Several companies have entered the crypto sphere this year, however, social media giant Facebook’s entry seems to be the most controversial. The platform has constantly been in the news following the various regulations put forth by several financial watchdogs. Germany and France have even been looking into banning the project itself. While Facebook has been making efforts to comply with the regulations, the U.S. House committee has directed the Chief Executive Officer of the social media giant, Mark Zuckerberg, to appear before the panel by January.
As per reports, the House of Representatives’ Financial Services Committee is seeking the testimony of Facebook’s Chief Operating Officer, Sheryl Sandberg on October 29. However, this meeting has been on hold until Zuckerberg pledges to appear.
Maxine Waters, the Chairwoman of the House Financial Services Committee, detailed how the potential threat that Facebook would pose wouldn’t be limited to one sector. Waters elaborated on the same during a hearing in July,
“Facebook’s plans raise serious privacy, trading, national security, and monetary policy concerns, not only for Facebook’s over 2 billion users, who will have immediate access to these products, but also for consumers, investors and the global economy.”
As per orders from the Chairwoman, Facebook’s David Marcus revealed that it wouldn’t release its crypto project until it is fully compliant with the regulations. Users of the social media platform’s Libra project would be required to register with a government-issued ID in order to affirm their identity. This way the platform would be able to tackle illegal activities.
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.”