Category Archives: Cryptocurrency

Business, Cryptocurrency, Economy, Featured, Podcast, Technology

Elon Musk Wrong About Bitcoin Energy Consumption?

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ELON MUSK Wrong About Bitcoin Energy Consumption? – powered by ise.media

Elon Musk and Janet Yellen are suddenly ‘concerned’ about Bitcoin’s environmental impact. But is Bitcoin really that harmful? Our interview with Bob Burnet explains just how wrong their statements are and how Bitcoin is actually paving the way for energy efficiency.

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Cryptocurrency

Why SmartCash is “Smart for Business”

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If you run a small business or restaurant, you want to be keep your costs low, provide great customer service, and always bring in new clients. The great thing is that you’re perfectly situated to participate in the new global cryptocurrency economy.  Here are two ways that SmartCash could be great for your business.

Accept SmartCash Payments with SmartPay: https://business.smartcash.cc/

SmartCash Makes Payments Simple and Easy: https://youtu.be/blX4TpiHmTc

The Business Benefits of Accepting Cryptocurrency: https://smartcash.cc/the-business-benefits-of-accepting-cryptocurrency/

Find Businesses that Accept SmartCash: https://find.smartcash.cc/

 

Cryptocurrency, Economy, International, Technology

Bank of England Releases Working Paper on Central Bank Digital Currency Models

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Earlier this month, the Bank of England released a working paper that describes three different central bank digital currency (CBDC) models, providing an outline of how it would operate in the banking industry, as well as possible scenarios of risk and financial stability issues.

The three outlines construct models depending on the sectors with access to CBDC.

The Financial Institutions Model

This model reportedly limits access to banks and non-bank financial institutions (NBFIs). This model is described as seemingly similar to reserve assets of the central Bank of England; however, there are differences including “broader access and different functionality and core purpose.”

Financial institutions would “interact directly with the central bank to buy/sell CBDC in exchange for eligible securities.” Regarding this mode, the BoE notes that “it is assumed that there are no institutions that provide an asset to households and firms that is fully backed by central bank money, even though this may be technically feasible, as indeed it is technically feasible today.”

The Economy-Wide Model

This model allows households and firms access to CBDC as well as banks and NBFIs. The paper notes that “CBDC can, therefore, serve as money for all agents in the economy,” although only banks and NBFIs would be authorized to “interact directly with the central bank to buy/sell CBDC; households and firms would be required to use a CBDC Exchange to buy and sell CBDC.

The paper mentions an alternative under this model in which households and firms could trade CBDC directly with the central bank.

The Financial Institutions Plus CBDC-Backed Narrow Bank Model

This model, like the Financial Institutions model, limits access to banks and NBFIs. However, “at least one institutional bank” would provide financial assets to household and firms serving as a “narrow bank” that provides assets to households and firms “fully backed by CBDC” but does not “extend credit.”

This model was put in place to “study the differences between direct and indirect access to CBDC by households and firms.”

Notably, the report concluded that CBDC does not lead to a contraction in bank funding, no adverse effects on private credit or on “total liquidity provision to the economy.” However, the report acknowledges further models and research are necessary for more concrete conclusions.

The Bank of England is not the only central bank exploring the use of CBDCs. ETH News recently reported on the Bank of Korea launching a task force to research CBDCs.

Cointelegraph reported that Norway’s Central Bank has been exploring similar options, noting that a “decline in cash usage” has prompted this exploration. Switzerland was another that recently requested a study on state-backed digital currencies.

The actual implementations of these CBDCs remain to be seen; it is becoming increasingly clear that this is only one of the many uses for cryptocurrency technology.

Blockchain, Cryptocurrency, International, Opinion, Technology

Dash Supporting Healthy Communities in Africa

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Dash Africa is one of a several grassroots efforts coming from the Dash community. The grassroots efforts in places like Africa take community outreach to the next level while increasing awareness of Dash around the globe.

Dash Africa is supporting the Dash Leopards soccer team; they are working to enable a better life for kids in Africa through sports, education, and social activities. Thanks to Dash, soccer program founder Coach Ricardo— along with the other coaches— use soccer as a tool to help the players achieve comprehensive life skills.

The Dash Leopards program also offers tutoring to help children with their schoolwork. They’re learning about healthy food and nutrition and preparing snacks and smoothies prepared with fresh ingredients.

Dash Africa’s community outreach efforts have brought awareness of Dash to the African continent, a place where Dash can flourish due to Africa’s large numbers of unbanked individuals who could benefit from digital currency.

Cryptocurrencies like Dash are fit particularly well with countries dealing with continuous problems stemming from devaluation and corruption associated with fiat currency. Dash Force News notes that Zimbabwe has been dealing with hyperinflation of their currency since 2009 and at one point destroyed their currency altogether. In developing countries, many would prefer a decentralized, secure, and valuable currency than the insecure fiat alternative.

The Kuva project is another initiative funded by the Dash community; this project is working with Zimbabweans to use Dash as their currency, rather than foreign fiat currencies. With Dash, the people of Zimbabwe can now have a secure place to store value, cheaper transaction costs, and a more reliable way to transact.

Cryptocurrencies like Dash will be needed now more than ever in areas like Zimbabwe. CCN recently reported that the Reserve Bank of Zimbabwe has “banned financial institutions in the country from processing cryptocurrency transactions for cryptocurrency traders and investors despite growing interest in digital monetary assets in the country.”

CCN further reported that “in order to safeguard the integrity, safety, and soundness of the country’s financial system, and to protect the public in general, all financial institutions are hereby required to ensure that they do not use, trade, hold and/or transact in any way in virtual currencies.”

As the central banking attempts to dictate how the people of Zimbabwe secure their money, efforts like Dash Africa, the Dash Leopards and the Kuva Project will be needed to not only raise awareness about alternative options and provide valuable programs for youth, but to help in freeing everyday transactions from centralized banking systems. Given that Zimbabwe has a history of an unstable currency and financial system, this step has become crucial.

Editor’s note: Dash Digital Cash is the exclusive sponsor of Reality Check and the Truth in Media project.

Cryptocurrency, Entertainment, US

Dash Emerges In MMA Community With Sponsorship of Rory MacDonald, Chael Sonnen

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With recent sponsorship of Bellator fighters Rory MacDonald and Chael Sonnen, the Dash network has made an impressive mark on the world of MMA.

Rory MacDonald is one of the world’s highest ranking MMA fighters, holding a 20-4 record following his victory over Douglas Lima for the Bellator welterweight title. He holds wins over UFC fighters including Demian Maia, Nate Diaz, BJ Penn, and welterweight champion Tyron Woodley.

MacDonald submitted a proposal to the Dash treasury for funding of a $250,000 sponsorship, which passed with ease: 899 Yes to 233 No.

MacDonald represented his sponsor in full Dash apparel during his championship victory earlier this year. Vocal about his interest in cryptocurrency and its virtues, MacDonald has been active in the industry since 2014 after being introduced by his coach, Firas Zahabi. MacDonald said in a report for Dash Force News:

In 2014 I was introduced to Bitcoin from my coach Firas Zahabi the week I was fighting Tyron Woodley. Since then we have stayed interested in the cryptocurrency space, and it so happened that Dash’s Jeff Smith and Firas had connected over doing a project together with Dash. Since then Firas connected me and Jeff. Everything came together very organically as we worked on a proposal for my next fight sponsored by Dash. The community really rallied behind the idea and I believe this is just the start of the Dash takeover into the MMA community for cryptocurrencies.

According to Dash Force News, Zahabi has utilized cryptocurrency to overcome certain regulatory issues and launched a giveaway last year of $10,000 worth of Dash “to whomever could most accurately guess the exact outcome and time” of the momentous fight held between Conor McGregor and Floyd Mayweather.

MacDonald sees these sponsorships as just the beginning of long-term partnerships with the cryptocurrency community. He told CCN that “the exciting thing about the Dash budget system is that it’s a voting process, so we can make all kinds of different, unique ideas to pitch to the network…It could be the next wave of sponsorships pouring into the MMA community.”

Bellator has publicly noted its interest in cryptocurrency and Dash to fuel sponsorships, with Bellator CEO Scott Coker saying:

Cryptocurrency has definitely gotten people’s attention as of late and we’re thrilled to see Dash enter the MMA space with their sponsorship of Bellator welterweight Rory MacDonald. Exploring new categories and opportunities for integration has always been key to the growth and development of sports partnerships. We’re always open to new and exciting ideas, and cryptocurrency is something that we’d be interested in exploring to see if it was potentially the right fit for Bellator.

Fellow mixed martial artist Chael Sonnen also put forward a proposal to the Dash Masternode network worth 325 Dash ($162,023 USD). He proposed continuing to expand the Dash brand throughout the MMA community with his event connections and social media following.

The Dash sponsorship of Sonnen also easily passed, with 681 Yes to 156 No.

Sonnen has been an MMA fighter since the age of 19 and has fought in five different fighting leagues including the UFC. He’s faced off against the likes of Jon Jones, Rampage Jackson, Wanderlei Silva, Tito Ortiz, Rashad Evans, Mauricio Rua, Anderson Silva, and Micahel Bisping. Sonnen is also contributor on ESPN and has appeared on The Jim Rome Show as well as Joe Rogan’s popular podcast. Sonnen bears a massive social media following, where he has more than 800,000 Twitter followers, over 381,000 Facebook followers and millions of views on Youtube.

Cryptocurrencies like Dash disrupt the conventional athletic sponsorship structure by allowing individuals to work directly with the source of their funding (Dash). Dash’s large treasury and Masternode voting platform make unique crypto marketing opportunities and sponsorships possible. Dash’s blockchain technology is set up to produce new coins every month, where 10% of those goes towards the treasury. Currently, the budget is around 6177 Dash, or about $2.7 million USD. This allows for the Dash investment ecosystem to build its brand in creative ways across a multitude of industries.

Editor’s note: Dash Digital Cash is the exclusive sponsor of Reality Check and the Truth in Media project.

Cryptocurrency

GPU Revenue Signals Growth of Cryptocurrency Demand

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(DFN) Record sales by GPU manufactures, Nvidia and AMD, signals that consumer demand for cryptocurrency mining and thus cryptocurrency is continuing to increase.

Last week Nvidia posted first quarter revenue of $3.21 billion USD, of which $289 million USD, or 9% of total revenue, was attributed to cryptocurrency mining sales. AMD, Nvidia’s chief rival, also reported first quarter revenue of $1.65 billion USD, of which 10% were also cryptocurrency mining sales. Even more significant was the growth from the previous year, 145% from Q1 2017 for Nvidia and 40% from Q1 2017 for AMD. Nvidia’s CFO Colette Kress said that “cryptocurrency demand was again stronger than expected, but we were able to fulfill most of it with crypto-specific GPUs”.

However, both companies are moderating their forecasts for future growth. Nvidia expects the second quarter revenue to be a third of this past first quarter. AMD’s spokesperson said that they expect revenue from cryptocurrencies to be in the “mid-to-high single-digit percentage” for 2018 in total. The moderation comes from ever increasing hashrates and the increasing competition from ASIC companies such as Bitmain, which brought in nearly $4 billion USD last year.

Increasing hashrates due to increasing cryptocurrency demand

As cryptocurrency became more popular so did the demand and mining operations. As the demand growth outpaced the pre-coded supply growth of many cryptocurrencies, the price of cryptocurrencies increased due to supply and demand laws. The higher price due to the larger demand then caused higher prices for mining GPUs and eventually the development of ASIC miners and their inevitable price increases.

WATCH:

https://youtu.be/xGkymaMtSPM

A common misconception is that the high prices of cryptocurrencies are derived from the hardware and electrical cost of mining said cryptocurrencies. However, this is false, and it is the opposite which is true; the significant price paid for hardware and electricity are derived from the prices of cryptocurrencies, which is derived from supply and demand laws. It is only the knowledge that mined cryptocurrencies can be sold on the market for a high price because of their high demand, that allows miners to justify the capital expenditures.

Throughout this whole process the increasing demand is increasing the hashrate of each cryptocurrency’s network. The larger hashrate increases the security of each blockchain since it becomes considerably harder to initiate a 51% attack. A virtuous circle forms since a higher hashrate grants more security and thus creates more demand among consumers looking for ways to secure their wealth.

Dash has exceptional hashrate power and thus security

Recently, the price of Dash has fallen along with most other cryptocurrencies, however, the overall hashrate of Dash has stayed within the 1.5-2.5 petahash range, even though Dash only broke through the 1 petahash threshold in November 2017. The hashrate is bolstered by the second layer masternodes, which play an important role in the Dash ecosystem. The Dash network is further supported by the fact that it is more profitable to mine Dash via ASICs and more-or-less not profitable via GPUs. Thus, ASIC miners comprise a significant portion of the Dash network hashing power. Since each ASIC miner is built to mine specific coins, this makes the switching cost larger and less likely that the Dash network will see sudden significant hashrate declines due to price drops.

The comparative strength of the Dash network that sets it apart from other coins is derived from its unique structure and incentives. The demand for Dash is increasing all over the world due to the hard work of Dash teams, many of which are funded by the Dash treasury system. The Dash masternode system ensures those with capital means have a vested interest in the growth and security of the network. In addition, Dash is able to clearly communicate its future growth plans and outlook clearly to all observers. The strong demand growth combined with well designed incentives and clear expectations communication is influencing miners to continue mining, despite price volatility, thus maintaining the hashrate and network security.

 

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This article was republished with permission from Dash Force News.

Blockchain, Cryptocurrency

Institutional Money has a Love-Hate Relationship with Cryptocurrencies

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(DFN) Recently, Warren Buffet, Bill Gates, and Charlie Munger spoke negatively of cryptocurrencies, but Gary Cohen spoke somewhat positively and there are other signs that institutional money is becoming more keen on cryptocurrencies.

Buffet called Bitcoin a “non-productive asset” and that the “asset itself is creating nothing” when compared to “productive” assets like gold or farms. Buffet also compared cryptocurrencies to the Dutch Tulip Mania. Gates said that Bitcoin’s price relies on the “greater fool theory” of finding another “fool” to sell to at a higher price. Munger hit below the belt by calling Bitcoin “stupid and immoral” and the equivalent of “rat poison”.

However, another financial titan and former Goldman Sachs President, Gary Cohen, said that he’s “not a big believer in bitcoin”, but is “a believer in blockchain technology”. He added that he thinks there will eventually be a “global cryptocurrency”, but that it won’t be “based on mining costs or cost of electricity or things like that”. In addition, the famous Gemini exchange founder, Tyler Winklevoss, recently called out Bill Gates to “put [his] money where [his] mouth is” and referenced numerous trading outlets where one can short Bitcoin after Bill said he “would short [Bitcoin] if there was an easy way to do it”.

Institutional Money is beginning to venture into cryptocurrencies

Despite the big names in finance and tech speaking against crypto, there are signs that institutional investors are venturing into cryptocurrencies. Dash Force News spoke with Chris Rockwell, founder of RSI Advisors (an investment advisory firm in New Hampshire), about this new trend. Mr. Rockwell said that institutional money has been waiting for two things to happen:

“A way to hedge against crypto holdings and qualified custodians to take custody of their crypto holdings. Bitcoin futures contracts by both the CBOE and CME allow investors to hedge and qualified custodians like Kingdom Trust and Coinbase Custody should allow the doors to open for some institutional investors.”

Not all institutional money is the same and thus there are different players at different levels of entry into the cryptocurrency market. Rockwell mentioned that “[c]rypto only hedge funds are the early adopters and already in this space”, but as hedging and custodian market penetration increases, “standard hedge fund[s] will consider dipping their toe in the water”. He said that investment advisory firms and endowments are the next likely cryptocurrency investors, while pension funds and mutual funds “will probably be the last to enter because of unclear regulatory framework”, but Chris does “expect them to invest in crypto currency eventually”. Chris mentioned that banks and insurance companies are a “wild card”.

Chris also added that “[f]irms will get involved in the crypto space because of client demand, because crypto currency is uncorrelated to any other asset class (very unique in investing) and the potential to boost portfolio returns with little downside risk”. Despite the potential upside and the consumer demand, some establishment firms will nevertheless fall into the classic mistake of becoming lethargic in their innovation. Chris summarized this action very eloquently.

“The largest institutions/names in finance want to stay the largest and like the way things are now. They have little incentive to change how they invest. Radical changes scare them. The smaller and hungry firms/names trying to catch up have a lot of motivation to try new things if it gives them an edge. I also think many just don’t understand crypto currency and instead of saying they don’t know or understand they simply denounce and malign it to sound knowledgeable on the subject”

Dash makes institutional investing easier

As the price of Dash has increased drastically from the beginning of 2017 so has the overall price of masternodes. Consumers and investors wanted to invest in masternodes to receive the payout rewards, but did not have the capital to buy a full masternode. The Dash community has demonstrated its commitment to satisfying consumer desires. So naturally, Neptune Dash soon emerged to accommodate these desires. Neptune Dash went public in Canada this past January and raised over $23 million CAD to buy Dash and masternodes that will generate a respective return to those that own its publicly-traded shares. In April of this past year, Neptune Dash became available to EU and US investors as well.

Dash has demonstrated that it has a robust community to recognize and satisfy consumer desires in a multitude of ways. The mixing pot of ideas that is the Dash community encourages and fosters success for entrepreneurs that find quality methods to accommodate desires of consumers. This process benefits the overall Dash community by involving more users and investors, including institutional investors, by lowing the adoption curve and switching costs, which makes it easier for individuals and firms to use Dash. The Dash community brings Dash to individuals rather than waiting for individuals to discover Dash.

 

Written by Justin Szilard

 

 

This article was republished with permission from Dash Force News.

Business, Cryptocurrency, Featured, Technology, US

Portsmouth: New Hampshire’s Digital Currency Hotspot

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New Hampshire has become home to an impressive number of cryptocurrency-accepting businesses, with several businesses embracing the decentralized benefits of cryptocurrency by offering common payment options such as Dash, Bitcoin, and Bitcoin Cash.

You can find the hub of this movement in the town of Portsmouth, New Hampshire, which is described as “Bitcoin Village.” A significant feature of this village is the Free State Bitcoin Shoppe, a store attracting customers from high-traffic tourist areas nearby with their unique crypto-related and liberty-centric goods. However, tourists quickly learn that they can’t purchase anything in the store with cash, which provides an opportunity for the proprietors of the Free State Bitcoin Shoppe to step in and educate newcomers.

The shop founders, Derrick J. Freeman and Steven Zeiler, have a mission to “change the money that people use.” In a Q&A with the Free State Project, Freeman said that “if customers come in, set up a free wallet on their phone, and leave, I’m happy that they took a step toward greater financial freedom. Success is people using cryptocurrency at stores other than our shop.”

Zeiler has also developed a system for local businesses to accept various cryptocurrencies as payment. AnyPay.global is a new POS system spreading quickly and flourishing in the Portsmouth area.

“Like most people who use cryptocurrency, Steven and I have long dreamt of a physical retail shop that accepts cryptocurrency exclusively,” Freeman noted in the Q&A. “So, in a sense, this idea has been brewing for almost a decade. After years of waiting, we decided that if no one was going to do it, then it would have to be us. After deciding to open a crypto-only shop, the implementation was almost immediate.”

Freeman also discussed in the Q&A how the shop helps introduce new users and facilitate sustained use of crypto:

“In under five minutes, we help them (customers) download a digital wallet on their phone, turn their cash into crypto, and take payment. Everyone leaves feeling good. Most people have long been waiting to try bitcoin, but they’ve never had someone hold their hand while they do it. Those who don’t want to either don’t have the time or the interest. That’s to be expected. Not everyone wants bitcoin. Some people are perfectly happy with a money that funds wars and loses purchasing power every year.”

https://www.youtube.com/watch?v=yzqi7g1e9I4

Freeman and Zeiler have had nearby businesses inquiring how to accept cryptocurrency. The Free State Bitcoin Shoppe provides a directory that lists a number of merchants accepting cryptocurrencies in the city, even specifying which forms of cryptocurrencies are accepted.

New Hampshire’s vibrant cryptocurrency community can be thanked in large part to the Free State Project, a liberty-minded movement of individuals looking to explore and work toward a free society. The movement has led to one of the most cryptocurrency-friendly places in the world, with a high acceptance and use of cryptocurrency among the Free State community of 4,352.

The New Hampshire cryptocurrency community played a critical role in the passing of a state law that exempts digital currency from the state’s money transmission licensing. Even though state regulators showed opposition, the bill passed due to strong grassroots support. The crypto supportive policy has attracted startup companies such as LBRY as well as Anypay.

A popular cryptocurrency to highlight within Portsmouth is Dash, which bears support from local businesses. According to DiscoverDash, there are 22 locations in the town accepting Dash. The entire state of New Hampshire has roughly 1.3 million inhabitants and features 54 Dash-accepting businesses, supporting a strong and active Dash-friendly micro-economy.

Joël Valenzuela, editor of Dash Force News, was recently featured on CNN illustrating living a cash-free life. Valenzuela is paid in Dash and is able to make nearly all his purchases with Dash, including primary living expenses like bills and rent.

However, CNN appeared unaware that Portsmouth is only the beginning of cryptocurrency adoption and more experiences like Valenzuela’s are likely to come about. Unlike local currencies like “Berkshares” and “Equal Dollars” which only hold value within their communities, cryptocurrencies like Dash hold value across the globe.

Editor’s note: Dash Digital Cash is the exclusive sponsor of Reality Check and the Truth in Media project.

Cryptocurrency

St. Louis Federal Reserve Admits Bitcoin is Much Like Other Currencies

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(DFN) The St. Louis Federal Reserve in the U.S. issued a blog post based on a paper written by Berentsen and Schär that draws three main similarities between Bitcoin and other national currencies.

Watch Related:
https://www.youtube.com/watch?v=xGkymaMtSPM&t

The blog post touches on one, no intrinsic value in either, two, limited supply, and three, no middle man. Berentsen and Schär discussed how Bitcoin has no intrinsic value since it only has the code, computations, and developers behind it, but they also highlighted that “[s]tate monopoly currencies, such as the U.S. dollar, the euro, and the Swiss franc, have no intrinsic value either.” They mentioned how the USD is no longer back by gold and only has the trust of the U.S. government and its status as legal tender to back the currency.

They also discussed that there is a limited supply of Bitcoins – at 21 million coins. They did not mention the limited supply of other coins such as Dash. Importantly, they added that scarcity is what grants value to an item and even though Bitcoin’s price fluctuates a lot, there is still an upper limit to its volume. They also mentioned that the U.S. Federal Reserve technically “does not print money”, but has the ability to “increase or decrease the monetary base.”

The final point discussed that there is no middle man when using Bitcoin since Bitcoins are sent directly between individuals without any “credit relationship aris[ing] between the buyer and the seller.” They added that “[i]n that way, bitcoin was designed to be a lot like cash.”

Money Manipulations

The blog post by the St. Louis Fed based on the paper does reveal that the Fed is recognizing the role that cryptocurrencies are playing as currencies despite their volatility. The second point does deserve to be broken out further in that it relates back to point one. While it is true that the Fed does not physically print money and helicopter drop the money to citizens, it does do something similar via the Federal Open Market Committee (FOMC). The FOMC buys bonds (to inject more money into the economy) or sells bonds (to take money out of the economy) and this is all done electronically so the Fed does not actually print money, but still manipulates the amount of money in the economy (the monetary base). They can also manipulate the money supply via interest rates, minimum reserve ratios, and other tools. These manipulation can relate back to point one about the intrinsic value of Bitcoin and cryptocurrency.

As a prerequisite, the difference between intrinsic value (internal value from the item) and extrinsic value (value applied from an outside party) should be mentioned to be a blurry line. Gold is often said to have intrinsic value because it is more scarce and can be used for jewellery or computer parts, but ultimately, even that value somewhat arises from the extrinsic value that consumers place on the services of gold. So the task then becomes not to look for an intrinsic value, but to find the chief source of the extrinsic value for Bitcoin and other cryptocurrencies. Since many cryptocurrencies have their supplies written into their code, which have not been broken, the extrinsic value of cryptocurrencies when compared to fiat would arise from consumers actively preferring the inability to manipulate the money supply.

Another appeal of cryptocurrencies has not been its similarities to cash, but instead its improvements upon cash. Individuals are now able to store their own wealth for a fraction of the fees typically charged by banks without fear of losing their money through theft or natural disasters (as would be the case if personally storing all cash on hand) or having their money devalued. Some cryptocurrencies are making better improvements upon cash than others.

Dash is maximizing everyday usage

Dash has excelled in making Dash usable in everyday transactions. Dash has so far ensured consistently low transaction fees and fast confirmation times further increasing its similarities and improvements relative to cash. In addition, Dash has been able to increase merchant adoption throughout the world since Dash is more viable in everyday transactions than many other cryptocurrencies. This has led to clusters of active Dash communities like those in New Hampshire and Venezuela.

Dash has been able to accomplish this through its unique governance and treasury system, which has enabled decentralized funding and decentralized coordination of teams to create a spontaneous order of consumer solutions. Dash has been able to seamlessly upgrade its network to maintain low transaction fees and fast confirmation times. The Dash community has created outlets throughout the world to educate consumers about Dash and cryptocurrency. There have also been numerous online and physical stores beginning to accept Dash as they realize its potential. Dash is leveraging its comparative advantages to create confidence and offer consumers services that the current cash and monetary system do not offer.

 

Written by Justin Szilard

 

This article was republished with permission from Dash Force News.

Cryptocurrency, Economy, Featured, US

Early Investor in Tesla, Hotmail, and Skype Says Bitcoin Will Be Bigger Than Internet

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Billionaire venture capitalist Tim Draper claims that Bitcoin could be bigger than the internet.

CNBC reported that Draper recently spoke at the Intelligence Squared U.S. debate presented in partnership with Manhattan Institute’s Adam Smith Society. Regarding the potential of cryptocurrency, he said:

“This is bigger than the internet. It’s bigger than the Iron Age, the Renaissance. It’s bigger than the Industrial Revolution….This affects the entire world and it’s going to be affected in a faster and more prevalent way than you ever imagined.”

Draper is known for his investments in Tesla, Hotmail, and Skype. However, when comparing those investments he said Bitcoin will be “bigger than all of those combined.”

Draper further claimed that Bitcoin’s value will hit $250,000 by 2022, and stated that “in five years you are going to try to go buy a coffee with fiat currency and they are going to laugh at you because you’re not using crypto….I believe that there will be a point at which you will no longer really want any of the fiat currency.”

Draper isn’t the first major investor to make bold Bitcoin predictions. John McAfee, founder of McAfee antivirus software and cryptocurrency advocate predicted in 2017 that Bitcoin would reach $1 million by the end of 2020.

 

Former Goldman Sachs partner and former Fortress Investment Group hedge fund manager Michael Novogratz predicted late last year that Bitcoin would reach $50,000 by the end of 2018. Twitter and Square CEO Jack Dorsey predicted that Bitcoin will become the world’s single currency over the next 10 years.

Financial Times Managing Editor Gillian Tett argued against claims of Bitcoin’s future domination during the debate, pointing out market volatility and criminal uses as issues preventing it from massive implementation in the future, although some have claimed that volatility will subside upon larger Bitcoin adoption.

Draper insisted he feels “more secure in my Bitcoin than I am in the money that’s sitting there in Wells Fargo.”

Draper told CNBC in December that he bought 30,000 Bitcoins in a 2014 auction and he is still holding those coins today. Those Bitcoins are worth close to $270 million based on current market prices.

Arguing alongside Draper during the debate was Overstock CEO Patrick Byrne. He shared comparable confidence in Bitcoin and cryptocurrency security in general, saying:

“This has been hacked at more than anything in history and has never been defeated…Last I checked, banks get hacked too. And yeah, Bitcoin is used by unsavory characters. Last I checked, they used U.S. dollars too.”

Bitcoin is currently holding 38% of the cryptocurrency market. Bitcoin’s value reached $20,000 in late 2017 and is currently just under $9,000 although this up from $4,400 in August 2017.

Cryptocurrency, Technology

Seventh Dash Conference Hosted in Venezuela

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(DFN) The seventh Dash conference was hosted in Venezuela and fetched over 600 people in attendance who wanted to learn more about how cryptocurrency, in particular Dash, can benefit their lives.

The Dash conferences have grown from around 140 Venezuelans in the first conference to now having over 8,000 people in their database. Eugenia Alcalá Sucre, founder of DASH Caracas and DASH Venezuela spoke with Dash Force News about the “adventure that has taken us to places we had not even dreamed of finding.” She mentioned that the “journey has been full of satisfaction, joy, achievement and hope” and that they “have managed to build a high performance team, whose members are driven by passion and show their commitment and excellence in every little thing they do.”

Eugenia mentioned how the team’s passion and attention to detail has accomplished “important achievements that can be seen in our numerical indicators that we present in the monthly reports that we make in the DASH Forum.” She added that they also have “other achievements that are not so easily measurable, but equally important”.

“[W]ith the help of the DASH Community and the support of MNOs, we have helped to change the lives of dozens of people who have begun to understand that DASH – Digital Cash is an alternative that can give them a new economic reality.”

What has caused the massive adoption of Dash in Venezuela?

Eugenia mention that “speed and low commissions that makes it viable for micropayments” was what attracted Venezuelans to Dash, at first. However, the community strengthened even further when it became “visible that there is a large Dash community in Venezuela that is active and is constantly providing support to entrepreneurs and users”.

In addition to the conferences and large community, a live Dash support desk will soon been launched in Venezuela. When asked what is the most effective advertising method to bring new Venezuelans into the Dash community, Eugenia mentioned “a good combination of an adequate management of social media, appearances in TV, radio, press and word-of-mouth generated by well-produced events is the perfect combination”.

One of the top attractions of the Dash conferences has been ‘Dash City’ (Ciudad Dash), where entrepreneurs can trade their goods and services for Dash. Euginia recalled how her team was only accompanied by two entrepreneurs in their first conference (Sept. 2017), a business entrepreneur and a social entrepreneur, but they now have over 100 entrepreneurs selling their goods and services for Dash.

“[M]any of them are already daring to accept the currency outside our events and have had very good results, which makes the other entrepreneurs also dare to cross the borders of Dash City.”

Euginia described such a wide diversity of products being sold at Dash City that it was difficult for her to name her favorite product.

Future of Dash in Venezuela

Euginia and her team wants to make Venezuela the first Dash Nation through multiple channels. They want to work “in a network of alliances with new communities, with new projects and with many entrepreneurs” to ensure that “in the shortest possible time [that] the most Venezuelans are familiar in how to buy and sell with DASH, and choose DASH – Digital Cash as their favorite cryptocurrency.” They are intending to end their announced conference cycle in September of this year, but immediately afterwards “engage in other kind[s] of activities that takes DASH to the top of mind of our citizens.” Eugenia and her team gained valuable knowledge and insights from their experiences, which they will apply to their new initiative: Dash Venezuela. More of their goals and initiatives can be seen in this forum.

The inflation and economic quagmire in Venezuela shows little signs of abating, but luckily Dash is providing an alternative currency for Venezuelans to institute their own individual economic solutions. The Dash teams in Venezuela understand this and are leveraging quality strategies to continue to spread knowledge of Dash to help increasing amounts of Venezuelans.

 

*Note: Some of the material from source article was translated via Google page translate

 

Written by Justin Szilard

 

This article was republished with permission from Dash Force News.

Blockchain, Cryptocurrency, Featured, Technology, Videos

Watch: Ben Swann Talks Media Disruption at Block2TheFuture

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In early April, Ben Swann attended the Block2TheFuture blockchain and digital currency conference in San Francisco, CA. During his time there, Swann gave an informative talk that detailed the imminent transformation in how news and media will be produced and consumed, largely due to decentralization and cryptocurrencies.

Swann, the first independent journalist to be solely funded by cryptocurrency, summarized his professional career, including his transition from conventional broadcast reporting to founding his own independent media organization. He explained how the decentralized autonomous organization (DAO) of Dash Digital Cash played a primary role in Swann’s mission to remain an independent journalist.

Swann highlighted how digital currencies such as Dash make it possible for independent creators to endure by freeing themselves from the longstanding corporate funding structure that has exerted power over the news for generations, noting that following his sponsorship with Dash many other independent organizations have subsequently followed suit in seeking funding through similar DAOs including the Dash treasury.

Swann also noted that real-life experiences with the blockchain, cryptocurrency and decentralization and their potential to solve a number of societal problems starkly contrast mainstream media narratives that paint these aspects as harmful to “the greater good.”

Business, Cryptocurrency, International, Technology

Yahoo Japan To Purchase 40% Stake in Cryptocurrency Exchange

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Yahoo Japan recently confirmed they are buying a 40 percent stake in BitArg(ARG) Exchange Tokyo, as ARG announced it would accept minority stake capital participation from Z Corporation, an owned subsidiary of Yahoo Japan Corporation.

The exchange operator explained (translated):

“As a result of this capital participation, the Company will be able to utilize the service operation and security expertise of the Yahoo Japan Group, which will make it easier for customers to prepare for the start of the exchange service managed by the Company and to improve the operation after the commencement we will promote the provision of secure exchange services.”

This comes after another recent move by a major Japanese company, Monex Group Inc., announcing last week it would buy 100% of Coincheck Inc for $34 million. Yahoo Japan maintains a major tech presence in the country, ranking at #4 by user traffic and #40 globally. The launch of the newly developed exchange is planned for April 2019, with plans to make further investments through subsidiaries over the year prior to launch.

According to Yahoo Finance, “unofficial figures of the capital” are between $18.5 million and $27.8 million.

This recent move by Yahoo Japan does not come as a surprise, as in late March Nikkei reported on the company’s intentions to open a cryptocurrency exchange and plans to acquire a stake in BitARG Exchange.

These major corporate investments into cryptocurrencies also come after recent news of Japanese crypto exchanges closing because of the government’s regulations. Last April, the Japanese Financial Services Agency(JFSA) passed regulatory action requiring crypto exchanges to register with the agency, which is the same ruling that allowed for Bitcoin as payment.

Japanese citizens remain one of the leading locations for cryptocurrency involvement by the population. Coindesk reported that Japan’s Financial Services Agency(FSA) found that Japan has 3.5 million individuals that are trading with cryptocurrencies.

Business, Cryptocurrency, Government Accountability

Cryptocurrency Exchange Kraken Resists New York AG Inquiry

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San Francisco-based cryptocurrency exchange Kraken will reportedly not comply with the New York attorney general’s recent inquiry searching for “key information” from over a dozen cryptocurrency exchanges.

The press release from New York Attorney General Eric Schneiderman’s office stated:

As part of a broader effort to protect cryptocurrency investors and consumers, the Attorney General’s office sent letters to thirteen major virtual currency trading platforms requesting key information on their operations, internal controls, and safeguards to protect customer assets. As the letters explain, the Initiative seeks to increase transparency and accountability as it relates to the platforms retail investors rely on to trade virtual currency, and better inform enforcement agencies, investors, and consumers.

Attached to these inquiries was a questionnaire to provide information on six topics including “(1)Ownership and control, (2) Basic operation and fees, (3) Trading policies and procedures, (4) Outages and other suspensions of trading, (5) Internal controls, and (6) Privacy money and laundering.”

The statement required that the information requested to be completed and shared by May 1st. According to CNBC, Coinbase, the Gemini Trust, bitFlyer USA and other cryptocurrency exchanges indicated support for the inquiry.

However, Kraken CEO Jesse Powell shared a strongly worded response rebuking the inquiry. Powell took to Twitter to express his opposition to the AG inquiry, which he described as “insulting.”

[Related: Binance Announces Plans to Open Exchange In Malta]

Powell noted that Kraken is ordinarily open to helping and communicating with regulators. He criticized the New York AG’s office for being “tone-deaf” and called the state a “hostile” location for businesses including cryptocurrency-focused companies.

Powell highlighted a different option for New York to fulfill its need for information, adding, “If you want to talk to us, ask us for a phone call, fly yourself out to San Francisco, invite us for lunch at your office….But when is it going to be enough for New York? We did all this once already, and then you gave us the BitLicense.”

As Powell alluded to in his comments, Kraken halted operations in New York in 2015 after the New York Department of Financial Services (NYDFS) introduced the controversial BitLicense. The New York ruling on the BitLicense has been referred to as a “Bitcoin Exodus.”

In a more extensive post published April 22, Powell explained Kraken’s viewpoints about regulation in detail. “Kraken’s recent response to the NYAG’s questionnaire should not be taken as an indication that Kraken is opposed to working with government,” Powell wrote. He went on to list ten specific issues he found with the agency’s request, including the deadline, the quality of the preparation of the inquiry, the confidentiality issues related to some requested information, and the “motives” of the NYAG. Powell’s post can be read in full here.

According to a report from MarketWatch, the AG’s office sent an email to MarketWatch claiming that “they have ‘enforcement jurisdiction over foreign businesses [meaning those based outside of New York] operating in New York.'”

Cryptocurrency, Opinion

Valenzuela: What Bitcoin’s Civil War Taught Me About Media Manipulation on Both Sides

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(Dash Force News) I used to think that Bitcoin’s scaling drama would be over after the split to Bitcoin Cash. I also thought that those promoting Bitcoin’s use as a peer-to-peer currency were the “good guys” of the two sides. I was wrong on both counts.

Last week I noticed an article about Portsmouth, a nearby town I know very well, by Bitcoin.com. The article touted a local shop as “Bitcoin-only,” and mentioned the dozens of local shops that accepted it as payment. The problem is, the shop itself accepts a variety of cryptocurrencies, especially Dash, and even stopped accepting Bitcoin for a while, and the local businesses receive over 80% of their cryptocurrency sales in Dash. The article, however, mentioned Dash not once, despite embedding the video of my CNN appearance where I’m highlighted spending only Dash all over town. After I complained, the word “only” from “Bitcoin only” was removed from the headline, and the video, the single strongest piece of news about the article’s central subject, was removed entirely. Anything to avoid mentioning Dash at all.

The experience taught me an ugly lesson about the communities behind two of the largest cryptocurrencies in the world.

There’s an “ends justify the means” approach to truth-bending

Both Bitcoin and Bitcoin Cash’s communities are out to push one narrative: their coin is the one that’s being used everywhere, and will win mass adoption. Granted, just about every coin under the sun is looking for the same outcome for their project, however most understand that this is not yet the case, that we all have a long ways to go before wide adoption is achieved, or one coin is crowned undisputed king. The difference is, both Bitcoins want to force the narrative today that their coin has already won wide adoption, facts be damned, and are willing to go to crazy lengths to manipulate the narrative to fit that conclusion. Because of that, I’d call both Bitcoin communities more dishonest than those of most other coins.

The fight isn’t over the best tech, but the “one true Bitcoin”

Bitcoin grew on its own merits as a peer-to-peer electronic cash system that anyone could use anywhere and no one could censor or stop. Now, however, the struggle isn’t between which is better, but which is the real Bitcoin. This is a narrative struggle that only members of the two crypto cults really care about. The rest of the world doesn’t care for this holy war over a sacred title, it cares about the best technology that can enable the creation of wealth and free the world. That used to be Bitcoin, but it isn’t anymore, and the more people focus on making something “more Bitcoin” instead of better, the more it’ll fall behind in actual usefulness.

The narrative completely leaves out cryptocurrency advancements over the past few years

Bitcoin pursues complicated and experimental scaling solutions that will allow it to be efficiently used for smaller transactions as it was before, under the hubris of assuming everyone will use it instead of another more useful coin simply “because it’s Bitcoin.” There’s a similar frustrating attitude with Bitcoin Cash, with tough talk about experimenting with different double-spend solutions and considering developments to improve privacy. Dash already solved both those, four years ago. This attitude of ignorance about present-day tech and the advancements in the rest of the cryptospace presents an acute competitive disadvantage, with other projects able to sneak up and out-compete the two blinded projects.

Ultimately, neither Bitcoin nor Bitcoin Cash will win out

Then it hit me: neither Bitcoin nor Bitcoin Cash will be the cryptocurrency that wins out in the end. When you’re fighting over which is the true Bitcoin rather than which benefits humanity, when you ignore the rapidly developing technology in the space in favor of years-old tech, when you curate a media narrative that presents a false picture of the present state of cryptocurrency adoption and deliberately block out information that would run counter to that narrative, you will lose. Both projects had the opportunity to create something special that the whole world uses. They have instead opted to engage in a holy war. They have their reward.

Cryptocurrency

Tim Draper Predicts Upward Trend for Cryptocurrency

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(Dash Force News) Tim Draper, the famed investor who once said “the world needs this new kind of currency”, now predicts Bitcoin will reach $250,000 USD by 2022.

Draper unveiled his prediction at his blockchain party and via tweet, even though he mistakenly proclaimed $25K in his first tweet, which was later clarified to be $250K. He even emboldened his prediction in a giant sign displaying “Tim Draper predicts Bitcoin @ 250K by 2022” outside his entrepreneurship program, Draper University. Draper did not expand on his prediction methodology.

Draper, who founded the venture capital firm, Draper Fisher Jurvetson, and also lead successful investments in Skype, Tesla, Twitter, and SpaceX has said that he was attracted to currency not tied to a government, “[s]o when Bitcoin showed up, I was all over it”. Draper is known to have purchased $30,000 in Bitcoin from the U.S. government during their liquidation of confiscated funds from Silk Road.

Price predictions are difficult

Making correct price predictions are already very hard in traditional markets where information is plentiful, but price predictions become vastly more difficult with cryptocurrencies because of the increased possibilities, less behavioral information, and greater assumptions. For example, Murray Stahl of Horizon Kinetics hypothesizes that Bitcoin is worth the sum of all the other currencies in the world – $361,000 USD per Bitcoin. However, this relies on the assumptions that Bitcoin, and no altcoins, will be used by most people in the world and also discounts future monetary policies and economic growth. A correct, or even for that matter a somewhat close-to-correct, price prediction for cryptocurrencies requires an unfathomable calculation of infinite information and knowledge of future actions of individuals and governments. A way to cope with the impossibility of making full-proof price predictions is to instead focus on the economic ordinal direction, rather than economic cardinal magnitude, of price movements over time. An investment analyst will also look at historical movements and decide if an asset or currency will continue along that trend, upwards or downwards, into the future.

A quick way to filter out the noise that surrounds cryptocurrencies’ rapid price movements is to look at the price of Bitcoin, Dash, and other cryptocurrencies in a log scale rather than a liner scale, which focuses on the percent change and is better adept for cryptocurrencies. When this technique is implemented, taking Bitcoin and Dash as examples, both reveal that they have generally been trending upwards over the past few years. There are exceptions in the time series, during small slumps, but the coins have mostly trended upwards and appreciated relative to the USD. However, to aid a price analysis beyond simple extrapolation, which is prone to fallacies and errors, is to focus on the value an item provides to consumers and the potential value it could provide in the future.

Value is derived from services provided to consumers

As people discover the value of a good/service, they will demand more of it and thus increase the price unless met with extra supply. Since most cryptocurrencies have a limit to the amount of coins mined, the way for the price to increase is to increase the coin’s value to users. Dash has been focusing on how to provide value to users the past couple years and has laid out guidelines on how it plans to continuously improve services for users in the future.

In the immediate case, Dash, with its low transaction fees and fast transaction times, has allowed people around the world to use Dash as currency in exchange for goods and services. The citizens of Venezuela have quickly adopted Dash to escape their horrible inflation, but use cases are not limited to hyper-inflationary countries. On the Discover Dash website, current and potential Dash users can locate numerous online businesses and local physical shops all over the world that take Dash. This usability of Dash, in addition to its full cryptocurrency offerings of sound money, security, and privacy demonstrates its value offerings and thus makes Dash one of the better positioned currencies for future economic ordinal price appreciation relative to other currencies.

 

Written by: Justin Szilard

Blockchain, Cryptocurrency

VIDEO: CNN Highlights Real-World Digital Currency Use

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While mainstream media reporting in recent months has expanded to cover blockchain technology and cryptocurrencies, coverage is often limited to discussion of the market and regulations. CNN International recently visited New Hampshire and provided a closer look into how individuals live day-to-day using cryptocurrency, an act not often seen in the media.

Joël Valenzuela is a longtime cryptocurrency advocate and the chief editor of Dash Force News, a news service that provides current-event reports cryptocurrency and the blockchain, as well as updates and developments related to the Dash digital currency. Valenzuela accepts wages and pays for expenses solely using Dash, and allowed CNN International to accompany him in Portsmouth, New Hampshire for a day as he exemplified everyday crypto use.

[Related: Dash: The First DAO]

Valenzuela uses Dash to pay for a plethora of costs including rent, gas, coffee and recreation; CNN International noted that all of his purchases took about the same amount of time as a typical credit card transaction.

Valenzuela told Truth In Media that he is paid Dash directly from the blockchain, and the amount is determined by the exchange rate. He also clarified that cryptocurrency is not actually “legal tender” in Portsmouth as explained in the video, but is widely accepted in the city of just over 20,000 people.

In response to CNN International’s inquiry about how cryptocurrency will survive regulations, Valenzuela remarked that a better-suited question is how regulations will survive in cryptocurrency environments, and added that the coexistence of regulations and cryptocurrencies is being sought by the community.

 

 

 

Blockchain, Cryptocurrency, Economy, Technology

SEC Chair Discusses Benefits of Cryptocurrency Regulations

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Securities and Exchange Commission chairman Jay Clayton recently defended the agency’s regulatory initiatives while acknowledging the legitimacy of initial coin offerings (ICOs) during a talk at Princeton University.

CoinDesk reported that Clayton responded “absolutely not” to a question about whether ICOs are fraudulent, in relation to the agency’s recent regulatory actions against ICOs such as charging Centra Tech’s ICO with fraud.

Sohrab Sharma and Robert Farka of Centra Tech were charged with fraud after they raised $32 million by selling unregistered securities.

Clayton made remarks during his talk at “Cryptocurrency and Initial Coin Offerings.” He made headlines during his last public statements when he said he believes that “every ICO” he has seen qualifies as a security.

Chairman Clayton contended that regulatory steps being taken by the agency could actually help the industry mature.

Clayton said to the attendees:

“Is the approach taken in Washington by the SEC adversely affecting distributed ledger technology in other areas? My quick answer is that my hope is that it’s actually helping – because this technology is being used for fraud and to the extent that it’s being used for fraud, history shows that government comes down harshly on that technology later.”

He continued, “I think if we don’t stop the fraudsters, there is a serious risk that the regulatory pendulum – the regulatory actions will be so severe that they will restrict the capacity of this new security.”

Currently, cryptocurrency regulations vary state by state and federal plans are not yet clear. However, one certainty is the SEC is not backing away from its plans for ICO regulations, although the Chairman of the SEC hasn’t wavered in his support for the future of blockchain technology.

Cryptocurrency

Bank of America Stops Lending to Several Gun Manufacturers, Strengthening Case for Crypto

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(Dash Force News) Bank of America will cease providing lending services to companies manufacturing certain types of firearms.

As reported by Bloomberg, Bank of America, the second-largest bank in the US, will no longer lend to firearms manufacturers involved in selling semi-automatic rifles deemed “military-style” to the civilian populace. This comes after a wave of pressure on banks and payment providers to restrict their services provided to firearms manufacturers in the wake of recent highly-publicized shootings. Increasing financial pressure could cause manufacturers to cease production of controversial items or risk harm to their business.

Centralized payment systems have a long history of shutting out controversial projects

Payment companies and the banking industry, with centralized control over services, have long posed problems for businesses and causes that have attracted controversy over the years. PayPal froze the accounts of supporters of the Bundy Ranch, an agricultural community in the US which was engaged in a dispute with the federal government resulting in an armed standoff. Wikileaks famously also had all its payment providers shut down due to is exposure of government corruption, prompting them to seek cryptocurrency as a way to get around the ban.

Dash is making strong inroads in censored industries like marijuana and alternative media

As the top cryptocurrency for payments, Dash is focused on offering better and censorship-resistant money, which leads to applications in traditionally underserved industries. Independent journalist Ben Swann came back after a year of censorship thanks to an exclusive sponsorship with Dash. Dash point-of-sale and business solution Alt Thirty Six aims to service the legal cannabis industry, which at present is cash-only due to banking restrictions. Finally, Dash is taking off in Venezuela, which has experienced currency issues and regulatory barriers, with over a hundred businesses accepting it for payments as of time of writing.

The firearms industry would be wise to explore Dash for payments seeing present trends of hostility from banks.

Blockchain, Cryptocurrency, Technology

Fmr. Mt. Gox CEO: “I Don’t Want This Billion Dollars” from Bankrupt Bitcoin Exchange

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Mark Karpelès, the former CEO of defunct Bitcoin exchange Mt. Gox, recently said he doesn’t want the 160,000 Bitcoin that will be left after creditors are paid.

The Japan-based Mt.Gox cryptocurrency exchange had been the largest in the world until its downfall; a February 2014 hack led to a loss of 850,000 BTC.

Karpelès explained the process of the Japanese bankruptcy law that will be giving him a billion-dollar payday in a Reddit Ask Me Anything (AMA) session, stating:

Japanese bankruptcy law has a particularly nasty outcome here, and I want to address this up front. As creditors claims were registered, those claims were registered in the valuation of Japanese Yen on the bankruptcy date. That’s the only way Japanese bankruptcy law can work (most bankruptcy laws around the world operate this way for that matter). This means that the claims can be paid back in full, and there will still be over 160,000 bitcoin and bitcoin cash in assets in the Gox estate. The way bankruptcy law works is that if there are any assets remaining after the creditors have been paid in full, then those assets are distributed to shareholders as part of the liquidation.

That’s the only way any bankruptcy law can reasonably work. And yet, in this case, it produces an egregiously distasteful outcome in that the shareholders of MtGox would walk away with the value of over 160,000 bitcoin as a result of what happened.

I don’t want this. I don’t want this billion dollars. From day one I never expected to receive anything from this bankruptcy. The fact that today this is a possibility is an aberration and I believe it is my responsibility to make sure it doesn’t happen. One of the ways to do this would be civil rehabilitation, and as it seems most creditors agree with this, I am doing my best to help make it happen. I do not want to become instantly rich. I do not ask for forgiveness. I just want to see this end as soon as possible with everyone receiving their share of what they had on MtGox so everyone, myself included, can get some closure.

Under Japanese bankruptcy laws, most of the money received will go to Mt. Gox’s shareholders, the largest being Karpelès company Tibanne, which owns 88%.

Criticism of Karpelès and the board of trustees has surrounded the refund process used to reimburse creditors who claimed losses in the 2014 hack. The volume of selloffs was so large that some have speculated the sales unfairly influenced Bitcoin prices across the world.

Coin Telegraph reported on a statement released by the trustee in charge Mt. Gox estate, Nobuaki Kobayashi, he said:

“Please refrain from analyzing the correlation between the sale of BTC and BCC (BCH) by us and the market prices of BTC and BCC (BCH) based on the assumption that the sale was made at the time the BTC and BCC (BCH) were transferred from BTC/BCC (BCH) addresses that I manage, as such assumption is incorrect.”

The estate currently holds 166,3444 BTC. The sell-offs took place between December 2017 and February 2018. During that timespan, BTC has seen highs of 20,000 and lows of 5,900.

Even though the sell-off of 35,841 BTC in a three month period may not have been the sole cause of the recent market crash. Kobayashi’s move may have triggered a market trend that influenced other investors buying and selling positions.

 

Although the Reddit post lacked specific details, based on the last few months the process to pay back creditors is underway.