- BitFlyer is going to Europe!
- Bitcoin Cash celebrates Address-Day!
- Crypto-Mining: Browser Opera now also protects Smartphones!
- Investment: Tips from Credit Suisse!
- Brazil: Twice as many Bitcoin Investors as Stock Investors!
- IOTA cooperates with Volkswagen Chief Digital Officer Johann Jungwirth!
- Zurich Church accepts Cryptocurrency Donations!
BitFlyer, the largest crypto exchange in Japan, will come to Europe. It has today been approved by the Luxembourg Financial Supervisory Commission de Surveillance du Secteur Financier. So they will be based in Japan, USA and in Europe.
According to an official statement, the largest Japanese crypto exchange BitFlyer will expand to Europe. The planned expansion into tax-friendly Luxembourg will bring further growth to the Japanese stock market. Initially, the offer of the stock exchange is limited to the currency pair BTC / EUR. However, more cryptocurrencies such as Litecoin, Ethereum and Bitcoin Cash are planned later this year. The operators also want to issue new transaction fees to new customers as a start-up offer.
At the time of release, BitFlyer ranks sixth of the crypto exchanges in trading the world's leading cryptocurrency Bitcoin, with a 24-hour trading volume of $ 279,125,000.
Founded in January 2014, the company has grown steadily. So BitFlyer was expanded in the US last November. It was the fourth stock exchange in the US to receive a license to trade in cryptocurrencies from the New York State Department of Financial Services. This international orientation strengthens its position in the cryptocurrency market and thus also increases its attractiveness for European investors. Here is an opposing movement to the current developments in South Korea hold on - which will ultimately prove to be more successful, shows the time.
Japan, crypto friend
In other areas, the land of the rising sun lately designed as relatively crypto-friendly. The chat app LINE has integrated cryptocurrencies into its payment system with 168 million users. The financial house Mitsubishi Trust and Banking even published insurance coverage for attacked crypto investors. Finally, it should be noted that Japan profited greatly from the Chinese ICO ban last year. Many young entrepreneurs emigrated from China to Japan to benefit from the crypto-friendly environment.
A lot has happened with Bitcoin Cash: the community introduces a new address format with the Address-Day, a stress test shows that the network is capable of processing 8MB blocks on a continuous basis for several days, and Bitcoin Cash Publishing Platform Yours.org receives an investment of $ 1.5 million.
While Bitcoin is slowly rolling out the Lightning network, Bitcoin Cash continues to work on "Satoshi's vision" of scaling through large blocks. Over the past few weeks, there has been some interesting news from the controversial Fork Coin.
Stress test
Although Bitcoin Cash, with a block size limit of 8 megabytes, allows much larger blocks than Bitcoin, it usually makes no use of it. You could say that exactly that feature that led to the fork is completely unnecessary.
While the 300,000 or so daily Bitcoin transactions just fit into the now 1.05 megabyte blocks, the transaction volume at Bitcoin Cash is so low that the blocks rarely exceed 0.1 megabytes. The limit of 8 megabytes has been virtually never exhausted.
It was different between the 13th and 16th of January. On these days, someone flooded Bitcoin Cash with huge transactions. Within hours, the memory pool - the amount of unconfirmed transactions - reached more than 100 megabytes, and the miners processed one 8mb block after another.
Johoe's MemPool visualization clearly shows the stress test. Source: Creative Commons
As soon as the flood of transactions stopped, the miners were able to quickly disassemble the Mempool thanks to the large blocks. Since the transactions have paid only 1 Satoshi per byte of fees, normal users have not noticed anything of the state of emergency, if they have sat 2 Satoshi charge. You could continue to use Bitcoin Cash very cheaply.
Whether it's a spam attack or a stress test is hard to say. However, with charges kept low, the flood of transactions built so that they did not leave an elevated UTXO set, and the wave subsided after a few days, a stress test is more likely. Someone wanted to test if Bitcoin Cash could handle such a high volume.
The answer is: It will be clear, at least for a few days.
Address Day
For about a week, most Bitcoin Cash Wallets use a different address format. The new addresses look something like this:
Ugly, right? To explain all this, you have to get a bit out of it. To the Bitcoin Core developer Pieter Wuille and SegWit. At the beginning of 2017, Wuille developed the bech32 address format. With this one can form native SegWit addresses instead of pegging SegWit through the already known P2SH addresses. This has the disadvantage that it makes transactions a bit bigger.
So that SegWit really has its effect, so it needs the bech32 addresses. The format already has a GDP at Bitcoin, but is not quite official yet. It is still not used as it hardly understands a wallet except Electrum.
Now that Bitcoin Cash is forked, there were always issues with misdirected transactions. Several users have mistakenly sent Bitcoin Cash to Bitcoin addresses. Since both coins use the same address format, this is not bad in itself. However, if the Bitcoin address was a SegWit address, the situation became serious.
The reason is simple: SegWit hides the signature behind an "Anyone Can Spend" script. The Bitcoin miners know that this is just a mask and where to find the signature. The Bitcoin cash miners, on the other hand, take the "anyone-can-donation" seriously: As soon as you pay the bitcoins cash on a SegWit address, everyone can grab the coins. That this is a problem goes without saying.
So the Bitcoin Cash Community has decided to introduce a new address format. There was a suggestion from BitPay to simply change the check digits so that the addresses look like the usual bitcoin addresses but start with a different letter (mitz "C"). However, the developer's favorite was Pieter Wuille's bech32 format. This has several advantages:
- It only consists of lowercase letters, which makes it easier to type it on a smartphone or pass it through orally
- It is even more unlikely to hit a valid address by typing
- The security of multisig addresses is increased (with the conventional format, it is said to be close to what is still safe)
- It helps to transport zero-knowledge proofs. Why, how and why I do not know.
So the Bitcoin Cash wallets have integrated the new transaction format and chosen as CashAddr the new standard. This is less complicated than it sounds, and it does not make the old addresses obsolete. Because while the bech32 SegWit addresses of Bitcoin include a previously unknown instruction on how to spend coins, the new Bitcoin cash addresses are just a new shell for exactly the same information. You can convert the addresses as you like. This makes such a transition easy and not disruptive.
An example: My good old donation address 1BvayiASVCmGmg4WUJmyRHoNevWWo5snqC can be translated with this converter into the following addresses:
bitcoincash: qpma82kpttwntlketyddpxqgx275q09qqyqmxvqe08
And (BitPay format): CTPUYkWWNFjofoxwA46tzoRQH3ivdq2uBA
Overall, the Address Day was a great success. Most wallets and exchanges have integrated the new format. It is possible that Bitcoin Cash will also help Bitcoin to switch to bech32 addresses.
On Monday appeared the new mobile version of the free browser Opera. This protects next to the desktop users now also the users of tablet PCs and smartphones before mining a cryptocurrency. Anyone who activates the ad blocker with the new version of the app on Android or iOS is also protected against all unwanted scrub scripts. The desktop version of Opera has been offering the new protection since the beginning of January.
Last year, I wrote about how cybercriminals can exploit third party CPU power in their favor. One of the variants shown abuses the computing power of the target computer via a Javascript, which was built into a website. One of the first legal providers was the website of the world famous footballer Cristiano Ronaldo, where for some days the script of CoinHive was activated. After the international press reported it, the mining was shut down there again. According to anti-piracy companies, numerous illegal streaming websites have installed such scripts to date to maximize their revenues.
Affected by the unwanted exploitation of the processors, however, are also the mobile surfers who visit such websites with their smartphone. In the best case, the battery is empty within a very short time. In individual cases it should even have come to overheating of the devices. The desktop version of the Opera browser has been offering mining protection since January 4, 2018, but yesterday's mobile app for Android and iOS devices has followed suit. Anyone who turns on the in-house ad blocker after the update will be safe from all harmful scripts in addition to advertising.
The Norwegian browser maker Opera estimates that around one billion devices are misused worldwide this day. On more than three million websites, such malicious programs were found through the use of special crawlers (a specially programmed search software for analyzing the web).
The news portal ZDNet reports a case in which a novel Trojan called Loapi on Android smartphones leads to a dramatic overheating of the batteries. A smartphone was completely destroyed within 48 hours. But Loapi can still do quite a different damage. For example, since the beginning of December paid-for short messages and other payment services have been used for the benefit of cyber criminals without further user confirmation. The malware can even execute DDoS attacks on request, Kaspersky Lab reports. Due to the intensive use of the battery due to the high volume of data, the battery in the laboratory overheated in such a way that the device finally broke after 48 hours. The reason for this is simple: in just 24 hours, more than 28,000 web pages were accessed, through which online advertising was delivered to the victim. In addition, the CPU was heated by the compute-intensive crypto-mining.
If you want to be on the safe side, you should get the mobile version of Opera, which can be downloaded free of charge from Google Play and Apple's App Store. Probably the other browser manufacturers will follow soon, so as not to be left behind by the competition. Overall, this development is quite positive as it is likely to make hacker business less profitable in the long term.
Credit Suisse has issued a detailed equity research on the blockchain investment. The bank examines the advantages and disadvantages of the blockchain and its areas of application for (potential) investors.
Credit Suisse Group AG is one of the largest global financial services companies. With around 45,800 employees worldwide, more than 100,000 corporate clients and an investment banking, private banking and asset management practice, it does not seem very absurd to engage in blockchain technology. In a more than 100-page report, she recently presented her findings. Among other things, it shows points on how the technology affects potential investors. A summary.
ICOs - a double-edged sword for investors
Matt Levine, Bloomberg View says:
Despite the recurring scams surrounding Initial Coin Offerings, the makers of the study praise the benefits of ICOs. The ability to decentralize and sell files is a fundamental advantage of ICOs. The analysts regard the fact that investors can then invest directly in the developers without intermediary institutions as an opportunity. To get the right grip on an investment, there are a few things to keep in mind. (Our tip: read the white paper and check the use cases!).
Dapps
As the basis of a new ecosystem, the makers of the study highlight decentralized apps - Dapps for short. Similar to the ICOs, outsourcing is usually attractive for typically centralized processes. Developers publish their software on remote platforms. As a result, they no longer need large players to distribute their software. As with Lisk, the ideal for more ownership among developers and users is paramount here, as it ultimately makes it attractive to investors.
Investment: Pros and Cons of blockchain
Safety
One danger that is repeatedly mentioned against the safety of Blockchain is quantum computers. With their ability to work much faster than ordinary computers, they pose a significant threat to the security of blockchains.
To this end, the authors make the Shor algorithm. This could theoretically intervene on the mechanisms that generate the public and private keys in Bitcoin and Ethereum. This could be used by potential attackers to fake transactions and withdraw Wallet funds. According to the study, however, this only works to a limited extent. To further relativize this danger, the authors further emphasize that the use of quantum computers - especially in the private sector - still lies in the distant future.
Banks, Cryptocurrencies & Regulation
Regarding the relationship between banks, cryptocurrencies, blockchains and investors, the authors first refer to regulatory issues. After all, the insecure legal situation (see South Korea) in cryptocurrency matters makes it hard for banks (and not just those) to find a way to deal with cryptocurrency trading.
Instead, the authors of the study emphasize application examples such as the SWIFT Blockchain project.
Stock Exchanges
Again, the analysts rather emphasize the "indirect" applications of blockchain technology. Instead of focusing on price performance and monetization as in ETFs and futures, the study outlines infrastructural benefits. Especially in the area of data management and efficiency in administrative processes, they see secure investment areas. Here they also refer to the CHESS project of the Australian Stock Exchange.
However, they also stress that there are problems with interoperability issues in such applications. So many "old" systems are not compatible with the "new" technology. Furthermore, the blockchain is rather unsuitable for verification processes due to its long duration. (A look at different procedures could help here).
The authors assume in this context that they are dealing with a creeping process of adaptation. Here is Angus Scott, Head of Product Strategy at Euroclear Group, citing:
It would take at least another 5 years for the blockchain to "sneak in" the public sector.
Real Estate
Also in the field of real estate, the study refers to the organizational skills of blockchain. Lastly, it could improve the buying and selling of real estate and land by avoiding human error. With smart contracts, purchase contracts could also be issued and executed autonomously. (If you want to invest more directly, you can watch BrickBlock).
Conclusion
With the countless possibilities that the blockchain and its applications currently offer, it is difficult (not only for investors) to keep track. The Credit Suisse study now offers a few pointers for a rough orientation. Of course, as always: do not invest more than you can handle. Otherwise: stay calm.
Although Bitcoin's critics attack the currency verbally from all sides, it can not be denied that the digital currency attracted much attention in the past year. This is also confirmed by a new study from Brazil, where there are now twice as many Bitcoin investors as stock investors.
Bitcoin> Stocks
The number of Bitcoin investors has surpassed those registered on the Brazilian stock exchange Bolsa de Valores, Mercadorias e Futuros de Sao Paulo (BM & FBovespa S.A. for short). The three largest exchanges in Brazil, accounting for around 95% of all crypto currency transactions in Brazil, registered 1.4 million registered customers in December 2017. As Globo reported, BM & FBovespa S.A. By the end of last year, however, only 619,000 people reported. Not included here are the persons who trade offline with crypto currencies or who buy or sell cryptocurrencies from a foreign exchange.
The reason for the large number of Bitcoin investors was the enormous price increase last year, explained the owners of the cryptocurrency exchanges. "The component that explains this is the price of Bitcoin," explained Rodrigo Batista (CEO of Mercado Bitcoin). The number of customers on the stock market rose to 750,000, an increase of 275% compared to the previous year. André Horta, from Bitcoin to You, which has around 300,000 registered users, added that the depreciation of other assets contributed to the onslaught on Bitcoin.
Bitcoin exchanges are in high demand
The flood of new Bitcoin investors not only led to new registrations in Brazil, but interest in cryptocurrency trading also increased significantly worldwide. This meant that the crypto exchanges could not meet the high demand. For example, Mercado Bitcoin has approximately 5,000 new registrations per day. Only a year ago, this number was only 500 applications. The employees of the crypto exchange therefore needed more time to unlock all accounts. This led to many complaints against the crypto exchange.
To meet the needs of investors, some exchanges first had to revise their IT system and hire more staff. For example, Bitcoin to You employs four times as many employees as last year.
The IOTA Foundation is now working with Johann Jungwirth. From now on, the Chief Digital Officer of Volkswagen will serve on the board of the IOTA Foundation.
While the news spreads about the theft of online-generated seeds and the lost MIOTA's uncertainty, there is also positive news surrounding the network. As the Twitter page shows, the team around Dominik Schiener confirms the future collaboration with Johann Jungwirth. As a supervisory board and consultant, the 44-year-old will actively support the team with his experience.
IOTA, who want to further develop the Blockchain and oppose it the Tangle network, have been enthusiastic since its inception already some high-profile supporters. In December of last year, for example, the Bosch Group invested in IOTA. The concept of IOTA, which is expected to lead to energy and resource efficient scalability, fast transactions, and low Internet of Things fees, also convinced Microsoft last year, resulting in a steep price hike.
Criticism of IOTA for seed hack
Just over the weekend, the Internet of Things Association came under fire. So the developers were z. On Reddit, for example, hackers stole numerous IOTA wallets. As it turned out, the cracked wallets were those where the owners had their seeds generated online. The affected homepages for the generation of seeds are said to have been previously corrupted, which made it extremely easy to spy on the respective seeds. On their homepage and in social media one has therefore repeatedly stressed that his seeds are not generated online.
As an important safety precaution, the offline generation of the seed is recommended. Simply tap on "Tools - Generate Seed" on the Light Wallet and remember to cut off the internet connection beforehand. If you absolutely want to use an online seed generator, you could do it anyway. However, the generated seed would have to be changed offline again by swapping numbers and letters at will.
Although several media report on how Bitcoin is used only for the purchase of drugs, the payment of contract killers or money laundering, this is not the reality. Cryptocurrencies are definitely used for a good cause. This is also proven by a church that accepts cryptocurrency donations.
The ICF Zurich, a non-denominational free church, now also accepts cryptocurrencies as donations. The church accepts Bitcoin (BTC), Bitcoin Cash (BCH), Ether (ETH) and Ripple (XRP).
"Digital currencies and the underlying blockchain technology will change our everyday lives more and more over the next few years," said media spokesman Nicolas Legler to Idea Switzerland. "Cryptocurrencies will prevail, whether that's bitcoin or other state-controlled currencies. We are convinced that the technology will soon be part of our everyday lives. Twenty years ago, no one believed that the internet would ever make our life that way, "he added.
To inspire the youth
The ICF Zurich has many young members and thrills them with laser shows and rock music. The church wants to be on the pulse of the times and convince young Christians of their values. This includes cryptocurrencies that already play a role in the lives of many young people.
The church is completely funded by donations. Its members are asked to donate about 10% of their income. As a result, the church received around 4 million francs in 2010. Legler also explained that they did not want to realize a concrete project with the cryptocurrency donations yet.
He added about handling cryptocurrencies:
Although the church is the first church to accept crypto donations, there are other projects worldwide that can also be financially supported by Bitcoin and Co. Various initiatives such as Pineapple Fund, #BuiltWithBitcoin or the American Internet Archive accept donations in the form of cryptocurrencies.
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