Boxmining v2

Author: Michael Gu

  • Top 10 Blockchain Security and Smart Contract Audit Companies

    Top 10 Blockchain Security and Smart Contract Audit Companies

    We rank the top 10 performing blockchain security firms offering services such as smart contract audits, blockchain security analysis, penetration testing, formal verification, and security audits. Security audits are extremely important – this year we’re seeing the rise of Decentralized Finance (DeFi)— a new application of decentralized Blockchain technology that is poised to replace the trillion dollars Global Finance industry. However, recent events such as the dForce hack have shown us that hackers can exploit weaknesses in smart contracts and steal money. It’s almost like robbing a bank, except in this case the bank is flush with crypto AND can’t defend itself. In the case with dForce, the hacker stole $25,000,000 USD (talk about a good haul) and with crypto transactions, we know this is not reversible.

    Consequently, security solutions, tailored to the volatile nature of blockchain technology and its components, have started making moves to isolate and neutralize security threats common in the blockchain terrain. In this article, I will highlight and explore the workings of the top companies in the blockchain security niche.

    It is therefore extremely important for security audits of projects, exchanges and blockchains to be done. Users must also know what security tests have been performed and if any red flags were raised.

    Hacken

    Website: https://hacken.io/

    Hacken performs a wide range of security services for its clients. These suites of services include blockchain security consulting, web/mobile penetration testing, coordination of bug bounty programs, crypto exchange ratings, among other things. Although Hacken offers a long list of services targeted at blockchain and crypto firms, its ecosystem, however, encompasses security products ideal for IT companies as a whole. The company has built a commendable reputation as a security risk assessment for companies requiring a digital environment to create or enable services for their consumers.

    Hence, it comes as no surprise that Hacken has provided security services for non-blockchain giants like Air Asia. Furthermore, it has proven its commitment to blockchain technology by sponsoring and engaging security experts worldwide in security meetups.

    Hacken has also created the HackenAI security platform designed to protect the end user from security risks and account compromises. Key features such as Darknet monitoring immediately alerts users of compromised passwords and possible darknet attacks. HackenAI is available on Android and Iphone devices.

    Quantstamp

    Website: https://quantstamp.com/

    Quantstamp is a blockchain security startup unveiled at YCombinator W18 Batch. The security team of Quantstamp has experience in top IT companies like Google, Facebook, and Apple. And this is evident in the platform’s wide array of blockchain security tools and services. For one, Quantstamp has developed a decentralized security network for smart contract auditing. With this solution, users can perform automated smart contract security review on a “global network of decentralized security nodes.”

    Additionally, the platform provides expert security audits for clients blockchain projects and a 24/7 security monitoring software tool.

    Trail of Bits

    Website: https://www.trailofbits.com/

    Trail of Bits prides itself as a network of developers with the capabilities of identifying and fixing loopholes in software, devices, or codes. In other words, the solution provides an array of software security services that encompass smart contract audits, blockchain security research, software development, and so on. Over the years, Trail of Bits has developed formidable security tools for smart contracts. Some of these blockchain-focused solutions are Crytic, Slither, and Echidna.

    Apart from that, Trail of Bits developed the popular AlgoVPN. As well, it has a lot of security publications on GitHub, including public reports for 0x Protocol, Compound, NuCypher, and MakerDAO, which are some of its clients.

    OpenZeppelin

    Website: https://openzeppelin.com/

    The OpenZeppelin team is mostly known for its development of Solidity libraries known as OpenZeppelin Contracts. These libraries are used in most Solidity projects as a tested and standard template for contracts deployable on decentralized applications. Developers can integrate this solution through OpenZeppelin’s native SDK. Besides development, OpenZeppelin has a strong focus on smart contract security and audit services.

    Also, OpenZeppelin was one of the first teams to reinvent blockchain security by introducing elements of gamification to identify loopholes in smart contracts. Another of its products, Ethernaut, is a Web3/Solidity war game, which entails gamers to hack smart contracts to move to the next level.

    ConsenSys Diligence

    Website: https://diligence.consensys.net/

    US-based ConsenSys is one of the biggest and prominent blockchain incubators in the industry. Unlike other security firms mentioned on this list, ConsenSys dedicates its resources and technological know-how to the development of Ethereum blockchain applications and software, especially financial infrastructures. As such, its product, ConsenSys Diligence, offers security analysis for smart contracts. This audit product is at the cutting edge of sophisticated “cryptography, blockchain technology, and crypto-economic incentive analysis.”

    Another of its products, MythX, is one of the most powerful automated scanners for Ethereum smart contracts. This solution provides a robust API, which developers can use to access security analytics tools.

    Certik

    Website: https://certik.io/

    Certik is a security company looking to utilize topnotch formal verification technology in collaboration with some of the best cybersecurity experts to create end-to-end services. On its website, Certik claims that it has audited over 188,000 lines of codes and secured over $6.32 billion worth of assets. The team offers to mathematically validate the safety of smart contracts

    Therefore, it has developed Certik Chain, a public blockchain focused on leveraging Certik’s Formal Verification platform, to secure decentralized projects. Certik is officially a partner company of Binance, and it is backed by prominent investors, including Binance Labs, Lightspeed, Matrix Partners, and DHVC.

    LeastAuthority

    Website: https://leastauthority.com/

    LeastAuthority is a cybersecurity consulting firm with its main focus on privacy. It classifies itself as an enabler of private and disruptive storage solutions. At the moment, the platform has two major products available to its users. The first, Privatestorage (formerly S4), is a centralized system that provides storage infrastructure to end-users and offers them the autonomy over the collection, processing, and distribution of their private data. On the other hand, its second product, Tahoe LAFS, enables a decentralized, distributed, and fault-tolerant storage facility.

     In addition to providing different storage architectures, LeastAuthority has published security reports for Ethereum, Tezos, and others. It also works with developers throughout their development cycles to ensure that their projects are not susceptible to security threats. 

    PWC Switzerland (former Chainsecurity)

    Website: https://www.pwc.ch/en/services/risk-assurance/smart-contract-assurance.html

    Chainsecurity has joined PWC Switzerland to perform security review projects and create security solutions for the emerging blockchain industry. With this partnership, PWC Switzerland offers consultant services to blockchain projects from the exploration stage to the post-deployment stage. This platform assesses smart contract designs, tests their viability, and monitors metrics detailing their performances after deployment. It excels in its ability to combine automated analysis tools and the expertise of security professionals to identify and eliminate potential threats.

    As Chainsecurity, this blockchain team developed several security tools, including Securify and VerX. It makes sense to expect this team to continue its successful run in the blockchain security sector since it now has access to PWC Switzerland’s vast resources.

    Slowmist

    Website: https://www.slowmist.com/en/

    Slowmist is China’s leading blockchain security company. They perform extensive blockchain security services that include smart contract audits, blockchain security audits, wallet security testing, and much more. Slowmist also has a safe staking project for blockchain ecologies, which delivers real-time data on the growth and security patterns of EOS, Cosmos, Vechain, and other top blockchain projects. Another interesting bit of detail about this platform is its powerful firewall project for EOS smart contracts, named FireWall.X.

    Likewise, Slowmist is constantly tracking and publishing data and stats about security situation on crypto exchanges through their Blockchain Threat Intelligence (BTI) service. 

    Runtime Verification

    Website: https://runtimeverification.com/

    Runtime Verification is a research and development company focused on formal verification. According to the information on its website, this solution designs standard models for high-value applications and uses them as templates to develop security-sensitive products. Runtime Verification has developed two main smart contract security products. On the one hand, it offers smart contract correctness proofs with the help of the K framework to prove the viability of Ethereum and Cardano’s smart contracts. On the other, Firefly is a test coverage analysis tool for Ethereum smart contracts.

    Additionally, Runtime Verification has worked with Ethereum Foundation on building a formal framework for Ethereum 2.0 testing.

    What is the best Smart Contract Auditing Company

    Top tier smart contract auditing companies include Hacken, Trail of Bits and OpenZepplin

  • China’s Blockchain Service Network (BSN) Guide

    China’s Blockchain Service Network (BSN) Guide

    China’s Blockchain Service Network (BSN) is a national initiative designed to boost the integration and adoption of Blockchain in big businesses. China has positioned herself as a leader in Blockchain development, with 45% of all blockchain projects coming from the nation’s industries and tech giants (such as Tencent’s Blockchain Accelerator). The industry was given a huge boost in October 2018 when President Xi Jinping voiced his admiration for the technology behind cryptocurrencies. The network is set up for commercial usage and looks to provide a platform for enterprises and individuals wishing to make a blockchain application. Blockchain technologies are extremely powerful for enterprise applications as it allows for large scale data tracking with a guarantee on the authenticity of data. We’ve seen enterprise-focused Blockchain projects gain major partnerships in the past, such as Vechain’s partnership with logistics company DNV GL and auditing firms PwC.

    Xi Jinping
    President Xi personally addressed the nation on Blockchain Development in 2019

    Alongside the announcement of its digital currency electronic payment (DCEP) last month, China also launched its blockchain service network (BSN) signaling its continued shift towards a digital economy. Although it was not treated with as much fanfare, the BSN has a similar transformative effect to the DCEP and is no less important for the industry within and outside of China.

    What is China’s Blockchain Services Network (BSN)?

    The Blockchain Service Network (BSN) is a platform set up for individuals, businesses and local governments on which they can build blockchain applications. Launched on April 25th, the main target of the public network is to create a one-stop-shop for blockchain in China which supports smart city initiatives, other public networks and regions in the imminent digital economy which the People’s Republic is building. 

    The network will have two primary functions. The first is commercial and this will allow businesses/blockchain startups to use the network to develop applications, offering a public alternative to the private blockchain networks which already exist. Alongside this, the BSN will also provide a foundational consortium chain alliance for use for smart cities and digital economies. According to reports, the network will focus on openness, public utility, scalability, open-source, multi-portal, low cost and autonomy.

    The initiative will also be integral for the research into government usages for blockchain and governance. The network will also promote research in other areas and look to foster a development ecology, according to BSN alliance President Liu Yunan. 

    Liu Yunan BSN President (source:SIC.com)

    Partner Networks and Organisations

    The creation of the BSN has been done by an array of familiar faces within the tech industry. Leading the research was the Chinese government think tank, the State Information Center (SIC) whose smart city development research group the focal team. Other institutions which helped with its development include telecom company ChinaMobile and banking/payment network, China’s UnionPay. In terms of the cryptocurrency industry, exchange Huobi was a surprise inclusion in its development. 

    List of some BSN development association members (Source: CoinTelegraph)

    Technology Behind the BSN 

    The network will use a custom-built blockchain and there have been a number of companies involved in the technology’s research and implementation. The leading group in its creation is FISCO, or Financial Blockchain Shenzhen Consortium. This group includes Tencent’s digital currency wallet Webank and Cloud, Huawei, and Shenzhen Securities Communication.

    FISCO- BCOS 

    FISCO created the BCOS open-source network. Based on Ethereum’s blockchain, BCOS uses various features like zero-knowledge proofs and allows individual permissioned chains to run concurrently. 

    Tencent has played an integral role in its development, with its digital bank, Webank, providing smart contract Digital Asset Modeling Language for FISCO BCOS. 

    The network has already shown itself to be popular in its initial Beta period which began six months ago. Reports have suggested that 2,000 developers had signed up to the test period, creating blockchain applications for public welfare charity and electronic invoices. 

    Both the DCEP project and the BSN are all key structures in China’s technological plan, called the “China Standards 2035”. The document, which is set for release later this year, will plot out how the technologies will shape the next decade. 

    The BSN Beta testing

    The initial testing plan was launched in October 2019 and ended recently prior to the April launch. According to local media reports, the beta testing for commercial usage went well. Around 2,000 developers joined up with the test period, creating blockchain applications for public welfare charity and electronic invoices. Currently, the network has 128 public nodes, of which the majority come from China but a small number are overseas stretching across six continents. 

    Pilot Projects for BSN

    Huangzhou was the pilot city for the BSN

    The city which the network was tested in was Hangzhou, in Eastern China after the local government signed an agreement with the research group. According to Chinadaily, the BSN was rolled out in conjunction with Hangzhou’s City Brain platform and focussed on e-governance improvement, disinfection for hotels and more individualised technological services. The system will also be used to track local level issues such as road safety, with users encouraged to report any issues they see in the community. 

    As well as the piloting in Huangzhou, there was also a trial for a credit rating system based on blockchain that would track small and medium-sized businesses who wished to gain finance from banks.

    Blockchain in China

    Blockchain has long been a technology admired within China, typified by their leader Xi Jinping’s direct promotion of it in October 2019. Even without Xi’s comments, China has still been the leading nation for blockchain adoption with 45% of all projects coming from China according to data from the Mutual Chain Pulse Research Institute.

    Mutual Chain Research graph on number of blockchain projects by nation

    Top tech companies that have blockchain projects include, Tencent, the company behind WeChat, Alibaba, through its Ant financial team and Baidu, the internet search engine provider. 

    Provincial governments across the nation have been implementing various blockchain projects. More recently though, the shift has been more national with Blockbeats reports from May 12th claiming that the Ministry of Human Resources and Social Security of China is looking for 10 new roles with regards to blockchain, these include Blockchain Engineering Technicians and a Blockchain Application Operator.

    WIll the BSN and DCEP be linked?

    Although there is nothing concrete at the moment, it would appear that both the DCEP and BSN will be linked. Evidence for this comes from reports of Webank writing smart contract digital asset modeling language. Clearly though, both blockchain and a digital yuan are integral parts of China’s future, something which will be enshrined in writing within the China 2035 Standards document set for release later this year. The document is a fifteen-year plan for China’s development and blockchain/digital currencies will be an integral part. 

  • Bitcoin Halving Explained

    Bitcoin Halving Explained

    Bitcoin Halving is expected to happen at  12 May 2020 07:07:39 UTC

    What is the Bitcoin Halving Event?

    The Bitcoin Halving event which marks the point where Bitcoin mining rewards will be cut precisely in half. Many view this as a turning point for the price of Bitcoin because it will drastically reduce the new supply of Bitcoin, creating scarcity. Currently the Bitcoin Halving is expected to happen at 12 May 2020 11:04:30 UTC – the exact time and date may vary due to fluctuations in Bitcoin block creation time. Once the halving takes place, the amount of Bitcoin mined per day will decrease from 1,800 BTC to 900 BTC. It is important to remember this event is permanent and will affect all the Bitcoin mined in the future as well (until the next halving event). From an economics standpoint, the less Bitcoin there is being produced the more scare and less accessible Bitcoin will become.

    Check out my video on what the Bitcoin halving is, and what opportunities it can mean for Bitcoin.

    Reduced Sell Pressure on Bitcoin

    There will be substantially less sell pressure from Bitcoin miners as they’re income of Bitcoin will half. Currently, miners will mint $13 million USD worth of Bitcoin per day. This is no small figure – and one of the reasons why mining is such a trillion dollar industry (Check out our Bitcoin mining guide for how to be part of it).

    bitcoin inflation chart

    Will Miners shut down / got bankrupt?

    After the Halving, miners will receive half of their regular income. This will drastically alter the dynamics and profitability of Bitcoin Mining. For miners who are using older machines (ASICs), the drop in income might spell certain doom. Some miners will yield negative profits and be forced to retire the older less efficient units. This is a common practice in mining – renewing hardware is part of the profitability cycle for miners. This is similar to other tech hardware businesses like server farms which require annual upgrades to hardware.

    There is no risk that Bitcoin be without miners – till is still 900 BTC to be mined each day (~$7.5 Million USD). Miners will be looking to be more competitive and source cheaper and cheaper electricity. In addition, Bitcoin difficulty can drop if there is less hashrate on the network, meaning it will be easier to mine Bitcoin.

    Hype and Expectations

    The Bitcoin Halving comes with a lot of hype and optimism for the future of Bitcoin. Several memes have emerged with charts pointing to “pump” in the price of Bitcoin. The chart above shows the LOG price of Bitcoin over time, with a ascending trend indicating potential prices of $250,000 and even $2,000,000 for the price of Bitcoin. It is important to remember that with cryptocurrencies prices are high volatile and past trends don’t always indicate future trends.

    Stats

    Total Bitcoins in circulation: 18,367,900
    Total Bitcoins to ever be produced: 21,000,000
    Percentage of total Bitcoins mined: 87.47%
    Total Bitcoins left to mine: 2,632,100
    Total Bitcoins left to mine until next blockhalf: 7,100
    Bitcoin price (USD): $9,987.70
    Market capitalization (USD): $183,453,074,830.00
    Bitcoins generated per day: 1,800
    Bitcoin inflation rate per annum: 3.64%
    Bitcoin inflation rate per annum at next block halving event: 1.80%
    Bitcoin inflation per day (USD): $17,977,860
    Bitcoin inflation until next blockhalf event based on current price (USD): $70,912,670
    Bitcoin block reward (USD): $124,846.25
    Total blocks: 629,432
    Blocks until mining reward is halved: 568
    Total number of block reward halvings: 2
    Approximate block generation time: 10.00 minutes
    Approximate blocks generated per day: 144
    Difficulty: 16,104,807,485,529
    Hash rate: 117.64 Exahashes/s
    Current activated soft forks bip34,bip66,bip65,csv,segwit
    Current pending soft forks
    Next retarget period block height 631008
    Blocks to mine until next difficulty retarget 1576
    Next difficulty retarget ETA 10 days, 22 hours, 40 minutes
  • Chinese Giant Tencent launches blockchain accelerator

    Chinese Giant Tencent launches blockchain accelerator

    Chinese tech giant Tencent has launched a Blockchain Industry accelerator and incubator program to advance the use of blockchain technology in China. Called, the “Tencent Industrial Accelerator” (腾讯区块链加速器) the program is open to only 30 blockchain startup applications. Successful projects will receive access to both funds and business partnership opportunities from Tencent. This comes as a direct response to China’s directive to spearhead the development of blockchain technologies – President Xi personally talked about the advantages of blockchain. Tencent’s entry into Blockchain is creating a lot of noise because they are known to incubate many successful breakthrough projects such as WeChat, League of Legends (Tencent is the biggest shareholder in Riot Games), and QQ. To qualify, startups must be financed for at least one round and their applications submitted before the June 6th cut off date. 

    China is a hotbed for Blockchain Development

    China has positioned herself as a leader in Blockchain development, with 45% of all blockchain projects coming from the nation. The industry was given a huge boost in October 2018 when President Xi Jinping voiced his admiration for the technology behind cryptocurrencies. China launched its blockchain service network (BSN) on April 27th, a network designed to boost the integration and adoption of Blockchain in big businesses. The network is set up for commercial usage and looks to provide a platform for enterprises and individuals wishing to make a blockchain application. Blockchain technologies are extremely powerful for enterprise applications as it allows for large scale data tracking with a guarantee on the authenticity of data. We’ve seen enterprise-focused Blockchain projects gain major partnerships in the past, such as Vechain’s partnership with logistics company DNV GL and auditing firms PwC.

    Xi Jinping
    President Xi personally called for Blockchain Development in China in 2019

    China’s Blockchain Service network is released alongside China’s National Digital Currency Electronic Payment (DCEP) Project. DCEP is a central bank national currency designed to replace paper RenMinBi (RMB) and improve the financial infrastructure in China. (Cymbalta) The project has received an official list of partners including McDonald’s and Starbucks. It is highly suggested that these projects will have a high degree of synergy, with the potential application of DCEP in Blockchain projects in China.

    Tencent is Accelerating Industrial Applications

    Projects which provide industrial blockchain solutions, data sharing applications, digital asset transactions, and supply chain financing are also encouraged to apply to the accelerator. Development areas were also highlighted, this time related to smart contract security, consensus algorithms, multi-party governance, and trusted identity and computer solutions. From the application, it would appear that Tencent is looking for projects related to various fields. The sectors which they are putting their focus on governance, education, energy, agriculture, public welfare, manufacturing, and logistics. 

    Mentoring and Opportunites

    It is not just the name recognition provided by the accelerator which would attract startups. The program also includes usage of Tencent’s blockchain as a service platform, four mentoring meetings across the year, numerous networking opportunities, and the chance to fly to a country of interest with regards to blockchain or their project. 

    Taking all these activities and experience in mind, it is no wonder the program sets you back a long way. The tuition fee is totaled at 100,000 RMB per person (14,100 USD), which is a similar figure to that of a master’s program at a US university.

    FISCO BCOS Blockchain

    The blockchain will use FISCO BCOS, an open-source protocol co-developed by Tencent, Huawei, and Shenzhen Securities Communication. Tencent has played an integral role in its development, with its digital bank, Webank, providing smart contract Digital Asset Modeling Language for FISCO BCOS. 

    The network has already shown itself to be popular in its initial Beta period which began six months ago. Reports have suggested that 2,000 developers had signed up to the test period, creating blockchain applications for public welfare charity and electronic invoices. 

    Both the DCEP project and the BSN are all key structures in China’s technological plan, called the “China Standards 2035”. The document, which is set for release later this year, will plot out how the technologies will shape the next decade. 

  • Central Bank Digital Currencies (CBDC) Explained – New Revolution for Finance?

    Central Bank Digital Currencies (CBDC) Explained – New Revolution for Finance?

    What are Central Bank Digital Currencies (CBDC) – will they mark the start of a revolution to change the financial system forever? CBDCs are digital currencies issued by central banks that function as National Currencies (fiat). They are a direct replacement of paper money, with the exact same value and issuance policies. CBDCs are state-sanctioned and governed by the monetary authority and regulatory law.

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    Banks around the world are racing to issue out Central Bank Digital Currencies (CBDC). China has already deployed the test trial for Digital Currency Electronic Payment (DCEP), a digital version of the RenMinBi based on cryptographic technology. Japan immediately countered this announcement by plans to release a Digital Yen in “2 to 3” years. One of the key motivations behind CBDC is to drastically improve the way money is transferred around the world. Instead of relying on decade-old technologies like SWIFT, Digital Currencies can be transferred directly without friction. This will drastic impacts on all levels of banking, from the m0 reserve system to the unbanked.

    Major newspaper outlets like The Guardian and the Economist began writing opinion pieces, calling the advancement from China a big step and one that could pose a threat to US economic hegemony. On the other side, commentators in China heralded their country’s fast work and implementation. Although the US and its state banks have been slow to announce any research plans and have seemingly stopped Facebook’s Libra (a privatized answer to a CBDC) in its tracks, other western nations have quickly begun research. 

    Global effort to deploy Central Bank Digital Currencies

    Earlier this year, banks from the UK, EU, Japan Canada, Switzerland, and Sweden all began joint research on a CBDC. France has announced intentions to test a pilot CBDC in 2020.

    In Asia, the Japanese immediately announced their intentions to create a CBDC to match China’s as soon as the news began to break. The Bank of Korea is also looking at its own digital currency. Smaller national banks like Thailand, the Philippines, and Singapore are also looking into creating their own. Projects such as Singapore’s Ubin work with the Monetary Authority of Singapore are already in Phase 5 of development.

    The world is moving towards CBDC and is in agreement that this will be the currency of the future. But, what makes them so special and alluring to banks and governments? 

    Digital Currencies as a weapon to combat economic change

    The main reason is its cost-effectiveness and control. CBDCs are not subject to long processing times and costly fees. As you can see from the stable coin market, sending and receiving cryptocurrencies can be done quickly and easily, with just a phone and internet connection required. Not only that, but digital currencies are far easier to track making money laundering tracking much easier. 

    Another factor is CBDC’s resilience to political or economic changes. Often citizens from emerging economies are subject to a large disparity in their currency’s health in the market when compared to exchange rates, however, stable coins rarely have major shifts. Not only that, but big banking shutdowns, like seen in Greece and Iceland might well have had a solution if they held a financial alternative to store their money. This benefit of digital currencies could well be important as the world stares recession in the face following the economic stresses of the Coronavirus effort. 

    However, there is one major detail that is propelling some nations’ research. The threat which CBDC’s pose to the US dollar domination. ChinaDaily called the People’s Bank of China’s DCEP a “functional alternative to the dollar settlement system.” This is something politicians in Beijing want as US sanctions are made effective namely due to the dollar being the reserve currency. This means often international transfers to sanctioned states are prohibited and banks shut down, as they are using the US dollar in the exchange. 

    Challenging US sanctions

    The theoretical ability of CBDC’s to circumvent US dominance is something numerous embattled nations have looked to pounce on. Other countries who hold national digital currencies include Iran- a country ravaged by US sanctions and Venezuala- a similarly hit nation. Other US adversaries that have begun research into their own CBDC include Cuba, North Korea, and Palestine.

    Clearly, the race is on between the various competing nations to launch their own digital currencies and make a new economic framework. Who will lead the charge remains to be seen, but the answer could have major consequences for the future. 

  • The PIT Exchange Review: Blockchain.com’s secret weapon

    The PIT Exchange Review: Blockchain.com’s secret weapon

    The PIT is a high performance cryptocurrency exchange which supports extremely high performance, security and access to a network of banks for fiat trades. The PIT is made by Blockchain.com, a cryptocurrency industry veteran who’s blockchain explorer and wallet is used by millions. To build the exchange, Blockchain.com hired trading veterans from NYSE, Google, Goldman Sachs, UBS and TD Ameritrade. The key selling point for The PIT is the efficiency and fairness of the custom “Mercury” trading engine coupled with the large 40M audience Blockchain.com already has.

    In this review we’ll take a deep dive a the trading features on the PIT, trading and withdraw fees, security and an assessment on liquidity.

     “We decided to take matters into our own hands, and built an exchange that puts users first, including the 40M wallets on our platform.”

    Peter Smith, CEO of Blockchain.com

    Buy Crypto directly with USD or EUR

    One of the biggest selling points of The PIT is the ability to buy cryptocurrencies with USD or EUR. As a regulated exchange, The PIT has bank accounts in good standing in both the US and European Union. This customers can buy Bitcoin without paying expensive credit card fees (Binance’s Credit card issuer charges 5% to buy cryptocurrencies). Being regulated also means The PIT has already obtained the necessary audits and permits necessary for operating an exchange.

    Daily Clearing to Fiat

    A big selling feature for the PIT is the daily clearing of fiat to a network of top banks in Europe and US. This drastically prevents liquidity issues when it comes to fiat, such as failures to withdraw Fiat. This feature will be most attractive to institutional investors (Supported by the PIT Pro) who need direct access to large quantities of fiat.

    About Blockchain.com

    The PIT is created by Blockchain.com, the first company to establish a blockchain explorer for Bitcoin. Blockchain.com was launched in 2011, with the website blockchain.info and blockchain.com. In 2013, they launched a Bitcoin wallet for iOS and Android. In 2014 Blockchain.com closed the second biggest digital currency financing around of $30.5 Million fundraising from Lightspeed Venture Partners and Moasiac Ventures.

    Simple trading interface

    The PIT offers a simple, ease to read trading interface. Trading history, order book and price history is very cleanly presented on the trading interface. The front-end also supports a large degree of customization, allow users to use TradingView to draw patterns and trends.

    The PIT exchange fees

    The PIT charges trading fees using a tiered system based on the amount of USD traded. In the starter tier, fees start at 0.14% for makers and 0.24% for takers. Maker fees decrease substantially as trade volume increases, with the lowest maker fee at 0.02% for trade volumes above $1 Billion USD.

    Tier Volume in 30 Days Maker Taker
    1 $0.00 – $99,999.99 0.14% 0.24%
    5 $2,500,000.00 – $4,999,999.99 0.04% 0.18%
    10 $20,000,000.00 – $24,999,999.99 0.03% 0.14%
    15 $1,000,000,000.00+ 0.02% 0.05%

    Is The PIT secure

    Whilst the PIT is a new cryptocurrency exchange, Blockchain.com has been in the cryptocurrency industry since the beginner. Blockchain.com has been providing wallets to millions of cryptocurrency users with an excellent security record. This gives Blockchain.com a strong reputation and presence in the industry. This puts Blockchain at the top of the list for security (however, we always recommend users to take funds off exchanges for long term storage and into their own wallet, such as the Ledger Nano X).

    As an added security measure, there is an optional feature to bind The PIT account with the Blockchain mobile wallet. This will provide additional account security.

    What coins can you trade on The PIT

    Currently the PIT supports the trading of Bitcoin (BTC), Ethereum (ETH), USD, Bitcoin Cash (BCH), Stellar (XLM), Paxos Standard (PAX), Litecoin (LTC) and USDT.

    The PIT Exchange Review

    Review Score: 4.5/5

    The PIT has three major advantages – abundance of users, access to a network of bank accounts in US & EU, and long term reputation in the crypto space. Whilst 2019 saw a sudden influx of exchanges, most don’t have licenses to work with banks or passed audits. With a simple to use, yet highly customization interface, the PIT is easy to use for new traders and also feature rich for experts.

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    Disclaimer: Cryptocurrency trading involves significant risks and may result in the loss of your capital. You should carefully consider whether trading cryptocurrencies is right for you in light of your financial condition and ability to bear financial risks. Cryptocurrency prices are highly volatile and can fluctuate widely in a short period of time. As such, trading cryptocurrencies may not be suitable for everyone. Additionally, storing cryptocurrencies on a centralized exchange carries inherent risks, including the potential for loss due to hacking, exchange collapse, or other security breaches. We strongly advise that you seek independent professional advice before engaging in any cryptocurrency trading activities and carefully consider the security measures in place when choosing or storing your cryptocurrencies on a cryptocurrency exchange.

  • Telegram Open Network delayed, willing to return money to GRAM investors

    Telegram Open Network delayed, willing to return money to GRAM investors

    Telegram, one of the world’s leading messaging apps, has been forced to delay the unveiling of the Telegram Open Network (TON) and issuing the GRAM token. Telegram’s Open Network was one of 2018’s hottest projects, garnering over $1.7 Billion dollars of investment over 3 phases. Many viewed telegram’s networks as a way to bring more masses into the decentralized ecosystem, as the messaging app had over 400 million monthly active users. The $GRAM token was planned to be integrated directly into the Telegram App along with support for smart contracts. On top of this, TON also offered smart contract features – allowing for Decentralized Finance (DeFi) and other applications. The network was originally planned to be released on April 30th, but the Russian based company released a letter to their investors (in Russian) on the 29th April, saying this would have to be postponed for another year at the latest.

    This news comes as a disappointment to many investors who were expecting TON to rival projects such as Facebook’s Libra (also delayed). These projects directly compete with Central Bank Digital Currencies, which are gaining traction with the launch of China’s DCEP. Although many may have attributed the change in release date to the current Coronavirus pandemic which has brought the world to its knees, it is in fact down to regulatory concerns.

    Legal troubles with the US Securities and Exchange Commission (SEC)

    The letter claimed that the decision was brought about, “in light of the recent US district court decision.” The case they are referring to is last month’s decision by a US judge that the company could not proceed with any blockchain projects or issue tokens until they resolve their dispute with the US Securities and Exchange Commission (SEC). 

    Last October the SEC sued Telegram for violating its laws and selling its gram tokens illegally. The commission was alerted to Telegram after they made $1.7 billion from their initial coin offering (ICO) of their Gram token. This pre-selling was not authorized by the SEC and was out of step with securities law. 

    This SEC problem is something Telegram is finding hard to shake off. They were forced to delay their TON blockchain before, going from October 2019 to April 2020. Now they have been forced to delay even further. 

    Financial difficulties

    The life of Telegram CEO and VKontakte founder Pavel Durov - Insider
    Pavel Durov, CEO of Telegram Inc

    Each time the network is delayed, Telegram and the CEO, Pavel Durov, are also losing money. The latest delay has really hit them hard. Per the letter to investors, those who have added to the project will receive 72% of their money back. However, those who wait until April 2021 will see 110% of their initial investment returned. 

    However, how the money or Gram tokens are returned to investors is a little up in the air. The letter looked to calm investors, who made their decisions last Friday, saying: “We are continuing to engage in discussions with the relevant authorities in connection with TON and the issuance of tokens to the original purchasers.”

    The letter continued: “If we obtain the relevant permissions prior to April 30, 2021, purchasers who opted for the loan will have the further option to receive Grams or potentially another cryptocurrency on the same terms as those in their original Purchase Agreements (to the extent allowed by applicable regulatory restrictions).”

    Either way, this blockchain and cryptocurrency creation must be a costly venture for Durov, especially now investors funds are being reimbursed. The Telegram CEO said in the letter that he would be paying off the debt incurred through equity. 

    “With 400 million monthly users and organic growth of 1.5 million sign-ups each day, Telegram is the # 1 most downloaded social media application in 27 countries… Based on the valuation of messaging services at similar stages of their growth, we believe Telegram’s equity value will exceed the aggregate amount of its potential debt resulting from this offer by at least several times,”

    Pavel Durov

    Fake Telegram Refund services

    After the announcement of the GRAM refund, several scams have emerged offering fake “Telegram Token Refunds”. These services typically ask victims to pay them in advance with the promise of a larger sum refund. These of typical cryptocurrency scams that will immediately run away with the victim’s funds.

    When will Telegram Open Network be launched

    According to the latest investor newsletter, TON’s earliest launch date would be 2021. TON has suffered various delays due to regulatory issues, such as the pending investigation by the US Securities and Exchange Commission (SEC).

    Is there a refund for GRAM

    For legitimate purchasers of GRAM, there is a 110% refund for investors (non-american) and 72% refund for american investors. Please be-aware of Fake Telegram Refund services that ask you to pay money.

  • Unstoppable Domains: Get ready for a censorship immune future

    Unstoppable Domains: Get ready for a censorship immune future

    Unstoppable domains is a new type of internet domain built on Web 3.0. The key feature of unstoppable domains is that it’s censorship-resistant – it is impossible for any single entity to demand the removal of a domain. This is important as we experience more and more censorship on the internet. Ultimately the goal of unstoppable domains is to make the internet censorship resistant and information freely accessible. Instead of relying on centralized services to buy and sell domain names (eg, Namecheap or GoDaddy), Unstoppable domains uses decentralized platforms Ethereum and Zilliqa Blockchain as a neutral 3rd party. This gives registered domains censorship immunity as no government or entity can restrict or remove access to that domain. To further improve on censorship resistance, it’s possible to host the content on the Inter Planetary File System (IPFS) a decentralized hosting service where content cannot be removed.

    One of the first uses of Unstoppable Domains is the creation of easy to remember cryptocurrency addresses. One thing that scares people away from cryptocurrency is the address. A long mixture of letters and numbers almost freezes crypto users whenever they want to send or receive their digital wealth. However this can be simplified with Unstoppable Domains into a “.zil” or “.crypto” domain, such as boxmining.zil.

    What is Unstoppable Domains?

    Unstoppable Domains has been working on its technology since 2017. They are software development company utilizing blockchain technology to give power back to the people and to ease the way people and cryptocurrencies interact.

    To enhance the interaction, Unstoppable Domains has borrowed some ideas from the internet both at current age and during its early days. For example, during the early days of the internet, users had to cram IP addresses, which were the only way to send messages from one person to the other. Although the system worked, memorizing numbers and periods “.” was just too much.

    To overcome the challenge, the IP address was placed behind the scenes and brought in the Domain Name Service (DNS). The DNS system made it simpler since a human-readable address was provided, and in the background, it was tied to the complicated IP address. Therefore, an internet user just typed the name, eg, Facebook.com, and the DNS system, having connected Facebook.com with its IP address, eased the way users saw and interacted with the internet.

    Using the same technique, Unstoppable Domains seeks to put the complex cryptocurrency addresses behind a human-readable name. As such, instead of directly sending cryptos to an address, you use the human-readable name.

    The concept behind Unstoppable Domains is succinctly explained by its CEO, Mather Gould, “We’ve been crypto enthusiasts since 2012 and have believed that crypto payments were too complex to go mainstream. Just like IP addresses were replaced with DNS system, we believe cryptocurrency addresses will be replaced with human-readable names.”

    “.crypto” domain for all crypto addresses?

    Recently Unstoppable Domains announced the “.crypto” blockchain agnostic domain. The idea behind this domain is to unify cryptocurrency addresses for Bitcoin, Ethereum, Ziliqa and more.

    How to use Unstoppable domains with IPFS

    Unstoppable domains added the a new feature to work with uncensorable decentralized file hosting service IPFS. This will allow content to be permanently hosted on the internet with full immunity to government or political interference. IPFS hosts files spread across multiple locations in a decentralized fashion, so even if one server is taken down the content will still be accessible.

    Claim protected brand names on Unstoppable Domains

    To prevent phishing and domain name stealing, Unstoppable Domains automatically protects brand names like apple.crypto and boxmining.crypto. Only verified identities can claim such domain names via the free claim tool:

    One name for all your cryptocurrency wallets?

    That’s not all; you will only require one name for all of your wallets. Yes, just one. You see, Unstoppable Domains is looking for ways of driving crypto adoption. One of those ways is to make sending crypto as simple as sending mail.

    Therefore, friends can send you Bitcoin, Ether, Litecoin, etc., using a single name. Then, in the background, the technology from Unstoppable Domains routes the different cryptocurrencies to their respective wallets. This even eliminates the need for scanning QR codes since reading them is not 100 percent accurate.

    Connecting with the Zilliqa Blockchain

    Unstoppable Domain’s version of DNS is built on the Zilliqa blockchain.

    Zilliqa is a scalable smart contract blockchain ecosystem that facilitates the creation of scalable decentralized applications.

    However, Zilliqa is only providing a platform for Unstoppable Domains to build their blockchain-focused DNS. This means that the blockchain name service, although built on the Zilliqa platform, supports external cryptos like Ethereum, Bitcoin, Stellar Lumens, etc. It also supports the use of credit cards.

    As it is built on the Zilliqa blockchain, the domains will have a .zil extension.

    Unstoppable or Censorship-resistant Domains

    Apart from helping in the general public easily interact with cryptocurrencies, Unstoppable Domains is keen on providing censorship-resistant domains.

    With these domains, the owner of the domain name has complete control of the domain and its contents. Traditional domain assets are stored on your behalf by custodians, for example Google.

    However a blockchain domain is stored in your cryptocurrency wallet which only you control. Therefore, no company, law enforcement or even Unstoppable Domains themselves can take it from you.

    It does not end there. The information used to register your domain remains private; you can choose not to give any personal information. This means that it is hard to track an individual using the data provided. Also, the content provided on the website cannot be censored by a third party; you are in full control.

    Will Unstoppable Domains be Unstoppable?

    Unstoppable Domains are setting up for a challenging journey which will see cryptocurrency being adopted by more people. Additionally, with
    censorship-resistant websites, the control is finally given back to the people.

    Unstoppable Domains certainly has the firepower to become unstoppable. They have recently announced that it secured US$4 million in funding in Series A led by Draper Associates and Boost VC. They have also received grants from the Ethereum Foundation and Zilliqa Foundation.

    Unstoppable Domains announces it raised US$4m

    In their AMA with CEO Matt Gould on 15 May 2019, Unstoppable Domains revealed their development roadmap for 2019. Over this summer they will be working on fiat un boarding and privacy tools. In fall, the majority of the focus will be websites. (Phentermine)

    On the retail side, the auction for the top .zil names will end in Summer 2019. Afterwards, anyone will be able to buy their own .zil name. Looking further, in Fall and Winter 2019, website and browser support is expected to become functional.

    Unstoppable Domains' roadmap for the remainder of 2019
    Unstoppable Domains’ roadmap for the remainder of 2019

    Final Review Verdict

    Unstoppable domains delivers a new way to prevent censorship at the domain lever using blockchain technology. Development and adoption is accelerated by the team’s recent $4 Million Dollar Series A raise lead by Draper Associates. This new round of funding gives the team more funds to form partnerships to increase adoption. Currently we’re waiting for more cryptocurrency wallets to accept the .zil addresses – currently MyCrypto and Moon are set to integrate it soon.

    Pros:

    • Strong Backing and team to deliver products
    • Good use of Blockchain technology (Zilliqa Blockchain)
    • Clean User interface

    Cons:

    • Pre-sale only – adoption and integration is coming soon

    Review Score: 4.5 / 5

    Reviewed by Michael Gu on May 31
    19/10/2019 Updated to include the .crypto domain

    Resources:

    Unstoppable Domains Website: https://unstoppabledomains.com/
    Telegram Channel: https://t.me/unstoppabledomains
    Unstoppable Domains News Update: https://www.asiacryptotoday.com/unstoppable-domain-why-blockchain-needs-it/

  • Crypto Mining Company, Ebang, files for $100 Million US IPO

    Crypto Mining Company, Ebang, files for $100 Million US IPO

    The cryptocurrency mining and hardware production company Ebang has just filed for a $100 million USD initial public offering with the US SEC. This filing not only shows the there is a market for Bitcoin mining, but that the industry in high demand. Ebang’s annual revenue is $109 million last year, despite falling cryptocurrency prices. The annual production of Bitcoin is worth $3.5 Billion USD at current Prices. Miners need new hardware as new chip technologies, such as those produced by Ebang, is both more powerful and energy efficient. In 2019, 82% of Ebang’s revenue came from application-specific integrated circuit (ASIC) chips.

    Moving to 10nm production is expensive

    One of the reasons for Ebang going public is to move to even more advanced technology and production techniques. In chip manufacturing, moving to smaller node sizes, such as 10nm makes the miner more powerful and power efficient. Ebang’s new mining chip, the DW1233 is independently developed and based on the new 10nm production process.

    Although the Bitcoin price started to recover in the second quarter of 2019, our operations generally lag behind the increase of Bitcoin price.

    Ebang Press Release

    Failed IPOs and Second Chances

    This is Ebang’s second attempt at an initial public offering, after they failed to file for an IPO with the Hong Kong Stock Exchange (HKEX) in 2018. The initial IPO was not granted by the HKSE after 6 months of application, indicating it was not accepted by the HKEX. This time around Ebang has a smaller raise of $100 Million USD as opposed to the first filing, which valued the company at $1 Billion dollars.

    Cryptocurrency mining ecosystem

    Large cryptocurrency mining hardware manufacturers have all been seeking Initial Public Offerings as a method to raise capital for expansion. Part of the reason is the growing market Bitcoin and cryptocurrency ecosystem.

  • Webinar 30th April: Will DeFi be secure enough for to replace banks?

    Webinar 30th April: Will DeFi be secure enough for to replace banks?

    This year were seeing the rise of Decentralized Finance (DeFi)— a new application of decentralized Blockchain technology that is poised to replace the trillion dollars Global Finance industry. However, recent events such as the dForce hack has shown us that hackers can exploit weaknesses in smart contracts and steal money. It’s almost like robbing a bank, except in this case the bank is flush with crypto AND can’t defend itself. In the case with dForce, the hacker stole $25,000,000 USD (talk about a good haul) and with crypto transactions we know this is not reversible. Luckily in this specific case, the team managed to negotiate with the hacker and they volunteer to return the money back.

    This whole incident highlights a big problem — DeFi applications hold huge amounts of assets and vulnerabilities in the code could lead to theft of the entire balance ( which could eventually mean millions of trillions of dollars). 

    In this special webinar held by the OKex acedemy talks we assemble 3 Blockchain security experts to discuss how to improve security in DeFi.

    Yu Guo — Secbit Labs

    Georgios Delkos — CertiK

    ZhengChao Du — Slowmist

    Moderated by: Michael Gu 

    Join us on April 30th 2020 @ 12:00pm UTC 
    👉Webinar: bit.ly/2yFnkhK