Over the past 24 hours, the price of bitcoin came awfully close to reaching an average of $2600 across global exchanges. Since then the price has dipped to just above $2550 as the network is now capturing a $41 billion dollar market capitalization. There's a lot of attention focused on parts of Asia at the moment as Japan, China, South Korea, and other countries within the region are purchasing and trading a lot of bitcoins. Alongside this, the decentralized turing complete cryptocurrency Ethereum has also skyrocketed in value this week. At the moment one ETH is roughly $240-250, and the market is commanding a whopping $22 billion valuation.
Coinmama’s Weekly Review
Chinese Bitcoin Exchanges Finally Resume Withdrawals
As Coinmama reported at the beginning of the year, the top Chinese bitcoin exchanges ran into some issue with the central bank of China. The People’s Bank of China (PBoC) had pushed forth a new set of regulatory policies across trading platforms within the country. Subsequently, Chinese exchanges suspended withdrawals for BTC and other cryptocurrencies. The exchanges had suspended withdrawals since January, and finally, the top three most popular trading platforms in China have resumed withdrawals. The news definitely gave bitcoin’s price a boost and trading volume within the region intensified.
A New Scaling Code Called SegWit2x is in the Works
Bitcoin developer and Bloq CEO, Jeff Garzik is currently helping a SegWit2x bitcoin proposal which will include both Segregated Witness and a block size increase of 2MB. The concept derives from the “Consensus Agreement” initiated by Barry Silbert of the Digital Currency Group. According to the pledges, the agreement has the backing from 56 Bitcoin-based companies and miner support of 84 percent of the network hashrate. As of now, Garzik seems to be leading the work on the project. The plan, however, is not agreed upon by others within the community who are focused on another plan called a user activated soft fork (UASF).
The Central Bank of Russia Thinks Nation States Should Have Cryptocurrencies
According to reports, members of Russia’s central bank believe nation states should create their own cryptocurrencies. Olga Skorobogatova, deputy chief of the Bank of Russia says digital currencies are very progressive, and the bank is interested in blockchain technology. "Regulators of all countries agree that it's time to develop national cryptocurrencies, this is the future. Every country will decide on specific time frames. After our pilot projects we will understand what system we could use in our case for our national currency," explained Skorobogatova during a talk at an International Economic Forum event. Skorobogatova believes that in 7-10 years the financial sector and many other types of businesses will be using blockchains for “serious projects."
Singapore's Central Bank Trials Blockchain Pilot
Singapore has been a hotspot for financial tech and blockchain innovation over the last few years. Just recently Singapore's central bank released a report showing the research of a working group trialing a cryptocurrency that may be tied to the country’s legal tender. The Monetary Authority of Singapore’s (MAS) report reveals 'Project Ubin' "a tokenized form of the Singapore Dollar (SGD) on a [distributed ledger]." The bank has also revealed its studies have been taken from other central bank projects testing and researching distributed ledger technology.
Polychain Capital Founder Says Ethereum’s Market Cap Will Surpass Bitcoin
Carlson-Wee founder of Polychain Capital, a cryptocurrency hedge fund that secures a basket of digital assets for investors, believes Ethereum’s market capitalization will exceed Bitcoin’s in 2018. Ethereum has been on an onslaught all year gaining nearly 1400 percent in value going from a one billion market cap to 22 billion in June. Furthermore, tech giants such as Intel, Microsoft, JP Morgan, and others are all bolstering Ethereum. “What we’ve seen in Ethereum is a much richer, organic developer ecosystem develop very, very quickly, which is what has driven Ethereum’s price growth, which has actually been much more aggressive than Bitcoin,” explains Polychain Capital’s Carlson-Wee.
Overall things are quite positive in the cryptocurrency space as Bitcoin and Ethereum are both precious digital assets these days. Asian markets are seeing a huge demand for Bitcoin at the moment, and this doesn't seem to be letting up anytime soon. According to recent reports, cryptocurrency investment is also gathering “Mrs. Watanabe“, or retail investors in Japan in high number. Overall Bitcoin acceptance is getting larger every day as more merchants join the ecosystem and newcomers are investing in high numbers. Cryptocurrencies are slowly but surely on the edge to mass adoption.
Coinmama’s weekly review is always on a mission to hunt for the latest topics being discussed within the digital currency space. Follow us here every week to keep up-to-date with current events concerning Bitcoin, Ethereum, and blockchain technology innovation.