Day: April 12, 2018

The Gemini exchange is constantly evolving and adding new features. Considering that this platform is mainly aimed at institutional investors, it is only normal that it adds features and tools which benefit those users. In particular, the introduction of block trading is pretty intriguing.

Explaining the Concept of Block Trading

Cryptocurrency users who have paid close attention to how exchanges operate may be aware that not all trades occur on the main order book. In fact, we have seen several companies embrace the concept of dark pools, which allow for very large trades to take place off the order book. This is usually done to prevent market makers and takers from influencing prices too much.

It now seems Gemini is trying to implement something similar, although they are calling it something entirely different. More specifically, their block trading feature allows users to buy or sell a specific quantity of a particular cryptocurrency. Users also need to enter a minimum required fill quantity and a price limit. With this information, it becomes possible to trade vast quantities of cryptocurrency without disrupting the actual order book.

In terms of liquidity, this will introduce a lot of interesting changes on the Gemini exchange. Finding new sources of liquidity has always been a positive development in the world of cryptocurrency. Despite the popularity of Gemini, even that trading platform can have days on which liquidity is very difficult to come by. With this new block trading option, users should have an easier time conducting large trades regardless of order book availability.

This new feature is scheduled to go live today. It will be quite interesting to see how that plays out, as it remains unclear how much interest there will be in it. It is also worth noting that market makers will not receive information pertaining to price limits, which should make this a bit more private compared to traditional order book trading.

To keep the transparent nature of Gemini intact, the company will broadcast the block orders to participating market makers simultaneously. This should make it a lot easier for big traders to see their orders filled, although it will still depend on how many people check out this feature in the future. Having more ways to trade cryptocurrency is never a bad thing by any means.

For the time being, it will be interesting to see if other exchanges decide to take a similar course of action in the near future. It would be good to see more platforms offer high-liquidity trading beyond the regular order book, as it would help reduce overall speculation and manipulation. Generating interest in features such as block trading will not be easy, though.

This article originally appeared on Bitcoin Magazine.

It seems the Verge drama is far from over. Although gloating at unfortunate cryptocurrency users should never be an option, the Verge community has run into a fair amount of problems recently. The latest “hack” affecting this cryptocurrency has left a lot of people unable to access their funds.

Verge’s Woes Continue

Over the past week, a lot of things happened to Verge in quick succession. The positive news is that this currency reached its crowdfunding goal in order to announce a partnership which is still shrouded in mystery. More information on that front should be announced shortly, although a lot of people are still concerned about what this partnership will be all about.

The more worrisome news is that someone seemingly attacked the Verge network. Whether or not this was intentional or due to a bug in the project’s code is difficult to know. Either way, all of the wallets designed for this particular cryptocurrency will need to undergo an overhaul to accommodate the new “settings”.

Unfortunately, this is where the big problem lies, as Verge’s developers are still progressing in this regard. While a Mac wallet is available, it seems things are not going according to plan when it comes to Windows. Considering that over 95% of cryptocurrency users rely on Windows, it is only normal that people expect this wallet to be made public sooner rather than later. For some reason, Verge’s developers have made little to no progress in this regard.

With users being unable to access their funds, a big problem has arisen. A fair few Verge holders cannot access their existing balances with the old wallet, given the issue that affected the network in the past week. Synchronizing with the network is virtually impossible, let alone spending one’s wallet balance. This is not the way things should be going for a cryptocurrency which wants to be the top privacy-oriented coin in the future.

This situation has a lot of people concerned, for obvious reasons. Whether or not the developers can address this problem in a timely manner is unclear. It does appear the Verge price hasn’t been affected by these developments, although that may be because so many people can’t even move their funds right now. Exchanges are likely waiting for the updated wallet as well, as it seems highly unlikely they will have much use for the Mac version.

Issues like these are not entirely uncommon in the world of cryptocurrency. In most cases, we see wallet issues arise when so-called “shitcoins” are involved. Now that Verge has similar problems to contend with, it is evident a lot of enthusiasts will gladly put XVG into that category. We can only hope the developers address these problems quickly, as this is an unacceptable situation.

An Australian power company have signed a contract with a cryptocurrency mining firm to provide them with cheap off-grid power. The IOT Group will be building a digital currency mining hub that’s actually inside a disused coal-fired power station in the Hunter Valley region.

Off Grid Power Will Allow the IOT Group to Compete With Global Miners

Typically, cryptocurrency mining operations happen in places where it’s cold and power is cheap. Locations like Siberia, Iceland, and Canada are often touted as the planet’s best. On paper, it seems as if setting up a mining facility in Australia would be a spectacularly bad move. It’s not cold there and the electricity is expensive.

However, in what represents a historic deal, the mining company, the IOT Group, have signed a contract with Hunter Energy to provide them electricity off-grid. This will mean huge savings since the power will be sold at wholesale prices. Australian news publication, The Age, reported a statement made by the company:

Image Courtesy of Shutterstock

The post Australian Power Company to Reopen Coal Power Plant to Mine Bitcoin appeared first on NewsBTC.

Moving into Q2 of 2018, Bitcoin is off to a bullish break as of 12 April. The welcome respite saw Bitcoin’s price rise in excess of USD 1,000 at about 11am UTC (Coindesk). If this momentum continues, it will be in line with bullish patterns of prior years during Q2.

Bearish trends so far

Cryptocurrencies as a whole haven’t had a great start to the year regarding price as BTC fell in excess of 50% in the first few months of 2018. In the past week, BTC bottomed out around USD 6,500 but continued to stabilize around the USD 6,800 mark. This was the worst Q1 performance on record in terms of percentage. However, comparing the current price with that of last year’s in the same period when BTC was trading at about USD 1200 USD, it’s still going strong.

Previous bullish trends

BTC has a consistent trend for positive gains over the past seven years in Q2. 2011 reported the highest gains (1,964%), with 2017 coming in at 131% gains in Q2. If BTC were to test similar heights to that of December 2017, it could easily see gains similar to that of 2017 or more.

Will the bullish break continue?

The bullish break could continue with large names rumored to be investing in crypto (Rockefellers and Rothschilds) as well as a higher public awareness of cryptocurrencies.

Millennials have been found to have a preference to crypto over traditional stocks and there is a keen interest from mainstream companies such as IBM investing in blockchain technologies and research. As these projects come into the spotlight, cryptocurrencies are expected to gather momentum again.

As of 11.40am UTC (12 April 2018), BTC broke past USD 8,000 with a correction to stabilize around USD 7,700. It has maintained this stability throughout the rest of the day but will need to sustain this positive growth keeping a price index of around USD 7,500 to see a market transition.

The post Bitcoin Set For A Bullish Break appeared first on BitcoinNews.com.

Blockchain analysis is becoming a lot more popular these days. A fair few firms are looking for ways to analyze public blockchains and potentially crack down on illicit activity involving cryptocurrencies. It seems US agencies are showing increasing interest in this technology as well, which is not that big of a surprise.

US Agencies Embrace Chainalysis and Others

As we discussed in a previous article, various US agencies have shown a big interest in cryptocurrency and blockchain analysis. A lot of these agencies rely on Chainalysis for their analysis of the Bitcoin blockchain. Even though there is a lot more to cryptocurrencies, it has become evident that the connection between Bitcoin and crime will not be going away anytime soon.

A new report from Diar showcases an interesting trend in the world of cryptocurrency and blockchain analysis. It seems there are a lot more US agencies tapping Chainalysis for this particular service nowadays, which is both a good and a bad thing. Moreover, there is growing concern over how Bitcoin and other cryptocurrencies are being used by criminals. Cracking down on this type of activity remains a top priority for the time being.

No one will be surprised to learn that the US Immigration and Customs Enforcement agency is one of Chainalysis’s biggest clients as of right now, having purchased a fair few orders for Bitcoin detection services since 2015. The IRS is also showing a growing interest in Bitcoin holders, which became even more apparent when the agency tried to obtain personal information from Coinbase. The FBI is also among the top three, even though one would expect that agency to have its own dedicated analysis unit.

The DEA, Bureau of the Fiscal Service, SEC, and CFTC are all utilizing Chainalysis as well. None of these names are big surprises by any means, yet it does go to show there is a bright future ahead for any company offering such services. All of these US agencies are using this firm’s tools to detect very different activities, ranging from money laundering to darknet use, human trafficking, ICOs, and scams.

It will be interesting to see how this situation evolves in the near future. It has become evident that demand for blockchain analysis services will not be slowing down anytime soon, as various other firms have raised significant amounts of funding as well. Elliptic, BitFury, Scorechain, and Coinfirm are just some examples. Analyzing the Bitcoin blockchain is not all that difficult, as the technology clearly lacks privacy and anonymity features.

With companies such as BitFury entering the blockchain analysis game as well, things will be getting pretty interesting moving forward. Rest assured there will be an increased interest in this technology, which will eventually benefit the cryptocurrency industry as a whole. After all, a lot of people want to get rid of the illegal aspect of Bitcoin and altcoins, and these firms are making it a lot more difficult for people to hide their nefarious activities.

Bitcoin has bounced back after a bumpy ride over the last few months. Prices surged upward in a steep motion today, showing an increase of over USD 1,000 in only an hour’s span of time according to data pulled from bitcoinity.org. The flurry of trade also set a new hourly record of Bitcoin trading volume, with USD 1.2 billion worth of Bitcoin changing hands.

This significant jump was followed by a slight drop, with a price point averaging USD 7,700 at the time of writing.

The increase was welcomed by Bitcoin users and provided for even better news for those in the cryptocurrency community who chose to “HODL” or to Hold On for Dear Life, as the saying goes.

The community embraced this jump in value after enduring traumatic market volatility in the recent weeks. Bitcoin prices have been all over the board in the last six months, ranging from a market high over USD 20,000 in January to a dramatic downward slope with a low around USD 6,000 in February.

Bitcoin charts are closely monitored for patterns by experts worldwide – yet nobody has yet been able to pinpoint the exact science behind the ebb and flow of Bitcoin’s price roller coaster. From famous opinions to big bank CEOs’ regular rants, there is seldom a true consensus among those who share their views on the controversy surrounding Bitcoin.

Max Keiser, the notorious host of The Keiser Report, was seen Tweeting playfully about his recent prediction that the Bitcoin market would experience a “double bottom”.

#Bitcoin held my double-bottom call… Is is art or mathematics? pic.twitter.com/M8yOZtRFNp

— Max Keiser (@maxkeiser) April 12, 2018

A double bottom is a pattern sometimes found in market charts that measure financial data.  It looks like the letter “W” with a price drop, followed by an upward rise, with another drop and finally a defining final rise similar to the one that came before it. Really, it could be called a double top – since that is the positive note that it ends on.

With all of the opposing “expert” opinions, the frenzy paves the perfect path for a slightly unpredictable ride in the short term. Based on at the numbers year over year, the future for Bitcoin’s price appears to be bright, having bounced back from every major fall so far.

The post Bitcoin Bounces Back Increasing $1,000 in One Hour, Sets $1.2B Trading Volume Record appeared first on BitcoinNews.com.

The Bank of America’s patent for a storage system on Blockchain technology has been published by the US Patent and Trademark Office. #NEWS

In a sign of the times, crypto-related scams have surpassed those involving oil, gas, and real estate in recent months as the most popular means by which fraudsters are attempting to take money from Texas investors, according to a cryptocurrency report authored by Joe Rotunda and his agency the Texas State Securities Board (TSSB). Companies mentioned in the report include the infamous Bitconnect, as well as others reported on by NewsBTC in the past, like DavorCoin and LeadInvest.

“It is everywhere,” Rotunda said of the scams tied to digital currencies and related technologies like initial coin offerings (ICOs). Unscrupulous promoters “are trying to get as much money as they can as quickly as they can.” 

As we know, U.S. regulations regarding cryptocurrencies are still unclear, and Rotunda’s agency isn’t attempting to pass regulation. Rather, it has been taking proactive steps aimed at crack down on various fraudulent “investment programs” and other schemes touted as either providing exposure to digital currencies or based upon them. 

A four-week sweep by the TSSB, designed to collect data and get a handle on the scope of crypto-related investment offerings in Texas, turned up 32 companies marketing securities through online advertisements or social media without proper registration, according to the board. More than half didn’t provide potential investors with physical addresses, and several were promising specific investment returns — some as high as 40% per month.

The state agency has taken enforcement action against seven of those companies thanks to the information turned up during the sweep, which began on December 18th. Investigations are ongoing into the majority of the remaining firms, Rotunda said, as are inquiries into two dozen or so additional crypto-related schemes identified before and after the sweep. 

U.S. Regulation Attempts

Earlier this year the SEC tamped down some of the crypto-hype by beginning a wide-ranging inquiry into ICOs — a fundraising method used by many of firms who are under scrutiny from Texas authorities. Regulators in several other states also have been attempting to rein in potentially fraudulent crypto-related investment schemes, with the TSSB being among the most active. 

Some cryptocurrency enthusiasts have acknowledged that the sector has become a draw for scam artists, and they’ve said they welcome regulatory scrutiny to root them out. Still, they’ve also said a certain amount of fraud is inevitable in a budding new sector with a promising new technology. 

“I think it’s prudent for the SEC to let people know that they are watching,” said Joseph Lubin, co-founder of Ethereum at South By Southwest last month. “I think that will enable better behavior [and] I think it is very healthy.”

Some key takeaways from the TSSB’s investigations are as follows:

• “No promoters were registered to sell securities in Texas, a violation of the Texas Securities Act,
• 30 promoters were broadly using websites, social media, and online advertising to market to Texans,
• Seven promoters were offering securities tied to a new cryptocurrency,
• At least five promoters all but ignored investing risks by guaranteeing returns, some as high as 40% per month,
• Only 11 promoters provided potential investors with a physical address,
• At least six promoters were actively recruiting sales agents without verifying they were registered with the Securities Commissioner, and,
• Six of the offerings involved payment of a commission to investors who recruited new investors into the scheme.”

Image Courtesy of Shutterstock

The post Texas State Securities Board Releases “Crypto Report,” 32 Companies Under Scrutiny appeared first on NewsBTC.

The Winklevoss twins acquired a patent to boost digital security technology with the help of cryptographic techniques. #NEWS

The ZenCash team is preparing to integrate Super Nodes, which will serve a very specific purpose in this ecosystem. Now is a good time to see how this particular multi-tiered node system will work.

ZenCash Super Nodes are Coming

It is always good to see alternative cryptocurrencies embrace a slightly different model compared to what we see with every other cryptocurrency on the market. The team is confident they can make a positive impact with the launch of Super Nodes. They are not the same as Secure Nodes, and they will offer different benefits.

First of all, these nodes will help manage key network and system functions, including the hosting of multiple services on sidechains, tracking secure node uptime, and queueing the needed payments for miners. All of these features are big aspects of ZenCash, and it’s always good to have some “backup layer” for the Secure Nodes in terms of tracking uptime.

Moreover, the ZenCash team acknowledges their current node system can benefit from more decentralization. It is evident most cryptocurrencies suffer from a lack of decentralization when it comes to network nodes, yet solving this problem is not all that easy. Even Bitcoin has struggled in this area, as most of its nodes can be found across a few cloud services. That is not the way people should run nodes, although it is inevitable that such approaches will become more popular.

What makes these Super Nodes even more intriguing is that they also serve as the foundation for future ZenCash services. The team is confident they can turn this project into much more than just another cryptocurrency, although that is much easier said than done, for obvious reasons. With a lot of features set to be added in the near future, it is certainly possible that Super Nodes will play an increasingly important role moving forward.

Other benefits of Super Nodes include on-chain tracking and payments, which is a big step up from how things are currently done. Providing these services through external solutions was a necessary evil that the ZenCash team had to deal with, yet it seems their desire to become more decentralized is slowly paying off. Additionally, the introduction of sidechain capabilities is another big development for any cryptocurrency. Being able to build new features which are not necessarily currency-oriented is always a good thing. This doesn’t necessarily guarantee that people will be interested in doing so in the case of ZenCash, though.

As one would expect, setting up a ZenCash Super Node means users will need to adhere to a fair few technical requirements, as well as have a total balance of 500 ZEN locked up in an address for staking purposes. If things go according to plan, ZenCash will have over 2,000 Super Nodes in the future, although it remains to be seen how feasible that goal really is.