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Victory Capital Announces Plans to Enter Cryptocurrency Market

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SAN ANTONIO, Texas – (BUSINESS WIRE) – Victory Capital Holdings, Inc. (NASDAQ: VCTR) (“Victory Capital” or the “Company”) announced today that its wholly owned investment advisor, Victory Capital Management Inc., has entered into exclusive agreements with Nasdaq and crypto-focused asset manager Hashdex Ltd. (“Hashdex”) in the run-up to plans to enter the cryptocurrency market. Victory Capital will be the exclusive sponsor of private placement funds and other vehicles for US investors based on the Nasdaq Crypto Index (NCI), a multi-coin crypto index jointly developed by Nasdaq and Hashdex.

Victory Capital plans to launch a private fund for accredited investors that will pursue the NCI. In addition, Victory Capital will offer private funds that track the Nasdaq Bitcoin Reference Price Index and the Nasdaq Ethereum Price Index. Hashdex will provide its trading and asset management expertise for each of these products.

The NCI was developed to meet the rapidly growing interest of institutional investors in digital assets. The rule-based index is inherently dynamic, representative of the investable landscape of the cryptocurrency market, and easy for investors to understand. It applies strict eligibility criteria and is rebalanced quarterly to ensure an up-to-date representation of this market.

Hashdex was created with the mission to build a simplified bridge between the traditional financial markets and the crypto market. Hashdex was founded in early 2018 and pioneered the world’s first crypto index funds. The company manages index, passive, and systematic crypto funds currently available to non-US investors.

“We constantly strive to give our clients the forward-looking choices they want and believe that cryptocurrency is a viable asset class that can be part of a well-diversified portfolio,” said Mannik Dhillon, CFA, CAIA, President, VictoryShares and Solutions. “By investing in a portfolio that replicates the NCI, investors can achieve diversified returns that match the cryptocurrency market and gain exposure to multiple digital assets as that market continues to develop and mature. We are actively considering other vehicles and wrappers to bring these capabilities to a wider range of investors. ”

“We have seen an evolving maturity in the cryptocurrency ecosystem,” said Sean Wasserman, vice president, global head of Index and Advisor Solutions, Nasdaq. “Our collaboration with industrial partners such as Victory Capital and Hashdex promotes innovation in the field of digital assets.”

“We set out to solve a problem that we had ourselves. We wanted an institutional quality index strategy that would allow us to own beta in the crypto asset class, ”commented Marcelo Sampaio, CEO of Hashdex. “We have developed a dynamic index strategy that allows non-US investors to allocate to the asset class rather than trying to pick winners. We are very excited to be working with Victory Capital and Nasdaq to bring our investment capabilities to the US market in the future. ”

About Victory Capital

Victory Capital is a diversified global asset management company with $ 157.1 billion in assets under management as of April 30, 2021. The company operates a next generation business model that offers boutique investment qualities with the benefits of a fully integrated, centralized operations and distribution platform combined.

Victory Capital offers specialized investment strategies to institutions, brokers, pension platforms and private investors. With 10 autonomous investment franchises and a solution platform, Victory Capital offers a wide range of investment styles and vehicles, including actively managed mutual funds, separately managed accounts, active ETFs, multi-asset-class strategies, bespoke solutions and a 529 college savings plan.

For more information, please visit www.vcm.com or follow us: Twitter and LinkedIn

FORWARDING STATEMENTS

This press release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements may include, without limitation, any statements that are followed by words such as “aim”, “believe”, “expect”, “aim”, “intend”, “may”, “look ahead”, “assume”, “budget”, “continue” “,” Estimate “,” future “,” target-oriented “,” outlook “,” plan “,” potentially “,” predict “,” plan “,” will “,” can “,” probably “,” should ” , “Would”, “could” and other words and concepts with similar or negative meanings. Such forward-looking statements involve known and unknown risks, uncertainties and other important factors that are beyond the control of Victory Capital, such as the COVID-19 pandemic and its impact on our business, operations and financial results, as set out in our “Risk Factors” and elsewhere in our company’s SEC filings that could cause the actual results, performance, or accomplishments of Victory Capital to differ materially from the anticipated results, performance, or accomplishments expressed or implied in such forward-looking statements .

Such forward-looking statements are based on numerous assumptions about Victory Capital’s current and future business strategies and the environment in which it will operate in the future. All forward-looking statements in this press release speak only as of the date of this press release. Unless required by law, Victory Capital assumes no obligation to update these forward-looking statements or to update the reasons why actual results could differ materially from those anticipated in the forward-looking statements, even if new information becomes available in the future.

Cryptocurrency

Chinese Police Arrest 1,100 People for Money Laundering With Cryptocurrencies

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Authorities in China escalated their campaign against cryptocurrencies and arrested more than 1,100 people suspected of using the digital assets to launder illegal funds and order the closure of mines in one of the western provinces.

In a nosedive over 23 provinces, regions and cities, Chinese police arrested more than 170 criminal groups engaged in cryptocurrency trading to launder money received through phone and online fraud, the Ministry of Public Security said in a statement . The suspects had repeatedly converted the assets from one cryptocurrency to another in order to cover their tracks, it said.

The illegal activities “caused severe social damage,” added the ministry.

The arrests came after a powerful Chinese superregulator promised last month that it would “crack down on Bitcoin mining and trading behavior” as part of a broader effort to protect against financial risk and reduce energy consumption in the country. Regulatory crackdown concerns contributed to a sharp sell-off in Bitcoin and other cryptocurrencies.

Bitcoin is still struggling to recover from its recent trading range. It traded near $ 36,755.77 on Thursday after trading at $ 64,802 apiece in mid-April.

Many proponents of cryptocurrencies had dismissed China’s recent warnings as a repetition of previous bans. However, there are signs that after months of volatile trading and mounting concerns about their carbon footprint, Chinese authorities are now more serious about curbing crypto-related activity.

“China has always had a very strong stance on cryptocurrencies. Now they are stepping up part of their narrative, ”said Naeem Aslam, chief market analyst in London at brokerage AvaTrade.

Several cryptocurrency mining platforms have started blocking internet addresses in mainland China from accessing services in the past few weeks.

On Thursday internet searches were for several major crypto exchanges such as Binance, Huobi and OKEx on Baidu. empty Inc.’s

popular search engine and Weibo, a Twitter-like microblogging service. The exchanges have been a popular choice for people in mainland China to trade virtual currencies in what is known as the over-the-counter market. The accounts of several Weibo users known for posting about cryptocurrencies were also suspended last week.

The huge appetite for cryptocurrency mining, an energy-intensive process where computers compete to solve complex mathematical puzzles to unlock new bitcoins, runs counter to Beijing’s energy goals. President Xi Jinping is determined to make China the climate champion and has set ambitious goals to reduce coal consumption.

Regional governments have recently stepped up their anti-mining campaigns. In late May, authorities in the coal-rich Inner Mongolia region published detailed draft rules against the deal.

The government in western Qinghai Province has also announced a ban on cryptocurrency mining, state news agency Xinhua Finance reported on Thursday. Authorities were said to be investigating mining operations that allegedly operate as big data or supercomputing centers.

While China has tried to contain cryptocurrency miners, others are trying to woo them. El Salvador’s President Nayib Bukele said Wednesday that he had directed the country’s state-run geothermal electricity company to come up with a plan to provide Bitcoin mining facilities using cheap, renewable energy from the country’s volcanoes. The announcement came hours after the small Central American country first introduced Bitcoin as legal tender.

Some of the pressure on Bitcoin from measures taken by China could ease, said Joel Kruger, strategist at LMAX Digital cryptocurrency exchange. The spread of cryptocurrency mining to more countries, leading to a decentralization from its current concentration in China, has fueled optimism, as has the prospect of greener energy sources than coal used by some Chinese miners.

“This is positive in that it forces mining to become more prevalent and forcing the narrative to shift to more environmentally friendly ways of mining,” said Mr Kruger.

Bitcoin, Dogecoin, Ethereum: cryptocurrency markets

Chinese bitcoin miners have long dominated the global computing power that powers the bitcoin network with sophisticated equipment and access to cheap electricity. But now a group of US miners with deep pockets are looking to capture a bigger share of the industry. Photo: Adam Chapman for The Wall Street Journal (video dated 2/17/21)

Write to Elaine Yu at elaine.yu@wsj.com and Caitlin Ostroff at caitlin.ostroff@wsj.com

Copyright © 2020 Dow Jones & Company, Inc. All rights reserved. 87990cbe856818d5eddac44c7b1cdeb8

Appeared in the print edition of June 11, 2021 as “China Cracks Down on Crypto Laundering”.

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UAE: Who will own your cryptocurrency after you die? – News

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Experts reveal everything you need to know about digital asset sharing and inheritance.

In the past two years, the global user base of cryptocurrencies as measured by trading volume has grown by almost 190 percent. A survey by Statista of consumers in 55 countries ranks consumers in the United Arab Emirates 19th with the highest probability of owning cryptocurrencies such as Bitcoin in 2020.

But unlike “fiat currencies” like the dollar or the dirham, which can easily be passed on, exchanged or used for transactions, we still need to understand what will happen to the digital currency when its owner dies. We know cases where assets were lost forever – in 2019, a crypto exchange lost $ 145 million after its CEO suddenly died and no one had access to the digital wallet’s password.

Keeping passwords secure is important, and it is just as important to let your loved ones know about them. “I’ve been thinking about this question for some time. I have investments worth $ 100,000 in various cryptocurrencies. I bought this through a broker and not directly through the stock exchange, which means that I can name a beneficiary. So I suspect if my wife wants access to it when I’m gone, she should be able to. But I’m not sure how to proceed. I still have to keep my cryptocurrencies in a digital wallet; For now, they’re only in my account, which I know can be vulnerable to cyberattacks. I plan to do more research and make my cryptos more secure and also to inform my better half about it, ”says Bawa K., who has been investing in digital currencies since 2017.

How are cryptos bought?

Cryptocurrencies can be bought “peer to peer” by people, directly from organizations “over the counter” that offer their own tokens for sale, or from public exchanges such as Coinbase, Bittrex, Binance, Bithumb, Huobi etc.

“These are the channels for most people to buy and sell cryptocurrencies. And there are many other ways to get digital assets, such as transferring C2C (customer to customer) that are not normally used much, ”says Ola Lind, Director, SoBitX.

How are they saved?

The cryptocurrencies are based on blockchain technology and are stored in a so-called wallet. Each wallet corresponds to a key pair, a public key and a private key. The public key is used as the address to receive coins and the private key is used to identify the owner.

“Every owner should keep the private key safe. Anyone with this private key can access the assets in this wallet, ”says Lind.

“In terms of storage, cryptocurrencies are stored in digital wallets. A person has a number of options in this regard, including holding their digital assets in wallets for exchange, in software wallets such as Metamask, or in hardware wallets such as Trezor or Ledger. In any case, individuals must make their own judgment about security and accessibility, ”said Blaise Carroz, vice president, global acquisition, Idoneus.

United Arab Emirates Digital Currency and Wills Act

“While legally the answer is yes, like any other type of asset, loved ones can claim digital assets, and if your passwords, passphrases, and key locations die with you, it is unlikely to happen. Without these things, your crypto assets are inaccessible, ”said Carroz when asked whether families could inherit the cryptocurrencies of their loved ones after their death.

Currently, under UAE federal laws, the status of crypto is not clear enough to be sure of adding crypto to your will. “However, a UAE resident can use a DIFC will to cover all of their global assets, including crypto assets. This is possible because DIFC applies the laws of England and Wales that recognize crypto assets as property. DIFC Wills also has a provision for including a “sealed” document so that a private key can potentially be left for the beneficiary and used to retrieve the cryptocurrency, ”advises Carroz.

“As with all things of this nature, because of the complexity involved, it is best to consult a professional law firm for advice on creating wills with cryptocomponents,” adds Carroz.

When including digitally held assets in an estate planning tool, Century Maxim recommends that you outline the following in an estate planning tool:

a. A clear list of the assets held digitally

b. Information from the digital wallet (s)

c. A memorandum to record the passwords and PINs

d. A step-by-step guide that explains how beneficiaries can access these assets when executing the estate planning tool

“Without access to the identifiers to access the exchange or wallet, it would be nearly impossible to access the assets, regardless of whether they are briefly mentioned in an estate planning tool. In such a case, it is likely that the digitally held assets are on a highly secure and encrypted network – a function that investors in currencies such as Bitcoin, Ethereum or, more recently, Dogecoin choose because it is so difficult to intercept ”, says Farhat Ali Khan, Managing Partner of Century Maxim International, an Abu Dhabi licensed legal advisory firm.

Suneeti Ahuja Kohli

Suneeti Ahuja-Kohli has been in Dubai long enough to call it her spiritual home. She loves to travel but plans to settle in Koi Samui, Thailand to spend her sunset years by the sea. Right now she writes a lot on personal finance, retirement planning, business news and features, health, and just about anything her editor has assigned. Her stays can be followed on Instagram (suneetiahujakohli), messages and views on Twitter @suneetiahuja, and there is a Facebook account for the rest.

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What Is Chainlink and Why Is It Important in the World of Cryptocurrency?

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gopixa / iStock.com

Blockchain has seen a huge surge in popularity since the introduction of Bitcoin, the first cryptocurrency in 2010. Blockchain has a number of advantages, including decentralization and security. The demand for a decentralized currency has catapulted Bitcoin and other cryptocurrencies to worldwide popularity.

Support: It’s not too late to nominate your favorite small business to be featured on GOBankingRates – extended until June 5th

But blockchain has its limits. These systems are inherently isolated from the rest of the world, which is good for security and integrity, but also limits the input data they can accept.

Therefore, there is a need for some kind of bridge that can help these systems to see what is happening in the outside world. However, for the system to work, the input cannot come from a single source. Why? Because it would then have to rely on a centralized data source, which contradicts the nature of the blockchain.

More: What is a Non-Fungible Token and Why Are They Booming?

That is exactly what Chainlink can solve, as we will find out.

What is chain link?

Chainlink is a decentralized oracle network that will play an important role in the real implementation of blockchain technologies. The purpose of this network is to provide input to a variety of external data sources.

While the blockchain is great at what it does – providing a decentralized, secure ledger for digital transactions – it’s not that good at taking input for things that happen outside of the blockchain. There are many “off-chain” forces influencing the markets, including fiat currencies, credit cards, and even weather and sports scores. As a decentralized oracle, Chainlink can provide input for so-called smart contracts.

Find Out: Why Some Money Experts Believe In Bitcoin And Others Don’t

These smart contracts help the system respond to a variety of inputs (if X, do Y). As the first cryptocurrency, Bitcoin and the associated blockchain can only process a small part of this input. But newer blockchains like Ethereum have a wider reach. This includes support for programmable smart contracts.

The story goes on

With this in mind, Chainlink was launched on the Ethereum blockchain in 2019, but is said to be agnostic. Therefore, it can also work with other blockchains.

Read: Bitcoin Cash (BCH): How Is It Different From Bitcoin And What Is It Worth?

What is LINK and what is it worth?

LINK is Chainlink’s native token. The token is intended to help fund the project’s growth and is similar to Bitcoin (BTC) and Ethereum (ETH). Both cryptocurrencies work on their respective blockchains. Just like BTC and ETH act as incentives for users to mine, LINK does the same thing.

Dogecoin (DOGE): Should You Invest?

The LINK token was launched in 2017 with a price below 20 cents and stayed below USD 1 through 2019. In 2020 the price began to rise steeply. In fact, the price soared from under $ 2 in early 2020 to a high of $ 36 on February 20, 2021.

Despite LINK’s meteoric surge, it has since fallen from its high of $ 36 and has not yet returned to that level. In fact, the price fell nearly $ 10 by March 1, 2021.

Should you invest in LINK?

As you may have seen from the above, LINK’s value has remained volatile despite its huge gains since early 2020. Hence, it may be best to only invest in LINK to support the underlying technology. Otherwise, the high volatility can become too much for most investors.

Read: How Does Cryptocurrency Work – And Is It Safe?

Still, Chainlink appears to be an important technology as cryptocurrencies move forward. Having an oracle like Chainlink will be key to the long-term stability and viability of cryptocurrency in general. Hence, LINK can be a solid investment if you believe Chainlink will become the industry standard as the most widely deployed, decentralized oracle network.

This article is part of GOBankingRates’ ‘Economy Explained’ series to help readers navigate the complexities of our financial system.

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Last updated: April 1, 2021

This article originally appeared on GOBankingRates.com: What is Chainlink and why is it important in the cryptocurrency world?

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