Coinone executives charged over providing illegal gambling services

Summary:

• Deutsche Bank and Allianz partner to develop blockchain car financing system

• Dash (DASH on xStation5) may be eyeing to test the $300 handle

• Polish watchdog announces cryptocurrency regulatory framework

The moods on the cryptocurrency markets remain downbeat with majority of the most popular coin trading lower following the past 24 hours. The capitalization of the whole market moved lower to sit just above $340 billion. In South Korea executives of one of the country’s biggest cryptocurrency exchange will face charges over providing illegal gambling services. Moreover, the Polish financial watchdog has made a clear statement on the legal aspect of digital asset trading in Poland.

Third largest cryptocurrency exchange in South Korea Coinone has been targeted by the country’s law enforcement. The prosecutor’s office is said to charge three exchange’s executives, including company’s CEO, as well as 20 exchange members over illegal gambling. Why is it related to the cryptocurrencies? The South Korean police claims that providing margin trading services on the cryptocurrency market is gambling as it is not authorized by the authorities. During the investigation police revealed that around 19 thousand Coinone users have been using the exchange’s margin trading services. However, just 20 of them, who have traded almost $3 million, will be charged. The company denies being guilt stating that it does not think it is illegal because similar services are offered for the stock traders and it is perfectly fine.

After struggling in the vicinity of the 33-period moving average on the H4 interval for a while DASH bulls seem to give up hopes. In turn we see a bounce lower towards the support zone starting at $300 mark. If the bearish momentum turns out to be strong enough to overcome this hurdle a test of the multi-month low at $280 may be on cards. Source: xStation5

Two the German companies, Deutsche Bank and Allianz, have partnered with car exchange Auto1 and set up a company called “Auto1 Fintech”. The Auto1 exchange buys used cars from individuals and resells them to the car dealers.The aim of new entity is to offer car financing through blockchain technology. Among services it will provide one can insurance and loan refinancing for car dealers. Thanks to recording transactions on blockchain car dealers will be able to refinance their purchases in a moment without having to wait until all the paperwork is done.

After failing to overcome the $7700 mark Bitcoin keeps trading lower. The price has reached the 33-period moving average on the H4 interval recently and the reaction to this technical obstacle may be crucial. A break lower could signal a deeper pullback towards $7300 mark. Source: xStation5

The Polish financial sector regulators have recently launched a campaign warning citizens about risks connected to the cryptocurrency trading that according to some traders shows only the dark side of the digital assets. This has raised concerns that the authorities may be reluctant to recognized cryptocurrencies. As the legal concerns emerged the Polish watchdog, Komisja Nadzoru Finansowego, announced on its website that it is fully legal for the citizen as well as entities to invest in coins as there is no framework prohibiting such actions. Moreover, KNF stated that it is planning to introduce regulatory framework for the cryptocurrency sphere that will be launched on July 13.