Winklevoss Brothers Launch Virtual Commodity Association

The crypto billionaires twins believes that creation of this self-regulation organization is a necessary condition for market development
14 March 2018   1297

Cameron and Tyler Winklevoss, the founders of the Gemini trading platform, made public the proposal that a specialized organization for the self-regulation of the cryptocurrencies called the Virtual Commodity Association (the “VCA”) could be established in the US.

Brothers think that the creation of such an organization is a necessary condition for the further development of the market.

The SRO approach has historically worked to protect and police various markets. For example, the National Futures Association is an SRO (self - regulation organization) for the U.S. derivatives industry and is a model for how the VCA can work together with the CFTC to provide additional oversight to virtual commodity cash markets. The promise of virtual commodities and their impact on the future will be profound — but individuals and institutions need to feel safe and secure when transacting. We believe a thoughtful SRO framework that provides a virtual commodity regulatory program for the virtual commodity industry is the next logical step in the maturation of this market.
 

Winklevoss Brothers

All crypto trading platform, serving American traders will be able to take part in new SRO. Members of the organization will have to agree with the rules governing the principles of safety management, tax reporting and dissemination of information. SRO participants will not be able to list tokens, which can be classified as securities, if they do not have the appropriate license.

Kraken to Raise $13.5 Thru BnkToTheFuture

2,263 people with an average investment of $100.000 took part in crownfunding campaign, which became record for the platform
25 June 2019   164

The US Bitcoin exchange Kraken raised $ 13.5 million through the sale of private equity through the investment platform BnkToTheFuture (BF). This was the most successful round of financing from individual investors in the history of BF, reports CoinDesk.

So, in total Kraken crowdfunding campaign was attended by 2,263 people with an average investment of $ 100 thousand. The funds raised are probably used by the exchange to make new acquisitions.

It is noteworthy that BF created a subsidiary, which became the recipient of individual investments in order to subsequently act as a single investor for Kraken. This allowed the exchange to bypass the requirements of the US Securities and Exchange Act and not to go to an IPO.

It is noteworthy that Kraken initially intended to raise $ 10.2 million, but the demand for its shares turned out to be higher and the exchange extended the fundraising period.

According to Kraken's own estimates, its capitalization is $ 4 billion.

Earlier this year, the exchange also acquired Crypto Facilities, a trading platform for cryptocurrency derivatives, expanding the range of services offered.