Connect with us
[crypto-donation-box]

Blockchain

What Are Privacy Coins?

Blockchain-based cryptocurrencies allow users to conductRead More →

The post What Are Privacy Coins? appeared first on Crypto Core Media.

Republished by Plato

Published

on

Blockchain-based cryptocurrencies allow users to conduct financial transactions in a decentralized manner. Beginning with Bitcoin (BTC), the first peer-to-peer (P2P) cryptocurrency, there are now more than 2,000 digital assets that may be exchanged between two different parties – without requiring an intermediary to settle the transactions. 

The blockchain, which is a type of distributed ledger technology (DLT), is used to share transaction data among a crypto network’s participants. Unlike the money transfers recorded on a bank’s ledger, which may only be viewable to the institution’s employees, the transaction details of most crypto transactions conducted on public blockchains are accessible to everyone.

Transactions Made with Most Cryptos Are Pseudonymous 

Block explorers, such as those provided by Blockchain.com, let users check transaction logs for bitcoin, bitcoin cash (BCH), ether (ETH), and other cryptoassets. However, block explorers only display limited information which includes the amount of cryptocurrency transferred between two (or more) parties and the public address of both the recipient and the sender. 

Timestamps, which record the exact time and date when a crypto transaction was made, are also viewable on block explorers like Etherscan. Transactions involving bitcoin, litecoin (LTC), and other decentralized digital assets are pseudonymous – meaning that they allow users to maintain a certain level of financial privacy. 

Using Personal Crypto Wallets Is Somewhat Similar to Operating An Email Account

For example, bitcoin transactions made between two different personal user wallets do not require that users submit identify verification documents. In most cases, opening a crypto account (by creating a wallet) can be as straightforward and simple as opening and operating an email account. 

Users may send and receive crypto through their wallets without sharing personally identifiable information or needing third-parties to finalize transactions. In order to make cryptocurrency transfers more private, digital assets such as Monero (XMR) and Zcash (ZEC) may be used to reliably conduct P2P transactions.  

Monero-based Transactions Shield Addresses of Senders and Receivers

Monero is a leading privacy coin that uses advanced cryptography techniques to shield the addresses of both the sender and the recipient in an XMR-based transaction. When making transactions on the Monero network, the amount of cryptocurrency transferred is also shielded (not publicly viewable). 

As explained by its developers, all XMR transactions, by default, obfuscate (or hide) both sending and receiving addresses and the amount exchanged between different Monero accounts. Referred to as “always-on” privacy, Monero’s development team notes that every XMR user’s activity “enhances the privacy of all other users.”

Monero Is Fungible, XMR Transactions Will “Always Be Accepted”

By design, Monero is fungible, which means that all XMR coins are interchangeable and they are also indistinguishable from each other. Fungibility is an important property as some cryptocurrencies including bitcoin may become “tainted” if certain BTC coins are used in illicit transactions such as money laundering. Merchants might refuse to accept these coins, however this might not affect XMR transfers since they are untraceable.  

As noted by its developers, by “virtue of obfuscation,” XMR-based transfers cannot become tainted due to “participation in previous transactions.” This means that transactions made through the Monero network are uncensorable as they will “always be accepted,” the privacy coin’s developers claim. 

Launched in April 2014 as a fully open-source cryptocurrency, the obfuscated Monero blockchain uses the proof-of-work (PoW)-based consensus algorithm to secure its platform and validate transactions. 

Zcash Transactions May Be Private or “Transparent”

Other major privacy-focused coins such as Zcash also let users perform shielded transactions which are controlled through a “z-addr.” The Zcash network also provides the option to conduct “transparent” transactions with its native ZEC cryptocurrency. 

Transparent ZEC transactions are similar to how bitcoins are transferred between two different crypto addresses. In these types of transactions, the amount of cryptocurrency sent and the addresses of the sender and recipient are shared publicly.

Disclosing Transaction Details for Auditing Purposes or Publishing Financial Statements

Launched in October 2016, the Zcash platform allows users to “selectively disclose” transaction details in order to prove that certain payments were made – which may be required for auditing purposes or preparing financial statements. Disclosing information related to ZEC transactions may also be required when filing taxes or complying with regulatory guidelines. 

In order to conduct private Zcash transactions, the cryptocurrency’s developers use a type of zero-knowledge proof (ZKP), known as zk-SNARKs. ZKPs only share certain details about crypto transfers that are required to prove whether a transaction meets a particular set of conditions. For instance, it may be possible to determine whether the transaction amount falls within a certain range, such as between $1,000 to $10,000, by using (implementing) zk-SNARKS – without knowing the exact amount.

Performing Untraceable Transactions with Dash

Dash (DASH), an open-source cryptocurrency that is managed by a subset of its network participants, called masternodes (or transaction validators), also allows users to conduct fast and untraceable transactions. 

Programmed in the object-oriented C++ language, Dash was initially released in January 2014 via a fork of the Bitcoin protocol. Dash platform’s governance is facilitated through a decentralized autonomous organization (DAO) that allows network participants to reach consensus regarding matters related to the ongoing development of the cryptocurrency.

Using “PrivateSend” to Conduct Private Dash Transactions

The Dash cryptocurrency can be mined via the PoW algorithm which uses the “X11” hash function. However, Dash’s masternodes may let users perform “InstaSend” transactions that can be carried out quickly – without requiring mining

Additionally, the “PrivateSend” option may be used to conduct confidential or untraceable Dash-based transactions. The Dash protocol “mixes participating users’ unspent [cryptocurrency]” – before performing a transaction. By mixing the transaction details of multiple DASH transfers, it becomes practically impossible to determine the source or origin of a transaction.

Privacy Coins Market Cap Surpasses $1 Billion Mark

The market capitalization of Dash, at the time of writing, stands at nearly $1.4 billion with each DASH coin trading at around $155.89, according to CryptoCompare data. Meanwhile, Monero’s market capitalization is currently around $1.5 billion – with XMR coins currently trading at $88.22. Zcash’s market cap is valued at $716 million – with ZEC coins presently trading at $104.07.

While Monero, Zcash, and Dash remain the most widely used cryptocurrencies that allow private transactions, there is a growing list of other privacy-oriented cryptos such as Grin and Pirate Chain (ARRR) that have introduced a new approach to implementing untraceable crypto transactions. 

Financial Privacy vs. Regulatory Requirements Aimed at Preventing Financial Crimes

Although many crypto enthusiasts prefer conducting private transactions, regulatory authorities are concerned that confidential digital currency payments may be used to conduct illicit activities including drug trafficking and money laundering. 

On June 21, 2019, the Financial Action Task Force (FATF), an intergovernmental organization that focuses on investigating financial crimes, announced that virtual asset service providers (VASPs) such as crypto exchanges must share customer account details with each other when funds are being transferred between different digital asset platforms.

Source: https://cryptocoremedia.com/what-are-privacy-coins/

Blockchain

Standard Custody takes new route to ‘qualified custodian’ status

It’s the first digital asset firm to receive approval on a de novo application for a New York trust license.

The post Standard Custody takes new route to ‘qualified custodian’ status appeared first on The Block.

Republished by Plato

Published

on

Standard Custody received its license to operate as a New York state-chartered trust on May 4, and it’s already making a play to gate-crash the institutional custody space.

Just days after its licensing, the firm announced the close of a $53 million Series B round for its parent firm, PolySign.

Cowen Digital Asset Investment Company led the round with a $25 million strategic investment. The two will also partner, with PolySign providing digital asset custody solutions for Cowen clients through its newly licensed trust arm, Standard Custody. Blockchain.com and Race Capital also participated in the round.

Through Standard Custody, PolySign is looking to fill a gap in the custody space. While many crypto firms are attempting to build all-in-one services, with exchange, brokerage and custody housed under the same roof,  CEO Jack McDonald says Standard Custody plans to differentiate itself by focusing solely on custody-based services for institutions.

Though Standard Custody plans to expand its range of services, McDonald says it will stop short of being an exchange unlike others in the custody space.

“We think that ultimately the institutions that are wading into the space, more and more of the traditional institutional asset managers, are going to want to see a segregation of duties there between exchange activity and custody activity,” he said.

That could mean hedge funds, family offices, endowments and exchanges could make up its client base going forward, but not retail-facing activities. Others serving the retail market have expressed interest in Standard Custody’s services, mostly due to its recent licensure. It’s the first to get approval for a de novo trust application in New York, and that’s positioning it to emerge as a favorable partner for a variety of clients, according to McDonald. 

To build out custody and escrow services, Standard Custody needed to be a qualified custodian. There’s more than one way to gain the distinction, but some fit better than others. To be a qualified custodian, firms can either become a registered broker-dealer with the Financial Industry Regulatory Authority (FINRA), a futures commodities merchant regulated by the Commodities Futures Trading Commission (CFTC) or you can be a federally or state-licensed trust bank.

For firms mainly looking to custody, it makes the most sense to become a trust but it’s recently become unclear how far a trust license extends outside state borders. The Securities and Exchange Commission (SEC) is currently seeking comment on how it should view state-licensed qualified custodians in the wake of a letter from Wyoming’s regulators. On the national level, Congress is still debating how much power the Office of the Comptroller of the Currency (OCC) should have to designate digital asset firms as national trusts and therefore qualified custodians.

Still, a New York trust license from the New York Start Department of Financial Service is the gold standard of state licenses. It’s the highest barrier of the state licensure frameworks, and also has more reciprocity than other states, meaning some other states recognize the New York trust charter and don’t require an additional license. Standard Custody is the first to receive a de novo approval, meaning it’s operating a new business as opposed to converting a previous entity like Gemini and Coinbase. That’s made it more attractive to businesses looking to set up shop in the U.S. without going through onerous regulatory frameworks.

“We do have a lot of interest in our technology from some of the more retail-oriented strategics out there and specifically wanting to tap our capabilities to business in New York and more broadly in the U.S.,” said McDonald.

© 2021 The Block Crypto, Inc. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

Coinsmart. Beste Bitcoin-Börse in Europa
Source: https://www.theblockcrypto.com/post/104979/standard-custody-qualified-custodian-raise-bank-charter?utm_source=rss&utm_medium=rss

Continue Reading

Blockchain

Chainlink price prediction: Chainlink retests $41, set to move higher?

TL;DR Breakdown LINK tests $44 resistance overnight. Support retested at the $41 level over the past hours. Next support at $40. Today’s Chainlink price prediction is bearish as the market moved lower after setting a lower high around $44. Currently, LINK/USD retests the $41 support, once it is broken, we should see further downside over […]

Republished by Plato

Published

on

TL;DR Breakdown

  • LINK tests $44 resistance overnight.
  • Support retested at the $41 level over the past hours.
  • Next support at $40.

Today’s Chainlink price prediction is bearish as the market moved lower after setting a lower high around $44. Currently, LINK/USD retests the $41 support, once it is broken, we should see further downside over the next 24 hours.

Chainlink price prediction: Chainlink retests $41, set to move higher? 1
Cryptocurrency heat map. Source: Coin360

The overall market trades with mixed results as Bitcoin trades flat around 0 percent, while Ethereum has lost almost 3 percent. Stellar (XLM) is among the best performers with a gain of 5 percent. 

LINK/USD opened at $41.5 after bearish close yesterday set a lower high at $48. Earlier today, another lower high was set around $44.5 after a retest of $41 support. Therefore, the market trades in an increasingly tighter range. Once the range is broken, we will see where the market is headed next week. 

Chainlink price movement in the last 24 hours

The LINK/USD price moved in a range of $41.08 – $44.61, indicating a moderate amount of volatility. 24 trading volume has decreased by 13.92 percent and stands at $2.2 billion. Meanwhile, the total market cap stands at $17.7 billion, ranking the cryptocurrency in 13th place overall.

LINK/USD 4-hour chart – LINK 

On the 4-hour chart, we can see the Chainlink price pushing to break the $41 mark once again. 

Chainlink price prediction: Chainlink retests $41, set to move higher?
LINK/USD 4-hour chart. Source: TradingView

Overall the market continues retracing from the all-time high set around the $53 mark on the 10th of May. The new all-time high was set due to a 70 percent upswing from the previous major support level around $31 set on the 23rd of April. Therefore, we could see similar performance over the upcoming weeks once the Chainlink price stops retracing.

Earlier this week, Chainlink made two separate waves lower, resulting in a total retracement of around 25 percent. The support around the $40-$41 mark has already been retested twice. Therefore, we could see the support break later today as bears continue pushing LINK/USD lower.

Once the support is broken, we could see LINK/USD move towards the next minor support, around $38. From there, the market could potentially start to reverse in a similar way as during the middle of April. 

Alternatively, if a further downside is rejected over the next hours and the $40-$41 support holds, we could see LINK/USD move sideways over the next 24 hours as it prepares a base from which to push higher early next week.  

Chainlink Price Prediction: Conclusion 

Chainlink price prediction is bearish as the market continues trading in a bearish momentum over the past days. Earlier today, another lower high was set around $44.5, indicating that bears are still in control, and we are likely to see LINK move below the $41-$40 support area early next week.

While waiting for further Chainlink price action development, read our latest guides on Litecoin mining software, Ethereum mining pools, as well as Ethereum mining software.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

Coinsmart. Beste Bitcoin-Börse in Europa
Source: https://www.cryptopolitan.com/chainlink-price-prediction-2021-05-16/

Continue Reading

Blockchain

Solana (SOL) Surges Into Top 15 as Price Breaks $50

Solana (SOL) has climbed into the top 15 following a new all-time high of $52.60

The post Solana (SOL) Surges Into Top 15 as Price Breaks $50 appeared first on BeInCrypto.

Republished by Plato

Published

on

Solana (SOL) has climbed into the top 15 following a new all-time high of $52.60

While the weekend saw relatively bearish price action for the majority of the market. SOL managed an impressive gain of over 20% to reach a new all time high. 

The project now sees itself being catapulted into the top 15 spot in terms of market capitalization. With a total market capitalization of $13.6 billion. Not bad considering it started the year priced at a measly $1.51. The recent all-time high now means that SOL has seen a 3,100% gain in 2021 alone. 

Source: Tradingview

Solana had previously been dubbed one of the projects that could potentially kill ethereum,

Solana hackathon commences 

The new all-time high comes off the back of the launch of Solana’s hackathon which began on May 15. The Solana Season Hackathon has attracted over 10,000 registrations to the event. The hackathon is set to run from May 15 to June 7. The event is offering up to $1 million in global prizes and seed funding for participants, including an all-star lineup of speakers. 

Solana has seen rapid growth within the crypto space in 2021. Having launched late in 2020, the project is now vying for a top ten spot after moving swiftly into the top 15. 

Solana is described on its website as “a fast, secure, and censorship resistant blockchain providing the open infrastructure required for global adoption”.

The project has already implemented key features to its ecosystem, including decentralized finance (DeFi) capabilities, non-fungible tokens (NFT), and a decentralized exchange (DEX). 

Price analysis

Previous analysis from BeInCrypto suggested that SOL was one of May’s top altcoins to watch. With technical analysis indicating the project could climb to suggested targets of $60 and possibly $68 in the future. 

Disclaimer

All the information contained on our website is published in good faith and for general information purposes only. Any action the reader takes upon the information found on our website is strictly at their own risk.

Share Article

Ryan is a Fintech specialist with a passion for cryptocurrencies and blockchain adoption. He discovered Bitcoin in 2016 when investing in a Ponzi scheme, and it was the best decision he ever made.

Follow Author

Coinsmart. Beste Bitcoin-Börse in Europa
Source: https://beincrypto.com/solana-sol-surges-into-top-15-as-price-breaks-50/

Continue Reading
Blockchain5 days ago

Billionaire Druckenmiller says ledger-based system could replace USD worldwide

Blockchain5 days ago

Bitcoin Vault inks major deal with ESE to co-produce Gaming & Esports Talent Show in five countries

Blockchain5 days ago

XRP Lawsuit ramifications: Is the SEC hurting the same community it vows to protect?

Blockchain4 days ago

First Spot: Coinbase’s App Surpassed TikTok, Instagram, and Facebook on iOS in the US

Blockchain4 days ago

Raze Network Kicks Off Testnet Phase With UI Community Voting

Blockchain4 days ago

dotmoovs Raises $840,000 From Strategic Investors and Partners

Blockchain5 days ago

The challenges with designing a CBDC, explained

Blockchain4 days ago

Casper Network’s CSPR Spot Trading Now Open on OKEx

Blockchain4 days ago

How did Internet Computer (ICP) become a top-10 cryptocurrency overnight?

Blockchain5 days ago

Block.one and partners raise $10B to launch EOS-based crypto exchange: Bullish Global

Blockchain4 days ago

When dollars meet the hype: The biggest NFT hits from celebrities

Blockchain4 days ago

PARSIQ Integrated Into Polkadot For Smart Triggers Across the Relay Chain

Blockchain3 days ago

US Investment Bank Cowen to Offer Crypto Custody Services

Blockchain5 days ago

Uniswap flips Bitcoin on daily revenue… and it’s more impressive than you think

Blockchain5 days ago

Polkadot, Cosmos, Bitcoin Cash Price Analysis: 11 May

Blockchain4 days ago

DeFi lending platform Aave reveals “private pool” for institutions

Blockchain4 days ago

From cypherpunk to state contracts: the changing face of blockchain

Blockchain5 days ago

TA: Ethereum Overcame Odds With New High, Here’s Why ETH Could Test $4.5K

Blockchain4 days ago

MoneyGram to Enable Users to Buy Bitcoin and Withdraw it From Birck-and-Mortar Locations

Blockchain5 days ago

eBay Now Allows the Sale of NFTs on its Platform

Trending