Coinbase recent request to gain the regulators’ approval for three acquisitions has finally been granted. This might lead to the popular crypto platform becoming the first-ever venue for trading securities that have been regulated on a federal level.
Coinbase moves forward: The trio acquisition approved
According to Coinbase recent announcement, both the SEC, as well as FINRA, have decided to approve its request to buy three firms that might allow it to start offering tokens classified as securities. If this does come to pass, the process of trading such tokens will be under federal oversight, but the process will be officially regulated, and therefore – completely supported.
The companies in question include Digital Wealth LCC, Venovate Marketplace Inc., as well as Keystone Capital Corp. By making this move, Coinbase is expected to receive a license that will allow it to work as a broker-dealer, as well as a registered adviser regarding investments, and even as an alternative trading system. This will make a large change in the way that the platform conducts its business, considering that alternative trading systems work outside of public stock exchanges that are considered to be traditional.
Coinbase’s spokesman, Elliott Suthers, stated that this approval is another very important step towards trading securities on the platform, which is Coinbase’s ultimate goal. Of course, Suthers recognizes that there are a lot more steps before this becomes a reality, but each step towards it is a big deal.
Coinbase spearheads the securities enlistment
The possibility of achieving this goal would mean a lot for Coinbase. Regulated traders might end up handling billions of dollars worth of tokens that the companies end up selling during ICOs. Even though a lot of countries have been attacking ICOs whenever they got the chance, various companies have already managed to raise billions upon billions via ICOs in this year.
This amount is three times a large as what was achieved in 2017, and we are only halfway through the year. According to the SEC, the large majority of these coins are classified as securities, which means that coin issuers need to register and follow the federal laws. However, this also includes all the platforms that choose to accept these coins in their trading practices.
This has caused a lot of exchanges to do just that, with Coinbase obviously leading the movement. Despite the fact that Coinbase seems to be leading, other traders are not far behind. Circle Internet Financial Ltd., for example, stated only last month that it plans to register as brokerage so that it might allow its customers to buy or sell securities just like regulated cryptos.
Additionally, the company also works on plans to receive federal banking licensee, so that it could serve even more customers.
As for Coinbase, its next move is to integrate its technology into the companies that it had bought. The company’s spokesman did not provide an established timeline regarding this, so there is no telling when the company will start or finish this task. Still, it is known that the process will include company employees getting the right licenses, as well as changing the way how data reporting goes within the companies.
Five new coins might come to Coinbase soon
Additionally, Coinbase also announced that it will soon consider adding five new coins, which was an announcement that a lot of people have been waiting for, for a long time. The new additions to Coinbase’s crypto list may include Cardano, Stellar, 0x, Basic Attention Token, and Zcash. Despite these coins being considered, Coinbase stated that there is no guarantee that all of them – if any – will actually be listed.
If the platform does decide to add some, or all, of these coins, such a move would mark a very important turning point for the platform. Especially considering that so far, it only offered Bitcoin, Bitcoin Cash, Ethereum, and Litecoin. Still, nothing is confirmed yet, and there is no guarantee that the coins won’t end up being considered securities. The crypto community continues to await the final decision, while Coinbase continues to move forward with its plans of expansion.
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Disclaimer: This article should not be taken as, and is not intended to provide, investment advice. Global Coin Report and/or its affiliates, employees, writers, and subcontractors are cryptocurrency investors and from time to time may or may not have holdings in some of the coins or tokens they cover. Please conduct your own thorough research before investing in any cryptocurrency and read our full disclaimer.
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XNO Token of Xeno NFT Hub listed on Bithumb Korea Exchange
Hong Kong, Hong Kong, 25th January, 2021, // ChainWire //
Xeno Holdings Limited (xno.live ), a blockchain solutions company based in Hong Kong, has announced the listing of its ecosystem utility token XNO on the ‘Bithumb Korea’ cryptocurrency exchange on January 21st 2021.
Xeno NFT Hub (market.xno.live ), developed by Xeno Holdings, enables easy minting of digital items into NFTs while also providing a marketplace where anyone can securely trade NFTs.
The Xeno NFT Hub project team includes former members of the technology project Yosemite X based in San Francisco and professionals such as Gabby Dizon who is a games industry expert and NFT space influencer based in Southeast Asia.
NFT(Non-Fungible Token) technology has recently gained huge focus in the blockchain arena and beyond, making waves in the online gaming sector, the art world, and the digital copyrights industry in recent years. The strongest feature of NFTs is that “NFTs are unique digital assets that cannot be replaced or forged”. Unlike fungible tokens such as Bitcoin or Ether, NFTs are not interchangeable for other tokens of the same type but instead each NFT has a unique value and specific information that cannot be replaced. This fact makes NFTs the perfect solution to record and prove ownership of digital and real-world items like works of art, game items, limited-edition collectibles, and more.
NFTs are already being actively traded in markets globally. For…
Should Crypto Projects Devote Resources to Community Growth and Marketing?
2020 has been an incredible year for crypto as investors have generated windfall profits and crypto projects have seen their businesses gain the spotlight they’ve been looking for. While Bitcoin has received most of the attention after major institutional investors announced they were accumulating the increasingly scarce asset, many altcoins have also seen their fair share of glory. When looking at all the big winners of the past year, the first project that probably comes to mind is Chainlink, having appreciated by more than 550% YTD and now valued at over $4.5 billion. But, the actual biggest winner of the year is HEX with a YTD return of over 5,000%.
I mention both of the above projects as they have each taken slightly different paths to achieve greatness. Chainlink has devoted resources toward building a fundamentally sound business with many strategic partnerships while HEX has spent vast sums of money on marketing and promotion. Both approaches are valid, but one thing is certain, it is absolutely imperative for crypto projects to let the crypto community know what makes them special. Of course, one of the reasons that makes crypto so valuable is the powerful blockchain technology that most projects are utilizing.
Cryptocurrency vs. Blockchain Technology
It’s important to make a distinction between blockchain technology and cryptocurrency. Although they are often used interchangeably, they are different. Blockchain technology and crypto were both created after the 2008 financial crisis, but cryptocurrency…
XENO starts VIP NFT trading service and collaborates with contemporary artist Hiro Yamagata
Hong Kong, Hong Kong, 24th December, 2020, // ChainWire //
The XENO NFT Hub (https://xno.live) will provide a crypto-powered digital items and collectables trading platform allowing users to create, buy, and sell NFTs. Additionally it will support auction based listings, governance and voting mechanisms, trade history tracking, user rating and other advanced features.
As a first step towards its fully comprehensive service, XENO NFT Hub launched a recent VIP service to select users and early adopters in December 2020 with plans for a full Public Beta to open in June 2021.
“NFTs are extremely flexible in their usage, from digital event tickets to artwork, and while NFTs have a very wide spectrum of uses and categories XENO will initially focus its partnership efforts and its own item curation on three primary areas: gaming, sports & entertainment, and collectibles.”, said XENO NFT Hub president Anthony Di Franco.
He also added “This does not mean we will prohibit other types of NFTs from our ecosystem However, it simply means that XENO’s efforts as a company will be targeted into these verticals initially as a cohesive business approach.”
Development and Procurement Lead, Gabby Dizon explained, “Despite our initial focus, we found ourselves with a unique opportunity to host some of the works of Mr. Hiro Yamagata. We are collaborating with Japanese artist Hiro Yamagata to enshrine some of his artwork into NFTs.”
Mr. Yamagata has been…