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It is wide known fact that private companies are hot pursuing the blockchain technology but it is interesting to know what governments are doing across Worldwide. While there has been downplay of all crypto events in recent times including crypto currencies and that can be well gauged by the fact that prices of all Cryptos are doing poor.

Very less people know that blockchain is in blossom season in China. Private industry in China whether mining or development is already heading straight North. But this time Chinese government has jumped in this competition in a big way and its notary has started using the blockchain, as we hear that China’s First Blockchain-Enabled Notary has been opened in Beijing, the capital city.

While launching the new initiative the director of the Beijing CITIC Notary Office Wang Mingliang pointed that he believes that blockchain-based notarization has both the value of notarization and legal significance of blockchain certification. The newly implemented system allows the certificate holder to verify the contents of the document by scanning a simple digital code. This unique blockchain integration in the Chinese notary industry will significantly prevent the forging of documents, and prevent fraudsters from taking advantage of legacy system and its asymmetries.

Another dignitary Hu Jiyu, a professor at the School of Business of China University of Political Science and Law, also professed that blockchain has the advantages of low cost, high efficiency, durability and stability. It is further reported in media that the Chinese city Guangzhou has issued a business license using blockchain and artificial intelligence technology. This is first blockchain and AI-powered business license in China. License was issued at the administrative center of Huangpu District, Guangzhou.

Readers should be aware that China is leading the world in the number of blockchain projects. There are some 263 blockchain-related projects in China, which means approximately 25% of the global blockchain projects are being researched and executed in People Republic of China. And clearly China is not dark horse in world as far as blockchain technology is concerned.

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IBM recently announced that it has developed a blockchain platform for banks to facilitate rapid clearing and settlement of global payment transactions. According to Bridget Van Kralingen, senior vice president of IBM Industry Platforms, the corporate giant is currently working to provide new ways to carry out payments efficiently in real time, even in very remote areas around the world. Real-time transactions that require optimization include foreign exchange, compliance verification, and settlement.

blockchain is a ledger where transactions are recorded and validated on a peer-to-peer network. Depending on the platform in use, consensus on the network is achieved in several different ways. However, no matter what type of consensus protocol is in place, the aim of using a blockchain is to deliver fast, transparent and secure transactions.

Currently, financial institutions are beginning to find relevant use cases for cryptocurrency, and with the functionality of platforms like Stellar, they have found ways to implement them. Due to the adoption of cryptocurrencies, banks can now carry out cross-border transactions in a secure, seamless, fast and cheap way. IBM already offers services to several banks including Australia’s National Australia Bank, Spain’s BBVA, and Indonesia’s Bank Danamon.

Traditionally, the process of sending and receiving cross-border payments is cumbersome, expensive, prone to errors and takes several days to clear. This is why IBM sees an opportunity to solve these problems by incorporating the Stellar Lumens platform. It hopes to reach people who have restricted access to bank accounts but not mobile phones. IBM —along with the Stellar Development Foundation, a non-profit blockchain organization, and KlickEX, the currency exchange— is well on its way to developing decentralized solutions for the banking industry.

ABOUT STELLAR

Stellar Lumens is a decentralized platform that combines blockchain technology with traditional methods used in the finance industry to facilitate international payments. It was released in 2014 by Jed McCaleb and Joyce Kim. McCaleb also co-founded Ripple (XRP) and released Stellar as a fork but subsequently created Stellar’s unique code shortly after release.

Despite the change in leadership, Ripple is currently the third-largest cryptocurrency with a market cap of $18.2 billion while Stellar follows closely in seventh place with a market cap of $3.5 billion. The Stellar Development Foundation, a non-profit organization that aims to fight poverty by making it easy for people in remote areas and developing countries to get access to money is also tied to Stellar.

The platform has anchored itself to the financial industry and presents its technology as the future of banking. By doing so, it will try to bridge the gap between the banking sector and blockchain technology. Its mission is to create the much-needed connection between individuals, banks and payment systems by eliminating risk through more straightforward and more secure transactions. Its digital token is known as Lumens or XLM.

According to Jed McCaleb, this new IBM partnership and implementation will create a significant change in the South Pacific region. Once it has been fully scaled through IBM and its banking partners, it has the potential to disrupt the traditional way money is moved around the world. This will improve financial inclusion as well as the efficiency of international transactions.

IBM AND BLOCKCHAIN INNOVATION

For a long time, IBM has added value to the financial world and has become a validated, permanent presence. The corporate giant has pioneered significant applications of Fintech, artificial intelligence, cloud technology and data science. However, it has seen the immense potential of blockchain and the unique opportunity it presents.

While IBM stands to gain a lot from this partnership, so does Stellar. The cryptocurrency market is associated with high volatility and risk—both qualities that individuals and banks run from. Since IBM is a reputable company, this alliance improves Stellar’s credibility. IBM also provides an extensive network of banks which Stellar may have otherwise had difficulties partnering with.

There are three main reasons why IBM has decided to provide financial institutions with enterprise level, Stellar-based products:

  • To validate the Stellar public network and show that it is indeed trustworthy and highly functional.
  • To facilitate transactions across borders using lumens as a bridge asset between various currencies.
  • To issue assets on the Stellar network.

IBM’S BLOCKCHAIN SOLUTION

The payments solution that IBM has created using blockchain is mostly focused on transforming cross-border payments. Typically, to carry out these international payments, banks maintain foreign accounts (Nostro accounts) in a local fiat currency. Whenever a transaction is carried out, the account is debited in a slow and capital-intensive process. Under IBM’s partnership with Stellar, banks will carry out international transactions using Lumen, Stellar’s digital asset. Local market participants will be tasked with converting the Lumens into their fiat currency, taking some pressure off the banks. Since clearing and settlement are addressed on the same network, settlement time is also significantly reduced.

Using a digital asset to improve payment is one of the best use cases for cryptocurrency and blockchain as a whole. The combination of clearing instructions, transaction details and a native asset on the same integrated network reduces the amount of moving parts that banks have to deal with. To achieve this complete integration, IBM uses the Hyperledger Fabric.

HYPERLEDGER FABRIC

The Hyperledger Fabric is an open-source network which houses different elements for financial transactions including a platform for building smart contracts. IBM’s blockchain implements the use of Stellar’s network and digital asset on the hyperledger to carry out transactions. The hyperledger is hosted by The Linux Foundation and allows enterprises to develop solutions to commerce issues. It has its own consensus mechanism, membership services, plug-and-play functionality and lets users keep part of their transactions private, unlike other blockchains. The technology was originally contributed by IBM and Digital Asset during its first hackathon.

WHAT COMES NEXT?

According to KlickEx, the new network has already begun processing live transactions across 12 “currency corridors” in the Pacific region including the UK, Australia, and New Zealand. As they continue to use the network, KlickEX has revealed that by 2018, they hope to have processed at least 60% of cross-border transactions. Financial institutions especially commercial banks have also participated in the development and deployment of the technology and were incorporated into the network at the beginning of 2018. IBM hopes to lead global transformation in the financial industry and promote inclusion in unbanked regions.

FINAL THOUGHTS

Businesses have faced problems when conducting cross-border transactions for a long time,  especially those that need to import and export goods. Before now, banks used inefficient ways to facilitate these costly transactions. The costs incurred by the banks were transferred to the customers, making it very expensive to conduct business. However, this partnership may solve these issues and make the process better.

Blockchain technology holds so much potential, but just like Apple co-founder, Steve Wozniak said, some of the current use cases and hype are similar to the dotcom era. Despite this, the substantial applications will outlive the crash of the bubble, just like the internet survived the dotcom crash. Large corporations like Amazon and IBM have focused on enterprise blockchain solutions as a way to stay relevant in the long run. Hopefully, these applications will stand the test of time and truly revolutionize the way banking is done.

If you like above article then Bloqtimes recommends below articles which might be of interest to our readers.

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• 10 Must Known Facts About Ripple

This article was first published on Mintdice. This article is republished with some updates under the terms and conditions of Bloqtimes and Mintdice Partnership.

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In-line with other Asian countries embracing blockchain technology and the virtual currencies it supports, Singapore Airlines has launched a blockchain technology based loyalty program to benefit its frequent flyers. The SIA Group announced the reward program on Singapore Airlines website during a July 24, 2018 press release. It mentioned that “KrisFlyer” – airlines frequent flyer programme has launched “KrisPay”, a miles-based digital wallet which enables patrons to convert KrisFlyer miles into KrisPay miles instantly for everyday spending at partner merchants all over the country.

According to Singapore Airlines, KrisFlyer has created a unique platform to give back to the patrons for frequently flying with Singapore airlines. With the introduction of a new digital wallet, users will be able to frequently and seamlessly convert their miles to indulge in everyday goods and services.

Customers can now download KrisPay on Apple store – for iPhone users and the Google Play Store – for android users. Post download, users can easily convert their KrisFlyer miles into KrisPay miles to begin shopping, with the miles carrying a legitimacy of 6 months before expiration. To further streamline their shopping experience, customers can now just scan the QR code at the desired stores to instantly pay with their accumulated miles.

KrisPay is the world’s first blockchain-based airline loyalty digital wallet. The technology has been developed through the joint collaboration between KPMG Digital Village and Microsoft.

The introduction of such a novel platform proves to be very beneficial to dedicated Singapore Airlines flyers. They can use a minimum of 15 KrisPay miles – approximately equal to S$0.10 – to purchase goods and services. By setting the minimum amount of miles to such a low amount of just 15 KrisPay miles, allows even the new flyers to become interested and benefit from their new program. This proves that Singapore Airlines is trying to expand and include more individuals and customers into their frequent flyers programs by providing such innovative incentives.

The line of goods and products that customers can avail from merchants using their new digital wallets is also expanding. To start with, KrisPay miles will be accepted at 18 sellers offering a wide array of goods and services: beauty, food & beverages, gasoline and retail to name a few. To further incentivize customers to avail this new feature, most merchants will be offering discounts during the launch and the start up of this initiative. Singapore Airlines also assured that they will continue to find and add new sellers to their loyalty program and launch new application features.

Following the launch period, it will be necessary to gauge the reception of the KrisPay application. Whether customers will want to convert their miles for a shopping experience or continue to use it for in-flight advantages and upgrades will surely be determined by the added incentives offered.

Singapore Airlines Limited is the most popular airline based out of the Singapore Changi Airport. It has continued to be ranked as the world’s number one airline and has won top spot as the “Best Airline in Asia.” Headed by Peter Seah Lim Huat – the Chairman – and Goh Choon Phong, the CEO, Singapore Airlines flies out to 64 destinations worldwide and has 125 airplanes in its fleet.

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Opera browser has a well-organized user interface, however; it is set up quite differently than the other browsers. It’s a good pick for people who want to use the same web browsing app on all their devices as it’s compatible with all types of gadgets and operating systems. The design and security features of the Opera browser are quite commendable. Alongside, it provides a great speed on any allocation of bandwidth. Whilst Opera doesn’t have a noticeable market capture in the browser market, it has been coming up with a wholesome of new technologies and innovations over the past few years.

Web 3.0

The term Web 3.0 is the latest pattern of web relation which is bringing about a revolution, not just in the way the websites are created, but also in the manner of interaction between people or developers. This new paradigm aims to make lives over the internet simpler and more instinctive with its provision of smarter services. For instance, Search Engine Optimization helps users find their perfect results faster with the aid of Artificial Intelligence, which focuses on the context of the search rather than the keywords contained in it. Web 3.0 is basically a distributed network created upon an Ethereum based blockchain.

Nevertheless, Techopedia was quite unerring in stating, “There is no concrete definition for Web 3.0 yet and the technology that will bring us there has not even matured yet.”

The Innovation

Opera has recently announced that it will launch the first of its kind inbuilt cryptocurrency wallet in its exclusive beta version on the Android operating system. This will help users transact in cryptocurrency without the requirement to open a new tab or extension. Initially, this notecase will support only the Ethereum cryptocurrency. Gradually, the other cryptocurrencies, including bitcoin, will be included. This launch will be built on the existing browser wallets and promises a simple interface to its users. Opera is thus using the Blockchain Technology in an innovative form. The entire expectation behind this project is to minimize the users entry impediments to Web 3.0, thereby, paving them a pathway to make progress in the world of blockchain and cryptocurrencies. WeiFund is another decentralized application which has been used on Web 3.0 enabled browsers with inbuilt wallets.

The Power of Blockchain

There is a multitude of utilities of the Blockchain Technology. Its ability to enhance the standard of services is unfathomable. No other technology in the market has the ability to work simultaneously on the security and the rectitude of information. Built on a multitude of technology platforms, DiscoveryIoT, led by Selvam VMS and Kumar T, is a flourishing startup which has come up with more than one revolutionary provision that will allow different companies to track their goods through blockchain, precisely alongside, giving equal importance to the factor of their intervals. Discovery aims to solve supply chain issues by implementing Blockchain with the convergence of IoT, AI, and Edge Computing. Their solution will soon be adopted by the several large players in the Consumer Products industry as it solves the current supply chain issues faced by them, in an affordable manner. The founder has quoted, “No other technology matches the level of transparency and security that blockchain offers; and these are two areas where supply chain requires a complete revamp. Hence blockchain was considered to be the most logical choice in building the stack to our supply chain solution“. As stated, the transparency of transactions and in addition a high degree of concentration on the data involved; are the stepping stones to a digitally sustainable and a better world.

Conclusion

This new move of Opera has come up much after the puff of cryptocurrency gradually perished off. The company is just trying to come up with some cryptocurrency-oriented features for its users. It had previously introduced an Anti-Cryptojacking software to show its users the good face of the Blockchain technology. This new innovation still stands out as the crypto wallet might soon become a common thing in every other browser down the lane.

Charles Hamel, the Opera product leader, stated:

We believe the web of today will be the interface to the decentralized web of tomorrow. By becoming the first major browser to open up to Web 3.0, we would like to contribute to making the internet of the future more accessible.”

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The Reserve Bank of India – RBI – told the Supreme Court that it must regulate all forms of cryptocurrencies as letting them continue unregulated could encourage “illegal transactions” and impact the “international flow of funds.” RBI is concerned that the use of cryptocurrencies in an unregulated manner makes it difficult to track and thus, has “immense policy dimensions” as articulated by the RBI senior counsel Shyam Divan to the bench led by Chief Justice Dipak Misra.

The Ministry of Finance’s Economic department has created an interdisciplinary committee headed by its secretary, Subhash Garg to examine regulatory framework for Bitcoin and other cryptocurrencies. The goal of implementing such a team is to keenly observe cryptocurrencies and come up with ideas for the types of regulatory structures that can be used to support its decentralized nature. However, it will take another three weeks for Subhash Garg’s committee to “respond to various petitions seeking such regulations in India.”

The matter of cryptocurrency regulation is a critical one and needs to be dealt by the apex court: India’s Supreme Court at the earliest. Gopal Subramanium – a senior counsel – supporting the argument of the petitioners against RBI’s motion, says that this is an urgent matter that should be expedited and concluded as soon as possible. He further argued that recent RBI’s circular that mandated banks, e-wallets, and payment gateway providers to withdraw support for cryptocurrency exchanges and other businesses dealing with virtual currencies in India was “baseless”.

According to Subramanium, cryptocurrencies ban and operations without regulation in today’s high tech digital world affects businesses and is an issue which the government should be involved in.

This is not Reserve Bank of India’s first action against the usage of digital currencies. In April, they released a memo banning “banks and financial institutions from providing services to any individual or business dealing with digital currencies within three months.” Most banks have followed the circular and discontinued their operations with cryptocurrencies platform effecting July 6.

However, all major cryptocurrencies companies came together and filed petitions against such ban. In order to refute RBI’s stance against cryptocurrencies, various Public Interest Litigations – or PILs – have been filed to challenge the Reserve Bank of India’s recent motion of disregarding cryptocurrencies as alleged means of transaction and payment.

The Reserve Bank of India, India’s central bank controls all policies concerning the Indian rupee which is why it might be pertinent to better understand their motivation and decision to want to declare virtual currencies illegal – should it remain unregulated. However, it is of great interest that the Indian public is pushing hard to legalize and integrate such digital currencies into the Indian society.

The Supreme Court has already pushed the date for final hearing on RBI’s motion to regulate or prohibit virtual currency dealings in Indian financial institutions. Previously, the apex court was meant to announce their verdict on July 29, but they have now decided to proceed with the final hearing on September 11. It is also rumored that the government authorities in India are debating whether they should label virtual currencies as commodities – preventing a total ban on cryptocurrencies.

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South Korea has launched a major initiative to provide tax breaks to various startups working in the fields of of innovative technologies – including blockchain technology – by committing to revise their current tax laws. By doing so, the South Korean government is providing a comfortable vantage point for start up companies associated with “the development of nascent technologies” to flourish according to a post on Coindesk.

During a meeting on July 18, 2018, a group of ministers from eight different government organizations devised a strategy for their new economic policy: a reduction in taxes for companies dealing with a range of 157 “new growth technologies” in 11 areas. It was also notified that the amount of final tax benefits will be further expounded on, during another meeting on July 26, 2018, with final implementation by first quarter of 2019.

According to the existing corporate tax laws in Korea, a company must allocate “more than 5 percent of the previous year’s gross sales to R&D and 10 percent of its R&D investment should focus on new growth technologies such as blockchain.” However, with the proposed policy the government aims to relax to these stringent laws by shedding light and acknowledging the fact that new companies usually are unable to generate enough sales to allocate enough money for investment purposes into their R&D. Henceforth, it was suggested that the percent amount required to R&D investment should be “changed to more than 5 percent of the current year’s gross sales” – not the previous year.

The Korean ministers have already announced their plans and strategies to promote blockchain technology in the country and also promised to reveal more information pertaining to the tax laws by the end of July. In a report news agency Yonhap reported that the new tax rule would apply to any blockchain company based in South Korea, irrespective of whether they are foreign or domestic.

The implementation of tax reforms to accommodate start-up companies affiliated with blockchain technology is usually a tricky path with lots of IFs and BUTs as observed in US and elsewhere. Yet, it will be interesting to see how the Korean government integrate these revised policies into their systems.

However, this is not South Korea’s first venture to publicly support the integration of blockchain technology or cryptocurrencies in their society. Just last month, the Ministry of Science and ICT released their strategy to work on expanding the field of blockchain technology locally. Their plans included investing 10 billion Korean won – approximately 9 million USD for speeding up the efforts. With such an investment, the main goal is to “improve the information sharing efficiency and transparency in the public services by using a blockchain based distributed network”.

It is not a surprising phenomenon that countries all over the world are now openly embracing blockchain technology as govts are catching up to blockchain technology future potentials and use-cases. With their inhibitions and questions answered, many worldly leaders are beginning to understand the benefits of including blockchain technology to better their economic goals and standard of living for their citizens.

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Stephen K. Bannon, the guy who helped Trump win 2016 US Presidential elections and who was the right hand man of Trump during presidential campaign was just asked a crypto question during CNBC “Delivering Alpha” event. Michelle Caruso-Cabrera, CNBC Chief International Correspondent & Co-Anchor of “Power Lunch” asked Bannon: “What does he think about the future of cryptocurrencies” to which he answered:

I think Cryptocurrencies have huge aspects in the future. Obviously, there are problems about markets they are used for. I like Bitcoin, I am invested in Bitcoin. 90% of ICOs are disasters. We are working on some utilities tokens potentially for the populist movement on a worldwide basis that we’re thinking about they’ve got to be, they have the quality. The problem is there has been too many investors blown out by things that were not thought through. But they’re the future.”

No need to be surprised that Bannon is fond of cryptocurrencies and openly declared he likes Bitcoin and currently invested in Bitcoin. He did mention about challenges and issues related to cryptocurrencies, which understandably are not uncommon to new technologies. He also mentioned that he is currently working on couple of utilities ICOs and he believes cryptocurrencies is the future.

Stephen Bannon is an American media executive, political figure, former Goldman Sachs investment banker, and the former executive chairman of Breitbart News. He was a former White House chief strategist and CEO of Trump campaign. While still in touch with Trump, he parted from white house after first seven months of Trump’s Administration, due to some policy differences.

Being a Goldman Sachs investment banker and with a profound understanding of geo-politics, Bannon’s positive remarks on cryptocurrencies and Bitcoin can be taken as a huge positive for cryptocurrencies.

You can watch Stephen Bannon’s views on cryptocurrencies in the below video.

Bannon on cryptocurrencies - YouTube

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Stablecoins: Bringing Stability to the Cryptocurrency Ecosystem

Cryptocurrencies are well known for their extreme volatility, as it’s not uncommon to see coins such as Bitcoin and Ethereum rise or fall by 10-20% in a 24 hour time-span. Although this level of volatility is beneficial to traders and investors, it also hinders cryptocurrency’s real-world adoption.

From a practical perspective, businesses do not want to transact in a currency marked by volatility and risk. It would be difficult, for example, to pay an employee’s salary in Bitcoin if the purchasing power of his paycheck is constantly in flux. Volatility also makes it difficult for consumers to make daily transactions using cryptocurrencies. Imagine Bob paying $7 dollars for a cup of coffee one day only to find out the next day that the same cup now costs $5.

Designed to tackle this issue of volatility, there’s an emerging class of cryptocurrencies known as stablecoins that present themselves as price-stable assets in an ever-fluctuating market.

At its core, a stablecoin is an asset that offers price stability characteristics that make it suitable as a medium of exchange, unit of account, and/or a store of value. As a currency, a stablecoin should be global and not tied to any centralized monetary authority that can control its supply. Stablecoins can vary by design, but the two most popular asset-backing methods are an IOU issuance model and a cryptoasset-collateralized model.

IOU Issuance Model

With this model, a business issues stablecoins at a 1-to-1 ratio to an underlying asset in its bank account (basically, each coin is tied to an existing asset in the bank). These assets can take numerous forms. For example, a corporation could have fiat currencies such as the USD sitting in its bank account, or they could back their stablecoins with physical assets, such as gold or silver. Issued stablecoins derive their stability and value from the fact that each token can be exchanged for the underlying asset, similar to how dollar bills used to represent a sum of gold under the gold standard.

Tether (USDT) is the most popular example of an existing stablecoin that utilizes the IOU model. Each USDT has a value equivalent to that of a single US dollar. Thus, to ensure that the value of a single Tether is always the same as the value of a dollar, for each coin that is issued, there must be a corresponding dollar in Tether’s bank account.

Tether: A very famous and widely adopted stablecoin

However, one limitation of this issuance model is that it is centralized. Individuals must trust that the issuing entity does in fact possess the underlying assets that are being represented with each issued stablecoin. This limitation has made itself clear with Tether, as Tether Limited, the company behind the coin, faces ongoing scrutiny due to its increasing supply and lack of third-party auditing to determine if the company possesses the funds needed to cover Tether’s circulating supply.

Cryptocurrency-Collateralized Model

Under this model, stablecoins are not backed by centralized assets such as the Euro or USD; instead, they are backed by digital assets such as Bitcoin. The key advantage to this model is that it can be established in a trustless manner. For instance, the underlying assets that back the stablecoins can be held in a trustless smart contract. Thus, the amount of assets held by the smart contract are transparent and can be independently verified.

A common concern with this model is that the underlying assets themselves, which in this case would be cryptocurrencies such as Bitcoin, are volatile, seemingly running contrary to the stablecoin’s purpose. As such, this method may often involve over-collateralization so that any price fluctuations can be absorbed. To give an example, a smart contract can be established to hold $400 worth of Bitcoin, which would serve as collateral for the issuance of $200 worth of stablecoins. However, there is always the risk that a black swan event could negatively affect a stablecoin’s underlying value. Such an event is likely to result in the under-collateralization and subsequent destabilization of the issued stablecoins.

Conclusion

Individuals within the cryptocurrency space are always searching for the catalyst that will result in the mass-adoption of cryptocurrencies. While there are many factors that can contribute to such an event, it is clear that tackling market volatility is crucial for facilitating mass-adoption. Stablecoins strengthen the use case for cryptocurrencies by serving as a non-volatile tool that can be used by both businesses and consumers to fulfill their monetary needs. Producing the perfect stablecoin that brings about mass-adoption is a difficult task, though, given the limitations inherent to both stablecoin models. Still, there are a number of promising stablecoin projects that are aiming to overcome these problems to bring about a price-stable cryptocurrency for the crypto ecosystem.

If you like above article then Bloqtimes recommends below articles which might be of interest to our readers.

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This article by Bisade Asolo was first published on CoinCentral. This article is republished with some updates under the terms and conditions of Bloqtimes and CoinCentral Partnership.

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Bitcoin has risen almost 10% in last 24 hours, showing really bullish signs. After opening at $6,739.65 price, BTC price is currently touching $7,392.07. If you are following cryptocurrencies for sometime, this sudden rise in BTC price is nothing sort of a new phenomena. Due to FOMO, in total the crypto markets have added close to $20 Billion in market value in just half an hour.

Thanks to bot activity, everything is a boring mirror image of everything that precedes it. The prices action just keeps repeating itself in an identical manner because the bots can’t get enough of the barts! So, the price will most likely continue trading sideways till it hits the downtrend resistance line and will then start falling down to a new low at $5,400.

Bitcoin USD Analysis, 16 July 2018

Don’t think for a second that shorting Bitcoin at these levels is a good idea. Unless you are a whale, there is a high probability that you may get wrecked. The purpose of this analysis is to indicate the direction of price action and point out the most likely scenario.

Of course, it is possible for Bitcoin to shoot up to $7,500 from here despite an overbought condition indicated by RSI. Is it possible? Of course. Is it likely? No. I would like to mention that I’m still super bullish on Bitcoin at this point. Only a fall and close below $6,000 on the monthly chart would make me lose my bullish bias.

Bitcoin Stochastic and RSI Signals

However, if you’re SHORTING don’t use high leverage. If you’re not doing anything, don’t chase the price upwards. It’s insanely overbought as you can see from RSI. You’ll be trading against the trend. Can’t stress that enough. Carefully, watch movement on RSI and Stochastic. All gains might soon get erased. Beware of whales and their pump and dump schemes.

If you like above article then Bloqtimes recommends below articles which might be of interest to our readers.

Is Bitcoin Price About to Crash?
Will Bitcoin Price Fall Further
Bitcoin Completes Alternating Cycles On The Sixth Of Month

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This article is published with analysis contributed by Fakhan

Disclaimer: Cryptocurrencies investments are full of speculative and market risks. This article is only for information purposes and not an investment advice. Please conduct your own thorough research before investing.

The post Don’t Get Fooled by Recent Pump, Bitcoin Might Touch New Low at $5400 appeared first on Bloqtimes.

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