This is good and healthy for the market because
many users of exchanges are often worried about the privacy of their private information.
The regulator alleged that BitFunder and founder Jon E. Montroll ran the operation as an «unregistered securities exchange» and
defrauded users of that exchange, according to a SEC statement.
Under the proposal,
former users of the exchange would receive equity in a new Mt. Gox that would provide restitution for funds lost in the original exchange's insolvency.
In the meantime,
users of exchange desk BitGrail are freaking out over the possibility the service might be getting shut down too.
This week, it was revealed that there was a bug in Coinbase's Ethereum smart contract system which could give
the users of the exchange access to unlimited amounts of Ether.
Much like a Lightning Network hub, the exchange would merely serve as a routing agent in between
all users of the exchange, with no access to customer funds.
They are currently accessible to
the users of exchanges that list them and users of hardware wallets such as Ledger Nano S and Trezor.
There are more than million
users of this exchange and it offers cross-platform trading via website, mobile app (which is available on iOS and Android), Rest API and WebSocket.
The Securities and Exchange Commission (SEC) swooped in and filed fraud charges against a former Bitcoin - denominated platform and its founder Jon E. Montroll with operating an unregistered securities exchange and defrauding
users of that exchange.