At 18:02 UTC, the bitcoin cash blockchain officially split in two.

With one iteration of the bitcoin cash protocol called Bitcoin “Satoshi’s Vision,” or Bitcoin SV, directly opposing the upgrades introduced through the project’s long-dominant Bitcoin ABC implementation, the blockchain forked into two distinct networks, with two separate cryptocurrencies.

And while a so-called “hash war” had been greatly anticipated, for now – at least – the two chains are steadily mining blocks on their respective networks. At press time, threats of cross-chain sabotage hinted at by Bitcoin SV proponents have yet to materialize, nor has any retaliation from the ABC camp.

Initially, the Bitcoin ABC network was the only bitcoin cash platform to successfully create new blocks and validate transactions after the system upgrade (or hard fork) went live. Two blocks in, however, the Bitcoin SV network saw its first block mined at 18:29 UTC.

Mining pool Mempool mined the first block of Bitcoin SV, with SVPool and Coingeek mining subsequent blocks. Mining pools Bitcoin.comBTC.com and Antpool have controlled the ABC action to date.

As of press time, Bitcoin ABC is 10 blocks ahead of Bitcoin SV, according to data compiled by Coin Dance.

How it’s all playing out

Thus far, most blocks mined on the Bitcoin ABC network have featured over 1,000 transactions, though starting at 20:48 UTC a significant drop in both block size and transaction count was recorded on blockchain explorer site Blockchair.

A few hours before hard fork activation, mining pools purporting to support the Bitcoin SV roadmap controlled a supermajority of the bitcoin cash network. However, according to bitcoin cash monitoring site CoinDance, Bitcoin ABC is now leading in terms of total hash power support.

One such example that received high attention over the course of today’s events was mining pool Bitcoin.com, which released an announcement to users saying all hash power going into mining the bitcoin blockchain would be temporarily deployed to mine Bitcoin ABC blocks.

Though this announcement received negative feedback from those who claimed the organization had no legal right to redirect mining support in this way, data on the site indicates that starting at 17:30 UTC the mining pool has steadily been reallocating hash power in support of the Bitcoin ABC blockchain.

In fact, as of press time, bitcoin.com purports that a total of 4218.89 Ph/s of hash power is being used to mine blocks on the Bitcoin ABC network; just one day prior that figure sat at roughly 240.00 Ph/s.

Remaining questions

As might be expected, the existence of two bitcoin cash chains leaves many questions, primarily regarding what will transpire in the days that come – and whether one chain ultimately gives way to another.

There was also an event Thursday that left lingering questions: as shown by blockchain explorer BlockDozer, a major spike in activity occurred within minutes of the chain split.

Taken by CoinDesk at 18:11 UTC, the above GIF captures transactions being submitted to the network in real-time on Blockdozer.

Who caused this spike in transaction activity – and for what purpose – remains unknown at this time, though the potential for another spam attack in efforts to overload either network is an ongoing possibility.

What’s more, wild fluctuations in bitcoin cash price were also seen throughout the day across different cryptocurrency exchanges.

Depending on ongoing hash power support and implementation of either software upgrade from users, prices could continue to see swings – but given the uniqueness of the scenario, it’s difficult to say at this time.

According to numbers on crypto exchange Poloniex, the comparative value estimated of both bitcoin cash cryptocurrencies is currently about $94 for Bitcoin SV and $285 for Bitcoin ABC.

*This post is credited to Coindesk

‘Big four’ accounting firm KPMG has just asserted that cryptocurrency assets, like Bitcoin $BTC▼1.84%, are simply not ready to be classified as real currencies – and that using Bitcoin as a store of value is a “fool’s errand.”

In a new report, KPMG details the challenges facing the cryptocurrency industry, as it seeks adoption by the world’s largest financial institutions.

Ultimately, KPMG posits that if cryptocurrency related assets have any hopes of truly flourishing, they simply must undergo what it calls ‘institutionalization.’

The firm defines institutionalization as the at-scale participation in the cryptocurrency market of banks, broker dealers, exchanges, payment providers, fintech companies, and other entities in the global financial services ecosystem.

“We believe this is a necessary next step for crypto to create trust and scale,” KPMG declares.

Of course, it is hardly surprising that KPMG – a company which generated $26 billion in revenue in 2017 – would hold this view. But do its arguments hold any water? Let’s dig into the report.

KPMG says Bitcoin is not a currency – yet

According to KPMG chief economist Constance Hunter, in order for a cryptocurrencies like Bitcoin to be candidates for institutionalization, they must first meet the traditional definition of a currency.

For that, a cryptocurrency asset must meet three criteria: it can be used as a unit of account, a store of value, and a unit of exchange.

The first test is easy, as cryptocurrencies are made up of identical, yet individual units of account, meant to be measured as such. For example, there are 21 million Bitcoin to ever exist – and you can account for every single one using the blockchain.

Although, as a store of value, Hunter considers cryptocurrencies to be far too unstable, especially when mapped to traditional functions of finance like borrowing.

“Consider for a moment extending a person or entity a loan in a cryptocurrency,” writes Hunter. “The value is too unstable at the moment to be assured repayment. Under these conditions, neither lenders nor borrowers would be willing to take the risk of transacting in cryptocurrencies.”

To Hunter, the act of borrowing or lending in a cryptocurrency like Bitcoin (one that risks significant devaluation) would be a “fool’s errand.” This makes cryptocurrency assets, in their current form, simply too volatile to be considered a legitimate store of value, or even an effective method of exchange.

“In order to be a medium of exchange, a crypto must be a store of value. In order to be a store of value, the speculative nature of crypto must dissipate,” Hunter explains. “Until at least one crypto meets all three criteria, they cannot be considered full currencies.”

Friction is how currencies become real

Cryptocurrency assets usually aspire to be usable currencies within the general economy, and to certain extent, Bitcoin has achieved that already.

Despite the current rates of adoption, Hunter claims that currencies only become legitimate when they find “friction” to reduce within the world economy, a fancy finance term for a solid use-case.

For example, when the Euro was first introduced within the European Union immediately simplified trade between members.

Similarly, the US dollar acts as the world’s reserve currency, removing the hassle of exchanging between fiat currencies when conducting international commodities trade.

Both are instances of a currency increasing its adoption by alleviating friction in the financial system. When Bitcoin (or any other cryptocurrency asset) can achieve this, then the institutionalization can begin.

Hunter concedes it is certainly possible to find the friction within the global financial system for a cryptocurrency asset to alleviate. The global payments market is a solid candidate, as individuals currently pay high fees to transact.

“If a crypto could achieve enough stability of value to be used for this purpose, it could eliminate the need to have bank accounts in multiple countries and could allow individuals to transfer money to anyone without paying wire fees,” says Hunter. “If a fully equipped crypto that has a stable value becomes easier and less expensive to transact than a government-issued fiat currency, it could be an innovation that becomes ubiquitous in the global financial services system.”

Sound familiar? (Hint: think stablecoins, digital fiat!)

It’s all about trust

The larger KPMG report outlines major barriers for facing cryptocurrencies before being institutionalized. Most of them relate adhering to regulatory obligations and keeping up-to-date financial records, which in turn makes the greater finance industry more comfortable with dealing with crypto-assets.

So, to pander to the fatcats, KPMG suggests those who are launching crypto-assets with intent to be adopted by the traditional finance industry should impose strict Know-Your-Customer (KYC) and Anti-Money-Laundering rules on customers and the digital assets they trade.

This includes making use of services that specialize in proving the provenance of digital assets, which can help alleviate concerns of being exposed to illegal activity like money laundering.

Indeed, many cryptocurrency products and services have already bent over backwards for institutionalization, facing immediate, widespread backlash.

It is yet to be seen if any of these measures have helped spur adoption.

Exchange operators and other fintech businesses also need to define clear tax guidelines for investors related to the various kinds of crypto-assets they offer, and must be wary of the rules and regulations surrounding the exchange of crypto-assets classified as securities.

This includes setting protocol for when blockchains undergo hard forks and split into two separate cryptocurrencies, as this presents taxable events that have greater implications for the future of the underlying digital asset being forked.

KPMG’s guide to the instituionalization of cryptocurrencies may very well be handy for the digital assets vying for adoption by the traditional finance world.

However, if Bitcoin’s identity as a real currency relies on being adopted by the very financial system it was built to rebuke, I think we may have found the true fool’s errand.

*This post is credited to Thenextweb

An elaborate scam for ripping off gullible investors. A black-market currency for gun-runners, drug dealers, pimps and terrorists. A bubble that makes a 17th-century Dutch tulip look like a solid investment, and a drain on global energy. There are so many different ways the digital currency bitcoin is going to destroy the world it’s sometimes hard to keep track of them all. Everyone from Warren Buffett to Mark Carney has told us bitcoin is a serious threat to financial stability and any sane person should stay away.

True, there are plenty of reasons to be suspicious of bitcoin. It’s volatile, complicated and largely unregulated. But given the appetite that clearly exists for it (market capitalisation at the time of writing was £85.7 billion), isn’t it time we began to consider seriously what its long-term success would mean for the global economy? After all, if money  is fundamental to the way the world works, what happens when the very nature of money fundamentally changes?

In the ten years since it was created, bitcoin has had a seismic impact on the global financial system. From modest beginnings, it has grown into a major asset class and spawned a host of rival cryptocurrencies, such as litecoin and ethereum. Once the sole preserve of cyber-punk novels, cryptocurrencies have increasingly become an accepted part of the financial system. Most major banks have started to trade them in one way or another and they are accepted quite widely around the world. International legal systems have even begun to adapt to the new problems and opportunities they throw up. For example, both the Swiss canton of Zug and the American state of Wyoming have passed laws to encourage cryptocurrency trade. Wyoming has given cryptos a distinct legal status from cash, bonds or property, while Zug became the first government in the world to allow citizens to pay taxes in bitcoin. From the fringes, bitcoin, ahead of its cousin cryptos, has moved step by step into the mainstream.

Of course, it still has a very long way to go to seriously rival the dollar or the euro. Bitcoin is notoriously volatile. Last year its price raced all the way up to a high of £14,354 before collapsing all the way down to under £5,000. It has been more stable so far this year, but still it regularly moves 10 per cent or more in a week. It cannot become a genuine rival to cash while this remains the case, simply because volatility of this type encourages either manic spending or hoarding — in properly functioning economies, at least.

At the same time, regulators in the world’s pre–eminent financial centres have yet to approve cryptos, and the technology for mining and storing them is still relatively unproven. For these reasons, there are plenty of people who believe the whole market could still easily disappear overnight.

Obviously these are important caveats. But it’s worth remembering, too, that no new technology is ever created smoothly. Bitcoin is a decade old and has only had a couple of years in the mainstream. If it continues to grow at its current rate, if the regulators accept it, and if the technology underpinning it settles down, then perhaps it really could become the new global currency. After all, it makes sense for a digital, global economy to have a digital, global means of exchange. Should that happen, however, the changes it would set in train would be vast.

By definition, bitcoin’s success would break up the hegemony of the world’s central banks and national governments in terms of dictating fiscal policy. In fact, global adoption of bitcoin would make central banks as good as irrelevant. Right now, the Federal Reserve, the European Central Bank, the Bank of England and the rest of them are the only institutions that can print money. Sure, you can switch out of cash into other assets such as gold or property or shares, but for actual spending there is only one option. That gives those banks the power to set interest rates and to finance deficits or to run surpluses whenever they like. If bitcoin were to become a major alternative, with equal status to the dollar or the euro, central banks would lose those powers for ever. For better or worse, we would have effectively returned to a system much more like the Victorian gold standard.

The multinational corporate banks, too, would lose power. Right now, they control the processing of payments throughout the world. Companies can’t trade without putting money through a bank. But the blockchain technology that underpins bitcoin and the other cryptocurrencies is decentralised and open to everyone. Businesses and individuals can trade with one another using bitcoin without going through any form of financial institution at all. True, the banks have other services they provide. But it’s in the processing of money that their true strength lies. If that were to vanish, we could expect the likes of HSBC, BNP Paribas and Bank of America to gradually fade into insignificance. Put simply, we would have begun not to need them any more.

The successful widespread adoption of cryptocurrencies like bitcoin would also hugely speed up the process of globalisation: instead of national currencies, we would have a single means of exchange that could truly be used anywhere. Global trade has boomed over most of the post-war period as trade barriers and tariffs have gradually been dismantled. A triumph of digital currencies would catalyse this process by several orders of magnitude. Combine this with the ease of doing business across borders in the internet age and we would suddenly, inevitably, be close to the creation of a completely seamless global economy.

While it is sensible still to heed the warnings of the likes of Buffett and Carney, we must also acknowledge the possibility of bitcoin or another cryptocurrency achieving the kind of game-changing critical mass that sees its price quoted the world over alongside — or ahead of — the euro, dollar and yen. That day may be a long way off or much closer than we think. The only thing of which we can be certain is that if bitcoin truly succeeds, an awful lot of the fundamental building blocks upon which the world’s commercial systems are founded will have changed beyond all recognition.

*This post is credited to Spectator

Litecoin has been trying to expand their reach and has received massive adoption lately, with the latest being used an integral part of the Coindriod game. The cryptocurrency game has raised a lot of eyebrows in the crypto-community due to its creativity and adoption of various cryptocurrencies in-game like Litecoin [LTC], Dogecoin [DGC] and Bitcoin [BTC].

The Coindroid creator Josh, in a podcast, said that he was inspired by SatoshiDice, a Bitcoin game, and decided to develop a game like SatoshiDice, but by taking it further and making it skill-based.

He said that they were researching a lot of cryptocurrencies that would fit the ideas they had for the game. He continued:

“Litecoin just seemed like the natural fit. It’s got a really nice fast block time, great fees, it just made a lot of sense for our game in our in coin droids. And you’re transactions in the game are about 13 – 14 cents, So doing that inside Bitcoin didn’t really make sense for fees perspective, but also 10-minute blocks ends up being almost a little bit too slow for the game”

In a spat between Roger Ver, Jihan Wu and Craig Wright on BCH fork, Charlie Lee weighed in supporting the latter saying:

“Bitcoin Satoshi Vision is the real Bitcoin Cash. Karma’s a BCH”

Litecoin is gaining traction as it is being used for payments at various restaurants across the US. Furthermore, a place called Sendai Sushi is accepting payments in Litecoin.

Lite.IM is a project that was launched by Zulu to enable SMS payments. With Lite.IM Litecoin transactions can be done using Facebook messenger. The integration of Lite.IM allows access to cryptocurrency over 2 billion people on Facebook.

*This post is credited to Amb Crypto

Gold has been regarded as one of the major factors in determining the value of national fiat currencies for more than 4,000 years. Simply put, the larger gold reserves a country has, the more valuable its currency is.

In recent years, comparisons of gold and cryptocurrencies, particularly Bitcoin, has been a growing trend. And whilst the two share some similarities, there is one obvious but important difference – unlike fiat currencies which are largely backed by Gold, crypto-currencies are generally not backed by anything.

With Bitcoin, which has been disrupting the financial industry and our entire conception of money since its arrival on the scene almost ten years ago, its value is primarily determined by demand and supply.

When people suddenly buy BTC in large volumes, its price simply skyrockets and, inversely, when holders sell in droves, it plummets. The same behaviour applies to the vast majority of crypto-currencies – although Stablecoins are a notable exception.

However, what distinguishes Bitcoin from other crypto-currencies is that the value of the latter is often dictated by the former. You have probably noticed that more or less all crypto-currencies enter into the red when Bitcoin’s price drops.

This is not, of course, unexpected. Whilst most traders actively buy and sell more than one crypto-currency, Bitcoin is generally their point of entry into the crypto-markets. Bitcoin, in other words, serves as their underlying asset.

We already know that one can pay for goods and services with Bitcoin and there are known cases – albeit a relatively small number – where people receive their salary in Bitcoin. But are these the only roles that BTC can play in the crypto world of the future?

What if the world adopts crypto-currencies to a much, much larger extent than it does now. What role does Bitcoin play then?

What If…

Even though there is no conclusive evidence to indicate that this will be how things pan out, there are hints that things are moving in that direction.

And in this context, Bitcoin is likely to dominate the crypto-sphere to an even greater extent than it does now. Considering that there is a limited supply of BTC, and that over time we could see a much greater number of participants in the crypto eco-system, the value of BTC will continue to climb.

And should this happen, Bitcoin will simply consolidate its position as the underlying asset which drives the entire eco-system. In other words, Bitcoin can then become the gold standard of the digital asset world. Right now, however, this is purely speculation on our part. But there’s a chance that the conjecture could hold true. And if that’s the case, there are intriguing times ahead.

*This post is credited to ICO Examiner

The British, especially young ones, consider Bitcoin an attractive financial alternative and believe it could become as common as cash or cards.

The findings of the Bitcoin survey carried out in early November by research agency YouGov revealed an upbeat attitude on the part of UK residents towards the world’s main digital currency.

Over 90 percent of respondents reported they had heard of Bitcoin, and one in five agrees that it could become “as common as card or cash” in the future, the survey findings show. Notably, young people tend to be most active Bitcoins buyers and believe they understand pretty well how it works.

On November 7, YouGov, a global market research and data analytics company headquartered in the UK, published on its official website the results of the research to answer the question:

“How much we think we know about the cryptocurrency, how many of us have ever bought it, and whether we think currencies controlled by the people using them – rather than by a central institution – have a long-term future in Britain’s financial system.”

The survey revealed positive consumer sentiments towards Bitcoin despite the current crypto bear market.

According to the data, nine out of ten (93%) Britons have heard of this technology. However, only 4% are sure they understand ‘very well’ how Bitcoin works. Men expressed more confidence than women in their awareness of the subject – 33% of men vs. only 12% of women said they understood Bitcoin ‘fairly well’. In a similar pattern, “young people are significantly more likely than older generations to feel they understand” Bitcoin, the agency comments.

However, although almost everyone has heard of Bitcoin, most respondents don’t actually have it, and the number of coin owners remains rather low. Once again, most Bitcoin buyers are represented by the younger people of 18-24 years old (9%). The same age group most actively reported personally knowing someone who has ever bought Bitcoins (36%). In contrast, only one in a hundred (1%) of Britons aged 55 and above said they had bought the cryptocurrency.

Despite the relative scarcity of crypto holders, UK people still believe that the role of cryptocurrencies in the financial system will strengthen in the future. One in five (21%) respondents think Bitcoins will go mainstream and be widely used as a common means of payment like cards or cash.

Remarkably, both men and women almost equally share this view. Yet, currently they are outnumbered by skeptics (43%) who don’t believe digital assets will ever catch up with traditional methods of payment.

Also, the survey results have detected a minor cause for concern. According to YouGov, Brits tend to disregard the key principle that laid the foundation for Bitcoin. It was created as the first currency not controlled by government or any central authority.

However, a great number of respondents said they felt ‘fairly negative’ (24%) or ‘very negative’ (20%) about the idea of Bitcoin’s decentralized nature. Those feeling “very negative” are seven times more than feeling “very positive.” Another 25% described their attitude as ‘neutral’, and one in five (18%) don’t know.

As usual, “young people are double as likely as older generations to be positive about it, but those feeling positive are still very much a minority (15% of 18 to 24s, vs 7% of 55+),” the agency adds.

Notably, the survey was carried out soon after Bitcoin celebrated the tenth anniversary of Satoshi Nakamoto publishing a whitepaper about a revolutionary digital currency called ‘Bitcoin’.

Similar results were revealed by surveys in Canada and South Korea.

*This post is credited to Cryptovest

Bitcoin mining giant Bitmain has filed a lawsuit against a mystery hacker who allegedly stole bitcoin from one of the firm’s cryptocurrency exchange accounts.

According to the suit, which the China-based Bitmain filed on Nov. 7 in the US District Court for the Western District of Washington, the unknown hacker infiltrated Bitmain’s Binance account in April and stole funds from the firm.

However, perhaps to better conceal their identity, the hacker did not just attempt to withdraw Bitmain’s funds to their own bitcoin wallet. Rather, they used the bitcoin to artificially inflate the price of small-cap cryptocurrency MANA, the native ERC-20 token of virtual reality platform Decentraland.

MANA bitmain bitcoin hack
MANA Market Cap | Source: CoinMarketCap

Spurred by the irregular trades, the MANA price rocketed from $0.12 to $0.34 on Binance in the span of less than an hour. Even more remarkable, the global MANA price rose to $0.20 — a gain of 40 percent — meaning that a hack involving a single cryptocurrency exchange account single-handedly raised the nominal value of the MANA cryptocurrency’s market cap by more than $80 million.

Presumably, this allowed the hacker to sell MANA they were already holding at inflated prices, and, significantly, they could potentially have liquidated the funds on one or more separate crypto exchanges since the Bitmain pump disrupted the worldwide MANA market.

bitmain bitcoin binance hack
Source: Bitmain

The suit itself alleges that, as part of the hacker’s wash trading scheme, they transferred approximately 2.3 million MANA to Binance from Seattle-based cryptocurrency exchange Bittrex. It further claims that, “upon information and belief,” the hacker sent the bitcoin that they accrued through wash trading MANA back to Bittrex.

Bitmain claims, that, as a result of the scheme, they lost approximately 617 BTC, worth $5.5 million at the time of the hack.

Commenting on the suit in their weekly “Crypto Caselaw Minute,” lawyers Stephen Palley and Nelson M. Rosario explained that, despite the best efforts of the hacker, this “John Doe suit” will likely allow Bitmain to subpoena account information from Bittrex and Binance, which could ultimately divulge the identity of the thief.

They concluded:

“What’s the lesson? It’s almost Captain Obvious territory folks: Stealing crypto from a centralized exchange leaves a lot of fingerprints. And your name doesn’t need to be known for you to get sued. Now that the lawsuit is on file, one assumes that Bitmain’s next step will be to issue subpoenas to Binance and other service providers, allowing it to identify the defendant.”

*This post is credited to CCN

Bitcoin price DROPS despite launch of key crypto business.

Bitcoin was born ten years ago while the world teetered toward financial collapse as a result of the 2007 and 2008 financial crisis. A mysterious character called Satoshi Nakamoto in 2008 created a peer-to-peer system of electronic cash called bitcoin with a purported threefold aim. These were to wrest control away from those who created the financial crash; to create the first-ever money with a built-in monetary policy; and that it would be completely transparent.

A decade later, cryptocurrencies like bitcoin have experienced all manner of unforeseen turmoil, from booms and busts to bubbles.

The calculation is designed to be energy-intensive or complicated so that it secure

Dr Max Krause

One of the most shocking aspects to the nascent industry has however only recently been reported – the enormous amounts of energy cryptocurrencies like bitcoin require to be mined.

Researchers at the Oak Ridge Institute have calculated one dollar’s worth of bitcoin requires about 17 megajoules (MJ) to mine, as compared with 4, 5 and 7 MJ for copper, gold and platinum.

Dr Max Krause, a co-author of the report – the first to quantify the energy cost per dollar benefit – said: “I added the comparison with mining because I want to give people unfamiliar with crypto mining process a metaphorical comparison or conceptual frame of reference.”

The bitcoin expert stressed BTC mining is on an ”unsustainable path” when considering the amount of energy used.

Bitcoin mining is a process of performing computer calculations that effectively validate transactions between different people across the world.

For the work these third parties are doing for validating these transactions, they are rewarded with newly created bitcoins.

Companies are also financially rewarded for taking the time and energy for processing these transactions.

Dr Krause explained exactly why such incredible amounts of energy are needed to mine cryptocurrencies like bitcoin, by contrasting them with more traditional forms of cash.

He said: “The calculation is designed to be energy-intensive or complicated so that it secure.

“It is supposed to be something considered to be ‘trust-less’ – meaning we trust the banking system to be there tomorrow.

“This is designed to be un-hackable – you don’t know the people who are processing these transactions, so it is called a trust-less system because the system is so secure.

“These secure calculations have to be fairly complex and therefore it requires a lot of computing power to repeatedly perform these calculations.

“The reason it consumes so much energy is really because there is a profit incentive to process these transactions, so companies are rewarded with coins for doing this work and the coins are quite valuable.

“And when you have both quite complex calculations and then a large profit, or incentive, an arms race of different mining groups creates these large energy requirements.”

Bitcoin may be virtual but the profit is very real and Dr Krause said the numbers “can be substantial”.

For every completed block, miners are rewarded with 12.5 BTC tokens, which equates to about £XX ($100,000).

This happens roughly as often as every 10 minutes.

Dr Krause said: “So the money that changes hands at a macro level is quite large.

“The potential is huge – companies could be making millions of dollars a year.”

But the environmental impact of all of this energy consumption is beginning to be felt.

The carbon dioxide (CO2) emissions alone produce a significant amount of greenhouse gas for a fairly nascent industry.

According to Dr Krause, cryptocurrency mining now contributes to about 15 million tonnes of CO2.

And it appears unlikely that improved efficiencies in mining technology will make a difference any time soon.

The BTC expert said: “When we calculated our estimates, we assumed more efficient miners in 2017 to 2018 than 2016.

“But mining activity is far outpacing the improved efficiency of the mining equipment.

“Yes, the mining equipment is becoming more efficient, but the phase-out of technology is a little slower.

“The amount of interest in mining is increasing so much faster than they can create new, more efficient products.

The postdoctoral researcher at the US Environmental Protection Agency refused to condemn cryptocurrency mining but he does believe the amount of energy we consume is something we should all be mindful of.

He said: “We need to realise that digital products or processes are no different from physical one and can also consume a significant amount of energy.

“As we move to this new digital age where everything is connected and online we should keep in mind that we are not using less energy, but much more energy.”

*This post is credited to Express UK

The news reports circulating that China has recalled its Bitcoin trading ban are not true and are a result of misinterpreting facts.

Sorry, but the reports circulating that China has finally lifted its ban on Bitcoin trading is not accurate.

Contrary to several media reports, including from a cryptocurrency-focused online publication with the banner: China Lifts Bitcoin Ban; Individuals and Businesses Can Now Own Cryptocurrencies Legally as well as tweets and statements by public figures, the report that Beijing has backtracked from its moratorium on Bitcoin trading is actually a misinterpretation of a ruling by a Shenzen court.

A Twitter post by user @katherineykwu (Katherine Wu) stated:

 

Unfortunately, the above tweet also created some confusion with many journalists and personalities thinking the more than one year of Bitcoin ban in China has ended, resulting to investors rushing to buy Bitcoin in the hope of gaining profits.

But it was actually based on the October 25 court ruling of the Shenzhen Court of International Arbitration (SCIA) declaring Bitcoin as a property and not as currency, citing existing laws of the People’s Republic of China. The decision makes it legal for Chinese citizens and merchants to transfer and own digital currencies.

The decision said:

“Although Bitcoin may not be legal currency, that does not prevent it from being protected by law as a property,” said SCIA in the released case analysis. “The Party contends that Bitcoin has characteristics of a property (SOV) that can be controlled by the owner; it has economic value and can bring economic benefits to the owner. This does not break any laws. This arbitrator agrees.”

In July this year, the Hangzhou Internet Court, which specializes in Internet-related cases, had issued a ruling allowing blockchain-enabled documents to be accepted as evidence in a copyright infringement case.

The ruling said, “it should maintain an open and neutral stance on using blockchain to analyze individual cases.”

*This post is credited to CryptoVest

The cryptocurrency world is stirring.

A technical indicator for an index tracking some of the largest digital currencies suggests the crypto industry could be poised to break out of its recent malaise and rally at year end.

The MACD, or moving average convergence divergence, gauge for the Bloomberg Galaxy Crypto Index entered its first positive divergence in a month. The move corresponds with an upward trend in Bitcoin, which makes up around 30 percent of the fund. Bitcoin is up for the seventh-straight day and is at its highest level in two weeks, hovering around $6,500.

Long-term trend lines in Bitcoin’s Directional Movement Index (DMI) also showed the digital token entering a new bullish phase this week.

“The technicals look great and the fundamentals are fantastic,” said Mati Greenspan, senior market analyst at eToro, in an email. “All signs are pointing to a Santa Claus rally in the crypto market.”

XRP, the cryptocurrency also known as Ripple and the index’s third-largest member, also moved higher this week, rallying nearly 10 percent since Monday on news that a crypto exchange may list XRP on its trading platform.

But Bitcoin and other cryptocurrencies have been volatile all year and the recent moves don’t excite everyone. Bitcoin should be worth half its recent value, based on volume trends and historical pricing, wrote Bloomberg Intelligence analyst Mike McGlone in a note. “Wish them luck, but most of our indicators remain negative,” he said.

*This post is credited to Mybroadband