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Mt. Gox tale back with a new twist with the ingress of CoinLab

Priya

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Mt. Gox tale back with a new twist with the ingress of CoinLab
Source: Unsplash

Mt. Gox, a cryptocurrency exchange popular for its heist, is back in the limelight with a new twist in the civil rehabilitation program. The next court hearing on the same topic is going to be held towards the end of this month, February 2019, and this time the court will have to decide whether the victims of the hack should be the first to reclaim their loss or not.

According to the latest reports, Peter Vessenes, the co-founder of CoinLab and former Chair at Bitcoin Foundation, is taking part in the rehabilitation program as well. The former chair is claiming over  1.6 trillion in Japanese Yen, which is a claim of around $16 billion. If this claim is passed by the court, then there would have a huge impact on the funds left for the victims of the hack.

Daniel Kelman, an attorney was one of the first to notice the claims. He said on official Twitter handle:

“Peter @vessenes is now confirmed as the party claiming ¥1.6 JPY in damages from MtGox. He apparently thinks MtGox victims should get nothing”

Mt. Gox claims | Source: Daniel Kelman Twitter

Mt. Gox claims | Source: Daniel Kelman Twitter

Notably, this not the first time CoinLab is appealing for claims from Mt. Gox, the two have had an edgy relationship in the past. According to a report by Bitcoin.com dated for the year 2016, CoinLab had first filed a lawsuit against the exchange in 2013, months prior to the hack. The lawsuit was filed over allegations that the exchange breached a partner contract for the U.S and Canada by not disclosing information pertaining to their existing clients.

Mt. Gox was noted to be one of the biggest Bitcoin exchanges in the world, with the platform handling over 70% of all of Bitcoins transactions. However, the platform soon succumbed to a security breach, resulting in the loss of over 7% of Bitcoin [750,000 of customers funds and 100,000 of its own funds], worth around $475 million. This eventually led to the exchange filing for bankruptcy with the Tokyo District Court.



To this, Jesse Powell, the CEO of Kraken said on Twitter:

“Unbelievable balls on this guy to hold up payouts to thousands of victims for years with an entirely frivolous claim over a botched partnership attempt. How could you think that your $16B claim should be senior to the actual account holders’? How do you show your face?”

Robert Balejik, a Twitterati also responded:

“this shows incompetency of a court dealing with the case/ legal system. Victims should get paid 1st and then anything other. Prediction markets would solve this much more effectively IMHO.”





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Priya is a full-time member of the reporting team at AMBCrypto. She is a finance major with one year of writing experience. She has not held any value in Bitcoin or other currencies.

XRP

Has XRP decoupled from Bitcoin? Is it due to immense pressure from manipulators?

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Hash XRP decoupled from Bitcoin? Is it due to immense pressure from manipulators?
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Opinion: Bitcoin, the first cryptocurrency, has had over ten years to grow. However, other altcoins did not have the liberty, due to which Bitcoin exerts its dominance over almost all altcoins in the ecosystem, be it Ethereum, XRP, or Cardano. The price of altcoins generally tends to rise if Bitcoin’s price surges rapidly. The same can be said about the downtrend as well, which is why altcoins are said to be coupled with Bitcoin.

However, the recent buzz on crypto-twitter is that XRP is on the verge of decoupling from Bitcoin. A Twitter user @XRPMOONSHINE tweeted:

“DO ME A FAVOR OPEN UP A BTC/USD CHART AND AN XRP/USD CHART. THEY HAVE DECOUPLED AND ARE MOVING DIFFERENTLY.”

In a very general sense, the comparison of the price change of XRP and BTC gives a crude understanding of whether the prices have actually decoupled or not. Hence, the daily chart attached below shows the price of BTC and XRP against the US Dollar and extends from August 2018 to April 2019. The price of XRP seems to be following a lag from the price of BTC and do not necessarily mean that it has decoupled.

However, there are timeframes where the price of XRP has moved completely unrelated to that of Bitcoin. For example, the meteoric rise of XRP from September 18 to 22 was far higher than the price pump of BTC over the similar timeframe; but the drop of XRP from November 18 to December 16 was exactly the same as that of BTC’s.

Furthermore, XRPMOONSHINE suggested that XRP price was being manipulated. He tweeted:

“It is being manipulated to keep it from rising. For example look at XRP/BTC pair. Keeping it under the down sloping resistance from .80 in September. Thats what I mean by Suppressed, Although im expecting a fairly large move to the upside before 4/24/19.”

The “idea” of the price of XRP being manipulated is not unpopular within the XRP ecosystem as Peter Brandt, a famed trader, suggested the same in one of his tweets.

Brandt tweeted:



Conclusion

XRP may have started to decouple from Bitcoin, but it surely hasn’t decoupled completely. The notion that XRP is being manipulated to keep its price below certain levels can also not be confirmed without proof.





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