Crypto Corner - June 22, 2018
NXT-ID (NASDAQ: $NXTD) COO and Fit Pay President Michael Orlando says 'Crypto is Here to Stay'
Japan's FSA Issues Six More “Business Improvement Orders” and Mt. Gox to Commence Civil Rehabilitation
Stocks discussed: (Nasdaq:NXTD)
Michael Orlando, COO of NXT-ID (Nasdaq:NXTD) and President of Fit Pay, Inc. told Investorideas.com in an exclusive interview that investors should not be caught off guard by the crypto market's volatility.
"We should all have expected that it would continue to be volatile, particularly as the regulatory players figure out they're going to define and deal with crypto in general," he said.
Orlando affirmed that crypto will continue to be a significant force in the market and that NXT-ID and Fit Pay, Inc., the creator of the Flip™, the contactless payment device for cryptocurrency, were eager to play an important part in its growth.
"For us there is no doubt that cryptocurrencies are here to stay," he said. "There's going to be various forms of those and acceptance of those. We feel like we need to be a part of that and ensure that we're staying in touch and in tune, and looking for ways to innovate around those different currencies and blockchain in general."
Japan's Financial Services Agency (FSA) has issued six cryptocurrency exchanges with "business improvement orders". One such exchange, bitFlyer was targeted following an FSA inspection for coming up short on security measures.
"...an effective management management system has not been established to ensure proper and reliable operation of the business, as well as countermeasures against money laundering and terrorist financing, Today, the Director of the Kanto Local Finance Bureau told us the fact that the effective internal control system related to separation control of user property, management of books documents, prevention of outflow of virtual currency due to unauthorized access, etc. was not established."
In response, bitFlyer issued a statement wherein they apologized and announced that they would suspend the creation of new accounts until they met FSA regulations.
"...we will voluntarily suspend account creation by new customers until the review of the status of identity confirmation to existing customers is completed and the internal control system is strengthened. We sincerely apologize for any inconvenience to customers who have newly considered using our services."
According to a statement released today, inoperative crypto exchange Mt. Gox will be commencing civil rehabilitation proceedings following an order by the Tokyo District Court. The court made the decision in response to a petition made out in November 2017 for civil rehabilitation and ends Mt. Gox's ongoing bankruptcy proceedings.
Sam Mowers, Investorideas
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