Category Archives: Bitcoin
Ark Invest to split ‘60% Bitcoin, 40% Ether’ as confidence in ETH grows ‘dramatically’ – Cointelegraph
Cathie Wood, the CEO of Ark Investment, has doubled down on her prediction that the price of Bitcoin will grow by tenfold in the next five years, and said the growth of DeFi, NFTs and the Eth2 upgrade has massively increased Arks confidence in Ethers future.
Woods prediction would value Bitcoin at almost $500,000 by 2026. She said that Ark Investments future exposure to crypto was likely to be around 60% Bitcoin and 40% Ethereum.
Wood made the comments Monday, during a live stream at the SALT Conference in New York.
Her BTC price thesis is based on more companies adding Bitcoin to their balance sheets and institutional investors allocating around 5% of their portfolios towards Bitcoin or other cryptos.
In her view, Bitcoin still remains the default currency of the crypto space with El Salvador deeming it legal tender and other countries of Central America signalling they may follow soon.
But she said Ethereum is becoming more and more attractive as an investment thanks to the explosion in developer activity related to NFTs and DeFi.
I'm fascinated with what's going on in DeFi, which is collapsing the cost of the infrastructure for financial services in a way that I know that the traditional financial industry does not appreciate right now," she said.
Ark Investment manages several actively exchange-traded funds with a focus on disruptive innovation. It has significant investments in Coinbase and shares in the Grayscale Bitcoin Trust, Wood has spoken frequently about her enthusiasm for Bitcoin.
Related: Bitcoin bull run sparks $180K BTC price prediction ahead of institutional fireworks
Wood said that from past experience she believed no regulator, including new SEC chair Gary Gensler, would want to be blamed for preventing the next big tech breakthrough.
Wood believes the SECs threats to pursue legal action against Coinbase regarding the launch of a stablecoin yield product highlights that the crypto ecosystem is developing faster than the regulators have been able keep up with.
In her view, Coinbase shouldnt be especially worried. Wood highlighted how in October 2019 Canada's largest Bitcoin and digital asset fund manager received a favorable ruling from the Ontario Securities Commission (OSC) to offer a publicly-traded Bitcoin fund.
El Salvador president Nayib Bukele says the country will save $400 million a year in remittance fees by adopting bitcoin. That claim doesnt necessarily stack up.
A quick recap: The Central American country rolled out its bitcoin wallet app, called Chivo, on Sept. 7. Businesses are now obliged to accept the crypto token and the US greenback, which was already a national currency, for payments. Bukele seeded the wallets using taxpayer money with $30 worth of bitcoin to get things rolling. The president ishoping to attract a new generation of crypto entrepreneurs and to cut the expense of remittances, which are estimated to make up around 20% of gross domestic product.
Unfortunately for Salvadorans, there may not be a cost or time savings for remittances using bitcoin versus PayPal (via its Xoom offering) or Western Union, according to Jason Mikula, a fintech consultant. Mikula crunched the numbers for sending $200 from the US to El Salvador; his analysis assumes the sender is starting out in US dollars and traded them for bitcoin using Coinbase, the largest US crypto exchange. (He notes that some crypto proponents assume the transaction starts out in bitcoin, which he suggests is unreasonable as most people hold their funds in fiat currencies.)
Exchanging $200 for bitcoin costs between $2.99 to $7.67 at Coinbase, depending on whether the transaction is funded using PayPal, ACH, or debit, Mikula says. The exchange may charge an additional spread for the transaction (the gap between the bid and offer prices for bitcoin on its exchange). Theres also a network fee (paid to the crypto miners who process transactions on a blockchain) to send bitcoin from Coinbase to a Chivo wallet in El Salvador, which runs around $3. El Salvadors bitcoin wallet lets users switch between the US currency and bitcoin at no cost.
By contrast, a person can send $200 from the US to El Salvador using Western Unions mobile wallet, called Tigo, at no cost and in minutes, according to the companys website. Mikula speculates that Western Union may be willing to eat the transaction costs (debit/credit interchange) because fewer remittances are sent this way. Western Union charges a hefty fee for transactions using physical cash: it costs $9 to $18 to send $200 in cash from the US to El Salvador. This is probably a popular way of sending money, as around 70% of the people there dont have a bank account.
Bukele is correct about at least one thing: Remittances are a critical lifeline for millions of people in El Salvador. Around 18% of households receive them, taking in an average of about $195 per month, according to a report from researchers at the Johns Hopkins Institute for Applied Economics, Global Health, and the Study of Business Enterprise. They found that remittance costs there absorb about 2.95% of transactions, the lowest level of any nation in the Latin American-Caribbean region.
And they, too, found that sending remittances using bitcoins blockchain rails is more expensive than the systems already in place. Their analysis is partly based on the assumption that people in El Salvador want paper greenbacks, not bitcoin, and will have to pay up a crypto ATM to withdraw the hard currency. (They note that the coastal town of El Zonte, El Salvador, made bitcoin a local currency in 2019, but it didnt catch on.) At present, traditional transfer methods are the cheapest way to make remittance payments, they wrote.
Bukeles controversial bitcoin gamble has a number of serious risks for El Salvador, including the potential to undermine financial stability. That said, there could be some upside if the Chivo wallet succeeds in making digital payments and mobile wallets into the hands of the countrys vast majority that is unbanked. That infrastructure actually could reduce remittance costswithout using bitcoin.
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Remittances to El Salvador are cheaper without using bitcoin - Quartz
On Sept. 7, in a historic first, the small Central American nation of El Salvador adopted Bitcoin as legal tender.
The true significance of this day for how people all around the world exchange value and what meaning they ascribe to the concept of money will take some time to reify and be fully understood. Yet, what is already clear is that September 2021 will be up there next to January 2009 in the history books of the digitization of finance.
Surrounded by controversy, protests, bumpy infrastructure rollout how else? but also the joy and optimism of millions globally who look at this great experiment with hope, the Bitcoin Day marked the first instance of a sovereign state making a decentralized digital asset its national currency. Was it a success, after all?
A nation of under 7 million, El Salvador has long waived its claim for monetary sovereignty. In 2001, it ditched the coln, its national currency in use for more than a century, in favor of the United States dollar. The move made a lot of practical sense since the share of remittances a good chunk of them coming from U.S.-based Salvadorans in the countrys gross domestic product exceeded 16% at peak points.
At that time, the move by then-president Francisco Flores Prez sparked protests and was condemned by detractors who claimed it was undemocratic and allegedly benefitted the bankers and the rich.
Two decades later, President Nayib Bukele a forty-year-old who rose to power at the helm of a party called New Ideas added another chapter to El Salvadors monetary saga this time, supplementing a foreign currency circulating in the country with one unhemmed by borders.
Much like 20 years ago, there has been backlash concerning the Bitcoin Law. However, the same pollsthat show a lack of support for Bitcoin (BTC) as a new means of payment suggest that a large share of Salvadorans have a limited understanding of what it is and how it will affect their lives.
Furthermore, in many cases, resentment toward Bitcoin can be linked to resentment toward Bukele, who, despite robust approval ratings, remains a divisive figure whose alleged autocratic tendencies concern some international observers.
In sum, there are good reasons to believe that there is no powerful ideological opposition to the concept of decentralized finance in El Salvador, and whatever pushback currently exists will likely dissipate further down the adoption curve if implementation proves to be an ultimate success.
Meanwhile, the somewhat rushed launch of the payments infrastructure was, expectedly, far from seamless. The government-run Chivo wallet went down for several hours, and some retail workers reportedly didnt know how to process BTC payments. Soon after the launch, the president himself took on the role of customer support,tweeting updates on the state of the wallet service.
Yet overall, according to the accounts of those who were there to witness El Salvador making its first steps as a Bitcoin nation, things started to smoothen soon after a choppy start. Bart Mol, founder and host of the Satoshi Radio podcast,tweeted along his journey from Chivo ATMs that didnt work to successfully performing Lightning transactions to pay for pizza and coffee at separate retail locations.
The overall feeling, Mol concluded, was that of witnessing history.
Institutions of the global financial system seem less excited. The International Monetary Fund has been passive-aggressive about El Salvadors Bitcoin Law since it passed early this summer. Perhaps, if this experiment yields favorable results, the IMF and other global financial bodies will come around?
Some legal professionals are skeptical about this prospect. During a Discord ask me anything (AMA) session withCointelegraph Markets Pro subscribers last week, Cointelegraph general counsel Zachary Kelman opined that global financial institutions are unlikely to ever get on board with Bitcoin as national currency:
Other nation-states, however, are watching closely. Granted, El Salvadors position as the regions remittances leader, combined with its earlier experience in outsourcing the national money function to a foreign currency, makes for a rare combination. Most other nations have higher bars to clear even if they could muster political momentum for making a decentralized money legal tender.
Still, the potential favorable effects of El Salvadors move could nudge other countries to consider Bitcoin as a payment infrastructure more seriously. Amanda Wick, chief of legal affairs at blockchain analytics firm Chainalysis, told Cointelegraph that cryptocurrency is an ideal technology for remittances, and it is thus well-positioned to serve remittance-heavy economies:
The reported acceleration of other countries central bank digital currency research programs, the push to define cryptos legal status in Ukraine, and discussions to make cryptocurrency a legal alternative payment method in Panama can all be seen as carry-over effects of El Salvadors bold initiative.
Related:Slow to start: Crypto regulators lagging behind blockchain industry
Evidently, not every nation-state is in a position to embrace Bitcoin as the national currency. But on Sept. 7, virtually everyone was prompted to reassess where they stand on the digital money map of the world.
Regardless of the outcome of the El Salvador experiment, the pioneering example of the Central American nation has already pushed cryptocurrency deeper into the mainstream political agenda than it could ever get without recognition by a sovereign state.
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El Salvadors Bitcoin day: The first of many or a one-off? - Cointelegraph
Over the past year, interest in cryptocurrency has become much more mainstream, with the price of bitcoin, the largest by market value, surging to a record high in April.
With all of the hype, you might be wondering if it's possible and worthwhile to invest in cryptocurrency for retirement, specifically in your individual retirement account, or IRA.
It is possible through a self-directed IRA, which can be used to hold alternative investments normally not permitted in a traditional IRA, such as real estate or commodities. However, experts generally warn against it.
Here's why you should probably avoid investing in cryptocurrency for retirement.
One reason experts warn against investing in cryptocurrency through a self-directed IRA is because they're not widely available and don't make sense for most investors. Generally, they can be both risky and expensive to maintain, even without cryptocurrency holdings.
There are also strict rules in place from the Internal Revenue Service regarding which investments are prohibited in IRAs. With a self-directed IRA, you manage all the investments yourself, so you're personally on the hook if any rules are broken.
"Self-directed IRAs usually require a specialized firm or custodian and the costs can be sizable due to the additional compliance and IRA requirements," Anjali Jariwala, certified financial planner, certified public accountant and founder ofFit Advisors,tellsCNBC Make It."[I]f you fail to abide by all of the rules, then your account may lose its tax-deferred status."
There's also the potential for fraud, as the Securities and Exchange Commission, or SEC, has previously warned. "While a broader set of investment options may have appeal, investors should be mindful that investments in self-directed IRAs raise risks, including fraudulent schemes, high fees and volatile performance," the SEC wrote in 2018.
"I would be really concerned with someone's decision to proceed," Jariwala says.
In addition to the risks of a self-directed IRA, Jariwala warns against investing retirement money in cryptocurrency specifically, due to its volatile and speculative nature.
Cryptocurrency investors generally need to be comfortable with extreme price swings and potentially losing their entire investment. For that reason, crypto may not be the best option in a retirement portfolio. It may make more sense as a relatively small portion of your overall portfolio since it can dramatically increase your portfolio's risk profile and potential drawdowns.
"I believe in diversification and prefer IRA-type accounts to be invested in the markets," Jariwala says. "If [an investor has] extra money that is in cash or sitting in a brokerage account, that may be used toward more speculative investments like bitcoin, but I wouldn't try to find a way to invest retirement money."
It's also important to consider the possibility for additional cryptocurrency regulation before adding it to your self-directed IRA.
"Currently, crypto is viewed as property, but if the IRS changes the asset type, it may become one that cannot be held in a self-directed IRA," Jariwala says. If that happens, "you might be stuck and forced to liquidateat an unfavorable time or face severe tax issues."
If, despite the risks, you still want to invest in cryptocurrency, try starting with an amount you can afford to lose outside of your retirement savings. Allocating a smaller portion of your overall portfolio can assist in hedging risk, while also giving you exposure to cryptocurrency assets.
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Don't miss: These 14- and 9-year-old siblings earn over $30,000 a month mining cryptocurrency
Bitcoin and the broader crypto market have seen a steady recover in recent months following the price crash in April and May that wiped more than a trillion dollars from the overall market cap.
But a rocky roll out of El Salvadors pioneering Bitcoin Law, together with hoax news articles about litecoin and more market-moving tweets from Elon Musk, have caused a chaotic few days for cryptocurrencies.
To help make sense of it all, as well as speculate on what the future holds for bitcoin and other leading cryptocurrencies, The Independent has invited two experts in their fields to offer their thoughts and predictions.
Follow all the latest crypto market updates with The Independents live blog
Simon Trimborn, an assistant professor at the Department of Management Sciences at the City University of Hong Kong, and Fred Schebesta, a crypto advocate and founder of comparison platform Finder.com, will join us.
They will give readers an opportunity to ask anything they like about bitcoin and the crypto space.
Put your questions below and they will then be on hand to answer them on 15 September.
All you have to do is register to submit your question in the comments below.
If youre not already a member, click sign up in the comments box to leave your question. Dont worry if you cant see your question theyll be hidden until we post the live stream recording in this article.
As more institutional investors adopt cryptocurrencies, allocators and crypto managers are looking beyond Bitcoin for opportunities.
Take for example, Bitwise, which last week launched what its calling the first large-cap cryptocurrency index fund without exposure to Bitcoin. The index fund is a nine-currency, ex-Bitcoin version of the companys flagship Bitwise 10 Crypto Index Fund, which launched in 2017 and includes the ten largest cryptocurrencies in the world.
According to Matt Hougan, chief investment officer of Bitwise, the decision to exclude Bitcoin was two-fold.
For one thing, he said many investors first came into the crypto markets through Bitcoin. Since then, new currencies have arisen and new products have dominated the space. In fact, over the past year, Bitcoins share of the total market capitalization of the crypto space fell from 69 percent to 42 percent, according to Bitwise.
The other reason, according to Hougan: Not everyone loves Bitcoin.
Bitcoin has a very specific role in the crypto market as digital gold, and many people think crypto has broader applications as the new internet of finance, Hougan told Institutional Investor. So some people would rather have a portfolio that excludes Bitcoin and just focuses on these more productive crypto assets.
According to Moodys Investors Service, cryptocurrencies are one of the key forces shaping the financial services industry, and investor demand for cryptocurrencies and additional digital advancements has extended well beyond an interest in Bitcoin. In a new report, the credit ratings agency argued that digital forces like stablecoins (a subset of cryptocurrencies that are linked to a particular asset, such as gold or the U.S. dollar), fintech, and central bank digital currencies have the potential to upend traditional financial institutions roles as middlemen in financial transactions.
Things like CBDCs are changing the fundamental nature of modern money that were all using, which is currently a product of private entities private commercial banks and changing that to allow for citizens, consumers, and corporations to have access to an electronic, public form of money, which is a direct liability of the central bank, said Stephen Tu, vice president and senior credit officer at Moodys.
Tu and his co-authors believe that blockchain-based cryptocurrencies, like Bitcoin, may not have the capabilities to change the nature of global banking. But stablecoins do. According to Tu, stablecoins have the potential to function as a widely-accepted form of payment in the future because of their stable, fixed value.
If you can have a stablecoin operate within a global tech ecosystem, theres a lot of value that could be had, Tu said.
At crypto index provider Bitwise, clients are largely institutional, including family offices, financial advisors, hedge funds, and institutions. Crypto is a great asset in institutional portfolios, Hougan said.
He argued that cryptocurrencies provide three key benefits to institutional portfolios: high potential returns, low correlation to other assets, and liquidity. But for many institutional clients, Hougan said educational challenges and behavioral burdens hinder widespread adoption of cryptocurrencies into portfolios.
As for the future, Hougan believes products like Bitwises ex-Bitcoin index will make it easier for institutional investors to invest in the crypto space, a shift that will eventually lead to cryptos normalization in institutional portfolios.
The question is changing from Why do you have crypto in your portfolio? to Why dont you? he said.
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Why Institutional Adopters of Crypto Are Looking Beyond Bitcoin - Institutional Investor
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Air Products Chief Financial Officer and Executive Vice President Scott Crocco to retire on September 30, 2021 after 31 years with the company. Melissa Schaeffer will succeed him
Laura McLain, executive director of the Slate Belt Chamber of Commerce, will retire at the end of 2021 after 21+ years of service.
Thomas Ripsam has been named the new CEO of Martin Guitar. He succeeds longtime Chairman and CEO Christian Frederick Martin IV.
. Owners of Tucker Silk Mill to open wine bar and garden in down Easton in early 2022. Kabinett will have a mostly Australian and German wine list, with light fare, and an outdoor patio overlooking the Delaware River.
Community Action Lehigh Valley promoted Dawn Godshall to executive director and Jessica Reimert to deputy executive director for operations, and hired Jaana Kelley as associate executive director for community services.
The Trolley Stop diner opened May 29th at 201 S. McCartney Street in Easton
Bitty & Beau's, a coffee shop that employs people with disabilities, will set up shop at 74 W. Broad St. in Bethlehem.
PPL Corporation named by DiversityInc as one of top utilities in nation for workforce diversity
Semper Pie,14 S. Reading Ave. in Boyertown, hosting grand opening with cheesecake and more on May 22.
St. Lukes OB/GYN Complete Womens Care,9 Daves Way, in Hamburg, will accept new patients starting May 6.
Rolling Hills Recreation mini golf course,4565 Spring Hill Dr. in Schnecksville, will hold its grand opening May 1.
The Red Rose Diner, Route 22 in Phillipsburg, has announced that it will close its doors May 2.
Pizza DOro restaurant on College Hill, Easton reopened on April 21 as Joey D's. The restaurant offers dine-in and takeout options.
The Da Vinci Science Center announced that Lin Erickson, executive director and CEO, has been named a Take the Lead honoree by the Girl Scouts of Eastern Pennsylvania.
. Deliciously Decorated, 143 S. Main St. in Nazareth, will host a grand opening and ribbon cutting 11:45 a.m. to 1 p.m. May 8.
Jack Callaghan's is reopening as Cuzin's Pub and Grill at 2027 W. Tilghman St.
. John L. Walsh will retire as President and CEO of UGI Corporation on June 25, 2021. He will continue to serve as a member of UGI's Board of Directors.
. Bru Daddy's Brewing to launch new restaurant, Blended by Bru Daddy's, on downtown Allentown ArtsWalk. Soft opening is planned for May with grand opening in June.
BSI Corporate Benefits, LLC (BSI) promoted Valerie (Val) Lewis to Chief Operating Officer. The nationwide employee benefits consulting firm executes cost control strategies to manage their clients healthcare costs.
. UPMC Health Plan appoints Dr. Amy Meister as chief medical health and wellnessofficer
Center for Vision Loss, a nonprofit in the Lehigh Valley and Monroe County, changes name to Sights for Hope
PPL Corporation names Gregory Dudkin executive vice president and chief operating officer. Stephanie Raymond will succeed him as president of PPL Electric Utilities.
New Vision Theatres Tilghman Square 8 will become Tilghman Square 8. Its anticipated opening is in April 2021.
.Genesis Bicycles in Easton has been sold to Trek Bicycle. Genesis' retirement sale starts Thursday, April 1
European Wax Center to open at the Promenade Shops at Saucon Valley in summer 2021
Split Pine Axe Throwing opens at 627 Hamilton Street in Allentown
Krave 2 Taste opens new location at the Lehigh Valley Mall, next to Verizon. The frappe and smoothie shop will hold a grand opening event on March 27 from 12-3 p.m.
First Commonwealth Federal Credit Union appoints James Gagliano as new chief experience officer
New Bethany Ministries in Bethlehem announced several promotions: Veronne Demesyeux was named Associate Executive Director; Tina Sargent was promoted to Director of Finance and Administration; and Lisa Myers was named Controller.
. PPL Corporation named Best Place to Work for LGBTQ equality on the Human Rights Campaign Foundation's 2021 Corporate Equality Index. It's the fifth consecutive year PPL has earned high marks on the national report
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Bitcoin and the world of cryptocurrencies, explained | Business News | wfmz.com - WFMZ Allentown
Today at 9:00 pm ET, the first fully BTC founded documentary will be launch on Swan Bitcoin YouTube channel. Called This Machine Greens: Bitcoin and the Future of Clean Energy, it addresses the energy consumption concerns and their implications around this cryptocurrency.
Raised by many politicians, mainstream media, and others, Bitcoin and its alleged high energy use has been in the spotlight for several years. Its detractors claim that BTC mining uses the same amount of energy that small countries and argued that it could negatively impact efforts to slow down global warming.
On the contrary, the documentary film proposes that Bitcoin and its consensus algorithm based on Proof-of-Work is a better and more efficient use of energy than the U.S. dollar. This is why BTC mining opens new possibilities for society.
Related Read: Comparing Bitcoin Blockchain Data Size To Todays Hottest Tech
The film addresses these issues and attempts to answer the question of how Bitcoin can contribute to reaching carbon zero emissions. According to a press release shared with Bitcoinist, This Machine Greens received its BTC funding via a crowdsourced.
Directed by Jamie King, and produced by Enrique Posner from L9 Goodes, Zack Winer, and Joe Gallagher from The Bitcoin Movie Club. It will have a duration of 43-minute ranging from topics such as the history of money, the importance of energy efficiency for society, and how BTC plays a major role in that context.
The film will also be available on the official website thismachinegreens.com. The CEO of Swan Bitcoin Cory Klippsten said the following on the project:
The environmental argument made here is powerful. This film addresses misperceptions about Bitcoins energy usage and makes the case that Bitcoin mining is actually a net positive for the environment.
The film featured interviews from experts in the topic, like Meltem Demiros, CSO of CoinShares; Nic Carter, Partner of Castle Island Ventures; Lyd Alden, Lead Economic Advisor for Swan Bitcoin; Caitlin Long, CEO of Avanti Financial Group; Alex Gladstein, CSO of Human Rights Foundation, and many others.
Related Read: Why This Meeting With Jack Dorsey Could Mark A Turning Point For Bitcoin
The production team behind This Machine Greens is currently accepting donations for its next documentary called TRUST. Similar to their first film, this project will be fully financed with Bitcoin and its community.
Unlike traditional film producers, this BTC-based initiative can receive funds from anywhere in the world without needing permission from a central authority. The funds remain under the control of the production team.
Thus, why the film can follow its own independent and creative ambitions leveraging BTC censorship resistance characteristics. The production team also benefits, as was the case with This Machine Greens, from the budget surplus because of BTCs price appreciation during the creation of the documentary.
Related Read: Institutional Inflows Into Bitcoin Sees Significant Increase After 8-Week Dry Spell
At the time of writing, BTCs trades at $46,677 with a 4.5% profit in the daily chart.
Today marks the official release of Bitcoin Core 22.0, the 22nd major release of Bitcoins original software client launched by Satoshi Nakamoto almost 13 years ago.
Overseen by Bitcoin Core lead maintainer Wladimir van der Laan, this latest major release was developed by well over a hundred contributors in a span of about eight months. The result of roughly 800 pull requests, Bitcoin Core 22.0 is the first major Bitcoin Core release to support the upcoming Taproot protocol upgrade, while also offering several other improvements over previous Bitcoin Core versions.
As an aside, this is also the first Bitcoin Core release to drop the leading 0 from its version number: its Bitcoin Core 22.0 not Bitcoin Core 0.22.0.
Below are some of the more notable changes.
Hardware wallets are special purpose devices designed to keep private keys secure, that can sign transactions without the private keys ever leaving the device. Still, in order to transact, hardware wallets generally do need to be used in combination with a software wallet. A number of software wallets have the required compatibility to do this, but the Bitcoin Core wallet was for some time not one of them.
This started to change a few years ago: Bitcoin Core has been compatible with hardware wallets since version 0.18.0. However, users had to initially use the command-line interface (CLI) to use this feature. Since Bitcoin Core 0.20.0, users could partially use the graphical user interface (GUI) as well, but this still required some manual copy-pasting to sign transactions.
Bitcoin Core 22.0 is the first Bitcoin Core release to offer full GUI support for hardware wallets. By using the Hardware Wallet Interface (HWI) software as a sort of add-on, Bitcoin Core users will be able to smoothly use the Bitcoin Core wallet in combination with devices from Ledger, Trezor, BitBox, KeepKey, and Coldcard.
One way to de-anonymize Bitcoin users is to analyze the Bitcoin network and track from which nodes specific transactions originate. The IP-addresses associated with these nodes can then be tied to real-world identities.
To protect their privacy, Bitcoin Core users could already connect to the Bitcoin network through the anonymizing Tor network. But Tor is not the only anonymizing network.
The Invisible Internet Project (I2P) is another decentralized, peer-to-peer, anonymous communication network layered on top of the regular internet. Like Tor, it lets users communicate by routing messages across a network, using different layers of encryption for each step in the transmission chain to mask both the message itself, as well as the senders and the receivers IP-addresses.
(The difference between Tor and I2P is subtle, and beyond the scope of this article. But in short, I2P is said to have a more distributed solution for mapping the network, which is needed for message routing. It would also be better geared towards supporting hidden services, like websites that are only available on the I2P network itself. Tor, in contrast, is said to have better support for exit nodes, which allow users to communicate with the regular internet.)
Bitcoin Core 22.0 now supports connecting to the Bitcoin network through I2P as well. After Tor, this makes I2P the second anonymity network that Bitcoin Core users can utilize to shield their IP address from peers on the Bitcoin network, allowing them to better protect their privacy.
Bitcoin Core 0.21.1 was the first Bitcoin Core release to include activation logic for the upcoming Taproot protocol upgrade, which will activate this November. Now, Bitcoin Core 22.0 is the first major release to support the upgrade.
Most obviously, this means that Bitcoin Core 22.0 will fully validate the new Taproot rules. From the moment that the upgrade activates this November, all Taproot transactions will be checked for validity according to the new protocol rules.
Additionally, the Bitcoin Core wallet will support the creation of basic Taproot outputs (addresses). Bitcoin Core users will be able to accept payments to Taproot outputs that can be spent with a single private key, but that is protected using the Taproot logic.
Of course, this doesnt actually offer many benefits (if any) compared to what was already possible with the Bitcoin Core wallet software before; the more complex types of smart contracts that Taproot supports will presumably be supported in future Bitcoin Core releases.
Under the hood, Bitcoin Core will also support the creation of Taproot-specific descriptors, which identify Taproot outputs as such. This categorization could benefit applications that rely on the Bitcoin Core software, like (external) wallets.
Package relay is an ongoing project to upgrade how transactions are transmitted over the Bitcoin network. Right now, transactions are only relayed if they include a high enough fee to be included in the memory pool (mempool) of Bitcoin nodes. If a transaction doesnt include a high enough fee, it is not accepted by a node, and not forwarded to other nodes on the Bitcoin network.
This logic differs a little bit from how transactions are selected for inclusion in a new Bitcoin block, however. To determine whether a transaction is included in a block, a transaction's fee isnt just considered on its own, but it is also taken into account whether that transaction would help to get other transactions confirmed. If so, the combination of transaction fees is considered.
This allows users to get a transaction with a low fee that is waiting in the mempool unstuck, by re-spending the coins in a new transaction with a high fee to compensate. To get the second (higher) fee, miners will want to accept both transactions at the same time. This trick is called Child-Pays-For-Parent (CPFP) and can be particularly useful in the context of some Layer Two protocols like the Lightning Network.
The difference in policy between mempool inclusion and block inclusion can in some cases thwart the CPFP solution. If the first transaction doesnt include a high enough fee to be accepted in mempools in the first place, a new transaction to re-spend the coins with a higher fee will not be accepted in a block, because it needs the first transaction to also confirm before it is considered valid.
To solve this, package relay would enable that transactions are transmitted over the Bitcoin network in packages. Instead of considering transactions and their fees individually, combinations of transactions would be considered for mempool inclusion, just like it happens for block inclusion.
Bitcoin Core 22.0 includes a step towards realizing package relay: applications connected to Bitcoin Core can test if transactions would be included in their own mempools, by submitting several transactions as a single package. Transmitting or accepting such packages over the peer-to-peer network is not yet supported in this release, however.
Multi-signature (multisig) outputs are coins that require signatures from multiple private keys in order to be spent. This can for example be two signatures from two different private keys, or three signatures from a set of five private keys, or even seven signatures from a set of eight private keys, and so on.
Multisig can be used for several purposes. One example is to secure funds using several devices so that even if one device is compromised or lost, the coins are still safe and accessible. Similarly, multisig can be used to share control over funds between several people, requiring cooperation between them to spend the coins. In addition, multisig is used in some Layer Two solutions.
The Bitcoin Core software until now supported the creation of multisig outputs for up to 16 keys in Segregated Witness (Segwit) outputs, even though the Bitcoin protocol has no such limit. Bitcoin Core 22.0 now expands Segwit multisig capability to 20 keys.
For more details and other changes, see the Bitcoin Core 0.22 release notes. You can download Bitcoin Core 22.0 here.
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Bitcoin Core 22.0 Released: Whats New - Bitcoin Magazine
Bitcoin's value has jumped over $47,000 after improvement in buying sentiment. (Photo: Reuters)
Cryptocurrency prices improved over the past 24 hours as buying momentum surged in the wake of improving investor sentiment. The values of most cryptocurrencies have rebounded after a period of volatility.
Bitcoin, the worlds largest cryptocurrency, crossed $47,000 or 2.95 per cent higher than its value 24 hours ago, at 12:50 pm. Bitcoins market capitalisation jumped to $885 billion and the 24-hour trading volume remained stable at $1.03 billion.
The largest altcoin Ether also rose 2.41 per cent compared to its value 24 hours ago. It was trading at nearly $3,400 and its market capitalisation increased to $397.41 billion. The 24-hour trading volume was, however, lower at $793 million.
Cryptocurrency highlights | Check yesterday's prices
A majority of altcoins saw further improvement in their valuation over the past 24 hours and only some like Cardano and Polkadot struggled to gain momentum.
Commenting on the broad-based recovery, Edul Patel, CEO and Co-founder of Mudrex, a global algorithm based crypto trading platform, said, We are witnessing a solid buying momentum across the cryptocurrency markets.
"After consolidating for some time, the markets are now inching closer towards their highs for the day. Bitcoin went past the $47,000 mark before facing a pull-back, he added.
The largest altcoin, Ethereum, went past the $3400 level. The star performers of the day were Uniswap and Chainlink. Both of these tokens were under a lot of bearish dominance for quite some time.
Price (US Dollar)
Market cap (Billion)
Volume (24 Hours)
DISCLAIMER: The cryptocurrency prices have been updated as of 01:10 pm and will change as the day progresses. The list is intended to give a rough idea about popular cryptocurrency trends and will be updated daily.
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