Cryptocurrency Trading Helps Make Traditional Wall Street Traders Millionaires

Cryptocurrency Trading Helps Make Traditional Wall Street Traders Millionaires

 

Smart Investment

Wall Street’s traders Mike Komaransky and Chase Lochmiller have achieved greater financial success by trading cryptocurrencies like Bitcoin and Ethereum. They’re the only ones withdrawing their funds from stocks. In fact, CNBC reports that many stock traders are pulling out their billions from the stock market. One of the traders, Komaransky, has reportedly done so well that he already announced his retirement at the age of 38 in the summer of 2017.

How Komaransky discovered Bitcoin

Komaransky became interested in Bitcoin after reading George Mason University economist Tyler Cowen’s blog about the digital currency in 2010. Komaransky was working in London, England during that time. In late 2013, the price of Bitcoin started its upward mobility following the collapse of the biggest Bitcoin exchange, Mt. Gox. Due to the continuous rise of Bitcoin’s price, high-frequency trading company DRW Holdings founder and chief executive officer (CEO), Don Wilson, has ordered Komaransky to establish cryptocurrency trading currency subsidiary Cumberland Mining in 2014.

Cumberland Mining was able to exploit the volatile era of Bitcoin trading as it was successful in making notable trades such as gaining the bulk of tokens auctioned by the US Marshals Service. The coins were seized by the service from dark market operator Ross Ulbricht and the illegal online black market he established, Silk Road. Cumberland Mining has sustained its success and is now one of the biggest digital currency market makers. The company currently has 12 employees, who are mainly involved in trading cryptocurrencies such Bitcoin and Ethereum.

Lochmiller’s story

For the past 10 years, Lochmiller has worked for the largest high-frequency trading companies on Wall Street such as Jump Trading and Getco. In July 2017, however, he resigned at Jump Trading to join hedge fund Polychain Capital, which is mainly involved in trading virtual currencies like Tezos and Ethereum.

Chuck Reynolds


Marketing Dept
Contributor
Please click either Link to Learn more about -Bitcoin.

David https://markethive.com/david-ogden

Oraclize, Digital Identity to Develop Financial Applications of Ethereum Blockchain

Oraclize, Digital Identity to Develop Financial Applications of Ethereum Blockchain

 

Oraclize has closed on €500,000 in their seed round led by Digital Identity SA,

a growing firm delivering services for the Fintech industry. The company believes that Blockchain technology opens many opportunities in a variety of areas, including Fintech and cryptocurrencies. With its primary focus being on financial companies, cryptocurrency wallets, and decentralized exchanges, among others, Oraclize represents a strategic investment securing development of the layer on top of which these financial applications are built.

Natale Ferrara, director of Digital Identity SA, commented:

“Oraclize provides an infrastructure tool essential for Blockchain applications to grow and have a concrete impact. I believe that our investment in Oraclize will support the talented team with its activities and ultimately benefit the Blockchain ecosystem as a whole.”

In the Blockchain context, the company provides a safe data-transport-layer enabling decentralized applications (dapps). Since 2015, it has served over 200,000 requests on the Ethereum mainnet and several million on test nets, backing its claims with authenticity proofs based on a variety of cryptographic techniques. It aims at developing Blockchain applications in order to overcome common limitations while minimizing additional trust lines. For this reason, the authenticity proofs rely on independent attestors, leveraging both software and hardware-enforced security technologies.

Thomas Bertani, CEO of Oraclize, comments:

“Since launching in March 2015, the Oraclize concept has evolved and reshaped according to the needs of the market. Today, Oraclize is the longest running Oracle service across a multitude of Blockchain platforms. Our activity goes beyond that, we have developed a powerful technology securing different kinds of processes. This funding will enable us in bringing our technology to the next level.”

Chuck Reynolds


Marketing Dept
Contributor
Please click either Link to Learn more about -Bitcoin.

David https://markethive.com/david-ogden

Does Bitcoin Have a Mining Monopoly Problem?

Does Bitcoin Have a Mining Monopoly Problem?

 

 

During bitcoin's early days, anyone could "mine"

it using their home computer. But as the price of digital currency climbed towards $100 in 2013 (it's now over $4,000), professional mining groups with specialized computer chips emerged. Today, these groups, or pools—nearly all based in China—have become concentrated and now dominate the production of new bitcoins. This phenomenon is not new, but an article in Quartz this week shows how pervasive it is. The article looks at a company called Bitmain, which became a powerhouse by developing ASIC chips used just for

bitcoin mining:

Bitmain may now be the most influential company in the bitcoin economy by virtue of the sheer amount of processing power, or hash rate, that it controls. Its mining pools, Antpool and BTC.com, account for 28.9% of all the processing power on the global bitcoin network.

The piece, which describes Bitmain's plans to move into artificial intelligence, profiles the company's co-founder Jihan Wu, a controversial figure in the bitcoin world—in part over allegations he manipulates the crypto-currency for his own ends. This includes the recent schism that saw bitcoin's blockchain (the record of all transactions) split in two, creating a new currency

called "Bitcoin Cash."

Critics of Bitmain suspect that Wu was behind the recent, somewhat related split of bitcoin called the bitcoin-cash hard fork. That split was supported by a miner in Shenzhen named ViaBTC—which happened to be a company that Bitmain has invested in.

If the allegation is true (for the record, Wu denies them), it suggests bitcoin is vulnerable to market manipulation not just by traders who hold large stores of bitcoin, but also by miners like Bitmain.

One of those who holds this view is the CTO of the cyrptocurrency consulting firm Blockstream, Samson Mow, who recently wrote an editorial for Fortune questioning the viability of Bitcoin Cash. He believes Wu is engaging in shenanigans to secretly undermine the integrity of bitcoin. "Jihan does have a lot of control for now, and much of that is simply due to mining centralization. As Bitmain is so vertically integrated, from selling ASICs, to operating mining farms, to running mining pools, he can prevent network upgrade and attempt to hijack the Bitcoin brand with things like [Bitcoin cash]," Mow said by email.

Such concerns over mining monopolies, and their ability to promote "forks" in the core bitcoin software, are typically regarded as philosophical feuds within the bitcoin community. But the real world market implications may also give pause for ordinary bitcoin buyers—many of whom are likely unaware of the emergence of mining cabals that are able to sway the future of bitcoin. Mow, though, believes that whatever influence Jihan and other large miners may exert is only short-term and that the decision by bitcoin users to implement projects like SegWit (a plan to improve the efficiency of bitcoin's blockchain) show bitcoin rem

Does Bitcoin Have a Mining Monopoly Problem?

During bitcoin's early days, anyone could "mine" it using their home computer. But as the price of digital currency climbed towards $100 in 2013 (it's now over $4,000), professional mining groups with specialized computer chips emerged. Today, these groups, or pools—nearly all based in China—have become concentrated and now dominate the production of new bitcoins. This phenomenon is not new, but an article in Quartz this week shows how pervasive it is. The article looks at a company called Bitmain, which became a powerhouse by developing ASIC chips used just for

bitcoin mining:

Bitmain may now be the most influential company in the bitcoin economy by virtue of the sheer amount of processing power, or hash rate, that it controls. Its mining pools, Antpool and BTC.com, account for 28.9% of all the processing power on the global bitcoin network.

The piece, which describes Bitmain's plans to move into artificial intelligence, profiles the company's co-founder Jihan Wu, a controversial figure in the bitcoin world—in part over allegations he manipulates the crypto-currency for his own ends. This includes the recent schism that saw bitcoin's blockchain (the record of all transactions) split in two, creating a new currency

called "Bitcoin Cash."

Critics of Bitmain suspect that Wu was behind the recent, somewhat related split of bitcoin called the bitcoin-cash hard fork. That split was supported by a miner in Shenzhen named ViaBTC—which happened to be a company that Bitmain has invested in.

If the allegation is true (for the record, Wu denies them), it suggests bitcoin is vulnerable to market manipulation not just by traders who hold large stores of bitcoin, but also by miners like Bitmain.

One of those who holds this view is the CTO of the cyrptocurrency consulting firm Blockstream, Samson Mow, who recently wrote an editorial for Fortune questioning the viability of Bitcoin Cash. He believes Wu is engaging in shenanigans to secretly undermine the integrity of bitcoin. "Jihan does have a lot of control for now, and much of that is simply due to mining centralization. As Bitmain is so vertically integrated, from selling ASICs, to operating mining farms, to running mining pools, he can prevent network upgrade and attempt to hijack the Bitcoin brand with things like [Bitcoin cash]," Mow said by email.

Such concerns over mining monopolies, and their ability to promote "forks" in the core bitcoin software, are typically regarded as philosophical feuds within the bitcoin community. But the real world market implications may also give pause for ordinary bitcoin buyers—many of whom are likely unaware of the emergence of mining cabals that are able to sway the future of bitcoin. Mow, though, believes that whatever influence Jihan and other large miners may exert is only short-term and that the decision by bitcoin users to implement projects like SegWit (a plan to improve the efficiency of bitcoin's blockchain) show bitcoin rem

Does Bitcoin Have a Mining Monopoly Problem?

During bitcoin's early days, anyone could "mine" it using their home computer. But as the price of digital currency climbed towards $100 in 2013 (it's now over $4,000), professional mining groups with specialized computer chips emerged. Today, these groups, or pools—nearly all based in China—have become concentrated and now dominate the production of new bitcoins. This phenomenon is not new, but an article in Quartz this week shows how pervasive it is. The article looks at a company called Bitmain, which became a powerhouse by developing ASIC chips used just for

bitcoin mining:

Bitmain may now be the most influential company in the bitcoin economy by virtue of the sheer amount of processing power, or hash rate, that it controls. Its mining pools, Antpool and BTC.com, account for 28.9% of all the processing power on the global bitcoin network.

The piece, which describes Bitmain's plans to move into artificial intelligence, profiles the company's co-founder Jihan Wu, a controversial figure in the bitcoin world—in part over allegations he manipulates the crypto-currency for his own ends. This includes the recent schism that saw bitcoin's blockchain (the record of all transactions) split in two, creating a new currency

called "Bitcoin Cash."

Critics of Bitmain suspect that Wu was behind the recent, somewhat related split of bitcoin called the bitcoin-cash hard fork. That split was supported by a miner in Shenzhen named ViaBTC—which happened to be a company that Bitmain has invested in.

If the allegation is true (for the record, Wu denies them), it suggests bitcoin is vulnerable to market manipulation not just by traders who hold large stores of bitcoin, but also by miners like Bitmain.

One of those who holds this view is the CTO of the cyrptocurrency consulting firm Blockstream, Samson Mow, who recently wrote an editorial for Fortune questioning the viability of Bitcoin Cash. He believes Wu is engaging in shenanigans to secretly undermine the integrity of bitcoin. "Jihan does have a lot of control for now, and much of that is simply due to mining centralization. As Bitmain is so vertically integrated, from selling ASICs, to operating mining farms, to running mining pools, he can prevent network upgrade and attempt to hijack the Bitcoin brand with things like [Bitcoin cash]," Mow said by email.

Such concerns over mining monopolies, and their ability to promote "forks" in the core bitcoin software, are typically regarded as philosophical feuds within the bitcoin community. But the real world market implications may also give pause for ordinary bitcoin buyers—many of whom are likely unaware of the emergence of mining cabals that are able to sway the future of bitcoin. Mow, though, believes that whatever influence Jihan and other large miners may exert is only short-term and that the decision by bitcoin users to implement projects like SegWit (a plan to improve the efficiency of bitcoin's blockchain) show bitcoin remains fundamentally democratic.

Chuck Reynolds


Marketing Dept
Contributor
Please click either Link to Learn more about -Bitcoin.

David https://markethive.com/david-ogden

Bitcoin Prices Rise But Fall Short of All-Time High

 

The price of bitcoin closed in on its all-time high

of $4,522.13 today, though it ultimately fell short of surpassing the total, first set on August 18. At press time, the price of bitcoin had hit a high of $4,496, just 1% above opening, only to to fall back to $4,386, a move that marked the next leg in a volatile week for the cryptocurrency. Just this morning, the price surged above the $4,400 mark again after dropping below $3,000 several times over the last seven days. Over the past week, however, the price of bitcoin is up 7%, according to data from the CoinDesk Bitcoin Price Index (BPI), and it's now up 68% month-over-month.

The steady uptick has come at a time when the rising prices of bitcoin and other cryptocurrencies has pushed the collective market capitalization for those networks to new heights as well. Two days ago, the overall market cap climbed above $150 billion for the first time, according to data provider CoinMarketCap, and today the market was hovering near all-time highs. At publication, the total value of all cryptocurrencies was $153 billion.

Bitcoin prices have once more climbed past $4,400 following days of generally sideways movement within the $4,100–$4,200 range. Starting to pick up from around 22:00 UTC yesterday, prices across global exchanges opened the session at $4,362, and had reached a high of $4,420. Prices were again at that level at press time, a rise of 1.33 percent, according to the CoinDesk Bitcoin Price Index.

Those figures put prices around $85 short of the all-time high achieved on August 17, when bitcoin topped $4,500 for the first time ever. Elsewhere in the markets, ethereum is up 3.49 percent for the day at $332.65, according to CoinMarketCap. New cryptocurrency bitcoin cash is down 2 percent, however, with prices at $642.95 at press time. A notable strong showing for privacy-oriented cryptocurrency monero today sees its price up over 14 percent, with one token now worth $98. Reflecting continued positivity in the digital asset markets, the market capitalization across all cryptocurrencies is once again at a record high, at just over $155 billion.

Chuck Reynolds


Marketing Dept
Contributor
Please click either Link to Learn more about -Bitcoin.

David https://markethive.com/david-ogden

Maximum Impact Of Blockchain Will Be Felt In Africa, Not In The West, Just an Opinion

Maximum Impact Of Blockchain
Will Be Felt In Africa,
Not In The West, Just an Opinion

 

“Central Banks and Monetary Authorities world over have turned on their antennas to pay rapt attention to the disruption pervading the financial service industries by digital currencies, which are enabled by Blockchain technology,”

said Musa Itopa Jimoh, the Deputy Director, Banking & Payment System the Central Bank of Nigeria CBN, at the first ever Blockchain conference held in Nigeria.  The two-day event which took place at the Civic Centre, Ozumba Mbadiwe Way, Victoria Island Lagos was organized by the Blockchain Nigeria User Group with Chimezie Chuta as national coordinator. Chuta explains that having to reconfigure the prevailing mindset of the majority of participants who see Bitcoin and cryptocurrencies as some MLM and Ponzi schemes was an aspect of the event which required a lot of resources.

However, he is confident that the presentations by the participating Blockchain organizations and the continued effort of his group through educational materials and future events will go a long way in correcting the people’s perception and set the nation on the pedestal of Blockchain revolution.

There is no alternative to the Blockchain

In his opening address, Jimoh emphasized the need for collaboration between Blockchain solution providers and government institutions. According to him, some countries have come out with specific directives and stance on the adoption of the digital currency and Blockchain technology while others are still reviewing their positions to enable them to decide on which way to go. But whether they like it or not, it will just be a matter of delay tactics and being cautious, because all central banks and monetary authorities will eventually and very soon, give legitimacy to the use of Blockchain technology to drive financial services including the issuance of digital currency.

Jimoh says:

“Nigeria’s position is very clear. We cannot stop the tide of waves generated by the Blockchain technology and its derivatives. However the Central Bank has the responsibilities of ensuring price and financial system stability. This is why digital currency issuance becomes a major concern to the central bank of Nigeria. To this end, the central bank of Nigeria has kick started several initiatives and research works to identify the various use cases of Blockchain technology including the issuance of digital currency using the Blockchain technology.”

Jimoh acknowledges the Blockchain Nigeria User Group as being on the right path and poised to raise awareness on Blockchain technology and cryptocurrency in Nigeria. “This event is one of such measures to raise the awareness amongst stakeholders including the regulatory authorities,” he concludes. The keynote speaker at the conference, Dr. David Isiavwe notes that the reality of the world today, particularly in Nigeria, is that the Distributed Ledger Technology (DLT), Blockchain and cryptocurrency are facts that must be confronted.

“We cannot wish this reality away. It is made worse when we realize that we are still grappling with current challenges of e-commerce and other electronic payment systems but technology development and advancements are not waiting. In this dynamic age that we find ourselves, the only mantra to survival as is propagated by the Information Security Society of Africa – Nigeria (ISSAN) is: ‘Innovate or Die!," says Isiavwe.

How To Open Cryptocurrency Exchange: Practical Tips

 

Crypto newbie

The cryptocurrencies boom forced analysts to talk about bubbles, and late "miners" to buy up video cards. Meanwhile, many people have already earned enough money on the trend: someone did it on the appreciating prices, and someone, as in case with nVidia, profited on the growing demand for related issues. There are a lot of debates over cryptocurrencies’ potential, about possible sell-offs, and the time in which the bubble may burst.

However, while the market talks, it’s worth looking around to understand the way to profit on the trend. If there is a demand for cryptocurrencies, it means the trade venues for these assets will be popular as well.  Today, there are already about 200 cryptocurrency exchanges and exchangers in the world. And it is not a limit has been reached yet. So, what if the next stage of the crypto market evolution is the boom of cryptocurrency exchanges. If so, how can we profit on that? Perhaps open your own exchange.

How to open a cryptocurrency exchange

First, you need to resolve a legal issue. It is necessary to obtain a license. This is possible in several ways.

1. It is possible to obtain a Japanese license, but it will cost a lot. Investments may amount to at least $110K, and there is around $30K more for office expenses in Japan.

2. It is possible to register the company in jurisdictions, where there is no legal base for crypto exchange, but at least it’s not banned. It all depends on what you can afford and on available resources, but even with sufficient capital you still need to find a director complying with regulators’ requirements, lawyers who know all the details of licensing process, and much more.  

Secondly, you need to develop the required software.

1. User Personal Account. It’s a profile for client registration and verification, with deposit/withdrawal options available. To write such a program you will need to invest effort, time, and money.  

2. Trading platform. This is a place through which investors and traders can open, close and manage market positions. You’ll also need to think about each nuance, such as the development of gateways, connectors and bridges for platform connection. Writing the platform will consume time and money. There are major vendor lease providers of trading platforms in the world – you can choose, launch, customize and get services for the best of them.

3. Aggregator.  It will allow you to connect new partners, other exchanges and even to become a market maker for some of the tools (e.g. if you create a cryptocurrency/token and want to add it to the list of trading assets at your crypto currency exchange). You must consider that your aggregator needs to process huge data volumes every second. At a rough estimate the cost of such a solution will be impressive, considering the number of expensive specialists and the time spent on development, therefore even large companies prefer not to write software, but to pick something available in the market.

All in all, the scope of work and investments required is considerable. However, there are cases when it’s worth going along a streamlined path rather than searching for your own original way. Where there is demand, there is supply. Even now at the start of this new crypto era some companies already offer the development of turnkey trading floors and exchangers, taking into account customer desires. Such services can considerably reduce your time, efforts, and expenses.

Chuck Reynolds


Marketing Dept
Contributor
Please click either Link to Learn more about -Bitcoin.

David https://markethive.com/david-ogden

Bank of America Files 9 More Blockchain Patent Applications

 

The U.S. Patent and Trademark Office

has released nine more blockchain-related patent applications filed by Bank of America. Data collected by CoinDesk shows that the applications – which relate to conducting and settling transactions within a payment network – were all filed February 22. To date, Bank of America has filed more than 30 known patent applications related to the technology, including as many as 18 during 2016 alone. Combined, the breadth of the applications suggests that work is being done on blockchain-based payment systems within Bank of America. At the same time, the bank has issued no definitive statements on the subject to date, and it's not clear whether any of the proposed inventions will see the light of day.

Yet past announcements from the bank hint at where some of the intellectual property may come into play. Last September, Bank of America and Microsoft announced a joint initiative aimed at applying blockchain tech to the area of trade finance. Working with Microsoft Treasury, which handles the tech giant's corporate payments and strategic investments, the project is aimed at building a new blockchain-based system to facilitate transactions between the two companies. Still, it remains to be seen whether the project turns into something at commercial scale. And given the pace of patent applications seen thus far during 2016, Bank of America could be pursuing other intellectual property avenues as well.

Bitcoin prices have once more climbed past $4,400 following days of generally sideways movement within the $4,100–$4,200 range. Starting to pick up from around 22:00 UTC yesterday, prices across global exchanges opened the session at $4,362, and had reached a high of $4,420. Prices were again at that level at press time, a rise of 1.33 percent, according to the CoinDesk Bitcoin Price Index. Those figures put prices around $85 short of the all-time high achieved on August 17, when bitcoin topped $4,500 for the first time ever.

Elsewhere in the markets, ethereum is up 3.49 percent for the day at $332.65, according to CoinMarketCap. New cryptocurrency bitcoin cash is down 2 percent, however, with prices at $642.95 at press time. A notable strong showing for privacy-oriented cryptocurrency monero today sees its price up over 14 percent, with one token now worth $98. Reflecting continued positivity in the digital asset markets, the market capitalization across all cryptocurrencies is once again at a record high, at just over $155 billion.

Chuck Reynolds


Marketing Dept
Contributor
Please click either Link to Learn more about -Bitcoin.

David https://markethive.com/david-ogden

Standpoint Founder – Bitcoin Asset Class Will Grow Into $2 Trillion Market

Standpoint Founder - Bitcoin Asset Class Will Grow Into $2 Trillion Market

Standpoint Founder – Bitcoin Asset Class Will Grow Into $2 Trillion Market

 

Forget $5,000.

At a time when many are making short-term bets on the price of bitcoin and other cryptocurrencies, one bitcoin bull is going a step further. Ronnie Moas, founder of Standpoint Research, is making the case cryptocurrencies will not only be a decade-long trend, but a viable asset class.

In fact, he's going so far as to call for a massive rise in the market cap of cryptocurrencies. His prediction? The total value of all cryptographic assets, today valued at $150 billion, will soar to $2 trillion over the next 10 years.

And in a new interview, Moas walked CoinDesk through his forecast, explaining how it stems from his fundamental analysis of the capital markets and the broader macroeconomic trends he now sees in place.

The Standpoint founder's view stands in stark contrast to the highly bearish analysis of Peter Schiff, who called cryptocurrency a bubble, a speculative frenzy and a natural Ponzi scheme driven by "just plain greed" last week.

In the broadest sense, Moas sees the current state of the cryptocurrency market as a direct parallel to Silicon Valley during the 1990s, when a massive surge of innovation created new technologies that transformed the way we work and live and ushered in a period of massive wealth creation.

He explained:

"I am not any more concerned with bitcoin being at a record high than Amazon or Google investors were concerned when those share prices jumped hundreds of percent and hit $100 and $200 many years ago. Today, both of those stocks are above $900. The question is not where we are at – it is where are we going? I do not think we are in a bubble."

 

Roadmap to $2 trillion

How does Moas get to the $2 trillion market cap for cryptocurrency in his forecast?

He begins by looking at the $200 trillion that is currently invested in global capital markets today, including all major asset classes: cash, stocks, bonds and gold. Moas, who also does traditional equity analysis, begins his market breakdown with stocks, which he believes are currently overvalued.

According to Moas, three-quarters of the names in the S&P 500 are trading at least 18 times earnings, which is higher than his value threshold of 12 times earnings. He also adds that we haven't had a stock market correction in 20 months.

On the currency front, the U.S. dollar is currently losing 1 to 2 percent per year due to inflation. Moas also points out that the dollar has lost half its value since he was in high school 35 years ago.

 

From a global perspective, where most people don't have access to U.S. dollars, Moas believes the case for cryptocurrency is even more compelling:

"Now, imagine what they think of their own local currencies elsewhere in the world. Imagine you live in Venezuela and you're keeping your money under the mattress. Would you rather leave it there in Venezuelan bolivar or would you rather put it in bitcoin? It's not going to take you very long to make that decision."

Breaking his thesis down further, Moas believes that a conservative estimate is that at least 1 percent of the $200 trillion now tied up in stocks, cash, gold and bonds will migrate into cryptocurrencies over the next decade.

In that case, he says, "Bitcoin could end up with a market capitalization that is more than Amazon and Apple combined."

Under this scenario, that would mean that the current market capitalization of all cryptocurrencies would naturally grow.

And if Moas's market capitalization targets are correct, investors would then receive a 1,250 percent return on their cryptocurrency investments made today.

 

Diversified strategy

But he adds one major caveat to that prediction. Simply, "You've got to be in the right names."

Assuming you accept Moas's basic bull market thesis for cryptocurrencies, how do you know if you are invested in the right "names" in the cryptocurrency space? And, if the market boom in cryptocurrency is analogous to the roaring years of the 1990s tech boom, how can you avoid investing in the next Pets.com?

As Moas frames it:

"A lot of people say there is a bubble out there. I see a bubble when you get down below the top 50 cryptocurrencies. There are more than 800 names right now. In my view, what happens outside the top 50 is irrelevant."

Moas goes on to point out that 91 percent of the nearly $150 billion market cap is invested in the top 20 names and 70 percent is invested in bitcoin and ether alone.

He recommends, for the purposes of portfolio diversification, retail investors should hedge their bets and invest across the top 10 or 20 cryptocurrencies.

In Moas's view, the 800 cryptocurrencies that are now trading are analogous to the 800 stocks that were available on the Nasdaq at the height of the dot-com bubble nearly 20 years ago. While Amazon and Apple and Microsoft emerged to become among the most valuable companies of all time, there were many companies from that time period that died slow and painful deaths.

Or, as Moas more colorfully puts it: "Back then, there were hundreds of pump-and-dump, small-cap junk names just as there are in crypto today. Today, the crypto market is giving you the same signals with names like dash, ripple, litecoin, monero, bitcoin, ethereum, neo, nem, iota and others."

He went on to add that while there are certainly risks involved in investing in cryptocurrency, those risks are, in his view, outweighed by the possibility of 10-to-one or 20-to-one payout to the upside experienced by tech stocks.

 

The bull case

Of all the major cryptocurrencies, though, Moas seems especially bullish in his view of bitcoin. Unless there is a major shakeup in the underlying confidence, he believes that investors are going to want to buy-and-hold for their portfolios for 10 years or more.

Moas points out that there are currently only about 16 million bitcoins that have been issued of a possible total 21 million coins that will be created.

In his analysis, this could lead to tens of millions of people trying to get their hands on just a few million coins.

When asked for a specific price target, Moas summed up as follows:

"At the beginning of July, bitcoin was trading at $2,500. I believe in the next three years you will probably see $15,000 to $20,000 for bitcoin. It could double twice from here in the next 36 months."

 

 

Aug 24, 2017 at 09:00 UTC by Ash Bennington

 

Posted By David Ogden Entrepreneur

DAvid Ogden Cryptocurrency Entrepreneur

David https://markethive.com/david-ogden

Mark Cuban is backing a new cryptocurrency fund months after calling bitcoin a ‘bubble’

Mark Cuban is backing a new cryptocurrency fund months after calling bitcoin a 'bubble'

  Mark Cuban speaking at the 2015 Wall Street Journal Digital Live conference.

Mark Cuban is singing a different tune when it comes to cryptocurrencies. The tech billionaire and "Shark Tank" star is an early backer of a new cryptocurrency fund, according to CoinDesk, which reports on blockchain and cryptocurrency news.

The fund, 1confirmation, launched Tuesday, plans to invest exclusively in cryptocurrency assets, according to a filing with the Securities and Exchange Commission. Its founder, Nick Tomaino, a principal at the $270 million Palo Alto-based investor Runa Capital, is looking to raise $20 million. "I think Nick is one of the sharpest minds in the space, and I'm a big believer that there will be transformational apps built on blockchain," Cuban told CoinDesk.

Cuban said in a tweet last week that he was looking to jump on the bitcoin bandwagon:

I might have to rewrite all these replacing stocks with $btc. Might have to finally buy some

— Mark Cuban

Cuban's financial interest in the digital-currency world is an about-face for the billionaire, who two months ago called it a "bubble." In early June, soon after bitcoin hit what was then a near record high of $2,900 a coin,

Cuban warned of a coming correction:

I think it's in a bubble. I just don't know when or how much it corrects. When everyone is bragging about how easy they are making $=bubble

— Mark Cuban

Cuban then turned his focus to cryptocurrencies as a whole:

Anyone anywhere can buy a stock. #crypto is like gold. More religion than asset. Except of course gold makes nice jewelry. #crypto notsomuch

— Mark Cuban

Cuban's change of heart represents a pivot across Wall Street. Financial firms and institutional investors are waking up to the profit potential in cryptocurrencies as bitcoin and ether, its rival powered by the Ethereum blockchain, reach new heights — they're up more than 350% and 2,000%, respectively, since the beginning of the year. For instance, VanEck, the New York-based money manager with $24.7 billion in assets, is seeking to launch a bitcoin exchange-traded fund, according to an August 11 SEC preliminary filing. Additionally, Goldman Sachs is telling clients that cryptocurrencies are worth their attention. In a recent note to portfolio managers,

The Goldman analyst Robert Boroujerdi and his team wrote:

"With the total value nearly $120 billion, it's getting harder for institutional investors to ignore cryptocurrencies. Whether or not you believe in the merit of investing in cryptocurrencies (you know who you are) real dollars are at work here and warrant watching especially in light of the growing world of initial coin offerings (ICOs) and fundraising that now exceeds Internet Angel and Seed investing."

ICOs, a fundraising method powered by blockchain, have raised over $1.8 billion since the beginning of the year, according to Autonomous Next, a fintech-analytics firm. According to CoinDesk, 1confirmation "will make initial investments in the $100,000 to $500,000 range" in "legal vehicles designed to help investors pre-purchase tokens or equity prior to an ICO."

Chuck Reynolds


Marketing Dept
Contributor
Please click either Link to Learn more about -Bitcoin.

David https://markethive.com/david-ogden

Top Cryptocurrency Investors Share Their Favorite Long Term Picks

Top Cryptocurrency Investors Share Their Favorite Long Term Picks

 

There’s a lot of focus right now on short-term speculation

in the cryptocurrency space. But at some undefined future point, a reversal from speculation to value is going to happen. And when it does, you’ll want to be in the right positions.Investing exclusively in tokens with real world value creation is the philosophy that my crypto hedge fund, General Crypto, is predicated on. Unless you’re a skilled day trader and don’t mind incredible stress levels, it’s wise to buy-and-hold coins with game-changing value rather than just jumping to and from the flavor of the week.Analyzing the validity of that value isn’t easy. So I thought it would be interesting to hear what some very smart people who dedicate themselves full-time to crypto are betting on in the long-term.

Here are each of their top three picks that they intend to hold (and not decrease position size) for at least the next two years, and why they believe in them so much.Food for thought: there is estimated to be around 100 crypto hedge funds currently spinning up in Q3 and Q4 2017. 100! Our fund was featured on Forbes as one of 15. This means a massive on-ramp of institutional capital — the likes of which crypto has never seen before — is about to be opened. And smart money is going to pick the smart cryptos. Here is what myself and nine others think they are going to back.

Logan Kugler, Managing Partner at General Crypto

RIPPLE (XRP) —
Ripple is going after SWIFT, and their token XRP could entirely change the way we send money internationally. Why? Currently money takes days to move internationally, and the fees are enormous. There’s literally no way today to send money from one country to another same-day, other than by boarding a plane with a suitcase full of cash. XRP can transfer value (read: money) anywhere in the world in four seconds, at a cost of pennies. And unlike other coins, it doesn’t get bogged down when hit by huge volume.

Why am I bullish? The market size is as big as it gets (SWIFT moves $5 trillion USD per day), the technology is already built (Ripple has been working on it since 2012), their team is world-class, and nearly 100 banking partnerships are already in place with pilots running or about to start. The CEO of SBI Holdings believes XRP will become the global standard in digital currencies.Bitcoin maximalists like saying that XRP is not a true crypto because it’s not decentralized. The reality is Ripple is working towards making XRP even more decentralized than Bitcoin. It could take a while, but they’re already off to a good start.

What some people miss about XRP is the timeline. Ripple stands to revolutionize the entire banking industry. That’s not going to happen overnight. It will have its rallies and its steep corrections, but I expect it to consistently go up. Don’t buy this one expecting big things to happen as fast as other coins. (And don’t get cold feet when it drops half.) The key difference is that XRP is predicated on an extremely strong use case, team, and technology. Be willing to buy now and hold this token for minimally the next five years and I think you’ll see an incredible return on investment. If you want a simple way to think about Ripple: XRP is going to let us move money across borders in the same way that we move information across them today. And that’s an astronomical upside.

FACTOM (FCT) —

Factom offers the promise of immutable records. This could be huge for the (trillion-dollar) mortgage industry, banks and audit records, retail with huge databases like Target, studios with enormous catalogs of movies like Warner Bros., and governments for historical documents. Factom’s competitions are currently bounded by only proving the positive (e.g. “can we show X has existed in the chain?”), which would pertain to proof of existence, integrity, ownership, etc. — which is limited for the overall problem they are trying to solve. Factom can prove both the positive and the negative and see if a piece of information didn’t exist at a certain period in time, or whether it’s the latest version. Factom could change how major record keepers keep records and ensure eternal existence of all records.

MONERO (XMR) —
One of the original promises of Bitcoin was anonymity. It turns out it’s not quite as anonymous as a lot of people initially think. While who owns a particular wallet address is unknown, the transactions can be easily followed. So if your identity gets associated with a wallet address, some analysis can essentially turn your transactions into public bank statements. Enter anonymous coins (or “anon coins”), of which XMR is leading the field in privacy. It scrambles your address automatically each time, so you don’t have to worry about leaving a trail. I can see Monero XMR becoming very popular among those seeking anonymous transactions. What’s still up in the air is whether or not it can scale. Within hours of writing, XMR experienced a 50% price surge, which saw vastly extended transaction times.

Spencer Bogart, Managing Director and Head of Research at Blockchain Capital

BITCOIN (BTC) —
Bitcoin has proven its ability to efficiently serve a few use cases that represent giant market opportunities. Amazon first proved it could efficiently sell things online and it focused on this ability before growing into other opportunities. I think the same will be true of Bitcoin.

MONERO (XMR) —
If I were forced to pick one thing that I was most concerned about for Bitcoin, it would be a lack of privacy. Each Bitcoin should be worth as much as any other Bitcoin, regardless of who owned it before you or what they did with it. For now, this isn’t a big problem. But Monero is a good hedge against this risk, since it’s more private than Bitcoin and therefore doesn’t have the same degree of fungibility risk.

LITECOIN (LTC) —
Silver to Bitcoin’s gold. The code is so similar to Bitcoin that Litecoin is able to leverage Bitcoin’s developer network and improvements. This is a big advantage over other coins that try to build a developer community from the ground up. If anything catastrophic happened to Bitcoin, a decent portion of the capital would likely flow to Litecoin.

Rafe Furst, Chief Investment Officer at The Crypto Company

DASH (DASH) —
Bitcoin’s reign as the gateway cryptocurrency is coming to an end. The question is, what will replace it? Arguments can be made for Litecoin, Zcash, Ripple, or Monero. I like Dash because of its focus on consumer-friendliness and its flexible, decentralized governance protocol. For example, it took just 24 hours for the Dash community to approve a proposed blocksize increase back in 2016, while the Bitcoin community took three years to address its scalability problems, and the debate ended in a hard fork.

ETHEREUM (ETH) —
While Ethereum won’t replace the function of Bitcoin, it will continue to play the important role it currently does as a smart-contract engine, and as a master blockchain to spawn new application tokens.

STEEM (STEEM) —
Imagine if your social media posts could earn you money based on how popular they were. Imagine if you could get paid as tastemaker and curator of content published by others. Now what if the content creators kept 100% of the ownership rights to their content, and there were no advertisers or special interests getting between creators and fans? Steem is the first utility token that is truly being used for this function. Platforms like Reddit, Medium, and even Facebook should be nervous.

Brad Mills, Fund Strategist at Alphabit

BITCOIN (BTC) —
I’ve been holding Bitcoin since 2011 when I started mining in my basement, and I will keep holding until it’s at least $100,000 per coin, which I expect in three to five years. Fundamentally strong, this is the original blockchain that is and was designed to be money.I get excited when I see Bitcoin becoming legal tender in countries like Japan, South Korea, and India. It’s only a matter of time before a Bitcoin ETF is approved, and we see sovereign wealth and endowment funds allocating money into Bitcoin as a new asset class.

METAL (MTL) —
Metal is one of Alphabit’s core positions that we will be holding long-term. Currently it sits at only an $80 million market cap, which we think could grow to $1 billion or higher over the next year.Metal has the dual-use case of being not only a crypto-rewards token and peer-to-peer payments app like Venmo, but also an FDIC-insured fiat on-ramp bank for high-risk merchants who are currently having trouble acquiring and keeping banking relationships. (Think legal marijuana dispensaries in California; Metal has 140 already on board.)

WAVES (WAVES) —
Waves is Russia’s largest blockchain project. At it’s core, it’s a decentralized exchange and user-created token fundraising platform, forked from the NXT codebase. An ICO was held in 2016 that raised $16 million, which has grown to a market cap of over $300 million.This month, a partnership was announced between Gazprombank and Waves. The partnership focuses on holding ICOs for Russian mining and metals companies, bringing a lot of legitimacy to the platform.

CryptoYoda, well-respected cryptocurrency trader on Twitter

LITECOIN (LTC) —
It’s the second oldest and most trusted blockchain to date, and in addition to being about four times faster than Bitcoin, it has successfully managed to activate Segwit well before any blocksize debate, which to me is a sign of positive adaptability. For being a fork of Bitcoin with only minor differences in algorithm, trading at about 1.5% of Bitcoin’s value is utterly insane, given it’s a more convenient payment coin. Bitcoin will primarily be a store-of-value, just as silver versus gold.

ETHEREUM CLASSIC (ETC) —
The reason ETC’s price is so low compared to Ethereum (ETH) is the confusion about what happened during the hardfork a year ago. In July 2016, the community decided to hard fork the Ethereum blockchain in order to restore lost funds of DAO investors by rolling back the blockchain to a point in time before the hack.There was huge resistance in the Ethereum community because of their devotion to the immutability of blockchains. Part of the community decided to violate that “law” to bail out those affected by the DAO hack, creating ETH. ETC is currently trading at 14.3% of ETH’s value, which is a severe undervaluation in my eyes, given it’s loyalty towards the core principle of cryptocurrency.

ZCASH (ZEC) —
There are many undervalued coins offering anonymity to users, with Zcash and Monero being the most prominent. I think Zcash is positioned to be one of the biggest winners. It has huge interest, is elaborately designed, and has a high-security creation process and very limited supply. Its lack of recent price advancement indicates to me that traders are accumulating it.

Romano, well-respected cryptocurrency trader on Twitter; also the lead developer of Viacoin (VIA)

STRATIS (STRAT) —
Stratis makes blockchain easy for enterprise. They offer simple and affordable end-to-end solutions for development, testing and deployment of native C# blockchain applications. Ever see an article that talks about a bank starting to use blockchain technology? They don’t use the Bitcoin blockchain, but a private chain like Stratis. Stratis makes it easier than ever before for organizations to deploy private blockchains. They’re in talks with many huge companies like Microsoft, Jaguar, Reuters, Cashaa, AIA Group, RBC Capital Markets, Deutsche Bank, etc.

DECRED (DCR) —
Decred will soon get the Lightening Network. Which means you can send small transactions for almost no fee, instantly. The Lightening Network is a big thing which many underestimate. Notable about Decred is that they’ve learned and implemented a lot from the success of Dash. But whereas Dash has a lot of outside funding (and is accountable to investors), Decred is self-funded via block subsidy (accountable only to its users) and they are entirely transparent about the allocations. Decred has decentralized voting, Charlie Lee (Litecoin’s lead developer) on their team, and their code looks clean and is beautifully written.

ZCOIN (XZC) —
While a lot of other anonymous coins bill themselves as completely anonymous, they are not, as this video explains. This is also a great article explaining why most anon coins aren’t actually completely anonymous. Only ZCoin is completely anonymous and I think at some point the market will recognize that and it will be in the same league market cap wise as Monero. Right now, ZCoin looks very undervalued to me as their market cap is only $26 million (compared to Monero’s $1.2 billion). Also worth noting: Roger Ver has said good things about ZCoin (and I don’t like Roger Ver at all, but he has very deep pockets).

CryptoVisionary, founder of the Phoenix Trading Group

RIPPLE (XRP) —
Distributed Ledger Technology (DLT), the technology that powers Ripple and its associated coin XRP, allows anyone anywhere in the world to transact money in the same way as sending data (at fractions of the cost). For markets such as international remittance, this means monumental change is underway. ($500 billion is transacted yearly in the remittance sector.) Many of the largest banks in the world (more than 100) have plans to leverage DLT and Ripple to cut costs for their payment servicing. In fact, even the Federal Reserve and the Central Bank of England are testing out Ripple for real-time payment capabilities.

AUGER (REP) —
Businesses around the world pay a high premium for actionable intelligence for their own internal and strategic needs. With Augur, anyone in the world can obtain information on the probability of a future event. Think of it as the Google search for future events, peering into the future using a fascinating principle known as wisdom of the crowd. Such a technology could drastically impact many industries, including trillion-dollar or larger industries like gambling and sports betting.

QTUM (QTUM) —
Think of Qtum like an Ethereum for China, except that it’s a Proof of Stake coin. It’s a more environmentally friendly way to secure the network, with a drastic reduction in the consumption of electricity compared to Proof of Work systems like Bitcoin. Like Ethereum, Qtum will host a number of applications developed by independent third parties, has an all-star cast in terms of advisors (one of their co-founders was recently cited in Forbes China’s “30 Under 30” list.)

notsofast, well-respected cryptocurrency trader on Twitter

BLOCKNET (BLOCK) —
Of all projects competing to release a decentralized, native cryptocurrency exchange, Blocknet’s technology is far and away the strongest, easiest to implement, and closest to market.Blocknet removes the third-party risk in sending your coins to trade on an exchange. You can collateralize 5,000 blocknet in a service node, run any wallets you want on the same machine as that node, and earn BLOCK in trade fees whenever someone trades a currency your node supports. The blocknet protocol will fundamentally advance the use of blockchains the way IE or Netscape standardized and unlocked the World Wide Web.

UBIQ (UBQ) —
The DAO philosophical failure and Ethereum network split opened the door to competitors on smart contract blockchains. Ubiq is the strongest: immutable unlike ETH, and with a brand focus away from experimentation and toward corporate professionalism. Once the Ethereum ICO craze breaks and that platform loses trust, Ubiq’s secure network and failure-free track record will present it as a viable smart contract competitor.

PARKBYTE (PKB)
(Soon to be ParkChain; PKC) — Parkbyte is my appcoin bet. It’s a simple premise to disrupt a ubiquitous and unsexy industry with better tracking, standardized UX, and lower costs and efficiency throughout. Via industry experience, the developers acutely understands exactly what needs to be pitched to whom in order to disrupt existing pay-to-park systems with a blockchain implementation.

Squeeze, well-respected cryptocurrency trader on Twitter

CIVIC (CVC) —
Civic is a secure identity platform that uses the Civic tokens for identification purposes. Vinny Lingham is the CEO of Civic and he’s one of the “Sharks” on Shark Tank South Africa. Civic has both the concept and the team. With Vinny’s connections and influence, many sites have already integrated Civic. For this type of identity verification, user adoption is very important. Without adoption, there’s no use case.

TEZOS (TEZ) —
By far, the biggest ICO funding, with $230 million. It has huge names backing it like billionaire Tim Draper. Their algorithm runs on a delegated proof of stake system. It is also capable of anonymous transactions which utilizes the Zcash’s proof circuit on a side token. They have plans to replace this process with a better option in the future. It is also possible to create applications on Tezos similar to Ethereum. I have no doubt that it will hit a multibillion market cap in a year.

LISK (LSK) —
This is one of the underdogs that a lot of people missed. It’s currently at $233 million market cap. Lisk (similar to Tezos) is utilizing the Delegated Proof of Stake system, where “delegates” verify the transactions and have voting capabilities that steer the direction of Lisk.The main development plan this year is to create an SDK for developing and deploying blockchain applications (smart contracts). They have a strong development team and they have sufficient funds ($62 million) to keep it going for tens of years.

sicarious, well-respected cryptocurrency trader on Twitter

DECRED (DCR) —
Decred is perhaps the most innovative Proof of Stake coin on the market today, and boasts an impressive (and production ready) decentralized governance system. In addition to governance solutions, Decred is preparing to throw their hat into the ring of anonymous transactions later this year. The Bitcoin scaling debate and increasing government scrutiny of the cryptocurrency ecosystem emphasize the importance of both governance and anonymity, setting the stage for Decred’s growth through the end of 2017 and 2018.

UBIQ (UBQ) —
Ubiq has an upgraded codebase, newly-designed difficulty algorithm, monetary policy, and several million-dollar projects running as tokens on its chain. Additionally, it was launched in a spirit of fairness with zero ICO or developer premine. Currently valued at less than 0.5% of ETH’s market cap, Ubiq provides a top-tier alternative to ETH at a dramatically cheaper rate.

BASIC ATTENTION TOKEN (BAT) —
The free and open internet as we know it runs on advertisements, and yet adblockers are seeing increasing adoption among internet users. BAT seeks to solve this problem by creating a mutually beneficial common ground between advertisers and users, centered around their internet browser, Brave.

Chuck Reynolds


Marketing Dept
Contributor
Please click either Link to Learn more about -Bitcoin.

 

 

David https://markethive.com/david-ogden

$150 Billion: Total Cryptocurrency Market Cap Hits New All-Time High

 

The combined value of all publicly traded cryptocurrencies

has set a new record, surpassing $150 billion for the first time today. At press time, the value of ether, bitcoin and more than 800 other blockchain-based assets had reached a high of around $154 billion, according to CoinMarketCap. Overall, the figure indicates that the cryptocurrency market continues to grow at a steady pace. At $154 billion, the market is up 13 percent over the last seven days, 67 percent over the last month and an astounding 1,240 percent year-over-year. What might be most notable, however, is that the new high came during a trading session in which there were no individual all-time highs for major cryptocurrencies.

At $4,275 and $324, bitcoin and ether were edging up at press time, though still short of their highs above $4,500 and $400, respectively. Further, the new combined record came in spite of the fact there were no big gains in litecoin, monero or dash, some of the more popular alternative cryptocurrencies among traders. The lone breakout, in fact, was Ripple's XRP token – a cryptographic asset issued by a San Francisco startup seeking to build enterprise blockchain solutions. On the day's trading, XRP was up more than 50% to $0.28, a movement that built on impressive gains yesterday as well.

David https://markethive.com/david-ogden