The King of Blockchains, Bitcoin Can Become the Foundation for Web 3.0

Bitcoin remains the undisputed “king” of blockchains. Bitcoin’s dominance has increased significantly since the experimental times of 2017. Bitcoin has survived many attempted forks and “civil wars” and has established itself as the reserve cryptocurrency; people fall back to Bitcoin in bear markets. The production network has stood the test of time for over 10 years now.  However, the crypto industry has dismissed Bitcoin when it comes to smart contracts or Web 3.0. I believe this is going to change. It’s true that Bitcoin cannot do everything. Bitcoin is secure…

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Zero Interest, Limitless Repo and QE4: The Federal Reserve’s Market Operations Explained

“Gradually and then suddenly.” –Ernest Hemingway “Your ATMs are safe, your cash is safe. There’s enough cash in the financial system and there is an infinite amount of cash in the Federal Reserve.” –Neel Kashkari, President of the Central Bank of Minneapolis The Federal Reserve’s market activity is reaching a fever pitch. In response to a market bloodletting that seems to precipitate new record losses every day, the Federal Reserve has responded to a somewhat unprecedented crisis with its most thorough market interventions since 2008.  Liquidity is drying up in…

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The Best Bitcoin Trading Strategies (That Still Work in 2020)

This is a sponsored article provided by NordikCoin. Bitcoin trading has never been more popular than it is now, and the market doesn’t show any signs of slowing down. So, if you’ve considered getting in on the action, now is the time to strike. While there are numerous bitcoin trading tools available, you still need an understanding of the basic strategies to succeed. We’ve created this guide to introduce newcomers to some of the most common trading strategies. But seasoned traders may also wish to refresh their memories and adopt…

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Coronavirus, the Halving and a Price Drop: Bitcoin Mining Marches On

CoinShares, a New York-based cryptocurrency service that provides advice and other services for investors, released a statement on the state of Bitcoin mining during the global uncertainty caused by the coronavirus, ahead of a planned, more thorough June 2020 mining report. In it, CoinShares’ research director Christopher Bendiksen wrote that the current talk of a possible mining “death spiral” due to coronavirus-based lockdowns makes for dramatic reading, but is not at all based in reality. “‘Mining death spirals’ do not actually happen in real life,” Bendiksen wrote in the statement.…

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A Treatise on Bitcoin and Privacy Part 2: Don’t Be Misled by Red Herrings

In Part One of this treatise, we examined the fundamental relationship between Bitcoin and privacy by going back to the beginning with the whitepaper. In spite of some excellent privacy preserving options  that have been available to users since those early days, we seem to have taken a few wrong turns. But to fix it, in order to make Bitcoin’s privacy “great again,” we must be able to distinguish between real privacy and red herrings that can only lead us further off the path. Fiat Gateways Lead to Privacy Graveyards…

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EARN IT: The US Anti-Encryption Bill That Threatens Private Speech Online

There’s a new bill in the works to fight against child sexual abuse material (CSAM) and other risky services on the internet — but it could come at a cost to online privacy.  Eliminating Abusive or Rampant Neglect of Interactive Technologies (EARN IT) was proposed by the Senate Judiciary Committee and sponsored by senators from both sides of the aisle such as Lindsey Graham (R-SC) and Richard Blumenthal (D-CT). The bill is also supported by the National Center for Missing and Exploited Children and the National Center on Sexual Exploitation. …

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A Treatise on Bitcoin and Privacy Part 1: A Match Made in the Whitepaper

Introduction How one’s focus can shift in just two weeks! While today everybody in the Bitcoin space seems more concerned with price fluctuations in response to the global financial panic (understandably so), it’s important to remember perennial issues that never go away, like the importance of maintaining your privacy when you transact in bitcoin. Throughout this month especially, we’ve been hearing reports of KYC/AML-compliant exchanges freezing user accounts due to suspected use of CoinJoin software (more on that later), followed by yet another case of a famous and respected early…

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“Your Expectations of Privacy Are Too High” (But They Shouldn’t Be)

Bitcoin mixing, the practice of scrambling one’s bitcoin with others in order to obscure the connection between an individual’s identity and coin address information, has seen a number of innovations over the last decade. Some of the early mixing efforts took the simple form of two coin holders privately agreeing to swap coins in like amounts and led to the formation of transaction aggregation services, crypto tumblers, Lightning, and the practice of moving coin balances through interim coins like Dash or Monero, or others. There are also logless VPNs, Tor,…

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The Bitcoin Mixing Case at the Center of the Fight for Transaction Privacy

A court case is underway in the United States that could become a watermark decision for Bitcoin transaction privacy and compliance law.  Larry Harmon of Ohio — who, incidentally, owns the Coin Ninja media site — was recently charged and arrested for money laundering some 350,000 bitcoin (roughly $300 million at the time of the indictment) through his custodial mixing service, Helix. Harmon’s service catered to dark web market participants, particularly sellers, and he associated this service with Grams, his dark web search engine. Authorities may have sniffed Harmon out…

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Bitcoin Fungibility, Mixing and the Legal Limits on Maintaining Privacy

On February 13, 2020, Larry Harmon, of Akron, Ohio, was charged with three counts: (1) conspiracy to commit money laundering, (2) operating an unlicensed money transmitting business and (3) conducting money transmission without a DC license.  According to the DOJ, Harmon operated “Helix,” which was also known as a “tumbler” or “mixer,” without registering as a money services business or money transmitter. These technologies allow a user to obfuscate the origin of their bitcoin. Regulations on Bitcoin Privacy According to the Bank Secrecy Act (BSA), exchanging virtual currency (among other…

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