BTC Could Hit $10K, ‘Stay Away from North Korea,’ Akon City: Hodler’s Digest, Jan. 13–19

BTC Could Hit $10K, ‘Stay Away from North Korea,’ Akon City: Hodler’s Digest, Jan. 13–19

Coming every Sunday, Hodler’s Digest will help you track every single important news story that happened this week. The best (and worst) quotes, adoption and regulation highlights, leading coins, predictions and much more — a week on Cointelegraph in one link. Top Stories This Week Bitcoin ready to push above key resistance to hit $10,000 The world’s biggest cryptocurrency has started 2020 fighting. For a time on Friday, Bitcoin hit $9,000 — with analysts claiming there are multiple signs that a “bullish transformation” is underway. This weekend also saw the BTC network’s mean hash rate hit new all-time highs, meaning it’s never been harder to mine new coins. Although BTC fell from highs of almost $9,200 on Sunday to hover at about $8,600, analysts believe it is ready to push above the resistance to hit $10,000. Even despite the latest turbulence, which saw prices drop $500 in five minutes, BTC is up 20% year to date — and by more than 5% over the past week. The strong performance will leave crypto skeptics such as Peter Schiff red-faced. Back in November, the gold bug had predicted BTC would imminently drop to $1,000. Research: Binance and Huobi received over 52% of total $2.8 billion illicit BTC in 2019 Sticking with the Bitcoin theme, let’s look at some worrying new research that suggests just two exchanges — Binance and Huobi — together received 52% of illicit Bitcoin transfers worth $2.8 billion in 2019. According to Chainalysis, the crypto was moved from 300,000 individual accounts associated with criminal activity — and 75% of the illicit BTC was sent to just 810 accounts. Researchers believe that some over-the-counter brokers may be specializing in providing money laundering services to criminals and taking advantage of loose Know Your Customer requirements. Huobi did not respond to the claims, but Binance said it was committed to tackling financial crime in crypto and continually improving its Anti-Money Laundering measures. United Nations: Stay away from North Korean crypto conference The public is being warned not to attend North Korea’s upcoming cryptocurrency conference, with experts warning it could violate sanctions. Reports suggest that the event, due to take place in February, will include discussions focused on how crypto can be used to evade sanctions and launder…

Why Centralized Exchanges Are Decentralizing

Why Centralized Exchanges Are Decentralizing

In an industry built on an ethos of decentralization and the empowerment of individuals, where the key idea is that each and every person should have control of their own wealth and begin acting as their own bank, we’ve seen centralized custodial exchanges lead the charge up until now. Now, as the industry continues to develop ethos, we’re seeing centralized exchanges beginning to adopt more properties of decentralization. Decentralization advances the protection of funds, transparency, economic inclusion and regulatory clarity while empowering each individual to become the custodians of their own funds. As centralized exchanges begin to recognize the benefits of decentralizing, the end result is a stronger, more trusting consumer and industry. Trust Trust is the foundation on which all relationships are built — with partners, family, friends and businesses — all are rooted deeply in trust. But trust isn’t given freely, it must be earned. Trust is more than an asset, it is the lifeline that dictates the longevity of a relationship. The loss of trust in centralized entities has given birth to blockchain, a technology based on decentralization, in the hopes of redefining the concept of trust for the next wave of financial systems. Blockchain technology has the potential to turn financial systems upside down by redefining trust. However, we mustn’t be misinformed. Just because an organization or business claims to employ blockchain technology, this doesn’t automatically make them more trustworthy. The trustworthiness in blockchain stems from the design choices businesses make when employing them. We are reminded from time to time of the consequences of these design choices. This includes over $4 billion in stolen funds from crypto-related cyberattacks in 2019, with some of the biggest exchanges targeted by cybercriminals. Most notable this year are the incidents on Coinbase, Binance and BitHumb. These are all reminders of how people’s trust in blockchain has been tarnished. The foundations of the technology looking to disrupt the financial systems are still fragile. Related: Crypto Hacks: Crypto Exchange Hacks & Cryptocurrency Hackers But it doesn’t have to be this way And for this reason, leaders in the industry are making design choices that entirely change how trust is handled. These leaders are decentralizing key business functions to strengthen their foundation. This can be seen first and…

Peter Schiff Forgets Bitcoin Wallet Password, Blames Bitcoin

Peter Schiff Forgets Bitcoin Wallet Password, Blames Bitcoin

Peter Schiff hates Bitcoin almost as much as bitcoiners hate Schiff. The gold bug makes a point of dissing the cryptocurrency whenever he can, despite the hypocrisy of accepting BTC on his own website. Today, the eccentric entrepreneur found a new reason to rip on bitcoin after forgetting his wallet password – and apparently Bitcoin is to blame. Also read: How to Create Custom SLP Tokens With the Bitcoin.com Mint Schiff Shifts Blame for Forgetting Password Bitcoin has been blamed for all manner of crimes over the years, from destroying the environment to funding terrorism. Today the decentralized cryptocurrency had a new accusation leveled against it: denying Peter Schiff access to his wallet. “I just lost all the #Bitcoin I have ever owned,” Schiff tweeted in typical Trumpian fashion. “My wallet got corrupted somehow and my password is no longer valid. So now not only is my Bitcoin intrinsically worthless; it has no market value either. I knew owning Bitcoin was a bad idea, I just never realized it was this bad!” When it was put to the 56-year-old that user error, rather than an intrinsic flaw in Bitcoin, may be to blame, he became defensive and doubled down on his facepalm. “There is zero chance I forgot my password. I used a very simple numeric password that I have used many times in the past … I remember it. The wallet doesn’t.” While some pointed out the fatuity of using a simple password, and others the inability for software to “forget” a password, most simply typed the two-word riposte that has been used mercilessly against Schiff more than any member of his generation: okay boomer. “You just went full boomer,” tweeted one. “Never go full boomer.” Not Your Password, Not Your Coins The screenshot accompanying Schiff’s initial tweet showed it to be the Blockchain.com wallet he was using. Within hours of his frustrated message, the company had tweeted to reassure him that they were “sorry to hear about the issues you’re currently experiencing with your Blockchain Wallet. Please rest assured, your funds are secure. We will PM you shortly.” Peter SchiffIf Schiff has genuinely forgotten the password to his noncustodial wallet, he can recover the funds provided he retains the private key. Many wallets,…

Oklahoma Lawmaker Launches Bill to Create Crypto Depository for Government Use

Oklahoma Lawmaker Launches Bill to Create Crypto Depository for Government Use

A bill has been introduced in the U.S. state of Oklahoma to establish a new type of state-chartered financial institution that will be “the central depository for virtual currency used by governmental agencies in this state.” The new establishment aims to provide financial and technical services to crypto innovators and developers. Also read: Regulatory Roundup: EU-Wide Crypto Regulations, New Rules in Europe, US, Asia Proposed Crypto Depository for Government A lawmaker has introduced a bill in the U.S. state of Oklahoma seeking to create a governmental crypto depository. Senate Bill 1430, authored by Senator Nathan Dahm, was introduced on Jan. 15, according to the government’s website. Its first reading is scheduled for Feb. 3. The bill reads: The legislature hereby authorizes the State Banking Department and the Oklahoma Department of Commerce to coordinate and develop plans … [to establish] a new type of financial institution to be a state-chartered financial institution and the central depository for virtual currency used by governmental agencies in this state. “The purpose of this new state-chartered financial institution shall be to provide valuable financial and technical services to blockchain and virtual currency innovators and developers,” the text of the bill details. It further states that “Oklahoma is committing to partner with innovative technology, help develop next generation financial products, and safely grow unique technical and financial sectors in this state.” The proposed entity will be designed to easily integrate into existing banking and financial institution regulations and “have the highest level of expertise with customer identification, anti-money laundering and beneficial ownership components,” the bill adds. It will also be “fully supported by blockchain technology and innovations.” This act will become effective on Nov. 1, 2020, and the plans and implementation strategy must be submitted by July 1 next year. Other Crypto-Related Bills in Oklahoma Senator Dahm authored another crypto-related bill which was introduced in Oklahoma on Jan. 25, 2019. Senate Bill 843 had its first reading on Feb. 4 and second reading on Feb. 7 but has seen no progress since. According to the state’s Securities Department, this bill is modeled after HB 70 that was passed by the Wyoming legislature last year. Oklahoma Senator Nathan DahmSenate Bill 843 states that “a developer or seller of an open blockchain token…

How Real World Use Cases Will Drive Crypto Growth in 2020

How Real World Use Cases Will Drive Crypto Growth in 2020

As Bitcoin enters its twelfth year, the past eleven offer a meaningful amount of time to identify key trends that have emerged around cryptocurrencies and blockchain technology. These trends provide insights that are helpful in projecting the future of the digital asset space and how it will take shape over the next decade. In reflecting on the history of cryptocurrencies over their lifetime, there’s one pattern that immediately jumps out. Each successive wave of interest in the cryptocurrency space has been galvanized by new developments in the ecosystem. In particular, two significant catalysts were the rise of crypto exchanges and the initial coin offerings craze. Rapid acceleration These days, crypto users are spoilt for choice when it comes to exchanges, so it’s easy to overlook the seismic impact that these platforms had when they first emerged. Although Bitcoin launched in January 2009, it was over a year before Bitcoin Market — the first cryptocurrency exchange — opened its doors in February 2010. Other exchanges swiftly followed, including the now infamous Mt.Gox. It took less than eleven months from the opening of Bitcoin Market for Bitcoin to achieve parity with the United States dollar. Fast-forward to 2016, Ethereum unleashed its ERC-20 token standard to the world, which quickly evolved into the 2017/2018 ICO boom. Whether people loved it or loathed it, the ICO craze was probably the biggest moment in the industry’s history. Once tech entrepreneurs became aware of how easy it is to create their own token, the blockchain scene — and the price of Bitcoin — exploded. Related: ERC-20 Tokens, Explained Even before Bitcoin hit its peak price of $20,000 in December 2017, there was talk of the ICO bubble bursting. In a nascent sector where so many companies claim to offer a unique value proposition that is often a carbon-copy of its peers, it’s inevitable that many of them would eventually fizzle out. However, the crypto sector is unusual in that the value of the underlying technology is often perceived in line with market capitalization. Once the crypto winter hit, it hit hard. Once the crypto winter hit, it hit hard. As the prices remained low from the beginning of 2018 all the way until the spring of 2019, the perceived value of…

New Bill in Oklahoma Proposes Depository for Cryptocurrencies Used by Government

New Bill in Oklahoma Proposes Depository for Cryptocurrencies Used by Government

A bill has been introduced in the U.S. state of Oklahoma to establish a new type of state-chartered financial institution that will be “the central depository for virtual currency used by governmental agencies in this state.” The new establishment aims to provide financial and technical services to crypto innovators and developers. Also read: Regulatory Roundup: EU-Wide Crypto Regulations, New Rules in Europe, US, Asia Proposed Crypto Depository for Government A lawmaker has introduced a bill in the U.S. state of Oklahoma seeking to create a governmental crypto depository. Senate Bill 1430, authored by Senator Nathan Dahm, was introduced on Jan. 15, according to the government’s website. Its first reading is scheduled for Feb. 3. The bill reads: The legislature hereby authorizes the State Banking Department and the Oklahoma Department of Commerce to coordinate and develop plans … [to establish] a new type of financial institution to be a state-chartered financial institution and the central depository for virtual currency used by governmental agencies in this state. “The purpose of this new state-chartered financial institution shall be to provide valuable financial and technical services to blockchain and virtual currency innovators and developers,” the text of the bill details. It further states that “Oklahoma is committing to partner with innovative technology, help develop next generation financial products, and safely grow unique technical and financial sectors in this state.” The proposed entity will be designed to easily integrate into existing banking and financial institution regulations and “have the highest level of expertise with customer identification, anti-money laundering and beneficial ownership components,” the bill adds. It will also be “fully supported by blockchain technology and innovations.” This act will become effective on Nov. 1, 2020, and the plans and implementation strategy must be submitted by July 1 next year. Other Crypto-Related Bills in Oklahoma Senator Dahm authored another crypto-related bill which was introduced in Oklahoma on Jan. 25, 2019. Senate Bill 843 had its first reading on Feb. 4 and second reading on Feb. 7 but has seen no progress since. According to the state’s Securities Department, this bill is modeled after HB 70 that was passed by the Wyoming legislature last year. Oklahoma Senator Nathan DahmSenate Bill 843 states that “a developer or seller of an open blockchain token…

Top-5 Cryptos This Week (Jan 19): BSV, DASH, ETC, MIOTA, BCH

Top-5 Cryptos This Week (Jan 19): BSV, DASH, ETC, MIOTA, BCH

Most major cryptocurrencies have started the new year on a positive note. However, in the past 24 hours, the crypto markets are witnessing a sea of red. This shows that the rally has hit a roadblock, which could result in a minor correction or consolidation for the next few days. Such a move will be healthy for the crypto markets because it will shake out the weaker hands. The next dip will also give an idea about the cryptocurrencies that have bottomed out and have started a new uptrend. Acclaimed veteran trader Peter Brandt believes that Bitcoin has bottomed out and is unlikely to drop to $6,000. In a market discussion with Cointelegraph, Brandt said that the fall in Bitcoin’s price has driven the weak hands out of the market and the strong hands have accumulated at the recent lows. Brandt also advised crypto traders not to aim for short-term gains but position themselves for long-term gains in Bitcoin. Crypto market data weekly view. Source: Coin360 With China moving closer to launching a digital yuan, the US Securities and Exchange commissioner Hester Peirce said that a lot of innovations are happening in China as the government there recognizes the potential of the technology. She called upon the US to learn from it. While cryptocurrencies have generated huge wealth for traders, they can also be used to give back to society. Over the past few weeks Australia has experienced some of the worst wildfires in history which are estimated to have caused irreparable damage to the environment. To help in the rebuilding process, Cointelegraph has partnered with the ecological preservation organization Oxygen Seven to raise money for the Australian Wildfire Fund. Donations can be made here. BSV/USD The news flow about the ongoing legal battle between Craig Wright, who may or may not be Satoshi Nakamoto, and the estate of his former business partner Dave Kleiman has again helped Bitcoin SV (BSV) become the top performer of the past seven days. In the early part of the week, the price of Bitcoin SV surged to a new lifetime high on the speculation that Wright had received a list of public keys for $8.9 billion worth of Bitcoin held with the Tulip Trust. However, later in the…

Peter Schiff Lost His Bitcoin, Claims Owning Crypto Was a ‘Bad Idea’

Peter Schiff Lost His Bitcoin, Claims Owning Crypto Was a ‘Bad Idea’

On Jan. 19, famous crypto skeptic and gold bug Peter Schiff claimed on Twitter that he has lost access to his Bitcoin wallet and that his password is no longer valid. Schiff added that his BTC is now intrinsically worthless and has no market value. He also added that: “I knew owning Bitcoin was a bad idea, I just never realized it was this bad!” Getting to the bottom of the issue After Schiff tweeted about his loss, the crypto community was quick to jump to the rescue. For example, co-founder and partner at Morgan Creek Digital Anthony Pompliano responding by asking if he forgot his password, to which Schiff has responded that, “My wallet forgot my password.” Pompliano then asked Schiff to email him directly: “The software just executes the commands that humans give it. It can’t ‘forget’ anything. Email me and I’ll try to help you recover the lost Bitcoin.” However it looks like the BTC may indeed be gone for good, as Schiff responded: “Eric Voorhees set up the wallet for me and even he thinks there is nothing I can do. But you’re welcome to try if you have any ideas.” BTC price skepticism Schiff is known for being an outspoken critic of cryptocurrencies. Just before the New Year, he claimed that unlike every other asset class, BTC was not rising toward the end of the calendar year. In late November, Schiff claimed in a Twitter debate that the price of BTC would drop to $1,000 to “complete the pattern.”

Decentralization Philosophy Part 1 – From Buddha to the Conquistadors

Decentralization Philosophy Part 1 – From Buddha to the Conquistadors

Credits for LTB#423 This episode of Let’s Talk Bitcoin! is sponsored by Brave.com and eToro.com. Original Photo by Ubaidhulla Adam on Unsplash This episode featured Adam B. Levine, Stephanie Murphy, and Jonathan Mohan Music for today’s episode was provided by Jared Rubens, and general fuzz, with editing by Jonas.  Would you like to Sponsor a future episode of the Let’s Talk Bitcoin! show? Do you have any questions or comments? Email adam@ltbshow.com

Malaysia Announces Digital Asset Guidelines

Malaysia Announces Digital Asset Guidelines

The Securities Commission Malaysia has published the country’s guidelines on digital assets which set out the regulatory framework for token sales. All token offerings must now be carried out only through platforms approved by the commission. The guidelines also detail the obligations of approved platforms as well as the requirements token issuers must meet. Also read: Regulatory Roundup: EU-Wide Crypto Regulations, New Rules in Europe, US, Asia New Digital Asset Guidelines The Securities Commission Malaysia (SC) announced on Wednesday that it has released the Guidelines on Digital Assets pursuant to section 377 of the Capital Markets and Services Act 2007. The commission explained that the guidelines incorporate feedback it received after issuing the consultation paper on the subject, adding: The guidelines set out the requirements for all offerings of digital tokens to be carried out through an initial exchange offering (IEO) platform operator that is registered with the SC. These platform operators must seek authorization from the commission and have a minimum paid-up capital of 5,000,000 ringgits ($1.23 million). Among other requirements, they must carry out the necessary assessment and due diligence to verify the compliance of the issuer, its board, and the token to be offered, the announcement details. Implementing the New Rules The guidelines also set out the requirements for anyone seeking to raise funds through token offerings. A prospective issuer must satisfy governance and capital requirements to be eligible to raise funds using this method. It must be a company incorporated and have its main business in Malaysia, with a minimum paid-up capital of 500,000 ringgits. “Issuers are required to demonstrate that their proposed project or business provides an innovative solution or a meaningful digital value proposition for Malaysia,” the commission further stated, noting: An issuer may raise funds up to a ceiling of RM100 million and tap on investments from retail, sophisticated as well as angel investors, subject to the investment limits provided in the guidelines. An offering must be accompanied by a whitepaper furnished to the commission and approved by an approved IEO platform. The whitepaper must contain material information on the issuer, the token, and how the funds are to be used. The commission explained that it will conduct “post issuance monitoring of the utilisation of the proceeds” after…