BLOOMING INSIGHTS

Binance is the world’s largest crypto exchange in terms of volume of trade. Apart from being a trading platform for many cryptocurrencies, it also has its crypto named BNB (Binance Coin). It provides its services via binance.com. Founded by Changpeng Zhao in 2017, it was initially based in China. It shifted its headquarter from there due to a tighter grip on it by the regulatory authority. Currently, it is operating from Cayman Island. On 26th June 2021, statement given by the FCA (Financial Conduct Authority), the UK financial markets regulator, shook traders in the market thereby tremendously pulling down the prices of the coins. Source: https://www.fca.o/rg.uk Binance Market Limited was no longer permitted to undertake any regulated activity in the UK. The reason given for such action was the non-compliance with the anti-money laundering requirements of the country. In response to issuance of this notice by FCA, Binance clarified that the notice is only applicable on BML which is...

In ancient times, people followed barter system in which goods were exchanged for goods. They started facing difficulties in the barter trade and thus gold coins were introduced to facilitate trade. As time passed, difficulty was faced in transporting coins which led to issuance of currency notes by the government backed by precious metals. Various reasons like countries wanting to print more currencies during wars to pay war cost, led to use of fiat money. Today these currencies are not pegged; rather their demand and supply determine the variable exchange rates.  You must be then wondering why the world felt the need for cryptocurrency after the introduction of fiat money! The reason is that the fiat money faces two major issues. These are centralization of power of issue of currency and no capping on amount of issue of currency. This leads to high inflation in cases when proper regulation is not there. Hence, to tackle this issue cryptocurrency came into the picture. Not only is...