Technical analysis: Bitcoin Correction is not Over Yet

Unable to show growth confidently above $5,300, Bitcoin turned to decline on Thursday. Nevertheless, the current dynamics is more like a cautious profit taking, since cryptocurrencies are much more volatile, sometimes showing very sharp fluctuations in the direction of growth or decline. An eight percent drop of the flagship cryptocurrency from $5,400 to $4,900 fits into the definition of correction after a jump from levels near $4,100 and returns us to the levels of the end of the previous week.

However, if the technical analysis is really a driver for the currency, then you should pay attention not only to the attempts of the currency to keep close to the threshold level of $5,000 but also to another indicator. The relative strength index, RSI, has previously been a reliable impulse indicator for BTCUSD. And its decline below 70 on the daily charts is a signal of the possible further correction in addition to the market players’ frustration of the impenetrability of the $5,300 mark, where the 200-day moving average passes.

Bitcoin’s yesterday’s sale also coincided with the moving of large amounts of coins by the whales. During the day, large investors moved almost 43K bitcoins. The transactions were mainly carried out from stock exchanges to unknown wallets, or in the “exchange to exchange” mode. Market participants generally have the impression that some deep fundamental changes are taking place now, but it’s quite difficult to determine the direction, as there are no obvious changes on the surface. It is very likely that the whales have really gone deep under the water, and it is there that the future direction of the market is now forming.

Meanwhile, very disturbing news for Bitcoin came from China. It seems that a ban on ICOs and crypto exchanges is not enough for the country’s authorities, now the mining sector can also be banned. Obviously, in this case, the cost of mining will increase. On the other hand, in turn, this can be an important price growth driver. In addition, many market participants were cautiously looking at the centralization of computing power in China, and now some of their fears can be dispelled.

This article was written by FxPro

Bitcoin Price Speculation for 2019

Amongst Bitcoin investors, capitulation is the word of the year. Declining from ~$20,000 to ~$4,000 at the time of this writing leaves speculators wondering if 2019 is a year for the bulls. With Bitcoin being a new, relatively low volume asset class gaining steam, fundamentals play a seemingly exaggerated role with price action, and technical analysis is gradually becoming more reliable.

Bitcoin Technical Analysis Going into 2019

Generally, capitulation refers to a time when holders are indefinitely committed to holding and panic sellers have cut their losses, forming a true bottom in the market. Using technical analysis, we want to find the support for this bear run.

Before the 2018 Bull Run

To find true support, it is important to understand the long-term movement from $1,000 to $20,000. The year 2017 showed this meteoric price increase and prior to this bull run, the price was gradually increasing from $700-$1,000. As seen in the chart below, the entire year of 2017 was a continual, irrational bull run filled with hype and over-valued ICOs, with substantial, original support at $1,000. The volume during 2017 was unprecedented, which means that lots of buyers and new investors were buying in all the way up to $20,000 per Bitcoin. Once Bitcoin broke ~$2,000 there was virtually no resistance – and it showed.

BTCUSD 2y
Day chart

Now, let’s look at the other side of the mountain, 2018.

The Ending of the 2018 Bull Market

Throughout the entire year of 2018, the market has yet to find its support. Each day news outlets and influencers have been calling bottoms, but with no avail.

BTCUSD YTD
Day chart

Zooming in closer to at three-month view shows signs that a bottom is finally approaching.

BTCUSD 3 month chart
Hour chart

Here we can get a bit more technical. As of November 14th, the price dropped from ~$5,800 to ~$3,800 within 10 days. This is a near 35% dip after experiencing a year-long ~80% price decline for the asset. After hitting a low of $3,288 it bounced back to $4,384 with significant volume. This strong bounce back of over $1,000, coupled with noticeably high volume, is a reliable indicator that sellers have sold, and buyers are ready to buy.  At this time of this writing, Bitcoin is trading at $3,844. Ultimately, if the price breaks below $3,288 again, then there is no reason that we will not see the $1,000 support which was held before the bull run, by core believers.

On the other hand, if this new price point introduces new buyers to the market, then we will most likely stay sideways for at least 6 months. The reasoning behind this is that it should be assumed that there are many holders still holding big losses, waiting to sell along the way up, anywhere from current price back up to $20,000. Only at the point which the price breaks $20,000 can we say there is no resistance, until then, it may be a long road back to the top with resistance at each price point along the way.

While technical analysis plays an important role in predicting Bitcoin’s price, the volatility is so extreme that there is arguably just as much, or more merit to understanding the fundamentals. With some legal clarity, things can turn around quick.

Bitcoin Fundamental Analysis 2019

To reiterate, looking at the chart for the years of 2017 and 2018 show a seemingly irrational price increase and decrease. To confirm your beliefs, it was irrational, the price increase was mostly based on lots of hype and investors treating Bitcoin like a lottery ticket. ICOs were raising billions of dollars, and investors were putting no thought into their investments.

Reasons for the Price Decline

Let’s understand a couple of causes for the price decline, so then we can understand what will cause a price increase. Amongst several factors at play, I can narrow it down to two main reasons for the price decline: ICOs and regulation.

ICOs

ICOs are initial coin offerings where project issue tokens in exchange for Bitcoin or Ethereum, primarily. Whether ICOs were ill-intentioned or not, many proved to be unsuccessful in finishing their product. As a result, many projects are selling the funds raised back to fiat. In doing this, the fiat value of Bitcoin will decline. It is assumed that even ICOs which raised Ether during their crowdsale could easily have sold Ethereum to Bitcoin, then back to USD for greater liquidity and less impact on price. With billions of dollars sent to unsuccessful projects, many of them are liquidating and moving on with their lives.

Now, the positive effect of this is that crypto investors are more mature and cautious with their investments. ICOs are still happening and they are an excellent way to raise funds. The industry is now focused more on actual adoption, practical usability, and experienced teams. Ultimately, this should bring about a more consistent industry, with more reliable charts and less volatility. The massive hype in the market is gradually becoming a thing of the past.

Regulation

This was another major disappointment for 2018. Investors and speculators have been hoping for ETFs, tax reforms, and more legal clarity around Bitcoin and cryptocurrencies in general. Due to the instability of Bitcoin’s price ETF proposals have been denied by the SEC. Without an ETF, a majority of equity-based hedge funds and institutional investment firms cannot invest in Bitcoin, despite their clients asking them to include it in their portfolios. These funds are regulated by the SEC, and unless they are an FX or commodity fund, they legally cannot advise or purchase Bitcoin directly. Instead, they must rely on another investment vehicle, such as an ETF, which is a security, to speculate on the Bitcoin market.

The second is taxes and legal clarity. There are significant flaws in how Bitcoin and cryptocurrencies are taxed. Simply put, each trade is a realized gain or loss, whether or not an investor has sold back to USD. This means that if you purchase Ethereum using Bitcoin, then this is a taxable event, owed in USD to the IRS. An investor would then need to sell some of their cryptos to USD, which is another taxable event, simply to pay taxes. These conversions significantly hurt profits for traders.

Additionally, if an ETF is approved in 2019, and taxes favor the trader more, then it is likely that 2019 will have a bull run beyond $20,000 with major institutional money flowing in from banks, hedge funds, asset managers, prime brokerages and high net worth individuals. If this does not happen, then our best bet for a bull run is to rely on the startups building practical, needed products for businesses and retail customers. Until then, it is likely that we will stay sideways with a less volatile year for Bitcoin.

Tokenbox Partners with Indacoin to Provide Safe Bank Card Depositing

Ever tried buying some crypto with a bank card? We most probably know what it ended up with unless it wasn’t a crypto ATM – purchasing digital assets can still be a headache when one wants to enter the crypto market. Looking for the best solutions for managing crypto assets, Tokenbox has partnered up with Indacoin, a UK based platform that provides the possibility to instantly and safely buy digital assets such as Bitcoin or Ethereum using bank cards.

Following the partnership agreement, Indacoin services are now integrated into the Tokenbox platform. How does it work? A user can buy coins and tokens and pay for them with either debit or credit card. The assets bought are immediately transferred to the user’s Tokenbox account.

Tokenbox CEO Pavel Salas: “Indacoin is quite responsive to market challenges and is ready to adapt its services to the features of our product, the Tokenbox platform. This partnership allows our customers to buy any crypto assets, both current with which we are working now and which will be traded on the platform in the nearest future. A standard commission might be a bit higher at the beginning of the partnership, because of the gradually growing volume of transactions. But we will work towards lowering the commission fee, decrease the entry costs and increase the speed of transactions. We believe that this partnership will open doors for more people to enter the crypto world.”

PR Officer of Indacoin Maria Gorshkova: “We are glad to make the integration and become partners with Tokenbox. We share the same vision and values regarding the crypto industry. Hope that while working together we will be able to create higher standards for instant purchases of the cryptocurrencies fully compatible with KYC and AML procedures».

Tokenbox is a Fintech company developing an open platform that unites investors and cryptocurrency funds under the control of professional portfolio managers and traders. The ecosystem provides the technological, commercial and legal infrastructure required for creating new investment funds based on crypto assets.

Indacoin is an anti-fraud platform that is widely used to prevent payments from stolen credit & debit cards. Its algorithms analyze more than 30 different criteria for risk scoring. The company was established in 2014 in London UK and since then has been operating successfully at a global scale.

The End of the “Wild West” Cryptomarket

The next week of calmness on the crypto market began with barely positive dynamics on all the coins from the TOP-100. The total capitalization approaches the top of the recent range closer to $220 billion. The benchmark Bitcoin (BTC) adds about a percent trading above $6,600. A little-known altcoin Maker (MKR) became an exception out of the sluggish market dynamics, spiking 55% that brought it close to ZCash (ZEC) by market capitalization. The rapid growth began after the news on $15 million investment from the well-known venture capital firm Andreessen Horowitz (a16z) had been published, as well as Augur’s plans to adopt this token along with the ETH had been announced.

The most interesting fact for the crypto community at the moment is the longest market stability in recent history. Any attempts to explain this process lead participants to the conclusion that the cryptocurrency market holds a course for “professionalization”. It was obvious to everyone that the times of the “Wild West” on the crypto market became a thing of the past, the size of the market made it visible to regulators and professional speculators, which may be the cause of the cryptocurrencies’ collapse by $575 billion since the beginning of the year.

Retail investors, except the “hodlers,” left the market, and now its substantial share is distributed among a small number of large participants who are waiting for regulation, as well as preparing the fundamental basis for the further development of financial services in the sector. This may explain that the last 9 weeks the Bitcoin is anchored at the mark of $6,500.

Against the background of a general investors’ demand decline, the ICO sector also suffers. According to IcoData, the amount of raised funds in September compared to January 2018 fell by more than 800% to a minimum of $163 million.

ICO projects discredited the whole sector: instead of serious projects, the tokens began to be issued “on behalf of” pop stars and football clubs, but the top story here is Venezuela, whose president personally promotes the El Petro scam project. Anyway, no one can go against the logic: there is no demand, that is why starting from November, 1 Venezuelans will have to pay a state duty for an international passport in El Petro, that is how Maduro tries to attract at least some real demand to the token.

It is also worth noting that Diar’s study found out that since the beginning of 2018 venture companies’ investments in the blockchain technology and cryptocurrencies have increased by 280% compared to the same period of last year and amounted to $3.9 billion. The market stability and general news background are indicating a very strong demand of the large capital for cryptocurrencies, that can be a sign of the significant reversal of the market to growth in the medium term.

This article was written by FxPro

Ubex’s ICO Success Indicates Future of Digital Marketing

That’s where Ubex comes in. Utilizing the power of blockchain technology and artificial intelligence, this startup is revolutionizing the digital advertising market. It circumnavigates the problem of high commission fees by eliminating digital marketing agencies entirely, tokenizing ad slots and having AI collect key data to make sure buyers can purchase effective digital and social marketing. It combats click fraud by adopting the cost-per-action model and saving all actions to the ultra-secure blockchain. Finally, it optimizes targeting algorithms through the use of neural networks, ensuring an efficient use of purchasers’ advertising budgets.

Blockchain technology, artificial intelligence, and programmatic approaches are the way forward in digital marketing, promising to optimize advertising efforts. Ubex proves this with their great success in their ICO, which was held from May 21 to September 30, 2018. Impressively, the project hit its soft cap in just one day, and over the course of the sale, it ended up hitting its hard cap, collecting 161 BTC, 25,074 ETH, and 3,336 LTC. Clearly, Ubex represents the future of digital marketing.

Thanks to the ICO’s immense success, the UBEX token is now worth even more than it was during the ICO. It’s available for purchase on a number of exchanges: You can get it on BitForex, BitMart, BTC-Alpha, Hotbit, and Bilaxy. The project also has won the voting on the LBank exchange, thanks to its loyal community joining together and voting for its listing. The competition was close at times, but in the end, Ubex won by a landslide thanks to its passionate community.

The token sale may be over now, but even if you missed it, it’s a great idea to invest in some UBEX tokens. They continue to increase in value, and as the success of this up-and-coming startup grows, so too will the tokens.

For more information on the Ubex project and what it entails, please check out these:

https://www.ubex.com
https://twitter.com/ubex_ai/

https://www.facebook.com/UbexAl/

https://medium.com/ubex

https://bitcointalk.org/index.php?topic=3393244

https://www.instagram.com/ubex_ai/

https://github.com/ubex-ai

European Parliament Assesses ICO Legal Framework

The proposal has been written by Ashley Fox — a member of the European Parliament — and called for a €8M cap on tokens sales and AML/KYC requirements. What’s remarkable about this initiative is that it would create an EU “standard” for token sales, allowing to conduct them in all the Union.

Fox stated that the proposal is meant to “make ICOs more possible and more successful,” not to impede them. Nicolas Brien — the managing director of France Digitale — said that there is a need for urgent regulation since “the market wants legitimization from every jurisdiction. In the UK it’s particularly bad, none of the banks will bank you if you have crypto.”

Brien also explained that there is a necessity for clarity about the nature of tokens and end the debate about which tokens are securities and which are utilities.

Stricter scrutiny to be expected in the EU

During the meeting, many also highlighted the need for more rigorous inspection of the ICO market due to the number of scams in the ecosystem. Laura Royle — a member of the Financial Conduct Authority (FCA) — admitted seeing a “huge potential benefit in this space” in raising capital with ICOs but also wanted to point out problems like the lack of transparency, volatility, and potential for fraud.

The estimates that from 25% to 81% of ICOs may result in fraud, but exact figures are hard to establish.

No definitive decision

There has been no clear consensus in the EU parliament on how to proceed so far and amendments can be submitted by the members by September 11. Still, this is a distinct move forward in regulating the space and opening the market to less risk-prone investors.

South Korea is Making Deliberate Efforts to Become a Cryptocurrency Powerhouse

South Korea has become a regular fixture in Blockchain and cryptocurrency news reports. Beyond featuring prominently in the crypto news, events from the country often determines whether the price of cryptocurrencies trade up or down in the rest of the world. The reason for South Korea’s strong presence in the crypto space is not far-fetched. As much as 33% of the country’s adult population is actively investing in and using cryptocurrency. Another survey released earlier this week shows that South Korean youths are the most active crypto investors in the whole world. As much as 22.7% of South Korean’s in the twenties are “active” in the cryptocurrency space.

Interestingly, the two biggest cryptocurrency exchanges in South Korea, Upbit and Bithumb are listed in the top 25 crypto exchanges in the world and they pull their weight with a combined daily trading volume of $200 million. This piece provides insight into the emerging blockchain and cryptocurrency ecosystem in Korea and how the country could potentially be one of the places where the mass-market adoption of Blockchain technology is realized.

South Korea is a playmaker in the world of cryptocurrencies

The estimated size of the blockchain market in South Korea jumped more than 100% from 20.1 billion Won in 2016 to 52.4 billion Won this year and the market size is expected to grow by 579% to 356.2 billion Won by 2022 as seen in the chart below.

South Korea Crypto

Earlier this year, applications analytics company, Wiseapp revealed that the number of virtual currency app users in Korea increased by about 1,300% from 140,000 in October 2017 to  1.96 million in January 2018. In the data (see chart below) the increase in the number of users tracked the strong bullish performance in cryptocurrencies in the tell end of last year. Of course, recent data suggests that the number of cryptocurrency app users might have dropped; yet, South Korea remains one of the most fertile grounds for cryptocurrency and Blockchain Technology.

Wise App Users
Wise App Users

The South Korean Won is the third most traded national currency for Bitcoin, trailing only the USD and the Japanese Yen. The Korean Won is responsible for trade volume of about 59,573BTC to control a crypto market share of 5.81% ahead of the Euro with a market share of 1.53% and the British Pound with a measly 0.21% market share as seen in the chart below.

Cryptocurrency Exchange by Currency

In fact, BTC is currently being traded as 11 market pairs against the KRW base currency with a 24-hours trading volume of 59,206BTC on 11 cryptocurrency exchanges globally.

Korea to host a global summit for crypto innovators and investors

South Korea will be hosting Block Seoul, one of the largest blockchain conferences of its kind from September 16 through September 19 at the Sebitseom Island Complex on Seoul’s Han River. The conference among other things will bring together stakeholders in the cryptocurrency space as part of efforts to help them forge powerful connections and real-world relationships.

There’s an important need to start paying more attention to the practical applications of Blockchain technology beyond cryptocurrencies. Block Seoul is being set up to be a hub for investors, VCs, traditional financial institutions, and ICOs to connect, engage, and collaborate.

Hosting Block Seoul is particularly symbolic for Korea after the country had moved to ban ICOs and regulate the operations of cryptocurrency exchanges within its territory. Block Seoul will play host to heavyweights in business, governance, tech, the blockchain, and cryptocurrency – who will lend their voices to how regulations could be used to guide and power the mass-market adoption of blockchain technology. The more than 40 speakers include former directors of the CIA, NSA, U.S National Intelligence, founders of blockchain startups, partners in VC funds, and investment bankers.

North Korea to host a crypto conference

North Korea, not to be outdone by its neighbor on the south has also revealed that it is planning to host its maiden international conference on cryptocurrency and blockchain technology in October. The details of North Korea’s blockchain conference are still sketchy and the country doesn’t have a developed conference tourism industry.

However, Radio Free Asia suggests that the event will be held in Pyongyang and for two days. Attendees can also look forward to a meet a greet session with North Korean business leaders as well displays of the country’s technological capabilities.

North Korea is not particularly the first port of call for cryptocurrency and blockchain enthusiasts, last year there were allegations that state-sponsored hackers from the country attacked exchanges and stole hundreds of millions of dollars in cryptocurrencies. Hence, it would be interesting to see how Pyongyang is able to leverage the conference to improve its image in the global crypto market.

The whole world is looking to South Korea for direction

From the foregoing, it is obvious that the whole world is fixated on developments in Asia and their effects on the global cryptocurrency markets. When Asia sneezes on crypto, the rest of the world tend to catch a cold. The fast-paced adoption of cryptocurrency in South Korea and its hosting of Block Seoul suggests that the country might yet be able to wrestle back the position to it lost to Hong Kong and Singapore by its premature decision to ban ICOs.

RSC Endorsed by Soccer Legend Ronaldinho Launches Crowdsale

World Soccer Coin is launching its highly anticipated Ronaldinho Soccer Coin (RSC) Crowdsale. It will begin on August 16. The Whitelist has been opened to the public on August 1st. https://tokensale.soccercoin.eu/

RSC is a revolutionary blockchain business model that captures multiple unique business areas, and profitable revenue streams within its leading-edge and accessible ecosystem.

RSC is fully endorsed and backed by the Brazilian soccer legend Ronaldinho (Ronaldo de Assis Moreira), who was twice selected FIFA Player of the Year.

Expressing the support of RSC, Ronaldinho tweeted on July 7: “When one plays soccer, one is free. You are happy. ‘Alegria’ to all soccer lovers in the world. Thank you for all of your support!”

In addition to Ronaldinho, RSC is fully backed by leading blockchain business groups and associations such as ICOBox, The Korea Blockchain Industry Promotion Association (KBIPA), Play2Live and 03 Labs.

The key revenue generating business streams include:

  • The launch of the RSC token;
  • The development of digital soccer and futsal stadiums globally;
  • The development and expansion of soccer and futsal as sports, through soccer academies and other activities, in existing and new markets;
  • The promotion of eSports, a business sector that is now hugely popular in the U.S. and other key markets and is forecast to grow exponentially in global markets in the next several years;
  • The launch of Sports Betting platform. It’s now legalized in the U.S. and in a rapidly growing number of countries;
  • The development, sale and licensing of leading-edge AI, blockchain and digital technologies, equipment, and content.

In addition, based on Ronaldinho’s vision of giving back to society and enabling children from less-fortunate circumstances to play and develop their skills in soccer and futsal, RSC will be launching the Smile Project. Using a portion of the revenue gained from the RSC project, as an act of charity, the project will distribute soccer balls to underprivileged children. That will help to provide an environment where children can pursue their dreams. Also, the project will be launching funding for promising players to participate in elite soccer academies throughout the world.

The RSC-based payment system will be based on smart contracts and will have credit and virtual and legal currency capabilities. RSC utilizes NEO blockchain, as it has ten times the ecosystem block speed when compared to Ethereum.

The total supply of RSC tokens is 350 million, out of which 140 million was allocated to the private sale completed in July.

Benefits for the Whitelist Participants

Prospective investors who have registered for the Whitelist before the start of Crowdsale will be able to complete the KYC process earlier than others and will be eligible for bonuses.

More information on Ronaldinho Soccer Coin Project can be obtained on the following platforms:

Cryptocurrencies Ponzi Schemes On The Rise In Russia

The country’s central bank has already highlighted dozens of fraudulent schemes that masqueraded as legit investment projects in the first half of the year and in the process defrauded people millions of money.

Cryptocurrency Ponzi Schemes

Most of the fraudsters operate online, whereby they appear to have found a way to draw people’s attention with enticing offers that are hard to resist. The operations mostly target people in central regions and large cities where cryptocurrencies buzz is on another level.

The fraudsters are also paying close attention to people with high incomes and looking for quick returns on investments. While the average investment in regular Ponzi schemes averages between 30,000 RUB and 50,000 RUB, it is emerging that crypto Ponzi schemes are attracting investments of between 80,000 RUB and 100,000 RUB.

Even though potential investors are becoming increasingly cautious and careful when choosing their next investments, the same has not prevented the fraudsters from finding their way and corning people.

Since the start of the year, legal entities and individuals have lost more than $4.3 million in illegal and fraudulent cryptocurrency related investments. Concerned with the rate at which such projects are sprouting up, the Russian Association of Cryptocurrencies and Blockchain RACIB has started listing unfair and potential ICO scam projects

The association believes the list will help potential investors find trustworthy investment opportunities in the burgeoning sector.

“The list of trusted companies will allow Russian and foreign market participants to base their work on trusted organizations and minimize the risk of fraud in the creation and development of Russian or foreign business in the field of mining, trading with cryptocurrency, blockchain technology, and ICO.” RACIB in a statement.

Call For More Awareness

The association has also created a whitelist that includes all the firms involved in the field of crypto mining as well as investment, marketing, and Initial Coin offerings. The whitelist consists of all organizations that have undergone verification to ensure what they are offering is legit.

Amidst the frenzy of activities in trying to curb fraudulent crypto and ICO projects, it is emerging that what the country needs is a well spelled out legal framework. President Vladimir Putin is on record ordering the regulation of cryptocurrencies and ICOs. Amidst the call, the legislation process appears to be dragging, a move that has left scammers to operate with ease to the disadvantage of most investors.

According to Plasma Pay payments system founder, Ilia Maximenko, people need to carry out deep pre-investment due diligence in order to stay clear of fraudulent schemes in the cryptocurrency space. When it comes to investing in ICO projects, Maximenko advice on investing in projects that already have a working product and only need additional funds to improve or accelerate development.

“If an ICO team have one developer per nine marketing managers, then it is clear that they want to sell it in the first place,” Maximenko said.

Neluns is the next step in the financial ecosystems evolution

The bank side of the system will support operations with crypto and fiat currencies and will have a built-in currency exchange module. The system is likely to create the most favorable conditions for the further evolution and increased maturity of the cryptocurrency market.

Ecosystem Key features

Neluns

The Neluns ecosystem includes:

  • Neluns Bank is the next generation bank supporting most of the core retail bank features for fiat money and cryptocurrencies.
  • Neluns Exchange is built on the cutting edge technology facilitating the improved accessibility of the secure and fast cryptocurrency trade operations.
  • Neluns Insurance company insures all the transactions and trades within the ecosystem.

Users have access to the following functionality within the Neluns ecosystem:

  • Trade cryptocurrencies with a few clicks
  • Exchange cryptocurrencies
  • Fast deposits and withdrawal to/from the system from around the globe
  • Option to open an IBAN Account that supports multicurrency (private or corporate)
  • Issue debit and credit cards from major card issuers Visa, MC, Amex
  • Promptly send and receive international money transfers
  • Earn more interest on your money in the Neluns savings accounts in fiat or cryptocurrencies
  • Receive loans from Neluns in fiat and cryptocurrencies
  • P2P (Peer-to-peer) Landing Platform allows earning interest on lending to other users
  • Draw profits from the NLS tokens trading on the cryptocurrency exchanges
  • Trades insurance is available and can be enabled for select or all transactions
  • Get dividends
  • Lowered risk levels and extra profits are open for the active market participants

Neluns Bank offers a broad range of services to private and corporate customers. The transactions are executed in fiat and crypto money. Once a multicurrency account is open users are able to carry out transactions in USD, EUR, GBR and cryptocurrencies. There’s an option to issue a bank card for the multicurrency account.  

There are 4 types of bank cards and respective software products available: Lite, Silver, Gold and Platinum.

Neluns2

Making purchases, sending payments, trading cryptocurrencies and fund withdrawals are available from any ATM around the globe 24×7.

Users can obtain loans in fiat or crypto money from the system as well as earn interest on the savings account in the system. All savings accounts are FDIC (The Federal Deposit Insurance Corporation) insured. The P2P fiat and cryptocurrency lending platform will be developed and it will serve as a base of Neluns Bank. Users will be able to extend and obtain loans to/from other users.

Neluns Exchange is based on the bank guarantee principles allowing us to create the new high quality cryptocurrency exchange. These principles combined with the cutting edge technology are the pillars of the system supporting easy fund withdrawals, cyber security threats protection, high availability and peak loads resistance. The system is expected to offer both best user experience for cryptocurrency traders and great deals on savings account interest rates.

There will be apps created for iOS and Android to make sure that the bank and exchange operations are available on the go from mobile devices.  24×7 technical support service will be launched to address any challenges users face.

Neluns3

 

The project will be run in accordance with respective government regulations and all applicable legal frameworks to minimize the risks and facilitate the successful project execution.  Neluns Bank is in the process of obtaining a banking business license. Neluns Bank will adhere to all respective licensing, regulatory and supervisory requirements that are applicable for the regulated banks.  Neluns Exchange will be regulated as per CFTC (U.S Commodity Futures Trading Commission) and SEC (U.S Securities and Exchange Commission) licensing requirements.

Main ICO Facts

NLS token is ERC20 token (public Ethereum blockchain). It is a security token with 50% dividends payout based on the Neluns ecosystem performance (the bank, the exchange, the insurance company).

Dividends are paid out on a quarterly basis.

Dividends payout formula is based of the number of tokens one holds vs. the total number of tokens.

NLS token holders who use the Neluns ecosystem products enjoy additional advantages. The more tokens are held the greater bonuses and privileges are provided.

  • NLS Token supply – 200M
  • Token price – $1

In 15 days after the first round of ICO starts Form D (an official notification of ICO start) will be submitted to SEC (U.S Securities and Exchange Commission).

ICO stages (rounds)

Pre-Sale

Hard Cap – $2.000.000

Soft Cap – $500.000

1 stage (round), pre-sale, stage (round) length 14 days, from 08-01-2018 to 08-15-2018.

bonus 30%

extra-bonus 40% investment of more than 1 ETH in one transaction

extra-bonus 50% investment of more than 10 ETH in one transaction

Pre-ICO

Hard Cap – $10.000.000

Soft Cap – $2.000.000

2 stage (round), pre-ICO, stage (round) length 21 days, from 08-15-2018 to 09-05-2018.

bonus 20%

extra-bonus 30% investment of more than 1 ETH in one transaction  

extra-bonus 35% investment of more than 10 ETH in one transaction

ICO

Hard Cap – $112.000.000

Soft Cap – $10.000.000

3 stage (round), ICO, stage (round) length 31 days, from 09-05-2018 to 10-05-2018

bonus 10%

extra-bonus 20% investment of more than 1 ETH in one transaction

extra-bonus 25% investment of more than 10 ETH in one transaction

Projects Website: https://neluns.io/

White Paper: https://neluns.io/static/ver165/whitepaper/whitepaper.pdf

E-mail: support@neluns.io

The Full Guide to Kodak Coin: How to Buy and How to Use it

What is KODAKCoin?

Back at the beginning of the year, there had been plenty of hype surrounding cryptocurrencies, in particular, Bitcoin, the Blockchain technology and initial coin offerings.

Kodak was amongst the first looking to cross the divide and certainly, the oldest, established in 1888, with a 31st January Initial Coin Offering having been delayed, but not canceled, the advantages of raising funds through an ICO and the benefits of blockchain technology too great to ignore for the Kodak team.

For Kodak, a shift in direction has been needed for some time, with the evolution of the industry into digital imagery having led to Kodak to filing for bankruptcy protection back in 2012. The move into blockchain making more sense than initially meets the eye.

Back in January, when the ICO was announced, Kodak shares rallied by 197% in a single weak as the prospects of a move into the virtual world have been seen as a positive, one that could take Kodak back to the pinnacle of the industry. Kodak’s share price that had hit a high of $13.28 is back down at $3.7, but success in the development of KODAKOne could see more traditional stockholders cash in alongside those grabbing KODAKCoin tokens, once they are available.

Kodak’s initial coin offering is to fund and develop the KODAKOne blockchain technology in partnership with Wenn Digital.

KODAKCoin is described as an ERC-20 token that works on the Ethereum network and could become a mainstream means of payment in the world of digital imagery.

KODAKCoin ICO

At present, KODAKOne is not offering and selling KODAKCoin tokens directly, with all offers and sales being made pursuant to SAFTs (Simple Agreements for Future Tokens), priced at $1.00 during the initial funding round. No KODAKCoin tokens will be issued immediately.

The KODAKCoin SAFT Offering is live and to subscribe, investors can subscribe via the KODAKOne website.

Each SAFT requires the relevant purchaser to submit payment to WENN Digital, Inc. or authorized agents in exchange for the right, upon exercise of the option, to receive KODAKCoin tokens in the future. The Option is only exercisable on or after the later of (i) the launch of the KODAKOne platform and (ii) the one-year anniversary of the date of the purchase of the relevant SAFT; provided, however, that WENN Digital, Inc. may, in KODAKOne’s sole discretion, postpone issuance of KODAKCoin tokens upon the exercise of any Option until such date on which, in the opinion of KODAKOne’s legal counsel, KODAKCoin tokens will not be deemed to be “securities” under the SEC’s Securities Act.

In the event that no legal opinion is issued by 1st July 2019 and the relevant purchase has exercised the option under the terms of the SAFT, KODAKOne will immediately issue KODAKCoin tokens to such purchaser.

The SAFT structure is being used to allow the KODAKOne team to develop the KODAKOne platform and analyze any changes or developments in applicable law prior to the issuance of KODAKCoin tokens.

At present, the purchase of KODAKCoin tokens by way of SAFTs is only possible for accredited investors, as per SEC regulations.

WENN Digital, Inc. anticipates conducting a public KODAKCoin token offering, open to all investors, once the KODAKOne platform is fully functional and KODAKCoin tokens have been issued.

The launch of the beta phase with agencies is anticipated to take place in the 4th quarter of this year, with the KODAKOne platform expected to go live in June 2019.

How to Buy KODAKCoin?

While accredited investors are able to purchase SAFTs by subscribing via the KODAKOne website, actual KODAKOne tokens will not be available for sale until the KODAKOne platform goes live, currently scheduled for June 2019.

Upon ‘Go-Live Date,’ WENN Digital, Inc. anticipates conducting a public KODAKCoin token offering open to all investors once the KODAKOne platform is fully functional and KODAKCoin tokens have been issued.

For Photographers and other members of the KODAKOne platform’s community, who are not accredited investors, alternative methods of acquiring KODAKCoin tokens will include:

  • Users will be able to upload their high-quality images and earn KODAKCoin tokens in the form of licensing and post-licensing payments.
  • Users will be able to acquire KODAKCoin tokens by selling products and services on the KODAKOne marketplace.
  • Users will be able to earn KODAKCoin tokens by participating in KODAKOne’s big data and artificial intelligence programs for corporate clients.

Once KODAKCoin tokens have been issued, a number of exchanges are also anticipated to offer KODAKCoin tokens for trading.

The Usage and Benefits of KODAKCoin

With the rollout of KODAKOne, KODAKCoin will be the token of choice for professional and amateur photographers the world over and even more so if KODAKOne takes the digital imagery world by storm and there’s certainly no reason for it to fail.

On the one side, photographers who have registered their digital works on KODAKOne will receive royalties and payments for works in the form of KODAKCoin tokens, with photographers, both professional and amateur, able to place works on KODAKOne, with prospective customers able to make payment for both services and registered digital imagery under defined copyright laws, protecting both the photographers and the users of the digital images made available on KODAKOne.

The benefits are all too clear, with the World Wide Web as we know it today failing to identify copyright infringements and provide revenue streams to the owners of digital imagery as a result of frequent infringements.

When considering the volume of digital imagery already found on the World Wide Web, estimated to be in excess of 1.2tn, KODAKOne’s target of 10m images to be on the KODAKOne platform by the 2nd quarter of 2019 certainly looks achievable, the incentive for copyright owners clear with the prospect of increased revenue streams from the appropriate licensing of digital imagery under copyright.

KODAKOne has three key areas of focus to address in order to level out the playing field:

  • Money: Amid the proliferation of content on the web, many images are invariably used without a license; it’s also inefficient and costly for photographers to administer image licensing, infringement detection and reporting. As a result, photographers leave a lot of money on the table.
  • Trust: Industry-wide lack of transparency means that photographers are unable to verify royalty statements.
  • Time: Considerable effort goes into managing, protecting and distributing photographers’ images; it’s fragmented across multiple parties and platforms and demands an unnecessary amount of attention and care from photographers.

The team believes that blockchain technology provides the most optimum way for photographers and agencies to store digital image assets and associated metadata in a way that can track ownership, rights and license transactions regardless of where those images are used and by whom.

The combination of the KODAKOne platform and KODAKCoin tokens deliver a licensing platform that tracks usage, gives creators more control over licensing, while also enforcing copyright, not to mention create a marketplace to meet all of the needs of photographers.

The key aspirations of KODAKOne and KODAKCoin can be summarised as follows:

Cryptocurrency: KODAKCoin tokens simplify and speed up payments, with all stakeholders involved in the licensing process receiving their share simultaneously according to the terms of the smart contract saved on the KODAKOne licensing platform. Additionally, it is the driving force behind the KODAKOne marketplace, where photographers can purchase almost everything needed in orders to succeed in their professional careers.

Post-Licensing: The KODAKOne platform acts as a “police officer,” enabling any infringements to be quickly discovered; the platform identifies violations and provides simplified legal proceedings and preservation of evidence; with a friendly approach, the team aims to recover license fees and convert infringers into customers.

Artificial Intelligence: The KODAKOne platform will categorize and enrich images in multiple ways – helping collect and tag valuable information associated with a certain image to help photographers and agencies to effortlessly organize imagery. The KODAKOne platform will also support copyright holders to legally clear their images and make the process as simple as possible.

Big Data: With the use of AI Tech, KODAKOne will collect and process everything there is to know about an image, including how people are using it digitally. This provides photographers and agencies with real-time data to assist them with content plans, refining distribution and marketing strategies.

Blockchain: The digitized, decentralized blockchain ledger will make it easier to store and access information without the need to go through a central authority such as a distributor. Photographers will have much more control over licensing and most importantly, can earn a much higher share of the license fee. It establishes proof of ownership and enables the platform to process license fees in real time using smart contracts – lending both trust and ultimate control to copyright holders worldwide.

Web Crawling: KODAKOne’s web crawlers search millions of websites globally in order to collect active data about the usage of a photograph and to check for a valid license. By using AI, the more information the web crawlers collect, the more intelligent and efficient they become in data collection and infringement identification over time.

KODAKOne Platform and KODAKCoin Cryptocurrency

KODAKOne is described as an image rights management platform that delivers an encrypted, digital ledger of rights ownership for photographers to register both new and archive work that they will then be able to license on the platform.

For photographers, the world of photography may get a lot simpler should KODAKOne take off, with KODAKCoin tokens allowing participating photographers to take part in a new economy for photography that facilitates payments for licensing work immediately upon sale and to sell works confidently on KODAKOne’s secure blockchain platform.

KODAKOne’s platform will provide continual web crawling to monitor and protect the IP of the images that are registered in the KODAKOne system. Where unlicensed usage of images is detected, the platform will efficiently manage the post-licensing process, with photographers then rewarded with KODAKCoin tokens.

The KODAKOne platform not only widens the net for the more established professional photographers but also gives amateur photographers a platform to display works and possibly become paid photographers, with the virtual world of blockchain breaking down boundaries to bring photography to the far reaches of the globe.

KODAK’s move back into the digital imaging space could not have been timelier with there being any single, global rights management platform for image licensing.

The KODAKOne platform eliminates problems that most, if not all photographers face with the publishing of works on the World Wide Web, where images are frequently used without the permission of the photographer despite being protected by copyright, leaving the owners of the work to miss out on sizeable income streams.

With the lack of a rights management platform today, photographers are just unable to license their images and identify copyright breaches, let alone benefit from the royalties that would come from such a platform.

The KODAKOne platform essentially removes all of the obstacles that photographers face, by delivering a platform that uses Ethereum smart contracts, with the owners of the rights to images receiving payment instantly with KODAKCoin tokens.

The platform is an end to end management system that handles the registration, protection, and distribution of imaging to deliver income streams that are absent for photographers today.

While photographers will receive royalties with KODAKCoin tokens, holders of KODAKCoin tokens will, not only be able to buy digital images online, but also services including flights, hotels, and apartments, while also being able to make payments for venues and studios and hire models for shoots.

The added benefit for photographers who join the KODAKOne community, is the web crawling functionality that will detect the usage of the images that they have registered on the KODAKOne platform, with any copyright breaches leading to users being charged for usage or for damages stemming from the illegal use of the works, giving photographers the prospect of being back paid for work as well as opening revenue streams that were not accessible before.

Features of the KODAKOne platform can be summarised as follows:

  • Image Registration: Provides immutable proof of ownership of images and enables members to take advantage of the platform’s wider services.
  • Rights Management: Every license will be documented by a smart contract on the blockchain confirming copyrights, licensing terms and conditions to the associated image or images.
  • Transparent Accounting: Royalty payments will be able to be received instantly via the KODAKOne platform’s smart accounting and reporting system; community members don’t need a separate accounting system, as all payment and accounting related information is saved on the blockchain.
  • Community Marketplace: The KODAKOne platform marketplace will enable KODAKCoin token holders to buy, sell and book products and services.

There’s a long way to go before the KODAKOne platform hits the public domain and for non-accredited investors to be able to get in on the action, but the structured approach to rolling out the platform and KODAKCoin tokens may set new standards for the broader ICO market.

What are ILP’s (Initial Loan Procurements) and How Does it Work?

Initial Coin Offerings have for the longest time emerged as a preferred means of raising funds in the blockchain and cryptocurrency space. In most cases, they involve projects selling tokens to investors in a bid to raise funds to support the development of new projects and innovations.

In the recent past, the legality of ICOs has been brought to question after the majority of projects that raised funds have gone under, and in the process closed shop with people’s money. With billions of dollars, having evaporated in thin air, the need for another crowdfunding alternative has never been stronger.

Initial Loan Procurement (ILP) is slowly emerging as an alternative crowdfunding means of raising funds, given that it promises to bypass some of the issues that have clobbered ICOs credibility.

What is an Initial Loan Procurement(ILP)?

Initial Loan Procurement is a crowdfunding method that allows borrowers and creditors to enter into loan agreements through legally binding smart contracts. The fact that the contracts are based on blockchain technology means they cannot be altered, thus providing a level of security something that was lacking with ICOs.

ILPs work by simply providing a way for creditors to lend money to a company or project, after entering into an agreement. Terms of such agreements are stipulated’ and embedded in a smart contract, stored on a blockchain for reference. This method provides an alternative way for companies to raise funds while leveraging blockchain technology without having to develop tokens that may be of little or no use.

One of the key benefits of ILPs is that they don’t require emerging businesses in need of funds to develop tokens. Instead, they only have to enter into legally binding agreements that are implanted in smart contracts. Given that ILPs are a form of loans, also means such kinds of funds are not subject to tax as is the case with ICO funding in some jurisdictions.

What is Blockhive?

Blockhive is an Estonian based company with Japanese roots. The company is the pioneer of Initial Loan Procurements that seek to change the way blockchain and other projects are funded. Founded in 2017, the company seeks to create an ecosystem whereby parties will work together and get rid of blockers in a bid to facilitate innovation.

The company partners with other projects looking to design and implement blockchain strategies. Instead of charging a fee for its services, the company enters into partnerships and generates revenues by sharing profits. The model ensures that all parties work together for the success of a project given what is at stake.

Blockhive shot to prominence on the introduction of Initial Loan Procurements, seen as the next big thing when it comes to crowdfunding in the blockchain space. The company has partnered with smart contract developer Agrello to ensure ILP becomes the desired means of raising funds in the industry. The unique funding method can be harnessed by both startups as well as established businesses and nonprofit organizations.

In addition, the two have unveiled FLAT tokens that are to be issued on Ethereum Blockchain while utilizing smart contracts for handling know your customer and AML checks.

Initial Loan Procurements Basics

Just like ICOs, ILPs structure is as effective as it can get and open to individuals all over the world. The fact that the contracts are signed using blockchain technology means they are legally binding, which acts as a layer of security that creditors can rely on.

Initial Loan Procurements come with legal parameters that govern the mainstream credit market. Investors who decide to invest their money using this method can rest assured that their funds are well protected thus cannot dissipate in thin air as has been the case with many Initial Coin Offerings Projects.

ILPs are also regulatory friendly, in that they can be compliant even with the most stringent regulatory frameworks around the world when it comes to fraud and money laundering. Participants are required to submit identification to show who they are thereby solving one of the biggest issues that have seen regulators castigate ICOs.

How ILPs Works

Blockhive has the responsibility to carry the first Initial Loan Procurement as it moves to showcase how the new crowdfunding method will work and the kind of impact it will have compared to ICOs.

In the case of Blockhive’s ILP, potential creditors will first have to first register their identification by entering an Ether address among other information. Once all the information is verified, the creditors will have to digitally sign a loan agreement and send Ethers to the projects account address from a pre-registered account.

Once the Ethers are received, and a smart contract signed, the creditors will be entitled to annual interest payment of up to 20%. Blockhive is to issue Future Loan Access Tokens, a type of utility token that is to give creditors a right to transfer loans to others, once the smart contracts are issued.

Individuals who receive FLAT tokens can become creditors and use the tokens to sign a loan agreement with other borrowers in need of funding, thereby expanding their funding network.

Tokennote is to serve as the platform for Initial Loan Procurements once the Blockhive ILP is complete.

The Need for Initial Loan Procurements

The Blockhive team believes it is time for ILPs to take over as an effective means of addressing some of the shortcomings that have belittled ICOs. For starters, countries like China have banned ICOs completely, making it impossible for companies pursuing blockchain innovation to raise funds to support their projects.

Funds raised through ICOs in some countries are considered a form of income rather than capital, thus subjected to a tax rate of as much as 40%. With ILPs, the same may not be the case, as funds raised through the crowdfunding method are considered loans, thus not liable to taxation.

Initial Coin Offerings requires businesses to develop tokens some of which don’t have a real function in real life. ILPs, on the other hand, should provide projects an easy way of raising funds without having to go the route of developing tokens to be issued to investors.

ILP as an Alternative to ICO

In an era where regulators are discussing the validity of Initial Coin Offerings, Initial Loan procurements are slowly emerging as an alternative to avoiding stringent regulations. The fact that the crowdfunding method boasts of Know Your Customer and AML standards should see it gain favor with regulators who for the longest time have remained skeptical about ICOs credibility.

The smart contracts embedded on ILPs should be an attractive feature to strategic investors who have been eyeing opportunities in the blockchain space but did not know how to go about the same. The added security layer should enable investors to finance projects they believe in, unlike in ICO where investments are mostly based on speculation.

Initial Loan Procurement is seen as a reliable alternative for raising funds in the blockchain space in part because the issuance of tokens, as is the case with ICOs, is not sustainable. Instances of overcrowding and substandard tokens have come into being in the recent past further denting ICOs credibility.

There is usually zero protection for investors when it comes to investing in ICOs. Startups that issue tokens often don’t provide anything in return that investors can claim to be it a company’s assets or equity. However, with ILPs, smart contracts are legally binding which offers leeway for arbitration in case of anything.

Unlike ICOs, ILP should appeal to the masses, who view cryptocurrencies as volatile investments. ILPs value is tied to the performance of the company rather than a token on offer as is the case with ICOs. What this means is that creditors will always enjoy a form of return in the way of annual interest.

Prospects of earning an annual interest of up to 20% is another aspect that should continue to ramp up ILPs credibility compared to ICOs. Being legally binding, creditors will not have to worry about their money as is often the case with ICOs.

The fact that Know Your Customer Checks are conducted on all borrowers, should make ILPs a secure debt-based alternative method for raising funds in the cryptocurrency space. Investors will now be able to invest in a company rather than overhyped tokens.


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ICO vs. ILP

Taxation

Regulators around the world are increasingly looking for ways to generate some income from the burgeoning cryptocurrency and ICO business. Some countries have already classified ICO funding as capital gains thereby subjecting them to taxation.

The fact that ILPs are actual debts and not capital gains mean proceeds are unlikely to be subjected to taxation as is the case with ICOs.

Tokens

A major difference between ICOs and ILPs has to with the creation of tokens. Projects raising funds through ICO’s issue tokens to creditors that they claim will be valuable in the long run. As it has come to be, that is not always the case as most projects have collapsed leaving investors with nothing to cling on to.

With ILPs, investments are tied to the performance of a company, which removes the need of projects developing tokens to issue to creditors. ILPs work as loans allowing people to transfer contracts instead of tokens.

Coverage

ILPs being a form of the loan means they will be open to people around the world. The same cannot be said about Initial Coin Offerings. China is one of the countries that has banned ICOs, thereby making it extremely difficult for people to participate in projects with huge prospects of success.

Earn Interest

Initial Coin Offerings are mostly based on speculation. What investors stand to walk away with in the long run is dependent on issued tokens becoming valuable. That cannot be said about ILPs. With ILPs, once a smart contract is issued an investor is entitled to returns in the form of interest on capital invested.

ILPs investments are contractually tied to the performance of a company and not speculation as is the case with ICOs.

Use Case

Initial Coin Offerings have for the longest time been the domain of projects looking to come up with new cryptocurrencies or developing blockchain innovations. ILP, on the other hand, acts as a reliable way of raising funds not only for blockchain based startups but other businesses and government entities in need of funding for new projects.

Bottom Line

Initial Loan Procurements promises to be a reliable and effective means of raising funds in the future, in part because of the smart contract feature tied to such agreements.  Smart contracts provide some form of assurance that a project is legit as opposed to ICOs where investors cling on to the hope that tokens issued will be valuable in the long run.

Given the uncertainty that faces ICOs in many jurisdictions, Initial Loan procurement should enhance the growth of decentralized crowdfunding with greater protection for creditors. The Know Your Customer requirements should allow the funding method to gain favor with regulators at a time of increased scrutiny.

5 Tips to Consider Before Integrating Cryptocurrencies in Your Business

Even though the cryptocurrency market has more or less plummeted since the end of 2017, the interest for these digital currencies is still high. During 2018 the focus in cryptocurrencies has slowly started shifting from mostly being an investment opportunity for private investors to something businesses are becoming more interested in.

Now, whether you have an interest in investing in cryptocurrencies using your company or you want to start using them and blockchain technology as a part of your business, there are a few things you need to be aware of. Before you start investing in cryptocurrencies with your business you need to consider the following.

Knowledge is everything

This might sound obvious, but you really must educate yourself before you get started. Most people have a vague idea of what cryptocurrencies and blockchain technology are, but a vague idea is not enough. In fact, most major losses and issues regarding cryptocurrency investments could have been avoided with some basic education. This is a completely new market and just because you know about stock or forex trading doesn’t mean you understand cryptocurrencies.

Also, learning more about cryptocurrencies will help you determine how you can best approach the market as a business solution. Do you want to handle cryptocurrencies as an investment or would you benefit from using Bitcoin as a means of payment? Maybe you want to run an ICO to create a new asset while funding your next development.

Are your customers interested in cryptocurrencies?

This is a question you need to ask yourself before you continue and you need to make sure that you’re right about the answer.

Over the past few years, we have seen that businesses that integrate cryptocurrencies experience one of two things. If their customers are okay with the idea of using or being associated with cryptocurrencies, the business gets a competitive edge which can be extremely important. There are several examples of businesses becoming industry leaders for being early adopters of cryptocurrency solutions.

On the other hand, a cryptocurrency integration has the potential to hurt a business if the customers are not interested in using digital currencies. Also, cryptocurrencies and blockchains are not a necessity for most businesses, and if it won’t help you solve a problem, you should consider holding off on the integration.

The lack of a middleman can mean two things

One of the main selling points of cryptocurrencies and the foundation that Bitcoin is based on is decentralization. Most cryptocurrencies, with a few exceptions, are decentralized to a certain extent, and that alone creates unique possibilities.

The lack of governing bodies and the exclusion of banks has created a marketplace with very little to no regulation. Little regulation can be good since you can avoid all middlemen and the extra fees and charges that come with that. However, it also creates increased risks and leaves you more vulnerable to problems, which brings us to our next advice.

Be aware of market manipulation and volatility

The cryptocurrency market is known to be highly volatile which creates problematic situations for businesses, especially those that use cryptocurrencies for payments. It’s hard to use a currency that’s constantly changing in value. Also, if you make a profit from a cryptocurrency investment, that profit could be gone overnight which could seriously hurt your company. Although, there is a more concerning issue with the market’s volatility.

Recently, a comprehensive study was published with proof showing that much of last year’s record-breaking prices were created by market manipulation. Not only does that mean that much of the fluctuations were controlled and planned, but it also means that it could take very long before we reach the same prices as we saw last year again.

Market manipulation is a major concern, and you might want to consider waiting to enter the market until the situation has been dealt with accordingly. Then again, you could also benefit from volatility by going both long and short with your investments and for that CFD trading is perfect. Also, there are several options of regulated brokers that offers cryptocurrencies. Using a regulated broker in an unregulated market provides a lot of safety.

You will risk losing it all

We’ve already touched on this subject, but it doesn’t hurt to bring it up again to summarize our advice.

There are some really great benefits of using cryptocurrencies, both as a private person and as a business. As mentioned, cryptocurrencies such as Bitcoin can help take your company to the next level, and it can give you an edge over your competitors. By you using it and encouraging others to do the same, you will help drive the technology forward and at the same time increase awareness for something that will most likely be an important role in the future of our society.

All that being said, there is always a risk that you’ll lose everything you invest, especially at this point in the development. No one really knows where the market is going and even though most agree that the technology won’t disappear, certain assets might. For example, most ICOs that have ever been launched are either losing money or have disappeared completely.

The market is still young, and both the potential reward and the risk is high, so be careful.

Could ILPs Be A Viable Alternative To Initial Coin Offerings?

ICOs have rapidly grown to become the most popular form of crowdfunding especially with the rising popularity of cryptocurrencies. However, ICOs do not have a good reputation due to the lack of proper regulation and the fact that scammers have also been taking advantage of the industry.

Following the uncertain nature of ICOs, the market has led to the hunt for a better alternative. There is a potential game changer coming up called Initial Loan Procurements (ILPs) that is causing quite a buzz. It involves digital loan agreements between lenders and borrowers that are facilitated by smart contracts.

What Are ILP’s (Initial Loan Procurements)?

The creditors receive interest based on the performance of the company issuing the tokens. The tokenized tokens are transformed into Future Loan Access Tokens (FLAT) allowing them to give investors some flexibility and liquidity when traded on the market. In the event that a tokenized loan exchanges hands in a sale, the new investors become part of the agreement with the borrower.

All lenders and borrowers are also subjected to Know-Your-Customer (KYC) checks eliminate risks such as money laundering and fraud.  The loan agreements are also recorded and signed on the blockchain. ILPs can thus be used as a secure debt-based option to IPOs which are currently dominating the cryptocurrency market. They could be used as an alternative that will allow decentralized crowdfunding to continue growing.


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The downsides of ICOs

Unfortunately for ILPs, there are a lot of regulatory issues surrounding ICOs especially the long-standing question of whether or not they should be considered as securities or remain unregulated. If regulators classify them as securities, a significant amount of cash raised by the startups will be used to cover legal expenses. Digital tokens also have to be subjected to tax regulations and this is a big problem for investors and the ICO companies.

ICOs also involve a certain degree of risk for investors since they do not offer protection to users. Crypto startups raising funds through ICOs can basically do whatever they want with the raised funds and often times they lack the motivation to continue with their projects. This limits the chances of the investors getting returns on their invested amount. So far a lot of investors have lost their money. Brad Garlinghouse, the CEO of Ripple at one point said that most ICOs are scams.

The cryptocurrency market is also highly volatile making it even more risky for investors, especially those with strict guidelines. This means that a lot of investors may be opting not to venture into the market, meaning ICOs might be missing out on far more than they can raise. All this means there is a need for ICOs to be improved or for a better alternative and this is where ILPs could come in.

ILPs could help overcome some of the roadblocks through Ethereum smart contracts. The fact that the parties pass through a KYC before they are allowed to partake in transactions also creates an instance where there can be more trust in the system.

The Bancor Hack Aftermath: How Decentralized are Exchanges?

Bancor Hacked: Stolen over $23M in Ethereum

Last year the company raised over $150 million in an ICO. Bancor’s services include a wallet with an integrated exchange service. Last week, Bancor stated that “a wallet used to update some smart contracts has been compromised. As a result, the attackers stole $12.5M in Ethereum, $1 million in NPXS Token of Pundi X and $10 million in BNT.

Bancor announced they’ve frozen the BNT, but they can’t do the same for the other tokens. The company added that it is communicating with a number of exchanges in an effort to “make it harder for the thief to liquidate” the stolen tokens. Nevertheless, it remains to be seen how successful these efforts will be.

Following the incident, Bancor suspended the exchange and undertook an investigation. The exchange has now resumed its activity, as it announced in the following tweet:

Twitter critics, including Litecoin’s creator Charlie Lee, underlined the irony that Bancor, which claims to be decentralized, responded to the hack with strategies in line with a centralized system.

Bottom line

This event has once again called into question the extent to which the Ethereum DAPPs is truly decentralized. This is because Bancor, like many other DAPP developers, has programmed the smart contracts underlying their applications to grant them some degree of authority. These include, for example, the possibility to “freeze” tokens or update smart contracts so as to change their behavior in the future.

Thus, while the infrastructure hosting the DAPPs is decentralized, the applications themselves involve so much central authority that they cannot be defined as decentralized. This is a particular problem with security, as such an architecture needs only the creator’s wallet to be compromised in order to damage the entire DAPP. In addition to this, unlike what most users expect, such a system requires trust in the creators of the application.

Decentralised exchanges remain a potential solution to many — but not all — of the problems in this area. But what we always need to know is how decentralized the exchanges really are.

These are the Top Venture Capital Firms Investing in Blockchain

Venture capital funds have been investing in blockchain for the better part of the past decade. But it’s only in the last two years that the industry has really begun to mature.

Over 120 venture capital (VC) firms have now made two or more investments in blockchain companies. With that in mind, we will look at the development of venture capital in the industry and some of the leading players.

Maturation of Venture Capital and Blockchain

Some VCs, like Node Capital, made their first investments in the industry in 2011. For the most part, however, things were quiet until 2013 when almost two dozen different venture capital funds invested in blockchain startups.

Some of the early funding rounds of blockchain companies, like investments in Ripple and Coinbase, have paid off handsomely. Still, venture investing really hit its stride in the last couple of years. So far in 2018, there have been more than 200 venture investments in blockchain and cryptocurrency companies. This is more than in all of 2011-2015 combined.

Investment has been Increasing Sharply

Not only has the number of venture deals been rising, but so has their size. Robinhood, a stock and cryptocurrency trading platform, raised $363 million in a single series D round in May of 2018. Compare that to the $50 million it raised in 2015. Likewise, in 2012 Ripple was among the first cryptocurrency companies to receive venture funding. Ripple raised a total of just $3.1 million in its first three funding rounds. That’s less than 1% of what Robinhood raised in a single round this year.

Though there are more than a hundred venture capital funds actively investing in the blockchain, there are several dozens that play an outsized role. The 50 top venture funds in the space invested nearly half a billion dollars in blockchain in 2017 and are on pace to more than double that amount in 2018.

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Who are the Top Venture Capital Firms Investing in Blockchain?

There are essentially two key types of venture investors in blockchain and cryptocurrency companies:

Traditional Venture Capital Funds

The first type consists of traditional venture funds, many specializing in technology startups that have added a handful of blockchain companies to their portfolios. Some examples include multi-billion dollar venture funds like Sequoia Capital and Andreessen Horowitz.

Sequoia has largely invested indirectly via investments in cryptocurrency hedge funds like Polychain Capital and Metastable Capital.

Andreessen Horowitz made early investments in Ripple and Coinbase in 2013 and has continued to invest in more than a dozen other blockchain companies. In fact, they recently announced that rather than comingle blockchain companies with their existing funds, they would create a $300 million crypto-focused fund.

But for most of these funds, blockchain investments remain a relatively small component of their investment funds.

Crypto-Focused Venture Funds

The other key type of venture funds is those dedicated exclusively to cryptocurrency and blockchain investments. Though the majority of venture funds on Crypto Fund Research’s list of the top 50 blockchain venture funds are of the traditional variety discussed above, the top three are all dedicated funds. These include Digital Currency Group, Pantera Capital, and Blockchain Capital.

These funds invest only in blockchain and cryptocurrency companies. And they do a lot of it. Digital Currency Group, for example, has made nearly 60, mostly seed-stage, investments in blockchain companies since they started in 2013.

The 10 Most Influential Venture Investors in Crypto/Blockchain

Let’s take a more detailed look at the top 10 venture capital firms investing in the space. Their rankings are a function of not only the number and size of their investments in blockchain startups but also how long they’ve been doing it and how active they have been of late.

As discussed earlier, Digital Currency Group has been an extremely influential investor in blockchain since 2013. They began with an investment of less than a million in crypto payment processor BitPay. Since then they have invested close to $100 million in dozens of blockchain and cryptocurrency startups. They were also early investors in two of the most prominent success stories: Coinbase and Ripple. Their name refers to digital assets, a broad term encompassing cryptocurrencies and investments in blockchain companies and similar assets.

Like Digital Currency Group, Pantera Capital invests exclusively in blockchain and cryptocurrency companies. Technically, Pantera bills itself as an investment firm and hedge fund, but much of their investment has come via providing venture-style seed funding to blockchain companies. Pantera was an early investor in Ripple and has since made over 30 venture investments in the space. They have also invested in several initial coin offerings (ICOs). ICOs are similar to initial public offerings except that rather than issue stock certificates, companies sell equity via tokens which grant the buyer a stake in the company.

Number three on the list is Blockchain Capital. As their name implies, they are another venture fund exclusively investing in blockchain and related companies. Blockchain Capital began investing in the space in late 2013 and has since invested in more than three dozen blockchain companies. They claim to theirs was the first VC fund dedicated to Bitcoin/blockchain. Most recently they were part of a $35 million series D funding round for a digital asset merchant bank called High Flyer.

Andreessen Horowitz, also known as a16z, is one of the world’s largest venture funds. They manage almost $3 billion in assets. While only a small portion of this is invested in blockchain and crypto startups, they have made more than their share of investments. Their recent decision to start a fund dedicated exclusively to digital assets puts them in a position to be among the most influential venture investors in the space for years to come.

Node Capital is a bit unique among the funds we’ve discussed so far. For one, they are the first venture fund on this list headquartered outside the US. Based in Beijing, Node Capital has focused much of its investment on companies in Asia like Trip.io and Houbi. Another thing that differentiates Node from many of the funds on this list, is their tendency to invest in ICOs rather than via seed or early-stage funding.

While Boost VC also invests in artificial intelligence and virtual reality, they are largely focused on the blockchain. More an accelerator than a traditional venture firm, Boost has made dozens of, mostly small, investments in companies like Ledger, Coinbase and Libra Credit Network. Boost VC has the serious pedigree, having been co-founded by Adam Draper, son of legendary venture capitalist and blockchain investor Tim Draper.

Like Andreessen Horowitz, IDG Capital is a multi-billion dollar venture capital firm investing in a variety of startups. However, they have been relatively active in the blockchain. IDG made angel and seed stage investments in Ripple and has since invested in Circle, Mars Financial, and others.

Draper Associates is the main early stage venture capital arm of Tim Draper’s venture capital empire. He also is the founder of Draper University, an entrepreneurship program based in Silicon Valley. Tim Draper became a bit of a mainstream name when he received international attention for purchasing Bitcoin that the US Marshall Service had seized from illegal darknet marketplace Silk Road. Draper primarily invests in tech companies and blockchain has naturally become a part of this portfolio.

Like Node Capital, Ceyuan Ventures is based in Beijing and primarily invests in Asian startups. Though they haven’t been as active in blockchain as Ceyuan, they have made a name for themselves with investments in companies like Trip.io, Basis, and Mars Finance.

10th place was actually a tie between two very different venture companies. Lightspeed Venture Partners is another multi-billion dollar venture fund with half a dozen offices across the globe. They have made a handful of relatively large investments in blockchain startups. TechStars, on the other hand, is more of a technology accelerator and has made many, mostly small, investments in blockchain startups.

These are the some of the most important venture capital funds involved in the blockchain. Though they have different strategies, operating procedures, and setups, they all play critical roles in funding the development of blockchain infrastructure across the globe. This list will likely look very different in a couple years, or even a couple months, as new players rapidly enter the space.

View a complete list of the top 50 blockchain venture capital funds.

Cryptoshopping on Storiqa: Pay for Goods with Cryptos

Storiqa has already gained outstanding landmarks in crypto – successful $25 million hard cap, market capitalization over $150 million, a release of beta MVP. The company moves further according to the roadmap and presents Storiqa Wallet prototype on the official website.

Storiqa aims to create a quick-to-setup marketplace for SMEs with minimal financial borders and global transactional fees. Multicurrency payment solution helps to facilitate the last option. Storiqa Wallet is a mobile application through which clients can make payment both in cryptos (e.g. Bitcoin – BTC, Ethereum -ETH, Litecoin – LTC) and fiat (e.g. USA dollar, euro).

Storiqa Wallet allows allocating budget among a few currencies simultaneously. Vendors who will trade on the marketplace Storiqa.com can easily transfer crypto to fiat and vice versa. Shoppers will be able to transfer fiat and crypto easily before purchasing products. All these multicurrency transactions are conducted smoothly and orderly in the application due to lean business processes between banks and crypto exchanges behind. EMI (Electronic Money Institution) license assures secure and legal business processes. AML (Anti-Money Laundering) document is an inevitable step before getting the license. Both they confirm operations in the legal field.

At a later stage, Storiqa Wallet will be used outside the marketplace ecosystem. It means that paying for coffee with crypto is not a vague idea. Apple has already successfully applied NFC technology for ApplePay. Implementing NFC in Storiqa wallet allows using this multicurrency solution for any payment.

STQ token is presented on several exchanges at the moment, among them fiat pair to IDR. On July 5 STQ will meet new fiat pairs on cryptocurrency platform EXMO. Previously Storiqa increased market capitalization four times with the combination of product update and new exchange.

Contact:
Anastasia Taved
PR Coordinator
E-mail: a.taved@storiqa.com
Social: @nametaved

About Storiqa

Storiqa was founded in August 2017, with the aim of creating a quick-to-setup marketplace for SMEs with minimal financial borders and global transactional fees. Their key features and tools are based on using cryptocurrency and blockchain technology to resolve existing industry problems between buyers and sellers.

Payment can be made in either crypto or by credit/debit card through Storiqa’s multicurrency wallet, and their tokenized business model creates a self-sustaining STQ token economy providing higher cash back to buyers and access to preferential platform features for sellers.

About EXMO

Founded in 2013 and based in London, Kiev, Barcelona, and Moscow, EXMO is #1 exchange in Eastern Europe, and one of the world’s largest global exchanges in volume and liquidity. There are 1.5 mln users, 50 000 active traders, 315 000 daily visitors, 56 trading pairs, 5 fiat currencies (USD, EUR, RUB, PLN, UAH) on the platform. The average daily trading volume is $50 mln.

You42 To Begin Public Sale On July 2nd 2018

The public sale will come hot off the heels of a successful private presale that has raised $21.1M. Accredited investors may continue to invest via SAFT in the presale until the public sale opens. These presale events give users a chance to get in early and help shape the platform from its launch after the conclusion of the public ICO.

You42 is a social entertainment platform where users can create, share, and consume a wide range of content, from videos to music and games to individual elements such as out-takes and stems. By becoming content creators and curators, users can promote their work through the You42 Token and across the You42 social spaces platform.

Through the ICO, You42 hopes to raise a total of USD $50 million. This will be used to fund content and user acquisition campaigns to attract engaged users and content creators who can contribute to a robust social network of users.

You42’s New Vision for Social Media & Entertainment

You42 was founded to counter the influence of large entertainment firms while giving consumers and creators new opportunities to engage with one another. The You42 platform lets them do this by:

  • Creating Content– Creators can use the platform to release new games, music, artwork, articles and other content. From there they can monetize their work using the U42 Token.
  • Rewarding Fans– Creators can use the platform to reward loyal fans with special discounts, early access to exclusive content, and direct communication through live chat, videos, and messages. Fans get a new level of engagement, while creators have the tools needed to build their fanbase.
  • Cultivating Convenience– You42 offers consumers the option of accessing all their favorite content from the same platform. This sets the stage for a more convenient experience, as users won’t have to switch between platforms for different types of entertainment.

You42 is issuing a fixed total of 525 million Tokens, which will be traded at a rate of 1 ETH to 808 Tokens (current market rate). When the public sale begins on July 2, 2018, consumers will be able to buy these tokens in earnest, supporting the platform while helping You42 reach its initial funding goal.

 

Here’s How Existing Big Companies are Helping to Redefine the ICO Space

Cryptocurrencies and ICOs still evoke mixed feelings on Wall Street and in the traditional business landscape. Some folks believe that ICOs are great, both for the companies that raise funds and investors who buy tokens at a discount. Others think that ICOs are only fleecing unsuspecting people of their hard-earned money.

For instance, Yun Lee, a growth manager at Qminder observes that “when a ‘company’ raises $150 million solely with a white paper, you know something is definitely wrong… It’s dumb money.” In contrast, many existing legitimate companies are starting to look beyond Wall Street to raise funding from the cryptocurrency industry via ICO.

However, the fact remains that ICOs are here to stay; of course, the industry will still need to go through the birth pangs of deeper regulatory oversight, demand for increased transparency, and prosecuting of unscrupulous founders. This piece provides insight into how existing companies are injecting a measure of confidence into the ICO industry.

Traditional firms are adding legitimacy to ICOs

ICOs are here to stay and there’s not much that traditional institutions can do to stop it – of course, governments can always find ways to regulate the space. ICOs make it easier for entrepreneurs to raise funding for their idea – and that, in a world where it is increasingly hard to sell new products and services. For existing businesses, however, ICOs represent a smart way to raise funding with the Ethereum smart contracts that differ the coin from other cryptocurrencies such as Bitcoin, ripple, etc. Without giving up equity or subjecting your company to the scrutiny required for public companies. Investors in an ICO, while not necessarily getting equity in utility tokens, also get a first-mover advantage to buy such tokens at a discount before the forces of demand and supply determine their fair market value.

Choosing the ICO route is smart because crypto investors are more willing to fund ideas than Wall Street investors. In Q3 2017, the number of ICOs totaled 1,602 whereas the number of angel and seed funding for tech startups was 150.

Interestingly, some existing traditional companies are choosing to ignore Wall Street to raise fund from the cryptocurrency markets through the instrumentality of ICOs. When people think ICOs, they usually only think about startups, existing companies can leverage ICOs access capital to pursue expansion into new markets, new product categories, or pivot into an entirely different business model.

ASK.fm, the largest question and answer social network in the world is another existing company that wants to pivot to a blockchain-based business model.Ask.fm is reportedly pushing for an ICO as it seeks to transition into the world’s first incentivized, decentralized Q&A social network. ASK.fm wants to build a platform on which users are rewarded with tokens for providing quality content. Instead of being an ad-supported site or using a freemium model, ASK.fm wants to use blockchain technology to create wealth on its platform with a game theory mix of token incentives and influencer reputation.

The Telegram ICO is the most popular example of an existing company leveraging blockchain technology to access fresh capital. Telegram’s ICO story is the stuff legends are made of – the firm initially raised $850M from 81 selected investors during its presale; then it went ahead with another round of presale in which the total amount it raised surged to $1.7B. The presale was a massive success such that Telegram didn’t even bother about pursuing a crowd sale.

Kodak is another existing company planning to launch a blockchain-based image rights platform called KodakOne. The firm has already raised $10M in the pre-sale rounds of its Kodakcoin and it is on track to raise another $50M in its crowd sale. Kodakcoin is particularly interesting in that it hasn’t been determined yet if it is a token or a security. The firm is leveraging the Simple Agreement for Future Tokens (SAFT) model that gives buyers the right to a certain number of tokens at a future date.



ICO market by the numbers

The all-time cumulative funding in the blockchain-powered Initial Coin Offering (ICO) industry has reached $13.89B as the total number of live projects in the cryptocurrency market hits 1627. Brave, founded by former Mozilla CEO Brendan Eich, raised $35 million in less than 30 seconds, Status.iM raised $100 million three hours, Telegram raised an unbelievable $1.7 billion in private sale even before its fundraising made it to the crowd sale stage. In fact, the 10 shortest ICOs (happening under 30 minutes) raised an average of $300,000 per second (see chart below from EY research).

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Unfortunately, the campaign of calumny that Wall Street is waging on the cryptocurrency industry seems to be succeeding. In the U.S., government agencies such as the SEC are calling for increased regulation of ICO and traditional ad networks such as Google and Facebook have banned ads promoting ICOs and cryptocurrencies. China has placed an outright ban on crypto and ICO websites and cryptocurrency exchanges are no longer welcome in the Chinese mainland.

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Interestingly, most of the ICO projects in the market tend to originate from the United States, Russia, and China, despite all the negativity. Since ICOs debuted as an alternative way to raise funding, 1,031 ICO projects have originated from the U.S., 310 ICO projects came out of China, 260 ICO projects surfaced from Singapore, Mainland China was home to 256 ICO projects, and Hong Kong birthed 196 ICO projects.

Don’t Miss the Chance to Get $2,500 for Mobile Start-up Promotion From Digital Agency BDCenter!

The industry is developing quite fast. Telegram, Snapchat, Instagram – the list of start-ups that have won the trust of the global user is endless. Digital agency BDCenter opens a new mobile applications direction and is ready to support young projects. The company will give $2,500 for the promotion of a startup which is developing mobile applications.

There are a lot of talented young teams that create worthwhile products. But very often they don’t have financing for promotion and good marketing, – emphasizes the BDCenter CBDO Pavel Mukhin. – We want such projects to be able to present their application to a global audience and are ready to help.

Any startup that has a complete team and a ready mobile application can participate. Applications can be sent here. The deadline is on the 1st of July 2018, the winner will be announced on the 10th of July 2018. BDCenter together with the project team will work on a promotion plan for the product and will also participate in its development and further implementation.

About BDCenter Digital Agency

BDCenter is a digital agency based in Minsk, Belarus that specializes on digital marketing, PR and consulting. The agency mainly works with start-ups, IT companies, and blockchain projects.