“The Future Of Money”

US House Of Representatives

The United States will begin official hearings on cryptocurrency on July 18 2018, on a live stream for the general public to listen on the hearings. The title of this hearing is “The Future of Money: Digital Currency’, somewhat acknowledging that bitcoin and cryptocurrency at least has the potential of being the ‘new cash’ if not the only ‘cash’ of the future. As technology develops, having digital cash is the next natural course.

The exact list of people attending hasn’t been released, but it’s expected to be presided over by the legislators and cyprtocurreny experts. When I hear cryptocurrency experts though, there’s a few worries that come to mind.
The first is that ‘most’ if not all cryptocurrency ‘experts’ tend to completely negate the security portion of digital currency, upselling completely unsafe technology. Which is a legitimate concern surround cyprtocurrency. It’s not fully anonymous like people think, Bitcoin is traceable for example. Public ledgers, permissionless public blockchain, and no central authority within the community to protect the currency itself, are all concerns. Ripple does this fairly well, but still lacks considering their bank affiliations and their motivation to dump XRP (which is unlikely but still worrying).

This hearing will look into the security concerns related to cryptocurrency and curbing issues like money laundering, but experts would have to present a solid case, to show that it’s not different than laundering fiat or gold bars for that matter.

The US congress had released an economic report in March of this year that highlighted the benefits of cryptocurrency and why using it would be good for the economy. Which is a surprising change of mood considering how the Federal Reserve has been on behaving towards it. Perhaps fear that the debt system that they created for over a century is going to break down.

What do you think? Will this hearing  finally give Bitcoin and cryptocurrency the boost it needs after 6 months of FUD?

Cheers!
A.Yasir

Shatner’s Not Giving ETH

Shatner Scam Smack Down

With the release of new cryptocurrency reports, we have seen a total failure of multiple projects that either were flat out scams or failed projects that made billions of dollars with no intention of ever following through.

But it’s not just ICO projects that took billions in revenue from scamming or not producing their projects, it’s the flat out Multi Level Scams (which are basically pyramid schemes) or businesses that promise to send you 20 ETH or Bitcoins after you send .05 of the said cryptocurrency. Most people know, this is a warning sign. Even if they insist they need that 0.5 to confirm your address, it’s still a warning sign that many people have obviously missed. Millions are said to be lost this way.

Privacy coin “Verge coin”, set up a twitter account earlier this year, and 2 days later it was hacked.

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Of course, they regained control of their account, but the damage had been done. And this alone should have killed Verge, as a privacy coin token to get so easily hacked by scammers who told people to send any amount of XVG to get double back. We can only hope that the people investing weren’t stupid, but it happens. After all this is their official account that these hackers took over.

In my opinion this alone should have killed the Verge token altogether, but I guess people were able to forgive it and continue on, after all, people had invested heavily in this project and need it to succeed. I had demanded my investment back, as I demanded from Finom– another scam project that has no intention of actually producing the project. To Tron, that suddenly threw a curve ball to have people transfer their money from their wallet to the Exchange or risk losing your entire investment…yeah these aren’t good signs and it makes me extremely distrusting of their project. If this were a bank, people would be outraged and the lack of outrage is why these Projects like Tron are getting away with it.

Then we have celebrity endorsements? Should we hold celebrities like Mayweather responsible for supporting projects, even if they are scams without their knowledge or with? Most celebrities endorse products and services that they don’t necessarily believe in, but aren’t held responsible for those endorsements.

And then there’s the celebrities that without their knowledge had their name hijacked to sell a scam. William Shatner was one said victim, Shatner posted on twitter:

“BTW another fake me is pushing a pump and dump crypto Ponzi scheme: @Wiliiamshatners
– William Shatner (@WilliamShatner) July 2, 2018

Other celebrities who have been impersonated include John McAfee (who is very active in the cryptocurrency world); Elon Musk, Vitalik Buterin, one of the founders of Ethereum; Sir Richard Branson and even Donald Trump.

When choosing a project to buy into or invest in, you have to make proper choices. If an account like @WiliamShatners is tooting that they will give you 20 ETH if you send 0.5 ETH, do some due diligence. Confirm if this is an official account, go on reddit and see what people have to say about it. Directly message your doubts and concerns. If it’s the real deal, well then they should have to prove it.

But sometimes even with all the proper research, you will still fall victim to shitty projects and scams, but that’s life. I’m sure even though Mr. Shatner from his official twitter account posted that he isn’t the scam twitter account giving ETH, people will have probably still bought from it before it was taken down. How many thousands? Or millions? I guess we won’t know.

But this is just another reminder, that we need to centralize cryptocurrency under the general crypto community, or have these scams continue under the guise of decentralized. Nothing, not even Bitcoin or Ethereum is truly decentralized.  And even real coins can act like scams with their policies and sudden changes to the scope of the project. If the project no longer values the investor, it’s a shit coin and you should dump it. If a celebrity is endorsing a project, find out if its really them- reddit is usually a good place to filter the garbage or see some garbage.

And in the end, you have to do your own research. RESEARCH is key.

Cheers,
A.Yasir

The Truth About Laundering Bitcoin

It’s The Same As Laundering Fiat, Just Smaller.

CCN.com reported that CipherTrace released their Q2 2018 report that noted the rise of cryptocurrency crime, money laundering and other illicit activities. One particular glaring item was a $1.2 billion figure, that had been laundered through cryptocurrency tools such as Bitcoin Tumblers and privacy coins like Zcash and Monero.

Now this isn’t really news. We already know about Drug trafficking busts, weapons and human trafficking busts, which the different levels of the US government have made on the dark web. But what this is suggesting is that not only is crime up using Bitcoin, but ransom is also up. And it’s implying that it’s only happening to Cryptocurrencies and not really happening to such an extent to Fiat- which is incorrect.

The Problem
The problem I have with CipherTrace’s reports and other reports of such nature, is the idea that only cryptocurrency is used to do crimes. Now the report isn’t suggesting that, but it’s implying it. Fiat money has been doing daily orders of crimes for decades. Just recently a large scale report in British Columbia revealed that the Liberal government looked the other way while criminals used casino’s to launder millions of dollars- literally duffel bags of $5, $10 and $20 bills, and the casino staff were told to turn the camera’s away. The government let this slide, even the RCMP, because it created a booming economy in B.C. The results cost lives and livelihoods:

“At an event Wednesday to release the report, Eby said money laundering in casinos was linked to the opioid crisis that has claimed thousands of lives and to escalating housing prices that have made life unaffordable for British Columbians.”

Which is serious considering houses that should actually be worth $500,000 are now worth over $1million in a mere 6 years.

Fiat’s Way Worse
Fiats been used to launder money, crimes, wars, arms deals, genocides, human and sex trafficking of children and much more for decades. Anyone willing to stop investing in real estate because of the money it’s laundered? Anyone willing to stop using a bank because of their very real crimes of over charging people on transactions and NSF’s? Anyone willing to stop paying their government taxes because of their illegal invasions and human rights violations?

NO? Well stop complaining about crimes with cryptocurrency. Its not good and slowly a system will be created to hopefully limit such crimes. At least cryptocurrency will grow and smooth this out, Fiat money has had decades to fix their crime issues, and now it’s 2018 and nothings been solved.

Just because cryptocurrency is being used by ‘some’ to do terrible things doesn’t mean we all are- the majority aren’t. The ugly truth is that crime happens, and we can’t really stop it, whether it’s with cryptocurrency or not. Some will argue and say ‘well it’s easier now with privacy coins’ and they aren’t wrong, but these ‘privacy coins’ can be watched for the most to see where it’s going. Eventually they’re going to need to collect the value of those coins, and undercover government Exchanges on the dark web will nab them, and then collect those coins for their government wallet (valued over $40 million). Read my “Dark Web Bust” post for more details.

Then there will be those who say ‘well you can’t compare fiat and cyrptocurrency as a proper excuse’. Yeah actually we can. Because most people who do cryptocurrency aren’t criminals. The biggest criminal we have in the crypto scene is probably George Soros who was responsible for the Asian Financial Crisis- he was never held responsible, never faced any criminal charges or jailed. He continued on, making his millions. He suspiciously entered the crypto world just after Dec 2017 highs….not sure if there’s a link, buuuut that is for sure a link….

Bitcoin & Cryptocurrency Have Value
If old socks become a hot valued commodity, guess what, they’re going to use it for crimes. Criminals only use things that have value, well cryptocurrency has value, just like fiat and that’s why it’s being used.  Love it or hate it, cryptocurrency is not going to die. You can argue that Tokens and ICO’s will (if they haven’t already) die, but the major players like Bitcoin, Monero, Dash, Dogecoin (yes even Dogecoin) Litecoin and even the expensive gas induced Ethereum, will last.

Bitcoin isn’t all just crimes. Just like Fiat money isn’t all just crimes. Keep that in mind when you’re thinking FUD thoughts.

Cheers,
A.Yasir

Does the CIA know Or Not?

Who Is “Satoshi Nakamoto”

A video titled, CIA Project Bitcoin: Is Bitcoin a CIA or NSA project? made by a group calling themselves the “CIA Project” surfaced on youtube. This group is dedicated in finding all the governments secret projects and making it public. And in this latest video, they are claiming that Bitcoin is actually the creation of the US National Security Agency (NSA).

Now don’t scoff it off as a conspiracy theory or ‘FUD’ and run away. Lets have a gander at what this group is claiming to be their biggest proof.

Satoshi Nakamoto- the name itself.

Now I do touch on this subject a little in my post here, so have a read of that as well to put some other very important pieces of this together.

Satoshi (meaning ‘clear thinking, or intelligent). Nakamoto is a common Japanese surname meaning “central origin or one who lives in the middle) This surname is commonly found in Ryukyu Islands of Japan, which is strongly associated with the Ryukyu Kingdon, a highly centralized kindgom that originated in the Okinawa Islands.  This Island in particular was known as the ‘the place where cannibals lived’….not sure if this gives any weight to Warren Buffets fantastic quote, where he equates Bitcoin mining to harvesting baby brains…

Combined, both names could be interpreted as “Central Intelligence”- could be, loosely. There is in fact a real Satoshi Nakamoto (well Dorian Satoshi Nakamoto) but he vehemently denies he’s the Bitcoin creator and even hired a lawyer to clear his name. How badly do people want to know who this guy is?

The next claim is that no one has actually met Satoshi Nakamoto in person or spoken on the phone with him or her or even them.  Even Gavin Bell (known as Gavin Andresen), who only has contact by email, never in person or over the phone.

Other evidence includes the fact that Bitcoin uses a common PRNG (crypto program) to create secure keys, which is itself believed to have an NSA backdoor. Numerous Reddit threads linking Bitcoin or Satoshi Nakamoto with the NSA have been removed; and that Bitcoin is not decentralized as it is being controlled by a small group which is led by Gavin Bell. Which is true, I’ve said it before that cryptocurrencies are not decentralized in the sense people assume, there is a central body controlling it, and right now with Bitcoin it’s the 80% hashing power Chinese mining farms and Gavin Bell.

But do the CIA Project’s claims have any merit? I think there is- even just a little, is still too much.

The NSA creating Bitcoin has been rumor for many years. People have questioned why it uses the SHA-256 hash function- which by the way we designed by the NSA and published by the National Institute for Standards and Technology..

The fact that the NSA is tied to SHA-256 leads some to assume it’s created a backdoor to the hash function that no one has ever identified, which allows it to spy on Bitcoin users.

“If you assume that the NSA did something to SHA-256, which no outside researcher has detected, what you get is the ability, with credible and detectable action, they would be able to forge transactions. The really scary thing is somebody finds a way to find collisions in SHA-256 really fast without brute-forcing it or using lots of hardware and then they take control of the network,” cryptography researcher Matthew D. Green of Johns Hopkins University said in a previous interview.

This alone makes it worrisome for Bitcoin users or Cyber security specialists. Snowden is very harsh on Bitcoin and says it’s being watched by government agencies- more on that in a different post.

And of course this comes just at the heels after the CIA refused to confirm or deny if they knew who Satoshi Nakamoto is- leaving many to speculate, if they know.  And like Snowden says, ‘they know’.

I myself didn’t want anything to do with Bitcoin in 2009 when my wife told me about it- because of the sheer nightmare that is security and fraud. (Of course I’m glad I reconsidered it and mined as much as I could back then), but it did have the distinct smell of ‘government’ even back then.

Then there’s recent news of 21e8….that’s for another post.

What do you think? Does this prove that Satoshi Nakamoto is actually the NSA? Or does it simply just add another layer of conspiracy theories to an already large mystery.

We may never know.

Cheers,
A.Yasir