Tag: Cryptocurrency

1
An old-fashioned bank heist – in cyberspace
2
Weather Bureau IT mining cryptocurrencies?
3
ASX Listings and Cryptocurrencies
4
Hong Kong regulators take action against cryptocurrency exchanges and ICOs
5
Cryptocurrency 2018: When the Law Catches Up with Game-Changing Technology
6
Hacking of digital currency exchange leaves Japanese company footing the bill
7
Initial Coin Offerings (ICOs) under German law
8
Tax-free cryptocurrency transactions could come with reporting obligations

An old-fashioned bank heist – in cyberspace

By Cameron Abbott and Sarah Goegan

In the old days the bank robbers would rob the local town and ride off into the sunset. The new version is a little less easy to see. Coinrail, a South Korean cryptocurrency exchange, has announced that it was hacked on 10 June.  That’s a polite phrase for “our customers lost a lot of coins”.

The cyberattack resulted in more than $40 million USD worth of altcoins (coins that aren’t bitcoin or Ethereum) being stolen. This represented around 30% of coins traded on the exchange. Quite a substantial amount, considering Coinrail is a smaller cryptocurrency exchange!

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Weather Bureau IT mining cryptocurrencies?

By Cameron Abbott and Allison Wallace

The Australian Federal Police are investigating two members of the Bureau of Meteorology’s IT team for allegedly running an operation in which they made use of the Bureau’s powerful computers to “mine” cryptocurrencies.

It was revealed late last week that the AFP raided the Bureau’s Melbourne CBD offices on February 28, and questioned the two employees. No charges have been laid, or arrests made. Read More

ASX Listings and Cryptocurrencies

By Jim Bulling and Edwin Tan

The Australian Securities Exchange (ASX) has recently provided several comments in relation to entities that are listed or looking to list on the ASX that are involved in cryptocurrency-related businesses, such as developing cryptocurrency tokens, conducting Initial Coin Offerings and operating cryptocurrency exchanges.

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Hong Kong regulators take action against cryptocurrency exchanges and ICOs

By Rizwan Qayyum

Hong Kong’s Securities and Futures Commission (“SFC”) have issued formal warnings to seven cryptocurrency exchanges and seven issuers of initial coin offerings. This follows their initial statement on ICOs released on 5 September 2017, and represents their first regulatory action.

The SFC has sent letters to seven cryptocurrency exchanges “in Hong Kong or with connections to Hong Kong”, which provides a warning that they should not be trading cryptocurrencies which are “securities” as defined in the Securities and Futures Ordinance (“SFO”) without a licence.  The exchanges responded immediately, either by confirming that they do not provide trading services for such currencies or took rectification measures, including removing relevant cryptocurrencies from their platforms.

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Cryptocurrency 2018: When the Law Catches Up with Game-Changing Technology

By David E. Fialkow, Edward J. Mikolinksi and Jack S. BrodskyBlockchain technology and the virtual currency, or cryptocurrency, that uses this technology are revolutionizing the way businesses function and deliver goods and services. Even as cryptocurrency becomes a widely debated topic, gaining the critical attention of regulators and policymakers, individuals and businesses are investing billions of dollars in cryptocurrency annually. To understand how blockchain and cryptocurrency may impact you, your business, and your industry, it is important to understand what cryptocurrency is and how the underlying blockchain works. This article provides a brief introduction to these concepts as well as a primer on cryptocurrency legal issues.  To read the full article, click here.

 

Hacking of digital currency exchange leaves Japanese company footing the bill

By Cameron Abbott and Allison Wallace

Coincheck – one of Japan’s largest digital currency exchanges – says it will repay hundreds of millions of dollars’ worth of virtual money, after hackers broke into its network, stealing a reporting 58 billion yen (AUD660 million) worth of NEM (a cryptocurrency like Bitcoin).

Hackers broke into the Coincheck network early Friday morning, but it wasn’t discovered until nearly eight and a half hours later. Read More

Initial Coin Offerings (ICOs) under German law

By Hilger von Livonius and Philipp Riedl

The raising of funds for cryptocurrency projects (also called Initial Coin Offerings or ICOs) gain more and more market interest. Although there is no specific and coordinated regulatory framework applicable to ICOs, it is not something happening in a completely unregulated area.

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Tax-free cryptocurrency transactions could come with reporting obligations

By Elizabeth C. Crouse, Mary Burke Baker, Robert M. Crea, Claire S. White and Rachel D. Trickett

As cryptocurrencies such as Bitcoin and Ethereum become more prevalent in investment circles and acceptable for commercial transactions, the U.S. Internal Revenue Service (IRS) has said little other than to label “virtual currencies” as property and state that transactions involving virtual currencies may be subject to taxation under generally applicable law. However, on September 7, the Congressional Blockchain Caucus introduced the Cryptocurrency Tax Fairness Act which would exempt certain cryptocurrency transactions and create a cryptocurrency-specific information reporting requirement.

To read more about this update, click here.

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