Blockchain Daily News – Edition 156, 23.02.2018
February 23, 2018
Blockchain Daily News – Edition 158, 27.02.2018
February 27, 2018

Blockchain Daily News – Edition 157, 26.02.2018

Blockchain Daily News

by Florin Oprea

Edition 157, 26.02.2018

Fans’ Section

46% of Last Year’s ICOs Have Failed Already

Kai Sedgwic –

Having completed an extensive study into last year’s crowdsales, can report that 46% of them are effectively dead already – despite raising over $104 million.

FAO: 46%…although this might look pretty bad, it’s not that surprising after all. ICO funding last year has increased maybe too much, too quickly. The media hype clearly has its own contribution to it. A lot of newbies joined the “cryptoverse” as members of ICO project development teams and even more as crypto investors. ICOs, as any other investments, come with a risk. In an unregulated space risks are even greater…Speak your mind – use our LINKEDIN GROUP or TELEGRAM GROUP!

Millions Of Dollars In Ethereum Are Vulnerable To Hackers Right Now

Jordan Pearson – Motherboard

In November of last year, a person known by the pseudonym “DevOps199” stumbled across a critical vulnerability in the code for a subset of Ethereum wallets.

There are hundreds of thousands of smart contracts on Ethereum that control wallets, tokens and applications, or hold funds. Now, researchers say they’ve devised a new approach for finding vulnerabilities in smart contracts that would have exposed the flaw DevOps199 exploited before it was too late. Even more, the researchers say they’ve discovered an additional 34,200 vulnerable smart contracts.

Deals & Investments

tZero Has Now Raised at Least $64m of its $250m ICO

JD Alois – Crowdfund Insider

tZero has filed an updated Form D  506 c with the SEC. According to this most recent filing, tZero has now raised a minimum of $64,361,403. This is a base amount because the filing does not include what has been raised from investors outside the US by using Regulation S.

FAO: tZero is a subsidiary of Patrick Byrne’s We are watching this project very closely. Byrne has even advanced the idea of selling his business, quitting retail and going full crypto – more here. Oh, and do note that Soros Fund Management was the third-largest shareholder at the end of Q4 2017.


Venezuelans Can’t Buy Maduro’s Cryptocurrency With Bolivars

Camila Russo – Bloomberg (subscription) 

The Blockchain Won’t Save Venezuela

Matt Levine – Bloomberg (subscription) 

The petro is just a way to hide new international debt behind crypto mumbo-jumbo.

FAO: There are a lot of questions regarding this “national ICO” – read our Friday edition.

Turkey, Iran, Russia Are All Eyeing National Cryptocurrencies


Switzerland’s Stock Exchange Chairman Romeo Lacher Calls For ‘E-franc’

Ralph Atkins – Financial Times

Switzerland should launch a cryptocurrency version of the Swiss franc as part of the Alpine country’s attempt to steal a competitive lead in digital technologies, its stock exchange chairman has urged. Romeo Lacher said that an “e-franc” backed by the Swiss central bank would boost the local economy as well as electronic payment systems which were increasingly replacing cash.

FAO: More and more countries announce their interest in creating their national cryptocurrencies.

Here’s a list, from the data we have previously picked for the creation of this daily bulletin:

Ecuador, Tunisia and Senegal – have already issued their own

Venezuela – ICO running

China, Russia, Singapore, Japan, Estonia, Israel, Dubai, Sweden, Iran, Turkey – in plan/under development

Cardano: A Rising Cryptocurrency That Wants To Change The World

Stan Schroder – Mashable

On Oct. 1, 2017, an unusual event caused a collective gasp in the world of cryptocurrencies. A little known cryptocurrency called Cardano — or ADA, as its corresponding coin is called — showed up on crypto-tracking sites with a market cap of about $600 million.

Exchanges & Trading Venues

Coinbase Informs 13K Affected Customers Of Imminent Data Handover To IRS

Molly Jane Zuckerman – Cointelegraph

Coinbase sent an official notice to approximately 13,000 of its customers whose information it is legally required to turn over to the US Internal Revenue Service.

DNT: Check here, Exchanges & Trading Venues section for additional details regarding IRS initial request.


Chinese Bitcoin Mining Firm Bitmain Made $3 To $4 Billion In Profits Last Year, Says Analyst

David Z. Morris – Fortune 

Bitmain, a privately held Chinese firm that manufactures Bitcoin mining hardware and runs its own mining operations, made $3 billion to $4 billion in profits in 2017, according to estimates by Bernstein Research.

FAO: Say what? Reports last month said that Bitmain is looking to Switzerland and Quebec and expand its operations.

Ledger Is Working On New Native Apps For Its Cryptocurrency Hardware Wallet

Romain Dillet – TechCrunch

Ledger is making some of the most secure cryptocurrency hardware wallets out there. But the company’s apps aren’t that great. That’s why the company announced that Ledger has been working on brand new native apps for all desktop and mobile platforms.


Bitcoin Bitterness Starts To Make Messy Divorces Even Worse

Hannah George – Bloomberg (subscription)

Virtual currencies such as Bitcoin and Ethereum are a new challenge for U.K. lawyers, plagued with volatility and secrecy that is extending the already painful process of dividing a couple’s assets.

FAO: Even progress has its own side effects…

Crypto ‘Noobs’ Learn To Cope With Wild Swings In Digital Coins

Anna Irrera – Reuters

After researching digital currencies for work last year, personal finance writer J.R. Duren hopped on his own crypto-rollercoaster.

Duren bought $5 worth of litecoin in November, and eventually purchased $400 more, mostly with his credit card. In just a few months, he experienced a rally, a crash and a recovery, with the adrenaline highs and lows that come along.

Latest Developments & Agreements

Bank Of China Files Patent For New Blockchain Scaling Solution

Molly Jane Zuckerman – Cointelegraph

The commercial, state-run Bank of China, not to be confused with the People’s Bank of China, the country’s central bank, has filed a patent with the Chinese State Intellectual Property Office for a solution to scale Blockchain technology systems. The patent contains a method for compressing Blockchain data that seeks to solve the problem of storage space in new blocks without compromising on traceability and immutability.


Uzbekistan To Legalize Bitcoin And Support Developers

Lubomir Tassev –

Uzbekistan has taken the road to bitcoin legalization. In accordance with a presidential decree, a law regulating “electronic money” should be prepared by the end of the summer. The Central Asian country is also planning to open a center for DLTs. Mining expenses in Uzbekistan are among the lowest in the world, as the country is a leading producer of electricity.

FAO: Time for our

Crypto-Teams BDN Global Outlook

Team “Pro”: Japan, Hong Kong, Singapore, Australia, United Arab Emirates, Bahrain, Cambodia, Kazakhstan, Catalonia, Argentina, Gibraltar, Malta, Belarus, Moldova, Uzbekistan  (new entry)

Team “Against”: China, India, Russia, Malaysia, South Korea, Indonesia, Lebanon, Taiwan, Israel, Indonesia

Team “Neutral”: EU, USA, Canada

Austria Eyes Bitcoin Rules Based On Gold, Derivatives

Boris Groendahl – Bloomberg (subscription) 

Austria’s finance ministry is looking at the trading rules for gold and derivatives as inspiration for drawing up regulations on cryptocurrencies for the nation and for the European Union.

FAO: Remember that Germany and France will make a joint Bitcoin regulation proposal at the G20 Summit – more details here.

SEC Cools A Red-Hot Crypto Market By Picking Up the Telephone

Matt Robinson – Bloomberg (subscription)

Wall Street’s main regulator has repeatedly warned that the hot new market for initial coin offerings is probably full of fraud. Now it’s found an old-fashioned way to slow it down: picking up the telephone.

Startups, Accelerators & Hubs

Life Beyond Cryptocurrencies – Hong Kong & China Fintech Firms Show There Is More To Blockchain

Georgina Lee – SCMP

Several fintech companies in China and Hong Kong are showing how blockchain has so much more to offer than just cryptocurrency trading.

Romanian Startup Targets $400 Bln Charity Fundraising Market With New Platform

Bala Murali Krishna – Cointelegraph

A Romanian startup has set out to build a specialized Blockchain-based fundraising platform for philanthropic organizations such as Unicef, Red Cross or Save The Children to improve speed and transparency of payments. GoHelpFund is harnessing Blockchain and smart contracts, both of which significantly enhance speed and security of payments when compared with older payment systems. It also plans to integrate artificial intelligence (AI) and machine learning capabilities to add innovative features. Its platform, along with the new HELP cryptocurrency, expects to open for business at the end of 2018.


New York Throws Blockchain Party

Aaron Back – The Wall Street Journal (subscription) 

Move over Fashion Week, New York has a new hot event coming through town: Blockchain Week. Blockchain news site CoinDesk, in partnership with the New York City Economic Development Corporation, is organizing a week of events this May “to showcase New York City as a rising hub for blockchain jobs.”

FAO: I am building up my agenda for 2018 – if you want me as a speaker at your events better get in touch before my year gets uber busy – send me an email here.


Bitcoin & Blockchain Consume An Exorbitant Amount Of Energy. These Engineers Are Trying To Change That

Helen Zhao – CNBC 

Innovators from top institutions such as M.I.T. and Cornell University and tech titans such as IBM and Intel are in a race to develop green blockchain innovations to address demand by businesses.

Prime Time For Blockchain, Emergence Of Smart Robots And Other Top Asian Banking Trends Likely In Year Of The Dog

Piyush Singh – SCMP  

The digital trend is not a thing, it’s the thing and the rulers will be those who master data. Legacy players are either going to have to truly become digitally agile to compete, or risk being left behind.

Other news

Big Oil Buyers Ditch Paper For Blockchain To Track Tanker Sales

Milana Vinn &  Laura Blewitt – Bloomberg 

Every day, dozens of oil tankers — some as long as five football fields — set sail for ports around the world carrying millions of barrels of crude and a piece of paper that generations of sea captains have held as dear as their cargo.

Say Hello To The Blockchain In Transport Alliance And Its 10 Brand-Name Members

Sean Williams – The Motley Fool

An exciting open-source blockchain initiative was formed just a few months ago: the Blockchain in Transport Alliance. This alliance has a specific industrial focus of utilizing blockchain to improve efficiencies in the freight industry. Understand that this doesn’t just mean trucking, albeit trucking is a major component of BiTA. It involves financers, parts suppliers, cloud computing developers, railroads, and tire companies, to name a few industries.


Without Mentioning Blockchain, Putin Says That Russia Must Stay Ahead In Technology

Molly Jane Zuckerman – Cointelegraph 

During a meeting with Herman Gref, the president of Russia’s largest bank Sberbank, Russian President Vladimir Putin spoke about the importance of not falling behind in Blockchain development. Sberbank already introduced Blockchain in their document transfer and storage systems by partnering with Russia’s Federal Antimonopoly Service in December of last year. The bank is also reportedly soon opening a cryptocurrency exchange in Switzerland.


FAO: Florin Adrian Oprea, Editor-in-chief Blockchain Daily News

DNT: Decebal Nicolaie Todarita, Editor Blockchain Daily News