Bitcoin News in Review: Mt. Gox Fraud, Ripple, ECB’s Stance on Bitcoin, and More

June 1, 2014 20:30 UTC

Welcome back to another Bitcoin News in Review, where we take a look at some of the biggest stories of the week. This week, (25 May – 1 June), we learned that Mt. Gox may have manipulated the BTC price near the end of 2013, Ripple CEO will donate billions of XRP to the underbanked, the European Central Bank isn’t too happy about bitcoin, and more. Keep scrolling for this week’s Bitcoin News in Review.

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Mt. Gox May Have Caused the $1200 Bitcoin Price

The chart pointing out artificial price floors on MtGox via The Bitcoin Channel.

Looks like the Mt. Gox saga still isn’t over. Near the end of 2013, the bitcoin price had risen above $1000 USD, and many believed this was due to exchange activity in China. However, a new report suggests that price manipulation at Mt. Gox may have occurred. This claim is based on the trading activity of two bots on Mt. Gox – Willy and Markus. Markus never had to pay any fees on trades and neither bot had a country code associated with it. Furthermore, one of the trading logs reveals that Markus’s user ID was 634 at one point, the same user ID of Mark Karpeles. Just goes to show you that centralised exchanges can’t be trusted and that more transparency is needed.

Ripple CEO Will Donate 7 Billion XRP

Chris Larsen will donate billions of XRP to the underbanked.

Ripple’s been having a lot of trouble recently. The company’s co-founder announced a massive sell out, which caused over a 50% drop in the currency’s price, and board member Jesse Powell resigned and had some fiery words for the company. In what could be seen as damage control, Ripple’s CEO Chris Larsen has promised to donate 7 billion XRP (~$30 million) to the underbanked. Ripple labs hopes that this will build investor confidence, but many in the community have already given up on Ripple.

European Central Bank Doesn’t Like Bitcoin

Yves Mersch from ECB’s executive board had some pretty strong words against bitcoin in a recent attempt to sell the Euro as an international currency.

“…Although interested parties can very easily download the application for Bitcoin, they neither understand how this payment system works exactly, nor the risks they run when using it. Worldwide, there are probably a maximum of two million Bitcoin users, and only a few thousand businesses and service providers which accept bitcoins. For that reason, bitcoins have also been referred to as a “regional currency of the internet…”

There are too many things wrong with Mersch’s statement to list here, so you can read more about it on the CCN article.

Bitcoin Price is Still Rising

1BTC = $660 USD at the time of this writing.

The BTC price had risen to $570 last week and is currently $660, defying expectations. Dish Network’s recent announcement that it would accept bitcoin could have something to do with the price rise. Others believe that China is orchestrating a huge pump. What do you think?

That’s it for this Bitcoin News in Review, where we feature our top stories of the week here on CCN.

Last modified: October 8, 2019 12:08 UTC

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