Bitcoin News — Reserve Bank

Five Petitions Pile Up Against India’s Crypto Crackdown – High Courts Ordered to Ignore

Posted by Kevin Helms on

Five Petitions Pile Up Against India's Crypto Crackdown – High Courts Ordered to IgnoreFive writ petitions have now been filed against the order by the Reserve Bank of India (RBI) banning banks from providing services to entities dealing with cryptocurrencies. The country’s Supreme Court has set a date to hear all petitions but has barred all other courts from accepting any new ones. Also read: US State Issues Emergency […]

The post Five Petitions Pile Up Against India’s Crypto Crackdown – High Courts Ordered to Ignore appeared first on Bitcoin News.

Read more →

Indian Exchange Takes Central Bank to Court Over Bank Ban

Posted by Avi Mizrahi on

Indian Exchange Takes Central Bank to Court Over Bank BanThe Indian bitcoin community keeps fighting for their rights to operate freely in the country like any other industry. The latest show of defiance is a petition to the court against the actions of the Reserve Bank of India by the operators of a local exchange. Also Read: SPI Solar to Host 5,000 Bitcoin Miners […]

The post Indian Exchange Takes Central Bank to Court Over Bank Ban appeared first on Bitcoin News.

Read more →

Bitmex Research: New Data Points to Noble Being Tether’s Primary Reserve Bank

Posted by Avi Mizrahi on

Bitmex Research: New Data Points to Noble Being Tether’s Primary Reserve BankOne of the biggest mysteries in the cryptocurrency world at the moment is the location of the vast USD reserves meant to be backing Tether. The stablecoin is used by many exchanges as a proxy for fiat in trading pairs which makes its solvency a critical issue at the heart of the entire ecosystem. Now, […]

The post Bitmex Research: New Data Points to Noble Being Tether’s Primary Reserve Bank appeared first on Bitcoin News.

Read more →

St. Louis Fed Sees Future in Crypto As Important Asset Class, Bitcoin As Digital Gold

Posted by Molly Jane Zuckerman on

St. Louis Federal Reserve publishes a paper on crypto and Blockchain, touting the importance of Bitcoin as a future asset class.

The Federal Reserve Bank of St. Louis has published a paper entitled “A Short Introduction to the World of Cryptocurrencies” with an overall favorable assessment of digital currency and Blockchain applications for the future.

The paper, written by Aleksander Berentsen and Fabian Schär, begins with a humorous comparison of the Bitcoin (BTC) system to the island of Yap. The small island population had to keep a virtual ledger of who owned what currency, because their units of value were large, almost unmoveable stones that would remain in one place, regardless of ownership, and could be lost at sea.

The researchers then go into technical detail of the mechanisms of Bitcoin mining, the mathematics behind hashing, and how the transaction consensus works, touting the usefulness of Bitcoin as an asset of the future:

“It is likely that cryptoassets such as Bitcoin will emerge as their own asset class and thus have the potential to develop into an interesting investment and diversification instrument. Bitcoin itself could over time assume a similar role as gold.”

The paper then forecasts the areas in which Blockchain technology will have the most effective applications, citing “colored coins”, a kind of meta-transaction linked to a BTC transaction, smart contracts, an application in which Ethereum currently leads, and data integrity.

The negatives of Blockchain technology applications, according to the researchers, are the potential for forks, the energy waste involved with mining, and the price volatility of a non-centralized currency.

The paper’s conclusion again highlights the potential for a new digital currency asset class:

“As an asset, however, Bitcoin and alternative blockchain-based tokens should not be neglected. The innovation makes it possible to represent digital property without the need for a central authority. This can lead to the creation of a new asset class that can mature into a valuable portfolio diversification instrument.”

In January 2017, Federal Reserve chair Janet Yellen spoke favorably of the possibility of the Fed using blockchain and the potential for easier global financial transactions, but offered no specifics as to how this could be implemented.

Read more →

Brazil & New Zealand Issue Statements, Cryptos are Assets or Securities in Canada

Posted by Samuel Haig on

Central Bank Round-Up: Brazil & New Zealand Issue Statements, Cryptos are Assets or Securities in CanadaDuring November, several central banks addressed bitcoin and cryptocurrencies. New Zealand’s central bank has issued a statement seeking to educate citizens of the fundamentals underpinning cryptocurrencies, as well as the implications of such on monetary policy.  The senior deputy governor of the Bank of Canada has stated that cryptocurrencies comprise assets or securities, rather than […]

The post Brazil & New Zealand Issue Statements, Cryptos are Assets or Securities in Canada appeared first on Bitcoin News.

Read more →