Wall Street Veterans Introduce Innovative Volatility Product to Digital Asset Space


With global policy development and adoption underway, the trading volume of digital assets has been steadily rising especially as the Bitcoin price recovers last several months. Different from traditional stock market that is limited by trading hours and circuit breakers, digital asset trading runs continuously 24*7 across all geographic regions with fewer regulations in place and less institutional participation. Therefore, the volatility has been noticeably higher than most of the traditional assets making it riskier as a mid-term investment product but more of short-term trading vehicle.  As the market further matures and expands, there is an increasing need for the development of more derivative products, especially volatility product that traders can trade off on price fluctuation. With such observation of market requirement, BitMax.io, a leading next generation digital asset trading platform, introduces its first volatility-linked derivative product: Volatility Card, a simple yet elegant way to trade on the price movement of underlying digital asset.

ⅰ. Volatility Product: Risk Mitigation and / or Momentum Trading  

In the traditional finance industry, diversified volatility derivative products are readily available for traders to capitalize upon the short-term trading momentum and/or use as risk hedging mechanism, such as Index-linked (such as VIX) options, futures and ETFs across major asset classes. Those products usually require the traders to “pay” premium as part of cost structure for optionality. Such derivatives can be used for both hedging and speculation. However, most of such derivatives have not been introduced to the space of digital asset trading, except for a few “leveraged” products which by design increase risk exposure instead of mitigating it. So current market calls for new types of volatility products for global users to gain exposure to the increasing volatility from both trading and risk management perspectives.

ⅱ. Breakthrough in Digital Asset Trading: A Simple yet Effective Product to Extract the Essential Value of Volatility

For traditional asset classes, volatility derivatives, such as option, set a series of strikes and expiry time, and each combination forms a new tradable “asset” that demands liquidity.  The liquidity of all these options are hard to maintain on the consistent basis. Even the most liquid asset may see sparse liquidity in options of strikes that are far away from spot price or expiration dates that are either too close or too far. And it even gets worse in the case of digital assets. Various issues from scarcity of liquidity to unresolved infrastructure issue like  clearing and settlement has hindered the development of volatility derivatives products.

With lack of mature market structure and nascent development stage, the digital asset trading market has been highly volatile with many sharp price movements, especially recent months. There is no better time than now to introduce an entry-level volatility product for broad-based retail and institutional users. This new product is called Volatility Card, to be launched BitMax.io, a rising digital asset trading platform founded by a group of Wall Street quantitative trading veterans. The principle of simple yet effective design aims to extract the essential trading value of volatility.

ⅲ. First Volatility Card: Easy Way to Trade on Daily Price Movement of Bitcoin

BitMax.io announced its launch of the first volatility product, Volatility Card, named as Turtle Card and Bunny Card after the famous Aesop’s fable – the Tortoise and the Hare. Similar to short-term volatility products with quasi-option structure yet simple payout form, the card allows users to forecast and trade on 24hr-window (UTC 00:00 – 24:00) price fluctuation for the underlying trading pair.

Turtle Card represents a prediction of 24-hour price movement within certain percentage range; while Bunny Card represents a prediction of 24-hour price movement above certain percentage range. For instance, if user expects the 24-hour price change for BTC/USDT within +/- 3%, the user should purchase Turtle Card. Otherwise, the user can purchase Bunny Card for the prediction for BTC/USDT 24-hour price movement  ≥ 3%. Each card has its notional value and sale price, denominated in either USDT or BTMX, the native token of BitMax.io platform. Users who can correctly predict the range of price movement at the end of 24-hour window will get payout equivalent to notional value of the card. Otherwise, the card will become invalid upon expiration.

To mitigate potential price deviation due to market volatility, BitMax.io uses composite reference price for the calculation of 24-hour price movement. The reference price is computed by taking an average of last trade price from five exchanges (upon availability at the time of computation).

Volatility Card is another great example demonstrating BitMax.io‘s deep understanding of the market and user need. This product is by design friendly to both experienced and new traders. First, there is preset of 24-hour window. Users only need to make decision on when to buy in, not the time of settlement. Second, user picks the card to predict only the range (absolute value) of price movement, not the direction (up or down). Third, the card sale price is subject to change based on real-time market condition, while the notional value for the card is also preset as fixed. This design, to some extent, would mitigate pricing risk due to the time difference.

ⅳ. Potential Risk Hedging Tool: Riding through Raging Volatility

As stated in the beginning, volatility products can be used to mitigate certain trading risks and cryptocurrency has much higher volatility than any other traditional asset classes.  Last six months, Bitcoin has seen a wide ride from the crush down to winter lows of $3500 to recent price spike up to $9000. In those extreme scenarios, tail risks are hard to predict. When leverages are applied, the profit or loss would be magnified. As Volatility Cards on BitMax.io are irrelevant to the rise or fall of price, It may serve as a potential tool for partially risk hedging in the volatile market condition against outsized price swing.

v. Conclusion
In summary, Volatility Card is another move by BitMax.io to further expand its trading product suite for its global users leveraging their deep root in traditional finance and experience with financial product design . With its potential function to mitigate risks as well as trade on momentum, it helps attracting more users to the platform. Along with the margin trading and transaction mining launched earlier, this is definitely a step forward from product offering perspective to better serve the dynamic trading needs of users and encourage liquidity on the platform. Although the Volatility Card is largely simplified compared to the complex derivatives in the traditional financial space, BitMax.io has clearly established itself as a leading industry innovator in the highly competitive digital asset trading space through the introduction of this friendly new product. It is also a positive sign indicating the market is developing along the right direction.

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Craig Wright Says Bitcoin Is Going to Zero, Vows to Find Fake Satoshis

By CCN: Australian entrepreneur Craig Wright, the self-proclaimed inventor of bitcoin, has anointed himself the new sheriff of Crypto Town. And his first task is to hunt down “fake” Satoshis to prove once and for all that he’s the real deal. Moreover, Wright — who claims Bitcoin SV (Satoshi Vision) is the one, true bitcoin — predicts that BTC will eventually crash to zero. And its proponents will soon choke on the bitter fruit of regret. Wright: I Can Prove I’m Satoshi Nakamoto In a 3,ooo-word follow-up to his recent Bitcoin Manifesto, Wright promises to “clean out the cryptocurrency space

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Original Post: Craig Wright Says Bitcoin Is Going to Zero, Vows to Find Fake Satoshis

Stock Market Reels as Trump Doubles Down on Mexico Threats

By CCN: The stock market is continuing to plunge. That’s because of the U.S.’ whipsaw approach to trade negotiations. Just yesterday, Vice President Pence visited Canada to promote the new USMCA trade deal which is set to replace NAFTA. He assured folks that Congress would vote for its approval this summer. It seems he forgot to check in with his boss, though. Trump launched a bombshell on the stock market later that evening. On Twitter, he declared that the U.S. will slap Mexico with a new tariff unless they slow the flood of undocumented migrants. Administration backers claim this is

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Original Post: Stock Market Reels as Trump Doubles Down on Mexico Threats

Venture Investor: Use of Bitcoin as Hedge Against Uncertainty Will Send it to 7 Figures

Entrepreneur, investor, and author James Altucher is one of a growing number of individuals who believe Bitcoin will astound the planet with its price in the relative short-term. Appearing on Kitco News earlier, he stated that a $1 million dollar Bitcoin was indeed possible by 2020.

Altucher bases his speculations on the rising levels of geopolitical instability around the world today, as well as increases in general Bitcoin acceptance from the likes of Whole Foods and others.

Could BTC Be On Track for $1 Million by 2020?

A $1 million dollar Bitcoin by the year 2020 might sound like an absolute pipe dream. However, for some, it is as good as an inevitability. Venture investor, entrepreneur, and author James Altucher is one amongst their ranks and has been since 2017.

In an interview with Kitco News, Altucher reaffirmed that it was indeed possible but the timeline was so uncertain that one can’t rule out a seven-figure Bitcoin by 2020. In his reasoning, he states that his opinions from 2017 haven’t changed. He still holds that crypto assets solve many of the problems of fiat currency – excessive inflation caused by reckless currency printing, privacy, and the potential for counterfeiting are just a few of those issues.

Altucher believes that it is inevitable that these genuine crypto assets that offer some benefit over the current system will increase in value:

“Long-term, all cryptocurrencies that are safe and not scams are going to go up.”

In his 2017 interview, Altucher stated that he felt 95 percent of all crypto assets were scams and has since reasoned that the number of them collapsing is evidence that he was correct.

When addressing the short-term outlook for Bitcoin, Altucher spoke about the geopolitical turmoil in the world today. Brexit, trade tariff wars, and rogue states such as Iran were all mentioned as factors contributing to the global instability the author and entrepreneur believes is already driving and will continue to drive Bitcoin up.

When explaining the recent rally, he states:

“It’s a flight to safety and there’s a lot of companies now announcing that they’re going to be accepting it.”

So, What About That 2020 Million Dollar Bitcoin?

Perhaps the most interesting part of Altucher’s interview was when he directly addressed his earlier million dollar price call. In 2017, he stated words to the effect that he wouldn’t be surprised if Bitcoin went to $1 million by 2020.

When asked if he still held that view, he confirmed that indeed he did and that $1 million might even be a healthy discount for a single unit of the digital asset.

To justify his seemingly wild possible Bitcoin price, Altucher stated that there is about $200 trillion in paper currency out there today. He compared this to the market capitalisation of all of crypto – less than $267 billion. Whilst the percentage difference isn’t quite the 200,000 he stated, it’s not far off. He continued:

“That could give Bitcoin a price of, I don’t know, $8 million. So, $1 million is actually a discount on where it could go.”

He continued, stating that whilst he doesn’t know when it will get there, the general trend will take it to prices unthinkable almost unthinkable today.

When pressed on whether he still thought it was possible to sell a single Bitcoin for more than $1 million specifically by 2020, he confirmed that he did think it possible:

“Will it be $1 million in 2020? Maybe. Will it be 2021, 2022, who knows? At some point, some country, their currency is going to collapse, who knows which country it will be – Argentina, Iran, many countries in South America are a potential… The population of that country will say, ‘Let’s all move to Bitcoin, and then you’re going to see mass adoption.”

Whilst Altucher hasn’t put quite as much on the line for his $1 million Bitcoin call as John McAfee, he clearly feels that given the right conditions, the rise to enormous prices will be swift. The necessary collapse of a national currency that he believes will send prices skywards could happen at any time and a sudden increase in buying pressure on an asset with a fixed supply can only result in higher prices.


Related Reading: The Million Dollar Bitcoin Club and its Uber-Bulls

Featured Image from Shutterstock.


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Original Post: Venture Investor: Use of Bitcoin as Hedge Against Uncertainty Will Send it to 7 Figures

How Low Could Ripple (XRP) Fall Before The Next Bull Run?

Ripple (XRP) is in a very vulnerable spot as it has yet to break out of a large descending triangle that it has been trading in against Bitcoin (BTC). Throughout Ripple (XRP)’s trading history, we have seen most of such triangles break to the downside. The price breaks below one triangle and forms another. There is a good chance that the same could happen this time especially as the cryptocurrency market prepares for the next big decline. A lot of people look at the bear market that started in early 2018 and continued till now and they think it is pretty bad. Well, if it was pretty bad we would not be seeing posts about Bitcoin (BTC) or Ripple (XRP) going to the moon so soon. It is going to be a long time for this market to recover again and cryptocurrencies like Ripple (XRP) will experience maximum pain during that time.

The weekly chart for XRP/BTC shows that Ripple (XRP) has remained oversold against Bitcoin (BTC for the most part in the past few weeks. The last time we were in a similar situation, Ripple (XRP) made a big move against Bitcoin (BTC) and tested the current trend line resistance. There is a good chance Ripple (XRP) might do the same this time and XRP/BTC could retest the trend line resistance again before beginning its downtrend. It is quite likely that this would be Ripple (XRP)’s last move to the upside before it begins its long anticipated downtrend. For those that are wondering if the bear market is over or not, let us say that the ongoing bear market comprises of two parts. The first part was the short and fast bleed which seems to have come to a close and now we are in the second part which is the long and slow bleed.

The weekly chart for XRP/USD shows perfectly what is going to happen next. The price is currently trading in a descending triangle which will most likely be broken to the downside and then the price will enter another descending triangle. It will keep attempting to breakout as it has in the past. During the next decline, the price should settle close to $0.15 and trade between $0.14 and $0.26 till the end of the year. After that, if XRP/USD falls again below that descending triangle which seems likely, it might decline all the way to $0.06 which is a very strong support.

Ripple (XRP) is a wonderful project that has a lot of room for growth in the long run but short term, we are very likely to see it fall towards $0.06 somewhere in 2020. This would be the best time to buy as XRP/USD might have the longest bull run in its entire history from there onwards. It might take longer than before to see the price move and complete that bullish cycle but we are certainly likely to see price targets of $5 or higher being reached during the next cycle which would definitely be worth the wait. 

Source: CryptoDaily.co.uk
Original Post: How Low Could Ripple (XRP) Fall Before The Next Bull Run?

Report: Ethereum (ETH) DApps Not Being Used Productively

Ethereum ETH Dapps 2019

A new report claims that Ethereum-based Decentralized Applications (dapps) are not being used productively.

While the industry of crypto has rightly been excited about the development of dapps, Ernst & Young reports that 83 percent of applications on Ethereum’s network are “not in the most productive uses.”

The report was given by EY’s head of innovation Paul Broady at the Fintech Forum on May 31, an event hosted by the United States’ Securities & Exchange Commission (SEC).

Fintech Forum was organized by the SEC’s Strategic Hub for Innovation and Financial Technology, coming at a bizarre time for the regulatory body who is under fire for their continued delay in approving bitcoin exchange-traded funds (ETFs).

Decentralized applications have been highlighted as an important development for the industry of crypto. Not only do they utilize network features for popular currencies such as Ethereum and TRON, but they provide an avenue for coin usage beyond exchange speculation. In addition, dapps draw development interest in a similar manner to the Apple and Android store, allowing creators the flexibility of creating unique products.

However, Brody claims that the vast majority of Ethereum dapps, and likely all crypto applications, are not productive. Instead, he chastised the industry and recommended developers “go back to first principles.” Brody stressed the importance of designing technology to bring about solutions, likely criticizing the abundance of gambling and other game-based dapps that have come to dominate Ethereum’s platform.

Brody called unproductive applications a “money chasing” attempt on the digital landscape, before diving into a broader criticism of the development process. According to the EY executive, the purpose of capital markets is to match investors with entrepreneurs who will create productivity. Dapps, in their current standard, are not living up to a worthwhile valuation, leading Brody to say the industry is “not doing very well.”

Reports from blockchain analytics company DApp.com provided the data to support Brody, noting that only 14 percent of Ethereum applications were used on cryptocurrency exchanges. The vast majority of dapps fell under the category of gambling (44 percent) or gaming (13 percent), leading to a market oversaturated on entertainment and in need of more productive uses.

Brody gave examples for Ethereum dapp developers to focus on. He emphasized the importance of distributed computing, real estate and inventing new business models. Given the power of crypto and blockchain, Brody explained that developers were missing the innovation provided through fractionalization, which could lead to what he called a “lasting legacy that is positive.”

Ethereum has witnessed a general erosion in dapp market share despite controlling nearly 100 percent of the industry just a year ago. TRON and EOS have continued to build substantial dapp adoption, with the former recording a new all-time high user volume earlier in the month.

EOS, which ranked number one–again–in China’s state-sponsored blockchain ratings, has led the industry in new dapp growth.

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Vanguard’s $1.3 Trillion Blockchain Makes Bundesbank Look Foolish

By CCN: Vanguard, the world’s largest provider of mutual funds, is using blockchain to power their enterprise. The investing giant, which popularized mutual funds and exchange-traded funds (ETFs) for the common investor, has been using distributed ledger technology to manage $1.3 trillion worth of index funds, Forbes reports. Vanguard’s Blockchain Manages More Than $1 Trillion in Assets Since February, Vanguard has used blockchain to manage financial data for one-quarter of its assets, valued at $1.3 trillion. More than just a one-off trial, the service is operating live for millions of customer accounts. That’s right – clients of Vanguard’s index funds

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Original Post: Vanguard’s .3 Trillion Blockchain Makes Bundesbank Look Foolish

Brazil Begins Working On Bitcoin And Crypto Regulations

Cryptocurrencies are gaining momentum again, with prices showing in green for the last few days and Bitcoin (BTC) holding steady at the $8,000 mark. When prices go up, governments begin paying attention to cryptos again, urging regulators to establish frameworks that enable use in order to attract money into the economy. Despite the negativity that […]

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North Korean Hackers Target UpBit Users in Bitcoin Scam

North Korean Token Hiding Behind a Key Hole

North Korean hacking group, “Kim-Soo-ki,” have allegedly orchestrated a phishing attack targeting users of South Korean cryptocurrency trading venue, UpBit, in a bid to steal their bitcoin, according to a report by The Next Web on May 31, 2019. North Korea Phishing for Bitcoins Per sources close to the matter, North Korea’s notorious hacking group,

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Buy Failing Deutsche Bank With Bitcoin, Suggests Fund Manager

deutsche bank bitcoin

Frankfurt-based multinational investment bank Deutsche Bank has seen its stock price decline over the past five years with no signs of revival. Popular cryptocurrency fund manager Anthony Pompliano says that it would be interesting if people put their bitcoin together and bought it out. 

Deutsche Bank Stocks in a Free Fall

Deutsche Bank (DB) is a large multinational investment bank that’s based in Frankfurt, Germany. It currently has its stocks valued at $14.12 billion.

The stock price at the time of this writing is $6.76, which is a decline of around 5 percent during the last five days. This is also an all-time record low.

“The pin that pops the current bubble will probably be Deutsche Bank declaring insolvency,” Max Keiser told Bitcoinist last year.

This will be the falling domino that starts another Lehman-esque cascading down of markets.

If this doesn’t sound alarming a lot, looking at the bigger picture paints the complete story. And it’s alarming. Since the beginning of 2019, DB’s stock price has declined by about 17.5 percent.

Going back one year gives us losses of around 39 percent. In the past five years, DB has seen its stock plunge from $38.74 to their current levels, which is a devastating loss of about 82 percent.

What is even more alarming is that the overall trend in the bank’s stock price is more than obvious – over the past five years, it shows absolutely no signs of recovery.

What If… We Bought It With Bitcoin?

The poor performance of Deutsche Bank’s stock price didn’t go unnoticed. Commenting on the matter was long-term Bitcoin proponent and co-founder at cryptocurrency hedge fund Morgan Creek Digital, Anthony ‘Pomp’ Pompliano.

Today Deutsche Bank is valued at just over $14 billion and the stock price is in a free fall. If we could raise the capital, it would be interesting to purchase the failing bank and revive it by embracing Bitcoin. Crazier things have happened.

The $14 billion worth of BTC currently represents around 10 percent of the cryptocurrency’s market cap. Surely, raising that amount will be challenging enough. However, given that DB’s stock price and BTC are currently going in different directions, this may become affordable with time.

But even if it’s doable, however, the question is whether it’s even needed. Sure, it’s likely to send out an interesting message but apart from that, there doesn’t seem to be any point in that.

Interestingly enough, one of the comments under Pompliano’s tweet pretty much sums it all up:

“When designing a space rocket you don’t need the Wright Brothers plane.” – Answered Gimme Crypto (@Retire_Young_1)

To provide a bit of context, the Wright Flyer, designed and built by the Wright Brothers, was the very first heavier-than-air powered aircraft. It was built in 1903 and it was the first powered and heavier-than-air machine to achieve a sustained flight with a pilot aboard.

Deutsche Bank Wouldn’t Like It

The German banking giant isn’t a fan of Bitcoin, however. In 2017, DB chief strategist, Ulrich Stephan, called the cryptocurrency a risk due to its volatility and lack of regulation.

Ironically, the headquarters of the same bank was raided in 2018 due to suspicions that DB “may have helped clients in setting up offshore companies in tax havens.”

What do you think of buying out Deutsche Bank? Don’t hesitate to let us know in the comments below!

Images courtesy of Shutterstock, Yahoo Finance

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Original Post: Buy Failing Deutsche Bank With Bitcoin, Suggests Fund Manager

Top Banks Are Building a Crypto Settlement System, Showing More Mixed Signals On Blockchain Support

The banking industry, now well aware of blockchain’s revolutionary potential, continues to explore a range of options for integrating the technology into their present operating processes. Although there is no doubt that cryptocurrency poses a threat to their business models, there are also very real opportunities to use it for their own benefit. Nevertheless, the extent to which they are willing to embrace permissionless, trustless platforms remains unclear. Simply put, they respect blockchain’s potential, yet are still trying to create the means to maintain control over how it is used within their own ecosystems.

Reuters has reported that several large international banks are creating a blockchain-based currency to aid in transaction settlement. These banks include UBS, Santander, Credit Suisse, and Barclay’s. They have invested USD $50 million in the project, which will be run by a new entity named “Fnality.” An anonymous spokesperson for the banks has stated that the research and development phase of the venture is coming to an end, thus indicating that the platform could soon be deployed.

The coin these banks will create is expected to be a stablecoin, likely pegged to a trusted reserve currency such as the U.S. Dollar or the Euro. It will be used as a digital bridge asset between various fiats. It will probably not be made available on the open market. This architecture is similar to Ripple’s publicly available xRapid, and IBM’s Blockchain World Wire, which uses Stellar Lumens.

Blockchain’s ability to quickly and efficiently move assets across borders is one of its most remarkable features, and banks are wise to embrace this use case. Nevertheless, by design, distributed ledger technology is not meant to be controlled by central entities. Although this new coin may succeed, it is an obvious attempt by these banks to create a platform that can serve the same function as those offered by Ripple and IBM, yet without the reliance on permissionless blockchain networks.

In a sense, this new platform reflects the dilemma that banks are in over the growth and adoption of decentralized cryptocurrency. It is no secret that they overwhelming dislike it, yet at the same time they are forced to recognize that blockchain assets are now firmly entrenched within the global economy, and will no doubt grow much more significant in the coming years. In short, there is no avoiding the blockchain revolution, yet banks are having a very difficult time finding a way to incorporate the technology into their existing business models. Trying to create hybrid, pseudo-cryptocurrencies that they control, as evidenced by this new project, is their present response.

Even if banks want to embrace the crypto revolution, doing so will be very difficult. They are legally bound by a wide range of rules that are largely incompatible with decentralized ledger frameworks. These include tax reporting, know-your-customer, and anti-money laundering regulations. Attempting to fit open and permissionless blockchain assets into a system with such requirements will be difficult, if not impossible, to achieve.

It is still far to early to understand the full impact cryptocurrency will have on the present financial system, yet banks can no longer ignore the fact that changes are taking place. What is certain is that in order to benefit from blockchain technology, banks should not send mixed signals over its use. Whereas it is true that crypto renders much of their services obsolete, it also creates new opportunities to become more efficient and create new business offerings.

Featured Image via BigStock.

Source: Crypto News (.net)
Original Post: Top Banks Are Building a Crypto Settlement System, Showing More Mixed Signals On Blockchain Support

Analyst: Despite Latest Bitcoin Pullback, BTC Is Still in the Very Early Stages of an Uptrend

The upwards momentum the crypto markets have incurred in recent times was put into jeopardy yesterday after Bitcoin failed to surge past $9,000 and found itself reeling back down to the lower-$8,000 region.

Despite this less-than-positive price action, one analyst is quick to note that while looking at BTC from a long term perspective, it is still abundantly clear that Bitcoin is in the early stages of the next noteworthy uptrend, which means that investors shouldn’t fret too much about choppy price action in the near-term.

Bitcoin Finds Support Around Low-$8,000 Region

At the time of writing, Bitcoin is trading down nearly 4% at its current price of $8,426 and is down significantly from its recent highs of over $9,000 that were set yesterday.

Although BTC’s bearish reaction to the $9,000 range does appear to spell trouble for the cryptocurrency, while zooming out on BTC’s chart, it is clear that it is still firmly in the bull’s control over a longer-time frame.

Despite this, if the crypto’s bulls want to maintain control of the cryptocurrency going forward, then it is important that they hold the price steady above roughly $8,100, as a dip below this price level could lead to significantly further losses.

Josh Rager, a popular cryptocurrency analyst on Twitter, discussed the importance of this aforementioned price level in a recent tweet, noting that a close below it “wouldn’t be good.”

“$BTC: Small range & no position currently, I like to make my way through different time frames to at look various support/resistance. If it breaks down and closes below $8193 especially $8114, wouldn’t be good. Above $8330 on LTF would push up for a retest of previous support,” he said.

BTC Still in a Firm Uptrend, Despite Recent Drop

Although it is easy to believe that the latest pullback could mark the end of the cryptocurrency’s massive upwards surge that has occurred in recent times, it is important to note that it is still in the very early stages of the next uptrend, which means that pullbacks are to be expected.

Josh Rager also discussed this in a recent tweet, explaining that he believes BTC is less than one fourth into its next uptrend, based on historical data.

“$BTC Bull Market Cycles: As you look at the historical cycles on the Bitcoin chart, you will notice that each bull market cycle exceeds the length of the previous uptrend. Don’t worry about pullbacks, Bitcoin is likely less than 1/4 into the current uptrend to the next peak high,” he bullishly explained while referencing the below chart.

Although many short-term traders and investors fear that BTC may see increased bearish pressure in the coming days and weeks, as long as it continues to trade above its key support levels, it is highly probable that further gains are imminent.

Featured image from Shutterstock.

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Original Post: Analyst: Despite Latest Bitcoin Pullback, BTC Is Still in the Very Early Stages of an Uptrend

Almost 95% Of Bitcoin Volume Is Fake According to Bitwise

Bitcoin (BTC) has experienced a large price surge in the last few months and crypto enthusiasts are getting excited about it. However, not every single platform offers the […]

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Original Post: Almost 95% Of Bitcoin Volume Is Fake According to Bitwise

Tether is in Deep S But It’s Still Going Strong

Tether and its close partner Bitfinex know the meaning of the word “trouble.” In the past few months, the controversial stablecoin and exchange have been officially accused of fraud. And yet they are still going strong. 

Most recently, Paolo Ardoino, Bitfinex CTO, has announced that Tether is launching on the EOS blockchain. He stated that this platform will complement Eosfinex, a decentralized cryptocurrency exchange built on the EOS protocol. Ardoino explained that USDT currently operates on the Omni, Ethereum and TRON platforms but this is not enough. The new EOS blockchain will facilitate the operation of Eosfinex, which seems to be a highly important product for Bitfinex and USDT.

“Since it is an on chain exchange we need Tether EOS to offer EOS/USDT and crypto-to-stablecoin pairs on it. Eosfinex is one of the most awaited projects in the EOS community but we thought it would be good to start giving everyone the ability to build on Tether-EOS even before Eosfinex launch,” he said.

He added that the EOS blockchain will facilitate conversions between fiat and crypto, which is still a tricky task.

He added that the company is holding talks with Blockstream. The prospective partnership will help launch Tether on both Liquid and Lightning Network by year end. He posits that such diversification is critical for stablecoin’s success.

Stubborn, very stubborn

Spring 2019 is something that Tether and Bitinex will definitely remember forever. The New York Attorney General’s office has accused the two brothers in arms of serious fraud. It stated that Bitfinex took more than $600 million from Tether to cover up its losses. Besides, USDT’s lawyer finally confirmed the community’s suspicions that the stablecoin is not fully USD backed. He said that it is only 74% backed by American Dollar. Moreover, Tether recently admitted to using reserves to buy BTC.

However, the companies, which have recently asked the New York Supreme Court for help, are not giving up. In fact, they have more plans in store. Bitfinex, for example, has recently launched its IEO platform Tokinex and its first IEO for “smart commodity-money” digital asset Ampleforth (AMPL).

The launch of the EOS blockchain coincided with the coins listing on Coinbase. Now it is tradeable all around the globe with the exception of the U.K. and the State of New York.

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Source: Altcoin Buzz News
Original Post: Tether is in Deep S But It’s Still Going Strong

Brazil Establishes Committee for Cryptocurrency Regulation

The President of the Chamber of Deputies of Brazil has ruled to create a commission to consider cryptocurrency regulation in the country

Source: Cointelegraph.com
Original Post: Brazil Establishes Committee for Cryptocurrency Regulation

A Big EOS Announcement Is Looming

EOS, one of the world’s leading cryptocurrencies could be about to see some very positive changes after reports have surfaced regarding some recent mysterious behaviour from the EOS development team. The creators of EOS are alleged to have recently purchased $20M worth of RAM in EOS tokens.

Why would anyone need so much RAM? What sort of activities would require enough computing power to need $20M of RAM? Well, that’s what we should find out soon enough, we hope at least.

One theory is that this is a part of a new project by Block.one (the team behind EOS) to build their very own social network, indeed, a social network on the scale of the likes of Facebook and Twitter would need a lot of computing power, so, could this theory be accurate? One of the members of Block.one, Daniel Larimer has previously spent time working on Steemit, a blockchain powered social network, so indeed the expertise to build such a system is already within the EOS structure, plus we expect that Larimer has an awful lot of contacts in this field. We also can’t forget a tweet made by Larimer earlier this year that did suggest some sort of EOS social network could be built in the future:

“What if you could decentralize social media more than steemit? The future of social media is thousands of blockchains under independent governance coordinating with inter-chain communication behind a seamless user experience.”

Given the current speculation around Facebook and there questionable use of private user data, we imagine there’s a cohort of billions of users that would love to move over to a reliable, safer and decentralised social network, so, perhaps this is the market that EOS now want to target?

According to Crypto Briefing, there are a few other theories circulating too:

“There are other possibilities. According to EOSwriter, EOS Nation CEO Yves La Rose suggested that, apart from a potential social media platform (MEOS), the company may be planning an official wallet, a declaration that EOS is a utility token, or a token burn. The speculation of regulatory or government moves partly comes from a Telegram message on March 25, when Larimer revealed that EOS is known to Trump advisors and that Block.one has attracted interested in Washington.”

Whatever is happening here and whatever EOS needs $20M worth of RAM for is all to be revealed at an EOS event in Washington on the 1st of June 2019… so, as it stands we don’t have to wait too long to see what’s going to happen next.

Source: CryptoDaily.co.uk
Original Post: A Big EOS Announcement Is Looming

Little-Known Cryptocurrency Surges 80% While Bitcoin Flounders

  By CCN: Monacoin bills itself as Japan’s first cryptocurrency, and it’s gained significantly during the recent bull market activity. The cat meme cryptocurrency surged more than 80% in just 24 hours, leaving it with a per-token value of more than $2. Previously, Monacoin’s price was closer to $1. The rally came even as the Bitcoin price struggled to regain momentum after a sizable sell-off. Japanese Crypto Traders Drive Demand for Monacoin Nice $MONA pump today after its listing on @coincheckjp #Monacoin is not listed on @binance and many other big international exchanges, except @BittrexExchange Japanese investors don’t care as

The post Little-Known Cryptocurrency Surges 80% While Bitcoin Flounders appeared first on CCN

Source: CCN.com
Original Post: Little-Known Cryptocurrency Surges 80% While Bitcoin Flounders

The Copyright for the Satoshi White Paper is Already Causing Trouble

Craig Wright's copyright registration of the Satoshi White Paper is causing some online services to censor the document.
Source: Coindesk
Original Post: The Copyright for the Satoshi White Paper is Already Causing Trouble

Think Bitcoin is Wasteful? Have You Ever Thought About the True Cost of Fiat?

One of the most commonly repeated criticisms of Bitcoin is its energy consumption. It seems that every few months, some new report is penned stating that Bitcoin uses the same amount of electricity as an ever larger country.

However, demonising Bitcoin on such grounds is highly reductionist. After all, there is a lot more that goes into our current monetary system than just ten thousand or so supercomputers running day and night.

Bitcoin Can Clean Up Its Act, Can Fiat?

The main gripe environmentalists seem to have with Bitcoin is that it uses a lot of electricity. This, of course, is true. However, it doesn’t tell the whole story.

Electricity around the globe is gradually getting greener. Renewable energy technology is improving every year. The shift from fossil-fuel-intensive Bitcoin mining operations based in China to those harnessing geothermal power or hydroelectricity is clear evidence that those running the equipment to secure the Bitcoin network are keen to increase profits margins by turning to these vast, largely untapped, and ultimately renewable energy sources.

Compare this to how the Federal Reserve and national banks operate. Buildings, manufacturing plants, machinery, and many other things all need constructing and operating to create a system that enough people will trust in for it to be of any use whatsoever.

This is bad enough. However, there is a hidden environmental cost of the current financial system that is rarely considered – the cash itself.

Around 7.4 billion bank notes were produced last year in the United States alone. The following Tweet highlights the financial cost of many of the processes involved with operating a functioning financial system:

People rarely consider that they actually fund the very fiat system that slowly (or rapidly) depletes the value of their labour over time. The Federal Reserve doesn’t foot the bill, the taxpayer does. By contrast, taxes don’t pay for Bitcoin miners, the Bitcoin network doesn’t need external funding. The users and the system itself pays for the security and trust is ensured mathematically – it doesn’t need to be bought.

Not only this but the notes themselves require immense resources to get into circulation. Of course, there is the cotton paper. However, there is also the special ink required to ensure the bills are difficult to counterfeit, the gelatin used to give them extra durability, and the cost to design a new note every few years to keep counterfeiters on their toes. This latter step often involves increasingly elaborate methods of printing that require more use of colour shifting inks, more intricate designs, raised printing techniques, and many other methods to make sure it’s easy to check that you have a real note and difficult to make a convincing fake.

Notes then need transporting, their quality checking (some are, of course, rejected causing greater waste),  and all of this on top of the cost (both economically and environmentally) of running the institutions that we must request permission to transact through.

As if that wasn’t bad enough but the above Tweet reminds us that it’s a downright inefficient system. Despite the $800 million spent on just the manufacture of new money, there is still an estimated $3 billion in counterfeit bank notes circulating around the globe.

It is understandably incredibly difficult to quantify the total cost of the fiat monetary system. However for an environmentalist to lambaste a new technology for being energy intensive ultimately holds back human progress. Technology gets more efficient over time. It always has. There is nothing to suggest that Bitcoin mining will not get more efficient too. In fact, it already is doing thanks to operations tapping into hydro power in Canada and geothermal energy in Iceland.


Related Reading: Malaysian Prime Minister Proposes Gold-Backed Currency, But Why Not Bitcoin?

Featured Image from Shutterstock.

The post Think Bitcoin is Wasteful? Have You Ever Thought About the True Cost of Fiat? appeared first on NewsBTC.

Source: News BTC
Original Post: Think Bitcoin is Wasteful? Have You Ever Thought About the True Cost of Fiat?

Testing the Noncustodial Button Wallet With BCH Over Telegram Messenger

Testing the Noncustodial Button Wallet With BCH Over Telegram Messenger

Users of the Telegram-infused cryptocurrency Button Wallet can now purchase digital assets through its partnership with the payment processor Wyre. Button Wallet allows users to store, send, and receive cryptocurrencies like BCH, ETH, BTC, LTC, and ETC through the Telegram messaging app. The following is an in-depth review of my experience using Button Wallet after hearing about the app on social media.

Also read: Hackers Have Looted More Bitcoin Than Satoshi’s Entire Stash

Sending Cryptocurrency via Button Wallet Through Telegram Messenger

In 2018, a startup launched a noncustodial light client application called Button Wallet in order to provide people with a way to store, send, and receive cryptocurrencies within the Telegram messaging platform. So far there’s been a few glitchy tip bots that people have tested using the messenger, but Button Wallet seems to be catching on as the startup claims to have roughly 100,000 accounts since launching last year. The team has detailed that Button Wallet was inspired by Wechat payments and soon the project hopes to launch on Facebook Messenger as well. This week news.Bitcoin.com decided to give Button Wallet a test run using some Bitcoin Cash (BCH) to see how well the application worked.

Testing the Noncustodial Button Wallet With BCH Over Telegram Messenger
Button Wallet greets you with a bot with an interface that allows you to send, deposit, and exchange a variety of cryptocurrencies.

The first thing I did was go to the official Button Wallet website and press the blue “Use Telegram” tab to get started. As soon as the tab was pressed, I was redirected to my Telegram messenger platform and greeted by the Button Wallet bot. Similarly to many of the bots on Telegram, the Button Wallet bot responds to commands, but this app also provides buttons that are simple to press in addition to commands. In order to create an account, the bot asks for a valid email address and the platform will send you the private keys in the form of a QR code to the email.

Testing the Noncustodial Button Wallet With BCH Over Telegram Messenger
After selecting which cryptocurrency to deposit the bot will provide you with an address.

The QR code can be used for fund restoration purposes, but it’s also used for the first transaction authorization. Button Wallet supports a variety of digital currencies including BCH, ETH, BTC, LTC, and ETC. I decide to send myself some BCH to the address given to me by the Button Wallet bot. In order to obtain your address, press the deposit tab and choose the kind of cryptocurrency you want to use.

Testing the Noncustodial Button Wallet With BCH Over Telegram Messenger
The bot will display wallet addresses, allow you to back up private keys, remove the account, change the language settings, and contact support through the account settings section. Button Wallet support helped me when I experienced an error at first and responded very quickly.

After sending myself a few bucks’ worth of BCH to my address I had to wait for the transaction to confirm and it appeared in the balance section. I then chatted with a coworker who offered to create a Button Wallet account and I sent him $0.25 worth of BCH. My first attempts to send funds that day were unsuccessful. I assumed it might have been because the platform’s servers were busy due to the recent announcement about the partnership with Wyre.

Testing the Noncustodial Button Wallet With BCH Over Telegram Messenger

Button Wallet Works Well Sending Microtransactions

The following day I spoke with Button Wallet’s support and the agent sent me $1 worth of BCH to try again. Since he sent me these funds, I haven’t experienced any errors sending small fractions of coin. So in order to forward my coworker some funds, I pressed the send tab and chose bitcoin cash as my preferred currency. The Button Wallet bot gives you a few increments to choose from, which includes $0.1, $0.25, $0.5 and $1. I chose to send $0.50 and the app redirected me to a unique URL invoice which shows the payment is being sent. After seeing the sent checkmark symbol, go back to the Telegram platform. The bot will give you and the recipient of the funds full details about the transaction.

Testing the Noncustodial Button Wallet With BCH Over Telegram Messenger
You can type or copy and paste an alphanumeric address or copy and paste a @nickname handle as well.

When you send a person funds, you can copy and paste a traditional alphanumeric string address, but to send over Telegram all you have to do is type the @ and the individual’s handle. The person on the receiving end needs an account for this feature to work and it’s a good idea to copy and paste the person’s Telegram username so you don’t accidentally send funds to another user with a similar name. After sending $0.25 to my coworker he sent me back $0.1 (ten cents) soon after his money confirmed on the BCH chain.

Testing the Noncustodial Button Wallet With BCH Over Telegram Messenger
After sending $0.50 to a coworker the bot shows you the transaction. The bot on the receiving end will also notify the person that they received funds.

Overall the Button Wallet app is pretty easy to use but it’s best to play around with it first to get a feel. It seems just from testing there could be issues if someone typed the wrong name and the mistyped handle resolved to a real account so it’s best to copy and paste this information. The way the increments are written for small USD amounts can be confusing at first and takes a second to figure out. Other than that, and besides the first day’s issues, the Button Wallet platform worked as intended and I’ve sent a few other coworkers some BCH microtransactions.

I didn’t bother sending BTC to the wallet because sending micropayments on the chain is difficult with current fees varying between $2-4 per transaction. Probably the most meaningful aspect of them all is that Button Wallet is noncustodial unlike many of the tipping wallets out there today. Still, the application should probably only be used for a small amount of funds and treated like a hot wallet.

What do you think about the Button Wallet application for Telegram Messenger? Let us know what you think about this subject in the comments section below.

Disclaimer: Bitcoin.com does not endorse this product/service. Review editorials are intended for informational purposes only. Readers should do their own due diligence before taking any actions related to the mentioned company or any of its affiliates or services. Bitcoin.com or the author is not responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

Image credits: Shutterstock, Jamie Redman, and Button Wallet.

Verify and track bitcoin cash transactions on our BCH Block Explorer, the best of its kind anywhere in the world. Also, keep up with your holdings, BCH, and other coins, on our market charts at Markets.Bitcoin.com, another original and free service from Bitcoin.com.

The post Testing the Noncustodial Button Wallet With BCH Over Telegram Messenger appeared first on Bitcoin News.

Source: Bitcoin.com
Original Post: Testing the Noncustodial Button Wallet With BCH Over Telegram Messenger