Cryptocurrency News October 31, 2018
Substratum claimed that it had a partnership with the National Christian Foundation but when a community member asked the National Christian Foundation if a collaboration existed, a senior VP for the National Christian Foundation stated that they do not have an agreement with any cryptocurrency provider.
Takeaway: The statement from the NCF representative casts doubts on the integrity of the Substratum team and implies that there could be other weaknesses regarding the legitimacy of the Substratum cryptocurrency. Additionally, Substratum has similar code to Oyster Pearl (PRL), that has led to an anonymous user to mint new tokens. There are red flags within Substratum that would make it unsettling for BlockWolf to hold right now. Even if some of the allegations against Substratum were false and it had a working product, there is significant doubt surrounding the coin that will negatively affect investors.
There are lines of code within the Oyster Pearl smart contract that allowed its ICO to be redeployed. An anonymous user, restarted the ICO, paid himself Ether to generate new PRL tokens, and ran off with the tokens. An excellent video that highlights the vulnerabilities in the PRL smart contract can be found here.
Takeaway: It is going to be hard for PRL to recover from such a loss. A possible take away here is to not invest in ICOs with anonymous founders.
Coinbase raised $300 million, which values the company at $8 billion. The investment round was backed by Tiger Global Management as well as Y Combinator Continuity, Wellington Management, Andreesen Horowitz, and Polychain. The money will be used to expand Coinbase global, list more cryptocurrencies on the exchange, and to attract institutions into the cryptocurrency industry.
Takeaway: $300 million is a lot of money. That money supply will enable Coinbase to make significant additions to its exchange and its company as a whole. Not only will the $300 million translate into direct improvements and additions to the exchange, but it also means that more big financial players like Tiger Global Management will have financial incentives to make sure that the cryptocurrency markets continue to be popular.
Steve Wozniak, the co-founder of Apple recently praised Bitcoin and Blockchain. He said that Blockchain really works and that “he runs into huge numbers of people that are developing different applications in life that will be on the blockchain”. He compared blockchain to computers saying that adoption of disruptive and radical new technology takes time.
Takeaway: This is a fluffier article, but it is reassuring to hear that a tech magnate approves of Bitcoin and blockchain, especially during the bear market.
The Chinese court has established that it is not forbidden to own and transfer bitcoin.
Takeaway: China has flipped their stance on Bitcoin several times in the past and BlockWolf would not be surprised if it does it again. Considering their tendency to change their policies on Bitcoin, it would be hard to take any future policy changes seriously.