Untitled. Gemini. Amid Bitcoin's Bloodbath, Silence From Silicon Valley Press. As I'm sure you're aware, oil prices have cratered, from $85 a year ago to just $46 today.
That's nothing. The value of Bitcoin, which peaked in November of 2013 at $1242, has dropped from $847 in January of 2014 to all of $201 today. Heck, it dropped 32% in two days this week! Bitcoin has since bounced, up 19% to $210 yesterday. Now granted, most people could not care less about Bitcoin. But in Silicon Valley, it's a big deal. So anyway, here's where it gets interesting. Let's give Draper the benefit of the doubt and assume he bid $570, which means he forked over to the Feds about $17 million (it's probably higher as he beat 44 other bidders, remember.) There was another auction of 50,000 Bitcoins in December of 2014 and this time, Draper won only 2,000 Bitcoin, paying, I'd guess, around $370.
So Tim Draper invests some $18 million in about 32,000 Bitcoin and today (wait for it...) they're worth a whopping $6.7 million, losing 63% in six months. Look, this is not some obscure market. Bit Coin Review. UBS CIO: Blockchain Technology Can Massively Simplify Banking. Why Bitcoin advocates might like New York’s new proposed rules for virtual currency. One of New York's top financial regulators is laying out a new policy on Bitcoin and other virtual currencies after a flood of public feedback encouraged the agency to scale back its proposed rules.
New revisions to the proposal would trim some requirements on Bitcoin-related businesses, and clarify others. Among the key changes? Companies covered by the regulations will no longer be required to store the addresses of every person involved in a Bitcoin transaction — an idea privacy hawks have said would deter people from adopting virtual currencies. Now, companies regulated by New York's so-called BitLicense will only be required to gather transaction information from their own customers, said Ben Lawsky, New York's superintendent of financial services, at a Washington conference Thursday. In addition, covered companies will only have to store that information for seven years, down from the 10 years Lawsky's agency, the department of financial services, was previously considering.
Microsoft now accepts Bitcoin across all of its online stores: Windows, Xbox, apps, everything. There might be life in the old beast yet: Microsoft now accepts Bitcoin as a payment option on its Windows and Xbox stores — which means you can now use Bitcoin to purchase a new copy of Windows, the latest installment of Call of Destiny: Master Chief Edition, or even to buy the latest season of your favorite TV show.
Obviously, this is a pretty big deal for Bitcoin: Not only is a currency only as valuable as its ability to be exchanged for useful goods, but an endorsement from a company as large as Microsoft will be seen as a significant milestone that might get other important companies to take another look at accepting Bitcoin. As of yesterday morning, you can now use bitcoins to add funds to your Microsoft account. When you go to add new funds, you have the usual options of using a credit card or gift card — but now you also have the option of using bitcoins (it’s US-only for now, incidentally). You can now use Bitcoin to add funds to your Microsoft (and thus Windows/Xbox) account. Bitcoin Gets More Respect From Major Brands. Bitcoin has survived skepticism, economic volatility and outright hostility from entrenched financial institutions since it was created by Satoshi Nakamoto in 2008.
But now, it's starting to seep into the global economy as more big brands are stepping out in support of the digital currency. Time Inc. is the latest company to announce it’s accepting the virtual currency for subscriptions to many of its magazines, including Fortune, Health, This Old House and Travel and Leisure. “For a major publisher like Time Inc. to embrace Bitcoin sends an important message to both its readers and to the broader media community,” said Brian Armstrong, CEO and co-founder of Coinbase (Time Inc.'
S Bitcoin processor), according to the New York Times. Microsoft is also now acceping Bitcoin for some online purchases via the BitPay currency exchange, which can now be used for purchases on Windows Store or at stores that sell Xbox Games, Xbox Music or Xbox Video. Bitcoin has been building momentum this year. Bitreserve - A next generation digital money service built on top of bitcoin. The Blockchain and the Rise of Networked Trust. “We are free to plant our own seeds; we don’t buy the brand nor the patent from a multinational.
In order to plant, we don’t need permission. Also, we don’t ask anyone’s permission for what to do with our money!” Santiago Zaz is an organic farmer from Argentina. Back in 2013, Zaz’s business became the first of its kind to accept bitcoin payments in the country. Like Zaz, many in his community don’t have the possibility of owning a credit card. A similar sentiment is echoed in Shannon County, South Dakota – the second poorest county in the US.
Furthermore, he spoke about his passion to free his people from the American government through cryptocurrency. From big cities to villages and Indian reservations – all around the world we are seeing a common current that weaves the diverse actions of ordinary people. However, it is the invention of blockchain technology that makes cryptocurrencies like bitcoin possible. Decentralized trust Bitcoin offers a new trust model. Unmediated flow. Linked-In, Sun Microsystems Founders Lead Big Bet On Bitcoin Innovation - MoneyBeat - WSJ. 37coins. State of Bitcoin Q3 2014: Ecosystem Maturing Amid Price Pressure. Download the full report in PDF form.
We are pleased to release our latest quarterly State of Bitcoin update. This article will run through some key findings from the new report, which focuses on data and events in the third quarter of 2014 up to the present day. Overall, this quarter could be characterized as a ‘Tale of Two Bitcoins’. On the one hand, significant bitcoin venture investment continued and much progress was made in furthering adoption, particularly in bitcoin’s use as a medium of exchange. On the other, there was a steady erosion in the price of bitcoin throughout the quarter (Slide 10), which was further punctuated by a sharp plunge of roughly 20% at the start of Q4. Price still a focus Last quarter we noted how some noteworthy bitcoin observers felt that there has been too much emphasis placed on bitcoin’s price. In the third quarter this interest has only increased, as almost twice as many of the top 10 CoinDesk stories were focused on bitcoin’s price (Slide 20). Sincerely, Overstock.com Assembles Coders to Create a Bitcoin-Like Stock Market.
Coin design: Gail Anderson + Joe Newton Overstock.com is building software, based on the bitcoin digital currency, that could allow the big-name etailer to issue corporate stock over the internet, sidestepping traditional stock exchanges such as the NASDAQ and the New York Stock Exchange. The Salt Lake City-based company recently hired two of the developers behind CounterParty—an online project that helps individuals and businesses build all sorts of financial services atop the worldwide network of machines that drive bitcoin—and according to Overstock founder and CEO Patrick Byrne, these coders will help build “cryptosecurity” software that any company could potentially use to issue financial securities over the net.
Mirroring bitcoin—known as a “crytocurrency”—these securities would be controlled by cryptographic algorithms running across computers spread across the globe, not by a central stock exchange. Dark Markets Grow Bigger and Bolder in Year Since Silk Road Bust. In this concluding article of our series looking at Silk Road, a year after its closure, we examine the impact the Silk Road bust had on the dark markets and their most widely used digital currency, bitcoin.
The FBI may have taken down the Silk Road in spectacular fashion, slapping a seizure notice on the dark marketplace’s website and executing the high-profile public arrests of Ross Ulbricht, and later, bitcoin executive Charlie Shrem and digital currency trader Robert Faiella. According to academics and researchers studying dark web markets – which transact almost exclusively in bitcoin – listings for illicit goods and services have actually grown in the aftermath of the Silk Road bust.
The rising popularity of such markets among drug vendors and customers means that illicit trade is set to expand even more, one researcher believes. Martin said: “Bitcoin was absolutely critical to the development of Silk Road and cryptomarkets more generally. Bitcoin economy and dark markets He said: How Bitcoin's Banking Crunch is Holding Back US Startups.
Following its May launch, QuickCoin captured attention with its novel integration of Facebook’s ubiquitous social media platform and simple bitcoin wallet technology – and the wider tech world took notice.
Soon, the self-funded company began to capitalize on its momentum, and on 11th August, QuickCoin had the first of its seed round capital wired to its corporate bank account at Wells Fargo. The celebration, however, was short-lived. As CEO Nathan Lands told CoinDesk: “Everything seemed fine, when all of a sudden I started noticing that some of our bills were bouncing because the debit card was being declined.” Lands alleges that weeks of uncertainty ensued, and that in the end, QuickCoin’s bank account was closed.
The result is that ultimately, the San Francisco-based company was forced to explore other options, including looking offshore, for its banking needs. Wells Fargo would not comment on QuickCoin’s case, citing confidentiality. Behind closed doors He advised Lands: He told CoinDesk: Bitcoin Could Transform Internet of Things into Vast Data Marketplace. As sportswear giant Nike expands its wearable technology applications, it will need more data to feed its gadgets and software.
To do that will be a simple matter in the future. A Nike executive will simply pull up a list of sensors operated by a private weather station, selecting the ones from which she would like to buy data. With a click, the executive will pay individual sensors – perhaps thermostats mounted in a Central Park pathway particularly favoured by joggers – for their data, using bitcoin.
The weather sensors will be just one part of a future market filled with data collected by machines on the ‘Internet of Things’. The only difference would be that humans will now be able to pay the machines directly for their work, in bitcoin. Turning sensors into data-hawkers That’s the scenario described in a new paper by two researchers in Switzerland, titled, When Your Sensor Earns Money: Exchanging Data for Cash with Bitcoin. Helping sensors get paid Image via Shutterstock. Revolutionizing Crowdfunding. Bitcoin reports by banks. Bills.Ninja. Kryptoradio by Koodilehto. Bitcoin: the Stripe perspective. Many people have remarked that Bitcoin resembles the internet in the early 90s: we haven’t yet built the Googles that will make it accessible or the Facebooks and Netflixes that will make it broadly useful. So it's an open question: what might a Bitcoin that's useful for the mainstream look like? Money Money has three functions: it’s a store of value (that is, somewhere you can put your life savings), a unit of account (that is, a measure of value), and a medium of exchange (a way to transport value).
On the first two fronts, Bitcoin has shown promise in high-inflation economies, but it’s a much tougher sell for mainstream consumers in stable countries. There, consumers mostly want a safe place to hold their savings, and the existing bank account insurances and consumer protections have set a high bar. However, Bitcoin has huge potential as a way to transport value. Compounding the issue, value transport becomes especially challenging as soon as there’s a regional border involved. Ripple Labs Unveils Proposal for New Smart Contract System.
San Francisco-based Ripple Labs, a startup focused on building payment and digital assets networks, has unveiled a comprehensive plan for the development of a new smart contract system. Called Codius, the proposed system will be programming language agnostic and will be able to work with existing monetary and contractual systems. There are a few projects in the works for building smart contract solutions that involve cryptography. But Ripple Labs‘ Codius effort is perhaps a framework that many in the cyrptocurrency space have been searching for in order to build asset structures. Stefan Thomas, Chief Technology Officer at Ripple Labs, told CoinDesk that programmable contracts in digital form will be ubiquitous someday – and that the company wants to be a steward for this technology. Thomas said: “[Smart] contract logic decides who should receive the money. Smart oracles “Oracles sign things and the signatures trigger actions in the distributed networks,” said Thomas.
Thomas explained: Sending Money Made Easy using Bitcoin. Bitcoin crowdfunder Swarm launches, raises $720,000 in 18 hours » CoinReport. A case against Proof of Stake Velocity - Dogeconomist. Recently Proof of Stake (PoS) and subsequently Proof of Stake Velocity (PoSV) have been developed as an alternative to Proof of Work (PoW) mining. But despite offering some serious improvements, economically these alternatives cannot (yet) compete with PoW mining. Proof of Work mining In traditional PoW mining, transactions are validated by so-called miners, who have to solve computational puzzles to this purpose. All the miners working on a block are in fact racing to solve the same puzzle. Once a solution has been found, the block will be confirmed and added to the blockchain. Proof of Stake minting To tackle the previous, PoS was developed, first implemented by Peercoin.
Proof of Stake Velocity The previous was also acknowledged by the development of PoSV, developed for Reddcoin, which is meant to address the economic concerns with PoS. Peercoin - Secure & Sustainable Cryptocoin. Introduction Peercoin (PPC) uses a novel, green, and very interesting method of network validation and mining. Most alternative cryptocurrencies in existence are forks of Bitcoin with changed mining parameters or different mining algorithms. Miners maintain the network and check transactions, while spending a lot of energy on cryptographic brute force puzzles. Blockchain.info estimates that mid December 2013, Bitcoin mining takes up 22 million dollars or 150.000 megawatts of energy per day. Peercoin also started out as a Proof-Of-Work network.
But as more blocks and coins have been mined, the network switches slowly to Proof-Of-Stake validation. Proof-of-work and proof-of-stake are methods of securing cryptocurrency networks. Peercoin uses a hybrid proof-of-work/proof-of-stake system. Just like proof-of-work blocks, proof-of-stake blocks generate currency rewards. Exciting New Innovations From Reddcoin. " Originally appeared on The CoinFront - Your Online Bitcoin and Cryptocurrency News Authority. For all the latest developments follow us @TheCoinFront on Twitter. Reddcoin has been rising up in the altcoin ranks, due in large part to the innovation happening in the community.
The latest developments in the community include a new algorithm which they’re calling “proof of stake velocity”, and a “social wallet”, both unheard of developments from any other coin. Proof of Stake Velocity Proof of stake velocity is similar to proof of stake, in which, rather than mining new coins, the coins are “minted” by simply having the wallet program open and proving they hold a certain number of the given coin. The issue with proof of stake, though, is in the fact that it can discoutage people from spending their coins. Proof of stake velocity is nearing beta, and will be announced on Reddcoin’s subreddit. Social Wallet Reddcoin Moving Forward. Bitcoin Poorly Explained. The Five Biggest Threats Facing Bitcoin. Bitcoin Storage. In the Bitcoin world, half the wealth belongs to the 0.1 percent. Darkcoin, the Shadowy Cousin of Bitcoin, Is Booming. The state of Bitcoin in Southeast Asia. Bitcoin Is Hiring Lobbyists. Lets Talk Bitcoin.
MIT is about to become the world's first Bitcoin economy. Cognitive biases that make people skeptical towards Bitcoin. Mt Gox. Square Market Accepts Bitcoin. What the Fork was that? A forking post mortem. Why The Bitcoin Industry Must Recognise Its Responsibilities. In One Month, Everyone In Iceland Will Own Cryptocurrency. Bitcoins + Banks. UBS investment report declares bitcoin “Problematic currency, interesting payment system” Trojans and Bots. Hidden surprises in the Bitcoin blockchain and how they are stored: Nelson Mandela, Wikileaks, photos, and Python software.
New? Start here! Understand Bitcoins. Satoshi Nakamoto. Bitcoin businesses. Markets. Bitcoin ATM. Payment Terminals. Wallets. Mining. Apps. The Future Of Money: Creating New Wealth, Work and a Wiser World: Amazon.co.uk: Bernard Lietaer. References in movies. Legal controversies.
Gambling. Deviant Economy & Bitcoins. Hacks.