Need to know what happened in crypto today? Here is the latest news on daily trends and events impacting the Bitcoin price, blockchain, DeFi, NFTs, Web3 and crypto regulation.
One-half of the couple charged with laundering billions of dollars worth of Bitcoin has reportedly admitted to being behind the 2016 Bitfinex hack. Meanwhile, Hong Kong starts retail crypto trading, with HashKey and OSL among the first licensed exchanges to offer cryptocurrency trading for non-professional investors in the city, and MicroStrategy’s Michael Saylor is confident his firm will not lose its sheen among investors even with the potential approval of a spot Bitcoin ETF.
Alleged money launderer admits to 2016 Bitfinex hack
Ilya Lichtenstein, one-half of the couple thatallegedly laundered billions of dollars worth of Bitcoin (BTC), has admitted to being behind the 2016 Bitfinex hack.
According to CNBC, Lichtenstein told a U.S. court that he was responsible for stealing nearly 120,000 BTC from the crypto exchange — nearly 95,000 BTC was laundered over several years before federal authorities tracked down Lichtenstein and his wife Heather Morgan. Lichtenstein made the confession as part of a plea agreement with prosecutors. He and his wife were charged with money laundering consipiracy and conspiracy to defraud the United States.
"During [Ilya] Lichtenstein's plea hearing, it was revealed that he had converted some assets to gold coins, and that [Heather] Morgan had buried gold coins at a location now known to law enforcement officials." https://t.co/PpdNu3ybXb
— David Gura (@davidgura) August 3, 2023
The couple was arrested in February 2022, with the remaining Bitcoin seized by federal authorities. However, only a small portion of the stolen BTC has been returned to Bitfinex. Lichtenstein later admitted to converting some of the stolen assets into physical gold, with Morgan burying them to evade authorities.
Hong Kong debuts retail crypto trading with HashKey and OSL
Hong Kong is expanding cryptocurrency trading exposure to individual investors, with at least one exchange getting the regulatory green light to offer the services.
Local digital asset firm HashKey has successfully obtained all necessary licensing to expand its business from serving professional investors to taking on retail users, the firm announced on Aug. 3.
HashKey’s new regulatory milestone has been enabled by upgrading two major licenses issued by Hong Kong’s Securities and Futures Commission (SFC).
The first license, Type 1, allows HashKey to operate a virtual asset trading platform under Hong Kong’s securities laws. The second one, Type 7, officially enables the firm to provide automated trading services to both institutional and retail users, the announcement notes.
In addition to becoming one of the first licensed exchanges to offer retail crypto trading in Hong Kong, HashKey has also officially launched its crypto over-the-counter (OTC) trading service, HashKey Brokerage. The OTC platform is said to comply with local securities laws following the adoption of a new crypto regulatory framework by the SFC.
HashKey Group chief operating officer Livio Weng expressed confidence in the establishment of licensed trading platforms and the further clarity of regulatory frameworks in Hong Kong. He added:
“The industry as a whole will witness increased transparency, leading to a significant boost in investor confidence.”
HashKey isn’t the only crypto exchange that is now fully ready to offer crypto trading to Hong Konh retail users in legal terms. OSL, another local crypto firm, on Aug. 3 also announced that it received an uplift to its existing license from the SFC, allowing to offer Bitcoin trading to retail investors immediately.
“We have been fully regulated for virtual asset trading by the SFC since 2020,” OSL co-founder Dave Chapman told Cointelegraph. He stressed that the latest licensing uplift allows OSL to facilitate access to digital assets for retail investors.
The news comes soon after an executive at the Hong Kong-based Hang Seng Bank argued that crypto companies can only open bank accounts after obtaining an approval-in-principle license from the SFC. By early August, OSL and Hashkey were reportedly the only exchanges that received approval.
MicroStrategy’s Saylor confident firm will remain enticing Bitcoin proxy
MicroStrategy co-founder Michael Saylor believes his firm will remain a unique way for investors to gain exposure to Bitcoin, regardless of any future spot Bitcoin exchange-traded funds.
Speaking to Bloomberg on Aug. 2 on how an approved spot Bitcoin ETF could impact his firm’s offering, Michael Saylor was confident MicroStrategy would still be able to offer something spot Bitcoin ETFs can’t.
“We are a unique instrument, we are the sportscar whereas the spot ETF is going to be the supertanker.”
Saylor confirmed the goal is to “accumulate as much Bitcoin as we can,” when asked how much their existing holdings of 152,800 BTC will increase in the quarters to come.
Consider a #Bitcoin Strategy. pic.twitter.com/MJcGxiVHop
— Michael Saylor⚡️ (@saylor) August 2, 2023
He also confirmed that the company intends to sell up to $750 million in class A common stock as per a recent SEC filing, adding that the primary use of proceeds “generally is just to acquire Bitcoin.”
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
