Author: Robert Drage

Robert is a freelance researcher, with a background in information science currently interested in blockchain technology and technical developments in the field.

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Bitcoin Crypto Exchange Crypto News

Web Traffic on Crypto Exchanges Hits New All-Time Highs

The crypto space has been turbulent during the past few months but according to new evidence, crypto exchange web traffic hit an all-time high in May.

According to data compiled by The Block, web traffic to cryptocurrency exchanges reached a record high of visits, with exchanges recording a total of 638.23 million visits in May. This represents a 20.4 percent increase compared to April and a 33 percent increase from March.

The most visited crypto exchange during May was Binance, with 39.4 percent of the traffic, followed by Coinbase with 19.9 percent. 

Binance Is Growing Fastest in 2021

Coinbase, one of the major US crypto exchanges, does not deal exclusively in crypto whereas Binance is a crypto-only exchange. Among the crypto-exclusive exchanges, Binance has by far the biggest market share with 72 percent in this category.

Binance looks to be dominating almost all research metrics relating to crypto exchange usage.

Cryptos Piquing Aussie Interest

At the same time, the number of Australians embracing crypto is clear when looking at who uses exchanges and related technology. Earlier this year, Binance Australia saw record growth in Q1 2021 and Swyft also saw record growth due to crypto’s massive increase in popularity and mainstream media coverage in Australia.

There has also been an increase in crypto-related searches on Google for Bitcoin (BTC) and NFTs, and an all-time high number of searches for Ethereum (ETH) in the past four months. Additionally, the volume of Aussies looking at cryptocurrencies on TradingView is up 132 percent since July 2020.

Looking at the information, it’s clear there is keen interest in cryptocurrencies and that people are more active on exchanges than ever. Whether it’s buying or selling, there’s lots going on.

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Bitcoin Crypto News Institutions Investing

$1.5 Trillion Investment Fund To Launch Two Crypto ETFs

Invesco is the latest investment management firm to apply for crypto-based exchange traded funds (ETFs), adding to the pile of ETFs the Securities and Exchange Commission (SEC) still needs to decide on.

According to the filing sent to the SEC, Invesco – which holds US$1.5 trillion in assets – has applied for two ETFs that are crypto-linked equities like Square and Microstrategy. These are the Galaxy Blockchain Economy and Invesco Galaxy Crypto Economy ETFs, where nearly 85 percent of the funds will sit. The rest of the portfolio will be put in other trusts and funds that hold cryptocurrencies.

ETF Applications Queueing Up

A queue of companies waiting to hear about their Bitcoin (BTC) ETFs has already formed. There are at least 12 issuers, including Fidelity Investments, Grayscale Investments and WisdomTree Investments, which are currently chasing Bitcoin ETFs, and the SEC has acknowledged at least six applications. This means it has a limited amount of time to make decisions about approval.

Some of the current Bitcoin ETFs [Bloomberg]

The logic is that since the SEC doesn’t seem to have a favourable view of Bitcoin, Invesco’s funds may be able to sidestep the SEC’s Bitcoin ETF blockades by only investing indirectly in cryptocurrencies.

Other companies have tried a similar route, such as an application for the Volt Bitcoin Revolution ETF filed recently that would also target companies exposed to Bitcoin. Or Bitwise Crypto Industry Innovators ETF, which tracks companies such as crypto miners and payment firms, launched in May.

Earlier in 2021 we also saw the ASX set to launch a Crypto ETF later this year due to high demand in Australia.

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Crypto News Ethereum Gas

Users Raise Security Concerns of Chrome/Brave Extension “GasNow”

Browser extension GasNow, which is used to keep track of Ethereum gas fees, has recently gained permission settings that are unsettling some of the crypto community.

GasNow is an extension available on Chrome and Brave browsers that allows users to track gas fees and set up alerts. Following a recent update to the app, it now asks to have access and modify what’s in your clipboard (when you copy text or other data with a device it gets put on the clipboard).

Security Concerns

This is a major security concern because, when you copy an address to send funds to, the extension can detect that event and switch the address with another when you paste it.

This will lead to your funds being sent to another address and your crypto being lost in cyberspace if you don’t double-check the address you pasted. Other scams have happened before due to malicious Chrome extensions.

Comments on Chrome web store

This automatically creates a problem for Brave users as well since third-party extensions are not vetted by Brave individually, and the Brave browser can only use Chrome extensions.

What The Developers Said

Most financial/crypto developers are usually aware of the massive security risk with this permission (not just crypto but in general, as it can be used to collect passwords). With such a potential added risk, individuals in the crypto space are becoming increasingly skittish with the proliferation of scams in recent times.

If you are using another similar extension, check the permissions that have been granted because there are other extensions using this technique. And remember to Do Your Own Research (DYOR).

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Australia Bitcoin Crypto News Data

Australia Makes List of Top 20 Bitcoin Gains by Country for 2020

A report tracking dollar gains for 2020 shows that Australia is ranked among the top 20 countries that made gains from Bitcoin last year.

According to the report by Chainalysis, 2020 was a massive year for institutional investors, pushing up the price to new all-time highs. For example, the US made over three times more gains on its investments than China, which placed second in the list.

2020 Bitcoin Gains by Country [Chainalysis]

The data was calculated from US dollars gains and shows US-centred exchanges with huge inflows towards the end of 2020, which could be a factor accounting for the country’s large gains, placing it in top spot.

Australia Places 19th Position

Australia’s favourable outlook on cryptocurrency may be one of the reasons it placed so high on the chart. Australians seem to be excited about Bitcoin, with one poll showing a quarter of employees would accept their remuneration in BTC if possible.

Not only did Binance Australia break records recently, but the government has stated it will not stand in the way of cryptocurrency development in the country. Jane Hume, an Australian Senator and Minister for Superannuation, Financial Services and the Digital Economy, said that people and organisations needed to make their own decisions regarding crypto as long as they follow the law.

Small Countries, Big Gains

Various countries are investing a lot more in Bitcoin relative to traditional economic metrics such as gross domestic product (GDP). Vietnam is one of those countries, with a GDP of $262 billion and categorised as a lower-middle-income country by the World Bank. Yet it has a high level of basic cryptocurrency adoption, ranking 13th in Bitcoin investment gains at $351 million, outperforming countries that rank higher in GDP including Australia, Saudi Arabia and Belgium.

Other countries that displayed a similar phenomenon:

  • The Czech Republic ranks 54th in GDP at $251 billion but is 18th in realised Bitcoin investment gains at $281 million
  • Turkey ranks 25th in GDP at $761 billion but 16th in realised Bitcoin investment gains at $300 million
  • Spain ranks 19th in GDP at $1.4 trillion but 9th in realised Bitcoin gains at $554 million.

We also recently saw El Salvador become the first country to adopt Bitcoin as legal tender. Big plays like this could really factor in the Bitcoin gains list for 2021; could we see other countries challenge the US for top spot?

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Bitcoin Bitcoin Mining Crypto News

Dorsey’s Square and Blockstream To Build Solar-Powered Bitcoin Mine

Square, the digital payment firm, is partnering up with prominent Bitcoin and blockchain technology firm Blockstream to construct an open-source, solar-powered Bitcoin mining facility in the US.

According to an article released by Blockstream, the facility will be built at one of its mining sites. Blockstream will be providing the infrastructure and expertise to manage the project, while Square will be making a US$5 million investment.

Why is this mine so special? There are other mines that operate on renewable energy or offset their carbon emissions by buying carbon credits.

The difference is this mine will be open-source and aims to be completely transparent from construction to economics. The facility will be a proof-of-concept for a 100 percent renewable energy Bitcoin mine at scale, with the economics of the build-out – including operational costs and ROI – revealed to the public.

We hope that the open and transparent nature of the project will become a model that other businesses can learn from […] We’re hoping to demonstrate that a renewable mining facility in the real world is not only possible but also empirically prove that Bitcoin accelerates the world toward a sustainable future

Chris Cook, Chief Information Officer and head of mining, Blockstream

Two Birds With One Stone For Square

The new initiative is also part of Square’s pledge to make its Bitcoin activity carbon-neutral by 2030. Under that commitment Square has promised to fund Bitcoin projects that reduce its carbon footprint. 

The bonus is that while Square is busy sustainably mining Bitcoin, its researchers will be able to document the process as a case study for future use. “We’re thrilled to partner with Blockstream to provide an open-source working model for our combined thesis that Bitcoin can further accelerate the renewable energy transition,” said Neil Jorgensen, Global ESG Lead at Square, Inc.

The project will serve as an ongoing, transparent case study that will allow us to all learn together the specific unit economics of clean-energy Bitcoin mining. We can’t wait to start sharing our results with the community.

Neil Jorgensen, Global ESG Lead at Square

Categories
China Crypto News Regulation

Market FUD Again As Chinese Social Media Blocks Crypto Content

As concerns continue to build about the repression of cryptocurrencies in China, the tolls are visible in the market as crypto opinion leaders have their accounts blocked.

After the news of “Key Opinion Leaders” (KOL) accounts being banned on Weibo, the price of Bitcoin (BTC) and various other cryptos took a sharp dip. The Fear, Uncertainty, and Doubt (FUD) cast on crypto by the Chinese government has released quite a few Bitcoins from individuals fearing to lose their money.

Social Media-Inspired Volatility

When reports of the blocked accounts hit around 5:30am ET (about 9:30 UTC), it triggered a drop in the price of most major cryptocurrencies. The plunge seen in the following price chart of Bitcoin starting at that time sent ripples through various other major cryptocurrencies.

BTC price chart 5 June [Trading View]
Drop during news launch of multiple cryptos [Trading View]

This is not the first time China’s social media platforms have purged influential accounts related to cryptocurrency. In 2019, Weibo banned the accounts of Binance co-founder Yi He and cryptocurrency entrepreneur Justin Sun.

However, does banning a few Weibo accounts actually mean anything? As of less than a week ago, the US also had a ban on crypto advertising on social media, which it has only recently revised.

Beijing’s Logic

According to the South China Morning Post last month, Liu He, Chinese President Xi Jinping’s top economic adviser, said the government would “crack down on Bitcoin mining and trading behaviour, and resolutely prevent the transfer of individual risks to society”. The Chinese government’s reasoning is that one of the risks cryptocurrencies pose is how easily the market can be influenced by individuals.

As Colin Wu, a Chinese journalist who runs a cryptocurrency news site, posted to Twitter: “The accounts blocked by the Chinese government are mainly recommending investment and trading crypto to retail investors.”

“The government makes it clear that no Chinese version of Elon Musk can exist in the Chinese crypto market,” says NYU Law School adjunct professor Winston Ma.

This shows the Chinese government doesn’t need more uncertainty than influencers already bring to the table.

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Bitcoin Bitstamp Crypto News Sports

Gamers Can Now Wager Bitcoin When Playing Counter-Strike

Now you can wager on your Counter-Strike games using ZEBEDEE Bitcoin gaming wallet and Infuse technology that lets you scan a QR code, join a lobby, and play Bitcoin-infused games.

Earlier this year, Counter-Strike: Global Offensive (CSGO) got an unofficial Bitcoin integration through Bitcoin start-up ZEBEDEE, where players pay a few Satoshis (1 Satoshi = 1/100,000,000 BTC) as an entry fee and if they perform well, they can walk away with a few extra.

Improved User Experience With Bitstamp

Using ZEBEDEE’s Infuse, servers players will be able to scan a QR code to pay a small amount of BTC – as little as 100 Satoshis – as an entrance fee. Different servers have different rules, fees and rewards. Your potential winnings will fluctuate based on your percentage of the total game score. And after the game you can withdraw your winnings.

ZEBEDEE admitted that previously it was a bit tedious to transfer funds or swap cryptos with their native wallet. However, now with Bitstamp integration “users can log into the ZEBEDEE wallet using their Bitstamp account info, making it easier for players to move and convert the Bitcoin they win while playing games”. By bridging the gap between the world of Bitcoin gaming and the global economy, gamers will be able to move Bitcoin between games and the real world with ease.

Bitcoin gaming wallet [ZEBEDEE]

ZEBEDEE’s integration uses Bitcoin’s Lightning Network to handle the transactions. In the late game, ZEBEDEE plans to launch servers that won’t require an entry fee, thanks to sponsors and advertising.

Allowing Normal Players To Monetise Their Fun-time

“The biggest revolution will be for ordinary players,” says ZEBEDEE CEO Simon Cowell, adding that “at the moment, esports tournaments are only open to a small elite of pros who win all the money”. ZEBEDEE’s service will allow no-pro gamers and crypto enthusiasts alike to leverage their skills and earn/lose some crypto playing games they enjoy. Simon also says that more infused games will be added later.

Bitcoin really does change the game, in more ways than one. Suddenly your score inside the game has real-world economic value. This massively increases the level of engagement you have with the game, but it also points to previously impossible economic models. I thoroughly believe that gaming is how we bring the next billion users into crypto and that, in the future, young people will earn their first paycheque simply by playing games.

Simon Cowell, CEO of ZEBEDEE
Categories
Crypto News Crypto Wallets Ethereum Mining

Norton Antivirus Reveals Norton Crypto, a Crypto Mining Add-on

NortonLifeLock is launching a new feature for their users that will allow them to mine Ethereum (ETH) from their own computers. The software is there to allow users who opt in to skip all the steps and mine crypto with only a few clicks.

From June 3, Norton 360 customers in the early adopter program were invited to mine Ethereum. At launch, the tool would only allow users to mine Ether, the cryptocurrency of the Ethereum network, the world’s second-largest crypto. However, Norton told CNN it may allow users to mine other “reputable cryptocurrencies” in the future.

We are proud to be the first consumer Cyber Safety company to offer coinminers the ability to safely and easily turn the idle time on their PCs into an opportunity to earn digital currency.

Gagan Singh, chief product officer at NortonLifeLock

The Norton press release claims its service is well suited to people who don’t want to deal with the nitty-gritty of setting up mining software and are afraid of using “unvetted code” that could be skimming or planting ransomware on their machines.

The Norton Mining Pool

Mining from a normal computer is very difficult since one requires significant power to crack the Proof-of-Work puzzle. Mining in a pool allows many computers to contribute joint resources over a network and split the reward based on how much work their machines did together.

Pools almost universally take a percentage cut of all earnings, this being a widely used standard. If it is indeed the case that users will be contributing to a mining pool, Norton will be leveraging its millions of customers’ computers to generate a new income stream.

Norton Crypto Wallet

Any earnings will be funnelled into a cloud-based wallet called the Norton Crypto Wallet. From there, users will be able to trigger transactions and receive payments. It’s funny to consider the possible additions to hashrate from 13 million Norton 360 users.

There Could Be Some Issues

Norton 360 users might need to consider tax implications before getting a surprise in the tax season. In the US, mined cryptocurrency is considered by the IRS as a taxable event and must be reported on tax returns as income.

The other side is environmental; does this mean that more people will leave their personal computers in idle to mine crypto? This might cause a higher electricity bill for some unsuspecting customers. Also, most mining farms have carbon offset technologies or make use of sustainable energy, where most individuals don’t.

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Crypto Exchange Crypto News Crypto Wallets Google

Google Revokes Its 2018 Ban on Crypto-Related Advertising

Google is lifting its advertising ban regarding cryptocurrency exchanges and digital wallets. The new policy outlines the hurdles that need to be cleared to allow advertising for cryptocurrency-related business and services.

New Crypto Ad Rules

An official policy update by Google stated that “(from) August 3, advertisers offering Cryptocurrency Exchanges and Wallets targeting the United States may advertise those products and services”. However, they will need to be certified by Google first, through meeting these specific requirements:

  • To be registered with either a Financial Crimes Enforcement Network (FinCEN) as a Money Services Business and with at least one state as a money transmitter; or a federal or state chartered bank entity. 
  • Must comply with relevant legal requirements, including any local legal requirements, whether at a state or federal level.
  • Must ensure their ads and landing pages comply with all Google Ads policies.

There are still some categories in the crypto space that will not be permitted to advertise. These include Initial Coin Offerings (ICOs), Decentralised Finance (DeFi) trading protocols, and “Ad destinations that aggregate or compare issuers of cryptocurrencies or related products”. For an exhaustive list of restricted financial products, have a look here.

Since all previous certifications will be revoked after August 3, advertisers will need to create a new application using the application form that Google will publish on July 8. This policy will apply to all accounts globally, and will need to comply with local legislation and the laws of targeted territories.

Why Crypto Ads Were Banned

This policy change comes after a three-year ban on advertising cryptocurrencies where at one stage even “Ethereum” was added as a blacklisted word in the ads filter.

Google caused quite a stir back in 2018 when it banned crypto advertising, following a ban implemented by Facebook. Both companies cited the sudden spike of crypto offers coaxing investors into making speculative investments, and the ban was a precautionary measure to protect their customers.

By the end of June 2018, other social media conglomerates, Snapchat and Twitter, also issued crypto-ad bans. However, some critics have long accused Google of not properly addressing crypto ad scams which have claimed various institutional and retail victims.

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Coinbase Crypto Debit Cards Crypto News Payments

Coinbase Enables Apple Pay and Google Pay For US Customers

As of June 1, the Coinbase Visa card can be linked with Apple Pay and Google Pay for US customers to make purchases and earn rewards when using the service.

According to an announcement from Coinbase, its crypto Visa card will be added to both payment services. While there is still a waitlist to get a card, Coinbase began inviting people on the waitlist along with selected Coinbase Card users from June 1. Users will be able to redeem up to 4% in crypto rewards, where they can earn either 1% back in Bitcoin (BTC) or 4% back in Stellar Lumens (XLM).

Millions of people around the world use Apple Pay or Google Pay for everyday purchases, from grocery deliveries to pet supplies to home office goods. Now you can earn up to 4% back in crypto rewards on this shopping when you use your Coinbase Card with Apple Pay or Google Pay.

Coinbase

Since payments by mobile phone have been steadily growing in the US (up 29% in 2020), Coinbase has added this new functionality to cater for that part of the market.

How The Service Works

Coinbase stated that it will automatically convert all cryptocurrency to US dollars and transfer the funds to a customer’s Coinbase Card (less conversion fees) for use in purchases and ATM withdrawals. Apple Pay and Google Pay use tokenization to keep card information safe and enable secure purchases.

“If you’re a Google Pay user, you can add your Coinbase Card from the Google Pay app,” according to the Coinbase statement, and the same goes for the Apple Pay app.

Coinbase blog

Users who have completed the application process will not even need to wait for their cards to arrive. As soon as customers are approved, they are added to Apple and Google Pay and can start spending immediately. 

Coinbase cards are not yet available for Australian customers and, according to the Coinbase website, the waitlist currently only applies in all US states except Hawaii.