Tech
15 months after FTX, confidence in Web3 technology has never been stronger
MANHATTAN, NEW YORK, UNITED STATES – 2021/10/18: BlackRock offices in New York City. Founded in … [+] 1988, BlackRock, Inc. is an American multinational investment management company. (Photo by Erik McGregor/LightRocket via Getty Images)
LightRocket via Getty Images
The increase in institutional interest in digital assets and blockchain technology in recent months has come as a big surprise to many. After the epic meltdown that precipitated FTX’s bankruptcy in November 2022, the cryptocurrency market seemed terminally ill. There seemed to be trust in all the digital assets and the new Web3 technology irreparably damaged.
After 15 months, bitcoin prices are now reaching ever higher highs, thanks to the January approval of bitcoin ETFs by the US Securities and Exchange Commission (SEC). Blackrock’s bitcoin ETF was the Fastest growing ETFs in history to reach the $10 billion mark in funds under management, in less than two months, and is now lauded by many.
Larry Fink, CEO of Blackrock, has become the poster child for digital assets by declaring that “The next generation for markets, the next generation for securities, will be the tokenization of real-world securities and assets,” soon after the end of 2022 The BCG report claims that the potential for tokenization of global illiquid assets will represent an estimated $16 trillion opportunity by 2030.
Blackrock yes just launched a new tokenized fund that offers a stable value of $1 per token and pays daily accrued dividends directly to investors’ wallets in new tokens every month. The fund invests 100% of its assets in cash, US Treasury bills and repurchase agreements. The fact that the product was launched on the public Ethereum network represents a significant milestone for the market.
Last month issued by HSBC a $750 million (HKD6 billion) digital native green bond for the Hong Kong government on its Orion platform, the largest digital bond deal ever with over 50 global investors and in four different currencies (HKD, CNH , USD, EUR).
This recent launch of digital bonds follows a series of digital bonds issued by the European Investment Bank (EIB) over the last 18 months with financial institutions such as Euroclear, Goldman Sachs, SocGen, Santander, BNP Paribas and HSBC, to name a few .
Institutions are now embracing this new generation of technology and the market opportunities that come with it. Movements by financial institutions and their fintech partners to move digital asset projects from PoC to production about smart contracts and distributed ledger technology (DLT) started making headlines last fall.
While the move into digital asset money market funds and vanilla products such as ETFs demonstrates confidence in digital assets for retail clients, it is sovereign debt issued on DLT that is considered the real “first mover” in capital markets . This is the enabler for the next generation of digital financial market infrastructure (dFMI) for states to help digitally transform aging industrial economies into service-based economies and enter them into the digital space race.
How is it possible that digital asset markets have turned around so quickly in less than two years?
A slow burning relationship
Considering the time it takes for large companies to adopt this new technology, it must be recognized that the current interest in blockchain is far from new. Much of the activity taking place now has been in development for much longer than the short 15 months since FTX’s collapse.
The genesis of bitcoin may have enabled the launch of digital assets into the world, but the trigger for corporate interest in blockchain was the launch of Ethereum in 2015. At SIBOS 2015 in Singapore, Swift’s annual conference for institutions financial institutions, the big message was “blockchain is the future of finance”, delivered only to the CxOs standing.
Within a year, reports have emerged that JPMorgan was developing a licensed implementation of a new platform on Ethereum called Onyx. The surprising popularity of NFTs in 2021 marked another turning point for enterprise adoption as brands like Nike and Starbucks began making strategic inroads into Web3.
Over the past decade, public blockchain infrastructure has developed to the point that legacy issues such as scalability and privacy are starting to be better addressed by developers. Nearly a decade later, the 2015 proclamation “blockchain is the future of finance” is now starting to resonate.
While there is still much work to be done, the progress made has undoubtedly been a key factor in rising business confidence factors, even as markets have remained volatile.
Bentzi Rabi, co-founder and CEO of the institutional platform for crypto operations Use itagrees: “Historically, poor user experience in blockchain has arguably been much more debilitating to enterprise adoption than cryptocurrency market volatility. Now that we are starting to overcome some of the long-standing issues like scalability and interoperability, the focus is on improving UX and removing friction.
“The ultimate measure of trust and adoption is when blockchain and digital asset integrations of all types simply flow seamlessly alongside established business processes, delivering measurable improvements.”
From public to private with ZK
A fundamental change that has brought blockchain and business closer together is the advances made in privacy technology in recent years. The concept of trust in the Web3 space has always been centered around the ability to verify facts trustlessly, which effectively means publicly on a blockchain.
The emergency of zero-knowledge (ZK) solutions. has changed the situation, allowing the “trustless” verification of transactions and data without the need to transmit them over the blockchain network.
The most developed use case for ZK technology is currently rollups, used by Layer 2 platforms like Polygon and Immutable X to make Ethereum more scalable. While scalability is undoubtedly valuable to businesses and institutions, privacy applications of the technology offer great scope to make business processes more efficient while reducing compliance and operational overhead.
Mickael Canu, CEO of Ternoawhich is developing a zkEVM platform compatible with Ethereum and Polkadot, explains: “Today, companies collect large amounts of personal and corporate data at a very granular level, which presents enormous challenges in terms of storage, processing, compliance and cybersecurity. ZK technologies offer multiple ways to address the problem.
“Privacy-focused L2 platforms combined with trusted execution environments can help protect the most business-critical data from exposure. Identity solutions mean that personal data, which typically only needs to be verified and not necessarily collected (e.g. with a KYC check), they could be verified using zero-knowledge proof rather than entrusting the custody of documents and information to a company.”
This was announced by the Bank of England last year which was working with identity and payments company Nuggets to develop an identity and privacy layer for a future digital pound based on ZK technology. THE city of Buenos Aires also developed a digital identification protocol in a similar way. Initiatives like these effectively embed blockchain and ZK technology as a trust layer within established, familiar processes and entities.
Taming the AI beast
A key external factor is also set to play a role in solidifying blockchain’s role as a trusted business technology: the rise of artificial intelligence. The proliferation of AI tools and content has been so rapid that questions about the integrity of intellectual property regulations and the transparency of algorithms simply hang in the air.
Blockchain technology offers AI companies a way to fill some gaps by introducing transparency into their data and algorithms via a public ledger. Last year, enterprise blockchain company Casper Labs announced that it was partnering with IBM to develop a solution for transparency and “auditability” in artificial intelligence. The goal is to provide visibility into how AI models use data across industries, including finance, healthcare and retail.
William Simonin, President of Ta-daan ethical data collection and AI training platform that pays users to complete microtasks, believes blockchain poses a gauntlet for AI companies.
“The emergence and spread of AI-based assistants, such as Chat GPT, have opened the eyes of the general public to the power and immense usefulness of AI. In light of this, it becomes imperative to rethink and optimize our data collection methods. This is essential not only to support the rapid expansion of artificial intelligence in the coming years, but also to maximize its potential for innovation and progress,” says Simonin.
The relationship works both ways: AI can help improve trust in cryptocurrency and digital assets by spotting trends and issues in the market that humans may overlook.
Herbert Sim, Chief Operating Officer of the trading platform Webseastates: “Trust and information asymmetry are a big problem for the average cryptocurrency trader. Given the great complexity inherent in the markets, keeping track of all the variables and risks involved is beyond human capacity.
“AI tools are helping to level the playing field by processing large amounts of data to intelligently detect and assess risks and make recommendations or execute operations automatically based on set parameters.”
It may seem to some that the current institutional interest in Web3 technology is driven by another round of tech hype, although it’s pretty hard to beat AI on this front after the last year. It appears that smart money is building the foundation of trust in digital finance with this well-established technology.
Maybe, just maybe, smart money is starting to be part of a new decentralized finance social contract with society, and is proving itself capable of surviving the political and economic volatility that has emerged so far in the 21st century. Sit back, there’s a lot more of this story to come.
Tech
Harvard Alumni, Tech Moguls, and Best-Selling Authors Drive Nearly $600 Million in Pre-Order Sales
BlockDAG Network’s history is one of innovation, perseverance, and a vision to push the boundaries of blockchain technology. With Harvard alumni, tech moguls, and best-selling authors at the helm, BlockDAG is rewriting the rules of the cryptocurrency game.
CEO Antony Turner, inspired by the successes and shortcomings of Bitcoin and Ethereum, says, “BlockDAG leverages existing technology to push the boundaries of speed, security, and decentralization.” This powerhouse team has led a staggering 1,600% price increase in 20 pre-sale rounds, raising over $63.9 million. The secret? Unparalleled expertise and a bold vision for the future of blockchain.
Let’s dive into BlockDAG’s success story and find out what the future holds for this cryptocurrency.
The Origin: Why BlockDAG Was Created
In a recent interview, BlockDAG CEO Antony Turner perfectly summed up why the market needs BlockDAG’s ongoing revolution. He said:
“The creation of BlockDAG was inspired by Bitcoin and Ethereum, their successes and their shortcomings.
If you look at almost any new technology, it is very rare that the first movers remain at the forefront forever. Later incumbents have a huge advantage in entering a market where the need has been established and the technology is no longer cutting edge.
BlockDAG has done just that: our innovation is incorporating existing technology to provide a better solution, allowing us to push the boundaries of speed, security, and decentralization.”
The Present: How Far Has BlockDAG Come?
BlockDAG’s presale is setting new benchmarks in the cryptocurrency investment landscape. With a stunning 1600% price increase over 20 presale lots, it has already raised over $63.9 million in capital, having sold over 12.43 billion BDAG coins.
This impressive performance underscores the overwhelming confidence of investors in BlockDAG’s vision and leadership. The presale attracted over 20,000 individual investors, with the BlockDAG community growing exponentially by the hour.
These monumental milestones have been achieved thanks to the unparalleled skills, experience and expertise of BlockDAG’s management team:
Antony Turner – Chief Executive Officer
Antony Turner, CEO of BlockDAG, has over 20 years of experience in the Fintech, EdTech, Travel and Crypto industries. He has held senior roles at SPIRIT Blockchain Capital and co-founded Axona-Analytics and SwissOne. Antony excels in financial modeling, business management and scaling growth companies, with expertise in trading, software, IoT, blockchain and cryptocurrency.
Director of Communications
Youssef Khaoulaj, CSO of BlockDAG, is a Smart Contract Auditor, Metaverse Expert, and Red Team Hacker. He ensures system security and disaster preparedness, and advises senior management on security issues.
advisory Committee
Steven Clarke-Martin, a technologist and consultant, excels in enterprise technology, startups, and blockchain, with a focus on DAOs and smart contracts. Maurice Herlihy, a Harvard and MIT graduate, is an award-winning computer scientist at Brown University, with experience in distributed computing and consulting roles, most notably at Algorand.
The Future: Becoming the Cryptocurrency with the Highest Market Cap in the World
Given its impressive track record and a team of geniuses working tirelessly behind the scenes, BlockDAG is quickly approaching the $600 million pre-sale milestone. This crypto powerhouse will soon enter the top 30 cryptocurrencies by market cap.
Currently trading at $0.017 per coin, BlockDAG is expected to hit $1 million in the coming months, with the potential to hit $30 per coin by 2030. Early investors have already enjoyed a 1600% ROI by batch 21, fueling a huge amount of excitement around BlockDAG’s presale. The platform is seeing significant whale buying, and demand is so high that batch 21 is almost sold out. The upcoming batch is expected to drive prices even higher.
Invest in BlockDAG Pre-Sale Now:
Pre-sale: https://purchase.blockdag.network
Website: https://blockdag.network
Telegram: https://t.me/blockDAGnetwork
Discord: Italian: https://discord.gg/Q7BxghMVyu
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Tech
How Karak’s Latest Tech Integration Could Make Data Breaches Obsolete
- Space and Time uses zero-knowledge proofs to ensure secure and tamper-proof data processing for smart contracts and enterprises.
- The integration facilitates faster development and deployment of Distributed Secure Services (DSS) on the Karak platform.
Karak, a platform known for its strong security capabilities, is enhancing its Distributed Secure Services (DSS) by integrating Space and Time as a zero-knowledge (ZK) coprocessor. This move is intended to strengthen trustless operations across its network, especially in slashing and rewards mechanisms.
Space and Time is a verifiable processing layer that uses zero-knowledge proofs to ensure that computations on decentralized data warehouses are secure and untampered with. This system enables smart contracts, large language models (LLMs), and enterprises to process data without integrity concerns.
The integration with Karak will enable the platform to use Proof of SQL, a new ZK-proof approach developed by Space and Time, to confirm that SQL query results are accurate and have not been tampered with.
One of the key features of this integration is the enhancement of DSS on Karak. DSS are decentralized services that use re-staked assets to secure the various operations they provide, from simple utilities to complex marketplaces. The addition of Space and Time technology enables faster development and deployment of these services, especially by simplifying slashing logic, which is critical to maintaining security and trust in decentralized networks.
Additionally, Space and Time is developing its own DSS for blockchain data indexing. This service will allow community members to easily participate in the network by running indexing nodes. This is especially beneficial for applications that require high security and decentralization, such as decentralized data indexing.
The integration architecture follows a detailed and secure flow. When a Karak slashing contract needs to verify a SQL query, it calls the Space and Time relayer contract with the required SQL statement. This contract then emits an event with the query details, which is detected by operators in the Space and Time network.
These operators, responsible for indexing and monitoring DSS activities, validate the event and route the work to a verification operator who runs the query and generates the necessary ZK proof.
The result, along with a cryptographic commitment on the queried data, is sent to the relayer contract, which verifies and returns the data to the Karak cutter contract. This end-to-end process ensures that the data used in decision-making, such as determining penalties within the DSS, is accurate and reliable.
Karak’s mission is to provide universal security, but it also extends the capabilities of Space and Time to support multiple DSSs with their data indexing needs. As these technologies evolve, they are set to redefine the secure, decentralized computing landscape, making it more accessible and efficient for developers and enterprises alike. This integration represents a significant step towards a more secure and verifiable digital infrastructure in the blockchain space.
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Tech
Cryptocurrency Payments: Should CFOs Consider This Ferrari-Approved Trend?
Iconic Italian luxury carmaker Ferrari has announced the expansion of its cryptocurrency payment system to its European dealer network.
The move, which follows a successful launch in North America less than a year ago, raises a crucial question for CFOs across industries: Is it time to consider accepting cryptocurrency as a form of payment for your business?
Ferrari’s move isn’t an isolated one. It’s part of a broader trend of companies embracing digital assets. As of 2024, we’re seeing a growing number of companies, from tech giants to traditional retailers, accepting cryptocurrencies.
This change is determined by several factors:
- Growing mainstream adoption of cryptocurrencies
- Growing demand from tech-savvy and affluent consumers
- Potential for faster and cheaper international transactions
- Desire to project an innovative brand image
Ferrari’s approach is particularly noteworthy. They have partnered with BitPay, a leading cryptocurrency payment processor, to allow customers to purchase vehicles using Bitcoin, Ethereum, and USDC. This satisfies their tech-savvy and affluent customer base, many of whom have large digital asset holdings.
Navigating Opportunities and Challenges
Ferrari’s adoption of cryptocurrency payments illustrates several key opportunities for companies considering this move. First, it opens the door to new customer segments. By accepting cryptocurrency, Ferrari is targeting a younger, tech-savvy demographic—people who have embraced digital assets and see them as a legitimate form of value exchange. This strategy allows the company to connect with a new generation of affluent customers who may prefer to conduct high-value transactions in cryptocurrency.
Second, cryptocurrency adoption increases global reach. International payments, which can be complex and time-consuming with traditional methods, become significantly easier with cryptocurrency transactions. This can be especially beneficial for businesses that operate in multiple countries or deal with international customers, as it potentially reduces friction in cross-border transactions.
Third, accepting cryptocurrency positions a company as innovative and forward-thinking. In today’s fast-paced business environment, being seen as an early adopter of emerging technologies can significantly boost a brand’s image. Ferrari’s move sends a clear message that they are at the forefront of financial innovation, which can appeal to customers who value cutting-edge approaches.
Finally, there is the potential for cost savings. Traditional payment methods, especially for international transactions, often incur substantial fees. Cryptocurrency transactions, on the other hand, can offer lower transaction costs. For high-value purchases, such as luxury cars, these savings could be significant for both the business and the customer.
While the opportunities are enticing, accepting cryptocurrency payments also presents significant challenges that businesses must address. The most notable of these is volatility. Cryptocurrency values can fluctuate dramatically, sometimes within hours, posing potential risk to businesses that accept them as payment. Ferrari addressed this challenge by implementing a system that instantly converts cryptocurrency received into traditional fiat currencies, effectively mitigating the risk of value fluctuations.
Regulatory uncertainty is another major concern. The legal landscape surrounding cryptocurrencies is still evolving in many jurisdictions around the world. This lack of clear and consistent regulations can create compliance challenges for companies, especially those operating internationally. Companies must remain vigilant and adaptable as new laws and regulations emerge, which can be a resource-intensive process.
Implementation costs are also a significant obstacle. Integrating cryptocurrency payment systems often requires substantial investment in new technology infrastructure and extensive staff training. This can be especially challenging for small businesses or those with limited IT resources. The costs are not just financial; a significant investment of time is also required to ensure smooth implementation and operation.
Finally, security concerns loom large in the world of cryptocurrency transactions. While blockchain technology offers some security benefits, cryptocurrency transactions still require robust cybersecurity measures to protect against fraud, hacks, and other malicious activity. Businesses must invest in robust security protocols and stay up-to-date on the latest threats and protections, adding another layer of complexity and potential costs to accepting cryptocurrency payments.
Strategic Considerations for CFOs
If you’re thinking of following in Ferrari’s footsteps, here are the key factors to consider:
- Risk Assessment: Carefully evaluate potential risks to your business, including financial, regulatory, and reputational risks.
- Market Analysis: Evaluate whether your customer base is significantly interested in using cryptocurrencies for payments.
- Technology Infrastructure: Determine the costs and complexities of implementing a cryptographic payment system that integrates with existing financial processes.
- Regulatory Compliance: Ensure that cryptocurrency acceptance is in line with local regulations in all markets you operate in. Ferrari’s gradual rollout demonstrates the importance of this consideration.
- Financial Impact: Analyze how accepting cryptocurrency could impact your cash flow, accounting practices, and financial reporting.
- Partnership Evaluation: Consider partnering with established crypto payment processors to reduce risk and simplify implementation.
- Employee Training: Plan comprehensive training to ensure your team is equipped to handle cryptocurrency transactions and answer customer questions.
While Ferrari’s adoption of cryptocurrency payments is exciting, it’s important to consider this trend carefully.
A CFO’s decision to adopt cryptocurrency as a means of payment should be based on a thorough analysis of your company’s specific needs, risk tolerance, and strategic goals. Cryptocurrency payments may not be right for every business, but for some, they could provide a competitive advantage in an increasingly digital marketplace.
Remember that the landscape is rapidly evolving. Stay informed about regulatory changes, technological advancements, and changing consumer preferences. Whether you decide to accelerate your crypto engines now or wait in the pit, keeping this payment option on your radar is critical to navigating the future of business transactions.
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Tech
Bitcoin Tumbles as Crypto Market Selloff Mirrors Tech Stocks’ Plunge
The world’s largest cryptocurrency, Bitcoin (BTC), suffered a significant price decline on Wednesday, falling below $65,000. The decline coincides with a broader market sell-off that has hit technology stocks hard.
Cryptocurrency Liquidations Hit Hard
CoinGlass data reveals a surge in long liquidations in the cryptocurrency market over the past 24 hours. These liquidations, totaling $220.7 million, represent forced selling of positions that had bet on price increases. Bitcoin itself accounted for $14.8 million in long liquidations.
Ethereum leads the decline
Ethereal (ETH), the second-largest cryptocurrency, has seen a steeper decline than Bitcoin, falling nearly 8% to trade around $3,177. This decline mirrors Bitcoin’s price action, suggesting a broader market correction.
Cryptocurrency market crash mirrors tech sector crash
The cryptocurrency market decline appears to be linked to the significant losses seen in the U.S. stock market on Wednesday. Stock market listing The index, heavily weighted toward technology stocks, posted its sharpest decline since October 2022, falling 3.65%.
Analysts cite multiple factors
Several factors may have contributed to the cryptocurrency market crash:
- Tech earnings are underwhelming: Earnings reports from tech giants like Alphabet are disappointing (Google(the parent company of), on Tuesday, triggered a sell-off in technology stocks with higher-than-expected capital expenditures that could have repercussions on the cryptocurrency market.
- Changing Political Landscape: The potential impact of the upcoming US elections and changes in Washington’s policy stance towards cryptocurrencies could influence investor sentiment.
- Ethereal ETF Hopes on the line: While bullish sentiment around a potential U.S. Ethereum ETF initially boosted the market, delays or rejections could dampen enthusiasm.
Analysts’ opinions differ
Despite the short-term losses, some analysts remain optimistic about Bitcoin’s long-term prospects. Singapore-based cryptocurrency trading firm QCP Capital believes Bitcoin could follow a similar trajectory to its post-ETF launch all-time high, with Ethereum potentially converging with its previous highs on sustained institutional interest.
Rich Dad Poor Dad Author’s Prediction
Robert Kiyosaki, author of the best-selling Rich Dad Poor Dad, predicts a potential surge in the price of Bitcoin if Donald Trump is re-elected as US president. He predicts a surge to $105,000 per coin by August 2025, fueled by a weaker dollar that is set to boost US exports.
BTC/USD Technical Outlook
Bitcoin price is currently trading below key support levels, including the $65,500 level and the 100 hourly moving average. A break below the $64,000 level could lead to further declines towards the $63,200 support zone. However, a recovery above the $65,500 level could trigger another increase in the coming sessions.
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