Daily News Digest Featured News

Monday November 4 2019, Weekly News Digest

crypto payments
Source: PaymentsSource

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United States

Lone Bitcoin Whale Likely Fueled 2017 Price Surge, Study Says (Bloomberg), Rated: AAA

A Texas academic created a stir last year by alleging that Bitcoin’s astronomical surge in 2017 was probably triggered by manipulation. He’s now doubling down with a striking new claim: a single market whale was likely behind the misconduct, seemingly with the power to move prices at will.

One entity on the cryptocurrency exchange Bitfinex appears capable of sending the price of Bitcoin higher when it falls below certain thresholds, according to University of Texas Professor John Griffin and Ohio State University’s Amin Shams. Griffin and Shams, who have updated a paper they first published in 2018, say the transactions rely on Tether, a widely used digital token that is meant to hold its value at $1.

Bitcoin 2017
Source: Bloomberg

Bitcoin Shows Extreme Volatility After $ 10,600 Spike — Where to Next? (CoinTelegraph), Rated: AAA

The Bitcoin price has been showing a high level of volatility following its abrupt increase to $10,600 on Oct. 26, when Bitcoin (BTC) climbed by 43% against the United States dollar on a single day.

After the opening of the monthly candle of August, the Bitcoin price went on to increase by more than $1,000, going from $10,000 to just over $12,200 over the following seven days.

Bitcoin August 2019
Source: Coin360

If the Bitcoin price is following a fractal, the analyst said that a drop to the $6,000–$7,000 range is likely in the short to medium term, adding that BTC has fallen back into the downside trend after its rise to $10,600. The analyst also noted that it is difficult for a two-day spike to dismantle months of BTC’s price action, suggesting that the abrupt surge to over $10,000 on Oct. 26 has not changed the course of the asset, adding:

“Was always unlikely for a multi-month trend to be broken on the basis of a two day spike. Has retraced near 50% already.”

Bearish Bias Makes no Sense, Bitcoin Price Looks Strong (NewsBTC), Rated: A

Smokey recently noted that he “isn’t quite sure how people can have a strong bias here.” While he did admit that Bitcoin has yet to break above a trendline resistance and the weekly horizontal resistance of $9,600, he noted that BTC has decisively reclaimed $9,111 — a level which has been essential for the cryptocurrency since May.

Bitcoin price
@SmokeyXBT on Twitter

Smokey isn’t the only analyst thinking that Bitcoin is looking strong after holding in the low-$9,000s for days now.

Reasons Why BTC’s Price Jumped Unexpectedly On Halloween (Coin Revolution), Rated: A

On Halloween, the price of the leading crypto coin by market cap went up to a high price of $15,000.

In two days, the price of Bitcoin pumped by over 43%, and this made a number of retail bulls very excited.

Why Bitcoin Has Outperformed Gold Every Single Year Since 2011 (CCN), Rated: AAA

According to OnChain Capital founder Ran NeuNer, bitcoin, sometimes described as “digital gold,” has outperformed the precious metal every year since 2011.

Year-to-date, the bitcoin price has increased by more than twofold against the U.S. dollar while gold has risen from $1,282 to $1,514, by just over 18%.

Bitcoin chart
Source: CoinMarketCap

Crypto Sentiment on the Rise? Quarterly Stablecoin Loans Surge 38% to $ 870m (Forbes), Rated: AAA

Genesis Capital, a subsidiary of Digital Currency Group (DCG), one of the largest investment firms in the crypto sector, has reported a 38% increase in stablecoin loans in the 3rd quarter of 2019.

“Genesis continues to see sustained growth in its digital asset lending business. In the third quarter of 2019, Genesis added $870M in new originations, breaking our record of $746M set in the previous quarter,” the Genesis team said.

DIGITAL ASSET LENDING SNAPSHOT (Genesis Capital), Rated: AAA

Genesis continues to see sustained growth in its digital asset lending business. In the third quarter of 2019, Genesis added $870M in new originations, breaking our record of $746M set in the previous quarter. As of September 30, 2019, active loans outstanding stood at $450M, roughly flat from the previous quarter despite a significant decrease in Bitcoin’s price.

Originations increased 38.1% QoQ marking a sixth consecutive quarter of strong growth and bringing total originations to $3.1B since we launched the lending business in March 2018. Our loan portfolio largely sustained its value through increased cash (USD and stablecoin) loan issuance, offset by a decrease in the notional value of crypto loans outstanding.

Genesis Capital crypto lending originations
Source: Genesis Capital

See the full report here.

First appeared in Lending Times.

As Bitcoin Price Consolidates, Litecoin Looks Ripe for Massive Gains (CoinTelegraph), Rated: AAA

Litecoin price seemed to have found support two weeks ago around $47 and at the time of writing the LTC/USD pair is at $57. Using the moving average on the Bollinger Bands indicator to gauge the next level of resistance shows that Litecoin looks ripe for a move up to $82 before being rejected, which would represent growth of 42%

LTC USD MACD
Source: TradingView

Compared to Bitcoin, Litecoin’s RSI is at 38.96 after a bounce from 34. Typically traders that use the RSI to identify heavily oversold assets would be looking for a reading below 30, but it’s a far better signal than Bitcoin’s current reading in the high 50’s.

Bitcoin Cash – ABC, Litecoin and Ripple Daily Analysis – 03/11/19 (Yahoo! Finance), Rated: A

Bitcoin Cash ABC rallied by 3.73% on Saturday. Reversing a 1.39% fall from Friday, Bitcoin Cash ABC ended the day at $289.17.

Bullish through much of the day, Bitcoin Cash ABC rallied from an early intraday low $277.81 to a late intraday high $295.03.

Bitcoin Cash ABC
Source: TradingView

Litecoin Struggles for Direction

Litecoin rose by just 0.05% on Saturday. Following a 0.09% fall from Friday, Litecoin ended the day at $58.38.

Litecoin
Source: TradingView

Ripple CEO: XRP is Useful, Just Look at Moneygram (Ethereum World News), Rated: AAA

Bitcoin maximalists, among many other groups, believe that the cryptocurrency has few real-world use cases, making it non-sensical that the altcoin’s market capitalization comes in at over $10 billion — depending on who you ask.

Ripple, however, is pushing back. The CEO of the San Francisco-headquartered fintech company, which is the firm responsible for maintaining the XRP Ledger and holds many of the tokens to be used and distributed, recently came out to say that the asset has viability, telling netizens to see the “proof in the pudding.”

Ripple Moneygram
Source: @bgarlinghouse on Twitter

Nasdaq-Powered Cryptocurrency Exchange Closing Down Less Than a Year In (Be In Crypto), Rated: A

DX.Exchange, a Nasdaq-powered cryptocurrency exchange that launched just this January, is closing its doors due to what it calls financial hardships.

$ 150M BINANCE FUTURES MANIPULATION LAWSUIT IS ‘NUISANCE’: FTX (Bitcoinist), Rated: A

Alameda Research, FTX’s parent company has called out the $150 million lawsuit slapped on it for manipulating markets as utter ‘nuisance’. The class-action is based on a September 15 event, in which the smaller futures exchange attempted an attack against Binance Futures, with the aim of achieving liquidations.

Binance.US Allowed USA Users To Buy Bitcoin With Debit Cards (Bitcoinik), Rated: B

Largest cryptocurrency Binance announced that the users of the USA now allowed to buy bitcoin and other cryptocurrencies with debit cards on their Binance.US exchange platform reported on 01 November 2019.

Veritaseum settles with SEC for $ 9.5 million (Nederob), Rated: A

Blockchain startup Veritaseum has settled with the Securities and Exchange Commission (SEC) over its 2017 initial coin-offering. Veritaseum needs to pay a total of 9.5 million dollars to settle the case. The SEC announced the settlement on the first of November after coming to an agreement with CEO Reggie Middleton.

Retailers must act as if crypto payments are inevitable (PaymentsSource), Rated: AAA

While major retailers like Overstock and Microsoft are starting to accept digital currencies, why aren’t they universally accepted at most major retailers? Accepting cryptocurrencies as payments can increase a retailer’s customer base, reduce transaction speed and eliminate costly payment processing fees.

Yet with over $275 billion in cryptocurrencies in circulation today, there is no reason not to accept digital currency as payment for an increasingly digital consumer.

crypto payments
Source: PaymentsSource

Max Keiser Predicts China Will Launch a Gold-Backed Digital Currency (CryptoGlobe), Rated: A

Max Keiser, host of the Keiser Report on media channel RT, predicted that China will issue a gold-backed cryptocurrency and that the price of bitcoin will reach $100,000.

Crypto Pioneer Gifts Bruce Willis with Bitcoin in Gold-Plated Wallets (CCN), Rated: A

Action movie star Bruce Willis has received a surprise gift after bumping into bitcoin crusader, Bobby Lee. Lee is the CEO and co-founder of BTC China.

Narrating the encounter on Twitter, Lee said that he was lucky to have sat next to the veteran actor while on a plane to China. He seized the moment to introduce bitcoin and his company’s Ballet crypto wallets to the 64-year-old Hollywood star. The investor also transferred 0.01 BTC to two gold-plated wallets via Wi-Fi, which he handed to Willis as Christmas gifts for his two daughters.

Ron Paul, Ex-Republican Presidential Candidate and Texas Congressman, Gets First Bitcoin Stored in a Physical Wallet (Bitcoin Exchange Guide), Rated: B

Ron was gifted with one of Lee’s products, a gold-plated BTC wallet loaded with one coin, during the Litecoin summit in 2019. Given the current value of Bitcoin, the Ex-congressman increased his net worth by over $9,000 according to Coinmarketcap stats. In addition, the serial number on this specific wallet is based on Ron’s birthday and therefore customized as AA000820.

International

Bitcoin, Ethereum and XRP Prepare for Volatility; Bullish or Bearish? (CCN), Rated: AAA

Last week, the total crypto market capitalization surged over 40% to reach a high of $267 billion. During this time, approximately $77 billion was injected into the market. Bitcoin jumped over 42% while Ethereum and XRP rose nearly 30%. Despite the bullish impulse, these cryptocurrencies entered a consolidation phase and could be on the verge of a significant breakout.

If bitcoin moves below $9,055, the selling pressure behind it may increase, taking it to $8,550 or $7,900. On the other hand, a spike in volume that allows this cryptocurrency to break above $9,450 could be succeeded by a further upward advance to $10,000 or $10,800.

Bitfinex
Source: TradingView

Like bitcoin, Ethereum entered a consolidation period after the sudden spike it experienced between Oct. 23-26. Since then, Ethereum has been mostly trading between $180-$188.

ethereum
Source: TradingView

If XRP breaks below the lower parallel line of the channel, it could plunge to $0.266 or $0.24. However, van de Poppe stated that this cryptocurrency could likely benefit from the “Swell FOMO,” like it always does.

XRP
Source: TradingView

Bitcoin, ETH, XRP, LTC, And XLM Rally—Is It For Real? (Forbes), Rated: A

As of Saturday evening, Bitcoin had gained 1.7 % over the previous seven days, ETH 2.66%, XRP 1.91%, LTC 4.91%, and XLM 12.71%, with 78 out of the top 100 cryptocurrencies advancing and 22 declining.

Bitcoin Price Will See $ 16,000 ‘Soon-Ish,’ Predicts Binance CEO CZ (CoinTelegraph), Rated: B

Changpeng Zhao, the CEO of major cryptocurrency exchange Binance, says a price of $16,000 per Bitcoin will happen “soon-ish,” in a tweet sent on Nov. 1. Zhao explains that price predictions are easy, but getting the timing right is hard.

He said:

“Lol, price predictions are easy. It’s just hard to be right about the timing. We will see $16k soon-ish. 1.4 billion people working on it as we speak.”

The Trade War and Superpower Race is Boosting the Case for Digital Currency (Bitcoin Exchange Guide), Rated: AAA

However, the ongoing trade war and the tussle of becoming the next superpower is giving rise to a new age of digital financial ecosystem. Everyone in the government and private sector is aware of this and are using it as leverage as well. This was evident from the ongoing dilemma of Facebook with its Libra digital currency project. Libra has been at the receiving end of regulators, banks, and governments around the globe as policymakers pointed out that Libra does not share any characteristics of cryptocurrencies. Many even accused Libra of piggy riding the existing financial infrastructure which the existing institutions pay billions only in compliance fee.

Telegram Blockchain Startup Pilots Crypto Wallet; Ember Crypto Portfolio App Looks To Raise $ 1M In Securities Sale (PYMNTS), Rated: A

Telegram has released an early desktop wallet for its “gram” token, allowing users to download the test app for MacOS, Windows and Linux 64 bit.

In other news, one year-old Ember Fund, creator of an AI-managed crypto portfolio app, wants to raise as much as $1 million through an SEC-registered securities sale.

China’s Embrace of Blockchain Is Warning Shot to West (The Epoch Times), Rated: A

China’s strong endorsement of a blockchain-based central bank currency and the West’s relative aversion to the technology opens an interesting new front in the growing U.S.–China technology rivalry.

In hindsight, that timing was too aggressive. Beijing likely will introduce its digital currency within 12 to 18 months. China has also doubled down on its conviction. Recently, Chinese Communist Party (CCP) leader Xi Jinping further fanned the flames by extolling blockchain technology—which underpins cryptocurrencies such as Bitcoin—as a “breakthrough that can facilitate China’s progress.”

Most Blockchain Technologies still 5 to 10 years away from Transformational Impact (AMEinfo), Rated: A

The Gartner Inc. 2019 Hype Cycle for Blockchain Technologies shows that blockchain is sliding into the Trough of Disillusionment. The market will begin to climb out of this Trough by 2021, as technology advances and pragmatic use cases uniquely supported by blockchain continue to roll out.

Trough of Disillusionment
Source: Gartner
blockchain hype cycle
Source: Gartner

Read Top Trends in Blockchain Technology by Gartner.

Which Is the Best Dogecoin Mining Pool in 2019? (Coindoo), Rated: A

AikaPool is the first Dogecoin mining pool that was ever created. This small pool usually has between 50 and 100 active members.

LitecoinPool is a secure and scalable mining pool and, although it was originally created for Litecoin mining, Dogecoin mining is mostly a by-product of Litecoin mining.

Multipool is a Dogecoin mining pool that also allows you to mine a variety of cryptocurrencies, such as Litecoin and Bitcoin, with payouts being made in DOGE or other coins of your preference.

A universal standard for ethics, sustainability and environmental impact (Mining Review Africa), Rated: B

DMT GmbH & Co. KG has launched CERA, the first global certification scheme to guarantee a consistent standard of environmental, social and economic impact throughout the entire raw materials value chain.

European Union

Stellar Staking Terminated By Binance as XLM Inflation Disabled (U.today), Rated: AAA

Stellar Development Foundation (SDF), the fin-tech platform behind the XLM cryptocurrency, tossed the coin aside after a year long discussion over inflation. This has resulted in a change in the dissemination rewards mechanism. This has also resulted in Binance ending their staking support in Stellar’s Lumen.

Binance’s Top Referrer Made $ 100K in a Week During Bitcoin’s (BTC) Recent Rally (SludgeFeed), Rated: A

According to a recent tweet by the exchange, the top referrer earned a whopping 10.7448 Bitcoin (BTC) the week the largest digital currency surged from $7K to $10K. This is roughly $100,000 without having to make a single trade.

Altcoins Get the Axe as Binance Removes Low Volume Trading Pairs (CryptoGlobe), Rated: B

On Nov. 1, the exchange announced that five altcoin trading pairs had been delisted from the exchange following an extended period of low volume trading: ATOM/PAX, BTS/BNB, CVC/BNB, ETC/PAX, and REP/BNB.

ETH/USD slides under short-term trendline support (FXStreet), Rated: AAA

Ethereum is fighting strongly to stay above $180 support following a boring weekend trading session. The prevailing trend is strongly bearish amid decreasing volatility. ETH correction to $182.04 (intraday high) after opening the day’s session at $181.83. The price has adjusted to the current market value of $181.50 after testing $180.65 (intraday low).

ETH USD 4-hour chart
Source: FXStreet

Ethereum Enters Buy Zone as Analysts Expect ETH Price Boom (NewsBTC), Rated: A

Bitcoin trader BitDealer recently noted that ETH is likely in a medium-term to long-term buying zone when it is 10 points below its 200-day moving average. Right now, Ethereum is in that zone, trading at $181.2 — some $30 lower than the technical level, which currently sits at $213.0.

ETHEREUM (ETH) KEEPS RENEGING ON ICE AGE PROMISE (Bitcoinist), Rated: A

The next likely delay of the difficulty time bomb will happen for the Berlin hard fork, which is scheduled for June 2020. The Istanbul hard fork, which is expected in December 2019, will also go without the final drive to abandon mining.

Ethereum Co-Creator Charles Hoskinson Addresses Google’s Quantum Supremacy (The Daily HODL), Rated: A

Charles Hoskinson, co-creator of Ethereum and creator of Cardano, a peer-to-peer blockchain that supports smart contracts and the cryptocurrency Ada, says Google’s recent claim about a quantum breakthrough is a watershed moment like Sputnik, the first artificial Earth satellite ever, launched by the Soviet Union on October 4, 1957.

Inside the Icelandic Facility Where Bitcoin Is Mined (Wired), Rated: A

Less than two miles from Iceland’s Reykjavik airport sits a nondescript metal building as monolithic and drab as a commercial poultry barn. There’s a deafening racket inside, too, but it doesn’t come from clucking chickens. Instead, tens of thousands of whirring GPUs perform the complex, exhaustive calculations needed to verify cryptocurrency transactions and add them to the public record, otherwise known as the blockchain. Hundreds of thousands of fans blast cold air to keep the machines from overheating, aided by six giant ceiling turbines that spin with the collective force of 360 washing machines.

Microsoft Innovation Center Partners with æternity to Support Blockchain Startups in Malta (GlobeNewswire), Rated: A

æternity, the next-generation, open-source blockchain for building decentralized applications, today announced a partnership with Microsoft Innovation Center (MIC) to support the growth of blockchain technology in Malta. Through this partnership, æternity’s investment arm, AE Ventures, and Microsoft will host regular blockchain events in Malta to promote the country’s positioning as a friendly jurisdiction for blockchain businesses to launch and incorporate.

PwC Luxembourg Will Host an Event Dedicated to IOTA and Blockchain (The Merkle), Rated: A

Different blockchains and cryptocurrencies try to obtain a  strong position in the market. For some, that process is a lot easier than others. PricewaterhouseCoopers is intent on bringing IOTA to the masses by organizing a dedicated event. 

Five European Countries Uniting to Stall Libra, Facebook’s Proposed Global Cryptocurrency (Crowdfund Insider), Rated: A

Deputy finance ministers from France, Germany, Italy, Spain and the Netherlands have been meeting behind closed doors throughout October to devise a strategy to prevent Facebook from launching its proposed Libra cryptocurrency network among its 2.5 billion users next year.

According to four sources to Politico EU, the five ministers lobbied the rest of the EU assembly regarding Libra on Monday.

United Kingdom

British Tax Authority Updates Cryptocurrency Guidelines, Says It Is Not Money (CoinTelegraph), Rated: AAA

On Nov. 1, the U.K. government tax agency, which manages taxes alongside other financial policies, released tax guidance updates that further clarify its stance on how businesses and individuals involved with cryptocurrency will be taxed.

China

Binance to Open Beijing Office Amid China’s Renewed Blockchain Push (CoinDesk), Rated: AAA

Malta-based cryptocurrency exchange Binance is opening an office in Beijing, two sources with knowledge of the matter told CoinDesk. The new outpost will join Binance’s current mainland China office in Shanghai.

After Painful 2018, Chinese Blockchain VCs Are Getting Back Into the Market (CoinDesk), Rated: AAA

During the first six months in 2019, Chinese blockchain startups raised $368 million via 71 funding deals, according to Chinese financial data tracker 01Caijing.

Blockchain Is the Future But Keep it Rational — Avoid ‘Aircoins’ (CoinTelegraph), Rated: A

China’s official state-owned media has endorsed “orderly” blockchain innovation but cautioned the public to “keep it rational” and avoid the hype around “aircoins.”

On Oct. 4, Dovey Wan — founding partner of blockchain-based investment company Primitive Ventures — tweeted two screenshots showing a rough translation of the new report from the CPC-owned English-language news portal China Daily.

CHINESE STATE MEDIA IS BUSY RIDING THE BLOCKCHAIN BULL (Bitcoinist), Rated: A

Founding partner at Primitive Crypto and China industry observer Dovey Wan just tweeted that state media has published another blockchain commentary.

The post, which was translated by software, attempts to warn of the differences between distributed ledger technology and virtual currency speculation. It continued to state that blockchain announcements should not be used to hype up cryptocurrencies.

China gets into blockchain race with US (Tech Xplore), Rated: A

China has launched an ambitious effort to challenge the US dominance in blockchain technology, which it could use for everything from issuing digital money, to streamlining a raft of government services and tracking Communist Party loyalty.

Southeast Asia

Binance to set up office in South Korea (Tokenpost), Rated: AAA

Binance South Korea

How this young entrepreneur turned her hobby into a fintech startup powered by blockchain (Your Story), Rated: A

Making money is hard but managing it is not as tough, says 23-year-old Smriti Tomar, who started InvestoAsia, a fintech startup based on blockchain technology this year.   Gurugram- and Hong Kong-based InvestoAsia aims to help retail investors to easily invest in international markets, especially in China and South Korea, which Smriti feels is currently a major difficulty.

SPEZA To Accept China’s New Sovereign Digital Currency (PYMNTS), Rated: A

FinTech company SPEZA announced that it will be able to accept China’s Digital Currency Electronic Payment (DCEP), the world’s first sovereign digital currency.

Three arrested for online, cryptocurrency frauds (Hindustan Times), Rated: B

The Special Task Force on Sunday arrested three people here for online and cryptocurrency fraud.

The STF recovered 16 ATM cards and other documents from them. All three accused, who hail from Bihar, were cheating people in the name of jobs.They have been identified as Rakesh Kumar Singh, Bittu Yadav and Pradeep Dev.

Latin America

Cryptocurrency and Blockchain News From Brazil: Oct. 28-Nov. 3 in Review (CoinTelegraph), Rated: AAA

The alleged pyramid scheme, Atlas Quantum, a Brazilian platform that claims to conduct Bitcoin (BTC) arbitration, has angered its customers yet again. This time clients are upset over the price difference in the ‘withdrawal in reals’ operation, suggested by the company’s CEO, Rodrigo Marques, to solve the company’s problem of withdrawals.

On Oct. 26, Cointelegraph Brasil reported that a federal court ordered the detention of another six individuals suspected of participating in the activities of Unick Forex, a company that is accused of several crimes, including money laundering, and being a cryptocurrency investment scheme.

The Sao Paulo Court of Justice granted an urgent injunction to a client of crypto exchange GenBit to block the company’s bank accounts.

Cripto InterCambio offers ease of access in Latin America (Yahoo! Finance), Rated: A

Cripto InterCambio is an instant exchange service that streamlines cryptocurrency trading for more than 100 digital coins.

The Chile-based start-up looks to provide end-users with a service that is not only simple and fast but also fee-free.

Africa

Cryptocurrency exchange BitMEX exposes customer email addresses in newsletter (SiliconAngle), Rated: AAA

Cryptocurrency exchange BitMEX has exposed the email addresses of 23,000 customers after sending out an email with the emails of the recipients in the cc: field.

Zimbabwean CEO Supposedly Loses Private Key to Crypto Exchange’s Wallet (All-Stocks), Rated: A

Tawanda Kembo, the founder and CEO of the Zimbabwe-based crypto exchange Golix, is claiming that he has lost the private key to his company’s digital wallet. As a result, the customers of the cryptocurrency exchange are unable to access their funds.

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George Popescu
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