Latest news with #Seychelles-based
The Citizen
3 days ago
- Business
- The Citizen
Loophole blocked: Sarb appeals ruling on crypto not being subject to exchange controls
Follows a high court ruling in May that exporting funds via cryptocurrencies does not violate exchange controls. The Reserve Bank says the court was wrong to find that cryptocurrency is not 'money' from an exchange control perspective. Picture: Shutterstock t took the South Africa Reserve Bank (Sarb) just two weeks to appeal a legal loophole that would allow unlimited funds to leave the country using cryptocurrencies. On Monday, it filed an appeal against a Pretoria High Court ruling that cryptocurrencies are not subject to South African exchange control regulations. The Sarb appeal has effectively shut off that legal loophole. The high court ruling in May followed a case brought by Standard Bank against the Sarb, the minister of finance, Nedbank and the liquidators of Leo Cash and Carry, in which the bank was attempting to recover funds it had lent to Leo Cash and Carry (LCC) before the company was placed in liquidation in 2022. LCC had come under scrutiny by Sarb's Financial Surveillance department (FinSurv) when it was discovered, among other things, that the company had shipped more than 4 400 bitcoin, then valued at about R556 million, to Seychelles-based crypto exchange Huobi Global. The Pretoria High Court said it would not be drawn into rewriting the law to include cryptocurrencies under the definition of 'capital' as part of exchange control regulations. Read more Crypto not subject to exchange controls – for now ALSO READ: Crypto not subject to exchange controls – for now In its appeal filed on Monday, the Sarb says the Pretoria High Court erred in finding that LCC had not contravened exchange control regulations, and had likewise erred in its ruling that cryptocurrency does not fall within the ambit of these regulations. This was despite the court finding that LCC was undeniably involved 'in a scheme, and/or used as a conduit to directly or indirectly export funds, foreign currency, and capital from the Republic'. The result of this was that LCC was able to export capital abroad. The Sarb goes on to argue that the court was wrong to find that cryptocurrency was not 'money' or 'foreign currency' from an exchange control perspective. It also takes issue with the court finding that cryptocurrency falls outside the ambit of 'capital' or the 'right to capital' as defined in the regulations. ALSO READ: Bitcoin hits record high, surpasses R2 million The Sarb says the court erred in failing to find that Regulation 22C was applicable in this case. Regulation 22C allows the Reserve Bank to block transactions where there is a reasonable suspicion of exchange control violations. Based on these errors, the court should have dismissed Standard Bank's application, it says. Standard Bank was successful in setting aside Finsurv's forfeiture of R16.4 million held by the bank prior to the LCC liquidation, but failed to recover an amount of R10 million paid by LCC to Nedbank in settlement of an overdraft facility. The appeal by Sarb gives some insight into possible changes in exchange control regulations that would specifically extend definitions of capital, the right to capital, money and foreign currency to cryptocurrencies. Harry Scherzer, CEO of Future Forex comments: 'It was relatively clear that the Reserve Bank made an error in the sense that it allows people to evade exchange control which basically makes the whole of exchange control redundant, because you can essentially take out as much money as you want as crypto and send it into dollars abroad, and I'm sure there are some people that did exactly that.' ALSO READ: Taxpayer battling with a crypto tax nightmare for months Scherzer says it was very clear that the Sarb got it wrong and needed to change things. 'The only thing that is surprising is the speed with which the Reserve Bank responded in appealing this, and that's a good thing. If SA wants to keep exchange control laws as all-encompassing, they can't have crypto as a means of sending funds out of the country without monitoring. 'We carried on as if this loophole was a mistake and didn't allow crypto to be used to send funds out of the country as we saw it would be something that would be corrected. So, we're back to the status quo [as far as exchange controls go],' Scherzer adds. This article was republished from Moneyweb. Read the original here.
Yahoo
23-05-2025
- Business
- Yahoo
Trump uses ‘personal time' to meet with mysterious crypto investors
President Donald Trump spent 'personal time' with cryptocurrency investors at a dinner on Thursday, which his spokesperson described as not being 'a White House dinner.' During a press briefing earlier on Thursday, White House Press Secretary Karoline Leavitt was asked by Garrett Haake from NBC News about the dinner with the president. The dinner was held with 'the top 220 $TRUMP Meme Coin Holders,' according to an online registration page. Haake asked Leavitt if a list of attendees would be made available for the sake of transparency. 'The president is attending it in his personal time,' Leavitt replied. 'It is not a White House dinner. It's not taking place here at the White House.' Not discussed was the price of admission. Anonymous cryptocurrency buyers in attendance paid between $55,000 to $37.7 million, NBC News reported. The top 220 winners were invited to a black-tie optional dinner at Trump's golf club in Washington, D.C. 'FOR THE TOP 25 COIN HOLDERS, YOU are invited to an Exclusive Reception before Dinner with YOUR FAVORITE PRESIDENT!' the registration page read. In small text down the registration page, it stated that Trump was only to appear as a guest 'and is not soliciting any funds for [the dinner].' The event was organized by Fight Fight Fight LLC, one of two Trump-affiliated companies that owns 80% of the $TRUMP coin project, NBC News wrote. But the line about 'personal time' received criticism online. The Bulwark's Tim Miller said on X that 'personal time' is not something presidents have. 'There's not like a magic suit you wear when you are doing official business and one where you are just Donald from Queens,' Miller wrote in his post. Longtime Trump critic, lawyer George Conway, shared Miller's post on X and added his own commentary. 'Actually, it's fine,' Conway wrote. 'If Trump is saying he's doing something on his 'personal time,' then obviously that means he's not acting within what the Supreme Court calls 'the outer perimeter of his official responsibility,' which, in turn, means he's not immune from criminal prosecution.' Conway referred to last year's Supreme Court decision on presidential immunity. 'Oh (expletive) what an incredibly great point!' MeidasTouch's editor-in-chief, Ron Filipkowski, commented on Conway's post. 'Karoline Leavitt just took away his presidential immunity defense.' In The New Republic, Malcolm Ferguson wrote that one of Trump's top crypto spenders is called 'SUN,' which is held by a Seychelles-based crypto exchange known as HTX. 'The president is having a private dinner for anonymous foreigners who bought his cryptocurrency — a scam in and of itself — and is acting as if he's just taking a personal day that will have no impact on American politics," Ferguson wrote. A similar term was used during Trump's first term, called 'executive time,' Axios reported in 2019. This amounted 60% of his official schedule, spent watching television, reading papers and posting tweets (when X was known as Twitter). Most of 'executive time' was not spent in the Oval Office. 'Executive time' was a concept introduced to Trump by his former chief of staff, John Kelly, 'because the president hated being locked into a regular schedule,' Axios wrote. This private schedule could last as long as seven hours. Harvard foreign students feel like 'poker chips,' consider transfer after Trump attacks Federal judge blocks Trump admin from revoking Harvard enrollment of foreign students Got 'Trump Derangement Syndrome?' GOP lawmakers want the NIH to study an 'epidemic on the left' Trump threatens Apple with 25% tariff if it doesn't make iPhones in the US Trump Commerce boss gets put on blast with 'no pain' tariff claim Read the original article on MassLive.
Yahoo
22-05-2025
- Business
- Yahoo
Karoline Leavitt Says You'll Never Know Who's at Trump's Crypto Dinner
President Trump is refusing to release the guest list of his pay-to-pay crypto dinner, as his press secretary Karoline Leavitt argues that the dinner is in his 'personal time.' 'On the president's dinner tonight, will the White House commit to making the list of the attendees public so people can see who's paying for that kind of access to the president?' a reporter asked Leavitt at the White House press briefing on Thursday. 'Well as you know Garret, this question has been raised with the president. I have also addressed the dinner tonight, the president is attending it in his personal time, it is not a White House dinner, it is not taking place here at the White House,' Leavitt responded, ignoring the specific question about who was going to be at this dinner. 'Certainly I can raise that question and try to get you an answer for it.' The dinner will be held at Trump's private golf club in northern Virginia on Thursday evening for the top 220 holders of the president's cryptocurrency—after an auction that brought in $147,586,796.41. The event is being promoted as the 'most EXCLUSIVE INVITATION in the world,' according to an email about the event. The top 25 buyers will get an 'ultra-exclusive private VIP reception' and 'Special VIP Tour' with the president. All of the donors/guests of this event will be completely anonymous, leading to legitimate questions about corruption and foreign influence, like the one Leavitt refused to answer. Many of the buyers are foreign as well, based in countries like Singapore and Hong Kong— directly contradicting the 'America First' narrative that Trump has built his brand on. The top spender, holding close to $18.5 million of Trump's coin, is called 'SUN' and is held by a Seychelles-based crypto exchange known as HTX. Justin Sun, a Chinese national accused of fraud known for spending $6.2 million on a banana and then eating it, is on HTX's board and already has a financial relationship with Trump. The president is having a private dinner for anonymous foreigners who bought his cryptocurrency—a scam in and of itself—and acting as if he's just taking a personal day that will have no impact on American politics. 'The sitting president appears to be selling personal cryptocurrency while in office, granting access to people who buy it, and thereby enriching his business and his family. It's gobsmacking,' Senator Jon Ossoff said to Politico earlier this month. 'I'd like to hear one Republican senator defend it. Any self-respecting Congress would demand an accounting of everyone trading this coin who has any business before the government.'
Yahoo
17-05-2025
- Business
- Yahoo
Bitget surges to become world's no. 3 crypto exchange by volume
Bitget has emerged as the third-largest cryptocurrency exchange in terms of trading volume, according to the firm's recently released April 2025 transparency report. Founded in 2018, Bitget is a Seychelles-based cryptocurrency exchange that offers spot and futures trading services to its global user base. Its dynamic copy trading service lets inexperienced traders imitate the trading positions of the most successful and experienced traders on the platform. In April, Bitget recorded a futures trading volume of $757.6 billion and a spot trading volume of $68.6 billion — both remarkable metrics, given the month witnessed market correction and investor caution. The market share of Bitget grew to 7.2% in April, defying broader exchange trends. The crypto exchange's user base also exceeded 120 million users last month. In April, Bitget secured both Digital Asset Service Provider (DASP) and Bitcoin Service Provider (BSP) regulatory licenses in El Salvador, letting it offer full crypto services — spot, derivatives, staking, and yield — in one of the most crypto-friendly countries in the world. The exchange also marched forward to its goal of leveraging centralized infrastructure to make decentralized ecosystem more accessible by launching Bitget Onchain last month. It is a unique feature within the Bitget application that allows users to trade on-chain assets directly from their spot accounts. Bitget also upgraded its Liquidity Incentive Program with better maker-taker rates last month, in a boost to institutional growth. The exchange also contributed to conversations around crypto economy and tech innovation at global platforms like TOKEN2049 Dubai and Paris Blockchain Week. Helmed by CEO Gracy Chen, Bitget has gained popularity among retail traders over the years by offering advanced trading tools and a user-friendly interface. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
International Business Times
13-05-2025
- Business
- International Business Times
Trump Meme Coin Dinner Contest Rakes in $148M from Global Investors
A cryptocurrency contest linked to Donald Trump's meme coin has garnered media attention, attracting more than $148 million from eager buyers hoping to meet the US president. Promoted as a unique chance to attend a gala at Trump's private golf resort outside of Washington, D.C., the event garnered international notice and significant investments in the $TRUMP meme coin. The top 25 coin holders received a private VIP tour and reception, while the top 220 coin holders were invited to the May 22 banquet. The $TRUMP meme coin, unveiled in January 2024, was notably on a spending spree after its revelation over Trump's Inauguration weekend. That price rose to as much as $75 and dipped to as little as $7.50. As the competition came to a close on May 12, the coin was trading at roughly $14. The top 220 holders' time-weighted value amounted to almost $147.6 million, according to Inca Digital, a crypto analytics company. Among the largest known holders was a wallet called "SUN" that had held $18.5 million worth of the $TRUMP. The wallet is presumably associated with Seychelles-based crypto exchange HTX. Chinese-born entrepreneur and HTX board member Justin Sun has relationships with the coin project. HTX has not responded for comment, and Sun has publicly put his money — a $75 million investment — where his mouth is by investing in the Trump family's crypto venture, World Liberty Financial, and sitting on as an adviser. Other prominent investors include companies from Singapore and Hong Kong. Meanwhile, nearly 600,000 wallets that participated in the coin's trade have collectively lost $3.9 billion, Inca Digital noted, referring to wallets that engaged in the coin's trade. While a handful of wallets might have made millions, the vast majority of trading has resulted in losses. More than $117 million in losses had followed the dinner announcement, and only about $1.35 million had wound up in the works of those tied to Trump's own family. The coin's marketing website, announced the winners and promoted the event as the "most EXCLUSIVE INVITATION in the world." However, the event's terms stipulated its cancellation and Trump's absence. Ethical questions have clouded the enterprise, with Democratic lawmakers calling for investigations into whether the coin violates United States ethics laws. Senator Richard Blumenthal is investigating the matter in the Senate. Other Democrats have also sponsored bills to limit how much presidents and lawmakers can profit from crypto assets. Senator Chris Murphy dubbed the coin "the single most corrupt act I have ever seen a president commit." Adding more façade to the whole issue, the American DOJ had just dissolved its crypto enforcement team. Critics argue that this dilutes oversight at a moment when Trump's own family seems to be benefiting from loosened rules. A DOJ spokesperson added they are still working on cross-indicting for crypto crimes. The Trump family has even accumulated 80% of the meme coin supply, which now stands at $2.74 billion. Transaction fee revenue already amounts to $320 million. They are also among a growing number of members of the family who hold cryptos, trading platforms, exchange-traded funds, mining operations, and a new stablecoin. Kali, a small investor from Hawaii, shared her experience of investing $10,000 in the $TRUMP meme coin, hoping it would earn her an invitation to the dinner. As the coin's price fluctuated, she was holding out hope to recoup her investment. Like thousands of others, her losses underscore broader concerns about financial risk and the uncertain future of politically branded cryptocurrency ventures.
