Circle May Lost $2B of Capitalization

Expert says his could be the result of a number of acquisitions and a bear market
05 February 2019   548

The operator of the cryptocurrency exchange Poloniex, the investment application Circle Invest and the developer of the stablecoin USDC Boston startup Circle could lose more than $ 2 billion of capitalization in the last nine months, The Block reports.

At the moment, private stocks of the company on the SharesPost platform are trading at $ 3.80. It is not yet known how many shares are offered at this price and whether successful transactions have been made.

In May 2018, Circle's share price was $ 16.23 with a capitalization of $ 3.01 billion. If the current SharesPost quotes reflect the real situation, then the company's value fluctuates around $ 705 million.

Sources of publication in one of the hedge funds stressed that this could be the result of a number of acquisitions in combination with a bear market.

Other market players noted that Circle Trade's OTC-service provides most of the company's revenues, in which the trading volume in 2018 reached $ 24 billion. The focus on prop-trading, they say, complicates the company's objective assessment at this stage.

Hacked Zaif Exchange to Resume Operations

It was hacked in September last year,  about $60 million in cryptocurrency was stolen from its platform
22 April 2019   83

Japanese cryptocurrency exchange Zaif announced that it will complete the transition from the Tech Bureau to the Fisco Digital Asset Group (FDAG) on April 22 and resume normal operation the next day, Cointelegraph reportes.

In September last year, the exchange underwent a hacker attack when about $ 60 million in cryptocurrency was stolen from its platform, including Bitcoins, Bitcoin Cash and Monacoin. As part of the compensation plan to users, FDAG exchange acquired a large stake in Zaif business and transferred to the Tech Bureau over $ 44.6 million.

According to an earlier announcement of the exchange, 40% of the lost funds will be compensated to users by Fiat, and the remaining 60% - to the cryptocurrency, which will be available for withdrawal on April 23.