OKcoin - illegal business/money laundering - Judge rules - page 3.

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Quote from: 7788bitcoin on August 14, 2016, 07:10:48 AM

I think we must all very careful with using the exchanges. We shall see more of them come and go. The actual details of the recent hack of one of the biggest exchanges is still unknown; exchange with 80% (!) global bitcoin exchange volume is under money laundry investigation... These are creating bad images for bitcoin.

Yeah, this greatly influences the growth and image of the bitcoin. If this still happens then growth will be hampered by the bitcoin news such as this and this will also have an impact on the price of the bitcoin unchanged (stable). I hope we can improve themselves and browse in advance all of the sites. cause if not then a case like this will increasingly occur whenever

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Quote from: ABCbits on August 14, 2016, 09:45:12 AM

I think the impact won't be that big because we know that volume trading is fake/manipulated. The trader/whale only going to another exchange.
Would be different if they can't pay fine, got hacked or run away with customer money.

despite the fact that everyone knows what's going, markets run on perception and enough stupid people would panic for there to be a hefty fall and more doldrums. the whales depend on the sentiments of the dimwits to take more coins off them.

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Quote from: unamis76 on August 14, 2016, 07:21:48 AM

Quote from: Pursuer on August 14, 2016, 07:09:25 AM

I think the question here, that we should care about is that how much do you think it can affect the price.

I know that OKCoin was the biggest Chinese exchange that existed. but also I remember that their price did not really have any big effect on bitcoin price since a while back when the price was rising towards the moon, price on OkCoin was already a great deal above dollar value and it didn't seem to affect bitcoin price in any positive way.

so what do you guys think?

Since the Bitfinex hack affected the price, I'd risk in saying that if OKCoin closed down right now there would be a small(er) "dump" in price too, not because of lack of trust in Bitcoin, but because whales take advantage of pretty much any piece of news to make the market go up or down... Cheesy

I think the impact won't be that big because we know that volume trading is fake/manipulated. The trader/whale only going to another exchange.
Would be different if they can't pay fine, got hacked or run away with customer money.

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Quote from: Pursuer on August 14, 2016, 07:09:25 AM

I think the question here, that we should care about is that how much do you think it can affect the price.

I know that OKCoin was the biggest Chinese exchange that existed. but also I remember that their price did not really have any big effect on bitcoin price since a while back when the price was rising towards the moon, price on OkCoin was already a great deal above dollar value and it didn't seem to affect bitcoin price in any positive way.

so what do you guys think?

Since the Bitfinex hack affected the price, I'd risk in saying that if OKCoin closed down right now there would be a small(er) "dump" in price too, not because of lack of trust in Bitcoin, but because whales take advantage of pretty much any piece of news to make the market go up or down... Cheesy

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I think we must all very careful with using the exchanges. We shall see more of them come and go. The actual details of the recent hack of one of the biggest exchanges is still unknown; exchange with 80% (!) global bitcoin exchange volume is under money laundry investigation... These are creating bad images for bitcoin.

Pursuer

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Where is my ring of blades...

I think the question here, that we should care about is that how much do you think it can affect the price.

I know that OKCoin was the biggest Chinese exchange that existed. but also I remember that their price did not really have any big effect on bitcoin price since a while back when the price was rising towards the moon, price on OkCoin was already a great deal above dollar value and it didn't seem to affect bitcoin price in any positive way.

so what do you guys think?

unamis76

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So the court ruled they're illegal, but they keep operating? If it was elsewhere (America, as an example, and especially in New York), they'd probably be having a hard time right now Cheesy

As for money laundering, there must be proof of that... I'd be curious to see it.

Quote from: mayax on August 13, 2016, 02:59:44 PM

They keep depositing the money into a DEEP shit whole like Bitfinex even Bitfinex stole their funds; they use unlicensed exchangers and then...they are winning on forums that their money are gone and someone must help them

Weren't they licensed (or in the process of acquiring licenses)?

Anyways, Mt. Gox was supposedly licensed too, and we all know what happened...

Quote from: Sir Alpha_goy on August 13, 2016, 03:17:19 PM

Aren't fake volumes and/or price manipulation standard operating procedure for all Bitcoin related exchanges?

Probably. I'd like to see real data on this. I'm afraid we'll never have it.

Quote from: tulipbubble on August 14, 2016, 05:55:32 AM

aprox 80% from market?

I think this figure is exaggerating, okcoin's figure is fake and most volume is generated by robots, 80% is fake.

Selling from left hand to right hand, as it says on the OP...

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aprox 80% from market?

I think this figure is exaggerating, okcoin's figure is fake and most volume is generated by robots, 80% is fake.

mayax

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the warning is very clear. DO NOT keep your funds with Okcoin.

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Quote from: Sir Alpha_goy on August 13, 2016, 04:37:11 PM

They are as legit as all the American ones.....

uh, like itbit with their trust charter under new York banking law with the New York State Department of Financial Services monitoring their every move and demanding regular audits? the first one issued to anyone since 2008 and it took over a year to obtain?

yeah. I heard you can get one of those for 0.001 btc if you slip it to the right senator. I might pick up one myself tonight to impress the girls.

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Quote from: European Central Bank on August 13, 2016, 04:29:40 PM

wasn't this the place that turned out to be keeping their cold storage in the ceo's girlfriend's moms closet?

I've read elsewhere that this is a civil case so it's nowhere near as alarming as if they were feeling the full force of criminal law.

regardless of that, i'd love to know how legit any of these Chinese exchanges are and whether anyone in the government is paying attention. one curious official might shut them all down in one afternoon.

bitcoin would take a huge knock if these places went away but it would probably show us how fake they were in the long run.

They are as legit as all the American ones.....

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Quote from: brian damage on August 13, 2016, 04:34:01 PM

Not long ago the Chinese government started allowing direct deposits from Chinese bank accounts into Chinese exchanges. If it was considering shutting all the exchanges down I don't think it would have allowed direct deposits. Allowing those direct deposits legitimised exchanges in China.

but does that mean anything's been formalized? it might be something they can revoke any second they feel like doing so. they didn't hang around in late 2013 when it looked like people were starting to use it as an actual currency.

illyiller

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Quote from: European Central Bank on August 13, 2016, 04:29:40 PM

wasn't this the place that turned out to be keeping their cold storage in the ceo's girlfriend's moms closet?

I believe the story is that Star Xu (CEO) gave the private keys to his mother for safekeeping. Pretty sure it came from the former CTO. Cheesy

Quote

I've read elsewhere that this is a civil case so it's nowhere near as alarming as if they were feeling the full force of criminal law.

Yeah it's chump change anyway, 600k yuan. But it does make me wonder if it could lead to further investigations into their operations.

Quote

regardless of that, i'd love to know how legit any of these Chinese exchanges are and whether anyone in the government is paying attention. one curious official might shut them all down in one afternoon.

bitcoin would take a huge knock if these places went away but it would probably show us how fake they were in the long run.

Agreed. The government could purge them all instantly if they felt threatened.

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Quote from: European Central Bank on August 13, 2016, 04:29:40 PM

wasn't this the place that turned out to be keeping their cold storage in the ceo's girlfriend's moms cupboard?

I've read elsewhere that this is a civil case so it's nowhere near as alarming as if they were feeling the full force of criminal law.

regardless of that, i'd love to know how legit any of these Chinese exchanges are and whether anyone in the government is paying attention. one curious official might shut them all down in one afternoon.

Not long ago the Chinese government started allowing direct deposits from Chinese bank accounts into Chinese exchanges. If it was considering shutting all the exchanges down I don't think it would have allowed direct deposits. Allowing those direct deposits legitimised exchanges in China.

European Central Bank

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wasn't this the place that turned out to be keeping their cold storage in the ceo's girlfriend's moms closet?

I've read elsewhere that this is a civil case so it's nowhere near as alarming as if they were feeling the full force of criminal law.

regardless of that, i'd love to know how legit any of these Chinese exchanges are and whether anyone in the government is paying attention. one curious official might shut them all down in one afternoon.

bitcoin would take a huge knock if these places went away but it would probably show us how fake they were in the long run.

mayax

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Quote from: marky89 on August 13, 2016, 03:35:39 PM

Quote from: Sir Alpha_goy on August 13, 2016, 03:17:19 PM

Quote from: mayax on August 13, 2016, 02:32:04 PM

Okcoin, the biggest Bitcoin exchanger(aprox 80% from market) has been found guilty of unlicensed money transmitter(similar license for China) and other illegalities.

http://8btc.com/thread-37836-1-1.html

The Higher People's Court of Heilongjiang Province, rulled that Okcoin business is illegal because they don't have a proper license.
Okcoin company declared that they will only offer: technology development, transfer of technology, technical services, technical marketing, consulting and investment management.
Trading bitcoin for profit-making purpose is beyond the range permitted by the administrative authorities. They would need many other licenses.

More, the judge said that Okcoin favorize the criminals for laundering money.

Okcoin is well know for their shaddy business like fake volumes and price manipulation.

Even Lee, the BTC China CEO said that a while ago "... Okcoin and Huobi are known for inflating trading volumes artificially, basically selling from left hand to the right hand."

http://www.coindesk.com/chinese-bitcoin-exchange-okcoin-accused-faking-trading-data/

http://bitcoinpricelive.com/chinese-bitcoins-crash-market/

Their clients should be aware that OKcoin can be closed anytime.Don't keep your funds in Okcoin !

Aren't fake volumes and/or price manipulation standard operating procedure for all Bitcoin related exchanges?

Maybe for major Chinese exchanges. Huobi has definitely been accused of this as well. But if you compare Okcoin or Huobi's volume to Western exchanges, it seems obvious who is really pumping volume numbers. Okcoin was claiming earlier this year that the entire tradeable supply of Bitcoin was being traded every few days on their exchange. Give me a break. Not nearly enough algos running on Okcoin to even begin to make those claims.

That said, I think Bitstamp inflates its volume numbers.

all the exchangers are doing this(Bitstamp is well known for fake volumes...

). I personally know someone from a big exchanger and this is the standard procedure. even, it's big, they have a lot of fake transactions just to show that they have BIG volume, that they have many clients and so on. these things attract new clients. a "ghost" exchanger with few trades will not be used.

also, the fake volumes are good for price manipulation...the exchangers are not earning from their fees but from other shits

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Quote from: Sir Alpha_goy on August 13, 2016, 03:41:06 PM

ALL ARE MANIPULATING.

They have the most to gain.

"Fees" are collected if a coin goes up or down.

They own the Bitcoin world.

I hear ya. I think more than anything, many exchanges engage in bucket shop behavior (stop running to liquidate traders, etc). I think Bitfinex has been heavily involved in this historically. Okcoin and Huobi also.

However, I think there are degrees to which exchanges are manipulating, and Okcoin and Huobi are the worst offenders. Followed by Bitfinex. Bitfinex has always been very, very shady. Now there is just absolutely no reason to risk keeping funds there.

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Quote from: marky89 on August 13, 2016, 03:35:39 PM

Quote from: Sir Alpha_goy on August 13, 2016, 03:17:19 PM

Quote from: mayax on August 13, 2016, 02:32:04 PM

Okcoin, the biggest Bitcoin exchanger(aprox 80% from market) has been found guilty of unlicensed money transmitter(similar license for China) and other illegalities.

http://8btc.com/thread-37836-1-1.html

The Higher People's Court of Heilongjiang Province, rulled that Okcoin business is illegal because they don't have a proper license.
Okcoin company declared that they will only offer: technology development, transfer of technology, technical services, technical marketing, consulting and investment management.
Trading bitcoin for profit-making purpose is beyond the range permitted by the administrative authorities. They would need many other licenses.

More, the judge said that Okcoin favorize the criminals for laundering money.

Okcoin is well know for their shaddy business like fake volumes and price manipulation.

Even Lee, the BTC China CEO said that a while ago "... Okcoin and Huobi are known for inflating trading volumes artificially, basically selling from left hand to the right hand."

http://www.coindesk.com/chinese-bitcoin-exchange-okcoin-accused-faking-trading-data/

http://bitcoinpricelive.com/chinese-bitcoins-crash-market/

Their clients should be aware that OKcoin can be closed anytime.Don't keep your funds in Okcoin !

Aren't fake volumes and/or price manipulation standard operating procedure for all Bitcoin related exchanges?

Maybe for major Chinese exchanges. Huobi has definitely been accused of this as well. But if you compare Okcoin or Huobi's volume to Western exchanges, it seems obvious who is really pumping volume numbers. Okcoin was claiming earlier this year that the entire tradeable supply of Bitcoin was being traded every few days on their exchange. Give me a break. Not nearly enough algos running on Okcoin to even begin to make those claims.

That said, I think Bitstamp inflates its volume numbers.

ALL ARE MANIPULATING.

They have the most to gain.

"Fees" are collected if a coin goes up or down.

They own the Bitcoin world.

marky89

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Quote from: Sir Alpha_goy on August 13, 2016, 03:17:19 PM

Quote from: mayax on August 13, 2016, 02:32:04 PM

Okcoin, the biggest Bitcoin exchanger(aprox 80% from market) has been found guilty of unlicensed money transmitter(similar license for China) and other illegalities.

http://8btc.com/thread-37836-1-1.html

The Higher People's Court of Heilongjiang Province, rulled that Okcoin business is illegal because they don't have a proper license.
Okcoin company declared that they will only offer: technology development, transfer of technology, technical services, technical marketing, consulting and investment management.
Trading bitcoin for profit-making purpose is beyond the range permitted by the administrative authorities. They would need many other licenses.

More, the judge said that Okcoin favorize the criminals for laundering money.

Okcoin is well know for their shaddy business like fake volumes and price manipulation.

Even Lee, the BTC China CEO said that a while ago "... Okcoin and Huobi are known for inflating trading volumes artificially, basically selling from left hand to the right hand."

http://www.coindesk.com/chinese-bitcoin-exchange-okcoin-accused-faking-trading-data/

http://bitcoinpricelive.com/chinese-bitcoins-crash-market/

Their clients should be aware that OKcoin can be closed anytime.Don't keep your funds in Okcoin !

Aren't fake volumes and/or price manipulation standard operating procedure for all Bitcoin related exchanges?

Maybe for major Chinese exchanges. Huobi has definitely been accused of this as well. But if you compare Okcoin or Huobi's volume to Western exchanges, it seems obvious who is really pumping volume numbers. Okcoin was claiming earlier this year that the entire tradeable supply of Bitcoin was being traded every few days on their exchange. Give me a break. Not nearly enough algos running on Okcoin to even begin to make those claims.

That said, I think Bitstamp inflates its volume numbers.

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time for another "bank run"

Topic: OKcoin - illegal business/money laundering - Judge rules - page 3. (Read 2933 times)