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2024-06-24 13:05:16 How Atomic Swaps Work?

Imagine exchanging cryptocurrencies without intermediaries, custodial risks, or excessive fees. Atomic swaps make this possible, enabling peer-to-peer transactions between users on different blockchains. This decentralized approach aligns with the ethos of DeFi, promoting security, efficiency, and trustless exchanges.

Key Benefits of Atomic Swaps

- No Centralized Exchanges: Eliminates the need for CEXs, reducing trading fees and custodial risks.
- Smart Contracts: Uses smart contracts and cryptography to ensure secure exchanges, making sure both parties meet predetermined requirements for a successful swap.
- Adoption by DEXs: This technology has been embraced by decentralized exchanges, setting a new standard for crypto trading.

For example,you want to exchange Litecoin (LTC) for Bitcoin (BTC) without using a CEX. With atomic swaps, you can directly exchange LTC for BTC, leveraging smart contracts to ensure a secure and trustless transaction. This pioneering technology has revolutionized crypto exchanges, promoting decentralization, security, and efficiency.Embrace the future of crypto trading with atomic swaps!Learn more about it here.

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2024-06-18 00:46:36 When is a Crypto Assets as a Security.(Part 1 legal)

The legal classification of cryptocurrencies in the U.S. is a complex and contentious issue, currently being examined in several court cases. A critical aspect of this debate is whether cryptocurrencies are classified as securities, especially during events like initial coin offerings (ICOs). The SEC argues that nearly all cryptocurrencies fall under this category, with Bitcoin being the primary exception.

What is a Security?
In U.S. law, securities are defined as "investment contracts" where investors anticipate profits mainly from the efforts of promoters or third parties. These profits can come from selling the security or through dividends or interest payments. The SEC uses the Howey Test to determine if a transaction qualifies as an investment contract and thus a security. This test, stemming from a 1946 Supreme Court case involving citrus groves, is pivotal in this determination.

The Howey Test-

The Howey Test is used to determine if something counts as an investment contract or security. It examines three main criteria:

□Investment of Money: People put money into something.
□Expectation of Profit: They expect to make a profit from the efforts of others.
□Common Enterprise: The money is put into a common project.

If all these conditions are met, the asset is likely considered a security under U.S. law.

This test has been instrumental in several cryptocurrency-related enforcement cases, such as those involving Ripple's XRP token and Dapper Labs' NBA Top Shot NFTs. The interpretation and application of the Howey Test significantly influence whether cryptocurrencies are treated as securities, impacting their regulatory and legal requirements.

Understanding whether a crypto asset is classified as a security is crucial for compliance and navigating the legal landscape of cryptocurrency investments. Stay tuned for Part II, where we'll delve deeper into recent cases and their implications.

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2024-06-17 11:16:16 Crypto exchanges: What is a CEX?

When trading cryptocurrencies, you can use two kinds of exchanges: a decentralized exchange (DEX) or a centralized exchange (CEX). We’ll go over the differences with you today.

CEXs are the most convenient and popular way to buy, sell, and trade cryptocurrencies.

Advantages of CEXs:

High order-processing speeds (transactions are near-instant).
A wide range of cryptocurrencies and trading pairs.
User-friendly interfaces.
Some of them are “foolproof,” meaning if you’ve sent crypto to the wrong address, the platform might be able to help you recover your funds.
Buying crypto with fiat currencies.

Disadvantages of CEXs:

They’re vulnerable to hacks and scams. Hackers could gain access to your account and steal all your crypto.
High transaction fees (not always, but it’s common).
Withdrawal restrictions and completing Know Your Customer, which is the process of presenting your ID documents to the exchange before it lets you use the platform.
An alarmingly low level of storage security for your crypto; your coins are in the exchange’s possession, akin to having your money at a bank.

Who would find a CEX useful?

People who want a convenient and quick way of buying, selling, and trading cryptocurrencies. CEXs are widely used among traders and crypto beginners.
People with no interest in taking the time to learn the intricacies of decentralized finance, or DeFi.

Meanwhile, it’s strongly recommended not to use CEXs for long-term crypto storage. Advanced crypto users are well aware of this and have become comfortable using DEXs and decentralized wallets.

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2024-06-12 19:31:58 Understanding Hyperinflation

Hyperinflation is an economic phenomenon where prices skyrocket uncontrollably, with inflation rates exceeding 50% per month. This contrasts sharply with the modest 2% annual inflation rate most economies aim for. Hyperinflation can decimate the value of fiat currencies, rendering them virtually worthless.

In such scenarios, cryptocurrencies like Bitcoin can serve as a safe-haven asset, protecting your wealth from the ravages of hyperinflation. For instance, during Venezuela's hyperinflation crisis, the value of the Bolivar plummeted while Bitcoin's value soared. Venezuelans who invested in Bitcoin saw their wealth preserved, while those who held onto Bolivars saw their savings evaporate.

The importance of crypto in hyperinflationary environments lies in its decentralized, limited supply, and immutable nature, making it an attractive alternative to fiat currencies. By diversifying your portfolio with cryptocurrencies, you can shield your wealth from the devastating effects of hyperinflation and ensure financial stability in uncertain economic times.

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2024-06-11 23:20:10 South Korean Police Crack Down on Crypto Fraud: 19 Arrested in 'Reading Room' Scam

South Korean police have made a major breakthrough in the fight against crypto fraud, apprehending 19 individuals involved in a deceptive "crypto reading room" scheme.

The gang operated through an open chat room, masquerading as seasoned traders and luring in unsuspecting investors seeking legitimate crypto advice.

However, instead of guidance, victims were duped out of a staggering $18.8 million by the cunning fraudsters.

Some members of the gang posed as experts, while others played the role of ordinary investors, all part of an elaborate ploy to gain trust within chat groups.

Despite the arrests, the investigation is far from over, with at least six suspects still on the run. International cooperation through Interpol has been sought to bring them to justice.

The gang's modus operandi involved enticing victims into an "open chat room," where they touted their own success stories and urged others to join dubious crypto exchanges.

Once victims were hooked and invested more money, the gang abruptly cut off contact when it came time for withdrawals, demanding hefty "withdrawal fees" as their final act of deception.

Shockingly, the ringleader employed manipulative tactics akin to pig-butchering, promising jobs abroad only to exploit vulnerable individuals who fell into their trap.

Lawyer Kwak Joon-ho warns that these schemes are on the rise and could result in charges not just for fraud but also for organized crime. The battle against crypto scams continues.

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2024-06-09 19:20:06 BTC update

The past 24 hours turned out to be very difficult for Bitcoin. The price has gone down quite a bit, the fall is palpable.

The price failed to consolidate above the resistance level of ~$71,400, which was the main level. There was a "false breakdown" of this level from below After that, the price pulled back sharply downwards, a spill took place.

Now the price has reached the support of ~$69,300. When rebounding from here there are chances of completing the formation of the pattern "squeeze" in the form of a "cup with a handle"

Also, the pattern "inverted head and shoulders" is not broken globally, so the chances of a return to growth are very high

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2024-06-08 06:08:33 Digital Assets vs. Stocks:

In finance, digital assets and stocks are often conflated but represent distinct entities. Cryptocurrencies, like Bitcoin, are digital tokens with specific values, while stocks signify ownership shares in publicly traded companies. Stocks are traded on regulated exchanges, whereas cryptocurrencies are primarily traded on largely unregulated crypto exchanges.

Despite their differences, both assets share similarities such as volatility and high liquidity. However, their purposes diverge: cryptocurrencies aim to function as alternative forms of money, while stocks reflect ownership in companies.

When investing in crypto stocks, you're not purchasing cryptocurrencies directly but buying individual stocks in companies within the crypto industry. Examples include Coinbase, a cryptocurrency exchange that went public in 2021, as well as crypto mining companies and blockchain technology providers.

Understanding the distinction between digital assets and stocks is crucial for making informed investment decisions. While both offer opportunities, their unique characteristics and purposes necessitate different approaches. By recognizing these differences, you can make informed choices and potentially unlock new opportunities in the world of finance.

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2024-06-06 20:16:03 #ETH has a good chance to go upwards

Let's consider the 4 hour timeframe of the Ethereum chart. A situation is formed here, which is extremely promising for the growth of the coin.

The price is moving within the "price channel" pattern It is ascending in form, but it can still work upwards similar to the bull flag

Now the bulls are successfully defending the lower boundary of the pattern. But to confirm the growth we need a departure above the midline.

Further on the coin is most likely to develop an upward impulse

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2024-06-05 18:37:00 Today's hamster 5 million combo
5 million coins today‌‌

Welcome To Amsterdam (Pr and team)
Consensus Piranha pass (special)
Prediction market (Market)

HAMSTER_KOMBAT
https://t.me/Hamster_kombat_bot/start?startapp=kentId5216963712
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2024-06-05 12:20:37 BTC update

Over the past 24 hours, the price of the first cryptocurrency showed positive dynamics

The pattern "triangle with a flat bottom", which expressed the "squeeze" to the level of ~$67,200, is gradually breaking. Going under it failed on the sixth wave inside the pattern. There were a lot of pointers to this, which I've spelled out in my last posts.

For the final break of the bearish formation, a breakdown of the resistance of ~$69,300 is required. A consolidation above it would indicate a price move to the upside.

Going forward, I am also bullish towards the market

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