For a cryptocurrency exchange that has witnessed its bitcoin selling price trade at a current market premium since start, the spike to nearly $9,000 on the WEX exchange on Wednesday was an outlier.
Some history: in July of past 12 months, U.S. and global legislation enforcement took intention at BTC-e, the long-running – and long-mysterious – cryptocurrency exchange. In a dramatic change, a Russian countrywide and 1 of BTC-e’s suspected personnel was arrested and charged with laundering billions of bucks even though American regulators moved to slap the exchange with a significant $110 million fine.
In the months since, BTC-e has returned less than the WEX banner even though Alexander Vinnik has been the topic of a legal tug-of-war between Russia, the U.S. and, now, France, each and every of which is trying to find to extradite him. Vinnik has that he is innocent of the fees levied in opposition to him.
But Wednesday’s shift is a curious 1, with the selling price of bitcoin (in opposition to the U.S. greenback) on WEX climbing to $8,999, as revealed in the graph under.
By distinction, Bit-coinTalk’s Bitcoin Rate Index (BPI) has not climbed earlier mentioned $6,396 since the get started of buying and selling on July 11.
The sharp improve started close to 16:00 (UTC) from a comparatively high selling price place of about $7,800. To set factors in standpoint, Coinbase, a competing US-based crypto exchange, showcased bitcoin charges through the entirety of the day between the range of $6,200 and $6,400.
At push time, the cryptocurrency is buying and selling at around $8,103, according to WEX figures.
So what offers?
As may be envisioned, the unexpected surge stoked speculation that WEX is either bancrupt, struggling banking issues or gearing up for a calculated exit. BTC-e’s long-mysterious reputation and links to the now-defunct dim current market Silk Street might arguably have offered gasoline for this sort of allegations.
The shift also arrives a day just before WEX will undergo a planned routine maintenance time period scheduled to past for 2 hours, according to a put up on Twitter from July 9.
For its portion, the exchange has not commented on its general public-experiencing channels about the selling price spike, and a information despatched to WEX’s formal account on Twitter was not returned by push time.
Bitcoin image through Shutterstock