Here are the most important headlines from the cryptocurrency industry for November 23rd, 2018:
Charles Hoskinson Talks About Bitcoin, Ethereum And The Crypto Issues
Bitcoin Magazine recently interviewed Charles Hoskinson, the Co-founder of Ethereum & IOHK and the most important figure behind Cardano (ADA). Charles was one of the early adopters of Bitcoin and a huge believer of the cryptocurrency niche. He claims that when it started, the volatility was crazy – even more than now:
“It had huge volatility in price. The volume would be $1,000 a day, the hashrate would go way up and way down. Some people would say, ‘Eh, I don’t wanna mine anymore.’ They’d turn their computer off, and the network would lose 30 percent of its hashrate.
As the market cap hit one billion, people started taking it really seriously. Many people entered the space, and, at that point, it became clear bitcoin was here to stay”
He also claimed that a huge issue of the space is that a few concepts weren’t properly studied and improved so that it could turn into a functional product. And that the professionals of the space didn’t take enough time to check and improve/ implement certain things – as UTXO wallet, which Satoshi wrote about nine years ago.
There were other things like network stacks, and what do you trade off when you move from one protocol to another, such as between proof-of-work to proof-of-stake to BFT protocols. How do you avoid things like Sybil attacks and so on.”
Moreover, the decentralization of Bitcoin is no longer one of its main features – as the network tend to be more centralized. According to Blockchain.com, 4 mining pools have more than 50% of Bitcoin’s hashrate. Same goes for Litecoin (LTC). He believes that a network like this cannot be considered truly decentralized.
If you look at hashrate and who has control, less than 10 percent of the actors are in charge of the hashrate power of the bitcoin network. How can you say that is decentralized?
On the question “Can Bitcoin be ‘Money’?”, Charles presented a situation that happen to him a few years ago where him and Mike Perklin ( Chief information Security Officer @ ShapeShift) went across the city to eat some BBQ. The thing is, the restaurant they chose had the option to pay with BTC. When the note came, Mike chose to pay with its Credit Card as: ‘I think bitcoin is going to go up, so I am not going to buy it with bitcoin. I am going to use my credit card.’. It then became clear to Charles that Bitcoin was not meant to be ‘money’ but a commodity or a store of value.
Regarding the ICO mania, Charles believed most of the ICOs were overvalued:
“Consumers threw money at everything, and many projects that didn’t deserve it. Copycats were wildly overvalued. It was clear ICO mania was counterproductive and the markets would collapse. Once they did, people [can now] begin to return to rationality, and the bad stuff will be cleaned out. The good stuff with potential will stay and recover its all-time high values and be useful to humanity.”
Full article can be found on BitcoinMagazine.
Ripple’s Latest News – TransferGo Exploring xRapid & SBI Ripple Asia Partners With Japan’s Payment Card Consortium To Fight Against Fraud
TransferGo – one of Ripple’s many partners – confirmed that they are exploring the benefit of Ripple’s xRapid solution. This came as an answer to the XRP_Cro’s question regarding TransferGo planning to pilot xRapid in the short future:
Yes, we are looking at xRapid.
— Daumantas Dvilinskas (@daumis2475) November 11, 2018
The partnership is a fresh one, which started in September this year. Since then, TransferGo managed to launch a remittance corridor from Europe to India. They used Ripple’s technology for this in order for the payment to be transferred immediately:
“We’re delighted to be one of the first companies in the market to offer our customers real-time money transfers. By using Ripple’s revolutionary blockchain technology, we’re able to establish real-time communication between our banking partners and us in India, allowing TransferGo customers to send money to family and friends or make international payments immediately.”
TransferGo is a company that has seen a 100% rise year-by-year and now it have half a billion users – with 1,000+ news ones daily. In October, they became the first company to offer free international money transfers.
On the other hand, some of Ripple’s partners want to fight fraud. The SBI Ripple Asia recently made a partnership with the Japanese Payment Card Consortium to fight fraud using blockchain technology. They will be using’s Corda, R3’s open-source blockchain platform that will try and prevent the damages made by fraudulent transactions.
According to BankingTech, there would be a data sharing system developed by TID – a member of R3 consortium of banks – on Corda. There will be a Proof-of-Concept (PoC) at the start, where the participating card companies will share information between them. The consortium plans to share information with other parties involved in the industry – such as merchants and payment service providers (PSPs). This way, they could easily prevent fraud in certain cases. Not all frauds, but its a start.
Recently, Ripple also dropped below the key support of $0.4 and had a $0.39 value. It didn’t took too much until Ripple bounced back above $0.40. Right now, XRP is traded at $0.407 value and have a resistance point at $0.42. It appears that for the moment, Ripple is following Bitcoin’s up and downs. If you’re a trader, consider checking the Bitcoin trend before investing in Ripple (XRP).
IOTA Plans To Kill Its Centralized ‘Coordinator’
IOTA Foundation recently revealed that as the time goes, they plan to eliminate the IOTA Network Coordinator in order to improve the decentralization of the network. The information was disclosed among a series of blog posts where the Foundation presented the needed steps so that the ”Coordicide” can take place.
This is an important thing because IOTA works on a DAG (Directed Acyclic Graph) which actually have a proof-of-work mechanism – like a blockchain. In theory, if someone would have enough hash power – it could attack the network and cause a network split or even double spending issues. Another issue is that the Coordinator that IOTA have right now can be a target for hackers. If someone would manage to take over or if the Coordinator would stop working – all the confirmations on the IOTA network would halt.
For now, there’s not a set time regarding when the Coordinator would be eliminated, but the IOTA team declared:
“The short answer is that the Coordinator can and will be removed when our research team is satisfied that we understand the coordinator-free Tangle sufficiently.”
Bitcoin Can Soon Overtake MasterCard In Value Transferred Daily
According to its public record – the MasterCard corporation moves around $11 Billion for day. The Bitcoin network volume moved today over $8 Billion. Of course, one of the main reasons of why this is happening – the people are probably converting the BTC to a stable coin as the price of Bitcoin is declining , moving them to a wallet or to another exchange . We need to see the full part of the cup also, this drop in price proved that Bitcoin can be used as ‘Money’ – even though Charles Hoskinson might not agree with us. Even with this volume – the transaction are stable, the fees are relatively low and nothing happen with the network.
VISA on the other hand – its a bit out of Bitcoin’s league. They handle more than $30 Billion in transactions daily with a $11 Trillion exchanged yearly. VISA can however support 65,000 transactions per second, while Bitcoin can handle only about 7. Even like this, Bitcoin proved today that it can transfer 25% of the VISA’s amount without the high number of transactions per second.
And we didn’t spoke about the fees, yet. Using Bitcoin, Binance sent $650 Million to one of their hardware wallets for just a 7$. The VISA fees for transferring an amount like this would be huge. Moreover, while VISA handle the small size transaction, Bitcoin have an average transfer of $400 per transaction.
Other Important News
- Trezor and Ledger are having an amazing Black Friday with 33% and 50% discounts. More Bitcoin Black Friday deals here
- BlockShow becomes first blockchain conference to sell tickets by smart contract
- Thailand Proves Crypto Can Win Adoption Even in Military Dictatorships
- Bitcoin [BTC] price drop is not “a goal”, but a “consequence” of Bitcoin Cash [BCH] SV mining, says Craig Wright
- Ethereum devs working on secret upgrade to solve its scaling woes
- Overstock surges 26% after CEO says it will sell retail business by February to focus on crypto
If you’ve missed yesterday’s news, you can read more about them here: Daily Cryptocurrency News – 22nd November 2018
Image Source: Rt.com
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