Ex-CEO of AriseBank sentenced to prison for crypto scam; bitcoin continues dropping: market wrap

Ex-CEO of AriseBank sentenced to prison for crypto scam; bitcoin continues dropping: market wrap
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Updated 26 August 2021

Ex-CEO of AriseBank sentenced to prison for crypto scam; bitcoin continues dropping: market wrap

Ex-CEO of AriseBank sentenced to prison for crypto scam; bitcoin continues dropping: market wrap
  • Hundreds of investors spent a total of $4.25 million in fiat currencies and cryptocurrencies such as bitcoin and ether

Bitcoin, the leading cryptocurrency in trading internationally, traded lower on Thursday, falling by 1.19 percent to $46,965.32 at 5:33 PM Riyadh time.

Ether, the second most traded cryptocurrency, traded at $3,098.12, down by 1.00 percent, according to data from CoinDesk.

Other major crypto news:

Jared Rice, inventor of AriseCoin and former CEO of AriseBank touted as the world's first decentralized banking platform, was sentenced to five years in prison on Wednesday for his role in a scam that deprived investors of $4.25 million.

Hundreds of investors spent a total of $4.25 million in fiat currencies and cryptocurrencies such as bitcoin (1.93 percent) and ether (1.74 percent) to purchase AriseCoin. Under the decision, Rice must pay this amount as compensation.

The Securities and Exchange Board of India on Wednesday announced its intention to roll out the Securities Control and Covenant System for Non-Convertible Bonds (NCDs) by April 1, 2022.

It appears to be an important step for the blockchain use case within India’s financial ecosystem and follows other major institutions in leveraging the technology to increase the efficiency of systems.

FASTFACTS

The Securities and Exchange Board of India has announced its intention to roll out the Securities Control and Covenant System for Non-Convertible Bonds by April 1, 2022.

It appears to be an important step for the blockchain use case within India’s financial ecosystem and follows other major institutions in leveraging the technology.

Microsoft on Thursday received a US patent for software that could help users develop blockchain applications by making it easier and more efficient to create crypto tokens.

Microsoft’s patent describes a ledger-independent system to help users create and manage tokens across different networks.

The system also provides a common interface for managing tokens, so developers don't have to worry about a token specific to interact with them.

While Citigroup is awaiting regulatory approval to begin offering Bitcoin futures trading to its clients. As Citigroup said, "We are currently looking at products such as futures contracts for some of our institutional clients, as these products operate under strong regulatory frameworks."

“Our customers are increasingly interested in this area, and we are monitoring these developments,” Citigroup was quoted as saying by the news agency. 

“Given the many questions about regulatory frameworks, supervisory expectations, and other factors, we are carefully considering our approach.”


A slowdown in Korean economic activity; interest rates remain unchanged in Japan: Economic wrap

A slowdown in Korean economic activity; interest rates remain unchanged in Japan: Economic wrap
Getty Images
Updated 19 sec ago

A slowdown in Korean economic activity; interest rates remain unchanged in Japan: Economic wrap

A slowdown in Korean economic activity; interest rates remain unchanged in Japan: Economic wrap
  • Producer prices in Spain leaped by an annual rate of 23.6 percent in September

South Korea’s economy jumped by 4 percent year-on-year in the third quarter of 2021, slowing from the 6 percent increase it experienced in the prior period, a preliminary estimate by The Bank of Korea showed. 

Jumps in Covid-19 cases across the country have caused both private consumption and fixed investment to slow in this year’s third quarter. Meanwhile, government expenditure increased by 6.3 percent, up from last quarter's 5.3 percent growth rate.

In addition, the country’s GDP recorded a quarterly growth of 0.3 percent, dropping from 0.8 percent in the previous period, according to preliminary estimates.   

Rates to remain steady in Japan

Unlike other central banks that hiked their interest rates, the Bank of Japan is set to keep its rates on hold.

Japan has been experiencing high producer prices in the last period, yet consumer inflation remained at zero due to weak domestic demand.

The bank is expected to maintain its targets for short-term interest rate and 10-year bond yields at -0.1 percent and 0 percent respectively.

Producer prices in Europe 

Producer prices in Spain leaped by an annual rate of 23.6 percent in September, up from 17.6 percent in the previous month, official data showed. This is the highest rate since December 1977.

The hike in prices was driven by supply chain disruptions, energy shortages and last year’s low base effects.

Similarly, Sweden's producer prices soared to a record high of 17.2 percent on a yearly basis in September, expanding from 15.8 percent in August, Statistics Sweden said. 

Producer inflation has now risen for the eighth month in a row as costs of natural gas and crude oil helped fuel the increase in prices.

Singapore’s manufacturing

Singapore’s manufacturing output fell by 3.4 percent year-on-year in September, declining sharply from last month’s growth of 11 percent. Singapore Economic Development Board also said that a rise in the Delta variant cases contributed to the slip in production.

Biomedical manufacturing slumped by 35.9 percent while general manufacturing output declined by 2.7 percent in September, down from a growth rate of 6.4 percent in August. 

Manufacturing output also declined on a monthly basis in September, decreasing by 2.8 percent.


Saudi Arabia aims for 4000 factories to be automated within 5 years: Minister of industry

Saudi Arabia aims for 4000 factories to be automated within 5 years: Minister of industry
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Updated 11 min 14 sec ago

Saudi Arabia aims for 4000 factories to be automated within 5 years: Minister of industry

Saudi Arabia aims for 4000 factories to be automated within 5 years: Minister of industry
  • The Fourth Industrial Revolution (4IR) is a fusion of advances in artificial intelligence, blockchain, robots, 3D-printing and the internet of things

The Saudi ministry of industry and mineral resources plans to convert 4000 factories from heavy reliance on expatriate workers to digital automation within 5 years, Bandar Al Khorayef told Alarabiya. 

This comes amid the ministry’s efforts to build a conducive industrial environment for SMEs, as they account for over 80 percent of the total industrial new licenses since the beging of 2021, El Khorayef noted in a previous statement. 

The minister highlighted the importance of investing in Fourth Industrial Revolution’s applications, due to its role in changing the shape of the industrial sector, in his interview to Alarabiya. 

The Fourth Industrial Revolution (4IR) is a fusion of advances in artificial intelligence, blockchain, robots, 3D-printing and the internet of things, that is expected to support Saudi’s transformation towards an innovation-based economy. 


Saudi Basic Industries hits year high: Market wrap

Saudi Basic Industries hits year high: Market wrap
Image: Shutterstock
Updated 15 min 35 sec ago

Saudi Basic Industries hits year high: Market wrap

Saudi Basic Industries hits year high: Market wrap
  • Retailer Jarir signed a contract to sell a land plot to Jarir Real Estate for SR97.9 million

The Tadawul All Share Index, TASI, rose by 0.01 percent to surge past 11,890 points in early trade today.

Herfy Food Services posted a net profit of SR60.1 million ($16 million) in the third quarter of the year.

Retail investors start a subscription to 1.5 million shares of Arabian Contracting Services Co. (Al Arabia) today.

Retailer Jarir signed a contract to sell a land plot to Jarir Real Estate for SR97.9 million.

Metal Manufacturer Maadaniyah shareholders to vote on 16.7 percent capital cut, SR120 mln rights issue on Nov. 23

Shipping firm Tihama said a court ruling to pay SR11.8 mln compensation to Riyadh Municipality was upheld.

Saudi Arabia Refineries Co. (SARCO) reported a 28 percent growth in net profit in the first 9 months of 2021.

Al Moammar Information Systems Co. (MIS) posted a 29 percent drop in profits for the first 9 months of 2021.

Stocks of Saudi Basic Industries Corp. (SABIC) and Saudi Ground Services Co. (SGS) hit their highest levels in 52 weeks today.


Money manager deVere doubles ESG investment target to $2bn in five-year plan

Money manager deVere doubles ESG investment target to $2bn in five-year plan
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Updated 34 min 55 sec ago

Money manager deVere doubles ESG investment target to $2bn in five-year plan

Money manager deVere doubles ESG investment target to $2bn in five-year plan
  • The doubling of the pledge comes as world leaders, industry chiefs and experts head to Glasgow this weekend for the start of COP26

Global money manager deVere Group has doubled its target of environmental, social and governance (ESG) investments to $2bn, less than a year after setting its original goal.

The multi-national financial advisory, asset management and fintech organisation, deVere Group had said in January it would aim to have $1bn in socially responsible investment vehicles within five years.

It now says it plans to hit is “$2bn or more” within the same time frame.

The doubling of the pledge comes as world leaders, industry chiefs and experts head to Glasgow this weekend for the start of COP26, an event seen as a critical turning point in the struggle to avert the worst effects of climate change.

CEO and founder of deVere, Nigel Green, said: “Climate change – and the major, far-reaching fallout of it for economies and communities around the world - is the greatest risk multiplier. There’s no question that it is the defining issue of our time.

“But this takes unprecedented levels of investment, which is why deVere is now aiming to position $2bn into ESG investments within five years.”

Green added that the new target is achievable as investors, keen to get ahead of the curve “as well as earn profits with purpose”, are receptive to the opportunities as the world scrabbles to mitigate the environmental, economic and social fallout of the current situation – “a situation which is likely to be a constant risk.”

The investment house says it has over $10 billion under management with over 80,000 clients in more than 100 countries.

The group is also one of 18 founding signatories of the UN-backed Net Zero initiative, the international alliance of global finance companies that aim to help accelerate the transition to a net zero financial system.

Its membership means it is committed to “aligning all relevant products and services to achieve net zero greenhouse gases by 2050 and to set meaningful interim targets for 2025,” a statement from the company said.


Clean energy development can't be left to Aracmo and ADNOC, warns Saudi minister

Clean energy development can't be left to Aracmo and ADNOC, warns Saudi minister
Updated 42 min 30 sec ago

Clean energy development can't be left to Aracmo and ADNOC, warns Saudi minister

Clean energy development can't be left to Aracmo and ADNOC, warns Saudi minister

RIYADH: Middle Eastern oil companies cannot be the only ones to invest in the transition to clean energy, a leading Saudi Arabia minister has said.

Speaking at the Future Investment Initiative Forum in Riyadh, minister of investment Khalid Al Falih called for more money to be spent to ensure a “balanced energy portfolio”.

He said: “Saudi Aracmo and ADNOC and others need to invest in the transition, (but) if we leave them in the corner to pay all of the capital for fossil fuel, we are depriving them and the region from investing in a more balanced energy portfolio.”

The UK’s minister of investment, Lord Gerry Grimstone, said he expected to see closer working between governments and the private sector.

“Over the next few years we will see the most private public partnerships we have ever seen,” he said, adding: “The partnership between the public and private sectors in the world has deepened during the pandemic, and we hope to double it in the future.”