Digital security alert, tokenized gold, further blockchain adoption, and Bitcoin mining difficulties. News of this week in BTCMEX review.
Break’N Crypto - Fintech news by BTCMEX
Beware! It’s a scam!
The number of hacks and digital privacy threats has risen with the evolving digital activity due to the worldwide coronavirus lockdown. Cybercriminals are finding new ways to execute cryptocurrency-related scams. False crypto claims, fake QR-codes, and sophisticated malware emerged across the web along with the rising trading volumes and crypto-related Google searches.
Taking advantage of the current situation scammers are developing false Bitcoin, BTC, donation channels, fake maps of coronavirus spread and numerous programs aiming to steal private data and crypto wallet keys. Security regulators have already issued warning notices to citizens across the globe.
The new wave of hacks has attacked not only individual users but is targeting businesses. Hackers are using the unprecedented opportunity of chaos and panic to probe weaknesses in information technology systems. Blockchain and cryptography now has a chance to prove its efficiency in defending digital attacks, as companies are looking for new solutions to enhance digital security along with online privacy.
“Gold is the new Toilet Paper” - Max Keiser
Meld Gold is an emerging Australian startup that is catching the attention of investors looking for alternatives. The platform is to offer digital ways to buy and sell physical gold within a secure and transparent procedure. According to the company’s strategy, each token represents one gram of gold held across different companies in the network. Multiple businesses form a supply chain that backs and secures the token issuing. Meld is planning to spend the rest of 2020 on developing its wallet application and expanding the network.
Today’s investors are highly interested in alt-assets and diversification. In a recent Keiser Report, the ultimate pro-BTC host compared the performance of gold and Bitcoin markets, making a new controversial statement, that gold is the “toilet paper” for the rich, Bitcoin - for the poor.
Despite the coronavirus outbreak slowing down blockchain projects in China, the city of Shanghai performs as the leading spot adopting technological innovations. Shanghai Gas, the 150-year-old municipal company announced blockchain adoption with a successful trial partnership with supply chain management blockchain firm, VeChain. The holding that supplies more than 90% of Shanghai’s gas has moved to “a trust-free Energy-as-a-Service” ecosystem development.
National Blockchain Alliance has been created in South Africa. The organization has carried out an online live stream launch, the originally planned has been canceled due to the global health crisis with the nationwide 21-day coronavirus lockdown. The Alliance falls under the jurisdiction of the Department of Science and Innovation of South Africa.
“There is a lot of venture capital out there, we need to provide support to startups in the country. There are new job opportunities and a chance for new economic participation. Satoshi’s paper was looking at democratizing economies. In South Africa, that has worked, there are even people in deep rural areas that buy and trade cryptocurrency using smartphones.” - stated the project leader, Akhona Damane.
Binance is buying CoinMarketCap? The rumor was spread fast among the crypto community on Twitter. Changpeng Zhao, founder and CEO of Binance, did not give any official statements but admitted that the company has been in talks with CMC for a few months. The deal is expected to be closed in April and cost Binance $400 million, but Zhao said that the company cannot disclose the amount of the deal officially.
The future of mining is questioned
The “coronavirus-triggered” Bitcoin selloff on March 12 has lead the 16% hash rate drop witnessed two weeks later. The drop had several consequences on the Bitcoin network, as miners risk to become unprofitable due to the upcoming Bitcoin halving. As Cointelegraph reported earlier this week, a mining industry insider confirmed that more than 40 established mining operations have been forced to shut down in China.
“I think COVID has influenced hash rate drop because it has disrupted global supply chains. So miners are not getting rigs quick enough. The difficulty adjustment was much greater because next-gen rigs have been delayed due to COVID-19.” - said Matt D’Souza, the CEO of Blockware Solutions.
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