Day: June 22, 2018

Charles Hoskinson calls out the mainstream media’s constant predictions on the death of the cryptocurrency Ponzi scheme – scam bubble on Twitter predicting an influx of trillions of dollars from institutional markets once the next round of regulation is settled.

Hoskinson Calls Doom and Gloom Media Reports

There hasn’t been a day gone by since Bitcoin entered into the collective consciousness during its unprecedented 2017 bull run, carrying along with it along the terms cryptocurrency, blockchain, and digital money, that a headline hasn’t appeared warning the public of its inevitable demise and the financial destruction which would encompass all in the space.

With old money market bears like Warren Buffet calling the entire industry “rat poison” and headline-grabbing institutional heads like Mark Carney of the Bank of England calling for the fall of cryptocurrency every chance he gets, it’s refreshing to have a crusading voice on the side of the industry make a loud prediction every once in a while. It doesn’t hurt that in this case, that voice belongs to the founder of both Ethereum and Cardano Charles Hoskinson.

Hoskinson tweeted out to his 92 thousand plus followers criticism on the mainstream media’s “cryptocurrency is going to die broken record” stance. Predicting that when the present regulatory problems are settled “wall street is showing up to the party with all their locked up capital. That’s tens of trillions of dollars entering the space”

What's often missed by the cryptocurrency is going to die broken record media is that after the next wave of regulation, wall street is showing up to the party with all their locked up capital. That's tens of trillions of dollars entering the space eventually. Future is bright

— Charles Hoskinson (@IOHK_Charles) June 21, 2018

Hoskinson is not alone in this opinion. Ever since Goldman Sachs solidified rumors of wall streets first digital asset trading desk and with recent clarity coming from the SEC clearing the way for Ethereum and possibly other crypto-based derivatives talk about the tidal wave of institutional monies coming to flood the crypto market has been ramping up.

Crypto Bulls put the Present Price Lull into Perspective

Wall Street’s ‘Crypto King’ Bart Smith who runs the investment firm Susquehanna International Group recently told CNBC in an interview focused on the interest of institutional investments into crypto and blockchain based technologies that: “[Regulatory] clarity will allow institutions to come in more than anything else because institutions don’t like to invest into uncertainty. So we’re just taking the most conservative approach that we can,”

Likewise, San Francisco’s Coinbase CEO Brian Armstrong told his employees in a series of tweets about the nature of the crypto market that:  “When there is hype, people are irrationally exuberant. When there is despair, people are irrationally pessimistic. Neither is true, reality is always somewhere in the middle, more correlated with real usage (transactions per day) than the price.”

The post Ethereum & Cardano Founder: Cryptocurrency Will Become a Multi-Trillion Dollar Industry appeared first on NewsBTC.

George Friedman said in an interview on CNBC that he believes Bitcoin and blockchain will eventually become obsolete in the near future, saying “I’ve never known any encryption technology not to be broken” and “I doubt between Russia, China, and US intelligence services that blockchain can’t be decrypted”.

Friedman is a well-known geopolitical forecaster and strategist. Founder and chairman of Geopolitical Futures which attempts to forecast global events,  he published ‘The Next 100 Years: A Forecast For The 21st Century‘.

There is some truth to his statement, in the sense that all cryptographic methods made before the advent of computers ended up getting cracked, since computers can do so many calculations per second that all old forms of encryption done by hand can be decrypted with brute force computer code.

However, the National Security Association (NSA) produced the SHA-2 protocols with military grade security in mind, and SHA-256 is the backbone of Bitcoin and part of SHA-2. SHA-256 is incredibly secure. In order to crack a Bitcoin public key and obtain the private key to steal money, it would require calculating every combination of a 256 bit number. Therefore, to reverse a hash a person would have to create a random data set, convert it into a hash, and then compare the hashes an unfathomable 2^256 times.

The fastest computer in the world on record is China’s Sunway TaihuLight with a peak performance of 125,000 trillion FLOPS per second, where FLOPS stands for floating point operations per second. FLOPS does not directly equal hashes per second, it takes many FLOPS to calculate a hash from a set of data. Regardless, it would take longer than the age of the universe to crack Bitcoin’s code even with the fastest supercomputer on Earth. Even if there was a powerful enough computer to crack open Bitcoin’s encryption in a timely fashion, according to a physicist the entire Sun doesn’t even have enough energy to power such a computer, not even harnessing the energy of an entire supernova would be sufficient.

Quantum computers may change this, and some experts think that quantum computers will be able to crack through Bitcoin’s encryption by 2030-2040. However, researchers are working on quantum cryptography, and there should be plenty of time for Bitcoin to move to a quantum blockchain by the time this becomes a problem. The move to a quantum blockchain could be done in the same way EOS and TRON are moving from the Ethereum blockchain to their own native blockchains, or something like the technology underlying the new cryptocurrency Metronome could be used. Metronome can easily be transported between different blockchains and is meant to survive as long as blockchains exist.

George Friedman may be right that all encryption schemes eventually get hacked, but Bitcoin is open source and can evolve as the technology evolves and won’t become obsolete just because any particular cryptographic algorithm becomes obsolete. For the time being his statement that an intelligence agency could decrypt Bitcoin is also wrong, as no one on Earth has anything remotely capable of hacking Bitcoin.

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The post George Friedman Says Bitcoin’s Encryption Will Be Broken, but Facts Speak Otherwise appeared first on BitcoinNews.com.

Japan’s Financial Services Agency has issued business improvement orders to six licensed crypto exchanges operating in the country.

Stephen Silver, the CEO at Stephen Silver Fine Jewelry, has revealed that after four years of integrating Bitcoin in 2014, cryptocurrency transactions have surpassed credit card sales at the retail shop and 20 percent of the company’s sales are now attributable to cryptocurrency.

Silver, who had previously led Stephen Silver Fine Jewelry to become the first jewelry retailer in the world to accept cryptocurrency back in 2014, said:

“Cryptocurrency has surpassed the volume of retail credit-card purchases in the company in a very short time period. We’ve created revenue that the company would not even enjoy without being able to accept cryptocurrency. Large sums of money are where we are finding cryptocurrency to be a huge advantage.”

Why it Works at Jewelry and Real Estate Industry

Last year, investors of a few hundred million dollar property development project in Dubai were taken aback by the decision of the project managers to accept payments in Bitcoin for the sale of its apartments and commercial spaces.

At the time, Lingerie tycoon Michelle Mone and her billionaire business partner Doug Barrowman announced that the sale of a $327 million property in Dubai will primarily be processed in Bitcoin. In a matter of weeks, 50 luxury flats in Dubai were sold in Bitcoin, to customers that had to convert fiat to the dominant cryptocurrency to purchase the 50 apartments.

“We allocated 50 out of 1,300 developments. We’ve sold all out. Some bought ones and twos, and one individual bought ten,” said Mone, who added that Barrowman decided to accept cryptocurrencies because he was frustrated Bitcoin was not being used enough by retailers and businesses.

For retailers and business owners in the jewelry and real estate industry, accepting payments in Bitcoin and other major cryptocurrencies can be significantly cheaper and more efficient than bank transfers because of the high fees required by financial institutions and the three to five business-day transaction processing periods of banks.

In an interview with CNN, Garrick Hileman, an economic historian at the University of Cambridge and the London School of Economics, said that economically, accepting payments in Bitcoin makes sense for expensive products and properties because with items that cost in the range of $10,000 to $1 million, transaction fees sent to banks can easily surpass the $1,000 to $50,000 mark.

“If you’re only paying a $2 transaction fee on a piece of art that’s worth tens of thousands, the fee is basically zero. But if you’re paying 2 or 3% on a piece of art of that value, then the numbers can go up quite a bit,” Hileman said.

Jewelry Buyers Save 1.5%

In addition to bank fees, buyers of jewelry can also save up to 1.5 percent on their purchase because transactions made in Bitcoin do not require banks and other third party service providers to convert reserve currencies.

Similar to the mindset of billionaire real estate developer Doug Barrowman, Silver emphasized that as supporters of the cryptocurrency sector, the company has been monitoring the rapid growth rate of the cryptocurrency market and is satisfied by the increasing maturity of the industry.

“Given that Stephen Silver Fine Jewelry is based in Silicon Valley, the cradle of innovation, we’ve been monitoring the development of blockchain technology since 2008. In 2014, we felt it had matured to the point that we could bring the technology into our store.”

The post Cryptocurrency Transactions Surpass Credit Card Sales at Silicon Valley Jewelry Retailer appeared first on NewsBTC.

Key Highlights

• ADA price traded further lower and broke the $0.1550 support against the US Dollar (tethered).
• There is a crucial bearish trend line formed with resistance near $0.1555 on the hourly chart of the ADA/USD pair (data feed via Bittrex).
• The pair is currently in a downtrend and it could break the $0.1500 support for more losses.

Cardano price failed to recover against the US Dollar and Bitcoin. ADA/USD tumbled and it remains at a risk of more losses below the $0.1550 level.

Cardano Price Analysis

During the past few sessions, there was an increase in selling pressure on ADA price below $0.1660 against the US Dollar. The ADA/USD pair failed to break the $0.1650 resistance and started a downside move. It broke down and cleared the $0.1600 and $0.1550 support levels to settle below the 100 hourly simple moving average. More importantly, the price settled below a key support at $0.1550, opening the doors for more declines.

During the slide, the price surpassed the last swing low near $0.1557. It means the price may perhaps test the 1.236 Fib extension level of the last wave from the $0.1557 low to $0.1708 high at $0.1522. However, if sellers remain in action, there is even a chance of further losses towards the $0.1500 level. Below this, the next support is at $0.1450. On the other hand, if the price corrects higher, it could test the $0.1550 resistance zone. There is also a crucial bearish trend line formed with resistance near $0.1555 on the hourly chart of the ADA/USD pair.

The chart indicates the price is likely to move down further towards the $0.1500 handle. The overall price action is bearish, which is why any recoveries above $0.1555 and $0.1600 may be limited in the near term.

Hourly MACD – The MACD for ADA/USD is moving strongly in the bearish zone.

Hourly RSI – The RSI for ADA/USD has reached the oversold zone with bearish signs.

Major Support Level – $0.1500

Major Resistance Level – $0.1560

The post Cardano Price Analysis: ADA/USD Extending Losses appeared first on NewsBTC.

Introducing on-chain governance to crypto networks is likely to make them more like nation-states with the inefficiencies that entails.