Regulatory Winds Brew While Crypto-Proponents Remain Optimistic
The past few months of 2018 have been hard for cryptocurrency holders as prices have seen new lows. Overall most proponents are still very optimistic that things will be better than last year. Lately, a lot of the shake-up is due to regulatory crackdowns and statements from governments across the globe. This has made some investors feel uncertain. For instance this week the U.S. Securities and Exchange Commission made a statement about certain “unlawful” exchanges operating within the country. This news while not too negative sent the price downwards a hair over the last few days.
Coinmama’s Weekly Roundup
SEC Warns Against Unregistered Exchanges
On March 7 the Securities and Exchange Commission (SEC) warned about the possibility of investors using unlawful crypto exchanges. Users should be wary of trading platforms that may not be registered with the SEC. “The federal regulatory framework governing registered national securities exchanges and exempt markets is designed to protect investors and prevent against fraudulent and manipulative trading practices,” explains the SEC’s announcement. According to the SEC’s letter, cryptocurrency investors should see if they are using an exchange approved by the regulator.
Ethereum Creator Vitalik Buterin Reveals Plasma Concept
This week the inventor of Ethereum revealed a new idea tied to the scaling solution Plasma which would make the public blockchain scale more fluidly. “It’s just one simple way to make Plasma more scalable and vastly reduce its usage requirements for regular users,” Buterin explains at the EthCC event in Paris on Friday. Plasma was also created by the Lightning Developer Joseph Poon and it allegedly will increase the networks ability to scale greatly. Further, the idea will have a second layer for the smart contract system. “Now users only have to verify the availability and correctness of the Plasma chain only at the specific index that they want to spend, or the specific index of any coins that they own and coins that they care about,” Buterin explains to the audience.
Qaurnot Unveils the Crypto-Heater
A French firm called Qarnot has announced the sale of a cryptocurrency miner that also heats rooms in your house. The QC-1 mines the cryptocurrency Ethereum and can radiate a nice heat source for up to 300 sq ft. “Make heating a source of revenue, not an expense,” explains the company. The heat of the QC-1 is generated by the two graphics cards that are embedded in the device. Further, the crypto-heater can earn roughly $100 per month in ETH and can also mine other GPU mineable digital assets. The company already knows the idea will work as it has been selling another product that uses computer server heat as a resource back in 2013.
Thailand’s Deputy Prime Minister Mandates Law on Cryptocurrencies
This week the Deputy Prime Minister of Thailand has pushed forth new legislative proposals that will be mandated for cryptocurrencies and initial coin offerings (ICO). The Securities and Exchange Commission of Thailand’s Secretary General explained this week that a cryptocurrency “special law” would be created. Further, Rapee Sucharitakul explained that ICOs would have to follow accordingly with the new regulations. This includes following strict AML/KYC guidelines against tax evasion and money laundering.
The U.S. CFTC Commissioner Tells Crypto Advocates to Self Regulate
This week the commissioner for the U.S. regulatory agency the Commodity Futures Trading Commission (CFTC), Brian Quintenz, stated during the D.C. Blockchain Summit that private digital asset companies should “self-regulate.” “I believe that a private cryptocurrency oversight body could bridge the gap between the status quo and future government regulatory action,” Quintenz explained to participants. Quintenz suggests the initiation of a self-regulatory organization (SRO) for the cryptocurrency industry.
Overall the cryptocurrency community continues to push the idea of the future of payments such as bitcoin and ethereum but at times it seems like a slow and uncertain road. Many bitcoin proponents, however, believe that BTC, in particular, will jump past prior price highs this past December when it reached close to $20K. Moreover, its expected the ethereum environment will do well in 2018 too.