Since our last update, Bitcoin topped a new all-time high above $4250 and subsequently went higher to $4500 a couple of days later. Since then, however, bitcoin markets have dipped to just above the $4K range, and this may have to do with the new Bitcoin Cash network. Bitcoin Cash is a forked version of BTC and was born on August 1 since then the market has been hovering around $300 per BCH. However, on August 19 the price of one bitcoin cash exceeded over $950 dollars per BCH. Following the price jump, it meant that mining profitability for BCH surpassed BTC due to the price and mining difficulty. These events are sure to be interesting over the next few months.
Coinmama’s Weekly Roundup
Visa Patent Application Shows the Company May Join the Blockchain Revolution Soon
Last week the major credit card company Visa published a blockchain patent application called "Methods and System for Using Digital Signatures to Create Trusted Digital Asset Services." Essentially Visa may soon enter the blockchain technology economy and offer digital asset services to Visa's global products and platform. Visa’s blockchain patent reads, "Digital assets associated with a value transfer can, in some embodiments, be digitally signed by a sending entity and/or an administrative entity.” The credit card company has been working with other blockchain projects as well such as Hyperledger and Ethereum.
The Philippines Central Bank Gives Licenses to Two Bitcoin Exchanges
The central bank of the Philippines, Bangko Sentral ng Pilipinas, revealed a while back that it would soon be regulating virtual currencies. Now this week central bank chief, Nestor Espenilla Jr, announced two bitcoin exchanges would be granted licensure to operate money services in the region. However, Espenilla noted that cryptocurrency exchanges will be scrutinized for AML/KYC practices and will be regulated in the near future. Currently, Philippines exchanges are pulling in a revenue of $6M per month in bitcoin volumes.
Copy Machine and Tech Giant Xerox Goes Blockchain
According to public records, the company Xerox applied for two patent applications that show the use of blockchain technology. The patents involve a distributed ledger process that involves encryption and data transfers from a network of nodes. "In one embodiment, the auditing system uses an encryption process, such as public key cryptography, to sign all record changes in an electronic document (with the private half of a key pair) and to verify that records have not been altered (with the public half of the key pair). This is important in ensuring the security of record changes before they are fixed in the blockchain,” explains Xerox. The company could apply the project to supply chain finance, and medical records, says Xerox.
U.S. Government Plans on Utilizing Distributed Ledger Tech
The United States government has been steadily researching and developing blockchain prototypes. This week a Washington Times post revealed how the Pentagon was looking into the technology to protect themselves from cyber attacks and critical threats. Further, the Times suggests that many other U.S. government agencies are very much into blockchain tech. This includes Homeland Security, Nato, Darpa and more. “The Pentagon and U.S. NATO allies have been moving discreetly but aggressively in recent months to develop military-related apps exploiting the capabilities of the blockchain. NATO is considering the technology to improve efficiencies across such traditional processes as logistics, procurement, and finance,” explains the Times author Dan Boylan.
Ethereum’s Vitalik Buterin and Lightning Network Developer Joseph Poon Reveal Plasma
The Ethereum community is starting to realize it needs to scale just like the bitcoin network. It is suffering from the exact same problems and capacity issues such as transaction congestion and rising fees. This week Vitalik Buterin and Joseph Poon revealed Plasma a Lightning Network-like solution to the scaling problems. According to Poon not only does Plasma offer a Lightning Network dedicated to payments the project will also redefine smart contracts. “Plasma is a proposed framework for incentivized and enforced the execution of smart contracts which is scalable to a significant amount of state updates per second (potentially billions) enabling the blockchain to be able to represent a significant amount of decentralized financial applications worldwide,” explains Buterin and Poon’s latest paper on Plasma.
As usual, there's a lot going on in the cryptocurrency and blockchain space this week. Further, while people are focused on watching the Bitcoin Cash (BCH), phenomena concern is also directed at the upcoming Segwit2x event. This November nearly 90% of the Bitcoin network’s hashrate will attempt to raise the block size to 2MB. However many Core developers oppose this act, and we may see another August 1 situation on the blockchain once again in three months. Coinmama will follow these events closely so our readers can be informed every step of the way.
Coinmama’s weekly review is always on a mission to find the very best topics of interest 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.