Two new patents from Microsoft reveal that the tech giant is looking to bolster its blockchain solutions with the use of trusted execution environments (TEEs), according to
The world’s largest cryptocurrency exchange by volume, Binance is reportedly planning to enter South Korea, according to Business Korea. The company is already in the process of hiring executives for the expansion into South Korea.
Binance’s expansion comes at a time when the countries lawmakers are passing legislative bills to regulate the cryptocurrency market and further legalize ICO’s under regulatory supervision.
Last year, Binance added South Korean language support for its primary cryptocurrency exchange. Last month, they announced their expansion into Africa as one of the first fiat trading cryptocurrency exchanges located in Uganda.
Korea’s primary financial regulatory authorities are looking at relaxing the cryptocurrency rules which the government asked to regulate regarding domestic cryptocurrency exchanges. Financial regulations for the country are also looking to establish new policy governing bodies centered around nurturing the fintech industry with a primary focus on blockchain technology and cryptocurrency.
The Korea Times reported today that South Korean regulators are finalizing drafts of bills intended to develop a set of rules on cryptocurrencies, blockchain technology, and initial coin offerings (ICO’s).
South Korea lawmakers will introduce the draft as an extraordinary session of national assembly which is going to Take Pl., July 13th through 26. According to Korea times, representative Song Hee-Kyung, of the Liberty Party Korea is calling for regulations on crypto trading platforms in order to prevent money laundering, personal data leaks, and cyber crimes.
South Korean officials are reportedly planning to present new regulatory bills on the legal status of digital currencies and the legal requirements for cryptocurrency exchanges. Many officials are calling for more security measures for cryptocurrency exchanges with regard to the recent string of crypto hacks.
As of recent, South Korean regulators have been gradually changing their stance towards cryptocurrency. Last month, the government announced that they plan to reverse the ICO ban which they initially enacted back in September of 2017.
The South Korean Ministry of Science And Technology also strengthened their cooperation with the US in order to advance the “Fourth Industrial Revolution” powered by blockchain technology.
Three Korean ministries – the National Statistical Office, the Ministry of Science and Technology, and the Ministry of Information and Communication – are said to have been working since the end of last month to produce the final draft of a new blockchain industry classification scheme by the end of July.
The scheme will reportedly serve as a basis for policy making, notably aimed towards “blockchain promotion and regulatory frameworks,” and covers areas including blockchain systems construction, decentralized applications (DApps) development, and cryptocurrency exchanges and transactions.
The draft defines cryptocurrency exchanges as crypto asset exchange and brokerage, which is an important redefinition that “recognizes crypto exchanges as regulated financial institutions,” as opposed to their previous classification as “communication vendors”.
BChain reports that the move is “the first time” the Korean government has recognized the emerging sector as a legitimate industry.
With further input from 43 government ministries and 17 regional municipalities, as well as enterprises and financial institutions, the initiative is said to be drawing on consultations with over 160 institutions to assemble what will be the country’s first statistical survey of the sector.
The government has subdivided its industry classification scheme into three sectors, with ten further subdivisions under the guidance of the Korean Standard Industrial Classification (KSIC). The subdivisions include detailed considerations of blockchain-powered infrastructure for DApps such as EOS, Ethereum and NEO, blockchain-based cloud computing services, and cryptocurrency mining.
The survey is also covering blockchain systems integration into existing industries, including the financial sector, security, insurance, copyright management, supply chain management, medical services, and software development.
Today’s news comes at a pivotal time for the South Korean crypto sphere. Recent high-profile cryptocurrency exchange hacks have prompted robust responses from local regulators: nonetheless, important positive news has been forthcoming from the government throughout spring, most notably the country’s plans to lift its notorious blanket ban on domestic Initial Coin Offerings (ICOs).
In late June, the Ministry of Science and ICT announced a major Blockchain Technology Development Strategy that aims to raise approximately $207 million by 2022, and since May, the country’s central bank has been exploring the idea of using blockchain in order to realize its project for a “cashless society” by 2020.
Augur, which its co-founder Joey Krug previously described as the most complex decentralized application (dApp) on the Ethereum blockchain, has surpassed a million dollars at stake and demonstrated a rapid growth rate over the past few weeks.
In essence, Augur is a decentralized betting platform that exists on the Ethereum network. Because it utilizes smart contracts to autonomously settle bets and payout users, users can practically bet on any subject, topic, or an event.
Since its launch in mid-July, the decentralized prediction platform has demonstrated a rapid rate of growth, portrayed by the increase in its user base, daily volume, and the amount at stake on the platform.
As of July 25, according to the data provided by Predictions.Global, a platform which allows Augur users to view various prediction markets on the Augur network, nearly $1.5 million are at stake on the Augur prediction market. The three largest bets on the Augur network accounted for nearly 80 percent of the ether at stake, which are:
The complexity of the Augur platform, apart from its technical aspects, revolves around data verification. For instance, in the case of the largest bet on Augur mentioned above, by the end of 2018, Augur would have to verify that the price of Ethereum is in fact larger than $500. But, due to a wide range of variables including exchange premiums, it is difficult to verify that specific piece of information accurately.
In December 2017, the price of bitcoin reached $25,000 in the crypto exchange market of South Korea, even on major trading platforms like UPbit and Bithumb, while the price of bitcoin in other markets such as Japan and the US achieved a peak at $19,500.
Joey Krug, the creator of Augur and the co-Chief Information Officer at Pantera Capital, a billion dollar cryptocurrency hedge fund, said:
“Augur’s about 10x more complex than the second most complicated ethereum project, makerdao, which has about 10 contracts vs augur’s 100 [complexity isn’t a good thing, and the augur team has tried to make it as simple as possible, it’s just a really complicated endeavor].”
Brian Kelly, the founder of BKCM and long-time contributor to CNBC’s Fast Money, expressed his enthusiasm towards the fast growth of Augur and its impact on the Ethereum network.
|“Augur was one of the oldest ICOs [initial coin offerings] and the platform has been in development for about two to three years now. What’s interesting about this is probably going to be one of the biggest decentralized apps launched on top of Ethereum. If Augur doesn’t slow the system down [unlike CryptoKitties] that could generally be a positive for Ethereum.”|
Emin Gun Sirer, a professor at the prestigious Cornell University, added that the launch of Augur is monumental for Ethereum, stating;
“Congrats to the Augur Project team, for getting rid of the crutches and delivering something that stands on its own.”
The bitcoin price is rallying, and this time, it looks like Wall Street has shown up to the party. On Tuesday, bitcoin brief briefly broached the $8,500 threshold on Bitfinex for the first time since mid-May, and while it has since pulled back several hundred dollars from that two-month high, it has nevertheless risen 10 percent in the past week and 29 percent over the course of a month.
As noted by Mati Greenspan, a senior market analyst at eToro, this rally was fueled in the spot markets by the usual suspects — traders in Japan and South Korea — who provided a surge of volume to help push the bitcoin price past key levels.
“According to the volume on exchanges, it seems clear that the rally is being led by East Asia,” Greenspan wrote, “The US Dollar had a spike as well but it was much more focused. Meaning that the Americans only participated during the extreme part of the surge and less in the before and after party.”
That’s not to say that the U.S. was absent from the rally. In fact, Greenspan said, trading data from Chicago-based. derivatives exchanges CME and CBOE — the only two regulated U.S. exchanges to list bitcoin futures — suggests that Wall Street wants a piece of the action.
Bitcoin futures hit record volume of 12,878 contracts on Tuesday, equivalent to 64,390 bitcoins with a notional value of $530M. Learn more about #Bitcoin futures. https://t.co/AIsPztBU6V pic.twitter.com/7RIRL2qZ3A
— CMEGroup (@CMEGroup) July 25, 2018
Tuesday trading volume on CME reached 12,878 contracts across all expiration dates, worth an equivalent 64,390 BTC (each contract represents 5 BTC). CBOE traders exchanged 7,138 contracts, each equivalent to 1 BTC, bringing total U.S. bitcoin futures volume to 71,528 BTC. At $8,000 per coin — the mean of Tuesday’s opening and settlement price in CME’s August futures market — this translates into a daily volume of $572.2 million.
That volume is still minor relative to the global cryptocurrency marketplace, however. The worldwide bitcoin spot market saw more than $7.7 billion in volume on Tuesday, according to CoinMarketCap.
Moreover, Hong Kong-based cryptocurrency margin trading platform BitMEX reported that it saw a record 1 million XBT contracts traded during a 24-hour period on Tuesday, worth more than $8 billion. The vast majority of this — more than $7 billion — was concentrated in XBT/USD markets.
Nevertheless, this uptick in bitcoin futures volume could serve as another in a growing list of data points and anecdotes that suggest Wall Street is beginning to make a strategic entry into this nascent ecosystem.
From January to December of 2017, the price of bitcoin increased from $890 to $20,000, by more than 2150 percent. In comparison to mid-2017, the volume of bitcoin has increased by five-fold, signifying a significant surge in demand and interest towards cryptocurrencies as an emerging asset class from investors in the public market.
In an interview with Bianca Chen, a cryptocurrency researcher and reporter in Zug, Switzerland, CZ said that the cryptocurrency sector is in a better position than a year ago, in terms of infrastructure, price, volume, and mainstream interest.
“Just checked, btc price was $2500 a year ago, today $6800. Trading volume for btc was 780m a year ago, today is 3.4b. There you go,” CZ said.
In mid-2017, the cryptocurrency sector did not have any proper infrastructure in place for both retail and institutional investors. As of July, the crypto market has an institutional platform called Coinbase Custody established, with which hedge funds, academic institutions, and pensions can purchase many millions of dollars worth of digital assets like bitcoin and ether, the native cryptocurrency of the Ethereum blockchain protocol.
Major banks and financial institutions such as JPMorgan, Goldman Sachs, and Morgan Stanley have publicly disclosed their intent to facilitate the growing demand from their clients in the traditional finance sector towards cryptocurrencies by operating digital asset trading desks and exchanges in the future, once regulatory uncertainty around the crypto exchange market is cleared by the financial authorities of the US.
Most recently, at the Economic Club of New York conference, Goldman Sachs CEO Lloyd Blankfein said that if government-operated fiat currencies can dominate the financial system, consensus currencies can also emerge as dominant mediums of exchange.
More to that, Blankfein emphasized that it is arrogant to think cryptocurrencies simply cannot work because they are based on new fundamentals, principles, and philosophies.
“If you go through that fiat currency where they say this is worth what it’s worth because I, the government, says it is, why couldn’t you have a consensus currency? And so it’s not for me, I don’t do it, I own no bitcoin. Goldman Sachs as far as I know… has no bitcoin, but if it does work out, I could give you the historical path why that could have happened. I’m not in this school of saying… because it’s uncomfortable with me, because it’s unfamiliar, this can’t happen, that’s too arrogant,” Blankfein said.
Similar to the 2014 correction, the drop in the price of bitcoin in 2018 was caused by the bubble of retail investors. The recognition of cryptocurrencies as an emerging asset class by banks, leading economies, and governments like the US, Japan, and South Korea will enable the next FOMO, fear of missing out, amongst large-scale investors and institutions.
Last year, crypto exchanges recorded around $266 million in losses from security breaches and heists. The first half of 2018 recorded triple the amount stolen from crypto exchanges in 2017, triggering investors in the cryptocurrency space to develop concerns regarding the standard of security measures implemented by crypto trading platforms.
Two of the biggest crypto exchange hacks in 2018 were the $500 million Coincheck hack in Japan and the $40 million Coinrail hack in South Korea. Both exchanges stored an unusually large amount of crypto assets in their hot wallets, or wallets connected to the internet, instead of cold wallets stored offline.
As such, as soon as hackers gained access to the system of Coincheck and Coinrail, they were immediately able to steal hundreds of millions of dollars in cryptocurrencies without any hurdle.
Subsequent to its hack, Coincheck admitted that its $500 million security breach was a result of the lack of talented and experienced developers working on the platform’s security systems.
Coincheck CEO Koichiro Wada said in an interview with Bloomberg:
“We were aware we didn’t have enough people working on internal checks, management and system risk. We strived to expand using headhunters and agencies, but ended up in this situation.”
However, the statement was released after a controversial press conference regarding the hacking attack that prompted investors to outrage over the company’s attitude about its infrastructure.
Merely days after the breach, Coincheck held a press conference to outline the company’s future and the method that will be used to deal with the breach.
As CCJ previously reported, Yuji Nakamura, a technology reporter based in Japan, said that Coincheck claimed:
Essentially, investors were outraged by the fact that the exchange did not know how the hacking attack occurred, its failure to utilize multi-signature technology to secure user funds, and its reluctance to admit that its security was weak.
Coinrail, formerly the fifth-largest digital asset exchange in the South Korean market, also admitted after its breach that it did not have enough resources and developers to fix and improve its security system.
Japan and South Korea, two countries that experienced the largest security breaches in 2018, have already started to implement strict regulatory policies to establish industry standards regarding cryptocurrency exchange security.
The government of South Korea has chosen to regulate cryptocurrency exchange as banks, providing local financial agencies the authority to monitor and oversee crypto exchanges.
With stricter regulations and consistent monitoring of the security systems implemented by exchanges, authorities of Japan and South Korea expect the magnitude of security breaches in the cryptocurrency sector to decline over time.
Brian Kelly, the CNBC fast trader host, outlined three major reasons why Bitcoin will recover to its of previous support levels at $10,000.
Kelly noted, referring back to the basic rule of investing, where a period in the market is extremely overoptimistic, it’s better to sell. Always look for an opportunity to enter a market when it’s overly pessimistic.
Given that investor sentiment is primarily negative towards cryptocurrency, a major correction of the market which will likely bottom out in the near future, Kelly explained. It’s likely that in the next 2 to 3 months we’ll see a midterm rally in the fourth quarter of the year.
Kelly also stated that the tightening of Japanese government regulation along with their proactive commitment to cleaning up the cryptocurrency market and legitimizing their cryptocurrency sector is an extremely positive development in the long term.
This would prevent another major hack like the one witnessed with Coincheck exchange, therefore allowing investors to have more trust in local exchanges.
South Korea, the third largest cryptocurrency market behind US and Japan has also prepared stricter cryptocurrency regulations for their exchanges in order to prevent future hacks and money laundering attempts. South Korea intends to legitimize cryptocurrency in order to protect investors and set an industry wide standard.
Mt. Gox executed several selloffs equaling tens of thousands of Bitcoin, which led to quite a few market crashes throughout 2018. This prevented Bitcoin from gaining momentum at certain key levels.
Kelly reiterated that the delay of any further Mt. Gox selloff until 2019 is very optimistic towards the short term future of Bitcoin. Future potential market selloffs should be eliminated in the midterm due to this event.
The 3 factors outlined by Kelly could fuel a midterm Bitcoin rally. With South Korean and Japanese developments enabling the market to grow with stability and trust from investors returning, this should lead to a beneficial growth for Bitcoin.
Hackers have stolen cryptocurrencies worth $30 million from South Korea’s leading virtual currency exchange Bithumb, reported June 19. As a result all deposits and payments have been temporarily suspended.
Bitthumb announced that it will compensate all users who were affected by the hack. All assets will now be moved to a cold wallet in order to prevent further hacks.
The exchange has moved a large amount of Ethereum to its cold wallet once they noticed an abnormal amount of access to their exchange.
According to resident officials from the Sentinel Protocol, a project which specializes in hacking, scams, and fraud detections, was the first to report that the company’s wallet was hacked on June 19. Some of the coins stolen included Ripple.
Earlier in the month, hackers had stolen $37 million worth of cryptocurrency from another South Korean cryptocurrency exchange, Coinrail. While Coinrail is only ranked 99th of the largest cryptocurrency exchanges in the world in terms of trade volume, the media claimed that the hack was partially responsible for the cryptocurrency market crash as of late.
Joseph Young, a cryptocurrency industry journalist, stated..
|The WSJ (Wall Street Journal) believes that Bitcoin price fell 11% because they rather small cryptocurrency exchange in South Korea was hacked. Bitcoin fell because people sold and not enough other traders were willing to buy. This was not due to a small hack.|
Two new patents from Microsoft reveal that the tech giant is looking to bolster its blockchain solutions with the use of trusted execution environments (TEEs), according to
Cayman Islands-based blockchain startup Everipedia formally launched its peer-to-peer (P2P) encyclopedia August 9, a press release confirmed. Designed to be an “autonomous encyclopedia without the need for advertisements or
U.S. software company Intuit has been awarded a patent for processing Bitcoin (BTC) payments via text message (SMS), according to a filing published by the U.S. Patent and Trademark
SportsCastr, a live-streaming platform that allows anyone to become a color commentator, announced recently that the NFL Players Association (NFLPA), via its athlete-driven accelerator the
The Dubai court system tasked to oversee all civil and commercial disputes involving financial transactions both domestically and internationally is turning to blockchain technology to
The Bank of England is completely overhauling its interbank payment system and have recently confirmed that they will open the network to fintech firms in
Google made an official announcement today (July 23rd) to deploy blockchain technology services in order to offer customers fintech and cloud service solutions. The company
Bank of America (BoA) has filed a patent for a blockchain-based system allowing the external validation of data, according to a United States Patent and
Boeing, the the world’s biggest aviation company, recently announced their intention to tap into blockchain technology by utilizing it for their future unmanned airplanes used
Binance, the world’s second largest cryptocurrency exchange platform, is planning to create a blockchain based bank with token ownership according to Bloomberg on July 12.
The Korea Times reported today that South Korean regulators are finalizing drafts of bills intended to develop a set of rules on cryptocurrencies, blockchain technology,
Swiss smartphone developer, Sirin Labs, plans to release a blockchain based smartphone in November of this year, as reported on July 11. Sirin Labs raised
IBM has signed a five-year AU$1 billion ($740 million) deal with the Australian government to use blockchain and other new technologies to improve data security, Bloomberg reports Thursday, July 5. The major
Volkswagen has applied for a patent allowing vehicles to communicate with each other through a blockchain-based network aimed to increase road safety by warning of
The South Korean government is drafting major new industry classification standards for the domestic blockchain industry, local crypto news outlet The BChain reports Thursday, July 5. Three Korean ministries – the
Malta’s Parliament passed three bills today in order to establish a regulatory framework for blockchain technology as reported by local news outlet Malta today on
Blockchain security firm CipherTrace recently reported that $731 million worth of cryptocurrencies were stolen from crypto exchanges during the first half of 2018. Last year,
Kaspersky Labs recently released a cyber security report that notates a significant decline in ransomware as compared to the growing increase of crypto jacking in
Mastercard, the financial services giant, was granted several new patent approvals this week regarding implementation of several blockchain technologies into their existing network. One particular
Stanford University has recently created the Center For Blockchain Research according to their Stanford Engineering website posted on June 20. The research center is supported
CryptoZombies Creator Launches Kickstarter Campaign for Blockchain Trading Card Game The development team behind CryptoZombies, the website that teaches people how to code Ethereum DApps,
United States Postal Service (USPS) filed a patent last September for a system with public and private keys as well as a blockchain component
Leave a Comment
Latest Crypto News
Cryptocurrency exchange and wallet service Coinbase has acquired San Francisco-based startup Distributed Systems Inc., which works on decentralized identity solutions, according to an August 15 announcement. In the blog post, B Byrne, project manager for Identity at Coinbase, said Distributed
California-based asset manager Reality Shares has become the latest competitor in the Bitcoin hedge fund space, an anonymous source told Business Insider August 15. Reality Shares, which became known in the cryptocurrency space this year after launching the first Chinese blockchain ETF in June, has reportedly already
Over the past 12 hours, Bitcoin and Ethereum have risen by more than 9% percent in value, but some analysts are still not convinced about the short-term trend of the crypto market. Generally Positive Sentiment
Marijuana culture media group High Times Holding Corp. has decided not to accept Bitcoin (BTC) in its initial public offering (IPO), according to an August 13 filing with the U.S. Securities and Exchange Commission (SEC). The decision runs counter to the
Bitcoin (BTC) prices fell below $6,000 for the first time since the end of June Tuesday, August 14, as the cryptocurrency community remains resilient. All major assets in the red as Bitcoin falls almost 5 percent in 24
Within a period of two weeks, from August 1 to August 14, the price of Ether, the native cryptocurrency of the Ethereum network, dropped by 44 percent. In 14 days, the price of Ethereum plummeted
Two new patents from Microsoft reveal that the tech giant is looking to bolster its blockchain solutions with the use of trusted execution environments (TEEs), according to two filings published by the U.S. Patent and Trademark Office (USPTO) August
Earlier this week, the cryptocurrency markets slumped: Bitcoin (BTC) lost its $6,500 support, and Ethereum (ETC) dropped well below the $400 mark (rates stand at $6,620 and $319 respectively by the press time). While it’s important
Tether (USDT) has issued new tokens worth $50 million on August 11, according to block explorer OmniExplorer. In late March, Tether had released 300 mln USDT tokens priced at $1 per token. Over the past 30 days, Tether’s market
If you’re wondering how you should treat Bitcoin, as an investment vehicle, allow me to share with you guys my non-expert opinion. End of story, thanks a lot for reading. See you next time. –this
The bitcoin price in the past 24 hours has undergone a much-needed bullish correction, rising about $500 since establishing an intraday low around $6,009. We were waiting for a bounce back from 6009-fiat to apply
It’s not entirely clear what exactly is going on in Facebook’s nascent cryptocurrency division, but several reports suggest that something is afoot. Facebook Meets with Cryptocurrency Project Stellar The first comes from Business Insider, who reports
Kenneth A. Blanco, director of the U.S. Financial Crimes Enforcement Network (FinCEN), has revealed that the agency has seen a surge in filings of crypto-related Suspicious Activity Reports (SARs). The number of complaints now exceeds 1,500 per
Cayman Islands-based blockchain startup Everipedia formally launched its peer-to-peer (P2P) encyclopedia August 9, a press release confirmed. Designed to be an “autonomous encyclopedia without the need for advertisements or donations,” the project uses the EOS network to function and will reward
U.S. satellite service provider DISH has announced it has added Bitcoin Cash (BCH) as a payment option and migrated to the BitPay payments provider, according to an official press release August 9. The DISH Network Corporation was among the first
The CEO of cryptocurrency trading platform Binance Changpeng Zhao announced a demo of the platform’s decentralized exchange in a tweet today, Aug. 9. In a six-minute video attached to the tweet, Zhao presented a “casual, early, pre-offer” demo of
Sign Up Below!
Airdroppin the Latest Crypto News, Trading Strategies, Tools, & Reviews
Crypto Guides & Tutorials