Category Archive: whitepaper

South Africa Bank will open to blockchain

According to a new announcement, South Africa Bank will open to blockchain and digital currencies.

South Africa Bank will open to blockchain

During a recent speech at a cybersecurity event organized in Johannesburg, governor Lesetja Kganyago revealed that the South Africa Bank will open to blockchain and other innovations.
Kganyago, who works at the Central Bank since 2014, commented that the South Africa Reserve Bank wants to use technologies that could help the bank to execute their mandate more effectively.
Kganyago explained in his speech:
“As a central bank, we are open to innovations despite the different opinions of regulators on matters such as cryptocurrencies. We are willing to consider the merits and risks of blockchain technology and other distributed ledgers.”
This news came after a position paper released a few years ago about digital currencies and blockchain use cases.

South Africa Bank Whitepaper on Digital Currencies

On this paper, the bank warned local consumers about the risks of using digital currencies such as money laundering and cyber fraud. However, it marked that it “does not oversee, supervise or regulate the VC landscape”.
Also, other institutions in South Africa revealed that they want to study and test the distributed ledger not only for fintech applications.

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

Satoshi

Bitcoin can win the competition with Fiat currency

Some days ago the researchers of the Federal Reserve Bank of Philadelphia released a new whitepaper in which they explained that bitcoin and digital currencies can win the competition with Fiat currency, or the government money.
On April 3rd, in fact, Jesus Fernandez-Villaverde of the University of Pennsylviania and Daniel Sanches of the Bank of Philadelphia published an interesting paper that answers the question: “can competition among privately issued fiat currencies such as Bitcoin or Ethereum work?”.

Bitcoin vs Fiat 

In this whitepaper Villaverde and Sanches try to explain how private and digital forms of money can interact (and could win the competition) with government-issued money.
To comment about this topic, the authors talked about the rise of the Internet, thanks to it, in fact, digital currencies such as Bitcoin or Ethereum can stand out in the competition with Fiat.
This is a comment of the whitepaper’s authors:
“Our model highlights how the issuing of a private currency is logically separated from banking. Both tasks were historically linked for logistical reasons: banks had a central location in the network of payments that made it easy for them to introduce currency in circulation”.

Downloadable whitepaper

Multicurrencies Wallet

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

Amelia Tomasicchio

How the blockchain could help email security

BitMessage

Every day we send thousands of emails and such communication has become a daily routine and a MUST for any person and company.

But options to secure communications are not so common and strong. Also, the existing services are too difficult for people to use and they should use a trusted channel.

  
This is the reason why it has been opened the open source project called BitMessage, a service who helps to decentralize and encrypt messages and solves the problem of trusting a third party security authority. 
But BitMessage doesn’t use the bitcoin blockchain, but a distributed ledger created by the BitMessage Community itself. 

How it works

Thanks to BitMessage and its wallet, you will be able to create a private key and your contacts will receive a string that look like a bitcoin address. 
This way you will have a long alphanumeric string among your contact lists instead of email addresses, and you need a proof-of-work to send your message, even offline. 
In fact, BitMessage proposes a system where customer uses a hash of a public key that it is the same as the user’s address. “If the public key can be obtained by the underlying protocol, then it can easily be hashed to verify that it belongs to the intended recipient. The data exchanged by the user can also include a version number for forwards capability, a stream number and a checksum”, explained the whitepaper. 

Here you can read the full whitepaper, in which BitMessage is described as a “peer-to-peer message authentication and delivery system” platform.


The invention

BitMessage was opened in November 2012 by Jonhatan Warren, who also created PyBitmessage, or the official instant messaging client for BitMessage.

Technical details

Its source code use Python as a language and the Qt cross-platform application framework; OpenSSL allows its cryptographic functions. BitMessage is available for Microsoft Windows, Mac OS and Linux.
Unfortunately, it is not available for mobile devices.

Download the latest version here !

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

Amelia Tomasicchio

Bank of England will create its own cryptocurrency

The Bank of England announced its decision to create its own digital currency.

The cryptocurrency will be called RSCoin and it will use the blockchain, the decentralized ledger where bitcoin transactions are written and executed.

More Centralized Control

RSCoin has been developed by researchers at the University College of London.

Of course, this new cryptocurrency will provide a more centralized control compared to bitcoin.

“RSCoin introduces a degree of centralization into the two typically decentralized components of a blockchainbased ledger: the generation of the monetary supply and the constitution of the transaction ledger. In its simplest form, the RSCoin system assumes two structural entities: the central bank, a centralized entity that ultimately has complete control over the generation of the monetary supply, and a distributed set of mintettes that are responsible for the maintenance of the transaction ledger”, it is said in the RSCoin abstract.

How could this be positive?

Even if RSCoin is centralized and the opposite thing of Bitcoin, we could say that it is positive as it means that worldwide Central Banks are starting to give importance to cryptocurrencies.

However, RSCoin has its own benefits: for example no double spending, non-repudiable sealing, timed personal audits, universal audits and exposed inactivity.

Read the complete documentation

Univerisity College of London researches George Danezis and Sarah Meiklejohn published an abstract about RSCoin.

The full whitepaper is intitled “Centrally Banked Cryptocurrencies”.

The abstract begins from the bitcoin history, to explain everyone the impact of the digital currencies not only in the finance world:

Recently, major financial institutions such as JPMorgan Chase and Nasdaq have announced plans to develop blockchain technologies. The potential impacts of cryptocurrencies have now been acknowledged even by government institutions: the European Central Bank anticipates their “impact on monetary policy and price stability”.

People’s Bank of China and its own cryptocurrency

In January 2016, the People’s Bank of China commented about its plans to launch its own digital currency and create a new financial infrastructure for the country.

The project started in 2014, when researches began to study cryptocurrencies related to business operations.

People’s Bank of China commented:

“The issuance of digital currency can reduce the significant costs of issuing and circulating traditional currencies, improve the convenience and transparency of economic transactions, reduce money laundering, tax evasion and other criminal acts, enhance the central bank’s control of over the money supply and currency circulation, better support economic and social development and aid in extending financial services to under-served populations”.

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

Amelia Tomasicchio