Connect with us

News

SEC vs cryptocurrency: the history of difficult relationships and the loss of ideas

Published

on

Over the past year, community representatives have closely watched the activities of the US Securities and Exchange Commission (SEC). Everyone was worried about whether the SEC recognized the token purchased on the ICO as an unregistered security, whether the agency would sue the founders of a project, whether it would approve the launch of Bitcoin-ETF.

If we recall the original idea for which the cipherpunk community has fought for many decades and which formed the basis of Bitcoin, then such sensitivity to the SEC decision seems somewhat contradictory. Bitcoin provides users with financial freedom by eliminating all kinds of intermediaries and the lack of a single point of failure in the form of an empowered centralized organization.

However, for most of the community, the idea has either lost its value, or has not yet gained, or maybe both at the same time. In the cryptocurrency industry, alien ideas very quickly emerged as intermediaries, since people quite naturally did not want to understand the installation of a full node for getting bitcoins. You could even say that at some point the Mt. Gox has become large enough to be considered a single point of failure, and, as a result, the “Chekhov gun” worked, plunging the market into a two-year ice age [2014-2015].

With the advent of various platforms, first of all, Ethereum, the community has an alternative – decentralized trading and exchange platforms, where transactions are concluded through smart contracts, which theoretically reduces the human factor only to possible errors in the code of such a contract. So, probably, one of the most popular decentralized exchanges is EtherDelta. However, even the SEC long arms reached it.

Thus, the agency accused the founder of EtherDelta, Zachary Coburn, of managing an unregistered national stock exchange, stressing that he had the leverage necessary for that. It is also noteworthy that there have never been transactions with fiat currencies on EtherDelta, but this did not bother the SEC.

Coburn himself decided not to stand on the warpath and agreed to all sorts of fines, and community representatives held their breath in the hope that history would not become a precedent.

“If the system is really decentralized, then the SEC cannot harm it or bring it down. In general, there should not be a responsible person for whom you can sue. Coburn failed his test for decentralization and fell under the distribution , ”stressed Gordon Einstein, partner of the law firm Crypto Law Partners, in an exclusive commentary for BlockchainJournal.

He added that the industry needs another Satoshi for decentralized exchanges whose identity will never be revealed and which recognizes the equal right of everyone to use their code.

“The case of EtherDelta is not indicative in principle, because fraud has indeed taken place. It was declared that this is a decentralized exchange created for independent market participants. In fact,
it turned out that specific individuals benefit from the exchange, namely, from unlicensed activities , ”says the head of the Nexada-based Simex Exchange, Boris Oxeniuk.

Perhaps another loud decision of the SEC was the fines against ICO-startups AirFox and Paragon, who agreed to register their tokens as securities, and also partially return the collected funds to investors. To some extent, this was a repetition of the Munchee case , but now startups must also pay $ 250,000 in fines.

The fundamental difference is that if the SEC continues to hunt issuers of unregistered security tokens, many projects will potentially have to return money to US investors in dollar terms in a market slump by more than 80%. This, in turn, can lead to a series of bankruptcies.

“It is necessary to understand that the token could be a security at the time of issue, but then change its properties. This was the case with Ethereum, which is currently decentralized enough not to be considered a security. Probably, AirFox and Paragon tokens remained securities, since startups went for a deal. The fact that American investors can claim their money back really threatens ICO-projects with bankruptcy. At the moment, the US is extremely hostile to the ICO , ”said Gordon Einstein.

If the case of EtherDelta worried more about cryptocurrency exchange operators that listed ERC-20 tokens that potentially had securities properties, if the well-being of specific ICO start-ups concerned only their investors and management, then the epic around the adoption of Bitcoin-ETF in the US captured the hearts and the minds of most of the community. The reason is obvious – if approved, the price of Bitcoin supposedly should go up, such a conclusion was made on the basis of unclear what.

10 years ago, Satoshi Nakamoto wrote about how central banks repeatedly betrayed people's trust and that Bitcoin could put an end to this. Now, the community is waiting for the approval of a Bitcoin-based fund traded on the stock exchange by the American regulator, so that banks whose management issued premiums at the height of the 2008 crisis itself could legally interact with Bitcoin as a commodity. If Satoshi is alive, then he is probably surprised by the nature of people, to put it mildly, if he is no longer with us, then he turns over in a coffin.

Meanwhile, the SEC behaves like a typical high school girl who fools her boyfriend and waits for a meeting under the number N to finally move to the next stage of the relationship or reject them altogether, simultaneously pumping negative sentiments on the already sad market.

“This should have happened a long time ago [Bitcoin-ETF approval]. But now I'm not sure. In my opinion, the probability of a positive decision does not exceed 25%, ” Einstein delivered his verdict.

Why do we need Bitcoin ETF? In order for institutional investors to go into Bitcoin. Why do we need institutional investors? So that they raise the price of the first cryptocurrency. Why should they raise the price? Do they sleep and see how to make hodler rich? The well-known trader and regular guest of the “ Weather Forecast ” column on the Youtube channel Ton Weiss has already warned that the history of Bitcoin futures and excessive expectations could be repeated with Bitcoin ETF.

“Remember what happened in November and December last year. The price of Bitcoin rose from $ 10,000 to $ 20,000 only on speculative expectations of launching Bitcoin futures and involving major Wall Street players. So what? After the launch there were no volumes, the market was dead. Nothing! Therefore, the price went down because it should not have reached such high levels so quickly. It seems to me that the same thing could happen to a Bitcoin ETF. ”

Bitcoin was conceived as a peer-to-peer payment system, then it turned into a store of value, and now it is a commodity whose circulation is regulated differently in different jurisdictions.

And instead of paying more attention to the development of the Lightning Network, which can bring Bitcoin to the level of centralized payment systems Visa or MasterCard, Bitcoin-ETF approval is actively discussed in the information space, which have nothing to do with scaling the network or strengthening its security.

In the mainstream media, Bitcoin is often buried, and this is perfectly normal, as their audience needs to laugh at the victims of the “bubble of unfunded candy wrappers”. This is informational noise, and it has a place to be. The main thing is not to bury the idea.

Subscribe to BlockchainJournal on Facebook !

BlockchainJournal.news

News

Binance Exchange added the ability to purchase cryptocurrency from Mastercard

Published

on

This Friday Binance Exchange announced the addition of the possibility of buying cryptocurrencies using bank cards in the Mastercard system.

The service covers 19 countries, including Russia and Ukraine. There are no other CIS countries on the list yet.

To use the option, you must log in to your personal account at https://www.binance.com/ , go to the “Buy Cryptocurrencies” tab and select payment using a bank card. Bitcoin, Ethereum, XRP, Binance Coin, USDT and some other assets are available for direct purchases from Mastercard cards.

Previously, users already had the opportunity to buy cryptocurrency on Binance using Russian Visa cards.

Also this morning, Binance CEO Changpen Zhao hosted another live broadcast at Periscope. Zhao’s speech mainly covered the latest achievements of the exchange, including the launch of the Binance Card , mining pool , Binance KR, OTC portal, as well as cooperation with Brave and the acquisition of CoinMarketCap . In addition, Zhao recalled the need to maintain social distance.

“We have completed the initial development of platforms, and now I think it is important for us to support mining , since bitcoin mining is now centralized. We want more players to take part in it, as well as support existing players, ” he said.

In addition, on his Twitter, Zhao shared a screenshot testifying to the preparation of the exchange for the launch of option trading.

He left no comments on this subject. In the main Twitter account of Binance, a list of tasks for testers that was “publicly available” was posted. Among other things, it includes the item “test option trading”.

Publication date 04/04/2020
Share this material on social networks and leave your opinion in the comments below.


Rate the publication
Continue Reading

News

TRON (TRX) cryptocurrency review – forecasts and prospects, current rate

Published

on

5/5 (1 vote)

Cryptocurrency TRON (TRX) is a decentralized protocol based on blockchain technology designed to create a global entertainment network with free content.

In simple terms, TRON is a service similar to all well-known social networks and platforms where users have the opportunity to publish, view and use any available content for entertainment, for example, online games.

The TRON project is currently developing the idea of joint consumption, which is that on a single global platform, users will be able to share entertainment content.

Official TRON cryptocurrency website: https://tron.network

Analysts call this platform the broadcast of the modern entertainment industry. In general, the functioning of this system is as follows:

  1. The author or copyright holder publishes the result of his intellectual work on the official website. You can download anything from literary novels to an author’s song or art on a specific topic. Next, the participant uploads information about how his creation can be used (as an accompaniment to another work or as an independent product). Nearby, he indicates the price of his work.
  2. Another user who is interested in this work acquires it for the local currency Tron (TRX). However, users should remember that it is impossible to purchase this or that product on this resource using fiat money (dollar, euro, rubles, etc.). The system has its own cryptocurrency , which must be purchased at exchangers or exchanges in order to complete a transaction.
  3. As soon as the interested user has acquired the result of intellectual work, the amount indicated by him is transferred to the author’s account. The author can use the tokens at his discretion – purchase a work from another author, simply save money in his account, or exchange it for another cryptocurrency or fiat funds.

About what TRX is, initially interested in all users who are just starting their activities on the site. This resource uses several types of tokens for different purposes:

  • Tron (TRX) . This is the main currency of the system. For this currency you can buy or sell the results of your intellectual work. If necessary, the owner of a certain amount in this currency can exchange it for fiat money or other cryptocurrency.
  • Tron Power It is impossible to purchase or exchange other money for a given currency. The only way to get them is to secure the TRX currency on the site platform. In this case, they are converted to TR. The presence of such tokens gives advantages to their owner. For example, the holder of a TR has the right to vote for one or another change in the system, or to oppose them.
  • TRON 20 . Coins owned by developers. With the help of them, they create new full-fledged blockchains with new tokens.

The TRON cryptocurrency issue is limited, 100 billion coins have been issued at present. However, it is worth considering another point – starting in 2018, tokens begin to be burned (they are meant to be forwarded to an address known only to developers). The last major burn was in June last year, but how often such procedures will be carried out is currently unknown.

project team

The team of this project has on its side professionals working in various fields. The founder of the platform and the creator of TRX Coin is Justin Sun , who also created a social network with an audience of 10 million people. In 2017, Forbes magazine included Justin on his list as one of the most successful entrepreneurs, who was not yet 30 years old.

The technical director of the project is Lucien Chen , who has extensive experience in working for large Internet companies. He is perfectly versed in blockchains and the principles of functioning of cryptocurrencies.

Deus Yu , responsible for quality control, has been working in the computer games industry for a long time. According to Justin Sun, the experience of Deus will come in handy a little later, when the platform gains even greater popularity.

Charles Zhang , an adviser who is well versed in a business not related to cryptocurrencies and blockchains. He has repeatedly lectured on the basics of entrepreneurship, with which he was invited to many universities. Charles made a huge contribution to the promotion of the platform at the initial stage.

Blockchain Browser

Block Explorer is a search tool that allows you to view the addresses of wallets involved in the system, blocks, as well as data of transactions completed or committed. It can be compared with standard browsers, with the help of which an ordinary user searches for the information he needs on the Internet.

For each cryptocurrency, a personal Block Explorer is created that shows the network status for a given period of time. For the Tron cryptocurrency, such a Block Explorer is called TRONSCAN , where users can get all the information they need ( https://tronscan.org ).

How to mine Tron?

The developers of the platform did not provide for mining the Tron cryptocurrency , since they had already created all the necessary coins. In addition, the creators talked about the scheme according to which their cryptocurrency will work:

  1. 40% of the total number of coins will go on sale to enable the project to develop further.
  2. 15% of the remaining amount is allocated for acquisition by investors. Investors are players who, after the main sale of coins, will be ready to purchase tokens further.
  3. The remaining funds are “frozen” and remain in the accounts of the company owners.

Justin Sun explained that perhaps mining will be provided in the future when the company gains the necessary popularity.

TRX Token Wallets

The user can choose one of two options for storing Tron coins (TRX):

  • Storage of tokens on the exchange;
  • Creating your own crypto wallet.

With proper use, wallets provide a higher level of security. All types of wallets for Tron (TRX) are described in detail in this review .

Buying and selling TRX coins

You can buy a Tron on popular crypto exchanges , we recommend that you use the first 15 exchanges, and do not forget to install additional account protection. On the selected exchange, you must go through the registration procedure, after which you will be given a personal wallet, as well as its address.

The most popular and safe exchangers where you can buy and sell Tron:

The exchange rate of the Tron cryptocurrency against the ruble as of October 28, 2019 is 1.29 rubles per 1 coin. For a detailed analysis of the course and chart of coins, we recommend that you look at the Coinmarketcap website.

Development Perspectives and Company Roadmap

A distinctive feature of the project is its roadmap, which is scheduled until 2027. It is divided into several stages:

  1. Exodus It lasts from 2017 to 2018 and is considered officially completed. During this period, information about the project was actively disseminated, as well as developers were engaged in improving tools for using the site.
  2. Odyssey . Accounted for 2019-2020. During this time, developers will pay special attention to the economic development of the platform.
  3. Great Voyage . Captures July 2020 and ends in July 2021. Implementation of a personal ICO system, and third-party developers will have the opportunity to launch their own ICOs.
  4. Apollo It lasts from March 2021 to March 2023. Creating a decentralized exchange platform.
  5. Star Trek . It begins in April 2023 and ends in September 2025. Creation of a decentralized platform for the development of any computer games.
  6. Eternity . It starts in September 2025 and ends in September 2027. Platform users will have the opportunity to create their own playgrounds.

The developers mentioned that if these plans are implemented, a new roadmap will be created in the future, which will begin in 2028.

When analyzing the active nodes of the Tron cryptocurrency, you can notice the scale of the development of the project, where the majority of servers are located in the USA, China and Germany.

The forecast for Tron cryptocurrency from leading analysts suggests that, taking into account the current features of the crypto asset, in the future the project can absorb the entertainment market. And this means that in 2020 the value of one coin is able to stand on one level with the dollar.

Main competitors Tron

The project has two main competitors – Qtum and Ethereum . Each competing company has its own advantages, for example, the first has a more advanced platform in terms of technology, and the second wins due to smart contracts and fame.

Analysts are confident that the Tron platform will still have to fight for its users, since the developers are aimed at a specific audience. However, the Throne does not have special advantages that would distinguish the project from its competitors, which could become a serious problem in the future.

Conclusion

Tronix cryptocurrency has good prospects for further development, since the project itself is one of the most ambitious among others. However, at present it is not in demand. Investing in such a project will bring quite large risks, however, long-term investments can bring the investor good profit.

Share this material on social networks and leave your opinion in the comments below.


Continue Reading

News

The largest exchange Binance has the opportunity to deposit / withdraw deposits in rubles

Published

on

5/5 (1 vote)

The Binance cryptocurrency exchange this Wednesday activated the possibility of making deposits in Russian rubles.

According to the instructions provided on the website, deposit / withdrawal of funds is carried out through the AdvCash payment system , including using bank cards. The commission for the deposit in this case is 3%, for the withdrawal – 2.5% plus 50 rubles.

To deposit / withdraw assets in rubles, you need to go to the “Buy cryptocurrencies” tab in the upper control panel or select the “RUB” currency in the user's wallet, then indicate the desired direction of payment and other necessary data.

Trading pairs for exchanging the ruble for cryptocurrencies on the Binance platform have not yet been presented.

Earlier today, CoinDesk published excerpts from a conversation with Binance CEO Changpen Zhao during his visit to Moscow last week.

“We are always looking for partners in any community, especially in Russia. Russia is a key market for us, it is one of the most active markets in the global blockchain space, ” he said then.

Zhao also confirmed that Russia is included in the Venus project, in which Binance intends to launch several regional stablecoins.

“We are working with potential issuers of stablecoin tied to fiat currency. We do this in all jurisdictions, in Russia in particular, we are looking for partners, ” he added.

Last week, Binance listed its first cryptocurrency pairs on its main platform, starting with Nigerian naira. The exchange also supports fiat trading at selected sites in Uganda, Singapore, the United States and Jersey.

Publication date 10/30/2019
Share this material on social networks and leave your opinion in the comments below.


Continue Reading
Advertisement

Name Price24H (%)
Bitcoin (BTC)
$8,740.46
-5.47%
Ethereum (ETH)
$202.54
-3.14%
XRP (XRP)
$0.193795
-3.16%
Bitcoin Cash (BCH)
$228.11
-3.09%
EOS (EOS)
$2.51
-2.71%
Stellar (XLM)
$0.064477
-5.24%
Litecoin (LTC)
$42.80
-3.20%
Cardano (ADA)
$0.052238
-5.96%
Tether (USDT)
$1.00
-0.04%
Monero (XMR)
$60.92
-3.80%
Advertisement

Trending

Copyright © 2018 blockchainjournal.news