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Losing a phone or hardware wallet containing cryptocurrency is inconvenient, but it shouldn’t be fatal. Provided you’ve backed up your private key, recovering your coins is a simple exercise. Should you find yourself in such a predicament, however, there’s a few things you should know before reaching for your wallet recovery phrase. Also read: Zengo Is a Keyless Yet Noncustodial Bitcoin Wallet Recover Your Wallet the Right Way If you’re smart enough to store your bitcoin in a noncustodial wallet, you’re smart enough to make a backup. Whether you’re using a desktop, mobile, or hardware wallet, the process is much the same: look out the seed phrase you’ve stashed in a safe place for this very scenario and enter it into your replacement wallet. All going to plan, you’ll see your balance restored and your coins reappear in your wallet within seconds of importing your seed. There are a few exceptions to this rule, however, as not all wallets rely on a seed phrase to restore access. Hashwallet generates a unique recovery key and recovery seed during setup of the smartcard device. When combined, these components can be used to regain access to the funds stored on the wallet, and must be stored separately for security reasons. Once the recovery key and recovery seed have been securely stored, they are permanently deleted from the smartcard. In the event of wallet loss, the user can retrieve and combine these security elements, whereupon their new Hashwallet will generate the keys required to access the funds. Zengo is another wallet that deploys a keyless design. For the remainder of this guide, though, we’ll focus on conventional noncustodial wallets that utilize a seed phrase. Sweeping vs Importing – What’s the Difference? If your phone or hardware wallet have been lost or stolen, a third party may be able to access the private key. If so, importing it into your new wallet won’t prevent them from draining it at the earliest opportunity using the original device. To prevent that from happening, you’ll want to sweep your private key. A private key is mathematically related to all public keys (i.e. addresses) generated for a particular bitcoin wallet and can be represented as a string of letters and numbers like the following example: 5Kb8kLf9zgWQnogidDA76MzPL6TsZZY36hWXMssSzNydYXYB9KF It can also be represented as a seed phrase like the following example: witch collapse practice feed shame open despair creek road again ice least. When you import a private key into a new wallet, it’s usually done by entering the more memorable seed phrase. All previous versions of that wallet – such as on a lost mobile, hardware, or paper wallet – still exist however. This presents a risk of the older wallet being discovered by a third party and the funds drained. To prevent this, it is safer to sweep your private key into a new public address in your newly created wallet. This entails creating a transaction that empties the balance of the old wallet and sends the funds to a newly created private/public key pair that is known only to you. Most noncustodial wallets, including Ledger, Trezor, Exodus, Electrum, Samourai, and Metamask enable you to sweep a wallet, draining it and aggregating its balance into a new one. How to Import Your Private Key Into a New Wallet If you’re certain that your old wallet isn’t recoverable by a third party (the software has been deleted, for example, or your paper wallet has been destroyed), you can simply import your private key into your new wallet. When you do so using the Bitcoin.com Wallet, you’ll see the following option: If you’re importing a private key into a hardware wallet such as a Ledger, there’s an additional step involved. First, you’ll need to import the private key into a wallet such as Electrum, after which you can send the coins to your Ledger address. Finally, if you’re importing your seed phrase into a different brand of wallet – say, from Exodus to BRD – there’s one final thing to be aware of: derivation path. HD wallets create a master seed based on BIP 32, from which all subsequent keys are derived. The derivation path used can differ between wallets, and must be set correctly when importing. Walletsrecovery.org, which is still in beta, provides information on the derivation paths used by the main hardware and software wallet developers. To summarize, then, if you lose your bitcoin wallet, sweep your private key into a new wallet, if possible, and check the derivation path if you’re switching to a different brand of wallet. The cost of replacing a lost hardware wallet or smartphone is considerable, but the main thing is that your funds are safe. Keep your wallet seed in a safe place and you’ll be protected in the event of acts of god, man, and unfortunate boating accidents. What bitcoin wallet do you recommend? Let us know in the comments section below. Disclaimer: This article is for informational purposes only. It is not an offer or solicitation of an offer to buy or sell, or a recommendation, endorsement, or sponsorship of any products, services, or companies. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Images courtesy of Shutterstock. Did you know you can verify any unconfirmed Bitcoin transaction with our Bitcoin Block Explorer tool? Simply complete a Bitcoin address search to view it on the blockchain. Plus, visit our Bitcoin Charts to see what’s happening in the industry. The post How to Recover Your Funds If You Lose Your Bitcoin Wallet appeared first on Bitcoin News. View the full article

A growing number of platforms allow Russian residents to purchase cryptocurrencies with local fiat money. Established cryptocurrency exchanges are not the most trouble-free option, however, as they often require extensive registration and rarely support popular payment methods in the region, unlike small online exchangers and peer-to-peer platforms. Also read: Russia’s New Prime Minister Has an Opinion of Cryptocurrencies Russian Users Ask Search Engines How to Buy Bitcoin Resurging cryptocurrency markets have lifted the mood across the crypto space. The global community hopes to see the continuation of the positive trend that has the potential to restore popular interest in decentralized digital currencies, along with the upcoming Bitcoin halving. The first signs this might be happening are already here with worldwide Google searches for bitcoin hitting a monthly high in February. Russia, as а promising market for cryptocurrencies, is no exception. Russian searches for “биткоин” (bitcoin) on both Google and Yandex have been increasing. In the past month, Russian speaking users have been asking the search engines about bitcoin’s current rates in U.S. dollar and Russian ruble and over the past week there’s been a 350% spike in Google queries about the bitcoin cash (BCH) rate on Google. “Buy bitcoin” is a common keyword combination on Yandex Search. There’s plenty of options to keep an eye on moving crypto prices nowadays. For example, Bitcoin.com’s Bitcoin Markets tool provides real-time price updates in both dollars and rubles among multiple fiat currencies. The platform is also available in Russian and you can chose your preferred language and currency from the settings. Various Russian sources offer market data for leading cryptocurrencies including specialized websites such as Bitcoininfo.ru, the crypto section of the business news portal RBC, and the analytics page on the Forex broker Alpari’s website. Russian Online Crypto Exchangers Thrive Despite persisting regulatory uncertainty, Russians have many options to buy cryptocurrencies at their disposal. Numerous platforms support crypto purchases in local currency. The Bestchange.ru website offers multiple choices in terms of digital coins and payment methods. It lists dozens of verified online exchangers that are monitored constantly for best rates and lets you choose a cryptocurrency you want to buy or sell as well as a payment method you would like to use to send or receive electronic fiat. The portal gathers some interesting statistics about the most popular trades and exchangers. In the past couple of weeks, for example, buying BTC using Qiwi had the largest share of all exchanges, 9%. Qiwi is a well-known e-wallet provider in Russia and you can create a wallet using only a phone number or log in with a social media account from Facebook, Vkontakte and Google. Selling BTC for funds transferred to a Sberbank account is the second most popular deal, at 8%. The list of utilized exchangers includes less conspicuous platforms that are also less problematic for traders. You can try Netex24, which accounts for 5% of all trades through Bestchange.ru, to buy and sell several major cryptos such as BTC, BCH, ETH, LTC, and the stablecoin USDT with the leading fiat payment processors in Russia and neighboring countries like Yandex Money, Tinkoff, and Ukrainian Privatbank’s internet banking service Приват24. Among the leaders are also 365Cash (4%), which does not require user registration, and Шахта (3%), which supports purchases with bank cards issued by Visa, Mastercard, and the Russian Mir system. Binance Adds Russian Ruble to Its P2P Platform Cryptocurrency exchanges are also catering to the needs of the region’s traders. These include local leaders such as Exmo and Currency.com as well as global platforms like Huobi with its Huobi Russia branch that accepts rubles, and Binance, which has a Russian version of its website and supports ruble-denominated trading. This week, Binance also added the Russian ruble to its peer-to-peer (P2P) trading platform making it the third supported fiat currency after providing services for the Chinese yuan and the Vietnamese dong. Commenting on the announcement, CEO Changpeng Zhao stated: Russia is a vibrant market for blockchain and crypto advancement. We strive to provide our Russian users with easy fiat-to-crypto access. P2P trading provides an open marketplace and more flexible access for users to trade multiple cryptocurrencies with other users or merchants in the payment methods they prefer. Russians are awaiting greater regulatory clarity regarding the crypto space. The adoption of the Law on Digital Financial Assets, the most important of three crypto-related bills, has been postponed many times since the spring of 2018, with the Central Bank of Russia and the Ministry of Finance arguing about the scope of the legal framework and the status of decentralized cryptocurrencies. According to a recent statement by the chairman of the parliamentary Financial Market Committee, Anatoly Aksakov, Russian regulators have managed to settle their disagreements on the legalization of crypto assets and the law is likely to be voted in by the State Duma in March. Do you think Russians will have more or fewer options to buy cryptocurrencies with rubles once Moscow regulates the industry? Share your thoughts on the subject in the comments section below. Disclaimer: This article is for informational purposes only. It is not an offer or solicitation of an offer to buy or sell, or a recommendation, endorsement, or sponsorship of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Images courtesy of Shutterstock, Bestchange. Did you know you can buy and sell BCH privately using our noncustodial, peer-to-peer Local Bitcoin Cash trading platform? The local.Bitcoin.com marketplace has thousands of participants from all around the world trading BCH right now. And if you need a bitcoin wallet to securely store your coins, you can download one from us here. The post Russians Can Use Qiwi, Sberbank, Yandex Money and Now Binance P2P Exchange to Buy Bitcoin With Rubles appeared first on Bitcoin News. View the full article

As tensions escalated between the U.S. and Iran in recent months, reports have detailed that Chinese bitcoin miners are looking to set up shop in Central Asia and more specifically in Kazakhstan and Uzbekistan. Last spring, Chinese bitcoin mining operations flocked to Iran for extremely affordable electric prices ($0.006 per kilowatt-hour) in the oil-rich nation, but now Chinese miners are finding it easier to migrate to Central Asia for $0.03 per kWh in certain countries. Also Read: Iranian Grid Explains Electrical Costs Will Fluctuate for Bitcoin Miners Chinese Miners Consider Moving Older Units and Operations to Central Asia Regional reports have disclosed that Chinese bitcoin miners have been considering migrating to Central Asia for cheaper electricity. Last April, a few Chinese mining operations moved to Iran in order to get electric prices at $0.006 per kilowatt-hour, but the authorities made that difficult. Even though Iran’s leaders legalized mining in the country, they also said that miners must pay the export price for electric consumption. In November, officials from the Iranian grid explained that electrical costs would fluctuate for bitcoin miners. The fluctuation could vary during specific months between $0.04 per kWh (9,650 rials) and $0.16 per kWh. However, in Central Asia, electrical prices stemming from an abundance of gas and coal plants mean that bitcoin miners could get $0.03 per kWh or less in countries like Kazakhstan and Uzbekistan. 8btc columnist lylian Teng discussed the subject with a Chinese miner, Wu Zheng, who says Chinese miners are attracted to Central Asia’s prices. Central Asian countries like Kazakhstan, Uzbekistan, Kyrgyzstan, and Tajikistan are well known for an abundance of gas and coal energy. Wu explained that Chinese miners send older models like the S9, E10, and M3 to regions where the electrical costs are considerably lower. “My mining farm (in Kazakhstan) is running Ebit E10 machines which deliver a hashrate of 18T with the power consumption at 1800W,” Wu explained. The miner also disclosed that prices for electricity in Kazakhstan can be as low as $0.001 per kWh, if the miner can connect with a powerful coal operation. “In Kazakhstan, coal-fired power costs as little as $0.001 per kilowatt-hour because of the abundant coal source there,” Wu noted, “[Additionally], private power generation is allowed in the country and the electricity we are using comes from a private power plant.” Since Bitcoin’s difficulty adjustment spiked considerably higher, older mining rigs are finding fewer profits. Mining farms are replacing old machines such as Bitmain’s Antminer S7 and S9, says Jason Wu the cofounder of Definer. The Chinese miner Wu Zheng emphasized that Central Asia’s cheap electrical prices make older machines profitable again. Central Asia Is Positive Toward Crypto Mining It’s not the first time reports have addressed Chinese miners possibly relocating to Central Asia. Last September, author Ana Alexandre talked with Alan Dorjiyev, the head of the Blockchain & Data Center Industry Development Association in Kazakhstan, about bitcoin miners from China possibly moving to the region. “Uzbekistan is overall positive toward mining,” Dorjiyev told Alexandre. “However the mining industry is centralised to one controlling body. It causes a lot of corruption when the government body decides which miner they give electricity.” “The only challenge at the moment is building a low voltage infrastructure so that miners can connect to the grid easier,” Dorjiyev continued. “At the moment miners are investing in electric infrastructure for lowering voltage from 110kv to 0,4kv.” Dorjiyev also noted that Kyrgyzstan has been an attractive country for bitcoin mining operations as well. Additionally, on September 2, Shavkat Mirziyoyev, the president of Uzbekistan, established a fund dedicated to the government’s blockchain development. Uzbekistan’s leaders have allowed bitcoin mining, trading and created extremely lenient tax laws in the country toward crypto payments as well. Despite the cheap electricity and the crypto-friendly states, Central Asia has a long controversial history with China. When the Soviet Union controlled Central Asia, the borders were closed and Chinese workers only recently migrated to the area for work. Citizens from Kazakhstan, Kyrgyzstan, and Tajikistan were upset and protested when China renegotiated post-Soviet borders. Conflicts over this matter have raged on for years and could make mining operations reconsider locating to these countries. What do you think about Chinese mining operations considering moving miners to regions like Kazakhstan, Uzbekistan, Kyrgyzstan, and Tajikistan? Let us know what you think about this topic in the comments section below. Disclaimer: This article is for informational purposes only. It is not an offer or solicitation of an offer to buy or sell, or a recommendation, endorsement, or sponsorship of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Image credits: Shutterstock, Fair Use, and Pixabay. Did you know you can buy and sell BCH privately using our noncustodial, peer-to-peer Local Bitcoin Cash trading platform? The local.Bitcoin.com marketplace has thousands of participants from all around the world trading BCH right now. And if you need a bitcoin wallet to securely store your coins, you can download one from us here. The post 3 Cents per kWh – Central Asia’s Cheap Electricity Entices Chinese Bitcoin Miners appeared first on Bitcoin News. View the full article

The last few days have shown bullish price activity across the list of top cryptocurrency markets. There’s been a lot of focus on coins like BTC, ETH, BCH, and EOS, but digital assets like HBAR (120%), STX (52%), XTZ (20%) and LINK (13%) have seen much larger gains this week. The cryptoconomy has surpassed the $300 billion range and a few speculators think an “altcoin season” is upon us. Also Read: Ethereum vs Tron: Comparing Data, Defi and Stablecoins from Both Chains After Viral Tweet Cryptoconomy Jumps Over the $300 Billion Threshold With Smaller Coins Making Significant Gains During the early morning trading sessions on Wednesday, the overall market valuation for all 5,000+ digital currencies the $300 billion mark. BTC surpassed the $10K zone, ETH is hovering around $250 per coin, and BCH is climbing toward $500 a unit. Aside from the market capitalization giants, a number of smaller crypto contenders have been gathering significant gains. For instance, one asset traders have been eying lately is chainlink (LINK), a decentralized oracle project built on the Ethereum blockchain. On Wednesday, February 12, 2020, the overall market cap of all 5,000+ digital assets surpassed $300 billion. Chainlink (LINK) On February 12, LINK has gained 13.4%, and for the last seven days is up over 47%. Each unit is swapping for $4.19 and there’s $1.4 billion in reported chainlink trade volume today. However, “real volume” statistics from Messari.io shows there’s only $163 million LINK trades on Wednesday. Because chainlink came out recently it has already spiked to an all-time high (ATH) of $4.36 which is only 5% higher than the current spot market price. Link has finally broken out!!!! Say hello to a $6 Link very soon. Go link marines 🚀🚀🚀#XRPCommunity #link #Chainlink #ALTSEASON pic.twitter.com/sCPHjOkzjY — Blockchain Barrister⚡️🇬🇧 (@blockbarrister) February 7, 2020 Tether (USDT) captures the most LINK trades with 42% of global trade volume which is followed by BTC at 33%. This is followed by USD (15%), ETH (5.4%), KRW (1.7%), and TUSD (0.79%). The Chainlink project recently partnered with the Swipe wallet application and card platform. Gemini Custody also announced that the firm has added support for LINK. Chainlink (LINK) price on Wednesday, February 12, 2020. LINK has gained 871% against USD during the last year. Tezos (XTZ) Tezos (XTZ) is another blockchain network linked to a digital token that has jumped considerably in value over the last week. At press time, XTZ is up more than 20% and it’s up 51% for the week. Reported trade volume shows there’s $173 million of XTZ trades today but “real volume” data shows it’s roughly around $125 million. Despite being up over 50% for the last seven days, XTZ is still down 75% from its $11.20 ATH. On Wednesday, the asset is trading for $3.30 per XTZ and the currency is up over 748% during the last 12 months. #Tezos having it’s own #altseason! All time highs, aiming for top 5 in crypto market cap, it’s on full blown rocket mode! 🚀🚀🚀 At there are still doubters! Lmao$xtz #crypto #CryptoTwitter #blockchain #SmartContracts #buytezos #fomo #btfd #hodl #staking $btc $eth pic.twitter.com/lhQlMkdbid — Mr_Digital_Assets (@MrDigitalAssets) February 9, 2020 Unlike many other coins losing against BTC, XTZ is up 196% against BTC as well. The most traded pair with tezos today is tether (USDT) which captures 35% of all XTZ trades. This is followed by BTC (35%), USD (23%), EUR (2.6%), and KRW (1%). Tezos hasn’t seen any crazy news updates that would justify the surge XTZ markets have seen, but the cryptocurrency’s staking yield is fairly decent with an annualized yield of 6.9%. Tezos (XTZ) price on Wednesday, February 12, 2020. XTZ has gained 747% against USD during the last year. Blockstack (STX) Lastly, Blockstack’s SEC approved project and coin has been doing well during the last two weeks. Blockstack (STX or BSTX) is up over 44% on February 12 and it’s trading for $0.22 per unit. According to Messari.io, STX has a reported trade volume of around $15.7 million and “real volume” statistics are exactly the same. Only a few currencies are paired against STX which include BTC (67%), USDT (29%), and BNB (2.8%). STX is a fairly new market with no recorded ATH, and no year-over-year price history yet. Blockstack (STX) price on Wednesday, February 12, 2020. STX is fairly new and there are no annual percentages for this token yet. Blockstack has been in the news for announcing that node operators would be rewarded in BTC. However, the project has been scrutinized by publications such as The Block for its alleged key milestone of 1 million verified users. This figure has been questioned by journalists and the topic has been discussed widely on social media. Because the project touched the milestone it unlocked investor funds that can be used to further development. Altcoin season in full swing! #Bitcoin dominance crashing! pic.twitter.com/3Nck8OvAE5 — gaurav.NIMESH (@gauravNIMESH18) February 9, 2020 A few other notable forerunners today include hedera hashgraph (HBAR) which has jumped over 120% in the last 24 hours. Sophiatx (SPHTX) is up 171%, vite (VITE) gained 77% and omnitude (ECOM) climbed 43% this Wednesday. A number of traders and analysts are already stating that crypto markets have turned bullish and some believe we are seeing the infamous “altcoin season.” Meanwhile, while these speculators say this time around is different, other analysts point to the bullish markets that took place in June and followed with a bearish downtrend. It’s going to take a lot more movement to convince these skeptics that an altcoin season is here or that the bulls have gained full control over the cryptoconomy. What do you think about the cryptoconomy’s current action? What do you think about these three cryptocurrencies and the price movements this week? Let us know what you think about this subject in the comments section below. Disclaimer: Price articles and market updates are intended for informational purposes only and should not be considered as trading advice. Neither Bitcoin.com nor the author is responsible for any losses or gains, as the ultimate decision to conduct a trade is made by the reader. Always remember that only those in possession of the private keys are in control of the “money.” Cryptocurrency prices referenced in this article were recorded on Feb. 12, 2020, at 11 a.m. ET. Image credits: Shutterstock, Markets.Bitcoin.com, Trading View, Fair Use, Twitter, and Pixabay. Did you know you can buy and sell BCH privately using our noncustodial, peer-to-peer Local Bitcoin Cash trading platform? The local.Bitcoin.com marketplace has thousands of participants from all around the world trading BCH right now. And if you need a bitcoin wallet to securely store your coins, you can download one from us here. The post Altcoin Season Trending – LINK, XTZ, BSTX, HBAR Gain Up to 120% in 24h appeared first on Bitcoin News. View the full article

In his testimony before the House Financial Services Committee, Federal Reserve Chairman Jerome Powell answered a number of questions regarding digital currencies. While stating that “a ledger where you know everybody’s payments” is not a problem in China, he believes it is not attractive for the U.S. Admitting that Facebook’s Libra project was a wake-up call to the Fed, the chairman provided a progress update of the Fed’s digital dollar. Also read: Bitcoin, Tesla Stock, Tron: How Warren Buffett Got His First Bitcoin Public Ledger Not Attractive for the US Jerome Powell, Chair of the Board of Governors of the Federal Reserve System, testified before the House of Representatives’ Committee on Financial Services on Tuesday. The hearing, entitled “Monetary Policy and the State of the Economy,” was chaired by Rep. Maxine Waters. Illinois Representative Bill Foster asked Powell a number of questions about digital currencies, including the progress of the digital dollar, citing that the Chinese claims they will be rolling out their digital yuan “sometime very quickly.” Fed Chairman Jerome Powell giving his testimony before House Financial Services Committee on Tuesday. “Do you feel you have adequate visibility into what the Chinese are doing on this. Do you have working-level contacts that give you some idea of what their rollout is likely to do, like likely to look like?” Foster asked. Powell quickly answered, “Yes, I mean, we certainly have, that.” However, he clarified that the circumstances in the U.S. are completely different from China, elaborating: For example, the idea of having a ledger where you know everybody’s payments is not something that would be, you know, particularly attractive in the United States context. It’s not a problem for China. Enormously Important to Keep Currency Centralized Referencing his discussion with Governor Lael Brainard, Foster asked Powell: “Do you think that establishing a digital dollar would help ensure that the U.S. dollar continues to serve as the core of the U.S. and the world’s financial system?” The Fed chairman replied, “Having a single government currency at the heart of the financial system is something that has served us well,” advocating for “preserving the centrality of a central widely accepted currency that is accepted and trusted is an enormously important thing.” Citing that the private sector is innovating and every major central bank is currently studying central bank digital currencies, the chairman remarked: “It’s very much incumbent on us and other central banks to understand the costs and benefits and trade-offs associated with a possible digital currency.” Rep. Bill Foster Foster also asked Powell how he would characterize the Fed’s progress on a central bank digital currency compared to other countries. The Illinois representative pointed out that one of the reasons why there is so much concern about the Libra project is that it would immediately have scale. He emphasized that another entity in a position to achieve similar scale is the Chinese government. “How would you characterize our ability to respond to this potentially competitive threat?” Powell was asked. “We are working hard on it. We have a lot of projects going on, efforts going on, on that right now,” he replied, noting that the U.S. hasn’t had a problem of people moving away from cash as several European countries have. According to the Fed chair, “The amount of cash in the U.S. economy continues to grow faster than nominal GDP.” He continued: There are many questions that need to be answered around digital currency for the United States, including cyber issues, privacy issues, many many relational alternatives present themselves. “So we are going to be working through all that and doing all that work thoroughly and responsibly,” Powell added. Fed Chairman Jerome Powell Libra: The Fed’s Wake-Up Call Noting that the adoption of cell phone payments could happen in a couple of years, Foster asserted that the U.S. should be able to respond quickly when that happens, such as with a digital dollar. “I completely agree with that,” Powell responded, adding: Frankly, Libra really lit a fire under that and it was a bit of a wake-up call that this is coming fast and could come in a way that it’s quite widespread and systemically important, fairly quickly if you use one of these big tech networks like Libra did. In her opening speech, Waters also urged Powell to keep a watchful eye on Facebook and its Libra project. She asserted that Facebook’s planned Libra cryptocurrency and digital wallet launch “could have profound implications on monetary policies and compete with our own U.S. dollar.” Waters and a few other Democrats previously asked Facebook to halt the Libra project until Congress has time to examine the issue of big tech companies launching digital products and take action. What do you think of Powell’s testimony on digital currencies? Let us know in the comments section below. Disclaimer: This article is for informational purposes only. It is not an offer or solicitation of an offer to buy or sell, or a recommendation, endorsement, or sponsorship of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Images courtesy of Shutterstock and PBS. Did you know you can buy and sell BCH privately using our noncustodial, peer-to-peer Local Bitcoin Cash trading platform? The local.Bitcoin.com marketplace has thousands of participants from all around the world trading BCH right now. And if you need a bitcoin wallet to securely store your coins, you can download one from us here. The post Fed Chair Powell Reveals US Response to China’s Digital Yuan, Libra, Public Payments Ledger appeared first on Bitcoin News. View the full article

Cred, a licensed crypto-backed lending and borrowing platform based in California, now supports litecoin. The service will allow LTC holders to earn up to ten percent interest through any of its partners including the Litecoin Foundation, Bitcoin.com, Uphold, and Bitbuy. Since July 2019 Cred allows Bitcoin.com customers to earn interest on BCH and BTC. Also Read: Cred Merchant Solutions to Help Unbanked Business Sectors Cred Now Accepting Litecoin Cred, a licensed lender based in California, has announced that litecoin (LTC) holders will be able to earn up to ten percent interest on their digital assets following a partnership with the Litecoin Foundation. The partnership is expected to help support the altcoin’s development as a portion of the funding generated through the service will be funneled into the LTC developer community. The platform will allow LTC holders to invest through any of Cred’s partners including Litecoin Foundation, Bitcoin.com, Uphold, and Bitbuy. Litecoin holders will be able to commit to a six-month term and receive monthly interest payments, with the option to roll over pledged assets for additional periods. The company explained that customers will receive the best Cred rates when staking Cred’s LBA utility token. No account minimum is needed and interest is paid out in fiat or cryptocurrency. “We look forward to supporting the millions of Litecoin wallet holders with a more transparent, equitable set of financial services we have built, thanks to the advancement of blockchain technologies,” stated Dan Schatt, Co-Founder and CEO of Cred. “We’re thrilled to be working with Cred as our financial services partner, offering among the most competitive interest rates on Litecoin,” added Charlie Lee, creator of the altcoin. Decentralized Banking and Lending Platform Based in the San Francisco Bay Area, Cred is a decentralized banking platform serving customers in 190 countries with over $300 million in lending capital. It offers interest rates on more than 30 crypto and fiat currencies through its partner network. In July of last year it was announced that a partnership between Bitcoin.com and Cred allows customers to earn up to ten percent interest on BTC and six percent on BCH invested with the platform. Those with investments over $25,000 have been benefiting from the partnership for the previous few months but it opened to all users, regardless of investment size, on July 15, 2019. San Francisco Bay Area Cred also is a member of the Universal Protocol Alliance – a group of cryptocurrency companies and blockchain organizations that want to connect different digital assets in a single network which also includes Bittrex, Certik, Omisego, Blockchain at Berkeley and Uphold. Bitcoin.com Exchange has provided an initial exchange listing for the Universal Protocol Token (UPT) and will also support Universal Protocol Stablecoins, including the Universal Dollar (UPUSD), Universal Euro (UPEUR), in addition to a tokenized version of bitcoin core, the Universal Bitcoin (UPBTC). In October 2019 the company unveiled Cred Merchant Solutions, a point-of-sale handheld terminal that is meant to support companies that want to accept crypto payments. The Android-based terminal will be deployed to businesses at cost to help them quickly pay taxes and lower transaction fees. It is expected to support business sectors underserved by banks, like the $2 billion+ a year California cannabis industry. What do you think about Cred now accepting LTC? Share your thoughts in the comments section below. Images courtesy of Shutterstock. Verify and track bitcoin cash transactions on our BCH Block Explorer, the best of its kind anywhere in the world. Also, keep up with your holdings, BCH and other coins, on our market charts at Bitcoin.com Markets, another original and free service from Bitcoin.com. The post Cred Now Enables LTC Holders to Earn Up to Ten Percent Interest on Their Digital Assets appeared first on Bitcoin News. View the full article

On February 11, the Atlanta-based payment processor Bitpay announced the firm’s recent partnership with the company Poynt. Now retailers will be able to support cryptocurrency payments using point-of-sale devices and crypto users will be able to pay with digital currencies at more than 100,000 Poynt retailers worldwide. Also Read: Ethereum vs Tron: Comparing Data, Defi and Stablecoins from Both Chains After Viral Tweet Crypto Payments Available at 100,000 Poynt Retailers Bitpay has revealed the company is collaborating with the open commerce platform Poynt in order to bolster crypto payments worldwide. On Tuesday, Bitpay announced the integration of Bitpay’s cryptocurrency payments service with Poynt’s Smart Terminal point-of-sale (PoS) devices. “With just the scan of a QR code at checkout, consumers can now pay merchants using Poynt’s devices with the currency of their choice, including bitcoin, bitcoin cash, ethereum, and three dollar-pegged stablecoins,” the firm disclosed. Bitpay already processes over a billion dollars in crypto payments every year and the firm’s CEO and cofounder Stephen Pair is excited about expanding with the new partnership. “We’re thrilled to team up with Poynt, who’s proven to be a real driver of point of sale innovation,” Pair noted during the announcement. “It’s a massive growth opportunity for Bitpay and an important milestone in our now nine-year mission to make payments faster, more secure and less expensive for people and businesses.” The Poynt point-of-sale (PoS) smart terminal. Poynt Believes Crypto Will Help Expand the Firm’s Growth Poynt is known for building it’s Smart Terminal PoS device that works with an app and can “easily email receipts, refund transactions, and settle with the tap of a button.” Devices have a hybrid MSR/chip reader and the machine supports major NFC/contactless schemes. It also has a front and back camera like a smartphone and connects to WiFi, with optional features like LTE/3G cellular modem support as well. Poynt PoS devices further support audio and they come with a stereo speaker and built-in microphone. The firm thinks expanding payment options to include digital currencies is simply a natural progression. “Poynt was built on the idea of open commerce,” the company’s founder and CEO Osama Bedier said. “Poynt OS lays the foundation for developers and merchants to collaborate and drive limitless growth. The addition of open-source, decentralized currencies like Bitcoin is a natural fit in our open-commerce environment.” Bitpay and Poynt’s partnership enables cryptocurrency payments at point-of-sale at 100,000 locations worldwide. According to Bedier, Poynt recently touched a milestone of nine billion dollars in gross payment volume in a twelve-month period. The open commerce firm believes expanding to crypto payments will keep that trend going forward. What do you think about Bitpay partnering with Poynt’s open commerce infrastructure? Let us know what you think about this subject in the comments section below. Disclaimer: This article is for informational purposes only. It is not an offer or solicitation of an offer to buy or sell, or a recommendation, endorsement, or sponsorship of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Image credits: Shutterstock, Poynt, Bitpay, Fair Use, Wiki Commons, and Pixabay. Did you know Bitcoin.com offers a slew of merchant solutions for online retailers to brick-and-mortar shops? Check out the web portal bitcoin.com/merchant-solutions and start accepting bitcoin cash (BCH) today. The post Bitpay Enables Bitcoin Cash Payments at 100,000 Point-of-Sale Devices appeared first on Bitcoin News. View the full article

As Bitcoin and crypto help everyday individuals to regain control over their money, and make trusting third parties unnecessary, it’s not surprising that privacy advocates have flocked to the space. While bitcoin’s ledger is openly viewable, privacy coins and privacy enhancing protocols are popular ways for value holders to ensure their sensitive financial info stays secure. Though a bit of a tricky subject thanks to the nature of privacy itself, this post aims to examine just how popular leading “privacy coins” such as Monero and Zcash, and obfuscation protocols like coin mixers, really are. Also Read: How to Use a U2F Key to Secure Your Crypto Accounts Privacy Coins and Obfuscation Services There are a few ways users of crypto can aim for maximum privacy in transactions, and the most popular include cryptos built specifically for privacy, often called privacy coins, and mixing or coinjoin services which obfuscate transaction data, making it difficult for chain analysis to accurately determine the senders and receivers of the crypto. There are also private marketplaces and trading platforms like local.Bitcoin.com that make peer-to-peer transactions possible. Popular privacy coins often have elements baked right into their codebases that enable obfuscation. Mixing, shuffling, and coin joining services and products like Wasabi Wallet, Samurai Wallet, Cash Shuffle, and the newly developed Cash Fusion help users even of more standard cryptos like BTC and BCH, gain an extra level of security in the form of privacy. For obvious reasons, garnering stats on these coins and protocols can be tricky, but there are yet metrics that are useful in analyzing just how popular the various coins and services actually are in the market today. Popular Privacy Coins – XMR, DASH, and ZEC A quick trip to messari.io’s database shows stats for one of the most popular privacy coins, monero (XMR), which came about in 2014 as a fork of the bytecoin codebase. Monero is also the leader of the privacy pack by market capitalization, enjoying a near $1.5 billion valuation at press time. Messari’s data shows that in the past 24 hours there have been 6,772 XMR transactions and the “real volume” for the same time period is $20,856,173.59. What we can’t see, however, is the number of active addresses for monero thanks to the obfuscation built into the code. Looking at a non-privacy focused network like BTC for contrast, there are 865,396 active addresses noted, and of course transaction volumes are much higher. Daily transaction volume nonetheless can help to establish the extent to which XMR is being used. Though BTC transaction volume dwarfs that of XMR, monero has seen relatively steady usage since its inception. https://bitinfocharts.com Another coin born in 2014 is DASH, which straddles the fence between being a privacy coin and a “mainstream” crypto thanks to its Privatesend capability. According to Messari, DASH has seen 21,696 transactions in the same 24 hour period as XMR’s 6,772, but of course these are not all private, so the comparison is difficult to make. Where zcash is concerned, there (ZEC) is an attributed 12,703 active addresses and 3,329 transactions in 24 hours, about half of what Messari lists for XMR. However, ZEC’s 24 hour transaction volume is notable, with Messari listing the raw volume at $336,337,429.24, and the adjusted volume at $16,980,375.93. Zcash is another privacy coin that boasts a large market cap, weighing in at over $600 million. Advocates of various privacy coins like monero sometimes make bold claims about widespread usage difficult to verify. Still, even though BTC seems the clear leader in darknet exchange, XMR does remain a staple and exercises notable prevalence compared to other coins. Possibly attesting to this prevalence, are numbers released from last summer’s hack of DNM marketplace Nightmare, in which the alleged “inside job” hacker released financial information listing the site’s various crypto balances: https://www.crowdfundinsider.com/2019/07/149890-dark-net-marketplace-nightmare-suffers-internal-hack-may-have-exit-scammed/ Popular Mixing Services and Wallets Popular privacy-focused Wasabi Wallet bills itself as “an open-source, non-custodial, privacy-focused Bitcoin wallet for Desktop, that implements trustless coin shuffling with mathematically provable anonymity – Chaumian CoinJoin.” The popular wallet has been downloaded over 117,000 times as of December 28, 2019. The Samourai mobile wallet for Android is also popular in hardcore privacy circles, and uses a slightly different coinjoin system called “Whirlpool,” but has enjoyed a more narrow user base than Wasabi, possibly owing to the fact that it is a mobile app and currently unavailable on iOS. Wasabi has been downloaded over 100 000 times! 🔥🚀https://t.co/jWIZ8GoUl8 pic.twitter.com/O0jcM1e8Xs — Wasabi Wallet (@wasabiwallet) December 23, 2019 Cashshuffle is a popular coin mixing protocol for bitcoin cash users, and since March 27, 2019 to present users have shuffled 209,360 BCH (~$92.8 million at current market prices). The same developers have also created a protocol called Cashfusion which seeks to give bitcoin cash transactions levels of privacy approaching those of coins like monero. Wasabi Wallet developer @nopara73 even commented in December on the project saying, “Cashfusion gives me goosebumps. It reminds me of the Knapsack paper.” CashFusion gives me goosebumps. It reminds me of the Knapsack paper. Kudos for @MarkLundeberg @naomibrockwell for the great interview!https://t.co/8sHlvPhC1L — nopara73 (@nopara73) December 19, 2019 Privacy a Mainstay for Crypto As crypto and bitcoin become more and more mainstream, the roots of privacy dig deeper into the ground in proportion to efforts by regulators and centralized exchanges to KYC the scene into standardized, custodial oblivion. Though data on the subject can be murky and speculation about issues such as user base, market demand, and fluctuating hashrate abounds, crypto users can rest assured that Satoshi’s vision for a money not relying on third parties and nosy banks or regulators is alive and well, judging by the current climate and active use of privacy-focused options. What do you think about the use of privacy coins and coin mixers? Are they really as popular as users say they are? Let us know what you think in the comments section below. Disclaimer: This article is for informational purposes only. It is not an offer or solicitation of an offer to buy or sell, or a recommendation, endorsement, or sponsorship of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Images courtesy of Shutterstock, fair use. Did you know you can buy and sell BCH privately using our noncustodial, peer-to-peer Local Bitcoin Cash trading platform? The local.Bitcoin.com marketplace has thousands of participants from all around the world trading BCH right now. And if you need a bitcoin wallet to securely store your coins, you can download one from us here. The post How Often Are Top Privacy Coins and Mixers Actually Used? – A Look at XMR, DASH, and ZEC appeared first on Bitcoin News. View the full article

According to crypto market capitalization aggregators, there are more than 5,000 cryptocurrencies in existence today and over 20,000 different types of markets. BTC is the oldest and most known digital asset and most everything else has been typically referred to as an “altcoin.” The term refers to any of the thousands of prevalent cryptocurrencies that aim to work alongside bitcoin and each other, or are competing for ultimate domination. Also read: Bitcoin History Part 5: A Wild Altcoin Appears Since 2011 the Rate of Altcoin Issuance Has Grown Exponentially Satoshi’s creation has been around for over 11 years now and there are 5,098 alternative cryptocurrencies (altcoins) that exist next to the creator’s invention. Cryptocurrency historians widely consider the Namecoin network as the very first altcoin and the term ‘altcoin’ was allegedly first described by the developer Andrew Chow. Namecoin is not depicted in this picture but NMC is considered the first altcoin, launched in April 2011. LTC came out in October 2011 and many other digital currencies followed year after year. Namecoin was launched on April 18, 2011, and the project aims to decentralize domain registration. Between 2011 and 2014 — before the 2015 blockchain hype — the rate of Altcoin launches started to grow exponentially. Following namecoin, bitcoiners witnessed the birth of ripple, litecoin, peercoin, feathercoin, mastercoin, counterparty, and unobtainium. There are now thousands of digital currencies that used the BTC codebase and developers have changed a few minor details with coins like einsteinium, litecoin, dash, zcash, and novacoin. There are also forks of Ethereum (ETH) with networks like ubiq, ethereum classic, and wanchain. Bytecoin has a unique codebase and also has a plethora of forks including monero, boolberry, and electroneum. Today there are roughly 5,098 altcoins in existence. If you are interested in checking out all the digital currencies and markets check out markets.bitcoin.com for an aggregated list of coin market caps. Ripple has the fork stellar and NXT has forks like nem, ardor, and burst. When you travel further down the rabbit hole, you will also find tokens created by networks like Tron, Bitcoin Cash and Ethereum using the TRC20, SLP or ERC20 token standards. Some forks were born directly from the codebase hosted on sites like Github and some forks are created by a blockchain diverging into two different chains. If a group of people tweak the original code and run the software differently than the main consensus rules, they will fork off into a new blockchain scheme. While some digital currencies are created by copying directly from a coin like BTC’s codebase, other coins have been created by changing the consensus rules and therefore splitting off into a new network. A Number of Cryptocurrencies Are Dead, But That’s Not Stopping Developers from Creating a Better Bitcoin Today, the thousands of digital assets in existence are tallied together on market valuation websites like coinmarketcap.com, markets.bitcoin.com, and messari.io. Out of all the cryptocurrencies traded on the open market, the valuation of all 5000+ coins in existence is around $285 billion today. The BTC network captures around 63% of the overall market capitalization with its net value at $183 billion. A December, 2013 historical snapshot from coinmarketcap.com shows that the top ten cryptocurrency market caps were a lot different than they are today. BTC only had a valuation of around $13 billion in December 2013 and the altcoins beneath it were totally different coins than today’s top ten list. The top ten during the last month of 2013 included BTC, LTC, XRP, PPC, NMC, MEC, FTC, WDC, XPM, FRC, and NVC. The top ten list today, in February 2019 includes BTC, ETH, XRP, BCH, BSV, LTC, EOS, USDT, BNB, and XTZ. Besides BTC, LTC, and XRP the entire top ten list of cryptocurrency market caps has changed. Did you know you can buy and trade many of these digital assets on Exchange.Bitcoin.com? Did you also know you can buy and sell BCH privately using our noncustodial, peer-to-peer Local Bitcoin Cash trading platform? Check out Bitcoin.com’s services today. If Satoshi Nakamoto was a genius, people probably wonder why there are thousands of digital tokens in the cryptoconomy. A few people know what they are and where they came from but often think about why altcoins exist. There are lots of reasons why altcoins exist and its mainly because people can do what they want in this permissionless environment. But also, some individuals, groups, and developers believe they can create a cryptocurrency project that outpaces BTC or they’ve created a coin to offer compatibility, but also different features than BTC. There are many reasons why altcoins exist and the main reason is that anyone can create one in a permissionless fashion. Other people have created altcoins to compete with bitcoin and the projects claim to offer better privacy, more decentralization, or they focus on something that bitcoin cannot do. Out of the thousands of altcoins today, all of the creators will tell you exactly why they believe there’s a need for another cryptocurrency. Some projects claim to offer better anonymity and some coins aim to tackle a specific industry like entertainment. There are digital assets that provide people with the ability to create their own tokens and develop smart contracts as well. Altcoins exist because Satoshi not only unveiled the Bitcoin network, but the anonymous creator also opened a kind of Pandora’s box in the worlds of tech and finance. Now that the box is open, there’s no going back and it doesn’t seem like the rate of altcoin issuance is slowing down any time soon. What do you think about the thousands of altcoins in existence? Why do you think there are so many cryptocurrencies in existence today? Let us know what you think about this topic in the comments section below. Disclaimer: This article is for informational purposes only. It is not an offer or solicitation of an offer to buy or sell, or a recommendation, endorsement, or sponsorship of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Image credits: Shutterstock, Markets.Bitcoin.com, coinmarketcap.com, Pixabay, Fair Use, and Wiki Commons. Did you know you can buy and sell BCH privately using our noncustodial, peer-to-peer Local Bitcoin Cash trading platform? The local.Bitcoin.com marketplace has thousands of participants from all around the world trading BCH right now. And if you need a bitcoin wallet to securely store your coins, you can download one from us here. The post What Are Altcoins and Why Are There Over 5,000 of Them? appeared first on Bitcoin News. View the full article

“What I love about Bitcoin is that instead of some rich old guy on Wall Street, young poor people are the ones getting rich” —Eric Finman No Longer Is Economic Sovereignty Just for Politicians and Bankers “Cryptocurrency is for the rich”; this pernicious myth causes people to resent crypto and be suspicious of it. An impressive number of users have made a fortune through early adoption or shrewd investments, it is true, but the greatest beneficiary of crypto has been average people. Crypto levels the financial playing field between the rich and the working class. It is comparatively easy for the rich to preserve privacy, avoid the highest taxation, and be treated decently by financial institutions. They have lawyers, accountants, and other informed experts who zealously guard their interests. They have foreign bank accounts, diversified holdings, and tax write-offs. It is also easy for the rich to become accredited investors — a legal status that opens access to the most profitable investments, such as stock in start-ups. By contrast, the working person handles his own money or has it managed in an employment fund, such as a Registered Retirement Savings Plan. He cannot afford to consult experts, let alone to hire them full time. He has no foreign bank account, no widespread investments, nor any significant tax breaks. It is extremely difficult for him to become an accredited investor, which shuts him out of the most profitable opportunities. The system is rigged against the financial interests of average people. Crypto is a game changer. It only requires a basic understanding of the dynamic, and this is available for free at a multitude of sites that provide instruction manuals, video tutorials, online experts, user forums, and a flood of articles on how to start, on how to protect yourself. With a modest investment of time and money, the average person can become his own banker, control his own wealth, access global markets, and escape the tyranny of the statist financial system. A way to better appreciate the advantages crypto offers to average people is to look through a window onto the past and see how difficult financial freedom once was. Anthony L. Hargis, Banker to Anarchists and Average People For about twenty-eight years, until his brief imprisonment in 2004, Anthony L. Hargis operated a warehouse bank in Fountain Valley, California that was frequented by libertarians; the shareholding trust was called Anthony Hargis & Company (ALH&Co). A warehouse bank is one that conceals individual transactions and customer identities by commingling funds that are deposited to and paid out through another financial institution. Warehouse banks are often used to avoid tax liability. Thus, the concealment of depositors’ identities is the key aspect of both the bank’s value and its alleged criminality. In the United States, the Internal Revenue Service (IRS) aggressively pursues and prosecutes warehouse banks. A March 16, 2004 Department of Justice release, “Alleged Tax-Scam Promoter Sent to Jail,” stated, “The Justice Department sued Hargis last week, alleging in court papers that Hargis’s warehouse bank accepts funds from some 253 customers and then places the commingled funds in nine commercial bank accounts, held in his name or the names of his associates. Hargis then allegedly uses the commercial bank accounts to write checks to pay customers’ bills. The commercial bank accounts are allegedly held in Hargis’s and his associates’ names, making it difficult for the authorities to trace the income, assets, expenditures, and identities of customers. The complaint alleges that Hargis’s customers, located throughout the United States, but primarily in California, owe an estimated $24 million in federal taxes.” Hargis offered other services as well. Clients could invest in shares of ALH&Co, for example; they could maintain gold-denominated accounts or dollar ones on which “transfer orders” (cheques) could be written; ALH&Co would act as a depository and issue FDIC bank cheques to pay regular bills for clients who requested this service. Phil Osborn, a close associate of Hargis, explained his friend’s motivation. “Anthony’s focus then and up to the present was on the dishonesty and fraud, as he viewed it, perpetrated by the Federal Reserve System, which he viewed as a giant scam and Ponzi scheme supported by the armed might of the U.S. and its international cabal.” Although he was never charged with a crime, Hargis spent about six months in jail; or, rather, his crime was a refusal to turn over client and company records to various federal agencies, most conspicuously the IRS. While Hargis was imprisoned, the agencies confiscated his property—including all customer deposits—and stole his records. They assumed ALH&Co’s office as well as all of its postal or e-mail addresses, and its telephone number. Hargis alerted his customer base. “This means that everyone who tries to communicate with me at my old address will reach the IRS instead—and those at the office will represent themselves as working for [ALH&Co].” Assets were ultimately awarded to the IRS by the court, including accounts held in outside banks. ALH&Co’s customers and shareholders were contacted by government agents, with a Receiver’s Petition being issued. (Note: the Notice of Receiver’s Petition alleges a customer base of 1190, which presumably reflects the fact that many customers used different services than the 253 who went through outside commercial banks.) In a March 16, 2006 update, Osborn informed readers, “Last I heard, Anthony is now penniless and has a claim against him by the IRS of some $30 million or so. His total assets, at the time that the Feds seized everything, were possibly worth an estimated $7 million. The seizures resulted in the loss of a good portion of those assets, apparently, as various businesses shut down, etc., leaving perhaps $2 million, it appears, from the final liquidation by the Receiver.” Crypto’s Financial Freedom for All ALH&Co offered many of the same benefits as crypto: privacy, protection from traditional banks and the state, and an enhanced ability to control wealth. Because it was brick and mortar, however, using ALH&Co came with risks: harassment by the state, confiscation of wealth, fines and possible arrest. After his release from jail, Hargis warned his former customers: Please understand, your life, literally, is at stake here. The government is really ticked off that we have operated/exercised rights for twenty-eight years; and is determined to make a real bloody example of all of us. Everyone associated with ALH&Co knew the risks. Who were the Hargis customers? They included the rich but most of them were average working people or small businessmen who were neither rich nor poor. Osborn described one. “Bruce, who was a personal friend, although not really close, ran a small printing business, specializing in high quality prints, that had apparently taken out a loan from ALH&Co. and then paid it back. On that basis, as far as I can tell, Bruce was alleged to be some kind of co-conspirator with Anthony’s evil criminal empire, and, I was just told this past weekend, hit in 2004 with a $ million in penalties, somehow. The entire assets of the business, which was just barely scraping along like so many small traditional print shops in the digital age.” Bruce died of heart failure in his late 40’s. The customers were largely average people who recognized the glaring injustice of traditional banks; they were working people who decided to keep what they earned. Conclusion Crypto is financial freedom without the risk that ALH&Co’s clients assumed. They were endangered because Hargis was a trusted third party—a rare one that actually was trustworthy. A trusted third party is the point at which transactions are most vulnerable because they are most visible to criminals, including the state. The genius of Bitcoin removed the trusted third party “problem” from transactions and this removed most of the vulnerability. Again, it is the average person who does not have a lawyer or an accountant to set up financial protections who most needs to control his own wealth. He can do so through a privately-held wallet on his own hard drive, through encryption and education. A protected and private wallet cannot be raided in the same manner as ALH&Co was in 1993. The feds burst through an unlocked office door with machine guns and flak jackets in order to stop the money laundering and drug dealing that they just knew was going on inside. Instead, they found the conservatively-dressed, soft-spoken Hargis conducting business with average people. This resulted in a court case he won. By contrast, peer-to-peer crypto allows users to sit at their own computers, in privacy and comfort, investing as much or as little as they can afford. No machine guns, no flak jackets. And, yet, crypto users enjoy the same freedom as ALH&Co’s customers did in the company’s golden days; they do so with next to none of the risk and with a great deal more efficiency. Crypto affords average people the same protection as it does the billionaires who share the blockchain on an equal footing. It is the great financial leveler. Do you think Bitcoin is a financial leveler? Let us know in the comments section below. Op-ed disclaimer: This is an Op-ed article. The opinions expressed in this article are the author’s own. Bitcoin.com is not responsible for or liable for any content, accuracy or quality within the Op-ed article. Readers should do their own due diligence before taking any actions related to the content. Bitcoin.com is not responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any information in this Op-ed article. Images courtesy of Shutterstock. Did you know you can verify any unconfirmed Bitcoin transaction with our Bitcoin Block Explorer tool? Simply complete a Bitcoin address search to view it on the blockchain. Plus, visit our Bitcoin Charts to see what’s happening in the industry. The post Wendy McElroy: Crypto is Banking for Anarchists and Average People appeared first on Bitcoin News. View the full article

Businesses around the world continue to adopt bitcoin cash (BCH) and in 2020 merchant acceptance continues to grow. Tallying up all the companies that accept BCH listed on sites like Green Pages, Map.Bitcoin.com, Acceptbitcoin.cash, and Anypay shows there’s more than 4,300 BCH supporting merchants worldwide. Also Read: Ethereum vs Tron: Comparing Data, Defi and Stablecoins from Both Chains After Viral Tweet 4,392 Bitcoin Cash Accepting Merchants For over two and a half years, BCH proponents have been relentlessly promoting merchant adoption throughout the world. On Sunday the aggregate total of all merchants that accept BCH is approximately 4,392. Websites that display merchant data include Acceptbitcoin.cash, Green Pages, Anypay, and Map.Bitcoin.com. This week, according to the Reddit user u/neonwasteland, 53 new merchants were added. The Reddit account updates the BCH community every week with an adoption thread called “Merchant Monday – Because Bitcoin was meant to be spent.” Map.Bitcoin.com‘s merchant directory shows 1,894 brick-and-mortar BCH merchants. Neonwasteland obtained merchant data from three different websites and explained that Acceptbitcoin.cash has approximately 1,140 online merchants listed. Map.Bitcoin.com (formally Marco Coino) indicates there are 1,894 brick-and-mortar merchants, “which is 52 more than last week,” Neonwasteland noted. “You can find 1,203 merchants of all types on Green Pages, which is one more than last week,” the BCH enthusiast remarked. The Acceptbitcoin.cash merchant directory has 1,140 online BCH accepting merchants listed. Further, after tallying up all the merchants from the three sites and adding the 155 Anypay merchants worldwide, there’s around 4,392 bitcoin cash accepting merchants. With the payment processor Bitpay’s merchant list, the aggregate number grows even larger. Green Pages has 1,203 BCH accepting businesses listed. High Concentrations of BCH Merchants and Crypto-Acceptance-per-Capita Map.Bitcoin.com’s merchant directory shows there are large concentrations of BCH merchants in certain regions around the globe. The U.S. and South America capture around 716 BCH-accepting brick-and-mortar businesses. With Gocrypto locations swarming Croatia and Slovenia, Map.Bitcoin.com indicates there’s more than 505 BCH-accepting merchants between both regions. Slovenia has the most BCH-accepting physical locations worldwide. Gocrypto has around 620 locations to date and people can make purchases via the Bitcoin.com Wallet and Elly app. Another dense region of BCH acceptance includes Australia and the upper region of North Queensland as there’s around 208 merchants in the whole country. Another country with a bunch of bitcoin cash retail acceptance in Japan with roughly 90 merchants according to Map.Bitcoin.com. Australia and specifically Bitcoin Cash City in North Queensland has a dense population of physical businesses that accept bitcoin cash. For BCH supporters, 2020’s goals are no different than the years prior and spreading merchant adoption is very important to community members. The libertarian enclave and “crypto mecca” in Keene continues to spread crypto adoption as well, as Ian Freeman from Free Talk Live told the BCH community that Keene’s merchant acceptance is growing robust. Keene has a high concentration of crypto acceptance per-capita and merchants accept coins like dash and bitcoin cash via the Anypay payment processor. The crypto payment processor Anypay has around 155 merchants. Many merchants in the “crypto mecca” of Keene leverage Anypay’s services. On Friday, Free Talk Live cohost Freeman wrote: “The Keene area now has three additional local businesses that are accepting cryptocurrency for their services [and] all three are mobile businesses and will travel to their customers. [The businesses] were all added to the local Coinmap in the last month.” The Keene resident added: That brings the already very high concentration of businesses accepting crypto to an all-new level, keeping Keene in the top tier of cities globally that are high in crypto-acceptance-per-capita. Bitcoin.com offers a slew of merchant solutions for online retailers to brick-and-mortar shops. Check out the web portal bitcoin.com/merchant-solutions and start accepting bitcoin cash (BCH) today. Overall, BCH supporters are pleased with the level of adoption that’s taking place and many believe there is much more to come throughout the year. For instance, George Donnelly from the BCH LATM initiative plans to leverage BCH to create a “viral/feedback-loop mass adoption system.” Other Bitcoin Cash supporters are using Simple Ledger Protocol (SLP) tokens as well to promote onchain use and BCH adoption in general. With BCH adoption continuing to grow during the first month of 2020 it should be interesting to see how many merchants are onboarded by the year’s end. What do you think about the 4,300 Bitcoin Cash accepting businesses worldwide? What do you think about the specific regions with higher concentrations of BCH adoption? Let us know what you think about this subject in the comments section below. Disclaimer: This article is for informational purposes only. It is not an offer or solicitation of an offer to buy or sell, or a recommendation, endorsement, or sponsorship of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Image credits: Shutterstock, Acceptbitcoin.cash, Green Pages, Anypay, Pixabay, Fair Use, Wiki Commons, and Map.Bitcoin.com. Did you know Bitcoin.com offers a slew of merchants solutions for online retailers to brick-and-mortar shops? Check out the web portal bitcoin.com/merchant-solutions and start accepting bitcoin cash (BCH) today. The post BCH Merchant Directories Now List 4,300 Bitcoin Cash-Accepting Businesses appeared first on Bitcoin News. View the full article

The total market capitalization of gold is estimated to be above $7 trillion, which is over 38 times that of bitcoin at the moment. However, there are those that think that the cryptocurrency is a better store of value for our age than the precious metal. The latest take on the idea explains how the upcoming halving fits into this. Also Read: Will Bitcoin Crash or Double in Price After the Halving? Miners Have Their Say Bitcoin to Rival Gold as a Store of Value Bitcoin is set to rival gold as a store of value in the digital age argues Mike Co, over at the Coinbase Blog. According to his view, gold has been a historic store of value primarily because of its scarcity and that is something that the cryptocurrency can replicate. Moreover, while the precious metal is very rare, there is no way to undeniably verify the exact total gold supply, unlike with the digital asset. And scarcity is also baked right into code of bitcoin, with the software placing explicit limits on how much can be produced and when. This is done with deterministic methods such as a mandatory halving. “If tomorrow, a very hypothetical asteroid the size of that gold box were to crash into the Earth, the value of gold would also crash,” explained Mike Co. “While gold is shiny and can be useful in electronics, so are other metals like copper. Yet copper is worth a tiny fraction of the value of gold.” Bitcoin is also better than any precious metal can be in many ways. Benefits include its auditability, portability, and divisibility. Another feature he lists is the privacy of transactions, as BTC can be sent digitally and pseudonymously. Additionally, Mike Co mentions relatively low fees to send large sums in bitcoin internationally as there is no need for armored transport and guards as with gold. “This past decade, Bitcoin’s value in gold has risen significantly amid surging global economic uncertainty. Gold, and bitcoin, are safe havens from fiat currency devaluation, which historically tends to be incited by surging government debt,” concluded Mike Co. “Armed with a myriad of technological advantages, accelerating development, and maturing global market, Bitcoin is a store of value to rival gold in the digital age.” What Is the Bitcoin Halving? Every time a new block is mined, those who facilitated it are rewarded with a set amount of coins. But once every 210,000 blocks this set reward amount is programmed to decrease by half, hence the name halving. This mechanism was created by Satoshi Nakamoto to ensure the current supply is limited, making coins more scarce as there will never be more than 21 million in circulation. It can also create upward pressure on the price in contrast to most fiat currencies that only lose value over time due to inflation. The first-ever halving took place in 2012 when the block reward initially set to 50 coins fell to just 25. The second and last halving so far took place in 2016 when the block reward dropped from 25 to just 12.5 coins. The upcoming bitcoin cash and bitcoin SV halving events are expected to occur during April 2020. After this happens, BCH and BSV miners will lose half the current block reward (12.5 coins) and receive just 6.25 coins and fees per block mined. The BTC halving is expected not far after that in May 2020. Do you think that any cryptocurrency will rival gold as a store of value in the digital age? Share your thoughts in the comments section below. Disclaimer: Price articles and market updates are intended for informational purposes only and should not be considered as trading advice. Neither Bitcoin.com nor the author is responsible for any losses or gains, as the ultimate decision to conduct a trade is made by the reader. Always remember that only those in possession of the private keys are in control of the “money.” Images courtesy of Shutterstock. Verify and track bitcoin cash transactions on our BCH Block Explorer, the best of its kind anywhere in the world. Also, keep up with your holdings, BCH and other coins, on our market charts at Bitcoin.com Markets, another original and free service from Bitcoin.com. The post Prediction: Bitcoin to Rival Gold as a Store of Value in the Digital Age Thanks to Halving appeared first on Bitcoin News. View the full article

Universal 2nd Factor (U2F) is an open standard for strengthening two-factor authentication. It involves the use of a physical key to reinforce 2FA, hardening your online accounts from attack. In this guide, we’ll explain how to use a Yubikey to lock down your exchange account, email account, and other valuable online accounts. Also read: German Economy in Risk of Recession Amid Weak Demand, Tariff Threat, and Epidemic U2F Is Physical 2FA for the Security Conscious If you’re at heightened risk of online attack, say, cos you’re a sysadmin or cryptocurrency trader, you should take steps to secure your accounts. Most bitcoiners already use 2FA, such as the Google Authenticator app, to secure their crypto accounts. U2F takes that to another level by mandating use of a physical key that is inserted into the USB port of your device, or held in proximity to your smartphone if it’s an NFC key. Even in the event of malware being installed on your computer, or your 2FA recovery codes being stolen, a U2F key should keep attackers at bay. For the purposes of this guide, we’ll be using a Yubikey, one of the most popular devices on the market. (Google, for its part, also recommends the Feitian keys.) Manufacturer Yubico boasts “Zero recorded account takeovers in 11 years” because “the physical key requires a human touch and cannot be remotely hacked.” Lose your key, however, and things get a little complicated, since unlike Google Authenticator, Yubikeys don’t come with recovery codes. We’ll troubleshoot that problem shortly, once we’ve covered the basics. Feitian’s Multipass FIDO key works with Bluetooth, USB-C and NFC One Key to Secure Them All Yubikeys retail for around $50 apiece and, like hardware wallets, are best ordered direct from the manufacturer to prevent tampering. Yubico supplies a range of keys including a Nano version whose compactness makes it suitable for leaving permanently plugged in to the USB slot of a trusted desktop computer. The 5 series is the range that most consumers will opt for. They’re designed to secure Google, Microsoft, Github, Dropbox, Facebook, Twitter, and Lastpass accounts, as well as various crypto related platforms. Yubico works with Binance, Bitfinex, Bitmex, Kraken, and hundreds more companies across dozens of industries. Attend any developer-oriented crypto conference and you’ll see U2F keys plugged into laptops and dangling from keychains worn by delegates. You don’t have to be in charge of your team’s Github repo to warrant a Yubikey, however – simply holding crypto on a centralized exchange can be cause enough. Plus, in an era of NFC, biometrics, QR codes, and contactless payments, it feels badass to be carrying a physical key with magical powers. Using Your U2F Key If you’re intent on locking down your accounts with the aid of a Yubikey or similar U2F device, the first place to start is your email. If you’re a Google user, the Advanced Protection portal will guide you through the process. Other email providers including Protonmail also support the U2F protocol. Pairing a Yubikey with Google. Next, you should secure your cryptocurrency accounts, including any exchanges you trade on, in the same manner. Add a Yubikey to your Binance account, for instance, and you’ll be prompted to plug it into your computer every time you log in or withdraw. It effectively replaces the 2FA you will have been using up until now. Pairing a Yubikey with Binance If you’re wondering what happens if your U2F key is lost, broken, or stolen, many sites will let you pair multiple keys, providing redundancy in the event of key loss. Unfortunately, Binance is not one of them. Lose your key and you’ll need to initiate Binance’s account recovery process, which may take a few days to complete and will require alternate verification. Every time you log in to Binance you’ll see this message U2F keys aren’t perfect, then, or to be more accurate, there are situations where their security model comes at the expense of convenience. If you’re intent on using one, though, that’s a sacrifice you’ll be willing to make in the quest of greater security. Where possible, pair two U2F keys with each of your online accounts, and keep your master key securely stored on a chain at all times. Once implemented, using a U2F key every time you log in will become second nature. What’s your experience of using U2F keys? Would you recommend them? Let us know in the comments section below. Disclaimer: This article is for informational purposes only. It is not an offer or solicitation of an offer to buy or sell, or a recommendation, endorsement, or sponsorship of any products, services, or companies. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Images courtesy of Shutterstock. Did you know you can verify any unconfirmed Bitcoin transaction with our Bitcoin Block Explorer tool? Simply complete a Bitcoin address search to view it on the blockchain. Plus, visit our Bitcoin Charts to see what’s happening in the industry. The post How to Use a U2F Key to Secure Your Crypto Accounts appeared first on Bitcoin News. View the full article

London-based cryptocurrency exchange LBX is the latest digital asset trading venue to face critical difficulties and is now being liquidated. Despite rising crypto prices, which typically lead to an influx of new traders, some regulated exchanges have struggled to survive amidst rising legal fees, compliance costs, and other overheads. Also Read: Crypto Winter Claims Another Victim as DX Exchange Closes LBX Placed Into Compulsory Liquidation Dragon Payments Limited, formerly known as London Block Exchange Limited and trading as LBX, has been placed into compulsory liquidation following a winding up order that was made against the company on January 31, 2020. This is a legal term for when someone applies to the court in the U.K. asking to close down a company if it cannot pay its debts. According to a notice that replaced the platform’s front page, Paul Cooper and Paul Appleton, both of David Rubin & Partners, were appointed joint liquidators of LBX on February 4, 2020 by order of the U.K.’s Secretary of State. The joint liquidators and their team are said to be working toward resolving client concerns as a matter of priority, including the recovery of any sums of money owed to them, and ask that all claims for repayments should be addressed to them directly. LBX had opened in November 2017 for OTC trades and was based in London’s Canary Wharf commercial district. The multi-cryptocurrency platform provided crypto exchange services to retail consumers and institutional investors via an online platform and through a mobile app. It followed very strict know-your-customer and anti-money-laundering procedures as it was also an e-wallet services provider registered with the U.K.’s Financial Conduct Authority (FCA). In October 2018 we reported that LBX launched a service offering access to an account where clients can store, manage and transfer their fiat currency and cryptocurrency holdings. Aimed at the business sector, LBX Pay offered a banking-like solution to those involved in the cryptocurrency industry such as ICOs, traders and funds. The service enabled clients to convert holdings from fiat and cryptocurrency without having to move funds between accounts or service providers. What do you think about LBX facing compulsory liquidation? Share your thoughts in the comments section below. Images courtesy of Shutterstock. Verify and track bitcoin cash transactions on our BCH Block Explorer, the best of its kind anywhere in the world. Also, keep up with your holdings, BCH and other coins, on our market charts at Bitcoin.com Markets, another original and free service from Bitcoin.com. The post London-Based Cryptocurrency Exchange LBX Faces Compulsory Liquidation appeared first on Bitcoin News. View the full article

U.S. Securities and Exchange Commission (SEC) Commissioner Hester Peirce has formally proposed a grace period of three years for tokens. Project developers would be exempt from the federal securities laws during that time, provided that they meet certain conditions. After that, they must determine whether their token transactions involve the offer or sale of a security. Also read: Bitcoin, Tesla Stock, Tron: How Warren Buffett Got His First Bitcoin Proposed ‘Time-Limited Exemption for Tokens’ SEC Commissioner Hester Peirce announced her “Token Safe Harbor Proposal” on Thursday, calling it “a proposal to fill the gap between regulation and decentralization.” Her “Proposed Securities Act Rule 195 — Time-limited exemption for tokens” seeks to give issuers a three-year exemption from federal securities laws, allowing them to develop functional or decentralized networks. “I find decentralized networks such a powerful phenomenon, and one that will allow society to benefit from the talents of people who — because of societal or geographic barriers — have heretofore been excluded,” the commissioner opined. Peirce is often known within the crypto community as “crypto mom,” having repeatedly advocated for cryptocurrency. She firmly believes that the SEC should have already approved bitcoin exchange-traded funds (ETFs). She has been an SEC commissioner since 2018 and her term expires this year. SEC Commissioner Hester Peirce While no registered token offering has been conducted in the U.S., there are currently some exemptions available to project developers, such as those provided by Regulation D and Regulation A. However, Peirce pointed out that the two routes are costly and prohibitive, making it difficult for projects’ networks to take off. Expressing the need for her proposal, the commissioner said that many crypto entrepreneurs are trying to build decentralized networks and need to get their tokens into the hands of other people. “These efforts can be stymied by concerns that such efforts may fall within the ambit of federal securities laws,” she emphasized. “The fear of running afoul of the securities laws is real. Given the SEC’s enforcement activity in this area, these fears are not unfounded.” 3-Year Grace Period Commissioner Peirce explained that her proposed safe harbor “provides network entrepreneurs sufficient time to build their networks before having to measure themselves against a decentralization or functionality yardstick,” elaborating: The safe harbor would provide network developers with a three-year grace period within which they could facilitate participation in and the development of a functional or decentralized network, exempted from the registration provisions of the federal securities laws, so long as the conditions are met. Her proposal also “protects token purchasers by requiring disclosures tailored to their needs, preserving the application of the antifraud provisions of the securities laws, and giving them an ability to participate in networks of interest to them,” she claims. The offer and sale of tokens would be exempt from the provisions of the Securities Act of 1933, except the antifraud provisions, Peirce detailed. The tokens would also be exempt from registration under the Securities Exchange Act of 1934 and persons engaged in certain token transactions from the definitions of “exchange,” “broker,” and “dealer” under the 1934 Act. The development team must meet certain conditions, including information disclosure to qualify for the exemptions. When the Grace Period Is Up The initial development team must intend for the project to reach network maturity within three years. The relief provided “will expire three years from the date of the first token sold in reliance upon the safe harbor,” the proposal states. “Upon the conclusion of the three-year period, the initial development team must determine whether token transactions involve the offer or sale of a security.” Peirce described that token transactions would not be securities “if the network has matured into a decentralized or functioning network on which the token is in active use for the exchange of goods or services.” She believes that it would be easier for these projects to pass the SEC’s Howey test for securities at the end of three years, adding: Once the network cannot be controlled or unilaterally changed by any single person, entity, or group of persons or entities under common control, the token that operates on that network will not look like a security. “Even for a network that remains centralized,” the commissioner continued. “Once the tokens are actually in use to buy and sell the services for which they were intended, the securities laws will be clearly inapplicable.” What do you think of Commissioner Peirce’s proposal? Let us know in the comments section below. Disclaimer: This article is for informational purposes only. It is not an offer or solicitation of an offer to buy or sell, or a recommendation, endorsement, or sponsorship of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Images courtesy of Shutterstock, Reuters, and Commissioner Hester Peirce. Did you know you can buy and sell BCH privately using our noncustodial, peer-to-peer Local Bitcoin Cash trading platform? The local.Bitcoin.com marketplace has thousands of participants from all around the world trading BCH right now. And if you need a bitcoin wallet to securely store your coins, you can download one from us here. The post ”Decentralized Networks a Powerful Phenomenon” – Why the SEC Commissioner Proposes Time-Limited Grace Period for Tokens appeared first on Bitcoin News. View the full article

At the recent Symposium for Future Payments held in Stanford, California on February 5, Federal Reserve Governor Lael Brainard stressed the importance of remaining “on the frontier of research and policy development regarding CBDC.” The position seems a contrast to the narrative in 2018 when Brainard maintained “there is no compelling demonstrated need for a Fed-issued digital currency.” As powerful states like China press forward in the area of central bank digital currencies, and private enterprises such as Facebook’s Libra also seek to crack the stablecoin market, the U.S. Federal Reserve is more interested in the topic than ever. Also Read: European Central Bank’s CBDC Borrows Bitcoin’s Pseudo-Anonymity Fed’s Brainard Takes Elevated Interest in CBDCs Part of the U.S. Federal Reserve’s Board of Governors, Brainard addressed the perceived weaknesses of bitcoin and cryptocurrencies back in May 2018, citing a lack of regulation and “no trusted institution standing behind it.” She went on to note that some were suggesting central bank-issued digital currencies (CBDCs) as a centrally regulated alternative to crypto and bitcoin, and listed various reasons why the proposition was yet tenuous and full of potential problems. “First, there are serious technical and operational challenges that would need to be overcome, such as the risk of creating a global target for cyberattacks or a ready means of money laundering,” Brainard noted. “For starters, with regard to money laundering risks, unless there is the technological capability for effective identity authentication, a central bank digital currency would provide no improvement over physical notes and could be worse than current noncash funds transfer systems, especially for a digital currency that could circulate worldwide.” Lael Brainard. https://www.wsj.com/articles/lawmaker-grills-yellen-over-brainards-donations-to-clinton-1475096106 The 2018 address to the Decoding Digital Currency Conference contains the emphatic proclamation: Finally, there is no compelling demonstrated need for a Fed-issued digital currency. Most consumers and businesses in the U.S. already make retail payments electronically using debit and credit cards, payment applications, and the automated clearinghouse network. Facebook and China Cited as Imparting Urgency to Stablecoin Debate While Brainard noted in her recent address that the recently announced “Fednow” payments system is set to “facilitate end-to-end faster payment services, increase competition, and ensure equitable and ubiquitous access to banks of all sizes nationwide,” critics of the plan say it’s nothing new, and that crypto and other tech already provide all the necessary capabilities. Brainard cited Libra and China as being important factors in establishing the necessity of research and policy development for stablecoin technology. Former Republican congressman from Texas Ron Paul criticized the Fednow system back in August, saying: “Consumers already have numerous options to make real-time payments, so the Federal Reserve’s decision to begin work on a central bank-run and controlled real payments system — what Competitive Enterprise Institute Senior Fellow John Berlau calls ‘FedNow’ — is baffling.” The impetus for Brainard’s change of heart regarding CBDCs seems to lie largely in the fact that the world — public and private sector alike — is going digital, regardless of the U.S. government’s position, and this could constitute a threat to the world reserve U.S. dollar. As Brainard points out, “Because Facebook has an active user network of one-third of the global population, the company’s Libra global stablecoin project has imparted urgency to the debate over what form money can take, who or what can issue it, and how payments can be recorded and settled.” The Fed governor further notes: The latest survey suggests there is greater openness to issuing a CBDC than a year ago … China is reported to be moving ahead rapidly on plans to issue a digital currency. Given the dollar’s important role, it is essential that we remain on the frontier of research and policy development regarding CBDC. Warming up to Stablecoins and CBDC Brainard points directly to stablecoin development in posing a threat to centralized control of finance by nation states. “The prospect for rapid adoption of global stablecoin payment systems has intensified calls for central banks to issue digital currencies in order to maintain the sovereign currency as the anchor of the nation’s payment systems,” she emphasizes. “In a Bank for International Settlements survey of 66 central banks, more than 80 percent of central banks report being engaged in some type of central bank digital currency (CBDC) work.” The latter section of the Federal Reserve Governor’s address cites many potential areas of concern should the U.S. adopt a digital dollar, such as “operational vulnerabilities” for the central bank, and what types of intermediaries would be allowed to process transactions. “Some of the motivations for a CBDC cited by other jurisdictions, such as rapidly declining cash use, weak financial institutions, and underdeveloped payment systems, are not shared by the United States,” Brainard details. While there is no sign of the Fed actively developing a U.S. CBDC for launch anytime soon, Brainard’s most recent speech and notable change of narrative sheds light on the evolving economic climate of the world, where powerful states like China, and corporations like Facebook are actively trying to take finance into their own hands, ignoring USD hegemony as a limiting factor. What do you think about Brainard’s recent address on CBDCs? Do you think a digital dollar is a good idea? Let us know in the comments section below. Images courtesy of Shutterstock, Ascannio, fair use. Did you know you can buy and sell BCH privately using our noncustodial, peer-to-peer Local Bitcoin Cash trading platform? The local.Bitcoin.com marketplace has thousands of participants from all around the world trading BCH right now. And if you need a bitcoin wallet to securely store your coins, you can download one from us here. The post Facebook, China Light Flame Under Fed: Governor Cites Stablecoins Influencing Digital Dollar Research appeared first on Bitcoin News. View the full article

On February 7, Cold Card and Opendime creator, Rodolfo Novak (also known as NVK), tweeted a picture of himself with Tron founder Justin Sun and Blockstream’s CEO Adam Back. Novak said “Ethereum was over” and the three had a plan to move Tron to Liquid, a network that leverages the BTC chain. Whether the tweet was a joke or not, the picture got the crypto community fired up and it initiated heated debates about the legitimacy of both Tron and Ethereum. Also Read: IOTA, EOS, XLM, ADA – 4 ‘Bitcoin Contenders’ With Zero Use Cases and Barely Any Infrastructure ETH and TRX Community Debate After Viral Tweet One could consider the crypto networks Tron (TRX) and Ethereum (ETH) competitors within the cryptoconomy. While the ETH network is older than TRX, they both have similar goals and do similar things. As Ethereum strives to be a “world computer,” Tron aims to accomplish this feat as well, but with more of a focus on entertainment. They both leverage concepts like decentralized finance (defi), decentralized apps (dapps) and permissionless systems for token creation (ERC20 & TRC20). When Novak tweeted about moving TRX to the Liquid network, lots of people considered it a joke, while others took the tweet very seriously. Despite what people think about Tron or Ethereum, news.Bitcoin.com decided to look at the two networks to see how they both compare as far as onchain data, market statistics, development, funds locked in defi, and both project’s social media ratings. We want to let our readers decide which project is better by weighing the pros and cons of each crypto without all the opinions. We have a plan. #Ethereum is over. Tron moving to #liquidnetwork on #bitcoin. Cc @udiWertheimer pic.twitter.com/XEuw11PQKX — NVK (@nvk) February 8, 2020 Tron vs. Ethereum: Stacking Up the Data On February 7, 2020, Coin Metrics data shows the BTC chain processed roughly 333,000 onchain transactions. ETH saw a total of 626,000 transactions in the 24 hour period while TRX did around 816,000 on Friday. While ETH has been consistently above BTC transactions per day, TRX has also been consistently above ETH’s daily average. As far as onchain transactions (txn) are concerned, the Tron (TRX) network processed (814,000 txn) the most transactions on February 7, 2020. This is followed by ETH transactions (626,000 txn), which outpace the BTC daily average of 300,000 transactions. Both Ethereum and Tron have tokens that represent the stablecoin tether (USDT), but the ETH chain has a whole lot more. Statistics from Tronscan on Saturday show that there’s 814 million USDT held on the Tron network. Today’s data stemming from Etherscan indicates there’s a whopping 2.2 billion USDT leveraging the ETH chain. Ethereum has far more weight in tether USDT with 2.2 billion issued on the ERC20 standard. Tron has been gathering USDT as well but only has 814 million tethers on the network. ETH also has stablecoins like TUSD, USDC, and PAX. As far as stablecoin usage is concerned, Ethereum outpaces Tron by a long shot, as the chain also has other stablecoin tokens like PAX, USDC, and TUSD. But it’s true that both networks have seen more tethers migrate to each blockchain during certain periods of 2019. In fact, as far as funds locked into defi, Ethereum takes the cake when it comes to decentralized finance and centralized finance (cefi) applications as well, with projects like Maker, Compound, and Instadapp. Defi applications on ETH touched a milestone on February 6, when the total value locked (TVL) surpassed $1 billion. The Ethereum community just celebrated a milestone by surpassing $1 billion TVL in defi. Where market action and fiat value are the focus, tron (TRX) is trading for $0.02 per coin and the cryptocurrency is still down 92% from its all-time high (ATH) of $0.30. Ethereum (ETH) is swapping for $224 per coin at the time of publication, which is 84% down from its ATH of $1,431. Against USD over the last 12 months, TRX is down 18% and against BTC the crypto is down 69%. With ETH the crypto has gained 86% against the U.S. dollar in a year but against BTC it is still down 30%. Ethereum (ETH) prices on February 8, 2020. ETH is down 84% from its $1,431 ATH. Trade volume data from Messari shows the reported volume for TRX is around $203 million in the last 24 hours, but Messari’s “real volume” index indicates there’s only been $49 million in TRX trades. As far as ETH is concerned, reported trade volume on Saturday is roughly $3.5 billion, but again Messari’s “real volume” index shows less at $349 million. Tallying up the aforementioned statistics shows that ETH was a better investment over the last year, it has more liquidity, and trade volume as well. Tron (TRX) prices on February 8, 2020. TRX is down 92% from its $0.30 ATH. As far as yearly Github activity, coincheckup.com data shows that Tron has outpaced ETH development during the last 12 months in regard to tallied commits. The Coindesk social media benchmark shows ETH has around 451,000 Reddit subscribers and the same number of Twitter followers giving the project a 23% social rating. Tron shows more Github activity during the last 12 months according to coincheckup.com. ETH has more Github watchers and contributors while TRX development has less on both fronts. Tron’s Reddit community has about 71,000 subscribers and Tron has around 497,000 Twitter followers giving the project a 9.7% social rating. ETH has around 2,000 Github watchers and roughly 445 developers contributing to the ETH codebase. Tron has about 309 Github watchers and 118 developers that have contributed to the TRX Github repository. While there are 9,200 forks of Ethereum, there are only 673 Tron forks. Tron and Ethereum’s Coindesk economics social benchmark compared. The Ethereum project got a head start and Tron is not as old of a blockchain in comparison. They both have influential leaders at the helm with Justin Sun and Vitalik Buterin who are both still around to weigh in with opinions, unlike Satoshi. Both projects have a lot of investors who believe that either ETH or TRX will be dominant and there are definitely those that think both will serve a purpose. Either way, both exist in prominent market positions today as ETH and TRX are in the top 15 largest market capitalization list and might be for quite some time. What do you think about these two cryptocurrencies? Do you think Tron is better than Ethereum or vice versa? Let us know what you think about this subject in the comments section below. Disclaimer: Price articles and market updates are intended for informational purposes only and should not be considered as trading advice. Neither Bitcoin.com nor the author is responsible for any losses or gains, as the ultimate decision to conduct a trade is made by the reader. Always remember that only those in possession of the private keys are in control of the “money.” Cryptocurrency prices referenced in this article were recorded on February 8, 2020. Image credits: Shutterstock, Coin Metrics, Markets.Bitcoin.com, coincheckup.com, Coindesk’s social media benchmark, defipulse.com, Etherscan, Tronscan, Fair Use, and Pixabay. Did you know you can buy and sell BCH privately using our noncustodial, peer-to-peer Local Bitcoin Cash trading platform? The local.Bitcoin.com marketplace has thousands of participants from all around the world trading BCH right now. And if you need a bitcoin wallet to securely store your coins, you can download one from us here. The post Ethereum vs Tron: Comparing Data, Defi and Stablecoins from Both Chains After Viral Tweet appeared first on Bitcoin News. View the full article

All bitcoins are created equal. But in the eyes of blockchain forensics firms, some bitcoins are more equal than others. If these companies are to be believed, coins that have been used in criminal transactions are ‘tainted,’ destined to be forever linked with nefarious activity. The reality, however, is far different, for ‘taint’ is solely in the eyes of the beholder – and most beholders aren’t Chainalysis. Also read: Chainalysis Report Sheds Light on Darknet Markets and the Need for Onchain Privacy Tainted Coins Are All in Your Mind It’s long been known that freshly minted bitcoins can command a premium because there is no transactional history attached to them. If you want true onchain anonymity, mine some coins and then lock them away. The fewer times those coins turn over onchain, the fewer clues there are pointing to their current owner. The notion that coins might acquire taint, however, that makes them undesirable – or potentially even unlawful – to receive is a wholly subjective phenomenon. It’s one thing to flag a particular wallet address as being associated with phishing or hacking, as many block explorers do, but quite another to flag assets that pass through such wallets as being indelibly associated with criminality. Should cash be permanently marked if it has EVER passed through a criminal's hands? This is happening to thousands of cryptocurrency users. @Chainalysis KYT flags a Bitcoin deposit as suspicious, provides no evidence or appeal, then the exchange steals the funds. — dark.fail (@DarkDotFail) January 29, 2020 Just as offense to a risqué tweet is taken not given, the same is true of ‘taint’ when applied to coins. It is an interpretation rather than an inherent characteristic. Despite this, blockchain forensics firms and their surveillance partners are desperate to advance a narrative that certain UTXOs are sullied through their past association with illicit deeds. By the same reasoning, that $20 bill in your wallet is tainted because three transactions ago, it was robbed from a 7/11. Wtf?? Apparently you are not allowed to do what you want with your bitcoin once you own the keys. Fortunately that's not how Bitcoin works, but the level of chain analysis here is alarming. What is a correct response? @MartyBent @matt_odell @vandrewattycpa pic.twitter.com/BhMDThLHGc — Ronald McHodled (@RonaldMcHodled) January 28, 2020 Blockchain forensics software can map the number of ‘hops’ a transaction is removed from one suspected of being criminal, such as an exchange hack. Proving that those coins are still in the hacker’s control, and haven’t been sold to an innocent third party, however, is virtually impossible. Ain’t No Taint in These Coins As the site 6102bitcoin.com notes, a tainted coin “is only such because the address of the scammer is known to the analyst. Suppose that the analyst doesn’t know this vital piece of information, would the coin still be tainted? It should be clear that the degree to which coins can be classified as tainted depends on the level of information available to the person doing the classifying.” Despite the fact that bitcoin cannot be intrinsically tainted, that hasn’t prevented KYC-kissing companies from discriminating on those grounds. As a result, bitcoiners using these firms are unable to send and receive coins through mixers with impunity. For so long as cryptocurrency gatekeepers flag coins as pure or dirty, users will be forced to jump through hoops in order to appease them. One of the great ironies about the taint game is that to clean one’s coins involves passing them through a mixer, only to be discovered having used one is to risk having your funds frozen by centralized exchanges. Because there is no practical way for bitcoiners to verify how coins that come into their possession were used in the past, they are powerless to contest forensics software that decrees their UTXOs to be ‘dirty.’ In Dr Seuss’s “The Sneetches,” half of the creatures on an island have a green star on their bellies that marks them out as privileged. Then an entrepreneur named Sylvester McMonkey McBean shows up with a machine that can add and remove stars at will. Pretty soon, the islanders can’t tell who had stars to begin with and who didn’t. Even for bitcoiners who don’t use centralized services, increasing the fungibility of one’s coins is desirable. If everyone routinely used mixing services such as Coinjoin and Cashshuffle, blockchain forensics firms would lose the ability to flag all such transactions as suspicious. The more coins that pass through mixing machines, the harder it will be for anyone to discriminate. Do you think ‘taint’ is a genuine classification that can be applied to bitcoins? Let us know in the comments section below. Op-ed disclaimer: This is an Op-ed article. The opinions expressed in this article are the author’s own. Bitcoin.com is not responsible for or liable for any content, accuracy or quality within the Op-ed article. Readers should do their own due diligence before taking any actions related to the content. Bitcoin.com is not responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any information in this Op-ed article. Images courtesy of Shutterstock. Did you know you can verify any unconfirmed Bitcoin transaction with our Bitcoin Block Explorer tool? Simply complete a Bitcoin address search to view it on the blockchain. Plus, visit our Bitcoin Charts to see what’s happening in the industry. The post There’s No Such Thing as Tainted Bitcoins appeared first on Bitcoin News. View the full article

Bitcoin and cryptocurrency prices have seen significant gains as the entire cryptoconomy is up more than 40% since mid-December. Grayscale’s Bitcoin Trust (GBTC) has also seen an uptick and shares have climbed 9% this week. The news follows the asset manager’s recent registration as a reporting company with the Securities and Exchange Commission (SEC) and the private placement of its shares. In the last three weeks, GBTC’s price has jumped more than 44%, mimicking BTC’s price patterns despite having a significant premium. Also Read: IOTA, EOS, XLM, ADA – 4 ‘Bitcoin Contenders’ With Zero Use Cases and Barely Any Infrastructure Demand for Grayscale Grows The oldest running regulated Bitcoin Investment Trust (OTCQX: GBTC) managed by Grayscale was established in 2013 and is sold to accredited investors. GBTC is considered the first publicly quoted security that derives its value from BTC and the value of GBTC shares have been rising alongside BTC this week. GBTC shares touched a low of $7.98 on January 2 and the price has jumped 44% to $11.52 on February 5. Most of the time, GBTC is trading at a premium which is 20-30% higher than spot market prices. GBTC or the Bitcoin Investment Trust is Grayscale’s first crypto fund but the company now manages 10 crypto funds in 2020. The trust’s shares really started popping on Monday, January 7. At the time, market analysts cited geopolitical turmoil was priming safe-haven assets like precious metals and cryptocurrencies. Moreover, speculators believe bitcoin’s current rising prices are reflective of the upcoming BTC halving that’s going to slash block rewards in May 2020. Financial columnist Joe Tenebruso noted when GBTC’s shares spiked in January that Grayscale’s investment trust is “an imperfect proxy for the price of bitcoin.” “The trust is currently trading at a nearly 30% premium to the value of the underlying cryptocurrency that it holds,” said Tenebruso at the time. “However, unless a bitcoin exchange-traded fund is approved by regulators, investors who do not wish to deal with the security and other operational challenges that come with holding actual bitcoin will probably continue to use Grayscale Bitcoin Trust as a means to gain exposure to the cryptocurrency.” GBTC shares touched a low of $7.98 on January 2, 2020, and the price jumped 44% to $11.52 on February 5, 2020, and then $11.65 one hour later. The GBTC premium follows Grayscale’s resumption of the private placement of its shares. Private placement buyers wait for one year and they can choose to sell their GBTC shares after the holding period. Private placement is offered once in a while throughout the year to accredited investors. GBTC’s private placement concept gives investors access to unique liquidity opportunities. The reason for the wait time is because the shares are not registered under the Securities Act and investors are subject to the one-year holding period. “The Trust’s investment objective is for the value of its shares (based on Bitcoin per share) to reflect the price performance of Bitcoin, less fees and expenses,” Grayscale disclosed. The fund management company added: The trust is solely and passively invested in bitcoin and was created for investors seeking exposure to bitcoin through a traditional investment vehicle. As of January 10, 2020, the trust has more than $2.06 billion in assets under management (AUM) and each share of the trust represents 0.00096884 Bitcoin. After opening up private placement options, Grayscale obtained the status of a reporting company from the U.S. Securities and Exchange Commission (SEC) at the end of January 2020. The fund management company registered with the SEC in November and the firm manages 10 different cryptocurrency investment products. “As many institutions restrict investments in instruments that are not registered with the SEC, a broader set of investors may now begin to consider the trust accordingly,” Grayscale explained on January 21. GBTC typically mimics BTC price movements on spot exchanges. However, GBTC often has a higher premium than the global spot market price for BTC. The managing director at Grayscale, Michael Sonnenshein, said the trust’s sponsor sought out the reporting company designation and looks forward to working with the U.S. regulator. “Grayscale Bitcoin Trust becoming an SEC reporting company marks an incredible milestone for the trust, Grayscale as an asset manager, and the digital currency industry as a whole,” Sonnenshein stressed. “[The] announcement should signal to investors that our regulators are willing to engage with our products and our space as a whole. Even though it will require more rigorous reporting standards, it is a new level of transparency and reporting that we believe investors deserve,” Grayscale’s managing director further stated. Because the U.S. Securities and Exchange Commission (SEC) has yet to approve a regulated bitcoin exchange-traded fund (ETF), some people believe this is why GBTC often sells for a much higher premium. The U.S. regulator has yet to approve an ETF, and because of this wait, GBTC’s shares are likely benefiting. Analysts like Tenebruso believe GBTC will continue to “mimic the price movements of bitcoin in the days and weeks ahead.” That’s been the case so far and despite crypto spot prices being lower, the regulated shares are still being acquired for a much higher premium. What do you think about GBTC’s 20-30% premium and 44% climb over the last three weeks? Let us know what you think about this subject in the comments section below. Disclaimer: This article is for informational purposes only. It is not an offer or solicitation of an offer to buy or sell, or a recommendation, endorsement, or sponsorship of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Image credits: Shutterstock, OTCQX: GBTC, Grayscale, Pixabay, Fair Use, and Wiki Commons. Did you know you can buy and sell BCH privately using our noncustodial, peer-to-peer Local Bitcoin Cash trading platform? The local.Bitcoin.com marketplace has thousands of participants from all around the world trading BCH right now. And if you need a bitcoin wallet to securely store your coins, you can download one from us here. The post Bitcoin Trust GBTC Shares Spike Despite 30% Premium appeared first on Bitcoin News. View the full article

The owner of the New York Stock Exchange, Intercontinental Exchange, stunned many on Wall Street recently with a reported takeover bid for e-commerce marketplace Ebay. Now the group is aggressively trying to push its regulated bitcoin derivatives exchange Bakkt into the retail space with its latest acquisition of a loyalty solutions provider. Also Read: Bakkt Launches Bitcoin Options in US, Futures in Asia Bakkt to Acquire Loyalty Points Wallet Provider Bakkt, the digital assets subsidiary of the parent of the New York Stock Exchange ,  Intercontinental Exchange (NYSE: ICE), has so far focused on providing institutional investors with regulated crypto derivatives instruments such as bitcoin futures and options. Now it’s heading into the retail market. On Wednesday ICE has announced that it has agreed to acquire Bridge2 Solutions, a provider of loyalty solutions, and that following the completion of this transaction, Bakkt will acquire Bridge2 Solutions in turn from its parent company. The second phase purchase will be made using proceeds from a Series B round of funding which is expected to close later this quarter. The financial details of the deal have not been disclosed publicly as of yet. When Bridge2 Solutions ultimately joins Bakkt, the company hopes the strategic combination will accelerate the development of its consumer app, which will provide digital asset aggregation, conversion and payments through a single platform. According to its website, Bridge2 Solutions works with some of the world’s leading brands and powers programs for seven of the top 10 financial institutions. It operates 4,500 loyalty, incentive and employee perk programs for companies across a wide spectrum of industries. The company’s Loyalty Pay solution gives consumers the ability to pay with reward points both at the point of sale (PoS) in retail stores and in-app through digital wallets. Integrating with Bakkt may allow its retail partners to offer loyalty programs based on cryptocurrencies or tokens too. “With the launch of the Bakkt app, we will, for the first time, offer consumers a robust platform to consolidate and use all of their digital assets, from crypto to loyalty points to in game tokens, in one user-friendly wallet,” said Mike Blandina, CEO of Bakkt. “Combining Bridge2 Solutions’ embedded relationships with banks and merchants and their innovative Loyalty Pay solution will enable us to launch new products that further drive loyalty and empower consumers to trade, transfer and spend digital assets in entirely new ways.” ICE Pushes Into Retail With Ebay and Bridge2 Intercontinental Exchange owns and operates about a dozen regulated equity exchanges and marketplaces around the world such as the New York Stock Exchange. That’s why it surprised many on Wall Street when it was reported a couple of days ago that the finance giant has made a bid to take over e-commerce marketplace Ebay (NASDAQ: EBAY). On Tuesday ICE denied the media reports with a statement that it “approached Ebay to explore a range of potential opportunities that might create value for the shareholders of both companies. Ebay has not engaged in a meaningful way. We are not in negotiations regarding the sale of all or part of Ebay.” Regarding the latest Bakkt acquisition deal, it might be able to frame the move as a new focus on retail consumers, especially young people that are more used to shopping online than investing in equities. Hinting at the reasoning behind the Bridge2 Solutions deal, ICE noted that the global ecosystem for digital assets represents over $1.2 trillion in value and includes digital rewards, loyalty points, in-game virtual assets, merchant stored value, gift cards and cryptocurrencies. “Millennial consumers, in particular, embrace this form of value,” ICE stated. “Whether they are monetizing loyalty points from a favorite airline or trading skins for a video game, the Bakkt app will enable consumers to unlock much of that value, allowing them to trade and spend their digital assets freely, as they would any other currency.” “Bakkt was created to help bring transparency and trust to the previously unregulated digital asset markets,” said Jeffrey Sprecher, CEO of ICE. “With the launch of the Bakkt Warehouse and Bakkt futures and options markets, the company has achieved quick success with its custody and trading offering. Bakkt’s second round of funding, and its acquisition of Bridge2 Solutions, will help accelerate the development of Bakkt’s consumer application, which has been a key part of our strategy since we first looked at this market.” What do you think about ICE pushing Bakkt into the retail digital wallet space with this acquisition? Share your thoughts in the comments section below. Images courtesy of Shutterstock. Verify and track bitcoin cash transactions on our BCH Block Explorer, the best of its kind anywhere in the world. Also, keep up with your holdings, BCH and other coins, on our market charts at Bitcoin.com Markets, another original and free service from Bitcoin.com. The post Not Just Ebay, NYSE Owner Intercontinental Exchange Pushes Bakkt to Retail With Latest Acquisition appeared first on Bitcoin News. View the full article

As Director of Business Development for popular crypto exchange Kraken, when Dan Held speaks, people listen. As such, his recent 46-tweet diatribe on why the “payments narrative” for bitcoin is flawed grabbed the attention of many, tickling the ears of hardcore Lighting Network fans and bitcoin core maximalists alike. His argument is prima facie absurd, not to mention misleading. Also Read: Craig Wright’s ‘Bonded Courier’ Allegedly an Attorney Who Can’t Communicate Held Says Bitcoin Wasn’t Meant Primarily for Payments While constantly proselytizing folks about the “true meaning” of the bitcoin whitepaper is a waste of time, there comes a point where an interpretation emerges so wildly misinformed and grossly inaccurate it deserves an address. Enter Held’s recent Twitter storm. For the purposes of this breakdown, Dan Held‘s broad assertions that bitcoin was not created to be a competitive payments system, or peer-to-peer cash, will be addressed according to his major claims. Claim 1: Bitcoin Was Built to Be a Store of Value Held writes: “Bitcoin was purpose-built to first be a Store of Value (SoV).” Yet the very first line of Satoshi’s bitcoin whitepaper reads: Bitcoin: A Peer-to-Peer Electronic Cash System “Bitcoin: A Store of Value System,” isn’t there. Held misconstrues Satoshi Nakamoto’s well-known comparisons of bitcoin to gold, and takes them to mean the SoV narrative is most important, payments be damned. But it’s critical to note that any relatively sound, widely utilized means of payment will eventually become a store of value. Satoshi understood this well, as his own words will later demonstrate. Gold is more sound than government fiat money, it’s just harder to transact with in modern times. Satoshi’s “purely peer-to-peer version of electronic cash,” that “would allow online payments” (again straight from the bitcoin whitepaper) was created to solve this problem, effectively creating spendable, digital gold. Held’s next several tweets attempt to prove, however, that Nakamoto didn’t view BTC as cash. He quotes Nakamoto from some of his well-known forum posts: In the above quote Satoshi does compare bitcoin to gold in terms of scarcity, but emphasizes: “And one special, magical property: can be transported over a communications channel.” So the whole magic of bitcoin is exchange. Nakamoto goes on to note in the same post that use as cash for payments could be what gives bitcoin its value in the first place: Maybe it could get an initial value circularly as you’ve suggested, by people foreseeing its potential usefulness for exchange. Just use a credit card, bro. Claim 2: Bitcoin Was Not Designed to Replace Payment Systems Like Visa In some of the very forum posts Held references, Nakamoto writes: The root problem with conventional currency is all the trust that’s required to make it work … We have to trust them with our privacy, trust them not to let identity thieves drain our accounts. Their massive overhead costs make micropayments impossible. Satoshi is clearly presenting bitcoin here as an alternative to conventional currency, and not as some weird store of value built without a use case. He even goes so far as to mention micropayments. One would be hard pressed to find the last time gold was suggested for such a thing. Tweet 10 of Held’s exposition finds the exec making leaps in logic which would impress even the most limber of mental gymnasts. He quotes Nakamoto pointing to scarcity as a value proposition, and then runs wild. The logic is as follows: Bitcoin has scarcity — Visa does not — thus bitcoin was not meant to be a payment system like Visa. But why does scarcity rule out something being an effective payments system, especially when bitcoin is digital and divisible? Most of Satoshi’s antipathy toward the banking system which Held himself acknowledges repeatedly is targeted at this very same lack of scarcity and security, engendering corruption. Held concludes this section: With the 2008 financial crisis, trust had been lost in a world that ran on trust. Bitcoin was launched in a time of absolute necessity, Satoshi planted the seed at precisely the right moment. The world didn’t need a new VISA, they needed an alternative to banks. Claim 3: Bitcoin Is a Bearer Asset, Cash Just Means “Money Box” Now Held just begins inserting his own definitions into the whitepaper. Cash is no longer cash, in the common sense, but we’ve taken an etymological dive into the French roots of the word and been shown it simply means “money box” which is, duh, a store of value. Checkmate, payments enthusiasts. The problem here is further exacerbated by a strange comparison of bitcoin to a bearer asset. As legal operations specialist Rob Henham pointed out back in 2016: Holding bitcoins does not give that bitcoin holder any rights against the issuer of bitcoins (the bitcoin protocol) or to any other underlying asset. Although bitcoin is extraordinary in many ways, it is just a plain asset whose value is determined intrinsically, rather than by reference to another underlying asset. Held then steps back, takes a deep breath, and prepares for his final show of flips, somersaults, balance-beam cartwheels and swirling, colorful ribbons by claiming that bitcoin isn’t peer-to-peer, and should have been made inflationary. Claim 4: Bitcoin Isn’t Peer-to-Peer, Should Have Been Inflationary If Meant for Payments In tweets 22-25 Held quotes creator of litecoin Charlie Lee as saying: “Bitcoin isn’t ‘peer-to-peer.’ Payments are sent from sender to miners, who record it on a distributed ledger … Lightning network payments, on the other hand, are p2p payments. They are sometimes direct p2p, sometimes indirect p2p. LN payments have to be sent from p2p to get from the sender to the recipient. Both have to be online, just like other p2p networks like BitTorrent.” Apparently the goal is now for there to be trusted third parties in the middle of transactions again, who can drop out unexpectedly just like banks and other payment services. Because, reasons, and Satoshi. The bitter irony wasn’t lost on all readers of the thread, one of whom commented: Held fails to note that miners are not payment processors in any sort of traditional sense. They merely record things into the network. @zbingledack retorts: This is confused. Reality: Bitcoins are sent from user to user. Miners merely record the transaction. The moment a merchant hands you a transaction template and you sign it and send it back to the merchant, the transaction is legally complete. Miners merely record it. In tweet 31, Held makes the stunning claim that “If Satoshi wanted Bitcoin to first be used as a medium of exchange to purchase goods and services, he would have made it inflationary. People don’t spend deflationary currencies when they can make the same purchase in infl. curr.” In other words, “just use a credit card, bro.” Claim 5: Store of Value Precedes Medium of Exchange. Satoshi Knew This but Used the Payments Narrative Anyway Held’s idea of where bitcoin is now on its path to becoming a means of exchange and unit of account. https://twitter.com/danheld/status/1224727829528473600 If one were take a time machine and ask Austrian School economist Carl Menger about Held’s ideas, he may have been shocked. After all, gold became a strong store of value after millennia of use as a commodity and money, not the other way around. Payments, in other words. Held says bitcoin doesn’t work as a medium of exchange right now, but it will at some point in the future. “People pushing the MoE narrative at this moment in time are counterproductive to adoption,” the Kraken exec claims. He then posts a graph showing a steady rise in merchant adoption until BTC’s momentum as cash was effectively killed by congestion, high fees, and refusal to increase the block size. None of this is mentioned in the thread, of course. Like most exercises in sophistry, the ramble goes on to confidently pretend this was always the design from the start, claiming Satoshi simply advertised bitcoin as a medium of exchange to garner support: Conclusion To sum up: Satoshi Nakamoto knew bitcoin couldn’t be a medium of exchange, but decided to pitch it exactly as that anyway. “Cash” really means “store of value” in English because that’s what the root word means in French. “Peer-to-peer” really means a settlement layer depending on third parties who must always be online. Bitcoin was never meant to contend with payment systems like Visa, even though Satoshi mentioned micropayments and directly said himself: The existing visa network processes about 15 million Internet purchases a day worldwide. Bitcoin can already scale much larger than that with existing hardware for a fraction of the cost. It never really hits a scale ceiling. Whatever motivations Held had for posting this thread, it certainly is remarkable, and seems further evidence of how far some tribalist narratives can stretch, complicating even the simplest of ideas, in praise of the almighty Lightning Network and maximalist religion. What are your thoughts on Held’s Twitter storm? Let us know in the comments section below. Op-ed disclaimer: This is an Op-ed article. The opinions expressed in this article are the author’s own. Bitcoin.com is not responsible for or liable for any content, accuracy or quality within the Op-ed article. Readers should do their own due diligence before taking any actions related to the content. Bitcoin.com is not responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any information in this Op-ed article. Images courtesy of Shutterstock, fair use. Want to create your own secure cold storage paper wallet? Check our tools section. You can also enjoy the easiest way to buy Bitcoin online with us. Download your free Bitcoin wallet and head to our Purchase Bitcoin page where you can buy BCH and BTC securely. The post Overwriting Satoshi: Kraken Exec Says Bitcoin Wasn’t Built for Payments, Isn’t Peer-to-Peer appeared first on Bitcoin News. View the full article

Digital asset exchange Cryptophyl has announced it’s launching bitcoin core (BTC) trading. The first available pair is with bitcoin cash (BCH), the platform revealed on social media this week. Trading the two major cryptocurrencies will also allow users to earn the exchange’s native token, drop. Also read: How to Create Custom SLP Tokens With the Bitcoin.com Mint BCH-BTC Trading Pair Available on Cryptophyl Unveiling details about the BCH-BTC trading, Cryptophyl noted in blog post that the launch is part of what its team views as its core mission – to grow the token economy. “We’re always looking at adding new markets. Listing BTC allows us to connect the large BTC market to Cryptophyl and hence the SLP token economy,” the exchange explained. The U.K.-based startup is currently finalizing the deployment of the BTC-USDH market which will be added on Tuesday, Feb. 11. To achieve that Cryptophyl is cooperating with the Honestcoin team and has already secured strong liquidity. USDH is an SLP-based stablecoin that’s compliant with applicable regulations. The crypto is pegged 1:1 with the U.S. dollar. Honestcoin’s main purpose is to facilitate payments and remittances. Its developers aim to provide users with a secure and low-cost channel to transfer digital assets globally. The exchange is also integrating support for SEPA bank transfers for purchases of SLP tokens, BTC and BCH. The option will be first available for the USDH coin. Cryptophyl introduced fiat payments for SLP tokens via credit, debit cards and Apple Pay in October 2019. The fiat on-ramp to the SLP ecosystem is facilitated by a partnership with Moonpay. The fiat-crypto payment provider also helps users of Bitcoin.com Exchange to buy cryptocurrencies with credit card and is integrated in the Bitcoin.com Wallet which now offers full support for SLP tokens. Cryptophyl founder Semyon Germanovich told news.Bitcoin.com: We’re currently supporting credit and debit cards for SLP token purchases and plan to extend this to cover BTC and BCH soon. We process deposits after 1 confirmation and charge a flat 0.15% trading fee on all transactions made on Cryptophyl. Cryptophyl specializes in Simple Ledger Protocol (SLP) tokens trading against BCH with focus on the European market. It was launched in July 2019 by the founders of the now defunct crypto exchange Voltaire. The platform started with support for a community-driven SLP token called spice (SPICE) but users can now trade many more cryptocurrencies including BTC, BCH, USDH, SAI and TOBA, earning drop, Cryptophyl’s native coin. The exchange aims to partner with promising SLP projects, and its support matters. For example, in August Cryptophyl airdropped 5 million spice tokens to its users and when its trading started, the coin saw remarkable gains in market capitalization. Spice is built on top of bitcoin cash and can be used to tip content creators. SLP Ecosystem Continues to Grow The SLP token ecosystem has been growing rapidly and almost 7,000 SLP tokens have been created on the Bitcoin Cash network using the protocol. Many of them have been listed on crypto trading platforms such as Cryptophyl, Sideshift AI, Coinex, and the Bitcoin.com Exchange. In early January, Cryptophyl announced it would be applying for registration with the U.K.’s Financial Conduct Authority (FCA) under the new anti-money laundering regulations that came into force on Jan. 10. That would’ve meant implementing stringent identity verification procedures. However, in a blog post published on Jan. 14, the team said that having considered the users’ feedback, it had decided to operate the exchange from a non-EU jurisdiction, a move made by many other European crypto businesses. “A large part of our customers felt that the new requirements to continue trading on Cryptophyl were unnecessarily strict,” the platform revealed. “Given the nascent nature of SLP markets and our position as a startup exchange provider, we decided user retention and growth was more important than remaining incorporated in the United Kingdom and European Union,” Cryptophyl explained. “All you need to start trading on Cryptophyl is a basic account. Withdrawals require phone verification and users with larger volumes will have to pass KYC,” founder Semyon Germanovich detailed. What do you think about Cryptophyl exchange adding the BCH-BTC trading pair? Tell us in the comments section below. Disclaimer: This article is for informational purposes only. It is not an offer or solicitation of an offer to buy or sell, or a recommendation, endorsement, or sponsorship of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Images courtesy of Shutterstock, Cryptophyl. Are you a Bitcoin developer? You can create your own Bitcoin Cash app with the Bitbox and Badger Wallet SDKs, get started with BCH tokens through the SLP SDK, and build your knowledge base with our Bitcoin Cash developer guides. The post SLP Token Trading Platform Cryptophyl Adds BTC Pair With Bitcoin Cash at Flat 0.15% Fee appeared first on Bitcoin News. View the full article

Cryptocurrency markets and the industry are extremely competitive and many users believe a single digital asset will reign someday, and that it may not be BTC. Over the last few years, many holders believe the assets they hold are bitcoin contenders with coins like IOTA, EOS, ADA, XRP, and XLM being popular choices. However many of these cryptocurrencies see very little use and have seen their price values slashed enough to make any holder cringe. Also Read: Market Update: Bitcoin Cash Shines as Crypto Markets Show Bullish Signals Four So-Called ‘Bitcoin Contenders’ Recently the entire digital currency market capitalization has gained billions of dollars and a great number of people believe an “altcoin season” could happen before the next great bull run. There are definitely people who believe certain coins are BTC contenders. But belief is one thing and numbers often tell a different story as certain digital asset hopefuls are barely being used or have zero products. The ones that are being used are significantly centralized, have frozen accounts, are plagued with bots and are still down more than 80% since their all-time price highs. Today we’re going to look at four specific digital currencies and see how they stack up to BTC’s market price and onchain performance. IOTA, EOS, ADA, and XLM have been hailed as bitcoin contenders in the past and data explains how they have been doing recently. A brief look at IOTA, EOS, ADA, and XLM social benchmarks, price, controversies, and onchain performance. IOTA — Down 94% From Its All-Time High IOTA or MIOTA is a “transactional settlement and data transfer layer” aimed at tackling the Internet of Things (IoT). According to the white paper, the system uses a new type of distributed ledger technology called “Tangle.” Developers call the system revolutionary compared to traditional blockchains thanks to introducing new consensus mechanisms. However, the chain has had a myriad of issues including halting for 15 hours during the last week of December 2019. IOTA is trading for $0.33 per token on Wednesday, February 5, 2020. At press time, IOTA is worth $0.33 per coin and the value is up 30% this year but it’s down 50% against BTC. IOTA reached an all-time high (ATH) of $5.69 per coin 779 days ago and it’s down 94% since that point. The digital asset has around $29 million in daily trade volume compared to BTC’s $5.6 billion in 24-hour trade volume. The IOTA Reddit community has around 113,000 subscribers and 122,000 Twitter followers. The crypto economics benchmark from Coindesk gives IOTA 6.74%, which is lower than usual in comparison to most other cryptos. IOTA community’s social ranking. Right now lots of people take issue with the downtime and centralization tied to the IOTA Foundation and the current direction of the project. IOTA community member social media posts show they are infighting frequently and IOTA leaders are battling as well. The 24-hour transaction data for IOTA is not something recorded on most data sites including Coin Metrics and bitinfocharts.com. EOS — Down 80% From Its All-Time High EOS or the EOSIO platform is another form of distributed ledger technology that was supposed to outpace BTC in the eyes of a few EOS believers. The EOSIO platform was released by the private company Block.one and today EOS is the seventh-largest blockchain by market cap. On February 5, 2020, a single EOS is trading for $4.49 and there is $701 million in reported 24-hour global trade volume. At today’s market prices EOS is down 80% from its ATH of $22.89 per coin. EOS is trading for $4.49 per token on Wednesday, February 5, 2020. As far as transactions per day are concerned, EOS has processed 1.7 million transactions in the last 24-hours according to Coin Metrics data. BTC has consistently held a rough average of 300,000 transactions per day since June. Despite the fact that 1.7 million per day is a lot more than BTC’s daily transaction output, skeptics estimate a great sum of EOS transactions are misleading and done by bots. Anchain.ai, an artificial intelligence security company published a report in the summer of 2019 that said a good majority of transaction volume stems from “malicious bot activity” on dapps (decentralized apps) and exchanges. EOS community’s social ranking. EOS is accused of the significant centralization of block producers and these entities have been scrutinized for “freezing” accounts. A great majority of block producers stem from China as well. The firm Whiteblock published a report that described the EOS chain as nothing more than a “cloud service for computation.” The EOS Reddit community has around 69,000 subscribers and the project has about 1,400 Twitter followers. This gives the project a social benchmark of around 4.4% according to crypto-economics data. EOS transactions per day (black) compared to BTC transactions per day (red.) XLM — Down 92% From Its All-Time High Stellar is a distributed ledger protocol that allows for digital currency to fiat money transfers and cross-border payments. The network is a fork of the Ripple (XRP) project and was initiated in 2014 by Jed McCaleb. Today, Stellar (XLM) is the 14th largest market cap and each XLM is trading for $0.06 per coin. XLM is trading for $0.06 per token on Wednesday, February 5, 2020. According to Coin Metric’s data, XLM has around 600,00 to 1.4 million transactions per day, which is larger than BTC’s 300,000 transactions per day average. Stellar’s social community has a 12% social benchmark with 106,000 Reddit subscribers and 280,000 Twitter followers. Similarly to XRP, the XLM chain has had its share of centralization controversies. In mid-December 2019, Stellar tried to give away 2 billion XLM, but alleged spammers made it difficult. So after they advertised the 2 billion lumen airdrop, Stellar only gave away 300 million. Stellar (XLM) community’s social ranking. A few months prior in May, Stellar’s chain stopped processing transactions for an hour. Researchers Minjeong Kim, Yujin Kwon, and Yongdae Kim predicted the outage a month before the chain halted. XLM touched an ATH at $0.93 per token and from that price point, the cryptocurrency is still down 92% today. XLM transactions per day (orange) compared to BTC transactions per day (red.) ADA — Down 95% From Its All-Time High Lastly, the project Cardano (ADA) has been considered a bitcoin competitor since the project launched. ADA sees around 1-2,000 transactions per day according to Coin Metrics data. The project is a blockchain concept that was developed by Input Output Hong Kong (IOHK) and aims to offer smart contract services. ADA is trading for $0.05 per token on Wednesday, February 5, 2020. The Cardano project has a social benchmark of around 11% with 76,000 Reddit subscribers and 155,000 Twitter followers. The biggest issues people have with Cardano is the lack of usage and use cases. The community has also had difficulties in the past with the Cardano Foundation chairman. Users also complained about the time it took to develop the Daedalus wallet, as people had to store ADA on exchanges prior to its release. Cardano (ADA) community’s social ranking. ADA touched an all-time high in 2017 reaching $1.33 per coin and the asset is still down 95% from that price high. The asset saw around $32 million in 24-hour trade volume during the first week of February 2020. This month at $0.05 per ADA, the cryptocurrency is up 56% in the last year as the price sunk much lower during the crypto winter of 2018. ADA transactions per day (blue) compared to BTC transactions per day (red.) Overall, the data concerning these projects shows each one has certain pros and cons against BTC, but they certainly have a long way to go to even step near the biggest network’s coattails. Do you think these four coins can compete against bitcoin? Do you consider them contenders? Let us know why you think that or what you think about this topic in the comments section below. Disclaimer: Price articles and market updates are intended for informational purposes only and should not be considered as trading advice. Neither Bitcoin.com nor the author is responsible for any losses or gains, as the ultimate decision to conduct a trade is made by the reader. Always remember that only those in possession of the private keys are in control of the “money.” Cryptocurrency prices referenced in this article were recorded on February 5, 2020. Images via Shutterstock, markets.Bitcoin.com, Coinmetrics, Coindesk’s social benchmark data, Fair Use, and Wiki Commons. Did you know you can buy and sell BCH privately using our noncustodial, peer-to-peer Local Bitcoin Cash trading platform? The local.Bitcoin.com marketplace has thousands of participants from all around the world trading BCH right now. And if you need a bitcoin wallet to securely store your coins, you can download one from us here. The post IOTA, EOS, XLM, ADA – 4 ‘Bitcoin Contenders’ With Zero Use Cases and Barely Any Infrastructure appeared first on Bitcoin News. View the full article

Handshake, one of the more original crypto projects to have spawned during the ICO era, has completed its long-awaited launch. The decentralized domains registrar, founded by MIT engineers, has spent the last year in stealth mode but is now opening up to the general public. The Handshake protocol, coupled with the Namebase registrar, enables users to search and bid on domain names in a transparent manner. In the coming weeks, hundreds of coveted top level domains such as /source and /dining will go up for auction, prompting a bidding war. Also read: Craig Wright’s ‘Bonded Courier’ Allegedly an Attorney Who Can’t Communicate Handshake Mainnet Goes Live, Decentralized DNS Arrives Handshake has gone live, with its genesis block encoded into BTC block 615817, and the first trades involving Handshake coins (HNS) on the books of Namebase exchange. The decentralized, permissionless Handshake protocol enables users to buy and sell DNS names via Namebase, a domain registrar and crypto exchange. Recently, the Internet Corporation for Assigned Names and Numbers (ICANN) caught flak after agreeing to sell the rights to .org to a private equity firm. Namebase’s architects are adamant that the best way to govern internet names is by decentralizing the authority that governs them. This is achieved by building on top of Handshake. “Our waitlist has grown 3x over the past two weeks,” Namebase CEO Tieshun Roquerre told news.Bitcoin.com. “People are buying and trading HNS — that’s to be expected — but what’s excited me most is that people are adding domains to their watchlist. In the coming week, we’ll open up Namebase to the general public and enable anyone to trade HNS and buy Handshake domain names.” Some of the domains that will soon go up for auction on Namebase The D Is for Decentralized At present, domain names rely upon centralized bodies who retain de facto control of systems. Established in 1983, DNS – Domain Name Systems – are an integral part of internet architecture but, despite being used by billions, they are controlled by just a few well-placed entities. This makes seizing and censoring domain names a walk in the park for governments with vested interests, for example, in suppressing dissident content. While we often hear about China’s aggressive censoring of Google, Youtube, and Facebook, even supposedly democratic governments can take down sites and pursue domain authors with comparative ease – just ask Megaupload’s Kim Dotcom. The centralized nature of the existing domain-naming framework also means it is vulnerable to hacking. ICANN currently sits at the summit of the DNS hierarchy, deciding who gets which domain; it also requires a $185,000 application fee to request a new top-level domain (TLD), and applications for new TLDs are currently closed. The for-profit corporation Verisign, meanwhile, owns .com. In this milieu, registering domains anonymously is far from easy. HNS can be bought with BTC on Namebase Pro Tradable Domains Onchain The Handshake public blockchain, which like Bitcoin uses Proof-of-Work mining, positions itself as an experimental base layer for a new, wholly decentralized internet, and seeks to become a viable alternative to existing Certificate Authorities. A pro-privacy, peer-to-peer root naming system, Handshake allows anyone, anywhere, to register a domain name that is impervious to censorship and seizure – all without having to reveal their identity. Handshake’s naming protocol is distinct from its predecessors, eschewing the concept of namespacing or subdomains at the consensus layer. Its ambition is not to overhaul DNS as it currently exists, but to replace the root zone file and root servers – the “lowest” rung of the internet’s architectural stack. In the protocol, every peer validates and manages the DNS naming zone, with economic incentives ensuring a transparent name auction process. As the sole unit of account, HNS coins are used by participants to register, transfer and update internet names, while community members initiate auctions and make bids for top-level domains. In the Handshake ecosystem, the value of domains differs based on perceived value. Improving Security and Repelling Attacks Because Handshake’s domains are distributed on a public blockchain, rather than living on a central server, they are resistant to theft, tampering, and censorship: only owners of registered domains can update or transfer their names using their own private keys. As it currently stands, Certificate Authorities can compromise the security of SSL by issuing bad certificates or facilitating government efforts to spy on encrypted traffic. Moreover, the way DNS is currently centered on a handful of chokepoints allows for DDoS attacks, for example, the malicious 2016 attack on Dyn. The top 100,00 websites, determined by Alexa rank, have been allocated Handshake domain names and $115 million worth of HNS dispersed to developers in an airdrop. As well as being able to register typical .com and .org addresses, users can select unique domains (.blank) and accrue coins whenever other users register a subdomain to it. Handshake is one of many forms of dissident tech hoping to fundamentally reshape the internet, eliminating the need for centralized gatekeepers and omniscient overseers. It’s an ethic crypto holders can certainly rally around, and Handshake can be filed in the same folder as decentralized networks like Orchid and Helium and privacy-oriented browsers like Brave. “Right now Namebase is the only place you can go to trade HNS, and we’ve partnered with the mining pool 6block to provide early liquidity,” explained Tieshun Roquerre. “In the next few months, you can expect a slew of tooling, products, and partnerships that make Handshake domains more powerful and easier to use. I expect that by the end of 2020 most people using Handshake won’t even know it’s powered by a blockchain.” What are your thoughts on Handshake and Namebase? What domain names would you bid for? Let us know in the comments section below. Disclaimer: This article is for informational purposes only. It is not an offer or solicitation of an offer to buy or sell, or a recommendation, endorsement, or sponsorship of any products, services, or companies. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Images courtesy of Shutterstock. Did you know you can verify any unconfirmed Bitcoin transaction with our Bitcoin Block Explorer tool? Simply complete a Bitcoin address search to view it on the blockchain. Plus, visit our Bitcoin Charts to see what’s happening in the industry. The post Crypto’s Dotcom Era Begins as Handshake Launches Decentralized Domains appeared first on Bitcoin News. View the full article

Crypto exchange service provider Bitspark is shutting down next month despite reporting exponential growth following the launch of its cash point product. The CEO of the company explained that its internal restructuring has not worked out but insisted that the ongoing protests in Hong Kong and coronavirus outbreak have not affected his platform much. Also read: 41 German Banks Now Charge Negative Interest Rates Bitspark Closing Shop After 5 Years Hong Kong-based crypto exchange and remittance service provider Bitspark announced on Tuesday that it is shutting down on March 4. CEO George Harrap explained: This decision was not taken lightly, particularly due to the excellent performance we have seen since the release of our Cash Point product late last year which has seen 400% MoM growth. There will be limited services between now and the end of March 4. The CEO added that customers can contact the company directly and request a withdrawal “if their Bitspark account or DEX wallet (with sparkdex assets) still has a balance.” He clarified, “Liquidity will remain on the Bitspark markets until 4 March and the final ZEPH buyback will be an order on the order books as of today.” After March 4, account logins will be disabled for a period of 90 days. Company Says Business Was Going Well Prior to this shutdown announcement, Bitspark had been working on launching several projects. On Dec. 27, the company highlighted in a year-in-review post that it had 144 trading pairs in 12 currencies and had issued stablecoins in HKD and PHP. In addition, it claimed to have had a steady stream of inbound customers from over 30 countries. “Next year, as we integrate with ERC20, Bitspark will be the primary provider of cash-to-crypto services for everything related to the Ethereum network, including hard wallets like Trezor and the global DeFi movement,” Bitspark wrote. Harrap noted that his company was “the first company to ever do end to end remittances via bitcoin in 2014,” adding that it was also “the first exchange in Asia with 20+ tokens (2014), the first [with] stablecoins for exotic currencies, first exchange in Asia with insurance coverage (Bitgo) and the only cash-based fiat on/off ramp in crypto.” Bitspark CEO George Harrap Founded in Hong Kong in 2014, the company operates a web-based platform for sending and receiving payments using cryptocurrency. “We were the first in the world to send a cash-in, cash-out bitcoin transfer between Hong Kong and the Philippines – it was the first use case the industry saw of crypto being used for utility above all else,” its website details. Coronavirus and Protests Not to Blame In his Tuesday announcement, the CEO divulged the reason for shutting down. He wrote, “Unfortunately due to internal restructuring that hasn’t worked out, and a decision taken by shareholders internally, we have made the decision to close our doors.” He elaborated: While the HK protests and now virus epidemic haven’t affected us much, it hasn’t helped either. Businesses in Hong Kong have been suffering from a number of factors, weighing down on the region’s economy. Not only are there ongoing protests, but there is now also the coronavirus scare that has driven many investors out of the area. The number of coronavirus cases has grown to 24,536 worldwide, with 492 deaths reported as of Wednesday. Last week, the South China Morning Post reported that banks in Hong Kong are closing up to 30% of branches as a public safety measure. For example, Bank of China will close 49 branches, Bank of East Asia 20, HSBC 20 premier and four business centers, and Hang Seng 18 branches and 10 MTR outlets. Flights to Hong Kong are also being suspended. American Airlines and United Airlines, for example, announced on Tuesday that they are suspending flights from the U.S. to Hong Kong until Feb. 20 due to a drop in demand as the coronavirus spreads. Do you think Hong Kong crypto businesses are much affected by the coronavirus outbreak and ongoing protests? Let us know in the comments section below. Disclaimer: This article is for informational purposes only. It is not an offer or solicitation of an offer to buy or sell, or a recommendation, endorsement, or sponsorship of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Images courtesy of Shutterstock and Bitspark. Did you know you can buy and sell BCH privately using our noncustodial, peer-to-peer Local Bitcoin Cash trading platform? The local.Bitcoin.com marketplace has thousands of participants from all around the world trading BCH right now. And if you need a bitcoin wallet to securely store your coins, you can download one from us here. The post Hong Kong Crypto Exchange Bitspark Shuts Down Amid Coronavirus Outbreak and Protests appeared first on Bitcoin News. View the full article