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Bitcoin Holding its Own Against Widespread Criticism

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The Cryptocurrency market has always been on the receiving end of criticism, especially from the more traditional and conservative sectors of the economy. Ever since its introduction quite some years ago, the success of Bitcoin has been growing exponentially, with its value expansion termed as one of the biggest value explosions in recent history. However, despite the popularity, widespread adoption and general acceptance of Bitcoin, there are several who criticise the system, citing technological flaws as the main reason.

As with the case of any digital system, past issues and bugs have made some people disenchanted with Bitcoin from the start. This negative sentiment in and around Bitcoin and its perceived regulations around the world severely affects the value of Bitcoin, which at the moment is experiencing a slow but sharp decline. In this article, we aim to discuss the reasons for the negative perception towards Bitcoin, which is fuelled by some interesting developments in the market.

Bitcoin In The News:

  1. Revelations about Bitcoin’s Alert System: An interesting development took place on June 25th, where it was revealed that that Bitcoin’s age-old alert system was slated to release again after it was discontinued a few years back. For those who don’t know, Bitcoin had an alert system which was once used to flash a text warning in case of any danger to the network. The alert system was removed in 2016 when the Bitcoin Developers released a new code without it. A final message was broadcast in January 2017. Bitcoin Core contributor Bryan Bishop in an interview with Coindesk announced his intentions to release the key in the near future. While it remains to be seen how much of substance is attached to his claim, the release of this key poses a threat to all existing altcoins which have used an older version of Bitcoin’s code, without disabling the alert key mechanism.
  2. Clem Chambers’ and his bearish Stance Against Bitcoin: It is no surprise to see a well-known business entity or personality express their distrust towards the Bitcoin phenomenon with the CEO of ADVFN Clem Chambers predicting “another heavy fall” for Bitcoin in the near future.

According to his statement, “Well, there is such a signal and it’s mining rewards. I look at the rewards for the powerful 1080ti Nvidia card to get my guide. Right now it has fallen off the charts. A few weeks back and the card would excavate $3.50 of bitcoin-equivalent altcoins but right now you are lucky to dig $1.50. This is a flashing warning to me as the drop in mining rewards has been faster than the drop in bitcoin’s dollar price and is at the lowest end of the range in the last year.”

Clem cited the crashes of 2013 and 2014 as key indicators for Bitcoin’s fate in the near future.

  1. Brian Kelly’s Criticism: CNBC analyst Brian Kelly, in a Segment called “Fast Money” had expressed doubt on Bitcoin’s current price action, and believes that it is moving towards the bottom. He cited many reasons as contributing factors towards this decrease, highlighting the recent fiat currency troubles in Iran and Argentina. According to him, “Over the weekend we saw Bitcoin hit new lows […] and then within about 10 or 15 minutes, you had a huge ramp up — one hundred or two hundred points. That’s typically the action that Bitcoin has shown at bottoms.”
  2. Australian Reserve bank’s Mixed Stance towards Bitcoin: On June 26th, Tony Richards, head of payment policies in Australia’s Reserve Bank, noted that Bitcoin and Cryptocurrencies in general still have some major weaknesses which discourage centra banks to adopt a similar currency of their own.  In an argument, he compared Bitcoin’s processing speed with that of Visa, citing Bitcoin’s 4.5 transactions per second being dwarfed by Visa’s speed of 65,000 transactions per second.  According to him, this points out the problem with the scalability and governance model of the Bitcoin currency.
  3. Alibaba’s Jack Ma Comments: Alibaba’s Chairman, Mr. Jack Ma expressed a different opinion towards on cryptocurrencies in general, saying that his company has a positive stance towards Blockchain technology, but advises against investing in Bitcoin. According to him, Bitcoin is a volatile type of currency which makes it a classic example of a “bubble”.
  4. Spencer Bogart’s Negative comments and FTC Warnings: Blockchain Capital partner Spencer Bogart has also hit out against Bitcoin saying that prices are expected to dip further, taking examples from Bitcoin’s position in the summer of 2017. The Federal Trade Commission added fuel to the fire by revealing that consumers lost a total of $532 million in cryptocurrency related scams, that too in the first two months of 2018.  With many in the FTC expecting the figure to rise to $3 billion, the FTC recommends traders and investors to explicitly stay away from cryptocurrencies, especially Bitcoin.

Final Thoughts:

At the time of writing, Bitcoin’s price has decreased to $6,069 compared to yesterday’s high of $6,241. Analysts believe that even though Bitcoin’s prices have dropped, it can still outperform other crypto related assets. It is expected that if Bitcoin closes in on a break below the $6000 mark, it could trigger a risk aversion in the market forcing investors to flock towards Bitcoin again.

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Disclaimer: This article should not be taken as, and is not intended to provide, investment advice. Global Coin Report and/or its affiliates, employees, writers, and subcontractors are cryptocurrency investors and from time to time may or may not have holdings in some of the coins or tokens they cover. Please conduct your own thorough research before investing in any cryptocurrency and read our full disclaimer.

Image courtesy of Zach Copley via Flickr

Bitcoin

Cryptocurrency Fraud is Evolving; Bitcoin ATMs Mitigate Risk 

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Cryptocurrency Fraud is Evolving
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In one of the more overlooked aspects of the crypto ecosystem, it appears that the bulk of illicit activities are shifting from hacks and thefts to cryptocurrency fraud and scams.

CipherTrace, the crypto-surveillance, and analysis firm released a report at the end of Q4 2019 that revealed hacks and thefts had decreased by 66 percent in 2019 while fraud and misappropriation of funds surged by 533 percent. And beneath the COVID-19 hysteria of 2020, hacks in the crypto sector have been eerily isolated. 

Outside of a few exploited flaws in P2P exchanges and DeFi flash loan vulnerabilities, the headline-grabbing hacks of exchanges for hundreds of millions of dollars have been absent so far this year. Is the industry due for another massive hack, or are stringent KYC/AML processes, regulatory crackdowns, better security practices, and blockchain surveillance working? 

KYC/AML Improvements Are Reducing the Appeal of Crypto Exchange Laundering 

2020 is far removed from the no-KYC wild west days of the early-mid 2010s where anonymous altcoin casinos preponderated and the Dark Underbelly of Cryptocurrency Markets thrived. 

Today, bitcoin and the crypto ecosystem is becoming institutionalized with a surfeit of derivatives (e.g., options, futures, perp swaps, etc.) available on…

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IE Option – 91% Profit on BTC Fluctuations in Every 60s

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On Thursday, Bitcoin price broke below $6,700 and hit the weekly low to $6,480. Then, it rebounded back above $7,000 again with an increasing rate of 5%. At press time, based on the incomplete statistics, more than $720 million worth cryptocurrency futures contracts have been liquidated in this week. During the strong market fluctuation, investors are learning a hard lesson about the downside of cryptocurrency futures trading with leverage. 

Since we know that we cannot make money by investing in BTC spot trade during the bear market, and we notice the high risks of liquidation by trading leveraged bitcoin futures contracts, how can we hedge the loss in spot trade and profit from the BTC market volatility? 

BTC Option is a profitable trading product that you can turn to!

What is Option?

Option is a type of crypto derivative contract which enables investors to make speculative bet on price rising and falling. Call option means that trader long BTC at a given strike price, while Put option allows trader to short BTC at a given strike price. 

For example, if you predict that BTC price may surge, you can buy a call option. Suppose that you buy a call option at $7,000. As long as price exceeds $7,000, you can make profit. 

IE Option – Get…

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4 things you should know about bitcoin casinos

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Bitcoin Casinos are the ideas of innovation, firmly moving towards the goal of disrupting the whole Gambling Industry. Best Bitcoin Casinos are the true trailblazers of the new era of gambling. Their creators quickly recognized all the immense potential that blockchain and cryptocurrencies contained within themselves. Most of the top Crypto Casinos started operating in the first half of the past decade and are quickly moving towards being the dominant force, when it comes to online gambling. There are a couple of key characteristics and advantages that elevate BTC Casinos above the rest of the competition on the market.  

Trusted casinos have fast withdrawals

Only the Best Bitcoin Casinos offer players the benefits that come with using cryptocurrencies as the main source of finance. One of the biggest advantages that BTC Casinos have over the rest of the competition is speed. When using cryptocurrencies, players can deposit and most importantly withdraw their money with blistering speeds. Thanks to blockchain technology, all the financial transactions are completed within the minutes of request. Alternatively, standard online casinos operating under the guidance of classical banking intuitions, need several days to complete the same procedures.

In BTC Casinos anonymity matters 

Another amazing benefit of Bitcoin Casinos is the ability to stay completely anonymous during the transactions and gameplay. Thanks to the…

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