Cryptocurrency Latest: Russia's first crypto bank and bitcoin hits safety target
Russia looks to bring crypto trading into the mainstream, while reports suggest many projects are failing in 2018. The Tradefair team brings you the latest cryptocurrency roundup...
"We help companies go through the stage of fundraising. Monetization is classic: we get our commission after the company with our help raised funds in the market."
- Yakov Barinsky, HASH Project Manager and Financial Director of QBT.
The cryptocurrency market remains a contentious issue for many but for investors, it offers a thrill like no other.
Here are some of the latest stories happening in the ever-changing but never boring world of cryptocurrency trading:
Bitcoin approaching key stability benchmark
Investors seemed to have a surge in confidence in cryptocurrency over the weekend, Hacked reports, as billions flowed back into the market. As a whole, the crypto market recovered more than $20 billion in value across the last Saturday and Sunday in June, with bitcoin hitting a stable benchmark.
Saturday saw Bitcoin break the $6,400 mark, which many traders see as a key threshold for the cryptocurrency's value. It represented the first time it had reached this safety point for more than a week and could restore confidence to traders.
According to CoinMarketCap, the positive performance over the weekend took the total value of the cryptocurrency market to nearly $257 billion.
Crypto projects dwindling
On the other end of the scale, many cryptocurrency projects are going under. Citing Coinopsy and DeadCoins, Tech Crunch states that more than 1,000 schemes have failed so far in 2018. However, this is a obstacle that all new industries have to overcome to become successful.
The report suggests that crypto startups should switch away from the multi-level marketing tactics that many use to get off the ground and instead take advantage of established crowdfunding platforms like Kickstarter or Indiegogo.
It states: "These crowd-funding platforms have made trust an art. By creating collateral that defines the team, the project, the risks and the future of the idea, you can easily build businesses even without much funding."
Russia's first crypto bank on the horizon
Employees of Russia-based payment services provider Qiwi have helped to create the Russia's first crypto investment bank, CCN reports. According to Kommeresant, the project will be called HASH and is set to give potential investors the same support they would normally get from financial institutions but with a focus on crypto assets.
It won't operate as a Qiwi Group subsidiary but will offer assessment, search and market entry projects to attract bigger investors. This is expected to drive more interest in the Russian market, whetting the appetite of many would-be traders. HASH will attract interest from international funds that focus on investing in digital assets and is said to be currently working with around ten such funds.
In fact, the project is a classic investment banking service that has been translated into the digital assets market.
HASH Project Manager and Financial Director of Qiwi Blockchain Technologies (QBT) Yakov Barinsky told Kommersant: "We help companies go through the stage of fundraising. Monetization is classic: we get our commission after the company with our help raised funds in the market."