Connect with us

Blogs

Shapeshift Market Positioning

Published

on

Shapeshift
READ LATER - DOWNLOAD THIS POST AS PDF

Swiss-based cryptocurrency exchange, Shapeshift, is putting itself in a position to capture market share in a specific niche of the new concept of international currency. Cryptocurrency is backed by notable advancements in payment technology but still lacks the endorsement of a credible entity such as a large corporation or government.

Nonetheless, the company has leaped a long way in the last couple years as it has secured nearly $12 million in its last 3 funding rounds. Nine unnamed investors contributed an astonishing $10.4 million in its most recent Series A funding round back in March of 2017. The company never disclosed its current valuation at the time.

KeepKey Acquisition

In August of 2017, the Seattle based hardware wallet provider was acquired by Swiss-based cryptocurrency exchange, KeepKey, in an all-cash deal estimated by analysts to be worth north of $1 million. As previously mentioned, KeepKey is a piece of hardware used for storing a multitude of cryptocurrencies from Bitcoin to Dogecoin.

The fact that KeepKey is now compatible with Shapeshift means that traders will be able to utilize a trading platform that can export coins to hardware wallets, remaining as the greatest benefit in the acquisition. The acquisition came at an imperative time; right before Bitcoin soared above $19,000. Furthermore, the company was a prime target for acquisition while Shapeshift’s desperate need for security persisted after the 2016 hack that resulted in the theft of $200,000. Other than security, the infamous exchange knew that its next step needs to be attacking its fee schedule.

Bitfract Acquisition

A little over a week ago, Shapeshift AG bought the tool Bitfract, known for its ability to swap currencies in seconds without charging erroneous fees. In just seconds, investors can swap their ‘no name’ coins worth pennies for Bitcoin, or vise versa. Fees on the Shapeshift exchange are said to begin to decrease dramatically as the company looks to provide more efficient solutions to its customers in a competitive landscape for self-made crypto brokers.

The sentiment around the exchange may vary depending on who you ask, as the exchange sits under fire from the world in aiding the process of money laundering. In the process, Shapeshift has created the single fastest digital asset exchange in the world.

Final Thoughts on Shapeshift

The old saying definitely sees fit: “If you can’t beat them, join [buy] them!”. Without these two additions, it would have been hard to predict that Shapeshift would have survived. Right now the company sits atop its latest $10 million funding round, deciding which direction it should move next. If the startup has any aspirations in becoming a top-notch exchange, it should begin by trying to win over the appeal of governments other than Switzerland.

There’s a case to be made that the advantage over using the newly revamped Shapeshift is that once a cryptocurrency is converted to Monero, it’s impossible to crack down on money laundering. If Shapeshift’s leader and CEO, Erik Voorhees wants to scale his technology, then he may want to go against the company’s core values by initiating ‘know your customer’ protocols.

For the latest cryptocurrency news, join our Telegram!

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 Pexels

Altcoins

KaratGold Proves Its Business Model By Providing Official Documents

Published

on

READ LATER - DOWNLOAD THIS POST AS PDF

There has been a lot of renewed enthusiasm in the cryptocurrency market thanks mainly to Bitcoin’s strong move about 10,000.  Although Bitcoin continues to show its dominance, the altcoin market has yet to benefit from that rally.  A few of the largest altcoins remain popular but the rest of the market continues to lag behind.  In 2018, there was a lot of talk regarding a possible altcoin apocalypse where only the strong would survive.  That prediction appears to be playing out as expected.  Going forward, only the best projects that have a real world need will survive.  Crypto traders will have to spend a lot of their time doing proper research in order to find the best opportunities, just like in all financial markets.  One promising project that appears to have the makings of a future winner is KaratGold Coin.

KaratGold Background

KaratGold Coin is a cryptocurrency developed by the reputable German company Karatbars International, which maintains a leading position in the market of small gold items and investments. The project is part of a larger ecosystem, which involves several blockchain solutions that can be used for transactions, communication, investing and other tasks. During the past few weeks, however, the KaratGold ecosystem has been a target of unsavory scam allegations.  

Karatbars International and GSB Gold Standard Banking Corporation…

Continue Reading

Altcoins

ICTE May Bring About Sweeping Changes for Cryptocurrency Exchanges

Published

on

READ LATER - DOWNLOAD THIS POST AS PDF

Cryptocurrency has taken the world by storm during the last few years. An entirely new financial market was created almost overnight which has captured the imagination of all its participants. Cryptocurrency is even starting to attract institutional money from investment banks, hedge funds, and other proprietary trading firms. Despite the rapid growth, traders remain extremely frustrated by having to deal with the fragmented nature of centralized crypto exchanges.

A Change is Needed

When cryptocurrency first began, there weren’t many participants and the trading volume was relatively insignificant. But, over time, that has radically changed. Some tokens now have a capitalization in the billions and are being traded 24-7 by institutions all over the world. Despite the volume, significant problems exist with the current way that exchanges work. Some of those problems include the following:

  • Constant fear of hackers
  • Exchange manipulation
  • Fragmented liquidity
  • Risk of identity theft

One of the biggest issues regarding centralized exchanges is the risk of being hacked. These hack stories seem to always be circulating around the internet. While experienced traders may have the tools to avoid becoming a victim, potential new traders have zero interest in dealing with this. And it’s not just the small exchanges that are at risk. Even large exchanges, such as Mt. Gox and Binance, are subject to being hacked.

Another huge risk is having to deal with…

Continue Reading

Altcoins

SonicX and Dash Could Challenge Facebook’s Libra for Global Payments Market Share

Published

on

SonicX
READ LATER - DOWNLOAD THIS POST AS PDF

When Satoshi Nakamoto unveiled Bitcoin to the world, the dream was always for Bitcoin to serve as a new universal currency.  It would be free from the bureaucracy of governments.  And free from the tyranny of the old-world financial cartels.  Although the dream hasn’t yet materialized, it comes closer and closer with each passing day.

One of the biggest roadblocks for Bitcoin has been scalability.  At a speed of approximately 7 transactions per second, Bitcoin lags behind other cryptocurrencies like Ripple and global payment processors like Visa.  Many expect the lightning network to have a positive impact on Bitcoin’s TPS but until that comes to fruition, mass adoption will likely need another significant development.

Libra Currency Announcement

One development that could help pave the way toward mass adoption is the launch of the Libra currency.  Libra is expected to go live during the first half of 2020 according to Facebook’s June announcement.  According to Facebook, Libra will make sending money online cheaper and faster.  It will also have a hand in improving access to financial services, especially for the unbanked.  Given Facebook’s global reach, including many third world countries, providing financial access to the unbanked could provide a huge spark to global economies.  Additionally, it could provide the growth spark that cryptocurrency needs.

Facebook’s most popular messenger, WhatsApp, has approximately 1.5 billion monthly users.  This application is…

Continue Reading

Elite