Zář 02

Commodities In Fashion: GoldMint Gives Stale Trading A Blockchain Facelift

· September 2, 2017 · 12:10 pm

Commodities were once synonymous with old money and the elite, but in the age of cryptocurrency, they are making an unstoppable comeback.

Commodities in the Age of Crypto

In 2017, commodity trading focused on precious metals particularly is becoming vogue once again – but this time for anyone with Bitcoin holdings.

While commodities naturally come in more forms than metals – energy and foodstuffs, for example – it is gold that has found a natural rebirth as a tandem partner with cryptocurrency owners.

Gold remains stable. Despite its comparatively underwhelming performance versus Bitcoin for shorters, the metal fundamentally serves its purpose as a shield from fiat controls.

“The broad masses of the population are interested in buying stable assets backed by real gold, as most local currencies experience a devaluation against the dollar. Use of Blockchain  technology simplifies this process and makes it more transparent for all participants,” Dmitry Pluschevsky, CEO of Blockchain-based gold platform GoldMint explained to Bitcoinist.

‘Backed By GOLD’

Stemming from the cryptocurrency industry, an increasing array of startups are offering investors exposure to precious metals through the medium of digital tokens instead of brokers and dealers.

GoldMint is positioning itself as a advancement which will revitalize the tired pawnbroker industry and its reputation, offering trading and storage of gold assets combined with a gold-backed digital asset, GOLD tokens.

The ecosystem is designed to be self-sufficient, swapping human links in the chain for Blockchain-powered automation, principally in the form of a so-called Custody Bot which creates an immutable record of every operation.

The machine functions are an automated pawnbroker, storing, inspecting and weighing gold while remaining independent of third parties using Blockchain-backed data.

“We think it is very important to have direct proof of the commodity backing tokens,” CTO Konstantin Pichugin continued.

“Let’s imagine there is no any proof-of-assets protocol. It means nobody really understand how much commodity we really have. In this case nobody will trust us. Such token will be the same as USDT and only people who love huge risk would use it.”

Marrying Digital Tokens With Commodity Support

The concept of a commodity backing digital tokens is already not entirely new. Bitcoin holders have long been able to use their digital assets to hold gold and even take physical delivery of ingots to cut out third party storage altogether.

Like legacy commodities trading, GoldMint also uses exchange-traded funds (ETFs) to facilitate investor exposure.

As Blockchain technology progresses at a record pace, however, so are the solutions it can support, making the GoldMint Custody Bot a newcomer to the gold industry.

“GOLD cryptoassets have to be considered as a hedging instrument,” Pluschevsky added.

“While almost all cryptocurrencies are very turbulent, GOLD cryptoassets backed with real gold bullions and ETF have extremely low volatility.”

The project is still in its infancy despite the technology rollout, however, and an ICO (link to the ICO page) on September 20 is intended to launch GOLD onto the world stage and fund the roadmap for the next few years.

Participants will receive bonus token allocations for early participation.

What do you think about commodity trading’s comeback on the Blockchain? Let us know in the comments below!


Images courtesy of

Show comments

Share
Led 26

Venezuela Arrests 4 Bitcoin Miners as Trading Highs Continue

· January 26, 2017 · 6:00 am

1,094 views

Venezuela has arrested a group of Bitcoin miners for allegedly “affecting stability” of the country’s electricity supply.


Thirsty Work Causes Problems for Miners

As reported in local news resource Criptonoticias, four people running 300 machines to mine bitcoins are now in custody in Charallave, Miranda province.

The Venezuelan Scientific, Penal and Criminal Investigation Corps said that the operation, which also involved the selling of bitcoins on the country’s border, was having a negative impact on the national grid.

conasgnb2

“The modus operandi of these citizens was as follows: through the Internet they had more than 300 miners Antminers to obtain Bitcoins, which they later monetized using a commercial website,” Corps director Douglas Rico commented.

They then went on to market them on the Colombian Venezuelan border in Cúcuta, affecting the consumption and stability of electricity services in the area.

Mining Becomes Gray Area

Facing crumbling finances and a currency shake-up, it is no surprise that the demand for bitcoins and the authorities’ urge to protect resources is resulting in clashes. Despite there being no explicit laws against Bitcoin mining in Venezuela, it appears that even a relatively modest setup can be enough to overstep the mark.

Images from the offenders’ Instagram account show them to be using Bitmain Antminers which “appear to be of the S4 model, while others appear to be SP31 / 35 of the deceased company Spondoolies Tech (sic),” Criptonoticias continues.

1414588500_antminer-05

It is reported that a previous arrest of Bitcoin mining personnel in March 2016 resulted in a three-month detention followed by release.

While Trading Breaks New Records

Strangely, it is not everywhere that Bitcoin usage is being singled out by law enforcement, despite the ongoing economic chaos in the area.

As Bitcoinist reported in December, one online travel agent has even opted to abandon Venezuela’s fiat currency, the Bolivar, altogether and accept only Bitcoin for payment. The company, Destinia, stated it “had decided to operate exclusively in Bitcoins in order to further facilitate reservations by local travelers.”

Trading volumes meanwhile also continue to strengthen in the face of factors affecting Bitcoin such as China. Data from Coin Dance based on Localbitcoins shows the week ending January 21 was one of the biggest on record for Venezuela, volumes advancing again following fervent activity around the new year period. 

coin-dance-localbitcoins-vef-volume-4

The trend is being broadly repeated across other South American markets, with Chile and Brazil also climbing throughout January.

What do you think about the authorities’ arrests of Bitcoin miners in Venezuela? Let us know in the comments below!


Images courtesy of Shutterstock, Coin.dance, cryptomining.net, g4svenezuela.wordpress.com

Show comments

Share
Dub 13

CEX.IO Adds USD and BTC Ethereum Trading Markets

Source: bitcoin

Bitcoinist_Ethereum

Many people know CEX.IO as a platform to buy and sell Bitcoin in exchange for various fiat currencies. But the company recently announced a new addition to this platform in the form of Ethereum trading. This modern digital currency can be traded against both Bitcoin and the US Dollar as of today.

Also read: BIT.AC Launches Innovative Multi-Currency Crypto Wallet Platform

CEX.IO Adds Ethereum Trading Markets

It is always positive to see digital currency exchange platforms expanding their offerings, and CEX.IO is doing exactly that. The addition of Ethereum to their list of tradeable currencies is quite noteworthy, as users will be able to trade ETH against both Bitcoin and the US Dollar from now on.

In doing so, CEX.IO joins a growing list of digital currency exchange platforms which have added Ethereum trading in recent times. Bitfinex, one of the world’s largest Bitcoin exchanges, gave in and added ETH trading a few weeks ago, which was followed by exchanges in Korea and Japan shortly afterwards.

The CEX.IO exchange is keeping tabs on the current trends and demands by digital currency traders, and the addition of two ETH trading markets seems to be a smart decision. Bearing in mind how platform users can use their plastic cards to buy digital currency, this news opens up exciting opportunities for the Ethereum community.

Keeping in mind how the Ethereum price is currently in a slump, it will be intriguing to see how this decision by CEX.IO will play out in the long run. Digital currency traders have been selling their Ethereum across all exchanges for the past few days, which has lead to a decrease in overall market capitalization. However, Ethereum remains the second largest digital currency in the world, according to its market cap.

The biggest interest in the Ethereum ecosystem comes from developers who are exploring blockchain technology and smart contracts. The Ethereum ecosystem seems to lend itself towards the developer crowd, and CEX.IO decided it would be a good idea to add ETH trading and give everybody a chance to buy some Ether through convenient payment methods.

Based on the information we have received, CEX.IO servers over half a million users to this very date. Although the company has pivoted from their initial cloud mining business model, the exchange side of things appears to be a lot more lucrative for the UK-based company. Moreover, the platform is available in over 95% of the countries around the world, although availability in the US is limited due to FinCEN regulatory requirements.

What are your thoughts on CEX.IO adding Ethereum to their trading markets? Let us know in the comments below!

Source: Press Release Via Email

Images courtesy of Forex Bitcoin News, CEX.IO

The post CEX.IO Adds USD and BTC Ethereum Trading Markets appeared first on Bitcoinist.net.

CEX.IO Adds USD and BTC Ethereum Trading Markets

Share
Úno 16

BitMEX Adds China A50 Bitcoin Futures To Its Offerings

Source: bitcoin

Bitocinist_Futures Contract

Bitcoin traders have been reaping the benefits of arbitrage opportunities for many years now. In fact, there is a growing need for arbitrageurs and market makers, as they are the main providers of liquidity in any financial context. BitMEX, a platform specialized in trading Bitcoin derivatives, has integrated Bitcoin futures contracts with China stocks. This is a major step forward for the legitimacy of Bitcoin as a viable trading tool, both for investing and speculation across other markets.

Also read: Bitcoin Liquidity: Why Are we so Stingy?

China A50 Bitcoin Futures On BitMEX

It goes without saying that Bitcoin and traditional financial trading platforms could prove to be a very potent mix. The popular digital currency providers arbitrage opportunities to anyone in the world with an Internet connection. Traditional finance, on the other hands, is a vastly different creature, as not everyone can start trading futures on the China A50.

But that is no longer an issue, thanks to BitMEX and the Singapore Exchange. Especially this latter party deserves a bit of praise, as they launched a futures contract in USD on the FTSE China A50 Index a few years ago. If this foundation had not been available, BitMEX would not have been able to provide this type of functionality to its users today.

Investors have been jumping at the bit for an opportunity to go long or short on the Chinese market, and Singapore Exchange has provided them with exactly that opportunity. Particularly in these days of market volatility, there is plenty of liquidity to be found where these futures contracts are concerned.

BitMEX decided to jump on this opportunity and put Bitcoin in the mix of China A50 futures contract trading. By copying the contract terms of the same product offered by the Singapore Exchange, BitMEX opened the doors for traders with access to the SGX platform to diversify their trading strategies with Bitcoin. It hardly comes as a surprise to learn many Bitcoin users have been waiting for a hybrid futures contract option such as this one.

One thing to take into account is how the BitMEX China A50 futures contract will be open for trading 24/7. However, market makers will only be able to use the SGX futures price as BitMEX price during trading hours, which range from 00:45 AM to 6:00 PM in the GMT timezone. A detailed table of trading hours can be found here.

But There Is More!

As most market makers will be well aware of, the China A50 futures market is not accessible 24/7. During the “ceased trading” periods on SGX, BitMEX users will be able to choose from other China ETFs to trade with. However, there will be a certain period every day where no product is being traded using the China A50 as an underlying. If all goes to plan, this gap will be filled in the coming years, assuming BitMEX futures contracts become the new leading market indicator by then.

Last but not least, BitMEX has come up with a plan to incentivize traders to provide liquidity on this new futures contract. Passive and makers orders will both be subject to a trading rebate, and makers will earn a 0.10% “commission” on the Bitcoin value of their orders on each individual fill.

What are your thoughts on BitMEX offering futures contracts linked to the China A50? Let us know in the comments below!

Source: BitMEX

Images courtesy of Shutterstock, BitMEX

The post BitMEX Adds China A50 Bitcoin Futures To Its Offerings appeared first on Bitcoinist.net.

BitMEX Adds China A50 Bitcoin Futures To Its Offerings

Share