Day: June 16, 2018

Japan’s prosecutors have arrested 16 individuals suspected of involvement in illegal case of cryptojacking in Japan

A lot of innovative concepts exist in the world of cryptocurrency. Not all of them will succeed in the long run, yet interesting developments tend to take place quite regularly. The ORCA Alliance, for example, seems to offer conversion from cryptocurrency to fiat currency with no fees or delays.

The ORCA Alliance in a Nutshell

On paper, the ORCA Alliance aims to become a decentralized platform for all cryptocurrency and fiat currency operations. Bridging the gap between these two industries will not be easy, as the financial sector doesn’t always take kindly to cryptocurrency. Even so, this platform will combine all of one’s finances into one application.

How Does it Work?

While it sounds exciting to combine the best of banking and cryptocurrency in one app, doing so may not be easy. According to the ORCA Alliance, they will combine a range of financial service products including payment cards, lending services, exchanges, and bank accounts. 

Company CTO Dmitrij Radin hinted at some of the functionality which cryptocurrency users can expect moving forward. They include the ability to cash out various cryptocurrencies from exchanges without paying “exuberant” fees. During a demo, the platform successfully transferred cryptocurrency funds to a user’s bank account in just over five seconds. Compared to the current process of converting to and from fiat currency, that is quite a significant improvement.

In fact, the team considers instant cryptocurrency withdrawals to be a “stepping stone”. While that is quite ambitious, it also shows that there are some powerful connections to be made between traditional finance and cryptocurrency. The company has secured a partnership with an e-money institution to bring this technology to market as soon as possible.

The ORCA Token

No new blockchain and cryptocurrency-oriented ecosystem can exist without its own currency these days. The ORCA Alliance is no different in this regard, as its native ORCA token will be used for many different purposes. It is the token which will power app-based functions, as well as serve as rewards for the platform’s loyalty program. Users will be able to access apps and services using other tokens through ORCA, which is something to look forward to.

The Road Ahead

For the time being, the ORCA Alliance is conducting its token sale, which will remain the primary focus for the time being. Later this year, the development of algorithmic bots and arbitrage strategy will occur, as well as the release of an ORCA payment card. The ORCA app center and marketplace will not come to market until early 2019.

Bittrex has made it clear that the company will be entering the fiat currency trading industry fairly soon. In the first phase, the company will add USD trading, although it will seemingly be limited in terms of its availability. Given the US’s fractured cryptocurrency regulation, such an approach makes a lot of sense.

Bittrex’s Plan of Action

When Bittrex announced that they would soon be introducing USD trading, it got the cryptocurrency community excited. That was only to be expected, as fiat currency gateways are difficult to come by for most altcoins. Since Bittrex remains one of the largest altcoin exchanges out there, offering various USD trading pairs for top currencies can help introduce a lot more money to the cryptocurrency industry.

Although it remains unclear which currencies will get USD trading pairs, Bittrex has unveiled a few more details regarding their fiat currency trading plans. First of all, the current plan of action involves exposing a small group of Bittrex users to participate in USD markets. This “live test” is direly needed to determine whether or not the integration plan is in need of revision.

As one would expect, this functionality will remain limited. Participants in Washington State, New York, Montana, and California will be given access to USD trading first. This only encompasses a small portion of the United States, although the addition of New York will certainly introduce a lot of positive changes. This US state doesn’t have the best of reputations when it comes to Bitcoin, mainly because of the BitLicense requirement.

There is another limiting factor which users may need to be made aware of. While Bittrex plans to eventually roll out fiat currency support to all customers, their main focus is on corporate customers. Retail customers will need to wait at least two weeks before getting access to this new trading functionality. That’s not entirely surprising at this stage, although it may not necessarily be to everyone’s liking.

It does appear there will be no additional verification requirements when it comes to accessing USD markets. That is a positive development, as it will potentially introduce a lot more users to trading altcoins on Bittrex with the US dollar. It should be relatively easy for existing users to benefit from this new service by the time it goes live.

All of these developments are relatively positive for the Bittrex trading platform. More consumers and institutional investors are showing an interest in cryptocurrency these days. It is a bit unfortunate that the rollout will occur in multiple stages, but that is only to be expected. Whether or not a lot of people will engage in USD trading on Bittrex remains to be determined.

At press time, bitcoin has undergone no change since falling to $6,500 yesterday. It’s been a week of ups and downs for sure, and despite the low price, it’s a little refreshing to see bitcoin stay put for the time being.

One source mentions bitcoin is at its lowest point since last February, and that new resistance sits at the $6,800 mark. While this presents a $300 window for the currency, it’s unlikely we’ll see bitcoin strike $6,800 before the week is out.

At the same time, however, the price doesn’t seem to be deterring major companies and investors. For example, Walmart has recently taken out a patent for the development of an electrical grid that will use bitcoin and other cryptocurrencies. The application is dated two days ago – June 14 – by the U.S. Patent and Trademark Office, and it is good news to know the currency is not losing its popularity.

In addition, bitcoin is getting praise and support from an unlikely source – former Star Trek actor William Shatner. The entertainment figure currently serves as a spokesman for Solar Alliance, based in Vancouver. The company – which has predominantly concentrated on alternative energy projects in the solar space – recently announced plans to convert an abandoned Illinois factory into a solar-powered bitcoin mining operation.

Shatner – who in the past has called bitcoin a “cyber snob currency” – is suddenly changing his tune, and says he’s proud to be part of the digital currency revolution. He also says, “utilizing solar arrays to power [mining operations]makes social and economic sense.”

“The concept [behind cryptocurrency]is strange, and yet when you begin to grasp it, it makes sense,” he explained.

The facility is 165,000 square feet in Murphysboro, Illinois. CEO Jason Bak states he’s excited about the prospects of using solar energy, which could potentially lessen the amount of electricity bitcoin mining really uses and decrease environmental concerns.

Lastly, the report released by University of Texas finance professor John Griffin – which alleges that bitcoin was potentially tied to Tether and thereby manipulated price-wise by way of an alternate currency – is being labeled as “underwhelming” by Bloomberg. An article recently published by the news platform suggests that the paper is riddled with inconsistencies, and that there is no correlation between Griffin’s document and recent press coverage in terms of quantification.

In addition, Bloomberg suggests that Griffin’s report is based more on “practical significance,” rather than “statistical significance.” For instance, the source points out that Griffin has only 20 data points to support the claim of 72 additional bitcoins, and he fits them by using a model with six parameters. Bloomberg then points out that the “usual role of thumb is you want 30 observations per parameter to rely on the results,” and that various data and complexity issues are not even considered for the given equation.

It’s unclear at this stage whether manipulation took place or not, but we can rest assured, at least, that the currency is managing to keep its position in the spotlight, and draw further attention to its goals and benefits.

Charts by TradingView

In our ongoing series regarding Bitcoin and crime, various topics have been highlighted. There is a lot to talk about, even though it is evident cryptocurrencies will evolve beyond crime in many different ways. Especially with law enforcement agencies now tracking Bitcoin, interesting changes are bound to occur soon.

The Rise of Blockchain Analysis

Fighting crime involving Bitcoin and other cryptocurrencies is no easy feat. Even though the Bitcoin ledger is completely transparent and shows transactions in real time, finding the source or recipient is a different matter altogether. To the average user, it may seem like an impossible task, but there are some tools to help move things along.

Various law enforcement agencies have begun delving into the Bitcoin blockchain to identify potentially malicious transactions. That is much easier said than done, as it seems very few agencies have developed their own solutions. Instead, they seem to rely on third-party service providers, which creates opportunities for companies offering these services.

One company stands out in this regard. Although Chainalysis is not the only company offering blockchain analysis services these days, it has quickly become a household name in the world of law enforcement. Bitfury Group has its own blockchain analysis service as well, though it seems it’s not necessarily designed to make life easier for law enforcement officials.

In the case of Chainalysis, the company has built up quite the reputation. More specifically, the firm has provided services to some of the biggest law enforcement agencies in the world today. Its customers include the IRS, FBI, SEC, DEA, Europol, and a few others. It is evident most of these efforts are focused on the United States, mainly because it is one of the leading countries when it comes to cryptocurrency activity in general.

While one would expect blockchain analysis to make a positive impact when it comes to crime, the reality may turn out somewhat differently. Anyone with a functioning brain will acknowledge Bitcoin isn’t a suitable currency for illicit activity, due to its lack of privacy, high transaction fees, and global visibility. Instead, other currencies seemingly lend themselves to such conduct.

Criminals around the world have taken notice of the increasing scrutiny surrounding the Bitcoin blockchain. As a result, they have begun flocking to alternative solutions. Both Monero and Zcash seem to be of keen interest in this regard, mainly because they both offer privacy and anonymity features which one can’t find in Bitcoin.

There is still plenty of speculation as to why the Bitcoin price has plummeted over the past few months. Some sources hint at Tether’s involvement, whereas Fundstrat’s Tom Lee has a completely different view. In his opinion, the expiration of Cboe’s Bitcoin futures are the main culprit.

Factors Influencing the Bitcoin Price

Although Bitcoin markets will always be volatile, there are many different external influences in play at all times. Over the years, there have been a fair few factors which pushed the Bitcoin price in a specific direction, either for better or worse. In early 2018, the market downtrend has led to a lot of speculation and fluctuation, though pinning down the exact cause is not easy.

Recent research hinted that Bitfinex and Tether were in cahoots to prop up the Bitcoin price in late 2017 and early 2018. Whether or not that is actually true will always remain subject to speculation. However, it is evident there is potentially some truth to the idea. Not everyone considers this to be the main reason why the Bitcoin price has gone from highs to lows in quick succession.

Fundstrat’s Tom Lee, for example, has a rather surprising view on the matter. His financial expertise leads him to think the Cboe Bitcoin futures may be having a negative impact on the BTC price. It is not as far-fetched as it may seem at first, as the expiration date of the Bitcoin futures may have caused the market to undergo major changes. In his words:

Bitcoin sees dramatic price changes around CBOE futures expirations. This was something flagged by Justin Saslaw at Raptor Group. We compiled some of the data and this indeed seems to be true. Overall, Bitcoin has fallen 18 percent in the 10 days prior to CBOE contract expiration.

That is a pretty interesting observation and correlation. It is certainly possible that Bitcoin futures could have a bearish effect on the cryptocurrency industry. There’s a lot of bias against Bitcoin in the financial sector, and providing these naysayers with a tool with which to influence the Bitcoin price can certainly trigger a massive sell-off.

While the current outlook may not be all that promising, Tom Lee remains convinced Bitcoin will bounce back. His earlier prediction of a Bitcoin price of $25,000 is still in place, although it remains to be seen if that’s where we’re going. A fair few experts have made similar predictions, yet the current market momentum seems to be hinting at something completely different.

The current market performance has many people questioning what is going on, wondering why Bitcoin and others have hit yet another slump this year. Experts share their opinions with Cointelegraph

Japanese police from 10 prefectures have arrested website operators using Coinhive to tap into the computer power of their site visitors to mine cryptocurrencies without consent. They are accused of violating the law banning the use of computer viruses. Some people have already been fined. The police have been monitoring the Coinhive program since it was released.

Also read: Yahoo! Japan Confirms Entrance Into the Crypto Space

16 People Caught

The police from 10 prefectures throughout Japan have reportedly caught 16 people using mining programs to mine cryptocurrencies using other people’s personal computers, according to local media. The Japan Times reported the National Police Agency saying:

Sixteen people in Japan have been found to have embedded computer programs on their own websites to use personal computers of viewers for cryptocurrency mining without their consent…These people have been accused of violating the law banning the use of computer viruses.

The Asahi Shimbun elaborated, “Three men were arrested on suspicion of illegal use of what were defined as computer viruses, while 13 other men had their papers sent to prosecutors for the same suspicion.” Previously, news.Bitcoin.com reported that the police were investigating the three people whom they have now arrested.

All of the accused operate their own websites which allegedly had programs installed to use visitors’ computers to mine crypto. The 16 are between the ages of 18 and 48. One is a teenager, seven are in their 20s, four are in their 30s, and the remaining four are in their 40s.

Some of them have already been fined ¥100,000 (~US$904), the Japan Times further revealed, noting that “The most money earned among the 16 suspects was the equivalent of about 120,000 yen ($1,100).”

Furthermore, the publication emphasized, “It is the first time in Japan that a person has been accused by police of using another person’s personal computer through a cryptocurrency mining program without approval.”

Police Keeping an Eye on Coinhive

Japanese police have been monitoring the Coinhive program since it was released in September last year to determine where it has been installed, the publication noted.

Citing that the programs were embedded in adult, music and game websites to mine four cryptocurrencies, including monero and jsecoin, the news outlet wrote:

Of the 16 people, 14 used Coinhive, a program that provides 30 percent of mined cryptocurrencies to the developer and the remaining 70 percent to owners of websites in which the program is embedded.

Hisashi Sonoda, a professor at Konan Law School knowledgeable about cybercrimes, believes that “the sudden arrests may have been somewhat excessive because there are no legal precedents on how to handle the use of such programs,” the Asahi Shimbun conveyed.

What do you think of the Japanese police’s action? Let us know in the comments section below.

Images courtesy of Shutterstock and Coinhive.

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The post Japanese Police Arrest Coinhive Users for Violating Law Banning Computer Viruses appeared first on Bitcoin News.

There is never a shortage of drama in the world of cryptocurrency. Especially where the Tezos project is concerned, the situation tends to get out of hand on a regular basis. It now seems this project is bound to “fork” prior to even launching. It’s a worrisome development, albeit one that was to be expected.

The Tezos Fork to Keep an Eye on

A lot has been said and done when it comes to the Tezos project. Considering that so many things have gone wrong prior to this project’s launch, it is only natural that its development will continue to be scrutinized. There are also a fair few lawsuits still taking place against the Tezos founders which have yet to receive verdicts.

The more intriguing – or worrisome – development comes in the form of a project known as nTezos. As the name suggests, it is a different take on the Tezos project as a whole. It will serve as a self-governing network running the Tezos software. As such, this seems to indicate a fork of this project exists without there even having been an official launch of the original.

Unlike the Tezos project, its nTezos offspring will not require KYC checks. It is this procedure which has a lot of initial Tezos investors on edge, even though performing a KYC check is more than warranted. It obviously could have been handled a lot better, yet there is very little to be done about this.

Additionally, the nTezos token allocation will apparently utilize the same structure as the main project. However, there will be no special rewards for anyone involved in this process. Unlike Tezos, the nTezos fork will have an auditable genesis block, which may become another topic of conversation in the weeks to come.

As is always the case when new projects like these surface, one has to wonder if it can be taken seriously. So far, it seems the nTezos project has a dedicated team which will move ahead with this venture in one way or another. Despite not being affiliated with the Tezos Foundation, there may be some initial interest in this fork, assuming it ever gets launched in the first place.

There are still a lot of questions regarding both Tezos and nTezos which will need to be answered. The cryptocurrency space will undoubtedly see a fair amount of excitement in this regard, although the chances of either project succeeding have yet to be determined at this point. It’s a peculiar situation, although competition has never been a bad thing in this industry.

The crypto space isn’t exactly overflowing with women. In fact, only between 5 to 7 percent of all cryptocurrency users are female. Is it harder for women to find their place in a male-dominated industry? Between the condescending “boys’ club” attitude and a seeming reluctance to gamble away their money, the ladies are holding back.

For those who are carrying the torch for the fairer sex, there are indisputable perks: an expanding world of possibilities, the chance to inspire their gender, and a shorter line at the ladies’ restroom. Despite having the numbers stacked against them, check out the following five women killing it in the crypto space.

5. Imogen Heap

Standing up for the rights of struggling artists and blending blockchain tech with the music world, you don’t get much cooler than Imogen Heap. As a Grammy-winning artist, she’s one of the biggest names in music to have embraced blockchain technology. Through her platform MyCelia, Heap aims to right the wrongs of the music industry by ensuring not only that artists get fairly paid but that they get a foot on the ladder as well.

MyCelia is an ecosystem for musicians and fans to make connections, use smart contracts to ensure royalty payments, and provide a transparent ecosystem for musicians to thrive in – without all the middlemen. Its “creative passport” stores all musicians’ data, from the equipment they use to the songs they’ve written. It is also projected to be the starting point for a larger community of DApps and third parties joining forces to decentralize the music industry

4. Olga Feldmeier

CEO and founder of Smart Valor, Feldmeier’s career trajectory is fiendishly impressive. With a string of financial accolades to her name, she’s been Executive Director at UBS, VP of Corporate Strategy at Barclays Capital, and a consultant with BCG. She speaks multiple languages and is a living, breathing financial encyclopedia – as well as a formidable entrepreneur.

Dubbed the ‘Bitcoin Queen’ of Switzerland’s Crypto Valley by the International Business Times, Feldmeier left the banking world behind to work as a managing partner at Xapo before launching Smart Valor. A tokenized alternative investment platform, she plans on using her knowledge and experience to democratize investing and get more people in the game.

3. Meltem Demirors

Yet another female kicking ass in this space is Meltem Demirors. As a member of the World Economic Forum’s Global Future Council and development director at the Digital Currency Group, Demirors bridges the gap between existing and emerging industries. Passionate about growing both the technology and the community around it, she incubated DGC Connect in order to connect startups with VCs and technology service providers.

Widely known for her amazing work in the industry, founding Athena Capital is among her many achievements. As well as trading and forging relationships, she writes and teaches others about finance, both traditional and blockchain-based.

2. Connie Gallippi

Realizing the importance of Bitcoin earlier than most, Gallippi saw its potential to generate wealth back in 2013. A firm believer in the power of the technology, she wanted to provide a way for people making profits with Bitcoin to be able to give some back, so she combined Bitcoin with philanthropy through the BitGive foundation.

The number of charities and nonprofits accepting Bitcoin donations has grown exponentially. Not only is this a good way for charities to encourage new donors, but donors can label it a tax write-off as well.

Gallippi has worked with some of the largest charities out there, including Save the Children and Medic Mobile. And now she’s adding a whole new layer of transparency by using the technology to hold charities accountable for how they spend their funds. This will encourage more donors to contribute and ensure optimal use of donations.

1. Joyce Kim

Everyone’s heard of Stellar Lumens. But they may not know that its executive director is a woman. Kim is also managing partner at Spark Change Capital and a true believer in the power of blockchains to place the unbanked on the grid and lift the world out of poverty.

A captivating and passionate speaker, Kim has even the most skeptical of audiences on the edges of their seats as she speaks of financial inclusion and tackling inequality. She’s presented for banks, government organizations, and the UN, and is an advisor to numerous projects and ICOs.

Wrapping it Up

When you start to dig a little deeper, there are some pretty cool women making it big in the crypto space. We may be an outnumbered minority for now, but the passion, persistence and steely determination of those working for a more equal industry should succeed in bringing more females into the fold.

Crypto markets see mix of red and green this Saturday, with all of the top 10 coins by market cap experiencing a slight decline

This week the Twitter handle @Bitmaintech was locked down because Twitter administrators claimed the account belongs to a 4-year-old. The Twitter handle’s owner and Bitmain’s head of marketing have complained to the social media company’s support team and Twitter’s CEO Jack Dorsey. The account lockdown marks the second high profile bitcoin-related account that’s been banned from Twitter in just a few months.

Also Read: Study Reveals ASIC Miners Represent 30% of the Equihash Mining Hashrate

The Official Bitmain Tech Twitter Account Has Been Suspended

On June 14 Bitmain Tech’s head of marketing Nishant Sharma tweeted to his followers that the company’s official Twitter account @Bitmaintech had been banned from Twitter. At the moment the Twitter account is completely inaccessible to the public and the Beijing-based company’s active ad campaigns have been paused.   

Bitmain’s account accumulated thousands of Twitter followers over the past four years and now the account is unable to post or utilize the social media platform in any manner until the case is resolved.          

“The @Bitmaintech account is temporarily inaccessible because apparently, Twitter thinks that the people behind the account are as old as Bitmain i.e. 4 years old,” says Sharma.

It should be back soon (and long before Bitmain turns 13). @Jack help please. Case# 85911059

The Recent @Bitcoin Account Suspension

The account removal comes at an awkward time for the Twitter CEO, Jack Dorsey, who has been asked to address multiple issues tied to the social media platform. For instance, just recently the @Bitcoin account was banned and the topic was very controversial. The account with over 750,000 followers was initially suspended and then the account was restored with a much lower follower count than it had prior to the ban. Some people accused Dorsey of being biased and showing a conflict of interest towards supporters of the Lightning Network (LN) by allowing the banning of the @Bitcoin account. The reason for this speculation is due to Dorsey’s recent investment into the LN project.

 Legitimate Accounts Banned, but ETH Bot Impersonation Thrives

Twitter users within the cryptocurrency industry are also dealing with the vast amounts of scamming ETH bots that have cloned nearly every well-known person in the crypto-community. The ETH bots have managed to scam millions worth of ether because Twitter will not remove the fraudulent accounts impersonating digital currency luminaries. So essentially people are pretty frustrated that Twitter has managed to ban and censor legitimate users like @Bitcoin and @Bitmaintech, while allowing fraudulent scammers to run amuck all over the platform.

The case of Bitmain losing it’s official account, because Twitter admins believe it belongs to a four-year-old, seems absurd, but Twitter has been a whacky place lately, and the company hasn’t been very responsive. The issues with Twitter also follows the recent accusations and admissions stemming from other social media platform CEOs abusing their powers. Back in 2016, the Reddit CEO Steve Huffman admitted to editing comments on the pro-Donald Trump subreddit, r/the_donald. This year Facebook’s Mark Zuckerberg has been scrutinized for selling user data to Cambridge Analytica. And now Twitter users are complaining about banned accounts and censorship and many of them are pointing their fingers at Jack.   

What do you think about Bitmain’s Twitter account getting banned because admins believe the account belongs to a four-year-old child? Do you think Jack Dorsey and Twitter have a lot of explaining to do? Let us know your thoughts on this subject in the comment section below.

Images via Pixabay, Bitmaintech, the Twitter logo, @bitcoin, @bitmaintech, @laurashin 

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