Advertisements

Crypto Analyst Warns 2019 Bitcoin Rally Set to ‘Blow Off’ – Plus Ethereum, Ripple and XRP, Litecoin, Stellar, Tron | The Daily Hodl

From a warning about Bitcoin’s 2019 rally to new support for Stellar Lumens, here’s a look at some of the stories breaking in the world of crypto.

Bitcoin

A prominent crypto analyst warns the 2019 Bitcoin rally is an “exchange driven pump” that’s due for a significant pullback. According to Willy Woo, Bitcoin’s Network Value to Transactions (NVT) ratio is now way out of whack.

“Presently the market price of BTC has outstripped organic investor flow unseen since the bull market mania phases of 2013 and 2017. Never before have we seen such a divergence so early in the bull market.”

The NVT ratio measures the utility value of Bitcoin according to the number of transactions on the network relative to the price. Because on-chain investor volumes are in the normal range, Woo says the only explanation is “a quant fund driven short squeeze devoid of any true investor volume.”

Whales can short squeeze a majority-short market by buying it up until the shorts are liquidated, forcing a torrent of buys that inflate the price, Woo explains.

“If you have sufficient capital. You can keep buying to liquidate the bears. It’s extremely profitable. You only stop when it’s no longer profitable. At the $8k-9k mark the market switched from short to majority long. This put a cap on the profitability of short squeezing.

“I’m awaiting this exchange driven pump to blow off, a proper retrace, and only then do I think real investor flows will come in and drive the true organic bull market.”

Ethereum

Ernst & Young’s global blockchain leader, Paul Brody, says blockchain is poised to trigger a fundamental transformation of how enterprises do business.

The accounting and consulting giant EY is building on Ethereum, and Brody says use cases for audits and supply chain management are some early examples of prime use cases for the technology.

“What I hope you’ll take away from this today is that blockchain is maturing. We have real products, real customers, real use cases, real value creation, stuff that’s in operations, and we also have a road map for where things can and should go in the future and how this can have an ever-bigger impact…

Blockchains we think are going to be the future way in which companies model and manage their business processes and, in particular, we can basically model any process between two enterprises or two agencies or two governments as a combination of tokens to represent assets and items of value and contract.”  

Ripple and XRP

A presentation from Ripple’s chief technology officer David Schwartz is now online. At the We Are Developers in Berlin, Schwartz talks about the future of blockchain beyond the hype.

Litecoin

The Litecoin Foundation’s unique methods for raising funds to support the LTC ecosystem continue.

The Foundation has started to ship custom Litecoin cufflinks and tie bars, with a signed certificate of authenticity from LTC creator Charlie Lee.

Stellar

Crypto.com has added Stellar Lumens (XLM) to its Wallet & Card app.

Users of the app can now purchase XLM at true cost with no fees, with both credit cards and bank transfers supported. People can also use XLM with Crypto.com’s MCO Visa Card, making it easier to convert Stellar’s token into fiat for purchases from everyday merchants.

Tron

Tron’s latest report on the network’s decentralized app ecosystem is out.

According to the report, four new gaming DApps launched on the network this week, along with a decentralized exchange called SunDex.

Source: Crypto Analyst Warns 2019 Bitcoin Rally Set to ‘Blow Off’ – Plus Ethereum, Ripple and XRP, Litecoin, Stellar, Tron | The Daily Hodl

Advertisements

Billionaire John De Mol Takes Facebook to Court Over Fraudulent Bitcoin Ads

John de Mol, a Dutch billionaire and media magnate, has recently sued Facebook over fraudulent bitcoin ads that showed him next to quotes about how much money he purportedly made investing in BTC with a company that was swindling users.

According to Reuters, De Mol’s lawyer has claimed the businessman, who created the reality show ‘Big Brother’ and is one of brains behind the Endemol entertainment studio, is suing the social media giant over damages to his client’s reputation, and over Facebook’s inability to stop the ads from appearing altogether.

De Mol’s lawyers would, as such, like to see Facebook automatically block ads featuring him and cryptocurrencies. The businessman’s lawyer further claimed consumers sent a total of €1.7 million (around $1.9 million) to the scammers, before Facebook reacted to complaints and removed the ads from its platform.

De Mol is also looking to get the names of those behind the fraudulent bitcoin ads, so he can hand them over to authorities. Jacqueline Schapp, one of his lawyers, argued that Facebook’s system of reacting to users reporting problems isn’t good enough.

I don’t know what reality Facebook lives in, but that doesn’t work.

Facebook’s lawyer, Jens van den Brink, revealed the company couldn’t be forced to monitor every ad that goes through it all the time, and that it’s “technically impossible” to block ads with De Mol’s name on it, as other people have the same name.

Van den Brink also added Facebook has met with Dutch financial market regulator AFM this month to discuss ways to combat scammers on its platform. It’s worth noting that Facebook banned cryptocurrency-related ads last year to stop them, but later on lifted the ban.

A judge at the Amsterdam District Court gave both parties two weeks to come up with a reasonable solution. If they fail to reach an agreement, the judge noted he would rule on the case.

This isn’t the first time celebrities are used to get users to buy into fraudulent cryptocurrency schemes through Facebook’s ads.

Source: CryptoGlobe

CoinMarketCap Crypto Assets Now Feature Flipside Letter Grades

Blockchain analytics startup Flipside Crypto is bringing crypto asset letter grades to a slew of online publishers. The Fundamental Crypto Asset Score (FCAS) metric – which evaluates factors such as developer activity and a broad set of transaction data – was recently added to CoinMarketCap, along with publishers such as MarketWatch, TheStreet and Stocktwits. The move comes ahead of the launch of CoinMarketCap’s first Android app, scheduled for April. Carylyne Chan, head of global marketing at CoinMarketCap, told CoinDesk these easy-to-use metrics will give users a more transparent view of how these assets are evolving. According to Chan, the site attracted 125 million repeat visitors in 2018 alone……

Source: CoinMarketCap Crypto Assets Now Feature Flipside Letter Grades

Tether’s U.S. Dollar Peg Is No Longer Credible

USDT is the foremost stablecoin in the crypto world. Pegged one for one to the U.S. dollar, it is widely used as a vehicle for getting dollars in and out of crypto exchanges. Crypto enthusiasts will tell you that holding USDT (“Tethers”) is the same as holding dollars. But now, Tether, the issuer of USDT, has now admitted that Tethers are not 100% backed by actual dollars. The peg is no longer credible. And Tether itself has morphed into something all too familiar.

BANGKOK, THAILAND – 2018/08/30: A smartphone displays the Tether market value on the stock exchange via The Crypto App. (Photo by Guillaume Payen/SOPA Images/LightRocket via Getty Images)Getty

Here’s how Tether’s claim of 100% actual currency backing has changed during the coin’s existence. This is what their website originally said:

@CasPiancey

There has never been a “professional audit” of the reserves. After lots of people pointed this out, the wording on the website subtly changed:

Tether drops “professional audits” claim@CasPiancey

Lots of people questioned the “professional verifications”, too. So Tether simply removed all reference to them. It still retained the claim to 100% currency reserves, though:

Tether drops “professional verifications” claim@CasPiancey

But the rumors persisted. And now, it seems, they were justified. This is what Tether’s website now says:

Tether drops “100% currency reserves” claim@CasPiancey

So Tether does not have 100% traditional currency backing for its reserves. It has “cash equivalents,” which are presumably other cryptocurrencies (like pegging to a volatile asset is such a good way of ensuring stability). And some of its “reserves” are held in the form of loans that it has made to other parties. Tether has become an unregulated fractional reserve bank.

It’s a very risky fractional reserve bank, too. Loans that you can’t sell, can’t pledge for cash, and may or may not be able to call are not by any stretch of the imagination “reserves.” No regulator would let a licensed bank get away with this, even though licensed banks have Fed backing and FDIC insurance. Tether may regard one USDT as the same as one U.S. dollar, but without either the reserves or the central bank backing to guarantee this, its words are empty. The Fed isn’t going to step in and bail it out.

Remarkably, though, crypto markets still believe Tether’s guarantee:

Tether vs USD, BTCCoinmarketcap

Perhaps crypto enthusiasts should read up on the fate of Reserve Primary Fund in 2008. Or perhaps Venezuela. After all, an exchange rate peg only holds until the reserves run out…

The crypto world has taken another large step towards becoming a simulacrum of the existing financial system without any of its (admittedly inadequate) safeguards. This is supposed to be progress?

 

Source: Tether’s U.S. Dollar Peg Is No Longer Credible

Over 90% of dApps ‘Did Not Record Transactions’, dAppRadar Data Shows | CryptoGlobe

This, according to data from DAppRadar – which was pointed out by Twitter user Kevin Rooke on February 9th, 2019. As Rooks explains in his tweet, 86% of ETH-based dApps had zero users last Saturday, while 93% did not record any transactions. Although there are reportedly around 40 times more developers focused on creating software for Ethereum (when compared to its closest competitors such as EOS and Tron), ETH-based dApps don’t appear to have lived up to expectations. There are about 1,375 “live” dApps built on the Ethereum blockchain, however the number of active users have remained consistently low. According to data from DAppRadar…………….

Source: https://www.cryptoglobe.com/latest/2019/02/over-90-of-dapps-did-not-record-transactions-dappradar-data-shows/

Argentina and Paraguay Settle Export Deal in Bitcoin in Landmark Event

Paraguay has reportedly recently paid for an Argentinian shipment worth little over $7,000 in bitcoin, the flagship cryptocurrency, in an apparent first for both countries. The deal was made as part of new program incentivizing small shipments. According to Cointelegraph en Español, Argentina sold Paraguay pesticides and fumigation products, and paid for the products in BTC, which was then converted to Argentina’s fiat currency, the peso, to pay the agricultural chemicals’ exporter.

Source: https://www.cryptoglobe.com/latest/2019/02/argentina-and-paraguay-settle-export-deal-in-bitcoin-in-landmark-event/

Pay98 – Digital Payment Services Corporation

1.jpg

We are the most trusted name in the digital currency space with the largest platform , boasting users in monthly transaction volume. We are the market leading brand with millions of people trusting us to operate on the highest standards in managing their assets securely. Our focus has always been on providing the most up to date and accurate information available. Today, we’re excited to introduce supported cryptocurrencies on our site.

We share the passion to code, create, and connect people to the future of finance. Together, we work hard, brainstorm nonstop, and brew endless coffee. We’re dedicated to leading research and thought leadership that helps us and others better understand how blockchain can impact the broader world. Join here…….

BTC will rise 80%, XLM 260%, ADA +99% and ETH 55%. DOGE will dump -77% by Dec 31, 2019. TRX -52% this Month, Panel of Experts Predicts – Ethereum World News

A group of experts in the field of crypto/blockchain and fintech leaders from around the world predicted that 2019 will be a good year for the crypto ecosystem, with significant price growth – albeit well below the figures recorded during 2017. According to a report published by Finder.com, a monthly survey made to a group of 6 experts concluded that most of them have a bullish vision for 2018. However, the forecast for the next 30 days does not seem to be very optimistic……..

Source: BTC will rise 80%, XLM 260%, ADA +99% and ETH 55%. DOGE will dump -77% by Dec 31, 2019. TRX -52% this Month, Panel of Experts Predicts – Ethereum World News

Keplerk Plans to Sell Bitcoin in 6500 Stores by February

On January 8,  2019, the first six tobacco stores in France began selling bitcoin as a result of a deal inked with Keplerk, a French fintech company that intends to expand the sale of bitcoin to 6,500 more stores by February. In November 2018, it was announced that Keplerk, a French fintech company, would be partnering with tobacco shops in France to make bitcoin as easily purchasable as cigarettes. Now, the first 6 tobacco shops in France have begun selling bitcoin alongside their products and according to the management of Keplerk, there are plans to bring aboard as much as 6,500 more shops by February……

Source: Keplerk Plans to Sell Bitcoin in 6500 Stores by February

Gold Backed Crypto Exchange Offers Safe Haven for Crypto Investors | The Daily Hodl

GOLD.IO Seeks to develop a decentralised and self-regulating community exchange.

Turbulence in the global markets is nothing new but the cryptocurrency community has faced an unprecedented 18-month period of flux. The need for a fully decentralized, stable, self-regulated and community-led exchange that can offer investor confidence amidst a chaotic global economy has never been stronger…….

Source: Gold Backed Crypto Exchange Offers Safe Haven for Crypto Investors | The Daily Hodl

%d bloggers like this:
Skip to toolbar