Crypto Biz: Binance Connect goes dark, Prime Trust is bust and PayPal unveils Crypto Hub

Crypto custodian Prime Trust submits for Chapter 11 bankruptcyCrypto custodian Prime Trust has declared Chapter 11 bankruptcy defense in Delaware after facing a shortage in client funds. According to its filing, the business has between 25,000 to 50,000 lenders and approximated liabilities in between $100 million to $500 million compared to $50 million to $100 million worth of possessions. Prime Core Technologies, Prime Trust, Prime IRA and Prime Digital were listed as the entities submitting for Chapter 11 relief. Prime Trusts bankruptcy follows Nevadas business regulator releasing the firm a desist and cease order in June, saying its monetary condition was “critically deficient” and could not honor customer withdrawals.BitGo raises $100 million after losing claim versus GalaxyCryptocurrency custody platform BitGo has actually raised fresh capital after facing a series of terminated offers including companies such as Galaxy Digital. The crypto firm secured $100 million in a Series C financing round bringing its appraisal to $1.75 billion. BitGos Series C financing reportedly featured entirely brand-new financiers based in the United States and Asia, with some backers coming from outside the cryptocurrency market. According to BitGo, the recently raised funds will be deployed to make tactical acquisitions and expand its custody services, wallet and infrastructure solutions globally.PayPal to present Cryptocurrencies Hub for choose usersPayments giant PayPal upgraded its conditions and terms to present Cryptocurrencies Hub– a feature that allows users to hold and interact with Bitcoin and other cryptocurrencies in their PayPal account. According to the company, the Cryptocurrencies Hub service will permit the sale and purchase of crypto. In addition, it will help with the payment for purchases through PayPal using the cash saved after the sale of cryptocurrencies. The brand-new hub was revealed simply a few days after the fintech giant unveiled its dollar-pegged stablecoin PayPal USD (PYUSD). According to PayPal, the Cryptocurrencies Hub will be important to transform in between PYUSD and other crypto assets. The brand-new function will be available for chosen users. PayPal Cryptocurrencies Hub as explained in terms and conditions. Source: PayPalBefore you go: Spot Bitcoin ETF authorized, but not in the USIn the most current episode of Cointelegraphs The Market Report, analyst Marcel Pechman goes over the first area Bitcoin exchange-traded fund (ETF) approved in the European Union, which went live on the Euronext Amsterdam exchange on Aug. 15, while the absence of regulative clearness in the U.S. cryptocurrency market underscores the SECs hesitation to endorse an area crypto ETF.Crypto Biz is your weekly pulse of the service behind blockchain and crypto, delivered directly to your inbox every Thursday.

Binances buy-and-sell crypto arm was shut down on Aug. 16, with the crypto exchange remaining under extensive regulatory analysis, impacting essential collaborations for its operations worldwide. On Aug. 16, the company revealed a collaboration with crypto hardware wallet maker Ledger, allowing U.S. homeowners to purchase Bitcoin (BTC), Ether (ETH), Bitcoin Cash (BCH) and Litecoin (LTC) with fewer steps.Read more about these stories and get a look into the constantly progressing crypto industry on this weeks Crypto Biz. Binance Connect winds down operationsBinance Connect, the controlled buy-and-sell crypto arm of Binance exchange, was shut down on Aug. 16 after losing its card payments services company.

Binances buy-and-sell crypto arm was shut down on Aug. 16, with the crypto exchange staying under extensive regulatory examination, affecting key partnerships for its operations worldwide. On Aug. 16, the company announced a partnership with crypto hardware wallet manufacturer Ledger, permitting U.S. citizens to purchase Bitcoin (BTC), Ether (ETH), Bitcoin Cash (BCH) and Litecoin (LTC) with less steps.Read more about these stories and get a glimpse into the continuously progressing crypto industry on this weeks Crypto Biz. Binance Connect winds down operationsBinance Connect, the managed buy-and-sell crypto arm of Binance exchange, was shut down on Aug. 16 after losing its card payments services service provider. Source: PayPalBefore you go: Spot Bitcoin ETF authorized, however not in the USIn the newest episode of Cointelegraphs The Market Report, analyst Marcel Pechman goes over the first spot Bitcoin exchange-traded fund (ETF) authorized in the European Union, which went live on the Euronext Amsterdam exchange on Aug. 15, while the lack of regulatory clarity in the U.S. cryptocurrency market highlights the SECs unwillingness to endorse an area crypto ETF.Crypto Biz is your weekly pulse of the business behind blockchain and crypto, provided directly to your inbox every Thursday.

Other Questions People Ask

What happened to Binance Connect in the recent Crypto Biz update?

In the latest Crypto Biz update, Binance Connect, the regulated buy-and-sell crypto arm of Binance, was shut down on August 16 after losing its card payments service provider. This closure comes amid ongoing regulatory scrutiny affecting Binance's global operations and partnerships. The shutdown highlights the challenges faced by crypto exchanges in maintaining compliance while trying to innovate and expand their services.

How did Prime Trust's bankruptcy impact the crypto industry?

Prime Trust's declaration of Chapter 11 bankruptcy has significant implications for the crypto industry, particularly as it reported liabilities between $100 million to $500 million against assets of only $50 million to $100 million. With approximately 25,000 to 50,000 lenders affected, this situation raises concerns about the stability of crypto custodians. The bankruptcy follows a cease and desist order from Nevada's business regulator, indicating deeper issues within the firm that could shake investor confidence in similar custodial services.

What features does PayPal's new Crypto Hub offer to users?

PayPal's newly introduced Crypto Hub allows selected users to hold and interact with various cryptocurrencies directly within their PayPal accounts. This feature facilitates the buying and selling of crypto assets and enables users to make purchases using funds from cryptocurrency sales. The launch of the Crypto Hub comes shortly after PayPal unveiled its dollar-pegged stablecoin, PYUSD, indicating a strategic move to integrate more crypto functionalities into its platform.