Home Blog Page 7

Texas To Compensate Bitcoin Miners to Halt Operations and Send Power To The Grid

By
Adam Barry
-
0

Texas saw triple-digit temperatures over the course of the weekend, setting new records for high temperatures which had existed for over a century.

Power outages in Texas likely to affect BTC miners

In response to the state’s power operator’s July 11 warning that power outages were “likely” to occur, people and businesses were urged to minimize their energy use. According to a June 12 Fortune article, Bitcoin miners flocked to the state in 2021 in response to the threat.

As of July 11, almost all industrial-level Bitcoin mining companies in Texas, according to Lee Bratcher, Texas Blockchain Association head, have stopped down their equipment. As a consequence, the power system may now transfer 1,000 megawatts of energy. Bratcher estimates that it corresponds to 1% of Texas’ total grid capacity.

Bitcoin miners in Texas had already shut down their activities during emergencies, for instance, when a winter storm slammed the state in February. The stoppage of Bitcoin mining activities, which used a lot of energy, reduced demand and increased the amount of electricity provided for heating.

At the time, the CEO of the mining firm Rhodium, Nathan Nichols, tweeted, “We are proud to help stabilize the grid and help our fellow Texans stay warm.”

However, this time, financial incentives are the driving force behind the decision; miners are not shutting off their rigs out of a sense of benevolence.

Shutting operations is advantageous for miners. 

Electric Reliability Council of Texas (ERCOT), a power system operator, negotiates “demand response” contracts that compensate businesses, including Bitcoin miners, to scale back operations at times of high demand in order to supply the system with more electricity. These agreements were put in place to lessen the grid’s burden during periods of peak demand.

It makes perfect sense for miners to accept the compensation from ERCOT instead of continuing to mine cryptocurrencies during periods of limited energy supply, as they can easily turn their operations on or off.

 Only when the cost of the power necessary to mine bitcoins is less than the worth of the bitcoins mined is the mining operation profitable.

Growth Of Cryptocurrency ATMs Worldwide Fell By 32% In The Second Quarter 

By
Adam Barry
-
0

In 2022, the number of installed crypto ATMs decreased, which coincided with a global market sell-off that reduced the worth of the majority of digital assets.

The number of brand-new international cryptocurrency ATM installations fell to 1,600 from 2,362 between Q1 and Q2 2022, a decrease of 32.26 percent.

The number of Crypto ATMs installations growing 

At the beginning of the calendar year, there were 34,370 cryptocurrency ATMs. By the conclusion of the first quarter, that number had increased to 36,732. As per data from Coin ATM Radar, around 37,642 installed crypto  ATMs at the end of the second quarter.

Interestingly, the market’s increasing value—which later fell precipitously in 2022—led to an increase in the number of cryptocurrency ATM deployments in 2021. For example, Bitcoin’s price fell by 70% from its record high of approximately $68,000 in November 2021. The asset is having difficulty keeping its price over $20,000 today.

It’s noteworthy to note that Bitcoin had one of its roughest quarters in more than a decade during Q2 2022. According to Finbold, during the second quarter, Bitcoin’s value dropped by roughly 56 percent.

Because of the market collapse, some businesses involved in cryptocurrencies have had to change how they operate. In anticipation of a potential future market recovery, a number of businesses have been obliged to suspend activities and rearrange their plans.

Generally, cryptocurrency ATMs help diverse assets become more widely used. However, it is important to keep in mind that ATM operations do not affect overall liquidity; rather, they merely assist investors in purchasing cryptos against fiat cash.

Regulatory concerns could impact crypto ATM installations 

In light of the regulatory worries, the interest could be on how well the installations go in the foreseeable future. Notably, some governments are preparing to implement a regulatory framework for cryptocurrencies that aims to prevent vices such as money laundering.

Authorities have already issued warnings against the usage of cryptocurrency ATMs. The FBI issued a caution in November of last year about cybercriminals using QR codes and cryptocurrency ATMs to deceive unwary people.

South Korean Tech Behemoth SK Telecom Partners To Release A Crypto Wallet 

By
Adam Barry
-
0

On July 11, Korea Mobile Telecommunications Services Corp, generally known as SK Telecom, declared that it had established a deal with AhnLab Blockchain Company and Atomrigs Lab to work together on the creation of a crypto asset wallet platform.

SK Telecom partners to create a digital wallet platform 

According to Korea JoongAng Daily, the cryptocurrency wallet would be able to hold a variety of virtual assets, including cryptos, non-fungible tokens (NFTs), as well as other assets powered by blockchain that might be employed for identity verification.

In addition, the wallet service would be built on the mobile wallet technology created by the Seoul-based Atomrigs Lab, while SK Telecom and AhnLab Blockchain Company will be in charge of the service’s product design and ongoing management, respectively.

The AhnLab Blockchain Company, a subsidiary of AhnLab, was established in Pangyo, Gyeonggi, in April. With an emphasis on blockchain tech services, Atomrigs Lab was established in 2018. The new virtual wallet service will utilize Atomrigs Lab’s Secure MPC encryption tech.

SK Telecom’s digital asset unit head, Oh Se-Hyeon, stated, “The online environment is shifting into the Web3 era, where the user owns and manages all the data. “This joint project of Web3 digital wallet will be a crucial starting point for SK Telecom’s response to the Web3 market.”

Atomrigs Lab CEO Cheong Woo-Hyeon said, “Personal wallets are hindering the expansion of blockchain ecosystem because it’s very hard to make them safe and convenient to use at the same time.”

Web3 allows users to maintain control over their data 

Users maintain control over their data with the 3rd generation of internet tech, also referred to as Web3 or Web 3.0. Web 2.0 prioritizes two-way communication through a centralized digital platform, as opposed to Web 1.0, which focuses on one-way transmission from the online environment to the user.

Kang Suk-known, the chief executive officer of AhnLab Blockchain Company, stated that the cooperative effort would incorporate the firm’s core technology, like multi-platform interoperability for ABC Wallet, which is now under creation, and security risk response mechanism.

Hong Kong To Revise Its Laws To Target Non-Compliant Cryptocurrency Businesses and Advertisement

By
Adam Barry
-
0

Hong Kong is revising its anti-money laundering laws to include cryptocurrencies in the middle of several financial regulators clamping down on the crypto business in an effort to control the new and mostly unregulated asset class.

According to cryptocurrency writer Colin Wu on July 13, the Hong Kong government is, in fact modifying the Anti-Money Laundering and Counter-Terrorist Financing Bill of 2022 for adoption, adding a richer legal interpretation of virtual currencies.

Violation of laws to attract hefty fines and jail time 

As per the amendments, any company offering cryptocurrency services will need to possess a license; failure to do so might result in fines of up to $5 million or a seven-year prison sentence for those involved.

Additionally, promoting an unlicensed cryptocurrency firm might result in a fine of around $50,000 or a six-month jail sentence. Direct or indirect violations of deceptive or fraudulent methods or devices in cryptocurrency transactions run the danger of a fine of $10 million or a maximum 10-year sentence in jail.

The updated bill was initially made available in the Gazette of Bills on June 24. On July 6, it was brought to the Legislative Council for the initial reading. On July 8, it was given to the House Committee for review.

Legislative amendments effects visible

Wu claims that even though the law won’t fully take effect until 2023, its impacts are already being felt.

Particularly, numerous crypto ads have disappeared from Hong Kong’s streets, and non-compliant crypto exchanges like BitMEX and FTX have relocated their corporate offices. Others have applied for the necessary licenses or are in the midst of doing so, including Huobi, HashKey, and OSL.

Authorities are clamping down on cryptocurrency and its marketing all over the world. As Finbold revealed in January, Singapore closed down all of its Bitcoin ATMs after attempting to restrict the public advertising of cryptocurrency providers’ services. At the same time, Spain declared that starting in February 2022, it would start to formally control the advertising of Bitcoin (BTC) and other cryptocurrencies.

HypaSwap vs. Bitcoin vs. Litecoin: What You Should Know

By
Adam Barry
-
0

HypaSwap has set out to rival Bitcoin and Litecoin in enabling real-time and low-cost transactions and exchanges on the blockchain. Its primary goal is to establish a strong market position by enabling decentralized finance in every other corner of the world powered by its native coin $HYPA

Bitcoin has carved a niche for itself by providing an effective and reliable way of sending and receiving money on the internet. As is usually the case with the traditional banking sector, the flagship cryptocurrency has provided an alternative payment system that operates free of central control. Bitcoin can also be used to buy goods and pay for services.

Litecoin is another cryptocurrency that shares features with Bitcoin and also offers an alternative payment structure to what people are used to. It was created amid concerns that Bitcoin was becoming controlled. In addition, Litecoin was developed to address several Bitcoin shortcomings around slow transaction processing speeds and mining monopolies. In addition, it is built to enable everyday transactions.

While Bitcoin and Litecoin are mostly focused on enabling real-time, low-cost transactions, HypaSwap has set out to flex its muscle in the burgeoning decentralized finance providing a way for borrowers and lenders to do business at the lowest cost possible. In addition, it also strives to provide a platform whereby people can earn some passive income on the side by staking their tokens.

In addition, HypaSwap also allows users to participate in extra banking activities, including staking and collateral swapping. Members can stake their tokens to help bolster liquidity levels and, in return, earn returns on their investments and rewards for active involvement.

HypaSwap Prospects

HypaSwap has positioned itself as the next big thing as decentralized finance slowly takes over the traditional financial sector. The project is already attracting strong interest in offering a platform where people can borrow at low costs and lenders lend their money risk-free with the promise of high interest.

Chinese Court Rules That Business Should Pay Employees In Local Currency And Not Tether

By
Adam Barry
-
0

A Chinese court has determined that the nation’s overall ban on digital assets circulation justifies the impossibility of paying workers with the Tether (USDT) crypto.

The Chaoyang-based court determines that employees have to be paid in Yuan

Beijing Daily stated on July 6, 2022, that the Chaoyang-based court upheld that labor rules require wages to be received in local Chinese currency because cryptos do not have the same legal standing as traditional currencies.

This came about after a guy named Shen filed a lawsuit against his previous employers for failing to pay his outstanding salary after a job was completed. Then, after the company was dissolved, he filed a lawsuit against the employer, Hu and Deng’s major stockholders.

The court’s investigation revealed that Hu chose to pay the plaintiff in USDT rather than the local Chinese currency. Hu demanded his salaries be compensated in local currency but insisted on the stablecoin

The court stated, “The USDT Tether involved in the case should not and cannot be circulated in the market as a virtual currency. Therefore, Mr. Shen’s request to pay wages and bonuses in the form of RMB complies with the law, and the court supports it.”

For the service, he was supposed to be compensated 50,000 yuan before appropriate deductions, Shen alleged that the employers were using an improper working system. As a result, the court decided that Shen must be given his unpaid salary in the local Chinese currency.

The Chinese government continues to crackdown on cryptos

In China, where the government has continued to crack down on the industry over the past year, cryptos are still banned. Cryptocurrencies, according to authorities, pose a risk to the nation’s financial stability.

As a result, the government has emphasized through a number of authorities that there are hazards associated with cryptocurrencies, even going so far as to warn that today’s market slump will drive Bitcoin to zero. Bitcoin, which is the largest cryptocurrency today, has lost considerable value this year and currently trades at around $20,000. 

The Prince Of Serbia and Yugoslavia Alludes That Any Arab Nation Could Soon Adopt Bitcoin 

By
Adam Barry
-
0

The more eminent crypto advocates are hopeful that most of the monarchs in the Middle East will soon see the potential it presents as the cryptocurrency market and interests in virtual currencies expand tremendously around the globe.

Serbian Prince alludes to the adoption of BTC by countries in the Middle East

One of these well-known crypto proponents is Filip Karadjordjevic, the Hereditary Prince of Yugoslavia and Serbia, who recommended on a Bitcoin Reserve talk show on July 6, 2022, that some Middle Eastern nations, including the United Arab Emirates (UAE) and Jordan, among others, could quickly adopt Bitcoin (BTC).

He claims that the majority of these monarchs follow Sharia law, which includes a particular monetary system that does not understand the notion of debt, among other things. As a result, people might be willing to accept a pitch for Bitcoin as the ideal currency under this system.

Filip stated, “According to their readings, to the Quran, it is actually that Bitcoin is their perfect money. It’s just a matter of time until someone pitches that to them, or they pitch it to themselves, and they get on board. Maybe you’ll see an Arab monarchy or an Arab country here or there adopting Bitcoin a lot sooner than you think.”

Growing interest in cryptocurrency in the Middle East

Interestingly, a few of the nations the Serbian Prince identified have previously expressed interest in cryptocurrencies. In fact, according to Chainalysis figures, the Middle East is among the markets for cryptocurrencies that is expanding the fastest, making up 7% of global transaction volumes.

In keeping with this, Finbold stated in December 2021 that Mubadala Investment Company, a UAE sovereign wealth fund, intended to commit $240 billion to the cryptocurrency industry. 

In the middle of March, a virtual asset license was given to Binance, a crypto exchange. This license enables Binance to conduct business in Dubai and to offer limited exchange products and solutions to pre-qualified clients and licensed financial institutions.

Recently another cryptocurrency exchange, Kraken, received permission from local authorities to establish a cryptocurrency trading platform in the United Arab Emirates, headquartered in Abu Dhabi. 

HypaSwap Sets Out To Rival Bitcoin and Litecoin on DeFi

By
Adam Barry
-
0

The traditional banking sector is undergoing a massive transformation as the need to get rid of intermediaries in transactions has heated up. Decentralized Finance (DeFi) is the latest sensation promising to have a ripple impact on the $500 trillion industry. DeFi stands out as it enables real-time and low-cost transactions while getting rid of unfair practices. HypaSwap is one such DeFi project on the cusp of disrupting the traditional banking sector.

Understanding HypaSwap

HypaSwap is a Decentralized Finance project built on top of the Ethereum blockchain. It operates as a decentralized non-custodial liquidity protocol whereby lenders and borrowers are pooled together to exchange assets through a big liquidity pool. In the platform, lenders are able to lend assets and earn interest in the process, over their locked assets. On the other hand, borrowers borrow holdings in exchange for collaterals.

Operating primarily as a lending and borrowing platform, HypaSwap enables transactions without the risk of people losing capital to fraud, as is the case with centralized systems. Borrowers are required to over-collateralize their loans; ensuring lenders are paid off regardless of the scenarios.

HYPA Tokenomics

$HYPA is the native token that powers all operations on the HypaSwap platform. The token is used for paying all transaction fees, interest rates, mentalities and staking incentives. The token can be earned and bought form crypto exchanges.

$HYPA token holders can stake their tokens on the platform to earn good returns for helping secure the network and provide liquidity. The longer the lock-in period, the higher the yield holders are likely to generate. It also operates as a governance token, according to holders the right to participate in voting whenever decisions have to be made on the upgrades and the project’s direction.

The total number of $HYPA tokens that will ever be in circulation is capped at 200 million, with 45% of the total supply poised to be released through pre-sale, 15% allocated to founders and team, 20% to community reserve, 5% for advisors and 15% to bolster liquidity.

Spanish Banking Behemoth Santander To Award Top Scaleups and Start-ups Innovating In Blockchain and Crypto Sector 

By
Adam Barry
-
0

Major financial organizations are becoming increasingly interested in the blockchain and crypto space as the industries flourish, with Spanish banking behemoth Santander preparing an awards event that will happen in the metaverse.

Santander to host award event on Decentraland metaverse

In fact, Santander announced on its webpage on July 7, 2022, that it would host an awards event for its “Santander X Global Challenge | Blockchain” in the Decentraland metaverse on Thursday, July 14, 2022.

The ceremony marks the end of a contest held in collaboration with the Oxentia Foundation and attracted roughly 400 entries. The applications had to be submitted by June 9, 2022, and after that date, a jury of worldwide experts whittled the selection to 20 finalists. 

The finalists had presented their solutions to Santander’s open innovation team, Fintech Station, on July 7, 2022. 

Six of the 20 finalists (ten scaleups and ten startups) will be selected as the best at offering technological solutions that cover everything from improving and broadening user engagement via the metaverse and  Web3 to providing security and privacy for blockchain technologies, as well as tokenization and decentralized finance (DeFi).

The six finalists will receive around €120,000 at the award event 

These six finalists will get a total of €120,000 (about $121,985) at the awards event. Three top startups will get €10,000 apiece, and the three best scaleups will get €30,000 apiece.

Additionally, they will join Santander X 100, the bank’s international network for entrepreneurs, giving members access to training, funding, clients, and connections.

According to Banco Santander’s Executive Chairperson Ana Botn, the company’s plans to introduce the first Bitcoin (BTC) exchange-traded fund (ETF) in Spain in November 2021 was mostly driven by client demand. However, since then, no more information has become accessible.

Most recently, the UK division of the Santander group said that frauds utilizing cryptocurrencies promoted by celebrities rose 61 percent in Q1 2022, indicating that the number will probably double in 2022 and increase by 87 percent compared to 2021.

Tether Liquidates its Position in Embattled Crypto LenderCelsius Network Without Any Losses

By
Adam Barry
-
0

Worries that Tether might have an excessive vulnerability to the troubled crypto lender Celsius Network have already been allayed by the fact that the stablecoin issuer’s credit to Celsius Network in Bitcoin (BTC) has been entirely redeemed without a loss.

Tether’s loan agreement with Celsius eliminated risk on core business

Tether highlighted in a statement released on Friday how its loan agreement with Celsius eliminated any risk to its core business. The original arrangement permitted Tether to liquidate the security to pay down the loan because the BTC-denominated debt made to Celsius was 130% overcollateralized. The process was conducted to limit any potential impact on markets.

The statement from Tether indicated, “This process was carried out in a way to minimise as much as possible any impact on the markets and in fact, once the loan was covered, Tether returned the remaining part to Celsius as per its agreement. Celsius position has been liquidated with no losses to Tether.”

In June, after the cryptocurrency lender was compelled to cease withdrawals because of “extreme market conditions,” rumors about Celsius’ bankruptcy started to spread. As soon as the company hired new legal counsel to provide restructuring advice, information about enormous losses and liquidity issues started to emerge.

Tether is the largest stablecoin in market value. 

Tether, the biggest stablecoin in by market value, released a statement in June while the situation was developing to clarify that its financial assets in Celsius had little to do with the stability and support of USDT.

The company indicated on June 13, 2022, that there was no connection between the investment and its stability or reserves. According to the company, its investment portfolio also includes an investment in the company, which constitutes a minor part of its shareholder ownership. 

Although USDT is the most popular stablecoin available in the market, its sway has waned in recent months. According to CoinMarketCap, the entire market value of USDT is approximately $66 billion. Circle’s USD Coin (USDC), which has a valuation of $55.5 billion, closely contests second place.

1...678...66Page 7 of 66

EDITOR PICKS

POPULAR POSTS

POPULAR CATEGORY

©