Bitcoin Exchanges Weigh Impact As Vogogo Moves to Shutter

This Week in Bitcoin & The Blockchain: New EU Bitcoin Banking Regulations, Blythe Masters Acquires Two Blockchain Startups, Vogogo Raises a Huge Round, and More!

This Week in Bitcoin & The Blockchain: New EU Bitcoin Banking Regulations, Blythe Masters Acquires Two Blockchain Startups, Vogogo Raises a Huge Round, and More! submitted by Portis403 to Bitcoin [link] [comments]

kraken.us Customer Support Number +1(888)-780-0222 Get Help Now If any Issues u/WeirdAcanthocephala6

📷 kraken Customer Support Number +1-888-780-0222
In this guide, we’ll learn everything there is to know about the Coinbase vs Kraken rivalry!
So, you’re on our way to becoming a crypto buff and you’re ready to get trading! But, where do you start?!
Cryptocurrencies aren’t like bread, eggs, and milk. We can’t go down to our local store to get them, and Amazon definitely isn’t sending them with next-day delivery! Instead, we need to go to an online cryptocurrency exchange.
Essentially, these exchanges help us swap our local currency into cryptocurrency. They also provide a platform for trading cryptocurrencies, selling them and storing them. But with so many options available, which should you choose?
Kraken and Coinbase are some of the largest and most reputable online currency exchanges. However, it’s also important to understand their differences.
Back in 2011, the founder of Kraken, Jesse Powell, was working at the largest cryptocurrency exchange of its time, Mt. Gox. There had just been two major hacks, and security was becoming difficult to manage. Bitcoins were going missing. If this continued, the future of crypto was bleak.
Jesse thought that he could do a better job. He knew he could create a secure cryptocurrency exchange which would help people trust in the system and bring crypto into the mainstream!
So, he created Kraken. He focussed on security when creating Kraken; hackers were never going to get past his security system. And so far, it has worked — Kraken has never been hacked.
Now, Kraken aims to be the exchange that offers the widest range of cryptocurrencies that you can buy using fiat currencies (USD, EUR, JPY, etc.).
After its public refusal, Kraken expressed an intentionto return service to New York residence pending the removal of what it perceived as unfair and counterproductive licensing.
Coinsetter, announced to clients in December 2015 that it would thenceforth impose a $65 fee to offset the cost of the very same BitLicense Kraken refused to afford.
In absorbing Coinsetter, and by extension Cavirtex, the following month, Kraken opened up its platform to residents of 37 other states, and to all Canadian residents.
Alongside this deal, Kraken announced partnerships with payment providers SynapsePay in the U.S. and Vogogo in Canada, in order to provide its newest clients with access to fiat deposits and withdrawals respectively.
One month later, Kraken announced the completion of its Series B round of investment lead by SBI Investment, a prominent Japanese venture capitalist firm under SBI Holdings. Following this investment round,
Kraken announced two major acquisitions that year: Dutch exchange CleverCoin, which was acquired in June, and Glidera, a wallet service allowing users to directly fund Glidera bank accounts with fiat for the purchase of cryptocurrencies on the Kraken exchange.
Kraken's reputation for security was challenged amidst 2016's buildout of partnerships and acquisitions.
Multiple claims emerged in the latter half of July via news media and social networks that clients’ accounts had been compromised and funds stolen.
As Kraken went silent reportedly for investigation, users threatened to alert and petition the FBI's Cyber Crimes Division for redress. Within a month,
Kraken presented clarification that ‘Kraken’ was never compromised; that is, after internal investigation, the
security team reached the conclusion that Kraken systems, servers, and databases were not accessed by malicious attackers due to any identifiable vulnerability for which they would be responsible.
The company attributed affected users’ missing funds to phishing and man-in-the-middle attacks, and stressed the importance of enabling
Kraken websites security features, such as two-factor authentication for withdrawals or the Global Settings Lock to restrict unfamiliar IP access.
In the aftermath of the hack that wasn't, Kraken asserted recognition of their continued responsibility to protect clients, and stressed equally so, the client's responsibility in protecting him- or herself.
submitted by WeirdAcanthocephala6 to u/WeirdAcanthocephala6 [link] [comments]

A History of Bitcoin Exchanges in Canada

Cavirtex was the first bitcoin exchange in Canada. Vault of Satoshi, QuadrigaCX, and Cointrader.net followed.
At this time, Cavirtex had 10 times the volume compared to the 2nd highest in average trade volume, which was QuadrigaCX.
Cavirtex shut down due to a their database being compromised. They made it public, then clients withdrew their funds. Cavirtex’s database was sold to Coinsetter in NY, which was later acquired by Kraken in SF.
Vault of Satoshi shut down, and its team went on to do different things because trade revenue from bitcoin wasn’t profitable at the time. Cointrader.net was compromised, and clients lost funds.
Quadrigacx, Krakan, Coinbase were serving Canadian clients. Kraken and Coinbase used the Vogogo, a Canadian “payment processor” that is no longer in business. After Vogogo went out of business, Coinbase and Kraken stopped serving funding/withdrawals for Canadian dollars.
Quadrigacx survived the winter before the most recent run-up in price. During the run-up, other exchanges started to emerge. Coinsquare being the most notable one.
What happened with Vogogo was that it was running into problems with being a “payment processor”. A payment processor, as a corporation, is just another corporate bank account. You get a corporate bank account by paying a $200 incorporation fee, then you open a corporate bank account at any Canadian bank or credit union. Once you have this corporate account, you use the account to operate, as a business, serving clients, as a processor of payments — effectively, becoming a small-scale intermediary.
The bank doesn’t want you to do this.
They don’t want you to do this because they operate within a regulatory framework. The bank must obey laws; failure to obey laws result in legal penalities. Penalities from the government are very bad for banks. TD, RBC, CIBC, Scotia, BMO allow operate under the same regulatory framework that they get from the government. It’s not the bank, its the government.
If you go to one of these banks and try to open a bank account for crypto, then will decline you. They don’t know what they should do about crypto as a business operating as a bank because they need the government to say something about what they can and can’t do. The government doesn’t know what to do, so they haven’t done anything yet.
Banks have been shutting down crypto related accounts for years.
Prior to Cavirtex, people would open corporate accounts to trade on localbitcoins. At the time, most people, including banks, had not heard of bitcoin yet.
The whole deal with all these “payment processors”, such as Billerfy, Custodian, Vogogo, etc., is that they all operated as a pseudo-intermediary-bank between the exchange, and the exchanges’ clients, because banks will not offer a bitcoin exchange a corporate account.
Historically, all of these payment processors fail because they get too big.
When you go to a Canadian bank and you are a Canadian citizen, the bank is legally obligated to open a low-cost, personal chequing account. When you go to a Canadian bank and you are a Canadian citizen and you want to open a corporate account, they bank will ask a lot more questions. They want to know about your business because they need to assess its as a liability.
Some of their questions have to do with load. A corporate account, especially a new one, can only “handle” a certain volume of transactions. They’ll ask you about expected transactions. Corporate accounts that have high volumes are monitored with increased scrutiny from the bank.
CIBC is the first A-level Canadian bank that let a weird account get too big. In most cases, what Custodian Inc. was doing would have been flagged and closed off by the bank before it got to this size and magnititude. CIBC “failed” in this regard, but they brought the edge-case to the courts to decide because they don’t know how to proceed. The courts instruction was for the funds to be released in batches to Custodian and Quadrigacx.
Custodian Inc., and other “payment processor” type companies will not exist after this crypto-winter. This is how every Canadian bitcoin company operated, and there was no other way to do it — other than to get a commercial bank account at the bank.
submitted by XBT_Historian to BitcoinCA [link] [comments]

ECOCRYPTO

ECOCRYPTO
ECOCRYPTO
FOR GREEN CRYPTOCURRENCY MINING
FUTURE OF CRYPTOCURRENCY
DEPENDS ON ECOLOGICAL MINING
"CRYPTOCURRENCY DEPENDS ON ECOLOGICAL MINING"
Donate BTC to support awareness enquiry:
1EaSG3WmY5fRXedhy9tbbJK3tGftKp4sAZ
Sourcece: https://cryptobriefing.com/green-crypto-mining-38bn-future/
· Home
· Analysis
· Green Crypto Mining Will Define The Industry’s $38bn Future
Chones / Shutterstock & CB
ANALYSIS

Green Crypto Mining Will Define The Industry’s $38bn Future

Energy usage will drop by design thanks to these critical industry developments.

📷By Nick Hall On Aug 10, 2018
1,779
1
In March this year, the sky officially fell in for Bitcoin miners. With the slump in prices and the extraordinary energy consumption it takes to mine the coins, Fortune revealed that mining a Bitcoin cost as much as buying one. Green crypto mining wasn’t even on the radar for most people until earlier this year.
That was back in March and they were the good times. Morgan Stanley revealed in April that Bitcoin miners would lose money if Bitcoin slipped below $8,600, even with low electricity figures factored in.
A recent study by Coinshare showed that the numbers attributed to the Bitcoin mining industry have been grossly exaggerated and the energy consumption is approximately 50% of the claimed 70TWh. But the numbers are still too high in terms of the financial outlay and the environmental impact of mining cryptocurrency.
Mining doesn’t begin and end with Bitcoin – and although the consensus is (mostly) set in stone, the way we create the energy needed to extract the next part of the puzzle isn’t. Which is why green crypto mining is the ONLY solution to the diminishing returns issue: more cost, for less reward, will eventually lead to an abandonment of the mine, just as it did for gold miners in California in 1848-49.
We’re not looking for one single solution either. We need four separate ones:
  1. A lighter consensus algorithm
  2. Cloud-based cryptocurrency mining.
  3. Renewable, cheaper energy sources to support physical ‘mines’.
  4. Brutal consolidation in the mining industry.

What is cryptocurrency mining?

The Proof-of-Work (PoW) protocol was popularized by shadowy Bitcoin founder Satoshi Nakamoto, building on earlier work by a variety of computer scientists including Hal Finney, and it’s a two-stage process to validate transactions and keep a flow of Bitcoins entering the market. Blocks of data are parsed off and, with Bitcoin, they contain about 1MB. Each block is then locked and coded.
Miners then compete to solve the puzzle and provide the 64-digit hexadecimal key code that it then has to match with a corresponding ‘nonce’, numbers used only once, to claim the reward for unlocking the block and mine Bitcoins. There’s a small fee for validating the transactions, but the Bitcoin miners are really like the old gold miners and they’re after the big paydays.

Why is Bitcoin mining expensive?

In the old days, Bitcoin mining was easy. Back in 2009, a standard desktop computer could mine up to 200 Bitcoin a day. But speed is everything and Bitcoin mining turned into an arms race as Bitcoin soared and the well-funded miners went to war.
Companies like Bitmain, Bitfury and Vogogo spotted a gap in the market and brought professionalism to the Bitcoin mining industry. The Wild West days fell by the wayside and suddenly a standard computer chip would take 98 years to mine one coin, as the super fast rigs of the new breed simply stomped the casual miner into the dust.
The cryptocurrency mining industry even caused the great computer graphics card drought of 2017-2018 as demand for GPUs literally outstripped supply. Used cards were even selling above sticker price and the shelves in-store were stripped bare, but the big guns were already spending tens of millions of dollars to put these home brew operations out of business.
These aren’t computers anymore, they are mission control centers and the power it takes to keep them running is a serious issue for the company’s bottom line and the environmental lobby.
So the industry is looking for a number of different green crypto mining solutions, that will gel together in some haphazard way to form the future of the cryptocurrency market.
The main obstacles are:

1. A greener algorithm

It may be hard to visualize the blockchain itself, but we don’t need to. Technology almost always gets lighter, smaller and slimmer. The same needs to happen to block production.
Blockchain is middleware and it needs to be slimmed down, without sacrificing security or functionality. That’s an ongoing evolutionary process, as it was with smartphones, and the blockchain we’re using in 20 years will likely have little in common with today’s code.
Proof-of-Stake consensus algorithms have been pitched as one way of reducing crypto’s carbon footprint. Instead of competing for block rewards, producers would take turns, weighted by the size of their stake in the network.
Staking is unlikely to catch on in the Bitcoin community, but it has many supporters with Ethereum as well as other cryptocurrencies.. That would make the whole validation process more efficient and cheap.

2. Cloud-based cryptocurrency mining

There are mining firms that are still investing millions of dollars in physical equipment and taking on all the sunk costs, when the Cloud is simply taking over the world of advanced computing.
Cloud-based cryptocurrency mining companies are already selling packages to the general public and the Cloud offers increased security, speed and essentially a small slice of the world’s computing power, rather than the machines you buy, install and power up. It also potentially offers AI integration that could leave the traditional cryptocurrency miners hopelessly panning for gold in a dead river.
The Cloud has made self-driving cars and robots a reality. It can certainly ramp up the speed of calculations and leave even a multi-million dollar mining rig trailing in its wake.
The switch to Cloud-based mining is good news for the environment, too, as the power demands would move to localities with the cheapest energy. Without these wild spikes in energy consumption and without these concentrated mines, the main complaints about the industry will simply cease to be an issue.

3. Renewable, cheap energy for grand-scale mines

Cloud-based cryptocurrency mining looks like the obvious solution, but it’s the final cost that determines the methodology when it comes to crypto mining and there is more than one way to do this.
Technically, the likes of Elon Musk could turn the arid sub-Saharan scrubland into the biggest and most prosperous cryptocurrency mine in the world with a vast array of solar panels and Tesla PowerPack batteries to keep it running through the night.
Cheap land and free energy means that hardware would be the only major cost to consider in this instance. Alternatively, a State-sponsored mining firm in a smaller nation could easily co-opt hydroelectric or solar providers to work with them to reduce energy costs. Even the ones that use grid power can select the world’s cheapest nations and bulk buy energy in blocks.
Potentially, then, we could still have the grand-scale mines that bring economy of scale and environmentally-friendly energy production to the world of cryptocurrency mining.

4. Brutal consolidation

It does not matter how the industry develops, or if Cloud computing or giant mines are the future, the days of the home cryptocurrency miner are numbered.
Just like the mom and pop mines of the goldrush days gave way to corporate giants with drilling and excavation machinery that made the old pick and shovel look slightly ridiculous, the same will happen in cryptocurrency mining.
Competition will continue to grow, the margins will likely drop even further and the flagrant energy use of today’s cryptocurrency miners simply won’t be an option. Miners that don’t streamline their operations and adopt some form of green crypto mining process will simply run at a loss until they go out of business.
Bil Tai is the Chairman of Hul 8, the North American arm of Bitfury Group and one of the biggest suppliers of cryptocurrency mining equipment of the world. Even he expects just 5-10 giant mining companies to survive the impending cull.
“It’s totally different this year,” he told Bloomberg. “The bitcoin mining industry was this mysterious, dark, cottage industry. It’s about to grow up and scale institutionally.”
There’s a dark side to these tech giants emerging, as they will technically have the power to exert an influence on a coin’s value, not just its creation. That is a problem the industry will have to examine at some point. This simple danger, though, is not enough to turn back the tide of progress.
So, we can expect to see a handful of mining companies dominate the industry as they make the best use of the available technology.

Conclusion: Green Crypto Mining Isn’t An Option: It’s The Only Option

One way or another, the environmental issues that dog the cryptocurrency mining industry are set to disappear.
It will be the free market that drives down that energy usage, rather than regulations and sanctions. The days of the home crypto miner are simply coming to an end, though, as the industry matures and large companies descend and fight for dominance in what could become a $38 billion a year industry by 2025.
That comes with its own set of tradeoffs, especially for philosophical hardliners. Like it or not, a leaner, greener cryptocurrency mining process is just around the corner, and big business is going to create it.
ECOCRYPTO
FOR GREEN CRYPTOCURRENCY MINING
FUTURE OF CRYPTOCURRENCY
DEPENDS ON ECOLOGICAL MINING
"CRYPTOCURRENCY DEPENDS ON ECOLOGICAL MINING"
Donate BTC to support awareness enquiry:
1EaSG3WmY5fRXedhy9tbbJK3tGftKp4sAZ
submitted by yakutami01 to btcgreen [link] [comments]

Cavirtex Now Part Of The Kraken Bitcoin Exchange

No action in this thread on /BitcoinCA so maybe some Canucks missed this news.
RE: https://www.cavirtex.com/announcements
Looks like great news to me if you have a cavirtex account. Assuming they don't botch the migration.
On January 26, 2016, Cavirtex will temporarily halt trading and begin the safe migration of all accounts (and funds) to the Kraken platform. This process is expected to take just a few hours. Upon completion, you will be able to log in at www.kraken.com and immediately begin trading with any Canadian dollar (CAD) and bitcoin (XBT) funds that are in your Cavirtex account(s) at the time of migration. You will be able to deposit or withdraw bitcoin (XBT) immediately too. After a brief and seamless process to re-activate your account with Vogogo, our trusted Canadian payment processor, you’ll be able to deposit and withdraw CAD.
Why is this good for me?
This is outstanding news for Cavirtex clients. As a Kraken account holder, you will receive:
You’ll also get:
submitted by milezteg to Bitcoin [link] [comments]

My company wants to help make Bitcoin wallets/trade better and is asking r/Bitcoin for your help!

Hi Everyone!
Joseph from Knox Payments here. We’re new to the Bitcoin scene, but recently announced a partnership with Vogogo to power their U.S. Market (you can read more about it here- (http://www.coindesk.com/vogogo-secures-key-payments-partnership-ahead-us-expansion/)
In short, we've found a way to make a payment via your online banking (making the process easier and cheaper) and want to use this to help power the Bitcoin Market/trade. Our goals are to make buying BTC faster, cheaper, and easier without having to wait for things like account verification.
Although I’ve only been a reader of Bitcoin so far, you guys have been an incredibly, incredibly helpful resource in learning about everything...so much that we wanted to reach out to see if you all would be willing to help us in giving us some feedback on what you want to see out of the future of BTC.

Any and all feedback would be helpful to seeing the potential of how we can help!

As a Bitcoin user, how do you describe BTC to people? What’s the biggest piece of feedback you hear about being an owner?
When did you buy your first Bitcoin? Why’d you get into it?
In looking at a lot of the wallets, the biggest selling points I see are security and ease of use. What are some other features you’ve seen or want to see in a wallet?
How do you guys want to see BTC be implemented in your day-to-day?
On that note, I saw recently Bitpay introduced NFC, which given the low interchange rate of Bitcoin could potentially help jumpstart the mobile payments game. Where do you all see this pair being headed? Do you think Bitcoin users could be given discounts at the register since the transaction is cheaper?
How do you think major retailers could become more comfortable with BTC?
Finally, I recently read an article in the Washington Post (http://www.washingtonpost.com/blogs/innovations/wp/2014/11/05/i-bought-coffee-at-the-prague-cafe-that-only-accepts-bitcoin-heres-what-it-was-like/) on a café that accepts Bitcoin. Overall, the layout of how the restaurant utilized QR codes/Bitcoin really well, but have you all seen any other examples of this?
submitted by champ04209 to Bitcoin [link] [comments]

DIGATRADE Bitcoin Exchange Goes Live www.digatrade.com

Really good new bitcoin exchange...check out digatrade.com Payment processing and risk management partnered with Vogogo and powered by ANX Technology.
submitted by Yoosooyo to Bitcoin [link] [comments]

The Bitcoin Group #100 - The Halvening - Vogogo Closes - Uber Bitcoin - Anonymous no more VOGOGO Inc. (CSE: VGO) New Listing Cryptocurrency Sell-Off Happening in 3...2...1... BOOM!  Latest Bitcoin News in the US in 2020 WOW!!! MOST BULLISH BITCOIN NEWS OF 2020!?! REAL OR FAKE??? MASSIVE BITCOIN NEWS!!!!!!! PRESIDENT BULLISH ON BITCOIN!!!?? HUUGE BREAKOUT IMMINENT!!!

Vogogo Raises $8.5 Million to Boost Bitcoin Exchange Security Pete Rizzo Aug 7, 2014 Risk management specialist Vogogo has raised $8.5m to expand its bitcoin industry offering to new global markets. Risk Management & Payment Processing specialist Vogogo Inc (CVE:VGO) today announced the launch of its proprietary compliance, risk management and payment processing platform with prominent bitcoin exchange Kraken. Vogogo and Kraken are working on several industry initiatives and the partnership is now active in Canada to make Kraken available “Vogogo is currently well positioned with today’s Bitcoin price of approximately US$8,000 and our current cost per Bitcoin mined of approximately CAD$4,600 (US$3,450). Blockchain Technology Company Vogogo Inc has announced the completion of all processes for the full acquisition of the 828 cryptocurrency mining assets.. As of the time of closing the deal, approximately 10,500 mining machines are fully operational, with installation of the remaining mining machines continuing and expected to be completed by mid-July. Vogogo Inc., a risk management and payment processing company, announced the integration of its proprietary compliance, risk management, and payment platform with Bitstamp, one of the largest Bitcoin exchanges in the world. Also read: Coinbase Exchange Passes Bitstamp and BTC-e in Trading Volume Founded in 2008, Vogogo designed, built, and launched its web-based payment processing technology

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The Bitcoin Group #100 - The Halvening - Vogogo Closes - Uber Bitcoin - Anonymous no more

Bitcoin News is a powerful news aggregator that offers all the information you want about the Bitcoin world fast and easy. You can choose from multiple categories , depending on what you need. The BTC news & analysis can be inspiration for your own Bitcoin trading or investing, but is NOT financial advice. On this channel, The Moon, I make 1 video every single day about crypto news ... BITCOIN SETUP FOR HUUUGE BULL RALLY?!! 💰Crypto Analysis TA Today & BTC Cryptocurrency Price News Now - Duration: 13:38. Crypto Kirby Trading 13,976 views 13:38 For daily updates on cryptocurrency and the best bitcoin news online , hit the bell, like and subscribe! ****This is a Sponsored Video***** Altcoin Daily and CryptoTraderTax have entered into an ... Bitcoin Exchanges Weigh Impact As Vogogo Moves to Shutter Payments Service ... Jack Dorsey interview: Bitcoin BTC Event & Twitter news and updates [MAY, 2020] Twitter 2,831 watching.

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