Coinbase is a U.S. crypto exchange which supports Bitcoin, Bitcoin Cash, Ethereum, Ethereum Classic, and Litecoin, which of course represent a fraction of the global digital currencies available. To become more globally competitive Coinbase will begin listing new crypto assets which are in line with local regulations. This is a significant change for Coinbase.
CNBC calls this a “documentary,” but it’s merely sensationalist entertainment. Although it’s not a sincere look at the world of Bitcoin or cryptocurrency, it does touch upon different perspectives, presumably to offer a hint of gravitas to a circus sideshow presentation.
When one contemplates the decline of journalistic standards, this serves as an apt example, replete with a clown, whom they feature as their expert character, versus a few serious characters whom are used primarily for sound bites. The main circus act is the female “finance journalist” who permits herself to be patently objectified. No #MeToo message here.
Charlie Lee is a computer scientist, best known as the creator of Litecoin. He serves as the managing director of the Litecoin Foundation and he also works for Coinbase.
The above video is Lee’s keynote presentation at the 2018 Litecoin Summit on September 14, 2018.
Lee preceded his presentation with a brief talk about the controversy surrounding the sale of his Litecoin holdings in December 2017 at the top of the crypto market.
As part of his primary talk, Lee discussed the energy use in Proof of Work mining as that which makes Litecoin and Bitcoin secure.
Lee compares Litecoin to Bitcoin as an analog to silver to gold, where Litecoin is silver and Bitcoin is gold.
He notes that we live in a fiat currency world and that’s not going to change for a while.
He describes the end game of Litecoin and Bitcoin as sound money that is also being used by merchants.
Lee presents a variety of graphs that show Litecoin has gone up exponentially, but the creation of blocks is unchanged at every 2.5 minutes and notes that the Litecoin blockchain has been working almost flawlessly.
He noted that Litecoin is adopted and supported by almost all exchanges and is already accepted by lots of merchants.
Lee also discussed future development, which includes the importance of sound money, as well as scaling and the desire to increase fungibility and privacy of Litecoin.
He described Litecoin as decentralized money and “people’s money,” referring to it as money that can’t be devalued or taken away.
When you think about Monero (XMR), think about privacy. Monero is an open-source cryptocurrency, created in April 2014, that uses a type of blockchain in which no outside observer can tell the source, amount or destination of transactions.
What that means for financial privacy advocates is good news: payments and account balances remain entirely hidden, which is not the standard for most cryptocurrencies.
The bad news is that makes Monero popular to those interested in evading law enforcement, or those on the dark web buying illegal substances.
Even the actual coins themselves differ in an important way from Bitcoin (for example). Each Monero unit is fungible. This means any two units of Monero can be mutually substituted and there is no difference between the two. Bitcoin is not.
As a further example, although any two $1 bills are equal in value, they are not fungible because each carries a unique serial number. On the other hand, two pieces of 1 oz. gold of the same grade are fungible, as both have the same value, and don’t carry any distinguishing features. Using this analogy, a Bitcoin is the $1 bill, while a Monero is the gold piece.
Monero, with its non-traceable transaction history, offers participants a much safer network and they don’t run the risk of having their crypto units being refused or blacklisted by others.
This panel discussion was held in Toronto at the Blockchain Futurist Conference in August 2018.
Panel speakers include Andrew Kiguel (Hut 8), Michael Bucella (BlockTower), Eric So (Globalive Technology) and Michael Hyatt (Hyatt Family Office). The discussion was moderated by Christine Lee, (Co-Founder & Head of Media, Blockchain Advisory Group).
Hyatt stated that people who were raising money via ICO’s in 2017 were doing something akin to crowdfunding. The future of blockchain financing is “show me” that you can make money, just don’t tell me you have a good idea.
Charles Hoskinson is a former co-founder of BitShares, Ethereum and Ethereum Classic and is a co-founder of Cardano. Hoskinson is currently the CEO of IOHK, a technology company that leads the development of Cardano (ADA) and Ethereum Classic (ETC).
In this interview he talks about solving real-world problems with blockchain and cryptocurrency, citing examples in Africa, where the interview was held.
Hoskinson refers to Cardano as part of a 3rd generarion of cryptocurrencies.
John Biggs makes the case that “Crypto is falling because the people in it for the short term are leaving. Long term players – the Amazons of the space – have yet to be identified.”
Having lived through (and been adversely effected by) the dot.com crash at the turn of the century, I see nothing more than a natural evolution of blockchain and crypto finding its feet while falling headlong into the chaos of a new financial and business framework.
A real market shakeout could establish the environment for sensible innovation to solve serious issues from fundamental direction of just how decentralized world commerce should be in coordination with the technical ability to quickly process the same commerce.
The technical stuff will be solved.
The policy and political stuff (or lack thereof) is a battle worthy of thoughtful consideration.
The opposing philosophies vying to shape today’s blockchain battles have the potential to define things well into the future. By the time much of the world has a chance to consider if blockchain and cryptos should be subject to more or less government regulation, the ramparts may have already been established.
Tokens that are readily available to trade on an exchange are more liquid than equity. Hence, tokens provided to early employees as an incentive for early support in a new company’s evolution are more beneficial to the employees, since they can convert them to cash right away.
Of course equity requires that employees devote themselves to the long-term success of the company to benefit from a liquidity event some day in the future. This would seem to better support the future of the business and hence the employees.
We’ll see how the new blockchain economy plays out with blockchain startups as time progresses.
Brian Armstrong is CEO of Coinbase, which has recently grown to over 500 employees (founded in 2012). Coinbase is working to establish an open financial system for the world that will create innovation, efficiency and economic freedom.
They aim to be the trusted, legal compliant place for people to trade crypto.
Coinbase is known for being the most popular exchange for converting fiat currency into crypto — most of the largest traded exchanges are crypto-to-crypto — but he foresees a future in which it plays host to a growing number of cryptocurrencies as it becomes standard for companies to create their own token, which runs alongside equity as an alternative investment system.
Armstrong states the investment phase is driving the crypto market but the utility of blockchain is where the long-term value exists.
Armstrong articulated that:
Web 1.0 was about publishing information, web 2.0 was about interaction and web 3.0 is going to be about value transfer on the internet because now the web has this native currency and so applications can be built that instantly tap into this global economy on the internet.