What would be the impact of securing the Siacoin Distributed Storage Protocol have on Crypto Mining?

Colleagues, the global cryptosphere is rigorously debating the security of the Siacoin Distributed Storage Protocol (aka the Siacoin Blockchain). More security translates into higher trust and integrity of the platform … right? The answer depends on which segment of the crypto ecosystem you ask. The new security code would fork Siacoin and in turn disabling mining products offered by Bitmain and Innosilicon. At press time we are waiting for Nvidia and AMD to weigh-in on this matter. Both companies have seen demand for their mining ASICs slow during H1 2018. So what is the end goal? Some would say driving increased capacity around the world to create a data storage marketplace that is more reliable and lower cost than traditional cloud storage providers. Our view is that this inevitable debate represents just one more growing pain as cryptocurrencies and their underlying Blockchains mature. The issue will get resolved and yes there will be winners and losers. More to come. Share your thoughts today! Lawrence – Cryptocurrency Academy (https://cryptocurrencyacademy.blogspot.com/)  

Are cryptocurrencies illegal in Islamic nations? They are banned in Saudi Arabia

Colleagues, here at the Cryptocurrency Academy we are not predisposed to playing politics. Yet, in the kingdom of Saudi Arabia we see the collision of cryptocurrencies, religion and government leading to the prohibition of crypto activity “within” the countries boarders. The Crown Prince Mohammad bin Salman has declared them as a fraud as well as a potential breach of Sharia law. The key question becomes how pervasive is the prohibition of cryptocurrencies across the Islamic world? Islamic nations are not all created equal and some governments are strictly conservative while others are more open to so-called Western trends. Qatar, the UAE, Indonesia and Malaysia are much more progressive in their thinking and business practices. Iran, for purely financial reasons, is launching its own government-back cryptocurrency as a means of evading US economic trade sanctions. Bottom line: The Cryptocurrency Academy views Saudi Arabia as the outlier when it comes to banning cryptocurrencies while other Islamic nations are racing to embrace them with the goal of giving their economies a viable position in the global financial system. Let us know your thoughts today! Lawrence – Cryptocurrency Academy (https://cryptocurrencyacademy.blogspot.com/)  

Mining Malware at Fault a Cryptocurrency Theft of Some $87B in China

Colleagues, as we have previously reported mining malware has far outpaced the growth of ransomware over the past year when it comes to cryptocurrency theft. The most recent example is the theft in China valued at $87B of cryptocurrency by mining malware at the hands of three cyber criminals. Although details are limited, we understand this malware crime to be launched by Chinese nationals against Chinese cryptocurrency investors. To date we have seen many mining malware crimes initiated from within China targeting cryptocurrency investors located abroad.  McAfee Labs’ Threats Report for June 2018 identified more than 2.9 million samples of crypto-mining malware in Q1 2018 alone versus 400k attacks in Q4 2017 Q4 with JavaScript being the tool of choice when targeting web browsers. Bottom line: Both individual as well as corporate crypto investors need to be proactive in preventing crypto theft. Individuals needs to ensure the security on their computers and smartphones is as robust and up-to-date as possible, while institutions (corporations and telecom carriers) need to focus on router security. Share your comments today! Lawrence – Cryptocurrency Academy (https://cryptocurrencyacademy.blogspot.com/) 

How critical in SIM Swap Fraud theft to cryptocurrency investors?

Colleagues, when members of the cryptocurrency ecosystem assess security threats SIM Swap Fraud likely ranks quite low on the priority list. Nevertheless, for cryptocurrency investors who use software-based crypto wallets the impact of SIM Swap Fraud can be significant. Case I point is the $224m law suit filed against AT&T by crypto investor Michael Terpin. Such fraud is a form of identity theft in which thieves convince untrained or unsuspecting telecom carrier and smartphone vendor support staff of the need to upgrade a SIM card. In turn the thieves gain access to most all of the phones apps and security information. The US Federal Trade Commission has been aware of this scheme for at least two years, however, there is little evidence that phone manufacturers and carriers have implemented protocols (e.g. human factors prevention methods) to reduce such crime. SIM Swap Fraud takes advantage of the rise of cryptocurrency software wallets and identify theft schemes. Cryptocurrency investors need to assess the risk-reward level of software vs. hardware vs. paper wallets along with their vulnerability to ID theft. Bottom line: SIM Swap Fraud is one more weakness is the broader crypto ecosystem which traders and investors need to mitigate. Share your comments today! Lawrence – Cryptocurrency Academy (https://cryptocurrencyacademy.blogspot.com/) 

What impact will Axoni’s AxCore distributed ledger have on Blockchain auditing and assurance?

Colleagues, the holy grail of Blockchain-based distributed ledgers is likely to be auditability and assurance for domestic and trans-border financial transactions. Auditability and assurance in the Blockchain world are synonyms for “transparency” … the elusive element that has been a critical barrier to adoption for cryptocurrencies. Enter AxCore, the new auditable distributed ledger technology from Axoni which has raised some $55m venture capital in total from the likes of Andreessen Horowitz, Goldman Sachs, JP Morgan, Wells Fargo and other firms with a vested stake in fintech. While still in its infancy AxCore’s auditable distributed ledger technology is a potential breakthrough which could propel Blockcain in general and leading cryptocurrencies in specific from early adopter to mass market adoption. A recent report from AICPA entitled “Audit & Assurance Alert — Blockchain Technology and Its Potential Impact on the Audit and Assurance Profession” could be a forerunner to such a technology paradigm shift with major implications for the broader cryptosphere and fintech ecosystem. Share your comments today! Lawrence – Cryptocurrency Academy (https://cryptocurrencyacademy.blogspot.com/) 

Crypto Money Laundering, Fraud and Mining Malware Drive Increase in FinCEN SARs

Colleagues, over the past year Financial Crimes Enforcement Network (FinCEN) – a branch of the US Treasury - has reported a significant increase in Suspicious Activity Reports (SARs). Money laundering, fraud and mining malware complaints by financial institutions have all contributed to a rise in SARs to over 1500 per month. It is no wonder that the rise in SARs is directly correlated with in growth in cryptocurrency market capitalization. And in turn, cybercrime – which are at the core of SARs – also correlates the number and trading volume of cryptocurrencies. FinCEN offers an online SAR Stats reporting tool in their web site. Bottom line: The Cryptocurrency Academy and Cyber Security Defender propose the formation of cybercrime protection alliance between the US Treasury, financial institutions, crypto exchanges and security vendors with the goal of reducing cybercrime related to the cryptocurrency ecosystem. Share your comments today! Lawrence – Cryptocurrency Academy (https://cryptocurrencyacademy.blogspot.com/) 

How will Bitcoin’s emerging crypto monopoly impact global cryptocurrency markets?

Colleagues, despite an aggregate decline in total cryptocurrency market cap since early CY2018, Bitcoin’s percent of total market value has reached staggering 50% threshold. Data also reveal that the top 5 cryptocurrencies – Bitcoin, Ethereum, Bitcoin Cash, Litecoin and Ripple – control almost 60% of the global crypto market. View the data from CoinMarketCap tracking stats. The Cryptocurrency Academy and the Cyber Security Defender draw two key conclusions from these numbers. First, is the definitive market vale concentration – which is nearing monopoly status – around Bitcoin. Thus, the extended crypto ecosystem needs to serve customers by developing tools and applications which are purpose-built for Bitcoin. Second, is the rapid bi-furcation of the global cryptocurrency market between the “Big 5” and the second-tier cryptocurrencies which serve niche geographic- and application-specific markets. We believe that bad actors – such as Russia, Iran, North Korea, Syria, ISIS, and AOAP - will be the primary users of this cryptocurrency underclass of as they seek to evade economic sanctions and conduct nefarious financial transactions with little-to-no transparency. Share your comments today! Lawrence – Cryptocurrency Academy (https://cryptocurrencyacademy.blogspot.com/)