Day: January 13, 2018

Vitalik Buterin, the creator of the Ethereum Network, recently proposed a new method for decentralized fundraising called the “DAICO”. Incorporating elements of Decentralized Autonomous Organizations, or DAOs, the new model is designed to minimize the complexity and risk associated with ICOs.

Buterin outlined the new model in a post on the Ethereum Research Forum entitled “Explanation of DAICOs”. In the exposition, the Russian-Canadian programmer outlines a new model that integrates characteristics of DAOs into ICOs to create a new model he refers to as the “DAICO”.

The post includes a diagram that breaks down the benefits of bringing DAO elements into an ICO, including the ability to leverage crowd wisdom, the distrust of centralized teams, and the ability to spread funding over time. The DAICO model also incorporates the single-project approach of the ICO model along with a lack of a 51% attack risk.

Improving the ICO Model

Buterin’s proposed model could greatly improve the traditional structure of an ICO and eliminate the risk of resources being used in an inappropriate manner by ICO creators for personal gain. The “DAO” in “DAOICO” refers to a Decentralized Autonomous Organization that is governed by a smart contract.

By leveraging the beneficial aspects of the DAO model, Buterin argues that the cost of using Ethereum could be greatly reduced while at the same time placing a stronger emphasis on developer results:

A DAICO contract is published by a single development team that wishes to raise funds for a project. The DAICO contract starts off in ‘contribution mode,’ specifying a mechanism by which anyone can contribute ETH to the contract, and get tokens in exchange. This could be a capped sale, an uncapped sale, a Dutch auction, an interactive coin offering, a KYC’d sale with dynamic per-person caps, or whatever other mechanism the team chooses. Once the contribution period ends, the ability to contribute ETH stops and the initial token balances are set; from there on the tokens can become tradeable.

Game-theoretic Security Approach

In his post, Buterin admits that votes of any kind are susceptible to manipulation to some degree, but argues that merging the structures of ICOs and DAOs could dramatically reduce the threat of manipulation.

Should a 51% attack increase the tap of a DAOICO, the developers behind the project would be able to simply lower the tap again. Referencing developers who are “spending funds on lambos instead of real work,” Buterin states that investors would be able to collectively refuse to raise the tap – or even collectively “vote to self-destruct”.

Buterin’s new model follows recent Twitter posts in which the Ethereum creator vented his frustration with the current state of the cryptocurrency ecosystem, stating that he “WILL leave” if immaturity and mania continue to plague the Ethereum community.

In addition to publishing the new DAICO model, Buterin also announced subsidies of between US$50,000 and US$1 million to reward any work that contributes to solving the ongoing scalability issue present in the cryptocurrency environment.

Unlike other DAG currencies that have seen enormous growth in the last month, Byteball is still quiet and is waiting for its sudden rise.

Disclosure: This is a Sponsored Article

Byteball has a fixed amount of fees equal to the transaction size in bytes. This is a huge advantage nowadays, and it is ridiculously low compared to the bitcoin and ethereum fees. This is achieved through the DAG structure, which at the same time eliminates scalability issues and, thanks to unlimited scalability, the Byteball network becomes more resistant to attacks as the number of transactions increases. This has huge benefits but it’s not all that makes Byteball a unique project.

Byteball distributed their initial ‘Bytes’ via ‘airdrop’ (distributing certain amounts dependent on the amount of BTC of holders) and cashback partnerships with merchants. Dealers and service providers can apply for a refund of 10% of the invoice amount in the form of bytes to customers. You can even get a refund of 20% if you pay via Bytes. By means of wallet, there is an option to manage individual ICOs as Titancoin did. This has resulted in a very large initial place in the market instead of, what has become the industry standard, creating an ICO.

Beyond this, Byteball is offering smart contracts. These contracts have extensive capabilities, such as being able to bet on sporting events. Another advantage is that you are able to send Bytes to email accounts by inputting the recipient’s email address and via chat apps such as Telegram and WhatsApp.

For those who like to guard their privacy, there are the so-called ‘BlackBytes’ which are defacto secondary currency and are used for fully anonymous and untraceable transactions.

We should also remeber one important thing – a lot of computer experts think that the evolution of quantum computers will be very dangerous for typical blockchain currencies; Byteball provides much better security in the event of a network attack using quantum computers.

I wanted to take the time to write a quick response to many of the sensationalized pieces that have been coming out about Bitcoin and cryptocurrency lately. Cryptocurrencies have been on everyone’s mind lately, and even though there are clear signs of more widespread adoption, the headlines still seem similar to before. Bubble concerns and fears of criminal use are commonplace, but a newer one I’ve been seeing is “Bitcoin is losing its dominance in crypto’s market cap.” To that I say “good,” and here’s why.

Bitcoin dominance index decline is a good thing

Contrary to what these headlines would have you believe, if any asset were as dominant in the market capitalization of traditional markets, there would be public outcry and trustbusters at the door. That degree of dominance in other asset classes would be intolerable, and for good reason. Such monopolies mean these assets, companies, and products can get lazy because there is no rush to improve. While I deeply love Bitcoin, it is far from perfect. Anyone saying otherwise is being willfully ignorant.

However, Bitcoin and cryptos in general are a completely new asset class that play by their own rules. They don’t behave like ordinary assets, and their markets don’t close or stop trading because of some bell. As such, even when new coins enter the market every day, rather than stealing money from Bitcoin or other alts, they simply seem to add to the industry’s overall market cap. We saw this with the Bitcoin Cash and Gold forks. They didn’t take value away from Bitcoin, but rather made their own. Mind you, this does not mean that there is not fierce competition among altcoins.

In fact, when Ethereum and Ripple were both clawing away at each other to fight for the #2 spot in all of crypto, I kind of wished that something could begin to approach Bitcoin that way. Markets thrive when its users have ample and meaningful choice. Choices have to be more than a random ticker from a basket, so different assets and companies all scramble to offer some sort of innovation. It is this kind of competition that makes markets move.

This is why, even if only slowly, seeing Bitcoin starting to lose that dominance is not bad. To the contrary, it is exciting. It means that there is competition among various cryptocurrencies all vying for users based on new features and other innovations. While I still believe Bitcoin will be king for at least my entire life, I would not be surprised if we see its market dominance continue to slip. Again, I think this is a good thing.

So the next time you see a headline from a media outlet claiming that Bitcoin is losing its foothold in the cryptocurrency marketplace, remember that it is because there are now opportunities elsewhere in cryptocurrency, and not because people are losing faith in Bitcoin.

Blockchain-based startups, many of which are using their own crypto tokens, are taking aim at the centralized monopolies on the web today.

Statistics show bitcoin is at the forefront of an increasingly complex ecosystem that continues to grow in a variety of ways. And it refuses to die.

Initial Coin Offerings (ICOs) have been under steadily increasing scrutiny by the US Securities and Exchange Commission (SEC), leaving many companies and would-be investors wondering if they should risk getting into the ICO craze or leave well enough alone.

In early December, the SEC even filed charges against PlexCorps, a company that had raised over $15 million by promising to deliver returns in excess of 1,354% percent over a one-month period. Later in the month, the SEC froze trading on a hot bitcoin stock, The Crypto Company, citing “concerns regarding the accuracy and adequacy of information.”

This has been the general gist of many of the SEC actions in regards to ICOs, sending shockwaves through the cryptocurrency investment world.

 “This space is on fire and everyone wants in, but all this uncertainty around ICOs is making investors nervous,” says Fintech entrepreneur and Finova Financial CEO Gregory Keough. “The ICO model was a good first iteration, but we saw that it was time to take it to a next-level approach that provides compliance while still delivering a type of crowdfunding opportunity.”

JCO Offers ICO 2.0 Alternative

With his attorneys at Cooley LLP, Keough has created what he describes as “ICO 2.0” – a next-gen hybrid of ICO and initial public offering (IPO) structured to comply with SEC regulations using the JOBS Act Regulation A+ to include non-certified investors in a pathway to the world’s first equity-linked token. He hopes his JOBS Crypto Offering (JCO) model will provide a new avenue for startups to raise capital from a larger pool of investors.

“The crypto-investment market is maturing very quickly,” says Keough. “With the SEC’s actions, we’re already moving past the sort of lawless new frontier mentality that was so exciting when Bitcoin and ICOs first took off. Investors are looking for more secure ways to get into the crypto craze, and we are working with Cooley LLP to fill this market demand.”

Introduced in the U.S. in November, the JCO is a new crowdfunding mechanism using the blockchain and cryptocurrency to allow companies to raise capital more readily through cryptocurrency investments and an initial public offering of stock in compliance with the JOBS Act Regulation A+.

First Equity-Linked Token Offering

Finova’s own token will carry the unique attribute of being linked to a share of equity in Finova and will provide for an ERC-20 Ethereum token standard that can be traded in cryptocurrency and is also backed by assets in a U.S. corporation (the ERC-20 standard makes assets more easily interchangeable). Upon issuance of tokens, the token will have the ability to pay the dividend directly to the wallet registered to the individual.

The JCO is being launched to offer an investment opportunity in Finova Financial, a socially responsible provider of digital financial technologies with a stated mission of creating a more inclusive financial system and providing a path to financial health for the 2 billion people outside of the traditional financial system. Founded in 2015 by an executive team with a deep background in traditional banking, Finova is backed by more than $100M in capital, led by CoVenture.

At the moment, Finova is in the process of offering a Simple Agreement for Future Tokens (SAFT) in a presale to accredited investors that will act as the first step on the path to issuing SEC-regulated securities to non-accredited investors.

“Our goal was to create an investment model that democratizes access to capital as well as investment opportunities,” says Keough. “We worked with the community and our attorneys to design what we hope will be a model many can use to give early-stage companies access to the largest pool of capital possible.”

To learn more about JCO, visit: http://jco.finovafinancial.com

The post JCO: A Solution to Brewing ICO-palypse appeared first on NewsBTC.

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It is known, the investment process can eventually be destroyed by the initial coin offering (ICO) or ensuing token generation events.  The new business model existing in the world of blockchain technology changes traditional fundraising campaigns in the way of clarity, transparent success and safety. The generation of held-for-trading tokens raises the capital in this process.

The peculiarity of ICO is founded on the idea of using the crypto tokens. The two main token types proving the services and products of ICO to the potential investors are utility tokens (app coins) and equity tokens. In case of business success, the investors are able to get the money in cash or as different coins  (e.g. ETH, BTC) by trading on basic cryptocurrency exchanges.  The adventurous for an ICO is the perspective of capital growth that can provide further development of the project based on the blockchain.

ICO investing could be the best way to grow rich  

Throughout 2017, ICO became the most commercially successful and investment attractive way to get the capital for starting the business. Such ICO niches like gambling, finance, healthcare, E-learning are in great demand with investors.

As was said earlier, the substitution of traditional business models with new ones in the world of blockchain technologies bring advanced ways for project development, its fundraising, and realization. First of all, it is absolutely necessary to spend time on learning the rock-solid whitepaper and well-crafted website if the investor is interested in ICO investing. Full knowledge of core ICO audience and the idea of ICO are also essential to start an investment.

A grain of sand on the beach

With the launch of plenty of ICOs and new tokens every week, getting to know them all and understanding the possibility of sustained profit by participating in them is like looking for a grain on the beach. That is why new investors should be aware of the main rules and regulations that are applicable to the country from which the ICO’ originates. The investors have better chance to differentiate ICOs with wealth potential from scams if they fully understand the business environment.

Generally speaking, the startups organizing the ICOS always try to find the right solution to the problems using blockchain technology. The secret of success lies in understanding the ICO market’s subtle aspects, the suggestions and provided solutions.

 The different ways for sports betting

After lots of attempts to develop the newest blockchain PokerStars website, sports betting has remained an untouched ICO sub-niche in the gambling industry. It is natural that players need a favorable and secure environment as much as the investors need the tidy gambling income. The ICO’s model simplifies the betting process and fundamentally changes the common gambling industry.

XWIN – the safe sports betting platform based on the blockchain

XWIN is the betting sharing platform based on Ethereum blockchain. The development of a crypto-bookmaker platform is the primary goal of XWIN. Using Ethereum smart contracts to ensure transparency of transactions, XWIN breaks the online bookmaking industry and provides a comfortable environment for gaining income out of gambling for both investors and players. The XWIN investors get 20 percent commission out of company’s profit margin.  The 24/7 investment supervision, safe transactions, privacy policy, sustainability are included as additional perks.

The XWIN business model with margins from six to twenty percent per bet has promising income prospects. The funds are meant to be used for players’ and investors’ awarding as well as development and farther improvement of XWIN platform.

Disposition of funds:
25% guaranteed payments for players
20% maintenance and managing defrayment
35% promotion, PR, and advertising, online/offline marketing
20% amount distributed among investors

The campaign of XWIN tokens open sale will come to an end on Jan.30, 2018. The Pre-ICO reached the deadline on Dec.31, 2017 and entered the ICO phase that started on Jan.1 up to Jan.30,2018. The value of one XWIN is 0.004 ETH. XWIN tokens are already available to grab.

The post The Right ICO Could Be the Best Way to Enrich Yourself appeared first on NewsBTC.

Back to physics and LTC Hooke’s Law is what’s in play folks. From historical price set ups, the longer the stretch, the stronger the break out and I have emphasized that enough times.

So maybe you should look at buying NEM, IOTA and Monero especially if it closes above that double top as trend resumes.

Let’s have a look at other alt coin charts

NEM IS BACK IN LINE

As the week nears to an end, NEM is finally getting some traction and from yesterday’s analysis, all we need is a close above the 50% Fibonacci retracement.

With higher highs, it is most likely and that is what we are waiting today.

In line with this expectation, I recommend buyers to get in at the close of this candlestick.

LUMENS DIPS TOWARDS MIDDLE BB IS ANOTHER BUYING OPPORTUNITY

As long as XLM candlesticks continue to print, we remain buyers. At the moment, we have a minor spinning tops formation along the 38.2% Fibonacci retracement level and two things can happen.

One, buyers may continue pushing prices higher-and that is what I think might happen or there might be a correction to the 50% retracement level and the middle BB.

Of course, given the set-up that is ideal for “buy on dips” strategy and should offer a wonderful opportunity to profit with minimum risk for swingers.

TRADE THE BREAK OUT AND BUY IOTA

Now that we have a break out above the minor resistance trend line, we may as well as buy.

Now, if prices correct, our first support will be the middle BB and below it, IOTA bulls should look to place their stops and account safety net.

CLOSE ABOVE MONERO DOUBLE TOPS IS IMPORTANT FOR TREND CONTINUATION

A simple Fibonacci retracement from last week’s high lows shows that prices reversed from around last week’s highs.

Regardless of the current Monero higher highs, it would have been ideal if buyers jumped in from the main break out-now support line at 0.025 BTC.

However, that has not been the case so we trade as per the trend.

Of course from previous analysis, Monero is playing within a break out and the moment prices close above the double tops, then well, those who didn’t snatch Monero at a discount should load up.

LTC HOOKE’S LAW

I had to check twice to see if my chart was loading right. Yes, it was and LTC is still in a squeeeeeeezzzze!! The longer it gets the better and stronger the break out.

It’s like the Hooke’s law in physics, the longer you stretch that rubber band the snap back will be more powerful and painful if you are on the receiving end.

I’m net long and I recommend longs now with stops below 0.017 BTC.

All charts courtesy of Trading View

The post LTC HOOKE’S LAW? BUY OR SELL? appeared first on NewsBTC.

Even though weekends are usually terrible times to trade cryptocurrencies, this weekend is shaping up rather nicely already. All markets are in the green right now, and various currencies have noted major gains in the past 24 hours. The EOS price has successfully overcome most of its issues earlier this week. In fact, we are now looking at an EOS price of $18.3. Very impressive gains, although the market will remain unpredictable for quite some to come.

Another leg up for the EOS Price

When all cryptocurrencies start to recover, it is only a matter of time until someone sets a new all-time high. In the case of the EOS price, that new all-time high has been reached over the past few hours. At the top, one EOS was valued at $18.69, which is an absolute record for this relatively new altcoin. Maintaining this momentum will be a struggle, though, as the price increase is rather steep over the past 24 hours.

More specifically, a day ago, that same EOS was valued at almost $13. Although this is a “mere” $5.69 increase, it does represent a near 50% surge in value over 24 hours. Things are retracing a bit as we speak, with the EOS price hovering near $18.3 for now. Such a small dip after setting a new all-time high is only to be expected. Holders will take profits, hope to buy back in cheaper, and repeat the same cycle. It is a very common type of behavior in the financial sector.

Thanks to these solid price gains, EOS now nears the $11bn market cap mark as well. It is remarkable how far this altcoin has come in quick succession. This doesn’t necessarily mean the EOS price won’t collapse in the next few weeks, though. Anything is possible in cryptocurrency, and gains can get wiped out very quickly. For now, though, the EOS price momentum looks solid, and a push to $20 might materialize before the weekend is over.

With over $4.15bn in 24-hour volume, EOS is one of the hottest commodities on the cryptocurrency market right now. Some people would expect to see other established currencies generate such a high amount of volume, but that is not the case right now. There are some exceptions, but most coins in the top 20 don’t even come close to $1bn in daily volume. A situation that will undoubtedly change as we see exchanges rolls out support for said altcoins.

One slightly worrisome aspect about EOS is how over 65% of its trading volume originates from the Bithumb exchange. This platform is notorious for pumping and dumping altcoins on a regular basis. Although their price isn’t included any longer, they do seem to generate an interest in EOS which is far less prevalent in other parts of the world. Binance, the second exchange by trading volume, generates $300m in volume compared to Bithumb’s $2.7bn.

How all of this will play out for the EOS price moving forward, is difficult to predict. Based on the current momentum, reaching $20 seems like a trivial challenge.At the same time, this is the world of cryptocurrency, where billions of dollars can be shaved off any currency’s market cap in the blink of an eye. It will be a very exciting trading weekend for those brave enough to take a few risks along the way.