As a result of community feedback, the NFT rarity ranking protocol has been revised by OpenSea.

As a result of community feedback, the NFT rarity ranking protocol has been revised by OpenSea.

by | Nov 18, 2022 | News, NFTs

The market-driven rarity structure for specific NFT collections, according to a member of the community, is destroyed by the new rarity ranking algorithm. Rarity ranking of nonfungible tokens (NFTs) on an online marketplace may help collectors decide whether or not to purchase NFTs, but some believe that doing so may do more harm than good.

An NFT investor raised a number of concerns about OpenRarity, the new rarity ranking system used by NFT marketplace OpenSea, in a tweet. The community member claimed that including "rank" in the NFT listing without mentioning "rarity" anywhere could be misconstrued.

By enabling the OpenRarity ranking mechanism, the community member said, the Moonbirds NFT collection destroyed its own market-driven rarity structure and transformed every NFT into a "floor Moonbird." The community member offered the collection as an example. The NFT collector also criticised Proof CEO Kevin Rose for not disabling the OpenRarity rating function for the collection. The proof is the firm that produced Moonbird.

Several days after receiving the suggestions, the NFT marketplace made some adjustments to the ranking system. NFT listings currently show "rarity rank" rather than just the rank. The NFT marketplace has also included a trait count to the ranking algorithm as well as a way to categorise items based on their unique characteristics before utilising any other data to boost their rating.

After the changes, OpenSea indicated that it will make the function for determining rarity available to all chains' eligible collections. On October 25, the adjustment will go into effect. The most common type of feedback received, according to the NFT market, is questions regarding how to acquire access. To make this access available to more collections, the marketplace will add the feature to each supported blockchain.

On September 21, the NFT marketplace initially developed the NFT ranking system in order to provide collectors with a reliable rarity ranking. The OpenRarity protocol, which aims to standardise the rarity technique across NFT platforms, was developed through cooperation amongst NFT groups.

rarity ranking

There are authorities who argue that the 'insider trading' allegation in the OpenSea case is true.

An ex-employee of nonfungible token (NFT) marketplace OpenSea requested that references to "insider trading" be removed from his charges, but US prosecutors objected to the request.

According to the prosecution, the sentence accurately sums up the offences that former OpenSea product manager Nathaniel Chastain is charged within a memo that was submitted on October 14.

According to Law360, it was in response to Chastain's motion to stop using the phrase on October 3.

A jury may be swayed by the term "insider trading" if Chastain's case goes to trial, he claimed, adding that the term is "inflammatory" and has nothing to do with the claims against him.

In August, his legal team also asserted that "insider trading" only applied to securities and not to non-financial transactions, and that the phrase was used to attract media attention and sway the jury's perception of him. He further noted that the term only applied to stocks and not to NFTs.

The phrase "accurately conveys" the allegations made against him, according to the prosecution, and the term is not "so fundamentally provocative" as to require the "extreme measure" of having it deleted from his charges.

They also criticised his assertion that insider trading solely applied to the trading of securities, calling it a "legal mistake" and an "unduly constricted understanding of the phrase," and asserting that it can pertain to a variety of frauds in which someone with inside information trades assets.

Before Chastain's accusations, the phrase "insider trading" had never been used in connection with cryptocurrency or NFTs.

Alma Angotti, a former U.S. Securities and Exchange Commission (SEC) lawyer, said the possibility of NFTs being categorised as securities in this case in June, not long after Chastain was charged.

Trading in derivatives by Huobi Global is stopped in New Zealand

Trading in derivatives by Huobi Global is stopped in New Zealand

by | Nov 18, 2022 | Market News, News, Trading101

Huobi Global cites adherence to local laws as the justification for leaving New Zealand off of its list of nations where it conducts derivatives trading.

Bitcoin exchange The suspension of derivatives trading in New Zealand has been announced by Huobi Global. According to Huobi's statement, the new prohibitions against derivatives offerings are necessary to comply with local laws.

Users in New Zealand will no longer be able to access derivatives trading services, such as futures and swaps with coin margining, contracts with Tether margining, options, and exchange-traded goods.

On August 23, the new limitations will go into effect. Huobi Global will stop accepting users with New Zealand Know Your Customer-verified locations as well as IP addresses from the country on the same day. Only on and after the restrictions' effective date are users permitted to close out open positions.

The Huobi Group reacted to Cointelegraph in a formal statement, saying that the Group is trying to make an effort to abide by the local laws and regulations in each nation and region where they do business. Compliance is a need before releasing goods and services in any new country, and Huobi shall always adhere to this fundamental tenet.

There are 11 jurisdictions on Huobi's list of prohibited countries, which is always growing. nations like the United States, Canada, and Japan are included in this list. Derivative trading is not available in the United Kingdom, Taiwan, and mainland China.

This comes just after news broke that Huobi co-founder Leon Li wanted to sell a $1 billion+ majority stake in the business. Huobi Global was established in 2013 and manages a daily trading volume of more than $1 billion.

Despite the New Zealand development, the corporation has recently taken steps to broaden its product offers. Early in August, Huobi got approval from Australian authorities—a nation next to New Zealand—to operate as an exchange provider.

Through a subsidiary called HBIT, Huobi obtained a Money Services Business licence from the U.S. Financial Crimes Enforcement Network in July.

These advancements coincide with Huobi's $1 billion investment initiative, which focuses on the growth of Web3 and decentralised finance.

Thai affiliate of Huobi Global closes as Dubai and New Zealand licenses are granted.

Huobi, a cryptocurrency trading platform, has obtained additional licences in New Zealand and the United Arab Emirates as part of its ongoing global expansion. Huobi Group secured the company's first-ever licence at the Dubai International Financial Centre (DIFC) by obtaining the Innovation License under the DIFC.

Lily Zhang, the chief financial officer of Huobi Group, reports that the business has been granted a DIFC licence by Dubai's Virtual Assets Regulatory Authority (DIFC). The DIFC enables Huobi to encourage technology businesses to establish operations in Dubai rather than serving as a trade licence. In order to provide its services in New Zealand, Huobi has also been registered on the Financial Services Provider Register (FSPR). The Virtual Assets Regulatory Authority (VARA) in Dubai will grant Huobi a Virtual Asset MVP License, enabling it to provide a variety of cryptocurrency exchange goods and services.

All exchanges are obliged to register on the platform in order to provide trading services to local users, therefore the FSPR registration is the first step Huobi Group has taken toward growing its bitcoin trading business in New Zealand.

The registration enables it to offer money exchange services and services for the movement of money or value in New Zealand. A spokeswoman for Huobi informed Cointelegraph, that they would want to stress that Huobi Thailand was not a part of Huobi Global, but rather an independent company founded in 2019 as part of Huobi Cloud. The registration enables HBGL New Zealand Limited, a local subsidiary of Huobi, to run a regulated foreign exchange business and provide money or value transfer services in New Zealand.