Quoine exchange sued in Singapore

Singapore cryptocurrency exchange platform sued by the market maker, B2C2
31 July 2017   931
Bitcoin

Is the first decentralized peer-to-peer payment network that is powered by its users with no central authority or middlemen

One of the world’s major Bitcoin exchange operators, Quoine, gets sued by an electronic market maker, B2C2. As reported, the trades were allegedly wrongfully reversed, which resulted in proceeds being deducted.

According to B2C2, the company placed orders on Quoine’s platform to sell Ethereum for Bitcoin at the price of 10 bitcoins for one Ethereum.

Ethereum

Is an open-source blockchain-based distributed computing platform featuring smart contract functionality, which facilitates online contractual agreements 

On April 19th, the orders were filled in a series of trades resulting in B2C2 paying 309.2518 Ethereum for 3092.517116 Bitcoin. 

However, the next day, the trades were reversed by Quoine and the proceeds allegedly “misappropriated” from the account without authorisation. As Quoine told B2C2, it was entitled to do so because the trades were “mostly trades with huge mark-up over fair global market price”.

B2C2 claims Quoine had “acted fraudulently” because the agreement stated that an order, once filled, is “irreversible”. It is seeking to recover 3084.78582325 Bitcoin from Quoine in the High Court.

10 BTC for 1 ETH is 125 times higher than the average market price. The purchase became possible only due to a system error in Quoine, so the seller suffered losses from such a transaction and canceled it.
 

Quoine team

No dollar value for that amount of Bitcoin was provided in the lawsuit but according to cryptocurrency exchange CoinDesk, that amount translates to US$3.78 million based on an exchange rate of US$1,226.94 for a Bitcoin on April 19. Quoine in turn claims that B2C2 is “being opportunistic and seeking to profit from a technical glitch”

Given the “stark difference between the abnormal rate and the actual market prices of bitcoin and ethereum on April 19”, B2C2, which Quoine called a “sophisticated” investor with experience trading virtual currencies, should have suspected the “abnormal rate” was a mistake. 

However, as B2C2 insists, under the terms of the agreement the deal was not subject to cancellation. Accusing Quoine of intending to cancel the transaction by fraud, the British company appealed to the court.

Genesis Conference to be Held in London

Genesis Conference will cover research and development, regulation, economics and applications issues, taking place in London on February 22
22 February 2018   71

Genesis London Conference will take place on February 22, tackling the most pertinent issues in blockchain space: research and development, regulation, economics and applications.

Genesis London is a platform for researchers, developers and generally anyone interested in blockchain, and its priority is to share knowledge, facilitate productive discourse and filter out the hype.

Location: The CityPoint building, 1 Ropemaker St, London, EC2, UK
Date and time: 9:30AM - 8PM, February 22, 2018

The agenda of the conference includes Privacy and Confidentiality Techniques for Blockchains; Permissioned Business Blockchain Applications and Use-cases; Scalable, Transparent and Post-quantum Secure Computational Integrity, with Applications to Cryptocurrencies; A Rational Protocol Design Treatment of Bitcoin, and more.

The headline speakers include Patrick de Laive, co-founder of TNW; Margarita Khartanovich, head of insight at Binary District; Jack Gavigan, chief operating officer at ZCash; Jeremy Kahn, technology writer for Bloomberg, and many more.