roadrunner

2019 is coming to an end and the Bitcoin Cash (BCH) ecosystem has matured a great deal. BCH has successfully upgraded twice this year, adding Schnorr signatures capabilities and most transactions on the BCH network are now non-malleable. Moreover, BCH has seen increased adoption this year, an SLP token explosion, a slew of helpful third-party applications, and has become a privacy contender with Cashshuffle and Cashfusion on the way. Also read: Onecoin Websites Suspended as the $4 Billion Ponzi Crumbles This Year’s Bitcoin Cash Growth As the new year approaches, BCH proponents have been discussing all the benefits the Bitcoin Cash network has to offer. Marketwise BCH, like most coins in the top 10, saw little movement, but is still above (+30-40%) January 2019 prices. While markets had an interesting year, the Bitcoin Cash ecosystem saw a great level of development. From infrastructure to merchant adoption, BCH continued to see rapid growth in 2019. Moreover, the BCH chain has experienced two upgrades this year, which has improved overall functionality and strides toward the BCH roadmap. BCH supporters from all around the world wholeheartedly believe that the decentralized cryptocurrency is paving the way toward a global peer-to-peer electronic cash system. “In the last two years, BCH has become a much better peer-to-peer electronic cash system than it was 24 months ago, far superior to what BTC would be even if BTC wasn’t slow and expensive,” Cointext founder Vin Armani stressed on December 4. 2019 Upgrades Every six months, the BCH chain upgrades in order to bolster the Bitcoin Cash roadmap toward scaling and technical improvements. On May 15, at block 582680, the BCH blockchain implemented the basic foundations of Schnorr signature functionality and Segwit recovery exemption. Schnorr signatures open the door to improved scaling and privacy and the first upgrade created the initial framework so developers can leverage the protocol. The Segwit recovery change made it possible for network participants to recover funds that have been sent to Segwit addresses by accident. The BCH chain successfully upgraded twice this year. Six months later on November 15, at block height 609135, BCH developers implemented the Minimaldata rule change which removes the final bip-0062 malleability vector from the network. This change makes the majority of BCH transactions on the network non-malleable. The November consensus change also included Schnorr signature support extended to OP_Checkmultisig(verify), which means all signature checking operations will support Schnorr signatures. Simple Ledger Protocol (SLP) The Bitcoin Cash network saw an explosion of Simple Ledger Protocol (SLP) usage this year as the SLP universe has grown quite robust. So far there’s been 6,141 tokens created using the SLP framework, accounting for 312,505 SLP transactions this year. Popular tokens built on the BCH network this year include Honk Honk, Spice, Official Honk, ACD coin, Flex coin, Honestcoin, SAI, Drop, and Gocrypto. Many of these SLP tokens have gained value and BCH proponents have watched token market capitalizations grow. SLP tokens are traded on exchanges now and can be swapped on trading platforms like Bitcoin.com Exchange, Cryptophyl, Coinsuper, Coinex, and Altilly. In July, the CEO of the Bitcoin Cash node Bitcoin Verde revealed that the local government from Dublin, Ohio plans to issue SLP-based tokens. Lots of wallets now support SLP tokens including Memo, Ifwallet, Electron Cash SLP, Badger, and Crescent Cash. During the summer, Bitcoin.com released the SLP Dividend Calculator and BCH supporters were introduced to paying dividends in BCH directly on the blockchain to the addresses holding a specific token type. “Bitcoin Cash has enabled all sorts of amazing things,” Bitcoin.com’s Executive Chairman Roger Ver explained. SLP developers also introduced nonfungible SLP token support this year and Cointext founder Vin Armani created a new system called the ‘Simple Ledger Postage Protocol.’ The postage service allows wallets to send SLP tokens without having to use bitcoin cash as ‘gas’ to forward transactions. Various wallets support SLP tokens including Memo, Ifwallet, Electron Cash SLP, Badger, and Crescent Cash Merchant Adoption BCH fans always enjoy getting retailers to support a peer-to-peer electronic cash system and 2019 was no different. Thanks to many people spreading BCH awareness, merchant adoption has grown a lot since last January. At the beginning of 2019, Acceptbitcoin.cash data showed 934 online merchants accepted BCH, 550 brick-and-mortar merchants were listed on Map.Bitcoin.com, and 889 merchants of all types could be found on Green Pages. The numbers were faithfully recorded by Redditor u/neonwasteland nearly every single week this year. This week u/neonwasteland wrote: “We’ve got 1,128 online merchants listed on Acceptbitcoin.cash, there are 1,772 brick-and-mortar merchants listed on Marco Coino (Map.Bitcoin.com), and you can find 1,148 merchants of all types on Green Pages.” Moreover, numerous well known retailers have partnered with Bitpay this year, adding more BCH acceptance to the overall landscape. Privacy Bitcoin Cash privacy improved a great deal this year as well and it really spiked after the full-featured version of Cashshuffle was introduced on March 27. The developer Acid Sploit’s Cashshuffle stats page shows there’s been 37,025 shuffles since the end of March. 189,760 BCH has been shuffled and at today’s market prices that’s over $40 million worth. Cashshuffle allows users to mix their bitcoin cash UTXOs with a pool of other users within the Electron Cash (EC) Wallet interface. Cashshuffle offers a deeper anonymity set, but it’s also being improved upon with an idea called Cashfusion. EC lead developer Jonald Fyookball explained on November 23 that the Cashfusion framework was working behind the scenes using alpha software and the beta software “is coming soon.” Moreover, independent software developer Mark Lundeberg detailed how both Schnorr and Cashfusion can create “a situation that’s ripe for doing batched signature validation.” Various Bitcoin Cash Milestones and New Applications Bitcoin cash fans also saw the introduction of a local BCH marketplace called local.Bitcoin.com which allows people to trade in a peer-to-peer and noncustodial fashion. The dedicated SLP exchange Cryptophyl launched this year, which created an SLP-centric market that uses BCH as the base pair. Bitcoin.com also launched a cryptocurrency exchange this year and the trading platform has base BCH base pairs as well and supports SLP tokens too. In 2019, an SLP-centric exchange called Cryptophyl launched. The application Sideshift.ai became a popular crypto swapping platform in 2019 and also introduced a native token called SAI which uses SLP infrastructure and two other blockchains. BCH proponents were introduced to concepts like Cashscript, Nimbus, a prototype smart card that produces Bitcoin Cash signatures, Spedn improvements, an offline Bitcoin Cash sending tool called Be.cash, cashchannels, simple escrow contracts, and a formal specification proposal. Bitcoin Cash meetups have swelled across the world and they continue to be created in various countries nearly every single week. Popular applications have been introduced like the blogging project Read.cash and the uncensorable Memo platform has matured in 2019 as well. Bitcoin.com announced the launch of a $200 million fund to promote the growth of the BCH ecosystem. Merchant adoption in Australia has grown exponentially and there are plans underway to build a $50M Bitcoin Cash tech park in North Queensland. A new crypto resource emerged in Barquisimeto, Venezuela, called the Bitcoin Cash House for Venezuelans interested in learning about the benefits of BCH and cryptocurrencies. The Bitcoin Cash House initiative is also expanding to a number of countries in Africa. A video game called Realmx was built on top of the Bitcoin Cash blockchain this year. BCH charities grew significantly in 2019 and the nonprofit peer-to-peer food drive Eatbch celebrated its first anniversary. Eatbch has also made significant strides in Africa and the BCH community recently funded an Eatbch representative’s trip to Ghana. Bitcoin.com launched the peer-to-peer marketplace Local.Bitcoin.com this year. Overall, the Bitcoin Cash network has seen a slew of development and milestones this year and people are excited about what’s in store for 2020. A myriad of things happened this year when looking back at the BCH ecosystem’s growth over the last 12 months as it seems like something new is being announced on almost a daily basis. Despite what critics say about the network, there’s a whole lot happening in the BCH universe and proponents are quite pleased with the achievements. What do you think about everything that happened within the BCH ecosystem this year? Do you think 2019 was a good year for Bitcoin Cash? Let us know what you think about this subject in the comments section below. Image credits: Shutterstock, Various Crypto Company logos, Fair Use Pixabay, SLP, Cashshuffle, and Wiki Commons. Do you need a reliable Bitcoin mobile wallet to send, receive, and store your coins? Download one for free from us and then head to our Purchase Bitcoin page where you can quickly buy Bitcoin with a credit card. The post Bitcoin Cash 2019: Year in Review appeared first on Bitcoin News. View the full article

This is a paid press release, which contains forward looking statements, and should be treated as advertising or promotional material. Bitcoin.com is not responsible for or liable for any content, accuracy or quality within the press release. Fortune Star Digital Asset Fund (a professional Cayman Islands investment fund) has secured 3,547,437,988 LFE Cash tokens for its flagship digital asset fund that has been launched this week. The deal itself was completed by its parent group Fortune Star Investments Ltd way back at the LFE ITO closing. FSI have provided much needed working capital and guidance for the LFE management team since closing out the ITO. Fortune Star Digital Asset Fund has appointed fund administrator IFINA UK to act and has confirmed the fund has a three year lock up which IFINA UK have also confirmed independently. Sam Bratchie of IFINA UK stated: “Fortune Star Digital Asset Fund is another digital asset fund administered by IFINA UK and we are happy to have the opportunity to work with the sponsors of the fund. We are also permitted to confirm that the fund’s strategy is to hold their LFEC (LFE Cash tokens) for three years. The belief that the fund has in the LFE business model and ecosystem is plain for everyone to see.” When asked for comment Jim Aylward, Founder of the LFE added: “For us, having institutional backing in the LFE Cash token is a huge moment. It shows our retail token holders that the token has true scarcity value now. Furthermore, it also shows that management and the majority of token holders are in this for the long haul. We are very excited about what the future holds in terms of news and more developments.” Fortune Star Digital Asset Fund is managed by White Tiger Asset Mangement Ltd (Cayman) and is currently sat with $1.6B USD AUM after opening up at $800m USD AUM. White Tiger Asset Mangement portfolio manager Nathan Weiss added: “We are excited to announce the addition of LFE Cash to our Fortune Star Digital Asset Fund. The fund aims to hold for a minimum of three years in terms of LFE Cash, in line with our long-term value proposition. When you see the hard work and commitment that has gone into the LFE project it is great to see a result like this for founders, existing holders and the Fortune Star Digital Asset Fund with everyone’s interests aligned. We continue to seek out and add digital assets that complement the current portfolio holdings.” The LFE project has now gained considerable traction being one of the most top two hotly traded tokens on in its debut week of trading. Further announcements are expected imminently given the level of interest in the project and we are sure there will be more excitement to follow. LFECash (LFEC) is exclusively available on StellarX & Interstellar exchanges and is hotly tipped to continue its early success as the LFE plan to make huge announcements before Christmas. Contact Email Address sten@lfe-token.com Supporting Link https://www.lfe-token.com This is a paid press release. Readers should do their own due diligence before taking any actions related to the promoted company or any of its affiliates or services. 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 content, goods or services mentioned in the press release. The post Fortune Star Digital Asset Fund Locks Over 85% of LFE Cash Tokens appeared first on Bitcoin News. View the full article

Libra’s ongoing organizational snags and run-ins with regulators continue into December, as EU finance ministers agreed Thursday that Libra cannot be launched in the EU until concerns are adequately addressed. The finance ministers issued a joint statement citing regulatory “challenges and risks.” Also Read: Libra Testnet Fails to Impress as New Legislation Looms Lawmakers Still Reluctant Just last month news.Bitcoin.com reported on the “Managed Stablecoins are Securities Act of 2019,” proposed legislation in the U.S. which seeks to regulate libra as a security, going against Libra representatives’ stated vision for the project. Project head David Marcus has loosely compared Libra to something more like a Paypal-type payments platform. Though devs are reporting notable successes with the testnet, and a 2020 release is still in view, regulatory worries continue to crop up. Most recently, from EU finance ministers via the EU Council and Commission. The ministers agreed in a joint statement Thursday that: No global stablecoin arrangement should begin operation in the European Union until the legal, regulatory and oversight challenges and risks have been adequately identified and addressed. Like most official statements surrounding the Libra project thus far, the EU finance ministers are careful to give lip service to potential benefits. “Technological innovation can produce great economic benefits for the financial sector, promoting competition and financial inclusion, broadening consumer choice, increasing efficiency and delivering cost savings for financial institutions and the economy at large,” the statement reads. However, promotion of concepts like financial inclusion is soon tempered with commonly repeated regulatory lines when it comes to cryptocurrencies: At the same time, these arrangements pose multifaceted challenges and risks related for example to consumer protection, privacy, taxation, cyber security and operational resilience, money laundering, terrorism financing, market integrity, governance and legal certainty. The statement ends by turning the focus away from private solutions to state-sponsored initiatives like Central Bank Digital Currencies (CBDC) and praising the European Central Bank (ECB). “We note that the ECB and other central banks and national competent authorities will explore further the ongoing digital transformation of the payment system and, in particular, the consequences of initiatives such as “stablecoins”. We welcome that central banks in cooperation with other relevant authorities continue to assess the costs and benefits of central bank digital currencies…” Libra Struggles On The joint statement comes as the Commission is reportedly working on stablecoin regulation already, with VP Valdis Dombrovskis saying in a speech: “Today the Ecofin endorsed a joint statement with the Commission on stablecoins. These are part of a much broader universe of crypto assets … A number of Member States like France, Germany or Malta introduced national crypto asset laws, but most people agree with the advice of the European Supervisory Authorities that these markets go beyond borders and so we need a common European framework.” When the EU and governments worldwide will finally be ready for Libra, if ever, remains to be seen. As a large chunk of major league members have left the Libra Association already — such as Paypal, Visa and Mastercard in recent months — the project has no shortage of challenges as it continues pushing forward. What do you think of the EU Finance Ministers’ joint statement? Let us know in the comments section below. Images credits: Shutterstock. 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 EU Finance Ministers Place Defacto Ban on Libra appeared first on Bitcoin News. View the full article

Does the world need more stablecoins? Yes according to VCs, who have thrown hundreds of millions of dollars at projects developing stable or low volatility digital assets. The $45 million committed in 2019 takes the past two years of VC investment to over $200M. Also read: RBI Governor Discusses Crypto and Central Bank Digital Currency A Stable Full of Stablecoins Stablecoin projects need venture capital firms, just as VCs need crypto projects that have a high chance of gaining mass adoption – and stablecoins seem a safer bet than altcoins. Given that the nature of fiat-pegged digital assets precludes the possibility of price appreciation, a public token sale is off-limits. Instead, venture capital from crypto-focused investment firms, which often seek equity, is the preferred route to stablecoin funding. The following are just some of the stable or “stable-ish” digital currencies to have emerged this year through VC funding. Saga Saga (SGA) is a digital token designed to serve as a general purpose global currency. It’s backed by a basket of monetary reserves, which it will gradually gravitate away from through a monetary model that will constrict the circulating supply. Saga’s designers aim to create a low volatility coin with “dependable value,” governance, and compliance built in. The project, which is launching this month, raised $30M in 2018 with backing from Lightspeed, Mangrove Capital Partners, and Vertex Ventures. Terra Stablecoin project Terra raised $32M in 2018 with seed funding from the investment division of four of the six largest cryptocurrency exchanges including Binance Labs, Okex, and Huobi Capital. Terra is working on a stablecoin and blockchain payment solution which it’s integrating into the Terra Alliance, a Libra-like consortium of global ecommerce partners. Ava Labs Ava Labs, which exited stealth mode in May this year, has raised $6 million in seed. Although not a stablecoin, its DLT payment network is designed for fast asset settlement, including stablecoins, and fiat redeemable assets. Ava bridges private and public blockchains and enables customizable marketplaces to be created for deploying and exchanging assets in a compliant manner. The project is the brainchild of crypto academic Emin Gün Sirer. The Ava Labs CEO, who has Turkish heritage, took to Twitter on December 4 to highlight another new stablecoin – Bilira, a digital token pegged to the Turkish lira. Ampleforth Not a stablecoin and yet not a pure cryptocurrency, Ampleforth is designed to have low volatility, achieved through expanding and constricting the supply to control price. The project raised $9.8M in seed funding before holding an IEO in May and listing on Bitfinex. Monerium Blockchain-based e-money project Monerium raised $2 million this year, with participation from Consensys and Hof Holdings. The Icelandic startup intends to issue asset-backed e-money that’s transferred onchain, and redeemable for fiat. Paxos Standard The Paxos Standard (PAX) stablecoin was developed with the aid of $65M in Series B funding from the likes of RRE Ventures, Liberty City Ventures, and Jay Jordan in 2018. This followed a previous Series A round of $28 million. USDC Circle raised $100 million in spring 2018, with a tranche of this funding going towards creating and issuing its USDC stablecoin. The stablecoin has since been added to dozens of exchanges, wallets, and lending platforms, finding a place for itself in the cryptosphere, despite failing to land a punch on Tether, which still dominates the stablecoin market. In March, Circle revealed that it was hoping to raise another $250M in funding. Other stablecoin raises of note include xDai, which secured $500,000 in August from NGC Ventures, B-Tech, and Bixin Invest. Earlier this year, Kava Labs also secured $1.5 million for its USDX stablecoin, with funding from Ripple’s Xpring initiative and Coil. $200 Million and Counting VCs have invested over $205 million in stablecoin projects in the last two years, with $45 million of that total arriving this year. While more money was raised by stablecoins last year, the rate of new projects hasn’t alleviated. Many of this year’s new stablecoins have been issued by exchanges themselves, obviating the need for VC funding. Moreover, the $205M figure doesn’t include the VC money that’s being poured into Facebook’s Project Libra: in April, it was reported that $1 billion was being sought. With new stable and “stable-ish” coins set to launch, Libra in the works, and 69% of central banks working on CBDCs, the stage is set for an impending global currency war. Instead of pitting fiat currencies against the U.S. dollar, it will see digital tokens – some asset-backed, others collateralized, and others algorithmically controlled – compete for supremacy. Their compliant and regulated nature, however, means that whatever happens, they will not be capable of supplanting bitcoin. Do you think any of the forthcoming stablecoins has a chance of competing with Tether? Let us know in the comments section below. Images courtesy of Shutterstock and ICO Analytics. 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 Venture Capitalists Have Invested Over $200M in Stablecoins appeared first on Bitcoin News. View the full article

Pioneering crypto conference announces high-power, enterprise-savvy lineup. On January 16 and 17, 2020, the global Bitcoin and blockchain community will meet in Miami for the seventh year running to create the future of the industry. The North American Bitcoin Conference (TNABC) has hosted 20,000 attendees since 2013 and the ongoing show of support and community convergence from around the world continues to propel cryptocurrency from niche to mainstream. A key focus of the 2020 conference is enterprise and global adoption, delving into the ​commercial potential of blockchain. Attendees can also expect the traditional South Beach launch night to mingle with highly sought-after, international crypto names. TNABC has announced a lineup of over 60 world-class presenters, including technology veterans and founders of companies transforming finance across the globe. The second round of speakers includes: Francis X Suarez – City of Miami, Mayor Bobby Lee – Ballet, Founder & CEO Kathleen Breitman – Tezos & Coase, Co-Founder Jon Najarian – Market Rebellion, Co-Founder Bill Barhydt – Abra, CEO Brock Pierce – Blockchain Pioneer Andrew ‘Flip’ Filipowski – Fluree, Co-Founder Colleen Sullivan – CMT Digital, Partner and CEO Stefan Rust – Bitcoin.com, CEO Jenna Pilgrim – Streambed, CEO Perianne Boring – Chamber of Digital Commerce, Founder The two-day conference has announced further partnerships with VeriBlock, BnkToTheFuture and CryptoCurrencyWire. TNABC will focus on themes of investment, blockchain enterprise, legal implications and regulation, and how decentralization is disrupting international supply chains. TNABC has hosted crypto events in Miami for seven years and continues to give voice to the city as a LATAM-US crypto hub, with an innovative lineup, guest appearance from the Mayor and multiple satellite events. Miami Blockchain Week 2020 will begin with an extra special installment of community meetup ‘CryptoMondays’ at Bitcoin Center Miami and feature a job fair run by international student volunteers running alongside the the TNABC conference. A hackathon and executive dinners round out the highlights of the week. Keynote’s founder Moe Levin says, “This conference comes at a pivotal time, as innovation forces us all to make wise investing decisions. With an influx of new opportunities and new blockchain applications, Keynote wants to give our attendees the opportunity to meet the people and products they’ll be investing in and get a better understanding of the fast-expanding blockchain ecosystem. We’re also excited for our attendees to meet and interact with our sponsors and exhibitors, who number among the greatest blockchain companies active at the moment.” Tickets are available now at (btcmiami.com/tickets) For Sponsorship and Exhibiting information please email amy@keynote.ae About Keynote Keynote was launched in 2012 by blockchain strategist Moe Levin. Further information and details about Keynote can be found at keynote.ae For media inquiries, please contact lyndsey@keynote.ae Supporting Link https://www.btcmiami.com The post The North American Bitcoin Conference Returns appeared first on Bitcoin News. View the full article

Ebang, the ASIC chip and mining rig manufacturer based in Hangzhou, China is allegedly filing for an initial public offering (IPO) in the U.S. following Canaan’s recent Nasdaq listing and Bitmain’s secret IPO filing. The world’s third-largest bitcoin mining hardware manufacturer plans to follow Canaan’s footsteps with an attempt to be listed on the American stock exchange Nasdaq. Also read: Mining Giant Bitmain Confidentially Files for U.S.-Based IPO Ebang Plans to File an IPO in the U.S. Bitcoin mining has become an increasingly competitive industry and now three of the largest mining hardware manufacturers in China hope to leverage public offerings. Recently Canaan filed for IPO status in the U.S. and shares are already listed under the ticker NASDAQ: CAN. Further, during the last week of October, reports disclosed that Bitmain confidentially filed for a U.S.-Based IPO. On December 4, regional news outlets revealed that ASIC chip and mining rig company Ebang plans to file for IPO status in the U.S. in the near future. The partner at the blockchain venture capital firm Linkvc, Zhang Li detailed that he “confirmed” the IPO filing with the firm and “[Ebang] is planning to list on the Nasdaq as well.” “Go, go, China’s mining industry,” Zhang added. The local crypto publication 8btc reached out to Ebang, but the Hangzhou-based firm declined to comment on the matter. Created in 2010, Ebang claims to capture roughly 9.2% of the share of mining equipment sales worldwide. The Chinese firm also filed for an IPO status on Hong Kong’s stock exchange (HKEX), but let the filing lapse in June. Bitmain filed for an IPO in Hong Kong but let the filing expire as well. When Ebang filed for the Hong Kong IPO, sources said the company would attempt to sell its stock for $400 million. The HKEX filing database that show’s Ebang’s prospectus noted the company lost significant earnings in Q3 2018. “We experienced significant decreases in revenue and gross profit for the three months ended September 30, 2018, compared to the preceding three months ended June 30, 2018,” Ebang’s HKEX filing reads. The $400 million figure was reduced after the poor earnings during the crypto winter of 2018 when it was initially reported by Reuters in August that Ebang was seeking $1 billion. The mining manufacturer Canaan is now listed on Nasdaq, and Bitmain Technologies has allegedly filed for IPO as well. From Telecommunication Hardware to In-House ASIC Manufacturing It is currently unknown what Ebang will attempt to raise when it files in the U.S., but Canaan raised $90 million. Allegedly, Bitmain’s confidential IPO filing is shooting for $500 million and will use Nasdaq for listing as well. Ebang calls its mining device series ‘Ebit’ and the Ebit E11++ is the eighth most profitable bitcoin miner on the market today at current prices. The machine was launched in October 2018 and claims to process 44 terahash per second (TH/s) with 1980W off the wall. Ebang just sold out of the company’s latest release, the Ebit E12+ that processes 50 TH/s of SHA256 hashrate using its independently created 10nm chip called the “DW1233.” The Ebit E12+ sold for $2,410 per unit on the company’s webshop. The Ebit E11++ (44 TH/s) units are also sold out, but older Ebit models with lower hashrates can still be purchased. Initially, when Ebang was created, the company dedicated its efforts to manufacturing products for telecommunication firms, but later introduced Ebit bitcoin miners. The latest move to go public also follows Ebang’s partnership with the HKEX-listed company Madison in October. According to reports, Ebang signed an MOU with Madison and the company would acquire more than $100 million worth of blockchain-related hardware. What do you think about Ebang going public in the U.S.? What do you think about all three major Chinese mining manufacturers going IPO? Do you think this will help bolster the mining industry? 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 as 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, Ebang Communications, Canaan, 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 Mining Chip Maker Ebang Next in Line to File for US IPO appeared first on Bitcoin News. View the full article

Dozens of crypto funds, almost 70, have closed this year, a mainstream media outlet reported. And while the startling number reveals the influx of institutional investors into the crypto space might not be happening at a fast pace, it’s also worth noting that crypto fund launches are projected to reach 140 by the end of the year. That’s despite the prolonged 2018 crypto winter followed by an unstable recovery in 2019. Also read: European Banks Struggle With Low Interest Rates and Strict Regulations New Crypto Fund Launches Drop to Half the 2018 Number The figure that caught Bloomberg’s attention refers to the closures of crypto-focused hedge funds mostly catering to pensions, family offices and wealthy individuals. North America (28) and Europe (23) account for the bulk of the 68 closures in the face of continuing market volatility and regulatory uncertainty. At the same time, the number of new funds launched this year is less than half that of 2018, the business news agency points out quoting data compiled by Crypto Fund Research, a California-based provider of market data and intelligence. The platform’s analysis shows that the number of funds has been increasing in the long run, however. For example, 291 crypto funds, including hedge funds and venture capital, were launched in 2017, out of a total of around 700 hedge funds that year. The number increased with almost the same amount in 2018, which saw 284 crypto fund launches. For comparison, only 152 were established before 2014 and then the following three years saw between 36 and 46 launches annually. Although most crypto investment funds are small, with half of them managing less than $10 million worth of assets, there are almost 60 funds with over $100 million in assets and the same number of funds have more than 25 employees. These include funds such as Pantera Capital, Galaxy Digital Assets, Alhpabit Fund, and Polychain Capital. Total Assets Under Crypto Fund Management Grows According to Crypto Fund Research, the total amount of assets managed by crypto funds has increased last year, despite the falling market prices. The long term trend is positive with the value of crypto assets under management increasing from $190 million in early 2016 to over $19 billion as of October 2019. The market intelligence platform concludes that the crypto fund industry has been growing rapidly in the past few years. Despite the sharp fall of crypto prices during last year, the growth of new funds and fund inflows contributed to the rising total of managed assets in the sector. The volume of assets managed by these entities depends on several key factors such as the establishment of new funds, net inflows to existing funds and changes in the value of portfolio assets. The Cryptocurrency Fund Index, calculated by Crypto Fund Research using data from 50 funds, shows that in terms of growth crypto funds have generally outperformed leading cryptocurrencies since 2016 with the exception of periods with bull markets. There are currently 804 cryptocurrency and blockchain funds, 355 crypto hedge funds and 425 crypto venture capital funds, according to the San Francisco-headquartered company. Almost 400 crypto funds are based in the United States, followed by Hong Kong with 84, the United Kingdom, 55, and Switzerland with 26. San Francisco is the city that hosts the largest number of funds, 79, New York is second with 74 and the other global financial capital, London, comes in third place with 49. What are your expectations about the development of the crypto fund industry in 2020? Share your thoughts in the comments section below. Images courtesy of Shutterstock, Crypto Fund Research. 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 Almost 70 Crypto Funds Close This Year, Twice as Many Launch appeared first on Bitcoin News. View the full article

The crypto firm Circle recently revealed that it was spinning off the trading platform Poloniex and has since warned customers to withdraw assets or they may be sent to state governments. Following the announcement, the founder of the crypto network Digibyte (DGB), Jared Tate, explained he was extremely upset that his friend’s and family’s sensitive personal data “is now in the hands of [Poloniex].” Not too long after Tate’s tweet, the Poloniex Twitter account responded by denying ownership of U.S. customer data, and revealed the exchange would “delist DGB soon.” Also Read: Circle Warns Poloniex US Customer Assets May Be Sent to the Government Crypto Community Discusses Poloniex Delisting Digibyte ‘After Careful Review’ The trading platform Poloniex has been scrutinized lately after the over-the-counter (OTC) digital currency management firm Circle sold the exchange in October. After the spinoff, Frank Chaparro and Celia Wan asserted that “Tron founder Justin Sun is behind Poloniex’s spin-off.” Others in the crypto industry also assumed Sun had a hand in the crypto exchange purchase. At the time, Tron (TRX) founder Justin Sun denied being behind the exchange purchase, but on November 12 he admitted he was part of a group of investors behind the Poloniex acquisition during a live-streamed broadcast published on Twitter. Moreover, since Poloniex left the Circle umbrella, U.S. customers have been banned from using the platform and asked to withdraw coins by a certain date. Circle emailed its U.S. customers this week and detailed that it may charge dormant fees to people who don’t withdraw their crypto and digital assets may be sent to governments. After the news, Digibyte (DGB) founder Jared Tate took to Twitter and said he was not very happy about the situation. The tweetstorm also attacked the Tron (TRX) network and Tate called Poloniex a “TRX shill factory after making off with U.S. customers’ sensitive data.” After discussing his dislike for the crypto and the business move Tate wrote: I am royally pissed my personal data, my friend’s and family’s data and other U.S. Digibyte customers’ most sensitive data is now in the hands of this circus that is now Poloniex. Or the TRX shill factory as we should now call it. After a careful review, we decided #DigiByte is not qualified per our listing standard. We will delist $DGB soon. Details to be announced. — Poloniex Exchange (@Poloniex) December 5, 2019 Aggressive Strategy The tweets received a response from the Poloniex Twitter account after Tate accused the company of holding U.S. data. “We don’t own any U.S. customers’ data as all of them are preserved by Circle,” the Poloniex account replied to the Digibyte founder. “By the way, after careful review, we decided digibyte is not qualified for our listing standard [and] we will delist DGB soon — Details to be announced.” After the Poloniex account announced the exchange would delist DGB, the discussion became a hot topic on social media and crypto forums. The Block analyst Larry Cermak tweeted “What’s happening with Tron and Poloniex is an embarrassment — Please don’t delist me Poloniex.” Podcaster Udi Wertheimer explained how the controversy was great marketing. “Poloniex was a completely irrelevant exchange up until a few months ago. No one remembered it existed,” Wertheimer tweeted. “Now with a new eccentric owner, and an aggressive social media strategy, it’s everyone’s favorite topic. Watch and learn plebs.” Wertheimer is right that the community and the company’s decisions have made the Poloniex and Tron relationship a trending topic within crypto circles. The recent email from Circle and the announcement that the exchange will delist DGB also follows Poloniex’s acquisition of TRXmarket. The largest decentralized exchange (dex) by volume on the Tron network was purchased by Poloniex for an undisclosed sum. What do you think about Poloniex delisting DGB? What do you think about people criticizing the relationship between Poloniex and Tron? Let us know what you think about this subject in the comments section below. Image credits: Shutterstock, and Twitter. 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 Tron and Poloniex Relationship Scrutinized After Digibyte Delisting appeared first on Bitcoin News. View the full article

For some time now, I have been aware of a widespread fascination among many libertarians with Jim Bell’s “Assassination Politics” (AP). At my request, Robert Vroman has defended the merits of AP. In this article, I will argue that AP is just about the single worst idea that libertarians could advocate. Despite my misgivings, I thank Vroman for his article, so that AP sympathizers may be reassured that I am not attacking a strawman. **This following article is an opinion piece written by the economist and libertarian author Robert Murphy. “The Politics of Destruction” written by Murphy first appeared on anti-state.com on July 11, 2002, in response to “The Jim Bell System” written by Robert Vroman about assassination politics (AP). Vroman’s intro can be read here, and his response to Murphy’s critique can be read here. Murphy is well known for his work for LewRockwell.com and The Mises Institute, and his personal website at bobmurphy.net.** Now, before I get going, let me offer a serious note: It’s true, as alluded to by Vroman’s snide remark, that I have recently defended the merits of (qualified) pacifism. I realize that many libertarians find this stance hilarious and indicative of how much of a coward/wuss I personally must be. For the purposes of this debate, let me be clear: I am not at all relying on a pacifist philosophy, but merely the values held dear to most libertarians. I believe that one of the chief attractions of AP is that its proponents can sound like realpolitik tough guys; indeed, I think many people want AP to be practical. But such hopes must be put aside in a sober discussion over whether AP will in fact give libertarians the society they desire. The Jim Bell System For those readers who have never heard of Jim Bell’s proposal, and because Vroman abstracted from details that Bell himself deemed essential, let me summarize the original AP vision: (In the following I draw on Parts 1 and 3 of the Bell article linked above, though I have taken some liberties in the interest of clarity.) There would be two groups of people, the predictors and the patrons. The predictors would submit an untraceable (due to modern technology) “guess” to the AP administrators. The guess would contain an encrypted prediction of the exact date of the death of a certain individual. (The contents of the prediction would be unreadable, not only by the authorities but even by the AP administrators.) The patrons would send (untraceable and anonymous) digital cash donations specifying only the name of a certain individual. The administrators would hold the donations and publicize the totals accumulated next to each person’s name. Then, after a person on the list died, if anyone had sent in a correct prediction beforehand, he could send in the key needed to decrypt his original guess. The administrators would find that the key worked (i.e. the message would be unscrambled), and they would at that time see that the predictor had in fact correctly guessed the date of death of the deceased. The successful predictor would also specify the public key to be used to encrypt, as a digital cash payment, all of the accumulated donations associated with the now-deceased person. The appeal of AP is obvious: It would ostensibly allow people to pool their money and finance assassinations of hated political figures. The use of modern encryption techniques would make such financing completely anonymous and risk-free. Because even the administrators would never know the identity of the assassins, there would apparently be no way for the government to crack down on the system. “The Politics of Destruction” written by Murphy first appeared on anti-state.com on July 11, 2002, in response to “The Jim Bell System” written by Robert Vroman about assassination politics (AP). Now, Vroman has defended AP on two major grounds: First, he claims that it is inevitable; whether we like it or not, AP is coming. Second, he claims that AP should be cheered by libertarians as the source of their salvation. I dispute both claims. Despite the arguments of Bell and Vroman, I find the AP system completely impractical, and do not think anything like it will ever operate. (This is not to deny that modern encryption and e-currency trends will make traditional assassinations easier to finance. But this will not lead to a mass market in hits placed by the average consumer, which is the hallmark of AP.) Moreover, I will argue that if AP could somehow be made to work, then it would spell the downfall of modern civilization. The libertarian dream of a free society, where people’s property rights are respected, would be impossible in a world with AP. Why AP Won’t Work Supply Side Although the proponents of AP have done a good job defending it from perhaps the most immediate objections, nonetheless I find the proposal completely impractical. Now, I am no expert in the possibilities of anonymous digital cash payments, so I will concede for the sake of argument that this aspect of the system is as foolproof as Bell and Vroman believe. Even so, I think there are tremendous flaws that would prevent a workable AP system from arising. My most fundamental practical objection is this: To the extent that AP works as advertised, then no one could possibly use it. That is, if it really were the case that the AP administrators could collect millions of dollars in donations, and funnel them to completely anonymous assassins, then what would prevent the administrators from simply pocketing the money? After outlining his system, Bell asserts (in Part 3) that, “Potential future predictors are satisfied (in a mathematically provable fashion) that all previous successful predictors were paid their full rewards, in a manner that can’t possibly be traced.” But isn’t this statement contradictory? Suppose someone sends in a prediction, and takes out the target on the correct date. Then he sends in his claimant message (containing the key to unlock his encrypted guess), which is simply ignored by the AP administrators. Instead these unscrupulous organizers, who have previously flooded their own system with every possible prediction (and “paid themselves” the nominal fee for submitting each guess), act in whatever way is necessary to convince the public that they have paid off the assassin. In such a case, what is the cheated killer going to go? Complain to the police? (The reason drug dealers can carry on despite the lack of courts and police is that purchasers can inspect the product they’re buying. And whatever mechanisms the AP proponent comes up with to solve this problem – e.g. having a private, underground rating agency to which assassins can complain – what would prevent governments or other groups from registering phony complaints to discredit the system?) It thus seems to me that the AP administrators themselves would need to be publicly known. Unlike Vroman’s idea of a completely automated system, Bell recognizes this need. In an argument designed to prove that “ethical” AP organizations (i.e. ones that only target “deserving” people) would outcompete unethical ones, Bell says: Since both organizations will accept donations for “deserving” victims, while only [the unethical one] will accept them for “just anybody,” it is reasonable to conclude that [the latter’s] rates…will be higher for its donations….In addition, [the ethical organization] will become larger, more credible, believable and trustworthy, and more potential “guessers”…will “work” its system, and for lower average potential payments. (Bell Part 6, bold added) Now, to the extent that an AP system would require name-brand recognition to attract widespread donations, I think it is clear that governments could easily kill it in its infancy. It’s possible that smaller systems could continually spring up after each set of administrators is tortured (much as the court rulings against Napster won’t prevent teenagers from swapping songs), but the ostensible advantage of AP – the ability of hitmen to receive small contributions from millions of consumers – will never be realized. Incidentally, Bell himself admits that the realization of AP would require martyrdom on the part of the initial administrators. I offer the following as proof (and to show just how poorly Bell understands American society): Now don’t get me wrong. I’m not suggesting that EVERYONE would be identified. The “donors” to the system would remain perfectly anonymous, and the “guessers” would likewise be perfectly anonymous, but the organization itself would be made up of real people, who have published addresses, who have simply decided that they have had enough of the current system and are going to participate in a PERFECTLY LEGAL enterprise by the laws of the country, and just DARE the government to try to stop them….Suddenly, all the politicians would be put on the spot! Instead of being asked by the reporters for their position on the economy, pollution, the budget deficit, or some other thing, they’ll ask, “Why should the public NOT want to see you dead?” (Bell Part 10, CAPS original) Jim Bell, the author of Assassination Politics (AP). One of the most immediate responses of the government to the rise of an AP system also proves that Vroman’s idea of an automated administration is unfeasible. Imagine a credible AP system emerges, and the government can’t stamp it out of existence. The first thing that would happen is high-level officials would disappear from public sight (perhaps implementing the “shadow government” plans originally designed to counter nuclear or other attacks on Washington). After they had done this, how would the public know when a particular politician actually died? Even if the politicians inside underground bunkers were still liable to hits from their colleagues, the government would simply lie about the official time of death. So any automated AP system would conclude that the “winning” prediction was, in fact, a losing one, since the computer would have no way of knowing the true date. Demand Side Simply put, I don’t think Vroman or Bell realize just how nutty and horrible the AP idea seems to the average American. Especially if the government institutes a standing penalty of, say, a mandatory twenty-five years for placing an AP donation, I don’t think we will have the millions of small donations that AP requires. The situation would be a prisoner’s dilemma: No individual donation of $10 or even $100 is going to make the difference between a target being killed or not, and so there would be no reason for the average person to use AP. The fact that the donations could be made “safely” is not enough; the government would surely institute eavesdropping measures and would punish anyone who even visited AP sites. As a final note on the impracticality of AP, let me ask, Why hasn’t it happened yet? Bell was discussing the “inevitability” of his system back in 1996. The technology it requires is supposedly already here. So why haven’t the heads started rolling? Why AP, If it Worked, Would be Horrible So far I have expressed serious doubts about the practicality of the AP system. But let’s grant for the sake of argument that it could function the way Bell and Vroman believe. I contend that such an occurrence would be horrible from a libertarian perspective, and would, in fact, spell the downfall of Western civilization. Most obvious, there is nothing in the AP system to restrict its targets to politicians or others “deserving” death. Think of the power the AP option would grant to labor unions (or the NAACP for that matter). Bell claims that his proposal “would make being an abusive government employee an extremely risky proposition. Chances are good that nobody above the level of county commissioner would even risk staying in office” (Bell Part 2). And by the same token, a functioning AP system would make being a cost-cutting corporate executive an extremely risky proposition. Chances are good that nobody above the level of personnel manager would even risk holding his job. At the slightest inclination of a proposed layoff, the shareholders of the company in question would be snuffed out. Business would come to a standstill. To the extent that AP could make coercive government prohibitively costly, so too would it render the system of private property obsolete. (And again, whatever countermeasures the AP advocate proposes to protect private officials, could be used tenfold by government officials.) Despite its claims, a functioning AP system wouldn’t eliminate government. There are very few people in the world with the skill to execute, say, the Prime Minister of England. The “Mafiosos, Hell’s Angels, Islamo-fascists, McVeigh acolytes, etc., plus a virtually bottomless supply of standard small time thugs and starving junkies,” whom Vroman views as the vanguards of freedom, would be completely unable to penetrate the enhanced security surrounding federal officials in an AP-world, no matter how high the bounties. Rather than delivering us the heads of the masterminds of the New World Order, AP at best would pick off the mid-level bureaucrats. (The proponent may point out the cliché that no one can stop an assassin who is willing to die. That may be, but if the AP hitman is killed, then the government will know who he is, and will have no qualms in arresting his entire family and circle of friends. So we see that a common claim for AP – that it will allow suicidal assassins to execute contracts and specify beneficiaries to receive the millions in bounties – is foolish.) The response of Bell and Vroman to this objection (that AP won’t be limited to the “bad guys”) is typical of the flippancy with which they propose mass murder. Vroman says, Fear not, because AP only recognizes the power of the dollar, and unless someone, somewhere is willing to part with a small fortune in order to doom the [relatively harmless] government peon, he is probably just as safe as every other person listed in the phone book. In the first place, this is little consolation for the “government peon,” since everyone in the phone book is only a point-and-click away from having a bounty on his head. But more serious, Vroman has here grossly misled the reader: The entire appeal of AP is that it doesn’t require a “small fortune” from anyone; rather, it requires small donations from large numbers of disgruntled people. Presumably, hundreds of thousands of people would be willing to pay $10 to see, say, Eminem or Barry Manilow removed from public service. If Vroman denies the profitability of these assassinations (or of the rude clerk at the local DMV), then he should stop claiming the profitability of hits on government personnel, who will spend millions and even billions of dollars to defend themselves. (Keep in mind that the primary reasons a person can’t currently take out a contract on, say, his boss after being fired is that (a) he wouldn’t know where to go to hire a trustworthy hitman and (b) the police would know who had a likely motive and would probably be able to discover the identity of the assassin through interrogation. But if AP worked as advertised, someone could place, say, a $5,000 bounty on a regular Joe’s head, and a completely unrelated assassin – who has never even met the financier and is thus completely safe – could fulfill the contract. In the world of AP, people would be dropping like flies.) In the same vein, Bell pooh-poohs the fear that his system could get out of hand. In an apparent demonstration of his intellectual honesty, Bell tells his reader of an initial worry that he later deemed illusory: I thought, suppose a person used this system as part of a sophisticated extortion scheme, in which he sends an anonymous message to some rich character, saying something like “pay me a zillion dollars anonymously, or I put out a digital contract on you.” For a while, this one had me stumped. Then, I realized that an essential element in this whole play was missing: If this could be done ONCE, it could be done a dozen times. And the victim of such an extortion scheme has no assurance that it won’t happen again, even if he pays off, so ironically he has no motivation to pay off the extortion….If making the payment can’t guarantee to the target that the threat is removed, he has no reason to make the payment. And if the target has no reason to make the payment, the extortionist has no reason to make the threat! (Bell Part 6) The visionary Bell has apparently not realized that this same game-theoretic reasoning “proves” why rich people are invulnerable to blackmail and kidnappers. Ironically, the real reason AP should be anathema to libertarians is that its creation would be the best thing to happen to the government. Look at how much raw power the American people have granted the federal government since the 9/11 attacks. What Vroman and Bell fail to realize is that average people will not look kindly upon the assassinations of the “leaders” for whom they voted in the previous election! “The Politics of Destruction” written by Murphy first appeared on anti-state.com on July 11, 2002, in response to “The Jim Bell System” written by Robert Vroman about assassination politics (AP). The alleged virtues of AP would allow the government to do whatever it wanted. For example, Vroman believes the AP administrators would have an easier time than drug dealers, since there is no physical evidence. But by the very same token, it would be much easier to frame people on false charges of AP activity. The government could lock up anyone at all, and claim that it had “reliable” evidence of the suspect’s “electronic terrorism.” Civil liberties groups would demand to know what this evidence was, but the government would patiently explain that to reveal such information would compromise its ability to fight the clever AP computer whizzes. Anyone who thinks the public would object is a fool. (Of course, the government wouldn’t even need to lock up political enemies, and suffer the bother of criminal trials. It could simply take out a contract within the AP system itself.) On this point, Vroman says: But then what if the State, facing imminent destruction, lashes out blindly and tries to shut down the friggin internet? Or what if they establish martial law in the scariest uber-polizei-stadt since Adolf was dancing jigs? These and other Orwellian nightmares are possibilities. However, one must consider that any path to anarchism will eventually take us to a point to where the State is cornered and crazed, and thus this is not the fault of AP. This is simply not true. Even overlooking the breezy dismissal of martial law, we see that Vroman completely misunderstands the role of public opinion in curbing the power of the State. The reason we have enhanced FBI powers this year, rather than last, is that the American people had the crap scared out of them by the 9/11 hijackers. And if AP ever started, the American public would be absolutely scared shitless and would grant the federal government unprecedented powers. On the other hand, if we adopt the commonplace and admittedly humdrum tactic of persuasion, we can effect a bloodless revolution. The Soviet Union fell without the horrors Vroman claims are inevitable. We can do the same with the American federal government. Conclusion Libertarian anarchists must realize that the absence of a functioning government is not a sufficient condition for a free society. As critics are quick to point out, there are “lawless” areas in Colombia and Somalia that have no effective government. And if we look at human society before the rise of the State, we certainly do not see an exact model for the world we desire. The only way to achieve a truly free society is to convince the vast majority that property rights must be respected with no exceptions. That is, people must realize that theft is theft, even when 51% endorse it. People must come to realize that murder is murder, even when duly elected “representatives” order it – or when thousands of people pay for it. Any honest proponent must admit that even if AP works as advertised, it will take many years to completely kill off the State. In the meantime, we will have a generation who sees nothing unusual with assassinations of famous people – not just politicians but movie stars, businessmen, models, and anyone else envied or hated by the masses. Such a society could not possibly believe in the sanctity of property rights, or take seriously the non-aggression axiom. I will close with an analysis of Vroman’s response to this objection: If society degenerates to the point that putting a $100 bet on someone dying tomorrow results in a very real possibility that you will be right, then this would imply that AP players are so widespread and killing so unremarkable, that you might as well just whack the person yourself and save the C-note. At this point, AP will fall into disuse for being an unnecessary middleman in the homicide business, except for those rare hard to find targets, as was its original purpose. Therefore, AP has a feedback loop that prevents it from being practical as a means of facilitating petty murders. And by the same token, if we were to achieve anarchy by using nuclear devices to wipe out all the politicians (as well as millions of innocent people and modern civilization), then the survivors would find the further use of nuclear devices impractical. What do you think about Robert Murphy’s essay ‘The Politics of Destruction’? Let us know what you think about this subject in the comments section below. Op-ed Disclaimer: The opinions expressed in this article are the author’s own. Bitcoin.com is not responsible for or liable for any opinions, content, accuracy or quality within the Op-ed article. 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. This article is a reprint of an archived editorial that was originally published on July 11, 2002. Image credits: Shutterstock, anti-state.com archive links, Pixabay, Fair Use, and Wiki Commons. 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 The Politics of Destruction appeared first on Bitcoin News. View the full article

European Central Bank (ECB) executive board nominee and member of the German Council of Economic Experts, Isabel Schnabel, recently remarked at a European Parliament hearing that “This scapegoating [of the ECB] is extremely dangerous: it may damage the trust in the euro.” Schnabel was speaking out in defense of negative deposit rates being employed as a result of ECB policy. The German economist also remarked that “we cannot expect that the general population understands what the ECB is doing.” Also Read: ECB President: ’We Should Be Happier to Have a Job Than to Have Our Savings Protected’ Negative, Nominal and Real Rates While some may indeed be unaware of the difference between nominal and real interest rates, the fact that Isabel Schnabel defends unorthodox monetary policy like NIRP by insulting the average European’s intelligence is a little more than troubling. She remarks: “In Germany, and I guess also in other countries, there’s now this debate about deposit rates turning negative. Nominal rates turning negative.” Schnabel goes on: As economists we know that what really matters are the real rates. But I would say, I don’t know, 90% of the population are probably not aware that there is such a distinction. And therefore we also need an effort to improve financial literacy. Even using real rates (rates that account for the projected effects of inflation) endless borrowing and debt creation — and the implementation of lower and lower nominal rates — still signal the same reality. An economy being backed against a wall. The ECB’s current record low deposit interest rate of -0.5% is affecting savers and lending institutions throughout Europe. More Out of Touch Admonitions from ECB Officials Newly installed ECB president Christine Lagarde also echoed this reality in October when she chided in similar condescending fashion that “We should be happier to have a job than to have our savings protected.” Lagarde also attempted to guilt the Dutch and German governments for holding on to their surpluses. While easy for a well-to-do lawyer like herself to proclaim, those Europeans struggling just to make ends meet and put away a little money for the future might not feel the same. Schnabel augments this aloof, disconnected narrative claiming: The discussion in Germany is worrying me a lot because it has become quite aggressive … The narrative that the ECB is expropriating the German saver is clearly wrong. This is interesting, as the expropriation would be rather simple to illustrate, as is the steady devaluation of the euro worrying savers. Aggressive attitudes may seem understandable where rhetoric about attractive employment rates, progressive NIRP policy, and the effectiveness of the ECB often fall on the jaded ears of those working multiple part time jobs to barely keep their heads above water, if at all. In the view of expert economist Schnabel, the whole resistance to negative rates simply stems from a lack of financial literacy. “Therefore if I am confirmed, I would really make this [education] one of my clear priorities,” she remarked at the hearing. If confirmed, Schnabel would replace Sabine Lautenschlaeger on the executive board. Lautenschlaeger, who opposed continued stimulus, resigned in September. The Crypto Alternative A segment of this financially illiterate “90% of the population” not entirely convinced by Schnabel’s arguments, are looking to cryptocurrencies as a means to hedge against potential economic disaster and the fickle whims of ECB policy. Instead of simply taking Isabel Schnabel’s word, some Germans are holding crypto, and trade on non-KYC/AML peer-to-peer platforms like local.bitcoin.com. Also noteworthy is the recent passing of a bill which will allow the country’s banks to deal in crypto starting in 2020. While negative rates could then easily be passed on to holders of bitcoin with established banks, the currency nonetheless is limited in supply (unlike the euro), and can ultimately be withdrawn and used autonomously by the holder, regardless. What do you think of Schnable’s remarks? Let us know in the comments section below. Images credits: 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 ECB Nominee Blames Resistance to Negative Rates on Financial Illiteracy appeared first on Bitcoin News. View the full article

Crypto financial services company Blockfi has launched a trading platform supporting three cryptocurrencies. The new offering adds to the company’s existing services: interest-bearing accounts and crypto-backed loans. Blockfi has completed registration with the U.S. Financial Crimes Enforcement Network and expanded its state licenses to cover both lending and money transmission. Also read: Bitcoin ATMs Installed at 5 Major Malls in the US Trading Platform Launch Blockfi announced Thursday the launch of its crypto trading platform for individual and institutional investors. “Blockfi Trading will initially allow holders of cryptocurrencies to seamlessly trade between bitcoin, ether and the Gemini dollar (GUSD) within the Blockfi platform, subject to geographic availability,” the New Jersey-based company explained. CEO Zac Prince commented, “To date, we have focused on providing products to existing crypto investors that are readily available to investors in other asset classes,” elaborating: With the launch of trading, we are taking a big step in the direction of enabling net new investors to come into the ecosystem. A sample screenshot of the Blockfi trading platform. “Growth of the crypto market overall benefits the entire industry and we’re excited to shift our focus in that direction,” the CEO opined. According to the announcement, trades are fee-free and executed immediately based on current market prices. “Blockfi aggregates liquidity to offer seamless trade execution and pricing. The rates displayed when you place a trade reflect the price you will pay with no additional fees,” the company clarified. Fiat support will be added at a later date. In addition, USDC and litecoin are expected to be supported in early January. In preparing to launch the trading platform, Blockfi completed registration as a money services business (MSB) with the Financial Crimes Enforcement Network (Fincen), a bureau of the U.S. Department of Treasury. The company also expanded its “state licensing strategy to include money transmission licenses in addition to its existing state lending licenses,” Thursday’s announcement reveals. Blockfi services customers worldwide, including 47 U.S. states. In April, the company began offering its flagship product, the Blockfi Interest Account (BIA), to retail and institutional investors in India. Blockfi has backing from investors such as Galaxy Digital, Susquehanna, Akuna Capital, Fidelity, Recruit Strategic Partners, Consensys Ventures, Sofi, Coinbase Ventures, CMT Digital, and Morgan Creek Digital. Interest-Bearing Accounts and Crypto-Backed Loans Prior to launching the trading platform, the company has two key products: the Blockfi Interest Account and U.S. dollar loans secured with crypto. Clients’ cryptocurrencies are deposited into a custodial account at Gemini, a trust company regulated by the New York State Department of Financial Services. “Blockfi pays interest rates up to 8.6% for balances held in BIA and an ability to borrow via loans at rates as low as 4.5%,” the company’s website describes. The Blockfi Interest Account’s annual percentage yield chart. The Blockfi Interest Account lets customers earn compound interest on their BTC, ETH, and GUSD with no minimum balance required. Interest is compounded monthly and paid at the beginning of every month. The annual percentage yield (APY) for 0-10 BTC is 6.2%, which reduces to 2.2% for amounts greater than 10 BTC. For ETH, the APY is 4.1% for 0-1,000 ETH and 0.5% for amounts over 1,000 ETH. For GUSD, the APY is 8.6%. Blockfi allows customers to choose the currency of their interest payments through its product called Interest Payment Flex. For those wanting to earn interest on their BCH, Bitcoin.com has partnered with financial services platform Cred to offer up to 10% interest on BCH and BTC holdings. For crypto-backed loans, Blockfi’s customers can use BTC, ETH, or LTC as collateral and borrow up to 50% of the asset value in USD for 12 months. The starting interest rate is 4.5%. For example, 7.05 BTC is needed as collateral for a loan amount of $25,000. Loans are funded in USD, GUSD, or USDC directly into clients’ bank accounts or wallets. Customers can make monthly interest-only payments in dollars or cryptocurrency. What do you think of Blockfi launching a trading platform? 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 as 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 Blockfi. 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 Blockfi Launches Crypto Trading Platform appeared first on Bitcoin News. View the full article

The governor of the Reserve Bank of India (RBI), Shaktikanta Das, spoke about cryptocurrency during a press conference on Thursday. He also talked about the prospect of an RBI-issued digital currency, when the time will be right for issuing one, and his view on private digital currencies. Also read: Indian Supreme Court Wraps up Crypto Hearing for the Year RBI Governor’s View on Cryptocurrency RBI Governor Shaktikanta Das reportedly talked about cryptocurrency and central bank digital currency (CBDC) on Thursday at a customary post-policy press conference. The governor “made it clear that the RBI is completely against private digital currency, asserting the sovereign’s right over this function,” PTI reported. Das was quoted as saying: The world over, central banks and the governments are against private digital currency because currency issuance is a sovereign function and it has to be done by the sovereign. Shaktikanta Das, Governor of the Reserve Bank of India The RBI has never been friendly to cryptocurrency. In April last year, the central bank banned financial institutions from providing services to crypto businesses including exchanges, forcing some of them out of business. The ban went into effect three months later. A number of crypto industry stakeholders filed writ petitions with the supreme court challenging the ban but the case is still ongoing. The court is scheduled to resume hearing the case on Jan. 14, 2020. Das’ statements also echo the bill drafted by the interministerial committee (IMC) tasked with studying all aspects of cryptocurrency and providing recommendations. The committee, headed by former Secretary of the Department of Economic Affairs Subhash Chandra Garg, submitted the draft bill entitled “Banning of Cryptocurrency and Regulation of Official Digital Currency Bill 2019” to the Ministry of Finance in February. After it was made public in July, Garg tweeted: “Private cryptocurrencies are of no real value. Rightly banned.” When RBI Will Issue Digital Currency Regarding whether the RBI is looking into issuing a central bank digital currency, Governor Das said on Thursday that “It is very early to speak on a central bank issuing digital currencies,” PTI further reported. “Some discussions are going on. Technology has not fully evolved yet. It is still in very incipient stage of discussions and at RBI we have examined it internally,” Das revealed, elaborating: As and when the technology evolves with adequate safeguards, I think it is an area where the Reserve Bank will certainly look at seriously at an appropriate time. The draft bill to ban cryptocurrency has a section on central bank digital currency and its proposed legal framework. The IMC is of the view that “it would be advisable to have an open mind regarding the introduction of an official digital currency in India,” its report reads. The bill defines digital rupees as “a form of currency issued digitally by the Reserve Bank and approved by the central government to be legal tender.” The IMC has recommended that the government, “in consultation with the Central Board of the Reserve Bank, may approve [the] digital rupee to be legal tender with effect from such date and to such extent as may be specified.” In 2017, there were reports of the Indian government considering issuing state-run digital currency called Lakshmi. The Indian government told the supreme court in August that it planned to introduce the aforementioned bill in the Winter session of parliament but it ended up not being on the agenda. Meanwhile, the crypto community in India strongly believes that the bill is flawed and has been campaigning to convince the government to reevaluate the bill and the IMC’s ban recommendations. In October, Das and Finance Minister Nirmala Sitharaman answered some questions regarding cryptocurrency, stablecoins, and Facebook’s Libra at an IMF and World Bank meeting. What do you think of the RBI governor’s view on cryptocurrency? Let us know in the comments section below. Images courtesy of Shutterstock and CNN. 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 RBI Governor Discusses Crypto and Central Bank Digital Currency appeared first on Bitcoin News. View the full article

Ukrainian crypto companies can now receive up to $75,000 each in the form of government sponsored grants. A special fund set up by the authorities in Kiev is already accepting applications from startups in various high tech sectors including the blockchain industry. Over $1.5 million will be distributed by the end of the year. Also read: Russian Tax Authority Registers Crypto as Part of a Company’s Capital New Fund to Spend $18M on Innovative Projects The new Ukrainian Startup Fund, described by its website as a national investment program that will finance the country’s most talented entrepreneurs, will serve as an instrument to support startups after their launch. It will spend 440 million hryvnia (over $18 million) for that purpose, Ukraine’s Prime Minister Oleksiy Honcharuk announced this week. Ukraine’s Prime Minister Oleksiy Honcharuk Part of the funds will be allocated by the end of this year, the head of the Ukrainian government said during a press conference, Forklog reported. Approved applicants will receive a total of 40 million hryvnia, approximately $1.6 million in 2019, while another 240 million hryvnia, over $10 million, will be distributed in 2020. Each accepted project will be eligible for state funding of up to $75,000, Honcharuk detailed. Only Ukrainian business projects oriented toward profit and which are in their early stages will be able to take advantage of the grants. Projects from innovative fields such as artificial intelligence, robotics, big data, software development, and most notably blockchain will be prioritized. It’s also worth noting that the Ukrainian government will have a limited role in the selection process with only two representatives in the fund’s seven-member supervisory board. The other five members are elected by the private sector. Ukraine to Obtain Crypto Know-How From Belarus The current administration in Kiev, under President Volodymyr Zelensky, includes many young professionals and is working together with the country’s business circles. It has taken steps to support innovative industries and renewed efforts to legalize and regulate economic activities related to cryptocurrencies. Ukrainian Government Building The Ukrainian government has recently signed a memorandum with the crypto exchange Currency.com to cooperate on the drafting of new crypto and IT legislation. The trading platform is a resident of the Belarus High Technologies Park, a special economic zone providing preferential treatment and tax exemptions to entities from the digital asset industry. Currency.com experts, who previously advised the executive power in Minsk on crypto matters, have now joined a working group at Ukraine’s Ministry of Digital Transformation. Representatives of the ministry, a multi-partisan parliamentary group called ‘Blockchain4Ukraine’ and members of the industry have prepared several draft laws regulating different aspects of the crypto space. The bills concern the taxation of cryptocurrency transactions and the tokenization of other assets as well as the implementation of blockchain technologies in government registries and the introduction of AML and CFT procedures in accordance with the FATF standards. What do you think about Ukraine’s plan to support crypto startups with government grants? Share your thoughts on the subject in the comments section below. Images courtesy of Shutterstock. 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 Crypto Startups to Get up to $75,000 From the Government of Ukraine appeared first on Bitcoin News. View the full article

As part of its release of the cryptocurrency exchange Poloniex, Circle may begin charging fees to Poloniex US customers. And the company warns that any unclaimed digital assets, those in dormant accounts, may be sent to state governments, consistent with relevant regulations for abandoned property. Also Read: Circle Drops Poloniex Leaving US Crypto Traders High and Dry Time Is Running out for Poloniex US Clients Circle, which specializes in digital assets and over-the-counter swaps, announced in October that it had decided to sell the cryptocurrency exchange it controls and that American customers will no longer be able to trade on the platform starting on November 1, 2019. Now the company is urging Poloniex US customers who have not yet done so to withdraw their assets as soon as possible before it may begin charging fees on their accounts. Circle explains that there are two fees Poloniex US customers who do not withdraw their assets may be subject to: a monthly service fee while a user continues to have assets stored on the platform, and a one-time dormancy fee when an account becomes dormant per the terms of the applicable regulations. Additionally, the company warns that unclaimed digital assets may be sent to state governments, in accordance with the relevant regulations. According to Circle’s plans, on December 16, 2019, it will shut down the existing Poloniex US site and end all access to existing wallets on the platform. All of the cryptocurrencies still in Poloniex US wallets on that date will be traded over some time into the dollar-pegged stablecoin USDC. The company plans to launch a new withdrawal site for customers in the first half of 2020, and then it may charge a service fee for the USDC funds stored on the new site. Regarding cryptocurrency that won’t be claimed by former clients it warns that “Assets in dormant accounts may be sent to the account holder’s state, consistent with regulations for abandoned property. Poloniex US also may charge inactivity fees prior to sending abandoned property to a state consistent with applicable regulations.” The company stated in a blog post: “Poloniex US customers must withdraw their assets before December 16, 2019. If Poloniex US customers don’t withdraw their assets before then, they’ll face several actions: They’ll lose direct access to their Poloniex US accounts. Their assets will be traded into and stored as USDC. They may be charged a monthly service fee and/or a one-time dormancy fee.” Luckily, the company reassures Poloniex US customers that they will never be charged more than their total account balance. What do you think about Circle possibly sending Poloniex US clients’ assets to the government? 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 Circle Warns Poloniex US Customer Assets May Be Sent to the Government appeared first on Bitcoin News. View the full article

It’s impossible to assess the cryptocurrency landscape without considering Binance. It looms large over the industry, dictating trends, soaking up liquidity, and compelling new exchanges to fight tooth and nail for market share. Most exchanges aren’t gunning to become the next Binance. But they must all exist in its shadow while striving to carve a niche of their own. Also read: New List Claims 1.9 Million Bitcoin Held by Centralized Exchanges Binance Is a Giant That Won’t Stop Growing This week, a new exchange ranking system revealed that 1.9 million BTC worth around $14 billion is stored on centralized exchanges. A good chunk of that resides with Binance, where 2.5 million trades are conducted daily. Earlier this year Binance made headlines when it moved $1.3 billion of BTC in a single transaction. Its spot exchange dwarfs the competition, though its futures exchange which launched in September still lags behind the market leaders. Companies made their first $1 Billion. @binance:2 years 👏@Google:5 years@facebook:6 years@Spotify:8 years@Dropbox:10 years@netflix:10 years@Apple:14 years@Microsoft:15 years@intel:16 years@WaltDisneyWorld:69 years@IBM:79 years U can avoid but can't ignore @binance — Shariq (@shariq911) December 3, 2019 Barely a day seems to go by without Binance rolling out a new product or feature. This week, for instance, it announced zero-fee tezos staking. The move was seen as a direct challenge to custodians such as Coinbase, which charges 25%, and Gate.io which charges 33%. “Staking will become a user acquisition service similar to what Coinbase Earn is doing,” ventured The Block’s Larry Cermak. “Exchanges will eat the costs to attract new customers.” New Exchanges Are Having to Get Creative New exchanges looking to lure customers from giants such as Binance, Coinbase, and Huobi face a dilemma: should they emulate the formula that’s worked so well for Binance, or chart a different path and pray their boldness pays off? Stormgain is a new crypto exchange that finds itself in this unenviable position. Its CEO Alex Althausen told news.Bitcoin.com that exchanges that replicate the status quo are setting themselves up to fail, saying: “The market doesn’t need another dozen Binance or Coinbase clones. There’s nothing wrong with introducing features that have proven to be successful elsewhere, but your exchange needs to have a USP that will enable it to make a name for itself.” “With Stormgain, we’ve focused on giving traders tools that will empower them to make smarter decisions, and to ultimately increase their profitability. This includes things like free demo accounts to simulate trading, including the use of margin with up to 100x leverage, and trading signals for specific cryptocurrencies, which are directly integrated into the trading platform.” Emirex is a Dubai-headquartered company that oversees Bitcoin Middle East Exchange as well as Digital Commodities Exchange for tokenized commodities. Its co-founder Irina Heaver told news.Bitcoin.com that there is still room for emerging exchanges to prosper through focusing on the needs of regional investors. “There will always be a need for global exchanges,” she said, “but they will struggle to adapt to meet the needs of traders in specific jurisdictions. We’ve found through listening to the concerns of our customers that there’s a demand for services that cater to their technical ability, product familiarity, languages and fiat currency requirements.” “Localization and understanding the uniqueness of the local markets is the key. From liaising with businesses in the Middle East, and fielding demand for tokenized representations of traditional assets such as commodities, for instance, we’ve been able to create a platform that’s tailor-made for that, and are now expanding into trading tokenized bonds and sharia compliant sukuks. This is something which international exchanges simply aren’t equipped to do.” Has Binance Become Too Big to Fail? Four days ago, Upbit became the seventh major exchange to be hacked this year when $50 million was drained from its ETH cold wallet. In May, Binance suffered a similar fate, losing $40 million of cryptocurrency. That was small change to the exchange, but given the amount of cryptocurrency it holds, including staking and lending assets, it remains a prime target for attackers. Binance has since tightened up its procedures, but if lightning were to strike twice and strike harder, the crypto market would react accordingly. If you had to keep your #bitcoin on an exchange for a year, pick one. — sicarious (@Sicarious_) November 28, 2019 The ideal solution is for users to store more of their crypto in noncustodial wallets and for decentralized exchanges to improve to the point where they can compete with CEXs. For now, the best that can be hoped is for traders to avoid putting all their eggs in one basket. Smaller exchanges carry their own security trade-offs, naturally, and it will take time for newer entrants to build up trust and liquidity. Of course, it’s easy to criticize the king. Centralization concerns aside, Binance is widely regarded as a net good for the cryptosphere, having improved the landscape in a wealth of ways. Nevertheless, bitcoiners have reason to remain wary of exchanges that become “too big to fail.” Years ago, another exchange held that mantle. Its name was Mt. Gox. Do you think Binance has gotten too big? 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 as 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. 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 Cryptocurrency Exchanges Are Fighting to Escape Binance’s Shadow appeared first on Bitcoin News. View the full article

The MLM monitoring publication behindmlm.com revealed on Dec. 1 that the infamous Ponzi scheme Onecoin’s website onecoin.eu has gone offline. According to the domain host Eurid, the onecoin.eu domain name is currently “under legal investigation.” Onecoin’s website going offline follows the recent arrest of the operation’s cofounder Konstantin Ignatov. Also read: Part Deux! Onecoin Buyer Beware: The Definitive Ponzi Exposé Onecoin Operations Come to a Halt For five years the Onecoin Ponzi, a scam that was promoted as a cryptocurrency, managed to attract more than $4 billion worldwide from investors. The multi-level marketing (MLM) scheme was created by Ruja Ignatova, her brother Konstantin Ignatov, and Sebastian Greenwood. News.Bitcoin.com reported on the Onecoin scam on various occasions releasing multiple exposés on the Ponzi’s destruction. Ruja Ignatova and her associates told Onecoin investors there was a Onecoin blockchain and the product was a real cryptocurrency even though the technology never materialized. Ignatova even told a crowd one evening that Onecoin was a “Bitcoin killer” and that someday it would eclipse the cryptocurrency in value. However, the last two years haven’t been the best of times for Ignatova and her Onecoin coworkers as multiple three-letter law enforcement agencies have been clamping down on the Ponzi’s operations. Ruja has disappeared from the limelight after purchasing a mansion and a yacht. In October 2018, Gerald Rubsam, a general prosecutor based in Bielefeld, Germany, working on the Onecoin investigation told the press: We have no information on where Ruja Ignatova is currently at the moment. Onecoin cofounder Konstantin Ignatov. In more recent days things have worsened for the Onecoin crew as Ruja’s brother and Onecoin founder Konstantin Ignatov was arrested in March 2019. Ignatov was released on bail after his arrest at Los Angeles International Airport (LAX) and reached a plea deal in October. The Onecoin cofounder pleaded guilty to money laundering and fraud. He also managed to receive criminal tax violations and won’t “face further criminal charges,” according to statements from Inner City Press journalist Matthew Russell Lee on Nov. 14. However, the tax violations and fraud could see Ignatov sentenced up to 90 years in prison. Additionally, documents show that his cooperation with global law enforcement could “reveal activities of individuals who might use violence” against him. Allegedly, the investigation documents highlight that if Ignatov does no prison time, he could apply to the U.S. witness protection program and change his identity. Onecoin cofounders Ruja Ignatova and Sebastian Greenwood. Multiple Onecoin Websites Suspended Following Russell Lee’s report concerning Konstantin Ignatov’s plea deal, on Dec. 1, the MLM monitoring publication behindmlm.com revealed that the onecoin.eu domain went offline. The onecoin.eu domain was used to publish promotional articles about the Ponzi scheme and recruit investors. Behindmlm.com noted that the website’s status code said “server hold” and found out the domain registry was owned by Eurid. In an email to the MLM monitoring publication, Eurid legal team explained that “the domain name [onecoin.eu] is under legal investigation. Please further check our WHOIS for the status of the domain name.” Then the following day two more Onecoin related websites were pulled from the web by the registry. Records show that oneworldfoundation.eu and oneacademy.eu went offline for the same reasons. Eurid told behindmlm.com that the legal team is also investigating other Onecoin associated sites such as One Pay, Deal Shaker, One Academy, and the One World Foundation. Onecoin’s Queen Is Still Missing Meanwhile, Inner City Press reports that Konstantin Ignatov’s testimony shows that his sister Ruja was living in Sofia, Bulgaria just before she disappeared. He said that Ruja told him that she was “very tired” and she was afraid a close associate would rat her out. Ignatov said his sister invited him to travel to Greece, Vienna, and Austria and told him she obtained a “big passport.” “As her brother, I wanted to know how she was, why she was so worried. I went to her house and witnessed her having more or less a nervous breakdown,” Konstantin told authorities. After Ruja told her brother that she was tired and asked him to leave with her, she met with multiple senior Onecoin associates at her home. From here he said that she traveled to Athens and connected with new friends who spoke Russian. When the investigators asked Konstantin about his sister’s Russian friends he said: Ruja told me she knew someone very rich and powerful there. During the last few months, Onecoin’s Ponzi operation has crumbled into ashes after the team managed to siphon $4 billion in profits from unsuspecting investors. Ruja Ignatova’s “Bitcoin killer” vision never materialized because there’s nothing innovative about a fake cryptocurrency. When enough people eventually get burned, just like Bitconnect, it usually dies. Despite this, Onecoin was a colossal act of fraud on a global level that managed to leverage the cryptocurrency and blockchain hype to scam its victims. What do you think about the leaders of Onecoin being charged for money laundering and fraud? What do you think about the Onecoin domains going offline? Let us know what you think about this subject in the comments below. Image credits: Shutterstock, Wiki Commons, Fair Use, Pixabay, and Youtube. 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 Onecoin Websites Suspended as the $4 Billion Ponzi Crumbles appeared first on Bitcoin News. View the full article

Since mid-September, the Federal Reserve has injected three trillion U.S. dollars into the hands of private banks and Wall Street. Despite the fact that massive amounts of money was created out of thin air, the central bank still believes repurchase agreements (repos) are needed to tame the turbulent economy. Nearly every day the Federal Reserve Bank of New York gives primary lenders billions of dollars. Like clockwork on Tuesday, December 3, the entity introduced another $95.56 billion to private institutions. Also read: Despite St. Louis Branch Warnings, New York Fed Pumps $108 Billion Into US Economy The Fed Created $3 Trillion Dollars for Private Banks and Continues to Create More Around two and a half months ago, the U.S. Federal Reserve cut interest rates and started creating massive amounts of money using repo operations because of a so-called short-term lending crunch. It started on September 17 at 10 a.m. with a massive $53 billion repo, which was accepted by the NY Fed. The following day, the Fed pumped another $75 billion into private financial markets claiming an “unusually high demand for cash.” When it all started, the Fed made sure to inform the press the move wasn’t another form of quantitative easing (QE). The last time the central bank cut rates and initiated colossal repurchase agreements was 10 years ago after the 2008 financial crisis. Beth Hammack, the Goldman Sachs Group treasurer, told the Wall Street Journal that the “market will be waiting to see if the Fed makes this a more permanent part of the playbook.” A number of economists believe the financial crisis stems from the Federal Reserve’s money creation tactics. So far it has continued and a mountainous $3 trillion dollars later, the Fed has continued to gift the private banks. A recent video published by Youtuber “The Hated One” reveals how the Fed creates free money for big banks by explaining the subject in great detail. The video emphasizes that private lenders the Fed deals with are either short on reserves or can’t pay their taxes. Now when ordinary folk are short on dough, the banks will repossess their items or foreclose their mortgage. The Hated One underlines the fact that if an average Joe can’t pay their taxes, the IRS will surely come knocking and possibly toss tax offenders in a cage. But the film also highlights that in contrast, when these issues arise for bankers, the fat cats get $3 trillion dollars in freshly created fiat. While all these funds are being distributed by the Fed on a daily basis, the narrator remarks: GDP growth is slowing down, inflation rates are teetering, U.S. manufacturing is shrinking, Treasury yields are irreversibly going down, wages are stagnant, the Federal Reserve is lowering interest rates, household prices are rising as all the strong identifiers of an economic downturn are pointing in the same direction. But somehow earnings of the top 1% and stock prices are going up. Top 1% earnings and the U.S. stock market continue to rise despite the warning signs of an economic crisis. The video goes on to detail how the entire economy is rigged against working-class citizens and a true free market in order “to favor speculators and their currency manipulation.” After the stimulus injections are given to certain financial entities, common people can gain access to these funds in the form of loans and by accruing more debt. Even though the same financial incumbents were seemingly broke or couldn’t pay their taxes, they are more than willing to lend the freshly created dollars with interest. As the money supply grows with daily creation, massive amounts of emerging funds typically eat away at an ordinary citizen’s purchasing power. Purchasing power of the U.S dollar: (1913-2019) The USD has lost more than 95% of its value since 1913. ‘Inflation Is Legalized Robbery’ A great number of economists call state-induced inflation “legalized robbery” that’s likely more damaging than taxes. In 2006, the Future of Freedom Foundation author Gregory Bresiger gave his readers a “proper understanding of what inflation is.” “[Inflation] is the debasement of fiat currency through the overprinting of money without any stated limits — there is only one party responsible: the government’s banking authority.” Bresiger and other economists have stressed that the victim is the average citizen who is required by law to follow legal-tender guidelines. Taxation is far more noticeable than inflation and a majority of people don’t notice the silent robbery of purchasing power until years later. This is usually when they reminisce about the cost of a loaf of bread compared to today’s prices. Central banks like the Fed act like inflation is ‘natural,’ but in fact the banking authority behind legal tender is the root cause of cost-push inflation. In Bresiger’s opinion, this fact highlights that “inflation is a tax, because only the government creates money.” Bresiger adds: You don’t see the costs of inflation listed on a pay stub but its fearsome power eats away at your income. It is the sneakiest tax because most Americans don’t understand who or what causes it and why. Therefore, I believe, inflation is the greatest, most effective, form of robbery in history. Tools That Allow Individuals to Opt Out of the Manipulated Monetary Game Free market advocates, cryptocurrency proponents, Austrian economists and people who are tired of the manipulation understand the state and the country’s banking authority ignores private property rights and confiscates the average citizen’s wealth arbitrarily. Much like the American rally cry that there is no “taxation without representation,” freedom activists believe there should be no “inflation without representation.” There is zero representation when it comes to inflation in the U.S. and the central bank makes monetary choices without any accountability. Even with the repurchase agreements shown on the balance sheet, the Fed has been accused of creating way more money than what’s written in the books. 2013 reports indicate that the Fed created $9 trillion dollars of “off-balance-sheet” money and they don’t have a clue where the money went. Learn how you can avoid the manipulated monetary system here with tools like cryptocurrencies. When the NY Fed gave $95.56 billion to private institutions on Tuesday, only private members of the Fed board were in charge of monetary policy-making. No ordinary American citizen had any say in the stimulus injection and they will never get to vote on the most important part of society. However, strong believers in laissez-faire wholeheartedly believe that there are tools that can be used to combat the banking authority’s system through counter-economics. Tools like cryptocurrencies, precious metals, and participating in barter and trade allow individuals to remove themselves from state-induced inflation, taxation without representation, never-ending wars, and the intrusive surveillance of people’s monetary affairs. What do you think about the Fed creating money for private banks? Do you think this helps the economy and the average citizen? Let us know what you think about this subject in the comments section below. Image credits: Shutterstock, Fed Logo, Wiki Commons, The Hated One, Goldbroker.com, and Pixabay. Are you looking for a secure way to buy Bitcoin online? Start by downloading your free Bitcoin wallet from us and then head over to our Purchase Bitcoin page where you can easily buy BTC and BCH. The post The Fed’s Money Creation System Is Fueling One of the Biggest Heists in History appeared first on Bitcoin News. View the full article

A lesser known, yet uniquely compelling candidate for the real Satoshi Nakamoto is Japanese mathematician and number theorist Shinichi Mochizuki. With a long history of mathematical innovation, and purportedly proving conjectures thought to be near impossible to verify, he seems to almost come from an alien world. Mochizuki further painstakingly avoids the spotlight. Some, like American computer scientist and co-inventor of hypertext, Ted Nelson, go so far as to call him Satoshi. Also Read: “I Designed Bitcoi… Gold” – The Many Facts Pointing to Nick Being Satoshi The Coolness Outside As Paul Rosenberg states in his blog post “Be the Outsider,” everything that ultimately innovates comes from a private space, on the fringes of society: “Please believe me that the coolest things happen outside, and not within the hierarchies of the status quo … Outside is where personal computers came from. It’s where the Internet came from. It’s where Bitcoin came from … Nearly everything cool comes from outside.” Japanese mathematician Shinichi Mochizuki fits this unorthodox form as well. Attempting to solve “impossible” problems, focused only on his work and hiding from the spotlight, the 50-year-old professor Mochizuki has chosen not to submit his most revolutionary ideas for formal review. He has instead — much like Satoshi Nakamoto — surreptitiously placed them on the internet, and walked away. Shinichi Mochizuki Shinichi Stats A Mathematics Prodigy Child of an international marriage, Mochizuki moved with his family from Japan to the United States at age five, and would go on to graduate Philips Exeter Academy in New Hampshire at age 16. From there it was Princeton University for a bachelor’s degree and Ph.D in mathematics, lecturing at Harvard for two years, and then a return to Japan in 1994. Mochizuki is currently a full professor at Japan’s prestigious Kyoto University. In spite of impressive accomplishments and accolades such as proving Grothendieck’s conjecture on anabelian geometry in 1996, and being invited to speak at the International Congress of Mathematicians, nothing would cause such a stir as his alleged proof of the ABC Conjecture in 2012. The conjecture is described as a “beguilingly simple number theory problem that had stumped mathematicians for decades.” What math experts found in reviewing the proof, however, was that they couldn’t even understand it, and Mochizuki couldn’t be bothered to explain. Caroline Chen notes in her article The Paradox of the Proof: Usually, they said, mathematicians discuss their findings with their colleagues. Normally, they publish pre-prints to widely respected online forums. Then they submit their papers to the Annals of Mathematics, where papers are refereed by eminent mathematicians before publication. Mochizuki was bucking the trend. He was, according to his peers, “unorthodox.” But what roused their ire most was Mochizuki’s refusal to lecture. Much like Bitcoin had been carefully dropped off as an alien creation on obscure corners of the internet at its inception, Mochizuki had dropped off a supposed bombshell in the field of mathematics and stepped back. He had even created his own terminology over a decade of isolated research which other mathematicians couldn’t parse. Chen explains: “Then Mochizuki walked away. He did not send his work to the Annals of Mathematics. Nor did he leave a message on any of the online forums frequented by mathematicians around the world. He just posted the papers, and waited.” An American Background in British English Critics of Satoshi theories placing a Japanese as Nakamoto often cite Satoshi’s impeccable command of the English language and grammar in correspondence, and the cleanliness of his writing style. As a native speaker, this would have been a non-issue for Princeton salutatorian Mochizuki. Also frequently cited is Satoshi’s use of typically British English expressions and spellings such as “bloody” and “colour.” Interestingly, Mochizuki’s mentor and doctoral advisor from Princeton, Gerd Faltings, is a German national. The two would have presumably communicated in English at Princeton in an academic setting, and the English formally taught in Germany is typically British English. Mochizuki would have also undoubtedly been exposed to the British usages at his prestigious boarding school, Philips Exeter Academy. Hyper-Endorsement from Ted Nelson The inventor of hypertext, computer scientist and philosopher Ted Nelson feverishly rushed to produce an entertaining and insightful video on Mochizuki in 2013 after reading an article about him and deciding that Shinichi Mochizuki was indeed “the one.” Lack of Explanation and Evasion of the Spotlight Sorry to be a wet blanket. Writing a description for this thing for general audiences is bloody hard. There’s nothing to relate it to. So read the words of Satoshi Nakamoto from a July 5, 2010 post to Bitcointalk.org, in attempting to define Bitcoin for a wider audience. Like Bitcoin, Mochizuki’s purported proof of the ABC Conjecture was a novel contribution not readily grasped by the public, or even experts. With a stated goal of establishing “an arithmetic version of Teichmüller theory for number fields equipped with an elliptic curve … by applying the theory of semi-graphs of anabelioids, Frobenioids, the etale theta function, and log-shells,” even the world’s premier mathematicians were stumped, and Mochizuki couldn’t be bothered to explain. When asked by a well-known university to visit and expound on the proof, Mochizuki reportedly stated “I couldn’t possibly do that in one talk.” He then refused even when offered more time. Friend and colleague of Mochizuki, Oxford professor Minhyong Kim, states that Shinichi is a “slightly shy character,” noting: He’s a very hard working guy and he just doesn’t want to spend time on airplanes and hotels and so on. Japanese Background Japanese culture is quiet, reserved, and hardworking, generally speaking. Humility and politeness go hand-in-hand with and an almost painful aversion to being the center of attention. In Japan it is viewed as graceful and appropriate to do one’s work quietly, complete the task, and not make much of a fuss about it. This can be very different from the general Western individualist ethos, which often calls for flashy attention or a prize in the face of groundbreaking accomplishment. On a linguistic aside, the name Shinichi means “new one” in Japanese, and interestingly shares a syllable count with Satoshi. The surnames line up syllabically as well, but this could be nothing more than mere coincidence. Skepticism and Summary The most obvious argument against Shinichi Mochizuki being Satoshi Nakamoto is a glaring lack of known background in computers, coding, and cypherpunk ethos and knowledge. It’s hard to imagine though, that a scholar of his caliber in the field of mathematics would not have at least some working familiarity with these fields. Critics have pulled no punches in attempting to put the Mochizuki as Satoshi theory into the cultural paper shredder, even leveraging insult to do so. Still, like the other candidates in this series so far, Mochizuki merits examination on a variety of counts, and further adds to the mystery of the hunt for Bitcoin’s pseudonymous creator. Who do you think is Satoshi? One person? Many? Let us know in the comments section below. Images credits: 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 The Many Facts Pointing to Shinichi Being Satoshi appeared first on Bitcoin News. View the full article

This is a paid press release, which contains forward looking statements, and should be treated as advertising or promotional material. Bitcoin.com is not responsible for or liable for any content, accuracy or quality within the press release. ILCoin Blockchain Project set a new record for stable block size – when it successfully released a 5Gb block. This achievement became possible after the project introduced RIFT protocol, which allows to increase the block size and keep high transaction speed. With these qualities, RIFT effectively solves the scalability issue of blockchain networks, increases the potential for global adoption of DLT, and also forms a technological base for creating an economically efficient on-chain data storage. The key features of blockchain technology – such as immutability of the chain, low fees, and smart contracts that allow to conclude deals without an intermediary – created a high demand for blockchain developments in the crypto world and beyond it. The scalability issue, though, has been holding the technology back for years. In order to find a solution, blockchain developers tried numerous approaches to it, including but not limited to increasing the block size, distributing data between servers in shards, or storing data off-chain. However, all of these approaches ended up compromising the other two pillars of blockchain: security or decentralization. ILCoin first entered the market in 2015, introducing ILC cryptocurrency. Today, ILCoin Blockchain Project is more than a crypto: it focuses on solving the most pressing problems of the industry, increasing blockchain’s usability, and finding a way to create a viable on-chain data storage solution. For ILCoin Development team, 2019 was marked with two considerable breakthroughs. At the beginning of the year, the project presented a hacker-proof C2P consensus, which boosted the network’s security to an unprecedented level. This November, ILCoin released RIFT protocol aimed at resolving the scalability issue. With their new development, ILCoin reconsiders the basics of blockchain, placing the main principles devised by Satoshi Nakamoto on a brand new technological base that meets the modern demand. RIFT protocol features two layers of blocks: standard blocks and mini-blocks, which contain transactions. Unlike standard blocks, mini-blocks are not mined but generated by the system, giving the network unlimited potential for scalability. Mini-blocks are interconnected by references and connected to their parent blocks, ensuring that the data stays intact. In addition to its unique structure, RIFT also introduces simultaneous asynchronization – a new mechanism that carries out parallel sync of individual blocks and prevents network congestion. “RIFT protocol disrupts the very concept of blockchain: mainly with the idea that simultaneous asynchronization is, in fact, technically possible. With RIFT, we are able to solve both the FIFO and the bottleneck problems and manage large blocks at unprecedented speed,” – explained Norbert Goffa, the Executive Manager of ILCoin. Indeed, in the case of a 5 Gb block size, 3-minute block generation time, and 232 bytes transaction weight, RIFT demonstrated an effective transaction speed of 23 140 987 tx/block. According to the developers, the only limit to this technology is the current network capacities. In order to integrate the new code into the system, ILCoin Blockchain Project performed a hard fork, which was shortly followed by the release of enhanced blocks. Since the end of November, 5Gb blocks are available in the live net as the real proof that the scalability problem is solved for good. At the moment, ILCoin’s ecosystem is returning to full functioning, and ILC transactions are gradually being resumed, as most exchanges have already implemented the new code. With its outstanding characteristics, RIFT marks the beginning of a new era for the whole blockchain industry. It is the first solution in the market, which is able to maintain high efficiency within large-scale networks and create a solid foundation for cost-effective on-chain storage. For the latest news on the project, please check out ILCoin Dev team’s Telegram channel. The Blue Paper for the RIFT technology is available on the official website. Email: pr@ilcoincrypto.com This is a paid press release. Readers should do their own due diligence before taking any actions related to the promoted company or any of its affiliates or services. 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 content, goods or services mentioned in the press release. The post ILCoin Launches With 5GB Blocks appeared first on Bitcoin News. View the full article

Sofi is a startup valued at over $4 billion which is focusing on providing millennials with student loan refinancing, personal loans, mortgages, and other wealth management and financial services. In September it has added crypto trading to its investing platform as a response to demand from its over 800,000 members, a service it can now offer it’s New York customers thanks to a new local Bitlicense. Also Read: Save the Children Now Accepts Bitcoin Cash Donations Sofi Receives New York Bitlicense It was announced on Tuesday that the New York State Department of Financial Services (DFS) has approved the application of Sofi Digital Assets, LLC, a wholly-owned subsidiary of Social Finance, Inc., for virtual currency and money transmitter licenses. The two licenses will allow Sofi to offer its New York clients the ability to buy and sell digital assets. The company now is authorized to support the cryptocurrencies bitcoin core (BTC), bitcoin cash (BCH), ether (ETH), ether classic (ETC), litecoin (LTC), and stellar lumens (XLM). “Putting our members’ interests first is our top priority at Sofi,” said Anthony Noto, the CEO of the company. “That includes both offering individuals the products they want, like cryptocurrency within Sofi Invest, as well as protecting them, through a solid regulatory framework like that created by the New York State Department of Financial Services. We’re thrilled to now be able to offer the trading of cryptocurrency, in addition to active and automated investing, as part of Sofi Invest in New York State, in addition to the full suite of Sofi products that help our members borrow, save, spend, invest, and protect their money.” A New York Bitlicense is considered one of the hardest in the world for companies to receive. This greatly limits the ability of local residences to engage with unlicensed ventures as only companies that can withstand the long and costly procedure even apply. Since 2015, DFS has granted only 24 virtual currency licenses or trust charters, including the last one given to Sofi on Tuesday. “DFS is committed to fostering innovation in New York’s vibrant virtual currency sector and ensuring its competitiveness as a market for new entrants,” said Financial Services Superintendent Linda A. Lacewell. “The Department’s approval of Sofi’s virtual currency and money transmitter licenses provides consumers with more choices in a continuously evolving global financial services marketplace.” $4 Billion Online Finance Startup Sofi is a San Francisco-based fintech company founded in August 2011 and already valued at about $4.3 billion as of earlier this year. Its offering is focusing on providing millennials with student loan refinancing, personal loans, mortgages, and other wealth management and financial services. Sofi raised capital funding to a total of $2.3 billion with help from major investors such as the Japanese conglomerate Softbank and the Qatar Investment Authority. In February 2019, it was reported that Sofi was planning to enter the crypto-assets market by enabling its users to follow and buy coins via a partnership with the U.S. exchange Coinbase. In September the company announced that it has added crypto trading to its fast-growing Sofi Invest platform, as a response to demand from its over 800,000 members. Sofi Invest now offers automated and active investing with stocks, ETFs, and crypto through a single app. “Feedback from our members has made it clear that a significant percentage are not only interested in learning more about cryptocurrencies but are also already buying and selling crypto,” said at the time Sofi CEO Anthony Noto. “We’re very pleased to be adding this new product to Sofi Invest, as access, education, and keeping costs low for our members is at the heart of what we do.” What do you think about Sofi receiving a New York Bitlicense? 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 $4 Billion US Fintech Startup Sofi Receives New York Bitlicense appeared first on Bitcoin News. View the full article

Banks worldwide have announced major job cuts this year. Globally, 75,700 jobs are reportedly being eliminated, with the most recent announcement coming from Italy’s largest bank. Unicredit has become the latest major bank to unveil layoff plans, joining Deutsche Bank, Santander, Commerzbank, HSBC, and more. The negative interest rate environment and slowing economies have forced banks to cut costs and lay off employees. Also read: Swiss Licensed Crypto Bank Expanding Into 9 Markets Unicredit Eliminating 8000 Jobs Italy’s largest bank, Unicredit, unveiled its new business plan to 2023 on Tuesday, which reportedly includes laying off 8,000 employees and closing 500 branches. CEO Jean Pierre Mustier claims that this round of job cuts will help eliminate 1 billion euros ($1.11 billion) of the bank’s gross expenses. Unicredit also announced a separate buyback of 2 billion euros ($2.2 billion), Bloomberg detailed, noting that the job cuts equal to more than 9% of the bank’s workforce. The bank, however, said it intends to spend 9.4 billion euros on information technology and human resources over the next four years to update its technology and improve compliance. Unicredit’s worldwide presence. Source: Unicredit The bank currently has 12,000 branches in over 50 countries and 30 representative offices around the world, according to its website. It provides products and services to approximately 26 million customers in areas of corporate investment banking, commercial banking and wealth management. Its 14 core markets are Italy, Germany, Austria, Bosnia and Herzegovina, Bulgaria, Croatia, Czech Republic, Hungary, Romania, Russia, Serbia, Slovakia, Slovenia, and Turkey. Two Italian banking unions told Reuters on Tuesday that they expect the actual number of job cuts to be around 5,500 instead of the 8,000 announced. They also expect 450 branches to close instead of the planned 500 branches. Banks Cutting Over 75,700 Jobs Worldwide The job cut announcement by Unicredit brings the total number of layoffs announced by banks globally this year to 75,700, according to Bloomberg. 83% of these banks are in Europe where negative interest rates and slowing economies have forced financial institutions to cut costs. In September, news.Bitcoin.com reported that the number of announced job cuts totaled over 60,000. Global layoff breakdown. This chart is an updated version of the one included in our previous bank layoff coverage. Source: company filings and Bloomberg. Overall, banks in Europe have announced job cuts of 63,036, representing more than 10 times the total number announced by banks in North America, the news outlet conveyed. In Europe, banks in Germany top the list of major job cuts. Deutsche Bank leads the pack with a plan to lay off 18,000 employees through 2022 as it scales down its investment banking business. Besides cutting jobs, banks in Germany are passing on the burden of negative interest rates to their clients. A recent survey by the German central bank, the Deutsche Bundesbank, shows that 58% of banks surveyed are already doing so. Some are charging all savers negative interest rates while others only target wealthy and corporate clients. According to data compiled by Bloomberg, other banks with major layoff plans include Banco Santander which is cutting 5,400 jobs, Commerzbank 4,300 jobs, HSBC 4,000 jobs, Barclays 3,000 jobs, Alfa Bank 3,000 jobs, KBC 2,100 jobs, Societe Generale 2,100 jobs, and Caixabank 2,000 jobs. HSBC may actually be laying off more workers as the company said in October that it may cut up to 10,000 jobs. What do you think of big banks cutting costs by laying off workers? Let us know in the comments section below. Images courtesy of Shutterstock and Bloomberg. 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 Banks Are Cutting 75,700 Jobs Worldwide appeared first on Bitcoin News. View the full article

Banks in Europe have been in a difficult spot lately. A new report reveals that financial institutions across the region faced serious difficulties in the 2018 financial year, and despite all the cost cutting that followed, haven’t managed to compensate the revenue decline in 2019. Historically low interest rates, new regulatory hurdles and competition from U.S. banks have all added to the hardship. Also read: Another Bank Run Highlights China’s Brewing Financial Crisis Corporate and Investment Banks See Declining Revenues The financial industry in Europe is facing some fundamental constraints such as cost inelasticity, revenue decline and talent evasion. The European CIB Outlook 2019, a study published recently by the consulting firm Eurogroup Consulting, is centered on how the continent’s corporate and investment banks (CIS) can address these challenges. Other threats they have to deal with stem from the economic and regulatory environment, which has been deteriorating. These include interest rates that have reached historic lows, new stringent regulations requiring compliance and increased market volatility. European banks had to make infrastructure investments while being forced to significantly reduce spending at the same time. According to the researchers, “In FY 2018, a large majority of European CIBs experienced negative Jaws.” In finance, the ‘jaws ratio’ is an indicator measuring the difference between income growth rate and expenses growth rate. During the 2018 financial year, overall CIB revenues grew by 3.5%. The upward movement was catalyzed mainly by equity and prime services as well as a favorable exchange rate, the authors of the study note. By the first quarter of 2019, however, equities and prime businesses had fallen by 21.6%. That caused a 10% year-over-year drop in operating revenues. The report concludes: Cost reduction programmes have struggled to keep pace with top line decline, combined with increased volatility in the market and unprecedently low interest rates. Digitalization Offers a Way Out Eurogroup Consulting points out that the study has assessed how European CIBs can bridge the performance gap with U.S. banks, which have been able to strengthen their position abroad thanks to two main factors – a stronger domestic market and more favorable regulatory landscape. Corporate and investment banks on the Old Continent should consider structural changes, the consulting firm says, in order to address the fundamental constraints they are facing. European banks must focus on asset industrialization, for instance, aiming to achieve a return on equity (RoE) increase of between 2 and 4%. They can also gain from structured finance opportunities with revenue growth leading to RoE improvement of around 2 to 3%. Last but not least, talent empowerment can get them a RoE expansion of up to 2%. One the main goals of the report is to seek ways for European CIBs to optimize their costs and re-energize their talent, as the authors put it. Quite naturally, in a time of rapid digital transformation one of the paths to achieving that is through “digitalization, whereby digital initiatives will only be successful by aligning their strategy to the scale of disruption and maturity.” Disruption and maturity is actually what some European countries and their banks have been demonstrating. In Switzerland, whose crypto valley has become home to over 700 companies, traditional banks have started to team up with fintechs to offer cutting edge digital services. And the Swiss government recently presented a set of wide-ranging proposals to update its banking, corporate and financial infrastructure laws to accommodate the digital asset industry. Or take Germany as another example, where new legislation is going to allow banks to receive, store, and sell cryptocurrencies starting from next year. A partnership between a crypto platform and a local bank there already offers clients the chance to buy and sell cryptocurrency directly from their bank account, which comes with an integrated bitcoin wallet. Besides, a growing number of companies, such as Cred for instance, provide global banking services tailored to the specific needs of crypto users. Do you think integrating cryptocurrencies will help European banks to improve their financial results and gain an edge in competition with their U.S. peers? Share your thoughts on the subject in the comments section below. Images courtesy of Shutterstock, Eurogroup Consulting. Do you need a reliable bitcoin mobile wallet to send, receive, and store your coins? Download one for free from us and then head to our Purchase Bitcoin page where you can quickly buy bitcoin with a credit card. The post European Banks Struggle With Low Interest Rates and Strict Regulations appeared first on Bitcoin News. View the full article

Japan’s top financial regulator has approved the remaining crypto exchange that was in business prior to the regulation of the crypto industry. Exchanges in this category were allowed to continue operations while their registration applications were being reviewed. The regulator has so far approved a total of 21 crypto exchanges to operate in the country. Also read: Swiss Licensed Crypto Bank Expanding Into 9 Markets Lastroots: the 21st Approved Exchange Japan’s Financial Services Agency (FSA) approved the only remaining “deemed cryptocurrency exchange” last week. Lastroots has become the 21st FSA-approved crypto exchange operator in the country. Deemed cryptocurrency exchanges were those in business prior to April 2017 when Japan’s amended Fund Settlement Law and the amended Payment Services Act went into effect. The new law legalizes cryptocurrency as a means of payment and requires exchange operators to register with the FSA. Established on June 2, 2016, Lastroots launched a cryptocurrency exchange in March 2017. Six months later, on Sept. 27, the Tokyo-based company applied for registration alongside other exchange operators, such as Bitflyer. However, while the FSA approved several others, it held onto Lastroots’ application until now. On April 6, 2018, the company received a business improvement order from the regulator. In the same month, it became a subsidiary of Okwave Co. Ltd., one of Japan’s largest social Q&A communities. With 49 employees, Lastroots currently engages in the crypto exchange business as well as business development using blockchain technology. Its crypto exchange, C0ban, allows customers to trade the C0ban token (RYO) against the yen. According to Lastroot’s website, the C0ban exchange aims to list “the world’s most promising ICOs.” So far, Lastroots only supports the trading of RYO according to the FSA’s website. The company plans to offer a payment and remittance service. “We will develop simple remittance solutions both in Japan and overseas,” the company explained. “In particular, international remittances currently require extremely high fees, but we will lower the cost to the limit and aim for creating infrastructure for people in emerging countries such as Asia.” Lastroots is a member of two crypto associations in Japan: the Japan Virtual Currency Exchange Association and the Japan Virtual currency Business Association. 20 Other Registered Crypto Exchanges A few months after Japan legalized cryptocurrency as a means of payment, the FSA began approving crypto exchanges. Including Lastroots, 21 have been registered in total. The first 11 exchange operators were registered on Sept. 29, 2017. They were Money Partners, Quoine, Bitflyer, Bitbank, SBI VC Trade, GMO Coin, Huobi Japan (formerly Bittrade), Btcbox, Bitpoint Japan, Fisco Cryptocurrency Exchange, and Tech Bureau. Tech Bureau was acquired by Fisco after it was hacked in September last year. However, the two platforms continue to operate independently and are still listed on the FSA website as two separate crypto exchanges. On Dec. 1, 2017, DMM Bitcoin, Taotao (formerly Bitarg), Bitgate, and Xtheta were registered. Bitocean followed suit on Dec. 26. No operator was registered in 2018, largely due to the January hack of Coincheck, one of the country’s largest crypto trading platforms. The FSA subsequently tightened its oversight of the industry including conducting on-site inspections of exchanges. In June 2018, there were 16 deemed crypto exchange operators in Japan. Two months later, only three were left after the FSA tightened its oversight of the industry, the regulator confirmed to news.Bitcoin.com at the time. The three were Coincheck, Everybody’s Bitcoin, and Lastroots. The rest were either rejected by the FSA or voluntarily withdrew their applications. The FSA resumed registering crypto exchanges this year, starting with Coincheck, which successfully registered on Jan. 11 with the help of its parent company, Monex Group. On March 25, Rakuten Wallet (formerly Everybody’s Bitcoin) and Decurret were registered, followed by Line Corp.’s LVC on Sept. 6. LVC launched a crypto exchange called Bitmax on Sept. 17, which is a separate exchange from Bitbox, another crypto exchange by Line. Bitbox began operations in July 2018 in all countries except Japan and the U.S. On Nov. 27, Lastroots became the latest to be approved by the FSA. What do you think of Japan’s crypto industry and the number of approved exchanges there? 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 as 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 Lastroots. 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 Japan Now Has 21 Approved Crypto Exchanges appeared first on Bitcoin News. View the full article

Cryptocurrency enthusiasts have been discussing a newly developed exchange ranking developed by the crypto portfolio and trading bot startup Bituniverse. According to a leaked screenshot of Bituniverse’s “Exchange Transparent Balance Rank,” there’s roughly 1.9 million BTC held on centralized trading platforms. Bituniverse claims the full list of exchange balance ranks “will be disclosed on December 12.” Also Read: John McAfee Weighs in on Maximalism, Epstein’s Death, and ‘the Greatest Gift Since Fire’ There’s $13.9 Billion Worth of BTC Allegedly Stored on Global Exchanges Last year, on January 3, the community supported the idea of a “Proof of Keys” day after crypto investor Trace Meyer started the withdrawal initiative. However, as January 3, 2020 approaches, it seems that lots of digital currency holders still don’t appreciate the importance of possessing their own keys. This week a leaked photo of the Bituniverse application indicates there’s allegedly 1.9 million BTC ($13.9 billion) currently stored on the world’s most popular exchanges. The balance rank feature is not yet available on the Bituniverse app, but the company says that the full list will be available on December 12. The top two exchanges listed on the Bituniverse “Exchange Transparent Balance Rank (ETBR)” shows that Coinbase allegedly has 966.23K BTC ($7.1 billion) in storage while Bitmex holds roughly 265.14K BTC ($1.9 billion). Other notable exchanges listed on the ETBR include trading platforms Bitstamp, Bitfinex, Kraken, and Poloniex. According to Bituniverse’s recent tweet, exchanges like Binance, Huobi Global, and Okex will also be included in the December 12 list. The exchanges don’t provide the official data for the ETBR list, as the exchange balances are tracked independently by Peckshield and Etherscan. Bituniverse says they couldn’t have made “[the ETBR] without the help of Peckshield.” After the photo of the Bituniverse ETBR leaked, Trace Meyer tweeted about the situation saying: 1.925m+ Bitcoin supposedly being held at Coinbase, Bitmex, Bitstamp, Bitfinex, Kraken, Bittrex, Coincheck and Poloniex just waiting to be lost like so many others — Have you tried to withdraw any lately? Digital currency enthusiasts discussed the exchange balance topic on Reddit as well. When one Redditor created a post that was titled: “Coinbase owns 966.23k Bitcoin, and Bitmex owns 265.14k Bitcoin,” a person commented about how the statement was phrased. “You should put quotation marks around the “owns” — While they have the private keys to these coins, they act more like banks than bitcoiners. Most of these coins are their customers’ deposits,” the Redditor remarked. Other people disagreed and said: “‘Owns’ is the correct term. Not your keys, not your bitcoin. They can get hacked or steal the coins at any time — They own them.” The Bituniverse exchange balance list value is measured in tether (USDT), but it also contains exchange balances in ETH and USDT. ‘Not Your Keys, Not Your Coins’ The ETBR information is not the first time exchanges have been scrutinized for balance holdings. Seven months ago, veiwbase.com published a market analysis report which ranked crypto exchanges by using balances derived from blockchain data. Similar to the ETBR-based list of BTC holdings, Viewbase researched the wallets belonging to exchanges using the Ethereum (ETH) blockchain and analyzed their historical balances of ether. They chose ETH because it’s the second-largest crypto market by capitalization and usually captures a lot of trade volume as well. “We ranked exchanges by the amount of ether deposited in their exchange wallets and compared it to their reported trading volumes,” the researchers’ report stressed. In that report, Kraken and Binance were noted as the largest ETH holders with balances over 5.4 million ether ($796 million) combined. Veiwbase.com’s ether balance list that was published last May. Despite the fact that millions of ETH and BTC are still held on exchanges, Trace Meyer and a slew of others are celebrating “Proof of Keys” day again by telling people to take possession of their assets. “Not your keys not your coins,” the Twitter account ‘Church Of Satoshi’ tweeted on Tuesday. “We’ve been blessed by the coming of Bitcoin, as a way to claim back our monetary sovereignty — Claim it by not letting exchanges manage it for you.” “‘Proof of Keys’ January 3rd countdown begins,” another person wrote. “This day is when all bitcoin owners need to withdraw their bitcoin held in custodial services (exchanges, depository services, buying apps etc), into their own wallets.” Even though veteran cryptocurrency proponents have been spreading this message for 10 years now, people still store vast amounts of crypto with third-party services that could go under at any moment. Moreover, there’s been seven major cryptocurrency exchange hacks in 2019 where investors lost millions of dollars’ worth of crypto. What do you think about the alleged 1.9 million BTC held on digital currency exchanges? Let us know what you think about this subject in the comments section below. Image credits: Shutterstock, Bituniverse App, Reddit, Twitter, and veiwbase.com. 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 New List Claims 1.9 Million Bitcoin Held by Centralized Exchanges appeared first on Bitcoin News. View the full article

New York-based ETF provider Wisdomtree has launched a physically backed bitcoin exchange-traded product (ETP) on Switzerland’s SIX stock exchange. According to Wisdomtree, the new product is not cash-settled like most ETPs traded on the SIX exchange as the BTCW investment product will be settled in BTC. Also read: 7 Crypto Exchange-Traded Products Now Live on Swiss Bourse Wisdomtree Launches Physically Backed Bitcoin ETP on Switzerland’s Principal Stock Exchange On December 3, the American firm Wisdomtree Investments (NASDAQ: WETF) announced the launch of a new BTC-based exchange-traded product (ETP) that will be traded on Switzerland’s SIX stock exchange. The new product will be different from the other cryptocurrency ETPs traded on SIX, because the BTCW product will be physically backed by bitcoins held in storage. The ticker BTCW will compete with seven other cryptocurrency ETPs traded on SIX that essentially track a basket of digital assets or track the prices of single cryptocurrencies. The Switzerland-based firm Amun AG is behind most of the crypto ETPs on SIX, which include cash-settled ETPs for a basket of coins, BTC, ETH, XRP, and BCH. The ETF provider Wisdomtree is the seventh largest ETF firm in the U.S. and has been offering exchange-traded products for nearly two decades. Wisdomtree’s latest announcement says investors will get exposure to BTC. The company also highlighted that with BTCW, investors will get “access to institutional-grade storage solutions without needing to set it up with a custodian themselves.” “We have been monitoring cryptocurrencies for some time and are excited to bring investors secure access to this developing asset class,” Wisdomtree’s Head of European-based Products, Alexis Marinof, said. “Wisdomtree has a history of bringing innovative investment themes to a broad market through institutional-class products, allowing investors to take exposures in difficult-to-access asset classes — we see many parallels between the cryptocurrency space and commodities in this regard.” Marinof added: The introduction of cryptocurrencies in an ETP structure will enable investors to find new ways to introduce digital assets into portfolios while still relying on the safety and security that they have come to expect from Wisdomtree. Wisdomtree has published a lot of documentation in regard to crypto investment strategies and cryptocurrencies becoming a “new asset class.” ‘Bringing Cryptocurrencies to the ETP Structure’ This is not Wisdomtree’s first experience dealing with physically-backed ETPs as the company launched the world’s first physically backed gold ETP in 2003. Moreover, the company has the largest ETF in terms of AUM in Europe as well because it utilizes European equities, but removes the volatility tethered to the exchange rates between the USD and EUR. The BTCW settlement will be handled by the International Central Securities Depository (ICSD) and Wisdomtree aims to “offer liquidity like any other exchange-listed security.” Wisdomtree notes that bringing digital currencies to the ETP structure may bring the possibility of liquidity centralization, which in turn could “benefit the underlying digital asset.” “Cryptocurrencies are potentially the next asset class to benefit from increased interest when they become accessible in an ETP structure,” Wisdomtree’s capital markets and technology product development executive Rafi Aviav explained during the announcement. “We have developed a solution which addresses the difficulties investors face in accessing digital assets and are bridging the gap between the underlying decentralised online blockchain technology and traditional investment structures.” Wisdomtree’s educational resources for investors. Aviav believes that the ETP system could invoke “new dimensions” into crypto markets, which include bolstering institutional-grade custody solutions. The Wisdomtree executive thinks that incorporating digital currency trading into standard brokerage accounts will make markets “more liquid and transparent.” At press time, Wisdomtree’s BTCW product is live on Switzerland’s principal stock exchange, but the investment vehicle is only available to institutional investors. Wisdomtree has also recently published various educational resources for institutional and retail investors on how to invest in digital currencies and the “rise of cryptocurrencies as a new asset class.” What do you think about the new Wisdomtree physically backed bitcoin ETP that’s trading on the Switzerland exchange SIX? Let us know what you think about the relationship between cryptocurrencies and ETPs 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 as 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, SIX Exchange, and various Wisdomtree online documents. 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. 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