BitConnect Shuts Down Crypto Exchange Platform

Right after the announcement the price of BitConnect coin fell from $215 to $21
17 January 2018   1997

Bitconnect published a post on its website on January 16 stating that the company is closing the Bitconnect lending and exchange platform. According to the company, BitConnect’s lending service will be shuttered immediately with the release of all outstanding loans, while its exchange platform will be closed in 5 days.

The company provided three main reasons for halt of lending and exchange platform: the continuous bad press that created a lack of confidence in the platform, two Cease and Desist orders from Texas and North Carolina and DDos attacks on platform.

Bitconnect also stated that despite the closing of lending and exchange service the company will continue offering other cryptocurrency services in the future.

In December, Ethereum founder Vitalik Buterin and Litecoin founder Charlie lee, have spoken up against Bitconnect, calling it a Ponzi scheme.

Charlie Lee Bitconnect

Burerin Bitconnect

Right after the announcement, the price of BitConnect coin fell from $215 to $21.

Bitconnect ChartsBitconnect Charts

At the moment of press, these are the main market parameters of Bitconnect:

  • Average Price: $24,03
  • Market Cap: $151 368 370
  • 24h Volume: $10 674 100

US Court Freezed BitConnect Assets

Funds freezing is the answer of second lawsuit against BitConnect
01 February 2018   658

The US court imposed a temporary ban on the accounts of the crypto project BitConnect, according to which all assets of the company should be frozen. It is 'the answer" to the second collective lawsuit filed against the company, Coindesk reports.

The resolution obliges respondents to disclose the addresses of the cryptocurrency wallets and trading accounts of BitConnect, as well as the identity of all to whom the company sent digital assets within the last 90 days.

The defendants have 10 days to execute the order. In addition, BitConnect International PLC, BitConnect LTD, BitConnect Trading LTD and Ryan Maasen are prohibited from transferring any assets without separate court authorization.

On the eve of these events, a resident of Kentucky, Brian Page sued BitConnect International, BitConnect LTD, BitConnect Trading LTD and Ryan Maasen, Oklahoma resident, who promoted the project.

Page is demanding compensation for losses to all investors who lost money after the closure of the cryptocurrency exchange and credit programs under pressure from the state regulators of Texas and North Carolina. The rate of BCC coins fell by 98.8% from the absolute maximum reached in December, and at the moment is about $ 6.

As a result, the court considered that the plaintiffs will not have a chance to recover their funds if the BitConnect assets are not frozen, and the temporary ban was imposed "in the public interest, because the public is interested in preventing mass fraud and other violations of securities laws."