Investing

Official Penny Stock Day Trade / Short Term

  • Last Updated:
  • Dec 4th, 2021 8:59 pm
Deal Addict
Jan 6, 2013
1239 posts
627 upvotes
WATERLOO
lol complete opposite from yesterday. did good in the morning now everything dropping
Newbie
Jan 3, 2012
71 posts
140 upvotes
Toronto-wa
Galaxy plunging too now. Down to 25.75 approx. Worth loading up before earnings next week?
[OP]
Deal Fanatic
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Sep 21, 2007
9061 posts
6799 upvotes
Winnipeg
Amc.. omg..
"An essential aspect of creativity is not being afraid to fail." -- Edward Land
Member
Dec 7, 2008
298 posts
471 upvotes
Toronto, Ontario
tietherope wrote: Bitcoin down on reports (none from any legitimate news sources of course) that Binance is going to be investigated by the IRS and Department of Justice.

Edit: Now on Bloomberg. But I can't read it - https://www.bloomberg.com/news/articles ... hs-bore-in
US folks are supposed to use Binance.US while people outside of U.S will use Binance.com. However, Binance.US has fewer coins and from anecdotal evidence eg posts on miscellaneous discussion forums, some US folks will use VPN to get to Binance.com. For US people, there's FBAR/IRS Form 8938 reporting requirement to report non-US financial accounts (kind of like T1135 for Canadians but the threshold is much lower like $10K US for FBAR and higher for Form 8938; also you need to include a mailing address for the foreign financial account). However, if you are on Binance.com - you can't even find a mailing address for Binance.com and the CEO has not been very forthcoming about where Binance has its office. So yeah I can see how US authorities are a bit suspicious.
Deal Addict
Apr 10, 2002
2282 posts
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Central Ontario
Just once I'd like to get in on one of these pops... instead I bag hold
Newbie
Jan 3, 2012
71 posts
140 upvotes
Toronto-wa
melodymelody wrote: US folks are supposed to use Binance.US while people outside of U.S will use Binance.com. However, Binance.US has fewer coins and from anecdotal evidence eg posts on miscellaneous discussion forums, some US folks will use VPN to get to Binance.com. For US people, there's FBAR/IRS Form 8938 reporting requirement to report non-US financial accounts (kind of like T1135 for Canadians but the threshold is much lower like $10K US for FBAR and higher for Form 8938; also you need to include a mailing address for the foreign financial account). However, if you are on Binance.com - you can't even find a mailing address for Binance.com and the CEO has not been very forthcoming about where Binance has its office. So yeah I can see how US authorities are a bit suspicious.

"From the article:

Binance Holdings Ltd. is under investigation by the Justice Department and Internal Revenue Service, ensnaring the world’s biggest cryptocurrency exchange in U.S. efforts to root out illicit activity that’s thrived in the red-hot but mostly unregulated market.

As part of the inquiry, officials who probe money laundering and tax offenses have sought information from individuals with insight into Binance’s business, according to people with knowledge of the matter who asked not to be named because the probe is confidential. Led by Changpeng Zhao, a charismatic tech executive who relishes promoting tokens on Twitter and in media interviews, Binance has leap-frogged rivals since he co-founded it in 2017.

The firm, like the industry it operates in, has succeeded largely outside the scope of government oversight. Binance is incorporated in the Cayman Islands and has an office in Singapore but says it lacks a single corporate headquarters. Chainalysis Inc., a blockchain forensics firm whose clients include U.S. federal agencies, concluded last year that among transactions that it examined, more funds tied to criminal activity flowed through Binance than any other crypto exchange.

“We take our legal obligations very seriously and engage with regulators and law enforcement in a collaborative fashion,” Binance spokeswoman Jessica Jung said in an emailed statement, while adding that the company doesn’t comment on specific matters or inquiries. “We have worked hard to build a robust compliance program that incorporates anti-money laundering principles and tools used by financial institutions to detect and address suspicious activity.”

U.S. Concerns
U.S. officials have expressed concerns that cryptocurrencies are being used to conceal illegal transactions, including theft and drug deals, and that Americans who’ve made windfalls betting on the market’s meteoric rise are evading taxes. Such worries have been a hindrance to the industry going mainstream, even as Wall Street increasingly embraces Bitcoin and other tokens amid a global investing frenzy.

This month’s cyber-attack against Colonial Pipeline Co. that’s triggered fuel shortages across the Eastern U.S. is the latest sign of what’s at stake. Colonial paid Eastern European hackers a nearly $5 million ransom in untraceable cryptocurrency within hours of the breach, Bloomberg News reported Thursday, citing two people familiar with the matter.

While the Justice Department and IRS probe potential criminal violations, the specifics of what the agencies are examining couldn’t be determined, and not all inquiries lead to allegations of wrongdoing.

The officials involved include prosecutors within the Justice Department’s bank integrity unit, which probes complex cases targeting financial firms, and investigators from the U.S. Attorney’s Office in Seattle. The scrutiny by IRS agents goes back months, with their questions signaling that they’re reviewing both the conduct of Binance’s customers and its employees, another person said.

The U.S. Commodity Futures Trading Commission has also been investigating Binance over whether it permitted Americans to make illegal trades, Bloomberg reported in March. In that case, authorities have been examining whether Binance let investors buy derivatives that are linked to digital tokens. U.S. residents are barred from purchasing such products unless the firms offering them are registered with the CFTC.

Analyzing Transactions
Zhao has said Binance closely follows U.S. rules, blocks Americans from its website, and uses advanced technology to analyze transactions for signs of money laundering and other illicit activity. Last year, the firm warned that U.S. residents would have their accounts frozen if they were found to be trading, crypto trade publications have reported.

The inquiries follow a Chainalysis report on criminal transactions involving digital tokens. The firm tracked Bitcoin worth $2.8 billion that it suspects crooks moved on to trading platforms in 2019. Chainalysis determined that roughly 27%, or $756 million, wound up on Binance. Binance responded by saying it adheres to all anti-money laundering regulations in the jurisdictions in which it operates and works with partners like Chainalysis to improve its systems.

In the U.S., authorities have been cracking down on exchanges for flouting laws that are meant to prevent financial crimes, with officials citing the platforms use by terrorists and hackers. Tax violations have also been a priority, with the government recently winning a court order as it seeks to unmask U.S. clients of Kraken, a San Francisco-based exchange.

In October, federal prosecutors in Manhattan announced charges against the founders of Seychelles-based BitMEX, accusing them of violating the Bank Secrecy Act by permitting thousands of U.S. customers to trade while publicly claiming to restrict their access. The claims included failing to register as a futures merchant with the CFTC and not having adequate anti-money laundering controls. Three of the BitMex officials pleaded not guilty and a trial has been scheduled for March 2022. One remains at large.

Washington Presence
With the U.S. circling, Binance has stepped up its presence in Washington and retained a former Treasury Department official and top white-collar defense lawyers to represent it in legal cases and matters being reviewed by regulators. In March, the firm tapped former U.S. Senator Max Baucus, a Montana Democrat, to advise it on policy and government relations.

In September 2019, Zhao launched Binance.US, also known as BAM Trading Services Inc., to cater to American clients. Brian Brooks, who was a top banking regulator when he led the Office of the Comptroller of the Currency during the Trump administration, became chief executive officer of Binance.US this month.

Amid the hiring blitz, the company has popped up in U.S. cases tied to criminal activity. In February, two Florida men were charged with running an online fentanyl trafficking operation, with one of them accused of depositing the proceeds in a Binance account. That same month, the Justice Department sought the forfeiture of cryptocurrency worth $450,000 traced from ransomware attacks that hit several U.S. companies to a Binance account held by a 20-year-old Ukrainian national. The government didn’t accuse Binance of wrongdoing in either enforcement action.

Disguising Locations
Along with the CFTC, the Justice Department is likely to examine steps that Binance has taken to keep U.S. residents off its exchange. One person familiar with Binance’s operations said that prior to the establishment of Binance.US, Americans were advised to use a virtual proxy network, or VPN, to disguise their locations when seeking to access the exchange.

Jung, the Binance spokeswoman, said the exchange has never encouraged U.S. residents to use VPNs to get around its rules, as doing so would be something “that has always been contrary to our company’s principles.” In January, Zhao tweeted that Binance’s security systems block Americans even if they try to connect through one of the networks.

“We have implemented strong access controls that have been tested via external audit and are under continuous review and evaluation by Binance to ensure that the appropriate restrictions are in place and are effective,” Jung said."
Sr. Member
Apr 23, 2017
811 posts
438 upvotes
Sell in May and go away?
Information is wealth, but again, depends on what you're pursuing & what it's worth to you😎💡
Deal Expert
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Mar 1, 2008
15533 posts
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Toronto, Ontario
Lol BITF
I spend too much time on this site
Deal Fanatic
Nov 26, 2008
6793 posts
4806 upvotes
Nasdaq negative now too.

Maybe we'll have better luck next week. Face With Tears Of Joy
Deal Addict
Jan 6, 2013
1239 posts
627 upvotes
WATERLOO
lol I'm out of cash to avg down so there is nothing I can do in the short term until i can reach my break even. Down so much that even if I get a good day it still won't be enough. Will need to get a multiple day rally...
[OP]
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Sep 21, 2007
9061 posts
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Winnipeg
GME is making me green today Smiling Face With Open Mouth And Cold Sweat
"An essential aspect of creativity is not being afraid to fail." -- Edward Land
Deal Fanatic
Nov 26, 2008
6793 posts
4806 upvotes
ballashotcaller wrote: lol I'm out of cash to avg down so there is nothing I can do in the short term until i can reach my break even. Down so much that even if I get a good day it still won't be enough. Will need to get a multiple day rally...
You mean my DMGI won't go 204% in one day to get me back level? lol
Sr. Member
Sep 18, 2019
809 posts
707 upvotes
tietherope wrote: You mean my DMGI won't go 204% in one day to get me back level? lol
We are on the same boat, I need 120%.

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