Bitcoin investor support canceled from Korean encryption exchange – But bears remain

A screen shows the price of bitcoins in a virtual currency exchange shop in Seoul, South Korea. (Photo by Seung-il Ryu / NurPhoto via Getty Images) [19659002] A report confirming that the bitcoin exchange of UPbit, now the largest cryptic exchange in South Korea, is storing 100% of its bitcoin budget and cryptocurrency has sent a wave of relief to investors worried after the exchange made by the local authorities in May.

At the time there were concerns: UPbit was manipulating its budget and inflating trade volumes.

As part of the raid, the financial watchdog of the South Korea, the Financial Services Commission (FSC), along with the Korea Financial Intelligence Unit (KFIU), seized hardware and documents from UPbit to assess claims from unknown sources that the exchange was insolvent.

Yoojin, one of the largest South Korean accounting company, was hired to evaluate the UPbits accounts and found that it had the acquired funds req, but the questions remained about the legitimacy of the findings since the Korean government did not issue any statement or further information on the case.

Now, Dunamoo, a subsidiary of the Korean Internet giant Kakao, published a report citing the results of the official audit & nbsp; – something that is very important to verify Yoojin's discoveries – and a bit of a pose to rest the fears of another collapse of the South Korean crypt collapse.

"Currently, UPbit has the exact sum of money held by the investors of the platform along with additional funds, more than enough to compensate each investor," said Lee Seok-woo, the president of Dunamoo . "Therefore, UPbit is able to process withdrawals for customers at the request of its customers and the exchange will continue to issue audit reports on a regular basis to demonstrate its solvency."

Problems for the South Korean cryptic exchange Bithumb in recent months has led UPbit to overtake it as the biggest stock exchange in the country, although UPbit may not hold the title for long. Many expect that the Gopax exchange sponsored by Shinhan Bank will soon dominate the South Korean market.

of South Korea follows other bullish news this week for the price of bitcoins – although bitcoin bears have yet to be hunted.

The bitcoin price has struggled in the last few weeks after a sell-off that brought the price down from the recent highs of around $ 8,500 to about $ 7,000.

Friday it was revealed that the US coffee chain Starbucks is going all-in on crypto currency, potentially paving the way for approval of the bitcoin exchange-tradeed ETF fund of the Securities and Exchange Commission [19659002] Starbucks, owner of the New York Stock Exchange, Intercontinental Exchange (ICE), software giant Microsoft and Boston Consulting Group are collaborating to launch a digital platform & nbsp; call Bakkt which will allow Starbucks customers to use bitcoins and other cryptocurrencies in the coffee chain stores.

"They will now have a regulated exchange in the United States and have a stock license, which is how raw materials are stored and this will make the ETF much easier," the founder of BK Capital Management Brian Kelly told CNBC over the weekend .

The ETF decision, which could arrive later this month, could push the price of bitcoin well above the nearly $ 20,000 reached at the end of last year.

In addition to allowing Starbuck customers to use bitcoins and other cryptocurrencies, Bakkt & nbsp; will use the Microsoft cloud to create an open and regulated digital resource ecosystem.

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A screen shows the price of bitcoins in a virtual currency exchange shop in Seoul, South Korea. (Photo by Seung-il Ryu / NurPhoto via Getty Images)

A report confirming that the bitcoin exchange UPbit, now the largest cryptographic exchange in South Korea, is storing 100% of its bitcoin budget and cryptocurrency has sent a wave of relief worried investors after the exchange has been raided by local authorities in May.

At the time there were concerns that UPbit was manipulating its balance sheet and inflating trade volumes.

As part of the raid, the South Korean financial watchdog The Services Commission ( FSC), together with the Korea Financial Intelligence Unit (KFIU), seized hardware and documents from UPbit to assess requests from unknown sources that the exchange was insolvent.

Yoojin, one of the largest accounting firms in the South Korea, was hired to evaluate the UPbits accounts and found that it has the necessary funds, but the questions remained about the legitimacy of the results since the Korean government has not issued any statement or additional information on the case.

Now, Dunamoo, a subsidiary of the Korean internet giant Kakao, has published a report citing the results of the official audit – something that is very important to verify Yoojin's findings – and somehow pose the fears of another

"UPbit currently has the exact amount of money held by the investors of the platform along with additional funds, more than enough to compensate each investor," said Lee Seok-woo, the president of Dunamoo. "So UPbit is able to process withdrawals for customers at the request of its customers and the exchange will continue to issue audit reports on a regular basis to demonstrate its creditworthiness."

Issues for South Korean crypto exchange Bithumb in recent months has led UPbit to overtake as the largest exchange in the country, although UPbit may not hold the title for long. Many expect exchange with Shinhan Bank Gopax soon dominate the South Korean market.

The news from South Korea follows other bullish news this week for the price of bitcoins – although bitcoin bears have yet to be chased away.

Bitcoin's price has struggled in recent weeks after a sell-off that pushed the price down from the recent highs of nearly $ 8,500 to around $ 7,000.

Friday it was revealed that the American coffee chain Starbucks is going all-in on cryptocurrency, potentially paving the way to approve the Securities and Exchange Commission's ETF (Bitcoin Exchange Traded Fund).

Starbucks, owner of the New York Stock Exchange, Intercontinental Exchange (ICE), software giant Microsoft and Boston Consulting Group are collaborating to launch a digital platform called Bakkt that will allow Starbucks customers to use bitcoins and other cryptocurrencies in their stores. coffee chain.

"They will now have a regulated exchange in the United States and have a licensed warehouse, which is how goods are stored and this will make it much easier for an ETF to arrive," said BK Capital Management founder Brian Kelly at CNBC on the weekend.

The imminent decision of the ETF, which could arrive later this month, could push the price of the bitcoin well above the $ 20,000 highs reached at the end of last year.

In addition to allowing Starbuck customers to use bitcoins and other cryptocurrencies, Bakkt will use Microsoft's cloud to create an open and regulated digital resource ecosystem.