Tag Archives: ethereum

Breaking: UK bans sale of Bitcoin, Ethereum and XRP derivatives to retail consumers

Breaking: UK bans sale of Bitcoin, Ethereum and XRP derivatives to

retail consumers

Breaking: UK bans sale of Bitcoin, Ethereum and XRP derivatives to retail consumers

The market for crypto-derivatives, e.g. BitcoinEthereumXRP and other cryptocurrencies has taken a severe hit. The UK Financial Conduct Authority (FCA) has banned its trading for retail customers.

In the official announcement, the regulator declared that the above products are “harmful” to consumers for 5 main reasons.

Firstly, the regulator stated that the underlying assets do not have a reliable basis to protect their value.

(Editor Comment: How about letting the Free Market determine the Value instead of Manipulative Regulators as in the Fiat currency market.)

Second, the FAC believes that abuse, illegal activities and financial crime are widespread in the secondary crypto market.

(Editor Comment: Abuse, illegal activitties and financial crime have been widespread in Fiat Currencies forever. How about banning them? (Coming soon) )

In addition, the FAC argues that cryptocurrencies are extremely volatile and that end-users “do not have a sufficient understanding” of the underlying assets.

(Editor Comment: The Stock Market can be extremely volittile and many end-users have little understanding of the underlying assets.)

Finally, the FCA claims that investing in derivatives of cryptocurrencies is “harmful” investment.

(Editor Comment: Harmful to who? The Regulators because they don't have manipulative conttrol?)

The regulatory authority states:

These features mean retail consumers might suffer harm from sudden and unexpected losses if they invest in these products (…) which includes well-known tokens such as Bitcoin, Ether or Ripple (XRP). Specified investments are types of investment which are specified in legislation. Firms that carry out particular types of regulated activity in relation to those investments must be authorised by the FCA.

UK’s FCA targets Bitcoin, Ethereum and XRP derivatives

The UK regulator claims that the ban on crypto derivatives will save UK consumers around £53 million a year.

(Editor Comment: It will also keep the UK consumers that have made profits from receiving them.)

In addition to the ban, the FCA has determined to prohibit the distribution and marketing of any derivatives to UK consumers. Specifically, the FCA mentions the following derivatives: options, futures, contracts for difference (CFDs), and exchange-traded notes (ETNs).

The measures apply to companies and firms “operating within or outside the United Kingdom”. The Executive Director of Strategy and Competition for the FCA, Sheldon Mills, stated:

This ban reflects how seriously we view the potential harm to retail consumers in these products. Consumer protection is paramount here.

(Editor Comment: This ban reflects how seriously they view manipulative Control over consumers. Regulator's Manipulative Control is paramount here.)

Significant price volatility, combined with the inherent difficulties of valuing cryptoassets reliably, places retail consumers at a high risk of suffering losses from trading crypto-derivatives. We have evidence of this happening on a significant scale. The ban provides an appropriate level of protection.

(Editor Comment: This ban provides nothing except Regulator Control over the UK cittizens.)

According to the FCA’s announcement, the prohibitive measures will take effect from 6 January 2021. The regulator has asked companies and firms that trade in crypto derivatives to stop their operations before this date. In the meantime, the regulator advises investors to “stay alert” for crypto-scams. From now on, they qualify all companies offering crypto derivatives products to retail consumers as “possible scams”.

(Editor Comment: It takes one to know one.)

In a separate document, the FCA also clarified that its measures will affect firms that issue or create crypto derivatives, firms that distribute them (brokers, financial advisors, and investment platforms), marketing firms that reference the referred derivatives, traders, consumers, and retail consumer organizations. With regard to consumers, the FCA states:

Retail consumers with existing holdings can remain invested following the prohibition, until they choose to disinvest. There is no time limit on this, and we do not require or expect firms to close out retail consumers’ positions unless consumers ask for this.

(Editor Comment: Fascism Marches On in the UK.)

 

(Editor Note: this Post is based on information collected by Reynaldo of Crypto News Flash)

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Chinese state TV just shilled DeFi and Ethereum to hundreds of millions of users

Chinese state TV just shilled DeFi and Ethereum to hundreds of millions of users

Chinese state TV just shilled DeFi and Ethereum to hundreds of millions of users
A branch of Chinese state television that has hundreds of millions of viewers recently did a segment on cryptocurrencies in which it discussed Ethereum, DeFi, amongst other topics. Chinese state television just did a segment on Ethereum, DeFi, and more

In an unexpected turn of events, the China Central Television, a state broadcaster with one billion viewers across its channels, aired a segment to one of its top channels on cryptocurrencies. Matthew Graham, an investor with a focus on crypto-assets based in China, shared the segment aired to CCTV2 viewers to his Twitter feed. Contradicting the sentiment that China is staunchly against crypto, the segment purportedly covered how digital assets are the best-performing asset class year to date, outperforming gold and stocks. And in a key part of the clip, the anchors discussed Ethereum, mentioning how it is a top performer in the cryptocurrencies markets, having outpaced Bitcoin, XRP, and a number of other top altcoins.As to why this is the case, DeFi was cited, as was the fears of inflation in fiat currencies. No reports or rough translations of the segment mention animosity towards the industry despite prior comments and moves from government branches and officials.

A key driver of growth moving forward

A number of analysts in the space see the entrance of Chinese investors as crucial for DeFi’s trajectory of growth moving forward. Andrew Kang, the founder of Mechanism Capital, commented in July of this year that Chinese investment in crypto is its “own beast,” presumably referencing the craze of 2017 and 2018 and how China was a key force in that. Others have made similar comments, pointing to the importance of hundreds of millions of investors and their view on crypto-assets. With the DCEP and the last Bitcoin craze, most are aware of cryptocurrency and basic subjects but will be waiting on the government or some authority to give direction on what they should do. Jason Choi, an investor at the Hong Kong-based The Spartan Group, summed up the China situation well when

he wrote:

“Broke: DeFi gaining traction, still under 5% of total crypto market cap. Woke: Record QE & stim back on table, it’s all one trade. Bespoke: 1.2B retails just heard about DeFi.”

Article Produced By
Nick Chong

https://cryptoslate.com/chinese-state-tv-just-shilled-defi-and-ethereum-to-hundreds-of-millions-of-users/

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Daily Market Overview Featuring Bitcoin, Ethereum and EUR/USD

Daily Market Overview Featuring Bitcoin, Ethereum and EUR/USD

Daily Market Overview Featuring Bitcoin, Ethereum and EUR/USD

Bitcoin is up 0.68% today after losing 1.04% in price yesterday.

The first cryptocurrency still remains bearish as the Dollar Index is gaining and the S&P Volatility Index is falling sharply since September 3. Currently, on a 4-hour chart BTC/USD has formed an ending diagonal and retraced from the dynamic support and is about to test the upper edge of the ending diagonal at $10 600. If bulls are able to push the price above $10 600, Bitcoin might continue the uptrend move towards 200MA at $11 120 – $11 200, these levels also are considered as an important support and resistance. If Bitcoin closes below the dynamic resistance (lower edge of the diagonal), we might see a drop to $9 982 – $9 887.

Ethereum lost 6.81% yesterday – the day it launched the Phase 0 of Ethereum 2.0 update, though was able to gain 3.04% today. Unlike an ending diagonal formed by Bitcoin on 4H chart, Ethereum has formed a bearish flag below the lower edge of which might push bears to drag the price to the nearest support at $324. In order to show another uptrend, bulls should get the price above EMA20 and a static resistance of $372. Closest MA resistances are at $386 and $395.

Euro started the week with 0.25% gain against the US Dollar as EU stocks open higher amid new coronavirus vaccine hopes. On a 4H chart, the pair is still trading within ranges of the expanding diagonal, testing higher dynamic resistances and lower dynamic supports. Euro is currently testing the intermediate dynamic resistance which it was able to break previously. The pair is still above MA100 and MA200, hence bulls might consider it a good signal for pushing the price higher. Important resistance ahead is $1.18780, above which the price might continue towards 1.19000. Another stimulus for bulls is the recent quote from Goldman Sacks which states that the fair rate for EUR/USD is $1.30.

Article Produced By
Aziz Kenjaev

Senior Vice President at Overbit. Technical analyst, crypto-enthusiast, ex-VP at TradingView, medium and long-term trader, trades and analyses FX, Crypto and Commodities markets.

https://www.coinspeaker.com/daily-market-overview-bitcoin-ethereum-eurusd/

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Market Wrap: Bitcoin Hits $11.8K; Ethereum Gas at All-Time High

Market Wrap: Bitcoin Hits $11.8K; Ethereum Gas at All-Time High

bitcoinaug24

The bitcoin market is experiencing low volume Monday but ether continues to fuel DeFi’s growth.

  • Bitcoin (BTC) trading around $11,737 as of 20:00 UTC (4 p.m. ET). Gaining 0.34% over the previous 24 hours.
  • Bitcoin’s 24-hour range: $11,592-$11,823.
  • BTC above its 10-day and 50-day moving averages, a bullish signal for market technicians.

Bitcoin trading on Coinbase since August 22.

Bitcoin’s price opened the week heading higher, hitting $11,823 on Monday before dipping lower. “Bitcoin has settled into a consolidation position at $11,700,” said Daniel Koehler, liquidity manager at cryptocurrency exchanges OKCoin. “It appears that traders are waiting for better fills at $11,000,” he added.

Bitcoin spot trading on Coinbase the past two weeks.

Darius Sit, managing partner of quantitative trading firm QCP Capital, expects the final full week of August to be quieter than earlier in the month, when the world’s oldest cryptocurrency hit a 2020 high of $12,485 on spot exchanges like Coinbase. “One thing we were looking at is that August tends to be a weak month for both BTC and ETH,” said Sit. “So if that seasonality plays out, this last week of August might see some weakness.”Spot volumes on major BTC/USD exchanges Monday are low. For Luxembourg-based Bitstamp, for example, it was just $27 million, well below its $91 million daily average.

Spot volumes on major USD/BTC exchanges.

Interestingly, there are more addresses now with 1,000 or more bitcoin than ever before. The count of those on the “Bitcoin Rich List” has reached a high of 2,190. Those addresses hold nearly 7.87 million BTC, the equivalent of $92.2 billion. Nonetheless, many stakeholders who are usually bullish are expecting some retrenchment from bitcoin’s price gains, including Rupert Douglas, head of institutional trading for digital asset broker Koine. “We’ve come a long way quickly. I wouldn’t be surprised by a pause or a pullback,” Douglas said. OKcoin’s Koehler echoed that sentiment. “Momentum is still signaling bullish, but it’s unclear if we should test the $10,000 breakout area before moving higher,” said.  Douglas also noted ether (ETH) continues to steal bitcoin’s spotlight. “Overall, ETH is stronger and I think will continue to outperform BTC,” he said. 

Into the ether

Ether, the second-largest cryptocurrency by market capitalization, was up Monday, trading around $401 and climbing 2.1% in 24 hours as of 20:00 UTC (4:00 p.m. ET). 

The amount of “gas” used, denoted in gwei, worth 0.000000001 ether on the Ethereum network, hit an all-time high Sunday, reaching 79,294,213,632 gwei, according to aggregator Glassnode. A unit of measure to execute operations on the network, gas is used within Ethereum to conduct transactions or use smart contracts. The record amount of gas used is viewed as a sign that Ethereum’s utility for decentralized finance, or DeFi, is higher than ever.Total gas used on Ethereum since the network launched in 2015.

However, George Clayton, managing partner of Cryptanalysis CapitaI, has concerns whether Ethereum’s heavy usage can be sustained given that average fees for using the network have gone as high as $6.68 in August. “I think the gas issue is leaving Ethereum vulnerable,” he said, “vulnerable to competing smart contract public blockchains. Something has to give.”

Other markets

Digital assets on the CoinDesk 20 are mostly green Monday. Notable winners as of 20:00 UTC (4:00 p.m. ET): 

  • tezos (XYT) + 5.5%
  • bitcoin sv (BSV) + 3.7%
  • monero (XMR) + 2.4%

Notable losers as of 20:00 UTC (4:00 p.m. ET):

  • qtum (QTUM) – 5.3%
  • basic attention token (BAT) – 4.2%
  • decred (DCR) – 3.1%

Equities:

  • Asia’s Nikkei 225 ended the day up 0.28%, led by Nintendo, which rose 4.79%. Concerns over the health of Japan’s prime minister damped sentiment.
  • Europe’s FTSE 100 closed in the green 1.7% as optimism for a coronavirus vaccine treatment boosted the index.
  • The United States’ S&P 500 gained 0.80%, hitting an all-time high thanks to stocks in the tech and travel sectors.

Commodities:

  • Oil is up 0.29%. Price per barrel of West Texas Intermediate crude: $42.39.
  • Gold was in the red 0.64% and at $1,926 as of press time.

Treasurys:

  • U.S. Treasury bonds all climbed Monday. Yields, which move in the opposite direction as price, were up most on the two-year, in the green 8.4%.

Article Produced By
Daniel Cawrey

As Senior Markets Reporter, Daniel Cawrey is helping lead coverage on the new and innovative digital asset global markets. Who is investing in cryptocurrencies? How are funds and information moving between various companies and people? He is also co-author of the upcoming “Mastering Blockchain” book to be published by O’Reilly Media.

https://www.coindesk.com/market-wrap-bitcoin-gas-high

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ETH Miners Will Have Little Choice Once Ethereum 2.0 Launches With PoS

ETH Miners Will Have Little Choice Once Ethereum 2.0 Launches With PoS

Once Ethereum becomes a proof-of-stake blockchain, what will happen to the ETH miners, and what will they do?

ETH Miners Will Have Little Choice Once Ethereum 2.0 Launches With PoS

As Ethereum is finally set to launch its Ethereum 2.0 upgrade later this year, putting an end to a long streak of delays, the network will start moving toward a proof-of-stake model. 

Consequently, the network will abandon the proof-of-work consensus algorithm, leaving Ether (ETH) miners with very few options. Since their equipment will become obsolete, they will be forced to start mining altcoins, or recertify as ETH stakers. So, what is the current state of ETH mining, and what exactly will happen to the industry as a result of the upcoming transition?

GPU v. ASIC

The Ethereum consensus is currently based on the PoW system, which is similar to that of Bitcoin (BTC). Therefore, the mining process is nearly identical for Ethereum, as miners use their computation resources to earn rewards for each block they manage to complete.  However, there is still a major difference between these processes. While Bitcoin mining has become almost entirely reliant on ASICs — large, loud machines designed specifically for cryptocurrency mining that are mostly clustered in regions with cheap electricity — Ethereum’s PoW hashing algorithm, called Ethash, has been designed to favor GPU units issued by global chipmakers like Nvidia and AMD. GPUs are much cheaper and more accessible than ASICs, as Thomas Heller, the global business director of cryptocurrency mining pool F2Pool, explained in a conversation with

Cointelegraph: 

“Because ASICs are very specialized machines, when a new generation is released, it’s often a huge technology jump. So, their hash rate is much higher, and energy efficiency is better than the previous generation. That means that those manufacturers have spent a lot of money to research and develop it. Their machines are often quite expensive, while GPUs are a lot more affordable.”

Heller added that those using GPU miners “have much more flexibility in what you can mine.” For instance, an Nvidia GeForce GTX 1080 Ti card — a popular choice — can mine more than 15 different currencies, while ASIC units normally support just one currency.

Nevertheless, the Ethereum network is not entirely immune to ASIC miners — at least, in its current state. In April 2018, Bitmain released the Antminer E3, an ASIC produced specifically for mining Ethereum. Despite being a widely successful model that boasts a hash rate of 180 megahashes per second and power consumption of 800 Watt, it has received mixed reactions from the Ethereum community. A substantial part of GPU rig owners seemed to have suffered from loss of profits once ASICs were plugged in, while some were even forced to switch over to different networks.  “Its in the Whitepaper that ETH shall be ASIC resistant. I hope said whitepaper stands for something” was one of the top comments in a r/EtherMining thread discussing the Antminer E3 around the time it was announced. “800 usd only for 180mh” a different Reddit user argued. “Hardfork or die eth.”

Some Ethereum users went on to suggest that Bitmain’s mining device can lead to greater centralization and thereby increase the chance of a 51% attack. Soon, a group of developers proposed “programmatic proof-of-work,” or ProgPoW — an extension of the current Ethereum algorithm, Ethash, designed to make GPUs more competitive, thereby promoting decentralization. According to a March paper co-authored by Kristy-Leigh Minehan, a co-creator of the ProgPoW, around 40% of Ethereum’s hash rate is generated by Bitmain ASICs. Alejandro De La Torre, the vice president of Poolin — the sixth-largest pool for ETH — confirmed to Cointelegraph that “GPU mining is still dominant” for the Ethereum network, adding:

“At present, the profit of ETH mining is not high, and the management threshold and cost of GPU devices are higher than that of Asic devices. Compared with Asic devices, however, GPU devices are more flexible as in, you can switch to other coins with different algos.”

ProgPoW has not been integrated into Ethereum yet, and it is unclear when it will eventually happen — in March, core Ethereum developers were debating whether ProgPoW would actually benefit the network for almost two hours and failed to reach a consensus. Notably, a Bitmain representative previously told Cointelegraph that the mining hardware giant doesn’t plan to extend Antminer E3’s lifespan to operate after October 2020: “As far as we know, mining will approximately end during October or sometime after this.”

Secure but unclear future

Indeed, Ethereum will move away from mining in the future. Scheduled to launch later in 2020, Ethereum 2.0 is a major network upgrade on the blockchain that is designed to shift its current PoW consensus algorithm to PoS where miners are virtual and referred to as “block validators.”  More specifically, they are randomly selected with the consideration of users’ wealth in the network, or their “stake.” In other words, the more coins PoS validators choose to stake, the more coins they accumulate as a reward.

According to Ethereum co-founder Vitalik Buterin, the network will become more secure and costly to attack than Bitcoin’s as a result of the transition, although the debate over which consensus algorithm is better has been around for years in the crypto community. However, it’s still unclear when the launch of Ethereum 2.0 will take place, as numerous bugs and management problems are reportedly delaying the process.  Another supposed benefit of a PoS system is that it’s much more energy-efficient than PoW blockchains. According to data from Digiconomist, the cryptocurrency’s annualized total footprint is 59.31 terawatts per hour, which is comparable to the power consumption of the entire country of Greece. However, Bitcoin might not be as bad for the environment as it seems thanks to a July 2019 report that estimated 74% of Bitcoin mining is done using renewable sources of energy.

What will happen to actual Ethereum miners? According to the documentation of the Casper upgrade that is part of the Ethereum 2.0 roadmap, the network will initially support a hybrid model that would involve both PoW and PoS, therefore, leaving some space for both block validators and GPU/ASIC miners. “There will certainly be a transition period where both networks are running,” Jack O’Holleran, the CEO of the Skale Network — a blockchain platform based on Ethereum — told Cointelegraph, elaborating that this process

will take some time:

“It will certainly take time for the majority of ETH1 to transition into ETH2 — potentially years not months. The good news about the slowness of this transition is that DApps and DeFi platforms will be able to move over at their leisure based on real-world evidence of viability, security and adoption. This is a net positive for the Ethereum ecosystem.”

To mine or not to mine?

Once Ethereum runs fully on the PoS rails, miners will have two options. One is to sell the equipment and use that money to accumulate more ETH and start staking, while the other option, which is available exclusively for GPU miners, is to simply switch over to other Ethash networks and mine altcoins. Nick Foster, a representative for United States-based mining equipment dealer Kaboomracks, told Cointelegraph that most ETH miners will pick the

latter option:

“I would say most miners are not really into mining to get ETH or a specific coin. Yes, a certain number mine and hold, but I would argue against the notion that a large population of altcoin miners hold their coins for any amount of time.”

Foster went on to describe how he switched to mining Ravencoin (RVN), an Ethash peer-to-peer blockchain asset, with his 3GB GPU unit once it became unprofitable to mine ETH: “It’s mining raven, and I sell to BTC instantly for stability sake and sell to USD to pay my power right after. I would say lots of people are employing a strategy like this.” As Foster summarized, he expects ETH miners to hop off the network, while new players — those who didn’t invest in the power infrastructure or the rigs — will be staking ETH.

He described the following scenario: 

“I can’t imagine how much of a dork I would be if I found a five-year lease with $0.04 power, and I was mining ETH and I decided to sell everything and just keep paying my lease so I could stake ETH as a replacement.”

Marc Fresa, the founder of mining firmware company Asic.to, agreed with that sentiment in a conversation with Cointelegraph: “If you’re invested into mining, you don’t want staking since you have the buildout for it.” One of the major altcoins that might benefit from PoW miners leaving Ethereum is Ethereum Classic (ETC), a more conservative version of the blockchain that reportedly has no PoS-related plans. Since it also runs on the Ethash algorithm, its hash rate might experience a significant spike as a result of the potential miner migration caused by the Ethereum 2.0 launch. 

Larger mining pools for ETH are left with similar options. When asked about his company’s post-PoW plans for Ethereum, Heller told Cointelegraph that F2Pool launched a sister company called stake.fish earlier in 2018, following the Ethereum PoS upgrade announcement. Because the switch has been delayed numerous times, stake.fish has started offering staking services for other PoS and delegated PoS projects like Tezos (XTZ), Cosmos (ATOM) and Cardano (ADA). As for Poolin, it “may temporarily give up supporting ETH mining,” as a result of the transition to PoS, De La Torre told Cointelegraph.  Other top ETH mining pools, namely Nanopool, Ethermine, Mining Pool Hub, SparkPool and SpiderPool, have not responded to Cointelegraph’s requests for comment.

Will the rest of the network notice? 

As for Ethereum’s ecosystem at large, experts reassure that the transition to PoS will be conducted in an uncomplicated fashion, and network participants — casual users and decentralized applications built on top of Ethereum — will hardly notice the change. Viktor Bunin, a protocol specialist at blockchain infrastructure firm and Libra Association member Bison Trails, echoed that sentiment in a conversation with Cointelegraph,

adding: 

“The Ethereum mainnet we know today is expected to be added as a shard on ETH2 in Phase 1.5. All that will change is the consensus mechanism, so DApps and users shouldn’t notice any change.”

Bunin went on further stating that: “Any concerns that the network will split, with some folks remaining on the PoW chain or that DApps will experience disruption, are overblown.” Furthermore, O’Holleran told Cointelegraph that “ETH 2 is a new network that will run on a new token and a new inflation model,”

elaborating:

“The connection is that it will all be composable and compatible with the Ethereum ecosystem and that tokens from the first network can be burned and replaced with tokens from the second network. What this means is that DApps and users will not be directly impacted until they manually switch networks. The indirect and immediate impact will be in relation to how the supply and perceived value impact the price of tokens on both networks.”

As for now, it is clear that there shouldn’t be a shortage of Ethereum block validators. According to a recent report by cryptocurrency analytics firm Arcane Research, the number of Ethereum wallet addresses that include or exceed 32 ETH — the minimum amount required for staking — is approaching 120,000.

Article Produced By
Stephen O'Neal

Stephen O'Neal is a Sociology major from Leeds. He's passionate about crypto and all the stuff you can spend it on.

https://cointelegraph.com/news/eth-miners-will-have-little-choice-once-ethereum-20-launches-with-pos

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Five Years of Ethereum: From a Teenage Dream to a $38B Blockchain

Five Years of Ethereum: From a Teenage Dream to a $38B Blockchain

How far has the Ethereum blockchain come in the five years since its inception? We explore key developments, changes and challenges.

It would seem that five years is a relatively short time for an information technology company,

but Ethereum has made colossal progress during this time, growing from its own initial coin offering project to the largest blockchain platform, running about 2,000 decentralized applications. Today, the market capitalization of its native cryptocurrency, Ether (ETH), is worth $38 billion — larger than Ford Motor Company and the popular app Snapchat. Not only that, but the value of Ether has seen a 121-fold increase over the period of the network’s existence. While the whole team is preparing for the transition to the proof-of-stake consensus algorithm ahead of the upcoming Berlin upgrade, Cointelegraph recalls the striking changes that have occurred to the platform over the five years since its launch, and the failures that have only toughened its resolve.

2013/2014: An idea to an $18 million crowdsale 

Ethereum was invented by Vitalik Buterin, a Canadian programmer of Russian descent. It was 2013, and Buterin was just an 18-year-old teenager, but his idea found a lively response in the global blockchain community. Later, Gavin Wood, a British computer programmer, proved the possibility of creating the system invented by Buterin and described the basic principles of its operation in the Ethereum “Yellow Paper.” Together with the first members of the Ethereum team, they launched a crowdsale and raised $18 million for the project’s development.

2015: Network launch and exchange listing

The first version of the Ethereum cryptocurrency protocol, called Frontier, was launched on July 30, 2015. But the security level the system boasted back then was far from what Ethereum is today. The launch of Frontier marked an important milestone in the history of the network, after which the developers immediately started working with smart contracts and creating DApps on the real blockchain. The first existing historical record of Ether’s price is from Aug. 7, 2015, when ETH was added to the Kraken crypto exchange at $2.77 per coin. Over its first three days of trading, its price dropped to a demeaning $0.68, most likely under the influence of rapid sales by early investors. In the second half of the year, droves of crypto enthusiasts rushed to learn what they could about Ethereum. A particularly significant contribution to its popularization was made by the DEVCON-1 developer conference, which was held from Nov. 9 to 13. The event sparked intense discussions on the development of Ethereum, with the participation of representatives from IBM, Microsoft and UBS.

2016: The DAO, hackers and Ethereum split

At the beginning of 2016, the price of Ether rose rapidly, fueled by news of the upcoming launch of a network protocol with a more stable version: Homestead. As a result, ETH reached its first serious high of $15 per coin on March 13, with the platform’s market cap exceeding the boastful $1 billion mark. On March 14, Homestead went live, which made its blockchain officially secure through new protocols and network changes (EIP-2, EIP-7 and EIP-8), making future updates possible. More specifically, the network protection became based on mining, which was planned only for the initial stage of development with subsequent transition to PoS with a hybrid model at an intermediate stage. At the same time, exuberant requirements for video memory acted as protection against the use of ASIC miners. The next event, which brought the price of Ether to its highest value that year — $21 — was the widespread media coverage of the dizzying success of The DAO project, which raised more than 12 million ETH ($150 million at the time ) in May. The DAO — an acronym for decentralized autonomous organization — was one of the pioneers of the upcoming ICO era and chose Ethereum as its launchpad to raise investments.

However, on June 16, using a vulnerability in The DAO’s code, unknown hackers stole about $60 million in ETH from the project. News of the attack sliced the price of ETH in half to $11. Buterin offered to return the stolen funds by conducting a hard fork to restore the network to its pre-attack state. Following a controversial hard fork held on July 20, the network split into two: Ethereum and Ethereum Classic. On Sept. 22, Ethereum suffered another blow: The network was subjected to a distributed denial-of-service attack, significantly slowing its operations. The news became an impetus for the beginning of a local downtrend in the curbed price, which began consolidating in the $7–$9 range by the end of the year. Two unplanned hard forks were then carried out to improve the resilience of the network and rectify the consequences of the DDoS attack.

2017: ICO boom 

Ether’s price experienced a meteoric rise at the start of 2017 as the cryptocurrency was added to the eToro platform on Feb. 23. Around the same time, the number of unconfirmed transactions on the Bitcoin network had reached 200,000, causing an increasing number of crypto investors and miners to opt for Ether as an alternative investment. On May 6, the price of ETH set a new bar of $95 per coin. The popularity of Ethereum grew rapidly in the crypto community and among DApp developers. The initial coin offering hype also contributed to the increased demand for Ether, as thousands of projects opted to fundraise in ETH. By Sept. 1, the price of Ethereum had almost reached a whopping $400, but news of China banning ICOs and crypto trading quickly slashed it to nearly $220. The price gradually recovered by mid-October after the release of the Byzantium network upgrade, which took place on Sept. 18. Along with the growth of the ICO bubble, in which Ether was still the main means of payment, ETH reached nearly $800 by the end of the year.

2018: Ethereum at $1,400 and a bearish trend

The beginning of 2018 turned out to be even more successful for Ethereum than the previous one. On Jan. 13, the price of Ether reached its all-time high of around $1,400. But the ICO rush, which had triggered the rapid growth of Ethereum’s price in 2017, came to an end. Throughout 2018, its echoes played a cruel joke on Ether as thousands of ICO projects sold their savings, meaning that ETH dropped even faster than the rest of the market. In early September, news of the Constantinople hard fork — expected in November — slowed the drop in the price and injected positive sentiment into the community. However, the network upgrade was delayed. Influenced by inter-bearish sentiments on the crypto market and pending updates, the price fell to $85, dropping from the second-largest to the third-largest cryptocurrency by market capitalization behind XRP.

2019: Technical works, update delays and popularity of DAOs

Many aspects spiraled out of the control of developers over the year as they were actively engaged in conducting technical work on the network. Meanwhile, the community lost count of the number of upgrades carried out. In January, the technical roadmap gained clarity as difficult engineering problems were solved and the Ethereum development community continued to grow. DeFi became the largest sector within Ethereum, and the market saw early signs of growth in gaming and decentralized autonomous organizations. At the beginning of 2019, the only DeFi protocol with significant funds was MakerDAO, which had a total of 1.86 million ETH ($260.4 million at the time). The playing field became much more diverse by the end of the year when new participants rushed into the industry.

On Feb. 28, the Constantinople hard fork took place on the Ethereum network, which prepared it for the transition to the Casper PoS protocol and the abolition of the previous mining model. However, the eighth upgrade, called Istanbul — which initially had been scheduled for Dec. 4 — was delayed and activated on the Ethereum mainnet on Dec. 8.  Among the main objectives of Istanbul were ensuring the compatibility of the Ethereum blockchain with the anonymous Zcash (ZEC) cryptocurrency and increasing the scalability of the network through SNARKs and STARKs zero-knowledge-proof protocols. In addition, the update made it difficult to carry out denial-of-service attacks on the network due to the change in the cost of gas needed for launching operating codes.

The progress of Ethereum 2.0 laid the foundation for the world’s largest corporations to start using the Ethereum blockchain. In July, Samsung released a software kit for Ethereum developers, six months after it was revealed that the development of its new phone included a built-in Ethereum wallet. Another large partnership involved internet browser Opera, which had launched an Ethereum-supported Android wallet at the end of 2018 and announced a built-in Ethereum wallet for iOS users in early 2019. Meanwhile, Microsoft continued its involvement with the Ethereum ecosystem. In May, the company released the Azure Blockchain Development Kit to support Ethereum development. In October, it backed a tokenized incentive system from the Enterprise Ethereum Alliance for use within enterprise consortiums. And in November, it launched Azure Blockchain Tokens, a service that lets enterprises issue their own tokens on Ethereum.

2020: The DeFi boom and PoS 

In the first half of 2020, Ethereum — famous for its numerous conferences and meetups — was forced to postpone all activity due to the coronavirus pandemic. Nevertheless, the team managed to make significant progress in solving the scalability issue, with the launch of the final Ethereum 2.0 testnet scheduled for Aug. 4. The developers hope that once the upgrade is complete, the Ethereum network will become faster, cheaper and more scalable without compromising decentralization and network flexibility. Meanwhile, the blockchain network continues to grow, as activity in the decentralized finance market has increased significantly. According to Dapp.com, the daily volume of value transferred via DeFi applications reached an all-time high of $1.8 billion on July 2. During the second quarter, a record $4.9 billion was moved through DeFi applications — a 67% growth when compared with the previous quarter — while the number of active users of Ethereum applications reached 1,258,527, an increase of 97%.

Article Produced By
Julia Magas

Julia is a researcher/journalist who covers the latest trends in finance and technology. Since 2013, she has been researching the cryptocurrency market and coordinating international conferences. Julia’s works are featured by popular fintech magazines, including Investing, SeekingAlpha and Bitcoinist, where she interviewed representatives from MIT, Indeed, Ethereum and more. She's trading some stocks and digital currencies for experimental purposes and hunting for the most interesting, cutting-edge technologies' use cases in investing and finance.

https://cointelegraph.com/news/five-years-of-ethereum-from-a-teenage-dream-to-a-38b-blockchain

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We’re Living in an Ethereum World

We’re Living in an Ethereum World

Wow! Look at it go! I’m talking, of course, about crypto’s ever-expanding market cap, touching US$800 billion as I write these words. Yes, that’s very close to a trillion bucks. And it’s still growing. At the start of the year (just over 5 days ago), we sat around US$670 billion, when seemingly out of nowhere, we all started watching the Ethereum (ETH) funds in our digital wallets expand in fiat value.

A World of Smart Contracts

As its market capitalization skyrockets – first to US$750, then to US$1,000 – Ethereum may not be finished yet. But ETH isn’t the only game in town. Altcoins utilizing the Ethereum blockchain, incorporating smart contracts into their peer-to-peer platforms, are also benefiting greatly from the influx of cash into our favorite exchanges. As an example, Ethlend (LEND), a little-known lending platform based on ETH and ERC20 tokens, has more than doubled in price with the new growth. The price of Tron (TRX), a planned digital media platform that will transfer user information across games, social media sites and even casinos, shot up from 5 cents to over 20 (quadrupling once again) in the initial stages of this new cash influx (yeah, I know, it’s fallen a bit since). But these aren’t the only examples. Go ahead and look at your own wallet(s) if you haven’t in the last week or so. You might be surprised at what you find. It seems it’s an Ethereum-based world we live in now, and this doesn’t look to be the regular pump-and-dump kind of action we came to expect from the half trillion-dollar market of yesteryear.

Predictability in the Market

Better still, the rise of all of our favorite altcoins (I’m thinking outside of the mainstream coins on Coinbase here) is happening on a somewhat predictable schedule associated with the slight dips we see in the price of Ethereum. In this new crypto-universe, it seems money no longer holds fast to Bitcoin’s (BTC) gravitational pull. Instead, after transferring Ethereum over to the exchanges, it is traded out to some degree for these smaller, lesser known coins. And why not? How many quadruplings, how many 1,000% gains, have to occur before we all realize where the real money is in the crypto space?

Bitcoin (BTC) is Still King

With great reward comes great risk, however. And as we dip our toes into the expanding options offered on these burgeoning exchanges (I’m looking at you, Binance), we should both fear and respect the influence of the king, Bitcoin. After all, with this much money in the market, there should be no doubt any longer that Bitcoin has survived the shock of winter and is coming right back to secure its place at the top of the heap (not that it ever lost its position). And when BTC rises, the influence of Ethereum is again lost (if only temporarily). And with Lite-speed (we see you, Litecoin), our gains from the day seemingly vanish as the masses clamor to secure their wealth in this awesome powerhouse of value. With that said, you’d better believe that Bitcoin is still very much king around here. It’s just not the only player in town anymore.

Conclusion

So whether you are an Ethereum or a Bitcoin believer, chances are that you will do well this year, as there just may be room for both with this brand new market cap. For Ethereum, the utility of the product and its derivatives are undeniable. The smart contract and its effects on all of our lives will no doubt be solidified and documented throughout the year(s). And as for Bitcoin, the ultimate storage for our coveted satoshi, we should probably all still pay homage when we’ve reached a comfortable level of gains in the alternative currency market (if we wish to keep them).

Article Produced By
Micah C. Miracle

https://themerkle.com/an-ethereum-eth-based-world/

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Ethereum Price Analysis for June 23th – ETH May Go On Growing

Ethereum Price Analysis for June 23th – ETH May Go On Growing

if the current impulse preserves. On Tuesday, June 23rd, it is generally trading at 241.90 USD. On D1, ETH/USD is winding up a correction in an uptrend. The quotations keep trading near the lower border of the ascending channel. The price presently remains between 61.8% and 100.0% Fibo. The MACD remains above zero. Judging by all the factors, we may expect a minor correction to the lower border of the ascending channel and a bounce off it, after which the pair will go on growing. The aim of the growth remains at 265.00 USD. On H4, the pair is also correcting in an uptrend. The Stochastic has formed a Golden Cross, which may be an additional signal of a bounce off the lower border of the ascending channel. The growth is aiming at 265.00 USD. However, a deep correction to 220.00 USD is also possible.

The story with those huge commission fees paid by an ETH user would not end. It has become known that the Chinese mining pool F2Pool found a way to return 540,000 USD to the validator. On June 11th, the user transferred 753,000 ETH, for which they had to pay half a million dollars more as a commission fee. The next day, they got in touch with the mining pool and managed to confirm their personality. It turns out that the wallet of the client got attacked – this was the reason for the ridiculous fee. The initial address of the client is obviously controlled by the hackers, so the pool considered it unreasonable to send the money back there, so the commission fee was returned to a new address. Curiously enough, the user gave 10% of the sum to the pool as a thank you for cooperation. It is hard to ignore the fact that in the crypto world, huge commission fees are collected for minor sums more and more often. This signals that the weak points in the nodes and safety systems have become available to hackers.

Article Produced By
Dmitriy Gurkovskiy

Chief Analyst at RoboForex

https://themerkle.com/ethereum-price-analysis-for-june-23th-eth-may-go-on-growing/

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Ethereum’s Vitalik Buterin challenges forecast saying the halving may boost Bitcoin’s price, joining stock-to-flow critics

Ethereum’s Vitalik Buterin challenges forecast saying the halving may boost Bitcoin’s price, joining stock-to-flow critics


This Exchange News was brought to you by OKCoin, our preferred Exchange Partner.

If you were to ask a Bitcoin investor what makes the cryptocurrency valuable, they would likely say something about the cryptocurrency’s block reward “halvings.” Every four years, the number of BTC issued per block gets cut in half, resulting in an effective 50 percent reduction in the inflation rate of the cryptocurrency. The argument is that halvings skew the supply-demand dynamic in favor of price appreciation as these events effectively reduce market supply. Yet according to Vitalik Buterin, the founder of Ethereum, the narrative is somewhat flawed in that it is “unfalsifiable.”

Ethereum founder discusses issues with Bitcoin’s halving narrative

On Jun. 14, the Russian-Canadian crypto wunderkind took to Twitter to challenge the narrative, opining that the “halvings cause BTC

price rises” theory is “unfalsifiable.”

“The ‘halvings cause BTC price rises” theory is unfalsifiable: Was the peak before the halving? Then it ‘rose in anticipation of the halving’ During? ‘Because of the halving’ After? ‘Because of…’

He’s saying that believers in the sentiment that Bitcoin halvings affect price in a positive manner can “move the goalposts,” so to say, by attributing any rally in the BTC price as an effect of a halving. To give an example of why he thinks the theory is flawed, he pointed at Bitcoin’s $20,000 peak in 2017, reminding people that “the last $20k peak was near the halfway point between the 2016 and 2020 halvings.” Bloomberg’s Joe Weisenthal, who has been commenting on cryptocurrencies for years now,

echoed this in February by writing:

“[Someone] wants to propose a bet on whether the Bitcoin halving will prove to have been priced in. Problem is it’s hard to define a clear test for that, because defining why any asset moves in any circumstance can be extremely difficult.”

Both Weisenthal and Buterin are critics of the Stock-To-Flow (S2F) Model, which predicts that Bitcoin will rally to $100,000 in the coming two years due to the halving. Buterin doubled down on his criticism of the subject on Jun. 14 by saying that he “disagrees with S2F.”

There are other reasons to be bullish

That’s not to say that there aren’t any active factors boosting the Bitcoin bull case. Far from, actually. As reported by CryptoSlate previously, Bloomberg senior commodity strategist Mike McGlone wrote in a report published at the start of June that “something needs to go really wrong for BTC not to appreciate.” His bull case boiled down to a number of factors that include but are not limited to, Bitcoin’s decreasing volatility, the increasing adoption of BTC futures on the CME, Grayscale Investments‘ Bitcoin investments, a high correlation with gold, central bank money printing, and there being similarities between the start of the 2016-2017 rally and today.

Article Produced By
Nick Chong

https://cryptoslate.com/ethereums-vitalik-buterin-challenges-forecast-saying-the-halving-may-boost-bitcoins-price-despite-stock-to-flow-critics/

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Ethereum Classic (ETC) To Test Atlantis In June

Ethereum Classic (ETC) To Test Atlantis In June


The Ethereum Classic (ETC) network is gearing up for a network upgrade,

as its developers are ramping up their plans to introduce the “Atlantis” upgrade. The development team held a developer call on June 6, where they discussed the intention to pull forward the testnet activation of the upgrade. The upgrade could be accelerated to as close as June 19, instead of the initial release date of early August.

ETC developer, Soc1c, said,

The July 1st target is off. No need to further discuss that. We have agreed on testnet and can still decide on mainnet.

Speaking to CoinDesk, Soc1c elaborated on the future of the network,

I can’t tell what the future will bring. For now we agreed to fork the testnets with everything included in [Atlantis] as it is, and reserve the option to modify mainnet spec and date in a subsequent call.

Atlantis would bring a few major upgrades to the network, with one of the key focuses being interoperability between the Ethereum Classic and Ethereum blockchains that would allow for dapps to migrate between the two blockchains. This news has emboldened investors, who feel that a mainnet arrival looms closer now that development is ramping up.

Article Produced By
Abhimanyu Krishnan

Abhimanyu is an engineer on paper but a writer by living. To him, the most celebratory aspect of blockchain technology is its democratic nature. While he’s hodling, he can be found reading a good book or making the local dogs howl with the sound of his guitar playing.

https://www.investinblockchain.com/ethereum-classic-etc-to-test-atlantis-in-june/

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