Until the hash war ends, there is no splitting of Bitcoin BCH for peer-to-peer cryptocurrency exchange Remitano.
The P2P exchange suspended its BCH deposits and withdrawals prior to the November 15 protocol upgrade, which also saw a hash war being fought with miners voting between the Bitcoin SV (Satoshi Vision) and Bitcoin ABC implementations of the BCH protocol.
Remitano has already announced that it would resume processing deposits and withdrawals of BCH. But unlike other platforms that have prematurely given the BCH ticker to ABC after it took a temporary early lead, thanks to an artificial burst from “rented” hash power subsidized by Roger Ver’s Bitcoin.com and from Bitmain Technologies, Remitano opted for the “responsible” route—that of the Bitcoin way.
On its website, Remitano declared, “Looking at the events of the hash war, we find it irresponsible to simply give BCH ticker to either Bitcoin ABC or Bitcoin SV. As the original white paper stated, whatever the longest chain should be followed.”
“We will resume BCH deposits and withdrawals shortly, with the condition that every Bitcoin Cash transaction that transacted with us will need to be mined on both chains. So we will be listening for blocks on both Bitcoin ABC and Bitcoin SV, and will only credit people who have cast their transactions to both chains,” the exchange explained. “We will also broadcast withdrawal transactions on both chains to make sure it will be mined on both chains. We believe it is the only responsible solution for now and we would recommend any exchange or payment gateway to do the same.”
BCH transactions that only validate on one chain will not be credited on the Remitano platform, at least until the end of the hash war. According to the exchange, such “will be the case when you withdraw from any exchanges that decided to give BCH ticker to either BCHABC or BCHSV.”
Remitano, a product of Seychelles incorporated Babylon Solution Ltd., provides escrowed P2P marketplace for buying and selling Bitcoin BCH, as well as other cryptocurrencies like BTC. Remitano currently offers services in the United States, Australia, Malaysia, Nigeria, Vietnam, Cambodia, and China.
Aside from Remitano, several major crypto exchanges have accommodated BCHSV and BCHABC.
Last Friday, Binance distributed both coins to all eligible users in a 1:1 ratio, based on the snapshot of all BCH balances taken last November 15 at 4:40 p.m. UTC. The platform also opened trading for BCHABC/BTC, BCHABC/USDT, BCHSV/BTC and BCHSV/USDT on November 16.
Bitfinex has also assured its users that the platform would “not advocate for or against any particular fork, and miners have full prerogative to commit their hashing power to whichever projects they choose.” The exchange also introduced its Chain Split Tokens so traders can trade BCHABC and BCHSV against USD and BTC. According to Bitfinex, “Upon creation by a user, the BCH will be debited from the user’s account and an equivalent amount of BAB and BSV will be credited. Users will be able to reverse this process at any time using the Token Manager.”
BAB and BSV have been successfully credited to Bitfinex users and BCH positions have been claimed. The BCH symbol will not be assigned until the fork is complete.
— Bitfinex (@bitfinex) November 15, 2018
Meanwhile, HitBTC offered pre-fork trading for BCHSV and BCHABC as part of its bid to encourage “the free choice of our community to support either of the new chains.”
In a blog post, HitBTC explained that its stance was a part of the exchange’s strategy. It stated, “By allowing the traders to determine a consensus for the future of the projects, we are essentially supporting the decision-making of our community.”
The hash war is far from over as Bitcoin SV’s strongest supporters, CoinGeek and nChain, are committed to a long term fight using their legitimate, sustained hash—long after Bitmain can no longer afford to bleed money for rented hash. It’s worth noting, however, that nChain is not seeking a Bitcoin variant with Bitcoin SV, it’s simply providing another choice for BCH miners.
One thing is for sure, Bitcoin BCH—with Bitcoin SV—has finally come of age, and it’s no longer a dev experiment, but a mining-backed project. If you’re interested in seeing the true original power of Bitcoin, we recommend you to join the bComm Association and to also come to the CoinGeek Week conference from November 28-30 (with a special advance Miner’s Day on November 27), the perfect venue to meet the thought leaders and discuss the implications of the world’s first Bitcoin Hash War fought according to Nakamoto Consensus. Be part of the community that wants to let the original Bitcoin show the world its true power as sound money and so much more.
The post Remitano, major exchanges opt for ‘responsible’ route in Bitcoin BCH hash war appeared first on Coingeek.
As a militant atheist, I am often struck by my fellow rational travelers’ foray into state worship. Library shelves are filled with sublimation, psychologically replacing the need for a sky god, father figure, with big daddy government. The simony of indulgences by robed dudes is now the distinct ethical and moral jurisdiction of politicians. If an elected representative, or enough of them, is convinced X far off land poses a threat, normally sane folk appear all too eager and willing executioners. The cross, at least in the West, is simply replaced with the flag.
Here in the United States, Veterans’ Day has recently passed. For the vast majority of my countrypersons war is synonymous with honor and duty, and so there’s very little association made between mass murder and how it’s always a government policy in need of funding.
Less still is any connection whatsoever to troops soldiering around Southwest Asia and filthy fiat lucre sloshing about the average person’s pocket. When various progressive news outlets make a claim to military spending or tally, they’ll do so in comparison to other government programs such as health care. Why, “we” could be spending expropriated tax revenue on schools, roads, environmental protection! Those zillions could be put to better use!
Stupid Brandon Theory
And if economic theory enters the discussion at all, it’s usually to trot out Keynesian tropes turned articles of faith about the fiscal benefits of, say, World War II and how it brought the U.S. from the Great Depression (caused of course by too much economic freedom). All ordinance flung around Europe and the Pacific, the uniforms, arms, planes, battleships, and millions killed jump started a dormant American economy.
I refer to it as Stupid Brandon Theory (SBT). My grade school friend and I attended hair metal concerts, and on one such walk to the arena to see the band Ratt, my stupid buddy Brandon began tossing food wrappers with abandon. What the fuck, I admonished after about the third or so hot dog napkin floated to the ground in clear violation of a basic societal norm. The littering asshole smiled and chewed as if this was his usual practice.
He explained to me, in all earnestness, he was “creating jobs.” The way SBT figured, those wrappers would eventually need to be picked up, dealt with at some level, and, well, the most efficient way to get any task done on a large level is to hire someone. Numbnuts Brandon, job producer. Hahaha. Little did he know if he’d only refined his vocabulary a tad, used terms like elasticity, he’d probably earn a Nobel Prize.
Those who dared say no to war
Modern economists have all but embraced SBT, and without irony fill undergraduates’ soft heads with charming notions of conscription (slavery), assembling full scale human slaughter, as consisting of a net economic benefit. It’s so absurd as to hardly merit intellectual takedown, though some wag once proposed skipping mowing down millions of souls, and just building a shit ton of ships, planes, munitions, and bombing them into oblivion somewhere far out in the ocean: all the economic benefit with none of the icky blood.
Those who dared say no to war are not celebrated in my neck of the warring woods. We much prefer chugga-chugga guitar riffs and tattooed dudes in desert fatigues looking fierce in recruitment videos to that of conscientious objectors and peacemakers. The economics of the matter, again, are never really addressed.
One American statesman did, however, attempt at making the economic case. Ron Paul, a longtime congressman from Texas, once asked an audience how much per day the country was spending on its sacking of Iraq and Afghanistan (last month marked 17 years of U.S. occupation). The answer he gave was per-person, and the number was staggering. The total bill, just for reference might be, say, $40,000 per U.S. citizen (I made up that number, but it’s not out of the question). What if, Paul asked pointedly, you were told to pay up front before your government went off to adventure in foreign lands?
The crypto mitigation
Perhaps my notoriously blood thirsty countrymen might not be so quick to urge intervention and “kill ‘em all” if presented an invoice. $40,000 immediately, right now, would involve grave opportunity costs and tradeoffs for a great many people. Few could afford it, and fewer still would seriously entertain handing it over, and that’s before any kind of moral or ethical argument.
The tragic failure to divorce state from money, to separate as the U.S. has rightly church and government, is what is really at issue. Politicians have access to the printing press, admittedly in digital form, and can grant themselves the world’s best (or worst) credit card. First they go to war, using whatever urgent pretext, and then politicians collect through inflation by way of central bankers at its Federal Reserve (Fed).
The Fed can issue IOUs for the world’s reserve currency, and then push and pull on the money supply to seigniorage-infused riches the average person can hardly imagine. It’s SBT on steroids. The only answer to slowing war, which is a government program and nothing else, is slowing, starving government. The only way to accomplish that in our lifetimes is through cryptocurrency. Iterations such as Bitcoin Cash have the potential to be that so badly needed separation between our new religion, government, and sound wealth based upon production rather than destruction. The more we use crypto, the more we sideline our reliance on fiat, the more steps are made toward peace … even if only by accident.
Edward Kelso is a financial technology journalist based in Southern California. Follow him on Twitter.
Note: Tokens on the Bitcoin Core (segwit) Chain are Referred to as BTC coins. Bitcoin Cash (BCH) is today the only Bitcoin implementation that follows Satoshi Nakamoto’s original whitepaper for Peer to Peer Electronic Cash. Bitcoin BCH is the only major public blockchain that maintains the original vision for Bitcoin as fast, frictionless, electronic cash.
The post Widespread crypto adoption could mitigate against gov’t martiality, foreign adventurism appeared first on Coingeek.
With the November 15 Bitcoin BCH network upgrade, where the Bitcoin SV and ABC implementations are being voted on, it might seem that everything is riding on the outcome. Yet Dr. Craig Wright, nChain chief scientist, is more intent on presenting the possibilities unlocked by adhering to Satoshi Nakamoto’s vision for Bitcoin as a decentralized ledger.
“[E]ven with a dispute as we see today between ABC and SV no loss of transactions would have occurred on the SV chain. Our solutions and businesses deploying these would not even have to concern themselves with the ongoing ‘hash war.’ The system is that resilient,” Wright said in a post on Medium.
The Bitcoin SV upgrade allows for a maximum block size of 128MB, which Wright says will eventually be replaced by a removal of the block cap. This will allow for the handling of “as many transactions as people are willing to send us,” according to him.
Wright noted that there are already numerous applications of Bitcoin BCH, hundreds of them even, “that we will provide to developers seeking to extend the Bitcoin protocol on SV — not as a means to take down the state or anything along those lines, but simple and boring uses such as technological data plumbing.”
Among the inventions he cites are tax invoices and a contract exchange platform, available on the BCH blockchain at a fraction of the cost anywhere else. “The reality is that an exchange would be able to occur for a cost lower than existing paper-based invoice and receipt systems… Most importantly, as the cost is paid as it is used, the system is not subject to volatility. Merchants would pay in their local currency and not care if the transaction was more or less expensive in bitcoin to USD terms. The number of bitcoins required will fluctuate, but the costs to the merchant would be able to be stable,” he said.
With such a market not confined to a niche crypto community, but rather expanded to the entire world, Wright says that the systems being developed “will have billions of people using Bitcoin in the coming years, without even knowing that they are using Bitcoin. Basically, we seek to create a system that proves the ends which reflect how any good system should be — not one based on ideology and religious drive, but simple efficiency and value.”
If you’re interested in learning more about Bitcoin SV and all the new developments in nChain, join the CoinGeek conference in London from November 28 to 30, with the special, invitation-only Miners Day event on November 27. It’s the perfect opportunity to meet the members of the BCH community and discuss not just the ongoing reality of Miners Choice for Bitcoin going forward but also why enterprise applications needing Bitcoin should stop moving in order for the ecosystem to grow. Secure your seat to the four-day conference today via Eventbrite. Also, join the (free) bComm Association and be part of the crypto revolution.
Note: Tokens on the Bitcoin Core (segwit) Chain are Referred to as BTC coins. Bitcoin Cash (BCH) is today the only Bitcoin implementation that follows Satoshi Nakamoto’s original whitepaper for Peer to Peer Electronic Cash. Bitcoin BCH is the only major public blockchain that maintains the original vision for Bitcoin as fast, frictionless, electronic cash.
The post As hash war continues, Craig Wright takes care of business appeared first on Coingeek.
Now that the Bitcoin BCH hard fork is behind us, there are a lot of questions on what is going to happen going forward. In just over a week, cryptocurrency miners can find the answers to their questions at the CoinGeek Week conference, which will feature a day specifically for miners and mining activity. This day is crucial to anyone in the mining space in order to understand where mining stands today and where it is going.
There’s no doubt that miners are the most important facet of the crypto ecosystem. Miner’s Day has been added to the front end of the conference in order to highlight their importance and to begin the conference with the most talked about subject in crypto. While CoinGeek Week is going to be one of the most important conferences of the year, Miner’s Day stands out as a pivotal opportunity to help forge what lies ahead.
CoinGeek Week will be held November 28-30 at the Mermaid at Puddle Dock in London. Miner’s Day, taking place on November 27, is an invitation-only event—open to miners, equipment manufacturers, mining pool representatives, mining software developers and anyone in the mining community.
The rest of the conference will include participation by a number of experts in the crypto space—Dr. Craig Wright, Michael Hudson, Joannes Vermorel, Dominic Frisby and many more. Day 2 will focus on application developers, while Day 3 is for application merchants. The first three days of activities will be followed by networking events, giving attendees the perfect opportunity to expand their list of contacts and build their business and personal circles.
The last day will look to the future of cryptocurrency. It will highlight what’s in store and how Bitcoin BCH is shaping the commerce environment. Afterwards, attendees are invited to participate in an after-party thrown by CoinGeek’s founder, Calvin Ayre, to celebrate the end of another successful CoinGeek conference.
Time is running out and so is the space. There are only a limited number of tickets remaining, so purchase yours today. If you prefer to pay with Bitcoin BCH, you can do so directly on the CoinGeek website. If you prefer to pay with a credit or debit card, check out CoinGeek’s Eventbrite page. Don’t just watch history—be a part of it.
The post Why CoinGeek Week’s Miners Day is critical to the future of Bitcoin mining appeared first on Coingeek.
The Finance committee of Canada’s lower house wants the cryptocurrency trade to be in compliance with anti-money laundering (AML) and anti-terrorist financing (ATF) regulations.
In its report reviewing the Proceeds of Crime (Money Laundering) and Terrorist Financing Act, the committee, headed by Malpeque MP Wayne Easter, said that cryptocurrency exchanges should be considered money service businesses (MSBs) for activities involving the exchange of cryptocurrencies to fiat.
With exchanges considered as MSBs, “any persons or entities dealing in virtual currencies will need to implement a full AML/ATF compliance program and register with FINTRAC [Financial Transactions and Reports Analysis Centre of Canada],” the committee report read.
The desired regulations, according to the committee, would provide authorities with the identity of users of cryptocurrency wallets, upon demand. This will “[e]nsure that bitcoin purchases of real estate and cash cards are properly tracked and subjected to AML regulation,” the report read, adding that “[l]aw enforcement bodies must be able to properly identify and track illegal crypto-wallet hacking and failures to report capital gains.”
The committee noted, based on witness testimony, that “lawyers and real estate agents do not check their clients against sanctions list, and that no list of ML/TF bad actors is readily accessible in Canada apart from that provided by Global Affairs Canada, which is of limited use to the AML regime.” On the other hand, the UK government was said to provide a list for which reporting entities were required to screen clients.
It was also stated that “some witnesses” claimed an estimated 80% of cryptocurrency’s value “could be linked to the proceeds of illegal activities.” This is significantly higher than the findings of blockchain forensics firm CipherTrace, whose report showed that in 2018, as of September 29, 4.7% of total BTC received in countries with weak regulations were from illegal operations.
The Finance committee said that “while the risk of cryptocurrencies being used to launder money is low, it is a very high risk for being used as a payment method for criminal activity.”
The UK’s Treasury committee, in a report released last September, cited the same concerns of cryptocurrencies being used by criminals, while also warning of the volatility in cryptocurrency markets that puts investors’ savings at risk.
Canada has been a favored location for cryptocurrency miners, due to its relatively low-cost energy sources. DMG Blockchain Solutions’ 85-megawatt mining facility just began operations this month in its 34-acre property in British Columbia.
The post Canadian Parliament committee pushing for AML compliance of cryptos appeared first on Coingeek.
Cryptocurrencies continue to grow as an alternative around the world and nowhere is this as evident as it is in Australia. The country is adopting crypto at a rate faster than most countries and residents have several options available to them to pay for virtually anything using digital currency. There is soon to be a new option added to the mix, thanks to a partnership between blockchain-based tech company Ivy and HiveEx.com, a crypto brokerage.
The two companies have teamed up to offer IvyPay, which will allow crypto owners to use their holdings to pay bills or to transfer funds directly to their bank accounts. The platform is designed to give crypto a huge boost as an alternative to fiat and fill a void that the companies feel has been keeping mainstream adoption from expanding more rapidly.
HiveEx co-founder Fred Schebesta explains, “Despite cryptocurrency being around for the past decade, it still has quite a while to go before it’s as widely used as fiat currencies, like the Australian dollar. We wanted to help build a platform to bridge the gap between fiat and crypto.”
A survey conducted by HiveEx showed that around 10% of Australians feel that the inability to transfer their assets to their bank accounts was a huge obstacle for adoption. Given that there are an estimated 2.58 million Australians with crypto holdings, there is a large market for a platform that can bridge that gap. Adds Schebesta, “We think that this will inevitably increase as there are more options to use it. We’ve seen the power of this technology and how it can become a better banking system, but without mass integration and acceptance by traditional financial institutions there are limited ways of using it.”
IvyPay will manage all transactions using the company’s own IvyKoin cryptocurrency. Each token will be imbedded with the necessary personal data in order to comply with Know-Your-Customer regulations around the globe.
HiveEx was founded by some of the same individuals that founded finder.com.au. According to a company statement, it has traded more than $15 million in the past three months and “operates everything from large OTC trading to bill payments.” Ivy builds blockchain-based technology for business transactions of both fiat and crypto.
The platform isn’t live yet, but is expected to be launched before the end of the year. If everything goes well, the platform will then be rolled out to other regions, including the U.S., Europe and parts of Asia.
Last month, Singapore-based cryptocurrency exchange Huobi announced that it was expanding across the Middle East and Africa. That is just part of a global expansion plan currently being undertaken by the third-largest crypto exchange – based on trading volumes – and is in addition to its goal to set up an office in Russia. That goal has now been reached, but the company says that it has much higher ambitions for the country than just offering an exchange.
Huobi is the first major crypto exchange to have a physical presence in Russia, complete with a Russian-speaking call center. Looking past the trading options, the company wants to also offer lending and space rentals to miners, provide an educational platform for blockchain and crypto innovation and also to help shape the country’s crypto regulations.
While several other exchanges, including Bitfinex, Binance and OKEx, offer a platform for Russian traders, and even have Russian interfaces, not one provides real-time support in Russia. Customers of those platforms who don’t speak Korean, Chinese or English are simply out of luck to finding immediate answers to their questions.
Huobi opened its new office in Moscow, complete with 30 staff members, about a week ago. The office includes the call center, as well as back-office support for over-the-counter listing and trading, as well as personal managers for certain high-end customers. The office manager, Andrew Grachev, told CoinDesk, “If someone wants to start trading with $1,000, he can come to the office and register with the help of a personal manager.”
Huobi Russia is running a campaign that offers commissions below 0.1% in an effort to drum up new business. The rate is applicable to anyone who trades over 50 Bitcoin Core (BTC) within a two-week period this month and is accompanied by a cash back reward that gives traders 20% back on trading fees in the form of Huobi’s own crypto, Huobi tokens.
While Russia is still trying to figure out if it’s in or out of the cryptocurrency ecosystem, the platform won’t be able to accept rubles for deposits. The head of the Center of Digital Transformations for the Vnesheconombank development bank said, “[Huobi officials] consulted with us a lot, and in the end, I think, we made them feel disappointed. They were interested in providing fiat operations, but we told them it’s impossible.”
In the meantime, Huobi will push forward with its other plans. It will offer blockchain training through a special course at Plekhabov University of Economics and will also provide laons to miners so that they can purchase equipment. It will also rent space to miners, with all of the new plans more than likely beginning in the first quarter of next year.
The post Huobi wants to be a crypto one-stop-shop in Russia appeared first on Coingeek.
It’s said that just because it looks good on paper, doesn’t mean it looks good in practice. This adage could hold true, in a way, for smart contracts. While they aren’t actually written on paper, their original design is proving to enjoy a more theoretical victory than a real-life one. Nick Szabo, who was originally behind smart contracts, has started to question if they make sense and even Ethereum’s Vitalik Buterin is someone turned off to them. Now, it appears that the U.S. Securities and Exchange Commission (SEC) isn’t behind them, either, and could actually prosecute someone who develops a smart contract – even if that person doesn’t use it.
In its Statement on Digital Asset Securities Issuance and Trading, which was published last Friday, the SEC asserts that a smart contract provides “the means for investors and market participants to find counterparties, discover prices, and trade a variety of digital asset securities.” It made several references to the contracts, pointing out how it has already prosecuted someone, Zachary Coburn, for “operating an unregistered securities exchange” using smart contracts that he had coded.
Coburn ran the Etherdelta decentralized exchange (DEX) and was fined $400,000 by the SEC. While the case seems to be straightforward – he was operating an exchange without approval – there’s more to it than that.
According to the Friday statement, the SEC states, “An entity that provides an algorithm, run on a computer program or on a smart contract using blockchain technology, as a means to bring together or execute orders, could be providing a trading facility. As another example, an entity that sets execution priorities, standardizes material terms for digital asset securities traded on the system, or requires orders to conform with predetermined protocols of a smart contract, could be setting rules.”
Therefore, someone who develops a smart contract could potentially be held liable for any activity that takes place on the contract. If computer code was once viewed as a form of free speech in the U.S., those days could be over.
Szabo recognizes the issue smart contracts are facing and suggests that he understands how a smart contract developer could be held liable. He said in a Twitter post last Friday, “‘Smart contract’ like ‘contract’ connotes a deal between people, but a deal intermediated and incentivized by dynamic machine-interpreted rules instead of the statically recorded human-interpreted rules of a traditional contract.”
Based on the stance of the SEC, which will certainly grow bolder moving forward, it would appear that smart contracts aren’t so smart, after all.
The post US SEC takes position against developers of smart contracts appeared first on Coingeek.
Last November 15, during the Bitcoin Cash (BCH) network upgrade, a hash war has been fought with miners voting between two competing implementations of the BCH protocol—Bitcoin SV and Bitcoin ABC.
As expected, Bitcoin ABC took a temporary early lead, thanks to an artificial burst from “rented” hash power subsidized by Roger Ver’s Bitcoin.com, which announced that it would use pool customer hash from the Bitcoin Core (BTC) network onto the BCH chain for 24 hours, as well as from ABC’s main supporter Bitmain Technologies.
The hash war, however, isn’t far from over. Bitcoin SV’s strongest supporters, CoinGeek and nChain, is committed to a long term fight using their legitimate, sustained hash—long after Bitmain can no longer afford to bleed money for rented hash.
On November 17, nChain CEO Jimmy Nguyen appeared on Keyport’s live stream coverage of the Bitcoin BCH hash war to speak the truth, as well as explain to the BCH community the consequences of their willingness to accept a burst of rented hash to quickly decide the hash war. And to those who are out there on social media, cheering for the supposed ABC victory, Nguyen posed this question: Is this the precedent we want to set for the Bitcoin Cash community?
Read the full transcript of Jimmy Nguyen’s Keyport speech below.
TRUTH AND CONSEQUENCES ABOUT THE ONGOING BITCOIN CASH HASH WAR
Jimmy Nguyen – CEO, nChain Group
Since the Bitcoin Cash (BCH) network upgrade on November 15, a hash war has been fought with miners voting between Bitcoin SV and Bitcoin ABC – two competing implementations of the BCH protocol. nChain and CoinGeek support Bitcoin SV. As we fully expected, Bitcoin ABC appeared to take a temporary early lead by receiving an artificial burst from temporary, “rented” hash power subsidized by Roger Ver’s company Bitcoin.com, which announced it would move its pool customer hash from the rival Bitcoin Core (BTC) network onto the BCH blockchain for just 24 hours, and from ABC’s main supporter Bitmain Technologies.
Many observers have quick to prematurely call a win for Bitcoin ABC. But the hash war is not over. nChain and CoinGeek continue to fight, mining with our legitimate, sustained hash committed to support the Bitcoin Cash network and the Satoshi Vision. For days before the hard fork, Bitcoin SV had support from over 75% of the network hash.. Knowing they clearly did not have enough support to win, Bitcoin ABC’s backers had to rent and subsidize BTC hash to move onto BCH to use as voting power. When they can no longer to afford to pay massive daily amounts to rent hash for this BCH hash war, we will still be here fighting, and the consistent hash power supporting Bitcoin SV will overtake Bitcoin ABC. That is the inevitable result of this BCH hash war
On November 17, I appeared on Keyport’s live stream coverage of the BCH hash war to provide my views and a statement to the Bitcoin Cash community about “Truth and Consequences” of their willingness to accept a burst of rented hash to quickly decide the hash war. This is a transcript of my speech, edited for clarity.
I’m about to tell you truth and consequences. These are the truth and consequences for the Bitcoin Cash community of what’s happening in this hash war.
So the weekend went exactly as I expected. There was the fork on Thursday, November 15; there was a huge burst of hash that came into the network on the side of Bitcoin ABC that was rented or subsidised— probably from the BTC network, in order to artificially boost the support for Bitcoin ABC far higher than it had ever been in the days and weeks coming up to the hard fork.
Then the Bitcoin ABC supporters decided to declare early victory, because they seemed so far ahead in hash. Then they started going to the exchanges, if not even before the hard fork. (I think they did look before to try and get them to recognise their chain as Bitcoin Cash (BCH).
They added checkpoint—not a surprise, our developers heard about that a week ago.
So everything that happened is exactly as I predicted, and we’re continuing to plug away.
And people are probably wondering why we didn’t bring more hash in to support the Bitcoin SV side of the coin. Let me explain why. We actually had plenty of petahash offered to us; in fact, we actually didn’t have to go ask any miners or mining pools to lend us their hash.
Before and after the BCH Miners Choice Summit on November 2nd that CoinGeek sponsored and which I attended, we had a potential deal for thousands of petahash —to be rented and subsidised by us much like, I’m sure, Bitmain and Roger Ver were doing in some capacity or variation. While I was at that summit, we had thousands more petahash offered to us to rent, by people who just did not like Bitmain, opposed the Bitcoin ABC implementation, or wanted to support us for all kinds of reasons.
I could have walked away from that day with easily ten to fifteen thousand petahash worth of support for Bitcoin SV. And it’s not for lack of money or resources that we decided not to do it because Calvin Ayre, CoinGeek and nChain could have easily afforded to do that for as long as it took during this battle, and we would have blown the Bitcoin ABC side out of the water, at least compared to the hash that they have demonstrated so far in the charts you can see. But I actually had a realization at that moment in Hong Kong about whether that was the right thing to do; and I decided it was not, because of the consequences it would have in the future for the Bitcoin Cash community. And here’s what they are:
The whole reason that such hash was available on the BTC network to move onto BCH is because the people who should have fought Bitcoin Core did not, and splintered off to create the Bitcoin Cash network, and allowed BTC to continue on. That’s perfectly fine. But now they’re borrowing hash, renting it, subsidizing it from the very network they so vehemently oppose—many of them – to try and claim a victory on the BCH network.
I want you to think about the hypocrisy of that, because it’s staggering. I also want you to think about the game that is being played here, if you are able to just move hash for a day or two from the rival network that many of our community do not like, and use that to claim victory. What does it say about what you would do just to win what looks to many people right now like a sporting contest.
In addition, I want people to know that I thought long and hard about what should be the governing model to decide disagreement between rule sets for Bitcoin – because that’s what this is, that’s what’s really being tested in this moment right now. It’s not just about a particular feature set here or there. It’s about what should be the governing model when there are disagreements.
And think about this: when the Nakamoto Consensus was written in the Bitcoin white paper, there was supposed to only be one Bitcoin network. There was not supposed to be miners on a network running the same hash algorithm that you could pay to rent their hash to come in and vote in a disagreement over rule sets. Instead, the Bitcoin network as we know it, this whole system, it’s magic is in its economic incentives. Miners have incentives to provide the computing power and security of the network; they earn block rewards, they earn transaction fees, they have the investment and monetary interest therefore to make decisions on rule sets that best continue that economic incentive and the security of the network.
But if you are not mining on the network and don’t have your own investment in it, and you are not making money on this network but making it over on BTC, why is it that you should have a vote for the rule set for Bitcoin Cash, particularly when it is hash borrowed from the very network that Bitcoin Cash was designed to split off from?
So the Nakamoto Consensus is being tested for the first time right now, and I want you to really think about that. Obviously, Satoshi Nakamoto could not have envisioned, at the time the white paper was written, that there was going to be some splintered-off network using the same hash algorithm. And with the idea of one CPU equals one vote, or miner hash power equals the vote, it was designed—and I’m sure most logical people can agree with it—to recognise that the people who have an ongoing continuous invested interest in the network are the ones that should vote on a rule set.
But what has happened over this weekend is that the supporters of ABC have been so quick to come forward, and say, after a day or two of hash bursts provided by Roger Ver and his company Bitcoin.com’s move of hash from his customers from BTC over to BCH – and I’m sure move of BTC hash by Bitmain and other sources – after one or two days of bursts, they are so quick to declare, therefore they must be the winner.
But we took an alternate path. And as you can now probably understand why Craig Wright and Calvin Ayre have been so repeatedly vocal about the need for genuine and legitimate sustained hash that supports the network. We made the decision to fight with genuine honest hash. And that is why, if you notice, over the days leading up to the hard fork., the CoinGeek, SVPool, and BMG pools started gradually increasing the hash they were devoting to the network.
That was done for a reason. It wasn’t just an all-in burst to vote on the day of the hard fork. It was designed to demonstrate continued commitment to sustain this network and a desire to show the world we are going to continue using that hash on this network. It wasn’t a flash in the pan.
And so the situation that has unfolded this weekend is basically akin to saying: I want to have an election in the United States, and I don’t think I have enough votes, so I’m going to go pay people from Canada to come to the US for a day, vote, and leave—even those people who have no interest in the outcome of that election; it does not affect their lives, their livelihood, what pocket of money they get to pay their bills. That is what the people on the ABC side of the fence have just created: the idea that you can do that and that you can do that every time there’s a disagreement over the rule set.
So I really want people to think about what kind of system you want to decide consensus rule disagreements in the future for Bitcoin. Is it who can pay the most for one or two days to rent hash from a competing rival network that you escaped from? Or is it the votes of the miners who are ongoing providers of sustained hash, because they have an ongoing economic interest in the network?
And you saw the numbers in the days before the fork: it was clear the SV side of was demonstrating on a daily basis—for multiple days—far more than majority support from the network.
I believe that should be the governing model for Bitcoin consensus rule decisions. I also want everyone out there in the community to think about the consequences for the future. IF you are so quick to say that ABC should be declared the victor and awarded the BCH ticker symbol, and its consensus rules should govern, you’ve just walked into a bigger problematic box that I knew you would. Because I knew this would all happen; it’s all unfolded on Twitter and online. You’ve just provided the playbook for a big corporation with really big pockets, a state actor of government, anyone who could afford to pay for just one or two days of rented hash, to come over to the BCH network and get its rule set implemented.
Now that may not be nefarious; it could be Google, IBM, or Microsoft, who are very interested in blockchain technology, and they want to shape the Bitcoin Cash network with rules that favor their business model. This may be perfectly legitimate, and some people may support it. But I know many of you out there in the Bitcoin community would say: “well, wait a minute, I don’t want some big corporations just coming to pay, to take over the rule set of my network.” It would not cost that much —20 or 30 million dollars could have bought them a victory in a day or two according to what all the people screaming and cheering for ABC want to see happen.
A state actor could do that easily, that’s a drop in the bucket. And if you continue this path where you say “AHA!” after a day or two with bursts of hash that did not exist before and were just taken from the BTC network, if that is the way to determine the rule set, you have just set up the biggest vulnerability ever to the Bitcoin Cash network: for someone with a deep pocket to come in and implement whatever rule set they want.
And for those of you who aren’t a big fan of big corporations and government – you know who you are out there in the Bitcoin Cash community – I think you need to sit back and think: what have I just done? Because that’s what I thought, and this is exactly what I knew was going to happen. I sat there in Hong Kong, and I had all these offers of hash that we could have taken, and we could have used it to quickly win. But I had a moment where I had to say: I had a moment to say, is this the precedent we want to set for the Bitcoin Cash community? That anyone who has a deep pocket to pay for hash for a day or two, who doesn’t have to mine the day before – such as a government, a big corporation who could be a zero miner the day before – to just pay enough miners enough money on a hard-fork date to have enough hash to have its rule set take over?
That’s exactly the situation you are creating now for all of those who are out there on social media and online, cheering for a supposed ABC victory. That’s all you think it takes. But that’s not what it should be, and that’s not what it was envisioned to be at a time when the white paper was introduced to the world with the idea that there was just going to be a single Bitcoin network with a single network of miners who all had an economic incentive and interest to mine that network, and therefore make the best decisions for the viability and vibrancy of that network.
I’ll close by saying that that’s the truth I wanted the Bitcoin community to realise and the consequences of the path you’re trying to take. At nChain and on behalf of the CoinGeek people who are somewhere else, I want to say—and if it’s not clear already—we’re very committed with the SV project to really advance the Satoshi Vision. Obviously, some people have a different interpretation of it; that’s okay, but if there’s one thing we’ve been consistent about time and time again—we want the original Bitcoin. We want to see it grow to what it was meant to be. You can disagree with us about what feature set it should be, what block cap size, about anything else. But there is one thing we consistently work on, day in and day out. You don’t have to like Craig, but it’s very clear that is his mission and vision, and it’s ours as well. And that vision has to be enforced by a pure understanding of what Nakamoto Consensus should be: loads of miners who have an economic interest day in and day out—not people who can be mercenaries, who are rented to come in and allow anyone, any corporation or state actor, to take over your network.
To some people out there who are cheering for an ABC victory after a day or two: I want you to think long and hard about what you just did, if that’s the result you want. Because you’re not going to like it—the hypocrisy, I think, is staggering for where Bitcoin Cash came from. . . from Bitcoin Core.
So it’s time for this community to make a choice, to make a choice about how you want disagreements to be decided, and how you want to allow the ruleset for your chain to be governed.
I know what choice I’m going to make, and it’s a choice that supports the Satoshi Vision. I’m going to leave now, because I have a lot of work to do to support that vision.
The post ‘Think about the game being played here’: Jimmy Nguyen tells the truth about Bitcoin BCH hash war appeared first on Coingeek.
Jacksonville, New York City, Hong Kong, November 16, 2018 — Today, Metropolitan Commercial Bank and Crypto.com (through its affiliate Foris Inc.) announced that the companies are preparing to rollout the MCO Visa Card program in the United States following its launch in Singapore in October.
The MCO Visa Card is a prepaid card that features high-end metal cards with no annual or monthly fees, airport lounge access for select cards, no-fee ATM withdrawals, tap-and-pay functionality, and no foreign transaction fees.
Reservations for the MCO Visa Card are made using the Crypto.com Wallet & Card App which includes a three-minute customer onboarding process including ID verification. Using the Wallet app, customers are able to manage their card usage, transactions, and freeze or unfreeze their card with a single tap. To date, over 100,000 MCO Visa Cards have been reserved globally.
The Wallet app also allows users to securely buy, sell, store, send, and track cryptocurrencies – allowing users to spend fiat currency converted from cryptocurrency without currency exchange fees.
Mark DeFazio, President and CEO of Metropolitan Commercial Bank said: “We are pleased to work closely with Crypto.com and Foris in bringing this innovative product to the US market. This program speaks directly to The Entrepreneurial Bank spirit that we have and seek to promote. The MCO Visa Card is quite unique and provides a bridge between traditional banking and cryptocurrencies in a safe and compliant way.”
Kris Marszalek, Co-Founder and CEO of Crypto.com said: “We are thankful for the support of Metropolitan Commercial Bank in sharing our vision. The market demand for the MCO Visa Card has been overwhelming and we look forward to bringing it to customers as soon as possible. This is another important step towards our mission of accelerating the world’s acceptance of cryptocurrency.”
Note: All MCO Visa Card transactions are denominated in fiat currency. All cryptocurrency exchanges to fiat currency take place before users may use their MCO Visa Card to transact on the Visa network.
*Use of the Card is subject to the terms and conditions of the applicable Cardholder Agreement and fee schedule, if any. ATM bank fees may apply.
About Metropolitan Commercial Bank
Metropolitan Commercial Bank®, The Entrepreneurial Bank, founded in 1999 and headquartered in New York City, operates full-service banking centers in Manhattan, New York; Boro Park, Brooklyn; and Great Neck, Long Island. We are a community-focused bank that provides a broad range of business, commercial and personal banking products and services to small businesses, middle-market enterprises, public entities and affluent individuals. In addition to our tradition of relationship-driven, one-on-one personalized service, Metropolitan Commercial Bank offers multiple convenience delivery channels, including online banking, flexible mobile banking apps and no-fee access to over 1 million ATMs worldwide for our clients. The Bank is also an active issuer of debit cards for an increasing number of third-party debit card programs. Metropolitan Commercial Bank is a New York State chartered commercial bank, an FDIC member and an equal opportunity lender.
The parent company of Metropolitan Commercial Bank, Metropolitan Bank Holding Corp., also founded in 1999, is a publicly traded company. The common stock of Metropolitan Bank Holding Corp. is listed on the New York Stock Exchange (NYSE) and trades under the ticker symbol “MCB.”
For more information about Metropolitan Commercial Bank, visit the Bank’s website at www.MCBankNY.com.
Crypto.com, the pioneering payments and cryptocurrency platform, through its affiliates including Foris Inc., headquartered in Jacksonville, FL, seeks to accelerate the world’s transition to cryptocurrency. Crypto.com is headquartered in Hong Kong. For more information, please visit: www.crypto.com
The post Metropolitan Commercial Bank to issue MCO Visa Cards in the United States appeared first on Coingeek.