China has time and again proved to be open to innovation, however, its latest move might give the country a head start in the financial race. Just yesterday, China’s President, Xi Jinping revealed how the country is concentrating on growing into becoming a world leader in blockchain technology. Following this, China’s National People’s Congress passed a law pertaining to cryptocurrencies called ‘The Cryptography Law.’
The law is scheduled to be effective from 1 January 2020 and a local daily reported the motive behind China’s latest move. The report read,
“Standardizing the application and management of passwords, promoting the development of the password business, ensuring network and information security, and improving the scientific, standardized and legalized level of password management.” It is a comprehensive law in the field of passwords in China.”
The latest move of China passing its cryptocurrency centric law would pose beneficial to the country’s yet to be launched Digital RMB.
Previously in July, the Chinese Congress released a draft proposal to pass the law that focuses on cryptocurrencies. The draft proposal read,
“Clear guidelines and regulations are needed to evaluate commercial cryptography technologies used in the major fields related to the national interest as the current ‘loose’ system is not suitable for the industry anymore.”
The country had shown immense interest in the field soon after social media giant Facebook announced the launch of its crypto venture, Libra. Additionally, Mark Zuckerberg in his testimony pointed out that China’s on the verge of developing a universal digital currency. Soon after which Xi Jinping disclosed the country’s aim at dominating the blockchain space.
Gemini shines; Binance, Coinbase fall in CryptoCompare’s exchange rankings
Major cryptocurrency exchanges, Binance and Coinbase, have slipped in the revised version of a cryptocurrency exchange ranking list. The data, compiled by crypto-asset data provider CryptoCompare, was titled ‘CryptoCompare Exchange Benchmark Q3 2019,’ and used a new metric for the latest edition. The tool, dubbed the ‘Exchange Benchmark,’ rested on 30 factors, including the team behind the exchanges, the quality of their markets, their geographical location, legal status, and data provision.
Released on 19 September, Winklevoss twins’ crypto-platform Gemini dominated the chart and was graded AA, followed by ItBit at second, Coinbase at third, and Kraken on the fourth position. Notably, Coinbase had previously dominated the June crypto-exchange rankings and was rated AA. Bitstamp, Liquid, OKEx, Poloniex followed suit, and were rated A.
Bitfinex, one of the world’s largest Bitcoin exchanges, was ranked 10th and graded A. Interestingly, Bitfinex wasn’t even in the top 10 of the previously released rankings.
Binance was positioned as the 12th most-trusted exchange with 10.5 points awarded for security. The Malta-based platform slipped four positions since June, when the exchange was ranked 8th. The reason behind the same may be in light of the security breach in May, wherein 7,070 Bitcoins were stolen by hackers in a single transaction.
Additionally, the updated Exchange Benchmark noted that top-tier exchanges graded between AA-B accounted for 33% of the global trading volume. However, lower tier exchanges rated between C-E made up for 67%.
Talking about the Exchange Benchmark tool which is essentially meant to combine both qualitative and quantitative metric data without using volume directly, Charles Hayter, Co-founder and CEO of CryptoCompare, said,
“Our second Exchange Benchmark now includes a vastly expanded set of exchanges and even more granular analysis to enable market participants and new entrants to identify the best trading venues worldwide.”