John McAfee Promised $100 Thousand To The Cracker of His Crypto Wallet

mcaffe wallet

A crypto enthusiast, founder of the company that develops anti-virus software, McAfee said on his Twitter that he would pay $100,000 to anyone who can crack his innovation – the Bitfi cryptocurrency wallet.

Some users of the social network are wondering if John McAfee is really so sure about the safety of his Bitfi, and why he pays such a low sum for its hacking.

The others are sure that the personality, known in the crypto world by his announcements, once again made a marketing move in order to sell as many wallets as possible. Indeed, to try and crack Bitfi, first, you need to buy it for $120.

We want to remind you that John McAfee will no longer promote or support ICO projects in his social networks due to the pressure from the SEC.

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The Stablecoins: What Is It and Why Is It So Popular Now?

Cryptocurrencies and increased volatility are almost synonymous. The digital coins market can easily fall or grow up in price by 10% -15% in a day. But along with unstable coins in the industry there are also so-called stablecoins, which will be discussed in this article.

Content
(please, click the topic to scroll down to it)

1. What is the stablecoins?

2. The list of the most famous stablecoins

3. Advantages and disadvantages

4. Further prospects

5. Conclusion

1. What is the stablecoins?

The main idea of ​​cryptocurrencies is creation of the absolutely decentralized payment instrument, which will not have any relations with usual valuable assets. But at this stage of cryptocurrencies development it is not possible to completely abandon fiat yet. In any case, currency of digital coins is counted in dollars, euros and other fiat currencies for convenience.

In order to popularize cryptocurrencies, it is necessary to create a bridge between traditional and digital financial sectors. Therefore, in 2015, for the first time, the best qualities of cryptocurrency and fiat money were combined, and so the stablecoins appeared.

The first stable cryptocurrency was Tether, it is still the most popular stable digital coin. Tether is backed up by the US dollar. This coin takes 8th place in the global Coinmarketcap rating , with total capitalization almost $2.5 billion.

But it is worth noting, that there are already enough of such stablecoins on the market. Each of them is reinforced by a certain physical asset:

  • other fiat currencies (the euro, the pound, the yen, etc.);
  • the gold and other precious metals;
  • the minerals;
  • the property;
  • etc.

It is only beginning, since it is already obvious that a digital coin can be pegged to absolutely any physical product. Thus, it is possible to maximally protect assets from cryptocurrency volatility, and at the same time to enjoy all the benefits of decentralization.

2. The list of the most famous stablecoins

So, as it was mentioned before, the very first stable USD Coin was Tether. Its rate is backed up 1:1 to the US dollar. This project was started in 2015. Literally a year later, its euro equivalent  EURT was represented to wide audience. After some time, the Japanese yen cryptocurrency appeared. As many analysts had suggested, these two coins were not widely spread.

At the beginning of  2016, DigixDAO coin was started, its rate was pegged to the gold: 1 token equals the cost of 1 gram of gold. It should be noted, that there were quite many projects, which tried to peg their coins to the gold (OneGram, GoldMint, HelloGold, AutumCoin, etc.). The silver was not forgotten either (EthereumLink, Silvercoin, Silver Back Coin, etc.). In Israel, the group of developers released stablecoin Carat, the currency of which, as the name implies, was pegged to the diamonds.

As you might have guessed, there is a huge amount of coins on the market, which are somehow backed up by physical assets, but let’s take a closer look at two more sensational dollar projects.

Gemini Dollar is the world’s first regulated stable digital coin, which is pegged to the US dollar. This project is still too young and it is not clear how it will show itself in future. Now the coin took a 1723th place in the global Coinmarketcap rating.

TrustToken is another project whose developers want to connect real and digital economy. They themselves estimate it in 256 trillion dollars. Within of this platform, the TrueUSD token was issued, it`s rate was pegged to the US dollar. Soon the developers promise to release tokens, which will be pegged to other popular fiat currencies. On the one hand, this project has many advantages (ability to implement blockchain into real sectors of economy, introduction of smart contracts, strong team), and on the other hand, there are many disadvantages (lack of roadmap, centralization, possible vulnerabilities of smart contracts, etc. ).

3. Advantages and disadvantages

First of all, let`s list the main advantages of stablecoins, there are quite a lot of them:

  • Holders of such coins can use all benefits of the digital economy, and at the same time be relatively calm about their capital`s safety. As a rule, cryptocurrency exchanges do not work with fiat currencies. And with stablecoins help it is possible to operate with dollar (or any other currency) right on an exchange. It substantially simplifies a digital coins trading process.
  • Thus people, who have no confidence in banks, can secure their capital without contact with traditional financial structures.
  • Stablecoins can be effectively used in trade and business, because their price does not change with time. A seller can safely accept $1,000 in coin equivalent, since its value will not fall down, even in conditions of market fluctuations.

Unfortunately, stablecoins are not without flaws, and now let’s take a closer look at them:

  • Such coins are absolutely useless as an investment asset. After all, 1,000 coins purchased for 1,000 dollars today, will cost the same 1,000 dollars in a few years (and it is, at best, if the project does not close).
  • Pegging to the value of a particular physical product does not protect against fluctuation of the asset itself.
  • There is a risk of freezing company’s reserve accounts, which will lead to impossibility of fulfilling debt obligations to tokens holders.
  • Stablecoins can be stolen at once in two ways (digital and physical).
  • Storing of a physical asset entails additional expenses, which often fall on its owner’s shoulders.

4. Future prospects

Because of several factors, today stablecoins are only a good concept, which is still far from widespread use. To a large extent, this direction has good prospects in future. Financial transactions which will be made through stable cryptocurrencies, will be able to bring the real economy to a qualitatively new level. With their help, bureaucratic procedures can be avoided, and due to smart contract technology, it will be possible to do without intermediaries.

5. Conclusion

The stablecoins are digital coins, whose currency is not exposed to increased volatility, because it is pegged to the value of a certain physical asset. With such coins it is possible to connect real and digital economy. But at this point, stablecoins have a number of problems which need to be solved, only after that it will be possible to talk about their widespread use.

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Bitcoin Cash: Overview, Advantages and Disadvantages, Details of The Hard Forks

In this article we will talk about the most famous bitcoin`s hard fork – the Bitcoin Cash: it`s advantages and disadvantages, forecast for the future, as well as the hard fork, which will happen on November 15, 2018.

Content:
(please, click the topic to scroll down to it)

  1. Briefly about the Bitcoin Cash and comparison with Bitcoin
  2. Disadvantages of Bitcoin Cash
  3. Briefly about the hard fork Bitcoin Cash
  4. Conclusion

1. Briefly about Bitcoin Cash and comparison with Bitcoin

The main popularizer of the “new” coin is Roger Ver. He is quite famous person in crypto world. He was one of the first cryptocurrency investors. Due to increased attention to this industry, he became known as Bitcoin Jesus. But later, Ver decided to actively promote the hard fork (a branch) of the first cryptocurrency – the Bitcoin Cash. The network split occurred on August 1, 2017.

What is the difference between the BTC and the BCH?

  • Increasing of transaction`s speed in several times. The main feature of the new coin is an increased block`s size to 8 MB. On May 15, 2018, developers released the update, after which the block`s size increased to 32 MB. This solution made it possible to record much more transactions in one block, and thereby to increase network bandwidth.
  • Low commissions. Bitcoin Cash has very small commissions $0,05 – $0,010, which is significantly lower than that of the “older brother” $8 – $15.
  • With the current network load, a queue of unconfirmed transactions does not exceed 200 – 250, whereas with the original Bitcoin, this number can reach 7,000 – 10,000.

2. Disadvantages of Bitcoin Cash

Significant disadvantage of this fork is the automatic adjustment of the network`s computing complexity. Unfortunately, it has direct dependence on the speed of extraction of new data. That is, if for a certain amount of time miners get an insufficient number of blocks, then complexity decreases. This pattern works in both directions.

Miners started to use this vulnerability and got BCH in periods of complexity recession, and when the situation changed, they turned to BTC. Such actions led to the network`s destabilization and increased volatility of the BCH rate. This problem has not been solved till this day, but the development team manages to restrain it.

Cryptocurrency investors do not consider Bitcoin Cash as a long-term asset yet. This coin is more used as a speculative tool. For this reason, at the moment BCH has rather vague and uncertain future.

3. Briefly about the hard fork Bitcoin Cash

The hard fork of Bitcoin Cash was on November 15, 2018. After this event, the network received two incompatible consensus protocols BCHABC и BCHSV. The community of coin divided into two parts: on the one hand Roger Ver, and on the other Craig Wright. The outbreak of the conflict is considered to be Bitcoin ABC update, which began to support smart contracts and atomic swaps. In response to this update, Craig Wright offered the community his vision for the future development of the project. He proposed to increase the block`s size up to 128 MB. Such decision was not supported by Roger Ver and his part of miners. Because of this, another coin will now appear in the cryptocurrency world.

This is very good news for BCH holders. The matter is that after hard fork, investors received the same amount of coins of the new network, which complies with their BCH`s balance.

Against this background, the Bitcoin Cash rate grew up by almost 50% only for the first week of November.

Source: https://coinmarketcap.com/

This growth was artificial, therefore, we observed the same rapid rollback before the hard fork.

Source: https://coinmarketcap.com/

4. Conclusion

Bitcoin Cash is a project with rather big ambitions, ultimate goal of which is to push the original Bitcoin from the first place. In fact, BCH has fewer problems with scaling, and also can boast of low transaction commissions. But on the other hand, there is conflict between developers, still unsolved problem of automatic control of complexity, as well as increased volatility. Now it is hard to make long-term forecasts for Bitcoin Cash, as it is not clear yet, which of two networks will be more stable.

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Three Hellish Days for Cryptocurrency: Reasons of The Fall of The Currency and What To Do Next?

The current condition of the cryptocurrency market raises a number of question from traders. For the third day, the industry is either trying to revive Bitcoin and other cryptocurrencies, or just watching the collapse of the course.

The question of what caused the collapse of the market and what should do those who still have cryptocurrency  – makes world crazy. That is why, The Coin Shark have found answers for all of these questions and analysed per minute history of the fall of currency of Bitcoin.

The Chronology of the fall from 14th to 16th November

Wednesday, November,14 , Bitcoin break another 2018 bottom.  According to data of CoinMarketCap, at 11:34 UTC the rate of the first cryptocurrency behaved stably, being at $6 365.

Nothing foretold troubles, but at 17:19 UTC began unexpected fall, which last till the 19:19 UTC, where the price of BTC remained in half-dead condition at $5 765. Therefore, the capitalisation of the marked fell to $102 billion.

After that, Bitcoin started to resist. In 20:04 UTC the currency show vital signs, increased to $5 858. But still, the end of 14th November was not a happy ending. In 22:48 UTC was settled a new record – $5 568.

Source: https://coinmarketcap.com/

If compare the data with an individual market, then on a Bitstamp the price of the BTC has already dropped to $5 534, and on the Kraken – $5 510. Last two weeks, Bitfinex exchange trade Bitcoin more than $6 000 per each unit.

It turned out, that the 14th of November was still far from the end of BTC fall. According to CoinMarketCap, Thursday, November, 15, at 17:04 UTC, Bitcoin shocked everybody with the course of $5 358. On Bitstamp the first cryptocurrency down to $5 446, and on the Bitfinex – $5 638. At this point, this is the lowest course from the end of October, 2017.

Source: https://coinmarketcap.com/

The condition of the cryptocurrency market for the last year is unstable. It is accompanied by unexpectable highs, as well as painful falls. But not only Bitcoin drop it’s price position on 14th of November. Together with it, into a deep red zone came the major part of other cryptocurrencies. In doing so, the total capitalisation fell by $190 billion.

Source: https://coinmarketcap.com/

At the writing of this article, 16th of November, the condition of the cryptocurrency market is still in critical position – the course of Bitcoin stood at $5 500, and Ethereum backed down the second place in capitalisation Ripple.

Source: https://coinmarketcap.com/

What caused the collapse?

Just think about it, less than 24 hours ago, it was possible to sell the BTC on a thousand dollar higher. Probably, it is impossible to define why “the foundation was cracked” under the cryptocurrency, as for the example it can be done in a regular market. In the digital, the effect is first  seen and only than the reason becomes known.

Reason #1: Contagious effect

On the basis of past, the cause of the fall have psychological nature.
For example, people are massively starting to buy cryptocurrencies or fanatically selling.

Reason #2 : Direct correlation

Each financial currency  pegged to its government, as for the example dollar – to the US economy. Cryptocurrency pegged with the people, which are both buying or selling it.

Reason #3: Global Bitcoin influence

Ironically, but there is a theory, that the general condition of the cryptocurrency is affected by Bitcoin. The value of all digital market is estimated in $182 billion, the $90 billion of which belongs to BTC. The majority of cryptocurrencies  should be transferred especially in Bitcoin, before the sale.
And now imagine, that selling of Bitcoin will start simultaneously several major players of the market. After this, the BTC prices are lowering, and this cause  the panic attacks more than ones: “ Buy everything and as quickly as possible, while the price is low!” – this makes the course to grow.

What should do the owners of cryptocurrency: sell or wait?

It depends on the inner aspects of each owner. Even when the course is rising – it still have cycles of fall.

Who and how will affect the collapse of rate?  

Cryptocurrency is the unstable tool. It’s system decentralised and doesn’t have the management center. Digital currency should strengthen the positions, so it can give the accurate forecast for the future. But, it appeared, that this fall will have no affect on ordinary users.

There is no denying, that in a consequence many crypto-business will close. Cryptocurrency exchange are in the minimum risk area, as in such cases the number of transaction increases.

Most of all, miners and the owners of the mining field will suffer the most. Since, the profitability depends on the price of extracted cryptocurrency. Within recent events, it is clear that mining is unprofitable occupation.

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Malaysia’s Banking Group CIMB Will Cooperate With Ripple

CIMB, Malaysia’s group of banks, signed an agreement with Ripple to develop a blockchain-driven remittance platform. DLT technology will help to promote banks in the South East Asian region and will offer more convenient services, according to the press release made by Ripple CEO Brad Garlinghouse.

The bank strives for resolving urgent problems in the system by implementing Ripple’s blockchain. The problems mainly refer to slow and quite expensive settlement process.

Ripple CEO said :

“We’re seeing banks and financial institutions from across the world lean into blockchain solutions because it enables a more transparent, quicker and lower cost payments experience.”

He also added:

“Now, by integrating Ripple’s blockchain technology, [CIMB] will enable their customers to send vital funds to family, friends and loved ones more efficiently.”

They also decided that CIMB would go over its system and analyse the possibility to implement Ripple’s DLT in other spheres.

We remind you

Has Ripple’s XRP Entered Apple Pay?

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Crypto Wars: Jihan Wu vs Craig Wright, Who Gets McAfee’s Support?

The infamous hard fork of Bitcoin Cash has created some tension between the major crypto personalities in the industry. It is especially the case with the supporters of the two different BCH protocols.

One of the main “fights” has started between the CEO of Bitmain Jihan Wu and a computer scientist Craig Wright, who have repeatedly gone at each other on the social media, claiming that their vision of Bitcoin’s future is correct. Later on, the “war” was joined by John McAfee who supported Jihan Wu.

Craig Wright did not take long to respond.

Hopefully, the conflict will be settled peacefully, because the crypto industry needs all of the abovementioned people to function properly and develop.

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8 People Suspected of a Crypto Ponzi Scheme Were Arrested in Japan

According to the local news outlet, the enforcement agencies in Tokyo took 8 people in custody in connection with their possible participation in a gigantic pyramid scheme involving cryptocurrencies.

The police state that almost 6 thousand people became victims of the scheme and lost their crypto. The total amount of money stolen amounted to whopping 7.8 billion Japanese yen (almost 70 million dollars). Allegedly, the fraudsters were organizing different events and seminars and raised funds there, promising a huge return on the “investments”.

Out of 8 arrested people, 6 have already pleaded guilty. They will be charged with the violation of multiple financial regulations of Japan.

We remind you:

The Twitter Account of Google Was Hacked to Promote a Scam BTC Giveaway

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