Monthly Archives: November 2018

Japan: On the way to a sustainable crypto-economy

The Japanese Financial Market Authority (FSA) has issued a series of new guidelines for the regulated trading of crypto currencies. These new rules are aimed both at the country’s crypto exchanges and at various companies operating in the blockchain sector. Japan is thus continuing to create a regulated environment for the sustainable growth of the crypto economy.

Japan continues to work on a regulated ecosystem for trading crypto currencies. In the past year, Bitcoin was officially recognised as a legal tender. However, this was accompanied by government regulations that were to apply equally to financial service providers and crypto trading centres. Japan therefore opted for a proactive attitude towards crypto currencies, in which the ecosystem gets the chance to grow, but has to adhere to certain rules.

Promoting and calling for healthy crypto trader market development

Since the law came into force, the Financial Market Authority has started to clean up the crypto trader market. For example, all trading centres for crypto currencies had to undergo a state examination: https://www.onlinebetrug.net/en/crypto-trader-review/ The focus was on the implementation of anti-money laundering guidelines and compliance with the know-your-customer principle.

In the course of the investigations, a total of eleven crypto exchanges were initially granted an official license, with more being added later. The selected crypto exchanges were now equipped with a legal security that helps both the exchange operators and the crypto investors in the long-term trading of crypto currencies. Compared to the regulation of the traditional financial industry, however, crypto exchanges are still on a comparatively long leash.

The next step now follows

Now the FSA is tightening up the selection process for the licensing of crypto exchanges. According to the local newspaper Japan Times, the number of questions asked during the audit was increased to about 400. It now obliges applicants to submit minutes of board meetings. The aim is to check whether sufficient discussions have taken place on the safety and financial health of the company.

This is the Japanese government’s reaction to the experience it had with the Coincheck stock exchange at the beginning of 2018. The theft of NEM worth the equivalent of 430 million euros dealt a small blow to the FSA’s efforts to establish a healthy crypto ecosystem.

Japan: The shining example in East Asia
Japan is thus in sharp contrast to its East Asian neighbours, who fluctuate between hardness and helplessness when dealing with crypto currencies. When trying to control the uncontrolled growth on the crypto market by means of ICO bans and the closure of crypto exchanges, both fail to recognize that in the end crypto businesses are only driven more into illegality. Thus one takes the possibilities of state control over oneself. At the same time, they are depriving themselves of the potential that this growth market brings with it.

In Japan, on the other hand, it is precisely these potentials that are being exploited. To achieve this, the enormous growth is channelled into an orderly course through clear regulation. This is exactly the right measure to create a healthy crypto ecosystem. It also creates security and trust in crypto currencies and blockchain technology. Unfortunately, we in Europe are still waiting in vain for such an initiative.

How a software developer has pre-ordered his Tesla with Bitcoin

Mason Borda is a software developer at BitGo, founder of GitMoney and the Ethereum Wallet Etherli. In his spare time, the developer loves the challenges and innovations in the Bitcoin universe. That’s why he also hosted the 21hackathons.

Bitcoin secret fan for a long time

Borda is now making a name for himself with a new thing in his CV: he ordered the new Tesla Model 3 for 2.413612 Bitcoin. In his own article on onlinebetrug about Bitcoin secret scam, the developer describes the pre-ordering of his new electric car.

When he first read about Bitcoin secret, Borda writes, he learned about the release of the Tesla Roadster. That was in 2007, when he looked at the technical specifications and asked himself: How is it possible to undercut the acceleration time of the current Ferrari model from 0 to 100 km/h with an electric car? He considered this an unsolvable task. But the riddle made him doubt it on the one hand and on the other hand it aroused his interest for this technical challenge.

Borda developed charging stations himself
Borda wanted to know exactly and joined the Automotive Development Work Group at his college. He quickly led a team in the development of a charging station for mobile electric cars that were commercially developed. He regularly organized excursions to the Tesla Motors company where he enjoyed his first ride in the Tesla Roadster. This trip took place in 2010 and triggered pure enthusiasm at Borda.

How the developer came across Bitcoins

Today, in 2016, a lot has changed in Borda’s life. He has now discovered Bitcoins, a currency he is so convinced of that he constantly uses and even works for a company in this sector of the Fintech industry. Borda orders his Tesla with Bitcoins
So Borda decided without further ado: he wanted to pay the pre-order fee for the Tesla Model 3 with Bitcoins.

Said, done: Of course, the car manufacturer did not accept Bitcoins directly as a means of payment. That’s why he had to find another way. Borda came across Shakepay, a provider that offers “disposable credit cards” that can be loaded with Bitcoins. So he had loaded enough credit on the card without further ado and then made his pre-order with this credit card. As he himself says, this took him less than 60 seconds.

“Unspectacular” – one could say when reading how Borda really pre-ordered his Tesla. After all, he didn’t pay Bitcoins to Tesla, but used a credit card previously loaded with Bitcoins for payment. The “experiment” nevertheless shows something different:

He ordered a car that he had neither touched nor seen before and that is powered by electrons flying through copper cables. He paid for this order with a disposable card, loaded with a currency whose inventor is unknown and only appears under a pseudonym.

This is how Mason Borda himself describes it in his own article in English.

Errors that companies make in the Bitcoin formula topic

“Using the blockchain in the entrprise area is like filling a round gap with a square piece of the puzzle” – Is it true that the blockchain and capitalism contradict each other, or are we just about to enter the economic revolution?

What problem can the Bitcoin formula solve? Or: How do we solve this problem?

The Bitcoin formula can solve many problems. In addition to pure payment systems, their characteristics of decentralization and immutability provide the basis for implementing many things. Companies are increasingly interested in using blockchain technology to their advantage. After all, the Bitcoin formula topic is new. And it is hot. Everyone wants to be a part of it, be the first to do so and benefit from the hype.

The direction of the questions is often the problem: Again and again the question is asked which problem the blockchain can solve. “No” is the answer in the most frequent cases. Not because the blockchain offers too few possibilities to discover new use-cases with it, but because the question is past oriented.

The Blockchain as Non plus ultra

We must begin not to see the blockchain as a non plus ultra, as something (like the Internet today) that everyone must be able to use once, and which, among other things, is about the speed of being one of the first to be there. It is much more about seeing the blockchain as an approach, to put it in economic terms, an “approach” that can be considered when solving a problem.

In order to measure the real potential of the blockchain, the question must be asked what a decentralized approach means for one’s own industry. A blockchain does not make sense in all cases. Often enough, it even contradicts conventional business models that do not work in combination with the technology.

This does not mean, for example, that a bank should not deal with blockchain technologies because a blockchain, as in the case of Bitcoin, could replace the huge construct of the conventional banking system, but that banks should consciously confront this question in order, on the one hand, to sound out the disruptive effect this development has on their own business and, on the other hand, to carry out a structural change. It may be that the classical, public blockchain completely contradicts the concept of a bank. This is not one reason for avoiding it altogether. From the bank’s point of view, shrinking one’s own business is perhaps more advantageous in the long run than replacing it by others through the implementation of these ideas.

White House waves off the news syp – no crypto-regulation so fast

This week, the White House has rejected a possible crypto-regulation. Instead, they are still in the learning process. This was said by President Rob Joyce’s cybersecurity commissioner on Friday, CNBC, at the current Munich Security Conference. Hearings by the US Senate in the last few weeks with the responsible supervisory authorities had recently sparked speculations about upcoming draft laws.

The road to the news spy is still long

Trump consultant Rob Joyce stressed this to CNBC on Friday at the Munich Security Conference, confirming a calming course in the news spy crypto handling. In Munich this weekend, Joyce emphasised that the news spy current learning process was more about carefully weighing the risks and opportunities of decentralised currencies before imposing a legal framework on them.

“I think we are just beginning to learn and understand what the good and bad ideas are [in crypto currencies]. I don’t think this [upcoming regulation] is imminent”,

said the president’s special advisor. With his statements Joyce brings further reassurance into the discussion about the upcoming US regulation. Previously, hearings of the US Senate with the responsible supervisory authorities had led to speculation about approaching laws.

Nevertheless, Joyce stated on Friday that the criminal potential of crypto currencies was particularly problematic:

“We are concerned. The Bitcoin concept has advantages. But at the same time, if you look at how Bitcoin works after a crime has been committed with it, you can’t always turn back the clock and withdraw the currency [editor’s note: or payment].

Joyce in Munich believes that anonymity and a lack of traceability are particularly challenging. Once a year, international leaders, top politicians, military officials, security experts and representatives of international organisations, academia and business debate current issues and challenges in security and defence policy. It is the largest meeting of its kind in the world.

IMF and US Treasury: curbing crypto-crime

With his statements Joyce as representative of the White House in Munich reflected on Friday also the opinions of the US Secretary of the Treasury Steven Mnuchin. This had spoken last approximately in the context of the World Economic Forum in Davos of wanting to fight criminal machinations in the haze circle of crypto currencies. He had also given reason to reassure future laws. At present the same laws and editions would apply to crypto currencies and their owners as to each other bank.

The demands of the International Monetary Fund (IMF) sounded more drastic this month. Its head, Christine Lagarde, predicted last week that global crypto regulation was “inevitable” ahead. The IMF chief also sees reasons for this primarily in the dangers of illegal use. She stressed that the IMF is currently actively pursuing efforts to curb the possibilities of money laundering and terrorist financing through digital currencies. It was necessary to know who was using Bitcoin and whether the necessary conditions were in place.