Topics

31

Crypto Discussion / facebook secures support from dozens of new firms for its crypto project

« on: June 15, 2019, 07:58:48 AM »

Social media platform Facebook has reportedly secured support from dozens of players in the cryptocurrency and blockchain sector for its forthcoming digital currency. The overall roster was announced by technology-focused media outlet the Block on June 14.

Earlier today, news broke that Facebook has allegedly sealed backing from over a dozen firms that include Visa, Mastercard, PayPal and Uber for its soon-to-be-unveiled cryptocurrency project, dubbed “Libra.” Together, these investors form the Libra Association.

The materials cited by the Block indicate that the consortium formed to govern the project will also include investors such as venture capital firms Andreessen Horowitz and Union Square Ventures, cryptocurrency exchange Coinbase, and non-profit organizations including Mercy Corps. Among other members, the news outlet named stakeholders from various industries, including telecommunications, e-commerce, and media.

The full list of the Libra association founding members, which Facebook is reportedly planning to announce next week:

A source familiar with the matter told the Block that the company is aiming to attract 100 members in the governing consortium. If all goes according to plan, Facebook will purportedly secure $1 billion from the 100 participants as it is reportedly charging each member $10 million to manage their own node.

Earlier today it was announced that Facebook had hired Standard Chartered Bank’s head of public affairs Ed Bowles in anticipation of the greater regulatory scrutiny in Europe over its plans to launch its crypto asset and other financial services to its 2.4 billion users. Bowles will join the company in September, and is set to serve as the company’s London-based director of public policy.

Today, global investment bank RBC Capital analysts Mark Mahaney and Zachary Schwartzman said that Facebook’s long-rumored stablecoin project “may prove to be one of the most important initiatives in the history of the company.”


Source

32

Crypto Discussion / coinbase earn now supports ethereum based dai stablecoin

« on: June 15, 2019, 02:44:16 AM »

Major crypto platform Coinbase has added a course on MakerDao’s stablecoin dai in its educational portal Coinbase Earn, according to an official blog post by Coinbase on June 10.

According to the post, dai is the first stablecoin covered by Coinbase Earn, which will offer videos and quizzes to help users learn about the token, and receive some Dai for their efforts.

As summarized in the announcement, the Ethereum-based stablecoin Dai is backed by its sister token maker (MKR) and is balanced around retaining a stable value of $1 over time.
Coinbase first announced that they were adding dai to their exchange on May 23. At the time, Coinbase commented that it would be available in most jurisdictions with the exception of New York.

As previously reported by Cointelegraph, dai has been worth less than a dollar — lower than its stated goal — for much of 2019, which has sparked at least five voting sessions centered on rebalancing the coin’s value via increasing its stability fee.

Coinbase also comments that it anticipates earning in general to grow into a relevant crypto-based activity, ranking alongside the known areas of buying, staking, voting, and mining.

Coinbase Earn launched on May 18, following its announcement near the end of 2018. It purports to be a solution for potential investors who are interested in crypto, particularly ones less prominent than bitcoin (BTC), but are reluctant to invest without more information:

“...one of the biggest barriers preventing people from exploring a new digital asset was a lack of knowledge about that asset. Many of the people we surveyed expressed a strong desire to begin learning about new and different crypto assets beyond Bitcoin, but didn’t know where to begin.”


Source

33

Crypto Discussion / cryptocompare and refinitiv to jointly build real time crypto futures dataset

« on: June 13, 2019, 12:10:18 PM »

Crypto derivatives platform BitMEX and provider of crypto data CryptoCompare will jointly build a real-time crypto futures dataset, according to a press release shared with Cointelegraph on June 10.

The BitMEX cryptocurrency futures dataset is designed for institutional investors, and will be delivered to financial markets data provider Refinitiv through the CryptoCompare contributions conduit. The tool will eventually be integrated into the Refinitiv Eikon, a set of software products for financial professionals to monitor and analyze financial information.

The product is set to increase transparency and confidence in the cryptocurrency markets and subsequently attract greater institutional participation in the digital asset class. Commenting on the initiative, BitMEX CEO Arthur Hayes said:

“When it comes to trading, good decision-making depends on access to solid data insights. We are pleased to deliver a new wealth of data on cryptocurrency futures for institutional investors that can contribute to their overall confidence throughout their decision-making process.”

CryptoCompare initially entered into a partnership with information company Thomson Reuters last July to provide order book and trade data on 50 cryptocurrencies for the Eikon platform.

At the time, CryptoCompare founder and CEO Charles Hayter stated that as the markets mature, they had seen rising interest from institutional investors.

In April, Nasdaq added Brave New Coin’s XRP Price Index to its global data service, having added Brave New Coin’s Bitcoin Liquid Index (BLX) and Ethereum Liquid Index (ELX) in February.


Source

34

Crypto Discussion / dubai real estate department signs mou with telecom firm to implement blockchain

« on: June 12, 2019, 11:53:13 AM »

The Dubai Land Department (DLD) and telecoms firm Etisalat have signed a memorandum of understanding concerning real estate blockchain technology, United Arab Emirates-based outlet Gulf Today reported on June 10.

The DLD works under the Executive Council of Dubai in real estate-related services, while Etisalat is a multinational, Emirati firm that serves 15 countries in the Middle East, Asia and Africa.

Both parties have said they aim to implement smart government standards and introduce paperless management and digital contracts for property transactions.
Sultan Butti Bin Mejren, DLD’s director general, said the agreement is part of an ambition to make Dubai “the smartest city in the world.”

Gulf Today notes that the MoU has the goal of improving registration and verification processes, speeding up transactions while keeping all parties involved safe.

As reported by Cointelegraph, a blockchain platform built by one of the United Arab Emirates’ two telecoms operators was officially endorsed by the government back in April.

Last month, the Enterprise Ethereum Alliance (EEA) released a report detailing several blockchain use cases relevant to the real estate industry. The reported stated that the technology has the potential to make land registries trustless, increase transparency and make it easier to transfer properties.

In April, two major British banks, Barclays and the Royal Bank of Scotland, joined a blockchain trial designed to streamline real estate purchases.


Source

35

Crypto Discussion / russian parliament considers imposing fines on crypto mining by end of june

« on: June 11, 2019, 03:16:03 PM »

Russia’s parliament, the State Duma, is considering imposing administrative responsibility for the mining of cryptocurrencies, local news outlet TASS reported on June 7.

In an interview with TASS, Anatoly Aksakov, the chairman of the State Duma Committee on the Financial Market, said that the government may introduce administrative responsibility for digital currency mining by the end of June. Aksakov stated:

“I note that any operations with cryptocurrency that are contrary to the Russian legislation will be considered illegitimate. This means that mining, organizing issuance, circulation, creating exchange points for these tools will be prohibited. Administrative liability in the form of a fine will be incurred for such actions. We believe that cryptocurrencies created on open blockchains such as bitcoins, ethers, and others are illegitimate tools.”

Aksakov, however, stressed that despite the mining ban in Russia, it is still possible to own bitcoin (BTC) if it was acquired under foreign law at foreign sale and exchange points.

He also suggested that a mainstream interest in bitcoin could appear again once the speed of transactions increases.

Russia’s major crypto bill, “On Digital Financial Assets,” had been approved by the Russian parliament in May 2018, but was subsequently sent back to the first reading stage after reports of its lack of major key concepts such as crypto mining, cryptocurrencies, and tokens.

Russia has since further postponed the adoption of the crypto legislation due to a requirement from the Financial Action Task Force on Money Laundering (FATF) concerning the addition of the crypto-related terms.

Earlier in June, Lyudmila Novoselova, chairman at the Court for Intellectual Rights of Russian Federation and a judge at the Supreme Arbitration Court, had also argued that the term digital assets should be included in the Russian Civil Law.


Source

36

Crypto Discussion / g20 finance leaders ask global regulators to consider multilateral

« on: June 10, 2019, 03:24:18 PM »

G20 finance ministers and central bank governors have asked the Financial Stability Board (FSB) and global standard-setting organizations to monitor risks around crypto assets. The request was made in a joint communiqué published on the website of Japan’s Ministry of Finance on June 9, following the G20 meeting held in Fukuoka, Japan.
The leaders that cosigned the document state that they urge relevant institutions to give greater consideration to crypto assets and consider appropriate action:

“We ask the FSB and standard setting bodies to monitor risks and consider work on additional multilateral responses as needed.”

The joint statement also points out that “technological innovations, including those underlying crypto-assets, can deliver significant benefits to the financial system and the broader economy.” This exact sentence was also included in the document released after the G20 summit held in July last year in Buenos Aires. After expressing such optimism, the authors of the paper also raised concerns over those technologies:

“While crypto assets do not pose a threat to global financial stability at this point, we remain vigilant to risks, including those related to consumer and investor protection, anti-money laundering (AML) and countering the financing of terrorism (CFT).”

The latest statement notes that the involved parties look forward to the adoption of the Financial Action Task Force’s (FATF) Interpretive Note and guidance on crypto assets “at its [FATF’s] plenary later this month.” The leaders also state that they reaffirm their commitment to applying the recently amended FATF standards for crypto.

The document also states that the finance ministers and central bank governors welcome work concerning crypto carried out by international regulatory bodies, the International Organization of Securities Commissions and the FSB.

As Cointelegraph reported yesterday, blockchain analysis firm Chainalysis, which has “engaged directly with global regulators,” noted that it would be surprising if the involved parties agree on something new during the G20 summit this year.

In April, Japanese media reported that during the meeting of central bank governors and finance ministers in Fukuoka, leaders were expected to establish new AML regulations.


Source

37

Crypto Discussion / weiss crypto ratings downgrades eos due to centralization concerns

« on: June 09, 2019, 02:30:50 PM »

United States-based financial research firm Weiss Ratings announced that it has downgraded its rating of cryptocurrency EOS because of the blockchain’s “serious problems” with centralization. Weiss announced the report in a tweet published on June 7.

In the tweet, Weiss Ratings claims that the cryptocurrency in question has severe centralization issues and that “their event last week did anything to alleviate that,” evidently referring to an event hosted by EOS developer, Block.one on June 1. Weiss decided to lower EOS’ technology score, given the development.

The tweet also hinted that fellow top crypto ADA is next in line to prove itself as a decentralized proof-of-stake (PoS) blockchain system:

“It’s now up to #ADA to launch a truly decentralized #PoS #blockchain. No pressure.”

This is a drastic change in the company’s outlook towards EOS. As Cointelegraph reported in March, Weiss had previously put EOS beside bitcoin (BTC) and XRP and in its report on emerging trends in crypto markets.

At the time, EOS received an A grade as the leading cryptocurrency that is challenging Ethereum in an attempt to become the “backbone of the new internet.”

During its June 1 event, Block.one announced a blockchain-based social media platform called Voice, which allegedly will use the EOS blockchain to provide transparency on how it operates.


Source

38

Crypto Discussion / republic of san marino issues regulatory policies on tokens token offerings

« on: June 08, 2019, 01:37:59 PM »

The captains regent of the Republic of San Marino, Nicola Selva and Michele Muratori, have issued a governmental decree on blockchain tech for businesses, according to a recent document.

The new decree outlines procedures for registering a blockchain-based organization with the “Istituto per l’Innovazione della Repubblica di San Marino,” or San Marino Innovation Institute. 

According to the decree, blockchain-based organizations in the Republic of San Marino, the EU, or any country not classified as “high risk” and also considered relevant to the purview of San Marino legislation, may apply for registration with the institute.

The institute sets out to provide regulatory certainty, as well as supervision and enforcement of those regulations — and an anti-money laundering (AML) policy — particularly for initial token offerings (ITOs or ICOs). The institute distinguishes between utility tokens and security tokens with respect to ITOs, which are defined as follows:

”Utility tokens … shall be regarded as vouchers for the purchase of services or goods offered by the Blockchain Entity… Security tokens … shall be digital assets which represent, alternatively, depending on the underlying instrument: a) participating instruments of the issuer; b) debt securities of the issuer.”

The decree also includes tax policies for utility tokens and security tokens. Utility tokens, notably, will be treated as foreign currency for tax purposes. Security tokens, on the other hand, will be treated as participating equity instruments or debt securities, depending on the nature of the security token. Lastly, both types of token will be exempt from standard income tax for the purpose of “income generated through operations” using the tokens.
As previously reported by Cointelegraph Italy, the decree was initially presented in Milan on February 28.

In the United States, a member of congress recently testified before the House of Representatives Ways and Means Committee. Congressman Ted Budd argued that cryptocurrencies should have the same de minimis tax exemption accorded to foreign currencies.


Source

39

Crypto Discussion / bitfinex subsidiary hybrid crypto exchange ethfinex trustless launches decentral

« on: June 07, 2019, 04:15:24 PM »

Bitfinex-owned hybrid cryptocurrency exchange Ethfinex Trustless announced the launch of its on-chain decentralized over-the-counter (OTC) service in a press release shared with Cointelegraph on June 3.

The system allegedly has no centralized order book or matching engine, and only financial instruments are restricted from the platform. Furthermore, the press release claims:

“Customers can trade any ERC20 token, and even specify custom Ethereum addresses for tokens which are not currently listed on any exchanges.”

Per the release, the new system uses blockchain to enforce an OTC transaction as an atomic swap. This removes the need for an escrow, according to the release, and reportedly “opens up OTC to anyone through significantly lower fees at 0.02%,” as the release claims those fees are usually 2% to 5% on traditional OTC desks.

The press release notes that Ethfinex Trustless OTC has no Know Your Customer (KYC) or signup process, but that people residing in the United States and other restricted countries are not permitted access to the service.
As Cointelegraph reported yesterday, the decentralized exchange (DEX) developed by major cryptocurrency exchange Binance will block website access to users based in 29 countries, including the U.S.

Also this week, Finnish P2P bitcoin (BTC) trading platform LocalBitcoins apparently removed its cash trading option from its service, according to online reports. The company had reported in February that it would be working towards compliance with European Union Anti-Money Laundering/KYC standards.

Source

40

Crypto Discussion / brazilian banks to implement new hyperledger powered digital id platform

« on: June 07, 2019, 06:52:34 AM »

Brazilian banks will be implementing a new standardized blockchain identity solution powered by the Hyperledger Fabric-platform, Cointelegraph Brazil reported on June 2.

The identity solution — co-developed by IBM and the country’s central bank, CIP — is reportedly to be integrated into the Brazilian Payment System (SPB) — a system used by all banks and financial institutions in the country.

The new blockchain platform has reportedly been designed to authenticate and verify digital identities for users’ bank accounts by using an individual’s mobile phone and SIM card information in combination with other smartphone-derived personal data.

Cointelegraph Brazil reports that the combined data will be used to generate a secure ID recorded on a blockchain that can be used by institutions to authenticate access credentials.

Both IBM and the central bank have reportedly confirmed that a new bank-focused blockchain platform will be launched during major Latin American banking technology event CIAB Febraban on June 11. Neither have officially confirmed the full details of the product, however.
Once launched, the platform is expected to be the first multi-institution banking solution powered by blockchain, Cointelegraph Brazil notes. 

As recently reported, prominent Brazlian bank, Banco Bradesco, joined enterprise blockchain consortium R3’s Marco Polo blockchain network for trade finance this May. Bradesco is among Brazil’s leading banks, with total assets worth $338.2 billion and a market capitalization of $49.1 billion.

In February, a Cointelegraph analysis piece reported on the burgeoning development of blockchain-based digital ID platforms across the banking and corporate sectors worldwide.

Source

41

Crypto Discussion / okex subsidiary oklink to launch usd pegged stablecoin usdk

« on: June 05, 2019, 03:40:38 PM »

Global settlement firm OKLink, a sister company of major cryptocurrency exchange OKEx, will launch its stablecoin today, June 3, an OKEx representative told Cointelegraph.
In an email sent to Cointelegraph, the OKEx rep specified that the stablecoin — dubbed USDK — will be launched today in partnership with United States-based custodian Prime Trust.

On June 2, OKLink posted scans of the agreement between OKLink and Prime Trust on Twitter.
At the end of last month, Star Xu — founder of exchange services provider OKCoin and OKEx — announced OK Group’s partnership with the trust company and plans to launch a stablecoin.

Prime Trust is also one the trust companies that manages the escrow accounts holding collateral for competitor stablecoin, TrueUSD.

The firm is also reportedly the partner that enables fiat trading on the U.S.-based version of top cryptocurrency exchange Huobi.

OKEx is currently the world’s second largest crypto exchange by adjusted daily trade volumes, seeing $1.8 billion in trades over the past 24 hours to press time.

As Cointelegraph reported in March, OKEx is developing its own decentralized exchange (DEX) and blockchain, called OKChain. The chain is reportedly already in the final development stage and the company expects to launch the testnet this month.

Yesterday, Cointelegraph reported that the so-dubbed decentralized exchange developed by major cryptocurrency exchange Binance will block access to users based in 29 countries. The DEX informs potential users of the restriction via a message that appears when accessing the platform from one of the blocked regions.


Source

42

Crypto Discussion / crypto advocates clash over regulatory approaches

« on: June 04, 2019, 11:31:56 AM »

It is easy to think of the most prominent blockchain advocates as a united front, whose ranks are tightly closed in the face of the common enemy — a horde of fierce crypto critics, unwieldy regulators, anti-money laundering zealots, “bitcoin is a scam”-ers, and the stakeholders of the old, centralized financial system. On this battlefield, the crypto camp’s fundamental positions are aligned, and its strategic goals are clear. However, in the times of armistice, blockchain champions get together by the campfire to ponder the important details of their common cause, and — astonishingly — at times, they disagree.

This time around, the metaphorical campfire was lit at the MIT Technology Review's Business of Blockchain 2019 conference, which took place on May 2 on the premises of the Massachusetts Institute of Technology’s Media Lab. One of the panels saw Caitlin Long — the woman who is spearheading Wyoming’s transformation into what she herself called the “Delaware of crypto law” — have a deferential yet rather intense exchange with Coin Center’s director of research, Peter Van Valkenburgh, one of the industry’s most eloquent speakers who is known for many notable deeds — for example, standing up for crypto to a bully last October.

The panel, which also featured MIT professor and former Commodity Futures Trading Commission (CFTC) Chairman Gary Gensler, was on crypto regulation, and the main point of contention was whether it is better done on the federal or state level. While they were ultimately concerned about the same thing — i.e., the backwardness of the United States’ regulatory environment that can chase promising startups away to more friendly jurisdictions — Long and Van Valkenburgh offered two drastically different visions of the best way to go about the issue.

Source

43

Crypto Discussion / wef head of blockchain sheila warren this tech can solve the trust crisis

« on: June 02, 2019, 03:42:41 PM »

Head of Blockchain and Distributed Ledger Technology at the World Economic Forum (WEF), Sheila Warren, claims that blockchain could be a solution to the worsening trust crisis globally. Warren made her comments during an interview with Cointelegraph on May 31.

During the interview, Warren claimed that public trust towards governments, banks, media and institutions, namely in the U.S., is “rapidly eroding.” She then noted that she thinks that blockchain, if used correctly, can be a solution to this problem:

“This technology could provide access to information that could enable third parties or other groups to actually come in and conduct audits of what is happening. And I actually think that could build faith back in institutions.”

Warren then continued explaining that she believes the implementation of such auditable systems would be laborious but being able to prove the fairness of public processes and the authenticity of various media would bring vast benefits. She also said that — if not solved — the trust crisis she referenced will have far reaching consequences:

“In my opinion that [erosion of public trust] is one of the biggest crises we face. Because you’re going to rapidly move towards anarchy and that is a deep, deep problem.”

Warren also admitted that had owned some bitcoin (BTC) “almost as a joke,” but she did not make the connection between bitcoin and blockchain for quite some time and it wasn’t until later that he learned about blockchain. She noted:

“It took about another three years from when we first bought bitcoin for me to understand what blockchain was.”

Warren also pointed out that the six councils recently formed by the WEF, dedicated to the fourth industrial revolution — which are also dedicated to blockchain technology — are also meant to be a trusted place for world leaders to experiment and share their challenges, concerns and success stories involving technology.

At the beginning of the current month, news broke that the WEF has teamed up with over 100 global supply chain and logistics leaders to standardize blockchain apps in the industry.


Source

44

Crypto Discussion / bahamas national cryptocurrency developer says startups essential for adoption

« on: June 01, 2019, 02:05:56 PM »

United States-based blockchain intelligence firm Chainalysis claims that 64% of ransomware attack cash-out strategies involve the laundering of funds via cryptocurrency exchanges. The data was revealed in a Chainalysis webinar attended by Cointelegraph on May 30.

A ransomware attack involves the infection of a target with malware and the demand of a ransom payment — frequently denominated in cryptocurrencies. The payment is demanded in return for the ostensible delivery of a decryptor tool that can help victims recover access to their data.

Chainalysis — which provides blockchain analytics tools that enable firms, governments and law enforcement to monitor blockchain transactions and track suspected illicit activities — claims that 64% of ransomware attackers launder their ill-gotten funds via crypto exchanges.

Chainalysis has ostensibly identified 38 exchanges — without disclosing their names — that directly received funds from an address associated with a ransomware attack.

Among other ransomware cash-out strategies analyzed, 12% involved mixing services and 6% involved peer-to-peer networks, while others went via merchant services providers or dark web marketplaces. 9% of ransomware proceeds reportedly remain unspent.

The analysis also noted that ransomware attacks typically involve less complex cash-out networks as compared with crypto exchange hacks. Chainalysis argued that this is because a hack often involves a large amount of money leaving a known exchange, often attracting high media publicity, and requiring that hackers conceal the flow of funds more robustly.

By contrast, ransomware campaigns typically involve smaller discrete sums to multiple addresses and are ostensibly less publicized, thereby avoiding intense, immediate scrutiny.

In addition to cash-out strategies, Chainalysis also identified a shift in the ransomware threat landscape. Previous trends, according to the firm, had been to conduct wide and shallow attacks — infecting a large amount of indeterminate victims and seeking small amounts as a ransom to decrypt files. Recent trends, however,  indicate that criminals are shifting to targets with legally or politically sensitive data, as well as raising the amount of ransom payment demanded.

As recently reported, Coveware’s Q1 2019 Global Ransomware Marketplace report revealed that bitcoin (BTC) continues to account for the lion’s share — 98% — of crypto-denominated ransomware payments. The report, echoing Chainalysis’ claims, found that the average sum demanded had risen 89% from a median $6,733 in Q4 2018 to $12,762 in Q1 2019.


Source

45

Crypto Discussion / russia raiffeisen bank introduces blockchainplatform for corporate settlements

« on: May 31, 2019, 04:34:25 PM »

Raiffeisenbank, a Russian subsidiary of Austria’s Raiffeisen Bank International (RBI), has developed a corporate blockchain platform, the bank announced in a press release on May 31.

Targeting holding firms, the new blockchain platform claims to automate settlements by corporate clients and enable a trusted network for sharing data between a group of companies, the press release notes. Specifically, the product reportedly automates the process of supply settlements between buyers and suppliers, as well as providing tools for financial management.

While the product was reportedly developed by Raiffeisenbank at the request of major local sleep products manufacturer Askona Life Group, the new blockchain platform is available for the bank’s other corporate clients.

Evgeniy Kirillov, investment manager at Askona Life Group, claimed that Raiffeisenbank’s blockchain product allowed the company to reduce labor costs by more than 40%, as well as to reduce human error risks to zero.

Previously, Raiffeisenbank had partnered with Russian government-owned oil giant Gazprom Neft to issue a bank guarantee on blockchain.

Raiffeisenbank’s Austrian parent company RBI had also recently announced a blockchain trade finance pilot based on blockchain consortium R3’s Corda enterprise blockchain platform Marco Polo. The platform counts major global banking institutions, including BNP Paribas, ING and Sumitomo Mitsui Banking Corporation, among those using its services.

 Source