2 weeks ago
Cryptocurrency News

Crypto Up; Canada Audits Crypto Investors

Investing.com – Prices of major cryptocurrencies moved upward on Thursday morning in Asia to hit a peak this week despite

Investing.com – Prices of major cryptocurrencies moved upward on Thursday morning in Asia to hit a peak this week despite a lack of obvious price catalysts.

Bitcoin climbed to a one-week high to $3,878.3, up 0.92%, by 10:18 PM ET (03:18 AM GMT). The digital coin bounced from a mid-week dive to around $3,700 and has been gaining steam since.

Other cryptocurrencies are also riding the upwards momentum.

Ethereum went up 2.28% to $138.38, XRP traded 1.51% higher to $0.31678 and Litecoin added 6.61% to $56.294 over the past 24 hours.

The crypto market cap got larger to $133.8 billion, adding $7 billion from the beginning of this week.

The market did take a small beat on news that crypto traders in Canada may now be seeing their investments audited by the Canada Revenue Agency (CRA), Forbes reported on March 6.

The report said that the CRA had sent 14-page questionnaires to investors about their crypto-related activities in recent years. The CRA is looking into how and from whom they purchased the digital assets, and if they use crypto mixing services or tumblers.

The CRA has been taxing digital tokens since 2013 and it set up a special unit in 2017 to monitor the crypto space, collecting intelligence and conducting audits focused on crypto-related risks.

Also happening in Canada is the investigation over the missing funds of crypto exchange QuadrigaCX. A report by Ernst & Young led to questions about whether the money was already gone even before its CEO Gerald Cotton died in December, who was the only person that had access to the cold wallets.

EY said in the report that the cold wallets that were believed to have kept Quadriga customers' missing funds are empty. There was no record of deposits into the cold wallets since April 2018, and the missing coins may have been transferred to accounts at other exchanges.

After its owner suddenly died, QuadrigaCX found that it owed CA$180 million dollars ($135.39 million) to users and faces multiple lawsuits over the missing funds.