Tech

The Department of Energy will monitor energy used in cryptocurrency mining

Published

8 months ago

30 May, 2024

The Department of Energy will monitor energy used in cryptocurrency mining

The cryptocurrency minting business here in the United States is growing day by day. In January 2020, only 3.4% of the world’s bitcoin mining took place here. This figure has risen to almost 38% in just two years.

As we’ve talked about on this show, mining bitcoin and some other cryptocurrencies it burns a lot of electricity. The Energy Information Administration is interested in following this activity, combing through media articles and company reports. But the federal agency decided not toor start collecting information from cryptocurrency miners themselves where they operate and how much energy they use.

Marketplace’s Lily Jamali asked Mark Morey, senior consultant for electrical analysis at the EIA, about the project. The following is an edited transcript of their conversation.

Marco Morey: The difficulty is that although we were able to conduct our own survey, there are many resources we could do, we actually don’t have a good idea of the extent to which energy use by cryptocurrency miners is occurring , both regionally, and in the total amount, just a lot of unknowns. That’s why we designed this survey and got approval to send it to a group of respondents. And that’s what brought us to where we are today in regards to the press release and the study that you saw last week.

Lily Jamali: Yes, and I’m really impressed by the statistics in your recent analysis on this. You estimate annual electricity consumption from cryptocurrency mining in the United States to be between 0.6% and 2.3%. Both sides of this range seem like a lot to me, but it’s also such a wide range, which I think shows how little we really know about the scope of this activity.

Morey: It is true. It’s a wide range. But let’s take a step back and look at the numbers first. If you look at the total amount of electricity, obviously when you get these percentages, you have to have two numbers: You have to have the number for what we believe comes from energy use from cryptocurrency mining operations versus the total. And the total is the number we collect. This is one of the great attributes of EIA: we collect all kinds of data. So we have very solid numbers on what electricity demand has been month over month, year over year. So we have a good measurement to get that percentage. When you look at those percentages, those are strictly estimates.

But as the report published on Friday states, it was a top-down analysis that we conducted using several existing sources that track not so much the energy itself, but also just the overall activity in the cryptocurrency mining area. So we looked at estimates provided by others from top to bottom and then made our own from bottom to top. So we did internal investigations into the number of sites we saw that were mining cryptocurrency. We looked at reports, we looked on the Internet, we looked at financial documents, basically everything we could to try to come up with a census. The second part was to, after identifying individual sources, see if they published a number in terms of megawatts of capacity that they believed or estimated they would use. So this allowed us to come up with a number. If we were to multiply the number of sites we found by the amount of energy they claim to consume, to get a figure from the bottom up. And the whole range is simply take a look at very little activity in terms of cryptocurrency mining versus a large amount or the maximum amount. And that’s where those percentages come from. But clearly these are just estimates, which is why we need better, more concrete data, which is the reason for the survey.

Jamali: And how difficult has it been to identify cryptocurrency mining up to this point because these facilities are very mobile, right? They can pick up and leave, go to a place where electricity is cheaper, so it seems like an added complication in keeping all of this under control.

Morey: Absolutely. And not only are the structures themselves mobile, but the machines found in those structures are also mobile. You could find out where maybe a structure was in one place, they decided to move it because maybe there was cheaper electricity in another place, so they could move all the cars. Or we’ve seen cases where one location had many machines, but then some were purchased and moved to another location. So there was a significant relocation of facilities going on, which also led us to why we came out and asked for approval to do this survey.

Jamali: Will you engage with community officials in any of these locations? I know, based on my reporting on cryptocurrency mining, my impression has been that they want this information too, because there’s a black box for a lot of these people who run the local utility, who run the administrative office of the local county. They can’t charge fees if they don’t know how much is being used. I was a little surprised by the extent of the opacity of it all.

Morey: Well, the information we are collecting is purely trying to identify the location and amount of energy used in these facilities. We are trying to get the information by month. And I should also say that the survey is focused on a facility-level reporting structure, which means if you’re a company and you have three or four facilities, we’re trying to collect data for those individual facilities so we can understand as there is a lot of activity going on there. Now, as far as the information is concerned, once we receive it, it is up to us to then compile it in such a way that people understand the extent of energy consumption for this sector. And this will all be public information.

Jamali: What are some tangible outcomes that could come from this data? What do you hope?

Morey: Well, we hope to get a good appreciation for the energy use of this sector. Much of this survey is an effort just to understand the scope of this. Is it more than we expect or is it less? So that’s really where we’re at at this point.

Jamali: And for what purpose? What do you do with this information once you have it in your hands?

Morey: So, ideally, it will be publicly available information that people can use that will hopefully help them understand this energy sector better. So if you go to our website, you’ll find dozens of these surveys. And I think people go there to discover data that represents what’s happening in the energy sector.

More on this

In case you were wondering if this new push for data from the EIA has anything to do with the recent approval of spot bitcoin exchange-traded funds, Morey assured us that it doesn’t. That decision was announced last month by the Securities and Exchange Commission. Analyst Ben Hertz-Shargel of the consultancy Wood Mackenzie he told us recently he expects demand for the original cryptocurrency, bitcoin, to only grow because of that decision.

But information gathering is not welcomed by the cryptocurrency industry. That of the market Henry Epp reported on this view. He spoke with a representative from the Texas Blockchain Council who told him that crypto mining companies could be at a competitive disadvantage if federal authorities released what he called proprietary information. To no one’s surprise, legal action is being considered.

Fuente

Tech

Harvard Alumni, Tech Moguls, and Best-Selling Authors Drive Nearly $600 Million in Pre-Order Sales

Published

6 months ago

31 July, 2024

Digital Finance News Staff

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

No spam, no lies, just insights. You can unsubscribe at any time.

Fuente

Tech

How Karak’s Latest Tech Integration Could Make Data Breaches Obsolete

Published

6 months ago

31 July, 2024

Digital Finance News Staff

how-karaks-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.

Karak Chain

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.

Website | X (Twitter) | Discord | Telegram

No spam, no lies, just insights. You can unsubscribe at any time.

Fuente

Tech

Cryptocurrency Payments: Should CFOs Consider This Ferrari-Approved Trend?

Published

6 months ago

30 July, 2024

Digital Finance News Staff

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.

Was this article helpful?

Yes No

Sign up to receive your daily business insights

Fuente

Tech

Bitcoin Tumbles as Crypto Market Selloff Mirrors Tech Stocks’ Plunge

Published

6 months ago

30 July, 2024

Digital Finance News Staff

Bitcoin Tumbles as Crypto Market Sell-Off Mirrors Tech Stock Slide

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.

Fuente