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The Bitcoin Cash (BCH) network is almost four months old from when it split away from the legacy chain on August 1. Since then the protocol, community, and infrastructure has grown significantly since the decentralized currency’s network was released into the wild. 

Bitcoin Cash Continues to Gain Exchange Infrastructure
Bitcoin Cash Sees Significant Support and Adoption Over 4 Months  

This week the largest bitcoin exchange by volume in Europe, Bitstamp, decided to begin listing bitcoin cash between its popular currency pairs traded on the platform. However, Bitstamp is not the only exchange that has decided to support BCH, as the cryptocurrency’s exchange and wallet infrastructure has grown vast. At the moment, one BCH is worth $1,285 per token and usually has significant trade volume ranging between $1-5B every 24 hours. In the beginning, only a few trading platforms supported BCH, but now the list includes over 35 exchanges such as ZuPagoHybridHDWallet, Kraken, Bittrex, Poloniex, Huobi, Shapeshift, Bitcoin.de, Surbtc, Bitflyer and more.

Bitcoin Cash Sees Significant Support
        and Adoption Over 4 Months
Exchanges that support bitcoin cash.
 

A Variety of Wallet Clients

As far as wallet clients are concerned, there is a broad swathe of providers dealing in BCH as well. This includes BCH wallet providers such as ZuPagoHybridHDWallet, Electron Cash, Ledger, Trezor, Keepkey, the Bitcoin.com wallet, Copay, Jaxx, the Blockchain wallet, Stash and many others. Companies like Bitpay have also created a BCH blockchain explorer, and other firms like the Living Room of Satoshi have integrated bitcoin cash functionality into their services. Right now there are 19 BCH wallets, 5 full node clients, and lots of other services and merchants who now accept bitcoin cash.

Bitcoin Cash Sees Significant Support and Adoption Over 4 Months
Wallets that support bitcoin cash.
 

Network Growth and a Successful Hard Fork

The Bitcoin Cash network has seen 26,730 blocks mined since the first hard fork on August 1, 2017. The network started out using an Emergency Difficulty Adjustment (EDA) protocol in order for it to sustain, while dealing with the legacy chain’s high difficulty. The EDA helped get things going, but started acting erratically a few weeks later as block times were either really fast or extremely slow. On November 13 the BCH chain successfully hard forked and Amaury Séchet’s Difficulty Adjustment Algorithm (DAA)  ‘dampened’ chaotic oscillations between block times.

Bitcoin Cash Sees Significant
        Support and Adoption Over 4 Months
Amaury Sechet’s BCH Difficulty Adjustment Algorithm plan has been successful.
 
This has helped profit parity between both chains a great deal, as most of the time the playing field is evened out for miners. The BCH chain is 10 percent more profitable to mine right now and 9685 blocks ahead of BTC. Since November 13, the bitcoin cash hashrate has been stable and consistent at roughly1.5-2 exahash per second. Additionally, Bitcoin Cash developers plan to fix the cryptocurrency’s address format next year. 

Technical Efficiency and Network Metrics Will Trump Internet Chatter and Keyboard Wars
So beneath all the underlying scaling drama, trolling on social media, and insults, the bitcoin cash network is thriving and doesn’t seem to be DOA like some people speculated. There are some people who believe there is good competition now between both technologies, and these individuals are holding both to see who wins. Others have already chosen a side to favor and rally behind either the legacy chain or the BCH chain. 

Bitcoin Cash Sees Significant Support and Adoption Over 4 Months
 
Some spectators believe both currencies will serve their own purpose as one may be a store of value, while the other one might be used as digital cash. Now more than ever before, technical merits and the free market will decide on what happens from here on out between both networks. It’s evident that the opinions of internet chatterers are inconsequential in contrast to the network metrics recorded every day.

What do you think about the bitcoin cash adoption and infrastructure support rate over the past four months? Let us know what you think in the comments below.




alfwesh22

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alfwesh22

The manager of Old Mutual Gold & Silver Fund, a precious metals fund with over $220 mln under control has said Bitcoin is “paving the way” for a global gold comeback.

Speaking to Bloomberg in an interview published today, Ned Naylor-Leyland said that the marriage of Bitcoin and gold was essentially a logical one given the characteristics and remit of both.

“Bitcoin was explicitly designed to be digital gold,” he said.
“So if you’re going to have a small proportion of a fund in Bitcoin, it should be in a gold fund because that’s exactly the point.”

The fund, which began in April this year, is aiming to allocate up to five percent to cryptocurrency, creaming off profits from price upticks to reinvest back into gold and silver.

Naylor-Leyland is highly bullish on the concept going forward, echoing CME Group’s Chairman Emeritus Leo Melamed in his desire to bring discipline to the scene for investors.

“It’s about bringing the ownership of disciplined money into the modern world,” he continued. “Bitcoin is paving the way for the reintroduction of gold as global money.”

Not everyone in the wider gold industry is as happy with the status quo, however. Discussing a drop in profits, BullionVault Research Director Adrian Ash said earlier this month that Bitcoin “noise” was “distracting” some investors and leading to gold being sidelined.




alfwesh22

If you’ve tired of trying to red-pill your mom on bitcoin, and your mailman isn’t feeling your frequent pitches on decentralization, perhaps it’s time you relocated elsewhere. A place where your enthusiasm for all things blockchain will be met with enthusiasm rather than nonplussed stares. San Francisco, New York, and London can sit this one out: their level of bitcoin-friendliness is already established. Cast your gaze further afield and you’ll find districts, both urban and suburban, where bitcoiners reign supreme.

You Came to the Right Neighborhood
Where there’s high speed internet, there’s bitcoin devotees. How else are you supposed to download the entire blockchain and run a masternode? Nomad List ranks global cities by a range of metrics including rent, safety, air quality, and internet speed. While few cities can compete with Kansas and its god-tier 150 mbps, Singapore and Bucharest come pretty close.

Six of the World’s Most Bitcoin-Friendly Neighborhoods

Portsmouth, New Hampshire

With its grand 17th century houses, traditional crafts, and riverside gardens, Portsmouth doesn’t look like a hotbed of cryptocurrency adoption. It turns out that the entire state’s 
 
Six of the World’s Most Bitcoin-Friendly Neighborhoods 

big on bitcoin however, with doomsday preppers and survivalists seeing New Hampshire’s sprawling wilderness and snow-capped peaks as the perfect place to lay low and stock up on canned goods in readiness for the coming apocalypse.
20,000 members of the libertarian Free State Project have pledged to move to New Hampshire in the coming years. Its HQ is the Free State Bitcoin Shoppe in Portsmouth where your filthy fiat’s no good – it’s crypto only. The state also features a farm which sells its beef for bitcoin and numerous shopkeepers accept the virtual currency with the aid of the Anypay app.

Amsterdam, Netherlands
Just a stone’s throw from Amsterdam’s Sex Museum lies the Bitcoin Embassy, a community hub where bitcoin evangelists gather to worship. Open daily from Tuesday to Saturday, it’s frequented by developers, startups, investors, entrepreneurs, and curious passersby. There’s a Bitcoin Cafe, Box Shop, and Bitcoin Restaurant complete with its own mining rig. The city is also home to the bit4coin exchange and has spawned numerous crypto startups and ICOs.

Six of the World’s Most Bitcoin-Friendly Neighborhoods
 

Douglas, Isle of Man
Overlooking the Irish Sea is Douglas, the quiet capital of Britain’s Isle of Man. Despite having a population of just 26,000, the town’s got its own bitcoin bar, The Thirsty Pigeon, and is home to the island’s onlynoodle bar – which also happens to take bitcoin. There’s another reason why Douglas is bona fide bitcoin-friendly: the island’s regulatory framework allows cryptocurrency gambling and token sales to flourish. The Isle of Man is home to 25 bitcoin-related startups, causing it to be dubbed Bitcoin Island.

Kreuzberg, Berlin
 
Six of the World’s Most Bitcoin-Friendly Neighborhoods 
 
With its mixture of students, geeks, cyberpunks, and bohemians, Berlin was always going to rank highly on the bitcoin scale. Kreuzberg is Berlin’s bitcoin heartland however, a district that boasts the highest concentration of merchants that accept the digital currency.Room77, the “restaurant at the end of capitalism” perfectly encapsulates the ethos of the city’s most ardent bitcoin believers. As  news.Bitcoin.com previously reported, it was the site of the first real-world Lightning Network transaction, which was used to purchase – what else? – beer.

Ginza, Tokyo
Japan can lay claim to being the world’s most bitcoin-ready country, with thousands of stores accepting the digital currency and a string of bitcoin ATMs to be found within major metropolises. Ginza, Tokyo’s upscale shopping and dining district, welcomes bitcoin-users seeking to buy or spend the cryptocurrency. There’s a bitcoin ATM in The Snack coffee bar, where you can also pay for your meal in BTC, while a ten-minute walk away lies the popular Numazuko Sushi Bar, where your bitcoin and bitcoin cash are also welcome. Afterwards, pop into Ginza’s Megane Super opticians for a new set of specs and put the bill on bitcoin.

Six of the World’s Most Bitcoin-Friendly Neighborhoods
 

Ngawa, China
The Chinese government hasn’t exactly welcomed bitcoin with open arms, but has yet to issue an all-out ban. If you’re a Chinese resident seeking like-minded souls, Ngawa (Aba)  

Six of the World’s Most Bitcoin-Friendly Neighborhoods 

Tibetan and Qiang Autonomous Prefecture should be the next place you lay your hat. You’ll struggle to find anywhere that accepts bitcoin round here – more than 10% of Ngawa’s 70,000 residents are Tibetan monks, who aren’t known for their tech-savviness.

Nevertheless, close by lie many of Sichuan’s crypto mining operations which feed off the province’s cheap hydro power. Chilling in a noisy and dirty mining farm isn’t anyone’s idea of libertarian paradise. Still, if you want to get intimate with bitcoin, heading straight to the source is as close as it gets.

There’s still a long way to go until bitcoin acceptance is the norm and cryptocurrency neighborhoods have sprung up across the globe. For those who seek a place to spend, talk, and revel in all things bitcoin, however, there are scattered outposts where your satoshis are good and your radical views on decentralization are welcome.

Where do you think the world’s most bitcoin-friendly cities and districts can be found? Let us know in the comments section below.




alfwesh22

A growing number of millennials are putting their savings into Bitcoin instead of traditional bank accounts, with 6 out of 10 respondents stating they have purchased Bitcoin in the last 12 months.

Out of the 10,000 millennials who were included in the survey conducted by CoinSpectator, 70 per cent said they were unhappy with the interest rates offered on their savings accounts, and nearly 65 per cent said they felt their money was safer in Bitcoin, which they controlled, rather than it being controlled by a bank.

Recent banking figures show that savers receive just £10.06 billion of interest collectively when compared to the £1.3 trillion they were putting away. Bitcoin on the other hand has risen in price from approximately £550 in November 2016 to nearly £6,000 at the time of writing. With such lucrative profits up for grabs, millennials fear missing out not only on making high gains but also on the opportunity to support self sufficient banking that benefits the user directly.

Almost two-thirds of women said they have started to branch out from Bitcoin and diversify their portfolio by investing in other cryptocurrencies This comes as no surprise given women are often underpaid in the workplace in comparison to men, leading to them taking riskier investments to accumulate the same level of wealth.

Although millennials prefer saving in Bitcoin, just under half are also on the lookout for a more convenient banking system with 45 per cent stating they hoped their bank would integrate Bitcoin wallets so that they could invest directly in digital currencies through their current banking provider.

70 per cent were unhappy with the interest rate attached to their savings account, while 75 per cent felt they were being robbed of their money and not valued as a customer.

In the next five years the majority of millennials will put approximately two thirds of their savings into cryptocurrencies, resulting in a revolution among the younger generation who are financially savvy and independent of any centralised financial institution.

“The younger generation has been notoriously quicker to act on new technologies, including the latest smartphones, which have enabled millennials to invest in Bitcoin over the last few years, before large hedge funds and financial institutions started to get involved,” said Andrew Sung, founder of CoinSpectator.com.
With banks providing such low interest rates on customer savings, accounts are becoming a thing of the past for the younger generation. With Bitcoin, people have full control over their money, make far greater profits and above all can send money abroad with lower transfer fees.

Survey Questions:
Have you purchased Bitcoin in the last 12 months?
61% of respondents said Yes
29% of respondents said Considering
10% of respondents said They were unsure what Bitcoin is

Are you unhappy with the current interest rate offered by your savings account?
70% of respondents said Yes
20% of respondents said Unsure
10% of respondents said No

Have you also invested in other cryptocurrencies such as Ethereum?
66% of female respondents said Yes
35% of female respondents said No
75% of male respondents said No
25% of male respondents said Yes

Do you feel that your savings stored in Bitcoin is safer with you as opposed to keeping your savings in a bank account?
65% of respondents said Yes
30% of respondents said No
5% of respondents said Unsure

Would you like your bank to offer a Bitcoin savings account?
45% of respondents said Yes
35% of respondents said Unsure
20% of respondents said No

Do you feel that the bank is not valuing you as customer with such a low interest rate?
75% of respondents said Yes
21% of respondents said No
4% of respondents said Unsure

In the next 5 years how much money do you plan to invest into cryptocurrencies?
10% to 20% ( 5% of respondents clicked this box )
20% to 30% ( 8% of respondents clicked this box )
30% to 40% ( 9% of respondents clicked this box )
50% to 60% ( 21% of respondents clicked this box )
60% to 70% ( 45% of respondents clicked this box )
70% to 80% ( 5% of respondents clicked this box )
80% to 90% ( 4% of respondents clicked this box )
90% to 100% ( 3% of respondents clicked this box )

Survey Methodology
This survey was conducted online by CoinSpectator among 10,000 18-24 year olds between October 1st and October 31st 2017.




alfwesh22

Singapore — The Old Mutual Gold & Silver Fund, which manages $220m of mostly precious metals equities, is jumping on the bitcoin wagon.

The fund started buying in April with a mandate to allocate as much as 5% to cryptocurrencies, according to its manager, Ned Naylor-Leyland.

The idea is to take profits from bitcoin as it advances, to reinvest in gold and silver assets, he says.
"Bitcoin was explicitly designed to be digital gold," said Naylor-Leyland. "So if you’re going to have a small proportion of a fund in bitcoin, it should be in a gold fund, because that’s exactly the point.

"It’s about bringing the ownership of disciplined money into the modern world. Bitcoin is paving the way for the reintroduction of gold as global money."

Bitcoin’s up more than eight times this year to top $8,000 as entrepreneurs in the field say its value lies in proof of concept for a new kind of payment system not reliant on third parties like governments, big banks or credit-card companies.

By contrast, gold has held in a tight range since February, with a short break upward in September as US-North Korean tension spiralled.

The virtual currency has many backers and many detractors.
Mike Novogratz, who is starting a $500m hedge fund to invest in such assets, said bitcoin would probably end the year at $10,000.

Standpoint Research’s Ronnie Moas on Monday raised his 2018 price target for the second time this month, to $14,000 from $11,000.

But Goldman Sachs said last month that gold won out over cryptocurrencies when assessed on most of the key characteristics of money.

Bitcoin and blockchain resolve gold’s problems of divisibility, ownership and speed of transmission, says Naylor-Leyland, who is investing through a Swedish-listed exchange-traded fund.
"We’re going to revert to sound money," he said. "If you imagine sound money and blockchain together, there’s quite an exciting potential outcome."

His fund has about 80% in gold and silver equities and most of the rest in physical metal.
Bitcoin traded at about $8,250 at 1.26pm in Singapore on Thursday, about $120 short of the record it set on Tuesday. Spot gold was at $1,289 an ounce




alfwesh22

The Bitcoin Cash community is expecting another move from Bitcoin to Bitcoin Cash, as mining power may be redistributed in the next few days.

Bitcoin Cash easily moved from the 1,200 to the 1,500 range within a day, and indications appeared that another dramatic weekend may be coming. At the moment, BCH keeps climbing, and is up by 31.33% in the past 24 hours, reaching $1,562.11. The coin is still far from the premium peak it achieved on BitHumb at around $2,500, but this Black Friday may in fact turn bright for BCH.

At the same time, Bitcoin has settled a bit above $8,000. Trading volumes are increasing for both coins, at around $3 to $4 billion in the past 24 hours. Reddit users noticed that the BCH market has eaten up a rather large batch of around 7,000 BCH at $1,500, while the price continued climbing, with $2,000 as a target in the near future.
Bitcoin Cash at the moment is slightly more profitable to mine compared to the Bitcoin blockchain. A movement of miners to the forked coin often coincides with a price peak. In the past weeks, more pools have moved to Bitcoin Cash, and the influence of the Unknown entity has fallen: 

 

At the moment, it is 7.4% more profitable to mine on the BCH blockchain. And in addition to block rewards, the promise of a higher market price may be inviting miners. 

The mining of Bitcoin has recovered a bit, with block time falling from 15 to around 12 minutes and the hash rate climbing to 8.1 PH/s. It is still early to talk of a mass exodus of miners, but Bitcoin is facing a difficulty readjustment in two days, which may make mining less profitable. 

At the same time, the difficulty of Bitcoin may adjust to levels that allow for easier block rewards. 
And while the two digital assets have performed similar clashes in the past, the events have intensified, leading to even more robust gains for Bitcoin Cash.

The block discovery statistics show that the Unknown portion of the mining lists several different entities, each leaving a different Coin Base Text. The unannounced miners may be pools, individuals or other that are interested in supporting Bitcoin Cash without revealing the public name and intentions.




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                                    BITCOIN NOT A FRAUD AFTER ALL, EH JAMIE? 

Bitcoin Not a Fraud After All, Eh Jaime?
 
A few weeks ago, the CEO of financial services giant JPMorgan, Jamie Dimon, criticized the popular cryptocurrency Bitcoin by calling it a ‘fraud’ and ‘tulip bulbs’. Dimon also claimed that Bitcoin attracts criminals like drug dealers and money launderers. Many people in the cryptocurrency and Bitcoin community were offended by his comments that targeted the digital currency and its users.

Dimon’s comments didn’t only offend people in the Bitcoin community, but they also affected the price of Bitcoin, causing a downward turn that lasted for several weeks. Interestingly, while Dimon may not see the value and legitimacy in Bitcoin, he is a big fan of the blockchain technology that powers Bitcoin and other cryptocurrencies. Since Dimon’s comments, Bitcoin has managed to climb to a new all-time high price of $8350 and a total market cap valuation of over $139 billion. The enormous short-time price increase indicates that negative criticism and comments have no long-term effect on the price of the digital currency.

                    JPMORGAN TO OFFER CLIENTS BITCOIN FUTURES?

JPMorgan to Offer Clients Bitcoin Futures?
 
Although the CEO of JPMorgan has taken a skeptical stance against the decentralized cryptocurrency, news has emerged that JPMorgan may plan to offer its clients the option to trade Bitcoin futures on their platform. A very recent CNBC article has reported that the financial giant is considering allowing its clients to trade Bitcoin futures. Citing a source close to the situation, the report states:
J.P. Morgan is considering whether to provide its clients access to CME’s new bitcoin product through its futures-brokerage unit.
The decision by JPMorgan has surprised a lot of finance and cryptocurrency experts due to the known opinion of its CEO regarding cryptocurrencies. Many analysts believe that the recent Bitcoin price increase may drive even more investments into the digital currency. The article suggests that JPMorgan has been receiving an increasing number of requests from their clients regarding Bitcoin. Because the demand for Bitcoin is steadily rising, JPMorgan might also want to get into the Bitcoin game.

What are your thoughts on JPMorgan’s decision? Do you think that their clients will invest in the Bitcoin futures option? Let us know in the comments above!




alfwesh22

Regulators have been struggling to come to a consensus, keep in touch and set a working relationship with Cryptocurrencies since they became big enough to worry about. The idea is simple, but implementation is much more difficult due to the quasi-anonymous nature of digital currency.

Regulators worldwide have not yet decided on a consistent approach. Some go the direct route, like China, and try and implement bans which are not as effective as they would hope. Others, like Switzerland, embrace the digital coins, hoping to attract more Blockchain builders.
Thus there is a large gray area at the moment, with regulators floundering in the middle.

Simple, in theory
Regulating cryptocurrencies should be quite simple, in theory. After all, unlike fiat money which can be transferred without any records, cryptocurrencies leave a digital footprint. That footprint is not as simple to follow as a bank transfer, for example, but it is not impossible.

Professor Andrei Kirilenko, director of the Centre of Global Finance and Technology at the Imperial College of London, believes that by their very nature, cryptocurrencies have a reporting system built in, but individuals sometimes obscure their identity in various ways.

He believes that if digital currency transactions were regulated in such a way as to compel transparency, cryptocurrency would be no harder to regulate and tract than bank transfers. Of course, it’s unlikely that users would just accept such regulation without protest.

The difficulty keeping up
Kirilenko adds that the 2008 financial crisis created a perfect environment for the rise of digital currencies. Rapid technological development, in conjunction with a mass talent exodus, the failure of previous systems and the affordability of computing, meant fintech was given the space to flourish.
But that flourishing has been so rapid that regulators can’t keep up with the evolving cryptocurrency space. However, there will come a time when regulators keep up, believes Dr Co-Pierre Georg, senior lecturer at AIFMRM and Director of the UCT Financial Innovation Lab.
“This means it is only a matter of time before they are so widely used that their regulation will be non-negotiable.”
This battle to keep up currently is coupled with the fact that Cryptocurrencies are unprecedented, creating far-reaching complications.

De-prioritised
There exists a desire in many parts of the world, and by many citizens of the global cryptocurrency ecosystem, to see some form of regulation as it would add legitimacy. However the drive for regulation has been de-prioritised in many areas because the resources required for regulation require justification to taxpayers and there are frequently more pressing problems. As such, cryptocurrencies are often dealt with on a case-by-case basis.
There is no leading law, or jurisdiction, or precedent out there that states how to deal with cryptocurrencies; instead, regulators must resort to experimentation. Kirilenko says:
“There are multiple aspects to the regulation of cryptocurrencies. Suppose I’m a regulator. What do I regulate? There are different ways to touch that elephant, There are different pieces of regulation. If you are going after one, some or all of them, you have to know what would be your main mandate — whether it is a monetary policy mandate, for instance.”
Long road with bright future
Regulation may seem like a dirty word in the decentralized Bitcoin community, but smart regulation will increase adoption. The fact that only 802 people paid tax on Bitcoin in the US in 2015 has galvanized the IRS, who is now using a company called Chainalysis to try and catch tax cheats. Regulation is inevitable, if for no other reason than tax agencies wanting their cut. Proper regulation and taxation will bring Bitcoin in line with existing monetary systems and spur investment by mainstream finance players.




alfwesh22

The French asset management company TOBAM, with $9 bln under management, has officially announced the creation of the first Bitcoin mutual fund. The goal is for institutional investors to gain access to the cryptocurrency.

The company has created the fund as an unregulated alternative investment in order to provide a vehicle for allowing more regulated investors at the institutional level to gain Bitcoin exposure without the regulatory concerns. According to the business development lead, Christophe Roehri:
"Direct investment in Bitcoin can be operationally challenging, from dealing with the choice of the platform, to maintaining the proper security measures in terms of custody and to managing the changes made to the protocol.”
Massive institutional movement
As the last two months has unfolded, the widespread adoption of Bitcoin at the institutional level has continued. The announcement by the Chicago Mercantile Exchange (CME) for the provision of Bitcoin futures, as well as other firms, has propelled the cryptocurrency to new all-time highs over $8,400. At press time, Bitcoin was trading at $8,301, just off those highs.




alfwesh22

Bitcoin's tremendous rally in 2017 has left analysts racing to revise their predictions. Mike Novogratz feels that Bitcoin's rally is not done yet and that it is poised to cross $10,000 by year end.

$10K by April 2018? Nah...sooner
Mike Novogratz, who was ranked a billionaire by Forbes in 2007 and 2008, has been a long-term Bitcoin bull. In an interview to CNN a month back, he stated that he would not be surprised if Bitcoin reaches $10,000 by April 2018. Bitcoin's strong rally in the last month has made him revise his prediction. He now expects Bitcoin to cross $10k by the end of 2017.
Speaking to Bloomberg TV, Mike Novogratz said:
I think literally we end the year at $10,000 in Bitcoin. I think that is a decent move from here. I think we end the year at close to $500 in Ethereum.
While Bitcoin might have stolen the thunder in 2017, Mike believes that Ethereum could now be poised to make rapid gains:
Just in the last few days, Ethereum has started to move. I actually think it's gonna put a new high soon. There are a lot of positive things happening in the Ethereum ecosystem.
Deeply invested
Mike Novogratz, who was a partner in Goldman Sachs and hedge fund manager at Fortress Investment Group, is deeply invested in Bitcoin. He was an early investor in Bitcoin, purchasing Bitcoins for $50 each in 2013. He also invested in Ether at the IPO, picking it up for about thirty cents. He has stated that he has invested 10% of his life savings in Bitcoin and Ether. Given the massive increase in prices of Bitcoin and Ether over the past year, that proportion is likely to have increased. Novogratz is currently looking to raise up to $500 mln to set up a hedge fund in the cryptocurrency space.

From strength to strength
Bitcoin has moved from strength to strength, shrugging off the $30 mln hack of tether on Monday. According to Novogratz, while security and safe custody of cryptocurrencies is a concern, the market has not reacted badly since $30 mln is small compared to the overall crypto marketcap of $250 bln. In 2017, nothing seems to affect Bitcoin - whether it is Jamie Dimon's negativity or China's crackdown. With the huge momentum behind Bitcoin, it wouldn't be a surprise if Novogratz is forced to revise his projection once more before 2017 ends.





alfwesh22

While Bitc0in investing can be intimidating for those just getting their feet wet, there are several tips that newcomers can use to maximize their chances of success.
By following the Top 5 tips listed below, investors can boost their chances of meeting their goals.

1)Do Your Homework
First and foremost, investors just getting started with Bitcoin need to do their homework.
"The more you understand the better off will be," stated Pawel Kuskowski, CEO & co-founder of Coinfirm, a blockchain and regulatory technology firm.
He emphad that "bitcoin offers a unique and rare opportunity, but needs to be treated accordingly." 
As a result, more than one expert encouraged newcomers to dive into Bitcoin's underlying technology.
"If you have any technical bent whatsoever, take 10 minutes to leaf through the original 2008 Satoshi white paper," stated crypto fund manager Jacob Eliosoff. 
"It's only 8 pages, legible and an inspiring work of genius!" 
[Ed note: Investing in cryptocoins or tokens is highly speculative and the market is largely unregulated. Anyone considering it should be prepared to lose their entire investment.]
Lucas Geiger, founder and CEO of Wireline, offered similar guidance, stating that investors should be sure to have a strong grasp of the blockchain, the distributed ledger system that underlies all digital currencies. 
"This may seem obvious, but I thinkthe first thing is take time to understand the blockchain," said Geiger. "I say this strongly, because few people will do this." 
"If you don't have a high level understanding of how a blockchain stores secure data (such as coins), then you are investing in the equivalent of tulip bulbs," he added. 
Since learning about Bitcoin can take time, newer investors might benefit significantly from working with a mentor, emphad Adam Nestler, CEO of Kudos, a decentralized protocol for building a fair service economy. 
"Find a trusted person or resource that you can engage with to ask questions in order to understand the nuances of your investment in a safe environment," he said. 

Be careful when investing in digital currencies.

2)Proceed With Caution
Risk is inherent to investment, and investors should keep in mind that digital currency is in a very early stage of development when compared to similar asset markets like the stock or bond markets.
"This is still an extremely high-risk space," emphad Eliosoff. "Don't invest money you can't afford to lose!" 
While these considerations can be quite helpful, some experts provided more specific guidance.
"Start small, and invest a small portion of your capital," suggested Marshall Swatt, a serial entrepreneur. 
As for how best to enter positions, Tim Enneking, managing director of Crypto Asset Management, gave specific input. 
"Don’t chase Bitcoin prices. Decide on a entry point and stick with it," he said. "With Bitcoin, you’re almost always right in terms of foreseeable price action – it’s your timing that might be off. So, be patient, and let the Bitcoin price come to you." 
Once Bitcoin has reached the right price, Enneking suggested that investors refrain from buying their Bitcoin all at once. Instead, they should "stage in and stage out," meaning they should invest a little at a time, wait for a bit, and then invest some more.

Effective diversification can prove highly beneficial. 

3)Diversify Effectively
Over the last several years, Bitcoin has produced some very impressive gains, and media outlets have developed a steady stream of stories about "Bitcoin millionaires."
While these stories might tempt an investor to put all their money in Bitcoin, keep in mind that no investment professional would advise an individual to put all their eggs in one basket.
When creating a diversified portfolio, investors could consider altcoins, more traditional assets such as stocks and bonds, or both.
The basic idea behind diversification is creating a portfolio where a decline in one component will correspond with an equal gain in another.
For example, let's say an investor has a simple portfolio, consisting of equal amounts of Bitcoin, Ether, Litecoin, Ripple and Bitcoin Cash.
If one digital currency falls 10%, then ideally, another digital asset will rise by the same amount.
Oliver Isaacs, a tech entrepreneur, emphad that if an investor set up a diversified crypto portfolio and Bitcoin's price suddenly fell to $0, they would still be able to invest because their altcoins would still have value.
"Hedge Against Volatility and don’t put all of your eggs in one basket," he stated. "Much like investing in  the stock market or FX, you should diversify your funds as a risk management technique." 
When picking out altcoins to incorporate into portfolios, Robin Bloor, senior VP of strategy & communications for software provider Algebraix Data, emphad that investors must be careful.
"There are a vast number of other active cryptocurrencies (hundreds)," he noted. "Remember that most of them can be thought of as start-ups and most start-ups fail.
As a result, conducting thorough due diligence is crucial, stated Bloor.
"You need to research the business model in detail for any coin or token you are considering and then carry out due diligence - in terms of current funding, pedigree of the leadership team, original technology, marketing plans, product plans, product maturity and so on," stated Bloor.

Wallets can be a very safe place to hold your digital tokens. 

4)Keep Your Coins In Wallets
While exchanges are a great place to purchase digital currencies, they may not be the best place to hold such assets.
"Don't store coins on an exchange," emphad Eliosoff. "In Bitcoin's short history many, many exchanges have gotten hacked," he noted. 
"It's fine to buy on an exchange like  https://zp2btc.ltd/, but then move your coins into an online wallet like https://zupago.pe/, a mobile wallet like ZuPago mobile App, or create a paper wallet - all free and pretty easy," said Eliosoff. 
Investors can take further action to manage risk by using both hot wallets (online) and cold wallets (offline), emphad Matthew Unger, founder and CEO of iComply Investor Services inc.
"Just like you keep some cash in your wallet, some in your bank account and perhaps the really valuable stuff in a safe, you need to manage digital currencies in the same way," he stated.

 
Volatility is very common in the crypto markets. 

5)Prepare For Volatility
The digital currency markets are notoriously volatile, and there are several strategies that investors can use to manage the inevitable price fluctuations.
One strategy, diversification, is covered earlier in the article.
Another strategy, buy and hold, has been advocated by a great many financial gurus, including legendary investor Warren Buffett.
"Buy-&-forget is the right strategy for most investors," stated Eliosoff.
"Resist the temptation to make short-term bets, to 'sell at the top', to get in at the cheapest price," he said. "Most people who try this stuff underperform simple buy-&-hold." 
Gavin Yeung, founder and CEO of digital asset management firm Cryptomover, offered a similar point of view.
"We at Cryptomover believes that a passive investment style will outperform active strategies in the long term," he stated. "Not only is passive investing inexpensive and simple, it also lowers trading fees leading to much lower operating expenses."




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Bitcoin is recovering nicely from its Tuesday morning fall, shedding light on its volatility and its growing appeal. 
One sector in the U.S. that is embracing the crypto is the housing market. Specifically, millennials who are making their fortunes with the rise of the currencies are choosing to buy expensive real estate with their new-found wealth.
Both sellers and buyers are seeing Bitcoin as a feasible way to conduct their transactions.

New York City
New York City is known for having some of the most expensive real estate in the country. As the economy has recovered, the real estate market flourished. 
Magnum Real Estate Group is one of the companies that is tapping the market, but they are upping the ante by also tapping cryptos as an alternatives to making payments.

The real estate group’s president is Ben Shaoul. He is developing a 96-unit condominium. The condos are priced between $700,000 and $1.5 million.
Shaoul has said that he sees the evolving of his buyers who who’ve moved from mom and pops to young people who want to pay with various forms of payment.
He spoke to CNBC about how the use of cryptocurrencies has become greater.
 “Cryptocurrency is something that has been asked of us — ‘Can you take cryptocurrency? Can we pay that way?’ — and of course when somebody wants to pay you with a different form of payment, you’re going to try to work with them and give them what they want, especially in a very busy real estate market.”
Shaoul added that he thought the demographic of the crypto user is a younger millennial. They are joined by many people who are coming to the U.S. from other countries who like to trade in different types of currency.
“Not everyone wants to trade in dollars or yen or euros.”
Instead of converting the bitcoins he receives into dollars, Shaoul plans to simply hold onto them.

Texas makes headlines
To CNBC, J. Kuper at Sotheby's International Realty explained how he brokered a real estate deal in Austin, Tx.
"Austin is a really technologically advanced city, I'd say, so I was surprised we hadn't heard anybody wanting to do this before. But, candidly, we didn't know how to do it. It was a quick challenge and scramble to figure out all the moving parts, but we were instantly excited about the opportunity to figure that out."




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Billionaire trader and legendary hedge fund manager Mike Novogratz says that the bitcoin price will reach $10,000 before the end of the year.

Novogratz: Bitcoin Price to Reach $10,000 This Year
Novogratz, a former Fortress manager, made this bullish prediction in an interview with Bloomberg on Tuesday. He explained that bitcoin has value for the same reasons that gold does: scarcity, distrust of the central banking system, and consensus.

Previously, Novogratz has stated that he believes mainstream financial firms are preparing to make a splash in the bitcoin markets and ecosystem. In October, he said that this Wall Street “herd” will carry the bitcoin price to $10,000 within six to 10 months. However, the bitcoin price has already increased approximately $3,000 since then, making him confident that bitcoin will reach the five-figure mark by the end of 2017.
“The institutionalization of this space is coming. It’s coming pretty quick.,” he saidrecently.
Standpoint Research founder Ronnie Moas has made a similar revision to his market forecast in response to increased Wall Street interest in bitcoin, raising his 2018 bitcoin price target to $14,000 from $11,000.


Crypto Revolution in ‘Second or Third Inning’
Responding to the recent market volatility associated with the $31 million hack of Tether, a USD-pegged Omni token that serves as a substitute for cash on many cryptocurrency exchanges, Novogratz explained that traders are nervous about losing the massive profits they have accumulated during bitcoin’s yearlong bull run. Consequently, they react skittishly at every potential market hiccup, even though the bull run has a long way to — $5 trillion according to an estimate he made earlier this year — before it reaches true bubble status.
“We’re in the second or third inning of this revolution,” he said. “Because prices have moved so far people are nervous. You made a whole lot of money, there’s news, so you want to book your profit and get out.”
Novogratz also told Bloomberg that investors have been “receptive” to his creation of Galaxy Investment Partners, a $500 million crypto-hedge fund — the largest of its kind — that will invest exclusively within the blockchain space. He is staking at least $100 million of his own capital in the fund, and he hopes to raise $350 million to $400 million from external investors by the first quarter of 2018.




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A new survey from LendEDU shows that bitcoin enthusiasts will be ‘hodling’ their coins with respondents willing to sell them when they hit over $190,000 each.

The marketplace for student and personal loans conducted a new survey of 564 Americans who have invested in the digital currency. The aim was to determine the current sentiment and future expectations relating to bitcoin investors.
The poll found that the average bitcoin investor doesn’t plan on selling their investment until the coins have reached a value of $193,165, roughly 24 times its current value.

Interestingly, 40.78 percent of respondents claimed that the cryptocurrency is a ‘world-changing technology,’ whereas, 21.81 percent see bitcoin as a long-term store of value, like gold or silver. Surprisingly, only 8.16 percent said that they were using the digital currency for transactions and purchases, rather than as an investment.
The survey also determined how long investors were planning on holding their coins for. The report said:

In our thinking, a short investment time horizon would be a negative for the price of bitcoin. Alternatively, a long investment time horizon would be a positive for the price of bitcoin.
Of those asked, only 16.49 percent indicated that they were planning to hold their bitcoin for less then one year. This highlights that a number of investors are only in it for the short-term. Those planning to hold their digital currency for one to three years rose to 39.54 percent. However, on the flip side, only 11.70 percent expect to hold on for over 10 years.

Just 32.62 percent of respondents have sold some of their bitcoin since investing; however, the majority, at 67.38 percent, stated that they had not sold any since their first purchase.
This is not the first time that LendEDU have conducted a survey regarding the crypto market. In September, it asked 1,000 American students whether they had heard of the digital currency, with a large majority responding that they had.

The student loan refinancing market also conducted a poll in October, which found that younger Americans – between 18 and 34 – are far more likely to invest in ethereum, bitcoin, and other digital currencies compared to people from older age groups.
This latest survey from LendEDU comes at a time when bitcoin is experiencing a surge in value. Over the weekend, the digital currency rose to $8,100 for the first time, clawing its way back from the previous weekend’s low of $5,500. With renewed confidence in the market, it remains to be seen where it will rise to next.




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Pirate Party Founder Discusses Revolutionary Potential of Cryptocurrency With RT

Rick Falkvinge, the founder of the world’s first pirate party, discussed the revolutionary potential of bitcoin and cryptocurrency while speaking with RT on Monday. Mr. Falkvinge recently issued a satirical ‘manifesto’ for bitcoin cash in which he claimed the title “Chief Executive Officer of Bitcoin Cash” to empha the permissionless nature of the network.

Mr. Falkvinge Describes Bitcoin As “A Huge Wealth Transfer” 

Rick Falkvinge Discusses Revolutionary Potential of Cryptocurrency With RT  

Rick Falkvinge was asked by RT to discuss the ramifications of cryptocurrency’s growing popularity, with the Russian state-owned media organization describing bitcoin as a “new gold rush” and the potential catalyst for a “radical financial revolution.”

Mr. Falkvinge states “bitcoin right now is a huge wealth transfer to those who understand its implications early on. The last wealth transfer of this magnitude was around 1850, and it was about those who’d found oil.” Mr. Falkvinge describes said “wealth transfer” as having broad implications for capitalism and technological innovation. He states “those who used to be poor, nerdy, geeky… are suddenly the new millionaires. And that… is going to have a profound effect on what the future of our society looks like. Because for the last 200 years or so, it were the people who found oil that decided where money went, what research was made. And when the geeks and nerds are sitting on that money and deciding what research gets made – it’s not going to be a better diesel engine. It’s going to be a better solar panel.”

Mr. Falkvinge describes bitcoin’s trustless protocol as significantly altering the dialectical relations between persons, stating “when I’m buying a bottle of water with a credit card someone in the background there’s a bank giving me permission to buy a bottle of water with a credit card. And that is a horrifying thought. Because that means that the bank can also deny me permission to buy a bottle of water… With bitcoin, this is not true. There is nobody needing to give permission in the background. There’s nobody who gets to say no to a transaction. No money can be forced. No money can be seized. And here’s a big problem for governments in the future. Taxes can no longer be force

Rick Falkvinge Expects That Bitcoin’s Price May Reach Seven Figures


Pirate Party Founder Discusses Revolutionary Potential of Cryptocurrency With RT 

Mr. Falkvinge predicted that bitcoin would see thousandfold price gains back in 2011. Despite such, he still believes that bitcoin’s price can continue to climb, stating “if cryptocurrency fulfills its promise – and there’s no indication it wouldn’t – then the equivalent of one bitcoin needs be in the 2 to 5 million dollar range,” adding “at that point, it won’t make sense to measure it in US dollars because USD won’t have any measurable value.” Nevertheless, Mr. Falvkinge states that bitcoin “is a really risky investment,” emphasizing that “nobody should ever invest in more than being capable of losing every single last cent of it.”

When asked of bitcoin’s shortcomings, Mr. Falkvinge states that the cryptocurrency “is too complicated, it is not usable enough at all.” He likens the introduction of the new technological phenomena as comparable to the introduction of electricity in the 1920’s, emphasizing that challenges associated with creative destruction are common with the roll-out of groundbreaking technologies.

Regarding concerns pertaining to the anonymity of bitcoin, Mr. Falkvinge states “it is more traceable than any money that came before it because every single unit of bitcoin is traceable through its entire monetary history.” When asked about bitcoin’s potential to be used for illegal activities, Mr. Falkvinge responded by stating “I’ve never heard somebody arguing against the existence of the US dollar with that argument. If you’re going after drugs and narcotics trade, then the US dollar is unparalleled in use.”




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Bitcoin vs. Bitcoin Cash: Can Both Survive?

You could be forgiven for thinking Bitcoin Cash was dead; the currency had slumped to about $600 before a sudden revival last week caused the price to soar to $2,600 while simultaneously knocking Bitcoin down a few notches.

As a brief recap, Bitcoin recorded a new all-time high of about $7,800 on Wednesday, November 8 followed by a downward trend, which saw Bitcoin fall by nearly 30 percent to under $5,630 by Sunday, November 12. The root of this was that the Bitcoin community couldn’t reach a consensus to proceed with the proposed SegWit2x hard fork. However, it didn’t take long for Bitcoin to return to its previous values and seek new highs.

The discussions of a hard fork finds its root in the one megabyte block limit that the original developer of Bitcoin, Satoshi Nakamoto, set to make the digital currency more secure. Given the limit of only 21 million Bitcoins, Satoshi most likely didn’t envisage that Bitcoin will be as huge and valuable as it is today. That’s certainly understandable since nothing like it had ever existed.
However, now that the digital currency has become more popular than Satoshi probably envisaged, the currency is dealing with the modesty of its original design. Bitcoin’s lack of capacity has led to the growing amount of time it takes to process Bitcoin transactions. Those who would like to have their transactions confirmed in a timely manner have to pay relatively more transaction fee as an incentive for transaction validators (miners) to prioritize their transactions.
According to a website that tracks Bitcoin fees, the current “fastest and cheapest transaction fee is currently 770 satoshis/byte.” For reference, a comment on BitcoinTalk pointed out that the recommended fee (same as the fastest and cheapest fee) as of January 2017 was 120 satoshis. That’s over 500 percent increase in the recommended transaction fee since the beginning of the year.
This is contrary to the promise of speed and affordability that has been publicized as one of the advantages that Bitcoin offers over the traditional ways of conducting financial transactions.
The aim of the shelved SegWit2x hard fork was to solve these challenges by increasing the amount of transaction data that each block can handle to two megabytes. Once this fork was cancelled, some investors grew weary and pulled out of Bitcoin and moved into Bitcoin Cash, a digital currency that resulted from a Bitcoin hard fork in August.
Bitcoin Cash recorded an all-time high of over $2,500 when Bitcoin was falling on November 12. Considering that the scaling limitations inherent in the Bitcoin system still lie unfixed, coupled with the social buzz around Bitcoin Cash, investors are likely to be worried about what the future holds for Bitcoin. Here are some thoughts from industry experts.
The lack of consensus makes Bitcoin vulnerable to big money manipulation
According to DNX Community CEO Conradie Graeme, the failure to push the SegWit2x hard fork through is a setback for Bitcoin.
“Everyone is focused on scalability issues, but I believe there’s a bigger vulnerability issue about Bitcoin Think about it, as it stands, if you can afford to pay more in transaction fee, you can have your transactions confirmed quickly and there is no limit to the amount of Bitcoin you can buy or sell. And in reality, it’s only the big money investors/traders who can afford to pay more in transaction fees. So in theory, big money can pump and dump Bitcoin using the unfair advantage of being able to get their transactions confirmed quickly by paying more. They can dump before anyone else to take profits. This could mean that Bitcoin will remain highly volatile and high volatility could hinder it from ever becoming huge in the digital payment space.”
Bitcoin’s value will decline
Maksim Balashevich, CEO and Founder of Santiment, believes that Bitcoin will drop in value.
Santiment believes Bitcoin’s value will drop, being redistributed among other ‘cash payments protocols’ such as Bitcoin Cash, Ethereum, Dash, Monero and Ripple. He adds:
“The Bitcoin Core [developers] (and Blockstream) should feel the real pressure and pain for what they’ve been denying for too long time. Once this pain is obvious and on all discussion boards, we might find the way for relief.”
There’s room for coexistence
Eric Jackson, CEO and Co-Founder, CapLinked, on the other hand, believes that Bitcoin’s widespread institutional support and adoption means that it will likely be here to stay, adding that its recent price rebound confirms that. That doesn’t mean Bitcoin Cash has no chance. Here are his words:
“I also believe that it is possible for Bitcoin Cash to coexist with Bitcoin. Bitcoin’s appreciation over the past half-decade has turned it into a store of value more comparable to gold than a currency. The very notion that Wall Street is developing derivatives of Bitcoin also suggests that it is on its way to becoming the world’s first digital commodity. Bitcoin has smaller block s and higher transaction fees compared to [Bitcoin Cash], making [Bitcoin Cash] mechanically better suited as a payment option than Bitcoin. Thus, assuming the rise of [Bitcoin Cash] is in part due to the need for a more flexible digital payment mechanism, I think there is room in the world for both.”
Clem Chambers, CEO of global stocks and shares website ADVFN also shares the view that several digital currencies can coexist:
“There is room in the market for both Bitcoin and Bitcoin Cash, and for that matter many other coins including eccentric issues like Bitcoin Gold. In classic coinage, there are many denominations for the very same reason that there will be many different cryptocoin denominations. There are also many different currencies on top of denominations and for that matter an infinite set of designs. Cryptocurrency will follow a similar path.”




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Futures Markets: What They Are and What They Mean for Bitcoin

As bitcoin gains worldwide attention, there’s lots of discussions lately about futures markets. With companies like LedgerX and some pending bitcoin-based derivatives products coming soon from CME Group and Cboe, some people are scratching their heads wondering — What are futures markets and what do they mean for bitcoin?

                             Everyone Keeps Talking About Bitcoin Futures Markets
Over the past couple of years, a few companies have been trying to apply derivative market trading into the world of bitcoin. Lately, people have been following the news of LedgerX swapping a few million worth of bitcoin-based futures products. Further, observers have heard about two of the world’s largest options markets, Cboe and CME Group, trying to build their own futures options tethered to the bitcoin economy. Many people are curious about how these types of trading markets will affect bitcoin’s price and volatility.

What are Bitcoin Futures and Derivatives Markets?
A bitcoin futures contract is a forward agreement to purchase or sell a specific amount of bitcoin, within a specified time frame for a set price. So if you buy a bitcoin futures contract at a set price at say $10,000 per BTC; you agree to purchase the coin at the contracted rate, on the agreed upon date and the same goes for selling. Futures markets are the exact opposite of spot markets, and exchanges people traditionally use to trade bitcoin these days. Traditional types of spot trades occur immediately, in contrast to forward agreements scheduled for a specified payout date. Bitcoin-based futures derive their price according to the movement of bitcoin’s value, and these markets are very much correlated with the spot price markets.
Futures Markets: What They Are and What They Mean for Bitcoin
A forward agreement to purchase or sell bitcoin at a future price.
 

Spot and Futures: How Profits and Losses Are Tethered to Arbitrage

Now you may ask yourself why traders would want to agree upon purchasing an asset in the future utilizing a contract. The reason is that individuals and organizations make a lot of money off of arbitrage or taking advantage of the spread between two market prices. The future of bitcoin’s price is always bound to have a different value. For instance, a person could gain profits by practicing a method called ‘cash-and-carry-arbitrage.’ This means a person could take a long position using bitcoin spot markets and a short position in bitcoin-based futures. The same individual could purchase the bitcoin at $9,000 spot, and a BTC futures position at $10,000 and sell the futures contract before the expiration. If the bitcoin’s price reaches $11,000 by the end of the contract you just pocketed $1000 for taking a risk. Of course, you would lose money if bitcoin’s price went below $9000 by the contract’s expiry.
Futures Markets: What They Are and What They Mean for Bitcoin
Arbitrage is taking advantage of the spread between two market prices.
 

The History of Futures Markets

Active futures markets have been around since the Ancient Mesopotamia times back in 1750 BC. The first known derivatives market was initiated by the Babylonian king Hammurabi. Futures trading has also been found in Aristotle’s writings as well. The first modern derivatives market include the Dojima Rice Exchange in Japan (1700s), the London Metal Market (1800s), and the Chicago Mercantile Exchange (CME Group-1900s). Currently, CME Group is the largest futures marketplace worldwide and is one of the big names bringing bitcoin to the world of derivatives.

Futures Markets: What They Are and What They Mean for Bitcoin
The Chicago Mercantile Exchange (CME Group) trading floor back in the early 1900s.
 

Nearly Every Commodity, Product and Stock Worldwide is Played on the Derivatives Markets

Now some people think futures markets will be great for bitcoin as it may streamline more mainstream exposure. Speculators think it might even help with bitcoin’s price volatility as its assumed others are taking on the risk and reward aspect of a turbulent buyers market.    

Some people don’t like derivatives markets and think that it’s basically a roulette game. Skeptics believe futures are no different than placing a wager on a horse race, but these days the every single world commodity, stock, bond, debt, and now even bitcoin is traded on the roulette table. Because spot markets and futures are so intertwined people believe markets can be manipulated. For instance, people buying futures could also be purchasing bitcoin at spot to make some quick gains. While others may play futures markets, because they know some ‘big bitcoin whale’ might dump next month. Maybe insiders know about some hedge fund about to purchase large quantities of BTC spot, and they bet on a long contract that turns a significant profit. Even though derivatives are somewhat illusionary, they become very real with arbitrage, as outside forces utilizing spot markets can still be used as a correlated tool.

Will Futures Markets Affect Bitcoin Spot Markets? The Answer is Yes
So futures markets could theoretically ‘tame’ bitcoin’s price volatility, but also amplify both bearish and bullish sentiment on spot exchanges. In less than two months some of the biggest financial players in the world will be shooting the dice with bitcoin’s value, and there will likely be an impact on spot markets. If bitcoin futures become more prevalent, then everyday markets will feel the tremors. We just don’t know if that impact will be positive or negative.




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62% of Institutional Investors are Buying or Considering Buying Bitcoin

Over the past few weeks, a string of surveys has provided an insight into the public’s perception of bitcoin. Japanese; Americans; millennials – all have been grilled regarding the world’s leading digital currency. One group that have yet to speak their piece en masse is institutional traders – until now. A newly released survey sheds light on what investors think of bitcoin and it makes for interesting reading.

Traders are Fascinated by the Bitcoin Rollercoaster
Despite numerous soundbites from Wall Street CEOs, their underlings have remained conspicuously absent from the

 62% of Institutional Investors are Buying or Considering Buying Bitcoin 

bitcoin debate. We know what Jamie Dimon and Lloyd Blankfein make of bitcoin, but what about the average institutional trader? Thanks to the efforts of Triad Securities, we now have an answer to that question. Between 6 and 13 November, they spoke to 317 institutional traders in a survey that reveals conflicting views on bitcoin.
When asked whether they had ever bought bitcoin or other cryptocurrencies, 31% said yes, with around half having done so only within the last six months. Another 36% professed to be considering buying bitcoin, 31% ruled it out altogether and, not surprisingly, just 1.5% of respondents confessed to being unfamiliar with bitcoin.

Bitcoin Good, ICOs Bad?
The same group of traders was also asked about ICOs, which received markedly less enthusiasm than bitcoin. The number of traders who had invested in them was less than 8%, and 48% stated that they hadn’t even looked at ICOs. 29% of those surveyed did admit to considering the merits of ICO investment, and another 15% expressed a desire for additional regulation before they would consider venturing into the space.

62% of Institutional Investors Have Bought or are Considering Buying Bitcoin
 

Last week, Coinbase announced that they were launching cryptocurrency asset management for institutional investors. The Triad Securities survey was conducted just before this story broke, so it is hard to say whether the news would have caused respondents to answer otherwise to the next question – What is your level of confidence in current bitcoin custodial offerings? As it was, just 9% claimed to have a high level of confidence, versus 26% having low confidence in the ability of Coinbase, Gemini, and others to safeguard digital assets.

Bitcoin Keeps Bubbling Nicely
The survey concludes by revealing a few tidbits of collective wisdom from the institutional 

Institutional Investors are Considering Buying Bitcoin 

traders involved. 41% see bitcoin as a safe store of value similar to gold and just over 39% think bitcoin is a bubble that’s destined to crash. Not all traders are as pessimistic about the currency’s prospects however: 27% think it will continue to rise gradually, and another 17% are bona fide bulls, asserting that bitcoin will double in value in the next six months.

For investors accustomed to enjoying single digit growth, bitcoin, with its explosive growth, is an asset whose rise can only be watched with a mixture of envy and apprehension. No one knows where bitcoin will be six months from now, but one thing’s for sure: Wall Street’s watching closely.




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Bitcoin is Apocalypse Proof, Say Doomsday Preppers

By its nature, Bitcoin is immune to the coming and going of the rest of the world that is unrelated to it. No centralized authority or country can affect it by its outward politics. But, does that mean that should World War Three strike or an apocalyptic event strike, Bitcoin will survive?
Bitcoin has shown on a few occasions that not much politically can scare it. On a more micro scale as well there are indications that those who know a thing or two about the end of the world, have backed the Bitcoin horse.

Doomsday Preppers
While many think that Doomsday Preppers are a bit looney and that their measures are unnecessary, what they do have on their side is planning and knowledge. People disregard Preppers because they are planning for something that has a low chance of happening but they are planning.
Among their stores of canned food and bottled water, there are more and more instances of Preppers stockpiling Bitcoin, rather than other valuables - such as the traditional gold.
Alarm bells immediately ring in that if there is a global catastrophe, the Internet as well as electricity, may be knocked out rendering Bitcoin useless, but that hasn’t dissuaded them. Even staunch survivalists are convinced Bitcoin will endure economic collapse, global pandemic, climate change catastrophes and nuclear war.
“I consider Bitcoin to be a currency on the same level as gold,” Wendy McElroy, who lives on a rural Ontario farm with her husband, said. “It allows individuals to become self-bankers. When I fully understood the concepts and their significance, Bitcoin became a fascination.”
There are huge flaws in their reasoning about the use of Bitcoin in a post-apocalyptic world, but the logic is sound. Bitcoin is pretty apocalypse-proof.

Collapse of countries, rather than nations
If the world reached a stage where there was no electricity, power, food and water for that matter, Bitcoin would hardly be on anyone's minds. But taking a step back, Bitcoin has shown its ability to resist in political upheaval, as well as aid.

There have been a few instances just this year where Bitcoin has come to the fore. The first bit of evidence was when the US was threatening North Korea and all global markets - barring one - felt the sting.
In August, almost across the board, markets dropped by about one percent with the escalating tensions between North Korea and the US, but Bitcoin only continued to rise.

Zimbabwe
With the recent peaceful coup in Zimbabwe and even a long time before that, the troubled African nation showed how important a non-centralized currency can be. The economy collapsed a long time ago, forcing Zimbabwe onto Dollar bonds, but now with a digital alternative, the demand has skyrocketed.

Venezuela
The South American country is also going through a political crisis where its currency has essentially become worthless. This has seen a massive surge in interest in cryptocurrency, especially mining it.

Strong survival tactic
It is clear that while there is a society and some semblance of an infrastructure, Bitcoin can be a lifeline to those downtrodden by economic turbulence and political upheaval. However, for it to truly stand the test of an apocalyptic time, there will need to be some lucky breaks.

“I doubt Bitcoin is a safe haven from an extreme-risk environment. In that sense, Bitcoin isn’t gold,” said Charlie Morris, the London-based chief investment officer at Newscape Capital Advisors Ltd.
However, in counter to that, Rob Harvey, a Bitcoin investor who prepares for natural and nuclear catastrophes, makes an interesting point about the Blockchain.

“It may be difficult, if not impossible to access for a while, but once things start returning to some level of normality, then the Blockchain will return as it was before the disaster,” said Harvey. “The Blockchain does not need a specific place or a specific person to survive—that’s a strong survival tactic.”




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