Cryptocurrency is here for good
The report will focus on the size and scope for Australian businesses and consumers to grow into a stronger tech and finance centre. In
The combined market capitalisation of all 11,145 cryptocurrencies is roughly equivalent to the nominal GDP of
What's more impressive is that DeFi accounts for AUD$180bn in assets which, according to
But the market must have protections against scams, fraud, uncertainty and hesitation. In addition,
If
While one in five Australian's own cryptocurrency, according to a survey by Finder, many still believe the risk to consumers is far too great for regulation not to be in place. Notwithstanding the dynamic nature of regulation in this space, consumers are exposed to
Whilst
We applaud the continued public stance of Bragg in championing progressive moves towards blockchain regulation after the recent open call on reddit for comments. Like the rest of the blockchain industry we await to see the recommendations for how these obstacles should be addressed in the Committee's report in October.
Credit-card giant
While the launch of a crypto-linked credit card with impressive Australian start-up CryptoSpend is just around the corner,
Known as one of the earliest NFTs, CryptoPunks which only have about 10,000 in circulation, are highly sought-after NFTs. CryptoPunk 7610 specifically is one of 3,840 "female" punks which, in the words of
If you could use a touch up on what NFTs are, we suggest you brush up on your NFT basics. NFTs are an increasingly growing market, and as
NFTs will play an important role in the future of retail, social media, entertainment and commerce.
Understanding this, it's easy to connect the dots on why
Sheffield also mentioned that with
When pressed about what makes him excited about NFTs, Sheffield promoted that amongst other things, NFTs have the ability to elevate the "creator economy" and lower the barrier to entry for creatives who earn a living through digital commerce (think graphic designers, social media influencers and digital artists) - and he is right. With NFTs like CryptoPunks on the market, we can see the cultural movement creating a new kind of social commerce which empowers creators and collectors.
With August sales of CryptoPunks already having reached
Decade of Dominance? Deloitte Survey Predicts Digital Asset Surge
Deloitte's 2021
The majority of participants believe digital assets will impact their organisations through custody (63%), new payment channels or types (63%) and by diversifying portfolios (57%). The survey notes, however, the enablement of these developments is contingent upon "a new kind of technical infrastructure as well as new processes and procedures".
This sentiment was reflected in the survey results, with 63 per cent of participants outlining regulatory challenges as one of the major threats to the use and acceptance of digital assets globally. This was surpassed only by the cybersecurity threat, with 71 per cent of participants believing it to be the biggest obstacle to further worldwide implementation.
The report estimates around
While the survey cannot decidedly determine the full future implications digital assets may have on the global economy, it expects these shifts to be highly disruptive to financial services as a digital-asset based financial model ushers in a new era of economic infrastructure.
Arrrrrg-us: Microsoft Proposes New Anti-Pirate System
Technology giant Microsoft have proposed using the transparency of blockchain technology as a potential solution to fight digital piracy. In a collaborative paper with
Anti-piracy relies on collecting data from an open and anonymous population of whistleblowers, so incentivising credible reports is part of the challenge for incentivizing reports. The paper identifies a lack of transparency with respect to incentive, fairness and credibility-criteria as the major limitations of current anti-piracy campaigns.
Argus, on the other hand, is underpinned by blockchain technology and remedies these issues by leveraging the technology to provide a trustless incentive-based system. This allows anonymity for piracy reporters at the same time as leveraging the transparency of public blockchain systems. Microsoft has been ahead of the curb with respect to digital assets having accepted Bitcoin as payment in 2014 and, more recently, adding it as a currency on its Excel platform.
Argus is built on four pillars: full transparency, incentive, information hiding and optimisation. When an owner of a product distributes content to licensees, each copy is embedded with a unique hash known as a watermark. The paper assumes the watermark cannot be removed without significant damage to the content. This watermark allows the content to be traced back to the original source of infringement.
The incentive component of the system is predicated on aligning the interests of the owner and informers. Owners seek good-faith reports regarding pirated material while informers generally seek financial rewards. To consolidate these interests, Argus rewards informers more for timely reports, provides guaranteed amounts and prevents Sybil attacks (where the informer uses multiple forged identities to claim a higher reward).
To address concerns about Ethereum 'gas' network fees, the Argus will be bundling transactions to incur 'only a negligible on-chain cost equivalent to sending 14 ETH-transfer transactions per report on the public Ethereum blockchain'.
This project represents a fascinating blend of privacy and public information using blockchain to tackle a really serious and ongoing software problem.
Cash Remains Preferred Currency For Criminals
There has been endless speculation surrounding the safety and legitimacy of cryptocurrencies in recent years, with particular emphasis on their use for criminal activity. For many, cryptocurrencies are nothing but lawless high-speed rollercoasters brimming with fraud and scamming activity.
As Congressman
The Congressman fired back at Kashkari tweeting:
Crypto-based crime represented only 0.34% of the entire transaction volume in 2020. Unfortunately, most crime is still conducted with the cash you print.
Despite this, many individuals and agencies seek to warn and in some cases deter consumers from crypto assets. For one, the
It is becoming increasingly clear, however, that despite the uncertainty of the general population regarding cryptocurrencies, reports have shown crypto related criminal activity rapidly decreased in 2020 and is significantly lower than crimes that utilise traditional fiat currencies.
The amount of digital currency transactions associated with money laundering, for example, is far lower than that of suspected money laundering in the traditional financial sector. Individuals and agencies often omit the ease by which companies like Chainanalysis can track digital money laundering and other criminal activities on the blockchain network. Their data likewise indicates the low rates of cryptocurrency use for money laundering and other crimes.
Crimes like theft, drug trafficking and money laundering are all traceable and only compile a fraction of digital transaction volume. Earlier this month, when hackers stole
The fear of the unknown tends to motivate agencies and individuals in attempts to 'protect' consumers with warnings and stay-away directions. It is easier to cast out a new technology than to learn and regulate it. With new systems and technologies being created every day to protect consumers and trace criminals and an expanding regulatory regime, it is becoming more and more meaningless to consider digital assets 'the wild west'. Additionally, with the traceability of digital currencies cash will continue to remain more useful to criminals and for money laundering and terrorist financing.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
Mr
Piper Alderman
Level 23
2000
Tel: 29253 9999
Fax: 29253 9900
URL: piperalderman.com.au
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