Max Keiser: Bitcoin Going to $100K as Banks ‘Never Been in Worse Shape’

max keiser bitcoin

The one and only Max Keiser, once again spoke to Bitcoinist. He shares his thoughts on where he thinks Bitcoin price is now headed, the US-China trade war and the ‘unfolding’ global economic crisis. 


Max Keiser: I See Bitcoin Hitting $100K

Bitcoinist: Everyone’s talking about this US-China ‘trade war’ – what role do you see Bitcoin playing in all of this?   

Max Keiser: Keiser Report identified the twin trends of Deglobalization and Dedollarization a few years ago when Trump was running for President and now confirmed as President. The post-war period of global monetary cooperation (and Central Bank collusion*) are over.

The joint-race to the bottom with competitive fiat devaluations to boost exports – and now negative interest rates (covering more than $10 trillion and some mortgage bonds) – has reached its nadir.

Countries like China and Russia are pulling out of the $USD currency hegemony and easing into bi-lateral trade outside the dollar. And we’ll see more announcements like Russia and China’s recently about introducing a gold-backed crypto coin.

This means China and Russia are bringing back a Gold standard. This means curtains for the $USD. GREAT NEWS FOR BITCOIN AND GOLD. 

How will it affect its value and will these trade tensions accelerate another economic crisis?   

The crisis unfolding now is less about trade and more about the next leg of the global bank crisis. $DB looks like the new Lehman. Contagion will be fierce and quick. 

You’ve been recently doubling down on your past prediction of $28K in the short-term for Bitcoin price. What makes you so confident that BTC will break its ATH so soon?   

To be clear, when Bitcoin was at $20,000, I said, $28,000 is in play. Traders scoffed at this when we had the pullback to $3,200, but $28,000 is still in play.

I see Bitcoin hitting $100,000, like I said back in 2011 when it was $1, and I don’t consider the recent 80% pullback (the fourth I’ve seen) significant. Everything is right on schedule. $28,000 is still in play. 

Specifically, what events could be a catalyst for this potential surge (e.g. EU elections, Brexit, central banks buying stocks etc.)

Bitcoin, as hinted in the Genesis Block, is an attack on Central Banks, and fiat money. As banks collapse, adoption, price, hashrate, difficulty, all go up. Banks have NEVER been in worse shape. Ipso facto, BTC continues on its monster rally. 

BTC price is up almost 50% since US Congressman Brad Sherman called for a blanket ban on Bitcoin. Is this a coincidence or is there something to this?   

Everyone I follow on Twitter thanked Brad Sherman profusely for telling the world how vulnerable the $USD is and how to escape that risk: Buy Bitcoin. 

What are your thoughts on Kik’s current battle with the SEC? What implications will this have on the crypto markets moving forward?

This was my tweet in that: Regarding Kik

Modern history of financial engineering: Wall St. “innovates” then lobbies law makers to change laws or write new laws, or face a financial crisis (made possible by their ‘Too Big To Fail’ status). Bitcoin will repeat this pattern as BTC whales muscle law makers to bend.

You previously stated that the Bitcoin protocol will become ‘self-aware’ at block 300,000. Could you elaborate?

I noticed around block 300,000 that the protocol was manipulating people’s behavior via the incredible incentives and game theory baked in. People are beyond addicted to Bitcoin. They are essentially giving their conscious and unconscious minds – along with hashing power – up for adoption by the protocol.

We are all becoming Satoshi’s children.

You can speculate on why and how – and I have, and maybe I’ll write more about this. Suffice to say, our species needs to start coming to terms with the presence of this self-aware parallel intelligence impacting our lives and our world. 

Why do you think your good friend, gold-bug Peter Schiff, refuses to acknowledge the benefits of Bitcoin despite his own business accepting btc to buy gold?

I don’t think about Peter Schiff anymore. He’s become irrelevant. He’s got a cool house in Puerto Rico, though.

What do you think about Facebook’s announced GlobalCoin? Same as JPMCoin or will it help facilitate Bitcoin/crypto adoption?

It’s a payment rail. It will cut into established payment rails. It’s not Gold 2.0. It looks like, however, that $FB talked with the Winklevoss Twins and appear to have agreed to carve up the world; $FB takes payments, WT take Gold. 

Zuckerberg Consults Rivals Winklevoss to Push Facebook’s ‘GlobalCoin’

You hold quite a few patents yourself. What are your thoughts on Craig Wright’s attempts to patent certain aspects of Bitcoin?

Yes. My patents have a greater claim than anything Craig has ever come up with regarding Bitcoin. I suspect he’ll go insane and blow his brains out one day, as a few suffering from BDS (Bitcoin Derangement Syndrome) have already, in one way or another. 

What developments or upcoming events in Bitcoin are you most looking forward to this year?

CryptoSpings in Palm Springs will be the greatest. It’s all about Lightning! and watermelon margaritas. Also, Nomi Prins’ book “Collusion.”

Thanks again for yor thoughts Max!

What do you think of Max Keiser’s comments? Share your thoughts below!


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Binance Launchpad Alumni Fetch.AI Partners With Deutsche Telekom

deutsche telekom binance fetch.ai

IEOs are becoming the new fundraising vehicle for Blockchain and crypto startups. A recent industry report revealed that IEOs such as Fetch.AI have raised about $1.4B in the first five months of 2019 to mark the birth of an era, as the Blockchain and cryptocurrency industry transitions away from the ICO frenzy of 2017 to mid-2018.


Fun fact – the amount of money raised via IEOs has outpaced the amount of money raised via ICOs for the first time this year. ICOs have only managed to raise about $1.1B so far in 2019 while IEOs have raised more than $1.4B in the same period.

binance launchpad IEO

One of the most notable IEOs that launched this year is the Fetch.AI (FET) IEO which sold out in about 22 seconds. Fetch.AI is a Binance Launchpad alumnus building an intelligent blockchain for complex problem solving by leveraging high-performance next-generation smart contracts. The startup is building a decentralized digital world in which useful economic activity takes place.

Binance CEO, Changpeng Zhao broke the news of Fetch.AI’s (FET) successful IEO in a tweetstorm noting that the hard cap was reached in 22 seconds. The total IEO sale lasted 11 minutes and 14 seconds in which 2,758 investors purchased tokens that helped Fetch.AI raise about $6M worth of Binance Coin (BNB).

Factors that contributed to the success of Fetch.AI’s IEO

The first factor that powered the success of Fetch.AI’s IEO is the fact that it is solving a real-world problem with an innovative solution with the potential to be a catalyst for exponential disruption across industries. The fact that Fetch.AI is enabling the autonomy of things with an intent to drive real-time intelligent decision making by machines provides a solid value proposition for its use of Blockchain technology

Another important factor that drove the success of FET’s IEO is the brand value of Binance and its Binance Launchpad program. On the surface, FET seems to have enjoyed goodwill from the impressive performance of BitTorrent Token (BTT).

BitTorrent’s BTT token was the first Binance Launchpad project to hit the market and its trading price of BTT has jumped more than 600% from its launch date. More interesting is the fact that BTT token has gained more than 200% from $0.000516 to $0.001641 since it became available for trading on exchanges till date (see chart below).

Additionally, the positive performance of BTT is probably fueling positive market sentiment for other tokens coming out of Binance Launchpad. Matic Network (MATIC) for instance, another Binance Launchpad alumni soared more than 8000% in less than a month after its token became available for trading as seen in the chart below.

What does the future hold for Fetch.AI?

In terms of trading performance, Fetch.AI hasn’t delivered a particularly impressive performance. The price of its FET token is down about 50% from its launch price of $0.40 to around $0.17. Nonetheless, the startup is making strategic moves to reassure its investors that it is committed to bringing its project from ideation into flawless execution.

One of such moves is the memorandum of understanding (MoU) signed between Fetch.AI and T-Labs, the innovative wing of Deutsche Telekom.

The partnership agreement will see both companies continue their collaboration at a deeper level to eliminate potential roadblocks on the path to building a machine-to-machine economy. The companies are focusing their R&D efforts on creating trustless environments, digital identities, and developing technologies that facilitate autonomous interaction of autonomous agents in an IoT world.

In addition, the companies are hoping that the partnership will help them become market leaders in optimizing high-performance networks such that the devices and the infrastructure that power IoT can act independently without direct human inputs in exchanging data and communications.

In the words of John Calian Senior Vice President and head of T-Labs, “We’ve really enjoyed seeing Fetch.AI’s technology grow and develop and it’s really exciting to be able to actually get things done: put agents into things and see how collective knowledge and self-organizing systems can deliver value where no value existed before.”

Apart from launching a successful IEO, Fetch.AI has gone on to build a vibrant community of almost 40 world-class team members, 11,000 telegram users, and it has more than 110,000 lines of code in its project. By Q3 2019, the company hopes to have conducted the Alpha and Beta testing of its network and it is planning its Mainnet releases for Q4 2019.


Images via Shutterstock

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Bitcoin Speed Vs. Altcoins a ‘Red Herring,’ Says Charlie Shrem

red herring bitcoin

Bitcoin entrepreneur Charlie Shrem says that comparing Bitcoin to other altcoins and ‘faux cryptos’ in terms of speed is a ‘red herring’ argument. Instead, Bitcoin’s main selling points are decentralization and censorship resistance. 


Only Bitcoin is a ‘Censorship-Resistant Value Network’

Bitcoin pioneer, Charlie Shrem, says that comparing transaction speed between Bitcoin and other ‘faux’ cryptocurrencies is a non-starter.

“Transaction speeds” when debating bitcoin vs other faux-crypto’s is red herring argument,” said Shrem.

Why? Because the speed of payments was never a problem. Quick, online, digital payment services such as PayPal already existed when Bitcoin was created in late 2008.

“That’s not why we’re here,” says Shrem. “We’re building a censorship-resistant value network that can never be controlled by a single party.”

Indeed, most Bitcoin critics tend to focus on the relatively ‘high’ fees compared to other cryptocurrencies. But despite other cryptocurrencies appearing faster on paper, users overwhelmingly prefer to use the Bitcoin network when transferring value.

What’s more, centralized legacy banking transfers like with Bank of America sometimes levy higher fees than Bitcoin simply because they can.

But with Bitcoin, the transactions are trustless and the fees are set by the market (and unfortunately, also by some pretty bad fee estimators causing users to overpay).

It is the most secure, decentralized, value transfer network in the world. More importantly, anyone can use it as it’s the world first neutral form of digital money. This is why users trust the Bitcoin network and no one else, transferring over 3.2 trillion dollars in 2018.

‘No One Goes There, It’s Too Crowded’

Altcoins such as Litecoin or Bitcoin Cash resort to the ‘cheaper and faster because of potentially greater on-chain capacity’ narrative, nevertheless. But this is simply because it is the only advantage they can latch onto as a selling point.

But cheaper isn’t always better. The argument that ‘no one goes to that restaurant, it’s too crowded’ comes to mind. Transaction fees are only ‘cheap’ as the number of actual transactions is minuscule.

At the same time, these alternative networks are plagued by centralization. This means that they do not provide the same kind of censorship-resistance and decentralization as Bitcoin.

For example, Bitcoin Cash just experienced a successful 51 percent attack by miners where nearly $1.4 million dollars worth of BCH was double-spent after a centrally-planned hard-fork ‘upgrade’ was implemented.

“Based on our calculations, around 3,392 BCH may have been successfully double spent in an orchestrated transaction reversal,” notes BitMex Research. “However, the only victim with respect to these double spent coins could have been the original “thief”.”

“Bitcoin Cash’s May 2019 hard fork upgrade was plagued by three significant issues, two of which may have been indirectly caused by a bug which resulted in empty blocks,” adds BitMex Research.

In any case, this makes these alts unreliable for everyday transactions. So whether it’s for settling millions of dollars or buying coffee, users will still prefer to pay a higher fee in order to ensure that their money gets from point A to point B without trusting a third party.

Tone Vays Successfully Sends $10K for 1 Cent

In fact, the inability to alter the Bitcoin protocol is what gives it its biggest strength. Only the users are in control where the node operators watch each other to make sure nobody cheats, miners included.

This Byzantine fault-tolerant setup keeps the network trustless. Bitcoin continues to mine blocks roughly every 10 minutes as miners confirm transactions, highest fees first.

The ‘unreliable’ and ‘slow’ narrative was proven false by Tone Vays demonstrated at the Malta Blockchain Summit. Even a low-cost transaction cleared within a reasonable time despite high network activity.

Vays successfully sent $10,000 with a fee of 1 satoshi per byte or a fraction of a penny. BCH proponent Roger Ver lost $10,000 betting that it wouldn’t.

Do you agree with Charlie Shrem’s comments? Share your thoughts below!


Images via Bitinfocharts.com, Shutterstock

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Venezuela and Russia May Switch to Ruble After Trying ‘Petro’ Cryptocurrency

Petro venezuela crypto

Venezuela and Russia are in talks to switch over to the ruble for trade after trying the ‘El Petro’ cryptocurrency, a UN ambassador has revealed.  


Venezuela and Russia ‘Currently Trying’ El Petro

As Bitcoinist reported last December, Russian officials were introduced to El Petro but stopped short of confirming that it was going to be used.

“Representatives from our tax service and central bank… got acquainted with the cryptocurrency (Venezuela) is currently introducing,” deputy finance minister Sergey Storchak said. “But no more than that. As for payments, they’re not happening yet.”

venezuela

Now it appears that some transaction have at least been tried, according to a Venezuelan ambassador.

On Friday, May 17, Venezuelan UN ambassador, Jorge Valero, said:

We are currently trying to transact using other currencies including the cryptocurrency El Petro, which we created.

However, Valero didn’t share any further detail about El Petro, a purported ‘cryptocurrency’ that has been widely criticised for its lack of transparency and centralisation by the Venezuelan government.

Even members of the Russian Duma have voiced concerns about this ‘experimental’ digital token.

Digital economy committee member, Arseniy Poyakov, previously stated:

The national cryptocurrency of Venezuela was and still is a bold experiment. Generally speaking nothing changed much since. It wasn’t backed by anything except beautiful words then, and this hasn’t changed.

US Sanctions Forcing Countries to Crypto

In March, the US introduced new sanctions against a Russian bank for working with Venezuelan President Nicholas Maduro and the national oil company PDVSA. The US also alleged that the Russian bank attempted to bypass sanctions using ‘El Petro.’ 

Replying to a question on whether Venezuela will ask Russia for help, Valero said “we always have support from Russia and our relationship is multifacted.”

Russia

The ambassador also noted that that US sanctions against Venezuela have negatively impacted the country’s economy. In result, Caracas was forced to seek alternative ways to access global markets and oil investments as well as to service its national debt.

Venezuela Prefers Bitcoin Over Petro

But it’s not only Russia that’s not too impressed with the ‘Petro’ cryptocurrency. Though it has the marking of a ‘crypto’ with a block explorer and an official website, while offering the ability to pay for government services, the digital token is completely controlled by the state.

The block explorer also shows just 42 nodes supporting the network. The consensus algorithm used – whether it’s proof-of-work etc. — is also unclear.

Uptake, therefore, has been nonexistent despite attempts by Maduro to woo investors. As reported by Bitcoinist, Venezuelans have largely shrugged off the Petro. Instead, bitcoin adoption is rapidly spreading in the country. Bitcoin provides Venezuelans a way to transact globally bypassing sanctions and capital controls.

In fact, it is now a common occurrrence to see LocalBitcoins volumes climb each week.

Earlier this year, Bitcoinist reported on the US-backed opposition leader Juan Guaidó who proclaimed himself as the interim president of Venezuela. Interestingly, Guaidó is familiar with cryptocurrency technologies and has been promoting Bitcoin since at least 2014.

Will any country use the Petro to trade with Venezuela? Share your thoughts below!


Images via coin.dance, Shutterstock

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Bitcoin Now a More Popular Google Search Term Than ‘Donald Trump’

donald trump bitcoinv

Google search interest in Bitcoin has spiked to a fresh six month high as BTC has posted 100 percent gains during the same period. In fact, people are now searching for ‘Bitcoin’ more than ‘Donald Trump.’


As Price Rises, People Google Bitcoin

It’s no secret that public interest in ‘Bitcoin’ and everything related rises as BTC price moves. People are naturally curious about what’s causing the bitcoin price 00 to skyrocket. They also want to know what Bitcoin is and whether now is a good time to hold, buy or sell.

Bitcoin’s recent rally over $8K has indeed started seeing more people googling to find out more. Currently, the number of searches is the highest since mid-December 2018. Moreover, this number is projected to reach levels not seen since the peak price of late 2017.

bitcoin google search trends

Google search trends are one of the best online resources for gauging real-time public interest in Bitcoin.

This was demonstrated at the beginning of April, for example, when bitcoin initially broke out of its bearish slump. Google searches for bitcoin spiked.

Today it is more popular than other big search terms such as SpaceX, Tesla, Elon Musk and even Donald Trump.

Donald Trump bitcoin

Furthermore, the majority of searches for Donald Trump are confined to the US. While searches for Bitcoin are global with significant activity on all continents.

In 2018, ‘What is Bitcoin’ topped the “What is…?” Google category in both the UK and the US.

Top 10 Countries Looking Up ‘Bitcoin’

In fact, the top ten countries interest in bitcoin right now (excluding St. Helena) are:

  • Nigeria
  • South Africa
  • Ghana
  • Netherlands
  • Austria
  • Switzerland
  • Singapore
  • Slovenia
  • Australia
  • Germany

Where Are People Googling Bitcoin in the US?

In the US, the states where Bitcoin is now being searched for more than Donald Trump may surprise you.

The top 10 states/regions are:

  • Hawaii
  • Nevada
  • California
  • Washington
  • New York
  • Utah
  • Colorado
  • New Jersey
  • District of Columbia
  • Alaska

Chicken or the Egg?

So does price precede interest or does interest precede price?

Evidence exists for both, in fact. As Bitcoinist reported earlier this month, the volume of tweets and Google Search Volume Index (SVI) were found to be leading price indicators for Bitcoin and Ethereum, according to a research paper published by the Southern Methodist University.

google search bitcoin

However, this particular study mainly focused on the late 2017 price spike and the simultaneous retail interest that likely fuelled the surge to $20K. Notably, it found Tweet volume to be a much more reliable indicator of potential price increase than Google searches – which tend to lag price moves.

As of late, Google searches have shown to rise a day or two later. For example, the spontaneous surge by $1,000 that occurred on April 1st was followed by a surge in searches on April 2nd and 3rd. This suggests that the general public looks for more information about bitcoin after seeing that the price has already risen (and covered by the mainstream media).

At the same time, the Tweet volume for #bitcoin has been rising steadily since March. Currently, it is at about 30K per day, though still lower compared to the period prior to November-December 2018.

Making a Comeback

Overall, the figures suggest that interest is coming back as the price of BTC appears to be bottoming out. Relevant indicators such as the Mayer Multiple and many market analysts are also suggesting that the bear market has come to an end.

If this is indeed the case then some outrageous bitcoin price predictions may not be so outrageous in the future. With fundamentals stronger than ever and shifting market sentiment, a new bull market would do seem to be around the corner, if the past few weeks are anything to go by.

So if these trends are anything to go by, ‘Bitcoin’ will undoubtedly become the most popular search term in

Will price eventually hit $100K in the future as Max Keiser expects? If it does, you can surely bet that the searches would follow.

Do Google searches for Bitcoin lag behind price? Share your thoughts below!


Images via Shutterstock, Google trends, Bitinfocharts.com

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Ethereum Price Analysis: ETH Hits New YTD-High, Can it Hold Above $200?

ethereum price ETH price ETH/USD

Ethereum price has managed to break above $215 today for the first time since November, 2018, securing an 8.09% gain. With the altcoin rally now underway, let’s take a look and see how likely the number two cryptocurrency will stay at this new psychological level during the rest of the week.


Ethereum Price Daily Chart

On the 1-day ETH/USD chart we can see that the asset is extending its meteoric rise towards the 0.786 fibonacci level at $218.59, after rejecting a bearish rising wedge reversal pattern.

At the time of writing Ethereum price is 00, with bullish traders working hard to defend the $205 support.

On the RSI, ETH has now entered into the overbought region above the 70% mark as bullish momentum continues to climb. This could place some selling pressure on the uptrend and slow Ethereum’s ascent to the next retracement level.

Despite this however, momentum on the MACD still appears to remain favorably bullish with the 12-MA bifurcating further away from the 26-MA, and buying volume showing increased strength on the histogram.

4-Hour Chart

On the 4-Hour ETH/USD chart we can see a worrying trend contradiction between the RSI and the price action. Since May 11, ETH has made 2 significant higher highs including the most recent rally to $215, whilst tracking inside of an ascending channel pattern.

Despite this uptrend, the RSI has reported two lower highs which suggests that a bearish reversal could take place soon.

On the 4-Hour MACD, we can also see a decrease in buying volume on the histogram as well as the 12-MA starting to arc back towards the 26-MA below.

This could result in a brief correction, especially since ETH has broken into the overbought region on the 1-Day chart. If the asset breaks bearish through the ascending channel support at around $194, then there is a much stronger support further down at $178 which could provide bullish traders with a pushback opportunity.

30-Minute Chart

The 30-Minute chart shows that ETH bulls are currently fighting to stay above the $205 support level, which has been a key S/R line during the past 48 hours.

Again, bullish momentum on the MACD is showing weakness with a bearish divergence between the 12 and 26 moving averages. The RSI has also broken below the 50% mark inside the index channel, as the current uptrend loses strength.

The Aroon Up line has also bearishly crossed below the Aroon Down line which gives us an additional confirmation that the short-term trend is likely to break downward.

From this, it seems that Ethereum bulls have lost some confidence after failing to breach the 0.786 fibonacci level during this morning’s rally.

The $205 support will be an important level to maintain if ETH is continue its parabolic move towards new highs.

For Bitcoin price analysis, you can check out our most recent report here.

[Disclaimer: The views and opinions of the writer should not be misconstrued as financial advice.  For disclosure, the writer holds Bitcoin at the time of writing.]

Where do you see Ethereum price headed? Share your thoughts below!


Images via Shutterstock, Tradingview.com

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Bitcoin Price Above $7.5K as BitMex Sets Record $10 Billion Volume [UPDATED]

Bitcoin price has gone parabolic. The past week saw its value go up nearly a whopping 40 percent. But is it now time for a blow-off top or full FOMO to the moon? Let’s take a look.


Bitcoin The World’s Best Performing Asset of 2019

Bitcoin price 00 has made the naysayers look foolish once again. BTC has soared a staggering 40 percent over the past week alone. Moreover, BTC/USD has more than doubled since the December-February lows.

Just yesterday, it broke the $7,000 mark on some impressive volume, the highest since volume since the April 1st rally. In fact, BitMex has announced it achieved record volume on May 11th, a Saturday nonetheless.

Bitcoin’s market cap has also added $30 billion in value since May began. By comparison, the market cap of every cryptocurrency excluding Bitcoin has only risen by $10 billion during the same time period. Hence, Bitcoin’s market dominance index is now the highest since its $20K all-time high price in late 2017.

Indeed, the voices of ardent no-coiners like Nouriel Roubini who danced on Bitcoin’s grave in November, have gone quiet.

Blow-Off or Lift-Off

The parabolic advance that we’re currently seeing was hinted at by veteran trader Peter Brandt in early April. (Brandt also correctly called the $20K top the previous year).

BTC price is already above the previous 6K levels from which it plunged to yearly lows last November.

This is a very encouraging sign. Particularly, when the Bitcoin market is now a lot more mature compared to a few years ago when fundamentals could not keep up with the runaway price.

Now, with the latest upswing, Brandt appears to be 50/50 on whether this rally continues to $10k and beyond or whether a blow-off top correction is imminent. The latter is when a steep and rapid rise in price and volume is followed by a similarly steep and rapid drop.

“Blow-off or lift-off,” he wrote.

Other commentators like ParabolicTrav have pointed out similarities, as well as notable differences, between now and the blow-off top in 2015,

Also, worth noting is that the current rally has completely wiped out the ‘Bitfinex premium.’ In fact, BTC is now trading almost $100 higher on Bitstamp.

The Public is Still On the Sidelines

Meanwhile, most of the general public is still unaware of the recent surge in bitcoin price. Google Trends data shows that interest in ‘Bitcoin’ is only now starting to pick up.

The previous  60% spike over the past 3 months was during the April 1st price rally to $5000.

 

But as Bitcoinist reported last month, people are mostly interested in Bitcoin or buying bitcoin only after a major price move.

This is exactly why fund manager’s like Tom Lee prefers to ‘hodl’ as it’s shown to be a much more lucrative strategy. In fact, it’s the best way to not miss out on the Bitcoin rocket as it historically generates most of its annual gains in just ten days.

Lee also shared a Twitter poll which provides some insight into the possible point of FOMO could be this time around.

Hitting the $10K mark would break a major psychological barrier as many people will realize that Bitcoin is actually not dead. What’s more, many will try to buy back in with the $20K price still fresh in their minds.

Out of over 4,000 participants:

  • 44% chose $10K,
  • 32% chose over $20K
  • 24% think the FOMO is already underway.

Will bitcoin price rally higher or is a blow-off imminent?  Share your thoughts below!


Images via Shutterstock, Twitter, Google Trends

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Bitcoin Price Reclaims $6K For the First Time in 6 Months

bitcoin price rocket

Bitcoin price continues to post record highs in 2019, breaking the key $6,000 level not seen since the mid-November plunge. 


More Evidence Of A New Bull Market

Bitcoin price 00 has broken key resistance at $6,000 to reach as high as $6,077 on Bitstamp on about $15 billion in trading volume.

BTC/USD also marks an impressive 40 percent gain since the start of the year to outperform the S&p500, commodities, and oil.

It also suggests that Bitcoin appears completely unaffected by the Binance hack as the CEO toyed around with the idea of a ‘re-org’ to much backlash. What’s more, many commentators were even “shocked” that the idea was even being discussed.

In other words, price is showing new signs of strength as the inability of the world’s biggest players to affect Bitcoin in any way becomes increasingly apparent.

The idea brought back memories of the New York Agreement in late 2017 backed the biggest cryptocurrency companies. The defeat of this proposed change was a major win for Bitcoin users proving that it is they who are ultimately in control.

In retrospect, this was a critical event at the time that partially staged for Bitcoin’s meteoric rally.

Breaking $6000 From The Other Direction

Rising institutional interest, the return of Korea’s ‘Kimchi premium‘ and Chinese traders paying a markup for Tethers, allowing easier access to crypto markets, are among the other factors driving the current uptrend.

On the technical side, as noted earlier by Bitcoinist this week, a test of $6,000 was not unexpected. But passing this key level upon the first attempt is an encouraging sign. Bitcoinist senior market analyst FilbFilb adds that passing such a psychological number could keep the momentum going, who said:

It would be highly unusual to not go higher after breaking a big level like 6k.

Moreover, it was the $6,000s last year that held as strong support for months until finally giving in mid-December plunging to its yearly low.

Therefore, breaking the $6K level, this time (from the other direction) could be just as crucial in confirming a new bull market.

Bitcoin Stronger in 2019 Than Ever

Meanwhile, Bitcoin’s fundamentals are stronger than ever with record highs across key metrics such as on-chain transactions, hash rate, block size.

The halving, 380 days away, may already be putting upward pressure on price. Also worth noting is the lack of media hype compared to the end of 2017. This may suggest that the market is now more mature, not as hype-driven and much more robust this time around.

Overall, BTC still has to pare 70 percent to revisit its $20,000 all-time high. But while it’s still too early to proclaim a new bull market, breaking $6,00 is a huge boost for the bulls in 2019 that has even bearish traders now changing their tune.

The total cryptocurrency market cap is now just under $190 billion while the Bitcoin dominance index has risen slightly to 57 percent.

What price will officially herald the bull market? Share your thoughts below!


Images via Shutterstock, Tradingview.com 

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Bitcoin Economic Activity Now 30% Higher Than At $20K Price

While Bitcoin transactions per day have hit a fresh 2019 high, a “better indicator” measuring transaction outputs reveals that economic activity on the BTC blockchain is currently at a record high.


Another New Bitcoin Daily Transaction High for 2019

It took less tha a month for the Bitcoin blockchain to set another new high for this year with over 404,000 daily confirmed transactions, according to Blockchain.com.

At the end of March, Bitcoinist reported that the number of confirmed Bitcoin transactions per day hit a new 2019 high to nearly 400,000.

This is the highest network activity since BTC price 00 was well above $10,000 USD in early January 2018.

At the same time, transaction fees today are roughly five times lower (in satoshis per byte) than they were at the beginning of 2018, the latest data shows.

Thus, block space optimization via SegWit is proving to be a successful scaling strategy for the meantime despite the network now processing more transactions on average.

‘Transactions’ Do Not Paint The Whole Picture

Meanwhile, a new resource tracking the number of Bitcoin transaction outputs per day could provide a more accurate picture of economic activity.

An output essentially contains instructions for sending bitcoins. Its value is the number of satoshis (1 BTC = 100,000,000 satoshi) that this output will be worth when claimed.

Looking at the number of outputs per day, therefore, may serve as a better indicator of overall economic activity since one confirmed transaction can contain many outputs from multiple entities.

In other words, the number of total outputs is more indicative of actual economic activity. So only looking at the number of transactions misses an important part of the picture.

For example, large players such as exchanges use a process called “batching.” This essentially combines multiple outputs into one batch or transaction to reduce overall transaction fees.

A Better Indicator Presents an Even Better Picture

Looking at the outputs per day presents an even more optimistic picture of Bitcoin network activity. It currently stands at 1,067,904 outputs per day, the highest in Bitcoin’s history. This is also about 2.8 outputs per confirmed transaction.

Despite today’s price of bitcoin being roughly 70 percent lower than in December 2017, the number of daily outputs is actually about 30 percent higher than during its historic bull-run to $20,000.

What’s more, other key network activity indicators such as hash rate is also five time higher than in late 2017.

So what does this all mean?

For one, Bitcoin is fundamentally a lot stronger and more secure than it was at its price peak.

Secondly, it also suggests that real network growth simply could not keep up with the hype and runaway price in 2017.

Thirdly, the price ‘crash’ of 2018 was simply a return to the mean as network fundamentals caught up.

Fortunately, the Bitcoin network is in much better shape today displaying healthy growth. It is more secure and more active compared to 2017 as it now settles trillions in value per year. This also doesn’t even include the growing off-chain activity such as that on the Lightning Network.

Therefore, while Bitcoin is no stranger to volatility, it’s probably a good bet that Bitcoin can only go up from here.

Will bitcoin price eventually catch up to Bitcoin’s fundamentals? Share your thoughts below!


Images via Shutterstock, outputs.today, blockchain.com

The post Bitcoin Economic Activity Now 30% Higher Than At $20K Price appeared first on Bitcoinist.com.

Bitcoin is Up an Eye-Popping 720,000,000% Since Its First Recorded Price

The price is what usually comes to mind first when people talk about Bitcoin. But what was the first ever recorded price of a single bitcoin? And how much it has appreciated since?


Bitcoin Leapfrogs Evolution of Money

The evolution of money has historically gone through four key stages. From collectible to a store of value and then to a medium of exchange, and finally a unit of account (such as the US dollar today).

What makes Bitcoin unlike any type of money before it is how quickly it became an exchangeable good. Historically, it took eons for people to come to a consensus on a medium of exchange.

But then the internet changed everything. However, up until 2009, it still lacked a way to transfer value as it does with information.

Bitcoin, being digital, borderless and censorship-resistant, allowed it to leapfrog these evolutionary stages in just a few years. In contrast, it has taken gold thousands of year to transition from a collectible to a medium of exchange and a unit of account (i.e. gold coins).

trace mayer

“It started as a collectible [in January 2009] because Satoshi and Hal Finey had it and they had mined the first couple of blocks,” explains Bitcoin investor, Trace Mayer, in an interview with To the Moon host, Max Keiser. 

And then Satoshi sent Hal some bitcoin…and within a week someone set up an exchange where you could actually trade bitcoins for dollars. That began to establish an exchange rate ratio.

In other words, whereas gold took millennia, bitcoin has jumped “from nothing basically to a $65 billion dollar market cap” in just ten years, notes Mayer.

Bitcoin Records Its First Ever Spot Price

Within a year after its official launch, the price of bitcoin was first published by the New Liberty Standard on October 5th, 2009. On this date, one dollar equaled to 1,309.03 BTC

BTC/USD also ‘crashed’ afterward. Its all-time record low was roughly 1,630 BTC per dollar on December 12, 2009. Though it’s safe to assume that not too many people bought this dip as only a handful even knew bitcoin existed at the time.

Today, the price of one bitcoin is around $5,500 USD and with millions of users around the globe. While the inflationary fiat dollar has ‘crashed’ against bitcoin, down to a minuscule fraction of about 0.00018 BTC today. 

In other words, the price of bitcoin has appreciated a staggering 720,000,000 percent in just a decade since its first ever recorded price. 

‘It’s Shaken the Planet to Its Core’

Yes, even a few bucks in 2009 would have got you thousands of BTC making you a billionaire today.

“If only…”

Of course, it was much harder to acquire bitcoin then. Your best bet was to directly get some from the small circle of people first using it, Satoshi Nakamoto included.

“…It was very early in the process of bitcoin when it jumped from collectible to exchangeable good,” explains Mayer. “So the idea of using this protocol as money was there right in the beginning.”

Then the technology started spreading, slowly at first, as small online exchanges began to spring up. Unsurprisingly, however, these digital units of scarcity have managed to integrate rather quickly in the era of smartphones and high-speed internet. 

This has also allowed Bitcoin to mimic the history of gold as a store of value and money but in a much, much shorter timespan.  

By being digital and easily transferrable over the internet, Bitcoin spread like wildfire. Today, it is processing hundreds of thousands of transactions a day and settling billions of dollars. What’s more, it is doing it in a decentralized way, peer-to-peer while minimizing the need to trust any central authority.

“It’s a huge deal now. It’s shaken the planet to the core,” adds Mayer.

Today, even the head of the IMF, Christine Lagarde, admits Bitcoin and cryptocurrency as a whole is a huge deal with disruptive potential. She recently said

I think the role of the disruptors and anything that is using distributed ledger technology, whether you call it crypto, assets, currencies, or whatever … that is clearly shaking the system.

We don’t want innovation that would shake the system so much that we would lose the stability that is needed. 

Will Bitcoin continue to see astronomical gains over the next decade? Share your thoughts below!


Images via Shutterstock, coin360.com

The post Bitcoin is Up an Eye-Popping 720,000,000% Since Its First Recorded Price appeared first on Bitcoinist.com.

Next Stop $6000? Bitcoin Price Hits New 2019 High

Bitcoin price has broken through key resistance reaching $5,600, a new 2019 high. This new level also adds further weight to the increasingly prevalent sentiment that the market is turning bullish.


Bitcoin Price Hits Fresh 2019 Highs

Bitcoin price (BTC) 00 has hit fresh 2019 high breaking key resistance at the previous high of $5450. Bitcoin now truly appears to be climbing out of a bear market that began in January 2018 when the cryptocurrency saw its all time high of nearly $20,000.

As Bitcoinist market analyst FilbFilb noted yesterday,

…[A]ll indicators suggest that Bitcoin wants to continue higher and all that is required is more of the same buying pressure over the next couple of weeks, which would potentially lead to a retest of the old support at $6000. Failing that, the $4000 level is now likely to act as strong support if it is tested.

This bullish scenario appears to be playing out. Now, bitcoin price is eyeing the $6,000 level, which will likely determine where the market is ultimately headed this year.

Breaking $6k could be the final nail in the coffin for the bears too. This level is critical. It was the $6,000 range that served as support for nearly four months from August to November 2018.

Today, Bitcoin is up over 60 percent from the lows record during the first week in February and 58% from last year’s low. These gains also mean that BTC is now outperforming most traditional stocks, commodities, NASDAQ, and the S&P 500 so far this year.

Incoming Golden Cross?

Additional fuel for Bitcoin may come from a ‘golden cross’ or when the 50-day moving average moves above the 200-day MA, a very bullish signal.

bitcoin price golden cross

Overall, market sentiment is clearly shifting. As Bitcoinist reported yesterday, even bearish traders are starting to flip.

Up until recently, prominent Bitcoin market analyst Murad Mahmudov, for example, was bearish on BTC/USD, saying he doesn’t expect a new bull-run until Q2 2020. Today, he is 75 percent sure the bottom is in.

Additionally, analyst Tone Vays has also lessened the chances of his predicted $1k bottom to 40 percent. Meanwhile, Willy Woo, says that he’s 95 percent certain the bitcoin price bottom occurred in mid-December 2018.

While earlier this month, veteran trader, Peter Brandt, who called Bitcoin’s $20K top,” says it wouldn’t surprise him if Bitcoin price enters a new parabolic phase.

Numerous Indicators Suggest the Market Has Turned

More good news for the bulls are also coming from numerous indicators. The Mayer Mutliple (MM), for example, has risen above 1.0 signaling the establishment of a long-term bottom for bitcoin price.

Rising institutional interest, return of Korea’s ‘Kimchi premium‘ and Chinese traders paying a markup for Tethers, allowing easier access to crypto markets, are among the other signs pointing to a Bitcoin uptrend.

Meanwhile, Bitcoin’s fundamentals are stronger than ever while the halving, which is expected to reduce sell-pressure on the market, is now less than 400 days away.

It’s still too early to definitively say that Bitcoin is now in a bull market. However, the number of positive signals is certainly increasing with each day.

Is the Bitcoin bear market finally over? Share your thoughts below!


Images courtesy of Shutterstock, Tradingview.com

The post Next Stop $6000? Bitcoin Price Hits New 2019 High appeared first on Bitcoinist.com.

Think Your Altcoin Will Beat Bitcoin ROI? Then Don’t Look at This Chart

bitcoin investment eye

Bitcoin dwarfs every other altcoin when it comes to return on investment (ROI) since initial exchange listing, data shows. Had you threw in just $100 bucks into BTC in 2010, you would be a millionaire today.


Bitcoin ROI Shows Why They’re Called ‘Altcoins’

A new visual graph from DataLight perfectly illustrates just how impressive Bitcoin ROI (return on investment) has been over the past decade.

Buying just $100 USD worth of Bitcoin in mid-2010 would have netted you a cool $1.3 million today. That is, if you managed to ‘hodl’ instead of ‘sodl’ your precious bits until today.

By comparison, every other cryptocurrency has been dwarfed by BTC when it comes to ROI since being first listed on an exchange.

Granted, when it comes to trading on exchanges, Bitcoin has an almost 3 year head start even on Litecoin, one of the oldest ‘altcoins’ and the first to use the Scrypt hashing algorithm. But for those banking on the ‘silver to Bitcoin’s gold’ to beat Bitcoin’s returns anytime soon may be out of luck.

Certainly, Litcoin has seen some impressive rips in recent years. However, the price of Litecoin has had a much different trajectory while being at the mercy of BTC market cycles.

For example LTC/USD peaked at around $35 in November 2013. These same price levels then repeated in July 2017….and again in January 2019. This is more reflective of speculative, pump-n-dump behavior than a (secondary) store of value.

Bitcoin, on the other hand, stands out  as it continues to post higher highs after every bubble making it the perennial leader of cryptocurrencies today.

Ethereum (ETH) 00 has been the best performing altcoin since its exchange debut in 2015. One hundred bucks into Ethereum would have netted you roughly $68,000 today at around $170 per ETH. Though, undoubtedly, this figure would be much higher at Ethereum’s all-time high of nearly $1,400 in January 2018.

Bitcoin-branded forks like Bitcoin Cash, meanwhile, have fared even worse, actually depreciating in value since their inception.

Bitcoin Apples to Altcoin Oranges

More recently, Bitcoinist highlighted the stellar performance of Binance Coin (BNB) 00, which has skyrocketed in value since launching in mid-2017. In fact, it has become the first cryptocurrency to surpass the January 2018 all-time high.

At the same time, comparing in-house digital tokens like BNB (and pretty much every other ‘alt’ with a foundation or a company behind it) to Bitcoin is like comparing apples to oranges.

In fact, every single altcoin is paired against bitcoin by default for a reason. Admittedly, some altcoins have performaned marvelously against BTC since their inception, particularly on shorter timeframes.

But as the saying goes: the faster they rise, the faster they fall.

That’s because their low market caps on exchanges are both a weakess and a strength. In bull-markets, for example, a lower cap means a coin can be pumped much easier allowing it to outpace the gains of high cap cryptocurrencies like Bitcoin.

On longer timeframes, however, the story repeats over and over again as Bitcoin demonstrates who’s king.

#REKT? Not With Bitcoin! Yearly ROI On Largest Cryptocurrency Still Tops 150%

Think Your Favorite Altcoin Can Beat BTC? Good Luck.

Therefore, it is no surprise that Bitcoin, being a truly leaderless, decentralized and open-source cryptocurrency, has attracted the most network effect and hashing power to be the most secure blockchain today.

Subsequently, this give investor confidence more confidence in Bitcoin above all. It also means that it’s the de facto choice for trustlessly transferring value over any other cryptocurrency regardless of fees.

It’s also no coincidence that the SEC is considering approving a Bitcoin ETF only. It’s why Bitcoin trading instruments have been the first to hit traditional markets; and why investors are increasingly calling it ‘irresponsible’ not to have exposure to BTC in 2019.

In fact, data has shown that allocating only 1 percent of one’s portfolio to bitcoin historically outperforms the S&P 500, gold and US Treasury bonds.

But, more importantly, it also highlights the possibility of a Lindy effect, suggesting that the ‘internet of money’ could be a zero sum game. If so, then betting on ‘the next bitcoin’ looks more like gambling. Whereas bitcoin is increasingly becoming the safer play and one of the best investment opportunities in generations.

As InterchangeHQ cofounder, Dan Hedl says:

You think the altcoin you’re holding will beat Bitcoin’s return? Good luck.

Is investing in altcoins a good strategy compared to only bitcoin? Share your thoughts below!


Images via Shutterstock

The post Think Your Altcoin Will Beat Bitcoin ROI? Then Don’t Look at This Chart appeared first on Bitcoinist.com.

Bitcoin Price Volatility Soars 200% in April

Bitcoin price volatility has tripled over the past 30 days as BTC/USD has made an impressive push above the $5,000 mark. At the same time, overall volatility is actually in decline as Bitcoin adoption spreads. 


Bitcoin Price Volatility Triples in April

The volatility of bitcoin price has surged nearly 200 percent from a monthly low of 1.26 percent to 3.31 between April 1 and April 2, according to Bitvol.info. Currently, the volatility stands at 3.54 percent.

bitcoin price volatility

This occurred as BTC/USD skyrocketed by 22 percent in just the span of one hour propelling the cryptocurrency above $5,000 for the first time in 5 months.

Since the early April surge, the price has remained in a relatively tight range between $4,900 and $5400 amid bullish forecasts and other indicators possibly signaling a market bottom.

Bitcoin Volatility Decreasing With Time

The given volatility index gauges the price movement of BTC price over the past 30 days. Currently, the volatility stands at 3.54 percent, the highest in 3 months.

Overall, bitcoin price volatility has actually been declining over the years. In fact, 2018 was one of the least volatile periods in Bitcoin’s history despite an 80 percent drop in USD value.

Last year, the volatility index remained under 4 percent for most of the year. The only exceptions being the tail-end of the January 2018 crypto market price peak and the November-December period when BTC/USD saw a steep plunge below the $6,000 mark.

bitcoin price volatility

Data from the past 8 years shows a clear downtrend in overall spot price volatility. Despite the 80+ percent changes in bitcoin price in 2018, today’s fluctuations are nothing compared to Bitcoin’s early years when the price could easily move +/- 100 percent in a single day.

No One Wants a Stable Bitcoin

One of the most common criticisms of Bitcoin is that it is too volatile. Its wild fluctuations in price, the argument goes, means it cannot be money. Because its USD equivalent value transferred can diminish (or rise) in seconds.

This concern falls flat though because this problem is solved by BTC payment processors, stablecoins and other solutions.

At the same time, fluctuations in spot price shouldn’t be too surprising as bitcoin emission doesn’t follow typical supply and demand. This is why many traders and investors actually love the chaos of bitcoin price 00 volatility. When price moves, everyone pays attention.

It is these volatile days, in particular, that have given traders the biggest returns, compared to the rest of the year. This is the time of maximum opportunity and likely why having a low time preference and ‘hodling‘ — instead of trying to time the market — has proven to be a successful strategy for many Bitcoin investors.

Volatility Boosts Bitcoin Awareness

As Bitcoinist previous reported, overall interest in bitcoin also lags behind price moves. Google search trends over the past month reveal that the phrase “buy Bitcoin” spiked a day after the price surge caught everyone off guard.

As price moves (in either direction), people want to know why. What is Bitcoin? Should they buy now? Should they sell? Why is it rising so fast?

Moreover, virtually everything in the cryptocurrency space mirrors the bitcoin price chart. From website traffic to trading volume, to the number of headlines seen in the press.

Admittedly, the majority of the public is all about ‘when moon?’ and not ‘in it for the technology.’

Unsurprisingly, greed and fear drive the market. Luckily, humans have the ability to learn from experiences.

Educating yourself about what bitcoin is, why it was created, and historic market cycles could spare you the FOMO (fear of missing out) next time around. It could also help prepare for the next spout of bitcoin price volatility and avoid buying high and selling low.

In the meantime, all eyes will be glued to the price of bitcoin as traders wait to catch the next wave.

Is the return of Bitcoin volatility another bullish sign for BTC price? Share your thoughts below!


Images via Shutterstock

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Russia is Realizing It Has No Clue How to Regulate Cryptocurrency

russia duma bitcoin cryptocurrency law

The proposed ‘digital assets’ law aims to “legalize ICOs” in Russia and is expected to be reviewed in May. But lawmakers are slowly realizing the futility of regulating Bitcoin and cryptocurrency that are un-regulatable by design. 


Russia’s ‘Digital Assets’ Bill Would Legalize ICOs

Earlier this week, Russia’s Deputy Finance Minister Alexey Moiseev shared his thoughts on the country’s developing cryptocurrency laws. Speaking on the sidelines at the Economic Forum in Yalta, the Minister says the main aim of the proposed ‘digital assets’ law is to legalize ICOs.

He added that he expects the bill to be reviewed by the Duma in May.

He said:

As I understand, the aim of the proposed law is ICO legalisation. I believe the main goal is to make the ICO—which is a very easy way to raise some capital—convenient for small tech businesses.

The minister also noted that that the topic of anonymity and anonymizing cryptocurrencies (such as Monero etc.) have come up during discussions of the draft law.

“To be honest, I thought anonymity and cryptocurrencies were a thing of the past,” said Moiseev.

But I attended two roundtables at the Gaidar forum and there they said that these secret platforms do exist and can provide full anonymity.

Worth nothing, the latest version of the proposed law removed the definitions of cryptocurrency, tokens and mining. Instead, they are now all referred to in the bill under the general definition of ‘digital assets’ and their related operations.

Paved With Good Intentions

But the proposed law is already under heavy criticism. For example, president of the Russian crypto industry and blockchain association, Yuriy Pripachkin, believes that the proposed law would only add government pressure on the cryptocurrency industry. In result, it will force crypto startups to move to friendlier jurisdictions such as Malta or Switzerland.

If this law passes, then Russia’s central bank will have the sole power to decide which digital assets can be bought by unaccredited investors.

At the same time, the borderless nature of Bitcoin and cryptocurrency in general poses a real problem for lawmakers who are powerless outside of their jurisdiction. Roman Khoroshev, founder of a Russian crypto crowdlending platform, notes:

Undoubtedly, the central bank and lawmakers have good intentions in imposing restriction on unaccredited investors. It is usually their money that typically ends up in the hands of scammers. But the problem is in controlling this process. It’s almost impossible to track as the bill only proposes to regulate the cryptocurrency market within the Russian jurisdiction.

Only for the Accredited Rich

Meanwhile, a different proposed law being reviewed by the Duma expands the unaccredited investor definition to any individual.

To become accredited, an individual must be in possession of assets valued at over 10 million rubles ($150,000 USD). The maximum amount that unqualified investors could purchase will be 600,000 rubles ($10,000).

In other words, not only would the Russian economy not benefit from the rapidly growing cryptocurrency industry, it would also restrict the number of potential investors and all but guarantee the failure of its approved ICOs. 

Russia Still Lacks Legal Framework For Tax

Russia Trying to Regulate the Un-Regulatable

Experts also warn that restrictions on buying digital assets by unaccredited investors will lead to enforcement issues. Indeed, the main building blocks of cryptocurrency are that they’re borderless and decentralized.

Therefore, Russian lawmakers are slowly finding out just how impossible it is to regulate something that is un-regulatable by design. 

Case in point: Russia’s ministry of telecommunication failed miserably at trying to shut down Telegram, a centralized company. Amusignly, lawmakers themselves continued using the messaging app despite the ban.

Attempting to put the brakes on decentralized cryptocurrency, particularly Bitcoin, will make the government look even more impotent. Especially as the same government officials are reportedly quietly buying up bitcoin by the billions.

In other words, the law will lack teeth while introducing a crippling Russian iteration of a ‘BitLicense‘ nation-wide, which “will have nothing to do with the original idea of Bitcoin and blockchain,” according to Khoroshev.

Should countries attempt to regulate cryptocurrencies or embrace them as is? Share your thoughts below!


Images via Shutterstock, minfin.ru

The post Russia is Realizing It Has No Clue How to Regulate Cryptocurrency appeared first on Bitcoinist.com.

More Than Gold: 7 Reasons Why Bitcoin is Prime ‘Digital Real Estate’

Bitcoin itself is already ‘real estate’ on the blockchain by quickly emerging as the first ‘digital property’ for an increasingly digital world.


Bitcoin is ‘The Most Interesting Property’

Forget real estate on-the-blockchain.” Bitcoin already is. In fact, it’s the “most interesting property in the world,” writes General Partner at Blockchain Capital, Spencer Bogart.

Looking closer, many similarities do exist between Bitcoin and real estate. Moreover, Bitcoin introduces some unique advantages that will surely come in handy in an increasingly digital world. 

Bogarts explains that Bitcoin is a technology that “blurs the boundary” between personal property and real property because the distinction is arbitrary to begin with.

How Blockchain Technology is About to Disrupt the Mortgage Industry

It’s Absolutely Scarce

First and foremost, Bitcoin is scarce just like physical property. But it’s unitization into a total of 21 million pieces or bitcoins plot of land fungible. 

Fortunately, there’s no need to compare the pieces: Every piece of this property is the same as every other piece — they’re fungible,” explains Bogart. 

Additionally, Bitcoin’s scarcity is mathematically verifiable. In other words, Bitcoin’s scarcity is absolute. It’s even more absolute than physical territory that can be geologically formed over time, reclaimed, or colonized (in space) in the future etc.

What’s more, this scarcity will become even more palpable with time. Block reward halvings will continue reducing emission asymptotically until 2140. Meanwhile, over 75 percent of all bitcoin have already been mined. While over 4 million are now estimated to be lost.

You Don’t Need Guns or a Wall

Bitcoin introduces other unique attributes that weren’t possible before. Unlike physical real estate, it is both portable and borderless. It also doesn’t require walls or fences to secure. Safekeeping your bitcoins is much easier and cheaper.

A hardware wallet typically costs around $100 bucks on which you can store limitless amounts of value. And the best part is that no one has to know it. 

It’s discrete…nobody would even necessarily know if you were carrying it,” says Bogart. 

It Can Be Moved Around the Globe in Minutes

Digital real estate means your property is now portable in the age of computers. While fungibility makes it alot more liquid than traditional real estate. It’s no coincidence that so many exchanges have sprung up enabling people to trade bitcoin with anyone around the globe in minutes.

Bogart notes:

While it typically costs 8–20% in transaction expenses and months of time to finalize real property transactions, units of this particular property can be transacted for a fraction of 1% — and can be completed in minutes.

bitcoin globe world

It’s Programmable, Non-Discriminatory, Un-Seizable

This ‘digital real estate’ is also programmable empowering the owner to set who can access or use it and for how long. This brings a slew of benefits and new possibilities (e.g. multi-sig digital contracts) including being-your-own-bank capabilities. 

The ‘digital territory’ is also non-discriminatory by following one simple rule: the owner of the private key controls the property.

In other words, no one can take your digital plot of land from you unless you allow them to. This is nothing short of a breakthrough for objective property rights, undermining dependence on courts and governments.

Bogart notes:

It offers strong assurances for objective property rights, impersonal rules and consistent enforcement of these clearly defined rules.

It’s Quickly Developing and Growing in Value

The aforementioned traits make Bitcoin prime real estate for economic development. In a world that is becoming increasingly digital, the emergence of Bitcoin as ‘digital real estate’ may not only be necessary, but also inevitable.

Programmability, portability, security, fungibility, and network effect, in particular, are distinguishing Bitcoin as the focal point for trustlessly transferring value in the digital age.

bitcoin atm

And just like land along with its natural resources that can be developed to increase its value, Bitcoin is already demostrating tremendous economic growth and growing in price.

Bogart concludes: 

[T]his property is surrounded by economic growth in the form of rapidly expanding and improving infrastructure. Other people are building the bridges, tunnels, and railways that, hopefully, make your property more useful.

Should investors consider Bitcoin as ‘digital property’? Share your thoughts below!


Images via Shutterstock

The post More Than Gold: 7 Reasons Why Bitcoin is Prime ‘Digital Real Estate’ appeared first on Bitcoinist.com.

UK’s Biggest Business Travel Agency Now Accepts Bitcoin

UK’s biggest travel management company is now accepting bitcoin for payments after “increasing demand” from clients. The move also hints that its retail travel giant parent-company Flight Centre Group could soon accept BTC company-wide.


UK’s Biggest Travel Management Company Accepts Bitcoin

Corporate Traveller is the UK’s largest travel management company dedicated to partnering with companies with small – medium travel spend requirements.

Now it will be accepting Bitcoin (BTC) and Bitcoin Cash (BCH) payments for its services via third-party payment processor BitPay.

Corporate Traveller UK General Manager, Andy Hegley said:

We identified an increasing demand from our clients for the option to pay in Bitcoin for business travel bookings made by our travel consultants.

“We chose BitPay to manage our merchant processing because they make it easy and handle the entire process of getting the Bitcoin or Bitcoin Cash from the customer and depositing cash into our account,” said Hegley.

By using BitPay, Corporate Traveller won’t be subject to bitcoin price volatility. The tradeoff, however, is that it won’t benefit from Bitcoin network’s speed (10-30 minutes) since BitPay’s settlement into GBP will take about 2 business days.

Ultimately, though, accepting bitcoin seems more like a PR move. BTC is merely just another payment option for the company who still receives fiat into their bank account without ever handling bitcoin.

Hegley adds:

The blockchain industry is growing exponentially and we are excited to be able to offer our clients the ability to pay in bitcoin, whilst having the reassurance of our settlement from BitPay being in pounds sterling.

We believe Corporate Traveller is the first business travel management company to offer this payment option to SMEs in the UK.

Flight Centre Travel Group Next?

Corporate Traveller operates offices in 20 locations across the UK. At the same time, its parent company Flight Centre Travel Group (FCTG) is the largest retail travel service provider in Australia.

flight centre uk accept bitcoin

The Brisbane-based retail travel outlet is listed on the Australian Stock Exchange and has around 2,800 retail locations globally. Besides Australia and the UK, it has presence in New Zealand, United States, Canada, South Africa, Hong Kong, India, China, Singapore, United Arab Emirates, and Mexico.

Corporate Traveller, therefore, is testing the waters for possible company-wide adoption of bitcoin.

“All the time people ask if we accept Bitcoin… Mainly international students and tourists already here trying to book more flights,” an employee at an Australian fight centre travel agency explained.

Management knows about it, they’ll probably see how it goes at Corporate Traveller, before they let our customers pay with Bitcoin.

Travel Industry Pioneering Bitcoin Adoption

Paying with bitcoin for flights, hotels and travel services in general, has already been possible for years. One of the first companies to pioneer bitcoin acceptance since 2014 was CheapAir.

TravelbyBit to Integrate Binance’s BNB Coin Across all Merchants

Last year, CEO Jeff Klee told Bitcoinist that accepting bitcoin has been a “positive experience” for the company, despite issues with third-party payment processors.

Open-source (and self-hosted) solutions such as BTCPayServer can provide merchants with a more custom solution while retaining more control over the processing experience such as better fee estimation.

Kllee explained:

Every new payment method has its own challenges, but accepting Bitcoin has been quite a positive experience for CheapAir overall. Any technical challenges we’ve faced have been overcome, and have mostly been met with patience and an overall team mentality from the BTC community.

Other platforms such as Travelbybit, and even airlines such as Japan’s Peach and AirBaltic have been accepting bitcoin for quite some time now.

Klee also believes that “the longer crypto currencies are around, the more stable they seem and the more likely we’ll see additional buy-in from other travel retailers.”

Before long, crypto will just be another form of payment. It’s going to happen.

Will Flight Centre Travel Group accept bitcoin company-wide? Share your thoughts below!


Images via Shutterstock, Corporate Traveller

The post UK’s Biggest Business Travel Agency Now Accepts Bitcoin appeared first on Bitcoinist.com.

4 Reasons Why Delisting BSV Was the ‘Right Thing to Do’ for Binance

binance dex

Binance delisting Bitcoin SV (BSV) is forcing other exchanges like Kraken and Shapeshift to follow. Let’s take a look at the implications of this unprecedented move for the world’s biggest exchange. 


‘Satoshi’s Vision’ Should Have Seen It Coming

Yesterday, the biggest bitcoin exchange by volume, Binance, announced it would delist Bitcoin SV (BSV) in a stunning move. Citing the failure to meet high standards, CEO Changpeng ‘CZ’ Zhao pulled the plug on the altcoin claiming to be the ‘original’ Bitcoin.

CZ first issued a warning last week after BSV financiers Craig Wright and Calvin Ayre threatened to sue a member of the Bitcoin community for libel.

changpeng zhao cz binance

“Craig Wright is not Satoshi,” Zhao retaliated. “Anymore of this sh!t, we delist!”

Bit the sh!t kept flowing. Ayre and some other BSV supporters even urged the CEO to follow through with the threat calling Binance “a scammy bucket shop.”

Finally, Binance dropped the bomb on Monday, which CZ said was “the right thing” to do.

The news was largely received with praise by online commentators. Ayre, however, was indignant calling the move “unlawful.”

Kraken Will Likely Delist SV Next

As Bitcoinist reported, last week, Morgan Creek cofounder Anthony Pompliano called on every major exchange to delist BSV “simultaneously” on May 1st.

But with Binance pulling the trigger much earlier, other companies are already following suit.

Blockchain announced it would drop support by May 15th. “After careful consideration, we have determined to end all support of BSV within the Blockchain Wallet by May 15, 2019,” they wrote.

Shapeshift also jumped on the bandwagon delisting the altcoin much sooner.

“We stand with Binance and CZ’s sentiments,” wrote CEO Erik Voorhees.

We’ve decided to delist Bitcoin SV from Shapeshift within 48 hrs.

Bitcoin exchange Kraken, meanwhile, revealed it’s also considering taking action. It posted a public poll asking whether BSV should be removed.

With over 61 thousands respondents so far, the result suggest that Kraken will be the next major exchange to drop BSV. Overwhelmining, more than 70 percent said that Kraken should delist the altcoin saying, “Yes, it’s toxic.”

Interestingly, Kraken may have even more reason to remove BSV. As Bitcoinist reported last December the exchange was sued by UnitedCorp over an alleged complot to hijack the Bitcoin Cash network following a highly contested hard-fork that spawned BSV.

4 Reasons Why Binance Will Benefit

Ultimately, the decision to drop BSV could bring a slew of benefit for world’s biggest exchange for many reasons.

First, BSV trading volume on the platform was negligible. With Binance supporting hundreds of altcoins, dropping such a low volume coin will not hurt their business.

In fact, the number of actual BSV users is dwarfed even by its forked rival BCH. Its hashrate, despite courting miners, is a miniscule 1.6 percent of Bitcoin’s. Moreover, Bitcoin SV price 00 plunged immediately following the news by over 20 percent revealing its tenuous market presence.

Second, the delisting gained Binance a lot of ‘street cred’ from the community. By removing a coin that was synonymous with lawsuits, fraud and ‘Faketoshi,’ the exchange sets a precedent of industry self-regulation.

Third, it establishes Binance as the de facto leader among exchanges. By following through with his warning, the CEO demonstrated that he will defend his principles, like a true leader is expected to do.

Fourth, BSV is now a pariah. This means that other exchanges who *do not* delist it moving forward will lose credibility in the eyes of the public, further strenghtening Binance’s position.

Case in point:

Will delisting BSV benefit Binance in the long run? Share your thoughts below!


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Bitmex CEO: ‘You’ll Be Able to Use Bitcoin and Purchase the S&P 500’

s&p 500 stocks bitcoin

Bitmex CEO, Arthur Hayes, revealed that his platform wants to launch Bitcoin-backed short term bonds. He also wants to allow buying S&P 500 and Nasdaq QQQ indices with BTC, particularly by people in emerging markets.


‘You’ll Be Able to Use Bitcoin and Purchase the S&P 500’

Speaking in an interview with Luke Martin on his Venture Coinist podcast, BitMEX CEO Arthur Hayes revealed that he’s looking to launch bitcoin backed short term bonds and other BTC-backed financial products. Hayes said:

I want to create a future where the highest quality exchanges and miners… issue short-term Bitcoin bonds to the ecosystem.

“So, let’s say you want to buy some 30-day paper. Why can’t you buy a BitMEX 30-day zero-coupon bond that yields some rate of interest that reflects the market’s determination of our credit risk?” he added. 

The Bitmex CEO explained that in the next few months, his team will be working out the specificiations for this new type of bond.

What’s more, Hayes says that Bitmex has funded a new startup that will allow people to invest in S&P 500 and popular Nasdaq stocks using bitcoin without ‘Bitcoin-USD risk.” 

…Hopefully, by summer of this year, you’ll be able to use Bitcoin and purchase the S&P 500 and Nasdaq QQQ indices… and essentially, you won’t have Bitcoin-USD risk. You’ll send bitcoin. They’ll FX it into dollars, and allow you to buy a swap. And when you want to leave, you’ll sell the swap, get back dollars, and then you can get back your bitcoin.

According to Hayes, this bitcoin-backed product would open up “the most liquid and notable indices in the world” to emerging markets, in particular.

“So, this is hopefully going to allow people in emerging markets…to use their Bitcoin to access traditional equity indices,” he explained. 

Why Bitcoin is Key for Bitmex

Hayes also discussed why Bitcoin technology is so important to BitMEX and why it’s the main reason for his company’s success

gbtc wall street bitcoin

For one, Bitmex only takes bitcoin as collateral. This allows it to onboard a customer within 10 minutes, says Hayes. This is because Bitmex can process a deposit or withdrawal with no human intervention and without involvement of third-parties such as a bank. 

Bitcoin also allows Bitmex to be more financially flexible, such as being able to offer 100X perpetual swaps. The Hong-Kong based platform launched its ETH-USD perpetual swaps in August 2018.

Hayes says that in just two months, it became the most liquid ETH-USD trading instrument.

“From a speculator’s point of view, this is great,” he said. “I have Bitcoin and I want to speculate on Ether vs. USD price, and I want to get my money back in Bitcoin.”

Bitmex is also looking to launch this product for other altcoins (vs. the USD) as well, said Hayes. The Bitmex CEO also said that users should expect a bitcoin options platform that could launch “maybe in 12-18 months.”

Finally, Hayes stated that Bitmex has no plans to get on the  in-house token bandwagon like Binance (BNB) or Huobi.

It’s complicated in terms of what is the legality around that token: is it a security?… We have more than enough issues to deal with… than creating a whole set of issues because we issued our own token for money that we don’t need and new problems that we don’t need to have.

Will Bitmex’s Bitcoin-backed products open institutional grade trading to illiquid markets? Share your thoughts below!


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Julian Assange Receives Nearly $30K in Bitcoin Donations Since Arrest

julian assange wikileaks bitcoin

The arrest of Julian Assange has caused an uproar around the world resulting in donations pouring in. The WikiLeaks defense fund has already received roughly $20,000 dollars in bitcoin donation in just 24 hours.


Julian Assange Sees Donations Flowing

Julian Assange, who had been living at the Ecuadorian embassy in London for seven years, was arrested Thursday morning after the country’s president rescinded the WikiLeaks founder’s asylum status. 

Assange’s eviction has caused an uproar across the globe. WikiLeaks editor-in-chief Kristinn Hrafnsson and Edward Snowden both said the arrest marks a “dark day” for press freedom.

Personalities who regularly supported Assange and WikiLeaks for exposing corruption by governments and top-level organizations rallied people to donate to the WikiLeaks defense fund.

It currently accepts Bitcoin, ZCash, as well as traditional payment methods including bank cards, and even cash or cheque.

As Bitcoinist reported yesterday, the wallet address for BTC donations jumped to a balance of 2.61 BTC ($13,200 USD) with around 20 transactions occurring moments after Assange’s arrest. Over the past 24 hours, nearly 140 more donations were received. 

The total at press time is approximately 7.94 BTC or over $31,000 dollars and counting. 

Bitcoin as ‘Free Speech Money’

Julian Assange had previously shown his support for Bitcoin despite some previous opposition from the industry itself. In Apil 2018 US cryptocurrency exchange Coinbase suspended WikiLeaks’ use of its services to much backlash.

In turn, WikiLeaks accused the San Francisco-based cryptocurrency exchange of ulterior political motives and obeying a “concealed influence.” It also called for a boycott of Coinbase, while continuing to accept Bitcoin donations directly. 

WikiLeaks initially began accepting bitcoin after many credit institutions, banks, and payment services like PayPal and Visa withdrew support in 2010.

Since then, several other companies such as social network Gab have followed WikiLeaks’ example. Dubbing it “free speech money,” the platform began accepting bitcoin as a way to transfer value without political interference.

Over $22 Million Donations in BTC and Counting

Bitcoin has indeed proven to be a boon for WikiLeaks and Julian Assange. Not only has it allowed to bypass censorship and political influence, but the donations have also skyrocketed in value as bitcoin price increased a staggering 103,000 percent over the past 7 years.

By 2017, the organization had received over 4,000 bitcoins that were worth over $22 million. In result, Assange ‘thanked’ his organization’s adversaries for introducing WikiLeaks to bitcoin, saying:

My deepest thanks to the US government, Senator McCain and Senator Lieberman for pushing Visa, MasterCard, Payal, AmEx, Mooneybookers, et al, into erecting an illegal banking blockade against WikiLeaks starting in 2010. It caused us to invest in Bitcoin — with > 50000% return.

At the end of the day, accepting Bitcoin really paid off for the non-profit. It also played a crucial role in keeping WikiLeaks alive and kicking throughout the past decade.

What do you think about Julian Assange’s arrest? Let us know in the comments below!


Images via Shutterstock, WikiLeaks

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Russia’s ‘Gold-Backed Crypto’ Would Lose to Bitcoin, Says Kremlin Economist

Russia to Issue First State-Backed Cryptocurrency 'CryptoRuble'

Russia and China buying up gold may be setting the stage for a gold-backed cryptocurrency, suggests a former EU minister. However, such a scheme would still be inferior to Bitcoin, according to Russian economist Vladislav Ginko. 


Russia Targets ‘Monetary Reset’

Russia was the biggest buyer of gold last year and has quadrupled its gold reserves over the past decade. In fact, the country has ramped up its buying spree in recent years, in particular, after US-led economic sanctions were imposed in 2014. 

Notably, Russia’s central bank added 651.5 metric tons in 2018 — 74 percent higher than in 2017, according to the World Gold Council. It is estimated that the country now holds approximately 34,000 tons of gold.

But Russia isn’t alone. China showing similar behavior buying 32.95 tons of gold in Q1 2019.

So why are the two neighboring superpowers so bent on boosting their gold reserves?

Bruno Maçães, former Europe minister of Portugal, says that while there’s no formal coordination, the two countries can expect mutual benefits in undermining the US dollar as a world reserve currency.

The sheer size of the purchases might reveal bolder motives, with Moscow preparing its first salvo in the coming battle for a monetary reset,” he adds.

Russian ‘GoldCoin’?

But Maçães also suggests that this potential ‘reset’ could also have ulterior motives. He writes:

These moves come at a moment when gold has become attractive as the anchor for new experiments in digital currencies. Gold and crypto are a marriage made in heaven, combining the stability of gold with the convenience and security of the blockchain.

These digital tokens would circulate on a global online platform and and would be “entirely backed by gold reserves held in an international trust insulating them from state interference.”

Interestingly, he notes that private financial institutions would be responsible for creating these ‘goldcoins’ and would therefore ultimately control the supply. At the same time, transactions would be peer-to-peer.

Money transactions would be processed directly between end users, with no intermediation from banks or governments.

There’s Just a Few Problems

However, the former EU minster displays only superficial knowledge of blockchain technology. For one, calling it a ‘blockchain’ doesn’t automatically make the network “convenient,” let alone “secure.”

Secondly, its node software must be distributed between peers all over the globe. It cannot be limited to a few datacenters operated by a handful of private insitutions. Such a scheme re-introduces central points of failure making it a cryptocurrency in name only.

In other words, one can’t just flip a switch to activate a secure and trustless blockchain. It takes years if not decades for the network effect to make it viable and valuable (think: internet).

Thirdly, regardless of relative price stability, gold’s physical properties still entail costs of transfer, storage, and trust.

The latter, in particular, would be a big problem for Russia. To wit, gold isn’t a risk-free asset when it comes to geopolitics. Venezuela, for example, learned this lesson the hard way earlier this year.

“[G]old is a US based asset and the experience of Venezuela has shown that in case of severe financial US sanctions Russia might also face the sell of gold would be impossible since such a deal would require USD nominated transactions,” Kremlin economist, Vladislav Ginko, told Bitcoinist.

‘Gold is Highly Risky’ Unlike Bitcoin

Bitcoin, on the other hand, has been battle-tested for over a decade. It’s blockchain is secured by a staggering amount of increasing computing power, making it the de facto ‘metric system’ of cryptocurrencies today.

Moreover, despite price volatility and being ‘unbacked’ — one bitcoin will always equal one bitcoin. But more importantly, there’s no central authority that can change the rules. This makes it the world’s most politically-nuetral form of money ever and an ideal foundation to build not only applications but a new global economy.

Ginko, who previously stated that Russian have bought over $6.8 billion in bitcoin for these reasons, agrees.

“Bitcoin goes well so Russia doesn’t consider issuing gold backed stablecoin since gold is USD based asset. And its valuation and opportunities to sell this asset might be very limited in case of new US sanctions,” he said.

Gold is highly risky, unstable asset for Russia.

So then why is Russia buying so much gold if the precious metal is still largely controlled by the US?

Ginko says the reason has more to do with its domestic gold mining industry. He explained:

The gold accrual by Russia’s central bank looks significant only in physical terms. But in relative terms this is a minor fraction of total reserves (less 19%). The main reason of Russian gold buying is to support the gold market. In 2018… Russia exported only 5,4% (3,4 times less than in 2017 year) of its gold produced so the huge amount of this domestic metal output was bought out by the central bank.

Will Russia and China attempt to create a gold-backed stablecoin? Share your thoughts below!


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