Crypto Market Update 06.04.2018

Crypto Market Update 06.04.2018

Our weekly crypto market update uses a standard set of information sources in an effort to get a less biased opinion of the market. 

 

“Let’s say the market can support 4000 different monies, one public the others private..which services get tokenized? “

The ongoing experiment with bootstrap equilibria, also known as tokens
Tyler Cowen Marginal REVOLUTION 1

 

Crypto Indexes

The Bletchley Indexes “offer the most thoughtful and consistent approach to index construction” according to CoinMetrics. 

Original “top X” indexes were launched in June 2017, followed by a market-wide index in December 2017 and sector specific indexes in February 2018. In total, there are 13 Bletchley indexes, with charts over various timetables available for each on their site.

Below is an alternate view of the performance based on the downloadable data made available by Bletchley. This view is intended to give a side-by-side snapshot of a handful of indexes.

Observations

  • A positive week for BTC vs USD, with the B10 Index outperforming BTC by ~3%
  • B10 and BTotal even indexes slightly underperformed weighted indexes over past 7 days, which is a typical
  • All sector indexes were positive over last week vs USD and BTC.
  • All sector indexes outpferformed B10 and BTotal last week
  • Platform index up over 12% vs USD over last week, down nearly 20% past month

 

Global Crypto Charts

For a quick look at the global markets from another perspective, Coinlib.io provides simple charts with a lot of info, including Bitcoin marketshare, a visualization of the top 20 currencies by volume and market cap, and more.

Total Market Cap of Cryptocurrencies: $336.31 billion ( vs $326.65 billion one week ago)

Market Share of Top Cryptocurrencies

Bitcoin’s market share has climbed to 39%, up from a recent low of 34% in early May. Looking longer-term, Bitcoin continues a long-term declining trend, with new currencies such as EOS and BCH taking some of that market share.

Market share of top 20 cryptocurrencies

The top 20 currencies (by market cap) currently make up roughly 86% of the total crypto market share.

TradingView Technical Indicators

Based on data and info from TradingView (Click  for 30% off a pro subscription)

Scores based on the cumulative total of positive and negative technical indicators signals over three time horizons on Trading View. Scores are weighted by multiplying total as follows: daily (x 1) weekly (x 2), and monthly (x 3). 

  • BTC and ETH have turned much more positive vs USD since last week
  • ETH indicators show significant strength over BTC

 

CRYPTO PERFORMANCE

  • BTC down up 3.5% vs USD over last week, down over 20% in last 30 days
  • ETH has performed slightly better than BTC over last 7 days, lagging ~7% over last year

 

Google Trends

 

Google Trends have have shown slowly declining searches out after falling significantly in February.

I’m tempted to stop tracking this, as I believe there will be fewer searches as the public gains knowledge. However, significant price action could still lead to search volume surges.

WooBull Charts

NVT Ratio This long-term cycle tracking ratio has continued the upward trend seen last week. The ratio is very high and suggests BTC is towards the end of long-term cycle.

NVT Signal -This short-term signal has risen to 125, up from 115 last week, continuing an upward trend.

In the original post introducing NVT Signal, 150 was indicated as an overbought signal.

Willy Woo also recently published a Tweet thread where he suggested BTC may go to $5500-5700 next.

CoinMetrics Charts

CoinMetrics has provides great charting tools for a number of top cryptocurrencies. Kalvichkin’s NVT is a regular check for checking short term trading signals. 

Kalvichkin’s NVT – Similar to NVT Signal, Kalvichikin’s NVT

Articles of Note

 

“Blockchains and tokenization are a way to incentivize the creation of a commons.”

Blockchains and the Opportunity of the Commons
Alex Tabarrok Marginal REVOLUTION

“Precisely because the blockchain is unowned the designers have to get much more correct, right out of the gate. Changing a commons on the fly, forking, is costly, disruptive and not always possible
2

“Flipside have built a service which allows individuals to buy baskets of #cryptoassets – a new one is released each day”

Coinmetrics, Flipside, and Secure Chains
the Coinmetrics Team Coin Metrics

“So this morning Flipside Crypto, a data-driven asset manager, released their Coinmetrics secure chains basket.
3

“Once you move past speculative pricing of cryptocurrencies and ICOs, Blockchains are a way to create economies.”

CryptoEconomics : Why Blockchains need Computer Scientists & Economists to come together?
Medium

“An alternate interpretation of CryptoEconomics is at the application layer: creating incentives for each participant to either create or consume value, using a token as a medium of exchange for the transaction.
4

“I don’t want to hold cash as working capital – I‘d rather stay fully invested while my wallet proportionally sells assets”

The Security Token Thesis – Hacker Noon
Hacker Noon

“lay out the reasons why security tokens dominate other methods of recording and trading ownership claims. Taken together, the features listed below form the foundation of the thesis that security tokens will see widespread adoption across numerous asset classes in the coming years.
5

“Instead of looking at “blockchain”, look at what you actually need and see what fits you best.”

Alternatives to Blockchain – Jimmy Song – Medium
Medium

“some alternatives that use aspects of blockchain technology that do a lot of what “blockchain” advocates claim, but do it a lot cheaper.
6

“The peak $BTC.X price coincided with the day bitcoin futures started trading on the Chicago Mercantile Exchange”

How Futures Trading Changed Bitcoin Prices
Federal Reserve Bank of San Francisco

“The peak price coincided with the introduction of bitcoin futures trading on the Chicago Mercantile Exchange. The rapid run-up and subsequent fall in the price after the introduction of futures does not appear to be a coincidence. Rather, it is consistent with trading behavior that typically accompanies the introduction of futures markets for an asset.
7

 

 

Our Take

Short term: bullish though cautious as a bear market may still be coming.
Long-term: very bullish, especially on dapps and digital assets

  1. http://marginalrevolution.com/marginalrevolution/2018/06/ongoing-experiment-bootstrap-equilibria-also-known-tokens.html
  2. http://marginalrevolution.com/marginalrevolution/2018/06/blockchains-opportunity-commons.html
  3. https://coinmetrics.io/coinmetrics-flipside-and-secure-chains/
  4. https://medium.com/koinearth/cryptoeconomics-why-blockchains-need-computer-scientists-economists-to-come-together-fd0eda583834
  5. https://hackernoon.com/the-security-token-thesis-4c5904761063
  6. https://medium.com/@jimmysong/alternatives-to-blockchain-9f858c0a1f2d
  7. https://www.frbsf.org/economic-research/publications/economic-letter/2018/may/how-futures-trading-changed-bitcoin-prices/

Crypto Market Outlook 05.29.2018

the root problem with conventional currency is all the trust that’s required to make it work. The central bank must be trusted not to debase the currency, but the history of fiat currencies is full of breaches of that trust. Banks must be trusted to hold our money and transfer it electronically, but they lend it out in waves of credit bubbles with barely a fraction in reserve. We have to trust them with our privacy, trust them not to let identity thieves drain our accounts.

Satoshi Nakamoto on February 11, 2009

Bitcoin open source implementation of P2P currency

Crypto Market Update

Our weekly crypto market update uses a standard set of information sources in order to cut through attention grabbing headlines and get a less biased opinion of the market. 

Crypto Indexes

The Bletchley Indexes “offer the most thoughtful and consistent approach to index construction” according to CoinMetrics. 

Original “top X” indexes were launched in June 2017, followed by a market-wide index in December 2017 and sector specific indexes in February 2018. In total, there are 13 Bletchley indexes, with charts over various timetables available for each on their site.

Below is an alternate view of the performance based on the downloadable data made available by Bletchley. This view is intended to give a side-by-side snapshot of a handful of indexes.

Observations

  • Bletchley 10 and Total Market down significantly vs USD over past week (-20%)
  • Very negative performance for B10 and BTotal over last 3 months
  • Even Indexes continued to underperform weighted indexes
  • Platform, Application, and Currency indexes all down against USD and BTC over last week
  • Only the application index remains positive over last 3 months vs BTY, yet still significantly underperformed USD

 

Global Crypto Charts

For a quick look at the global markets from another perspective, Coinlib.io provides simple charts with a lot of info, including Bitcoin marketshare, a visualization of the top 20 currencies by volume and market cap, and more.

Total Market Cap of Cryptocurrencies: $326.65 billion ( vs $379.72 billion one week ago)

Market Share of Top Cryptocurrencies

Bitcoin’s market share has climbed to 38%, a recent. Looking longer-term, Bitcoin continues a long-term declining trend, with new currencies such as EOS and BCH taking some of that market share.

Market share of top 20 cryptocurrencies

The top 20 currencies (by market cap) currently make up roughly 86% of the total crypto market share.

TradingView Technical Indicators

Based on data and info from TradingView (Click  for 30% off a pro subscription)

Scores based on the cumulative total of positive and negative technical indicators signals over three time horizons on Trading View. Scores are weighted by multiplying total as follows: daily (x 1) weekly (x 2), and monthly (x 3). 

  • BTC and ETH have turned much more negative vs USD since last week
  • ETH signals look somewhat better than BTC

CRYPTO PERFORMANCE

  • BTC down over 11% vs USD over last week and nearly 30% over last 3 months
  • ETH and BTC have performed similarly vs USD over last year

 

Google Trends

 

Google Trends have have shown slowly declining searches out after falling significantly in February.

I’m tempted to stop tracking this, as I believe there will be fewer searches as the public gains knowledge. However, significant price action could still lead to search volume surges.

WooBull Charts

NVT Ratio This long-term cycle tracking ratio has spiked significantly in the past week, continuing the uptick seen in the last few days before last week’s update. The ratio is very high and suggests a correction could be due and that this is the end of long-term cycle.

NVT Signal -This short-term signal has moved down slightly over the past week from 122 to 115. It has broken a support trend, suggesting bearish price movement in the short term.

In the original post introducing NVT Signal, 150 was indicated as an overbought signal.

Willy Woo also recently published a Tweet thread where he suggested BTC may go to $5500-5700 next.

CoinMetrics Charts

CoinMetrics has provides great charting tools for a number of top cryptocurrencies. Kalvichkin’s NVT is a regular check for checking short term trading signals. 

Kalvichkin’s NVT – Similar to NVT Signal, Kalvichikin’s NVT has dropped recently, indicating a bearish short term market.

Articles of Note

“Yesterday we were provided with an incredible reminder of why Bitcoin’s slow and steady + simple approach when it comes to development is the right call in the long-run.”

Marty’s Ƀent – May 23rd, 2018 – Issue #238
Master List Archive Feed

“The more complex projects try to get in an attempt to create “fairness” the bigger their attack surface gets. Verge thought five mining algorithms was a clever way to make their network fairer, but have discovered that they just made the network more insecure. Apparently, Verge wasn’t the only chain to experience an attack this week”
1

“It’s interesting to think about what the landscape will look like 3–5 years from now, and which DEXs will manage to carve out significant market”

Token Economy #50: Paradox?
Yannick Roux Token Economy – Medium

“And Coinbase isn’t the only centralized exchange entering the DEX arena, Binance is also building its own version. It’s interesting to think about what the landscape will look like 3–5 years from now, and which DEXs will manage to carve out significant market share independently and how, if at all. ”
2

“Content provided by creators gets instantly tokenized, published to the Fan Bits marketplace, and pays out Ethereum to the creator after each sale”

Announcing Fan Bits: A DIY crypto-collectible creation platform
Medium

“While there’s clear demand for this kind of asset, creating crypto-collectibles is a highly technical pursuit that requires extensive development work. We’re ecstatic to announce that that’s about to change.”
3

“It manages more than 20 million accounts, almost as many as Fidelity Investments, twice as many as Charles Schwab and about as many accounts as Vanguard has investors.”

Move deliberately, fix things: How Coinbase is building a cryptocurrency empire
Brian Fung Washington Post

“But in many ways, Coinbase styles itself the anti-start-up. Its attitude, both hungry and calculating, may be the key to its survival as it seeks to sell the world — from mom-and-pop investors to massive hedge funds — on the idea that it has become to cryptocurrency what Google is to Web searches.”
4

“Our final estimate from looking at the UTXO age distribution is that between 3–3.8M BTC are lost.”

Bitcoin Data Science (Pt. 2): The Geology of Lost Coins
Dhruv Bansal Unchained Capital Blog – Medium

“We believe bitcoin loss occurred over two distinct “cryptogeologic” eras:Systemic loss: a large cohort of BTC which was mined together and lost together in the earliest days of Bitcoin by Satoshi and the other first miners. (Bitcoin’s carboniferous period.)Incremental loss: BTC lost by individual users gradually over different periods of time.”
5

 

Our Take

Short-term: The crypto market continues to look bearish in the short-term. We’re still bullish long-term and believe there are interesting projects right now that will establish themselves for the long term.

  1. https://mailchi.mp/4c3c61136fe8/martys-bent-may-23rd-2017-issue-238
  2. https://tokeneconomy.co/token-economy-50-paradox-d8f2270c0dce
  3. https://medium.com/@fanbits/announcing-fan-bits-a-diy-crypto-collectible-creation-platform-7028616e13e1
  4. https://www.washingtonpost.com/business/economy/move-deliberately-fix-things-how-coinbase-is-building-a-cryptocurrency-empire/2018/05/17/623d950c-587c-11e8-858f-12becb4d6067_story.html
  5. https://blog.unchained-capital.com/bitcoin-data-science-pt-2-the-geology-of-lost-coins-79e5a0dc6d1?source=rss—-c6f7bef2c97e—4

Crypto Update: Invaluable

If your customers had to stop using your product or service tomorrow, how much would they miss it?

From How cold is the turkey? by Seth Godin

Crypto Market Update

Our weekly crypto market update uses a standard set of information sources.

Crypto Indexes

The Bletchley Indexes “offer the most thoughtful and consistent approach to index construction” according to CoinMetrics. 

Original “top X” indexes were launched in June 2017, followed by a market-wide index in December 2017 and sector specific indexes in February 2018. In total, there are 13 Bletchley indexes, with charts over various timetables available for each on their site.

Below is an alternate view of the performance based on the downloadable data made available by Bletchley. This view is intended to give a side-by-side snapshot of a handful of indexes.

crypto index performance 05.21.2018

Obserservations

  • Bletchley 10 and Total Market down over slightly vs BTC and 5-10% vs USD
  • Both Bletchley 10 and Total Market index remain up over ~20% over last 30 days
  • Even Indexes performed worse than weighted indexes over last 7 and remain better over longer periods
  • Platform, Application, and Currency indexes all down against USD and BTC over last week
  • Currency down nearly 10% vs USD over last 7 days and over 22% in last 3 months

Global Crypto Charts

For a quick look at the global markets from another perspective, Coinlib.io provides simple charts with a lot of info, including Bitcoin marketshare, a visualization of the top 20 currencies by volume and market cap, and more.

Total Market Cap of Cryptocurrencies: $379.72 billion

total crypto market cap 05.18.2018

Market Share of Top Cryptocurrencies

Market Share of Top 5 Cryptocurrencies - 05-21-18 Bitcoin’s market share remains at~36%, close to all-time lows. This continues a long-term declining trend, with new currencies such as EOS and BCH taking some of that market share.

Market share of top 20 cryptocurrencies

Market Share of Top 20 Cryptocurrencies - 05-21-18

The top 20 currencies (by market cap) currently make up roughly 86% of the total crypto market share.

TradingView Technical Indicators

Based on data and info from TradingView (Click  for 30% off a pro subscription)

Crypto Performace 05.21.2018

Scores based on the cumulative total of positive and negative technical indicators signals over three time horizons on Trading View. Scores are weighted by multiplying total as follows: daily (x 1) weekly (x 2), and monthly (x 3). 

  • BTC and ETH have turned much more negative vs USD since last week
  • ETH is looking worse vs BTC than the last two weeks

CRYPTO PERFORMANCE

Crypto Performace 05.21.2018

  • BTC down over 6% vs USD over last week and nearly 30% over last 3 months
  • ETH has outperformed BTC significantly in last year

Google Trends

Google Trends Bitcoin + Crypto 05-21-2018.png

Google Trends have mostly flattened out after falling significantly in February.

I’m tempted to stop tracking this, as  I believe there will be fewer searches as the public gains knowledge. However, significant price action could still lead to search volume surges.

WooBull Charts

Google Trends Bitcoin + Crypto 05-21-2018.png

NVT RatioThis long-term cycle tracking ratio has mostly continued a downward trend, although a slight uptick in the past few days. Regardless, the ratio is quite high and suggests a further downturn is due.

Bitcoin NVT Signal Chart 05.21.2018

NVT Signal -This short-term signal has moved down slightly over the past week from 126 to 122. It appears to be breaking a support trend, suggesting bearish price movement in the short term.

In the original post introducing NVT Signal, 150 was indicated as an overbought signal.

 

CoinMetrics Charts

CoinMetrics has provides great charting tools for a number of top cryptocurrencies. Kalvichkin’s NVT is a regular check for checking short term trading signals. 

Kalvichkin's NVT - BTC ETH 05.21.2018

Kalvichkin’s NVT – Similar to NVT Signal, Kalvichikin’s NVT has remained mostly flat compared to last week. ETH has moved higher.

Articles of Note

Crypto’s Big Lie

Parker Thompson writes that crypto does not make venture capital style investing available to anyone, as is often stated.

Setting aside the fact that investing is not independent of wealth (you need money to invest), these markets are opaque, controlled by insiders, and by the time “anyone in the world” has the opportunity to invest, the price is often an order of magnitude or three higher than the price paid by venture capitalists (first in line), and significantly higher than what accredited investors paid in pre-sales (second in line).

And you hear it in private conversations with crypto teams as well. To paraphrase one statement (but not much), “we are letting value-add VCs buy equity in the company, and pushing the dumb money that got rich on bitcoin into the public sale.” When money is abundant, who it is attached to matters even more, and money has never been as abundant in traditional venture as it is in crypto.

Why Crypto’s A Growing Threat To FAMGA (a.k.a. Facebook, Apple, Microsoft, Google and Amazon)

Lou Kerner believes crypto is a real threat to the ever-growing massive tech companies.

The point of my post last year, was that FAMGA’s increasing domination has profound implications, including the stifling of innovation that results from the MAJORITY of value creation going to just five companies.

A year ago I didn’t see any emerging technology that could impede the FAMGA’s increasing dominance. But I did state that “History has taught us that nothing is constant but change”, as noted by the great graph below showing the market cap market share of the top 100 tech companies over time:

Consensus & Token Summit Recap

Last week was crypto week in New York with mulitiple conferences and events. Patrick Mayr  from Token Economy provided a good summary, including a bit about the revenue from ticket sales alone.

Consensus (May 14–16, 2018)

Raking in approximately $17million in ticket sales alone, Consensus provided a glimpse into lucrative ripple effects of the technology: event planning with unprecedented top line.

An analysis of batching in Bitcoin
 As a way to avoid ridiculous fees, batching has been implemented to reduce transaction volume. CoinMetrics looked at the result and found impressive results.

Today, around 12% of all transactions on the Bitcoin network are batched, and these account for about 40% of all outputs and between 30–60% of all transactional value. The fact such that a small set of transactions carries so much economic weight makes us hopeful that Bitcoin still has a lot of room to scale on the base layer, especially if usage trends continue.

Introduction TxTenna: Decentralizing the Last Mile in BitCoin

In Token Economy #49: Crypto Extravaganza, a new project is mentioned which allows offline bitcoin transactions. This could be huge for making BTC viable for a many more people.

Bitcoin is unstoppable, but only to a point: its single point of failure is actually physical, as the network still relies on ISPs for internet connectivity. These are centralized communication networks with a history of censorship (imposed by governments, see the whole net neutrality situation), attacks or fragility (natural or manmade disasters).

So the folks at Samurai Wallet, using the GoTenna SDK, a toolkit provided for free by GoTenna (the makers of an off-grid mobile mesh networking platform) have developed the TxTenna app. The app can broadcast offline bitcoin transactions off-grid via goTenna Mesh devices, effectively enabling an alternative physical communication layer for bitcoin. This is how it works:

Using the Samourai Wallet app the user creates a standard bitcoin transaction and signs it. This is possible while offline and without wifi or mobile access.The Samourai Wallet app then passes the offline transaction to the TxTenna App and TxTenna broadcasts it to nearby mesh nodes via a paired goTenna mesh device. Other goTenna devices in the area relay the transaction until an internet connected goTenna node also running TxTenna receives it and forwards it to the Bitcoin network.”

Final Thoughts

Bitcoin and the crypto markets more widely look susceptible to a short term price drop. Long term, there are are still many positive signs.

Crypto Market Update: Blow Up

Crypto Market Update

My weekly crypto market update uses a standard set of information sources.

Crypto Indexes

The Bletchley Indexes “offer the most thoughtful and consistent approach to index construction” according to CoinMetrics. 

Original “top X” indexes were launched in June 2017, followed by a market-wide index in December 2017 and sector specific indexes in February 2018. In total, there are 13 Bletchley indexes, with charts over various timetables available for each on their site.

Below is an alternate view of the performance based on the downloadable data made available by Bletchley. This view is intended to give a side-by-side snapshot of a handful of indexes.

crypto index market update 05.14.18.png

Obserservations

  • Bletchley 10 and Total Market down over 16% against USD over the past week
  • Both Remain up over 20% over last 30 days
  • Even Indexes roughly down the same amount as weighted indexes over last week
  • Platform, Application, and Currency indexes all down against USD and BTC.
  • Currency has performed best recently and is up over 25% vs BTC over last 90 days

Global Crypto Charts

For a quick look at the global markets from another perspective, Coinlib.io provides simple charts with a lot of info, including Bitcoin marketshare, a visualization of the top 20 currencies by volume and market cap, and more.

Total Market Cap of Cryptocurrencies: $410.58 billion

total market cap 05.14.2018

 

Market Share of Top Cryptocurrencies

Market Share of Top 5 Cryptocurrencies - 05-14-18

Bitcoin’s market share has declined to ~36%, close to all-time lows. This continues a long-term declining trend, with new currencies such as EOS and BCH taking some of that market share.

Marketshare of top 20 cryptocurrencies

The top 20 currencies (by market cap) currently make up roughly 85% of the total crypto market share.

TradingView Technical Indicators

Based on data and info from TradingView (Click  for 30% off a pro subscription)

tradingview technical indicator score crypto 05.14.2018

Scores based on the cumulative total of positive and negative technical indicators signals over three time horizons on Trading View. Scores are weighted by multiplying total as follows: daily (x 1) weekly (x 2), and monthly (x 3). 

  • BTC has turned much more negative in the short-term, while the 30-day technical analysis remains very positive
  • ETH remains postive vs USD, albeit less strongly than last week.

CRYPTO PERFORMANCE

bitcoin eth performance 05.14.18

  • BTC down over 7.5% vs USD over last week
  • BTC up 418% in last year – and “only” 35% in last 6 months.

Google Trends

Google Trends Bitcoin + Crypto 05-14-2018.png

Google Trends have mostly flattened out after falling significantly in February.

I’m tempted to stop tracking this, as  I believe there will be fewer searches as the public gains knowledge. However, significant price action could still lead to search volume surges.

WooBull Charts

Bitcoin NVT Ratio - 05.14.2018

NVT RatioThis long-term cycle tracking ratio has mostly continued a downward trend, although a slight uptick in the past few days. Regardless, the ratio is quite high and suggests a further downturn is due.

 

NVT Signal -This short-term signal has moved down significantly over the past week from 142 to 126. It appears to be breaking a support trend, suggesting bearish price movement in the short term.

In the original post introducing NVT Signal, 150 was indicated as an overbought signal.

Willy Woo recently gave is own update using the two charts above in a Twitter post. Great insight as to how he reads these charts. His take:

Putting it all together, BTC is still unwinding from mania, I think we are on the plateau of another dead cat, I put the next downward move, more gentle this time in the window of 7-14 days from now. /7

But price-wise I don’t think we are that far from the bottom. So not far to go on the short side, lots of long to go when it fully unwinds and sets up in the second half of this year. /8

CoinMetrics Charts

CoinMetrics has provides great charting tools for a number of top cryptocurrencies. Kalvichkin’s NVT is a regular check for checking short term trading signals. 

Kalvichkin's NVT - BTC ETH 05.14.2018

Kalvichkin’s NVT – Similar to NVT Signal, Kalvichikin’s has begun to trend downward both both BTC and ETH.

Articles of Note

On Radical Markets

Here’s a post from Vitalik Buterin inspired Eric Posner and Glen Weyl’s new book, Radical Markets,

First, although I spend most of my time in the blockchain/crypto space heading up the Ethereum project and in some cases providing various kinds of support to projects in the space, I do also have broader interests, of which the use of economics and mechanism design to make more open, free, egalitarian and efficient systems for human cooperation, including improving or replacing present-day corporations and governments, is a major one.

Consider a system where property owners themselves specify what the value of their property is, and pay a tax rate of, say, 2% of that value per year. But here is the twist: whatever value they specify for their property, they have to be willing to sell it to anyone at that price.

Sitting with the cyber-sleuths who track cryptocurrency criminals

Crypto isn’t as secure as many believe, as shown in this inside look at fighting criminals using crypto.

Once multiple accounts have been linked to the same owner, you can try to figure out who that owner is. Linking Bitcoin accounts to real-world identities is possible because information tends to leak out. Regulated cryptocurrency exchanges—generally those in the US or Europe—must follow know-your-customer and anti-money-laundering rules, which require people to hand over identification before using their services. Some people are even so careless as to post their supposedly private Bitcoin addresses in online forums. “What people forget is that the blockchain is just one half of the equation,” says Knottenbelt.

In blockchain we trust – MIT Technology Review

Regardless of the price, blockchain will have major implications, as predicted in this piece on how this is a shirt akin to the advent of double ledger bookkeeping.

A new form of bookkeeping might seem like a dull accomplishment. Yet for thousands of years, going back to Hammurabi’s Babylon, ledgers have been the bedrock of civilization. That’s because the exchanges of value on which society is founded require us to trust each other’s claims about what we own, what we’re owed, and what we owe. To achieve that trust, we need a common system for keeping track of our transactions, a system that gives definition and order to society itself. How else would we know that Jeff Bezos is the world’s richest human being, that the GDP of Argentina is $620 billion, that 71 percent of the world’s population lives on less than $10 a day, or that Apple’s shares are trading at a particular multiple of the company’s earnings per share?

 ‘Ebay for CryptoKitties’ Raises $2 Million from All-Star VCs
Digital goods are just getting started and marketplaces seem like a natural way to exchange them.

 users need a place to more easily buy and sell those items.

It turns out OpenSea wasn’t alone: the decentralized online marketplace for physical itemsOpenBazaar has plans to open up its platform for digital items such as CryptoKitties as well, plus OPSkins recently created Wax, a platform for spinning up decentralized exchange services for these items.

Word on the street: A big week for institutional interest in crypto

includes:

JP Morgan’s boss of blockchain project says more to come

NYSE owner planning bitcoin swaps and crypto exchange

Former Goldman Sachs president backs blockchain

The 10 largest ICO fund raises: successes, controversies and lessons learned
The top ten ICOs have been very successful in gaining early positive attention around their projects; however, many on this list have had lackluster performances in the time since their ICOs.

Final Thoughts

Bitcoin and the crypto markets more widely look susceptible to a short term price drop. Long term, there are are still many positive signs that it will “blow up.”

For me, I grew up listening to hip hop, I grew up in Oakland. It’s a little bit more like, “let’s try to make something that doesn’t suck, let’s try to do great stuff, let’s try to make big things”. But it’s a little bit less of, “let’s create an in-crowd and define all the things that that in-crowd hates so that we all feel closer to each other”.

Cryptocurrency and Bitcoin in Google Trends

Inspired by a post at WooBull on using Google Trends to detect Bitcoin price bubbles, here’s an updated Google trends graph of the terms “BTC USD” and “cryptocurrency”, which we added for comparison sake.