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Forget About Bitcoin Cash War, Mike Novogratz Turns to Tokenization of Real Estate

CoinSpeaker
Forget About Bitcoin Cash War, Mike Novogratz Turns to Tokenization of Real Estate

The market of digital assets is shattering and the league of crypto-enthusiast who once predicted skyrocketing soars, now develop new concepts to fight the current plummeting and breath new life into cryptos.

Mike Novogratz is a vivid example of Bitcoin bull who used to give a cheerful keynote to crypto-investors saying that Bitcoin and other cryptos reaching the bottomline is a common thing for the emerging market of digital assets.

Moreover, previously in September, Coinspeaker reported the Novogratz’s statement of $10,000-worth Bitcoin by the end of the year. The year is drawing to a close, but institutional investors still wave away from actively pumping money into cryptocurrency.

However, in his prediction Novogratz have been mentioning the first two quarters of ongoing year, so the time is left. Yet today we saw him dwelling on a new approach to crypto-investing, a real estate tokenization.

The Concept of Real Estate Tokenization

A new trend, Novogratz is so excited about, revolves around tokenization of real estate and the advert of security token offerings (STO).

The concept is rather simple as it applies to any crypto-investment made via token purchase, only in the realm of real estate, tokens stand for a fraction of luxury property that investors can own even for the smallest amount of initial investment.

The concept of tokenization receives enormous feedback because, until today, small and medium investors were unable to participate into the construction of exquisite real estate. Now they and big players have equal opportunities that put them at entirely new investment level.

Novogratz Bets on Tokenized Real Estate

Novogratz considers this emerging trend as a life-saviour for the crypto-industry, when during a conference in Toronto he noted:

“So while it feels like a crappy bear market, and it has been in coins, underneath it there’s all kinds of positive things. There’s positive movement on the technology and there are new technologies coming. There’s positive movement on the institutional adoption of the architecture needed.”

Further the founder of crypto-investment bank Galaxy Digital Capital Management said that several companies had already been tokenizing luxury condos in the high-priced real estate markets of New York and Aspen, Colorado. Novogratz also noted that he believes there will be some more in the near future.

And this point might be true, as there is measurable data to prove it right. According to CNN, in October, a $30 million Manhattan building comprised of 12 upscale condos was tokenized on the Ethereum blockchain. The tokens of diverse value are now available for purchase.

In the meanwhile, top-notch experts in the field of real estate also endorse this trend. The broker who closed the deal on the first piece of poverty represented in the sum of tokens expressed his experience saying:

“With blockchain tokenization, we can remove the unruly pressure of traditional bank financing, which is much healthier for the project and all of the stakeholders. Tokenization is paving the way for a new forefront in real estate development.”

No wonder that Novogratz is so into this robust trend because a large amount of investors and investment platforms are willing to adopt the practice in order to be able to sell off fractions of their shares rather than holding on to them.

Therefore to prepare for the influx of institutional money, Novogratz enhances the team of Galaxy Digital with the Goldman Sachs’ former employee who will be responsible for blockchain advisory-services arm.

Notable that about a month ago, Goldman Sachs together with Novogratz invested a total of $15 million in the Series B funding round for blockchain platform BitGo.

Forget About Bitcoin Cash War, Mike Novogratz Turns to Tokenization of Real Estate

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Smart Trade Coin Set to Change the Crypto Trading via Integration of the Major Exchanges

CoinSpeaker
Smart Trade Coin Set to Change the Crypto Trading via Integration of the Major Exchanges

Last year, the cryptocurrency world experienced an enormous growth of popularity that nobody had expected earlier. Initially, crypto trading was within a sphere of interest of a rather small community, nevertheless, since that time the community of traders has significantly expanded.

Challenges in Crypto Trading

Though crypto trading is considered to be rather a profitable activity, there can be significant difficulties for traders in this sphere. The main solution to deal with all this challenges is to have good understanding of the current market situation and to possess a powerful information tool.

Lack of useful and relevant knowledge is one of the key barriers for traders that prevent them from increasing their profits and reducing risks. Quite often traders just don’t know where they can find the most up-to-date information to see the market conditions in a real time.

This problem was noticed by the Smart Trade Coin founders who have decided to unite their forces with a view to create a platform that will help crypto market traders.

Solution for Traders

Smart Trade Coin World is building a decentralized platform for crypto traders where they will have a chance to find all the information about the market they may need to know in order to be successful in their trading activities.

Smart Trade Coin is trying to create something stronger than just a platform, their main idea is to shape a global community of crypto traders to influence all large cryptocurrency exchanges in different corners of the world.

Peculiarities of the Platform

Though it may seem that the team’s goals are too ambitious, they have an appropriate combination of tools and features that make them stand out from the row:

The team has built and is absolutely ready to wow the market with its software called Smart Trade Coin Software. It is integrated with four banks connections. Thanks to this peculiarity it will be possible to guarantee that crypto transactions will be conducted within three business working days.

Moreover, the Smart Trade Coin team has solved the problem of possible concerns regarding legal acceptance of coins in the future. The community is claimed to have influence on all major exchanges. As a result, its members will have an opportunity to create favorable trading conditions themselves and build the crypto world of their dream.

Thanks to Smart Trade Coin Software, traders can keep all their assets and exchanges under one single account which will help to avoid losses while switching from one account to another.

The developers have created and tested the software in a real time and the team was absolutely satisfied with the results. It means that the team is absolutely sure in its success and is ready to move further to achieve new heights, attract traders from all over the globe and create a better crypto world.

Smart Trade Coin Set to Change the Crypto Trading via Integration of the Major Exchanges

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KuBitX Set to Lead African Blockchain Revolution

CoinSpeaker
KuBitX Set to Lead African Blockchain Revolution

Though our world seems to have already started its way towards mass crypto adoption, it won’t be possible without a clear leadership. Moreover, the situation with crypto adoption is still seriously influenced by the fresh memories of the 2008 economic disaster that managed to affect the entire world.

Moreover, there is still lack of credibility towards cryptocurrencies and all the mechanisms and principles following which they function. Some people are just afraid to lose their money entering the crypto world. The same ideas are widely spread among the governments of some countries.

Situation in African Countries

As it is reported by Ecobank, crypto trading is blocked in Namibia, while South Africa and Swaziland are the only countries in the African region where crypto trading is allowed.

The African region has its specificity. The migration rate is rather high. Many people need to leave their homes and move to some other countries in order to earn money to support their families.

However, at the same time, remittance fees are extremely enormous. To transfer money to Africa is 20% more expensive than to any other continent. People need to pay approximately 10% of the sum of their transfer which is too high especially given the financial situation in their countries.

Nevertheless, owing to the emerging technologies the solution can be found. Several African tech companies are actively working on exploring the opportunities of blockchain that can be utilized as a feasible option for traditional systems for transfers.

KuBitX to Revolutionize the System

A Pan African venture, KuBitX has been created to improve the situation with currency transfers. It is a hybrid digital asset exchange that offers user-friendly environment, simple operations and clear processes and is targeted at the emerging markets

Moreover, users of the platform will have an opportunity to pay for their basic needs using crypto without a necessity to exchange them for fiat. KuBitX has an aim to help a wide audience to learn more about cryptos , blockchain and all the possibilities that they offer today as well as their significance in our world nowadays.

The platform is going to achieve it aims offering people a new channel for remittances from across the globe. The transfers presuppose usage of the platform’s native utility token KubitCoin (KBX). Such a method of transferring funds is said to reduce time needed for transfers as well as their costs.

While its main rivals from all over the world can process nearly 1.4 mln transactions per second, KuBitX is claimed to conduct 12 million transactions per second. What’s more, the platform guarantees it users full safety and security of their assets in KuBitX wallets.

The team behind the project comprises the best professionals who have rich expertise and what is even more important – deep understanding of the specificity and needs of the region.

While African countries are still considered to be developing ones, with such innovative companies as KuBitX they will have an opportunity to enter the crypto world quite soon.

KuBitX Set to Lead African Blockchain Revolution

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The Current State of Cryptocurrencies

CoinSpeaker
The Current State of Cryptocurrencies

We are now a decade on from the publishing of Satoshi Nakamoto’s Bitcoin White Paper, where they/ he/ she envisioned a revolutionary mass uptake of cryptocurrencies, representing a paradigm shift for the entire financial sector.

The global crypto market is now worth £166 billion in total, a figure which could be seen as indicative of its present strength. This, along with increased mainstream interest from media, institutions and individuals alike, has led many to reclassify cryptos from a niche pastime, to an increasingly integral part of the global financial system.

However, this has not been enough to silence some crypto critics, with the likes of Warren Buffet and Bill Gates expressing doubts over the technology. Further, market crashes, along with continued media reports of theft and fraud have only served to inflame the derisive attitudes of critics.

The current state of cryptocurrencies is, understandably, difficult to define and there are a range of issues the sector is still facing. The ultimate question is what will we see in the future?

Regulation

With the cryptocurrency sphere continuing to develop at a frenetic pace, regulatory bodies are now increasing their involvement. Over the last year we have seen the British Treasury Select Committee, European Securities and Markets Authority and American Securities and Exchange Commission (SEC) release statements related to crypto regulation.

The UK has adopted a ‘wait and see’ approach, with the Government having so far resisted calls to extend the Financial Conduct Authority’s (FCA’s) remit to cryptocurrency regulation. However, this is unlikely to remain the case, with the Bank of England Governor Mark Carney indicating that crypto specific legislation is forthcoming.

By comparison, the US’s regulatory environment is incredibly fragmented. Laws regarding cryptos not only vary greatly by jurisdiction, but also on the federal level – with the Financial Crimes Enforcement Network (FinCEN), Inland Revenue Service (IRS), SEC and Commodities Future Trading Commission (CFTC) all adopting separate approaches.

Future regulation is likely to be streamlined, as the Justice Department announced that it is collaborating with the SEC and CFTC to ensure effectual consumer protection and increased simplification from future regulatory efforts.

The topic of regulation still brings fear among many in the crypto space. Many are worried that constrictive legislation may prohibit the innovation which has powered Bitcoin’s growth thus far. Despite these somewhat rational fears, it is important for the crypto community to maintain a positive attitude towards comprehensive regulation as it will encourage investment from larger financial institutions, vastly expanding the global user base.

Security & Crime

An estimated $1.2 billion in cryptocurrency was stolen from exchanges between January 2017 and May 2018. Of this number, only twenty per cent has ever been recovered. More recently, crypto exchanges Coinrail and Zaif were successfully attacked, losing tokens amounting to $40 million and $60 million respectively.

While the difficulties experienced by law enforcement with recovery might be telling of the newness of the crime, the consistency with which exchanges are successfully attacked on a large scale highlights a systemic issue; a lackadaisical attitude towards security.

The recent Zaif hack was attributed to using a hot wallet (a cryptocurrency wallet which is connected to the internet) which leaves a user greatly exposed to an attack when compared to a cold wallet (where the wallet is stored in a platform not connected to the internet). This is as the funds stored in a hot wallet are commonly secured with a single private key, which if stolen will allow for a user’s account to be drained completely.

Shockingly, this same vulnerability was also exploited in both the Bithumb and Coincheck hacks – indicating that the sector is in dire need of bringing in greater security.

A lax attitude comprises a major threat to the future of cryptocurrencies, as regular hacks will continue to weaken trust in the sector overall. If providers want to establish trust within their user base, they need to ensure they are investing significant capital into protecting against these hacks. It is also essential that proper security standards and processes are established, as this will reduce the likelihood of future hacks.

Uptake

The global cryptocurrency user base has enjoyed steady growth in recent times. We are even beginning to see increased institutional involvement – with the trading volume from institutional clients exceeding that of retail traders for the first time on Coinbase earlier this year.

However, the process of acquiring crypto remains difficult and as such uptake has been limited to a very tech savvy subset of the population; a statement reflected by statistics showing that around a thousand users own approximately 40 per cent of all Bitcoins currently in circulation.

Further, the usage value of cryptocurrencies remains low, with their being few businesses willing to accept it as a form of payment. For crypto’s to see ‘true’ mainstream adoption, it is vital that they become simpler to acquire. This, along with an increased acceptance as a form of payment, will see interest skyrocket.

Few could have foreseen the exponential growth of cryptocurrencies over the last few years; which in turn makes it incredibly difficult to predict where the sector will go from this point. Undoubtedly, it is evident that the development of cryptos has taken the sector to an incredibly exciting place. However, whether the engineers and developers associated with the sector can deal with the above issues will determine whether their revolutionary potential continues to be realised.

The Current State of Cryptocurrencies

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Bitcoin and the Overall Cryptocurrency Market Make a New Low for 2018

CoinSpeaker
Bitcoin and the Overall Cryptocurrency Market Make a New Low for 2018

Wednesday, November 14, the crypto market witnessed one of the biggest carnage moments of 2018. The cryptocurrency market cap plunged by nearly 15% making its new 2018 low of $180 billion, according to CoinMarketCap. This market correction is widespread across the entire crypto market. It is visible that almost all of the top-twenty cryptocurrency have lost 10-12% of their price in the last 24-hours.

After consolidating above the $6000 for the last few months, Bitcoin bulls finally lost the battle to the bears. In our weekly report, CoinSpeaker noted on Monday regarding the hovering bearish signs. Bitcoin (BTC) sharply slipped below the $6000 levels while attaining a new 2018 low of $5556. With this, the Bitcoin market cap has gone below $100 billion and is currently at $98 billion. However, Bitcoin still manages to have over 52% dominance in the cryptocurrency market.

Just a few hours before the BTC price drop took place on Wednesday, a well-known crypto traded and technical analyst said that BTC showed weakness.

“BTC looks pretty weak, this might be the first time I’m not buying $6,200 in quite a while. I’m just not trusting it to hold forever after getting battered for so long. If it does break, alternative cryptocurrencies will suffer hardest,” he said.

Reason Behind the Bitcoin Price Fall

Several popular analysts believe that the latest move in Bitcoin is purely technical. Mati Greenspan, senior market analyst at eToro says that “As far as I can tell this move is more technical in nature”. Blockforce Capital CEO Eric Ervin also shared similar perspective. In a word with Forbes, Ervin said that “the recent price plunge is a cause of purely technical moves.”

“The significance of the $6,000 support level shouldn’t be understated. As the bear market has trudged along these past few months, that level has held steady,” he noted. As a result, “many investors have come to see it as a stop-loss measure. This would explain the large amount of liquidations that have occurred.”

“Looking forward, today’s price drop may be a blessing for the asset as it could help push the market to a bottom, after which it can bounce back,” added Ervin.

Victor Dergunov, founder the Albright Investment Group, wrote the following in a blog post with The Independent. 

“This is not the first time bitcoin has seen calm waters. We’ve seen similar periods of modest volatility, and humble price swings. Primarily, similar low volatility phenomenon have occurred in the very late stages of bitcoin bear markets [whereby prices fall as investors sell]. Everyone seemingly loses interest, volume dries up, news flow quiets down, and then, when you least expect it, the next bitcoin bull market begins [whereby prices rise as investors buy].”

FUD Caused By the Bitcoin Cash Hard Fork

Along with Bitcoin, there were several other altcoins which were badly ailing. The first Bitcoin derivative Bitcoin Cash (BCH) was the worst performer. BCH lost are its last week’s gains and slumped by over 20% in a single day. BCH is currently trading at $444 with a market cap of $7.7 billion.

Not to forget, Bitcoin Cash is undergoing a hard fork today. Several analysts believe that a lot of drama surrounding BCH’s hard fork is the reason behind the market fall. Joshua Frank, co-founder of cryptocurrency analytics platform TheTIE.io told Forbes that “There is a tremendous amount of FUD surrounding the Bitcoin Cash hard fork”.

“It seems like there is a lot of confusion in the market as to what is driving price and who will emerge as the winner in the BCHABC vs. BCHSV fight,” stated Frank. We have seen this FUD and confusion in Twitter conversations. This is reflected by the fact that Bitcoin Cash has had sentiment volatility three times higher than any other major cryptocurrency over the last 24 hours and BCH’s tweet volume is 217% higher than its 20 day moving average.”

XRP Topple Ethereum to Grab the Second Spot

For the second time this year, XRP has surpassed Ethereum to become the second-most-valued digital assets after Bitcoin. Yesterday’s market collapse saw Ethereum (ETH) loosing over 12% of its price to fall below $200. Currently, Ethereum is trading at a price of $180 with a market cap of $18.6 billion.

The XRP’s market cap leads that of Ethereum with a marginal value which is $18.7 billion. Although XRP too has lost nearly 9% of its price.

All in all, the cryptocurrency market cap fell by $28 billion in a single day. At the press time, the overall crypto market cap stands at $185 billion.

Bitcoin and the Overall Cryptocurrency Market Make a New Low for 2018