Gustavo Fonseca

Reasons For India To Not Ban Cryptocurrencies

India is on its way to coining a digital rupee and yet, at the same time, it is making provisions to outlaw the possession of cryptocurrency. If this law came into being, you could have to serve jail time if you were caught in possession of crypto. As such, the Reserve Bank of India has already banned cryptocurrency. India should be more pragmatic and consider using crypto payments for foreign transactions.

Cryptocurrencies have earned themselves a bad reputation due to their market instability. But not all virtual currency based on blockchain technology are the same. There’s the stablecoin, which is a more reliable alternative as its value is linked to flat currency and is regulated by banks like any other financial asset. With stablecoin, you’d be able to carry out international exchanges where a US stakeholder isn’t involved without having to use the dollar at all.

As much as we may be loathe to admit, no international financial transaction today can be made without using the dollar. Banks too cannot afford to deal without the USD. The Americans can wield this dollar supremacy around and have other nations at their beck and call. The stablecoin enables people here to carry out financial transactions even without using the USD as a medium.

Creating a payment mechanism that can tackle this dollar supremacy is no less than a political task. It is only possible today by using blockchain-based currency. When India refuses to take part in such an exercise, they are in essence making a political statement by not participating in a coalition of non-US nations to overthrow this hegemony of the dollar.

Sure, money laundering and heists are very real threats with blockchain currency, but these can be managed if all heads were to be put together to come up with solutions for the same. India should be a leading voice in decrying such a monopoly of the global financial system than bowing out of the race.

 

California Society of CPAs Demands Greater Clarity in Crypto Accounting and Disclosure Rules

California CPAs have complained against the paucity of clear guidance in U.S. GAAP, which is the base accounting protocol followed in the States. They desire more clarity in accounting and disclosure rules with regard to cryptocurrencies.

The main contention of the committee, which presently consists of 54 members, is the diversity in the reporting methods used by companies who itemize crypto on their financial statements. The committee is unsure if these methods wholly represent the risk of dealing with crypto.

The confusion is the different ways in which digital assets are looked upon. The perception of these assets depends largely on the circumstance in which they are viewed. At fair value, it can be recorded at lower costs in the market or as intangible assets. You can pass off crypto assets as anything really, from working capital to a commodity/investment, says co-founder of Alternate Tax Solutions, Andrew Parrish.

The Financial Accounting Standards Board states that most institutions interpret and define cryptocurrencies as indefinitely-lived intangible assets under ASC 350 or Intangibles – Goodwill and Others. However, this definition isn’t all pervasive across companies and should cause more confusion in the time to come as crypto enters the balance sheets of more and more companies.

Nancy Rix, Chairperson on California CPA’s accounting principles and assurance services committee, stressed in a letter to FASB about her belief that cryptocurrency usage will only gain more mileage with time and expand in volume and the manners in which it is applied.

CalCPA believes that FASB’s current classification model is suited for accounting with foreign currencies. The addition of updated rules would make dealing with other currencies in use already for investment and exchange easier. Rix believes it’s only a matter of time before major public companies begin using crypto as established by the issuance of JP Morgan’s JPM Coin. As such, clear crypto accounting rules will be of utmost necessity.

 

Even those who’ve remained hesitant against believing the efficacy of other forms of currencies have started making efforts to know more about cryptocurrencies and Blockchain technology. The fact is that cryptocurrencies are getting more and popular. Among the many ways to know the latest news or trends in this fascinating market, following the Twitter accounts of well-known masters in the field is an effective one. Let us now look at the top crypto Twitter accounts.

 

1. Andreas Antonopoulos: @aantonop

Even a casual glance at the Twitter account of Andreas Antonopoulos will reveal that he has been one among the well-known advocates of Bitcoins for the past years. It was during the year 2017 that he became highly popular. Recognizing his popularity and great work, he was donated 100 Bitcoins by the crypto community. He hosts a fabulous podcast known as “Let’s Talk Bitcoin” about the cryptocurrency sector.

2. Luke Martin: @VentureCoinist

Among the foremost traders of cryptocurrencies, Luke Martin stands tall and specializes in technically analyzing these currencies. The charts he shares and the commentaries on his Twitter account stand testimony to his prowess in this field. His daily live-webinars are very much sought-after by regular traders.

3. Roger Ver: @rogerkver

You will find Roger Ver’s name among the early investors in Bitcoins. He is also famous for being the creator of Bitcoin Cash. Purists consider Roger Ver as a divisive figure who played a vital role in the “fork war” that erupted during the latter part of 2018 in the realm of Bitcoin Cash. Despite this view of purists, over 500,000 people follow his Twitter account.

4. CoinTelegraph: @Cointelegraph

Those who’re very much eager to know the latest news about cryptocurrencies find CoinTelegraph very much useful. These followers will not only get the latest news they desire to know but will also have the benefit of accessing the opinions of masters in the field.

 

It is a known fact that the popularity of Instagram has been growing by leaps and bounds in recent times. Those who use the platform are able to safely know the latest updates as well as insights about whatever topics they are interested in. To put it differently, some experts use Instagram for influencing others in their fields. Let us now look at a few of the top crypto influencers on this platform.

 

Joseph Steinberg
Apart from possessing expertise in cybersecurity, Joseph Steinberg has been doing tremendous work by offering invaluable advice on Blockchain. His regular contributions to Inc.com, Forbes, and a host of other online platforms are regularly followed by hundreds of thousands of people interested in cryptocurrencies. Joseph Steinberg has been a regular attendee and an active participant at almost all the major events pertaining to Blockchain. He often visits major universities for lectures on the uses of Blockchain technology as well as the issues that may crop up in it. He has over 24.9K followers on Instagram which means that he is a renowned figure in the spheres of cryptocurrencies and blockchain.

 

Armando Pantoja
Apart from being a software engineer, Armando Pantoja is an expert on Blockchain as well. He has given lectures on almost all technological innovations that have taken place in the arena. The recent sale of his website on cryptocurrencies for a huge amount of US$2 million created big waves all over the world. As a tech entrepreneur, Armando stands tall among the most sought-after in the cryptocurrency and Blockchain realms. His follower base on Instagram runs to 7.6K.

 

The Korean Jew Trader aka Jake

Being a successful cryptocurrency trader, Jake shares his success stories and journey on his Instagram platform of 7K followers. His account stands as a testimony as to how cryptos are gaining prominence in the Korean market and how Korea has become a haven for cryptocurrencies.

 

Though everyone is ready to believe that there are a number of people or institutions that have created legacies worth billions of dollars in the money market, not everyone will believe that there are people or financial firms that have invested in cryptocurrencies and have amassed wealth. Let us now find out more on some of the top Asian crypto investors.

 

1. INBlockchain

INB is one of the top investment groups in the blockchain space in China. The partners of the group find a place in the list of the single largest investors and holders in the Bitcoin space. In fact, their holdings have increased more than nine thousand-fold till date. The investor group runs an incubator as well as a product-studio.

 

2. Node Capital

Node Capital stands among the earliest investment institutions of the world that focus on the Blockchain industry. The aim of this China-based institution has always been to build a robust ecosystem in the industry. They have invested in almost 200 enterprises and this number has only been growing at a rapid pace. Their investment portfolio covers almost every nook and cranny of the industry’s ecosystem that includes exchange, media, crypto asset wallet, and so on.

 

3. HyperChain Capital

Hyperchain Capital is also one among the first asset management companies that have been focusing on Blockchain-based projectsThey have also been offering consultancy services for the benefit of Blockchain-protocol projects. The asset management company participated in the first ICO of 2013 as well.

 

4. Marvelous Peach Capital.

Marvelous Peach Capital is a cryptocurrency-focused investment firm. Other areas on which they focus include Blockchain technologies, digital assets, and decentralized applications. The firm has been co-founded by Discus Fish of F2Pool and Taiyi Capital. F2Pool finds its place among the world’s most comprehensive and largest mining pools and has major shares of hash rates in a number of cryptocurrencies. Taiyi Capital provides financial services to many A-share listed companies.

 

Bitcoin broke free from the $8000 market it had been restrained to on Sunday and shot all the way up to $8,750 to everyone’s surprise. The bullish momentum may have lost pace for the time-being but crypto experts are convinced that the number will only go higher with the week ending.

 

BTC Gain Catches All Unawares

When BTC crossed the $8,200 mark and then the $8,400 and $8,600 mark one after the other – investors believed that this was a ploy to trick bulls into thinking that the market would close strong at $8,400 i.e. the figure the market closed at amidst the bear market rally in mid-2018 and also where it double-topped in early-May.

It was beginning to be feared that BTC was going to scale back just as rapidly as it had climbed. However, these worries were put to rest when Bitcoin’s weekly candle closed at midnight with a significantly strong performance over the last week. LiveCoinWatch has stated that BTC is up 6.75% on the week.

Investors and crypto traders are now hopeful after this bullish end to last week that BTC may actually rise up to $9,600-$10,000. Noted analyst Josh Rager reinforced the same opinion. He said that the strong close indicates that BTC may actually move up to $9,600. He tweeted in favor of the same.

Tuur Demester of Adamant Capital is even more optimistic. He opines that if BTC continues with its current trend, it may rally by 40% or around $3,000 to reach $11,000 by the time June rolls around.

 

Is Crypto Winter Over?

The question on everyone’s lips now is this – Is Crypto Winter finally over then? If we are to believe Fundstrat Global Advisors, that may actually be the case!

 

Things weren’t looking up for the BTC market after it surged up to $5,900 and then closed at a low of $5,650. However, many cryptocurrencies have been able to defy this trend and climb high despite it, Bitcoin Cash (BCH) being one of them.

In fact, traders have now come to believe that BCH may actually yield better short term trade results than BTC. They are of the opinion that the BCH hasn’t reached its fullest price potential yet and the evaluation shall only climb higher in the days to come.

BCH Trading Upwards of 5.3%

Bitcoin Cash has witnessed a surge of over 5%, currently trading at $293.51 from its lows of $275.

Bitcoin Cash has reaped the benefits of the recent crypto market surge. It had been trading at around $170 in early April from where it rose to $336.

Perhaps this price action indicates a new trading range being facilitated. It does have stellar support around the $249 mark and resistance in the lower -$300 region.

What do Crypto Analysts have to say?

Cryptocurrency analyst, Keshav Naria, explained on Twitter that he believes BCH is growing bullish with the passing day and shall witness another price surge soon enough which could drive it to the height of $340 before it becomes subject to any selling pressure.

Another established crypto trader expressed that he has been closely observing the movements of Bitcoin and Bitcoin Cash to check if they can reclaim support at 0.0525, which is upwards of the price at which it is currently running – 0.0508.

Conclusion

The current price movement of BCH has spurred crypto trade analysts to believe that BCH can steal a march over BTC in the crypto trading sphere. Bitcoin has actually been experiencing a period of stability, residing in the $5,000 region but not going up all the way to $6,000 due to insufficient buying pressure on the crypto. Traders and market analysts are on high alert to see whether BCH can surge past its resistance level. They believe it can. Only the coming weeks will foretell.

 

The cryptocurrency market is dominated by Bitcoin. However, there are other cryptocurrencies besides Bitcoin that deserve due attention too. The term altcoin refers to any alternative currency in the crypto market that isn’t BTC. Once BTC tasted success, the market was aflush with several altcoins. Different peer-to-peer currencies were launched with hopes of replicating Bitcoin’s success.

Can Altcoins Outshine BTC?

Market stakeholders believe that the surge of Bitcoin cannot be matched. People are now extremely skeptical about the crypto-space in general and think the altcoins will bear the brunt of this skepticism. Industry guru, Tommy Lee has expressed hope that altcoins will surge up this year. He believes that altcoins hold the potential to surpass Bitcoin market value in the future. The value of BTC has taken a nosedive since its record high of 20,000 USD. Altcoins will most definitely reap some advantage here. The question really is which currency will replace Bitcoin at the top? Will it be Litecoin or will Ethereum steal the march in the running?

Altcoins are Often Dependent on the Value of BTC

The value of different altcoins are near the value of Bitcoin but very soon it might increase as an increasing number of people are beginning to invest in it. It’s because, when compared to BTC, they are far more reliable and not as subject to fluctuations.

BTC’s initial escalation of value has egged other altcoins to depend on it for value.

Internet Integration

Internet integration is the final goal of all altcoins so operations become smoother. The role the Internet plays contributes a good amount to the market worth of altcoins. For this very reason, people who trade with BTC are often hesitant and exchange the currency in trusts like the Bitcoin Investment Trust.

Summary

Some 800 cryptocurrencies that were in existence are practically worthless now. Initially, there were 1600 altcoins in the digital industry. Inaurguably, the crypto market scares away many investors. Altcoin’s future can be greatly impacted by the decentralization debate and privacy concerns surrounding BTC. However, the fast rate of adoption of blockchain technology indicates good tidings for the market at large. Crypto-companies have been successful in amassing 11.9b USD in digital currency – only going to testify how open the world is to adopting it as part of everyday transaction.

The future is bright for altcoins. Its value stability and feasibility holds much potential for it.

 

A new DeFi app now intends to boost liquidity in the crypto-market by offering interest on your coins.

Alkemi, Techstar’s blockchain cohort via CEO Ryan Breen revealed a crypto liquidity pool deal of $16 million from industry vets – Alex Friedberg of BXB Capital and chairman of the data network Shyft, Joseph Weinberg. Their objective is to create a system of liquidity for exchanges. They want to make available a fund for service providers to avail when demand outstrips supply.

Weinberg believes that it will solve inter-settlement lag having drawn a comparison with Alkemi’s model to that of BTC-oriented solutions such as Liquid. He said that the general liquidity in space over time due to the reduction in fee rate results in a faster rate of execution.

The protocol to be followed by Alkemi will allows users to connect their personal wallets with a smart contract by a mobile app. It will work on the same fundamental as an app connected to a savings account of a bank which lets exchanges use these funds in settlements enabling the users to decide their own lockup timeframes. However, don’t think of this as a loan. It is more of a virtual deposit with the users retaining private key custody.

Breen stated that the reason they went ahead with Ethereum first is because the majority of token issuance has been noticed in it.

The app is scheduled to be launched by 2020. It has to be first cleared by security audits. It will support flat-backed Stablecoins, Bitcoin, XRP and several other assets. It fits snugly into the DeFi scheme of things with smart contracts experimenting with utility and efficiency or assets which fall under self custody.

Some popular DeFi projects so far

Dharma – the loans startup, UniSwap – the token exchange platform and MakerDAO i.e. associated with ethereum-backed DAI stablecoin make up the most notable DeFi projects in existence uptil now. DAI has not been able to manage its dollar peg over the past couple months and has had loan prices climbing upwards. DeFipulse.com reflects upward of $332 million cryptocurrency tied up in Dharma and Maker loans.

Breen admitted that liquidity in the sector often poses a problem. By virtue of it being decentralized currency, the idea is that the concentration of wealth is separated. At the same time, liquidity demands the wealth remain concentrated. The crypto sector stands to benefit handsomely if only this paradox could be solved.

The cryptocurrency market developed as a nascent space indulged in by tech-insiders. However, it has been making giant strides of late even becoming incorporated into pop culture. Now footwear manufacturing giant Nike wants to delve into the cryptosphere. It has filed an application with the USPTO i.e. the United States Patent and Trademark Office to patent the phrase “Cryptokicks”.

Nike’s intentions expand beyond simply offering crypto-themed apparel. The applicated submitted states that the company also wishes to provide a marketplace for traders of digital currency assets.

Not much is known yet about the direction Nike wants to take. However, Nike has said that it wants to offer information associated to “crypto-collectible customization”. It cannot be ascertained at this very instance if Nike is referring to the introduction of a crypto-themed product range.

Nike plans to construct a website with technology to facilitate the mining, storage, earning, purchase, reception and transfer blockchain-reliant tokens, cryptocurrencies, coins and other such crypto assets.

Lawyer Comments on Nike’s Move

The founder of an established law firm, Josh Gerben tweeted recently about Nike’s trademark application and explained that it seems to be an appeal for developing a new brand of cryptocurrency. He presents the part where Nike states its wish to provide a digital currency or digital token that can be used by members of an on-line community with the help of a global computer network as evidence for his argument.

And Nike isn’t the Only Pop Culture Figure

Rapstar Lil Pump recently decided to accept Bitcoin as payment for purchasing his branded merchandise on the online store affiliated to him. Interest in cryptocurrency has been ripe in the pop culture space with popular artists like Eminem and Soulja Boy referencing Bitcoin in some of their most popular songs.

A movie titled “Crypto” also made it to the theatres. It starred big Hollywood names like Luke Hemsworth, Kurt Russell and others. The movie failed to leave a mark but the titling of it only goes to show how digital assets are entering public imagination slowly and surely. Digital and decentralized technologies have been thought to be the future anyway. Perhaps, these are moves that indicate a more widescape adoption of these existing technologies. Cryptocurrency is no longer the domain of Silicon Valley professionals and tech geeks. It has, afterall, begun to find itself a place in pop culture – the entry point to popular imagination.