HTS Officials arrested for Embezzlement of User Funds

The president and executives of South Korean HTS were arrested for illegally reallocating the firm’s holdings in bitcoin and ether to their personal accounts
16 May 2018   1268

The police of Southern Seoul and local financial authorities headed by inspector Jeong Dae-seong aquired an arrest ordert for 4 executives at HTS including the main developer of the HTS trading platform and operator of the exchange on May 14. As declared in the prosecutor’s office of Seoul, HTS president Shin together with the three representatives of the firm replaced user funds kept in the the company`s cryptocurrency wallet  to external bank accounts, mainly stealing cryptocurrencies from the company’s customers.

Formerly the third largest crypto exchange in South Korea, Coinnest was temporarily closed by the local officials after its executives were arrested in March 2018 for stealing user funds. Then it was reported that millions of dollars in user funds were transmitted to the personal accounts of the firm’s executives.

The prosecutor’s office of Seoul revealed that the local police initially aimed to raid the headquarters of HTS together with Coinnest, but then decided not to in order to concentrate on the investigation on Coinnest, as the government received solid evidence of malpractice.

HTS is not the first exchange in South Korea to be checked and officially investigated by the local police and investigators from the Korea Financial Intelligence Unit (KIU), following Coinnest and Upbit.

Binance to Launch BTC-Pegged Own Chain Based Token

In this way exchange wants to transfer crypto based on own blockchains to its ecosystem and  increase liquidity and trading volumes at Binance DEX
17 June 2019   158

In the coming days, Binance Exchange will launch a series of BEP2-tokens, tied to different cryptocurrency rates, on its own Binance Chain blockchain. The first token of this type will be BTCB - its rate is tied to Bitcoin.

BTCB is backed with bitcoins located in Binance reserves. The address for storing bitcoins has already been made publicly available, so that users can verify that the token has the necessary support.

In the future, the BTCB / BTC trading pair will be launched on Binance.com. With its help, users will be able to convert the original cryptocurrency into the Binance Chain token. The price spread in this case will be about 0.1%.

According to Binance, in this way it can transfer cryptocurrencies based on its own blockchains to its ecosystem and currently not represented in the Binance Chain. The company expects the launch of new tools to increase liquidity and trading volumes at Binance DEX.

While this approach is more centralized than atomic swaps, we believe it provides a higher degree of ease-of-use to most traders. And most traders are already trusting Binance.com to hold their funds anyway.
 

Binance Team

To date, Binance has independently reserved 9,001 BTC and released 9,001 BTCB. The BTCB / BTC trading pair on Binance.com will tentatively appear within a day, and an asset will be added to Binance DEX after approval of the relevant offer.