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Use our news to inform cryptocurrency trading decisions, stay up-to-date on happenings in the industry, and more!

Wells Fargo Is The Latest Bank To Block Cryptocurrency Purchases On Credit
You can’t buy bitcoin with Wells Fargo credit cards anymore. Engadget reports, “Wells Fargo is pumping the brakes on customers using their credit cards to buy bitcoin — the bank has banned credit card cryptocurrency purchases. However, this isn’t a permanent measure, as Wells Fargo will monitor the crypto market and reassess the issue as needed”.

SEC Launches ICO Portal: Highlights Risks, Rewards, and Responsibilities
According to Tony Spilotro of BlockExplorer, “The United States Securities and Exchange Commission (SEC) is vehemently opposed to a common crowdfunding practice in the cryptocurrency industry called the initial coin offering (ICO). An ICO is similar to an initial public offering where a company or corporation raises investment capital by offering its stock to the public for the first time. Only in an ICO, a digital currency or token is distributed instead of a stock, and the token can have a variety of uses that blur the line of what defines a traditional security.”

Hackers Steal $20 Million Of Ethereum From Ethereum-based Apps and Mining Rigs
The Chinese cyber-security firm Qihoo 360 Netlab reported hackers stole over $20 million of Ethereum. BleepingComputer tells us, “The cause of these thefts is Ethereum software applications that have been configured to expose an RPC [Remote Procedure Call] interface on port 8545. The purpose of this interface is to provide access to a programmatic API that an approved third-party service or app can query and interact or retrieve data from the original Ethereum-based service —such as a mineror wallet application that users or companies have set up for mining or managing funds.”

Argo Blockchain to List on London Stock Exchange, Launches Subscription Crypto-mining
Argo Blockchain, a business that seeks to offer cryptocurrency-mining to the masses, announced its plans to list its shares on the London Stock Exchange. BlockExplorer’s Julia Travers shares with us that “the announcement coincided with the launch of Argo’s Mining as a Service, or MaaS, program, which will allow users to participate in mining through the Argo site with their home computers or smartphones.”

ripple logo

Overview

Ripple has roots in a company called Ripplepay that predate Bitcoin and blockchain technology. It was first conceived as a network for banks to use as a settlement system. Essentially, the Ripplepay network was a way for participants to trade debt with each other. After the advent of Bitcoin and blockchain technology, Ripplepay was taken over by a company called Openpay, which is now Ripple Labs. When Ripple labs took over, they incorporated a blockchain into their process and created a token called XRP in order to help facilitate more liquidity in their system. However, they differ from Bitcoin and other cryptocurrencies in how their token works, such as having a consensus protocol in place of proof-of-work. This consensus protocol is one of many differences that make Ripple controversial in the cryptocurrency market.

Purpose of Ripple

Ripple is directly targeting banks as its market, aspiring to become the default network that banking institutions use as a settlement system for all their transactions. The Ripple network, as conceived before blockchain technology, allows participants to trade debt of any kind. In this paradigm, a financial institution can store a debt made of any currency or other assets on the network, it does not necessarily have to be converted to XRP. XRP can be used as a medium of exchange or for handling fees associated with transactions of other types.
Anyone can buy XRP, but this is almost entirely for speculative purposes, because XRP is not targeting end users transacting among themselves directly.

Technical

Ripple’s software is open source and any developer can submit proposals on their Git repository. However, because of the way the Ripple network is constructed, it is not a decentralized, trustless system.
The consensus protocol used by Ripple requires that each node on the network must be trusted by at least one other node on the network. In theory, any transaction can go from any node to any other node so long as each node trusts its immediate connection, even if it does not trust all nodes on the chain. However, in order for a transaction to be verified on the Ripple ledger, all nodes must eventually connect back to a servers operated by Ripple Labs which run the algorithms that establish consensus. This means that Ripple ultimately has central control over the network, and one needs to have trust in the company that runs it, Ripple Labs. This is the root of the controversy surrounding Ripple, as many cryptocurrency advocates believe this violates a central ideology of cryptocurrency, which is to be decentralized and trustless.

Market

Ripple is number 3 in overall market capitalization, though it’s place relative to other cryptocurrencies might not be the most relevant measure of Ripple’s potential, because it is mainly competing to replace non cryptocurrency inter bank systems such as the SWIFT network.
Ripple Labs has set aside 55% of the tokens it has created for itself, which is a source of concern for investors, as it means Ripple Labs has a great deal of control over the market value, depending on whether they decide to hold or sell their holdings.
As of 2018, Ripple Labs is facing a lawsuit in the US by a plaintiff claiming that XRP is a security, and therefor has certain responsibilities to “shareholders” that they have not lived up to. Ripple Labs claims that XRP is a currency, and therefore not beholden to the laws that govern securities. Ultimately, only the SEC determines whether something is a security or a currency within the US. However, the market is paying close attention to how this lawsuit plays out, as any result may have an effect on how if the SEC regulates Ripple, and how that might affect its value.

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Use our news to inform cryptocurrency trading decisions, stay up-to-date on happenings in the industry, and more!

Twitter CEO Jack Dorsey: Bitcoin Should Be Native Currency of the Internet
Twitter and Square CEO Jack Dorsey stood on stage at the Consensus conference, saying Bitcoin should be the cryptocurrency of the internet.

Adware Bundle Makes Chrome Invisible to Launch Cryptojacking Attacks
ZDNet reports, “CPU usage spikes up to 80 percent on infected machines.”

The SEC Launches Phony ICO Site to Promote Scam Awareness
In a bid to raise awareness of potential investment scams in the cryptocurrency space, BlockExplorer’s Tony Spilotro says the U.S. Securities and Exchange Commission’s (SEC) Office of Investor Education and Advocacy have launched a fake website posing as a luxury travel firm kicking off the pre-sale portion of their initial coin offering (ICO).

Largest Bank in the Philippines Showcases Bitcoin Mining Equipment
The cryptocurrency world is buzzing upon the news The Philippines largest bank is dabbling in Bitcoin. NewsBTC reports, “UnionBank recently demonstrated its cryptocurrency miners at a business conference. That is an interesting development, considering how the world’s leading cryptocurrency is a legal tender in the country.”

PwC China Survey Finds That Most Companies Prefer to Investigate Blockchain Internally
Rebecca Campbell of BlockExplorer reports, “A joint survey by PwC and VeChain has found that most enterprises prefer to setup their own in-house research and development (R&D) teams to investigate the blockchain.”

Image courtesy of Carty Sewill, http://cartyisme.com/

coin renders

Use our news to inform cryptocurrency trading decisions, stay up-to-date on happenings in the industry, and more!

The SEC Launches Phony ICO Site to Promote Scam Awareness
In a bid to raise awareness of potential investment scams in the cryptocurrency space, the U.S. Securities and Exchange Commission’s (SEC) Office of Investor Education and Advocacy have launched a fake website posing as a luxury travel firm kicking off the pre-sale portion of their initial coin offering (ICO).

Cryptocurrency Mining Malware Crashes Your PC When Discovered
Please beware: a new form of cryptominer, dubbed WinstarNssMiner, crashes your system the moment anti-virus software attempts to remove the malware. ZDNet warns “The cryptominer launches the svchost.exe process — used to manage system services — and injects malicious code into the file. One injected process begins mining cryptocurrency while the other runs in the background to avoid detection and scan for antivirus protection.”

Steve Wozniak: Bitcoin And Blockchain Will Achieve Full Potential In a Decade
Tech leaders everywhere are beginning to sing the praises of blockchain. Apple’s co-founder Steve Wozniak was the latest, saying blockchain was “a great idea” and that it “is the next major IT revolution that is about to happen” according to Cointelegraph auf Deutsch. Woz was giving the opening speech at WeAreDevelopers World Congress 2018 in Vienna, Austria.

China Ranks Ethereum as the World’s Best Blockchain Network
The Chinese government ranked Ethereum as the world’s best blockchain network. CCN reports “On May 17, China’s Ministry of Industry and Information Technology released its public blockchain ratings, ranking various blockchain projects like Ethereum in the global cryptocurrency sector based on three criteria: technology, application, and innovation.” Bitcoin came in at number 13.

Entirely Crypto-Focused LedgerX Announces the First Regulated Bitcoin Savings Account
“Bitcoin bulls now have a new opportunity to put their money where their sentiment is. On Tuesday, CFTC regulated derivatives exchange, LedgerX, launched a Bitcoin savings account, the latest in a slew of traditional banking products made available for the digital currency” as reported by CryptoSlate.

New Coinbase Prime Geared Towards Wall Street Investors
This week Coinbase announced Coinbase Prime, a set of tools and services for institutions, tailored for high-end investing in cryptocurrency.

Image courtesy of Carty Sewill, http://cartyisme.com/

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Use our news to inform cryptocurrency trading decisions, stay up-to-date on happenings in the industry, and more!

“See No Bank, Hear No Bank, Speak No Bank”: German Bank Allows Users To Transfer Loans Anywhere In The World Using Bitcoin
According to Reuters, German Radoslav Albrecht founded an online bank that allows clients to transfer loans anywhere in the world using Bitcoin. ZeroHedge reports, “Albrecht’s Bitbond uses Bitcoin and other cryptocurrencies to completely bypass the Swift international transfer system which has a monopoly and ultimate veto power on who is in – and isn’t – in the global petrodollar club, to lend money across the globe rapidly and at low cost.”

Winklevoss-Owned Gemini Exchange Becomes First Licensed Exchange to Offer ZCash
Anthony Severino of BlockExplorer reports that Gemini, the New York-based cryptocurrency exchange owned by Tyler and Cameron Winklevoss, will become the “world’s first licensed ZCash exchange”.

Australia To Ban Cash For All Purchases Over $10,000
Australia’s Liberal Party government announced it will be illegal to purchase anything over $10,000 with cash starting July of 2019. The Australian government goes on to say it’s “encouraging the transition to a digital society” and cracking down on tax evasion.

LG CNS Launches its own Blockchain Platform, Monachain
Monachain provides digital authentication, community token, and supply chain management. ZDNet reports, “The service is aimed at enterprise clients and can be applied in finance, public, telco and manufacturing industries, the company said. The platform offers digital authentication, community token, and supply chain management.”

Image courtesy of Carty Sewill, http://cartyisme.com/