Policymakers Shouldn’t Fear Digital Money: So Far It’s Maintaining the Dollar’s Status

CoinDesk columnist Nic Carter is a partner at Castle Island Ventures, a public blockchain-focused venture fund based in Cambridge, MA. He is also the cofounder of Coin Metrics, a blockchain analytics startup. On May 9th, 2019, Representative Bradley Sherman, member of the House Banking Committee, made an impassioned speech in Congress about cryptocurrency. In his speech, the mask typically worn by policymakers slipped: his words betrayed the threat that cryptocurrencies pose to the state.   “An awful lot of our international power comes from the fact that the dollar is the standard unit of international…

Bitcoin Coders Confront an Old Quandary: How to Upgrade an Entire Network

An old debate is resurfacing in the bitcoin developer community, underscoring one of the critical challenges facing decentralized systems: how to update the software when ostensibly no one’s in charge. The catalyst this time is called Taproot/Schnorr, a years-in-the-making privacy and scaling upgrade that’s seen exciting progress recently, especially now that the code in the form of a “pull request” is being reviewed and tested, bringing a change first discussed years ago closer to reality. The code change itself isn’t controversial among developers so far. What is up for discussion…

Crypto Industry Lauds Token Safe Harbor, But Warns of Risks

SEC Commissioner Hester Peirce wants to give token projects three years to adequately decentralize their networks before worrying about securities laws. Industry participants believe some kind of so-called “safe harbor” is necessary, and praise Peirce’s proposal for providing a reasonable plan for creating one. Questions remain, including how to define network maturity and what happens to tokens deemed immature under Peirce’s definition.  While Peirce’s proposal will not need an act of Congress to take effect, it will require other SEC commissioners to sign on, and it is unclear whether this…

Samsung Continues Support for Crypto with New Flagship Smartphone

Samsung Electronics’ newly launched Galaxy smartphone will come with the same crypto storage facilities found on previous models. Unveiling the Samsung Galaxy S20 range recently, the Korean tech giant said the phone’s security system includes a new “secure processor dedicated to protecting your PIN, password, pattern and Blockchain Private Key.” Although Samsung gave much more website real estate to the S20’s improved battery-life and picture-capturing capabilities, the reference to private keys suggests Samsung’s new model will continue to have the same cryptocurrency storage facilities found in previous models. Cryptocurrency private…

Crypto News Roundup for Feb. 18, 2020

With the price of bitcoin breaking below last week’s critical resistance, Markets Daily is back with another time-saving news roundup. Disclosure Read More The leader in blockchain news, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. Source link

Crypto Firms Should Get Behind Peirce’s Safe Harbor Proposal, Even if It’s Unlikely to Become Law

Carol Van Cleef is Chair of the Blockchain and Digital Assets Team at the law firm Bradley Arant Boult Cummings. Addison Yang is CEO of Luminous Group, an advisor on blockchain projects. Peirce’s CoinDesk op-ed about the safe harbor proposal is here. Preston J Byrne’s take is here. We confess that, on first read of SEC Commissioner Hester Peirce’s safe harbor (SH) proposal, we were skeptics. It is very limited in scope, is only a rough draft, and appears to have little-to-no chance of becoming law, as Peirce’s term as…

US Presidential Contender Michael Bloomberg Proposes ‘Clear Regulatory Framework’ for Crypto

Presidential candidate Michael Bloomberg proposed creating a regulatory framework for cryptocurrencies in a new financial regulation plan unveiled Monday. Bloomberg’s campaign published a financial reform plan Tuesday, advocating for greater consumer protection measures and a stronger financial system. Specifically, the proposal suggests requiring financial institutions to monitor risk exposure, recording all financial transactions in a centralized database, strengthening the Consumer Financial Protection Bureau and a number of other recommendations. The proposal also recommends creating a regulatory sandbox for startups and “providing a clear regulatory framework for cryptocurrencies.” “Cryptocurrencies have become…

Hester Peirce: Tell Me How to Improve My Safe Harbor Proposal

Hester Peirce is a Commissioner at the Securities and Exchange Commission. The views here are her own and do not necessarily reflect the views of the SEC Commission or her fellow Commissioners. She can be contacted at CommissionerPeirce@sec.gov. Earlier this month, I proposed a securities law safe harbor for token distributions. My motivation was the fear that many crypto entrepreneurs have: that a token distribution might be deemed by my agency – the SEC – to be a securities offering.  How, then, is a would-be network supposed to mature into…

Erik Voorhees: Within Five Years There Will Be a Major Financial Meltdown and Crypto Will Be Ready

I first met Erik Voorhees in Amsterdam, back in the summer of 2018, while covering a fintech conference called Money20/20. The conference was a circus. (Literally a circus, complete with trapezes artists, mimes, and a unicyclist.) The panels focused on stuff like artificial intelligence, biometrics at the cash register, and how to use big data. But where was bitcoin? Where was blockchain? Sure, there were some panels on cryptocurrencies – maybe 15 percent of the total – but if we’re predicting the “future of money,” why didn’t blockchain have a…