Tuesday, March 12, 2019

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Bitcoin Volume Questions / Texas Bill / Communist Manifesto / $230 Million Moved

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$BTC (1:16 p.m. EST): $3,916.12 (0.46%) // 90-day high: $4,238.41 // 90-day low: $3,286.14 / / More

$BCH ABC (1:16 p.m. EST): $129.65 (0.39%) // 90-day high: $218.09// 90-day low: $80.95 // More

$ETH (1:16 p.m. EST): $134.31 (-2.05%) // 90-day high: $160.13 // 90-day low: $86.08 // More

$LTC (1:16 p.m. EST): $56.82 (-2.48%) // 90-day high: $52.69 // 90-day low: $22.09 // More

$XRP (1:16 p.m. EST): $0.31 (0.02%) // 90-day high: $0.43 // 90-day low: $0.28 // More

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1. Researchers at data science company Integrity said there is a "high likelihood" that 88 percent of bitcoin's trading volume in February was false. Integrity draws attention to OkEX, Bit-Z, Huobi, HitBTC and a handful of other unregulated exchanges as have a large discrepancy between its reported volume and what Integrity believes is its true volume. "[We built] a system that collects low-level market data from exchanges (order books as well as trades). It allows us identify what no one is able to find on charts or by the analysis of trades and volumes," a research team member said. –NEWS BTC

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2. Phil Stephenson, a Republican member of the Texas House of Representatives, introduced a bill that would ban anonymous crypto transactions. His bill would make it illegal for people to send cryptocurrency to one another unless their identities are known. The bill also would encourage state departments to provide tools to distinguish between verified and unverified crypto users, along with train law enforcement in cryptocurrency and blockchain. –THE DAILY HODL

Texas lawmaker introduces crypto bill
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3. The team at Vice used the Blockstream satellite to beam the part of the "Communist Manifesto" around the world and into outer space. Using a lightning-enabled app, people can now send any message to the satellite for a small bitcoin fee. Writer Jordan Pearson sent the passage, ""The proletarians have nothing to lose but their chains," because as he put it, "Why the hell not? We live in a world where this is possible, my friends." Have you sent a message to the Blockstream satellite? Should we try to send one? Hit reply and give us some ideas. –VICE

Vice beams Communist Manifesto into space
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4. The owner of the fourth largest bitcoin address emptied more than $230 million from his or her wallet at the end of February. The mysterious wallet was opened in October 2014. It held as many as 113,000 BTC before selling some coins when bitcoin reached its all-time high in December 2017. Trustnode reports the whale moved the remaining 60,000 BTC coins through a bunch of smaller transactions. –FX STREET

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5. Medici Ventures, a subsidiary of Overstock, secured a 5.1 percent stake in Bankorus, a blockchain banking platform. –BITCOIN EXCHANGE GUIDE

6. Crypto miners fled to Upstate New York last year to take advantage of cooler temperatures and cheap electricity but now the market has gone bust. –GOVTECH

7. XRP continues to see adoption as a cross-border payment method with 19 companies now using it for that purpose. –FX STREET

8. Bae Yong-joon, a popular South Korean actor, has invested in blockchain-based seafood trade startup Seamon, a company name he might want to urge the founders to change. –COINDESK

9. MyEtherWallet released the alpha version of its new open source Ethereum blockchain explorer, EthVM. –COIN TELEGRAPH

10. Ground X, a subsidiary of messaging giant Kakao, has raised $90 million in an ICO. –COINDESK

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Written and curated by David Stegon. He has been a reporter for 15 years, the past 10 focused on technology. Follow him @davidstegon.

Editing team: Kim Lyons (Pittsburgh-based journalist and managing editor at Inside) and Susmita Baral (senior editor at Inside, who runs the biggest mac and cheese account on Instagram).

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Custody battle

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March 12, 2019

CRYPTO CUSTODY: New York Investment firm Shuttle Holdings will soon launch the beta version of a custody solution for digital assets built on IBM’s private cloud and encryption technologies. Brad Chun, Shuttle’s chief investment officer, told CoinDesk that the company won’t be storing cryptocurrencies itself, but rather, provide other firms with the tools they need to self-custody digital assets. Full Story

ETH RELIEF? Jay Clayton, chairman of the U.S. Securities and Exchange Commission (SEC), has seconded a colleague's analysis that suggested the world's second-largest cryptocurrency does not qualify as a security. Last year, SEC Director of Corporation Finance William Hinman said that ethereum did not exhibit the properties of a security in its current state. After a request for clarification on the issue, Clayton responded, saying: "I agree with Director Hinman's explanation of how a digital asset transaction may no longer represent an investment contract if, for example, purchasers would no longer reasonably expect a person or group to carry out the essential managerial or entrepreneurial efforts." Full Story

ROAD TRIP: The U.S. SEC is going on tour in hopes of meeting with crypto entrepreneurs who otherwise might not engage with the regulator. FinHub, the SEC's branch dedicated to interacting with tech startups, said it would be visiting major U.S. cities from March 26, allowing individuals or teams to set up face-to-face meetings with agency staffers to ask questions or provide feedback about issuing tokens or other issues under the regulator's purview. Full story

ADOPTION DRIVERS: The EU Blockchain Observatory and Forum believes the “first wave” of blockchain adoption will be spearheaded by permissioned platforms targeting specific use cases, according to a new report. The organization argues that focusing on specific use cases offers users more flexibility than do public blockchains, particularly if these networks remain interoperable. Full Story

BIG PLANS: The real estate firm in charge of the world’s tallest building, Dubai’s Burj Khalifa, wants to develop its own crypto token. Emaar Group said it plans to develop its “Emaar community token” by the end of 2019, with the ultimate goal of launching an initial coin offering (ICO). The firm will partner with Lykke AG, a Switzerland-based crypto startup, to build the ethereum-based token for use in a referral and loyalty system. Full story

BULL CROSS: Bitcoin's 50-day moving average (MA) is about to cross the 100-day MA for the first time since August 2018. The long-term crossover is the latest to join the list of technical indicators, such as the MACD and money flow index, calling a bullish reversal. BTC, therefore, could rise toward the bearish lower high of $4,236 in the near future. Full Story

BEST OF THE BEST

FORTUNE: Stablecoin issuer Paxos plans to introduce a token backed by gold and stocks later this year, Fortune writes. The New York-based firm’s CEO, Chad Cascarilla, told the news source that Paxos aims to take “any type of asset and put it into a blockchain” to speed up transactions and lower fees. The firm has already trialed tokenizing equities and bonds.“We’re getting pretty close, and I think we’ll see it in 2019,” Cascarilla said.

THE REST

COMPUTERWORLD:
 Delaware is planning to trial a blockchain-based business filing system that uses smart contracts to automatically track stocks and collateral assets in real time, according to Computerworld. If the proof-of-concept proves successful, the system would provide companies with more accurate and up-to-date records and potentially boost business transactions and regulatory compliance.

FORBES: Sweden is currently suffering an Instagram scam that offers purchases of luxury branded items from firms such as Gucci and Apple, and then asks the victim to exchange fiat to cryptocurrency for payment. After the trade is made, the bad actor disappears with the funds and the goods never arrive, according to a Forbes piece. Despite cases being reported to the local police, the scam, which targets young people around 25 years of age, is still persisting.

WHO WON #CRYPTOTWITTER

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