BitMEX CEO Arthur Hayes Reveals Plans to Open Crypto Options Platform

BitMEX CEO Arthur Hayes Reveals Plans to Open Crypto Options Platform

Arthur Hayes, co-founder and CEO of major crypto derivatives exchange BitMEX, has revealed that the company is hoping to open an options platform within 12-18 months.

Arthur Hayes, co-founder and CEO of major crypto derivatives exchange BitMEX, has revealed that the firm is hoping to open a cryptocurrency options platform in the medium term. Hayes made his remarks during an interview on the Venture Coinist podcast on April 12.

Hayes — a former equities trader for Citigroup — indicated a rough timeline for the prospective launch, stating that:

“We hope to possibly have our own options platform in maybe 12 to 18 months.”

Hayes hinted at aspirations to innovate options listing, saying “we have somebody working with some university professors on a complicated new way of doing this.”

Options are a type of financial derivative that give a buyer the right — but not the obligation — to buy or sell an asset at an agreed price in future. They are designed to serve as strategies for hedging, protection or speculation in different market conditions.

BitMEX was founded in 2014 and currently sees close to $1.1 billion in daily traded volume, making it one of the world’s largest crypto exchanges by reported volume. As a derivatives-only platform it is, however, not included in CoinMarketCap’s price and volume averages for Bitcoin (BTC).

As previously reported, Hayes has recently predicted that Bitcoin will get back to the $10,000 price point this year, anticipating the market recovery will begin in early Q4 2019.

Alongside its trading platform, BitMEX also conducts research into the crypto industry, in January releasing a report on the impact of the 2018 bear market on ICO projects’ token holding valuations.

That same month, the exchange refuted media reports that had alleged it was closing United States and Québec residents’ accounts due to a regulatory crackdown, claiming they were inaccurate and sensationalist.

South Korea: Bithumb Exchange Operator Gains $200 Million From Japanese Investment Fund

South Korea: Bithumb Exchange Operator Gains $200 Million From Japanese Investment Fund

Blockchain Exchange Alliance will use the funds to expand outreach and add extra trading pairs, the company says.

The parent company of major South Korean cryptocurrency exchange Bithumb has received $200 million in funding from Japan’s ST Blockchain Fund, the latter confirmed in a press release shared with Cointelegraph Japan on April 15.

The cash, which forms part of a Series A funding round, will allow Blockchain Exchange Alliance (BXA) to expand the international side of Bithumb, which is already one of South Korea’s largest exchanges. New trading pairs will also appear, the press release notes.

ST Blockchain Fund is based in Japan, but features participation from investors throughout the world, including Europe and the United States.

“The fund shared our vision of creating a global digital exchange platform that can efficiently transfer value across borders with lower costs, which was the key rationale behind this investment decision,” BXA stated in the press release.

The move comes in the wake of upheaval at Bithumb, which suffered losses of around $13 million late last month in what executives suggested was an insider operation to defraud the company.

The company subsequently released results of a third-party public audit, reassuring investors their funds were in suitably secure storage.

Prior to that, in 2018, a much larger hack had seen Bithumb lose what initially appeared to be around $30 million, the figure subsequently being reduced to $17 million.

As Cointelegraph reported last week, the company’s annual losses for 2018 totalled almost $180 million.

ST thus removes any doubt about its faith in the local market with the investment, as increasing Bitcoin (BTC) prices spark fresh interest from South Korea consumers.

Last week, the so-called “Kimchi Premium” — a surcharge for Bitcoin in fiat terms on South Korean exchanges — reportedly reappeared after an extended absence.

Hodler’s Digest, April 8–14: Top Stories, Price Movements, Quotes and FUD of the Week

Hodler’s Digest, April 8–14: Top Stories, Price Movements, Quotes and FUD of the Week

Bloomberg calls Bitcoin a bubble yet again, and Facebook is seemingly looking for $1 billion from VC firms for its stablecoin.

Top Stories This Week

NYT Reporter: Facebook Seeking $1 Billion in Venture Capital for Crypto Project

According to a tweet by New York Times (NYT) tech reporter Nathaniel Popper, Facebook is reportedly looking to various venture capital firms to develop its digital token that has been previously reported on. Popper, citing unnamed sources familiar with the matter, said that Facebook is seeking $1 billion to develop its cryptocurrency project, which itself has not been publicly confirmed by the company. The Times reporter also noted that the project involves a stablecoin that would be pegged to a basket of foreign currencies held in bank accounts.

Chinese Traders Pay Extra for Bitcoin Through OTC Desks Amid Crypto Market Surge

Local Chinese social media sources said that Bitcoin’s (BTC) price surge last week has led Chinese traders to pay a premium in order to trade the cryptocurrency. According to an analysis of price spreads from cryptocurrency exchanges Huobi and OKEx, cnLedger highlighted how Chinese traders are paying more in order to acquire Bitcoin. Since China formally banned crypto trading in the country in 2017, investors have had to resort to creative methods in order to deal in Bitcoin. In the analysis, cnLedger notes that a principal way to avoid the ban is to buy stablecoins such as Tether (USDT) via over-the-counter (OTC) services and convert them into other cryptocurrencies

Top Stories This Week

Top-Subscribed YouTuber PewDiePie Partners With Blockchain

PewDiePie, the personality behind the most subscribed channel on YouTube, announced this week that he will start streaming on blockchain video platform DLive as of April 14. Dlive is a blockchain-powered broadcasting app with a rewards system for content creators and will become the exclusive platform for livestreaming the famous Swedish YouTuber, Felix Kjellberg — aka PewDiePie. The platform currently has 3 million monthly users and 35,000 active streamers, while PewDiePie on YouTube has over 93 million subscribers and 21 billion video views, as of April 2019. PewDiePie’s move to Dlive comes as the Swede faced backlash over his alleged ties to white supremacism, as his channel was mentioned by the Christchurch gunman prior to his attack on two New Zealand mosques.

Bitcoin at Most Overbought Level Since Record Bull Run: Bloomberg Analyst

Bloomberg Intelligence analyst Mike McGlone claimed this week that Bitcoin is at its most overbought level since its record highs in December 2017, citing BTC’s GTI Global Strength Indicator. Bloomberg writes that similar buy patterns in the past have resulted in multi-week downturns, citing McGlone as referring to Bitcoin as a bubble. McGlone states that the recent market growth came about due to a long-term price compression and low volatility, causing the price to be “released from the cage.” Bloomberg also cites David Tawil, president of crypto hedge fund ProChain Capital, who reportedly expects the market to continue its downward trend.

Top Stories This Week

Coinbase Crypto Exchange Debuts Visa Card for U.K. Customers

Major United States cryptocurrency exchange Coinbase has launched Coinbase Card, which will enable its United Kingdom-based customers to pay both in-store and online with cryptocurrency. The card itself is a Visa debit card that is powered by users’ Coinbase account crypto balances, allowing purchases to be made globally by instantly converting customers’ crypto funds into fiat. The Coinbase Card has also been released for iOS and Android, linking Coinbase accounts with the app and allowing users to select which wallet will fund their card, as well as allowing access for receipts, transaction summaries and spending categories. The card is issued by authorized and regulated electronic money institution Paysafe Financial Services Limited.

Winners and Losers

The crypto markets are holding slightly down by the end of the week, with Bitcoin around $5,099, Ethereum at $165 and XRP about $0.33. Total market cap is around $172 billion.

The top three altcoin gainers of the week are BunnyCoin, WomenCoin and Block-Chain.com. The top three altcoin losers of the week are dietbitcoin, Cryptrust and ContractNet.

Winners and Losers

For more info on crypto prices, make sure to read Cointelegraph’s market analysis.

Most Memorable Quotations

“This is a stark contrast to the development you see with things like EOS or with Ethereum with Casper, where they kind of adopt this lone samurai viewpoint.”

Charles Hoskinson, the co-founder of Ethereum (ETH) and IOHK, the company behind Cardano (ADA), speaking on the idea of development with open protocols

“I have learned about how blockchain is having a huge impact on supply chain management, and how an app in Britain can help the public report modern slavery at car washes.”

Princess Eugenie, the granddaughter of Queen Elizabeth, who founded the Anti-Slavery Collective in Britain in 2017

Most Memorable Quotations

“Blockchain is like a spreadsheet on steroids that can automate certain tasks, build greater transparency, speed and reliability, and provide a single source of transactional information.”

David R. Jarczyk, innovation principal and tax leader for blockchain at KPMG

“Now it’s a question of duration and I suspect when you have such a massive bubble, you’ll always have an overhang of people who need to sell.”

Mike McGlone, Bloomberg Intelligence analyst

FUD of the Week

Singapore Police Secure First Convictions Against OneCoin MLM Scheme Agents

Authorities in Singapore have charged two men for promoting crypto multi-level marketing (MLM) scheme OneCoin in what is touted as the first case of its kind for the city-state. The two unnamed men reportedly engaged in activities that incorporated a subsidiary in order to promote OneCoin, in addition to signing up new members and accepting investments in return for education courses and OneCoin tokens. Singapore’s central bank had previously added OneCoin to its Investor Alert List, and various governments around the world have also issued warnings against the MLM scam, advising consumers not to interact or invest in OneCoin. While one founder was recently arrested in the U.S., the other remains at large following the indictment.

Canadian Crypto Exchange QuadrigaCX Officially Declared Bankrupt

QuadrigaCX, the embattled Canadian crypto exchange, has officially been declared bankrupt. The exchange’s bankruptcy was reportedly approved by the Nova Scotia Supreme Court following the court monitor’s earlier recommendation to do so. At the time, Ernst & Young’s legal team had put forward the argument that the restructuring process should instead be shifted to bankruptcy proceedings, meaning that the monitor will now have enhanced investigative powers. QuadrigaCX had previously filed for creditor protection when it apparently lost access to its cold wallet funds following the unexpected death of its founder in December 2018.

Electrum Faces Another Fake Wallet Attack, Users Reported to Lose Millions of Dollars

Bitcoin wallet service Electrum faced another Denial-of-Service (DoS) attack on its servers this week. According to media outlets, this most recent attack has resulted in the loss of millions of dollars (the exact sum unconfirmed) with a single user allegedly losing about $140,000. The attack works by referring users to fake versions of Electrum software by employing a malicious botnet of more than 140,000 machines. The company has recommended that its users upgrade their software versions older than 3.3 and not download software from any source besides the official site. Last December, Electrum faced a similar attack that led to a loss of about $937,000 worth of Bitcoin.

Best Cointelegraph Feature

Will China Ban Crypto Mining?

After this week’s relatively unexpected publication by a Chinese government agency about a possible ban on crypto mining, Cointelegraph takes a look into how serious the idea is, and who and what will be affected in what is unarguably the largest crypto mining sector in the world.

Facebook, Twitter and Telegram: A New Crypto Paradigm or a Glorified Voucher Program?

As more unconfirmed news surrounding Facebook’s secretive crypto project surfaced this week, Cointelegraph analyzes what it would mean for one of the biggest, and possibly most untrusted, institutions in the world to issue their own cryptocurrency.

Bitcoin Hovers Near $5,100 as Top Cryptos See Mixed Movements

Bitcoin Hovers Near $5,100 as Top Cryptos See Mixed Movements

The top 20 cryptocurrencies are reporting mixed movements on the day as Bitcoin hovers near the $5,100 mark.

Sunday, April 14 — the top 20 cryptocurrencies are reporting mixed movements on the day by press time, as Bitcoin (BTC) hovers near the $5,100 mark.

Market visualization courtesy of Coin360

Market visualization courtesy of Coin360

Bitcoin has seen nearly no change on the day, trading at around $5,098 by press time, according to CoinMarketCap. Looking at its weekly chart, the current price is also nearly a percent lower than the price at which Bitcoin started the week.

Bitcoin 7-day price chart. Source: CoinMarketCap

Bitcoin 7-day price chart. Source: CoinMarketCap

The overall institutional investment in Bitcoin futures on the Chicago Mercantile Exchange decreased this past week, according to data published by the United States Commodity Futures Trading Commission on April 9.

Ethereum (ETH) is holding onto its position as the largest altcoin by market cap, which is at about $17.3 billion. The second-largest altcoin, Ripple (XRP), has a market cap of about $13.6 billion by press time.

ETH has seen almost no change over the last 24 hours, down a fraction of a percent. At press time, ETH is trading around $164. On the week, the coin has also seen its value fall by nearly two percent. Ethereum’s current price is also about 12% lower than $184, the mid-week high it reported on Monday.

Ethereum 7-day price chart. Source: CoinMarketCap

Ethereum 7-day price chart. Source: CoinMarketCap

Ethereum (ETH) core developers are considering implementing more frequent and smaller hard forks, according to the most recent developer’s call.

The price of the second-largest altcoin Ripple lost about half a percent over the 24 hours to press time, and is currently trading at around $0.325. Looking at the coin’s weekly chart, however, its current price is 9.5% lower than what it reported one week ago. This week, Cointelegraph reported that major Japanese bank Resona will withdraw from Ripple-powered blockchain payment project MoneyTap on May 13.

Ripple 7-day price chart. Source: CoinMarketCap

Ripple 7-day price chart. Source: CoinMarketCap

Among the top 20 cryptocurrencies, the only one reporting notable gains is Tezos (XTZ), which is up almost 10%.

The total market cap of all cryptocurrencies is currently equivalent to $173 billion, which is over three and a half percent lower than $179.3 billion, the value it reported one week ago.

As Cointelegraph reported earlier today, new analysis from cryptocurrency exchange Binance concluded that Bitcoin prices and altcoin prices could have already hit their lowest point.

Top 5 Crypto Performers Overview: BTC, EOS, METAHASH, ETH, TRX, ETC

Top 5 Crypto Performers Overview: BTC, EOS, METAHASH, ETH, TRX, ETC

Will the bears now sink the price back to the lows, or will the major cryptocurrencies form a higher low?

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.
The market data is provided by the HitBTC exchange.

The International Monetary Fund and the World Bank have launched a private blockchain and quasi-cryptocurrency to bridge the gap between its employees and the blockchain technology. The cryptocurrency will be called “Learning Coin” and will have no monetary value, but the staff will earn these coins after reaching certain educational milestones. The developers are yet to decide on how these earned coins can be redeemed by the staff. This is a major step as it shows that international agencies are making efforts to understand the technology seriously.

In a recent Twitter poll, IMF asked: “How do you think you will be paying for lunch in 5 years?” 56% of the respondents said that they would be paying in cryptocurrencies, well ahead of the 27% by mobile phone. Bank cards and cash were way behind at 9% and 8% respectively. To some extent, this projects the prevailing mood in the masses against cash and bank cards.

Fidelity Digital Assets has appointed Christine Sandler — former head of institutional sales at Coinbase — as head of Sales and Marketing. While the groundwork is being laid out to facilitate the entry of institutions into the crypto space, we are yet to see their presence in a big way.

After the rally from the lows, most cryptocurrencies have cooled off. Will the bears now sink the price back to the lows, or will the major cryptocurrencies form a higher low and indicate a bottom? Let’s find out by analyzing the charts.

BTC/USD

Institutional players are buying Bitcoin (BTC). Their purchase volume, the percentage of the total volume has reached 19% in April. This indicates that the large players expect the bear market to end in the near future. With a rise in prices, the Chinese traders have returned to action. However, due to the cryptocurrency ban in China, they are paying a premium to the over-the-counter services to take a position in Bitcoin. This shows that even in a place where Bitcoin trading is banned, traders are looking at ways to buy it, well above the prevailing prices.

The rise from the lows has pushed Bitcoin to the most overbought levels since the bull run, according to Bloomberg Intelligence analyst Mike McGlone. On the other hand, the “Bitcoin Misery Index,” created by Fundstrat Global Advisors Thomas Lee, has reached its highest level since 2016. This can either be a good sign or a bad sign, according to Lee. But what does our analysis project? Let’s see.

The BTC/USD pair picked up momentum after it broke out of $4,255, quickly climbing above $5,000 and reaching a high of $5,404.82. With this rise, the 20-week EMA has started to turn up and the RSI has inched into the positive territory. This shows that the bulls are asserting their supremacy in the short-term.

On the upside, $5,900 remains a major roadblock. The 50-week SMA is also located just below this level. Hence, we anticipate a stiff resistance between $5,600 to $5,900.

Our bullish view will be invalidated if the cryptocurrency turns down from the current levels and slips below $4,255. Such a move will dent sentiment and indicate that the bears are still shorting at higher levels. The next few weeks are critical as it will confirm whether the bottom is in place or not.

EOS/USD

FinLab EOS VC fund, a joint venture of FinLab AG and Block.one, has invested $5 million in Moonlighting, a freelancing website with over 700,000 users. The website will now migrate its users to the EOS blockchain. Charles Hoskinson, the co-founder of Ethereum (ETH) and IOHK, also lashed out this week at EOS and Ethereum for their approach to development.

The EOS/USD pair is currently facing resistance at the 50-week SMA. The resistance line is also located close by: a breakout of this can carry the pair to $6.8299. If the bulls ascend above $6.8299, the next target to watch on the upside is $9.3483.

The 20-week EMA is gradually sloping up and the RSI has jumped into the positive zone. This shows that the bulls have the upper hand. On the downside, strong support is at $4.4930 and below it at $3.8723. The 20-week EMA is also close to this level. Hence, we expect the bulls to defend this zone aggressively.

However, contrary to our assumption, if the digital currency turns down from the current levels and plummets below the $4.4930-$3.8723 support zone, it will indicate weakness.

ETH/USD

Though Ethereum (ETH) has been losing out to Tron in DApp growth, it continues to be the first choice of developers to build their DApp on, according to a report by DApp analytics website DApp.com. Along with this, the Ethereum network is the sought after option to raise funds through ICOs, according to a report by rating site ICObench. In another report released by the European Union Blockchain Observatory and Forum, the Ethereum blockchain was identified as the most preferred platform for the creation of tokens. Will Ethereum play catch up with the other altcoins or will it continue to underperform?

The ETH/USD pair completed an ascending triangle pattern when it closed (UTC time frame) above the overhead resistance of $167.32. The pattern target following this breakout is $251.64. However, the pair quickly turned around and has again declined below the support at $167.32, which is a bearish sign. If a bullish pattern fails, it denotes weakness. The 20-week EMA has flattened out and the RSI is close to the 50 level. This suggests a consolidation in the near term. But if the digital currency reverses direction from the 20-week EMA and sustains above $167.32, it will indicate demand at lower levels. Above $167.32, the rally can reach $251.64 and above it to the 50-week SMA.

TRX/USD

Tron (TRX) blockchain has the fastest growing DApp user base with over 300,000 active users. A Tron-based version of stablecoin Tether (USDT) is about to be launched, which is being viewed as a major win for the network. Though Ethereum is a competitor, Tron founder and CEO Justin Sun believes that Tron will “officially collaborate” with Ethereum as soon as this year.

The testnet of the Sun Network expansion plan is expected to launch in end-May. This will increase the overall capacity of the network, reduce energy consumption and improve security. With a host of fundamental news backing it, can the price start a new uptrend? Let’s find out.

The TRX/USD pair has been trading in a tight range of $0.01830 to $0.02815521 for the past few months. Though it has broken out of the range twice, it has not been able to sustain the higher levels and has re-entered the range within a week. This shows a lack of demand at higher levels.

If the pair turns around after taking support at the 20-week EMA, it might again try to sustain above $0.02815521. A breakout above $0.03575668 will confirm a bottom and the start of a new uptrend.

Conversely, if the pair slips below the 20-week EMA, it can remain range bound for a few more weeks. We might get a clear picture in the next couple of weeks.

ETC/USD

Circle-owned exchange Poloniex enabled margin trading on Ethereum Classic (ETC)  for non-U.S. customers with a total leverage of 2.5 times. As with all the other coins that are available for margin trading, owners can lend their ETC and earn interest on it. The improving sentiment across the sector rubbed on to the digital currency as it skyrocketed higher on April 7. Let’s analyze its future prospects.

The ETC/USD pair traded in a tight range for 11 weeks before breaking out of the overhead resistance at $5.889. We had expected the price to reach $9.50 levels after breaking out of the resistance, but the pair turned around from $8.084.

Currently, the digital currency is retesting the breakout levels of $5.889. If it rebounds from this level, it will again attempt to rise to $9.50. On the other hand, if the bears sink the price below $5.889, it can correct towards the lows.

The 20-week EMA has flattened out and the RSI is close to the midpoint. This points to a consolidation in the near term.

MHC/USD*

MetaHash (MHC) aims to bring an ecosystem to the users that is fast, completely decentralized, secure, economical to use and easy to operate, according to the firm. Its mainnet was launched on June 29 of last year, and it has a transaction speed of about 3 seconds and a declared capacity of 50,000 transactions per second. MetaGate is its official browser software, which has a multi-currency wallet and a DApps store; among the notable DApps launched are a blockchain-based encrypted messenger and a voting application.

The idea behind MetaHash is to enable businesses and systems to easily use blockchain for various applications, the website states. It has been recognized as the 2018 Best Performance Project at POWER 2019 China Blockchain Contributors Annual Summit. The total number of server nodes has been increasing continuously and now numbers 500.

The MetaHash coin is currently ranked 151th on CoinMarketCap. As most of the MHC coins are locked in node-stakes and other network economy, the supply in exchanges is usually scarce. Most of the coins bought at exchanges are withdrawn to the network native wallets.

Currently, BitForex has a trading competition in progress using MCH where an award of up to 5 Bitcoin is on offer. MetaHash also has noted that it plans to be listed on various other exchanges in the near future. How does its performance look on the charts? Let’s analyze.

The MHC/USD pair listed at $0.027813 on February 21 of this year. From there, the pair hit a low of $0.020628 on February 28. This proved to be the lowest point where buying emerged. It quickly pushed the price to a high of $0.106901 on March 22, which is a gain of 418%.

After such a sharp rise, a minor correction or consolidation is to be expected. Currently, the price has corrected to just above $0.060, which is a critical support. If the bears sink the digital currency below this level, it can drop to $0.032.

On the other hand, if the price rebounds from the current levels, it can again retest the highs. If the bulls push the price to new highs, a rally to $0.14 and higher is possible. We should see a decisive move in the cryptocurrency within the next few days.

The market data is provided by the HitBTC exchange. Charts for analysis are provided by TradingView.
*Disclaimer: MHC is a featured cryptocurrency from one of Cointelegraph’s sponsors, and its inclusion did not affect this price analysis.