Three Crypto Exchanges in Chile closed by State Bank

Banco del Estado de Chile gave the notice to Chilean cryptocurrency exchanges Buda, Orionx, and Cryptomkt that their accounts will be dropped
03 April 2018   976

This happens after the exchanges were also targeted with account closings by Itaú Unibanco Holding S.A. of Brazil and The Bank of Nova Scotia (Scotiabank of Canada). Regional news branch El Mercurio announces Banco del Estado de Chile (Banco Estado) is shuttering the accounts of three cryptocurrency exchanges. “Banco Estado adopted the decision,” a bank statement explained, “for now, not to operate with companies dedicated to issuing or creating, brokerage, intermediation or serve as a platform for cryptocurrency calls.”

Banco Estado is the only public bank in the country, which is directing all the governmental financial activity. It is traditionally focused on serving small businesses and the unbanked. It is Chile’s largest owner of debit cards. It is the third largest bank in the nation, and constantly valued as the safest bank in Latin America.

El Mercurio underlines that Banco Estado was the final chance for these three exchanges, which have also been compressed by Scotiabank and Itaú prior to the state bank’s announcement. This allegation was the only mention by the bank as for why it is closing down the accounts of the exchanges.

Orionx replied the newspaper it wasn’t the end of the world and also convinced that  users’ money is “fully backed and there is no insolvency risk.” Also Pablo Chavez of Buda claimed that the summary closings may let him launching a bank of his own, but he looked apathetic about those objects. Martín Jofré of Cryptomkt echoed Mr. Chavez, admitting Banco Estado has a financial lifeline.

Last month the above-mentioned cryptocurrency exchanges called on the country’s banking association in order to point out a clear position on the matter. Similar tactic had been often used in different countries under the pretext of money laundering or tax avoidance. Last year fall revealed a few banks in Singapore stopped doing business with several startups operating with cryptocurrencies. In Kuala Lumpur (Malaysia) the trading platform Luno had its bank account frozen by the tax officials.

Coinbase to Acquire Neutrino

Startup will help the exchange to determine the most popular tokens in certain regions for listing on the respective branches of the site
19 February 2019   73

Coinbase cryptocurrency exchange bought analytical blockchain-startup Neutrino. The amount of the transaction was not disclosed, CoinDesk reports.

According to Coinbase product director Varun Srinivasan, the startup will help the exchange to determine the most popular tokens in certain regions for listing on the respective branches of the site.

It is noted that eight employees of Neutrino will be transferred to Coinbase’s London office this week.

We decided to join Coinbase because we’re totally aligned with the company’s mission of building an open financial system and we share the same commitment to regulation, compliance and security in the cryptocurrency space. 

Giancarlo Russo

CEO, Neutrino

Earlier in February, the Coinbase venture unit financed a startup Dharma Labs, developing a decentralized lending platform for cryptocurrency traders and investors.