A well-known trader in the crypto community and analyst Ton Weis predicted the disappearance of the most popular stebblecoin Tether USD. He said this during a panel discussion with the former head of the Bitcoin Foundation Bruce Fenton at the Baltic Honeybadger 2018 conference in Riga.
"I do not understand why everyone was so attached to the steebles. In the end, it's the same dollar that can be sent using a technologically unstable centralized database, regardless of whether it's Ethereum, Omni Layer or Binance server. I believe that Tether will inevitably cease to exist in the future , "Weiss stressed.
He added that Tether is a very acute problem for the crypto-currency community, but few want to openly discuss it. In his opinion, it was the success of the USDT that caused the launch of new stebblecoins [in particular, from Circle , Gemini and Paxos ].
"If Tether falls, the exchanges will suffer greatly, and are likely to be forced to shift some of the losses to users, so they lose everything ," the trader said.
He also believes that the issue of providing USDT with a kind of "double-edged sword". If stebblecoin is fully provided with dollars, the US government can at any time confiscate them under the pretext of illegal financial activity.
If not, Tether holders will start selling it at any price (below $ 1), which will create a significant inflow of funds into bitcoin.
So, summed up Weiss, Tether threatens regulators and technological problems (bug or attack on Omni Layer).
Answering the question about the approval of bitcoin-ETF, the trader suggested that the SEC will still make a positive decision within two years. Nevertheless, what effect this will have on the price of the first crypto currency, it is difficult to predict.
"Remember what happened in November and December last year. The price of bitcoin increased from $ 10,000 to $ 20,000 only on speculative expectations of bitcoin futures launch and involvement of large players from Wall Street. So what? After the launch there was no volume, 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 Bitcoin-ETF can do the same thing, " – he expressed his opinion.
As an example, he cited the launch of exchange-traded funds based on gold.
"Yes, then the price of gold soared. What do we see now? Seven-year bear market from absolute highs. I would not call this manipulation, it's just that nobody cares. It's about excessive expectations , "he said.
Earlier in an exclusive interview with BlockchainJournal, Ton Weiss explained why the bitcoin miners should not earn much.
In addition, specifically for BlockchainJournal, Weiss outlined the basics of crypto-currency trading.
Recall, in February, the trader said that in 2018 the price of bitcoin will double, reaching $ 25,000.
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Wells Fargo will launch stablecoin for internal settlements
Wells Fargo & Company, an American financial company, will launch Wells Fargo Digital Cash, a pilot blockchain service for internal payments, based on Corda Enterprise. According to a press release, Wells Fargo Digital Cash will provide almost instant international transfers between company branches using digitized funds (tokens). The company has already tested the concept on transfers from the USA to Canada. The launch of the project is scheduled for 2020 […]
Wells Fargo & Company, an American financial company, will launch Wells Fargo Digital Cash, a pilot blockchain service for internal payments, based on Corda Enterprise.
According to a press release , Wells Fargo Digital Cash will provide almost instant international transfers between company branches using digitized funds (tokens).
The company has already tested the concept on transfers from the USA to Canada.
The launch of the project is scheduled for 2020. Wells Fargo Digital Cash will initially provide dollar payments, but then add support for other currencies.
Recall that previously the largest US financial holding company JPMorgan developed its own stablecoin JPMCoin for making international payments to large customers.
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Wells Fargo is going to present its own stablecoin in 2020
Wells Fargo, the fourth largest bank in the US, plans to introduce its own stablecoin in 2020, which will be used in cross-border transfers.
The press release said that the new Wells Fargo platform will create an international payment network based on distributed ledger technology. With the help of this system, as well as the Wells Fargo Digital Cash asset, payments will be made. The stablecoin being developed will be pegged to the US dollar. Initially, the network will be used for internal calculations, after which it will be integrated with other applications.
Lisa Fraser, representative of Wells Fagro, noted that DLT technology has many options for use, the company believes that it can also be successfully applied in banking. In addition, Wells Fargo Digital Cash is expected to enable the company to overcome barriers that still hindered effective cross-border payments in real time.
As you can see Wells Fargo followed the example of the bank JPMorgan Chase, which also introduced its own digital currency. It is noteworthy that back in July, Wells Fargo forbade customers to use credit cards to purchase cryptocurrency and its use in transactions.
In the Bitcoin blockchain, a record of the network hashrate and the share of SegWit transactions
The volume of computing power in the Bitcoin blockchain this Monday reached a record value above 104 quintillion per second, according to Smartbit portal data.
The record was fixed after approaching the level of 100 EH / s last week and the subsequent small rollback. Before the current growth period, which began in December and accelerated in June, the previous maximum was fixed at 60 EH / s in October 2018.
As noted earlier, over the past three months , about 600,000 new ASIC miners have joined the Bitcoin network, which has led to a rapid increase in the hash rate .
Last week, another message appeared that the authorities of one of the provinces of China are taking measures to close mining enterprises on their territory.
Also today, transactionfee portal announced another record – the share of transactions in the Bitcoin blockchain using Segregated Witness (SegWit) technology for the first time exceeded 50%.
On the main Bitcoin network, SegWit was activated on August 24, 2017. The technology is aimed at solving the problems of blockchain scalability, transaction plasticity, and also allows you to implement other optimizations. After the jump to 38% last May, the spread of SegWit slowed down and until recently ranged from 40-45%.
Casa Bitcoin developer and CTO Jameson Lopp previously spoke of the proliferation of technology that responded to the congestion of the cryptocurrency network:
"Reducing the demand for transactions, improving algorithms for calculating commissions, distributing SegWit and grouping transactions have led to more efficient use of space in blocks and reduced competition for this scarce resource."
At the same time, the price of the leading cryptocurrency , having shown a steady rise in the first half of the year, has remained in a fairly narrow range over the past months and amounts to about $ 10,000.
Publication date 09/17/2019
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