Bitcoin price slowly moved higher and dips remained supported above $3,800 against the US Dollar.The price fell significantly recently, but buyers protected the $3,800 support area.There is a crucial ascending channel is in place with support at $3,830 on the 4-hours chart of the BTC/USD pair (data feed from Kraken).The pair remains in an uptrend and it is likely to accelerate above $4,000 and $4,100 in the near term.Bitcoin price is grinding higher with a positive bias above $3,800 against the US Dollar. BTC/USD buyers are in control and they seem to eye a test of the $4,200 resistance level.Bitcoin Price AnalysisThis past week, there was a steady rise from the $3,700 support area in bitcoin price against the US Dollar. The BTC/USD pair climbed higher and settled above the $3,800 resistance level and the 100 simple moving average (4-hours). However, the price faced a strong resistance near the $3,900 level. There were many attempts to clear the $3,900 barrier, but buyers failed to gain momentum. As a result, there was a sharp decline recently below the $3,850 level. The price even spiked below the $3,800 support and the 100 simple moving average (4-hours).Buyers took a stand near the $3,760 level and later the price bounced back sharply. It broke the $3,900 resistance and settled well above the 100 simple moving average (4-hours). A new high was formed near the $3,945 level and the price is currently consolidating gains. It is testing the 23.6% Fib retracement level of the recent wave from the $3,765 low to $3,945 high. On the downside, there is a strong support formed near the $3,850 level. The 50% Fib retracement level of the recent wave from the $3,765 low to $3,945 high is also near $3,855.More importantly, there is a crucial ascending channel is in place with support at $3,830 on the 4-hours chart of the BTC/USD pair. Therefore, the pair remains well supported on the downside near the $3,850 and $3,830 levels. On the upside, the price must break the $4,000 barrier for more gains in the near term.Looking at the chart, BTC price is clearly trading in an uptrend above the $3,850 and $3,830 supports. The main support is at $3,800, below which there is a risk of more losses. To the upside, a break above the $4,000 resistance may clear the path for a test of the $4,100 and $4,200 levels.Technical indicators4 hours MACD – The MACD for BTC/USD is slowly moving in the bullish zone.4 hours RSI (Relative Strength Index) – The RSI for BTC/USD is correcting towards the 55 level.Major Support Level – $3,830Major Resistance Level – $4,000
Archives for March 9, 2019
ETH price continues to face a strong resistance just below the $140 level against the US Dollar.The price dipped sharply recently, but it recovered above the $134 support level.There is a key bullish trend line forming with support at $132 on the 4-hours chart of ETH/USD (data feed via Kraken).The pair remains supported on dips and it could still break the $140 resistance area in the near term.Ethereum price is facing many hurdles versus the US Dollar and Bitcoin. ETH/USD’s recent decline was brought back and it seems like buyers could be preparing for a larger rally.Ethereum Price AnalysisThis past week, there were mostly swing moves within a range below the $140 resistance in ETH price against the US Dollar. The ETH/USD pair made many attempts to clear the $140 resistance area, but it failed to gain pace. Recently, there was a sharp bearish reaction below the $134 support level. The price declined heavily and broke the $132 support along with the 100 simple moving average (4-hours). However, the price found a strong support near the $130 level and later bounced back sharply.It climbed above the $134 support and the 100 simple moving average (4-hours). It even traded above the $136 level, but sellers protected the $138 level. The price is currently ranging below the $138 and $140 resistance levels. It broke the 23.6% Fib retracement level of the last wave from the $130 low to $138 high. However, there are many supports near the $134 level and the 100 simple moving average (4-hours).There is also a key bullish trend line forming with support at $132 on the 4-hours chart of ETH/USD. The 50% Fib retracement level of the last wave from the $130 low to $138 high is also near the $134 level to act as a solid support. Therefore, there are many supports near the $134 and $132 levels. On the upside, the price has to clear the $138 and $140 resistance levels to climb further higher.The above chart indicates that ETH price is placed nicely above the $132 and $134 supports levels. Having said that, a break above the $140 barrier won’t be easy. If buyers remain in action for a long time, they could sight a larger rally above the $140 resistance. In the mentioned case, the price may surge above the $145 and $150 resistance levels in the coming days.Technical Indicators4 hours MACD – The MACD for ETH/USD is about to move back in the bullish zone.4 hours RSI – The RSI for ETH/USD is currently flat, but it is placed nicely above the 50 level.Major Support Level – $132Major Resistance Level – $140
CCN spoke to Deloitte tax partner Jim Calvin about the problems and strategies associated with cryptocurrency for his clients, particularly when it comes time for them to submit their annual tax returns.
Deloitte Tax Partner Spends More Than Half His Time Working on Crypto
Calvin got into cryptocurrency in 2014, when he was based in Asia. He says he began to get questions about Bitcoin from clients, and that he gained a personal interest as the first major crypto winter set in.
“In places like Hong Kong, Singapore, and Bangkok, the financial institutions and individuals wanted to know how to report this stuff for AML/KYC in a thing called FATCA, which is basically bank account reporting to the IRS.”
“On foreign bank account reporting, it depended on how they were holding it. If they were holding it themselves, it didn’t have to be reported. But if it was held on an exchange or by a custodian, then it would have to be reported. Most of the work I ended up doing was related to trading, investing, exchanges, and dealers, moreso than things like mining. I’ve never really done ICO work or centralized coin launches.”
“Mostly it’s Bitcoin. Occasionally we’ll have clients that hold other things like [Ethereum] or Monero. So it’s mostly issues around things like wash trading and tax straddles.”
Calvin says that he presently spends “more than half” of his time working on crypto topics these days. The biggest question that clients have is regarding “chain splits” such as the one that created Bitcoin Cash. What are the liabilities implied when you receive something for free?
Calvin says it’s like “receiving a free sample in the mail.”
“If you talk to a lot of the tax lawyers that don’t understand the technology, they’ll talk about it like buying a cow that’s pregnant. You really have to understand the technology to receive tax advice on it. […] Why should you be taxed on free laundry detergent that you get in the mail? And some of them are worth taking the risk to claim and then sell. The IRS’ long-standing policy is that only if you claim property that it’s taxable.”
According to Calvin, the hardest thing about accounting in cryptocurrency is the transfer from exchange to exchange. This reporter informed him about Node40’s technology, which automates that process for the user, finding the cost-basis at time of transfer and helping to generate an accurate report for tax purposes. Still, Node40’s product isn’t perfect, and for serious traders with large transaction histories, using an accounting firm like Deloitte is potentially still the best route.
Crypto Tax Trick #1: Using the Highest Cost Basis
Calvin says the top strategy he’s used for tax accounting as regards Bitcoin is using the highest possible cost basis.
“We use what’s called a standing instruction. So anything I sell is going to use my highest cost coin. So the first thing I sell is always going to be the most costly. And therefore, it minimizes any gain I might have, or maximizes losses. It’s not 100% certain that the IRS would accept that. But that’s the rule that you can apply to stocks and bonds, and there’s some precedents that says that can apply to other assets.”
“You need to keep track of what you pay for your coins. Have a standing instruction. You write an e-mail to your CPA or anybody else that can verify that you definitely said anything you sell is going to be from the highest cost basis lot. When you sell it, it could be for say $4,000. But when you’re selling, you can base it on coins you bought at $20,000.”
Calvin says he’s seen this trick work numerous times. He says there is at least one precedent that allows for it. You’re allowed to make sales in this manner using the maximum cost basis based on how much you purchased. Thus, people who bought at the all-time high are not necessarily out of luck, especially given our next trick.
Crypto Tax Trick #2: Wash Sales Are Legal in Crypto
In stock trading, you can’t claim losses when you re-buy a stock right after selling it. In crypto assets, however, you’re able to claim losses even if you buy the asset back. Say you bought Bitcoin at $10,000, and you sold it now at $3,900. If you bought it back right after selling it, you could still claim the loss.
“There should be some daylight between the trades. An hour is probably okay. But you can take that loss. You can’t do that with stocks, but you should with Bitcoin and most other crypto that’s treated as a commodity.”
It’s a method of keeping your holdings and filing your losses. Losses can be carried forward and used against gains, but they can’t be carried back.
Crypto Tax Trick #3: Air Drops and Chainsplits Can Be Helpful – Or Not
Chainsplits and air drops aren’t taxable until you’ve claimed them and made income on them. Unfortunately, they can be taxed as ordinary income.
“The bad news is probably it would be ordinary income. They seem to be ordinary income because there’s no sale or exchange of an asset to get them. You just get them. But you don’t have to get them. 99% of air drops are junk. 99% of chainsplits are junk. […] It depends on many things. You’d have ordinary income and a loss.”
Calvin says you’re better off to claim your air drops and chainsplits when they actually appreciate because the amount you make on the increase can offset the ordinary income tax, and it’s only taxed at capital gains as to the profits. So if you claim your Bitcoin Cash at $150 and wait to sell it at $2,000, you pay ordinary income tax on the $150 and capital gains on $1,850. You make out better in this respect than attempting to sell air drops and chainsplits at a loss.
“I think a lot of institutional traders don’t claim air drops and chainsplits because they are a risk. The IRS will probably go along with that. Because you don’t have a choice about receiving it.”
Crypto Tax Trick #4: Lost Coins Might Be A Theft Loss
Unfortunately, cryptocurrency funds lost to theft may not be deductible.
“The better answer is, it’s a theft loss. It wouldn’t be deductible if it’s a personal asset. Say you bought Bitcoin to buy your morning coffee or something like that. But if it’s on an exchange, it’s very unlikley to be a personal asset. Then it should be deductible if you can show that it was in fact stolen. There were some rulings around Madoff’s Ponzi scheme that say, it’s the same sort of thing, if you had your stuff stolen and you should be able to take the loss.”
He says that if you manage your own private keys, however, you’re going to have more trouble proving the loss than you would with something like the QuadrigaCX scandal.
All four of these tax tricks have yet to meet the real test of usability: court cases. However, Calvin says these are methods he uses to advise clients of Deloitte, one of the largest tax accounting firms in the world.
In a Brad Garlinghouse vs. Jamie Dimon crypto showdown, the Ripple chief is not the least bit intimidated by his Wall Street rival.
Ripple CEO Unloads on JPMorgan Cryptocurrency at DC Blockchain Summit
Garlinghouse was featured as the keynote speaker at DC Blockchain Summit 2019, where he gave a fireside chat with Nasdaq’s Jill Malandrino.
The elephant in the room, metaphorically speaking, was the recent news of Wall Street bank JPMorgan issuing the so-called “cryptocurrency JPM Coin for its institutional clients.
Garlinghouse, who has been known to sport red socks with his suit, didn’t back down from the line of questioning, even sounding like a team player at times for the industry:
“I think it’s great for the blockchain and crypto industry to have players like JPM leaning in. Thumbs up. That’s great. That’s the only nice thing I’m going to say about this.”
— ༜༝🅂🅃🅄🄰🅁🅃🅇🅁🄿💧⚡ (@stuart_xrp) March 6, 2019
Garlinghouse: JPM Coin Doesn’t Solve any Problem
According to Garlinghouse, it was only a matter of time for banks to enter the crypto fray. Nonetheless, for cryptocurrency and the blockchain industry to achieve mainstream adoption, products such as decentralized apps and coins must solve some type of problem for users. Garlinghouse went down that trail, exploring the limited use cases of JPM Coin.
For instance, JPM Coin resembles a stablecoin, given its 1:1 backing by the U.S. dollar. Institutional customers, however, must give the bank a dollar for every JPM Coin they transact in, after which time the cryptocurrency can only be moved within the confines of the centralized JPMorgan ledger.
“Wait a minute, just use the dollar”, Garlinghouse quipped, adding: “I don’t understand what problem that solves.”
As predicted, banks are changing their tune on crypto. But this JPM project misses the point – introducing a closed network today is like launching AOL after Netscape’s IPO. 2 years later, and bank coins still aren’t the answer https://t.co/39EAiSJwAz https://t.co/e7t7iz7h21
— Brad Garlinghouse (@bgarlinghouse) February 14, 2019
Ripple CEO: ‘I Don’t Get It!’
As a blockchain-powered cross-border payments startup, Ripple uses XRP in its flagship products for banks to settle payments with one another in a faster, cheaper way.
For instance, problems with the SWIFT network reportedly attracted one of Ripple’s most recent customers, Euro Exim Bank, to use XRP via xRapid for payments. Additionally, Brazil-based payments startup BeeTech Global is helping business owners in the Latin American region to achieve significant cost savings. BeeTech has traded in its SWIFT network fees for remittances for Ripple’s blockchain technology, with fees falling from “$20 to $2 per transaction in the process.”
JPM Coin is on the fringes of what Ripple does but stops short of displaying even a hint of decentralization, Ripple’s own argument surrounding decentralization notwithstanding.
Garlinghouse explained how he previously questioned a Morgan Stanley representative about whether that firm would be using JPMorgan’s crypto token, to which the response was “probably not.” He then went on to question whether Citi, Bank of America, or PNC would have any interest in JPM Coin, concluding: “The answer’s no.”
He lamented that if this means that “we’re all going to have these different coins,” the industry is back to square one with a lack of interoperability.
“I don’t get it,” he complained.
Here’s where he is willing to take one for the team, saying that even if the only problem that JPM Coin solves is “JPM being associated as they’re leaning into crypto, yay.”
Bitcoin (BTC) has kicked off the weekend trading up slightly but has still been unable to decisively move above $4,000, which has proven to be a key psychological resistance level for the cryptocurrency.Although Bitcoin has been able to climb consistently for the past several days, analysts now expect the cryptocurrency to fail to break above $4,000, which will likely lead the cryptocurrency to incur further losses in the near-future.Bitcoin Stable Above $3,900, But May be Losing SteamAt the time of writing, Bitcoin is trading up 0.4% at its current price of $3,950. Since earlier this week, BTC has been able to hold steady above $3,900, but it has failed to garner any significant buying pressure that could propel it above the key psychological price level of $4,000.Late yesterday, BTC fell sharply to lows of $3,880 before quickly surging to its current price levels. This price action may signal that the crypto has established the upper-$3,800 as a level of relative support.Although Bitcoin has been steadily climbing over the past several days, analysts still expect the cryptocurrency to incur greater selling pressure in the near future.The Cryptomist, a popular cryptocurrency analyst on Twitter, recently explained that Bitcoin is currently caught in a rising wedge that it is likely to break below in the near-future.“$BTC This is what I am seeing right now… Rising wedge, and a bearish divergence on the 4hr… I do expect us to drop from this wedge… Remember to ladder in profits from your current alt positions.”$BTCThis is what I am seeing right now
Rising wedge, and a bearish divergence on the 4hr
I do expect us to drop from this wedgeRemember too ladder in profits from your current alt positions pic.twitter.com/IA3B1C6nGC— The Cryptomist (@TheCryptomist) March 9, 2019Analyst: Bitcoin Likely to Drop Unless it Can Establish $3,920 as a Support Level Other popular analysts are currently echoing a similarly bearish sentiment to The Cryptomist, as UB – another popular analyst on Twitter – recently explained that he expects Bitcoin to continue facing increased selling pressure until it is able to firmly establish its current price region as a strong level of support.“$BTC – My shorts are beginning to fill. I’m not interested in closing my short position until Red ($3920 – $3940) is established as support… Regardless of the bullishness in the air, price is still at resistance.”$BTC – My shorts are beginning to fill. I’m not interested in closing my short position until Red ($3920 – $3940) is established as support.Key S & R levels for my short:– $3815.
– $3693.Regardless of the bullishness in the air, price is still at resistance.#Bitcoin pic.twitter.com/R0JlTcdFju— UB (@CryptoUB) March 9, 2019Over the past couple of months, the crypto markets have generally incurred increased levels of volatility during weekends, which may mean that analysts and traders alike may soon gain greater insight into which direction the markets are heading next.Featured image from Shutterstock.
Over recent weeks, overall sentiment in the crypto market has seemingly begun to express signs of turning optimistic. A number of polls conducted on Twitter indicated that investors, by and large, thought that a Bitcoin (BTC) bottom was in. Cryptocurrency commentators began to tout the merits of a bull rally in these depressed conditions. And bullish price predictions trended on Crypto Twitter.But, one analyst, who has yet to get fully inebriated on the improving market conditions, recently reminded his 100,000 plus followers that it would be wise to stay sober. Here’s why.Related Reading: Bitcoin (BTC) and Crypto Market Sentiment is Finally Beginning to Shift as Bears Lose SteamBitcoin Enthusiasm Is Bubbling, But Watch OutThe Crypto Dog, as the analyst is best known, noted that this space is entering that “awkward place” where market optimism is trending higher, as BTC creeps up-and-up. But, he notes that despite the positive conditions, Bitcoin and other cryptocurrencies remain at a key resistance level — BTC is seemingly trapped under the 800-pound gorillas that are the $4,200 and $4,000 in this case — with no “guarantees of breaking [them].”We’re at that awkward place in $crypto price action where we’re slowly trending higher, bullish enthusiasm is bubbling up, yet we are still at a serious resistance with no guarantees of breaking it.Over the past year, nearly every time this happened we broke down. Stay hedged.— The Crypto Dog📈 (@TheCryptoDog) March 8, 2019The self-proclaimed STEM dropout adds that every time BTC entered this market state in 2018, “we broke down,” likely touching on the moves the leading cryptocurrency made under $10,000, $6,000, among other key levels that only exacerbated the bear market when broken.Funny enough, he was initially correct in making his call. Hours after he issued the tweet, BTC fell dramatically, seeing a $100 candle to the downside. While this was a sort of an ‘aha moment’, Bitcoin and other cryptocurrencies have returned to the levels they were prior to the brief downturn, and continue to test the key support levels. As of the time of writing, it is unclear whether the assets will burst through.Make No Mistake, Crypto Developments Remain StrongIn spite of Crypto Dog’s wary comment, this recent quip comes just days after he took to Twitter to lay out his rationale why BTC bears should “shut up.” For those not keeping an eye on the analyst’s feed, the following is a list of factors accentuating that by many measures, this space is doing better than ever.Crypto Dog remarked that Starbucks’ purportedly incoming acceptance of Bitcoin transactions and Binance’s partnership with the Argentinian government should give investors a reason to keep their heads up high. He also drew attention to the launch of Fidelity’s cryptocurrency platform, Jack Dorsey’s continued enamorment with Bitcoin, historical market trends, and Binance’s most recent push to bolster industry health through innovation.Featured Image from Shutterstock
Much to the ire of cryptocurrency advocates, the general public tends to conflate blockchain – which is the tech underlying cryptocurrencies – and the digital assets themselves. Despite their strong connections, the two technologies are separate in many ways, and many analysts believe that as the general public becomes more interested in blockchain, they will eventually grow more comfortable with blockchain-powered digital currencies.Now, data composed by The Next Web that was ascertained from Glassdoor signals that the United States currently has an edge over China with regards to blockchain-related job growth as the two countries engage in a quasi-blockchain employment arms race.The Blockchain Job Market is BoomingIn late-2017 and early-2018 blockchain became a piping hot hype word that was widely associated with cryptocurrencies – which at the time were experiencing massive, albeit unsustainable, growth.Although the hype surrounding crypto has faltered as the ongoing bear market persists, job growth relating to the blockchain industry is on the up-and-up, and recent data signals that some major US-based companies are leading the hiring charge.According to the data set, out of the 5,711 blockchain jobs being advertised on Glassdoor globally, employers in the United States account for half of all those jobs, followed by the UK, and then India.Of the employers that account for the majority of these job openings, IBM takes the cake, as the tech-giant currently has nearly 110 open job positions for people familiar with the relatively new technology.Other notable companies with an abundance of blockchain-related job openings are Ernst & Young, Oracle, Deloit, and PWC.Interestingly, of the top ten companies with an abundance of job openings, only three are directly related to cryptocurrencies, with Foris Limited coming in at number four, Crypto.com at number nine, and Wirex at number ten.China Could be the United States’ Main Blockchain Competitor, Despite DataAlthough the Glassdoor data places China quite far down on the list of countries with large blockchain-related job offerings, The Next Web importantly notes that because Glassdoor is a US-based, English-centric, site, the results may be skewed.A report from PWC UK in late-August of 2018 explained that China is only a hair behind the US when it comes to development of the nascent tech, and that the rapidly growing country is widely expected to overtake the US when it comes to development in the next three to five years.As the digital ledger technology industry continues to grow by leaps and bounds every month, it is likely that the technology’s inexorable ties to cryptocurrency will ultimately lead some of this development to spill into the crypto industry.Featured image from Shutterstock.
According to a user on the Bitcoin subreddit, there is an exploit on a common version of WinRAR that enables the potential theft of coins. The bug, which allowed executable code to be inserted on a system after opening a RAR file, has apparently existed for 14 years but is only recently coming to light. Now that it’s common knowledge, exploits are likely to be written for unpatched systems.
WinRAR Patches Problem, Drops ACE
Updating WinRAR to the latest version (from an official source) will patch the problem. But WinRAR is one of the most common pieces of software out there, with an estimated 500 million users.
The user writes:
“Here is how it works. You open the wrong rar file with an unpatched version of winrar and a payload is dropped in to your windows startup folder. Which means on reboot you will load up an exe. And nobody ever updates their winrar. […] So there are probably at least a 100 million computers with an unpatched version of winrar on it.”
Crypto: Only As Secure As Its Operating Environment
Enabling the execution of code means that something designed to circumvent or steal the contents of Bitcoin wallets could pretty easily proliferate. Bitcoin shouldn’t be used on general purpose computers in the first place. If it is, anti-virus software is a must. It all depends on what you’re willing to risk. Some people only store their coins in “cold” (offline) wallets. Others only use hardware wallets.
The bug is a result of a library that WinRAR relies upon to process ACE archive files. The most obvious execution method would require an escalation of WinRAR’s privileges. So the researchers who discovered the bug figured out a way to execute with typical privileges by moving the exploit around on the hard drive. WinRAR has decided to no longer support ACE files.
“WinRAR has always been known for its wide support of all popular compression formats. […] Since UNACEV2.DLL had not been updated since 2005 and access to its source code is not available, the decision was made to drop ACE archive support starting with WinRAR 5.70. Now, after the launch of the final and stable version of WinRAR 5.70, upgrading immediately to the new 5.70 version is highly recommended.”
The episode underlines a consistent problem with crypto security: we are only as secure as the environments we operate in. Windows is historically the least secure but most popular operating system. Good security practices are crucial if one is attempting to store any significant amount of cryptocurrency. Unlike a previous era where hacks and exploits might at most be an annoyance, the age of crypto means that attackers have a direct financial incentive to compromise any aspect of an operating environment.
Prospects for the crypto space remain bright. Over the past week, Wall Street giant Fidelity Investments has soft-launched its digital asset branch, Starbucks is purportedly looking to accept Bitcoin, and Twitter CEO Jack Dorsey has only doubled-down on his support for BTC and its respective ecosystem.Crypto Tidbits:Fidelity’s Crypto Branch Live, Serving Select List Of Clients: At long last, it has been officially confirmed that Fidelity Digital Asset Services (FDAS), the first fully-fledged crypto platform backed by Wall Street, has gone live. In a number of interviews with cryptocurrency outlets this week, Tom Jessop, a former Goldman Sachs executive turned head of FDAS, explained that his brainchild’s offerings are live for a select list of “eligible clients.” Jessop adds that at the moment, the platform only supports Bitcoin, and will be staving off its verdict on Ethereum due to impending blockchain upgrades. Regardless, many were enthused by this offering, claiming that this could be the match that could revive the once-bustling cryptocurrency market.BlockFi Launches 6.2% Interest Account For Bitcoin And Ethereum: Popular crypto startup BlockFi has revealed its latest offering, giving its clients a way to stack satoshis and gwei amid a bear market. As we reported this week, the New York-headquartered company, which raised $52.5 million from investors like Novogratz’s Galaxy Digital last July, will allow users to deposit a minimum of one BTC or 25 ETH to get a 6.2% APR, denominated in cryptocurrency. The Winklevoss Twins’ Gemini Trust will be backing the novel offering through custody, which has full insurance coverage. While the “interest account” has a solid premise, some were fearful that this could push the crypto market lower, with skeptics of BlockFi drawing attention to the rehypothecation of cryptocurrency.Starbucks May Launch Support For Bitcoin Through Bakkt: According to an exclusive report from The Block, which cited sources familiar with dealings, Starbucks may be launching support for digital asset payments in the coming months. The Block founder Mike Dudas took to Twitter to divulge the news, remarking that Starbucks received a significant stake in Bakkt, a crypto startup headed by the Intercontinental Exchange, in exchange for “commitment to allow Bitcoin payments in store in 2019.” Bakkt’s software will purportedly facilitate these payments, which will be instantly converted from cryptocurrencies into fiat currencies.Jack Dorsey Still Enamored With Bitcoin: Just weeks after he revealed that he would look into integrating the Lightning Network into Square, Twitter CEO Jack Dorsey has revealed that he has purchased $10,000 in BTC in the past week alone. Rumor on the block(chain) claims that Dorsey is accumulating this much, if not more, each and every week. In a tweet, he went on to laud Trezor, revealing that he had purchased a hardware device from the cryptocurrency firm through Cash App.QuadrigaCX’s Bitcoin Wallets Have Been Empty Since Early-2018: Big Four auditor Ernst & Young has confirmed that addresses tied to the embattled QuadrigaCX have been left out to dry for months. The firm revealed that the exchange’s Bitcoin wallets have been empty since 2018. Not just late-2018, but in April 2018. The auditor claims to that contrary to the affidavit filed by Jennifer Robertson, Cotten’s widow, there are not dozens of millions worth of BTC in the QuadrigaCX-linked addresses, but “nil.” Ernst & Young’s report comes just days after James Edwards, an independent blockchain researcher, noted that 649,708 Ether, valued at over $100 million at their transfer date, left the exchange’s Ethereum wallets for user accounts on Bitfinex and Poloniex in December 2018, just days before founder Gerald Cotten died.Crypto Startup Circle Looking To Secure $250 Million: According to an exclusive report from business media resource The Information, which cited a person familiar with exclusive information, Circle is looking to get a nine-figure cheque for some of its equity and debt. Insiders told the outlet that the world-renowned cryptocurrency startup, backed by Wall Street powerhouse Goldman Sachs, is looking for $250 million in this latest round, which remains unannounced to the public audience. While this is unconfirmed hearsay, analysts claim that more likely than not, this deal is likely in the works. In an interview, technology entrepreneur Jeremy Allaire of the company noted that his company is seeking alternative capital raising structures.France May Ban Privacy-Centric Cryptocurrencies: Forbes reports that the Finance Committee of France’s National Assembly has overtly claimed that it would be appropriate to ban all digital assets focused on providing greater anonymity to its users, including Monero and ZCash. The regulator cites the fact that this subset of cryptocurrencies can pose a heightened risk of money laundering, among other crimes.Featured Image from Shutterstock
“Blow To Bitcoin As Mark Zuckerberg Warns Facebook Payments Are Coming
“Bitcoin, which has recently attracted the attention of some of the world’s biggest technology entrepreneurs, is likely to soon get a major competitor:
Mark Zuckerberg’s social networking giant Facebook.”
Last week Nathaniel Popper and Mike Isaac at the New York Times revealed leaks from multiple sources that Facebook is secretly working on a cryptocurrency to rival bitcoin for digital peer to peer payments, hoping to accomplish with scale, trust, and clout what Bitcoin has forged out of a trustless, distributed, peer to peer network architecture:
“Facebook and Telegram Are Hoping to Succeed Where Bitcoin Failed
“The most anticipated but secretive project is underway at Facebook. The company is working on a coin that users of WhatsApp, which Facebook owns, could send to friends and family instantly, said five people briefed on the effort who spoke on the condition of anonymity because of confidentiality agreements.”
Facebook’s Cryptocurrency Sounds Like It Will Be JPM Coin All Over Again
Facebook payments is not a blow to bitcoin.
First of all news of FB Coin hasn’t scared the price of BTC down, so the money doesn’t think news of Facebook’s cryptocurrency for its message app is a blow to bitcoin.
This is probably going to be the same thing as J.P. Morgan’s JPM Coin, a stablecoin used as an accounting system to move dollars around. Nothing interesting to see here. And nothing that comes close to dealing a blow to bitcoin. It doesn’t even compete with bitcoin.
And it isn’t “hoping to succeed where bitcoin failed.” Bitcoin didn’t fail. It succeeded. It’s the largest scale deployment of public key cryptography in history.
By civilians. To secure banking and financial transactions on an open, transparent, trustless, decentralized, peer to peer network governed by checks and balances that encode an economic philosophy into a network architecture.
Facebook isn’t even trying to compete with that. It’s building something else that’s the opposite of that, something that has already existed in many forms.
Facebook Payments is A Blow to Bitcoin Like Google Plus Was a Blow to Facebook
Facebook says just trust us to be responsible for not only your privacy, but now your financial privacy and the security of your money? People would have to go crazy to buy into that!
Letting Facebook do your banking. Does Zuckerberg think we’ve all lost our minds?
Get your popcorn ready and enjoy the show. Facebook’s attempt to create a cryptocurrency might fall just as flat as Google’s attempt to create a social media platform with Google Plus.
Sometimes all the brute scale in the world isn’t enough to successfully copy something truly special and completely different someone else has made.
Do you think people will honestly use the most popular messaging app to send Facebook’s coin that isn’t good for anything else except sending to someone else over Facebook?
Or the most popular cash app that they are already using for payments to keep sending dollars and to send bitcoin, the world’s most highly sought after digital currency?