Russia on Thursday announced that it will soon introduce a new legislation to regulate cryptocurrencies. A statement released by the Finance Ministry earlier on the same day emphasised on the need to control the production and distribution of digital currencies without fully banning them.
If the trends in the crypto economy over the past few years have taught us anything about real life use of virtual currencies, it’s that bitcoin is extremely unlikely to evolve into a universal communal ledger like many early proponents had claimed.
But to say that it is useless as a mode of payment is also as inaccurate as it can get.
A Bitcoin address is a cornerstone to understand how the cryptocurrency is exchanged between two individuals as they essentially dictate the source and destination for a particular amount of bitcoin. For those new to the world of cryptocurrencies, a bitcoin address may seem a little confusing at first.
Unlike a conventional bank account number, these addresses can include both numbers as well as letters and be up to 35 characters in length. In practice though, most addresses tend to be 33 or 34 characters long.
Here’s what one looks like:
In another moment of noted reaction in the world of the crypto-craze, the advocates of cryptocurrency have expressed fear upon the announcement of possible crypto regulation by Angela Merkel, German Chancellor and her counterpart, Emmanuel Macron, President of France.
The pair met January 19 2018, to discuss what many governments are coming to view as an unavoidably thorny issue. The decentralized nature of Bitcoin and other cryptocurrencies, especially when coupled with the inherent volatility of market sentiment and potentially delusional public enthusiasm for crypto, has finally made it to the agenda of world leaders.
Over the past few years, cryptocurrencies have gained maximum momentum. Their adoption rate is increasing exponentially with no signs of stopping. As a consequence, the Fintech enterprise is experiencing massive transformation, and its effects ripple across multiple industries.
Let’s just wind the clock back to 2009.
The inception of Bitcoin was just the primum movens, the initial force that triggered massive innovation in a field previously unknown to humankind. The success of cryptocurrencies has been such that today, the total market cap is equating $740 billion, with more than 1400 different crypto-coins and tokens, and tens of thousands, possibly even millions of new jobs created.
At this point, it’s safe to say that cryptocurrencies are not going anywhere.
What would be the reasons for the unpredictable price variations of Bitcoin? There are millionaires who appear to not know about this major issue.
In reality, every cryptocurrency blogger would have their set of arguments. But, aren’t we all tired of reading really long articles where they express their opinions based on freedom of thought?
So, let’s cut to the chase and identify the theories which could have shaped their thoughts.
On January 9, 2018, Tom Lee spoke optimistically of Bitcoin in an interview with CNBC, expressing his opinion that the digital currency could “easily double” in value over the course of the year.
At the time of the interview, Bitcoin was down 25 percent since its highest point near $19,800 in December 2017. It has since dropped a further 25 percent, reaching a low under $10,000. The price of Bitcoin has since recovered reasonably and is trading at $11,680 at the time of writing.
If you’re a crypto investor currently residing in South Korea, the past few days must have been quite a turmoil. Especially after the senior minister in the federal government went on record saying that an outright ban approach on cryptocurrency trading was still very much a “live option.”
Expectedly, the minister’s comment created panic among a sizeable chunk of the investor community who then went on selling off their crypto holdings in anticipation of an imminent crackdown. However, now it turns it out that the panic was probably more of an overreaction as the government has since virtually ruled out an outright ban in the immediate future.
The South Korean Office for Government Policy Coordination issued a statement on Monday hinting that the crackdown on crypto assets won’t necessarily come imminently.
Typically, in the financial industry, these sort of purchases are called over-the-counter transactions.
There, of course, exists a multitude of other reasons why someone would want to procure their Bitcoin in this fashion too. The primary reason among these would be that the underlying principle of a digital currency has always encouraged Bitcoin to be used in lieu of cash, not as a traded asset exclusive to large and often restrictive exchanges.
Vladimir Putin has shaken up the status quo with a unique and undoubtedly brilliant take on things, in this case, the cryptocurrency market.
The president of the Russian Federation has proposed nothing less than a multinational cryptocurrency, with the express purpose of forging a connection between the world’s emerging economies.