Korean CoinNest exchange CEO detained for fraud

South Korean media reported today that CEO of CoinNest (South Korean-based cryptocurrency exchange) has been  imprisoned for embezzlement and swindle
05 April 2018   1038

According to the information by South Korea’s Seoul District Prosecutors’ Office, this week (on Monday) it had incarcerated Kim Il-hwan, co-founder of CoinNest. This is the first time a member of a Korean cryptocurrency exchange has been incarcerated. Prosecutors consider that the CoinNest administrative has redirected customer funds to the company executives`benefits.

The prosecution’s order of arrest for Kim was moved by The Seoul Metropolitan Governmental Financial Investigation Division scan of three virtual exchanges launching on December 12th, 2017. CoinNest was included in this pursuit.

The prosecution was also announced to be investigating another virtual cryptocurrency exchange that invested means collected from ordinary people with a help of a deceptive scheme. Adding to the curious disposition of the arrest, the Korea Blockchain Association said, “CoinNest already resigned before the investigation.”

South Korean government is supposed to pay more attention to transparency in cryptocurrency trading within the framework of the current law, and definitely obstruct  illegal and fraudulent activities, but it stopped short of banning trading.

The authorities have made indefinite and sometimes contradictory statements about the possible ways of regulation cryptocurrency exchanges. Though their positions have been clarified a little later at formal press events, news hearsays and the language/cultural barrier have been accused for causing different asset prices to both soar and tank in recent months.

The country has taken a key position for digital asset trading in the past year as volumes shifted away from China, regulation in Japan constricted, and unclear local laws promoted a degree of anonymous and unregulated activity.

Binance to Change Launchpad IEO Rules

Binance is going to implement the lottery format for the next tokensale campaign
25 March 2019   30

Binance announced a change in the format of the next tokensale on the Launchpad platform to a lottery. At the same time, the number of lottery tickets per account will depend on the size of the steak in the BNB for 20 days before IEO.

Note that one account can get up to 5 lottery tickets. Winners will be selected by randomizer.

BNB Balance to Lottery Tickets Ratio
BNB Balance to Lottery Tickets Ratio

It is noteworthy that within 20 days before the lottery, the BNB-deposit snapshot will be carried out daily at 0:00 UTC to monitor the fulfillment of the conditions.

Each winning ticket will grant the right to purchase tokens for a fixed amount in BNB equivalent. As soon as the user informs the exchange that he is ready to use a certain number of tickets in case of their winnings, this obliges him to purchase tokens and the money will be debited automatically.

Binance acknowledged that the price of BNB may fluctuate due to daily snapshots, and its potential decline may not be covered by the benefit from the new token, and encouraged users to make informed decisions.

In addition, Changpeng Zhao urged the community to comment on the new format in a separate Twitter thread in order to make the necessary feedback-based changes, if needed.

During the Celer Network tokensale on the Launchpad platform again had bandwidth problems; many people did not manage to purchase tokens.