Digital Currencies - Bitcoin and its siblings

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RTH10260
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Re: Digital Currencies - Bitcoin and its siblings

#76

Post by RTH10260 » Tue Mar 26, 2019 6:06 pm

Criminal Past Haunts Surviving Founder of Troubled Crypto Exchange
By Doug Alexander and Matt Robinson
March 19, 2019, 10:00 AM GMT+1

Records show Michael Patryn changed name twice in five years
Says split with crypto exchange’s late CEO was over listing


His crimes: identity theft related to a bank-and-credit card scam. His sentence: 18 months in U.S. federal prison and, later, deportation to Canada.

Once there, Omar Dhanani underwent a remarkable transformation -- into a new identity and the wild world of cryptocurrencies.

Dhanani, now known as Michael Patryn, has emerged as an enigmatic figure in the strange case of Quadriga Fintech Solutions Corp., the digital exchange owner that hasn’t been able to find C$260 million ($195 million) of clients’ cash and cryptocurrencies. Patryn co-founded Quadriga five years ago with the late Gerry Cotten, whose sudden death in December at age 30 left the Vancouver-based firm in shambles.

Patryn denied he was Dhanani in a Feb. 8 report in Canada’s Globe and Mail newspaper and disputed a subsequent report linking him to a criminal past. But Canadian records obtained by Bloomberg News confirm he legally changed his name -- twice: in 2003 and in 2008.

The revelation adds a new layer to the mystery surrounding Quadriga, whose closure in January left 115,000 clients wondering if they’ll ever get their money back. Cotten ran the operation mostly from his laptop, so his death while traveling in India threw the business into disarray. The firm has been under creditor protection since February, with Ernst & Young working to unravel the firm’s dealings. Digital storage accounts used by Quadriga to hold Bitcoin for clients had been empty for months before the CEO’s death, according to E&Y.


https://www.bloomberg.com/news/articles ... mes-emerge

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Re: Digital Currencies - Bitcoin and its siblings

#77

Post by Notorial Dissent » Tue Mar 26, 2019 11:32 pm

There's a reason they don't let felons work for banks and other sensitive professions.
The fact that you sincerely and wholeheartedly believe that the “Law of Gravity” is unconstitutional and a violation of your sovereign rights, does not absolve you of adherence to it.

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Re: Digital Currencies - Bitcoin and its siblings

#78

Post by Suranis » Wed Mar 27, 2019 12:20 am

Thats ok, as its impossible to be a fraudster with Crypto!
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Re: Digital Currencies - Bitcoin and its siblings

#79

Post by tek » Thu Apr 18, 2019 4:01 pm

Good article (with no technical gibberish) about how Blockchain works: https://queue.acm.org/detail.cfm?id=3305265
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Re: Digital Currencies - Bitcoin and its siblings

#80

Post by RTH10260 » Tue May 14, 2019 2:37 pm

technically challengend ?
US Rep Sherman Calls for Crypto Ban, Says It Threatens to Diminish American Power

United States Congressman Brad Sherman (D-CA) has called on colleagues to outlaw cryptocurrencies, saying they threaten to disempower American foreign policy and diminish the rule of law.

Crypto-oriented non-profit Coin Center tweeted the remarks of the congressman, a Democratic representative for California's 30th congressional district, on May 9.

In his comments, Rep. Sherman said that lawmakers must act preemptively to impede the threat posed by cryptocurrencies and thus outlaw their purchase by American citizens. Crypto’s threat, he claimed, forebodes no less than a shake-up of America’s geopolitical influence due to its potential diminishing of the power of its sovereign currency:

“An awful lot of our international power stems from the fact that the dollar is the standard unit of international finance and transactions [...] it is the announced purpose of the supporters of cryptocurrencies to take that power away from us.”

To illustrate the dollar’s current hegemony, Sherman noted that in many key global markets such as oil, clearing via the New York Federal Reserve remains critical for major transactions.

The congressman continued to outline the purportedly negative impact of cryptocurrencies should they gain traction as a global unit of value, stating that an extra-national, distributed digital currency would:

“Put us in the position where the significant sanctions we have on Iran, for example, would become irrelevant.”


https://cointelegraph.com/news/us-rep-s ... ican-power

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Re: Digital Currencies - Bitcoin and its siblings

#81

Post by neeneko » Tue May 14, 2019 3:35 pm

RTH10260 wrote:
Tue May 14, 2019 2:37 pm
technically challengend ?
I wouldn't say technically challenged, just jumping the gun by a wide margin. If the wildest dreams to cryptocurrency supporters came to pass then concerns would not be completely fantastic.

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Re: Digital Currencies - Bitcoin and its siblings

#82

Post by RTH10260 » Mon Jun 03, 2019 7:01 pm

Trust lies within the NYT and its ad section - history of the precursor of blockchains
The World’s Oldest Blockchain Has Been Hiding in the New York Times Since 1995
This really gives a new meaning to the “paper of record."

The first time I heard about blockchains was at a party where a friend of mine spent the night talking my ear off about this thing called Bitcoin and why I ought to buy some. I suspect that many others have had a similar experience. Although Bitcoin can be credited with bringing blockchains—a type of distributed digital ledger—into popular discourse, it wasn’t the progenitor of the obscure technology’s key features.

In fact, the world’s oldest blockchain predates Bitcoin by 13 years and it’s been hiding in plain sight, printed weekly in the classified section of one of the world’s most widely circulated newspapers: The New York Times.


https://www.vice.com/en_us/article/j5nz ... blockchain

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Re: Digital Currencies - Bitcoin and its siblings

#83

Post by Gregg » Fri Jun 28, 2019 2:40 pm

A really good read for those of you who haven't jumped out a window yet... :bag:

https://www.marketwatch.com/story/bitco ... yptr=yahoo
Opinion: Bitcoin’s crash hurts the latecomers once again
Bitcoin BTCUSD, +11.25% turned around and slammed the betting public’s fingers in the door — yet again — on Thursday, crashing more than $3,000, or 23%, from the previous day’s peak in a matter of hours. The cryptocurrency’s sharp turnaround came after days of big gains had started to draw the Main Street speculators back into the trade. Funny how that works, isn’t it?
We should have known something was up, because the “bitcoin analysts” had started appearing again across the media

Is there an easier title anywhere than “bitcoin analyst”? All you need is a plausible manner, a good line in jargon about “digital currencies,” “nodes” and the like ... and the ability to appear in public and talk total nonsense until someone tells you to stop..

Meanwhile, Coinmarketcap says a third of the entire cryptocurrency market changed hands in the past 24 hours. Yes, this is a long-term investment.

I don’t get why these bitcoin analysts who really understand this “space” even have to work for a living. If they knew what is about to happen and why, why aren’t they rich yet?
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Re: Digital Currencies - Bitcoin and its siblings

#84

Post by Notorial Dissent » Fri Jun 28, 2019 3:58 pm

23%, ouch, for real ouch!
The fact that you sincerely and wholeheartedly believe that the “Law of Gravity” is unconstitutional and a violation of your sovereign rights, does not absolve you of adherence to it.

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Re: Digital Currencies - Bitcoin and its siblings

#85

Post by RTH10260 » Fri Jun 28, 2019 5:09 pm

Notorial Dissent wrote:
Fri Jun 28, 2019 3:58 pm
23%, ouch, for real ouch!
It's already revcovering again, about 1/3 of loss corrected, another $2000/BTC to go.

recommend to change From Date to 06/01/2019 to see recent fluctuations.
https://coinmarketcap.com/currencies/bitcoin/#charts

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Re: Digital Currencies - Bitcoin and its siblings

#86

Post by Gregg » Fri Jun 28, 2019 7:36 pm

Or from 1/1/2018 to see when the amateurs started getting hosed...

And everything in the article is true.

Blockchain? Sure, its valuable technology, but BTC isn't connected to any use of it. They use it to keep track of their own log of who owns which coins.

We use it at the Motorcar Company. Ands it not even novel, we've done what we're doing with it for as long as I've been there, its just a lot easier to do now because of blockchain, or so I'm told. But its still, to me, just a way to track all the way to creation every single part in any given car just by knowing either the VIN of the car, or the serial number of any single part. It used to be the resolution was for major components, like, "Give me the VIN and I can tell you where and when the Transmission was built, to withing a few days." Now, the transmission isn't the smallest part with a serial number, but almost all the parts in it do, also. So now, you can bring me one of the clutch drums from a transmission and within a few minutes I can tell you the birth history of any single part in the car or truck it came from. When every part was installed in the car, when every part was installed in the transmission, when every part for the transmission was built to the shift and lot number. Every time any of the above moved from one place to another, what time it was on the dock, what time it was taken to the line and what time the tech dropped it in the box. Even with blockchain the database is slow, looking up a warranty claim data from a transmission that falls in the door from a dealer with no paperwork can take half an hour, but I'd guess the total data we have on a given car would be a Phone Book sized document if it was printed out.

The "value" of this is incredible. When my dad was building cars and a supplier issue causing them to die under warranty six month in service, we could guess that the supplier was building the suspect parts for 2 weeks, but to be sure we'd have to expand that, depending on how important it was, by as much as a month. So, this is going to be a recall, because even though only 5 of them have been found, its a 'delta' part affecting safety and subject to rules from the NHTSA so we're already in trouble, just a matter of how much. In the old days, we'd take all the transmissions built in that month or so, that MIGHT have a bad gizmo installed and recall that many cars. At 3,000 transmissions a day, that's wicked expensive. ANd the headlines suck, too.
Now, we know it was the suppliers 3rd shift on a given date, they shipped us 200 parts but of those, only 45 were in the lot that is suspect. We track where those 45 trucks are, see if any of them have made to customers, (some are still on dealer lots) and quietly send those 28 end users who have them a letter and ask them to bring the car in. If its not safety and not many, you could just put it as a notice in the system and the dealer will fix it the next time the car is taken in for an oil change. So instead of recalling 90,000 cars, we fix 28.
In case you've been trying to figure out what they mean when they say "blockchain is creating billions in value" that's how. And Bitcoin has phuckall to do with it. I'm sure we, and every other company that uses it, pays some developer somewhere way too much money to do it for us.

But the basic idea, 'tell me how this part of that car was born" we've been able to do since forever.
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Re: Digital Currencies - Bitcoin and its siblings

#87

Post by Foggy » Fri Jun 28, 2019 7:41 pm

Your posts are always totally fascinating, and I'm not being facetious. That's really cool information to know. :daydream:
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Re: Digital Currencies - Bitcoin and its siblings

#88

Post by Gregg » Fri Jun 28, 2019 7:46 pm

Thanks! Someday they're gonna find out how cool I think the business is and see if they can quit paying me to do it. :o
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Re: Digital Currencies - Bitcoin and its siblings

#89

Post by RTH10260 » Fri Jun 28, 2019 8:43 pm

As Gregg noted, blockchains are not required for tracking inventory. Traditional methods work just as well.

But the blockchains have one inherent quality, they are essentially tamper proof.

And one inventory, the virtual currencies, require this quality as a guarantee to register the transactions for any number of anonymous market players.

This brings back a reminder as to the origin of the blockchain implementations for virtual currencies: the designers wanted to have a faster way of garanteed payment transfers than the banks at the time offered. The banking system was the guarantor of the transaction, they would have the paper trail from sender to receiver. The blockchain takes over that part. Intent was also to clip the wings of the sending and receiving banking partners in the transfer chain and skip their sometimes atrocious fees. Though fees are now an integral part of the transaction fees at the processing exchange.

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Re: Digital Currencies - Bitcoin and its siblings

#90

Post by Gregg » Fri Jun 28, 2019 9:23 pm

But the blockchains have one inherent quality, they are essentially tamper proof
On behalf of millions of hackers worldwide, Challenge Accepted. Remember when 32 bit encryption was essentially tamper proof? Or 56 bit encryption was so good not even the NSA could read you dirty e-mail? Or 132 bit, or 256, or 528? Making "virtually tamperproof or "virtually unbreakable" in technology translates to "no one can do it now without knowing more than how to Google the way to do it".
The problem with bitcoin is every transaction is more complex than the one before it, and has to be recorded and its to the point that the time to process it is so slow the market outruns it. Back in the day you could buy a pizza for a few bitcoin (which is worth what, approximately a Maserati now?) and the fee might be nothing if the pizza joint accepted them, or loose change if they didn't. What's the fee for transferring one BTC now? (it hardly helps that when I try to find that answer myself, the first article is "How to Convert Bitcoin to Dollars in 11 easy steps". I can find Peace in the Middle East in 10 steps, and getting your money shouldn't be harder than Peace in the Middle East. Another thing about them is every few months, one of the biggest exchanges or someone else with LOTS of them implodes, gets hacked or otherwise finds a way to make a few tens millions of dollars worth of them disappear in a way that makes the news. At one time, and I think still, if they do something nuts like lose 23% of their value in a few hours, the transactions back up and it might take days for a transaction to clear, and in that time the market might have crashed, risen and crashed again, who knows? You decide to sell @$3,000 and the trade executes at $1400 maybe? Who knows? And maybe the "Super Safe Mt GOX" you sent that trade through might be exposed to that volatility, too and they did the "Sorry, we're going out of business with your money" thing because you're not the only one losing your ass, but you might be the only one without a leveraged ass to lose. There are still way too many "ifs and maybes" for it to be anything but a market for suckers and pros, and most of the people who think they're pros are really suckers.

So I'm a little skeptical. But it is a good way to launder money, so maybe the next Donald Trump out there isn't getting that business, which is a plus. :thumbs:
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Re: Digital Currencies - Bitcoin and its siblings

#91

Post by Gregg » Fri Jun 28, 2019 9:27 pm

And another thing. Today, you might order a Pizza and by the time its delivered you paid a Maserati for it, or you bought a Maserati and by the time you get the fist speeding ticket, the dealer sold it to you for a pizza.

(Sorry, the sterotypical total asshole with a Maserati because he sells them, who lives here in Maineville, was getting a ticket when I drove home today, and somewhere an angel was getting her wings, so I've got Maserati on the brain).
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Re: Digital Currencies - Bitcoin and its siblings

#92

Post by Gregg » Sat Jun 29, 2019 2:06 am

Oops, I did it again!

Image

Business
Irish Crypto Exchange Bitsane Vanishes While Exit Scamming 246,000 Users


https://www.yahoo.com/finance/news/iris ... 17049.html
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Re: Digital Currencies - Bitcoin and its siblings

#93

Post by Notorial Dissent » Sat Jun 29, 2019 6:49 am

Gregg, thank you. You have explained bitchain in a fashion that I actually really understand, and worse, actually see the physicality of it. Such a lovely clever idea...….
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Re: Digital Currencies - Bitcoin and its siblings

#94

Post by RTH10260 » Fri Jul 19, 2019 11:10 am

Hackers steal $32 million worth of crypto from Japanese exchange Bitpoint
Bitcoin is pretty safe. Exchanges, less so.
BY STAN SCHROEDER
JUL 12, 2019

Keeping your cryptocurrency at exchanges, unless you absolutely must do so, still isn't prudent.

New proof of that comes from Japan, where cryptocurrency exchange Bitpoint has been hacked to the tune of $32 million, CoinDesk reports.

In a notice on its website, Bitpoint said it has "identified an unauthorized outflow of virtual currency," which is why it has stopped trading as well as opening new accounts, in order to find the cause and minimize damage.

A more detailed document from Bitpoint's parent company Remixpoint says $23 million of the stolen funds belonged to the exchange's customers. According to Nikkei Asian Review, Remixpoint plans to compensate those customers.

There's no word on which coins were stolen, but CoinDesk says that Bitpoint offered trading in five cryptocurrencies; Bitcoin, Bitcoin Cash, Ethereum, Litecoin, and XRP.


https://mashable.com/article/cryptocurr ... nt-hacked/

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Re: Digital Currencies - Bitcoin and its siblings

#95

Post by RTH10260 » Fri Jul 19, 2019 11:11 am

Hacked Bitpoint Exchange Finds $2.3M in Stolen Crypto

Japanese cryptocurrency exchange Bitpoint has discovered over 250 million yen ($2.3 million) in cryptocurrency — part of a $32 million sum that was stolen last week, local English language daily The Mainichi reports on July 14.

According to The Mainchi, Bitpoint found the stolen cryptocurrency on overseas exchanges that were using a trading system provided by Bitpoint Japan. Bitpoint told The Mainchi that the recent discovery brings the total sum of lost founds down from 3.5 billion yen ($32 million) to 3.02 billion yen ($28 million).

The exchange was initially hacked on July 12. 2.5 billion yen ($23 million) of stolen funds belonged to customers while 1 billion ($9.2 million) belonged to the exchange. Hackers stole Bitcoin (BTC), Litecoin (LTC), Ether (ETH) and XRP from the exchange’s hot wallets.

Bitpoint suspended all services following the hack, while the exchange's parent firm Remixpoint Inc. shed 19% following the theft. Remixpoint went untraded in Tokyo following the attack due to a reported glut of sell orders.


https://cointelegraph.com/news/hacked-b ... len-crypto

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