Last week saw Bitcoin cross the $4000 mark for the first time in a continuation of a long-term bull-run that has seen it rise from just under $1000 at the turn of this year. Naysayers are drawing comparisons to investment bubbles from years past that were succeeded by crashes: Great Tulip bubble, dot-com & housing, while advocates are pointing to the intrinsic properties of cryptocurrencies finally being reflected in their price.
The last year has seen the ICO become the preferred means of capital acquisition in the crypto industry, with more than one billion dollars of funding raised. While many praise ICOs for their easier access to capital, the SEC has a differing opinion to the many proponents who claim ICOs should be exempt from securities laws that require additional regulatory oversight. Generally ICOs do not issue rights to any equity or future earnings from a project or organization, which begs both a question about intrinsic value, and what mechanism beyond speculative trading could make ICO tokens fairly considered an “investment” or “asset” at all.
Since Bitcoin became the first decentralized cryptocurrency in 2009, digital currencies have been discussed a lot in the media. Much of that discussion has been about the volatile nature of their price. The recent burst of industry growth has not gone unnoticed, and many farsighted investors now see Bitcoin and other currencies as excellent opportunities to make big returns. Many investors, however, find that that their lack of technical knowledge can inhibit their ride to the top.
This is partly because cryptocurrencies don’t have central banks regulating their value, and partly because the global economy doesn’t yet price its denomination. Much of this cryptocurrency volatility is the result of cyclical ‘subsequent’ consequences flowing on from what happens in the traditional finance sector. The internal causes within the uncharted territory of the network is anyone’s guess (but this article is to help you get an idea).
In the brave new world of cryptocurrency, previous performance is not necessarily indicative of future performance. Because the technology is so new, the performance data that due diligence normally requires does not exist in the same way it does for other markets and company stocks. For now, cryptocurrency markets remain speculative, which means investors must avoid emotional trading decisions, and accept their proclivity for risk. Part one and two of this series of articles looked at how money derives its value, and why some digital currencies become worth more than others. This installment of my investment series will help you improve your odds of investment success in cryptocurrency and its related markets.
Whenever I hear people talking about cryptocurrencies, much of the conversation always seems to focus on the unsustainability of fiat currency. The common assumption is that the word’s fiat currency system is eventually going to collapse. However, it’s rare to find anyone talking about how that will happen. What issues will drive that collapse, and – perhaps more importantly – how will we be able to recognize it when it’s happening? Because the answers to those questions seem to be so complex, most people don’t ever bother to address them at all. The truth is, though, that the real issues are simple to understand once they’re laid out on the table. This article will attempt to explain some of these complex financial matters in simpler terms to facilitate a greater understanding of the problem at hand.
The Bitcoin price earlier broke to a new all-time high, reaching $2911 USD before falling at press time to 2880, according to CoinDesk’s Bitcoin Price Index — a rise from it’s opening of $2569.23 at the beginning of the day, June 5th.
Did you know that digital currency is already providing a degree of monetary sovereignty for countries whose governments have abandoned their nation currencies – like Greece and other countries in Europe where citizens are forced to use the Euro? There is no denying that Bitcoin can fulfill this function up to a certain point. However, it’s important to consider whether the consensus of direction required for large-scale mass adoption is possible without a more centralized leadership model. After all, where money is concerned, individuals without a common set of interests will always look out for their own interests first and foremost. Strong and united leadership can not only aid in protecting the value of any cryptocurrency; it can also help to unite large groups of individuals and provide them with the common interests and long-term goals needed to help stabilize that currency’s value.
DNotes has announced that its upcoming DNotes 2.0 upgrade will include innovative features and applications relating to smart contracts, blockchain technologies, mobile applications, and global payments systems. The upgrade is expected to launch later in 2017, and the company is unveiling a new Bitcointalk Forum in preparation for the event.
DNotes Launches New Website – Aims to Bridge the Gap Between the Centralized and the Decentralized World.
After a period of relative silence as the DNotes team migrated from ecosystem building to technology development, the company recently launched its new website – showcasing one of its many initiatives to bridge the gap between the centralized and the decentralized world.
Bitcoin is not a ponzi scheme, pyramid, tulip bulb, or beanie baby, and despite over a hundred front page headlines claiming otherwise, it is also not dead. When we don’t understand a new concept, our minds try to connect it to something we are even slightly more familiar with. If throughout history we had always assumed anything new and innovative was a scam, and that everything (including money) should stay the same, we would still be living in the Stone Age and paying with pebbles. The name calling and proclamations of death have eased off somewhat, as the more tech savvy journalists and financial advisers have come to understand the significance of, at the very least, the technology behind bitcoin.
The Fourth Industrial Revolution is upon us, and there has been a dismal effort at best to prepare both students and the current workforce for upcoming jobs. Building upon the Third Industrial Revolution that among other things, first introduced us to digital technology, the Fourth will issue in an era of robots and automation, self-driving cars, nanotechnology, artificial intelligence, the Internet of Things, quantum computing, and for the sake of time, let’s just call the rest ‘smart-everything’. The speed of this innovational change is unprecedented, and will impact virtually every industry on a global scale. The Fourth Industrial Revolution will fundamentally change almost every aspect of our lives, making the need for basic digital literacy an issue that urgently needs to be addressed.
In part one of this series, I talked about how money derives its value as a medium of exchange, and how cryptocurrency could appreciate in value if adopted by a much broader user base. Currencies like Bitcoin are often used to escape local capital controls, process faster remittance payments, provide improved anonymity and security, and reduce transfer fees. However, Bitcoin—the largest cryptocurrency—remains a long way from mainstream adoption. A significant portion of any digital currency’s price value and demand is purely speculative and based on its potential future superiority over fiat money (government issued currency). Part two of this series will explore the main drivers of short-term digital money market volatility, and explore their emergent qualities in the more distant future.
Domestic governments who provide foreign aid need to start thinking about how a global digital currency could help provide more accountability for the money their taxpayers contribute to developing nations. Charities also need to be mindful of this new type of currency that is on the verge of being ready for mainstream adoption; carrying the potential to increase transparency for donors, digital currency is a topic they best be informed on. Backed by blockchain technology, cryptocurrencies are paving the way for comprehensive donation tracking, and have the potential to streamline audit efficiency. Fund distribution can be monitored in near real-time, therefore discrepancies or irregularities that look suspicious can be reported immediately. People would also be more likely to send money to private charities if donors could see the entire contribution making its way directly to those in need.
The global gaming market currently exceeds a market capitalization of 100 billion dollars, and is expected to steadily grow over the next 20 years. As of right now there is a tendency in the word of blockchain tech to overlook sectors like gaming, focusing instead on the financial industry. Gamecredits Inc aims to change cryptocurrency investors’ perspectives with the company’s latest announcement of its free to use API.
Regulation is a touchy subject in the bitcoin industry. Many cryptocurrency idealists who truly believe they are invincible to government reach, also believe that the lack of bitcoin-specific regulation gives them a free pass. They may be in for a nasty surprise when they find out just how long ‘the long arm of the law’ really is. Governments around the world already have an arsenal of catch-all laws that can be used to fight tax evasion and other illegal activities that attempt to hide behind the anonymity of some cryptocurrencies and related services.
Transparency versus anonymity has been a hotly contested debate in the cryptocurrency industry. The debate however, has mostly been framed by one side as a way to hide their activity from government and law enforcement. The other side has made the rebuttal that anonymity provides cover for illegal activities and terror financing; which they are certain we are all guilty of. The truth lies somewhere in the middle, and both sides raise some valid points.
Like many technological advances before it, cryptocurrency has spawned a rapidly developing industry. In this highly competitive field it is important to have every advantage you can get. Anyone can put together a team of individuals and give themselves impressive sounding titles, but few have watched the process of innovation take place first hand, because most are too young to remember the internet and personal computer booms, as well as the subsequent bubbles. The same cannot be said for DNotes co-founder Alan Yong, however – a man who has 40 years of business experience, including 20 years as a pioneering innovator in the software and personal computer industries.
His company, Dauphin Technology, went head-to-head with industry giants such as Apple computer Inc., Tandy Corp., and Motorola in the early days of the personal computer revolution. Since he has seen firsthand the trials and tribulations that projects in emerging tech sectors can face, he knows better than most how to avoid the pitfalls that threaten most entrepreneurs.
Are you considering an investment in Bitcoin? Or considering throwing some spare change at a promising alternative in the cryptosphere? Maybe unsure whether digital currency counts as ‘real’ money? The crypto-industry is rife with exciting developments, rapid environmental changes, and price movements that have made many people very happy, while news stories from less-fortunate people have caused would-be investors and consumers to question the long-term viability of digital money. Many people could have avoided harm if a comprehensive guide existed to inform investors with a base knowledge of cryptocurrency and a rubric for analyzing currencies that goes beyond the general myopic focus on short-term price speculation in the media. This multi-part guide has been compiled to make it easier to understand the value proposition of digital money, and to explain some of the factors that can affect its price and value over time.
The US regulation of digital currencies is out of date, impractical, and damaging to a potentially lucrative economy. The lack of unity in state regulations has created an unworkable system that makes the operations of Fintech (Financial Technology) companies complicated and confusing. A unified and clear regulatory policy would clear these muddy waters and benefit the digital currency industry, and have a positive impact on the American economy as a whole.
As DNotes celebrates its 3rd Birthday, Co-Founder Alan Yong offered his thoughts on DNotes’ long term vision to gain mass acceptance of digital currency and the blockchain technology that makes it possible. In his most recent remarks, Yong described this as a generational opportunity with world-changing implications.
In a new article published today, DNotes Global Inc. Founder Alan Yong has his own thoughts to share on the current climate for U.S. businesses – with a special focus on new startups. Ever the realist, Yong doesn’t shy away from reminding us about just how bad things have been for small businesses in recent years.