buterin

  1. Home   /  Search results for buterin"

Search Results For: buterin

dogecoin doge
30 Nov 0

Dogecoin gains 25% in a week! What is behind the move?

Popular cryptocurrency meme token Dogecoin ($DOGE) recorded record 25% gains in the last week as Twitter CEO continued to update his followers on what the future might have in store for the popular social media platform.

As well as the distinct possibility of Dogecoin being used for micropayments on the site, Musk was quick to remind his followers that all being well, lunar satellite DOGE-1 will be going in to orbit in the first part of the new year.

Alongside other lunar payload IM-1/NOVA-C, DOGE-1 is to catch a ride with the SpaceX Falcon 9 which is set to take off from the Kennedy Space Centre, Florida on January 14th 2023.

The Doge moon mission was first announced by Elon Musk in May 2021 but delays related to the IM-1 lunar lander have mean that the project has been pushed back. The renewed interest seems to be behind last week’s surge in the price of Dogecoin.

Improved efficiency

The price of Dogecoin currently stands at $0.094 which with a market cap of $12.5 billion makes the coin the 8th most popular cryptocurrency in the world today. Despite a recent drop of 4.5% over the last 24 hours the price action for Dogecoin over the last 7 days makes the coin one of the top movers in the past week.

Elon Musk’s relationship with Dogecoin is well documented with previous tweets by the newly installed Twitter boss having a profound and immediate impact on the token price. As recently as 25th November Dogecoin rose over 8% in as little as 24 hours after popular cryptocurrency podcast host David Gokhshtein told his 700,000 followers that he believed that Ethereum co-founder Vitalik Buterin would soon be working alongside Elon Musk to improve the efficiency of Dogecoin.

Interestingly, Mr Buterin commented that Dogecoin developers ought to think of transforming to a Proof of Stake based blockchain in September 2021 stating that the current Ethereum code can be easily used for such a transition.

Micropayment

How the future pans out is anyone’s guess but given recent events it may be safe to say that the future looks bright for DOGE. If the launch of the Doge-1 lunar satellite goes according to plan together with the much discussed possibility of DOGE being accepted as a micropayment option on Twitter then we may begin to see Dogecoin exceeding its record highs of $0.68 which were recorded in May 2021.

Of course, any price rise must take into account macro economic factors and the rising rates of global inflation but safe to say, Dogecoin is one of the most funny projects in cryptocurrency right now.

Open your free digital wallet here to store your cryptocurrencies in a safe place.

Read more
Satoshi
stellar
6 Mar 0

Peercoin price surged of about 20%

Bitcoin, Ether, Dash and now also the Peercoin price: it seems that the market value of the whole digital currencies world is growing.

Recently, in fact, Peercoin price surged of about 20% in the latest hours.

In fact, at the press time, its value reached $0,477882 (22.49%) or 0.00037581 BTC (20.82%).

Also, Peercoin market cap reached $10 M a few hours ago.

Peercoin was the first digital currency to use the proof of stake  (PoS) consensus system back in 2012.

Peercoin was created back in 2012 by Scott Nadal and Sunny King. Sunny King, who also created Primecoin, is a pseudonym, a common behavior in the crypto community (do you remember who Satoshi Nakamoto is?).

Proof-of-stake’s protocol was created to solve the high energy  consumption of bitcoin.

The proof-of-stake system was also designed to solve vulnerabilities that could occur in a pure proof-of-work system.

For example, with bitcoin there is a good risk of attacks resulting from a monopoly on mining share. As Proof-of-stake becomes the primary source of coin generation, energy consumption decreases over time.

Ethereum and Casper

Now Vitalik Buterin – or the Ethereum blockchain creator –  and his Ethereum community want to exploit this algorithm to improve their technology. So, recently everybody in the digital currency world has heard about the proof of stake and Peercoin system.

Could this be one of the reasons for this Peercoin price growth? Is it a result for a growing curiosity behind the PoS tech?

How to store all digital currencies in only one place

If you want to trade, buy and sell different digital currencies, you may need a multicurrency wallet like the one provided by HolyTransaction.

Usually, if you want to store different cryptocurrencies you need a wallet for each digital currency you have.

HolyTransaction solves this problem as you can store more than 20 digital currencies in one place and within the same login details.

You just have to remember one password and you can have a full access to your digital currencies.

Also, HolyTransaction wallet provides you the following services:

  • Send your digital currencies to any address, even to addresses of other cryptocurrencies with instant conversion on the fly;
  • Receive transactions;
  • Exchange your digital currencies with any supported coins;
  • Make instant transactions between HT users;
  • Get real time exchange rates on the website;
  • Set OTP for additional protection.

Open now your HolyTransaction univeral wallet here. 

Open your free digital wallet here to store your cryptocurrencies in a safe place.

Read more
Amelia Tomasicchio
, ,
1 Sep 0

Microsoft Smart Contracts: a working group to improve security

microsoft_smart_contracts
Today the tech giant announced it is working on a project to improve Microsoft smart contracts security.
Called Kinakuta, this working group aims at making it easier for companies to use and develop smart contracts based on the blockchain.
Even if more and more businesses are increasingly expressing interest in blockchain based smart contracts, concerns about this kind of use case grew after the DAO collapse.
Since then, Microsoft decided to improve smart contracts security to avoid further issues in the future.
Marley Gray, Microsoft’s director of business development and strategy, in fact, believes that their project could reduce future risks.
“We feel there’s a huge opportunity here to involve the community. Kinakuta is the community building around Microsoft best practices and elsewhere, to collect best practices and tools and involve developers in creating these best practices.”
Gray explained that there are 35 developers and companies that the company decided to call for the Microsoft Smart Contracts group. These include the Ethereum Foundation, R3CEV and BlockApps.

Vitalik Buterin on Microsoft Smart Contracts

Vitalik Buterin, Ethereum Creator, commented that he doesn’t believe that this new project could necessarily stop future collapses like DAO.
“There will be further bugs and we will learn further lessons,” he explained in a blog post.

Microsoft Smart Contracts: a whitepaper with Harvard

Previously, Microsoft released a research realized with Harvard that explained how ethereum smart contracts will work.
This whitepaper proposes a method called “formal verification”, or the way to prove the correctness of a smart contract; also it proposes two tools to help verify smart contracts: Solidity and EVM.

Open your free digital wallet here to store your cryptocurrencies in a safe place.

Read more
Satoshi
27 Jul 0

Ethereum Hard Fork to prevent another DAO collapse

ethereum_hard_fork
Today Ethereum founder Vitalik Buterin released a new statement explaining that Ethereum Foundation will support the Ethereum hard fork, or the blockchain version that includes the hard fork.
The project’s goal is to allow investors to recover funds lost in the DAO collapse.
The DAO was the Ethereum Foundation’s most important project, holding at one time $160m in investor capital in Ethereum cryptocurrency.
The original Buterin statements was not so clear about how the Ethereum Foundation will support the primary Ethereum blockchain and the Classic one.

A new Ethereum Hard Fork to prevent attacks

But the foundation decided for the Ethereum hard fork, executed roughly one week ago, while indicating it would not seek to hinder progress on any alternative ethereum projects, such as Ethereum Classic.
“We recognize that the ethereum code can be used to instantiate other blockchains with the same consensus rules, including testnets, consortium and private chains, clones and spin-offs, and have never been opposed to such instantiations,” wrote Buterin in the announcement.
Also, Buterin encouraged the Ethereum Classic team to execute another hard fork to prevent other attacks by moving classic ethers to new accounts.

Open your free digital wallet here to store your cryptocurrencies in a safe place.

Read more
Satoshi
HTBannerOrange
31 May 0

Ethereum Micropayments: better than the Bitcoin ones?

Micropayments are one the most useful and important use-cases for bitcoin, but a similar system could arrive from Ethereum, a decentralized mining network and cryptocurrency created by Vitalik Buterin back in 2013.
Since the creation of Internet, micropayments have been impossible due to high fee costs and a lack of payment systems that could allow payments in decimals.
But with the invention of Bitcoin – so thanks to Satoshi Nakamoto – today there is a way to do micropayments, as the bitcoin has 8 decimals and payment fees are low; so it is now possibile to pay for digital contents and give a tip on the web.
In a study, the Wedbush Securities company predicted that bitcoin micropayments could be a $925bn market within the end of 2025.

Ethereum Micropayments

One of the first project to use the Ethereum network for micropayments was developed by the Heiko Hees, already CEO of BrainBot, a German startup that works in the smart contract and blockchain consulting sector.
His new project is called Raiden Network and could increase the Ethereum capacity.
Hees explains that his “Raiden network will scale up the Ethereum network from 25 transactions per second to more than 1 million transactions”. 
According to him, in fact, Ethereum could be the biggest provider of micropayments because of its speed and because the transactions would cost less than with bitcoin.
A current problem for the bitcoin users is that blocks take up to 10 minutes to be processed.
Conversely, the Ethereum blockchain needs about 15 seconds for each block.

Bitcoin Lightning Network

In bitcoin there is a similar project called Lightning Network that was released in 2015 by Joseph Poon and Thaddeus Dryja – but this project is not live yet.
Thanks to off-chain transactions- the developers explained – Bitcoin could become easier to use and bring the technology’s capabilities to the next level – also it could be solve the blockchain scalability solve, they said.
However, users can move the off-chain transactions back to the blockchain anytime they want, giving them the ability to end every interaction.

Multicurrency Wallet

<img src="/images/ethereumwallet.jpg" alt="Ethereum Micropayments" height="264" width="350" />
Normally, if you want to store several different cryptocurrencies (Bitcoin, Ethereum, Peercoin, etc.) you need to have ten different wallets, which is difficult to manage.
HolyTransaction want to solve this problem, unifying everything in a single account.
So, do you want to store Bitcoin and Ethereum ?  Open here your wallet for free.

Open your free digital wallet here to store your cryptocurrencies in a safe place.

Read more
Amelia Tomasicchio
, , , ,
huqwGgw normal
21 Apr 0

How Twitter can teach you about Bitcoin

Twitter is one of the most popular social networks in the world and there are over 307 million people that actively use Twitter.
Also, the greatest part of Bitcoin experts has a Twitter account; and this is a fact.
So, this is why you will find lots of info about Bitcoin on Twitter; you just need to follow the right people and bloggers.
Below you can read the full list of influencers you may need to follow on Twitter to deeply understand bitcoin and the blockchain.
This list was identified using measures like the followers number, engagement frequency, amplification, quotes by important writers, etc.

TOP INFLUENCERS

Open your free digital wallet here to store your cryptocurrencies in a safe place.

Read more
Amelia Tomasicchio
, , , , , , , ,
Immagine 2
4 Mar 0

Ethereum is bigger than ever

During the past months cryptocurrency Ethereum was growing fast, increasing its value and consequently its own popularity.
Today the Ethereum price is about $9 (0.022 BTC) and it undergone very few changes with an almost always upward price.
Just in the last day Ethereum raised its market capitalization by 26%, reaching almost $730 million, representing more than 10% of Bitcoin’s market cap.
This behaviour is truly important as Ethereum is proving to be much louder than the other altcoins, reaching the market capitalization of all the other altcoinsll together, excluding bitcoin.

Microsoft Corporation certified Ethereum

Some days ago a startup who provides Ethereum softwares, BlockApps became the first certified company on Microsoft Azure’s Blockchain-as-a-Service (BaaS).
Director of Blockchain strategy at Microsoft Corporation, Marley Gray, commented:
“The simple, rapid and flexible one-click deploy of Ethereum blockchain architecture launched on the Microsoft Azure Marketplace enables enterprises and developers to quickly deploy a certified blockchain environment on Azure.”

But, what is Ethereum?

Created in 2013 by Vitalik Buterin, Ethereum is a cryptocurrency and a blockchain platform who provides decentralized services.
  At the moment Ethereum is in the so-called Homestead phase, the second of the six phases of its rollout that they company planned. The other phases will be “Metropolis (Mist release), Serenity (proof of stake Casper plus abstraction, aka Ethereum 1.5), Ethereum 2.0 and Ethereum 3.0 that will focus on scalability”, commented Buterin during a recent interview conducted by Bitcoin.com.
Thanks to Homestead, said Buterin, “the risk of using the Ethereum platform is now substantially reduced”.

Open your free digital wallet here to store your cryptocurrencies in a safe place.

Read more
Amelia Tomasicchio
, , , , , , ,
devcon 1
29 Oct 0

Microsoft to Sponsor the Ethereum DΞVCON1 Conference

The Ethereum DevCon1 conference is set to take place on November 9th in London. In a recently published blog post by George Hallam, the Ethereum team announced that Microsoft would be one of the sponsors of the first-of-its-kind event. MIcrosoft and Bitcoin have had a somewhat strong relationship since the American company started accepting it last year. Now, it seems that “Bitcoin 2.0” technology like Ethereum is taking some of the institutional attention away from Bitcoin. Vitalik Buterin, one of the founders of Ethereum, commented on the sponsorship:

“DΞVCON1 is very excited to work with Microsoft and we look forward to having them in London.”Microsoft’s head of US Technology Financial Services, Marley Gray, explained more specifically why Microsoft had taken an interest in this international and decentralized technology event:“Microsoft is excited to sponsor and attend Ethereum’s DevCon1. We find the Ethereum blockchain incredibly powerful and look forward to collaborating within the Ethereum Community. We see a future where the combination of Microsoft Azure and Ethereum can enable new innovative platforms like Blockchain-as-a-Service. This will serve as an inflection point to bring blockchain technology to enterprise clientele”.

“Blockchain-as-a-Service” is a new term that we will undoubtedly hear more of in the coming years. Most everyone involved in the technology side of their business is familiar wit Software-as-a-service (SAAS) which has given rise to incredibly large corporations. In contrast, the service that the blockchain provides is removing the need for people and points of failure in the middle and back office. Smart contracts and blockchain-as-a-service obviously go hand in hand. What will be most interesting is if Microsoft’s potential use of Ethereum in their Azure platform is what finally prompts Amazon to get into the decentralized digital currency game. One can only hope.

Ethereum DevCon1 Is Bringing Interesting Companies and People Together… For a Better FutureAlready, it has been confirmed that not only will Microsoft be in attendance, but so will Nick Szabo. That is actually no surprise given that Szabo coined the term “smart contract” many many years ago and has become increasingly vocal on the internet as his pet idea has started to come to fruition. Smart contracts are a large part of Ethereum’s mainstream appeal, though the concept is still in the process of gaining momentum. The future prospects of robots and computers replacing humans for certain types of jobs has always been on the fringe of human imagination. The more you think about smart contracts, the more you realize that such a futuristic world couldn’t exist in a stable state without something like smart contracts. As panelists at the Money20/20 conference stated:

“Cryptocurrency is the most natural way for machines to pay machines.”

Bitcoin-inspired blockchain technology, of which Ethereum definitely is, has seen a lot of validation lately. Other Bitcoin-inspired blockchain technology like BitShares is also gaining traction, though not in the form of Microsoft sponsorships. Besides the fundraising and actual release of Ethereum’s Frontier alpha and a shaky first few days, the formation of a conference is a milestone that most “altchains” never achieve – not that there was any doubt that Ethereum would make it this far, anyways. After all, even Imogen Heap has even started using Ethereum, why wouldn’t Microsoft be next?

Open your free digital wallet here to store your cryptocurrencies in a safe place.

Read more
Satoshi
, , , , , , , , , ,
bitcoin 20 glass
1 Sep 0

Bitcoin’s revolution moves beyond currency

(CoinDesk) Just when people were getting used to the idea that bitcoin might not be a boom-and-bust fad destined for failure, entirely new applications of the technology have joined digital currency on stage.
Crypto 2.0 – also know as cryptography 2.0, decentralized applications, or, popularly, as bitcoin 2.0 – is the application of block chain or distributed ledger technology to things other than digital currency. The block chain offers the ability to facilitate decentralized ownership and store, transfer and process information in a decentralized, programmable way. Many consider that innovation to be the true value of this technology.
In May, New York-based investment firm Ledra Capital took to Twitter to crowdsource a list of what kinds of information the block chain could be used for. Currency transactions, of course, topped the list. But, it was followed by things like stocks, bonds, mortgages, land titles, gun permits, contracts, votes, bets, trademarks, data storage, domain names, proof of authorship and much, much more.
As Robby Dermody, co-founder of Counterparty, told CoinDesk:

“Bitcoin can be used to pay for things like a cup of coffee, but that’s not bitcoin’s ‘killer app’. To the average customer it’s just as easy to pay with their credit card. A killer app would need to offer massive advantages in another area.”

A community of developers and entrepreneurs recognize this notion and have been busy building out many crypto 2.0 concepts. Dominik Zynis, the former head of business development at Mastercoin, commented on the significance of this movement to CoinDesk, saying:

“We ought to be paying very close attention to crypto 2.0 because bitcoin has redefined how we launch web services.”

Zynis believes crypto 2.0 companies are laying the foundation for a new generation of “secure and scalable Internet applications” that will be more resilient to hacking, fraud, scalability and privacy problems.
Bitcoin’s role as a digital currency is still a work in progress, both at the code and implementation level, as well as on the consumer and institutional adoption side. Still, the wider impact of distributed ledger technology is beginning to rapidly take shape. Vitalik Buterin, co-founder of Ethereum, illustrated the movement’s broader vision to CoinDesk, adding:
“I think now might be the time when we have just enough cryptographic, crypto-economic building blocks to finally make a proper shot at advancing a radically different vision for Internet architecture and society.”

Rise of the decentralized exchange

A year ago it might have been hard to believe that in just 12 month’s time, a publicly traded company would be openly exploring the possibility of launching a cryptosecurity on a decentralized asset exchange.
Overstock.com CEO Patrick Byrne has been outspoken in his support of digital currency, and he recently told CoinDesk that Overstock intends to figure out how to launch a cryptosecurity so other companies can use their system to raise funds. Overstock published a wiki on 29th July that currently details 12 organizations that have either launched decentralized exchanges or are building them.
Among them, Counterparty, NXT and BitShares have exchanges that are operational right now. Counterparty has been live since January and NXT’s Asset Exchange since May, while BitShares’s platform is only a few weeks old. Each exchange’s implementation differs in various ways, but they all share common features, namely the ability to create and trade user-defined assets without the need for a centralized third party.
Company shares are an obvious application of these platforms. On NXT’s Asset Exchange, for instance, where more than 220 user-defined assets have already been created, digital currency exchange service Coinomat has issued a cryptoasset that offers shareholders a 1.5% dividend of the company’s weekly profits. This is really an example of a smart contract that is automatically confirmed and processed over a block chain.
Other current examples of block chain implementations include the Digital Tangible Trust, which offers a tradable gold-backed cryptoasset. Non-traditional assets are also emerging, like those being created by MyPowers, whose digital tokens allow people to buy and trade brand equity in artists and organizations. Other projects are moving beyond assets, like Pavilion, which is planning to utilize block chain technology to sign and publicly publish contracts.
Future goals for cryptoassets include smart property linked to physical assets; imagine a rental car whose key was tradable as a token on a decentralized exchange and downloadable to a fob that would unlock the vehicle. There are also plans to launch what are called decentralized autonomous companies (DACs) – namely by projects like BitShares – which operate autonomously on top of a block chain and earn profit for shareholders.

Decentralized applications will hide the block chain

Beyond assets, there have been efforts to utilize the block chain as a way to store data. Namecoin, an attempt to create a decentralized domain name registry outside the control of ICANN, was arguably the second implementation of block chain technology after digital cash transactions. More recently, efforts like MaidSafe and Storj have completed fundraising rounds.
MaidSafe is attempting to use the bitcoin block chain to create a fully decentralized internet by sharing processing and memory power across a distributed network. Its April crypto-crowdsale notably raised $7m in five hours, although, due to the poor liquidity of the Mastercoin it received, it soon revised that number to $5.5m.
Storj completed its crypto-crowdsale on 20th August, raising 910 BTC. The Storj platform offers online storage similar to Dropbox or Google Drive, but does so over a distributed network. Utilizing the bitcoin block chain, Storj allows users to buy available disk space on the network, and in addition, allows users with free storage space to sell it to those in need.
Shawn Wilkinson, founder of Storj and a bitcoin developer, noted the value of expanded applications of the block chain, saying:

“Essentially you can take the technology from bitcoin, which is a $5bn–$6bn industry, and apply it to an existing area like cloud storage, which is a $150bn dollar industry.”

With applications like Storj, Wilkinson pointed out, you move past things like regulation, public perception, price volatility and the complexity of the underlying technology. Decentralized applications provide a user interface whose back-end could be a traditional network but happens to be a distributed one.

Sidechains, treechains and a question of blockchains

One important point of contention within the crytpo 2.0 space is what block chain this next generation of implementations should be built on top of. In one camp are the organizations like Ethereum and BitShares that are building their own, entirely new block chains on top of which their platforms will operate.
In June, bitcoin core developer Gavin Andresen addressed the Ethereum project in a blog post and suggested that Ethereum’s intentions to create a new proof of work system and currency seemed extraneous at first blush.
He wrote:

“Bitcoin already provides a global currency and distributed ledger – there is no need to reinvent those wheels. Combining real-world information with bitcoin is where things start to get really interesting.”

Alternatively, BitShares uses a mechanism called delegated proof-of-stake (DPOS), where stakeholders delegate their voting power to 101 delegates that take turns updating BitShares block chain. Distributed proof-of- helps prevent known risks of proof-of-work, including risk of a 51% attack.
Other crypto 2.0 initiative are seeking to adapt the bitcoin block chain to scale more effectively, be less decentralized and allow for permissionless development. One such effort is through bitcoin core developer Peter Todd’s treechain concept, which Todd is developing while working at crypto 2.0 start-up Viacoin. Side chains are another potential implementation that will allow new features to be added to the existing bitcoin block chain through new block chains that interact with it.

Open your free digital wallet here to store your cryptocurrencies in a safe place.

Read more
Satoshi
, , , , ,
1 Jul 5

Deloitte: media ‘distracting’ from Bitcoin’s disruptive potential

A new report by Deloitte University Press says bitcoin has great potential to disrupt payments and other industries, but that the media may be “distracting” governments and businesses from the technology’s advantages.

(CoinDesk) The report, titled ‘Bitcoin: Fact. Fiction. Future.’ and authored by Tiffany Wan and Max Hoblitzell, points out that the media tends to focus on bitcoin’s volatility, government crackdowns and exchange meltdowns instead of “its potential long-term significance as a disruptive new money technology”. In addition, Deloitte UP sees potential for bitcoin in fields that are often overlooked even by proponents of the digital currency:

“Bitcoin is more than just a new way to make purchases. It is a protocol for exchanging value over the Internet without an intermediary. Much has been written about the payment applications of bitcoin, including remittances, micropayments, and donations. However, bitcoin could soon disrupt other systems that rely on intermediaries, including transfer of property, execution of contracts, and identity management.”

Bitcoin evolution and new use cases

The report argues that new use cases will emerge as bitcoin continues to evolve, opening up a new range of opportunities, along with new challenges for governments and businesses. Bitcoin, it says, has the potential to change the way governments regulate the market and enforce the law, while companies could continue to innovate and eventually change the way we conduct business and think about work.
“The sooner the public and private sectors understand the potential of this new technology, the better prepared they will be to mitigate its challenges and realise the benefits of bitcoin and other similar virtual currencies,” the authors concluded.
In the report, Deloitte UP explains how bitcoin, via cryptography, is used to create an open but securely authenticated
system, and why it has to deal with less overhead than the traditional payments system.
However, in addition to this general optimism, a number of fairly serious challenges facing bitcoin are also mentioned.

Speculation and regulation

Deloitte UP lists volatility, regulatory uncertainty, exchange security, transaction volume and ease of use as its biggest bitcoin
caveats. Speculators rank high on the list, adding to the volatility and creating the impression of a get-rich-quick scheme. Thus, they introduce more reluctance on the part of everyday investors. The regulatory environment still leaves much to be desired. Like speculation, regulatory moves have a big impact on the price, creating even more volatility.
“As governments begin to issue consistent guidance on bitcoin, businesses may become more willing to accept it as a form of payment,” the report says.
Security and ease of use are both seen as stumbling blocks for the emerging technology, and the authors clearly state that the system needs to be vastly improved to make bitcoin truly practical for the average consumer.
The conclusion is simple: mainstream users are unlikely to use bitcoin until wallet services develop more user-friendly and secure storage techniques. Cold (offline) storage does little to encourage users and, furthermore, goes against the basic principle behind digital currencies.
Another factor weighing down bitcoin is the relatively low transaction volume of about 60,000 transactions per day, which pales in comparison to Visa’s 150 million daily transactions. The bitcoin network would have to evolve and grow to accommodate mainstream transaction volumes, raising questions about bandwidth, storage and power efficiency.

More than money

However, unlike Visa and other credit card companies, the bitcoin block chain can be used for a range of different purposes.
Deloitte UP examines bitcoin as a payments system and as a way of transferring value across the globe at much lower fees than traditional systems. Bitcoin could thus disrupt the remittance market, valued at $514bn in 2012, according to the report.
This excerpt neatly sums up bitcoin’s benefits in payments:

“Today, if someone buys a donut with a credit card, the merchant pays an interchange fee to the credit card issuer. This interchange fee is usually a small flat amount (10-20 cents) plus a percentage of 1-3 percent. For a low-margin good like a donut, a 10- to 20-cent flat fee can approach 100 percent of the cost of goods. This interchange fee is often passed on to the customer. Using bitcoin, the transaction fee could be lowered to as little as 1 percent. This could ultimately evolve into a new payment system for credit card companies and banks.”

New use cases

In addition to remittances and payments, the authors say the bitcoin protocol could be used to simplify complex asset transfers, ranging from cars to securities. Using a frictionless system to transfer assets, backed by a public ledger, could eliminate the need for brokers, lawyers, notaries and similar services. Bitcoin could also be used for identity management and execution of
various contracts. Using the bitcoin protocol to manage identities would practically eliminate the possibility of forging identification documents and it would help put confidence artists out of work. A network operated by the government, a contractor or any other entity could verify anyone’s identity simply by scanning a bitcoin key.
“This system, based on cryptography instead of paper documents, would simultaneously increase mobility and security. If bitcoin can be used for travel documents, it could also be used for other forms of identity management like social security numbers, tax identification numbers, or even driver’s licenses,” says the report.
Another offshoot of the idea is the use of block chain technology to create and execute contracts. Traditional contracts could be replaced by digital contracts, essentially lines of code that self-execute when a triggering event occurs.
This could pave the way to new financial instruments, reduce legal fees, introduce more transparency into the financial industry and eliminate some of the paperwork that in practically every industry.
Vitalik Buterin’s Ethereum is mentioned as a new venture that combines registry and escrow functionality to execute the conditions of a contract automatically.
As for the future of bitcoin, Deloitte UP does not offer a clear conclusion. It outlines four possible scenarios, but indicates there are simply too many factors at play to pick any one of them.

About the publisher

Deloitte University Press – an imprint of Deloitte Development LLC – publishes original articles, reports and periodicals that aim to provide insights for businesses, the public sector and NGOs. It draws upon research and experience from throughout the Deloitte professional services organisation, and from co-authors in academia and business.
Newspapers image via Shutterstock

Open your free digital wallet here to store your cryptocurrencies in a safe place.

Read more
Satoshi
,

Most read articles:

FlypMe Banner

Recent Posts

Archives

Categories

FlypMe Banner

Copyright @ 2020 - HOLY STREET.
Made with ♥ by HolyTransaction