Huobi recently became the latest digital asset exchange network to receive provisional approval from the Dubai Virtual Assets Regulatory entity. This approval allows Huobi to bring virtual asset trading items and services to pre-qualified investors and professional financial service providers.

The Asian digital asset network, Huobi, has become the latest digital asset services company to receive provisional approval from the Dubai Virtual Assets Regulatory Authority (VARA).

According to a statement unveiled by the entity in question, this approval grants the United Arab Emirates (UAE)-based entity the green light to offer a complete suite of virtual asset exchange products and features.

Before giving Huobi its approval, VARA had given another provisional license to a Seychelles-based crypto trading network named OKX. Also, before this situation, the regulator had issued approvals for Binance, FTX, and Coinmena.

Meanwhile, the crypto exchange said in a statement that it would be targeting professional investors. Concerning spot and over-the-counter (OTC) trading services, Huobi stated that these features would get an extension to a limited group of pre-qualified investors and financial service providers.

Regional Headquarters

Huobi also suggested that getting the provisional license would open new doorways for setting up the regional headquarters in an area like Dubai.

Regarding the provisional license, Huobi Group CFO Lily Zhang stated that the Dubai Administration had shown total commitment to turning the Emirate into a global haven for the future digital economy and being at the frontlines of financial improvements in the sector. Huobi had shown a lot of optimism regarding the potential and possibilities of this region.

Zhang also expressed that her organization intends to work hard to foster the evolution of the virtual currency industry in that location.

Besides the license from VARA, Huobi explained in the statement that it has also achieved a green light in other regions such as South Korea and Gibraltar.

Huobi Acquired an MSB License

A subsidiary of the digital asset exchange Huobi, named HBIT Inc, has received its Money Services Business (MSB) license from the United States Financial Crimes Enforcement Network.

Seychelles-based Huobi expressed that the license created a foundation for leading cryptocurrency-related businesses in the United States of America in the future as part of its strategic goals. According to a report by CoinGecko, the digital asset exchange is one of the most prominent players in the sector, with more than $1 billion in volume in the last day.

However, the license does not allow this entity to bring exchange services linked to digital assets, as this action would need a money transmitter license. The entity expressed that it hopes to give a compliant digital asset service.

Huobi also expressed that its subsidiaries in Hong Kong have also received asset management and securities advisory licenses from the country’s Securities and Futures Commission.

The subsidiaries also try hard to apply for a license to bring automated trading and securities trading services to become a fully compliant digital asset exchange headquartered in Hong Kong.

By: Jenson Nuñez

According to some Kenya-based activists, raising funds through digital assets and non-fungible tokens (NFT) sales is not only faster but less expensive as well. The activists also expressed that digital assets also have the potential to create new ways for young people to earn, spend, save and send funds.

After the Covid-19 pandemic caused traditional funding channels to evaporate, some African activists applied measures like raising funds through digital assets and non-fungible tokens sales. The raised funds have ensured the development of activists and kept their activities unrestrained by any pandemic-related situation.

Although digital assets are still relatively new to some activists, a director of a nonprofit foundation headquartered in the Kenyan slum known as Kibera mentioned that these assets are the faster method of saving and raising funds.

According to the activist, raising funds through digital assets was a new activity for him and regular citizens. But this activity would change how citizens apply social welfare activities because they have seen how fast they can move through fundraising.

According to the report, “Khainga Human Needs Project” got involved in placing a plastic-made sculpture of a giant tap. This sculpture was an artwork made by Benjamin Von Wong, an artist/activist that belongs to a community focused on activities against plastic waste. Together, they had already collected $110,000 via NFTs, and these funds helped achieve the installation of the giant plastic sculpture.

Crypto Reduces Barriers to Entry

According to Roselyne Wanjiru, a researcher at the Blockchain Association of Kenya, besides being the most secure and fastest method of raising funds, crypto reduces barriers to entry. She added that more entities and individuals are switching to fintech because of this situation.

The report also mentioned Scott Onder, a senior managing director at Mercy Corps Ventures, explaining why digital assets seemed to be a better alternative for moving funds across borders.

Digital assets remove this costly barrier and bring the possibility of creating new methods for young citizens to earn, spend, save and send funds.

While critics often consider the energy flaws of digital assets such as bitcoin, Big Mich, a Kenyan choreographer, and a youth trainer, expressed that the good things about technology must get considered. According to Von Wong, any fundraising approach which makes it easier to move funds is perhaps one of the best things that could happen to the local economy.

Bitcoin as Legal Tender in Africa

The Central African Republic has greenlighted Bitcoin as legal tender, and yes, it is the second nation worldwide to do so. The Central Africa Republic is one of the world’s poorest countries but is rich in diamonds, gold, and uranium. The move placed The Central African Republic on the map of the world’s most visionary countries.

On the other hand, El Salvador became the first nation to accept Bitcoin as an official currency in September 2021. This move got criticized by many economists, including the International Monetary Fund, which said it increased the risk of financial instability.

By: Jenson Nuñez

The investigators seek to determine whether Kwon orchestrated the collapse of the stablecoin TerraUSD, so they placed a flight ban on Terraform Labs employees. Shin left the reins of Terraform Labs to Kwon alone, who oversaw its launch, but it lost over USD 40 billion to investors.

Terraform Labs co-founder Daniel Shin is under investigation for possible illegal activities related to the collapse of TerraUSD (UST). That situation led prosecutors from the Southern District of South Korea to raid his house.

The raid included the payment company Shin’s Chai Corporation, which processes over USD 6 billion for more than 2,200 merchants. A spokesperson for the prosecution said that the police also broke into two other companies linked to Terraform Labs.

Kwon Is Also under Close Investigation for the Collapse of TerraUSD

The raid on seven cryptocurrency exchanges in South Korea preceded the one on the house of Shin. The police broke into Bithumb, Upbit, Coinone, and four others after 81 investors filed complaints in May.

On May 19^th, five disgruntled investors filed criminal lawsuits against Do Kwon and Daniel Shin. Another 76 did the same on May 27^th, citing cumulative damages over USD 6 million. The alleged victims accused them of fraud and related financial crimes. That occurred from 2 to 3 weeks after the TerraUSD stablecoin collapsed due to an arbitrage failure causing it to lose its USD 1 level.

The investigators plan to examine the material and question witnesses to determine whether Kwon orchestrated the collapse of TerraUSD. In June, Korean prosecutors placed a flight ban on Terraform Labs employees until they completed the investigation.

According to the Financial Times, Shin said that he and Kwon had no fraudulent intentions. He stated that they were unaware of the flaws in the algorithm helping TerraUSD maintain its peg through Terra (LUNA).

Prosecutors want to find out whether Anchor Protocol, a kind of crypto bank for the TerraUSD business model, was a Ponzi scheme.

In June, prosecutors also said that Do Kwon, the co-founder of Shin, transferred the profits of Terraform to an offshore account.

The Relationship of Daniel Shin with This Entire Situation

Shin and Kwon founded Terraform Labs in 2018 to introduce innovations in payment settlement through blockchain technology. However, they soon parted ways when they realized that South Korean regulations on technology were far behind.

Shin left the board and focused on Chai, leaving the reins of Terraform Labs to Kwon alone, who oversaw its launch. Under his supervision, the firm developed the TerraUSD/Luna ecosystem and the Anchor lending platform protocol. Unfortunately, it has lost more than USD 40 billion to investors since May 2022.

After the implosion suffered by the ecosystem, Shin has remained distant from Kwon and Terraform Labs.

Meanwhile, LUNA is trading at around USD 1.90 and has accumulated a 2.7% gain over the last 24 hours. Its daily trading volume is USD 31.18 million, while its market capitalization is USD 252.05 million, according to CoinGecko.

By Alexander Salazar

FinTech specialist Alex Baghdjian thinks it is time to buy SOL as its community is thriving thanks to its many developers. Kevin He believes that people may leave SOL due to the instabilities of the network and the upgrade of Ethereum.

The price of Solana (SOL) may not change much by the end of 2022. However, the situation will stabilize again by late 2030 if investors keep their holdings for the long term.

Several FinTech and Web3 specialists have predicted that SOL will be worth USD 45 by late 2022.

This prediction is about 75% lower than at the beginning of the year. However, the experts believe the price will rise to USD 166 by 2025 and USD 512 by December 2030.

It is Time to Buy SOL Due to the Strength of Its Community

While some analysts say it is time to buy SOL, others consider investors should keep their coins in the long term. Few experts think that it is time for holders to sell.

Most specialists predict SOL might be the cryptocurrency to overtake Binance in on-chain total value locked.

Alex Baghdjian, the co-founder of Funday, believes that now is the time to invest in SOL. He argues that its community is thriving thanks to its many developers.

Paul Levy, a Senior Lecturer at the University of Brighton, predicts that the price of SOL will be higher in late 2022. The educator thinks it will reach USD 60 due to the strength of its community.

The tech community has made favorable comments about the stability and efficient performance of Solana. It could become a safe bet it achieves continued development and consistency.

Ben Ritchie, the managing director of Digital Capital Management, predicts that SOL will be worth USD 40 by late 2022.

Ritchie believes the frequent disconnections and clock issues might hinder the success of the SOL token. He estimates it will reach USD 500 in 2030 if there is a solution for reliability issues during high network traffic.

The Solana Network Still Has a Problem with Outages

Since September 2021, Solana has suffered repeated outages, which most specialists think will persist.

Kevin He, Group Operations Director at CloudTech, considers the problem will continue and says investors may leave SOL due to network instabilities.

He stated that the Solana is an unstable network that has collapsed several times this year. He believes that more new projects and dApps will arrive after Ethereum completes its upgrade.

Patrick White, the CEO of Bitwave, thinks that Solana is a platform with potential despite its many interruptions.

The executive says Solana is a blockchain with potential, although it is fighting for the v2 smart contracts platform. He commented that Ethereum has won this round and is doing well for Ethereum 2. He is paying attention to SOL despite the outages the blockchain regularly suffers.

SOL is trading at around USD 40.65 and has accumulated a 2.6% gain over the last week. Its daily trading volume is above USD 997.62 million, while its market capitalization is about USD 14.05 billion, according to CoinGecko.

By Alexander Salazar

FTX presented a project to make Voyager users get a part of their funds back. FTX has been working to assist struggling crypto entities to get back on their feet. Voyager intends to acquire court approval to classify users who housed cash in the entity.

Bankrupt crypto lender, Voyager, may restart withdrawals in a combined effort with FTX as it proceeds with the re-building process.

FTX Trading Ltd proposed a joint project to Voyager Digital that will bring users the possibility of acquiring early liquidity through FTX and recovering a substantial piece of their funds.

The proposal allows Voyager customers to open a new profile on FTX and will get an opening cash balance that represents a piece of their bankruptcy claim.

They can choose to withdraw the funds immediately or employ them to purchase cryptocurrencies on FTX. However, this proposal is voluntary, so customers may choose not to carry out this activity.

However, participants in the joint proposal will not receive Voyager loans to Three Arrows Capital, and funds recovered from the debt have to get spent on funding more customer refunds.

FTX CEO Sam Bankman-Fried spoke about the joint proposal. He said Voyager’s customers did not choose to become bankruptcy investors dealing with unsecured claims.

Sam also said this proposal intends to help establish a better method to resolve an insolvent crypto deal. This method would allow users to acquire early liquidity and reclaim a substantial piece of their funds without forcing them to speculate on bankruptcy outcomes and take other risks.

Voyager is about to Respond

Meanwhile, Voyager is yet to accept the proposal. FTX placed a deadline for response and desires to close the deal in early August. Even if Voyager says yes, it would still be subject to other procedures, including court approval.

Voyager obstructed withdrawal procedures on July 1 and opted for bankruptcy a few days later. But the entity has also brought constant updates on its restructuring process, stating that the next court hearing got planned for August 4.

Voyager explained that they know that users need to access their funds. They said USD deposits got housed in FBO accounts at Metropolitan Commercial Bank (MCB). One of the filings intends to achieve Court approval for users to withdraw their funds from these accounts.

Voyager also stated that it would work with MCB to have all the cash withdrawal requests processed in the ordinary course following a review, reconciliation, and approval process.

The entity also reiterated it is working on getting court approval so that those who housed USD can withdraw their cash as soon as possible. The lender explained that all the housed USD are FBO accounts at Metropolitan Commercial Bank (MCB).

Additionally, it intends to sell Coinify, an item described as a non-core asset. They said they previously received Court approval to pay employees and other costs linked to the company in the ordinary course of business. These bills got paid out of operating cash, not cash in the FBO accounts.

By: Jenson Nuñez