Companies to sue Internet Giants over Banned Crypto Ads

Russian, Chinese and Korean cryptocurrency associations are going to file a class action against internet organizations banning crypto ads
28 March 2018   1095

The lawsuit will dispute the limitations imposed by Facebook, Google, Twitter and Yandex. An arrangement to take the matter to court in the US has been achieved at a crypto conference in Moscow.

The newly established Eurasian Blockchain Association (EBA) will file the lawsuit in a US jurisdiction in May. Among the participants there are representatives of the Russian Cryptocurrency and Blockchain Association (RACIB), the Korea Venture Business Association (KOVA) and the Chinese Association of Cryptocurrency Investors (LBTC). Each side has signed the agreement to create EBA during the BlockchainRF-2018 congress in Moscow (27-28 March). Also they are going to found a special cryptofund that can be supported through donations.

Well-known social network Facebook and the biggest search engine Google prohibited crypto ads in January and in March respectively. Russian media have declared about a resemble decision by the largest in the country search engine Yandex. This measure has not been officially confirmed by the company.

The messages that Twitter is managed to set restrictions appeared about 10 days ago. The microblogging platform stated the policy change. Another media platform, Snapchat, has also forboden the advertisements of ICOs.

Yuri Pripachkin (RACIB`s president) considers that the situation looks like a cartel collusion. “We think these four companies are using their monopoly power and have colluded to manipulate the market”, - RACIB`s president claimed (quoted by TASS and Interfax). Also he accentuated that the bans caused substantial market drops during the last months.

Last week RAKIB forewarned that the Russian economy may lose over 1.5 billion USD from ICOs conducted by Russians in more favorable jurisdictions. Coin suggestions with Russian participation total for 10 % of the global ICO market. About $310 million dollars have been attracted by Russian projects in 2017 (according to a report by the President Vladimir Putin).

The State Duma, the lower house of Russia’s parliament has introduce 2 laws to legalize blockchain technologies, cryptocurrencies, mining and coin offerings. The head of the parliamentary Financial Market Committee Anatoliy Aksakov claimed that these new orders will be adopted in June or July, 2018.

Bakkt to be Launched in December

It is also reported that Goldman Sachs does not plan to create custodial cryptocurrency solutions based on the Bakkt infrastructure
19 October 2018   53

The expected launch of the Bakkt will take place on December 12 of this year. It is reported by The Block, citing informed sources.

Also, the material states that the investment bank Goldman Sachs does not plan to create custodial cryptocurrency solutions based on the Bakkt infrastructure. At the same time, the bank is considering the possibility of trading futures on a new platform.

In a recent Fortune interview with Bakkt, Kelly Lofler said that the cryptocurrency market is on the verge of a revolution comparable in size to the one that occurred on the energy market in the early 2000s.

Greater institutional participation in the digital asset markets requires secure and regulated custody solutions. We are impressed by BitGo’s product, unique services, and the management team. We view our investment in BitGo as an exciting opportunity to contribute to the evolution of this critical market infrastructure.
 

Rana Yared

Managing director, Goldman Sachs’ Principal Strategic Investments group

Bakkt is a cryptocurrency unit of the Intercontinental Exchange (ICE), which is the operator of the New York Stock Exchange. Giants such as Microsoft and Starbucks are taking part in creating of the new project, which is positioned as an “ecosystem for digital assets”.

The new platform will offer deliverable bitcoin futures to the market (unlike the settlement contracts for CBOE and CME, these are based on the underlying asset). The platform will support multiple fiat currencies.