Thursday, September 4, 2014

CoinOutlet Enters Bitcoin ATM Market With Low-Cost, Two-Way Model

CoinOutlet Enters Bitcoin ATM Market With Low-Cost, Two-Way Model / Stan Higgins / September 4, 2014 at 01:50 BST

Robocoin, Lamassu, BitAccess, BitXatm – the global bitcoin ATM market is already being served by a number of emerging manufacturers. But, that isn’t stopping new entrants from attacking the space.

With its late-August launch, CoinOutlet is hoping to make inroads in this burgeoning sector of the industry, investing now while interest in bitcoin ATM offerings remains high and new locations for bitcoin ATMs are still being discovered.

Following the announcement, CoinDesk spoke with CoinOutlet founder and CEO Eric Grill to discuss why he feels his company can succeed in the bitcoin ATM space given the challenges his company will face in the form of both competition and regulation.

Grill explained that his company’s advantage is in the buying process, saying: READ MORE: 

Google Analyst: Bitcoin Could Be ‘The Internet of Money’

Google Analyst: Bitcoin Could Be ‘The Internet of Money’ / Stan Higgins / September 3, 2014 at 12:49 BST

Bitcoin holds potential to act as “the Internet of money” if regulated correctly, according to a new report from Google policy advisor Andy Lee.

In an article for Internet Policy Review, Yee, who works as an analyst for Google’s Asia-Pacific division, argued that certain sectors of the bitcoin economy should be targeted with regulation modelled on existing digital frameworks.

Breaking the bitcoin ecosystem down into layers, Yee concluded that businesses that connect investors and consumers with digital currency should subject to regulation. READ MORE:

New Businesses Accepting BTC: Apache Software, Ombushop, Laundry Locker and More

New Businesses Accepting BTC: Apache Software et. / Bogdan Ulm / 2014-09-02 11:47 AM - Bitcoin has gained tremendous popularity in the last year, and it’s safe to say that it has become one of the world’s most convenient ways of buying, selling and trading things over the internet.

In spite of the many warnings from governments, companies all over the world are starting to understand that cryptocurrencies like Bitcoin not only save money but add value to their business.

Here are some of the new businesses and offers that you can jump on using Bitcoin.

Exotic cars for BTC

Does anyone have 332.7000 BTC to spare? If so, Lamborghini Newport Beach is offering some exotic automobiles in exchange for Bitcoin via - READ MORE:

Thursday, August 21, 2014

German Startup Says Its New Chip Halves Bitcoin Mining Energy

Sebastian Krause, CEO of Asicrising GmbH. Asicrising GmbH / STEPHAN DÖRNER / Aug 15, 2014 8:27 am ET

A German start-up is looking for funding to produce a new high-performance microchip that it says would make bitcoin mining much less energy intensive, and thus cheaper.

This is important because ‘mining’ the cryptocurrency—essentially a process of solving complex mathematical problems —requires vast computing power and cooling systems so that the purpose-built processors, called application-specific integrated circuits [ASICs], don’t overheat.

Dresden-based ASICrising GmbH, which is in the process of changing its name to CoinBau AG, says it has found a solution to the problem: an energy-efficient, low-voltage chip that together with software will reduce by half the energy needed to mine bitcoin, the company’s chief executive Sebastian Krause told The Wall Street Journal. - READ MORE:

Bitcoin Mining for the Cure Cancer

Bitcoin Mining for the Cure Cancer / ANDREW WAGNER / AUGUST 14, 2014 - I’ve long been interested in ways to use cryptocurrency mining to solve practical problems; proof-of-work’s waste of energy is its biggest problem, the solution to which could be the final nail in fiat’s coffin. While Gridcoin showed some promise, it failed to take off, and the search for a scientific coin capable of taking us to the moon continues. Many seemed to criticize its centralized nature–a central authority vets which scientific programs users can participate in, and validates their efforts–and maintaining proper security while dedicating more resources to useful work has proven difficult.

The problem with security is that proof-of-work miners need an algorithm where the solution can be verified with virtually no effort, and in an objective way. The algorithms used by BOINC (Gridcoin’s central authority) fail to meet these conditions. Real scientific problems are more intricate than repetitive hashing functions, but the scientists behind non-profit research projects are as resourceful as they are underfunded, and a new team has stepped up to the plate. - READ MORE:

Friday, August 15, 2014

Bitcoin in the Mainstream Part 1: Swiss Bitcoin Research Paper

By ZachT (Own work) [GFDL, CC-BY-SA-3.0 or CC-BY-SA-2.5-2.0-1.0], via Wikimedia / Evan Faggart / August 10, 2014 In the Bitcoin community, Bitcoin price analysis is a growing trend—although it is often the target of many jokes and sarcastic comments. This sarcasm and cynicism towards Bitcoin price analysis does not lack justification, however; most analysts make dreadfully inaccurate predictions and fail to use data that is actually useful, a practice that most assuredly comes from employing the improper methodology.

But we will not get into the problems with the Bitcoin price analysis community in this article, since we have discussed them at length elsewhere. Instead, this article will be the first installment in a two-part series on how far the mainstream is lagging behind the Bitcoin community in terms of their understanding of Bitcoin. This article specifically focuses on a recent research paper coming from a Swiss university that studies fluctuations in the Bitcoin price as they relate to changes in social awareness of the digital curency. Throughout the course of this article, we will discover that the Swiss researchers ultimately added nothing of value to discussions on Bitcoin and also employed extremely flawed economic theories and methodologies.

Monday, August 11, 2014

Bitcoin breaking into developing markets such as Africa

Bitcoin breaking into developing markets such as Africa / Aleppo Allesadero / Aug 04, 2014 at 05:00PM Bitcoin has striven to fulfill the need of the future generation with using technology to its advantage. Bitcoin tries to fulfill the longing for cryptocurrencies everywhere and has tried to act on its promise to deliver cryptocurrencies to the less economically developed countries and show them the true greatness of the modern world. There are many issues in the world such as a high proportion of the population not having a computer to connect to the internet. The worst case scenarios are when a country’s infrastructure is not advanced enough to support the use of cryptocurrencies.

Bitcoin is also useful in situations where the government is corrupt or it is unsafe to carry currencies openly. The introduction of cryptocurrencies in developing countries can also be positive event as it can also boost the price of Bitcoin and other cryptocurrencies and increase demand and popularity. Developing countries such as India also have many unique innovations to offer in the development cycle of Bitcoin as it has only been released a few years ago and has a lot of potential to become a major currency for the future. - READ MORE:

GHash Mining Pool Generates $250 Million in Bitcoin in One Year

GHash Mining Pool Generates $250 Million in Bitcoin in One Year / Stan Higgins / August 4, 2014 at 16:30 BST

Since opening its doors on 3rd August of last year, major bitcoin mining pool operator has generated nearly $250m in bitcoin, according to a new infographic released by the company.

The pool has produced 413,752.01889456 BTC since it first began hashing in 2013, an amount worth $248,251,211.33 according to the CoinDesk USD Bitcoin Price Index.

This fact was just one of the noteworthy statistics provided by the infographic, as the full release contains both hard mining data as well as a brief timeline of the company’s history.

The bitcoin industry in Australia thrives

 The bitcoin industry in Australia thrives / YOUNG / AUGUST 3, 2014 The growth of the bitcoin industry in Australia

Bitcoin adoption in Australia and New Zealand is increasing rapidly. Outpacing most of the Asian countries, the local startups and bitcoin merchants in Australia are trying hard to increase the bitcoin adoption in Oceania and help the local merchants to adopt bitcoin.

Currently, the major Australian exchanges have an estimated sum of 40,000 active local users and because of these exchanges, (including BTC markets, btradeaustralia, bitxoin and getbitcoin), there are more than 190 businesses accepting bitcoin in Australia. Although there aren’t as many “popular” or “famous” startups in Australia, the rapid growth of bitcoin exchanges and bitcoin merchants is helping the bitcoin industry thrive in Australia.


“The Bitcoin Association of Australia estimates that the Australian share of this market capital is approximately 2%. This means that the market capitalization for Australia is approximately $120 million.” Bitcoin magazine

New Index Ranks Argentina ‘Most Likely’ to Adopt Bitcoin

New Index Ranks Argentina ‘Most Likely’ to Adopt Bitcoin / Garrick Hileman / August 3, 2014 at 11:05 BST Which markets are most likely to see the fastest adoption of bitcoin?

With over $250m of venture capital invested in bitcoin startups to date, much is at stake in understanding which markets will prove most fertile for bitcoin. In addition, many governments and regulatory agencies are seeking to better understand the economic opportunities presented by bitcoin along with the perceived risks.

The new Bitcoin Market Opportunity Index (BMOI) is the first attempt at providing a rigorous answer to the above question, assembling a new data set to rank the potential utility of bitcoin across 177 countries.

The BMOI can be helpful to entrepreneurs, investors, regulators, economic development agencies, media outlets and anyone who is interested in gaining a better understanding of how bitcoin may progress geographically in the months and years to come.

How should we measure bitcoin adoption?

Sitting at the fast-moving intersection of technology, policy and economics, bitcoin is both a fascinating and complex research topic.

Tuesday, August 5, 2014

Is Gold Ready for China and Bitcoin? / Mark Gilbert / JUL 28, 2014 11:00 AM EDT

Kwasi Kwarteng, a British member of Parliament who previously worked in finance, raises an intriguing idea. Could China, he opined in a July 24 article for the New York Times, decide one day to wield its foreign-exchange reserves to transform the yuan into something the world hasn’t seen for more than four decades — a gold-backed currency?

As the author of “War and Gold: A Five-Hundred-Year History of Empires, Adventures and Debt,” Kwarteng understands the history of the world’s previous efforts at underpinning the financial system with the precious yellow metal. As a former analyst at Crispin Odey’s asset-management firm, he also knows something about China’s dependence on currency devaluations to boost exports, a strategy it relied on for several years until it finally allowed the yuan to appreciate against the U.S. dollar from 2005 until 2008, and again in 2010.


Thursday, July 24, 2014

Dell jumps on the Bitcoin bandwagon has revenue of around $57bn Photo: Reuters / Matthew Sparkes / 11:31AM BST 21 Jul 2014

The third largest PC seller in the world, with annual revenue of around $57bn, is the latest in a string of US retailers to begin accepting Bitcoin as payment online.

In recent months businesses including Expedia and have started to accept Bitcoin, many of which have opted to use the payment processor start-up Coinbase. But Dell is by far the largest company to have made the move so far, potentially Bitcoin dragging the crypto-currency closer towards mainstream adoption.


Bitcoin Explained to the Retired Folks / MARK REES / JULY 17, 2014

This article is intended as an introduction to the concepts of bitcoin that might be of interest to those people that are retired. The reader is expected to have only basic internet web browsing and email knowledge. The questions and answers are given in “layman” terms.

What is Bitcoin ?

Bitcoin is a new kind of payment and currency system. It’s a new way to pay for things with using pre-paid credits. It’s different from credit cards because it’s not based on debt. It’s the next generation of transferring money that replaces past inventions of using checking accounts and credit cards. It allows you to pay with cash-like money over the internet, even when they are standing next to you. With this new invention, credits of value that are stored on a ledger shared and verified by everyone, everywhere, at once, all around the world. It’s the first verifiable accounting systems that doesn’t belong to any government, bank, or king. Therefore it’s the first accounting system that belongs to nobody, so it can be verified and trusted by everybody. It’s the first time in history this has been possible.

The term is bitcoin – but it’s not really a coin – it’s just a block of pieces of value now being called bits. The term of the currency called a ”bitcoin”, is just another name for one million bits: just like a dollar can be called one hundred pennies. They have a lot of unique qualities that make them like no other currency that has come before. One of the biggest benefits is that it acts like money and has value. To be valuable it must remain scarce and desirable. Bitcoin is also a money payment system maintained by a world wide community. One of the main rules of the system is that only a limited quantity can ever be created, and that law can never change. A limited supply with exploding demand makes it become valuable.


Ninja Colocation to Announce Bitcoin Mining NinjaCloud at TNABC / Eric Calouro / July 17, 2014 08:31
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It’s sure going to turn out to be a fascinated weekend for bitcoin enthusiasts and fanatics alike with the coming of The North American Bitcoin Conference in Chicago.

A number of companies attending are expected to make announcements, one of them being Ninja Colocation. This colo services provider says they will be announcing a little something they are calling NinjaCloud at the conference, a bitcoin cloud mining service.

The following is from Thursday’s announcement:


Bitcoin, meet Lawsky’s BitLicense / David Keohane / Jul 17 15:47

This how the Bitcoin regulator comes, not with a bang but with an AMA.

In accordance with the New York State Administrative Procedures Act (SAPA), the proposed DFS rules for virtual currency firms will be published in the New York State Register’s July 23, 2014 edition, which begins a 45-day public comment period. After that public comment period, the rules are subject to additional review and revision based on that public feedback before DFS finalizes them.

Additionally, DFS is today immediately publishing a copy of the regulations on the website Reddit. Earlier this year, Superintendent Lawsky hosted an “Ask Me Anything” forum on Reddit about DFS’ work on virtual currency regulation, which generated more than 1,200 public comments. Links to the proposed rules are also being tweeted out from the DFS Twitter handle (@NYDFS) and Superintendent Lawsky’s Twitter handle (@BenLawsky).

Here’s the highlights of what Lawsky (Superintendent of Financial Services at the New York State Department of Financial Services (DFS) Lawksy to you) has in mind with the full doc here — apart from the obvious up top, do note the capital requirements which give Lawsky a whole load of punch and that, as he says, NY is “the first state to put forward specially tailored rules for virtual currency firms”:

Key requirements for firms holding BitLicenses include:


How Cryptocurrency Opened the Software Industry / Andrew Wagner / July 16, 2014

Open source technology is fundamental to the cryptocurrency movement, and that’s a good thing. Bitcoin wouldn’t have the same appeal if it were copyrighted by a company, or if any of the underlying code were hidden from the public. The free and transparent nature of open source projects was necessary for the success of Bitcoin, and cryptocurrency appears ready to return the favor by decentralizing software distribution as we know it.

One of the most important ideas to emerge from the movement so far are decentralized exchanges. These allow one to (without trusting a central authority) trade different cryptocurrencies on smart contract-enabled platforms like Counterparty, Mastercoin or Ethereum. The additional invention of smart property–the owners of which can be tracked using a blockchain–means that one will be able to buy and sell not just digital coins, but even things like houses and cars!

Among the many things one can trade in a decentralized fashion are software and data, which is relatively simple to accomplish compared to a car: no physical change-of-hands or lengthy paperwork is required. Finding software currently requires a lot of effort if the software is obscure, unless you’re willing to use a centralized marketplace which can charge whatever extra fees it wishes. Services like Steam or the iStore maintain a lot of control over what users can access, and often have ongoing restrictions–we’re moving towards a licensing model, wherein many of our favorite programs are not actually ours.