Proposed Archives -
The nation’s new consumer financial watchdog proposed Wednesday to significantly water down tough pending rules on payday and other short-term loans designed to prevent lenders from taking advantage of cash-strapped Americans.
The proposal by Kathy Kraninger, who became director of the Consumer…
House Speaker Nancy Pelosi has issued a new invitation to President Donald Trump to give his State of the Union speech on Feb. 5, the AP reports. The formal letter Monday suggests Trump will reschedule the speech after it was postponed because of the partial government shutdown. Trump and Congress…
Japan’s top financial regulator has published the final report outlining proposed rules for cryptocurrency service providers to follow. The rules address areas such as hacking incidents, coin listings, financial and price disclosures, margin trading, and crypto custodial services.
Final Report of Proposed Rules
Japan’s Financial Services Agency (FSA) has published the final report from last week’s study group meeting on crypto exchanges detailing requirements “as a precondition of the proper principle of self-responsibility.” The agency expects crypto service providers to follow these rules either by themselves or under the guidance of a self-regulatory organization (SRO). Currently, only one SRO — the Japan Virtual Currency Exchange Association — has been approved by the FSA.
An FSA spokesperson told news.Bitcoin.com on Wednesday:
Based on the discussion of developing systematic approaches towards various issues on crypto-assets … Taking the perspectives indicated by the final report, FSA has been currently conducting comprehensive consideration on the future approaches, including for revising acts.
The requirements cover areas such as risks relating to thefts of customers’ cryptocurrencies when hacking incidents occur, price fluctuations and speculation. The lack of internal control systems amid rapid business expansion of service providers was discussed, along with measures for crypto transaction types such as margin trading that are not covered by existing regulations.
Rules on Crypto Exchange Operations
The report specifies nine areas that need to be addressed relating to the operations of crypto exchanges and service providers. The first proposed rule reads:
Where private keys of customers’ deposited virtual currency are managed online … service providers [are required] to maintain net assets and funds for reimbursement of the same or greater amount. The funds must consist of the same types as the deposited virtual currency.
Secondly, they must “Develop [a] framework to entitle customers to [a] statutory lien that secures their claim to deposited virtual currency.” They must also disclose their financial statements.
In order to ensure proper business operations, crypto service providers need to disclose information relating to trading prices, the report explains. They are also prohibited from advertising, promoting or encouraging speculative trading. Additionally, they must follow the rules set forth by an SRO. The agency noted that registration of non-SRO members that have not established internal rules equivalent to the SRO’s rules can be refused or canceled.
Furthermore, crypto service providers are prohibited “from dealing in virtual currencies that could impede user protection or proper and reliable business operations,” the report reads. The last requirement under this category is for them to notify the FSA “each change of a line of virtual currencies in advance.”
Rules on Margin Trading
The first proposed condition under this category states that a registration requirement for “foreign exchange margin trading (forex trading)” will be imposed on crypto service providers offering margin trading. The same code of conduct “such as the prohibition of unrequested solicitation” will also apply.
Secondly, a limit will be imposed on each cryptocurrency’s leverage ratio “based on [the] actual virtual currency price fluctuations.”
Service providers will also be required to explain the risks specific to cryptocurrencies and set minimum margin amounts. Lastly, crypto credit will follow similar rules as margin trading since they have similar functions and risks, the report details.
The report also outlines rules for crypto custodial services and “unfair acts” in crypto spot trading. All persons and entities are prohibited “from improper conduct, spreading rumors and price manipulation.”
Cryptocurrency custodial services will be regulated going forward. Specifically, the same regulations that currently apply to crypto exchanges will apply to the custody of customers’ cryptocurrencies. Furthermore, the report notes:
Virtual currency exchange service providers [are] to monitor transactions and prohibit transactions aimed at profiting based on nonpublic information.
What do you think of these proposed rules? Let us know in the comments section below.
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Pete Davidson joked he was “0 for 3” in a new ‘SNL’ promo in which he proposed to a new chick — and now we know who the third girl is … Larry David’s daughter. Sources tell us that Pete had proposed to Cazzie David multiple times…
The Walt Disney Co. has canceled plans to build a 700-room luxury hotel near its Anaheim resort, citing the city’s elimination of a tax rebate agreement that would have saved the media giant $ 267 million over 20 years.
The cancellation of the hotel — what would have been the fourth at the resort…
Montana’s second most populous county, Missoula County, has rejected the proposal for a moratorium on cryptocurrency operations. The proposal was first presented at a public hearing in June but was postponed for three months.
Proposed Crypto Moratorium Rejected
Missoula County’s board of commissioners held a public hearing Thursday to decide whether to accept or reject the proposal for a one-year emergency moratorium on new or expanded cryptocurrency operations.
Crypto mining could be limited in the county “under temporary emergency interim zoning,” the Missoulian described. The mining moratorium proposal was first presented at a public hearing in June but the decision was postponed for three months “to give staff more time to consider various options,” the publication added.
After Thursday’s hearing, the county posted a notice on its website stating:
The commissioners voted not to adopt interim zoning, and instead directed staff to investigate the development of regulations targeting the impacts of concern such as noise, electronic waste, and energy.
Jennie Dixon from the county’s Community and Planning Services department revealed that 92 percent of about 80 written comments from 71 individuals supported the moratorium, the news outlet noted.
Attorney Jaymie Bowditch represents Hyperblock Technologies, the parent company of Project Spokane, one of the companies operating a cryptocurrency mining operation in the Missoula town of Bonner. He explained:
In order to approve the one-year moratorium using interim zoning, they [the county] had to show an imminent threat to public health or safety. By extending the public hearing for three months, it showed that no immediate danger was posed.
Commissioner Jean Curtiss was quoted by the publication confirming that “the county doesn’t have the authority that the state or cities may have to regulate one industry using the interim zoning.”
Commissioner Dave Strohmaier commented, “We are talking about the impacts themselves, not necessarily crypto mining as an industry — the noise, e-waste, possible excessive use of electricity that threatens our planet.” He was further quoted suggesting: “It may be that we need a much broader approach because of the potential this would be myopic. But I do have serious concerns about the energy use.”
Crypto Mining in Missoula County
The county has been trying to attract crypto miners to set up operations. According to its website:
Missoula County is an attractive place for locating cryptocurrency mining operations due to the region’s low electricity rates and cool weather which helps to keep equipment from overheating.
The county’s website also details that “Electric utilities that operate in Missoula County report receiving large numbers of inquiries from cryptocurrency mining firms.” Furthermore, there are “two commercial-scale cryptocurrency mining facilities” that are currently operating in the county, “as well as an unknown number of small home-based cryptocurrency mining operations.”
However, the website also points out some concerns regarding “the current and potential adverse impacts of cryptocurrency mining on the public health and safety of its residents.” These impacts include noise pollution, greenhouse gas emissions, electrical system reliability and safety, fire safety hazard, and electronic waste containing heavy metals and carcinogens.
What do you think of Missoula County rejecting the proposed crypto mining moratorium? Let us know in the comments section below.
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Omaui, New Zealand? It’s for the birds—that’s the vision of some people, at least. To that end, officials have come up with a plan to ban cats, blamed for decimating native wildlife, in the coastal village, Newshub reports . John Collins, a major proponent of the plan, tells the Otago…
On August 8, the Bitcoin ABC development team published an announcement regarding the November hard fork changes with plans to finish the latest codebase by August 15. The proposal falls in line with the ABC developer’s upgrade timeline and contains about five different changes that will soon be ready for testing.
Bitcoin ABC Publishes Plans and Consensus Changes for the Upcoming BCH November Upgrade
The Bitcoin Cash community has plans to upgrade the network once again with consensus changes this November. Just recently, news.Bitcoin.com reported on Bitcoin ABC developers announcing they will be releasing new code on August 15th for testing. On August 8, the ABC development team revealed the changes they plan to add to the 0.18.0 codebase that includes about five new features. The ABC developers say there’s only one week left before the official code-completion date and they want to remind and update the BCH community with the latest developments.
The new changes that have been completed and will undergo testing on August 15 include:
- Canonical transaction ordering (more info here)
- Enforcement of minimum transaction size of 100 bytes to prevent attacks on the Merkle tree (more info)
- Activation code and implementation for OP_CHECKDATASIG and OP_CHECKDATASIGVERIFY (more info)
- Make push-only mandatory for scriptsig (more info)
Another change that is currently still in progress, but expected to be ready by next week, is a modified fee structure which would allow a significant decrease in transaction fees. ABC programmers explain that a modified fee structure is not necessarily a strict consensus change, but nevertheless will be included in the 0.18.0 version. In addition to the announcement, the team also published two specifications for the overall hard fork, and for OP_CHECKDATASIG and OP_CHECKDATASIGVERIFY.
Craig Wright: ‘If a Certain Developer Wants This, Then We Will Fund Replacement Developers’
Of course, the announcement from Bitcoin ABC sparked a bunch of controversy due to certain additions within the code changes — most notably the activation of OP_CHECKDATASIGVERIFY (CDSV). Adding the change could allow developers to create binary contracts using the BCH chain, and Bitcoin Unlimited’s lead developer Andrew Stone has been researching and working on implementing the opcode in order to make bitcoin scripting applications more versatile.
One of the most vocal individuals against adding the CDSV opcode is Nchain’s chief scientist, Craig Wright, who spoke out in opposition against the opcode addition right away. Wright explains to his Twitter followers that the opcode is not going to happen, while tagging Coinngeek’s Calvin Ayre and Viabtc’s Haipo Yang in the post as well.
“OP_CHECKDATASIGVERIFY is not happening — If a certain ABC developer wants to push this, then we will just fund replacement developers — Trust me — There are others,” Wright explains after the Bitcoin ABC code announcement.
Miners vote — Think we are not serious. Watch the Axe fall.
There’s been some opposition to Wright’s objection as he already had been arguing with developers about ideas like pre-consensus. When Wright spoke out against pre-consensus, Coingeek’s Calvin Ayre took his side and announced a day later that Coingeek would not participate in any “risky” protocol changes. Coingeek’s mining pool commands a hashrate of around 21 percent of the network over the last seven days. On Thursday, Nchain’s Wright says to his Twitter followers that just like the Nchain team, his friend Calvin Ayre will not allow developers to treat Bitcoin like a toy.
“And like us, Calvin Ayre will not settle for a devs plaything,” Wright emphasizes.
The original base protocol — No experiments — Unlimited unbounded scale.
Will Bitcoin Cash Miners Weigh in on the CDSV Opcode Subject?
Of course, many trolls from the core camp have been trying to use the infighting to cause disruption among the BCH community. Bitcoin XT’s lead developer Tom Harding notes this observation on Thursday saying, “Underway: obvious campaign to sow discord among BCH supporters — Sorry trolls, Bitcoin is Byzantine fault tolerant.” So far there’s been a lot of debate about this subject, but at least BCH supporters know that the subjects are being discussed, rather than one side of the discussion being purposely suppressed by so-called ‘thought leaders’ and forum administrators.
So far there hasn’t been an official response from Coingeek like the one shared the other day concerning pre-consensus changes. Moreover, Calvin Ayre has not said anything yet in regard to the CDSV opcode subject on Twitter, so people will be waiting to hear him weigh in on the CDSV topic. Viabtc’s Haipo Yang made an interesting statement on Twitter following the heated debate on Friday and said:
We need to stop the regular hard fork of Bitcoin Cash. We need stable Bitcoin protocol specification, we need multiple implementations — There should not be dev decide but miner vote.
However, other miners have not made any statements for or against the idea of implementing CDSV. Wright says he cares deeply about the project and people better not get in his way when it comes to protecting the original Bitcoin protocol.
“I care about making bitcoin THE global currency,” Wright details this Friday.
The original Bitcoin protocol — Not a social experiment. If you get in my way… Watch the juggernaut roll!
What do you think about the consensus changes Bitcoin ABC has proposed? What do you think about Nchain’s Craig Wright weighing in on the subject? Let us know what you think about this topic in the comment section below.
Images via Shutterstock, Bitcoin ABC logo, and Pixabay.
At Bitcoin.com there’s a bunch of free helpful services. For instance, have you seen our Tools page? You can even look up the exchange rate for a transaction in the past. Or calculate the value of your current holdings. Or create a paper wallet. And much more.
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The White House said Wednesday that President Donald Trump’s proposed Washington meeting with Russian President Vladimir Putin had been delayed until 2019, citing the ongoing probe into Russian interference in the 2016 election. Putin had already sent signals that the fall White House meeting wasn’t going to happen, the AP…
Those who back the Endangered Species Act won’t be happy to read a quote in the New York Times that sums up a story about its fate: “It’s probably the best chance that we have had in 25 years to actually make any substantial changes,” says Richard Pombo, a congressman-turned-lobbyist…