Libra Vs The State: Will Regulations Ruin Facebook’s Stablecoin

Facebook’s Libra cryptocurrency has only been announced a day and regulators are eager to dip their claws in the upcoming stablecoin.
Digital currencies like Bitcoin transcend national borders and Facebook’s new Libra project is aiming to cash in on this aspect. Regulators are keeping a wide eye on Facebook as the network focuses on being the first global central bank.
Higher standards
Speaking at the ECB conference in Portugal, governor for the bank of England Mark Carney called on G7 nations to heavily scrutinise the launch of Libra.

“Anything that works in this world will become instantly systemic and will have to be subject to the highest standards of regulation. We will look at it very closely and in a coordinated fashion at the level of the G-7, the BIS, the FSB and the IMF. So open mind, but not open door.”

FDIC

Former chair for the Federal Deposit Insurance Corporation Sheila Bair recently sat down in an interview with CNBC. Bair expressed her worries on the launch of Facebook’s upcoming stablecoin saying:

“What are they doing with the money, if I give them some dollars to buy the Libra, they’re kinda being fuzzy about that in their whitepaper…The strength of the collateral is a question I would have about it.”

As reported by CCN:

“Facebook has 2.6 billion users worldwide. Those users exchange value in over 100 different currencies. Despite Libra’s claim as a future stablecoin, it’s unclear yet how Facebook will manage investment with its foreign reserves.”

Blair has called for a cryptocurrency backed by Federal entities. There is one glaring issue with this though. She noted in her interview:

“[FedCoin] would give people a very safe way to make payments. I mean you don’t have to worry about the Fed defaulting right, they can print their own money.”

The feds can very well print their money, sure. But the feds jurisdiction has a cut-off point and that is at the border.
Facebook has no borders.
Source: Crypto Daily

Ethereum (ETH) Could Kick Off A Mini Altcoin Season As Early As This Week

Ethereum (ETH) is struggling to break out of the symmetrical triangle it has been trading in since the beginning of the month. The price started to rally significantly around June 10 and topped out around June 16. However, it is once again ready to climb towards the top of the triangle having just tested the bottom of the triangle recently. ETH/USD has also found support on the 50 EMA on the 4H time frame. The price has also yet to break the ascending channel it has been trading in for the past few months. This gives the bulls more hope that the price could take off from here to kick off a mini altcoin season as early as this week.
The 4H chart for ETH/USD shows that the price is ready to rally from here and the RSI shows that there is ample room to do that. It is still hard to say if the price will eventually end up testing the top of the ascending channel it is trading in but we are certainly going to see a break out of the symmetrical triangle in the near future. Considering that Bitcoin (BTC) has yet to rise further before it tops out, we expect Ethereum (ETH) to follow suit and the price is therefore more likely to break above the symmetrical triangle than below it. That being said, traders should account for both eventualities and manage their risk accordingly. The symmetrical triangle on the chart can also be interpreted as an ascending triangle which would give the bulls more reason to be bullish short term.

Trading is like a war and there are different sides. One side has to lose in order for the other side to win because it is a zero sum game. This is why it is important to know the enemy because there is one. The ‘enemy’ is the whales or market makers. Now, both of them serve a very important purpose in this market because without them there would be no liquidity but when someone has this much control without adequate accountability, it leads to corruption. This is what we have seen in this market in the form of pumps and dumps.

So, while it is important to spot patterns on a chart, it is more important to understand the working behind those patterns and to ask yourself how and why you might be seeing these patterns. The 4H chart for ETH/BTC shows the price trading within a falling wedge inside a large bull flag. This is a very strong bullish setup and it suggests that we might see a breakout in Ethereum (ETH) in the near future. However, it is important to understand the limitations of each time frame. It would be unreasonable to use the 4H time frame to deduce that ETH/USD is going to keep rallying for the next few months. While this is a good setup for a bullish entry short term, it is important to realize that the price remains overbought on larger time frames and is due for a major correction long term. 
Source: Crypto Daily

BTC: Will Facebook Be Bitcoins Downfall?

Let’s take a look back into 2008 during the financial crisis, one of the biggest bouts of economic chaos since the great depression in the 1930s. During the financial crisis of the last decade, there was a big depression caused by distrust amongst bankers which almost saw the western world sink into the depths.
With this now firmly behind us, we can appreciate the significant role bankers have played in the evolution of money.
While they given society means to embrace money, bankers have also taken advantage of the loopholes and weaknesses in the present financial system to better themselves and their associates, all at the expense of you and I.
Introduction of BTC
The introduction of Bitcoin came around this time. Specifically, it was in 2009 when Satoshi Nakamoto brought Bitcoin into the world as a decentralised currency which would be separate from government entities that would turn it into a centralised and regulated digital currency asset.
The late noughties was a time of turmoil economically. People had disillusioned faith in the financial systems and general banks following the 2008 crisis. This was something that Nakamoto saw and decided to build a cryptocurrency, the first cryptocurrency. After banks in the United States, as well as the rest of the world, failed and billions of dollars were lost, taxpayers across the globe changed significantly.
For years now, Bitcoin has been seen as the ‘future of finance’, ‘future money’ or ‘Google money’ to the uneducated man, but how much of this is true?
The Future of Money?
Mainstream adoption is tantalisingly close for Bitcoin but it isn’t here just yet. A lot of countries across the world will have heard about BTC by now with Bitcoin ATMs popping up all the time over the US (4,000 and counting!).
The free and open-source content management system, WordPress was the first big business to accept Bitcoin back in 2012. Since then, many more have joined the list but global adoption is still far away as BTC is still plagued with a lot of issues like speed, transaction fees, and being easier to understand for new users.
Despite all these very valid factors, the big thing that will impact Bitcoin’s mainstream outreach is the Chinese government who view the currency as a threat to its own fiat money.

Here are some of the following notable benefits of Bitcoin make it stand out from the rest as the currency of the future.

The leading cryptocurrency is being increasingly accepted as a payment method on an international level. Thousands of merchants from across the globe have jumped on the crypto bandwagon over the past few years. This includes big companies that have doubted the legitimacy of the currency for many years beforehand.
New users might have a tough time using Bitcoin as it stands but in the grand scheme of things, international Bitcoin transactions are pretty simple. As reported by Hackernoon:

“There is virtually no difference between cross-border international transactions and local transactions when it comes to Bitcoin because there are no red tapes or location-based banks to deal with. Since it is popular around the world, Bitcoin is best placed to become the currency of the future better than any other currency or cryptocurrency.”

Bitcoin has the potential to give the power of money back to the people too. This is in comparison to gold in the early XX century when the US government seized the people’s gold by law. With this, growing your Bitcoin portfolio is the future for some investors.

Facebook & Regulations

So these were just a few benefits that Bitcoin holds but what does the future hold? Facebook has just announced its Libra cryptocurrency coming in 2020 with the social network stating:

“Over the coming months, the association and its members will be recruiting additional members to further diversify and support the network. We will also be raising money in a private placement to help jumpstart the ecosystem and drive adoption.”

Yahoo News have reported on Facebook’s cryptocurrency, saying:

“Libra, the cryptocurrency, will run on its own Libra blockchain, which today launches an open-source testnet. The blockchain and cryptocurrency will all be overseen by the Libra Association, a not-for-profit that is separate from Facebook and headquartered in Geneva. Libra Association says Libra is not a stablecoin, because it is not pegged to a single currency and does not have a fixed value in any fiat currency. Rather, a spokesperson says, it will be ‘a blend of multiple currencies,’ so its value ‘will fluctuate in any given local currency, and exchanges will charge a spread above or below the value of the reserve,’”

With Facebook getting involved in the crypto picture many people believe that Bitcoin’s time in the limelight is over.
So maybe big corporate institutions like Facebook are the future of crypto? We have stated the benefits of Bitcoin but don’t forget the glaring issues that face it too. It’s hard to put it all in one video, there are so many factors to consider! We haven’t even mentioned how exchanges are vulnerable to hackers!
Source: Crypto Daily

Scam: 22,800 Bitcoins Allegedly Laundered by UK Business

According to a recent report, the US Commodity Futures Trading Commission has filed a complaint against the UK based company Control-Finance Ltd and its Director, Benjamin Reynolds.
According to the Finance Feeds report, 22,800 Bitcoins were stolen from customers by guaranteeing them healthy profits on their investments.
According to sources close to the matter, the US watchdog filed a complaint with the New York Southern District Court against Control-Finance Ltd. alleging that it defrauded around a thousand customers to launder just under $150 million worth of Bitcoin. In fact, the UK based firm has been accused of taking investments from consumers to fund a Ponzi/pyramid scheme.
As it reads in the report:

“From at least May 1, 2017, through October 31, 2017, the defendants solicited customers to purchase their own Bitcoin with cash and thereafter deposit their Bitcoin with the defendants. To lure customers to transfer Bitcoin to them, the defendants made a raft of misrepresentations – for instance, they claimed that they employed expert virtual currency traders who earned guaranteed daily trading profits on customers’ Bitcoin deposits.”

In trying to persuade customers of the legitimacy of the business, the director provided then with sham account documents. The firm used to transfer their deposits of Bitcoin to its cryptocurrency wallets in Canada, Switzerland, Seychelles and South Korea.

In an official complaint with the court, it states that both Control Finance and Reynolds took advantage of the public’s enthusiasm for Bitcoin from May 2017 until October that same year. The CFTC has requested the court to impose civil monetary penalties and put a permanent trading and registration ban on the company.
The CFTC’s enforcement director, James McDonald said:

“The CFTC will continue to vigorously police the bitcoin markets, including fraudulent trading activity as alleged in this complaint.”

He went on to say:

“Fraud in these markets not only harms customers but if left unchecked, it could also hinder innovation. We caution potential virtual currency customers, once again, that they should engage in appropriate diligence before purchasing or trading virtual currencies.

Source: Crypto Daily

EUR/USD Near Term Outlook Points To Further Upside In Bitcoin (BTC)

The Fiber (EUR/USD) has recently been through an extensive correction that has now seen it retrace to the top of the descending triangle it escaped from earlier. As the pair has found strong support on the previous resistance turned support, we can expect it to continue rallying from here especially as the pair is likely to just break out of a falling wedge. This breakout could result in a completion of the ABCD pattern drawn on the 4H chart for EUR/USD. Recent stance taken by ECB President, Mario Draghi hints that further rate cuts might be on the way for the Euro, and we could see the pair decline against British Pound (GBP) but it still has room to rally against the US Dollar (USD).
When it comes to Bitcoin (BTC), we are more interested in EUR/USD because this is the one forex pair that influences the price of Bitcoin (BTC) the most. This is because Bitcoin (BTC) is paired to the US Dollar (USD) on the most exchanges and the strength of the Dollar primarily depends on the EUR/USD pair. If the Dollar goes up, Bitcoin (BTC) falls and vice versa. At the moment, we expect EUR/USD to rally from here on out towards early July. This gives Bitcoin (BTC) ample room to complete the existing rally. This short term relief rally in EUR/USD after a major downtrend is most likely to be short lived as the ECB is not interested in a strong Euro. Similarly, the US Dollar Currency Index (DXY) might have topped out short term but it is likely to maintain its uptrend long term.

The 4H chart for BTC/USD shows that the big picture remains intact. The price is currently in the UTAD (upthrust after distribution) part of the Wyckoff distribution cycle. Phase C shown on the chart might take  a while to complete as the price could break past the ascending triangle near term and climb above the 38.2% fib retracement from ATH before it tops out. RSI on the 4H time frame shows that there is plenty of room for the price to do that. This chart clearly shows what the price could do in the next few weeks and months from now.

Once Phase C comes to an end, we will see the price current when it enters Phase D and Phase E. This is when we could see BTC/USD decline all the way to $5,000 or even lower levels to complete the ongoing distribution cycle. Weakness in the price action suggests that BTC/USD might not have much strength to rally significantly past $10,000 but from here on out, a rally past $9,600 appears quite promising. Traders that are looking to short Bitcoin (BTC) might want to add to their positions in the next few days based on the price action. Just as it is a good idea to dollar cost average your buy positions, it is also a good idea to dollar cost average your sell or short sell positions.
Source: Crypto Daily

Tom Lee: “The Facebook Announcement is Validation that the Mainstream are now Focused on Cryptocurrencies”

The co-founder and head of research of Fundstrat, Tom Lee has recently taken part in a new interview with CNBC Futures Now where he gave his opinion on the new Facebook cryptocurrency, Libra.
Lee believes that this new stablecoin from the social network is proof that cryptocurrency is going mainstream.

“The Facebook announcement is a complete validation that mainstream is now focused on cryptocurrencies and I think it really destroys those arguments that say, ‘I believe in blockchain, not Bitcoin.’”

Lee says that Facebook creating a cryptocurrency is good news for Bitcoin in the long-term.

“This is clearly a cryptocurrency play. But the salvo, or the real focus, is decentralized finance. And I think it is more targeted at stablecoins and creating a new kind of banking system, and it’s very complimentary to Bitcoin. I think this is actually a really bullish development for Bitcoin. I think it’s really bad for stablecoins and anyone who’s been trying to do decentralized finance.
One thing to keep in mind – Facebook’s annual revenue per user is probably $50. That might be a little high. But an average bank generates close to $1,000 per user. So, Facebook has a 20x upside to their customer model if they start doing banking services, and so I can see why banks aren’t really enthusiastic about this.”

When it comes to the price of Bitcoin, the co-founder says that the leading crypto is now in a full-blown bull-market and is well on the road of return to its all-time high of $20,000.

“I think Bitcoin ultimately becomes a reserve currency in crypto. Bitcoin at $9,000 has only been at this level in 4% of its history. We’re deep into a bull market and people are pretty silent about it. I think Bitcoin is going to easily take out its all-time highs.”

Despite Facebook’s announcement this week, the price of Bitcoin hasn’t moved much. The price is currently sat at $9,139 following a 0.78 percent decrease over the past 24 hours.
Source: Crypto Daily

AmSpec And V-ID Verify And Protect Certification In The Petroleum And Petrochemical Industry

Global testing, inspection and certification platform AmSpec chooses V-ID blockchain tech to protect reports and certificates
Rotterdam, Wednesday, June 19, 2019
It’s still early at the Oranjelaan in Rozenburg, a stone’s throw away from the largest petrochemical refineries and terminals of Rotterdam, but already AmSpec’s dedicated professionals are onsite delivering high calibre service.
Here at AmSpec, specialists have been testing and certifying various types of oil and gas for more than 30 years. AmSpec is a global leader in inspection in the oil and gas sector with over 200 operational sites worldwide and is one of the fastest growing players in this industry. AmSpec produces over 50,000 inspection reports each month for most of the major petroleum refiners and traders.
It’s no surprise to find the most modern technologies at Amspec, and now they have a technological scoop yet again.

Blockchain technology ensures authenticity
AmSpec’s reports and analysis certificates are a crucial part of daily operations in the global refinery sector, which determine the market value of commodities like oil and gas. These reports contain sensitive and vital data so immutability is of utmost importance.
The average organisation loses 5% of its annual revenue to fraud, which equated to $3.7 trillion in 2016 according to the Association of Certified Fraud Examiners (ACFE). Typically, a fraudulent certificate takes time to be spotted, reported and revoked and that’s to say nothing of those reports that don’t get picked up on.
To ensure a report remains authentic, AmSpec will be one of the very few companies in its sector to sensibly apply state of the art blockchain technology. From now on, the V-ID blockchain tech will protect the AmSpec values against falsified reports; any report can now be verified whether it’s an original, or a copy.
Christopher Sammut (AmSpec): 

“By guaranteeing our reports’ authenticity with V-ID’s validation service, Amspec and our clients can rest assured that the vital information and results are always protected from fraud.”

Innovation in the oil and gas industry
With the addition of this industry giant to the client base, V-ID is instantly well positioned in the oil and gas industry. Marnix van den Berg (V-ID): 

“We are very happy to add AmSpec to our client list as they are a key-player in the global oil and gas sector, and it’s a wonderful use-case. So far, it’s already been a great project, their hands-on mentality really is a blessing. We got in contact at the DigiByte Summit, where we introduced our Rembrandt project. After the first talk it was an immediate match.”

One blockchain, depending on how many nodes it has, can be secure enough for most processes. However, V-ID has decided that there is even greater security in numbers and is able to offer a combination of more than one blockchain providing many thousands of nodes. The digital fingerprint of the AmSpec reports will be stored on the Ethereum, LTO Network and DigiByte blockchains. According to Marnix:

“Our platform can automatically anchor the unique fingerprint in multiple blockchains. The service is GDPR-compliant as privacy is always one of our focusses. V-ID provides easy access to public, hybrid and permissioned blockchains such as Bitcoin, Ethereum, DigiByte, LTO Network and Hyperledger.”

The future for V-ID and blockchain
Blockchain is beginning the process of underpinning just about all business and industry sectors. It provides a trust less, immutable and secure bottom layer for practically any process to run on top of it.
The best use cases for blockchain are really coming to the fore now with sectors like finance, supply chain and verification starting to gain traction and looking certainties to replace database systems and intermediaries that were the models of the past.
In the area of verification, trusted middlemen were required to record, validate and reconcile transactions. V-ID’s verification platform completely does away with these intermediaries, saving time and costs while also providing a trust-less and secure environment for its clients.
The potential for blockchain to disrupt nearly all sectors of business and industry is endless, and validation and verification is a sector where V-ID has hardly even scratched the surface. Think of the plethora of use cases for this particular service — from documents, certification, reports and invoices to physical objects such as art, machine/automobile and aircraft parts, precious stones etc.
A blockchain-dominated future is nearly upon us and the millennial generation is watching developments with a keen eye. The future blockchain leviathans in the mold of the Facebooks, Googles and Amazons of today are yet to be decided. V-ID can have a huge part to play in their own particular niche of verification and validation and whilst not being in the same league as the above companies they are certainly carving out their own big potential stake in an extremely nascent industry.
About AmSpec
For over Thirty years, AmSpec Services, LLC has independently and accurately analysed and measured petroleum and petrochemical products throughout the US, Caribbean, Latin America and around the world.
AmSpec Services, LLC is dedicated to providing quality service exceeding our clients’ expectations. The Company and employees strive for the highest degree of quality performance, which is achieved through clear and well-documented systems, proper training, the qualifications and experience of employees, and through continuous improvements of all overall operations.
The Company is proud to announce that AmSpec Services, LLC is certified to the ISO 9001 Standard under the scope of the “Provision of Petrochemical and Petroleum Laboratory and Inspection Services.”

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About V-ID
V-ID is a validation and verification service based on blockchain technology. It is V-ID’s mission to certify and secure digital files so that fraud and errors no longer hold back innovations in digitization. V-ID’s blockchain as a service has been in use since 2018 with a growing number of clients in various fields, including education, medical, legal, research and tech. Airbus, measurement technology company Krohne and the European research institute are examples of this. Parties for whom it is very important that digital data really is authentic. V-ID offers them that certainty and safety.

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Disclaimer: I have received remuneration from V-ID for this article but I believe the information regarding V-ID and its client AmSpec to be 100% factual. This article should in no way be taken as financial advice. All those wishing to invest in the crypto market should do their own research or use the services of a fully certified financial adviser.
Source: Crypto Daily