Bitfury Appoints Former SEC Commissioner & Korelya Capital Founder As Board Members

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Bitfury Appoints Former SEC Commissioner & Korelya Capital Founder As Board Members

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The Bitfury Group, a “full-service” bitcoin and blockchain technology firm, has appointed two experienced financial market professionals ,in order to provide guidance regarding its business strategy and growth.

New Board Members

Antoine Dresch, the founder of Korelya Capital, a venture capital fund firm with €200 million in assets under management, will join Bitfury’s board of directors. Notably, Korelya led an $80 million investment round for Bitfury earlier this month.

Annette Nazareth, an American attorney and former commissioner at the US Securities and Exchange Commission (SEC), has also joined Bitfury’s advisory board. Commenting on the value and expertise the newly appointed board members will bring to the company, Valery Vavilov, the co-founder and CEO at Bitfury, said:  

Antoine’s years of experience in investment banking and mergers and acquisitions will be valuable assets as Bitfury continues to grow. Annette will serve in a different capacity; as a trusted advisor, she will help guide and support Bitfury by offering her comprehensive knowledge on financial markets and regulation.

Before launching Korelya Capital, Dresch served as managing director at Morgan Stanley, a New York-based multinational investment bank with over $850 billion in assets under management. He was also the vice president at Goldman Sachs and managing director at UBS (during the late 1990s and 2000s).

Experienced Attorney To Offer Legal Expertise

Meanwhile, Nazareth is currently partner at Davis Polk & Wardwell, a New York-based international law firm. She is also the head of the firm’s Washington, DC office where she oversees its trading and markets-related legal services (that are managed by Davis Polk & Wardell’s financial institutions group).

As a board member at Bitfury, Nazareth will manage the company’s growth by providing legal expertise related to regulatory compliance requirements as they apply to the world’s financial markets.

In an official statement, Bitfury noted: 

[Nazareth] is an experienced financial markets regulator and recognized authority on regulatory issues. As SEC commissioner, she worked on numerous groundbreaking initiatives, including execution quality disclosure rules, implementation of equities decimal pricing, short sale reforms, corporate debt transparency rules and modernization of the national market system.

Nazareth To Speak At Bitfury’s Blockchain Summit In Morocco

Kathleen Collins, Bitfury’s communications associate, told Coindesk that Nazareth was introduced to Bitfury’s senior management team by Tomicah Tillemann, who is also a member of the company’s advisory board.

Expressing enthusiasm regarding Nazareth joining Bitfury, Collins remarked:

We were lucky enough to have Annette attend and speak at our annual Blockchain Summit in Morocco this past summer, where she joined other regulatory and legislative experts to discuss how institutions can be re-imagined to take advantage of new technologies.

Circle’s Dollar-Tied Stablecoin Fully Backed, Auditor’s ‘Attestation’ Says

Circle Internet Financial had just under $127.5 million backing the dollar-pegged USD Coin at the end of last month, enough to redeem every token at the time, according to a major auditing firm.

Grant Thornton LLP, the U.S. branch of Grant Thornton International, reported in an attestation dated Nov. 16 that Circle had $127,412,240.89 held in custody accounts as of Oct. 31, 2018, slightly exceeding the 127,408,827 USDC tokens in circulation at the time.

As of press time, there were 162,968,332 USDC tokens in circulation, according to CoinMarketCap, with a total supply of 163,204,910.03 according to the token tracker attached to the USDC smart contract.

While not a full audit, the report confirmed information provided by Circle chief financial officer Naeem Ishaq about the funds backing up the stablecoin now jointly issued by Circle and Coinbase through the CENTRE Consortium.

In its report, Grant Thornton noted that its examination “was conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants,” meaning that “the nature, timing, and extent of the procedures selected depend on our judgment, including an assessment of the risks of material misstatement of the Reserve Account Information, whether due to fraud or error.”

The report went on to explain that:

“In making an assessment of the risks of material misstatement, we considered and obtained an understanding of internal control relevant to the preparation of, and the Reserve Account Information in, the accompanying Reserve Account Report in order to design procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of such internal control.”

Other stablecoin issuers such as Gemini and Paxos have similarly published attestations from auditing firms to support their holdings. While these were not full audits either they stand in contrast to the evidence of reserves provided by Tether, the largest issuer in the space at present.

The controversial company produced a letter from Deltec Bank and Trust Limited earlier this month proving that it had a “portfolio cash value” of $1.8 billion, though it is unclear whether it holds the funds in cash specifically or if other assets are also being considered.

Dollars image via Shutterstock

ETH Mining Not Profitable, Miner Heats Home With ASIC Rigs

In recent mining news, Susquehanna International Group has reported that it is no longer profitable to mine ether with a GPU. In other news, a Canadian miner has taken to Twitter to share photos of a system that recycles the heat generated by his six ASIC miners, while Jihan Wu has accused Craig Wright of attempting to conduct a 51 percent attack on the Bitcoin Cash network.

Also Read: The Daily: BTC Spot Index Launches, Futures Platform Delayed

Susquehanna Claims It’s ‘No Longer Profitable’
to Mine ETH with GPUs

Susquehanna International Group, a global trading and technology company, has announced that mining ETH with a graphics processing unit (GPU) is no longer a profitable activity. According to the company’s analysis, the dollar-denominated monthly returns from GPU mining of ETH fell to approximately zero as of Nov. 1. In a note issued to clients, Christopher Rolland — a semiconductor analyst for Susquehanna International — clearly stated that GPU ETH mining is “no longer profitable.”

ETH Mining Not Profitable, Miner Heats Home With ASIC Rigs
Source: Susquehanna

According to the company’s analysis, the profitability of GPU mining of ether peaked at around $65 per month at the start of the year, before dropping as low as $20 in April, as a result of a significant drop in the price of ETH during the first quarter. Profitability rose to roughly $30 throughout most of the second quarter, before sliding down to zero in the following months.

Canadian Miner Heats Home with Six S9 Antminers

A Canadian cryptocurrency miner has tweeted a photo of a prototype heating system designed to heat his 600-square-foot home using recycled heat generated by six ASIC miners. He claimed that the system is able to “comfortably heat” his home at his “desired temperature” and is operational year-round. The miner explained that excess heat is recirculated outside of his home and that the setup is “fully quiet.”

Wu Accuses Wright of Attempting 51% Attack

ETH Mining Not Profitable, Miner Heats Home With ASIC RigsAt the recent Nikkei/CNBC “Future of Money” conference in Tokyo, Jihan Wu — the co-founder of Bitmain — took aim at Craig Wright and proof-of-stake (PoS) mining. Discussing the recent Bitcoin Cash fork and subsequent hash war, Wu described Wright’s actions as an “attempted 51 percent attack on BCH,” adding that “no one should try and take the community by force.”

Turning to criticize PoS mining, Wu stated that it presents numerous “unsolved problems and risk factors” that have yet to be resolved.

Do you think that a bounce in price will restore the profitability of ETH GPU mining? Share your thoughts in the comments section below.


Images courtesy of Shutterstock, Susquehanna, Twitter


At Bitcoin.com there’s a bunch of free helpful services. For instance, have you seen our Tools page? You can even lookup the exchange rate for a transaction in the past. Or calculate the value of your current holdings. Or create a paper wallet. And much more.

Ethereum (ETH) Price Analysis – November 21

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Ethereum (ETH) Price Analysis – November 21

ethereum-eth-price-analysis-november-21

Ethereum, ETHUSD, CryptoCompare chartEthereum Chart By Trading View

ETHUSD Medium-term Trend: Bearish

Resistance Levels: $230, $240, $250

Support Levels: $130, $120, $110

On November 20, the price of Ethereum was in a bearish trend. On November 14, ETH had a bearish breakout when the price was resisted by the 12-day EMA and the 26-day EMA. This caused the crypto’s price to fall to the low of $133.85. Today, the crypto’s price is in a bullish movement.

Meanwhile, the price of Ethereum is below the 12-day EMA and 26-day EMA  which indicates that it is in the bearish trend zone. From the Stochastic indicator, the momentum of price is in the range below 20. That is the bearish momentum of Ethereum is strong.  The bearish momentum of Ethereum will remain strong as long as the blue and the red bands of Stochastic remain in the oversold region.

ETHUSD Short-term Trend: Ranging    

Ethereum, ETHUSD, CryptoCompare chartEthereum Chart By Trading View
   

On the short-term trend, the price of Ethereum is in a sideways trend. From the price action, the bearish pattern is no longer making a series of lower lows and lower highs. Rather, the crypto’s price is ranging above the $134 price level. In addition, the Stochastic is in the range above 20.

This indicates a buy signal as the blue band of Stochastic is above the red band. It also implies that the current trend has been reversed.

 

 

The views and opinions expressed here do not reflect that of CryptoGlobe.com and do not constitute financial advice. Always do your own research.

                                                                                               

‘Democratic for All’: New Crypto Exchange Will Be ‘100 Percent Owned By Users’

A hybrid community-owned digital asset exchange is hoping to simplify trades and investments while driving down the cost of transactions.

DAREX’s hybrid model enables users to trade utilities and securities – and the revenue generated from these transactions is subsequently shared with token holders. In time, the exchange hopes to become a “truly beneficial and democratic exchange platform for all.”

The startup is set to be “the first exchange of its kind” thanks to how it blends the benefits of centralized exchanges with a decentralized ownership structure. The platform is going to be “100 percent owned” by the Darico community through the distribution of Darico Exchange Community Shares – known as DECS for short.

As well as paving the way for profit distribution, these security tokens would enable holders to have voting rights – giving them a say on how the exchange develops in the future.

The startup hopes that individuals, institutions, professional traders and investors will all stand to benefit from what the exchange has to offer – enabling them to trade, deposit and withdraw “a variety of top-ranked cryptocurrencies.” In 2019 the company plans to allow users to transfer fiat funds in and out of the exchange using cards and bank accounts, creating the ability to cross-trade between pounds, euros, dollars and crypto.

DAREX is the third launch for the Darico ecosystem – and DECS is a collaboration between Darico and Polymath, a “specialized tokenization service that helps companies launch securities tokens on blockchain.” Tokens are going to be distributed to the community on Jan. 10 2019.

Secure, fast, reliable, transparent

The team behind DAREX says the hybrid exchange is going to pride itself on a “transparent business model” where a prominent auditing firm produces quarterly reports which are compliant with international standards – a practice that’s commonly followed by conventional financial companies. A beta version of the platform is going to launch early next year.

From a security perspective, DAREX says “failproof” cold storage is going to be used which protects funds held on the exchange, while ensuring they are accessible at all times. A monitoring system would also keep track of activity on the platform “around the clock” – helping to flag any suspicious or anomalous activity. It is hoped that these features won’t be at the expense of transaction speeds – with low-latency mechanisms “designed to make sure that trades are executed in a flash.”

Offering a vision of how its platform will look in the future, its white paper adds: “With liquidity in the cryptocurrency market gradually increasing we believe that by 2020 it will be time to implement a decentralized exchange structure. This will allow complete freedom in trading and enable the community to freely trade any cryptocurrency that is deemed valuable.”

Darex is the latest product of the Darico Ecosystem which also includes GNIUS, Darico’s wallet that supports Bitcoin, Ethereum, Neo and more than 2000 ERC20 and NEP-5 tokens. The ecosystem also contains NUYS – the terminal which enables customers to access the ecosystem’s wallet and an Index Fund.

Darico has been incorporated in Switzerland and has an office in Gibraltar – and it also has team members based in Dubai, Poland, Zurich and Ukraine.

The concept for its ecosystem came into being towards the end of 2016, and was further finessed throughout 2017. Its presale was held as 2017 drew to a close, and this was followed by a token sale for DEC as 2018 began.

 

Disclaimer. Cointelegraph does not endorse any content or product on this page. While we aim at providing you all important information that we could obtain, readers should do their own research before taking any actions related to the company and carry full responsibility for their decisions, nor this article can be considered as an investment advice.

In First Since 2015, Bitcoin’s Price Is Testing a 200-Week Average

The pace of bitcoin’s ongoing sell-off is setting new records with every passing day, the latest being its test of a key long-term moving average for the first time in three years.

Indeed, the world’s most valuable cryptocurrency network fell below its 200-week exponential moving average (EMA) of $4,180 yesterday, marking the first break of the crucial support since August 2015. Back then, BTC was changing hands around $220, according to Bitstamp data.

The breach of long-term support, however, was short-lived as record low readings on the relative strength index (RSI) likely put a bid under BTC, helping it regain some poise.

At press time, BTC is changing hands at $4,440, having clocked a 14-month low of $4,048 yesterday.

Notably, the recovery has established the 200-week EMA as the level to watch out for in the near-term. The already bearish technical setup would be bolstered further if the cryptocurrency finds acceptance below the long-term EMA support, leading to a deeper drop below the psychological support of $3,000.

Weekly chart

As can be seen above, the 78.6 percent Fibonacci retracement of the rally from 2015 lows to 2017 highs lines up at $4,328 – just above the 200-week EMA of $4,180. So, it seems safe to say that the area between $4,100 and $4,350 is packed with key support lines.

The chart also shows that a break below the 200-week EMA could prove costly as the next major support is seen directly at $3,130 – the widely followed 200-week simple moving average.

Disclosure: The author holds no cryptocurrency assets at the time of writing.

image via Shutterstock; Charts by Trading View

BitPay’s Merchants Can Now Settle Transactions With Paxos Standard Token (PAX)

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The developers of the Paxos Standard token (PAX), a recently launched stablecoin, have announced that BitPay, a leading crypto payment processor, will now support PAX.

As explained by Paxos Standard Token’s blog post, “BitPay merchants and businesses now have the option to receive settlements in PAX, the digital equivalent to the US dollar.” The partnership between Paxos and Bitpay aims to give business owners the “speed and accessibility of cryptocurrencies” – while also providing the “trust and stability” of the USD.

Notably, Paxos’ post mentions that the “new settlement option is particularly valuable for overseas businesses that have limited access to a currency as stable as the USD.” Moreover, the PAX stablecoin may be a safer alternative to other digital currencies as it is a regulated medium-of-exchange (MoE).

Regulated Stablecoins, Backed By USD Held In FDIC-Insured Bank

According to the stablecoin’s issuers, every PAX “in circulation is backed by a US dollar held in an FDIC-insured bank.” The FDIC, which stands for the Federal Deposit Insurance Corporation, is a US government-owned corporation that provides “deposit insurance to depositors” who hold funds in US-based “commercial banks and savings institutions.”

As CryptoGlobe reported, the PAX token was launched on September 10th, 2018 and it is the world’s first-ever regulated stablecoin (along with the Gemini Dollar (GUSD) which was launched on the same day).

The PAX token has been approved and is regulated by the New York State Department of Financial Services (NYDFS). As covered, the issuers of the PAX stablecoin must “implement, monitor and update effective risk-based controls and appropriate BSA/AML and OFAC controls.”

These controls are put in place in order to prevent funds from being used to finance illicit activities such as money laundering, drug trafficking, or any other exploitative activity.

Issues With Giving Law Enforcement Too Much Control?

While these measures help enhance consumer protection, some users have complained about Paxos having the capability to freeze or seize user funds, if they are ordered to do so by law enforcement officials. Commenting on the issue, John Backus, an Ethereum (ETH) user, remarked: “Wow, wtf? The PAX stablecoin gives ‘admin write access’ to law enforcement. Basically, the government can FREEZE and BURN anyone’s coins!”

Backus added:

I get we need compliant stablecoins, but giving the government direct control to the smart contract seems excessive.”

 He then recommended what he described as “less extreme alternatives. These include following the “normal legal process” that involves the government requesting that the offender’s funds be frozen or seized.

After receiving the request from authorities, Paxos or any other stablecoin issuer can look into the matter and comply with law enforcement by freezing the funds. However, Paxos should be the one to actually “confirm burning”, Backus suggested.

Crypto Mining Firm Giga Watt Files for Bankruptcy, Faces Eviction in Washington County

Major U.S. crypto mining and blockchain firm Giga Watt has filed for bankruptcy on Monday, Nov. 19, Washington daily newspaper Wenatchee World reported yesterday, Nov. 20.

The top-five crypto mining firms entrant has reportedly filed for Chapter 11 protection in the Eastern District of Washington bankruptcy court, claiming that the firm is “insolvent and unable to pay its debts when due.”

According to the court documents, Giga Watt is holding between zero to $50,000 worth of assets, with estimated the number of creditors accounting for not more than 50, while liabilities are evaluated between $10 million to $50 million.

Apart from bankruptcy, the crypto mining company is also facing eviction in Douglas County, as the Port of Douglas County has reportedly launched an eviction process.

Giga Watt’s managing director George Turner, who managed the company’s mining initiatives in East Wenatchee and Moses Lake, claimed that the filing has been made by the firm’s board of directors and haven’t passed through his office, according to Washington-based iFiberOne news agency. Turner stated that he advocated Chapter 11 “many months ago,” and this news came to him “as a surprise.”

Washington-based Giga Watt, formerly known as MegaBigPower company, was reportedly established in 2012 by former Microsoft software engineer Dave Carlson, who had discovered Bitcoin in 2010. The company has also conducted an Initial Coin Offering (ICO) token sale back in July 2017. According to iFiberOne, Giga Watt’s tokens intended to raise money for a construction of mining equipment using “more than 30 megawatts of electricity,” as well as a private energy substation.

In March 2017, Dave Carlson claimed that the company “didn’t need” to register with the U.S. Securities and Exchange Commission (SEC) to conduct an ICO, arguing that the company “created a token offering in which people can get access to the electrical infrastructure that powers their miners.”

In March 2018, the Silver Miller law firm launched a federal court lawsuit related the ICO promoted by Giga Watt, alleging that the firm violated securities laws by selling investments in its crypto mining business without registering investments with the due regulatory entities.

In September this year, iFiberOne reported that Carlson had “quietly” left Giga Watt as CEO in mid-August.

Cointelegraph released an analysis in November on how the crypto bear market affects the profitability of crypto mining.

Japan’s Largest Shipping Line to Launch Digital Currency to Pay Crew Members

Japan’s shipping line powerhouse Nippon Yusen KK is set to introduce its own digital currency for internal use, specifically to pay its seafaring workers, reports Bloomberg, November 20, 2018. The move is aimed towards minimizing the hassle and costs of the process of managing, sending and converting money to their respective local currencies.

US Dollar-Pegged Digital Currency

According to the reportone of Japan’s oldest and largest shipping lines is launching its own digital currency that would be pegged to the US Dollar to avoid dealing with the volatility in its value, akin to some of the cryptocurrencies traded publicly.

So far, it is unclear whether the currency would use blockchain technology or be a cryptocurrency adaptation. However, it plans to launch the custom-developed digital currency in Q1 2019.

Nippon Yusen KK owns and operates 800 ships with 20-23 crew members on board each ship. The majority of the crew members in the sector are paid in cash or the amount is transferred to their accounts. Yusen ships take $40,000 to $60,000 to meet these salary requirements and other cash expenses.

Paying Employees in Digital Currency

Yusen employs over thirty thousand people globally and a major chunk of them are on board crews who belong to different nations. Hence, arises the need for making the in-house dollar pegged digital currency. According to Japan’s Ministry of Transport, Filipinos or Chinese make up for the majority of the crew.

Nippon Yusen KK is working in tandem with banks and software developers to ensure the convertibility of the digital currency. Initial tests using shipboard communication systems, such as satellites, have been successful. Sources close to Yusen state that the company has plans to patent its custom technology. There is the word of future plans making the technology available externally and of commercializing the service to other players in the industry.

While there are a number of private firms that offer such services, Yusen is the first of its kind to develop a digital currency for salary payments. Last year,  publicly listed Japanese internet service provider GMO Group offered its employees the option to receive a portion of their remuneration in bitcoin. Similarly, some companies have provided employees to receive bonuses in virtual currencies instead of cash.  

 

Will the proposed digital currency offer a financial boon to the company? Do share your views in the comments section below.