Op Ed: Bitcoin Uses a Lot of Energy, So Where Are the Energy Companies?

Bitcoin consumes a lot of energy. Go ahead and shout it from the rooftops — it’s a fact.   According to CoinShares’ June 2019 mining report, Bitcoin uses approximately 41 terawatt-hours (TWh) of energy per year, which is roughly equal to the annual energy consumption of the entire country of New Zealand. Armchair critics love to paint Bitcoin as a gas-guzzling behemoth hellbent on polluting our world and burning up our atmosphere. After all, there’s no need to dig any deeper than the surface level on something that you plan to…

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Academic Paper Touts Bitcoin as “Hedge Asset,” Skeptical of Central Bank Coins

“How Do Private Currencies Affect Government Policy?” This central question is the focus (and title of) a newly published academic paper authored by NYU School of Law professor Max Raskin, McGill University Desautels Faculty of Management professor Fahad Saleh and NYU Stern School of Business professor David Yermack. The paper builds on previous research by numerous academics, including its own authors, who have a prolific publishing history examining how bitcoin and other cryptocurrencies interact with free-market, political and social entities. In this most recent paper, the team argues that “the…

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BitGo Appoints Former Xapo Vice President as Chief Revenue Officer

Cryptocurrency trust and security firm BitGo has appointed Pete Najarian as its new chief revenue officer (CRO), according to a press release. Najarian will report to the company’s CEO, Mike Belshe.  Prior to his appointment, Najarian was a senior vice president at wallet provider Xapo. He also had stints with the Royal Bank of Scotland as the global head of emerging market sales and served as the head of institutional client coverage at UBS. Speaking on the hire, Belshe praised Najarian and highlighted his understanding of the workings of capital…

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Citing Compliance, BitMEX Blocks Services to Hong Kong, Bermuda and Seychelles

Global cryptocurrency exchange BitMEX has closed its platform to users from Hong Kong, Bermuda and the Seychelles, determining users’ location based on the IP address of attempted connections. According to a press release issued by BitMEX on August 19, 2019, users from these locations will be blocked because this is where employees and offices affiliated with HDR Global Trading Limited, the company that owns and operates BitMEX, are located. Apparently, the move to block these locations is an attempt to remain compliant. “We have decided to restrict access to BitMEX…

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Miniscript: How Blockstream Engineers Are Making Bitcoin Programming Easy(er)

Bitcoin offered the first smart contract programming language the world had ever seen. Script, as this language is called, lets users encode different conditions under which coins can be spent. But while this was a revolutionary concept, it’s not easy to use, especially for more complex spending conditions. Both writing a complex contract as well as verifying that the contract does what it is supposed to do are prone to human error. Yet, especially with money at stake, correct interpretation of the conditions is of the utmost importance. Over the…

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Rakuten Wallet Launches Bitcoin Spot Trading

Rakuten Wallet has announced that it has launched a new service for crypto asset spot trading, complete with a dedicated smartphone app. The Rakuten Group is a Japanese e-commerce leader that has been in operation for more than 20 years, raking in annual revenue of more than $9.3 billion. The company was a relatively early adopter of the potential of bitcoin, first accepting bitcoin as a payment method in early 2015.  Since then, the company has demonstrated interest in embracing the world of cryptocurrency, setting up the Rakuten Wallet in…

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Crypto Exchange CGEX Will Shut Down in September

CGEX, the Malta-based crypto exchange opened by South Korean Coinone, will shutter its services next month. The exchange posted a termination notice late last week, saying that it would terminate all of its services on September 18, 2019.  Coinone established CGEX in October 2018, as a crypto-to-crypto exchange that connects and shares the order book with its Indonesian and South Korean platforms.  For many, this shutdown has been a long time coming. Two months earlier, the exchange abruptly suspended trading activities. While this occurrence isn’t entirely new, eyebrows were raised…

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Bitcoin’s Growing UTXO Problem and How Utreexo Can Help Solve It

Scalability is still a point of concern for Bitcoin — but clever minds continue to produce innovative proposals to resolve bottlenecks. One of the specific scalability concerns is the growth of the unspent transaction output (UTXO) data set held by Bitcoin nodes. This is the list of all (fractions of) bitcoin in existence and details on how it can be spent. Unfortunately, this list tends to grow over time, particularly as new users enter the system — they’ll have their coins reflected in UTXOs as well. In an attempt to…

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How the PlusToken Scam Absconded With Over 1 Percent of the Bitcoin Supply

On June 27, 2019, a handful of leaders for a wildly popular ponzi scheme that spread across Asia were arrested by Chinese authorities after they managed to fleece unwitting customers out of roughly $3 billion.  PlusToken, as it was called, promised its “investors” monthly returns of anywhere from 10 to 30 percent in its eponymous token (PLUS), which traded on such popular exchanges as Huobi and Bithumb. This attracted more than 200,000 bitcoin (1 percent of the outstanding supply, or the entirety of the Winklevi’s bitcoin holdings), 789,000 ether and…

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Cartoon: Bitcoin Baby

Some commentators have dismissed Bitcoin as a joke compared to blockchain technology, but Bitcoin is proving to be more resilient as a decentralized and truly novel approach to financial services. Most blockchain implementations in the financial service industry deliver cost efficiencies, but are still permission-based, which makes them similar to other centralized technologies. However, by using Bitcoin as a base layer, new digital cash systems can be built without the risks of regulation or shutdown, delivering true independence. The post Cartoon: Bitcoin Baby appeared first on Bitcoin Magazine.

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