Crypto Market Overview March 28th | Dex-Trade
Do Kwon Opened a Consulting Company in Serbia
The “entrepreneurial vein” of the founder of the infamous Terraform Labs, South Korean crypto businessman Do Kwon, did not leave him alone even when he was hiding from Interpol. It recently became known that Mr. Kwon, just a couple of weeks after the South Korean prosecutor's office initiated an international search for him, founded and registered a consulting company in Serbia. For several months, this fact did not raise any questions from local authorities, and the registration process itself cost Kwon only one dollar. The new crypto-businessman company was named Codokoj22 doo Beograd. At the moment, he claims that he was the sole actual employee and manager of this enterprise, although the registration documents miraculously appeared the name of Han Chang-Joon, who was previously listed as the CEO of the South Korean payments giant Chai Corporation. It is also noteworthy that for the registration of enterprises in Serbia, a kind of security test is carried out, which includes, among other things, the procedure for checking the founders on the Interpol website. Kwon registered Codokoj22 doo Beograd using his own South Korean passport, but the moderators of the test “didn’t notice” him on the list of wanted criminals. At the moment, Kwon's company in Serbia continues to operate, and its owner is under arrest in Montenegro on charges of financial fraud.
CZ Responds to CFTC Allegations Against Binance
After close cooperation with Binance for two years, the Commodity and Futures Trading Commission (CFTC) filed a lawsuit against the crypto exchange and its CEO, Changpeng Zhao (CZ). Representatives of the CFTC accused the employees of the trading platform of insider trading, manipulating the market by selling cryptocurrency proceeds and creating and managing side financial institutions. The lawsuit contained several more accusations, but yesterday CZ decided to comment on the key ones in his blog. According to the CEO of the largest cryptocurrency exchange, his employees did not and cannot participate in insider trading, since the company is prohibited from trading coins after listing and conducting any trading operations with tokens that they bought or sold within 90 days. In addition, CZ confirmed that a certain part of the profit that the company receives in cryptocurrency, the management is forced to change to fiat money to pay for costs, services and other expenses. Sometimes such exchanges occur within different cryptocurrencies. As for gray affiliates, CZ confirmed that Binance has several third-party marketplaces and pools that are tasked with providing liquidity to less liquid pairs. However, the activities of these branches are strictly controlled. Thus, the CFTC allegations appear to CZ to be baseless and taken out of context.
Nassim Nicholas Taleb Fears a Drop in Bitcoin Liquidity
The best-selling author of The Black Swan, Nassim Nicholas Taleb, shared his “suspicions” that the bitcoin rally that began on March 10 could play a trick on investors and lead to a tangible drop in the liquidity of the cryptocurrency flagship. In his opinion, the liquidity of the BTC/USD pair is already sinking, which makes bitcoin unstable and dangerous for investors. Already at the moment, the liquidity of the crypto-gold market is at a ten-month low. However, according to Taleb, these are still “flowers”. The second factor of his fears was the events that are unfolding around crypto-oriented banks and the banking system in the United States as a whole. The massive upheavals associated with the closure of Silvergate Bank Silicon and Valley Bank have yet to generate an equivalent tsunami. On the contrary, investors began to invest more actively in crypto. However, upon completion of the investment surge, the market began to sink, and the fundamental factors for its recovery are not yet visible even on the horizon. Recall that Taleb has long criticized cryptocurrencies, but he never did it in an aggressive manner. Nevertheless, he believes that classic hedge assets are more reliable and they should be chosen for investing in times of crisis.
