Russian Seizures

Russia and Venezuela are hoping for state-sponsored virtual currencies to help them cope with sanctions imposed by the United States through decentralized battleship mechanisms and other similar projects. This marks the New York Times in an overview of the plans of the two countries, some of which have been publicly available in recent months.

The publication notes that "the new kind of money and financial infrastructure beyond the control of any central government, especially the United States," provides an enticing model for Moscow and Caracas. It recalls that central banks in a number of countries, such as the UK and China, are also considering the possibility of using bit-like technology to create their own digital currencies. Such an idea is also being discussed in Israel, and steps have been taken in Lebanon and Dubai.

In Venezuela, President Nicholas Maduro of last year spoke of oil, supported by the oil, gas, gold and diamond resources of the country, and Russian President Vladimir Putin's sources spoke of Battle-based cryptobulb. Putin's regional economic integration advisor, Sergei Glazev, quoted from Russian editions as RIA "Novosti" and "Kommersant" that "the tool is very suitable" for "sensitive" activities and for making payments to business partners throughout the country world regardless of sanctions ".

Experts quoted by the New York Times are skeptical about the possibility that the two currencies will work the way governments in Russia and Venezuela would like, as their leaders will have some control over the currencies while their "non-state" analogs remain decentralized . Bitcain transactions, for example, are recorded with multi-computer-blocked technology and designed to avoid large financial institutions - just as emails allow users to avoid post offices.

Just because of the abolition of the intermediary, central bankers in some countries are skeptical about the idea of ​​their own digital currencies that will make it easier for citizens not to use intermediaries such as banks and credit cards. Representatives of the central bank in Germany, on the contrary, have stated that such a step "can be adapted" to the specific needs and requirements of the country's financial system.

After Maduro announced officially in December that "in order to overcome the financial blockade (the plans for a new cryptoplane) will help move towards a new form of international funding," Caracas set up a body to the government responsible for "petro" and appointed a team to develop. The currency will use the block technology, but its value will come from the provisioning resources, creating a link similar to the "gold standard". In theory, this can also cope with the problems of hyperinflation in the Venezuelan national currency Bolivar. Some experts believe that "open technologies" and decentralization, similar to the battlefield, are a solution to the raging economic crisis in the country.

The relationship between the currency and the oil resources of the government and the potential brake that this may represent for investors is not the only problem, the newspaper said. According to him, there is some irony in the interest of the Venezuelan authorities in the cripples - these have been used by the country's residents for several years, and with increasing interest, but the goal is to escape the grip of the government. For example, it helps the LocalBitcoins platform, whose transactions increased ten times in Venezuela only a year, according to the Chainalysis Data Analysis Company.

According to Randy Britto, Founder of the Battle of Venezuela, in Facebook, there were at least 10-20 arrests in December for activities with a battler, twice as many as in the past year. Part of the problem is that buying foreign currency in Venezuela is illegal. According to Venezuela, in 2004, Brito, who now lives in Spain, everyone in the group realizes that the government is punishing its citizens for the same activity at national level as it is trying to do with the international financial system. Meanwhile, an organization that is involved in crypto-loop transactions in Venezuela reports that in September last year, cryptogonnet deals amounted to 40 billion Bolivar (currently around $ 4 billion)."The diggers in Venezuela are mainly young entrepreneurs, mostly men familiar with the world of technology, middle class or wealthy," the BBC wrote in its Spanish version last year.

And in Russia, President Vladimir Putin has highlighted the dangers of both over-regulation of the digital world and the abuse of digital currencies - including money laundering, tax evasion or terrorist financing. Putin, however, has shown that he allows the use of such technology if he is under state control, writes the New York Times and recalls his meeting in July last year with the creator of the Ethereum criptile network creator, Vitalek Buterin, a Canadian of Russian descent.

But the Russian economy is doing much better than the Venezuelan one, and Moscow would not hurry so much with similar plans as Venezuela. According to Russia's Ministry of Communication, the "crypttorrule" will be built in a way other than a battlefield, and there will be no need for a "digging" technique that allows the launch of battlefields. Minister Nikolay Nikiforov specified in October that there is a government decree to develop "crypttorrule", which he says should be released quickly, because if Russia does not do so within a few months, other countries in the Eurasian economic community will do so.

This currency would facilitate traceability of transactions - an advantage in a country that has a problem not only with sanctions but also with tax evasion. However, Russia is far from putting such a currency, the Financial Times said earlier in January, adding that Moscow's policies in the area were in contrast to those of Belarus. President Alexander Lukashenko has legalized the battleship and the "digging" of cripples at the end of December last year.

Bitcoin - bubble or ideology

Bitcoin passed the $ 4,000 mark during yesterday's trade (Aug. 13, 2017), but that could not be news. For the next week or even tomorrow, the price of the crypto-wave can now be over $ 6,000.

Investors are excited, economists are watching the situation, business is already introducing blocks and technologies based on blockchain. As these lines were written, Bitcoin night achieved its new highest value in its short but stormy story. During today's trade, Bitcoin cock reached a level of $ 4,225.40, which is the new peak, according to CoinDesk. The total market capitalization of the most popular cryptoLight is 70 billion dollars. The number of Bithoin in circulation or, in other words, Bitcoin mining amounts to 16,505,075, according to CoinMarketCap. All this, amid the fact that the maximum volume of battleships or those that can be dug is fixed at 21,000. The financial world is divided - some support the block infrastructure, such as those who trade in virtual assets and invest in such technologies, and others rightly point out that, as far as virtual currencies are concerned, the situation meets the definition of "bubble". The cost of Bitcoin Knight has multiplied by 7 in the last 12 months, rising from $ 600 to over $ 4,000 over the past 12 months. Or approximately 600% on an annual basis.

Writing for a Bitcoin is a bit strange, because, due to its volatility, in 5 minutes the exported data may not be up to date. Let us then concentrate on the general picture. The situation is such that a battleship can achieve serious growth. Some even predict that after the last battleground is dug, the price of the crypto hit may reach $ 500,000. However, the extreme volatility of the virtual currency may cause sharp falls in price literally in minutes. If this happens and the price does not bounce back to the heights, then it will not be unfair to conclude that the balloon has burst. Moreover, Battlecourse has already demonstrated this for some weakness, and for others - for strength. Depending on how you take advantage of the circumstances surrounding digital assets. But let's recall what happened about 4 years ago.

By the end of 2013, Bitcoincourse had reached an estimated $ 1,200 in a market capitalization of nearly $ 14 billion. The virtual currency jumped at a speed that made the financial world talk about it.

At the beginning of 2013, the cost of a battleship was about $ 100. On May 3, 2013, for example, Battlecamp is traded at $ 83.02 for a total market capitalization of less than $ 1 billion ($ 992) million, according to CoinMarketCap. But in mid-November, Bitcoin core began to reach prices of $ 200. With only one mild correction, in less than a month erupted to 1155.05 dollars and a total market capitalization of nearly $ 14 billion. All this to meet the new year at a level of about $ 750, and a few months later flirting with an even lower price in the range of $ 400-600, dropping finally below $ 500 in mid-August 2014.

It took about two years to fly over $ 500, and at certain times he went on and at levels of about $ 200. So at the end of 2016, what we are seeing today is happening. Just this year, Bitcoin camp probed $ 2,000 and $ 3,000 and $ 4,000 in a row, and that could only be the beginning. The situation in 2013 was quite different from the one in 2017. Perhaps because of the then boom in digital asset trading, a number of developers and well-established companies have turned their attention to crypto-clay. Countries that legalized digital money as an official payment instrument began to appear one after the other.

Nowadays, block technology is now considered the "new internet" and a starting point for the future of business, and an investment in digital assets such as Battlefield, Ether, Ripple, Bitcoin Cash, Litecoin) and others turns out to be quite lucrative. The total market for all virtual currencies is estimated at approximately $ 140 billion.

Virtual currencies have also created a new start-up financing system - ICO (Initial Coin Offering). Here, like IPO (Initial Public Offering), companies can offer investors a new token, crypto, or something like a voucher for a block-based service. New and new block designs are emerging on the horizon, each of which offers investors a different new crypto-shape. ICO even use businesses where a real block is only part of their model but not a core business. Something like making a limited supply of primary cheaper betting chips in an online portal, the cost of which depends in real time on the success of the betting site itself.

Apart from talking about raising funds in a completely unregulated market, everything is literally in minutes. There are already examples of ICO emissions that have raised $ 25 million in a 15-minute period.

The most significant amount raised through ICO was recorded in July this year, when anonymous to date company Tezos managed to raise $ 232 million in battle and ether.

Things are so real that the Swiss bank Falcon has been providing digital asset management services to its customers for a month. That is, virtual currencies are already present even in the Swiss banking system. When talking about block technology out of the context of virtual currencies, the situation looks promising in a different way. Technology companies such as Cisco integrate block based systems. The financial institutions Unicredit, Deutsche Bank, HSBC, KBC, Natixis, Rabobank and Societe Generale also form a block payment infrastructure for companies with conventional national currencies. Even one of the 12 US Federal Reserve Bankers said in the middle of this year that block technology may have greater potential than virtual currencies.And how much this comes to support the new ecosystem built around digital assets, it also questions the future of the virtual currency itself. The real value behind the cost of a battlefield is the efficiency of the infrastructure behind it. Bloccene technology is now multiplied into all sorts of clones applied to a variety of activities that could exist without cryptoLight, especially in the context of a private business such as banking services.

The cost of the BitcoinKey is built entirely on the trust of consumers and investors. The more you trade and make payments with it, the higher the value will reach. All of this may collapse as the value of virtual currencies is built on something that has no measure of inferiority or a conventional precautionary measure. It has confidence that creates value on its own. Desire, through peer-to-peer connectivity, ordinary people are independent of any regulation - protectionist or not. At least, this idealistic lay at the foundation of the Battle Eyesystem in the days of its birth.

Still, against the backdrop of the fact that block is the big innovation, virtual currencies are starting to look more and more like a natural pyramid. It's as if everyone knows this is a balloon, but they do not want him to stop inflating because everyone wins something concealed behind peer-to-peer ideology. Too unsustainable, some say. That is why the question "when," instead of "how," comes up on the agenda. Not how much a horse will cost, and when the bubble bursts. We have contributed a number of factors to such circumstances. The predictions that the Battlecamp will rise to $ 500K will not be enough. Bitcoin will reach the limit of your feed. More and more countries will be tightening rules around digital assets, as is already happening in the US. In the States there are investigations and revisions from official authorities to virtual currency businesses. As a result of this pressure, Bitfinex's third-largest world-wide stock-market, stops serving its US customers, the stock exchange announced late last week via its official website.

Additionally, in the world of digital assets something revolutionary happened - a code was added to the original software of the block technology behind the world's most expensive crypto-globe. The official reason is the speeding up of transactions due to the huge system load, while the unofficial might sound and more transactions = more profits. However, this is a soft approach. A separate group of representatives of the Battlefield ecosystem stood behind a brand new block and its new adjoining cryptolite - Bitcoin Cash. And again the official reason is faster and more efficient payments. So all the Bitcoincats have automatically received their bets on the worldwide stock exchange BitcoinKeys Cash, the number of bits on the bills. As a result of the events called "split-of-two" or "soft fork" and "hard fork" by Western media, one of the biggest battlegrounds in the world, Coinbase and GDAX announced a boycott of Bitkine Cash. Users will be free to download the newly acquired BitcoinCash from their accounts as of 1.01.2018. And notice - just to download it, but not to trade it on the appropriate platforms. As a result, the price of the new cryptographic dropped from nearly $ 800 to about $ 320. So we are already witnessing a divide in the world of digital assets. A division, against the backdrop of the ideal of freedom from national regulations, is a good reason to undermine confidence. In a world of more and more intrusive automation, a block can have tremendous influence through the ability to automate processes related to short-term decisions. And this is already happening in areas such as finance, healthcare, public services, and so on.

The ecosystem based on virtual currencies and the technology behind them is actually unpredictable. This is due to the lack of regulations and the uncertainty of their possible introduction. However, pricing records that harvest a battlefield clearly indicate that at least for now the virtual currencies continue to be the phenomenon that distributes serious conditions among people who have not had such opportunities so far. Times are interesting, which is not necessarily a good sign for investors in digital assets. Of course, in the end, it all depends on which side of the virtual coin you will end up with.

Why bitcoin is so expensive?

A few years ago, the topic of virtual currencies sounded like a science-fiction tale. A number of conventional analysts saw in the new block technology a short-lived balloon that has no clear future and accurate application. To date, however, those who believed in bitcoin and put money and effort into the newly created market can boast of a serious state. Bitcoin is now more expensive than the eternal asset - gold. Of course, the noble metal does not have the negative quality of lowering its price in minutes, but to date it seems that its most serious competitor in terms of price and yield is crypto-lute.

This is because the virtual currency, characterized by its volatility, can bring both large losses and incredible returns. The latter found his testimony this week after Bitcoin hit his highest value on Friday as he hit the white world. During morning trading on Friday, the most popular crypto hit reached $ 1,343.59, according to CoinDesk. Thus, from the beginning of the year, cryptoLight is adding up to 38% of its price after starting in 2017 from a price of $ 968. For comparison, the cost of investment gold jumped 10 percent from the beginning of the year to $ 1,266 an ounce, according to goldprice.org. So real,

But why does bitcoin appreciate right now? The reasons are several.

More and more countries are officially recognizing cryptoLights as a legal tender. To be honest, the countries where the crypt is illegal are counting on the fingers. For example, Ecuador, Bolivia, Kyrgyzstan, Bangladesh and a few other colossus in the world economy. It has recently become clear that Russia will also give legal status to virtual currencies in 2018, following the example of Japan, which has already done so. So real, bitcoin and other similar means of payment are building an ever larger ecosystem in which they can operate legally and serve as exchange units. The more transactions a crypto-point gets, the higher its cost becomes.

Blokchene technology is called by some experts a natural pyramid. The main thing is that it builds on the confidence and willingness of investors to stay behind it. This happens even after a number of collisions on global bitcoin trading platforms, which gives the absolute support that crypto-payers receive both as a means of payment and as a payment infrastructure.

Despite the undoubted success of bitcoin in recent times, the main reason for reaching unprecedented values ​​is quite rational - the next step for crypto-lute is now officially done. Earlier this year, the Wincwows twins (those who sued Zuckerberg to steal the idea of ​​Facebook from them) stood behind the first-ever ETF, whose yield is measured on the basis of the bitcoin price. Initially, the US Securities and Exchange Commission did not give approval to Wincourse's ETF, but the situation changed the theory this week. The US regulator has returned his decision to review and by May 15 this year will hold opinions "for" and "against" the official entry of bitcoin on conventional capital markets. This was perceived as a second chance for the ETCO based on bitcoin, which provoked a massive takeover of the cryptoLight, raising its price to a record high. If the innovative ETF gets a green light from the stock regulator, we can actually see an even greater leap in the bitcoin price. So far, however, these are just speculations, as it will be really difficult for crypto-banks to take part in regulated stock markets, whether through an exchange-traded fund. The reason lies precisely in the word "regulated" markets. The fact that states around the world legalize the viral currencies does not mean that they are already regulated. Block technology is not really subject to regulation, but only to careful observation. However, innovative technology is an alternative to our well-known payment systems, not a copy of them. So there is hardly a stock regulator in the world to approve a financial instrument that is not subject to control. This means that the new highest bitcoin price is likely to be a short-term phenomenon, which does not prevent many investors from capitalizing on the crackling mania lately.

Nevertheless, the fact that we are already talking about the ETF based on crypto-loudspeakers shows how serious the technology behind them has been going through in just a few years. No wonder, one day, virtual currencies can actually be traded on regulated markets, but so far they remain an inspiring (and profitable) alternative to familiar rules. Rules that, in the current economic and political turmoil in the world, will increasingly change their faces. A world in which the thirst for control and over-consumption is on top, is unlikely to turn into an instrument that is unattainable to control, which is the crypto-lute.