Tag Archives: Cryptocurrency

How Can I Get Free Cryptocurrency From an Airdrop?

In the cryptocurrency space,

already prone to extreme levels of interest by digital money enthusiasts, some of the most-hyped events are airdrops. An airdrop is an event in which a cryptocurrency developer issues free coins or tokens to a user base, sometimes as a result of a hard fork and sometimes as part of a promotion or other change in network design. The key for most investors is becoming aware of the airdrop phenomenon before it takes place. If you find out too late, you've missed out on your chance for free tokens or coins. Fortunately, a report by decentralpost.com provides cryptocurrency investors with tools to gain more advanced notice about these special promotions and giveaways.

Airdrops That Take Place Alongside Hard Forks

One of the most common scenarios in which an airdrop is likely to take place is a hard fork of a major cryptocurrency. More than 20 bitcoin hard forks have taken place in the past year, for instance, and some of these resulted in investors who previously held bitcoin receiving new tokens for simply maintaining their investments. EtherZero, LitecoinCash, and MoneroV were projects that caused a similar level of investor sensation in recent months. In each of these cases, though, time showed that the forked coin was far less important than the original, and the new altcoin eventually lost interest and value.

Staying Apprised

How should an investor go about monitoring upcoming airdrops to make sure that he or she has access to the latest altcoin information? One of the first and most important tools is Twitter. This social media platform has become a hotbed for cryptocurrency investors, and it's common for a digital currency developer to provide information about an upcoming airdrop via a tweet. Investors may even regularly search for the phrase "airdrop" on Twitter, although this can provide a deluge of information that is difficult to sift through. For this reason, dedicated Twitter accounts like Crypto Airdrops and AirdropAlert can be useful.

Besides Twitter accounts dedicated to upcoming airdrops, information about these events can be found at a number of different websites. Of course, there is no guarantee that any information found on Twitter or on one of the sites above will be genuine, or that a newly issued digital currency will not be fraudulent, so investor caution is paramount.

Investing in cryptocurrencies and Initial Coin Offerings ("ICOs") is highly risky and speculative, and this article is not a recommendation by Investopedia or the writer to invest in cryptocurrencies or ICOs. Since each individual's situation is unique, a qualified professional should always be consulted before making any financial decisions. Investopedia makes no representations or warranties as to the accuracy or timeliness of the information contained herein. As of the date this article was written, the author owns bitcoin and ripple.

Authored by

Nathan Reiff
http://www.investopedia.com/corp/contactus.aspx?writerid=54684&subject=Investopedia Contact Form

Nathan Reiff is a writer and musician based in the New York City area. He holds degrees from Yale University and the University of Michigan. Nathan has previously worked for Orion Consultants and Partners in Performance and has written for Internet Brands on subjects ranging from money matters to personal and home development. His interests include technology, travel, and food.

Original URL

 

TRON’s $1.7M Airdrop To Ethereum Community Is A Potential Killer

TRON’s $1.7M Airdrop To Ethereum Community Is A Potential Killer

The launch of TRON testnet signals

that TRX will soon leave the ERC20 network and move to its personally developed mainnet, which will provide dependable futures for users and developers. Not long after TRON revealed the launch, it stated that the mainnet will be fully deployed in May and that anything that has to do with TRON will move out of ERC20 network, a platform owned and managed by Ethereum.

Now, the TRON team has aired that it earmarked 30 Million TRX (equivalent to approx. USD$1.7M) airdrop to Ethereum community as an appreciation towards Ethereum for their “support during TRON’s ERC20 phase in addition to preparing for the Super Representative Elections after mainnet launch”.  While TRON is making all these moves, the cryptocurrency is as well revealing it will soon be a competitor to Ethereum, and will soon outsmart the platform by becoming a DApp platform. The revelations did not go down well with Ethereum, resulting in the CEO, Vitalik Buterin saying the project has no soul. There is a sense in accepting that one has competitors, there is also a sense in accepting that one’s competitors are not reliable. Maybe Vitalik has chosen to accept the later and move on.

It is a fact that TRON is now Ethereum’s competitor, and the platform is doing everything to become more acclaimed than Ethereum is. This is visible in Justin Sun, founder of TRON’s statements and body languages. “From today to the last day, we are no longer the ERC20 token and in the future, we will compete with Ethereum as a DApp platform,” Sun had said during the launch of testnet.

“We will compete face to face with Ethereum, and we have confidence we will build a large ecosystem; a much large ecosystem than the Ethereum. I will explain to you why we can surpass Ethereum in the future.” After declaring to be Ethereum’s competitor, the platform unveiled a whopping sum airdrop purposely for Ethereum community. This is a potential killer for Ethereum, it is in many ways!

The Airdrop Is Nearly For Every Ethereum Users.

The airdrop is majorly for those who have a balance of over 1 ETH after January 1, 2018. It appears like TRON wants to give nearly all Ethereum users the opportunity. Doing this will give Ethereum investors an avenue to experience the newest generation decentralized network and participate in community governance because according to TRON, there are many issues on Ethereum platform that TRON has solved on its main Network.

The airdrop as well gives the Ethereum community an opportunity to experience a high transaction per second development platform and use TRX to vote in TRON’s democratic community. This is saying something that the Ethereum community might not understand. Even though the TRON’s team did not state that Ethereum’s platform is not decentralised, they believe theirs is more decentralized, hence, the reason for Ethereum community to have a taste of a new generation democratic platform. This is purely an enticement for Ethereum community, and it may kill Ethereum, or make it HODlers believe in TRON.

Remember TRON is Moving Everything It Has Out Of Ethereum’s Platform?

TRON team will not only migrate to mainnet, it will as well have its DApps which are right now on Ethereum moved to TRON network. At present, TRON has 100 million users on its DApps, and all the DApps will be migrated to the new platform once it is launched.  There is no way Ethereum won’t feel this, but it will feel the $1.7 Million airdrop the most.

TRON Donates 1 Billion USD To Community

Funny how TRON donated $1.7 Million to Ethereum community, and now the platform is donating $1 billion to its community. The fund is purposely for developers and supporters to make TRON grow. Meaning, in few months after the launch, DApps will flood Mainnet and possibly outnumber that of Ethereum. The way TRON is moving, it actually wants to kill Ethereum, or possibly make it hibernate from the crypto space and if possible render its DApp platform useless.


http://ethereumworldnews.com/author/yusuff/
https://ethereumworldnews.com/trons-1-7m-airdrop-to-ethereum-community-is-a-potential-killer/

  • Yusuff Olayode Supoto is a technology enthusiast, book editor, and business developer. He has contributed to Huffington Post, Thrive Global, TheTick Times, The Independent Republic, Oracle Times, among other reliable platforms. Yusuff just fell in love with blockchain, and he’s doing awesome in the space. He roars on many occasions, especially when things go wrong in his country, when Manchester United loses, and when CR7 scores. Yusuff is praying to meet to meet who's who in the blockchain industry, may be in an international conference.

Cryptocurrency Market Approaching $400 Billion as Bitcoin Tests $9,000

Cryptocurrency Market Approaching $400 Billion as Bitcoin Tests $9,000

 

 cryptocurrency market extended its bullish rally on Sunday,

as bitcoin and the major altcoins continued to test multi-month highs. Buy orders accounted for the overwhelming majority of transactions, giving rise to expectations of a more sustained upswing in prices.

Cryptocurrency Rally Continues

The combined value of all cryptocurrencies peaked at $397.2 billion on Sunday, the highest since Mar. 8. At press time, the market was valued just below $394 billion. Transaction volumes ebbed on Sunday, with daily turnover amounting to $20.8 billion. Volumes were up around $25 billion on Saturday. In terms of individual currencies, bitcoin crossed the $9,000 mark for the second time in as many days. The digital currency was last seen trading at $8,932, having gained 4.8%. However, its share of the total market decline to around 38%.

All major altcoins contributed positively to the rally, with Ethereum gaining nearly 5% to $632. The value of Ripple XRP rose 2.6% to $0.886. Bitcoin cash also extended its bullish rally, climbing nearly 7% to $1,226. Since bottoming at $249 billion on Apr. 6, the cryptocurrency market has added nearly $150 billion in value. Since the market crash of early February, coins have crossed the $500 billion mark on only one occasion, and that was roughly two weeks later. The total market has been capped below $400 billion since early March.

Bulls in Firm Control

The dramatic recovery in cryptocurrency prices can be summed up in one vital statistic: nine out of every ten trades have been buy orders. That figure was as high as 92.9% on Thursday, according to TurtleBTC. Cryptocurrency trading is largely governed by investor sentiment, especially among speculators entering the market for a quick profit. This environment, when combined with thin volumes, often generates sporadic trading conditions that are characterized by extreme volatility.

Sentiment has been overwhelmingly positive over the last two weeks as investors looked to capitalize on extreme oversold conditions. Traders have seemingly shrugged off negative news headlines concerning India’s crackdown on cryptocurrency trading as well as the state of New York’s inquiry into exchanges. There’s strong reason to believe that South Korean traders are playing a major role in the price recovery. According to the most recent volume rankings, three South Korean exchanges are among the top-five in total trading volumes.  They are: OKEx ($1.8 billion in daily volume), Upbit ($965 million) and Bithumb ($751 million).

With the recent spike in volume, cryptocurrencies are once again trading at a large premium in South Korea. This is generally the norm during bull cycles due to high demand and supply constraints. These premiums drew negative attention to exchanges last year as government officials began equating cryptocurrency trading with gambling. Disclaimer: The author owns bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.

Authored by Sam Bourgi


Sam Bourgi is Chief Editor to Hacked.com, where he specializes in cryptocurrency, economics and the broader financial markets. Sam has nearly eight years of progressive experience as an analyst, writer and financial market commentator where he has contributed to the world's foremost newscasts.

Original URL: https://hacked.com/cryptocurrency-market-approaching-400-billion-as-bitcoin-tests-9000/

 

Third Co-Founder Of Centra Tech Charged With $25 Mln Securities Fraud

Third Co-Founder Of Centra Tech Charged With $25 Mln Securities Fraud

The third co-founder of crypto financial services

startup Centra Tech Raymond Trapani has been arrested yesterday, April 20, and charged with securities and wire fraud of more than $25 mln associated with the company’s Initial Coin Offering (ICO), according to the US Department of Justice’s (DOJ) press release April 20. The two other co-founders, Sohrab Sharma and Robert Farkas, were arrested and charged of the same offenses earlier in April. Sharma, Farkas, and the now also arrested Raymond Trapani advertised the “Centra Card,” a debit card that was reportedly backed by Visa and Mastercard, which allowed users to convert crypto into fiat currencies.

The US Securities and Exchange Commission (SEC) reports that no partnership actually existed between Centra and the two credit card companies. According to the DOJ’s press release, after the founder of an unrelated allegedly fraudulent ICO was arrested last fall, Sharma asked Trapani and Farkas to remove all false information, “fufu,” about Centra’s deal with Visa from their website: “I rather cut any fufu . . . Now . . . Then worry . . . Anything that doesn’t exist current . . . We need to remove.”

New York Times writer Nathaniel Popper tweeted an excerpt of the SEC’s complaint against Trapani, referring to the problems the Centra Tech founders ran into by using random people’s photographs as their “team members” online. One solution to the issue of needing to remove the photos when people complained was to invent a fake car accident to kill the fake CEO and his fake wife:

In the DOJ’s press release, Deputy U.S. Attorney Robert Khuzami said,

“As alleged, Raymond Trapani conspired with his co-defendants to lure investors with false claims about their product and about relationships they had with credible financial institutions.  While investing in virtual currencies is legal, lying to deceive investors is not.”

Centra Tech had been promoted by celebrities like boxer Floyd Mayweather and DJ Khaled. Last fall, the SEC had warned the public that celebrity endorsements of ICOs could be illegal if they don’t reveal the compensation they receive for their advertising.

Authored by
Molly Jane Zuckerman

Molly Jane Zuckerman@MollyJZuckerman
reporter
@cointelegraph

Original URL
https://cointelegraph.com/news/third-co-founder-of-centra-tech-charged-with-25-mln-securities-fraud

Molly Jane is a Russian Literature major from California with a background in writing. She joins Cointelegraph after working as a freelance journalist and blogger.

WikiLeaks Shop Reports Suspension Of Coinbase Account Due To Terms Of Service Violation

WikiLeaks Shop Reports Suspension Of Coinbase Account Due To Terms Of Service Violation

 

 

WikiLeaks Shop, the merchandise arm of international

anonymous publishing non profit WikiLeaks, reported on Twitter Friday, April 20, that their account with crypto wallet and exchange Coinbase has been blocked. WikiLeaks Shop’s tweet contains a screen grab from an alleged email from Coinbase that states the organization violated their Terms of Service and therefore “can no longer [receive] access to [their] service.” Coinbase has not responded to a requests for comments on the specifics of WikiLeaks Shop’s violation by press time.

All proceeds of the shop go to WikiLeaks operations, and customers can pay in Bitcoin, Litecoin, Bitcoin Cash, Dash, Dogecoin, Ethereum, Neo, Namecoin, Vertcoin, Monero and ZCash through Coinpayments.net. The official WikiLeaks Twitter posted a call for a “global blockade” of Coinbase in response to the block: Bitcoin (BTC) advocate Andreas M. Antonopoulos tweeted that Coinbase has “repeated history,” as Bitcoin has played an important role for WikiLeaks from the time when the non profit was legally unable to use traditional banking systems:

Last fall, WikiLeaks leader Julian Assange publicly thanked the US government on Twitter for forcing the organization to rely on Bitcoin due to the banking embargo, giving WikiLeaks a 50,000 percent return. Assange also urged WikiLeaks donors to use cryptocurrencies for their donations as a way to avoid this financial blockade. The WikiLeaks website accepts Bitcoin, Litecoin, Monero, and ZCash for donations.

Antonopoulos added in a comment to his tweet that this embargo by Coinbase is unlike the first in that it is “purely symbolic,” as there are other crypto wallets out there, but that the “symbolism is a pretty poignant reminder of what centralization and banking regulations mean.”

Author
Molly Jane Zuckerman

Molly Jane Zuckerman@MollyJZuckerman
reporter
@cointelegraph

Original URL
https://cointelegraph.com/news/wikileaks-shop-reports-suspension-of-coinbase-account-due-to-terms-of-service-violation

Molly Jane is a Russian Literature major from California with a background in writing. She joins Cointelegraph after working as a freelance journalist and blogger.

What was 1st bitcoin faucet?

What was 1st bitcoin faucet?

The Faucet and Airdrop relationship

The First Faucet

When Bitcoin came to be, many of you are aware of the first sale that being a Delivery Pizza paid for with 10000 Bitcoins. That would have been nice if you were that pizza delivery professional, huh? But the advent of the “faucet” was not far behind and is just recently getting its well-deserved recognition in the history of the Bitcoin revolution.

Like why and what is a faucet? The term faucet is used because Bitcoin faucets even by today’s standards deliver meager amounts for menial effort. The use of giving away small amounts of Bitcoin does serve several purposes. It brings traffic to the domain site that is giving away this valuable commodity. Back in 2011 when Bitcoin was trading (selling) for around .08 cents as of July 2011 (note: It did increase in value that year by 900% and closed in December at $2.00 per coin) and it also raises the awareness of the coin. Two very important functions of these strategies. Raise awareness and drive traffic.

Even today, in fact, more so, the faucets are not only becoming main stream but also becoming a major factor in introducing new emerging coins.

Who is Gavin Andresen


Gavin Andresen is a software developer best known for his involvement with bitcoin. He is also known for inventing the first coin faucet and the name as well.

Originally a developer of 3D graphics and virtual reality software, he became involved in developing products for the bitcoin market in 2010, and was declared by Satoshi Nakamoto as the lead developer of the reference implementation for bitcoin client software after Satoshi Nakamoto had announced his departure. In 2012 he founded the Bitcoin Foundation to support and nurture the development of the bitcoin currency, and by 2014 left his software development role to concentrate on his work with the Foundation.

Faucet Culture


When Gavin first introduced his landmark free Bitcoin faucet in 2011, little did he know he would spur a huge cottage industry. From the scams of the Russian faucets, to established long-term faucets like freebitco.in, coin distribution and awareness have been driven in part by this new industry, simply by giving away small amounts of valuable coins for just visiting, and a series of qualification submissions then verified (to prevent robots) simple captcha action.

Today's multi-faceted faucet systems have matured to the point where intense evaluations have delivered well organized semi-automated platforms with documented recorded and live training making it possible for the entry level penniless novice, with great determination, discipline, and patience the potential of producing literally millions of dollars in a matter of a few years. Case in point:

If you had been so perceptive and fortunate to have been aware of Gavin Andresen’s Bitcoin faucet that was paying out 5 coin per captcha (remember back then 5 Bitcoin represented .40 cents) If you had been determined and processed that faucet just 2 times a day for 1 year (assuming the faucet limitations permitted like today’s faucets do) you could have earned 3,650 coins. At the time worth only about $292. But with foresight and understanding, holding on to those coins for just 2 years would have yielded (Bitcoin grew to over $1000) about $3,650,000.

Fast forwarding to today and making historical assumptions with the projected value of Bitcoin come 2020, many projectionists, experts and market makers predict Bitcoin reaching as high as $1 million dollars.

Our recent analysis has shown with aggressive determination and borderline obsession one can achieve about .5 – 1 coin per month with today’s faucets. That would be 24 coins by 2020 and based on these assumptions; a person could literally earn over 24 million dollars.

This understanding makes it clear why faucets have become mainstream and have grown major successes in the cottage industry like the 2-year-old company known as Faucethub.

Faucethub

A centralized advanced faucet system(s) with a secure API based wallet (to eliminate fees) for micropayments has created a portfolio of literally 100s of third-party faucets and has made the developer of the Faucethub system very successful with an active network of 1.2 plus million Faucet Heads (the culture of obsessed people doing menial task for meagre results).

His system has been responsible for making others wealthy and extreme supporters of the crypto counterculture.

Airdrops and Faucets similarities


2017 was the year a new coin giveaway occurred called Airdrops. Similar in results, many new crypto companies traditionally launched by selling their soon to be coins called tokens at perceived deep discounts, thereby raising literally millions upon millions of dollars before even beginning the development phase, I am sure you have heard the bad press of many of these ICOs just being nothing more than exit scams, making many investors victims and losing millions of dollars in this new wild west crypto culture. That being said, the expected results are many countries particularly the United States coming down hard on the ICO launches, with huge costly legal requirements, filings and regulations.

This is to be expected with any new industry but has hit the crypto industry particularly hard. Therefore the mother of invention always a close associate of the entrepreneur, has given birth to the Airdrop. The concept being similar to the faucet, the Airdrop is designed for several reasons. First is to bring awareness the new company, organization, platform, what have you. Many Airdrops have launched major success, like OmiseGO. Dropping 75 million coins with a site registration and ether wallet requirement, the airdrop has been extremely successful with the coin now trading at around $15 per coin in less than a year

Article by

Thomas Prendergast
Markethive Founder
http://twitter.com/markethive 

IMF’s Lagarde Counters Crypto Warnings With New Praise Of ‘Potential Benefits’

IMF’s Lagarde Counters Crypto Warnings With New Praise Of ‘Potential Benefits’

 

 

The head of the International Monetary Fund (IMF) Christine Lagarde

was buoyant about cryptocurrency in a blog post in support of the technology, published Monday, April 16. The post, which comes roughly one month after Lagarde cautioned against the “dark side” of cryptocurrency, sees the IMF leader focus on what she describes as the “potential benefits” of “crypto-assets such as Bitcoin.” “A judicious look at crypto-assets should lead us to neither crypto-condemnation nor crypto-euphoria,” she writes. While continuing her narrative about the need to reign in illicit activity involving crypto, which she had voiced during January’s World Economic Forum 2018 and since, Lagarde nonetheless reiterates the need for an “even-handed approach”

going forward:

“Understanding the risks that crypto-assets may pose to financial stability is vital if we are to distinguish between real threats and needless fears. That is why we need an even-handed regulatory agenda, one that protects against risks without discouraging innovation.”

She continued, “A clear-eyed approach can help us harness the gains and avoid the pitfalls of the new crypto-assets landscape.” Lagarde’s call for a balanced outlook on cryptocurrency comes at a time of increasing regulatory involvement in the industry, while traditional financiers continue to call Bitcoin a ‘bubble’ and pundits spy the start of a market surge.

Author – William Suberg
Original URL
https://cointelegraph.com/news/imfs-lagarde-counters-crypto-warnings-with-new-praise-of-potential-benefits

William Suberg got into Bitcoin while completing his Masters degree and hasn't looked back since, writing about anything crypto-related which makes him sit up and pay attention. He started working with Cointelegraph in October 2013.

The Craigslist of Crypto Is Making Millions Where Bitcoin Is Needed Most

$27 million.

That's how much revenue LocalBitcoins is now generating annually off a business that started back in 2011, all with an investment of just a few thousand dollars. One of the longest-running and most controversial bitcoin companiess, the decidedly low-fi website now has roughly 20 employees worldwide and 4 million registered accounts.

And reflecting the global tide, 40 percent of those users have signed up in the last six months. All that is according to Nikolaus Kangas, the CEO of the company, who started the venture with his brother Jeremias at a time when there weren't many options outside meeting up face-to-face to trade bitcoin. But the online portal continues to thrive even as the landscape of polished VC-backed exchanges (and even bleeding-edge decentralized alternatives) matures.

Sure, the peer-to-peer marketplace accounts for only a sliver of worldwide bitcoin trading – last week, it handled $62 million in trades, according to Coin.Dance estimates. This may be less than a top-20 exchange does in a day, but the service is gaining traction in markets that are generally overlooked by mainstream providers. "We are the most global platform out there," Kangas said. "Our goal is to improve the global trade possibilities, to serve people who have limited access to financial services." And, it turns out, even though LocalBitcoins tends to be more expensive (since sellers set their own prices), the company is much needed.

Indeed, Coin.Dance shows that Venezuelan transactions spiked to a new all-time high this month, as did usage in Tanzania and Peru – all countries that are struggling to recover from banking industry slumps. During the peak week of April 14, LocalBitcoins' trading volume in these three nations combined was worth roughly $55 million – more than six times the value of U.S. trading on LocalBitcoins in the same week.

And when the Bank of Montreal restricted customers from making cryptocurrency purchases, LocalBitcoins activity in Canada spiked. It's these instances that make LocalBitcoins so valuable, even in an environment where growing awareness of institutional traders and their high-value swaps (average transactions on LocalBitcoins are just $450) are stealing the limelight.

And that's paid off. The peer-to-peer exchange, which charges a 1 percent transaction fee, took in more than €22 million (roughly $27.2 million) of revenues in 2017, more than triple the amount from 2016, according to Kangas. Despite the market dip since December, when bitcoin's price peaked at $19,783, he said trading volume has continued to grow.

Nikolaus told CoinDesk:

"If you compare us to those big altcoin exchanges that were making $100 million per day or something like that last fall, we are kind of a small player. But I think we are solving a basic problem of how to buy or sell bitcoin for fiat currency."

Not always easy

And that basic problem was even more apparent in 2011 when the brothers first started in on the idea. Nikolas, a Finnish programmer, was fascinated by bitcoin – a new stateless currency meant to take power away from the banks, and maybe even governments. But every website he went to that provided services for Finnish buyers was awful in that they were hard to use. The Kangas brothers wanted to change that.

So having saved up a year's worth of living expenses and with a few thousand dollars to spend on server fees, the brothers launched LocalBitcoins. Yet, the journey for LocalBitcoins hasn't always been easy. The company has tested several products over the years, including a merchant billing service in 2014, but none of those gained traction like its bread and butter – P2P exchange.

On top of that, LocalBitcoins was the platform in the middle of more than half a dozen criminal cases associated with LocalBitcoins traders. For instance, last year, the U.S. Department of Justice sentenced a father-son duo of LocalBitcoins users, Michael and Randall Lord, to several years in prison for operating an unlicensed money transmission business. And Reddit is full of testimonies about scammers and hackers exploiting inexperienced LocalBitcoins' users. Nikolaus said the team is very concerned about criminal activity on the site and cooperates with authorities to investigate any crimes that use the platform.

Yet, just like Craigslist horror stories haven't stopped people from using the internet marketplace, instances like these connected to LocalBitcoins haven't slowed the platform's usage. In fact, the $27.2 million in revenue LocalBitcoins took in last year was more than triple its profits from 2016. Even with bitcoin's recent price dip (after December highs close to $20,000 a coin), Nikolaus said trading volume continues to grow.

Compliance for a non-bank

That said, Nikolaus remains steadfast in its interest in staying on the right side of the law. "We want to follow all the current regulations and laws, but right now it is quite unclear," he said. What is clear, though, is that at least in the U.S. the company has to report certain transactions as suspicious. This includes transactions over $10,000 and any transactions set up obviously to circumvent that limit.

Everything else – complying with local regulations – is up to the buyer and seller. In this way, LocalBitcoins has set itself up to be only a technology provider and not a complicit party to any unlawful actions users of its technology might participate in. This outsourcing of compliance responsibility is one of the reasons the company has been able to stay afloat, even in the face of competition from well-funded startups.

Because LocalBitcoins facilitates generally trades of smaller amounts, they rarely attract scrutiny. For instance, when the Investor Protection Bureau of the New York Attorney General's Office sent an inquiry letter this month to more than a dozen cryptocurrency exchanges, including Coinbase, Kraken, and Gemini – exchanges that function more like banks — P2P platforms like LocalBitcoins were notably absent from the dragnet.

It seems it helps to be local.

For example, Iranian blockchain researcher Ziya Sadr in Tehran routinely uses LocalBitcoins to sell cryptocurrency. Since sanctions keep Iranian banking customers from accessing foreign markets, he told CoinDesk, Iranian traders use LocalBitcoins to find local sellers who accept wire transfers from Iranian banks.

As mentioned before, it's these kinds of markets, which are cut off from the rest of the world, that need P2P crypto exchanges like LocalBitcoins. Roman Snitko, CTO of a new P2P exchange called Hodl Hodl, noticed a similar trend on his platform. Russians, who lack centralized exchange options, were some of the first users to flock to Hodl Hodl.

Speaking to this need, then, Snitko told CoinDesk:

"In countries without centralized exchanges, I think P2P trading will play a significant role."

Original URL
Written by – Leigh Cuenleigh@coindesk.com

Leigh Cuen is a tech reporter covering blockchain technology for publications such as Newsweek Japan, International Business Times and Racked. Her work has also been published by Teen Vogue, Al Jazeera English, The Jerusalem Post, Mic, and Salon. Leigh does not hold value in any digital currency projects or startups. Her small cryptocurrency holdings are worth less than a pair of leather boots.

A new startup is disrupting the piggy bank with a cryptocurrency wallet for kids

She is a Ten-year veteran of the New York Times, where she covered finance and then schools (the logic made sense to us). Prior to that a short stint at the New York Post, and a long one at Institutional Investor magazine. A Graduate of Colorado College ('94) and Columbia University's School of International and Public Affairs ('99). Lived in Mexico and Argentine for a bit, loved it. She is a Wife, mom and athlete who loves children's books, grown-up books and wishes her knees and back were that of a 20-year-old.

Token Airdrops Are Taking Off Despite Legal Concerns

Token Airdrops Are Taking Off Despite Legal Concerns

They say you get nothing for free in this life, but tokenized projects running airdrops would beg to differ. You can now get a whole lotta crypto assets for free – hundreds of them in fact – simply for signing up and following some social channels. What started as a novelty has become the norm, with a vast number of ICOs now earmarking a portion of their tokens for free distribution. Questions remain though about the legal status of airdropped tokens in an age where anything related to crypto risks being labeled a security.

Airdrops Are the New Faucets

In bitcoin’s earliest days, faucets were used to distribute the cryptocurrency. Fractions of a bitcoin were given away on tap, back when BTC was cheap enough to send in small amounts and bits were worth buttons. Anyone who claimed those free morsels back in the day and held onto them will have eventually came into possession of some extremely valuable cryptocurrency. Today, airdrops are the faucets of the token economy. These freely dispensed tokens aren’t worth much – if anything – but there’s a small chance that one day they might be worth something.

At the Crypto Investor show in London last weekend, glossy flyers promoted an after-party with “free drinks + airdrop”. Come for the prosecco, stay for the tokenized revolution. Such is the prevalence of airdrops that an entire cottage industry has sprung up to promote them and inform crypto holders of the latest ones worth catching. Prominent Twitter traders compete to top the referral leaderboard for airdrops, whereupon they will be rewarded with yet more tokens. Everyone’s clamoring for free tokens right now, even though no one’s sure whether they’ll ever have any utility or market value.

 

Get Your Airdrops While They’re Hot

For new entrants to the cryptocurrency scene, airdrops provide a way to get some points on the board or rather some tokens in the portfolio. The very act of claiming them is enough to teach beginners the basics of wallet use and receiving crypto. The problems these projects purport to solve also provides a primer on the weird and wonderful world of crypto. Such is the prevalence of airdrops, they now have a dedicated Bitcointalk forum thread, dedicated Telegram groups and, in Airdropalert, a website that promises you need “never miss a free crypto airdrop again!”

Most of the tokens awarded are ERC20s, though other blockchains have also caught on; NEO for example recently distributed ONT via an airdrop. Just like an ICO tracker, Airdropalert filters offers based on upcoming/active/past. Tokens currently up for grabs include Boutspro, Yee, Sofin, and Aelf. Giving away tokens is easy in the early stages of a project when they’re literally worth nothing. The trick is getting the airdrop community to start using these tokens on the platforms they were designed for. If that occurs, and the project reaches critical mass, the tokens should rise in value, and then everyone will be a winner. Or so the theory goes.

Article By:


Kai Sedgwick
https://news.bitcoin.com/author/kaisedgwick
https://twitter.com/bitcoin101
Kai's been playing with words for a living since 2009 and bought his first bitcoin at $19. It's long gone. He's previously written white papers for blockchain startups and is especially interested in P2P exchanges and DNMs.

Originating Article from
https://news.bitcoin.com/token-airdrops-taking-off-despite-legal-concerns/ 

Posted by Thomas Prendergast