Categories
Cryptocurrencies Ethereum Ripple

Ripple Attempts To Drag Ethereum Into Its Problems Ahead Of Court Date

It’s been no secret for a while now that Ripple have gotten themselves into hot water ahead of their court date with the U.S. Securities and Exchange Commission (SEC).

With a preliminary court date set in a little over 3 weeks – the 22nd of February to be precise – times have not been good for Ripple Labs, with multiple exchanges delisting XRP, MoneyGram issuing statements that seem to have been issued with the intention of distancing themselves from the fallout, and the price of XRP plummeting as a result.

FOIA Request For Ethereum

In RippleLabs official response to the SEC, they have reiterated the fact that XRP is not a security and thus is not within the SEC’s jurisdiction.

The team also appear to have begun pointing fingers at other high-profile cryptocurrencies, inquiring what sets them apart from Ripple.

“The SEC has clearly picked two winners and ignored a growing and robust industry that is much larger than Bitcoin and Ether. In addition to discovery we will seek directly in the lawsuit, we filed a Freedom of Information Act (FOIA) request for more information about how the SEC determined the status of Ether as a non-security.”

Ripple have since sent a Freedom of Information Act (FOIA) request to the SEC, asking for all information regarding Ethereum’s status. The SEC has stated in the past that Ethereum is sufficiently decentralized – which prevents it from being a security, and classifies it as a commodity instead. This places Ethereum under the jurisdiction of the U.S. Commodity Futures Trading Commission.

The FOIA request also seems to use the constant fear of US institutions regarding Chinese control of digital and other assets, hinting that China-based Bitcoin and Ethereum mining pools could mean that Ethereum is as controlled by one party as XRP is by Ripple.

Categories
Australia Blockchain Industries

Australia’s eSafety Commissioner Toys With Blockchain Digital IDs As A Way To End Harassment

Following polemics regarding what level of anonymity should be afforded to Internet users and at what point anonymity can become harmful, the Australian eSafety Commissioner has brought up the idea of using a blockchain-based digital ID on tech platforms – with the intent of affording anonymity unless Law Enforcement Officers request access.

Laws Around The World Are Out Of Sync

Although the European Union’s GDPR has gone a long way in restricting big tech companies from accessing unnecessary personal data within the EU, most countries outside the EU do not have nearly as stringent security regulations.

Julie Inman Grant – the eSafety Commissioner – touted blockchain as a possible solution to the question of affording internet anonymity to allow for free speech while preventing the spread of harmful ideas.

Commenting on the calls to crack down on social media giants following their ability to restrict anyone from accessing their platforms – sometimes without giving a clear reason – Mrs. Grant commented that the current approach social media platforms take towards moderating the content on their platform may be lackluster.

“There’s more that they can do in terms of their intellectual capability, their access to advanced technology, their vast financial resources, to come up with better systems to identify who’s on their platforms and violating their terms of service. And even beyond that, they need to do a better job at enforcing their own policies. They’re the only entities that can see all the signals, in terms of who might be being targeted at scale or whether an account setup was done simply for the purposes of trolling.”

She went on to say that current government regulations regarding online platforms may also need to be revisited – since at the time they were written, they allowed social media platforms a lot of leeway regarding the responsibility for the content they hosted.

Using blockchain to prevent abuse on social media is worth looking into – although it would also merit a lot of scrutiny, so as to not interfere with the rights of those who are not using anonymity as a cloak for nefarious purposes, but simply in order to keep as much of their data private as possible.

 The rise in users joining Telegram, Signal, Protonmail, and other communication services in recent months is proof that a great number of people (understandably) do not appreciate a too-big-to-fail entity peering over their shoulder looking for marketing opportunities – and the world of tech should adapt to that.

Categories
Australia Blockchain Crypto News Stablecoins

EFTPOS Australia To Run Hedera Hashgraph Node

EFTPOS is primed to join the Hedera Governing Council following tests that were run in order to determine the feasibility of a digital AUD for micropayment purposes.

EFTPOS is known for its financial services that include the mobile wallet Beem It – and also runs lesser-known services such as digital identity checks for joining public and private networks, as well as a national QR code payment system.

Local Node To Be Up And Running Within The Year

Hedera Hashgraph is a highly scalable enterprise-grade distributed ledger that is already helping Australia by ensuring the quality of Aussie agriculture.

Hedera is run by a number of leading tech companies worldwide – with their Governing Council including high-profile firms such as WIPRO, Avery Dennisson, DLA Piper, Boeing, Google, LG Electronics and IBM.

Following EFTPOS Australia’s joining of the council, it will establish it’s own Hedera node as proof of commitment to Hedera’s global project.

According to Stephen Benton – the CEO of Eftpos – the Hedera endeavour may open up Australian businesses to new, secure ways of running their affairs.

“By joining the Hedera Governing Council and running the Australian node, alongside some of the world’s largest and most influential companies, we are excited to participate in the development of next-generation micropayments technology that has the potential to open up entirely new ways of conducting business for Australian enterprises and enable compelling new experiences for Australian consumers.”

The Australian side of the project will see the new eftpos API infrastructure connected to an AUD-based stablecoin.

The stablecoin side of the project was led by Robert Allen, an EFTPOS’ entrepreneur.

“Use cases like this simply are not possible on other public blockchains. Along with several partners, we are now exploring a variety of use cases that this combination of technologies enables and the options to commercialise them.”

Although rather secretive, the above statement seems to indicate that the project will be expanding – and coupled with the RBA’s own research into a digital AUD, more widespread use of the digital CBDC may not be too far off.

Categories
Bitcoin Blockchain Europe

Estonia And Colombia Decide To Host Bitcoin Whitepaper

Last week, Craig Wright – who claims to be Satoshi Nakamoto – had his lawyers send takedown requests to multiple hosts of the Bitcoin Whitepaper, including Bitcoincore and Bitcoin.org.

Dispute Regarding Identity

Although Bitcoincore complied with the takedown request, Bitcoin.org refused to, stating that there is no proof that he really is Satoshi – although if he were, he could prove himself to be him.

In fact, Satoshi Nakamoto has a publicly-known PGP key that Mr. Wright could use to verify his claim, if he truly is Satoshi Nakamoto.

“We will continue hosting the Bitcoin whitepaper and won’t be silenced or intimidated. Others hosting the whitepaper should follow our lead in resisting these false allegations. We believe these claims are without merit, and refuse to [take it down]. By surrendering in this way, the Bitcoin Core project has lent ammunition to Bitcoin’s enemies, engaged in self-censorship, and compromised its integrity.”

Since then, multiple other websites and entities have made the decision to host the Bitcoin whitepaper, considering that Craig Wright – who is the chief scientist at nChain – is demanding something that goes against the principles Bitcoin and cryptocurrencies in general have been founded on.

Among these entities, the governments of Colombia and Estonia have chosen to host the whitepaper on their servers.

Estonia has been climbing their way to the top of the fintech world for quite some time now, so this decision should not come as a surprise.

Although not on behalf of the government, Patrick McHenry of the U.S. House Financial Services Committee has also decided to host the whitepaper on his official congressional government webpage.

The original whitepaper was published under a free and permissive MIT liscence, and many believe that the copyright claims go against everything blockchain technology was founded upon.

Categories
Australia Blockchain Industries

Everledger To Provide Blockchain Solution For Australian Wool Innovation

Australia produces close to a whopping 90% of wool used in clothing worldwide. In an effort to improve the traceability of its wool exports, Australian Wool Innovation (AWI) – the parent company of the more well-known subsidiary The Woolmark Company has announced that they will be collaborating with Everledger in order to develop a blockchain tracking solution.

Initial Stage To Focus On Proof-of-Concept (PoC)

Everledger will host their future Electronic Chain of Custody Tool (ECCT) on their own platform. The purpose of the tool is to trace shipments of wool from the farms they originate from all the way to the end customer, across multiple suppliers and shipping companies.

Aside from allowing retailers to garner a favourable reputation by providing proof of delivery from one of the best sources of wool worldwide, using blockchain technology to track shipments can also ensure compliance with international trade laws and more.

According to John Roberts – the Chief Operations Officer (COO) of AWI, the initial stage will be a test run, after which the company will see whether to invest in a full package deal from Everledger or seek solutions elsewhere.

“Our organisation and stakeholders have been monitoring the rapid escalation in emphasis being placed on provenance, corporate social responsibility, and the perennial concerns regarding supply chain efficiency and biosecurity. Traceability and transparency are critical for safeguarding the global reputation of Australian wool. This partnership with Everledger will help us to ease the flow of information up and down the supply chain to all parties, and so communicate wool’s benefits to a wider audience. Ultimately, this is good news for our farmers and related small businesses that rely on these remarkable sheep to make a living.”

In return, Leanne Kemp – the CEO of Everledger – stated that they are glad to be a part of the partnership, since corporate responsibility and low environmental impact are core values that they share as well.

Categories
Australia Blockchain Crypto Art Tokens

Alien CryptoPunk NFT Sold For 605 ETH At Auction

NFTs (Non-Fungible Tokens) are unique cryptographic tokens – usually representing an artistic piece – that have been gaining attention for quite a while now.

In Australia, some NFTs have been sold to raise money for charity, such as this true blue F1 race car. The profits have gone towards reducing the impact of the bush firres that tore through Australia in early 2020.

Although they became widely known due to the CryptoKitties project, there is an older project whose artworks are becoming more and more expensive – namely CryptoPunks.

A 75x Increase In Value

Developed by Larva Labs, these unique tokens were created long before the ERC 721 standards and hearken back to the old days of retro pixel art.

Following some intense bidding, Punk #2890 has been sold for a whopping 605 ETH to a group of investors – including FlamingoDAO – who are interested in collectible NFTs.

Although each punk is unique, some are especially rare, especially the ones that are Aliens or Zombies.

This particular NFT represents a blue alien punk that has increased 75x in value since its last sale.

According to a spokesman for the investment group, the enormous valuation that the piece currently has will increase over time – especially as the world becomes more and more digitalized.

“It’s simple: Cryptopunks is a groundbreaking project; it pre-dated the ERC 721 standard and crypto kitties. Aliens are the rarest form of Cryptopunk and we believe that the acquired Alien will be prized by collectors over time and mature into an iconic digital art piece.”

@gmoneyNFT – an NFT collector who also recently purchased a Cryptopunk for 140 ETH – dismissed the criticisms regarding the artworks high price, comparing it to high-priced items found in everyday life.

“Why would someone pay millions of dollars for an original Andy Warhol screen print when you can buy the same one online for $20? Why would someone buy a pair of yeezy’s for $300 when you can buy a fake from the same factory, made with the same materials for much less? Humans like to feel special. The provenance has value.”

Whether NFTs will slowly replace physical artworks at Tate Gallery auctions is up for debate – nevertheless, the interest in them does not seem to be slowing down.

Categories
Bitcoin Bitcoin Mining Mining

Miners Scramble For Semiconductors As Shortages Drive Rig Prices Up

A semiconductor shortage has been going on – to various degrees – for over a year at this point, affecting all industries dependent on them. Ford has shut down some plants, and the production of computer components has also been facing constraints. GPUs and the like are in short supply – and mining rigs are no exception.

Inventory Sold Out Nearly An Year In Advance

Bitmain – one of the leading cryptocurrency mining rig companies in the industry – has had their entire inventory sold out all the way up to August 2021.

The last remaining rigs have also greatly increased in price. For instance, the Bitmain Antminer S19 had a going price of $1897 per unit. The price has since skyrocketed and an Antminer S19 will now set you back $2767.

According to Alex Ao – the vice president of a semiconductor manufacturer named Innosilicon – there are simply not enough chips lying around to meet the growing demand after a great year for Bitcoin.

“There are not enough chips to support the production of mining rigs. These capacity expansions occurred even as Bitcoin went through its quadrennial halving that saw block reward subsidies cut in half. Thus, while China still dominates the global hash rate distribution, North American mining interests are reportedly “squeezing supply to China.”

The unfortunate side result of this shortage is that small-time cryptocurrency miners are being slowly pushed out of the market, as they are left without mining rigs to purchase in the wake of massive industrial-scale mining farms located in China and North America.

Big crypto mining farms are also facing their share of problems, however – for instance, authorities in the Chinese province of Yunnan ordered electricity producers to cut off the power supply to crypto miners.

What consequences the mining rig shortage may have on cryptocurrency prices remains to be seen – for instance, it may persuade more crypto users to HODL, knowing that the increased rarity of new blocks mined may drive the price of cryptocurrencies up in value.

Categories
Bitcoin Blockchain Cryptocurrencies

Bitcoin.org Rebuffs Craig Wright, States That They Have No Intention Of Complying With His Demands

As a project published under the free and permissive MIT license granted by whoever is the one behind the name Satoshi Nakamoto, the whitepaper hosted on Bitcoin.org has a right to remain up, according to Bitcoin.org.

We will continue hosting the Bitcoin whitepaper and won’t be silenced or intimidated. Others hosting the whitepaper should follow our lead in resisting these false allegations.

Cøbra, domain owner of Bitcoin.org

The nChain chief researcher – who goes by the name of Craig Wright – claims to be the one behind the name Satoshi Nakamoto, and has had his lawyers send takedown notices to various websites hosting the Bitcoin.org website.

He claims the hosting to be theft of his intellectual property – a view of the subject quite different from the ethos of the top cryptocurrency’s creator. Mr. Wight also appears to be an ardent supporter of Bitcoin Satoshi’s Vision (BSV), a cryptocurrency whose legitimacy has been hotly debated in certain circles.

Verifiable Claims Unverified

Although Bitcoin.org refused to take down the whitepaper, calling the claims without merit, others – such as Bitcoincore – have done so. In addition, the team at Bitcoin Core have also deleted references to it and merged the changes on Github.

Bitcoin.org commented on the decision by Bitcoin Core, stating that their decision may hurt them in the long run.

We believe these claims are without merit, and refuse to [take it down]. By surrendering in this way, the Bitcoin Core project has lent ammunition to Bitcoin’s enemies, engaged in self-censorship, and compromised its integrity.

Cøbra, domain owner of Bitcoin.org

Furthermore, Bitcoin.org stated that Satoshi Nakamoto has a public PGP key that is widely known. Therefore, if Craig Wright wanted to reveal himself to be Satoshi Nakamoto without a shadow of a doubt, he could simply verify his claims using this key – and not doing so does nothing but cast even more doubts on his claim.

Categories
Bitcoin Cryptocurrencies Industries

Crypto Criminals Fall Off Massively In The Past 2 Years

Cryptocurrency has had a great year in 2020, unlike most industries – the amount of uncertainty in the economy cause by events such as the ongoing pandemic, nearly a quarter of all US Dollars in existence being printed in one year has spurred this on, as well as a large amount of people working from home and being able to save more due to cutting down on expenses related to transit, office lunches and the like.

Cryptocurrency has also become more trustworthy; not only have big-league financiers hopped onto the crypto trend, crypto-related cybercrime has also gone down sharply.

Chainalysis Reports Crime Drop – But Ransomware Attacks May Still Be Underreported

According to a recent report by Chainalysis, in 2020 only 0.34% of all cryptocurrency transactions seem to be related to crime, as opposed to 2.1% in 2019.

This is a great development if we take into account that most coverage of cryptocurrency in the early 2010s was mostly related to certain criminal enterprises and unreliable exchanges. Since then, cryptocurrency has become a well-viewed way to stock value and carry out transactions – and will likely gain even more of a reputation as DeFi advances.

However, the number of ransomware attacks has increased since 2019 – and many ransomware attacks demand payment in cryptocurrency.

“That may sound counterintuitive, as ransomware accounted for just 7% of all funds received by criminal addresses at just under $350 million worth of cryptocurrency. But that figure represents a 311% increase over 2019. No other category of cryptocurrency-based crime rose so dramatically in 2020, as Covid-prompted work-from-home measures opened up new vulnerabilities for many organizations.”

The figure may actually be even higher, since many ransomware attacks go unreported due to either embarrassment or the fact that revealing this may have an even bigger fallout, if say corporate documents were held in an unsecure manner, allowing this to happen.

At the end of the day, however, crypto-related criminal activity has decreased massively compared to last year – which should allow more investors to get into the cryptocurrency market with peace of mind.

Categories
Australia Bitcoin Cryptocurrencies

Cryptocurrency Trader Sues ANZ and Westpac Following Denial Of Banking Services

A cryptocurrency trader will be suing Westpac and ANZ in the ACT Civil and Administrative Tribunal, claiming the closure of his accounts with little to no prior warning have cost him a substantial amount.

The plaintiff – who goes by the name of Allan Flynn – ran a crypto exchange business registered with AUSTRAC, and claimed to have up to 450 customers for whom he would purchase and manage Bitcoin.

Multiple Accounts Closed

According to Mr. Flynn, up to 20 of his accounts have been closed by Aussie banks such as Bendigo, CBA, and NAB.

According to him, he knows of at least one other trader who has had his accounts closed over 60 times.

Thinking that the reason for other closed accounts may have been the fact that he was dealing in cryptocurrency without mentioning it, he opened new accounts with Westpac and ANZ clearly stating that they were to be used expressly for cryptocurrency trading.

However, the 2 new accounts were also promptly shut down.

So far, an ANZ spokesman stated that they would be defending themselves in court. Although ANZ does not bar its customers from purchasing Bitcoin, it is possible that they do not take kindly to businesses who operate in this sector.

Mr. Flynn visited a Westpac branch to try to get answers, and was told the account was closed because of an investigation into cryptocurrency fraud.

“How am I supposed to run a lawful business if I can’t get a bank account?”

One bank also removed Mr. Flynn as a signatory to a term deposit account held in his brother’s name which held  an inheritance from his parents.

The court hearings should take place sometime in March and will surely be a matter of interest for crypto traders around Australia.