Schlagwort: crypto business

• The Zimbabwe dollar has been depreciating against the US dollar.
• The country has been struggling with inflation for more than a decade now.
• The Reserve Bank of Zimbabwe (RBZ) has announced plans to launch a gold-backed digital currency.

While countries work on central bank digital currencies (CBDCs) and others like El Salvador embrace Bitcoin as their legal tender, Zimbabwe has announced a plan to launch a gold-backed digital currency.

The Reserve Bank of Zimbabwe (RBZ) towards the end of last week announced that it was working on a gold-backed digital currency that will become legal tender in the country. The move is part of the Zimbabwean government’s strategy to keep the local currency from depreciating further against the US dollar.

Hedging against currency instability

According to reports from local media, the gold-backed digital currency will allow the Zimbamweans to trade tiny sums of Zimbabwean dollars for the digital gold token. This will allow Zimbabweans to hedge against their local currency instability.

According to the governor of the Reserve Bank, John Mangudya, the objective of the digital currency is to “leave no one and no place behind.” The governor however added that they expect the “parallel market currency rate to stabilize once tobacco growers receive their payments in USD in the coming weeks.”

Mangudya claims that the current Zimbabwean dollar exchange rate volatility is a result of expectations of increased foreign currency supply in the market because of the tobacco season. Currently, the Zimbabwean dollar is trading at 1,001 ZWL per $1 and is routinely traded at 1,750 ZWL per $1 on the streets of the national capital, Harare.

The post Zimbabwe to issue gold-backed digital currency to save local currency appeared first on CoinJournal.

• DAI stablecoin holders are adding to positions as crypto prices range.
• Addresses with 100k-10 million DAI added 6.4% of supply in the past six weeks. 
• The overall holdings for this cohort had dropped significantly as Bitcoin and Ethereum prices pumped in mid-March, Santiment data shows.

On-chain data shows large investors, the sharks and whale addresses with $100,000 to $10,000,000 worth of DAI have recently added to their positions. Addresses with 100,000-1 million DAI hold over 13% of supply while those with 1 million- 10 million DAI currently hold over 25% of supply.

Whales buy DAI stablecoin as markets range

As the crypto markets see fresh volatility, market data provider Santiment has highlighted that after the rotation that followed Bitcoin and Ethereum prices pumping in mid-March, sharks and whales have added 6.4% of DAI.

“Even with crypto markets rollercoastering in April, top stablecoins like $DAI are being accumulated by sharks & whales. Since $DAI was exchanged for pumping $BTC & $ETH in mid-March, $100k-$10m DAI addresses have added 6.4% of the supply back since,” Santiment noted.

As of 23 April 2023, addresses with $100k- $1 million in DAI held 13.43% of the stablecoin’s supply, while addresses with $1 million-$10 million of DAI held about 25.53% of current supply. These cohorts have increased their buying power since their holdings bottomed out around mid-March, on-chain data showed.

The chart below that Santiment shared on Twitter indicates the above scenario.

DAI is the native stablecoin for major lending protocol Maker, whose governance token MKR currently trades around $688. Dai is the first decentralised, crypto-collateralised stablecoin, with its value pegged 1:1 to the US Dollar.

One of the benefits of Dai is with its use in mitigating price volatility in a crypto market where digital asset prices can swing wildly at any given time.  The token is also highly composable with dApps, including DeFi industry’s leading projects Uniswap and Compound.

What does whales’ buying of DAI mean for crypto prices?

Typically, large whale transactions involving stablecoins has preceded major accumulation of crypto tokens such as Bitcoin and Ethereum. This is so because buying of stablecoins such as DAI, Tether and USD Coin have usually indicated whales positioning of money in readiness for buying.

BTC and ETH prices have recently retreated from highs above $31k and $2.1k respectively as those who bought at the top seemingly sell.

The post DAI whales have added 6.4% of stablecoin’s supply since mid-March appeared first on CoinJournal.

• KuCoin says compromise of Twitter account lasted about 45 minutes, with users clicking on malicious links losing over $22,000.
• On-chain data shows largest loss was $7,750 in ETH.
• KuCoin has announced it will reimburse those who fell victim to the scam.

KCS, the native token of crypto exchange KuCoin, traded lower today as the exchange reported its official Twitter account was compromised for about 45 minutes. 

In the latest KuCoin news, the exchange says the compromise only affected users on Twitter who interacted with fraudulent tweets and that no exchange assets were stolen. While users have been asked not to click on suspicious links, KuCoin has promised to reimburse all those affected as a result of the incident.

KuCoin Twitter account compromised, $22,000 stolen from users

KuCoin announced that its Twitter handle had been briefly compromised early Monday. The 45-minute breach of the exchange’s social media account saw a number of users lose their assets.

According to on-chain data reports, a total of 22 transactions resulted from the fraudulent details shared via the account during the period it was compromised. Approximately 22,638 USDT was stolen from unsuspecting users.

“The @kucoincom handle was compromised for about 45 mins from 00:00 Apr 24 (UTC+2). A fake activity was posted and unfortunately led to asset losses for several users. KuCoin will fully reimburse all verified asset losses caused by the social media breach and the fake activity,” the exchange tweeted after it seized back control of the account.

According to crypto market intelligence platform Arkham, the largest single loss was $7,750 worth of ETH.

gm

Last night Kucoin’s twitter account was taken over by scammers for ~45 minutes.

They posted a link promising to ‚double money‘

Unfortunately, 14 users were caught in the scam, with the largest individual loss being $7750 worth of ETH. pic.twitter.com/NQcznTmVm2

— Arkham (@ArkhamIntel) April 24, 2023

Kucoin has assured its users that only the Twitter account was hacked and that customers’ assets on the crypto exchange are secure.

“We acted immediately to retrieve control of the account from official Twitter support after the incident occurred. We want to reassure you that your assets on KuCoin are secure,” the platform noted.

KuCoin price outlook

KCS price reached intraday lows of $7.99 early Monday, with the token’s value down roughly 2% over the past 24 hours.  The declines are coming as the broader crypto market nursed fresh weakness with Bitcoin price trending towards $27,200.

Crypto analyst Michael van de Poppe says Bitcoin could see bullish divergences below $27k, writing on Twitter:

“Bitcoin clearly rejects the level here, while funding starts to become negative. Meaning that we’ll be having a bounce play soon, but from where? I’m expecting a creation of bullish divergences in the $26,500-27,000 area (Monday dump day) and then recovery to $29,200.”

This outlook means altcoins could bleed again and KuCoin could face more downside pressure in coming days. If buyers give up the key horizontal support zone formed near current prices, expect a retest of the $7.00 demand zone.

The post KuCoin’s Twitter account briefly compromised, $22,000 stolen from users appeared first on CoinJournal.