Category Archives: Bitcoin
A look at the digital currency bitcoin used by hackers in ransomware attacks – NEWS.com.au
Bitcoin pioneered the cryptocurrency movement, but after eight years, the virtual currency is still struggling to find mainstream acceptance. Author and WSJ Moneybeat reporter Paul Vigna joins Lunch Break's Tanya Rivero to discuss why many people talk about bitcoin but many use it. Photo: Bloomberg
What exactly is Bitcoin and how does it work?
ITS worth more than an ounce of gold right now, its completely digital and its the currency of choice for the cyber attackers who crippled computer networks around the world in recent days.
When the attackers ransomware sprang into action, it held victims hostage by encrypting their data and demanding they send payments in bitcoins to regain access to their computers.
Heres a look at bitcoin:
HOW BITCOINS WORK
Bitcoin is a digital currency that is not tied to a bank or government and allows users to spend money anonymously. The coins are created by users who mine them by lending computing power to verify other users transactions. They receive bitcoins in exchange. The coins also can be bought and sold on exchanges with US dollars and other currencies.
HOW MUCH IS IT WORTH?
One bitcoin recently traded for $US1734.65 ($A2346.29), according to Coinbase, a company that helps users exchange bitcoins. That makes it more valuable than an ounce of gold, which trades at less than $US1230.
The value of bitcoins can swing sharply, though. A year ago, one was worth $US457.04, which means that its nearly quadrupled in the past 12 months. But its price doesnt always go up. A bitcoins value plunged by 23 per cent against the US dollar in just a week in January. It fell by the same amount again in 10 days during March.
WHY BITCOINS ARE POPULAR
Bitcoins are basically lines of computer code that are digitally signed each time they travel from one owner to the next. Transactions can be made anonymously, making the currency popular with libertarians as well as tech enthusiasts, speculators and criminals.
WHOS USING BITCOIN?
Some businesses have jumped on the bitcoin bandwagon amid a flurry of media coverage.
The currency has become popular enough that more than 300,000 daily transactions have been occurring recently, according to bitcoin wallet site blockchain.info. A year ago, activity was closer to 230,000 transactions per day.
Businesses from Yellow Taxis in New York to a pub in Sydney have decided to accept payment in bitcoins.
Still, its popularity is low compared with cash and cards, and many individuals and businesses wont accept bitcoins for payments.
HOW BITCOINS ARE KEPT SECURE
The bitcoin network works by harnessing individuals greed for the collective good. A network of tech-savvy users called miners keep the system honest by pouring their computing power into a blockchain, a global running tally of every bitcoin transaction. The blockchain prevents rogues from spending the same bitcoin twice, and the miners are rewarded for their efforts by being gifted with the occasional bitcoin. As long as miners keep the blockchain secure, counterfeiting shouldnt be an issue.
HOW BITCOIN CAME TO BE
Its a mystery. Bitcoin was launched in 2009 by a person or group of people operating under the name Satoshi Nakamoto. Bitcoin was then adopted by a small clutch of enthusiasts.
Nakamoto dropped off the map as bitcoin began to attract widespread attention. But proponents say that doesnt matter: The currency obeys its own internal logic.
Australian entrepreneur Craig Wright last year stepped forward and claimed to be the founder of bitcoin, only to say days later that he did not have the courage to publish proof that he is.
How did a currency invented out of thin air gain millions of adherents so quickly?
See the original post here:
A look at the digital currency bitcoin used by hackers in ransomware attacks - NEWS.com.au
Bitcoin Faces More Scrutiny After Global Hack – Wall Street Journal (subscription)
Wall Street Journal (subscription) | Bitcoin Faces More Scrutiny After Global Hack Wall Street Journal (subscription) In the wake of a global wave of cyberattacks that demanded payment in bitcoin, new attention is being focused once again on the digital currency's role in hacking and illegal money movements. More than 200,000 victims in at least 150 countries were hit ... |
See the article here:
Bitcoin Faces More Scrutiny After Global Hack - Wall Street Journal (subscription)
New Bitcoin Governance BIP Causes Twitter Controversy – newsBTC
It appears this BIP in question "clones" the governance layer found in the Decred altcoin.
It looks like we have another social media tussle on our hands right now. Bitcoin developer Luke Dashjr has introduced a new BIP. That is nothing unusual, as there are many improvements to be made where Bitcoin is concerned. However, this particular proposal seemingly uses the governance layer found in the Decred altcoin. An interesting way to go about things, although it raises a lot of eyebrows.
Many people seemingly agree useful altcoin features may find their way to Bitcoin at some point. This is part of the reason why some people feel altcoins have a lot of merit. Bitcoin can use quite a few improvements, that much is evident. If an altcoin comes up with a new feature, it can be modified to become a part of the Bitcoin protocol. However, a recent BIP by Bitcoin developer Luke Dashjr has people up in arms right now.
It appears this BIP in question clones the governance layer found in the Decred altcoin. Interestingly enough, Luke Dashjr feels any correlation with the Decred source code is a mere coincidence. In fact, he claims several developers have been looking at introducing a similar BIP over the past few years. One could also argue how every alternative cryptocurrency in existence right now copies Bitcoin, although that is a different conversation altogether.
Introducing a governance layer in Bitcoin would be quite a significant feat, though. Doing so would require a soft fork of the code, assuming it will ever become a part of Bitcoin. The BIP focuses on a new opcode for the Bitcoin scripting system. As a result, transactions can be constructed which are valid only within blocks signaling for or against arbitrary network upgrades. It is an interesting BIP to keep an eye on, that much is certain.
Some users on Twitter are pointing out the irony of this BIP, though. An earlier tweet by Luke Dashjr mentions how governance is nothing but a threat to Bitcoin. Any attempts to govern Bitcoin are an issue, in his opinion. It is important to note said statement is part of a block size debate taking place on Twitter earlier this year. Rest assured it is not the last we will have heard regarding this BIP and governance in Bitcoin.
Header image courtesy of Shutterstock
See original here:
New Bitcoin Governance BIP Causes Twitter Controversy - newsBTC
Bitcoin’s surge fuels fears of asset bubble – Financial Times
Financial Times | Bitcoin's surge fuels fears of asset bubble Financial Times An increase in initial coin offerings (ICOs) unregulated issuances of crypto coins where investors can raise money in bitcoin or other crypto currencies is fuelling the market and drawing attention from lawyers and financial professionals. Many ... Bitcoin is Pioneer, Pioneers Are Shot in the Back: Jeff Pulver on Ethereum, ICO & More The strange mix of reasons why bitcoin has soared to all-time records |
See more here:
Bitcoin's surge fuels fears of asset bubble - Financial Times
Bitfinex Now Processing One Time USD Withdrawals – Bitcoin News
Online cryptocurrency exchange Bitfinex announced May 12 they are resuming fiat withdrawals for specific customer profiles in certain jurisdictions.
Read more:Research Paper Suggests Bitcoin Volatility Will Match Fiat in Two Years
They are processing these requests in descending order for customers who intend to withdraw alarge quantity of funds.These withdrawals will beon a one-time basis until more options for the company arise.
The exchange also mentioned they started moving many of their funds outside of Taiwan. Between this action and other channels opening up to the company, Bitfinex noticed the price spread between them and other exchanges begin to narrow. Their press release also said,
As noted in our prior announcement, US correspondent banks continue to block international wires. USD, however, continues to flow domestically in Taiwan and other channels have been slowly ramping up as evidenced by the price spreads narrowing between Bitfinex and other exchanges.
However, the press release stated for time being the company can only process transactions over $50,000 until more channels for transactions become available and viable.
This news comes after several weeks of halted fiat currency withdrawals at Bitfinex, which have caused fear and doubt to spread across the bitcoin ecosystem.Many actors in the crypto-space have compared the price spread engendered by Bitfinexs policies as similar to what happened at Mt. Gox prior to its insolvency and subsequent fall from grace.
Jamie Redman, writing for bitcoin.com, echoed these sentiments: Traders dont feel confident in the market because of the 2013 Mt Gox scandal which shook the bitcoin community to the corePrice spreads began to happen slightly then picked up when Mt Gox suspended USD withdrawals.
Nonetheless, the price spreads are starting to balance out alongwith Bitfinexsannouncement. At the time of writing this, Bitfinex was sitting at $1812, with most other exchanges hovering around the mid to upper $1700 range.
These prices, however, do not mean that there are no bubbles propping up the bitcoin cap or price or artificially incitinga bull market. There could be a market run, but no one can guess whether that is true or not. Most of the time, market trends are impossible to predict. All the variables that influence value and price change regularly and rapidly.
Nonetheless, it appears that Bitfinex is poised to get their exchange running properly. They promised customers they are solvent, and said they merelyencountered legal and technical difficulties. Their mission is still to allow the fluid exchange of currencies across disparate crypto-spaces.
Bitfinex thanked their customers for the dedication and patience they have shown while the company tries to overcome a myriad of hurdles. They said,
We are deeply grateful for the patience and forbearance that our customers and shareholders have shown us as we work to restore normal operations. We apologize for the inconvenience and look forward to resolving these problems in the coming weeks.
What do you think about Bitfinex and these price differences? Let us know in the comments section below.
Images courtesy of Shutterstock and BTC Report app
Do you have an easy and fast way to calculate your bitcoin holdings? Check out our tools section.
View post:
Bitfinex Now Processing One Time USD Withdrawals - Bitcoin News
Bitcoin Price Weekly Analysis BTC/USD Eyeing $2000 – newsBTC
Bitcoin price surged higher above $1800 against the US Dollar, and the current movement in BTC/USD looks very bullish for more gains in the near term.
Bitcoin price surged higher above $1800 against the US Dollar, and the current movement in BTC/USD looks very bullish for more gains in the near term.
It was a nasty week for Bitcoin price, as it continued to gain momentum above $1700 against the US Dollar. My view of continuing gains in BTC is playing well. Recently, the price traded close to the $1910 level from where a correction was initiated. The price traded below the 23.6% Fib retracement level of the last wave from the $1510 low to $1905 high.
On the downside, a monster bullish trend line with support at $1660 on the 4-hours chart of BTC/USD was waiting. It acted as a barrier for further declines below $1650 and pushed the price back higher. There was also a test of the 61.8% Fib retracement level of the last wave from the $1510 low to $1905 high. The price is now back above the $1800 level. It looks like a correction wave is over, and the price may soon retest the last swing high at $1905.
If all goes well, there is a chance of further gains above $1900. On the downside, we have two bullish trend lines at $1660 and $1610, which may continue to act as a support. The overall trend is bullish with a chance of BTC/USD testing $2000.
Looking at the technical indicators:
4-hours MACD The MACD is currently gaining momentum in the bullish zone.
4-hours RSI (Relative Strength Index) The RSI is now back above the 50 level and heading north.
Major Support Level $1660
Major Resistance Level $1900
Charts courtesy SimpleFX
Visit link:
Bitcoin Price Weekly Analysis BTC/USD Eyeing $2000 - newsBTC
Bitcoin Price Recovering After Testing Support, Awaiting SEC Decision – The Merkle
This weekend has been quite eventful for Bitcoin. After reaching a new all time high of $1800, the price dipped over $200 to a low of $1600. However, the market displayedstrong support at that level and is currently showing signs of recovery.
As SECs second decision date approached by May 15th, the market is showing clear signs of uncertainty. Both the bears and the bulls are pulling the strings in their directions. One concerning sign is the lack of volume during the recovery.
The market RSI has also decreased, signalling a lack of fuel for further momentum. If a few big players decide to exit their positions the market may tumble down to the $1600 support levels once again.
According to the SEC, all documents regarding the appealed bitcoin ETF application must be submitted by May 15th.This does not necessarily mean that the decision will come right away, but there is no reason it shouldnt come soon after.
Two months ago, the SEC released their decision around 5PM, after the stock market closed. Usually the agency release statements after hours,to make sure the stock market is closed for the day and cannot be manipulated, but since there are no Bitcoin stocks there is no reason why they wouldnt release a statement earlier. Make sure to vote if you think the Bitcoin Petition for Review will be approved:
On another note, the biggest ransomware attack the world has ever seen has been successfully thwarted by MalwareTech security analysts. The solution was incredibly simple buy the unregistered domain that the malwarewas using for payload propagation.
Furthermore, analysts confirmed that the masterminds behind the worlds biggest ransomware attack have made an embarrassingly small amount of money only $26,000. The viral nature and the quick shut down of the attack has shedmore light on Bitcoin, which undoubtedly contributed to the positive market pressure.
Dislaimer: This is not trading advice, this article is for educational purposes only. If you liked this article, follow us on Twitter @themerklenews and make sure to subscribe to our newsletter to receive the latest bitcoin, cryptocurrency, and technology news.
Here is the original post:
Bitcoin Price Recovering After Testing Support, Awaiting SEC Decision - The Merkle
Back to Reality? Bitcoin’s Price Drops $100 Amid Meteoric Month – CoinDesk
The price of bitcoin saw something it hasn't seen much of lately today a 24-hour decline to the tune of triple digits.
According to figures from the CoinDesk Bitcoin Price Index, the day-over-day decline marks a rare occurrence over the last month. Over that span, bitcoin has been largely in the green, spurred by a diversity of factors on which analysts haven't found much to agree.
The pause in price growth may be stunning, if only for the fact bitcoin has been consistently setting new all-time highs in recent trading sessions.
Analyst and trader Jacob Eliosoff, for instance, downplayed bitcoin's off-day, positioning it in perspective of bitcoin's overall gains. The price of one bitcoin is up over $700 so far this year, and up nearly $1,300 since May of last year, BPI data shows.
Still, Elisoff pointed to data that suggests bitcoin's historic corrections have been swift.
He told CoinDesk:
"A natural question is, when the correction does come, how far will it drop? I don't know, but in the past they've been huge."
Others projected that the price may simply be consolidating after a period of intense growth, with over-the-counter trader Charlie Shrem reporting that he believes this to be the case.
Shrem pointed to bitcoin's long-term value projections as evidence the market isn't "satisfied" even with the current price observed today.
And as the momentum subsides, some worry that bitcoin's past problems may now become more visible. For example, with litecoin having recently upgraded its code to scale its transaction capacity, it's possible bitcoin's scaling debate could soon again heat up.
"I think bitcoin will be worth $5,000 or $10,000 in a few years time, but it can't get there unless we get past this scaling debate, and short-term price rallies only serve to delay us dealing with this reality," said angel investor and entrepreneur Vinny Lingham.
Lingham went on to note that price spikes of any severity are also more likely to make bitcoin's limited throughput apparent. "The rewards per block keep going up," he remarked.
Data from Bitnodes now suggests it costs about 240 satoshis to clear 1 byte of transactions on the network, meaning average transaction fees are now above $1.
Charles Hayer, CEO of digital currency data website CryptoCompare, agreed with Lingham.
"In terms of capacity bitcoin is straining at the seams, whilst litecoin is streets ahead in terms of forward thinking and governance," he said.
While still conjecture, the comments point to potentially troubled waters ahead or big gains if an upgrade can finally be made.
Charles Bovaird contributed reporting.
Shuttlecock image via Shutterstock
PricesBitcoinScaling
See original here:
Back to Reality? Bitcoin's Price Drops $100 Amid Meteoric Month - CoinDesk
The strange mix of reasons why bitcoin has soared to all-time records – Quartz
The strange mix of reasons why bitcoin has soared to all-time records Quartz Bitcoins traded at over $1,800 late last week, marking a new all-time high. To understand how significant this is, even in the volatile bitcoin market, the cryptocurrency's previous record price of $1,165 took three years to topple, which happened in ... |
View post:
The strange mix of reasons why bitcoin has soared to all-time records - Quartz
Top 5 Countries Interested in Bitcoin, According to Google – The Merkle
It is always interesting to look where Bitcoin is a popular search trend. Although one would expect African countries to rank rather high on the results list, it appears Eastern European countries are growing keen on Bitcoin as well. In fact, the top five countries with a keen interest in Bitcoin are quite surprising to a lot of people. This spells quite good news for the future of cryptocurrency.
Hardly anyone will be surprised to find out South Africa is showing great interest in bitcoin right now. Although the country is doing ok-ish financially, there is always a need for innovative and digital payments. With access to bank accounts and credit cards still somewhat limited in the country, Bitcoin makes for a fine alternative. The LocalBitcoins chart does not show a massive spike in Bitcoin trades for now, but it still generates some decent volume.
It is somewhat interesting to see Eastern European countries grow an interest tin Bitcoin. Countries such as Slovenia are in rough shape right now, and it looks like things will not improve financially anytime soon. An interest in Bitcoin makes a lot of sense in this regard, that much is certain. Unfortunately, currently there is no LocalBitcoins chart of Slovenia available, making it a bit harder to gauge if there has been any recent trading volume spikes in recent months.
Another Eastern European country looking into Bitcoin is none other than Estonia. The country has been somewhat keen on embracing blockchain technology as of late, which could explain the increased demand for Bitcoin as well. It is evident the Bitcoin trading volume on LocalBitcoins across all of Europe has increased over the past few weeks. It is difficult to tell how much of this volume comes from Estonia, but it is a positive development regardless.
No one is surprised to see Ghana in the list of countries where Bitcoin demand is surging. Not only is the financial situation rather dire in that part of the world, but service like Bitpesa have also successfully gained market share in Ghana. This means Bitcoin is advertised prominently in the country, and a lot of people are aware of what this cryptocurrency can do for them.
Ghana does not have an individual LocalBitcoins chart either, although it is safe to say Bitcoin is quite prominent in the region. It will be interesting to see if this is the situation will change in the coming years. More countries are trying to introduce some form of Bitcoin legislation, which helps validate the cryptocurrency in the eyes of the general population.
There was no doubt Nigeria is the first region on the list where Bitcoin is in high demand. It is unclear if this is due to positive reasons, though. The MMM Global Ponzi scheme only accepts bitcoin deposits in Nigeria to avoid scrutiny by the government. This fact will drive up demand for Bitcoin, even if it is for the wrong reasons altogether. Then again, the popularity of Bitcoin in Nigeria can be turned into something positive moving forward.
If you liked this article, follow us on Twitter @themerklenews and make sure to subscribe to our newsletter to receive the latest bitcoin, cryptocurrency, and technology news.
See original here:
Top 5 Countries Interested in Bitcoin, According to Google - The Merkle