Security Specialist Wizsec Gives Insight on the Billion Dollar BTC Wallet

Security Specialist Wizsec Gives Insight on the Billion Dollar BTC Wallet

Security Specialist Wizsec Gives Insight on the Billion Dollar BTC Wallet

The bitcoin security specialists Wizsec has recently explained to the public that the wallet that held more than 111,000 BTC did not derive from the Silk Road marketplace, and it’s also not one of the Mt Gox wallets. Further Wizsec detailed today that a recent article had quoted the organization by cherry-picking quotes which in turn created an editorial that has bolstered unneeded fear, uncertainty, and doubt (FUD).

Also Read: North Queensland is Becoming a Hub of BCH Accepting Businesses

With All the Hype Over the Last few Weeks, the 111,000 BTC Wallet Could Be Meaningless

Security Specialist Wizsec Gives Insight on the Billion Dollar BTC Wallet
Bitcoin security specialists Wizsec.

Over the last few weeks, cryptocurrency enthusiasts have been discussing a large amount of BTC that has moved from an old wallet onto a few popular trading platforms. Many people including the person who reported the coin movements have alleged the funds either stemmed from the Silk Road marketplace or it was one of the wallets owned by the now-defunct exchange Mt Gox. The unknown armchair detective and Reddit user u/sick_silk created more than two weeks worth of wild Silk Road fantasies and Mt Gox theories concerning the wallet that once had 111,000 BTC. Then a few Twitter personalities asked the well-known security specialists Wizsec if they had an opinion about the funds and whether or not they derived from the Silk Road or Mt Gox.     

“Curious if Wizsecurity has any thoughts on the origin of the BTC at this address?” Tuur Demeester asks the group over Twitter.

“It’s an old Mt Gox whale, unrelated to Silk Road,” explains Wizsec. The security group further notes to another person on Twitter asking about the wallet stating:

An old Mt Gox whale — Not suspicious in itself, just someone who made a very good investment — Not belonging to Mt Gox, just someone who bought them on Mt Gox back in the day.

Security Specialist Wizsec Gives Insight on the Billion Dollar BTC Wallet
Bitcoiner’s have been used to the game of ‘Telephone’ for years. This is not the first time rumors have spread concerning alleged Mt Gox and Silk Road funds were supposedly going to dump on the markets.

Another Case of FUD Consumes the Crypto-Community

Additionally, on Sunday, September 16 the publication, The Telegraph published an article that allegedly quotes the Wizsec analyst Kim Nilsson. According to the publication’s story, Nilsson was quoted as saying a flood of Mt Gox payouts threatens to “completely crash the market.” However, Wizsec says that the article cherry-picked quotes to create FUD and sensationalism within the crypto-community.

“A recent article quotes me as predicting an imminent BTC market crash due to Mt Gox payouts,” explains Wizsec on Twitter.  

This is FUD with cherry-picked quotes. Mt Gox is nowhere near payouts and the eventual market impact can be greatly mitigated depending on the trustee’s actions.

The story follows the hundreds of other stories involving large bitcoin wallets that some random internet detective found that are also tied to tales of market crashes. Even though nobody can verify the expertise of these random Reddit and Bitcointalk.org sleuths many crypto-luminaries on Twitter and news outlets spew out these rumors like they are fact. We’ve seen time and time again that these rumors involving things like the PBOC banning bitcoin, and random Silk Road or Mt Gox funds dumping on the markets are usually greatly exaggerated. It seems relying on rumors stemming from some random Joe on the internet might not be a good idea.

What do you think about the random people spreading stories about large bitcoin addresses? Let us know what you think about this story in the comment section below.


Images via Shutterstock, Twitter, Wizsec, and Pixabay. 


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Source: Bitcoin.com

Bithumb and Coinone Terminating Fiat Withdrawals for Unverified Crypto Traders

Bithumb and Coinone Terminating Fiat Withdrawals for Unverified Crypto Traders

Bithumb and Coinone Terminating Fiat Withdrawals for Unverified Crypto Traders

Two major South Korean cryptocurrency exchanges have announced that they will no longer allow unverified users to make withdrawals in Korean won. Starting next month, users of Bithumb and Coinone must have verified real-name accounts in order to deposit and withdraw the fiat currency.

Also read: 160 Crypto Exchanges Seek to Enter Japanese Market, Regulator Reveals

Bithumb Goes All Real-Name

Bithumb and Coinone Terminating Fiat Withdrawals for Unverified Crypto TradersBithumb, the largest crypto exchange by trading volume in South Korea, announced on Friday, Sept. 14, that it will terminate fiat withdrawal service for all users without verified real-name accounts.

The service will end on Oct. 1 for corporate members and on Oct. 15 for individual members. Bithumb says the move is to comply with the government’s anti-money laundering policy.

However, the exchange clarified that this announcement only affects fiat withdrawals, emphasizing:

Cryptocurrency transactions and withdrawals can be used normally.

Bithumb and Coinone Terminating Fiat Withdrawals for Unverified Crypto TradersThe South Korean government introduced the real-name system for crypto exchanges at the end of January. Members of an exchange using this system can convert their accounts to real-name ones at the bank that provides the conversion service to the exchange.

So far, banks have only been offering this service to the country’s top four exchanges – Bithumb, Upbit, Coinone, and Korbit. Nonghyup Bank provides this service to Bithumb and Coinone.

Despite efforts by the government, banks, and exchanges, local media recently reported that only about 40-50 percent of accounts at the four exchanges have been converted to date. News.Bitcoin.com reported last week that banks have been pressuring crypto exchanges to take measures to ensure conversion in order to reduce the risk of money laundering.

Coinone Makes Similar Move

Bithumb and Coinone Terminating Fiat Withdrawals for Unverified Crypto TradersSouth Korea’s third-largest crypto exchange, Coinone, also made a similar announcement on Friday.

The exchange explained that “Nonghyup Bank requested Coinone to limit the withdrawal of Korean currency” for members who have not verified their accounts by a certain date “pursuant to the Act on Reporting and Utilization of Specific Financial Transaction Information.” Coinone elaborated that effective Oct. 15:

In order to comply with the government policy related to virtual currency transactions, we will limit the withdrawal of persons who have not completed the real name verification.

Bithumb and Coinone Terminating Fiat Withdrawals for Unverified Crypto TradersAfter Oct. 15, users who do not have real-name accounts will be “unable to deposit and withdraw in Korean currency,” Coinone wrote. The exchange is asking users to make withdrawals before that date if they do not plan to convert to real-name accounts by then.

“When you authenticate real-name verified accounts, you can deposit and withdraw in Korean currency,” Coinone described. Like Bithumb, the exchange reiterated that the notice does not affect crypto trading, deposits, or withdrawals. Both exchanges have also confirmed that corporations, minors, and foreigners are not eligible for real-name conversion.

At the time of this writing, Upbit and Korbit, which do not use Nonghyup Bank, have not announced that they will stop providing Korean won withdrawal service to unverified users.

What do you think of Bithumb and Coinone disallowing fiat withdrawals for users without real-name accounts? Let us know in the comments section below.


Images courtesy of Shutterstock, Bithumb, and Coinone.


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Source: Bitcoin.com

More Banks Sanctioned for AML, Fraud-Related Violations

More Banks Sanctioned for AML, Fraud-Related Violations

More Banks Sanctioned for AML, Fraud-Related Violations

When societies discuss cryptocurrencies, the argument that the decentralized and unregulated nature of the crypto space leaves the door open to abuse, like money laundering and financial fraud, is often put forward by officials and authorities. However, a string of cases involving precisely these sins, and many, many banks, show that regulations are largely ineffective in preventing this type of violations, especially when they are committed by the big traditional players.

Also read: Netherlands’ Largest Bank ING Group Fined $900M for Money Laundering

Credit Suisse Investigated for Money Laundering in Corruption Cases

More Banks Sanctioned for AML, Fraud-Related ViolationsAffairs, probes, fines, resignations – over the past weeks, we’ve often seen these words in headlines, right next to some of the most recognizable names in the financial industry, including ING Group, Danske Bank, Citigroup and Deutsche Bank. The rush to apply the same ‘anti-what-not’ policies to the much better in this respect crypto sector, the same old practices that have failed time and again with the status quo banks, is beyond comprehension.

After the Netherlands, Denmark, the US, Russia and some former Soviet states like Estonia, it was time that Switzerland came into the spotlight. Local media have quoted the country’s financial watchdog stating that Zurich-based Credit Suisse has failed to meet its legal obligations to prevent money laundering. The Swiss bank has been implicated for misconduct in alleged corruption cases involving the international football governing body, FIFA, the oil companies of Brazil and Venezuela, Petrobras and PDVSA, as well as a business relationship with a “politically exposed person”, Swiss Info reported.

The Swiss Financial Market Supervisory Authority (FINMA) explained it had identified deficiencies in the bank’s anti-money laundering (AML) process and shortcomings in the applied control mechanisms and risk management. The regulator has taken measures to improve the bank’s AML procedures and intends to engage a third party to monitor the implementation of the measures and the steps already initiated by Credit Suisse. In connection to the cases, some of them dating back to 2014, FINMA has actually investigated several banks in the last three years.

More Banks Sanctioned for AML, Fraud-Related Violations

According to a statement released by Credit Suisse, the agency has not imposed any fines, ordered any disgorgement of profits or limited its business activities. The bank also expressed gratitude for FINMA’s “acknowledgement of the improvements that have been made to our compliance and control framework over the last few years.”

Three Indian Banks to Pay Penalties for Failing to Report Fraud

More Banks Sanctioned for AML, Fraud-Related ViolationsIndian regulators, however, are not so benevolent when it comes to dealing with this kind of violations. The Reserve Bank of India (RBI) has recently imposed monetary penalties on three state-run banks which have failed to detect and report on time accounts associated with fraud. In early September, Indian media reported that the central bank has fined the Union Bank of India, Bank of India and Bank of Maharashtra 10 million rupee each (~$138,000). They have been accused of contravention of RBI’s instructions contained in a document titled Master Circular on Fraud – Classification and Reporting. According to the released separate statements, the penalties have been imposed under the provisions of the Indian Banking Regulation Act, taking into account the delay on the part of the banks to report fraud.

British Bank Fined for Moving Money on Behalf of Iranians

More Banks Sanctioned for AML, Fraud-Related ViolationsCryptocurrencies are often criticized for offering organized crime syndicates, terrorist organizations and rogue states the opportunity to transfer funds internationally and circumvent sanctions imposed by First World governments and international financial organizations. But as it has been revealed recently, banks have been also tempted to facilitate the needs of such actors.

London-headquartered Standard Chartered is facing a new penalty for breaching sanctions against the Islamic Republic of Iran, Bloomberg reported in August. In 2012, the British bank paid a $667 million fine for allegedly moving billions of dollars through the United States on behalf of Iranian clients. This time, the US investigation into its Iranian dealings may lead to a criminal penalty, according to several unnamed sources familiar with the case.

The resolution is expected by the end of the year. A number of American government and regulatory agencies are involved in the probe, including the US Justice Department, New York’s Department of Financial Services and the Manhattan District Attorney. In a statement, Standard Chartered said it’s fully cooperating with the investigation.

What do you think about these cases of banks involved in money laundering and fraud schemes? Share your opinions in the comments section below.


Images courtesy of Shutterstock.


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Custodial vs Non-Custodial Crypto Swap: Which Offers the Best Exchange Rate?

Custodial vs Non-Custodial Crypto Swap: Which Offers the Best Exchange Rate?

Custodial vs Non-Custodial Crypto Swap: Which Offers the Best Exchange Rate?

If you’re planning to swap between cryptocurrencies, there is no shortage of options. Many people will use a centralized exchange such as Binance, but there are also non-custodial solutions such as Flyp.me. There are pros and cons to both models in terms of privacy, speed, and value for the money. The following review will focus solely on the latter, with a view to determining which exchange mechanism offers the best value for money.

Also read: Four Alternatives to Shapeshift

If You’re Regularly Swapping Between Cryptos, Know Your Options

When you’re cashing out into fiat, or swapping between cryptos, every satoshi counts. This is particularly true for freelancers who are paid monthly in cryptocurrency and then obliged to cash out a lump sum to cover living expenses. Some professionals who are paid in ETH, for instance, will immediately switch to BTC, before selling what they need to through Localbitcoins.com. For the purposes of this review, we’ll consider the exchange rate when swapping a small amount of ETH to BCH ($100) and a larger amount of ETH to BTC ($2,000).

The Small Swap

Custodial vs Non-Custodial Crypto Swap: Which Offers the Best Exchange Rate?
Bitcoin.com superhero t-shirt.

Our first fictional freelancer has been paid $100 in ETH, which equates to 0.49 ETH at the time of writing. They wish to swap to BCH so they can spend it on swag in the Bitcoin.com store. We’ll ignore the cost of sending ETH to a custodial or non-custodial exchange in each instance, as at around 4 cents, it’s negligible.

  • Performing the swap using Changelly will give you 0.23482 BCH.
  • Performing the swap using Binance will give you 0.236 BCH (including Binance’s withdrawal fee).

In this example, the custodial exchange option will give you 0.00118 more BCH, which is a not inconsiderable $7.40. Pretty significant when you consider that you’re only swapping $100 of crypto.

The Large Swap

Our second fictional freelancer gets paid $4,000 in ETH a month and immediately transfers it into BTC, with a view to selling some P2P to cover living expenses. At the time of this review, $4,000 works out at 19.4 ETH. As before, we’ll ignore the negligible cost of sending ETH to a custodial or non-custodial exchange.

Custodial vs Non-Custodial Crypto Swap: Which Offers the Best Exchange Rate?
Flyp.me
  • Performing the swap using Flyp.me will give you 0.62216883 BTC.
  • Performing the swap using Binance will give you 0.630679 BTC (once the Binance withdrawal fee has been taken into account).
Custodial vs Non-Custodial Crypto Swap: Which Offers the Best Exchange Rate?
Binance.

The Binance method gives 0.00851017 BTC, or $53.35 at current prices, more than Flyp.me. Over the course of a year, swapping $4,000 of ETH for BTC a month through a custodial exchange would save you $640.20. That’s not to say it’s the preferred option of course: many cryptocurrency owners would rather pay a little extra for the added privacy that comes from using a non-custodial service. (While Binance is one of the few centralized exchanges that doesn’t require KYC, it remains to be seen how long it is able to retain that model.)

Custodial or Non-Custodial?

The examples used in this review cannot be compared side by side, as they involve different non-custodial exchanges (Changelly and Flyp.me) and different destination currencies (BCH and BTC). Nevertheless, they demonstrate the sort of exchange rate to expect when agonizing over a custodial or non-custodial option. Binance clearly offers better value for money, but as a centralized exchange it comes with its own drawbacks. Given the additional wait incurred with custodial exchanges, which tend to process withdrawals in batches, there are clearly times when a non-custodial model will be superior. Know your options and always check the exchange rate being offered before you pull the trigger.

What’s your preferred option for swapping between cryptos? Let us know in the comments section below.


Images courtesy of Shutterstock Changelly, Binance, and Flyp.me.


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Source: Bitcoin.com

Seoul-Based Food Delivery Service Now Accepts Bitcoin Cash

Seoul-Based Food Delivery Service Now Accepts Bitcoin Cash

Seoul-Based Food Delivery Service Now Accepts Bitcoin Cash

This week Bitcoin Cash (BCH) fans were pleased to hear another well-known merchant is now supporting BCH for payments. The South Korea-based food dispatch platform called Shuttle Delivery now accepts BCH for door-to-door meal deliveries throughout the Seoul region.

Also read: Gemini Dollar Code Review Reveals the Stablecoin’s Accounts Can Be Frozen

Food Service Shuttle Delivery in South Korea Now Accepts Bitcoin Cash

Seoul-Based Food Delivery Service Now Accepts Bitcoin CashPeople visiting and residents of the Seoul region in South Korea can now use bitcoin cash to pay for tasty cuisine delivered straight to their door. The firm, Shuttle Delivery, is a South Korean food delivery platform that people can use to order meals with their mobile devices. The application is available in Korean and English and for both Android mobile phones and iOS as well. Shuttle Delivery not only accepts traditional credit cards and Paypal but yesterday, on September 16, a website update revealed that it offers full bitcoin cash acceptance. The Shuttle Delivery application connects BCH users in South Korea to 200+ local restaurants.

“Shuttle Delivery provides delivery services from a variety of Seoul’s best restaurants,” explains the company’s website. “So you can enjoy the best food in the comfort of your home, office, or wherever you happen to be! We offer a fully bilingual service where customers can place orders in either English or Korean (한국어).”

Seoul-Based Food Delivery Service Now Accepts Bitcoin Cash
On September 16, Shuttle Delivery in South Korea added Bitcoin Cash to their website.

‘Buying Food for the In-Laws Without Kissing Visa’s Ring’

The wide variety of restaurants available to order from using Shuttle Delivery includes local Korean, American Grill, Italian, Indian, Vegetarian, Turkish, and European food.

Seoul-Based Food Delivery Service Now Accepts Bitcoin Cash
Shuttle Delivery is a bilingual service in English and Korean (한국어) 

BCH fans on r/btc were elated to hear about Shuttle Delivery accepting bitcoin cash for door-to-door food delivery. One BCH supporter writes that they are pleased to not have to use a credit card to buy food for relatives.     

“This is nice,” says the BCH proponent u/ricardotown on Reddit.  

I can now internationally buy food for my in-laws without kissing Visa’s ring.

Shuttle Delivery in South Korea is not the only meal transport service that accepts bitcoin cash. The platform Takeaway.com also accepts BCH which and it connects over 30,000+ restaurants throughout Europe and Vietnam to bitcoin cash customers. This includes the well-known online German food marketplace Lieferando.de, a subsidiary of Takeaway.

What do you think about Shuttle Delivery in South Korea accepting bitcoin cash for payments? Let us know what you think about this subject in the comment section below.


Images via Shutterstock, and Shuttle Delivery in South Korea.  


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Source: Bitcoin.com

Exchanges Round-Up: Coinbase to Hire 130, EF Hutton Backs Acex Exchange

Exchanges Round-Up: Coinbase to Hire 130, EF Hutton Backs Acex Exchange

In cryptocurrency exchange news, Coinbase plans to hire 130 additional staff at its New York office by the end of 2019, a recently announced exchange which will be backed EF Hutton has declared that it will launch before January 2019, and Digifinex has announced that it will replace its USDT pairings for TUSD.

Also Read: Growing Number of Indian Crypto Exchanges Say Fiat Support Is Back Despite RBI Ban 

Coinbase NYC Office to Hire 130 Employees

Exchanges Round-Up: Coinbase to Hire 130, EF Hutton Backs ExchangeCoinbase has indicated that it plans to hire 130 employees at its newly opened New York office by the end of next year. The hirings would bring the number of staff working at the facility to roughly 150.

“We have to create a bridge between financial services and technology,” Adam White, the general manager of Coinbase International, stated. “In order to do that, we need to pull from some of the best and brightest minds that have worked their whole careers in other kinds of traditional financial firms.”

Mr. White stated that the exchange has continued to grow despite declining trade volume due to increased institutional investment in the sector, stating: “When we saw the market begin to correct, which we all expected, institutions didn’t lose interest. It was exactly the opposite. They look at it as an opportunity to enter when things are not too frothy.”

EF Hutton-Backed Exchange to Launch by January

Exchanges Round-Up: Coinbase to Hire 130, EF Hutton Backs ExchangeEF Hutton has announced that it will be sponsoring a virtual currency exchange, American Cryptocurrency Exchange (Acex). According to a press release, the exchange currently expects to commence trading digital assets by January 2019, and that Acex will comprise “a first of its kind membership exchange in North America.”

The chief executive officer of EF Hutton, Christopher Daniels, said: “We are building a unique fintech infrastructure in Arizona that encompasses a large number of brokers and advisors. Acex membership structure benefits every Member firm – all of whom benefit directly from the growth of Acex.”

At launch, Acex will support BCH, BTC, ETH, LTC, BTG, ETC, OMG, EOS, DASH, TRX, XMR, VEN, IOTA, ZEC, and TUSD, and plans to list initial coin offerings next year.

Digifinex Replaces USDT Pairings With TUSD

Exchanges Round-Up: Coinbase to Hire 130, EF Hutton Backs ExchangeDigifinex, the 14th largest cryptocurrency exchange by volume according to Coinmarketcap’s adjusted rankings, has announced that it will phase out USDT pairings on its platform.

The co-founder of Digitfinex, Kiana Shek, stated: ”I simply don’t believe in Tether,” adding: that she had been “looking for ways to get rid of USDT” for months.

Digifinex will first launch TUSD pairings for BTC, ETH, and USDT, with the number of pairings expected to grow as USDT is phased out across the platform.

Do you think that more exchanges will seek to phase out USDT pairings in favor of alternative stablecoins? Share your thoughts in the comments section below!


Images courtesy of Shutterstock


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Source: Bitcoin.com

Google Security Expert Warns Against Bitcoin Bragging Online

Google Security Expert Warns Against Bitcoin Bragging Online

Google Security Expert Warns Against Bitcoin Bragging Online

Mark Risher, Google’s director of product management, Google Identity, account security, and spam & abuse, recently urged cryptocurrency investors not to brag about their virtual currency holdings online.

Also Read: Netherlands’ Largest Bank ING Group Fined $900M for Money Laundering

Google Security Expert Cautions Traders Against Boasting Online

Google Security Expert Warns Against Bitcoin Bragging OnlineIn a recent interview with CNBC, Google security lead, Mark Risher, cautioned crypto traders against boasting of their cryptocurrency portfolio on the internet.

Mr. Risher warned that gloating of one’s virtual riches risks attracting malicious actors such as cyber attackers, citing an uptick in attacks targeting the owners of cryptocurrency wallets. Mr. Risher asserted that many of said attacks can be traced back to a post made by the victim on a public message board – attracting the attention of scammers.

“It could just be a case of mistaken identity or guilt by association. They could be using someone who seems to be low value to pivot toward somebody considered a higher value target, like somebody political in nature. Or maybe they saw that you were discussing Bitcoin on a public message board,” he said.

Increasing Sophistication of Online Scammers

Google Security Expert Warns Against Bitcoin Bragging OnlineMr. Risher also warned that social media has increased the sophistication with which many attackers target their victims through allowing scammers to conduct detailed research into the individuals that they target. “You might think of this generic ‘Dear Sir or Madam, I am contacting you to ask you for a favor,’ but the truth is many of these attackers have done some serious research on their victims,” Mr. Risher said.

Earlier this year, it was reported that cryptocurrency Youtubers were increasingly becoming targeted by malicious actors. Peter Saddington, the host of the Youtube channel ‘Decentralized TV’, recounted being hacked in late 2017, stating: “You have to be very careful about that stuff as a Youtuber. In my early days of Youtube, I used to show my trades. I learned that was not a good idea.”

Mr. Saddington asserts that many Youtubers have “learn[t] the hard way,” stating “We no longer have a bank that we can whine to and say, ‘bank, my mohackney was stolen, give it back to me.’ No. We’re not in that economy anymore. If you lost your Bitcoin that is 100 percent your fault.”

What is your response to Mr. Risher’s recommendations? Share your thoughts in the comments section below!


Images courtesy of Shutterstock


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Source: Bitcoin.com

Nigerian President Demands HSBC Bank Return $100M in Stolen Money

Nigerian President Demands HSBC Bank Return $100M in Stolen Money

Nigerian President Demands HSBC Bank Return $100M in Stolen Money

Decentralised cryptocurrencies like bitcoin are anathema to traditional banking. Bitcoin allows people to trade directly with each other, bypassing banks, the conventional middlemen. Banks make money by charging fees for the services they provide, including keeping one’s money in a bank. It is no surprise, therefore, that they hate cryptocurrency. But banks aren’t guiltless, they have facilitated some of the most egregious financial crimes of our time.

Also read: Poor Internet Access Could Slow Down Cryptocurrency Growth In Africa

‘Return Our Stolen Assets’

President Muhammad Buhari has demanded HSBC Bank returns up to $100 million it allegedly helped former dictator Sani Abacha launder from the Nigerian economy.

Nigerian President Demands HSBC Bank Return $100M in Stolen Money
HSBC bank

Abacha ruled Nigeria with an iron fist for five years until he died of a heart attack in 1998. During his rule, the Nigerian economy improved somewhat, with inflation plummeting to 8,5 percent in 1998 from about 55 percent five years earlier. Forex reserves shot more than 1,800 percent to $9,6 billion.

But the former army general is accused of plundering the West African country at a grand scale, looting more than $4,3 billion of Nigeria’s oil wealth while still President. Transparency International has listed Abacha as the world’s fourth most corrupt leader in history.

“Our investigation agencies believe that HSBC had laundered more than US$100 million for the late General Sani Abacha in Jersey, Paris, London, and Geneva,” Nigeria’s presidential spokesperson Malam Garba Shehu, said in a statement issued to the local Leadership newspaper on September 16.

“Among these accounts on the records are: AC : S-104460 HSBC Fund Admin Ltd. Jersey ($12 million); AC 37060762 HSBC Life (Europe), UK ($20 million) and AC : 38175076 HSBC Bank Plc, UK ($1.6 million),” Shehu said.

Shehu was reacting to a report by HSBC Bank in July, which predicted the Nigerian economy would decline if President Buhari won a second term in office in general elections slated for next year.

He continued: “The Presidency wishes to make clear to all Nigerians, and particularly the global banking giant HSBC…that what killed Nigeria’s economy in the past was the unbridled looting of state resources by leaders, the type which was actively supported by HSBC.

Nigerian President Demands HSBC Bank Return $100M in Stolen Money
President Buhari

“A bank that soiled its hand with ‘millions of US dollars yet- to- be – recovered Abacha loot’, and continued until a few months ago to shield the stolen funds of one of the leaders of the Nigerian Senate has no moral right whatsoever to project that a second term for Mr Buhari raises the risk of limited economic progress and further fiscal deterioration.”

Shehu said, “we ask them (HSBC)…to return our stolen assets…”

Serial Offender

The Nigerian anti-corruption body, the Economic and Financial Crimes Commission, on Sunday also accused the British bank of being “involved with laundering proceeds of corruption for over 50 Nigerians including a Nigerian serving Senator.”

HSBC Holdings plc is one of the largest banking and financial services organisations in the world. HSBC’s international network comprises around 7,500 offices in over 80 countries and territories in Europe, the Asia-Pacific region, the Americas, the Middle East, and Africa.

But the firm has been forced to pay billions of dollars in fines for money laundering and other financial crimes. In the US, HSBC paid $1.92 billion for helping to facilitate the laundering of Mexican drug money, and several million were paid in Hong Kong for systemic deficiencies.

Of the Abacha loot, the US has repatriated about $480 million that was stashed in banks in that country. In 2006, Switzerland handed back $500 million to Nigeria – the first time any bank in Europe had returned stolen money to a country in Africa. The continent loses up to $50 billion in illicit financial flows each year, according to the African Capacity Building Foundation.

Do you think cryptocurrencies can help stem the flow of corrupt money in Africa? Let us know what you think in the comments section below.


Images via Shutterstock.


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Source: Bitcoin.com