Friday, February 23, 2018

Particl’s Security Prevents Meltdown / Spectre From Affecting Proof-of-Stake Blockchain

 

Earlier this year, nearly every device with an Intel CPU was affected by the Meltdown and Spectre vulnerabilities. The two vulnerabilities allowed hackers and malicious actors to steal passwords and sensitive information from devices, by accessing the memory and secrets of programs on the operating system of devices.

Meltdown, easier to exploit than Spectre, breaks the basic isolation between user applications and the operating system of devices, leaving memory and private data vulnerable to attacks. Spectre, more difficult to exploit but also harder to detect, allows malicious actors to trick error-free programs to leak secrets, leading sensitive data to be released.

In January, Oleg Andreev, the protocol architect at blockchain company Chain, stated that proof-of-stake (PoS) is an "incompetent" idea because when major vulnerabilities like Meltdown and Spectre are exploited, private keys stored locally in memory are retrievable. When private keys are lost, attackers can easily reallocate massive amounts of funds, getting ahold of the stake and obtaining the ability to attack the PoS blockchain.

"Meltdown/Spectre is why Proof-of-Stake is an incompetent idea: PoS authors ask for an unforgivable amount of money to sit in the online wallets that actively generate signatures," said Andreev.

Last month, almost immediately after Meltdown / Spectre were discovered and utilized to exploit devices, Particl introduced its Cold Staking safeguards, that prevent locally stored private keys of being vulnerable to attacks.

"Particl Cold Staking safeguards your wallet's private keys, and thus your PART, by using a script (contract) between an online staking node and an offline wallet. Both wallets have unique private keys, meaning that if/when the online staking node is exploited by Meltdown/Spectre with a memory leak only the private keys of the node are stolen. If setup properly, the staking node should have 0 PART — thereby eliminating the threat of theft and protecting the PART in your wallet kept offline and secure," explained the Particl development team.

If Particl Cold Staking safeguards are activated and integrated, even when Meltdown / Spectre exploits successfully leave the operating system of devices vulnerable to attacks and the private key from memory is obtained, attackers cannot steal or reallocate funds because staking nodes carry a 0 PART balance. Which means, even if hackers gain access to the locally stored private keys, funds cannot be stolen and remain safe.

"If the Meltdown/Spectre exploit is used on a machine running a Particl Staking Node an attacker could retrieve the private key from memory but it would be of no use since staking nodes typically carry a 0 PART balance," the Particl development team added.

The Particl Cold Staking also prevents quantum computer attacks, disallowing attackers with a quantum computer to obtain a private key from a public key, due to the integration of multiple quantum-resistant one-way hash functions.

Conclusively, the security in Particl prevent two major attacks in Meltdown / Spectre and quantum computer attacks from affecting a PoS blockchain.

Turkish Minister Proposes National Cryptocurrency

 


The deputy chair of Turkey's Nationalist Movement Party (MHP), Ahmet Kenan Tanrikulu, has written a 22-page report seeking to highlight the regulatory vacuum that presently exists in Turkey pertaining to cryptocurrencies. The report also makes a number of policy recommendations for the development of a regulatory framework for virtual currencies, including advocating that Turkey develop a national cryptocurrency.

MHP Chair Authors Cryptocurrency Report
Turkish Minister Proposes National Cryptocurrency
Minister Ahmet Kenan Tanrikulu
The MHP deputy chair and former Industry Minister, Mr. Tanrikulu, has written a detailed report seeking to encourage Turkish lawmakers to develop a regulatory apparatus for cryptocurrencies.

In recent history, the Turkish government has struck a dismissive regarding cryptocurrencies, describing such as akin to a Ponzi scheme and warning prospective investors against seeking exposure to the virtual currency markets. Mr. Tanrikulu is concerned that Turkey is failing to embrace the revolutionary technology, telling media outlet Al-Monitor that "The world is advancing toward a new digital system. Turkey should create its own digital system and currency before it's too late."

The minister asserted that cryptocurrency adoption is growing among Turkish citizens despite the country's current legal vacuum regarding virtual currencies. "The need for regulation is obvious," Mr. Tanrikulu stated, adding that "the use of those currencies in illegal activities must be prevented."

Minister Advocates Development of National Currency "Turkcoin"
Turkish Minister Proposes National CryptocurrencyMr. Tanrikulu makes a number of policy recommendations aimed at strengthening both the competitiveness of Turkey's distributed ledger technology sector and the government's regulatory capabilities regarding cryptocurrencies. "We need to create the infrastructure for the blockchain database. There are nearly 1,400 digital currencies in the world today and many countries are using them […] Opposing those currencies is meaningless. This is a national issue which requires a national consensus," Mr. Tanrikulu said.

The minister also advocated that Turkey develop a state-administered virtual currency. Mr. Tanrikulu stated "We, too, can create a digital currency, based on companies in the Wealth Fund. Since the demand exists, we should create and release our own digital currency."

Turkey's Deputy Prime Minister, Mehmet Simsek, also recently indicated that the country may be making preparations for the development of a national cryptocurrency. In an interview with CNN earlier this month, Mr. Simske stated "We are planning to start our own work on digital currencies. We place high importance on digitalization."

Thursday, February 8, 2018

Lisk Price Retakes $23.5 Level With Solid Gains Over Bitcoin

 

As all cryptocurrency markets show a sign of life again, things are looking pretty good all across the board. So far, the Lisk price has seen some positive changes over the past week. Even though there was a big dip along the way, the overall trend seems to be intact right now. With the current Lisk price of $23.83, things are looking rather interesting for this particular altcoin. Maintaining a positive trend will prove to be difficult in the long run, though.

It is quite interesting to see how things evolve in the world of cryptocurrencies. More specifically, we have seen several weeks of negative pressure, but things are certainly heading in the right direction once again. Even the Lisk price is noting some solid gains, as this particular altcoin has been on the rise for quite some time now. With a solid 16.83% gain over the past 24 hours, the Lisk price is making up a lot of lost ground in quick succession. All of this is achieved despite a rather low trading volume, though.

While the current Lisk price momentum appears to be positive, the past week has been subject to a massive dip as well. A few days ago, the LSK price went from $23.5 all the way to $12 in quick succession. Considering how Bitcoin and other currencies saw losses of up to 45% during this time, that is no big surprise whatsoever. In fact, the Lisk price lost nearly 50% of its value as well, indicating the currency is just following the general trend of major cryptocurrencies right now.

With a solid 16.83% gain in USD value and a 13.56% increase in the LSK/BTC ratio over the past 24 hours, things are looking pretty good for Lisk right now. While this results in solid Lisk price gains as of right now, it is certainly possible the momentum will turn against most cryptocurrencies again in the near future. With such strong gains in just 24 hours, it seems a small correction will become apparent in the coming weeks hours and days.

One thing to keep in mind is how Lisk has virtually no trading volume to speak of. Although $78.21m in 24-hour trading volume is not all that bad, it is a rather disappointing number first and foremost. Especially given the current Lisk price, one would expect there to be an even bigger interest in LSK, things are not adding up by the look of things. It is possible we will see a bigger interest in Lisk over the next few days, especially if this Lisk price trend continues at this rate.

Most of the Lisk trading volume comes from Upbit, which is quickly becoming the go-to exchange for most altcoins right now. Bittrex is in second place, with a marginal difference compared to both Upbit and CoinEgg in third place. It is good to see the current volume being spread out a bit across multiple trading platforms. Binance is barely in the top five right now and they value Lisk nearly three dollars lower. An interesting trend well worth keeping an eye on.

For the time being, it remains unclear what the future will hold for the Lisk price. So far, the uptrend is in place, but the cryptocurrency markets remain extremely volatile first and foremost. It is evident interesting things are bound to happen in the next few hours and days, but no one knows for sure if it will be a positive or negative outcome. Always take profits whenever the opportunity arises, as any gains can be wiped out extremely quickly in this industry.

Bitcoin Cash Markets Recover — While Infrastructure Support Increases

 


This past week bitcoin cash (BCH) markets have been suffering from the bearish sentiment plaguing cryptocurrencies across the board. On February 6 the price of BCH reached a low of $740 per coin but has since bounced back to the $950-1,050 region on Bitstamp Tuesday evening.

Bitcoin Cash Markets Begin to See Recovery Ahead
This week bitcoin cash markets took a hit as BCH had lost roughly $588 USD (-39%) in value over the past seven days. At the moment the price has rebounded and is coasting along at just between the $950-1,050 zone after bouncing back much of Wednesday's trading sessions. BCH trade volume has been averaging roughly $650 million to $1 billion over the past week. Exchanges swapping the most bitcoin cash today include Okex, Bitfinex, Hitbtc, GDAX, and Huobi. Currently, the top currencies traded with bitcoin cash include BTC (57%), USD (21%), tether (USDT 11%), the Korean won (4%), and the euro (2%).

On February 7, 2018, the price of bitcoin cash is hovering around $1,020 at the time of publication.
New Localbitcoincash Features, Openbazaar Integration, and a Bitcoin Cash SMS Application  
Bitcoin Cash Markets Recover — While Infrastructure Support Increases
Cointext screenshot.
Even though markets were down this past week, the bitcoin cash community got a bunch of infrastructure support and new applications. For instance, everyone in the BCH community is talking about a new app called Cointext which aims to create the ability to send bitcoin cash through text (SMS). According to the creators, all texts are on-chain transactions like the tipping platform Chaintip. However, with the platform being so new, some BCH supporters are skeptical of this project being secure when used via text messages.

Another interesting BCH feature announced this week came from the Localbitcoincash exchange which announced it had added skycoin and smartcash services to the platform. The implementation features no fees to these types of trades, explains the exchange developers. "No fee exchange is exactly what it is, it's totally free, and you can keep exchanging the different cryptocurrencies supported by our platform, and there are no trading fees involved," Localbitcoincash reveals on February 7.

Openbazaar integrates bitcoin cash, and zcash this past week.
Just recently the decentralized cryptocurrency infused marketplace Openbazaar integrated bitcoin cash and zcash into the latest 2.1.0 version.

"This release is the first step towards allowing more options for cryptocurrencies in Openbazaar — It includes native support for nodes using one cryptocurrency at a time, bitcoin, bitcoin cash, or zcash," explains the Openbazaar developers.

The AcceptBitcoin.Cash website has added an adult section to the portal.
Another addition to the BCH infrastructure is the AcceptBitcoin.Cash website has added an adult section to the portal. The developers of the website believe there is a demand for adult merchants to start accepting bitcoin cash. Further, the team said it has seen over 70 submissions since it implemented a request form, and the team added nearly every single merchant to the site in under three weeks of usage.

BCH Supporters Remain Optimistic
In other news this week a fake bitcoin cash token was created on the Omni layer chain. According to reports, the Omni chain's ability to generate asset tokens was used to create a misleading BCH token. BCH supporters think the token was created to cause confusion while adding to the growing list of scammy snapshot forks that have come into existence over the past few months.

Overall the BCH community is in high spirits even with the past few weeks of bearish market sentiment. The protocol continues to get support nearly every day from exchanges, wallets, and merchants. Bitcoin cash markets are also starting to gather steam again alongside the rest of the cryptocurrencies who got hammered this past weekend.

Friday, February 2, 2018

Wolf Of Wall Street Says Bitcoin Could Hit $50K Before Crashing

 


Jordan Belfort, known colloquially as the "Wolf of Wall Street", has yet again cast doubt on Bitcoin, this time in a video interview with entrepreneur Patrick Bet-David, posted on Bet-David's Facebook Jan. 31.

Belfort told Bet-David that he doesn't believe Bitcoin (BTC) itself is a scam, referring to it as the creation of "financial anarchists". He does think, however, that the way the cryptocurrency was built is a "perfect storm for manipulation".

Belfort believes that the rising price of BTC can be attributed to wild speculation because of what he sees as improper use of the cryptocurrency:

"Something [BTC] was designed to be used as a currency, and it's being used as an investment vehicle [...] As a currency, Bitcoin is no more useful at $20,000 or $100."

Belfort spoke negatively about the potential for manipulating crypto markets due to the thinness of the market, specifically referencing the case of Olaf Carlson-Wee, an early adopter of BTC who was paid in crypto when working at Coinbase in 2013.

According to Belfort, Carlson-Wee sold all of his Bitcoin, bought Bitcoin Cash (BCH) and then gave a televised interview saying that BTC was dead and that Bitcoin Cash was the future, causing its price to skyrocket.

CT could not confirm that Carlson-Wee ever mentioned dumping all of his BTC for BCH, although he did give an interview to CNBC about Ethereum that some Reddit users misconstrued as Carlson-Wee moving all his holdings to Ether.

Belfort predicts that while Bitcoin is, in his words, a "wolf in sheep's clothing,"  it also "might go to $50,000" before what he is certain will be its eventual fall to zero.

In September 2017, Belfort had said that Bitcoin was problematic because of the potential ease for hackers to steal virtual currency. In October, he commented that ICOs were the "biggest scams ever".

Belfort told Bet-David he had invested "not a penny" in cryptocurrency.

The Cryptocurrency Markets Are Having an Interesting Week

 


The crypto markets have been having an interesting week to put it mildly. Seas of red and deep cuts have had the vultures circling, the weak hands folding, and the naysayers expending their lifetime's allocation of "I told you so's". While the last two weeks have been painful for anyone who bought bitcoin in December or ripple in January, they've been welcomed by many as "a necessary correction" and an opportunity to pick up cheap coins.


Flash Sale for a Limited Time Only
Ripple.
At times of sudden upward or downward movements, market psychology is fascinating to watch. The giddy highs of December, when crypto traders found themselves stupidly rich and refreshing their portfolio apps in disbelief, feel like a lifetime ago. Only three weeks ago CNBC were shilling $3 ripple and a token designed for the global dental industry had a billion dollar market cap. Something had to give, and when it did, it was inevitable which coins would bear the brunt of the collapse.

It's bitcoin which has attracted the apocalyptic headlines though. As the market leader and the "face" of cryptocurrency, it earns the praise in good times and bears the scorn in bad times. And right now, for many crypto investors, it is the worst of times. For those with short memories and shallow pockets, the past week has taken its toll, both financially and emotionally. But for crypto believers who got in before 2017's peak mania, the current cycle is nothing to be alarmed at.

For one thing, they got into crypto before it was all about money, and thus don't measure its success by its dollar value. And for another, they've seen it all before and know not to confuse current pain with terminal illness. The crypto markets will bounce back, and when they do, the recovery will likely be strong and sudden. Quite when that feat occurs though is anyone's guess. When mass panic sets in, TA and FA go out the window and emotions reign supreme.

Iron Hands Show Their Might
Just as times of oppression spawn the best protest music, art, and culture, bear markets spawn the best memes. Morbid humor has been in plentiful supply on crypto trading forums of late complete with the obligatory "pink wojak" reaction images and talk of seeking new employment. While jokes about burger flipping remain little more than that at this stage, the Lambo dreams have been put on hold for now. "I unironically sent an email to my ex manager this morning," confessed one forum user. "I feel like a total idiot and she didn't respond yet". Crypto Feels, which displays a scrolling page of red markets against a sombre orchestral soundtrack, is beautiful in its bleakness at times like these.

It's hard to find a capable performer in the cryptocurrency market right now. Even ETH, which had weathered the worst of the storm this week, has succumbed to the red tidal wave, dropping 30% in the past 24 hours. The less said about ripple (-40%), the better. Sites such as Coincodex chart the market movements in real time and for anyone who's all in altcoins, it's not a pretty sight. For those watching from the sidelines – either because they've yet to buy in or because they've long since switched to tethers – the slump is an extremely comfortable one to observe.

Speaking of tethers, they're by no means the only cause of the market capitulation and may not even be a major cause (the truth is no one knows). It would be fair to say that the lingering uncertainty surrounding the solvency of Tether and the U.S. subpoena of its records aren't helping. While some people have praised pseudonymous critic Bitfinexed, who first shone a spotlight on the company, others are deeply critical.

Tethering for Dear Life
The Cryptocurrency Markets Are Having an Interesting WeekIt has been speculated that Bitfinex and Tether may be solvent but may also be engaged in dubious financial practises due to banking issues or other reasons. The companies aren't headquartered in the U.S., so can't be shut down by U.S. regulators, but exchanges such as Kraken and Bittrex, which are reliant on tethers, are within their reach. It has also been speculated that events as diverse as a regulatory "raid" on Coincheck's Japanese HQ and the Chinese New Year are to blame for the tumbling markets.

For all the hysteria, schadenfreude, and obligatory FUD, it is worth noting that the cryptocurrency markets, currently valued at around $350 billion, were worth just $200 billion as recently as November. What goes up must come down, and when the capitulation gives way to consolidation, iron hands will begin to rebuild and reaccumulate.

Thursday, January 25, 2018

The intelligent investors guide to Particl (PART): Part 6 - What does Particl as a privacy platform have over Monero and other privacy currencies?

 


What does Particl as a privacy platform have over Monero and other privacycurrencies?

Monero is a decentralised currency that is currently reliant on centralised services for its use. Thus in its practical implementation it is not fully decentralised and there is a central point of failure when transacting.

In contrast under the Particl network and client listings, transactions, escrow services and settlement are fully integrated and decentralised; this includes:

Network security where the nodes can be obfuscated via tor integration.

Transactions security where the buyer, seller and amount can be obfuscated yet verified by RingCT.

Seller security whereby the nature of listed items being sold can be made private and obfuscated to the rest of the Particl network and only viewable if the viewkey is disclosed (i.e. the seller discloses this via private communication to potential buyers).

Communications security. The client nodes have the capacity for sending encrypted messages between each other allowing for truly private communications between individuals on the Particl network.

Settlement security by providing a trustless third party free escrow service (the mutually assured destruction escrow) whereby both seller and buyer deposit a bond that can only be released when both sides agree goods/services have been delivered as specified.

I'd just like to point out that many of Particl's competitors (syscoin, district0x, openbazaar) do not offer this level of security or integration in transacting, listing, exchange and settlement, because they lack one or more features that are already built into Particl by default; this includes the integration of exchanges and direct currency conversions via atomic swaps
..
Whilst Monero and other private currencies offer anonymous settlement security with the benefits of decentralisation, they do not provide the other forms of decentralised security I've just listed which Particl and currently Particl alone proposes to.

Yes decentralised marketplaces could accept monero currency but they would have to provide decentralised, trustless privacy centric escrow, communications and private listings to provide the same level of service and flexibility of selling/buying options that the Particl platform intrinsically provides.

This is because in addition to what I've described Particl also enables anonymous or public settlement of public listings.

By:Joske

QTUM is Proud to Announce the First Matchpool Developer Challenge

 


Matchpool has announced a 50,000 USD development challenge, in which entrants develop an MVP QTUM app for Matchpool's platform. A winner of the challenge will be announced on February 18th, 2017. After a successful launch, community and connections network Matchpool seek to develop their Asia outreach, developing the QGUP model specifically for this market. Asia is formidably important within the cryptocurrency market and Matchpool endeavours to expand operations in this huge market region. Matchpool believe running a competition to develop an app will provide them with sufficient coverage.

The contest is called "QTUM Dev Challenge." It is expected that experienced developers from all over the world will take advantage of this rare opportunity to compete alongside the best in the industry. Matchpool is looking to develop a social app. Recognising the importance of social media and how pervasive it is in everyday life. Viral marketing and platform basis is the way to go. Matchpool has shared some specifics of the platform they would like to see:

Paid "in-app" services
Multiple forms of cryptocurrency accepted including $QGUPs
Fully designed and operational
Multilingual (Japan / China / Korea )
The team that develops the best MVP for the app will win a $50,000 cash prize as well as 5% of all QTUM tokens. The competition is already live, having started on the 8th of January and will run up to the 8th of February. Once the MVP is complete the 50,000USD prize will be paid in 4 monthly payments upon MVP delivery.

The Matchpool vision is to create and give everyone matchmaking tools that incentivise positive connections between all of us all over the world. Matchpool uses cryptocurrency as its payment method. This will aid the community in providing value to the entirety of the network. We will offer products that provide solutions for community owners to run successful businesses.

QTUM is a blockchain project that was created with the intention of facilitating the inter-connectivity of other mainstream cryptocurrencies such as Bitcoin and Ethereum.

The Qtum Foundation has recently announced that it will be combining its efforts with '360 Blockchain Research Center' and BTN Foundation in a bid to create China's first ever blockchain laboratory.

This collaboration will aim to promote the continued development and commercialization of blockchain technology. Previous to this news QTUM recorded a rise in value from $26.67 USD on December 17, 2017, to $56.06, capping off an increase in the value of 189% within 24 hours.

People Are Paying Thousands of Dollars for Crypto Celebrities on the Blockchain

 

Anything can be placed on the blockchain with a little ingenuity – even Hollywood celebrities. Cryptocelebrities is this week's Cryptokitties, a smart contract-based trading game which profits from digital scarcity. Only one copy of each celebrity is released, compelling traders to spend thousands of dollars to snap up 'celebs' like Satoshi Nakamoto and Emma Watson.

Celebrities on the Blockchain Because 2018
On paper, a game like Cryptocelebrities sounds as dumb as last month's big crypto game, Cryptokitties. Like its feline forebear, Cryptocelebrities rewards early adopters who get to snap up the best digital real estate and then sell it on for a profit. Blockchain-based collectors' games such as these create a level of FOMO that can cause assets to change hands for thousands of dollars. At 4pm EST on Tuesday 23rd January, the Cryptocelebrities site was knocked offline temporarily, believed to be due to high demand.

While the Cryptocelebrities project looks like a shameless cash-in, both on the current craze for blockchain games and on the celebs themselves, it does have some interesting features. One of these is for verified celebrities to control the royalties from the trading of their image and earn a share of the profits. It's hard to imagine the likes of Clint Eastwood or Donald Trump using ether to verify their blockchain counterparts, but it's a bold concept. Vitalik Buterin and Satoshi Nakamoto (depicted here as simply a question mark) also feature.

Don't Get Too Attached
People Are Paying Thousands of Dollars for Crypto Celebrities on the BlockchainAnyone contemplating snapping up Hollywood's – or Crypto's – A-listers would do well not to get too attached. Anyone who wants to buy a celeb off its current owner can do so, and there's nothing its owner can do to halt the sale. As the Cryptocelebrities website explains: "When someone else matches the current price, they'll automatically snatch your Smart Contract. You'll lose the card but you will receive up to double the amount you originally invested in ETH."

If you buy a contract for 0.2 ETH, another player can snatch it away from you. Once that happens, you'll automatically receive 0.4 ETH! Most contracts double in price with each transaction until they reach 1 ETH. Price increase: 2x from 0 ETH to 0.05 ETH, 1.2x from 0.05 ETH to 0.5 ETH and 1.15x from 0.5 ETH up.

Like other blockchain games, the smart contracts that control ownership may be decentralized but the images of the celebs reside on a centralized database. Should Robert Pattinson or Woody Allen's agent step in and exert pressure on Cryptocelebrities to remove their image, traders could be left holding an empty card. Right now, Woody Allen is worth 1.05 ETH, but would anyone be willing to pay a higher free if his image wasn't associated with the smart contract?

At present, Vitalik Buterin is the most traded celeb, with a price tag that stands at 20 ETH, followed by Satoshi Nakamoto and Angelina Jolie on 13 ETH apiece. While it's hard to imagine the pair ever sharing a red carpet, in Cryptocelebrities they stand shoulder to shoulder. Such is the popularity of the site that newly added celebs can change hands a dozen times within the first hour, as traders jostle to complete their Metamask transaction ahead of the competition. In the interests of journalism, news.Bitcoin.com tried – and failed – to snap up Ellie Goulding and Van Morrison.

Someone paid half an ETH for this.
At the time of publication, user mfs7772 is the Cryptocelebs whale, with 24 high-priced contracts in their custodianship including Nicole Kidman, Vitalik Buterin, and Ke$ha. It's easy to write these primitive games off as ephemeral and frivolous – which they undoubtedly are – but they make for a fascinating study of human psychology, whilst demonstrating the concept of digital scarcity and the greater fool theory in action.

Friday, January 19, 2018

SCCEX Will Support BCH Because It Is “Satoshi’s True Bitcoin”

 
Bitcoin Cash is on the minds of a lot of people these days. Whether one loves it or hates it, no one can deny BCH has made its mark on the cryptocurrency ecosystem as a whole. So much, even, that the Scandinavian Cryptocurrency Exchange (SCCEX) is looking to promote this altcoin. More specifically, it will offer fee-free Bitcoin Cash trading. Moreover, there will be a line of BCH-related banknote-style paper wallets as well.

SCCEX HAS BIG PLANS FOR BITCOIN CASH
In the history of crypto, we have never seen exchanges show such outspoken support for specific altcoins. Although most trading platforms offer support for currencies such as XRP, ETH, and LTC, they have never gone "all-in" on such currencies. However, SCCEX has announced some big plans for Bitcoin Cash, the alternative version of Bitcoin which came to market several months ago.

According to the company's recent announcement, it will not charge any trading fees for BCH trades. That is always a good way to attract more traders, even though the name Scandinavian Cryptocurrency Exchange won't ring a bell for most people. The company also offers fee-free trading for Ethereum Classic, which is another relatively new cryptocurrency which has not gained as much traction just yet. By not charging any fees, the company aims to push adoption of specific altcoins throughout Scandinavia and Europe.

The primary reason for this decision is that SCCEX views Bitcoin Cash as the Bitcoin that Satoshi Nakamoto originally intended to create. It is a statement we have heard before from other companies, even though the jury is still out on whether or not BCH can become the one and true Bitcoin over time. It is certainly true that Bitcoin Cash has a few aspects which make it far more appealing than Bitcoin itself, namely its lower fees, faster transactions, and on-chain scaling. Bitcoin itself should not be discounted just yet either, though, as things will continue to evolve moving forward.

Furthermore, SCCEX plans to introduce some new paper wallets for Bitcoin Cash enthusiasts in the form of physical cryptocurrency banknotes. The design of these notes looks rather appealing in the Medium post, but users can only obtain them by visiting the company's physical offices. It's always nice to have a Bitcoin Cash paper wallet with a far more appealing design, even though people could generate them at home as well if they wanted to do so.

As is always the case with paper wallets, these banknotes are not designed to hold massive amounts of Bitcoin Cash. A paper wallet makes for an excellent gift or collectible item, but there is no reason to deposit hundreds of BCH to the address printed on a paper wallet. It still looks rather beautiful, though, and there will most likely be at least some interest in this particular product. It will be interesting to see if any other cryptocurrency exchanges decide to take a similar "promotional" approach to Bitcoin Cash in the future.

Do keep in mind that SCCEX is not open for business as of right now. Instead, the company expects to launch in April of 2018, with fee-free ETC and BCH trading going live on day one. It is unclear if this is a temporary measure or a permanent policy, though. Assuming it is the latter, things will get very exciting for Bitcoin Cash and Ethereum Classic supporters.

Saturday, January 13, 2018

Overstock Glitch Gave Customers ‘Discounts’ With Bitcoin Cash

 


This week security experts found a website glitch on the e-commerce marketplace Overstock that let customers purchase items for a fraction of the price. The reason users were getting such huge discounts is because the system was accidentally allowing bitcoin cash (BCH) purchases in place of items priced in bitcoin core (BTC).

'Big Discounts': Some Overstock Customers Pay for Items Priced in BTC With BCH
Overstock Glitch Gave Customers 'Discounts' With Bitcoin Cash According to the company Krebs on Security and the security firm Bancsec, Overstock's marketplace had a serious glitch allowing people to pay for products priced in BTC in BCH. On January 5 a Krebs researcher chose to purchase three outdoor solar lamps from Overstock which added up to $78.27. At the time Overstock's invoices told the researcher to pay 0.00475574 bitcoins to a specific address. Instead of paying BTC, Krebs on Security decided to send 0.00475574 BCH to the specified address. In a matter of minutes, the researcher purchased the three lamps for roughly $12 worth of bitcoin cash.

If things couldn't get any worse, they did: Krebs decided to get a refund for the three solar lamps purchased with BCH.
"I didn't really want the solar lights, but also I had no interest in ripping off Overstock," explains the Krebs employee.
So I canceled the order — To my surprise, the system refunded my purchase in bitcoin, not bitcoin cash.

Payment Glitch Lasted for Three Weeks
Overstock Glitch Gave Customers 'Discounts' With Bitcoin Cash Krebs contacted Overstock and informed the firm that individuals were allowed to purchase lavish items like diamond rings for very little money compared to the real retail price. Overstock says they disabled the payment method glitch immediately after an independent researcher investigated the problem.

"After working with a researcher to confirm the findings, that method of payment was disabled while we worked with our cryptocurrency integration partner, Coinbase, to ensure they resolved the issue," explains Overstock to Krebs. "We have since confirmed that the issue described in the finding has been resolved, and the cryptocurrency payment option has been re-enabled."

Coinbase revealed to Krebs that the bug existed for "three weeks" and the issue was caused by the merchant partner "improperly using the return values" in the company's  merchant integration API.

What do you think about Overstock accidentally letting people buy items priced in BTC but used BCH instead? Let us know what you think of this story in the comments below.



Friday, January 12, 2018

The intelligent investors guide to Particl (PART): Part 5 - How will Particl if successfully adopted increase the value of *all* cryptocurrencie

 

The following is a quick announcement about how Particl (PART) if succesfully adopted could potentially increase the value of all cryptocurrencies:

...

Firstly can users only use PART tokens to transact?
 
Short answer: No. Not quite.

Detailed answer: If we understand that Particl is a modular smart contract platform with the decentralised, privacy centric marketplace being the first module to launch then the following responses make more sense:
 
The aim is for the marketplace module to have built-in shapeshift integration. This means any of the (currently 67) cryptocurrencies supported by shapeshift can be transferred to a particl client and automatically converted to the native PART token for transacting on the Particl network.

Furthermore the modular smart contract nature means other widgets and modules can be built to integrate other exchanges (both centralised and decentralised) and services into the Particl network and client e.g changelly integration for USDT:PART integration or widgets that connect direct fiat gateways.

Particl also utilises atomic swaps so any other chain which utilizes atomic swaps can directly interact with the Particl network to exchange/swap PART (foregoing exchanges altogether). Current candidates include LTC, DCR and BTC.
 
To this end its a misconception to think Particle only supports the PART token. It actually supports multiple cryptocurrencies via a mechanic that brings value to the PART token whilst providing a means to buy and sell goods anonymously using those cryptocurrencies.
...
 
There are advantages to this approach:

For one it means Particl can simplify its user interface by driving all core transactions on the Particl network via the PART token.

It makes the Particl platform both a fiat/liquidity magnet as it provides non-speculative value to multiple cryptocurrencies which are sent to it and acts as a liquidity generator since it creates the means for people to buy/sell goods with multiple cryptocurrencies.
 
As the Particl network grows this would strengthen the links between cryptocurrency and fiat whilst simultaneously making cryptocurrency more independent of fiat.
 
This approach creates economic incentives to hold and promote the token and benefits holders as its value increases in a manner proportional to increasing non-speculative use on the Particl network.

Contrast this with systems like syscoin where the native sys token is not essential to transact. It suffers from diminished speculator and thus network effects to propagate spread, promotion and usage of the native token and even if non-speculative use of the syscoin network increases this does necessarily translate to increased buy demand on the sys token.

The PART token is used to secure the Particl network via PoS. Increased non speculative use of the PART token to transact leads to diversification of PART.
 
Those who set their clients to stake to earn a portion of the marketplace/transaction fees + staking rewards thus wind up increasing the node count and diversification which increases the security of the network.
 
The PART token has a dual nature: A public token for where the added cost/verification time of transacting privately is not necessary and where accountability is a requirement (e.g. selling large volume, low cost, high frequency white-hat goods).
 
A large transaction pool is required to make the private ringCT transactions work. If multiple currencies were allowed to buy/sell goods directly (rather than be first converted to the native PART token), the pool of available transactions for RingCT would be diluted and thus the anonymity ringCT provides would be weakened.

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Particl will provide a system where all the economic, network and pragmatic incentives of cryptocurrency are in perfect alignment, something which is not true of many other systems in cryptocurrency and distributed ledger technology.


Perhaps the most important thing I haven't stated is that by integrating all the services it does (the marketplace, the exchanges, the escrow service and the security and privacy features) and allowing for modular expansion under one privacy centric platform, Particl provides convenience and streamlines existing processes for private, anonymous and public commerce independent of traditional fiat.
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In summary cryptocurrencies that choose to integrate with the Particl platform will instantly find non-speculative uses and revenue. This will drive fiat into those cryptocurrencies and perpetuate a tendency to keep it there, increasing both their liquidity and value as these will now be used to buy and sell goods on the Particl platform via its decentralised marketplace and any other services it offers.

By: Joske