Image Image Image Image Image Image Image Image Image Image Image Image

| April 21, 2019

Scroll to top

Top

Stablecoin Archives -

Universal Protocol Alliance Launches Interest-Paying Stablecoin UPUSD

March 8, 2019 |

A consortium of blockchain companies including Bittrex International, Brave, Cred, and Bitgo is launching a new stablecoin. Universal Protocol Alliance’s Universal Dollar (UPUSD) is a dollar-pegged token whose holders will earn interest, just like a regular savings account. The consortium has announced ambitious plans to launch UPUSD in Africa and Latin America first, to attract “the next 100 million users into cryptocurrency.”

Also read: Turkish Real Estate Agency Sells 9 Houses for BTC

Crypto Assets That Pay Interest Are So Hot Right Now

Competition for the USD ticker is fierce these days. In addition to TUSD, GUSD, and USDC, the stablecoin economy now has UPUSD. Universal Protocol’s stab at a stablecoin, developed with the backing of Bittrex International, Uphold, Brave, Cred, Blockchain at Berkeley, Bitgo, and Certik, is an ERC20 token that will allow its holders to earn interest for staking. In that respect, there are clear parallels to be made with Blockfi’s crypto interest account, which launched this week promising BTC and ETH holders 6 percent per year. Dan Schatt, president of Cred, told news.Bitcoin.com that UPUSD will pay quarterly interest as high as 10 percent annually.

Universal Protocol Alliance Launches Interest-Paying Stablecoin UPUSD

What distinguishes the Universal Dollar from the competition is the target market it’s designed for. Countries crippled by weakened national currency, such as Venezuela and Zimbabwe, will purportedly be among the first beneficiaries of UPUSD. The Universal Dollar stablecoin promises a “competitive annual rate of return” and it is anticipated that uptake will be particularly strong in countries with high inflation or limited access to traditional banking. Dan Schatt explained:

Today, Uphold and Cred service hundreds of thousands of users in developing and high-inflation countries. Many Venezuelans use Cred’s service, looking for the same returns and stability as the rest of the world. The difference is they are in a country with a 10 million percent inflation rate.

A Passive Income for Token-Holders

The UP platform will enable users to lend their USD-pegged assets and earn interest via Uphold’s Cred Earn application. UPUSD will also be rolled out in developed countries, where it will permit users to store their digital assets on a 1:1 basis at FDIC-insured banks. The token will launch on March 8 on Uphold, whose UP platform has been praised by UPUSD backer Brendan Eich, co-founder of Brave, for its “usability and familiarity.”

The platform incorporates a number of features designed to enhance its user-friendliness, particularly to non-technical users who may be new to cryptocurrencies. This includes key recovery, using a 2-of-3 private key-sharing system that will enable the wallet owner and one of their approved third parties to restore a lost wallet. Users can also delegate control over their assets to a third party such as a centralized exchange for temporary trading, before taking back custody of the funds and restoring them to their personal wallet. The development of UPUSD is the latest example of crypto assets taking on the form and features of the legacy financial system that they were originally designed to leave behind.

What are your thoughts on interest-paying cryptocurrency accounts? Let us know in the comments section below.


Images courtesy of Shutterstock.


Need to calculate your bitcoin holdings? Check our tools section.

The post Universal Protocol Alliance Launches Interest-Paying Stablecoin UPUSD appeared first on Bitcoin News.

Bitcoin News

Onchain Stablecoin Transactions Remain Low Despite Surge in Trade Volume

March 6, 2019 |

Stablecoins See Few On-Chain Transactions Despite Recent Surge in Exchange Volume

Despite many stablecoins ranking among the top 20 most traded crypto assets by monthly volume, a recent report has shown that there are few onchain transactions conducted using these fiat-pegged tokens.

Also Read: Swiss Stock Exchange Launches Trading for ETH ETP

DAI Sees Significant Onchain Usage

Of the established stablecoins, DAI has recorded the largest number of on-chain transactions, despite comprising one of the smallest stablecoins by market capitalization, with $ 78.27 million. Over the five-day period sampled by Tradeblock, 10,079 onchain DAI transactions were conducted.

Tradeblock attributes DAI’s relatively large onchain volume to its widespread adoption among decentralized exchanges (DEXs). The report estimates that 350 transactions take place onchain daily, adding that “the Makerdao team behind the DAI token estimates that 50% of the total daily DAI value transferred is occurring on DEXs.”

Offchain Transactions Minimal for USDC, PAX and GUSD

By contrast, despite USDC’s $ 257.58 million market cap, only 5,041 onchain transactions occurred during the same five-day period. Similarly, only 2,200 transactions were recorded using PAX, in spite of the crypto asset’s nearly $ 116.35 million capitalization.

Onchain Stablecoin Transactions Remain Low Despite Surge in Trade Volume

GUSD also saw a modest number of onchain transactions during the sample period, despite an $ 81.95 million market cap. Just 1,170 transfers were transferred using the GUSD blockchain.

Stablecoins Saw Significant Decline in Trade Volume Across US Exchanges in 2018

Tradeblock identifies a dramatic decline in year-over-year notional trade volume of BTC pairings with USDC, TUSD, USDT, and PAX across United States-based cryptocurrency exchanges.

While January saw notional year-over-year volume fluctuate between $ 150 and $ 250 million, the combined trade activity of stablecoins on U.S. exchanges has been less than $ 50 million since May 2018, with XBT/USD volume falling by 85 percent from January 2018’s within 10 months.

Onchain Stablecoin Transactions Remain Low Despite Surge in Trade Volume

Despite the enormous decline in volume during 2018, recent market action has driven a significant gain in notional year-over-year trade volume since bottoming out below $ 5 million at the end of Oct. 2018, with the combined trade activity for stablecoins on U.S. exchanges gaining more than 600 percent between Nov. 12 and Nov. 26 of last year.

However, stablecoin trade has since receded, with combined notional year-over-year volume again approaching $ 5 million towards the end of January 2019.

Do you think that the popularity of stablecoins will diminish or grow with time? Share your thoughts in the comments section below!


Images courtesy of Shutterstock


At Bitcoin.com there’s a bunch of free helpful services. For instance, have you seen our Tools page? You can even lookup 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.

The post Onchain Stablecoin Transactions Remain Low Despite Surge in Trade Volume appeared first on Bitcoin News.

Bitcoin News

Tron Partners With Tether to Launch TRC20-Based Stablecoin

March 4, 2019 |

Tron Partners With Tether to Launch a TRC20-Based Version of the USDT Stablecoin

Tether (USDT), the seventh most valuable crypto asset by market cap, has shrugged off attempts by newer stablecoins to usurp it. Now, a new version of tether is coming to the Tron network.

Also Read: Gibraltar Exchange to List Bitcoin Cash Fiat Trading Pairs

Tether to Trade on Tron

Tron is officially partnering with Tether to launch a TRC20-based version of the USDT stablecoin, according to a statement from both ventures. Adding the dollar-pegged coin to its blockchain is meant to elevate Tron’s existing ecosystem of decentralized applications (dapps), improve overall value storage, and increase its decentralized dxchange (DEX) liquidity. It is also said to make the network more accessible to enterprise-level partners and institutional investors. The companies expect to implement USDT on Tron by early Q2 2019.

Tron Partners With Tether to Launch TRC20-Based Stablecoin

“We are pleased to announce this collaboration with the Tron Foundation. This integration underlines our commitment to furthering innovation within the cryptocurrency space as we continue to anticipate the needs and demands of the digital asset community,” commented Jean-Louis van der Velde, chief executive officer of Tether.

Tokens Used for Stablecoins, Games, Torrents

TRC‌20 is a technical standard used for smart contracts on the blockchain for implementing tokens with the Tron Virtual Machine (TVM), similar to Ethereum’s ERC‌20. “Our collaboration with Tether to bring a USDT TRC20 token to Tron will bring incredible stability and confidence to users,” said Justin Sun, founder of Tron and CEO of Bittorrent. “As we perform and execute on our vision, they can easily redeem their tokens for US dollars.”

Tron Partners With Tether to Launch TRC20-Based Stablecoin

In the Daily on Monday we reported that Tron Arcade and Mixmarvel have teamed up to bring the online game Slither.io to the blockchain. Hypersnakes, the blockchain version of the multiplayer worm-like game, allows players to compete and earn TRX without a wallet, making it easier to acquire the cryptocurrency. The Bittorrent token (BTT) is another example of a digital coin based on the Tron protocol.

What do you think about Tron partnering with Tether? Share your thoughts in the comments section below.


Images courtesy of Shutterstock.


Verify and track bitcoin cash transactions on our BCH Block Explorer, the best of its kind anywhere in the world. Also, keep up with your holdings, BCH and other coins, on our market charts at Satoshi’s Pulse, another original and free service from Bitcoin.com.

The post Tron Partners With Tether to Launch TRC20-Based Stablecoin appeared first on Bitcoin News.

Bitcoin News

An In-Depth Look at Ethereum’s Maker and Dai Stablecoin

March 4, 2019 |

An In Depth Look at Ethereum's Maker and the Stablecoin Dai

Since tether (USDT) bolstered the idea of a working stablecoin over the last few years, there’s been a variety of different types of stable cryptocurrencies that are usually pegged to the U.S. dollar. However, there’s one particular stablecoin that’s been a hot topic of discussion lately called dai, a coin that’s backed by ethereum locked into a smart contract.

Also read: Payglobal Provides Cryptocurrency to Fiat Transfers With Existing Bank Cards

Maker and Dai

The following is an overview of how dais are created within a network called the Maker DAO and why some cryptocurrency enthusiasts seem to like the concept better than its fiat alternatives. But there’s also a slew of critics who dislike the Maker project for a multitude of reasons that could theoretically hurt a few individuals’ dreams of the perfect stablecoin backed by crypto assets.

The Ethereum network has a popular decentralized autonomous organization (DAO) called Maker, which is now well known for creating a cryptocurrency-backed stablecoin called dai. The Single-Collateral Dai (SCD) system, launched in December 2017, allows anyone to leverage their ETH in order to create a stablecoin that keeps price valuation down to around $ 1 most of the time. Over the last 14 months of operation, the Maker DAO has become the most popular Ethereum-based system in 2019. At the time of publication, there’s more than 1 percent of the entire ETH supply in circulation locked up into the Maker system as there’s 2.1 million ETH used as collateral.

An In-Depth Look at Ethereum's Maker and Dai Stablecoin

The Maker team consists of CEO Rune Christensen, CTO Andy Milenius, President Steven Becker and roughly 18 other leaders. The community is relatively small but has been growing since the project’s inception. Maker and the stablecoin dai community have a blog, a chat forum, and its own subreddit where individuals discuss the nascent ecosystem. At press time, dai is ahead of the stablecoin GUSD with the 55th largest market capitalization of around $ 89.3 million.

There are two fundamental differences between Maker’s dai and other stablecoins like USDC, GUSD, and USDT. For one, dai is not backed by fiat reserves held in a bank like a great majority of its stablecoin peers. The other difference is that fiat systems are collateralized by the company’s word and third-party audits while the transparency of dai can be seen onchain at all times. Basically, dai holds stability because ETH is locked into a contract used in a system called a Collateralized Debt Position (CDP). A user wanting to acquire dai sends the ETH to a CDP and can withdraw dai from there.

An In-Depth Look at Ethereum's Maker and Dai Stablecoin

However, the collateralization ratio uses a method called overcollateralization (OC), which helps lower the system’s exposure to risk and keeps the credit (dai) through Maker’s autonomous feedback mechanisms. OC requires more funds than a typical dollar for dollar trade in order to obtain dai. The ratio of ETH collateral needed in order to acquire dai is fixed at 1.5:1 at all times, but users can purchase dai on the open market too.

An In-Depth Look at Ethereum's Maker and Dai Stablecoin
There is currently 2.1 million ETH locked into Maker contracts that produce dai.

Critics of Maker, Overcollateralization, and a Stablecoin Unmediated by the Legal System

Maker and dai have become a popular subject among cryptocurrency supporters largely because some people like the concept of a liquid stablecoin for certain use cases as well as the idea dai is backed by crypto. However, there are some critics of the Maker protocol and the dai stablecoin it produces. Some skeptics believe the project could fall victim to the same scenario that happened to the Ethereum network’s first DAO which saw the loss of $ 50 million in June 2016. At the time, users exploited the DAO’s code enabling them to take one-third of the DAO’s funds to a subsidiary account. Another critique of Maker DAO explains that the OC scheme and paying the contract back with the equivalent amount of dai is well known. However, what the organization hasn’t explained yet “is that you also need to pay a stability fee in MKR,” Bennett Tomlin said last June.

“Also [dai] cannot always be collateralized in excess, because if there is a black swan event that destroys the value of ethereum that is no longer true,” Tomlin’s research details.

An In-Depth Look at Ethereum's Maker and Dai Stablecoin

Tomlin’s study called a “Deep Look at Maker DAO and Dai and MKR” adds that the Maker’s creators explain in the white paper that in the event of a “black swan” crash the organization will dilute the “pooled ether.” The author’s post explains, “Why someone would trust this, I do not know — The developers are obviously aware of this risk, but it seems to be ignored.” Tomlin’s report also details that the biggest hurdle for the Maker team is the government-specific entities that regulate the U.S. financial activities. “Better watch out for the SEC, the CFTC, and the rest of the alphabet soup,” Tomlin warned.

An In-Depth Look at Ethereum's Maker and Dai Stablecoin

A Multi-Collateral Dai and Other Chain’s Creating a Stablecoin

Despite some concerns, the Maker DAO continues to rake in lots of ethereum in order to create the world’s first working consumer-grade stablecoin based on the collateralized crypto assets. The project’s roadmap calls for a Multi-Collateral Dai system which will at some point be able to collateralize the dai stablecoin with other cryptocurrencies. On Nov. 6, 2018, the development team detailed that the code for Multi-Collateral Dai was published and contracts have been deployed to the system’s testnet.

An In-Depth Look at Ethereum's Maker and Dai Stablecoin

Additionally, there has been talk of other cryptocurrencies following suit with the dai idea. Just recently the Bitcoin Cash (BCH) community discussed the creation of a stablecoin built on the BCH chain. The BCH network has been recently experimenting with token creation but something like dai on BCH would require some different elements. By and large, the Ethereum community seems to appreciate the Maker protocol and dai stablecoin and so far it has brought some more traction toward that ecosystem.

What do you think about the Maker protocol and the dai stablecoin? Let us know your thoughts on this subject in the comments section below.

Disclaimer: This article is for informational purposes only. Bitcoin.com does not endorse the Maker DAO or dai stablecoin. Readers should do their own due diligence before taking any actions related to the mentioned companies, creators, associates, or any of its affiliates or services. Bitcoin.com and the author are not responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.


Image credits: Shutterstock, Maker DAO, Dai, Makerscan.io, and Pixabay.


Need to calculate your bitcoin holdings? Check our tools section.

The post An In-Depth Look at Ethereum’s Maker and Dai Stablecoin appeared first on Bitcoin News.

Bitcoin News

The Daily: 13% of Shoppers Would Buy Amazon Crypto, Wirex Adds Stablecoin

February 7, 2019 |

The Daily: 13% of Shoppers Would Buy Amazon Crypto, Wirex Adds Stablecoin

In Thursday’s edition of The Daily we feature a recent survey that shows 13 percent of shoppers would be happy to buy cryptocurrencies under the Amazon brand. We also cover a new stablecoin integration by crypto card provider Wirex and a token promoted on Coinbase Earn.

Also Read: Abra Adds Stocks and ETF Investing to Its Crypto Exchange App

Survey: 13% of Shoppers Would Buy Amazon Crypto

Online commerce giant Amazon (NASDAQ: AMZN) has one of the strongest brands in the world. What started out as just an online bookstore has become almost a force of nature, taking over entire industries. The company also enjoys a great deal of trust with consumers, especially in the U.S. market where some people allow Amazon to unlock their front doors to make in-home delivery (Amazon Key), install its AI-powered listening devices (Alexa) and even to run the cloud computing systems of the CIA.

It would be fair to say that Amazon is more trusted and liked than most banks. Given this fact, it is not surprising that a good portion of its customers would also trust Amazon with their digital finance needs. A recent survey of over 1,000 Amazon clients by the financial portal Investing.com found that 12.7 percent of them would feel comfortable purchasing cryptocurrencies under the Amazon brand. This could be assumed to be anything from an integrated cryptocurrency wallet to an Amazon-issued token.

The Daily: 13% of Shoppers Would Buy Amazon Crypto, Wirex Adds Stablecoin

Wirex Adds First Stablecoin

Popular online bank and crypto debit card issuer Wirex has added a first stablecoin to its list of supported cryptocurrencies. Users of the Wirex platform in the European Economic Area (EEA) can now buy, store, convert and spend dai (DAI) with their Wirex Visa cards, the U.K.-based company announced in a recent blog post. This is the seventh token made available for Wirex users as the service already supports bitcoin core (BTC), litecoin (LTC), ripple (XRP), ether (ETH), waves (WAVES) and wollo (WLO).

The Daily: 13% of Shoppers Would Buy Amazon Crypto, Wirex Adds Stablecoin

“We want to give our customers access to a full array of cryptocurrencies. Stablecoins are yet another variation of crypto that demonstrates how easily and efficiently it can be integrated into everyday life,” commented Wirex co-founder Pavel Matveev. His co-founder Dmitry Lazarichev added: “Dai is an excellent tool to make international payments at low costs without the volatility. The token feeds into our ethos of enabling mainstream crypto adoption by streamlining traditional and cryptocurrencies. Dai is a solid addition to our existing cryptocurrency portfolio.”

Coinbase Takes a Swing With BAT

Back in December, Coinbase announced an initiative meant to incentive people to learn more about cryptocurrencies. The Coinbase Earn educational platform rewards users with tokens for completing various tasks such as watching videos and taking quizzes on crypto-related content. On Wednesday a section on Basic Attention Token (BAT) was added to the service, offering users the opportunity earn up to $ 10 worth of BAT in the process of learning about it.

The Coinbase Earn team explained to those new to BAT that “Basic Attention Token seeks to improve the efficiency of digital advertising with a token that can be exchanged between publishers, advertisers, and users on the Ethereum blockchain. The token can be used to obtain a variety of advertising and attention-based services on the BAT platform and the Brave browser.” The token quickly jumped over 10 percent in price, offering a valuable lesson in the power of Coinbase to move the market.

What do you think about today’s news tidbits? Share your thoughts in the comments section below.


Images courtesy of Shutterstock, Investing.com.


Verify and track bitcoin cash transactions on our BCH Block Explorer, the best of its kind anywhere in the world. Also, keep up with your holdings, BCH and other coins, on our market charts at Satoshi’s Pulse, another original and free service from Bitcoin.com.

The post The Daily: 13% of Shoppers Would Buy Amazon Crypto, Wirex Adds Stablecoin appeared first on Bitcoin News.

Bitcoin News

The Daily: New Institutional Crypto Wallet, Korean Won Stablecoin

January 31, 2019 |

The Daily: New Institutional Crypto Wallet, Korean Won Stablecoin

In today’s edition of The Daily, we feature a couple of new offerings in the cryptocurrency market including a wallet made for exchanges and token issuers as well as the latest fiat-backed stablecoin. Additionally covered are an exchange that underwent an auditor’s inspection and a crypto CFDs provider that got FCA authorization.

Also Read: Wikipedia Now Accepts Bitcoin Cash Donations via Bitpay

Knox Custody for Digital Securities

Tokensoft, a U.S.-based digital asset security platform, has announced the beta launch of its new Knox Wallet, a mobile-first, cold storage, self-custody system for enterprises. It is designed for issuers of asset-backed tokens for equity, debt, or real estate, and it can also hold multiple cryptocurrencies. The wallet is said to incorporate three levels of security: offline cold storage, role-based access control and cryptographic authentication. The developers expect that different types of companies will want the Knox Wallet, including exchanges that could use it to manage and administer assets trading on their platform.

The Daily: New Institutional Crypto Wallet, Korean Won Stablecoin
Historic Fort Knox, Penobscot River, Maine, USA

“As real-world assets enter the blockchain world, it’s important to protect them with the same level of security we treat traditional digital assets,” said CEO Mason Borda. “We built Knox for our clients of all types who are launching asset-backed tokens and collectively are planning to place over $ 1 billion in digital securities on to the blockchain in 2019. As these assets arrive on the blockchain, there should be adequate solutions to secure them.”

South Korean Won-Backed Stablecoin

Bxb Inc. has announced the launch of KRWb, a stablecoin backed by the South Korean won (KRW). This reportedly followed an initial capital deposit of 400 million Korean won ($ 360,000 USD) that has collateralized an equivalent volume of newly minted tokens. The issuers promise that each token generated will be matched with an equivalent fiat deposit stored in a bank, and that an independent auditor will perform regular checks on the KRW reserves to ensure that a minimum of 1:1 matching with KRWb liquidity is continuously maintained.

The Daily: New Institutional Crypto Wallet, Korean Won Stablecoin

Singapore-based crypto-asset trading firm QCP Capital has been selected as the first KRWb ‘issuance partner’ for ensuring market liquidity. “Korea has always been a strategic but challenging market for us. KRWb is a great solution to many of the problems faced by market participants both onshore and offshore. Beyond crypto liquidity, we are excited to be part of a project that is pioneering new ‘fiat-to-crypto’ solutions in Asia,” said Darius Sit, Managing Partner at QCP Capital.

Exchange Completes Auditor’s Examination

New York-based trading platform Gemini has announced it completed a SOC 2  Service Organizations Type 1 examination. Auditing firm Deloitte has performed an evaluation of Gemini’s security controls which were inspected to meet the criteria set by the American Institute of Certified Public Accountants (AICPA). This reportedly included a review of the exchange application, infrastructure, and underlying customer database, as well as its cryptocurrency storage system. The company also promises to undergo a SOC 2 examination on an annual basis from now on.

The Daily: New Institutional Crypto Wallet, Korean Won Stablecoin

“Providing you with a safe and secure platform to buy, sell, and store your cryptocurrency is paramount to our mission to build the future of money,” stated Yusuf Hussain, Head of Risk at Gemini. “In the traditional financial and technology industries, SOC 2 reviews have become an industry standard for demonstrating security compliance. Our SOC 2 review  — coupled with our digital asset insurance  —  is another step we’ve taken towards raising the bar for consumer protection, safeguards and industry best practices.”

Crypto CFDs Provider Receives UK Authorization

Cryptocurrency liquidity provider B2C2 has announced that its British subsidiary, B2C2 OTC Ltd, is now authorized and regulated by the U.K. Financial Conduct Authority (FCA) to deal in Contracts for Difference (CFDs) with those defined as ‘eligible counterparties and professional clients.’ The company will use this new FCA approval to offer cryptocurrency-based CFDs to its clients.

The Daily: New Institutional Crypto Wallet, Korean Won Stablecoin
Entrance to FCA building

Max Boonen, CEO of B2C2, said: “We are excited to have received authorisation from the FCA to introduce a cryptocurrency CFD product. Eligible counterparties and professional clients can now gain derivative exposure to the cryptocurrency markets, benefiting from the competitive pricing and liquidity they’re accustomed to receiving from B2C2 while avoiding the risks associated with crypto custody.”

What do you think about today’s news tidbits? Share your thoughts in the comments section below.


Images courtesy of Shutterstock.


Verify and track bitcoin cash transactions on our BCH Block Explorer, the best of its kind anywhere in the world. Also, keep up with your holdings, BCH and other coins, on our market charts at Satoshi’s Pulse, another original and free service from Bitcoin.com.

The post The Daily: New Institutional Crypto Wallet, Korean Won Stablecoin appeared first on Bitcoin News.

Bitcoin News

The Daily: Binance Adds Stablecoin Pairs, Tzero Patents Integration Platform

January 8, 2019 |

The Daily: Binance Adds Stablecoin Pairs, Tzero Patents Integration Platform

Cryptocurrency exchange Binance is opening trading for three stablecoin pairs. Also in Tuesday’s Daily, Overstock’s Tzero has patented a solution to integrate traditional and cryptocurrency trading systems, Morgan Creek founder Jason Williams offers his Lamborghini for bitcoin, and in Brazil, crypto investors are looking to buy vaults to safely store their digital assets.

Also read: Epic Founder Addresses Fortnite Crypto Rumors, Robinhood Recruiting in London

Binance Launches Trading for Three Stablecoin Pairs

The Daily: Binance Adds Stablecoin Pairs, Tzero Patents Integration PlatformBinance, currently the largest crypto exchange by daily trading volume, has announced it’s adding new trading pairs that will allow users to trade stablecoins against one other. Starting from Tuesday, Jan. 8, the following pairs will be available to traders: PAX/TUSD, USDC/TUSD and USDC/PAX.

In November, the digital asset trading platform rebranded its USDT market as a combined stablecoin market, introducing the symbol USDⓈ. The exchange explained this was done to support more trading pairs with different stablecoins offered as a base pair. Later Binance added to the new market pairs with the stablecoins paxos standard (PAX) and USD coin (USDC).

Last year saw the arrival of several stablecoins that are now competing with the dollar-pegged tether (USDT). These include the two tokens that were approved by the New York State Department of Financial Services in September, gemini dollar (GUSD), and paxos standard (PAX), also backed one-to-one with U.S. fiat currency.

Tzero to Integrate Traditional Trading Systems and Crypto Exchanges

The Daily: Binance Adds Stablecoin Pairs, Tzero Patents Integration PlatformSecurity token trading platform Tzero, a subsidiary of Overstock, has secured a patent for a platform that allows integration between traditional trading systems and digital asset exchanges. Tzero’s Crypto Integration Platform is designed to serve as an interface between the two types of systems.

According to the filing, the platform can host initial public offerings (IPOs) and offerings of securities registered with the U.S. Securities and Exchange Commission (SEC). It is also intended to be used to trade these securities in secondary market transactions.

The “digital transactional items” mentioned in the patent represent tokens, securities, digital assets, digital shares, and cash equivalents. When receiving an order, the platform is expected to verify the availability and determine the best market price of the digital asset before a transaction is made.

Online retail giant Overstock is a crypto-friendly company. Recently it announced it will cover part of its tax obligations to the U.S. state of Ohio using bitcoin. Ohio’s new payment portal, which was launched a couple of months ago, allows businesses to pay their taxes with bitcoin core (BTC) and bitcoin cash (BCH) via Bitpay.

Morgan Creek Founder Wants Crypto for His Lambo

The Daily: Binance Adds Stablecoin Pairs, Tzero Patents Integration PlatformJason Williams, co-founder of Morgan Creek Digital Assets, recently tweeted that he is about “to do something that has never been done in crypto.” According to the post, Williams’s Lamborghini is up for sale and the owner wants to buy cryptocurrency with the money he gets for the car. “Offers in BTC accepted,” the entrepreneur noted as well.

Williams has received a lot of comments and even offers for the Lambo. According to Monero’s lead developer Riccardo Spagni, the sale is a good move. “Huracans are awful investments. Unless it’s a Performante, then there’s a limited audience in the future. But seriously, better to get rid of it,” Spagni wrote. “Too many cars. Not enough BTC honestly,” Jason Williams said in response.

Brazilians on the Lookout for Vaults to Store Bitcoin

The Daily: Binance Adds Stablecoin Pairs, Tzero Patents Integration PlatformSafe storage should be a priority for any investor in possession of large amounts of digital cash. According to the local press, many Brazilians don’t feel that hard wallets and secure passwords provide enough protection. Local companies manufacturing and building physical vaults have registered a growing demand for their services from cryptocurrency owners, which has actually revived the industry.

The Folha de São Paulo news outlet recently reported that some of the safes are part of quite sophisticated security systems. They are often installed behind reinforced armored doors and come with advanced features for biometric authorization such as palm scanners that can identify up to 5 million points on the hand of a person who’s trying to open the vault.

What are your thoughts on today’s news tidbits? Tell us in the comments section.


Images courtesy of Shutterstock, Jason Williams (Twitter).


At Bitcoin.com there’s a bunch of free helpful services. For instance, have you seen our Tools page? You can even lookup 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.

The post The Daily: Binance Adds Stablecoin Pairs, Tzero Patents Integration Platform appeared first on Bitcoin News.

Bitcoin News

Chatter Report: Troutner Proposes Stablecoin on BCH, Sztorc: Austrian Economics ’Unnecessary’

December 31, 2018 |

Troutner Proposes Algorithmic Stablecoin on BCH, Sztorc Believes Austrian Economics Unnecessary to Understand Bitcoin

In today’s roundup of crypto chatter, Chris Troutner and Andreas Brekken play around with the idea of building an algorithmic stablecoin on BCH. Vin Armani debates with Painted Frog on Bitcoin’s similarities to Visa. Also, Paul Sztorc thinks that understanding Austrian economics is not that important to comprehend Bitcoin.  

Also read: Developer Paul Sztorc Launches the First Version of Drivechain

Building an Algorithmic Stablecoin on BCH

Recently Shitcoin.com CEO Andreas Brekken took to crypto Twitter to wish everyone a happy new year. In his tweet, Brekken casually mentioned algorithmic stablecoins, an idea that Bitcoin.com senior developer Chris Troutner picked up on.

Troutner queried Brekken for alternatives to the DAI, but the latter was not familiar with the field. Brekken then explained that he was optimistic about the technology, even though many academics and maximalists don’t believe algorithmic stablecoins are possible.

In response, Troutner called for the BCH community to bring DAI’s algorithmic technology onto BCH. He suggested using the Wormhole JavaScript SDK at developer.bitcoin.com to create an ERC20 token on the BCH blockchain. Instead of ETH, BCH would serve as a collateral asset. Even lead developer of Bitcoin ABC Amaury Sechet jumped into the thread, as he was positive on the idea.

Bitcoin More Similar to Visa Than Gold

Recently, CTO of Cointext Vin Armani had a debate with his followers on what the catalyst for Bitcoin mass adoption would be. Armani argued that those who stand to gain financially from bitcoin usage are the ones most likely to increase Bitcoin adoption.

Not everyone responded well to Armani’s theory, as commentator Painted Frog argued that Bitcoin is intrinsically valuable like gold. Since society didn’t need to be convinced to use gold in the past, Bitcoin like gold, will eventually be used everywhere.

Armani responded by explaining that Bitcoin is more similar to Visa because both are systems and networks. On the other hand, gold is simply a shiny rock and an inert element.

The Importance of Austrian Economics In Bitcoin

Austrian economics has always been a huge part of the Bitcoin community, and the growing popularity of Bitcoin has sparked a revived interest in Austrian economics. This was pointed out by the President of the Nakamoto Institute Michael Goldstein on social media. Some like cryptocurrency pundit Murad Mahmudov agreed with Goldstein and tweeted that cryptocurrency community members who understand Austrian economics have an edge over those who don’t.

However, director of research at Tierion Paul Sztorc and bitcoin pundit nic__carter both argued that the importance of Austrian economics is highly overstated in the cryptocurrency space. While nic__carter confessed that he had never read any books on Austrian economics, Sztorc explained that he was very familiar with the Austrian school of thought.

Despite a thorough understanding of Austrian Economics, Sztorc insists that only a brief understanding of how the government prints away purchasing power, also known as inflation tax, is enough to understand Bitcoin.

What do you think of an algorithmic stablecoin built on BCH? Let us know in the comments below.


Images courtesy of Shutterstock.


Bitcoin News is growing fast. To reach our global audience, send us a news tip or submit a press release. Let’s work together to help inform the citizens of Earth (and beyond) about this new, important and amazing information network that is Bitcoin.

The post Chatter Report: Troutner Proposes Stablecoin on BCH, Sztorc: Austrian Economics ’Unnecessary’ appeared first on Bitcoin News.

Bitcoin News

The Daily: Uber Meets Bitcoin, Basis Stablecoin Shuts Down

December 13, 2018 |

The Daily: Uber Meets Bitcoin, Basis Stablecoin Shuts Down

In Thursday’s installment of The Daily, we report on a highly anticipated stablecoin project that’s failed before it’s even launched, and explore the strangely centralized world of crypto Twitter. First though, we’ll start with the news that a third party app has made it possible to pay for your Uber ride using BTC.

Also read: Benchmark University Study Shines a Spotlight on Crypto Assets

Fold Brings Bitcoin to Uber

The Daily: Uber Meets Bitcoin, Basis Stablecoin Shuts DownFold, an app dedicated to making it easy to spend BTC in the real world, has added one of its biggest integrations yet. “We are excited to welcome Uber to Fold lineup,” explained the team in a blog post. “You can now use bitcoin to purchase your next Uber ride. Simply select the dollar amount, send your bitcoin, and then ride safely to your next event.” The app, which also enables BTC to be spent at stores such as Starbucks and Dunkin’ Donuts, works by converting cryptocurrency into a corresponding gift card balance within the Fold wallet that can then be redeemed by scanning a code in-store.

Developers Pull the Plug on Basis Stablecoin

It’s being reported that Basis, the largest stablecoin project to date based on early stage funding, has been sunsetted. The algorithmic stablecoin, which had been categorized in the same bracket as coins like dai, raised $ 133 million in venture funding from the likes of a16z, Bain, DCG, Metastable, Pantera Capital, Polychain, Lightspeed, and Google Ventures. The bulk of that funding is now believed to have been returned, with the Basis team reportedly having been spooked by regulatory concerns. While the technical skills of the Basis team have generally been praised within the crypto space, not everyone was convinced by the merits of their algorithmic stablecoin. Back in May, Messari Crypto’s Qiao Wang predicted that Basis would “fail catastrophically”.

The Daily: Uber Meets Bitcoin, Basis Stablecoin Shuts DownCommenting on the rumored shutdown of Basis, Three Arrows Capital CEO Su Zhu wrote “I hope the industry thinks more critically about what the shape of a good project is in this space. You can’t just cobble together ex-bigtech/bankers, raise [nine figures], and then pop the champagne. More importantly I hope LPs ask their VCs harder questions.” Stablecoin skeptic Preston Byrne was equally unimpressed, linking to a blog he had penned a year ago in which he called Basis “the worst idea in cryptocurrency.”

Bitcoin Cash and Ripple Dominate Crypto Twitter

Social sentiment service The Tie has been looking at what crypto Twitter’s had to say over the last few weeks. It’s plotted the change in sentiment for the top five cryptocurrencies, with a view to extrapolating actionable insights for the benefit of traders. The platform found bitcoin cash (BCH) and ripple (XRP) to be the most active Twitter communities over the past month, the former on account of the hard fork that got everyone talking, and the latter because the Ripple army is famed for its slavish devotion to its altcoin through good times and bad. How much of that discourse comes from unique accounts, however, is debatable.

The Daily: Uber Meets Bitcoin, Basis Stablecoin Shuts Down

“While accounting for only 3 percent of overall trading volume, XRP accounts for 8.97 percent of total conversational volume on Twitter. On average, 50 percent of daily tweets come from unique accounts, which means that much of the conversation is driven by the same accounts,” reported The Tie. The platform shared the above image with news.Bitcoin.com, which it claims “highlights how XRP has a centralized strong community.” Its acolytes might harp on about ripple’s “inherently decentralized” nature, but the coin’s community is as centralized as it gets.

What are your thoughts on today’s news tidbits as featured in The Daily? Let us know in the comments section below.


Images courtesy of Shutterstock.


Need to calculate your bitcoin holdings? Check our tools section.

The post The Daily: Uber Meets Bitcoin, Basis Stablecoin Shuts Down appeared first on Bitcoin News.

Bitcoin News

New Platforms Track Major Stablecoin Markets

December 11, 2018 |

New Platforms Track Major Stablecoin Markets

The birth of more stablecoins, which has coincided with significant market losses for traditional cryptocurrencies, has drawn attention to these fiat-pegged digital assets. Dedicated platforms are now aggregating statistical data about stablecoin markets for the benefit of traders.

Also read: Chat Bot Advises Crypto Startups and Investors

The Stablecoin War Is Heating Up

The last couple of months has seen the arrival of new coins poised to challenge the dominance of the leading stablecoin tether (USDT). Two new “regulated” cryptocurrencies, also pegged to the U.S. dollar, were announced after receiving approval from the New York State Department of Financial Services in September. The Gemini dollar (GUSD) and paxos standard (PAX) are both backed one-to-one with fiat currency.

Another notable token in the same category is USD coin (USDC), but coins pegged to different fiat currencies or other traditional assets, such as precious metals, have also been announced. Exchanges and other trading platforms have already listed many of these stablecoins, granting them recognition in a bearish market for the majority of the free-floating cryptocurrencies. A crypto loans service has recently begun offering interest payments on stablecoin holdings.

New Platforms Track Major Stablecoin Markets

Competition among stablecoins has given rise to dedicated tracking services. A new website, Stablecoinswar.com, provides data about their price, market capitalization, daily trading volume, and share of total volume. It also has a “velocity of money” indicator that reflects the rate at which each coin is exchanged – in other words, the speed of circulation. The platform currently lists eight stablecoins: tether, paxos, trueusd (TUSD), USD coin (USDC), dai, gemini dollar (GUSD), susd, and bitusd.

According to Stablecoinswar, all but one of these assets is currently trading at a cent or two above the $ 1 dollar mark, at the time of this writing. The only exception is bitusd which is currently trading at $ 0.71. Tether remains the stablecoin with the largest market cap, at almost $ 1.88 billion. That’s over 72 percent of the total stablecoin capitalization, which sits at around $ 2.6 billion. Trueusd is second with 8.15 percent of the market cap, followed by USD coin. Paxos, with almost 33 percent, is the second-fastest stablecoin after tether (with over 166 percent) for velocity of circulation.

Stablecoin Index

Stablecoinswar constantly updates its market data but doesn’t offer much more than the basic indicators. Stablecoin Index is another platform that tracks and compares the leading stablecoins. The open-source tool displays cryptocurrencies that are already traded, ranked by market capitalization and presented with their current prices and trading volumes. It also separately lists other stablecoin projects that are still under development.

New Platforms Track Major Stablecoin Markets

The Stablecoin Index website provides market data for eight “live” stablecoins – USDT, TUSD, PAX, USDC, DAI, BITUSD, NUSD, and GUSD. The statistical information quoted there is understandably pretty similar to the numbers posted by Stablecoinswar, although it’s more detailed. The one coin that is different from Stablecoinswar’s list, NUSD, actually doesn’t look very “live”, with $ 0 capitalization and volume. According to its website, the total supply of NUSD is currently valued at $ 1,516,106 and its price is exactly $ 1.

Stablecoin Index also has a graph on its frontage that shows the price movements of stablecoins since Feb. 1, 2018. The most volatile of the bunch – the only volatile stablecoin if the standards of the regular cryptocurrency markets are applied – has been bitusd. The crypto reached its high of $ 1.19 in the beginning of the examined period and is currently trading at its lowest price this year, $ 0.72.

What do you think about platforms that track stablecoins? Share your thoughts on the subject in the comments section below.


Images courtesy of Shutterstock, Stablecoins War, Stablecoin Index.


Need to calculate your bitcoin holdings? Check our tools section.

The post New Platforms Track Major Stablecoin Markets appeared first on Bitcoin News.

Bitcoin News