Crypto blog august 2022

Crypto blog august 2022

Posted on 04th, Aug 22

The end of the crypto-winter?

After every crypto-winter comes spring. Gradually, experts are becoming optimistic again, and fortunately, we see some green days on the market. Tensions around Ukraine are becoming more nuanced, and investors are gradually trusting the market more. But is this true? Have we reached the bottom, or are we still a while away? In addition, what are exchanges doing and are they also in trouble? 

The crypto market is fluctuating, and we are fortunately allowed to see some green numbers again. Bitcoin hovered around $20,000, indicating that this is about the lower limit. The price brought some positivity and took a rising line towards the $25,000 mark. However, the upward flight was wiped out, and the days of green were allowed to turn red again in early August.

Nevertheless, several crypto experts predict an upward trend and view the market optimistically. Experts expect Bitcoin to reach $30,000 by the end of August and see it bounce back to a rough $70,000 by the end of the year. However, the geopolitical situation will always be decisive regarding the rising market. If new tensions arise or expand, it will undoubtedly affect any market.

There are a few updates regarding the exchanges to which we are connected as a company and through trading using the software FCRST. 

Binance gets fined

In August, Binance was fined by the DNB, the Dutch central bank (DNB). The amount that was imposed is around 3.3 million euros, which is the first large fine that the DNB has imposed on a crypto exchange. It is expected that other countries will also follow the Dutch example. 

The reason for the fine is that Binance offered crypto services in the Netherlands without complying with the legal registration with the DNB, which resulted in a fine after a warning.  

Because Binance was not subject to supervision by the DNB, it had a competitive advantage, partly because it did not incur any additional costs in relation to the ongoing supervision by the DNB. 

The duration of the fine was approximately one year and the fine was eventually reduced by 5%, partly because Binance submitted the application to the DNB and was very transparent in its operations. 

FTX keeps expanding

At the end of July, the exchange FTX received approval to offer its crypto related services to the residents of Dubai. The services will consist of the trading/investment platform and the NFT marketplace. 

Vision of Dubai 

Dubai’s vision is to become a virtual asset hub that can also be used by retailers. As a result, the Virtual Assets Regualatory Authority has indicated that FTX meets the guidelines they have set. The headquarters will also be in Dubai and it is not yet clear whether there are plans for further expansion. Binance has also previously established itself and received a license from Dubai to offer its crypto related services. 

Fun fact! 

Crypto technology is doing its bit for the war in Ukraine. All over the world, governments are helping with donations of money and goods, and governments also know how to donate through crypto nowadays. Ukraine has already received more than 100 million euros in Bitcoin, Ethereum and other coins. Moreover, the NFT world is also participating. An NFT museum in Ukraine has already managed to earn more than 1.2 million euros by selling war-damaged NFT artworks.