Gemini Exchange Is Developing A Wrapped Filecoin Token (wFIL) for Ethereum; Backed 1:1

https://bitcoinexchangeguide.com/gemini-exchange-is-developing-a-wrapped-filecoin-token-wfil-for-ethereum-backed-11/
  • Winklevoss-backed exchange is building a wrapped Filecoin (wFIL) on the Ethereum network.
  • Users can withdraw and convert Filecoin (FIL) to wFIL on a 1:1 ratio.

Gemini cryptocurrency exchange is working on the launch of an Ethereum-based Filecoin (FIL) token – wrapped Filecoin (wFIL). The exchange is currently looking for developers interested in adding wFIL to their platform to enhance the decentralized file storage token usage on Ethereum.

On launch, users will be able to convert their FIL tokens stored on the Gemini exchange to wFIL in a 1:1 ratio and vice versa. Once converted, users can send and withdraw the wrapped tokens to any ERC 20 compatible address.

For transparency, all FIL tokens held in the Gemini exchange will be transferred to safe institutional-grade storage. This allows users to directly match the amount of wFIL in circulation to FIL backing the wrapped tokens.

FIL is the native token of Filecoin network, a decentralized file storage system that raised over $200 million in its public offering in 2017. The network launched its mainnet in mid-October, listing on three major exchanges before the event.

However, issues among Filecoin miners – who earn rewards for adding files to the network – on mainnet launch caused a slow hitch on the network taking off. 100% of miners’ rewards were held on the protocol for a vested period at launch, which saw miners operate at a loss.

FIL storage power surges over 40%

Chinese miners held a strike protesting the vesting period, which saw the overall network effective mining power decline. However, the miners seem to be back on their saddles, with the overall FIL storage power surging over 40% since the “strike days.”

Protocol Labs, the lead development team of Filecoin, activated a proposal to release 25% of miners’ rewards immediately without the vesting period on October 22 to increase the supply of FIL. The token is needed by miners as collateral to store the files.

As miners return to work, data shows the FIL storage power has grown over 40% in the past three weeks to 862.17 PiB, as of writing from 660 PiB on October 19.

Filecoin (FIL) Live Price

1 FIL/USD =30.5188 change ~
-0.25

Coin Market Cap

987.86 Million

24 Hour Volume

140.78 Million

24 Hour Change

-0.25

The post Gemini Exchange Is Developing A Wrapped Filecoin Token (wFIL) for Ethereum; Backed 1:1 first appeared on BitcoinExchangeGuide.

Ethereum 2.0 Developers Debate On The Legitimacy Of The Just-Launched ETH 2.0 Deposit Contract

https://bitcoinexchangeguide.com/ethereum-2-0-developers-debate-on-the-legitimacy-of-the-just-launched-eth-2-0-deposit-contract/

Ethereum 2.0 Beacon Chain is nearing full mainnet release as developers announce an unconfirmed launch of the deposit contract. However, some developers have strongly warned against sending your ether (ETH) tokens to the contract before the official announcement from ETH 2.0 lead developers.

As the crypto social media world remains glued to the U.S. Presidential Election, Ethereum enthusiasts are rejoicing on the “possible” launch of the long-awaited Ethereum 2.0 deposit contract. Following the successful launch of the Zinken testnet, ETH 2.0 focused developers have continuously teased at the launch of Beacon Chain – Phase 0 – starting with the deposit contract.

A deposit contract was apparently posted on GitHub, gaining support from some developers on Ethereum as excitement levels across the community hit peak levels. No official announcement from the lead ETH 2.0 developers has surfaced yet.

The deposit contract will allow users to switch their “ETH 1.0” tokens to the proof of stake ETH tokens. This will lay the groundwork and foundation for users to start staking on the platform and earn rewards.

The contract was apparently posted from lead Ethereum Foundation developer Carl Beekhuizen’s GitHub account, making a case for the release of ‘v1.0.0 eth2.0-deposit-cli’. However, a section of the community has raised doubts on whether Carl’s account is hacked or compromised – with no other channel or developer reporting the release.

Despite the mainstream focus on the U.S Presidential elections, the Ethereum community still celebrated one of ETH 2.0 major steps to a full launch in 2020. A lead developer at ConsenSys, Ben Edgington, however, is cautioning users on sending their cash to the deposit smart contract yet stating the launch will be in the coming “hours.”

Afri Schoedon, a long time Ethereum contributor, previously stated the Beacon Chain would launch in November – a prospect that is increasingly looking to be true. Speaking to Coindesk, David Rugendyke, from ETH 2 staking DApp Rocket Pool cautioned the ETH community that the deposit contract would take a while, but it’s earing its mainnet launch soon. He said,

“This is a tool for generating keys needed for making deposits on the ETH2 deposit contract.

So it looks like they’re announcing this tool is ready to go for mainnet, at least that’s my take.”

Ethereum (ETH) Live Price

1 ETH/USD =383.2959 change ~
0.31

Coin Market Cap

43.42 Billion

24 Hour Volume

12.44 Billion

24 Hour Change

0.31

The post Ethereum 2.0 Developers Debate On The Legitimacy Of The Just-Launched ETH 2.0 Deposit Contract first appeared on BitcoinExchangeGuide.

Binance CEO CZ Vows To Fight “Bad Actors”, Freezes Stolen Ethereum (ETH) Moved By Upbit Hackers

http://coingape.com/?p=68586

Binance against Upbit Hack

The stolen funds from Upbit are on the move for the umpteenth time since the hacker stole from the exchange back in November 2019. In the latest reports from Whale Alert, a data aggregator that tracks large movements in cryptocurrencies reported a total of over 9,000 ETH transferred from the Upbit hackers’ wallet to exchanges, Binance (127 ETH) and ByEx exchange and unknown wallets.

Despite only a small amount of the Ether being transferred to Binance, CEO Changpeng “CZ” Zhao came out strongly against the hackers claiming the funds have been frozen and will work with authorities to find the culprits behind the hack.

Upbit stolen ETH Moved To Binance & ByEx

In the final days of 2019, Upbit exchange faced a massive hack whereby about 330,000 ETH tokens were siphoned from the exchange by unknown hackers.

Since then the hackers have attempted to sell the amount on several exchanges but a large portion of the coins remain unsold. One reason why lies in the efforts that top exchanges are putting to freeze any funds from the hacker’s wallet.

Binance CEO CZ, “Fight bad actors we must!”

On May 13, 2020, CZ showed a classic example as Binance froze the 127 ETH, approx. $27,000, and promised to work with Upbit in order to trace and track the origin of the funds. He tweeted,

“Frozen [referring to the stolen ETH], will work with #UpBit to verify and get law enforcement involved and hand off the funds.”

However, the amount seems quite small which may signal the hacker was maybe testing the response of the exchange before any major movement. Additionally, in the past, such a move by exchanges has been criticized before claiming it enhances centralization across the crypto field. In a pre-mature response to these criticisms on freezing users’ funds, CZ said they will continue bad actors in the field.

As restrictions get tighter on Binance, the hacker is finding a new favorite exchange in BYEX crypto exchange. So far, over 600 ETH has been sent to an address on the exchange from the hacker’s wallet as seen on the block explorer.

Cartesi is the Next Binance Launchpad Project!

http://coingape.com/?p=66836

Monday, April 14thBinance announced its latest Launchpad project, Cartesi’s CTSI. This follows their recent move in acquiring the largest crypto website, by traffic, coinmarketcap.com (CMC).

Cartesi is the Operating System for DApps. Complex and intensive computations run in a Linux environment, outside the blockchain, without compromising decentralization. Cartesi is making DApps significantly more powerful, cost-effective, and easier to develop. Binance will continue to use their lottery-format system, where Binance records Binance (BNB) balances, during a set period of time.

“We are pleased to welcome Cartesi, an infrastructure project that presents its vision of solving scalability problems for the blockchain industry, which I believe is a key feature to unlock mass adoption. The opportunity to simply and efficiently deploy decentralized applications paves the way for the influx of new developers into the crypto industry, and Cartesi’s focus on gaming and finance is able to show the benefits of blockchain to users in the most widespread areas.” – Binance CEO and Founder, CZ (Changpeng Zhao)

The CTSI Token sale

The total Cartesi token supply is 1 billion CTSI. The Launchpad Sale will be conducted in April 2020 for a total raise of 1,500,000 USD worth of BNB at 0.015 USD per CTSI token, selling 10.00% of total token supply. CTSI/BNB exchange rate will be determined prior to the date of sale. The full CTSI research report can be found here.

Binance IEO’s takeoff

Since launching in 2019, the Binance Launchpad has created a frenzy in the blockchain industry as IEO projects take off with a ready market and mentor in the field. One of India’s top projects, WazirX, a cryptocurrency exchange token launched on the exchange in January and has since been acquired by Binance.

Having launched some of the top altcoins including Matic, Elorand and Tron’s BitTorrent token, Binance’s latest IEO token is on a journey to new heights. Welcome, Cartesi!

For more details on Binance’s latest IEO, Visit: https://launchpad.binance.com/en/lottery/b135073088dd4ce7ae8c40a52a99628d

Ethereum Founder, Vitalik, Explains To Critics Why Eth 2.0 Will Be A “Deflationary Currency”

http://coingape.com/?p=66365

Ethereum founder, Vitalik Buterin hit back at proof-of-stake (PoS) critics as the development of Ethereum 2.0 is questioned on its ability as a deflationary currency.

The world has been awaiting the launch of ETH 2.0, a planned update on the Ethereum blockchain, which will switch the chain from a proof-of-work (PoW) consensus system to a proof-of-stake (PoS) mechanism. However, a part of the crypto community has come out strongly opposing the switch claiming it would not better the system – at least on its deflationary currency metric.

Vitalik has now come to the defense of the PoS system bashing the increasing criticism on the PoS’ lending model. In a mini-tweet storm, Vitalik wrote,

“I don’t believe the most recent “PoS won’t work because staking will get outcompeted by lending” hype and you shouldn’t either.”

Competition between DeFi and PoS will lead to net vulnerability

Grimm cryptocurrency co-founder, Andrew COP, critiqued the overall system of Eth 2.0 planned upgrade to the PoS system claiming the growth of DeFi may end up competing with the protocol. At the end of March reports showed that the exponential growth of DeFi products was cannibalizing the block space on ETH gradually making ICOs and ETH transactions slower.

He writes,

“Hi, what about POS vulnerability with reference to DeFi apps (most growing sector in 2019)? Competition between DeFi services and the POS protocol itself (DeFi stacking vs POS stacking) will lead to net vulnerability, attacks and centralization.”

Furthermore Andrew tears into the lack of deflationary policies (common to PoW chains such as Bitcoin) that ETH 2.0 will bring about claiming lending will outdo staking in the long run.

However, Vitalik does not agree with a single bit of Andrew’s analysis.

Vitalik tears into critics: “Interest rates do not equalize in all currencies”

According to Vitalik, Andrew’s analysis is off the mark as lending rates do not always equalize to be the same across all currencies. He further explains,

“This is wrong because fiat is an inherently interest-bearing asset in ways that crypto is not, so of course interest rates on fiat are higher.”

Notwithstanding, the model used by Andrew further misses out on the reverse reward ratio which ensures that “if deposits become very low reward rates go extremely high to motivate more people to deposit.” This model is actually bettered by totally moving to a staking platform as compared to the PoW mechanism.

With Ethereum lending rates being very low (Compound offers 0.01%), and the blockchain’s inverse rate ratios in place, Vitalik believes Eth 2.0 will be a success.

UPDATE: MakerDAO “Hacker” Liquidated $8M in Ethereum, Can the Debt Auction Salvage MKR?

http://coingape.com/?p=65372

Maker Dao

Maker DAO lost over 5.67 million DAI in liquidations on March 11 and 12 as the Ethereum markets gas prices rose to record highs. As the gas prices rose, there arose an opportunity for users of the platform to bit liquidated ETH for as little as zero DAI, causing a run on the account. New information shows that over a third of the liquidated amount was bought for a partly zero DAI tokens (for free) – a total of $8.3 million dollars.

Now Maker DAO, the autonomous governance council of Maker, wants to offer a new debt auction on Thursday, March 19, 2020 in a bid to recover the lost amount. With MKR suffering – in line with the rest of the market – can the debt auction restore the past glory of DeFi’s largest platform?

“Lucky users” liquidate over $8 million in ETH

While this story broke as it happened on Mar. 11 &12, the amount of Ethereum (ETH) liquidated for zero DAI has just been revealed by White Rabbit, a crypto research company. According to the research, the largest MKR vault lost 35,000 ETH at time of failure with the luckiest account making away with 30,000 ETH.

The rapid change in price when the gas prices had skyrocketed caused a lag between the actual price and the oracle price feeding the Maker platform. This caused spikes in the number of liquidations on the platform enabling users who noticed early to take advantage of the situation and make zero DAI auctions.

On the chart above, the number of liquidations spiked in two distinctive periods – around 3 PM UTC on Mar. 12 and midnight the next day. While the oracle price dipped around an hour prior, the intensive bidding process for zero DAI auctions caused the lag and in a way save more liquidations from happening.

The 100% discount bids (zero DAI bids) amounted to $8.32 million dollars, representing 36% of the total liquidations with 20% discount bids accounting for the second highest amount of ETH sold.

Maker DAO community has since announced they will be a planned Debt Auction of MKR in a bid to replace the liquidated amount this Thursday, on Mar. 19.

Will the Debt Auction save the Maker system?

Following the liquidation, Maker (MKR) price plummeted below the $200 mark, setting an intraday low of $188 USD on Mar. 13 from highs of $489 USD on Mar. 12. This highlights a loss of confidence in the Maker system with majority of the holder having to sell. However, the Maker DAO participants are looking at a safe option to recover the amount – through a Debt Auction.

The Debt Auction will involve minting of MKR tokens, whereby each token will start at a price of 200DAI with the minimum lot size set at 250 MKR (~$50,000 USD). Furthermore, the Maker system integrated the Circle’s USDC to boost liquidity on the platform and prevent future cases as what was witnessed last week.

With the two systems in place, Maker looks set to be back on a bullish vibe in the coming days.

Images from Medium (WhiteRabbit)

4 Major Financial Institutions Invest In Series-A for Ethereum-based Platform FundsDLT

https://bitcoinexchangeguide.com/4-major-financial-institutions-invest-in-series-a-for-ethereum-based-platform-fundsdlt/
  • Financial Institutions in Europe have teamed up in a series A funding of FundsDLT.
  • The FundsDLT supported on Ethereum would help streamline the whole investment sector making it cheaper and more efficient to both clients and Asset managers.

Some major titans in the European financial industry have teamed up to unleash a FundsDLT. This is a Blockchain platform tailored for the investment space. The dream team comprising of the Luxembourg Stock Exchange, Credit Suisse Asset Management, Natixis Investment Managers, and Clearstream announced a joint series A funding for the FundsDLT.

The project was an initiative of Luxembourg Stock Exchange and their affiliate Fundsquare were eventually joined by the other firms.

Based permissioned Blockchain Tech on Ethereum

Notably FundsDLT’s underlying technology is the Permissioned Blockchain Technology that is supported by Ethereum. This will afford it better performance while still prioritizing privacy. FundsDLT will essentially facilitate all the changes of the fund distributions of value chain thoroughly and consequently covering the whole funds lifecycle.

The actors in the industry inclusive of asset managers, distributors, asset servicer’s will then be able to chip off processes that they deem as surplus to the system and in that way reduce costs and ensure efficiency in the system. If transparency in the system is addressed it could go a long way in appeasing investors who are key players in the investment sector as highlighted in the announcement.

The top brass of the respective firms all seem to share the sentiment that this was indeed a milestone in digitalization of the investment realm. Luxembourg Stock Exchange and CEO Robert Scharfe, was particularly excited on the prospect of their brainchild being at the epicenter of the whole ecosystem.

“The Luxembourg Stock Exchange has played a catalyzing role in this development, and it is exciting to see the expanding ecosystem around FundsDLT.”

Credit Suisse lead on Asset Management Switzerland and EMEA Michel Degen was confident that FundsDLT would streamline the whole process making it cheaper and more efficient which is a win -win for both customers and managers of assets.

Whereas Joseph Pinto, Chief Global Operating Officer of Natixis Investment Managers is convinced that Blockchain technology will be instrumental in digitalization of the whole financial sector.