Coinnest to Send $5.3M to Its Customers

Users got BTC and fiat instead of WGT during airdrop; it let to local BTC price fall to $50
22 January 2019   827

Coinnest, exchange based in South Korea, asked its users to return more than $ 5 million, which they had mistakenly sent to their wallets. It is reported by CoinDesk.

Last week, Coinnest reported that due to the “error”, it sent its customers 6 billion won ($ 5.3 million) in bitcoins and other cryptocurrencies. The incident occurred during an attempt to hold an Weir Token airdrop (WGT).

Moreover, technical problems on the server allowed some customers of the exchange to receive translations in Fiat.

The problems were fixed on January 19, and now Coinnest asks customers to return the funds credited to them by mistake. But, if at least half of the amount was faithfully returned, some of the clients, having received bitcoins instead of WGT, immediately sold the resulting cryptocurrency. As a result, there was a so-called flash-crash of BTC price on a single exchange - at some point the price collapsed to $ 50.

In September 2018, Coinnest executives were charged with receiving a bribe for assisting in the listing of the S-coin token.

Currently, the withdrawal of funds from Coinnest is stopped. According to CoinMarketCap, over the past 24 hours, the exchange has conducted deals of only $ 11K.

Binance Singapore Unit to Apply For License

Under the new law, aimed at regulating crypto paymetns and trading, firms must register with the Monetary Authority to receive a license
17 February 2020   315

Binance, a Singapore-based cryptocurrency exchange unit, has applied for a license under the new Payment Services Act, which entered into force on January 28.

We have already applied. We submitted the application pretty fast. Binance’s Singapore entity has been in close touch with the local regulators, and they have always been open-minded.


Changpeng Zhao

Founder and CEO, Binance

Under the new law, crypto companies in Singapore must register with the Monetary Authority and receive one of three licenses: an exchange of money, a standard or large payment institution. The measure is aimed at regulating payments and crypto trading using requirements for participants in the traditional finance industry. Zhao did not specify which of the licenses Binance Singapore chose.

Binance has been offering crypto-fiat trading services in Singapore since April 2019 and works with eight coins, including Bitcoin, Ethereum and XRP. The trading platform is supported by Vertex Venture Holdings, a venture division of Singapore's Temasek Holdings.