Tag Archives: bitcoin

Nearly 14 Billion have been lost to crimes involving cryptocurrency in 2020 Analytics Firm Reveals

Nearly $1.4 Billion have been lost to crimes involving cryptocurrency in 2020, Analytics Firm Reveals

By Nick James – June 2, 2020

It’s true that the crypto space is awash with criminal masterminds looking to make a buck off the back of unsuspecting victims. Every year, multiple incidents are reported where fraudsters, hackers, and other thieves make away with huge crypto stashes. According to a new report released by renowned blockchain analytics firm, CipherTrace, the first 5 months of 2020 alone have seen the crypto market lose around $1.4 billion to criminals.

Although $1.4 billion is a huge figure to lose to malicious characters, the good news is that 2020 isn’t as bad as 2019. Upwards of $4.5 billion worth of cryptos were stolen in 2019. Still, 2020 looks to be on track to surpass the $1.7 billion lost in 2017. That will make 2020 the year with second-most funds stolen.

“A Classic Pyramid Scheme”

According to the information uncovered by CipherTrace, the major factor contributing to the $1.4 billion stolen this year can be traced to a single entity: Wotoken. Until a few months ago, Wotoken operated a sophisticated crypto-based pyramid scheme that attracted close to a million users. And then it just collapsed.

John Jefferies, the chief financial analyst at the analytics firm, described Wotoken as “a classic pyramid scheme.” Still, the cryptos stolen from the users are moving around – 292,000 LTC, 684,000 EOS, 2.04 million ETH, 56,000 BCH, and 46,000 BTC.

Point To Note

However, it’s worth noting that the bulk of the funds stolen is due to fraud as opposed to hacking. That means crypto exchanges and people are now more cautious and hackers are finding it harder to steal.

In fact, hacking accounts for just around 2% of the reported funds stolen in 2020 – as detailed by CipherTrace.

Criminals Are Getting Smarter

On the other hand, criminals who have acquired cryptos from dubious means seem to be getting smarter in how to hide the trail.

CipherTrace analyzed the cryptos sent from dark web wallets and noted that a majority of them are first transferred to an interim wallet or location before being spent on the regular network to obscure their original source.

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DISCLAIMER

The views expressed in the article are wholly those of the author and do not represent those of, nor should they be attributed to, ZyCrypto. This article is not meant to give financial advice. Please carry out your own research before investing in any of the various cryptocurrencies available.

The original article written by Nick James and posted on ZyCrypto.com.

Article reposted on Markethive by Jeffrey Sloe

Visit MarketHive to learn more: http://markethive.com/jeffreysloe

BitMex En Route to Launching a Mobile App to Trade Crypto Futures

BitMex En Route to Launching a Mobile App to Trade Crypto Futures

Popular derivatives platform of BitMex has indirectly announced it will be launching a Mobile app.

John P. Njui   •   BITCOIN (BTC) NEWS – CRYPTOCURRENCY   •   June 4, 2020  

Quick take:

  • BitMex has indirectly announced that it has been working on a mobile version of its trading platform.
  • The revelation came in the form of a poll on the popular messaging platform of Telegram.
  • This comes after competitors such as Binance and Deribit, slowly but slowly gaining momentum as the choice platform for futures and options trading.

Crypto trading has continued to evolve with exchanges providing extra value-added services such as mobile applications, OTC portals, futures and options trading, peer to peer trading, and more. When it comes to the trading of Bitcoin (BTC) and Ethereum (ETH) contracts, BitMex was the favorite of many traders for the last few years.

However, its dominance has been chipped off by exchanges that have slowly but surely launched their own derivatives products. They include the popular crypto exchanges of Binance, BitMex, Poloniex, KuCoin, OKEx, Huobi, Bitfinex and Deribit.

BitMex Indirectly Announces it Has Been Working on a Mobile Application

The aforementioned competing crypto exchanges have one thing in common in that they have a mobile version of their trading platform available for their users to trade on the go. On the other hand, trading on BitMex has solely been a web browser affair until now.

Earlier today, and on the BitMex announcement channel on Telegram, the team at the exchange indirectly announced that they have been working on a mobile application. The team did so via the following poll requesting followers of the channel to vote on the next feature they would want to see on the exchange.

As can be seen via the screenshot, traders are enthusiastic about the possibility of a BitMex mobile application to trade crypto futures contracts.

BitMex’s Diminishing Dominance in the Trading of Crypto Futures Contracts

As earlier mentioned and over the past few months, BitMex has slowly lost the top spot in terms of the highest trade volume of Bitcoin futures contracts. Other exchanges such as OKEx, Huobi and Binance have slowly chipped away at BitMex’s dominance as can be seen in the Bitcoin volume and Open interest charts below courtesy of the team at Skew.com.


(Click on image for larger view)

Via the charts, we see that BitMex is ranked third in terms of 24-hour Bitcoin futures trade volume. Additionally, BitMex’s open interest comes second to OKEx. Perhaps with the launch of the BitMex mobile app, the derivatives exchange can regain its dominance in the crypto-verse.

Disclaimer: This article is not meant to give financial advice. Any additional opinion herein is purely the author’s and does not represent the opinion of EWN or any of its other writers. Please carry out your own research before investing in any of the numerous cryptocurrencies available. Thank you.

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Original article posted on the EthereumWorldNews.com site, by John P. Njui.

Article re-posted on Markethive by Jeffrey Sloe

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Arthur Hayes: Bitcoin’s BTC Rally Aint Real Until We Take Out 15k

Arthur Hayes: Bitcoin’s (BTC) Rally Aint Real Until We Take Out $15k

Bitcoin's rise above $10K was short lived as a dump forced it back to around $9,300.

John P. Njui   •   BITCOIN (BTC) NEWS   •   JUNE 2, 2020  

In brief:

  • Bitcoin broke the $10,000 psychological price barrier and briefly traded at $10,383.
  • Less than 24 hours later, BTC fell hard to $9,266 in what appears to be a classic Bart Simpson pattern.
  • Bitmex’s Co-Founder and CEO, Arthur Hayes, believes Bitcoin’s rally is not real until $15,000 is broken.

At around the time the daily candle closed yesterday, Bitcoin experienced a magnificent push from around $9,700 to $10,383 (Binance rate) in a matter of minutes. The King of Crypto then proceeded to cool down to levels around $10,100 where it traded sideways before dumping hard to $9,266 less than 24 hours after the rally above $10,000 begun. This move of up-sideways-down is often referred to as the Bart Simpson pattern as can be seen in the rough sketch below.


(Click on image for larger view)

Arthur Hayes: Bitcoin’s (BTC) Rally Aint Real Until We Take out $15k

Before Bitcoin took its massive fall to $9,266, the Co-Founder and CEO of Bitmex, Arthur Hayes, had tweeted that he does not feel like the rally above $10,000 was a real rally. According to Mr. Hayes, Bitcoin needed to break $15,000 for it to be a true Bull season. His tweet can be found below.

$130 Million in BitMex Liquidations on the Journey to $10,000

Further doing a brief analysis of losses in terms of liquidations, when Bitcoin pumped hard above $10K to $10,383, there was a total of $131 Million in liquidations. This is according to the @BitmexSniper bot on Telegram messenger. A screenshot of the breakdown of losses from the bot earlier today can be found below.

$96 Million in Liquidations on BTC’s Crash

During the sudden dip down to $9,300 levels, a total of $96 million in futures contracts were liquidated on the Bitmex exchange.

Binance Hit Hard By Bitcoin’s Flash Crash

Additionally, the Founder and CEO of Binance, Changpeng Zhao, notified the crypto community that the drop down to $9,350 on the BTC futures contracts made a big dent on the exchange’s Insurance Fund. He also explained that there were no Auto-Deleverage Liquidations this time round and that the exchange had improved on the speed of the API used by the futures platform. CZ’s tweet explaining the event at the exchange can be found below.

What Next For Bitcoin?

With the psychological price of $10,000 captured then lost in a span of fewer than 24 hours, the bullishness that was previously in the crypto community might have temporarily faded due to the quickness of the crash that followed. Therefore, observing Bitcoin for another 12 – 48 hours might be advisable for the cautious trader of BTC and other cryptocurrencies. At the time of writing this, Bitcoin has recovered mildly from the drip and is trading at $9,472 – Binance rate.

(Feature image courtesy of Unsplash.)

Disclaimer: This article is not meant to give financial advice. Any additional opinion herein is purely the author’s and does not represent the opinion of EWN or any of its other writers. Please carry out your own research before investing in any of the numerous cryptocurrencies available. Thank you.

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Original article posted on the EthereumWorldNews.com site, by John P. Njui.

Article re-posted on Markethive by Jeffrey Sloe

Visit MarketHive to learn more: http://markethive.com/jeffreysloe

Bitcoin amp Crypto’s Dr Doom Had Warned About Riots back in March

Bitcoin & Crypto’s Dr. Doom Had Warned About Riots back in March

Professor Nouriel Roubini had foreseen the possibility of riots as a result of the economic downturn due to COVID19.

John P. Njui   •   BITCOIN (BTC) NEWS – CRYPTOCURRENCY   •   JUNE 1, 2020  

In brief:

  • In early March, Professor Nouriel Roubini had warned of the looming US and Global economic crisis due to the spread of the Coronavirus.
  • He had predicted that there would be a ripple effect of unemployment and a disruption in the global food supply chain that would lead to riots.
  • The unfortunate death of George Floyd and the resulting protests were further amplified by the anger brought about by lockdowns and unemployment.

On May 25th 2020, George Floyd passed away in Powderhorn, Minneapolis. His death was as a result of a police officer (and three more) kneeling on his neck and body as he lay face down and handcuffed on the street. Mr. Floyd’s arrest and subsequent death, has angered many across the United States and the World as it further demonstrates the underlying issues in America with respect to racism and injustices that continue to haunt the Western nation since its independence from Britain in 1776.

Bitcoin & Crypto’s Dr. Doom Had Warned About Riots in Early March

As several American cities continue to experience social unrest, Professor Nouriel Roubini, also known as Bitcoin’s Dr. Doom, had warned about riots from as far back as early March. His warnings had stemmed from his observation and analysis of the global economic impact brought about by the Coronavirus.

One of his tweets from March 28th in which he warns about pending riots can be found below.

The next wave of the negative supply shock: disruption in US and global food supply chains and risks of food riots. The Arab Spring started with food riots. "A food crisis looms as coronavirus forces farms to stay idle and countries hoard supplies"

Professor Roubini’s Analysis of the Current Riots Rocking the United States

Furthermore, and in the following two tweets, Professor Roubini has explained that the riots go beyond the anger brought about by the unnecessary death of George Floyd. According to him, the unemployment of over 40 million Americans and their simmering anger is another reason why America is burning.

Disclaimer: This article is not meant to give financial advice. Any additional opinion herein is purely the author’s and does not represent the opinion of EWN or any of its other writers. Please carry out your own research before investing in any of the numerous cryptocurrencies available. Thank you.

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Original article posted on the EthereumWorldNews.com site, by John P. Njui.

Article re-posted on Markethive by Jeffrey Sloe

Visit MarketHive to learn more: http://markethive.com/jeffreysloe

The Creator of Bollinger Bands Hints at Bitcoin BTC Breaking 10K

The Creator of Bollinger Bands Hints at Bitcoin (BTC) Breaking $10K

In a recent tweet, John Bollinger has hinted that Bitcoin can break the psychological price of $10,000.

John P. Njui   •   BITCOIN (BTC) NEWS – CRYPTOCURRENCY   •   May 29, 2020  

In brief:

  • The creator of Bolling Bands has postulated a scenario where Bitcoin rallies and breaks $10,000.
  • CME Bitcoin futures expired earlier today.
  • Bitcoin is holding steady above the $9,400 and $9,300 support levels.

The creator of the industry-tested charting tool of Bollinger Bands, John Bollinger, has hinted at the possibility of Bitcoin experiencing a nice rally that could see BTC push hard above the psychological price of $10,000. Mr. Bollinger expressed his trading idea via the following Tweet.

May’s CME Bitcoin Futures Have Expired

Also to note, is that the CME Bitcoin futures for the month of May expired a few hours ago. According to the CME Group website, the derivatives expire on the last Friday of every month at 4 pm London time.

Trading terminates at 4:00 p.m. London time on the last Friday of the contract month. If this is not both a London and U.S. business day, trading terminates on the prior London and the U.S. business day.

What Next for Bitcoin in the Crypto Markets?


1-Day BTC/USDT chart (Click on image for larger view)

Further taking a look at the daily BTC/USDT chart courtesy of Tradingview.com, we observe the following.

  • The Golden Cross on the daily chart is very much valid and could lead to BTC testing $10,000 once again.
  • The current price of Bitcoin at $9,400 is above the 50-day, 100-day, and 200-day moving averages further pleading the case of a bullish scenario in the following days.
  • The short term support zones for Bitcoin are $9,300, $9,200, $9,050, $8,800 and $8,600.
  • Conversely, the short term resistance zones for Bitcoin are around $9,500, $9,600, $9,680, $9,773, $9,879, $9,940 and $10,000.

Possible Retracement for Bitcoin Before a Push-Up

However, there is the possibility of a retracement for Bitcoin as seen through the following chart on the 6-hour timeframe.


6-Hour BTC/USDT Chart (Click on image for larger view)

From this chart, we observe that the bullish momentum of Bitcoin in recent days might be followed by a retracement. The trade volume is seen to be reducing with the MACD moving averages further indicating a move down into the weekend. Additionally, the MFI is high at 75 further pointing to a scenario where Bitcoin will undergo a cool down before the move Mr. Bollinger has suggested, plays out.

As with all technical analyses of Bitcoin, traders and investors are advised to practice risk management as well as use stop losses to protect trading capital.

(Feature image courtesy of Unsplash.com)

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Original article posted on the EthereumWorldNews.com site, by John P. Njui.

Article re-posted on Markethive by Jeffrey Sloe

Visit MarketHive to learn more: http://markethive.com/jeffreysloe

Why The Post-Halving Miner Capitulation That’s Underway May Ignite A Meteoric Bitcoin Rally

Why The Post-Halving Miner Capitulation That’s Underway May Ignite A Meteoric Bitcoin Rally

By Brenda Ngari – May 26, 2020

Bitcoin miners have been on a wild roller-coaster ride in the past few weeks. After the halving on May 11, the rewards they receive were slashed by half from 12.5 BTC per block to 6.25 BTC. As a result, most of the miners using older model mining machines were forced to shut them down as they were registering meager profits. This resulted in a substantial drop in the hashrate.

With bitcoin recently slipping below crucial $9,000 level, fears of a further dive have been renewed. A possible sell-off might discourage new investors from entering the bitcoin market. However, Charles Edwards, a digital asset manager at Capriole, sees the miner capitulation as an opportune time to buy bitcoin at low prices before the next bull market. 

An ‘Almost Vertical’ Rally Could Spring From Ongoing Miner Capitulation 

According to an indicator known as hash ribbons, miner capitulation has started. As miners capitulate, they sell their bitcoin holdings to cover their expenses and cut their losses. This process adds significant pressure to the bitcoin market.

In a tweet on May 25, Charles Edwards pointed out that the second round of miner capitulation in 2020 is currently underway, indicating that BTC could continue slumping in the near-term.

Edwards had noted earlier that BTC’s third halving that just concluded would be a brutal event for miners. Less than two weeks since the event, bitcoin’s weekly hashrate has dropped by 26%. Notably, a similar pattern was witnessed after the two previous halvings in 2012 and 2016 as miner capitulation began within 21 days of the halving.

The silver lining of the current picture is that miner capitulation is often a “massive bull flag” – a continuation pattern of a bullish trend. In fact, Edwards cites that the rallies that ensued after miner capitulation were “almost vertical”.

Edwards did not explain how high bitcoin could go after a miner capitulation. He had, however, stated in late December last year that bitcoin historically saw an average gain-to-cycle-peak of over 5000%.

Strong Fundamentals Boost Bitcoin’s Bullish Outlook

Charles Edwards further noted that bitcoin’s bullish case is bolstered by the strong fundamentals.

He gave three factors to back his assertion: massive increases in Tether (USDT), funds are hungry for bitcoin as they buy all the newly-minted BTC in 2020, and the overall macro picture against a backdrop of BTC’s halved inflation rate. The latter, in particular, is presumably in regard to the expansive monetary measures undertaken by central banks across the globe as a result of the COVID-19 pandemic.

Edwards observed that the hash ribbon buy signal could be confirmed in less than three weeks. This could very well be the last chance to accumulate BTC before the asset starts soaring into the stratosphere.

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DISCLAIMER

The views expressed in the article are wholly those of the author and do not represent those of, nor should they be attributed to, ZyCrypto. This article is not meant to give financial advice. Please carry out your own research before investing in any of the various cryptocurrencies available.

The original article written by Brenda Ngari and posted on ZyCrypto.com.

Article reposted on Markethive by Jeffrey Sloe

Visit MarketHive to learn more: http://markethive.com/jeffreysloe

Binance CEO: We Are Still Early in the Bitcoin BTC and Crypto Game

Binance CEO: We Are Still Early in the Bitcoin (BTC) and Crypto Game

CZ believes those getting into crypto investing right now, should not despair for they are still early in the game.

John P. Njui   •   BITCOIN (BTC) NEWS   •   May 24, 2020   •   2 Min read

In summary:

  • The CEO of Binance, Changpeng Zhao, is optimistic that anyone investing in crypto now, is still early in the game.
  • CZ himself got into the game in 2014 after selling his house only for Bitcoin to crash soon after.
  • He did not sell back then and believes a similar strategy can work till 2025.
  • He also advised those who can hold to do so rather than risking their bags trading.

The crypto community is very close despite all the push and pull that anyone might see on crypto twitter. Everyone wants Bitcoin (BTC) and the entire spectrum of digital assets to succeed. It is with this closeness and willingness to share advice that the CEO of Binance, Changpeng Zhao, has offered some words of encouragement to investors and traders getting into Bitcoin and Crypto in 2020.

We are Still Early in the Bitcoin and Crypto Game

In a tweet, CZ explained that he too got into the game at a time like this 5 years ago and he had initially thought he was late into the game. However, five years later, he still believes it is still early and anyone getting into the crypto game now needs not to worry. In another 5 years, the industry would have grown some more. His tweet went on to request anyone who is unsure about their trading abilities, to hold their bags rather than risking it all in the markets.

Everyone I have met that got into, thinks they got in too late, no exceptions, myself included, until 5 years later.

I expect the same will be true in 2025. We are still early in the game.

Not financial advice. And don’t trade if you are not a trader. #hodl.

CZs Journey into Bitcoin and Crypto

CZs tweet can be linked to his own story of how he got into crypto in 2014 when Bitcoin was trading at $600. Mr. Zhao had just sold his house and gone all in. However, a few months later and in 2015, Bitcoin crashed to $200 but he kept holding and is now the CEO of the largest crypto exchange around by trade volume. The following tweet by CZ gives a better perspective of his journey into crypto.

Disclaimer: This article is not meant to give financial advice. Any additional opinion herein is purely the author’s and does not represent the opinion of Ethereum World News or any of its other writers. Please carry out your own research before investing in any of the numerous cryptocurrencies available. Thank you.

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Original article posted on the EthereumWorldNews.com site, by John P. Njui.

Article re-posted on Markethive by Jeffrey Sloe

Visit MarketHive to learn more: http://markethive.com/jeffreysloe

Bitcoin Leaves Banking Stocks In The Dust As IMF Warns Banks Are In For Major Losses

Bitcoin Leaves Banking Stocks In The Dust As IMF Warns Banks Are In For Major Losses

By Edwin Kinoti – May 23, 2020

The financial crisis exposed by the Covid-19 pandemic has worsened financial vulnerabilities across the world. A new report from the IMF has shown three potential weak spots that can amplify the financial conditions, causing more instability or a worsened financial crisis. These are risky segments in global credit markets, emerging markets, and banks.

This situation has led to the demand for cash, triggering selling pressures, and large outflows of mutual funds. For instance, since the pandemic, emerging markets have recorded capital outflows of over $100 billion. In addition, banks have been affected by low-interest rates, which puts a lot of pressure on their profitability.

Such challenges affect financial stability, as banks play a key role in a dynamic economy. When banks cannot generate profits, they are faced with challenge of providing loans and financial services, denying the economy crucial credit.

The pandemic could cause banks to increase fee income to alleviate pressure on profits. Banks that take excessive risks to recoup profit might have bigger losses in the future. Regardless of the steps banks take, the need to strategize to reduce oncoming losses is apparent, as all sectors have been hit by the pandemic.

Bitcoin Soars

Amidst the challenges and losses facing banks and financial institutions, Bitcoin has seen an upward trajectory, outperforming banking stocks, which is predicted to continue in the coming weeks. The world’s turmoil has not had any major negative impact on the price of BTC, or its popularity, as the season has seen major milestones for the cryptocurrency.

One of these is the Bitcoin Halving that had the blockchain community anticipate the exact day and hour, as well as major predictions on price changes made. Through this event, the price was affected positively, with new active addresses as well as an increase in trading volumes.

The looming economic crisis has driven many people to seek other safer investment opportunities that are better than banks at keeping the value of their investments afloat. This has led to more people using Bitcoin as an investment tool and abandoning banks, which are currently begetting pressure.

BTC’s price is up above $9k, which is a first in many months, as it had stabilized at $7k for a while before the coronavirus outbreak. The increased value of BTC indicates that it has not faced the same woes that banks are currently experiencing, and that it might be one of the few markets not negatively affected by the pandemic.

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DISCLAIMER

The views expressed in the article are wholly those of the author and do not represent those of, nor should they be attributed to, ZyCrypto. This article is not meant to give financial advice. Please carry out your own research before investing in any of the various cryptocurrencies available.

The original article written by Edwin Kinoti and posted on ZyCrypto.com.

Article reposted on Markethive by Jeffrey Sloe

Visit MarketHive to learn more: http://markethive.com/jeffreysloe

Master of Puppets: Bitcoin Cuts the Strings

Master of Puppets: Bitcoin Cuts the Strings

The centralized financial system has compromised itself several times during the last two decades alone, and now it’s time for a serious change!


Image courtesy of CoinTelegraph

            MAY 23, 2020

Did you notice the song that Christian Bale’s character was jamming out to in his office when his partner came in to pull the money in The Big Short? Well, it happens to be my favorite metal band of all time: Metallica. And that song is called “Master of Puppets.” It’s almost ironic that as I was writing this article on the real truth behind what’s currently happening with the collapse of our financial and economic markets and calling it “Master of Puppets” — well, this movie scene popped in my mind. 

Yes, The Big Short is about the big 2008 financial crisis caused mainly by none other than the United States Federal Reserve. Spoiler alert! This will be one of the last times you read about any type of “correlation” here in this article.

Master of Puppets is Metallica’s third album, released in 1986, and it is probably the greatest metal album of all time. I still listen to it almost weekly. It’s great for working out or getting pumped up before a business meeting.

Anyways, back to the master. The curtain has been removed and the truth revealed: money is created out of thin air, and the banks and Wall Street are bathing in it.

To be very clear, there was a major and historical financial crisis by orders of magnitude already about to explode, and the COVID-19 pandemic just brought the economy to its knees a tiny bit quicker.

At a crucial intersection of events in time that couldn't have been more bluntly shoved in your face, 16 million people in the U.S. lost their jobs (and it's almost 36.5 million now.) And like a drunk driver recklessly running a red light at an intersection, the Dow Jones Industrial Average had the highest gains since 1938. All while the Fed was printing 4 trillion U.S. dollars out of thin air.

Where's the correlation? Whoever can find it will prove reincarnation exists, as they must be J. P. Morgan himself, reincarnated in the flesh — only 100 years even more crafty and conniving. And the government and the Federal Reserve say Bitcoin (BTC) is backed by thin air?

Our economy and the Federal Reserve is built on sticks (debt), and remember what happened to that little piggy that didn’t use bricks? Let’s hope the strings become severed from the puppet master and like a bungee cord slap back into its face with the inertia and momentum of more than 150 years of control, lies and manipulation.

The amount of truth that’s starting to become available and acknowledged by the general public about our governments and financial institutions is alarming, and hopefully this will be a stepping point into a new paradigm or, what I like to say, a “new world order.”

The Fed and the government’s economic strategy is just putting an already used Band-Aid (quantitative easing and debt monetization) on a gunshot wound. It’s not fixing the real problem. And for obvious reasons.

The U.S. has for years substantially spent trillions of dollars more than it brings in. To date, the debt owed by the federal government is over $25 trillion. Even more unfathomable to see, with some very complicated calculations, is that it’s looking like an estimated, or near, amount of $100 trillion will need to be printed (out of thin air), or what the Fed likes to call "increase the monetary base,” in order to bail out and keep institutions afloat.

This would then create the ripple effect of causing global economies to reach hyperinflation such as has been never seen before. That's called a lose-lose (or no-win) situation caused by none other than our government, the banking system, Wall Street and their combined mismanagement of our economies.

Understanding economics and monetary policies can be complicated for many, even myself, but it’s not complicated enough where I will not speak up and just sit here as the blind sheep being led by the wolf in sheep’s clothing to my bitter end.

To clarify, as it's important: Bitcoin will never be a replacement for a nation’s central bank currency or new digital currency that's in development now. It’s more the digital gold of the 21st century and onward.

But most importantly, and much like the U.S. fighting for its freedom and control from an unfair controlling centralized system such as England, it was the first to step in thousands of years of oppression to launch a revolution.

Like Joan of Arc or Che Guevara, who became martyrs for the better of society, Bitcoin itself has taken the beating from its first inception — including being declared a national security issue — but it was so powerful in igniting a revolution that it withstood all the hardships and persecution that the governments and central banks cast upon it. So, what it serves to be is the Medal of Honor for this new paradigm shift of the people’s money, leading the future of money with a more transparent, fair and peer-to-peer monetary system.

The more we talk about this, the more people may eventually get it — I hope. The general public should really try to understand this. It’s all credits and debts and leveraged positions and margins.

Remember that incredible luncheon scene in The Wolf of Wall Street where Matthew McConaughey’s super Wall Street broker character educates a young and hungry rookie broker, played by Leonardo DiCaprio, breaking down how the real system works? Matthew McConaughey, with a straight face and twist of sarcasm, says, “Fugayzi, fugazi. It's a wazzy, it's a woozy. It's fairy dust. It doesn't exist. It's never landed. It is no matter. It's not on the elemental chart. It’s not f—— real.”

Just so you know: This system doesn’t just apply to brokering trades on the stock market. It applies to all the banking, monetary and financial systems around the world.

Fairy dust old money is just a hierarchically controlled propaganda belief system.

Blockchain-based new money is the P2P, fair and transparent people’s-money.

That's exactly right. Thank you, Martin Scorsese and your screenwriters, for this brilliantly creative scene. Yet it’s fair to say that this part of the scene was definitely outshined by the more memorable “rookie numbers” part.

But as history has continuously proven to us, unfortunately, much of the population takes comfort in the machine (the “master”), no matter the consequences. As some say, “Ignorance is bliss.” 

Maybe they were so caught up in the genius writing and humor from Scorsese and these two brilliant actors that they missed it. I know I almost fell out of my chair laughing.

So, as the banker artistically creates his leveraged position out of thin air, like abstract images flow out of the tip of Dali’s paintbrush — or Scorsese's brain to film — I ask you: Does art imitate life, or does life imitate art?

Finally, the cat is out of the bag, though unfortunately only hindsight is 20/20, and time will tell what changes actually occur after this mess. Hopefully it’s different this time. 

As says the famous "possible quote" of Henry Ford (most people don’t know the real facts behind that quote) that was paraphrased by congressperson Charles Binderup on March 19, 1937, in the House of Representatives:

“It is perhaps well enough that the people of the nation do not know or understand our banking and monetary system, for if they did I believe there would be a revolution before tomorrow morning.”

Want to know how the banking system really works? Here it goes:

You don't deposit cash at a bank. You actually just lend it to the bank, and when you go to draw on that account, you are just creating a transaction inputted on a digital ledger. You are not actually drawing out your original money. The banks then charge you fees to actually lend them money as well in the form of monthly account fees, overdraft fees and all the other small print fees that sneak in.

When the bank deposits money in your account in the form of a credit — for instance, if you buy a house — it's not an actual credit, it's really a debt that it repackages and calls a mortgage by leveraging its position and creating a profit margin for the services of lending you part of your own money back that you originally gave it, as well as all its other customers’ money. There is only one form of real money in this transaction, and that is the money that you originally gave the bank. It’s basically holding a lien over you and on your new house with the money you and its other customers let it borrow, which it turned around and let you borrow again and charged fees on it. All it did was “artistically” create a leveraged position and profit margin by creating a credit and debt out of thin air.

The stark reality is that there really is no money. This centralized system is just conjured up credit, debt and margin entries on a centralized ledger that’s agreed upon (consensus) by a centralized group of participants.

The views, thoughts and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.

J. D. Salbego is the CEO of Legion Ventures. He is a global leader in blockchain and digital securities with a history of working with industry-leading startups, crypto funds, institutions and governments to drive blockchain innovation, STOs/ICOs, crypto capital markets, international expansion, digital asset fund strategy and go-to-market frameworks. His work has been featured in Forbes, Business Insider and Yahoo. As a market influencer, a speaker, a published author and an internationally recognized subject matter expert, Salbego is frequently invited to speak at leading conferences such as the World Economic Forum, BlockShow and Delta Summit.

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Original article posted on the CoinTelegraph.com site, by J.D. Salbego.

Article re-posted on Markethive by Jeffrey Sloe

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Hayes: PTJ Owning Bitcoin BTC Removes Career Risk from Fund Managers

Hayes: PTJ Owning Bitcoin (BTC) Removes Career Risk from Fund Managers

John P. Njui   •   BITCOIN (BTC) NEWS   •   May 22, 2020   •   2 Min read

Quick take:

  • The Co-Founder and CEO of Bitmex, Arthur Hayes, has just published his most recent crypto digest.
  • In the extensive post, Mr. Hayes explained that Paul Tudor Jones owning Bitcoin will remove career risk from fund managers owning Bitcoin risk.
  • In one swift decision, Paul Tudor Jones normalized fund managers investing in BTC.

Users of the popular derivatives platform of Bitmex regularly receive email digests from the Co-founder and CEO of the exchange, Arthur Hayes. In the most recent edition, Mr. Hayes muses on how the recent move to own Bitcoin by the legendary Paul Tudor Jones, took off a heavy load from the shoulders of fund managers across the globe.

Paul T. Jones Owning Bitcoin Removes Career Risk from Fund Managers

Hayes explained that in one swift move, Mr. Jones’ decision to hedge against inflation using Bitcoin removed career risk from fund managers who are often judged from their past performances trading the markets. The move by Paul T. Jones normalized owning Bitcoin risk by fund or portfolio managers.

Paul Tudor Jones (“PTJ”) is a trader with a capital f*cking T.

His homage to why inflation is coming and Bitcoin is a possible way to outperform inflation in the coming years is very important because it removes career risk from fund managers owning Bitcoin risk.

Fund Managers Try To Think Like Legendary Traders

Arthur Hayes went on to explain the career of an average fund manager using his own example rising up the ranks. Hayes explained that being a fund manager was not as exceptional as many people believed and perhaps the only advantage they have over other graduates, is the school they went to.

Nothing about your career path [as a fund manager] is exceptional in any way.

You aren’t a brain surgeon, any type of engineer, or a well-regarded public servant.

You went to a nice school, got a well-paying job, and survived.

He went on to explain that average money managers spend plenty of time researching prominent fund managers in a bid to better understand their strategies. In the case of Paul Tudor Jones, he has already established himself. Therefore, fund managers willing to own BTC, or a derivative of Bitcoin, can now do so with ease because investors now know it is not an unorthodox investment. Mr. Jones took all the risk by being extraordinary with the decision to own BTC.

As with all walks of life, there are a few truly exceptional money managers.

They first preserve your capital, and second, earn a positive absolute return.

PTJ is one of them.

Average money managers pour over the writings of the gods, and try desperately to think like they do.

But we know in the back of our mind, they are average. They are average and average pays f*cking gloriously. Why would you want to be extraordinary and expose yourself to career risk.

(Feature image courtesy of Unsplash.)

Disclaimer: This article is not meant to give financial advice. Any additional opinion herein is purely the author’s and does not represent the opinion of Ethereum World News or any of its other writers. Please carry out your own research before investing in any of the numerous cryptocurrencies available. Thank you.

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Original article posted on the EthereumWorldNews.com site, by John P. Njui.

Article re-posted on Markethive by Jeffrey Sloe

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