- The Pineapple Fund: More than 5,000 Bitcoins for Charity!
- China: With the Help of Energy from Coal to Bitcoin!
- How South Korea wants to slow down the Bitcoin Enthusiasm!
- Malaysia warns of Bitcoin & Co Dangers!
- EU wants to make Bitcoin less Anonymous!
- Trading in Bitcoin Futures starts at CME!
- South Africa wants to monitor Bitcoin Trading completely!
Does a single human really need more than 5,000 Bitcoins? An early adopter means no - and donates the majority of its coins for good causes. He founded the Pineapple Fund for this purpose. Organizations that accept Bitcoins can apply on the website.
About $ 86 million donated by the unknown early adopter with the Pinepple Fund. Because "once you have enough money, money doesn't matter" the website says.
"At some point, in the early days of Bitcoin, I realized the promise of decentralized money and decided to mine / buy / trade some of the magical Internet tokens," says the founder of the fund. "The over-all-profits with Bitcoin over the years have led to a fortune that goes far beyond what I can spend."
Therefore, the anonymous early adopter not only gives part of its Bitcoin assets to the Pineapple Fund: 5,057 Bitcoins. So far, eight charity organizations have received money, most of them about $ 1 million: Watsi, The Water Project, BitGive, EFF, Maps, OpenBSD, sens research foundation, and charity: water.
On the website of the fund are links to the transactions to the organizations. So far, however, only about 200 out of the more than 5,000 Bitcoins have been spent, more than 4,800 are still waiting to find their good purpose.
Anyone who works for such an organization or knows one to whom he would like to donate may apply to the fund. There is an online form to apply. Individuals are excluded, condition is that the organization accepts the donation in Bitcoins.
What else should I say? Thank you, nameless early adopter, and thank you world for giving 80 million dollars to a person who is not greedy, but apparently has a good heart.
In order to generate more Bitcoin, more and more coal power has to be used in China.
In order to generate new units of the cryptocurrency Bitcoin, ever larger amounts of electricity are needed. Most of it is based on burning coal in China. If the market continues to grow as it did this year, it could soon lead to shortages in energy supplies or limits to growth.
China plays a key role in the production of bitcoin. The country has about 60 percent of the big data centers where Bitcoin is generated by complicated computing on the Internet, reports Bloomberg. These are huge warehouses in which thousands of computers are interconnected. About a quarter of the electrical energy needed to produce bitcoin around the world has to come from the land.
Since China generates around 60 percent of its electricity from the burning of coal, the strong growth of the Bitcoin market is largely based on an energy source criticized by environmental organizations and numerous states for its emissions. China will continue to be attractive as a Bitcoin location because electricity costs will remain low due to massive oversupply caused by numerous coal-fired power plants.
The situation in China is remarkable. While tons of coal are used for power generation, tens of thousands of Chinese are currently freezing in the north of the country because the government has ordered the shutdown of old coal power plants to curb emissions.
Across the world, the amount of power required to produce bitcoin is now assuming absurd dimensions, according to a recently published study. For Bitcoin, more electricity was needed in the current year than more than 159 countries in the world need each year. Around 3 million households in the US - which consume the most energy in the world - could be supplied by the "Bitcoin Electricity" for one year. "This is now a dirty business," a London analyst of Citigroup is quoted by Bloomberg.
According to observers, the amount of electricity needed to generate new bitcoin is expected to increase in the coming months as demand for the massive gains in recent months increases significantly. In November alone, the power requirement is expected to have increased by about 30 percent, says an analyst from PwC quoted by Bloomberg. "The energy consumption is abnormal. If we start on a global scale, we'll kill our planet. "
The Bitcoin underlying algorithm provides that after a certain number of generated Bitcoin more effort to create the next batch is necessary, says a London investor - who has his computer with about 120,000 other users joined together to increase production capacity in Bitcoin mining increase. He estimates that the cost of generating a bitcoin will increase from the current $ 6,600 to more than $ 14,000 in the second quarter of 2018. In early 2017, the cost was still at about $ 2,800.
South Korea has announced measures to curb the craze for cryptocurrencies in the country. For example, minors are prohibited from trading and investment returns are taxed. However, the interest of the South Koreans in Bitcoin & Co. should not be completely contained.
The image of South Korea in the crypto world is not clear: while the government has banned the issuance of new ICOs, plans another ban on bitcoin derivatives deals, and worries about youth in a digital currency environment, the mainstream adaptation of the Bitcoin as cryptocurrency ahead. Now, the Korea Herald has reported further action to regulate the use of cryptocurrencies in the country.
To exclude minors from digital currency trading, banks providing virtual accounts for cryptocurrency transactions should verify the identification of account holders when creating new accounts. Customers under the age of 19 years should be prohibited from opening accounts. Even financial institutions should not invest in or procure cryptocurrencies. Authorities will also examine how crypto exchange operators can be required to verify the real names of users, strengthen the security of encryption keys, and disclose prices for purchase prices and orders.
In addition, the collection of taxes on investment income is particularly examined. In addition, with a view to potential crimes related to cryptocurrencies, sanctions against cryptocurrency-related fraud are to be tightened, the government added.
These demands were discussed on Wednesday, December 13,2017 in Seoul under the leadership of Hong Nam-ki, Minister of Government Policy. The meeting, which was organized by a State Task Force, was attended by relevant government officials, including Deputy Minister of Justice Lee Keum-ro, Deputy Chairman of the Financial Services Bureau Kim Yong-beom, Deputy Minister of Science and Future Planning Kim Yong-soo, and Deputy Head of Bank of Korea Governor Yoon Myun-shik.
Although there have been drastic changes for the crypto enthusiasts, the crypto exchanges expressed their relief that the regulation is not a total ban on the industry. The reason for the decision against a total ban is obvious: the crypto-trade would have slipped into the darkness and thus could no longer be controlled.
The central bank in Malaysia published a new draft, which refers to the regulation of crypto exchanges in the country. Among other things, the government calls on citizens to act jointly against money laundering and terrorism.
Last Thursday, Bank Negara in Malaysia called on the public to participate in countering money laundering and terrorist financing through cryptocurrency.
The proposed regulatory proposal requires companies to verify the identities of their customers. They will also monitor any transactions and report suspicious activity to the authorities. In addition, companies should submit statistics for use to the central bank.
When adopted, the regulations affect all companies or individuals who exchange cryptocurrencies for others. The central bank recognizes that this step indicates that companies are trading or using cryptocurrencies in other ways. However, you do not recognize them as legal tender.
Excerpt from the official statement:
Malaysia wants to create transparency
According to the draft, the upcoming regulations should above all create transparency. The government wants to forestall illegal activities. Failure to comply will result in the authorities reserving the right of the exchanges or individuals to trade in cryptocurrencies.
Finally, citizens are once again acquainted with the known dangers of cryptocurrencies. This includes, according to statement, the high volatility and the potential danger of cyber attacks, which can lead to the loss of currencies.
The situation for cryptocurrencies is thus in limbo in the constitutional monarchy of Malaysia, as in so many countries. Although one of the leading communication providers i-Pmart has already accepted payments in Bitcoin some time ago. However, officials such as financial regulators have already warned against ICOs - the central bank is now accepting this tone as well.
With the fight against terrorist financing, the EU is justifying new measures that allow Bitcoin sales platforms to better verify the identity of their customers.
On 15 December 2017, representatives of the European Parliament, the EU Commission and the governments of several member states agreed to regulate the market for cryptocurrencies such as Bitcoin more strongly. Above all, the aim is to make anonymous transactions more difficult by allowing the relevant purchase platforms to identify their customers in accordance with the money laundering guidelines and, for example, store wallet addresses in a central database.
Among other things, the measures justify the fight against the financing of terrorism - but one or two tax inspectors will probably be happy about it as well. With the decisions, the European Parliament "largely prevailed against the member states, which resisted until recently against more transparency," writes Sven Giegold, economic and fiscal spokesman of the Greens / EFA parliamentary group in the European Parliament, in his blog.
If you want to trade with Bitcoin at the moment, you can do that on most of the relevant platforms without a proof of identity. The post-ID procedure otherwise required for opening an account via the Internet is usually not necessary. Other bank details, such as for the transfer of euros, are usually simply verified by debit (for example, with immediate transfer).
It will take a long time for this to change on the basis of the planned EU directives. The details will be finalized in the coming weeks, after which they must be ratified by the EU Parliament and implemented by the member states within 18 months.
Hesse (Germany) makes millions with the Bitcoin
That criminals actually like to use Bitcoin, shows just a curious case from Hesse. Already three years ago, the police there had confiscated in a raid several computers, on the hard disks, among other things, files were found with the virtual currency. In the coming days, the 126 bitcoin will be sold, the proceeds will benefit the public purse.
At that time, the value of cyber coins was around 50,000 euros - now there are, according to a report of the Tagesspiegel about 1.9 million euros.
Exchange CME starts trading Bitcoin futures.
Investors can now also bet on Bitcoin prices on the US derivatives exchange CME. The cryptocurrency is on a roller coaster ride.
Since Sunday investors can trade a second Bitcoin futures. Thus, the last extremely strong in the value increased cryptocurrency can continue to establish. Trading on the world's largest derivatives exchange CME, however, started with comparatively low sales.
"I think a lot of investors are starting to sit back and want to see what's going on before they venture into the marketplace," said Spencer Bogart of venture capital specialist Blockchain Capital.
The value of the futures contract for January was set at $ 20,650 at the start of trading, after which it fell steadily. At 21.00 (local time) it was $ 18,775. The reference price had been determined by the stock exchange with 19,500 dollar.
With the futures, investors can bet on rising or falling Bitcoin rates. It will make it easier for many investors to get involved in the market. Bitcoin has risen by about 1700 percent since the beginning of the year, as the cryptocurrency becomes more and more established. For a week can be traded on the Chicago CBOE Bitcoin futures.
However, investments in digital currencies continue to be viewed with skepticism. Some experts warn of a price bubble that could burst and lead to turbulence. The US Securities and Exchange Commission announced last week that investors should be cautious. Digital currencies are not tied to banks or governments and allow users to spend money anonymously.
The South African tax authority SARS is currently in talks with top technology companies from around the world. The aim is to find out how to effectively monitor trading in cryptocurrencies in order to collect taxes without interruption. Officials believe that the lack of third-party taxpayer disclosures makes profits in this sector a risky area.
According to the South African online magazine Moneyweb, talks are currently taking place. These should clarify how to deal better with profits from the sale of Bitcoin & Co. In contrast to share, foreign exchange or commodity forward transactions, the employees of the authority have no documents from the banks in order to check the details of the tax returns. As a result, SARS employees would have to rely blindly on the truthfulness and integrity of their statements.
The head of the science department of SARS, dr. Randall Carolissen said that it was easy to imagine how complicated it was to monitor revenues based on blockchain technology. Without betraying too much, talks are currently under way at international level with leading technology companies that are working on the same problem for Canada and the UK. I hope to receive this technology. The cooperation between the tax authorities and the South African Central Bank SARB is also intensifying. The tax authorities want to check the flow of money to and from South Africa in order to fill in all remaining loopholes, as Dr. Carolissen has expressed so beautifully. Currently, profits are valued by speculation with cryptocurrencies, such as trading in gold. Anyone selling Krugerrand coins at a profit must also pay capital gains tax. Currently, information is being sought from the Organization for Economic Cooperation and Development (OECD) on how best to handle trade for tax purposes.
The South African media also cites a senior director of the Geneva Management Group. At this Swiss financial institution, customers are increasingly receiving requests to tax their profits through bitcoin trading. This must be considered on a case-by-case basis, says Ruaan van Eeden. The tax authority SARS now wants to clarify in detail which taxes should be levied in what amount. In the room are both VAT, income tax and as part of the capital gains tax. However, the main concern of the Authority is that many South African investors will not provide anything in their next tax return due to lack of control. And despite or because of the huge profits that they have generated in recent months. In the future, this problem will be counteracted by the most effective possible monitoring of blockchain technology. Unfortunately, the contribution of colleagues from Moneyweb does not explain how this should be done technically. That would have been very exciting.
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@danyelk
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