries started opposing the idea and were not ready to adopt the platform. As time went by, the cryptocurrency industry has grown enormous and has reached a cryptocurrency community of 200 million active users.

Just recently, the cryptocurrency industry hit a market capitalization of $1 trillion. This has brought the cryptocurrency industry into the spotlight and countries from around the world have started adopting the industry.

One of the recent countries that are looking forward to welcoming cryptocurrency on its soil is Dubai. According to the recent reports, the major regulatory authorities from Dubai are currently in the process of composing the regulatory guidelines in the country.

The Dubai regulatory agencies involved in the process include the Dubai International Financial Centre and the Financial Services Authority. These regulatory authorities are currently involved in enhancing the regulatory structure as well as the regulations in the country.

The Dubai Financial Services Authority has revealed that it is planning to ready and launch the regulatory framework for diverse digital assets for the years 2021 and 2022. The announcement was made by the DFSA on the working of the digital assets regulatory framework on January 18, 2021.

Once the new regulatory infrastructure is released and implemented, it will turn out to be very essential for the cryptocurrency industry in Dubai. It will allow the cryptocurrency firms in the country to provide their services on a larger scale. They will be able to offer investors more trading assets and will also be able to target businesses and enterprises in the country.

Most importantly, the firms will have full support from the Dubai regulatory authorities in the expansion of new services being introduced in the Bitcoin (BTC) verse.

The DFSA has announced that it will be publishing two consultation papers that will be public for commenting and feedback.

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