Could a digital currency function without blockchain technology? The developers of CloudCoin say ‘yes.’

DNS tech-based digital currency

CloudCoin has announced the launch of a cloud-based digital currency, with no blockchain, public ledger, accounts, or encryption. Instead the currency uses internet Domain Name Service (DNS)-derived technology to enable secure email-to-email, or email-to-wallet transactions. 

According to CloudCoin, it’s the most private digital currency ever developed, and eliminates the risk of theft because there are no private keys. They even say lost CloudCoins can be recovered. 

Introducing the new currency, President of the CloudCoin Consortium, Sean Worthington, said:

“Cryptocurrencies built on blockchains come with a host of challenges, making it difficult to do simple things like buy a cup of coffee. Transactions take too long, fees are too high and it is still too difficult to scale. We developed CloudCoin to overcome these challenges and pave the way for mass adoption.”

Efficient, and “quantum-secure”

CloudCoin’s cloud-based Redundant Array of Independent Detection Agents (RAIDA), is based on DNS technology and distributed across twenty-five national jurisdictions. Its transactions require such a small amount of energy that gas fees aren’t needed.

Furthermore, CloudCoin says it’s unhackable, can’t be double-spent, and not even governments have the ability to spy on it. This is because the RAIDA system only authenticates transactions, and all the information about the coins is held in the actual coins themselves – with each CloudCoin basically being a JPEG image file.

The CloudCoin White Paper gives a simple explanation of how it works as follows:

“I have a JPEG image with twenty-five random GUIDs (Globally Unique Identifiers) embedded in it that only I know. We call this JPEG a CloudCoin. Each RAIDA cloud knows one of the twenty-five GUIDs. I can prove to you that I am the owner by authenticating the GUIDs in parallel with the RAIDA using simple free open-source software made by the Consortium.

If I want to buy something from you, I will give you the JPEG image and now we both know the secret numbers. Anyone who knows the secret numbers can change them by contacting the RAIDA. Now you can use the secret numbers to change them to your own secret numbers. Now, you are the owner of the CloudCoin, and I no longer know the numbers registered in the RAIDA.”

Because authentication data is shredded instead of encrypted, and distributed across the RAIDA, the system is said to be “quantum-secure.” Speed isn’t going to be an issue either, with CloudCoin claiming 100,000 CloudCoins can be transacted, totally securely, in less than 3.5 seconds. 

CloudCoins can be transferred using ProtonMail, a free encrypted email service, or using a Sky Wallet. 

Available only in set denominations

Interestingly, because each CloudCoin is a file, they can’t be subdivided in the same way a crypto like Bitcoin (BTC) can be. Instead, just like real physical cash, they are issued in denominations of one, five, 25, 100, and 250 CloudCoins. But, unlike real cash, CloudCoin isn’t inflationary, with a set limit of 16,777,216 CloudCoins in the cloud. 

CloudCoin has even patented its “Method of Authenticating and Exchanging Virtual Currencies” in an attempt to stop copycats. 

Inspired by Stefan Molyneux?

According to its official website, the United States-based CloudCoin Consortium was created in October 2016, by founding member Sean Worthington. Apparently, he realised “monetary systems are physical implementations of information systems and money is data”, while sitting in the bath listening to Canadian YouTuber Stefan Molyneux. 

As many of you will know, Stefan Molyneux is nothing if not a controversial figure, having recently been banned from YouTube for “white supremacist content and hate speech.”

AYO.NEWS says:

While the CloudCoin system is very novel and interesting, I can’t help but notice what seems like a major flaw.

Sean Worthington points out that the complexity of blockchain-based cryptocurrencies makes it “difficult to do a simple thing like buy a cup of coffee.” But, while there may be some truth in this, if there are only ever going to be just under 17 million CloudCoins, and you can’t subdivide it beyond 1 unit, it’s clearly not scalable for everyday “simple” uses like buying a cup of coffee – because pretty quickly that cup of coffee would get very expensive!

But, we have to give the CloudCoin developers some serious kudos for “sticking it to the man” – even the graphic for a “One CloudCoin” bill features the famous image of the so-called ‘Tank Man’ of Tiananmen Square.

And, as for the part Stefan Molyneux played in inspiring the project – well, while it may seem tempting to run from anything even partly inspired by an alleged creator of “white supremacist hate speech”, can we really take anything at face value when it comes to YouTube censorship in the era of the “woke” witch-hunts and “cancel culture?”

I’ll keep an open-mind on this one, for now… 

‘AYO.NEWS says’ features the opinion of the author and does not necessarily reflect the views of Pentagon Digital Limited or its affiliates or associates. 

All original content featured on this site is © Pentagon Digital Limited, 2020

HDR Global Trading Limited, owner of crypto derivatives platform BitMEX, has restructured and rebranded as ‘100x Group’. 

Led by founders Arthur Hayes, Ben Delo, and Sam Reed, Seychelles-based 100x Group now has more than 200 employees. 

Announcing the restructure,  100x Group CEO, Arthur Hayes, said:

“This evolution will provide us with more freedom to explore, incubate and pursue new opportunities and investments, whilst remaining entirely committed to enhancing BitMEX’s leadership position. 

“The BitMEX platform, brand and legal structure remain entirely unchanged by the launch of the 100x Group, but we will be doubling down on growth of BitMEX through continual product innovation and technology advancement. BitMEX is, and will remain, the cornerstone of our success.”

On 30 June, Dr. David Wong was appointed as 100x Group’s non-executive chairman. Wong had previously held senior positions at Bank of China and ABN AMRO Bank. 

Many legal battles ahead

As we reported in May, BitMEX and its executives are currently facing a huge lawsuit in California for alleged racketeering, money laundering, wire fraud, and unlicensed money transmission. 

And, if that wasn’t enough of a headache, the firm, along with others including Binance, Block.one, and TRON, has been hit with a class action lawsuit in New York. The lawsuits allege the companies were involved in selling unlicensed securities, without broker-dealer licensing, and that they engaged in market manipulation of cryptocurrencies. 

AYO.NEWS says:

With something of a Sword of Damocles hanging over their heads it must be challenging for Hayes, Delo, and Reed to focus on running 100x Group’s business, but it sounds like they are planning to expand beyond BitMEX so it will be interesting to see what happens next. 

‘AYO.NEWS says’ features the opinion of the author and does not necessarily reflect the views of Pentagon Digital Limited or its affiliates or associates. 

All original content featured on this site is © Pentagon Digital Limited, 2020

NASCAR’s only African American driver Darrell “Bubba” Wallace has revealed his car will be featuring the Bitcoin (BTC) logo. 

Yesterday Jack Dorsey, CEO of Twitter and Square, tweeted pictures of the new graphics for Wallace’s No.43 Chevrolet Camaro, which includes two BTC logos along with those of Square’s Cash App. 

Wallace has been in the public spotlight recently for demanding NASCAR ban the Confederate flag, and claiming he’d found a noose in his team garage.

Though photographs showed what appeared to be a rope noose in the driver’s garage, a subsequent FBI investigation determined it was actually a rope door pull, had been in place since last year, and no crime had been committed. 

Thanks to the global media coverage Wallace’s noose claims garnered, NASCAR’s ratings have shot up 8% on the FOX network – much to President Trump’s disappointment. He had predicted Wallace’s accusations would cause people to abandon NASCAR. 

#bitcoin @BubbaWallace pic.twitter.com/tNSio3qnTz

— jack (@jack) July 14, 2020

AYO.NEWS says:

Whatever your views of Wallace and the alleged noose, his BTC and Cash App logo adorned car can only help boost the visibility of crypto, so it’s all good in the end. 

Staying with NASCAR and racial tensions, in April driver Kyle Larson was suspended for using a racial slur during an iRacing event. 

Now, if everyone can just get along…

‘AYO.NEWS says’ features the opinion of the author and does not necessarily reflect the views of Pentagon Digital Limited or its affiliates or associates. 

All original content featured on this site is © Pentagon Digital Limited, 2020

Malta-based cryptocurrency company Binance has announced the launch of its cryptocurrency debit card in Europe and the United Kingdom. 

The new card will allow users to convert and spend their Bitcoin (BTC), Binance token (BNB), Swipe’s native SXP, and stablecoin Binance USD (BUSD) to fiat at more than 60 million merchants across 200 regions and territories worldwide. 

In contrast to most crypto cards, the new Binance card functions like a true debit card, rather than a prepaid card. Powered by Swipe’s platform, the Binance Card means crypto assets remain in their native form until the point-of-sale. 

Users can recharge their Card Wallet from their Binance Spot Wallet, and set an order of preference to debit their crypto assets. 

Discussing the launch Binance CEO, Changpeng Zhao (CZ), said:

“By providing a tangible way to transact, convert, and spend crypto for everyday use, we are furthering our mission of making crypto more accessible to the masses. Giving users the ability to convert and spend their crypto directly with merchants around the world, will make the crypto experience more seamless and applicable.

“We are looking forward to making the Binance Card available to users in other regions, as well as introducing new features to enhance the Binance Card experience through our partnership with Swipe.”

Binance users based in the European Economic Area (EEA) will be able to apply for a card from August, with applications for UK users will open shortly after. The company has also said to be planning a US launch subject to completing the necessary licensing and registrations.

AYO.NEWS says:

Though crypto payment cards are nothing new, by creating a frictionless way to use cryptocurrencies for everyday purchases, without the need to remember to pre-load it, the Binance Card is yet another small but real step towards taking cryptocurrencies truly into the mainstream.

Staying with Binance, last week the company announced it was adding fiat gateway support for 15 national currencies through a partnership with Etana Custody.  

‘AYO.NEWS says’ features the opinion of the author and does not necessarily reflect the views of Pentagon Digital Limited or its affiliates or associates. 

All original content featured on this site is © Pentagon Digital Limited, 2020

A proposed South Korean taxation bill could mean cryptocurrencies become subject to capital gains tax in the country. 

According to local media outlet Newsway.co.kr, lawmakers are discussing plans to classify cryptocurrencies as “goods” rather than currencies, and charge capital gains tax of up to 20%.

Though there has been talk of imposing a 20% income tax on cryptocurrency transactions for some time now, until recently South Korea considered virtual assets merely as a function of currency, so they were not subject to tax. 

However, courts in the country have now determined that virtual assets like cryptocurrencies can be classed as electronic certificates of economic value that can be traded, and when they are sold they can be considered assets, and hence subject to capital gains tax. 

With South Korea being one of the world’s cryptocurrency hubs, there are fears that a move to apply such a high tax rate to cryptocurrency sales will hinder the development of the sector. 

AYO.NEWS says:

When it comes to tax and cryptocurrencies, various countries are taking very different approaches. Notably, the United States imposes capital gains tax on crypto transactions, which makes using cryptos for small everyday transactions quite problematic due to the accounting requirements. On the flip side, Portugal has said it has no intention to charge tax on cryptocurrency trading, payments or earnings. 

‘AYO.NEWS says’ features the opinion of the author and does not necessarily reflect the views of Pentagon Digital Limited or its affiliates or associates. 

All original content featured on this site is © Pentagon Digital Limited, 2020

Reality Gaming Group has secured an exclusive global licence from JoyPixels to develop and publish a blockchain-based tradable emoji icons and a companion game.

Ahead of 17 July’s World Emoji Day, Reality Gaming Group has revealed it will be launching Emojibles, allowing emoji fans to collect their favourite icons for the very first time, and enjoy real-time action in the Emoji Clash game. 

Some Emojibles will be rarer than others, with exclusive Emojibles created just for the game itself and featuring their own unique powers and gameplay. 

Each emoji icon will be tokenised into a non-fungible token (NFT), and secured and protected on the blockchain, enabling total transparency and security. This means collectors will be able to own truly unique digital Emojibles, which can be used in the Emoji Clash game or traded with other players. 

Emojibile packs go on pre-sale from September 2020. After the pre-sale the drop rates of Epic, Legendary, and Godlike emojis will reduce drastically, but will still be earnable within the Emoji Clash game. 

Cosmetic Bitcoin, Ethereum, and Translucent skins will also be available for a large number of emojis, and once sold out they will never be available to purchase again unless traded in the Emojible dedicated online marketplace.

Finally, the companion Emojibles game, Emoji Clash, will be released for PC and mobile in 2021, allowing players to go head-to-head with their Emojibles.

Commenting on the news Operations Manager of Reality Gaming Group,Terri Leary, said:

“We are tremendously excited to be working with JoyPixels to bring to the huge global emoji fan community an exciting new digital experience. Emojibles are both functional and collectible, so fans can actually own a piece of the Emoji Clash game while they play.”

While CEO of JoyPixels, Rick Moby, added:

“JoyPixels is mighty privileged to be partnering with Reality Gaming Group to bring an official emoji NFT featuring our exclusive artwork. 

“Blockchain collectibles are just scratching the surface and we’ve been itching for the right opportunity to enter the space. The creative vision and highly regarded team behind RGG gives us the confidence that Emojibles will be a true winner that stands out from the crowd!”

According to Reality Gaming Group, the blockchain will unlock a $100 billion collectibles market for game creators and brands, with the volume of digital collectibles traded on the blockchain predicted to increase by some 1,000% in 2020.

UK-based publisher Reality Gaming Group’s Digital Asset Trading (DAT) Platform uses innovative blockchain technology to turn any IP into a rare and collectible digital asset that can be traded between fans using dedicated marketplaces.

Its debut title, mobile AR combat game Reality Clash, was released in 2019 and pushed the boundaries of what’s possible when AR, VR, geo-location and blockchain technology are combined.

AYO.NEWS says:

As we’ve said before, the marrying of collectibles, video games, and blockchain technology is giving rise to a truly digital parallel economy. In decades to come, it may well be common for a significant percentage of an individual’s wealth to comprise of digital assets beyond just digital currencies. 

Staying with blockchain gaming, last week Animoca Brands reported record revenue during the COVID-19 lockdown. The company’s line-up, which includes titles like The Sandbox, F1 Delta Time, and Crazy Defence Heroes generating $7.34 million USD during the first four months of 2020. 

‘AYO.NEWS says’ features the opinion of the author and does not necessarily reflect the views of Pentagon Digital Limited or its affiliates or associates. 

All original content featured on this site is © Pentagon Digital Limited, 2020