Bitcoin

[Tugg Speedman]

The "add-dot-com-to-your-name-for-an-instant-price-spike" is exactly what came to mind when I read the article.

Your point about separating the price mania from the message is a good one--the exuberance in its current state may be irrational, but there is indeed good reason to be exuberant. 

But what is the reason?  Why the exuberance?  Does the market feel the same way that you do: cryptos will eventually supplant many of the services that banks perform?  Cryptos will replace government-backed fiat currency?

I need to think about this more.

Not next year, and maybe not 2019.  Markets are forward-looking.  They see a real possibility this is the end game of cryptos and recognize the inherent risk, which explains the possibility.  (This is my interpretation)

[Tugg Speedman]

Fun day today.  Down below 13k and falling fast!

Down 27% from its peak earlier this week.

This is the FIFTH time it has corrected more than 25% THIS YEAR.  The other four produced new highs. (seventh of at least 10% this year, the other six produced new highs).

If I had to guess what's going on now, again this is my guess ... Gdax (Global Digital Asset Exchange), the largest institutional exchange in the United States, keeps crash and experiencing service outages.  Its traffic is overwhelming.  Add to that they Gdax also "turned on" the August fork and now GDAX holders have Bitcoin Cash in their accounts.  That happened two days ago.  (I attempted to explain a fork above).  So, every GDAX holder was given an early Christmas present of another coin worth $4,000.  They inspired some selling (more selling of bitcoin as they are preferring to hold bitcoin cash.)

As I write this late Thursday night, still enjoying the destruction of American ... I'm opening an account on the Chinese exchange binance.com.  I think this is the safest of the Chinese exchanges.  I'm supremely frustrated with GDAX right now.

[Hards Alumni]

Down 27% from its peak earlier this week.

This is the FIFTH time it has corrected more than 25% THIS YEAR.  The other four produced new highs. (seventh of at least 10% this year, the other six produced new highs).

If I had to guess what's going on now, again this is my guess ... Gdax (Global Digital Asset Exchange), the largest institutional exchange in the United States, keeps crash and experiencing service outages.  Its traffic is overwhelming.  Add to that they Gdax also "turned on" the August fork and now GDAX holders have Bitcoin Cash in their accounts.  That happened two days ago.  (I attempted to explain a fork above).  So, every GDAX holder was given an early Christmas present of another coin worth $4,000.  They inspired some selling (more selling of bitcoin as they are preferring to hold bitcoin cash.)

As I write this late Thursday night, still enjoying the destruction of American ... I'm opening an account on the Chinese exchange binance.com.  I think this is the safest of the Chinese exchanges.  I'm supremely frustrated with GDAX right now.

I've two cryptos on Binance 

[Tugg Speedman]

[mu03eng]

The true "future proof" investment (until quantum computing) is blockchain....find ways to invest in blockchain

[Hards Alumni]

The true "future proof" investment (until quantum computing) is blockchain....find ways to invest in blockchain

Maybe... assuming nothing else changes... still more secure than anything else.

Also, when QC hits, everything is vulnerable from a cryptography standpoint.

[MU82]

Interesting bitcoin article on financial site Seeking Alpha. (I think it might be blocked for non-subscribers, so I'll provide the text instead of a link). Again, I don't own bitcoin and am unlikely to ever do so, so I have no horse in the race. I came across this article and thought it was interesting.

+++

As I type this article, Bitcoin is flirting with entering a bear market. This week's newsletter highlights three relatively underfollowed, or misunderstood, stories in the background. Each of which alone virtually guarantees the arrival of a bear market. Altogether, combined with a bubble of tulip proportions, is setting the stage for an epic collapse.

The topics of the day are as follows:

Bigger than Denmark...
Fees???
Wall Street versus Main Street...

But, first off, the background on how we got here. It all started with the development of the blockchain, the underlying code allows for users to transfer digital assets directly to other users, in a secure and verifiable format. In an ever-digital world, blockchain is truly revolutionary and, as such, investors are piling into blockchain-type investments.

The most popular of these, by far, is the original blockchain currency that kicked it all off: Bitcoin. Since its creation in 2009, the price of Bitcoin has climbed from its start at a few pennies, most recently going parabolic to hit close to $20,000 per bitcoin. This is, of course, the definition of a mania, or bubble, and is destined to end.

Bitcoin is trading today at $15,700, which means it's down over 20% since reaching its recent high. The definition of a bear market is down 20%. This is not, however, the first bear market for Bitcoin, which has had several, very short-lived, downturns in its past. This time, however, I think it will be different. But, we'll get to that in a little while. First, the issues that doom Bitcoin's relevancy in the long-term and guarantee the inevitable fall from glory.

Bigger than Denmark... in terms of power consumption

Few people (at least I believe them to be few) understand the way Bitcoin transactions are processed and, more importantly, the massive energy consumption behind them. In an article titled Bitcoin's Insane Energy Consumption, Explained, by ARS Technica, they lay out in great detail how it all goes down.

The skyrocketing value of Bitcoin is leading to soaring energy consumption. According to one widely cited website that tracks the subject, the Bitcoin network is consuming power at an annual rate of 32TWh—about as much as Denmark. By the site's calculations, each Bitcoin transaction consumes 250kWh, enough to power homes for nine days.

Naturally, this is leading to concerns about sustainability. Eric Holthaus, a writer for Grist, projects that, at current growth rates, the Bitcoin network will "use as much electricity as the entire world does today" by early 2020. "This is an unsustainable trajectory," he writes.

Realize that Bitcoin, at this time, is just a bit player in the global payments industry. The number of Bitcoin transactions processed each day is a tiny fraction of the number of Visa (NYSE:V) or Mastercard (NYSE:MA) transactions, which is itself just a fraction of the payments industry. The point being that it seems impossible for Bitcoin to become a true currency as it is currently established.

The article does go on to discuss three possible ways to reduce the energy consumption behind the digital coins...

While Bitcoin may not be a total environmental disaster, the Earth would certainly be a greener place if the Bitcoin network didn't consume so much electricity to process a relatively small number of transactions.

There are basically three ways this could happen. One way, as we've already discussed, is for Bitcoin's price to decline.

A second option would be to shrink the network's 12.5 bitcoin-per-block reward sooner than the scheduled 2020 reduction. But that's easier said than done. Bitcoin mining companies are not going to go along with this willingly, and Bitcoin traditionalists are likely to oppose such a move as well.

Governments may also be powerless here. If any one country tries to force a change, mining operations would simply flee to another jurisdiction. Changing Bitcoin by regulatory fiat would require a coordinated global regulatory effort, which doesn't seem likely to happen any time soon.

A third option would be to change the Bitcoin mining process altogether. Bitcoin's current mining algorithm is based on computing a supermassive number of cryptographic hash functions. But other cryptocurrencies have been exploring alternatives. Bitcoin Gold is a recently created variant of Bitcoin that uses a "memory-hard" mining algorithm that might prove to be less power hungry—though it would still consume huge amounts of juice. More exotic mining algorithms exist that could dramatically reduce power consumption. Switching to an alternative mining algorithm would also be controversial among traditionalists and would be strongly opposed by miners. It would wipe out mining companies' multi-million dollar investments in custom mining hardware. Such a step is not impossible, but it seems unlikely to happen any time soon.

All of which means that Bitcoin's power-hungry ways are unlikely to change any time soon.

So, Bitcoin is using more energy than Denmark and that is only going to grow. Unless, the price goes down. That doesn't sound too promising, does it?

Fees... the currency of the future charges more per transaction than the currencies of the past?

This doesn't seem logical at all, does it? Wasn't Bitcoin supposed to, as a true peer-to-peer network, allow micro-payments and the like? Yet, think about it. Someone is processing these transactions and using all the energy in Denmark or wherever. They are buying computers and "mining" coins, which basically means investing in the network so that the blockchain is maintained. There's an expense to all of this and it comes back in the form of fees.

In an article by CNBC, the increasing cost of trading in Bitcoin is detailed. It's eye-opening, what the expenses are to do a simple transaction.

Bitcoin's price isn't the only thing soaring to colossal levels.

People are currently paying $28 on average to make transactions using the digital currency, according to data by BitInfoCharts.

Users of cryptocurrency exchanges like Coinbase incur such transaction fees when transferring money to an external bitcoin address. Bitcoin addresses are like virtual bank account numbers where users can store their bitcoin tokens.

Last week, a journalist said on Twitter that he paid $15 to send $100 worth of bitcoin from a digital wallet to a hardware wallet.

And earlier this month, another person claimed on Twitter that he had to pay a $16 fee to send $25 worth of bitcoin from one bitcoin address to another.

Bitcoin transaction fees are proving to be profitable for so-called bitcoin "miners". Miners work out complex cryptographic puzzles to add transactions to the blockchain, a decentralized record of all bitcoin transactions. They are paid in bitcoin in return for their services. On Monday, the total value of all transaction fees paid to miners hit an astronomical sum above $11 million on that one day, according to Blockchain.com data.

I find it next to impossible to believe that the fees associated with Bitcoin are this high, yet it's true. At $28 per transaction, they are unsustainable. And, like power consumption, there's really only one way they get reduced... with a lower price of Bitcoin.

Wall Street versus Main Street... the outcome never changes

This last week has seen the coming of many different financial instruments that allow investors more opportunity to place wagers on the future value of Bitcoin. Designed by Wall Street, these vehicles are bringing institutions into the playground that is Bitcoin trading.

There have been many jokes about how Wall Street is late to the game and that the average person has made the "easy money" in Bitcoin. As the price spiked to $19,000 on a vertical climb, this chatter got louder.

While it may be true that some people have indeed profited handsomely from the recent movement, let's be very clear about Wall Street. Just because the financial derivatives have come into existence at the heights doesn't mean that Goldman Sachs et. al. is backing up the truck here and buying digital currencies. Bitcoin's parabolic run of the last few weeks was very much Main Street piling in at the top of the bubble and Wall Street selling to them. And, now that they can short Bitcoin more easily, you better believe that they are the ones fading this move in bulk.

A few headlines from the last week should drive this point home.

Wall Street can't wait to short bitcoin - Axios
Hedge Funds Prepare to Trade Against Bitcoin - Bloomberg
Want to Short Bitcoin? The Time to Take Action Is Now - TheStreet

The top of the market could very well coincide with the beginning of futures trading in Bitcoin. But, Wall Street will not be the ones going down with the ship. Instead, they are going to be shooting holes in the hull of the Bitcoin battleship, cheering as it goes to its watery grave. Sadly, the inevitable outcome is always the same.

As the bear market starts, Bitcoin's days of trading higher are likely over. Like your mother said, you shouldn't play in the street.

[reinko]

Godspeed bitcoiners... Ooof

[mu03eng]

Maybe... assuming nothing else changes... still more secure than anything else.

Also, when QC hits, everything is vulnerable from a cryptography standpoint.

QC changes everything not just crypto when it hits. Will be more disruptive than printing press, interchangeable parts, and the internet combined.

Not hyperbole, life will completely change as we know it when QC is commercially available at scale. I’d guess that happens around 2030

[reinko]

QC changes everything not just crypto when it hits. Will be more disruptive than printing press, interchangeable parts, and the internet combined.

Not hyperbole, life will completely change as we know it when QC is commercially available at scale. I’d guess that happens around 2030

Any recs where I can read more the potential impact of QC?

[Hards Alumni]

QC changes everything not just crypto when it hits. Will be more disruptive than printing press, interchangeable parts, and the internet combined.

Not hyperbole, life will completely change as we know it when QC is commercially available at scale. I’d guess that happens around 2030

I'm not saying you're wrong.

[MU82]

Novogratz dials back Bitcoin bullishness; delays Bitcoin hedge fund

Dec. 22, 2017 12:44 PM ET|By: Stephen Alpher, Seeking Alpha News Editor

"We didn’t like market conditions and we wanted to re-evaluate what we’re doing," says the hedge funder, who has put on hold plans to raise $500M for his Galaxy Digital Assets Fund.

Just a week ago, Novogratz was suggesting Bitcoin would hit $40K soon.

Today he's tweeting the crypto may have hit a short-term top, and expects consolidation in the $10K-$16K range for awhile, with maybe a tumble to $8K in the cards.

While many were hemming and hawing over what it meant by Litecoin founder's Charlie Lee's disclosure this week that he sold all his Litecoins, Novogratz pulled no punches. "When insiders sell it always is important."

[Tugg Speedman]

Interesting bitcoin article on financial site Seeking Alpha. (I think it might be blocked for non-subscribers, so I'll provide the text instead of a link). Again, I don't own bitcoin and am unlikely to ever do so, so I have no horse in the race. I came across this article and thought it was interesting.

+++

As I type this article, Bitcoin is flirting with entering a bear market. This week's newsletter highlights three relatively underfollowed, or misunderstood, stories in the background. Each of which alone virtually guarantees the arrival of a bear market. Altogether, combined with a bubble of tulip proportions, is setting the stage for an epic collapse.

The topics of the day are as follows:

Bigger than Denmark...
Fees???
Wall Street versus Main Street...

But, first off, the background on how we got here. It all started with the development of the blockchain, the underlying code allows for users to transfer digital assets directly to other users, in a secure and verifiable format. In an ever-digital world, blockchain is truly revolutionary and, as such, investors are piling into blockchain-type investments.

The most popular of these, by far, is the original blockchain currency that kicked it all off: Bitcoin. Since its creation in 2009, the price of Bitcoin has climbed from its start at a few pennies, most recently going parabolic to hit close to $20,000 per bitcoin. This is, of course, the definition of a mania, or bubble, and is destined to end.

Bitcoin is trading today at $15,700, which means it's down over 20% since reaching its recent high. The definition of a bear market is down 20%. This is not, however, the first bear market for Bitcoin, which has had several, very short-lived, downturns in its past. This time, however, I think it will be different. But, we'll get to that in a little while. First, the issues that doom Bitcoin's relevancy in the long-term and guarantee the inevitable fall from glory.

Bigger than Denmark... in terms of power consumption

Few people (at least I believe them to be few) understand the way Bitcoin transactions are processed and, more importantly, the massive energy consumption behind them. In an article titled Bitcoin's Insane Energy Consumption, Explained, by ARS Technica, they lay out in great detail how it all goes down.

The skyrocketing value of Bitcoin is leading to soaring energy consumption. According to one widely cited website that tracks the subject, the Bitcoin network is consuming power at an annual rate of 32TWh—about as much as Denmark. By the site's calculations, each Bitcoin transaction consumes 250kWh, enough to power homes for nine days.

Naturally, this is leading to concerns about sustainability. Eric Holthaus, a writer for Grist, projects that, at current growth rates, the Bitcoin network will "use as much electricity as the entire world does today" by early 2020. "This is an unsustainable trajectory," he writes.

Realize that Bitcoin, at this time, is just a bit player in the global payments industry. The number of Bitcoin transactions processed each day is a tiny fraction of the number of Visa (NYSE:V) or Mastercard (NYSE:MA) transactions, which is itself just a fraction of the payments industry. The point being that it seems impossible for Bitcoin to become a true currency as it is currently established.

The article does go on to discuss three possible ways to reduce the energy consumption behind the digital coins...

While Bitcoin may not be a total environmental disaster, the Earth would certainly be a greener place if the Bitcoin network didn't consume so much electricity to process a relatively small number of transactions.

There are basically three ways this could happen. One way, as we've already discussed, is for Bitcoin's price to decline.

A second option would be to shrink the network's 12.5 bitcoin-per-block reward sooner than the scheduled 2020 reduction. But that's easier said than done. Bitcoin mining companies are not going to go along with this willingly, and Bitcoin traditionalists are likely to oppose such a move as well.

Governments may also be powerless here. If any one country tries to force a change, mining operations would simply flee to another jurisdiction. Changing Bitcoin by regulatory fiat would require a coordinated global regulatory effort, which doesn't seem likely to happen any time soon.

A third option would be to change the Bitcoin mining process altogether. Bitcoin's current mining algorithm is based on computing a supermassive number of cryptographic hash functions. But other cryptocurrencies have been exploring alternatives. Bitcoin Gold is a recently created variant of Bitcoin that uses a "memory-hard" mining algorithm that might prove to be less power hungry—though it would still consume huge amounts of juice. More exotic mining algorithms exist that could dramatically reduce power consumption. Switching to an alternative mining algorithm would also be controversial among traditionalists and would be strongly opposed by miners. It would wipe out mining companies' multi-million dollar investments in custom mining hardware. Such a step is not impossible, but it seems unlikely to happen any time soon.

All of which means that Bitcoin's power-hungry ways are unlikely to change any time soon.

So, Bitcoin is using more energy than Denmark and that is only going to grow. Unless, the price goes down. That doesn't sound too promising, does it?

Fees... the currency of the future charges more per transaction than the currencies of the past?

This doesn't seem logical at all, does it? Wasn't Bitcoin supposed to, as a true peer-to-peer network, allow micro-payments and the like? Yet, think about it. Someone is processing these transactions and using all the energy in Denmark or wherever. They are buying computers and "mining" coins, which basically means investing in the network so that the blockchain is maintained. There's an expense to all of this and it comes back in the form of fees.

In an article by CNBC, the increasing cost of trading in Bitcoin is detailed. It's eye-opening, what the expenses are to do a simple transaction.

Bitcoin's price isn't the only thing soaring to colossal levels.

People are currently paying $28 on average to make transactions using the digital currency, according to data by BitInfoCharts.

Users of cryptocurrency exchanges like Coinbase incur such transaction fees when transferring money to an external bitcoin address. Bitcoin addresses are like virtual bank account numbers where users can store their bitcoin tokens.

Last week, a journalist said on Twitter that he paid $15 to send $100 worth of bitcoin from a digital wallet to a hardware wallet.

And earlier this month, another person claimed on Twitter that he had to pay a $16 fee to send $25 worth of bitcoin from one bitcoin address to another.

Bitcoin transaction fees are proving to be profitable for so-called bitcoin "miners". Miners work out complex cryptographic puzzles to add transactions to the blockchain, a decentralized record of all bitcoin transactions. They are paid in bitcoin in return for their services. On Monday, the total value of all transaction fees paid to miners hit an astronomical sum above $11 million on that one day, according to Blockchain.com data.

I find it next to impossible to believe that the fees associated with Bitcoin are this high, yet it's true. At $28 per transaction, they are unsustainable. And, like power consumption, there's really only one way they get reduced... with a lower price of Bitcoin.

Wall Street versus Main Street... the outcome never changes

This last week has seen the coming of many different financial instruments that allow investors more opportunity to place wagers on the future value of Bitcoin. Designed by Wall Street, these vehicles are bringing institutions into the playground that is Bitcoin trading.

There have been many jokes about how Wall Street is late to the game and that the average person has made the "easy money" in Bitcoin. As the price spiked to $19,000 on a vertical climb, this chatter got louder.

While it may be true that some people have indeed profited handsomely from the recent movement, let's be very clear about Wall Street. Just because the financial derivatives have come into existence at the heights doesn't mean that Goldman Sachs et. al. is backing up the truck here and buying digital currencies. Bitcoin's parabolic run of the last few weeks was very much Main Street piling in at the top of the bubble and Wall Street selling to them. And, now that they can short Bitcoin more easily, you better believe that they are the ones fading this move in bulk.

A few headlines from the last week should drive this point home.

Wall Street can't wait to short bitcoin - Axios
Hedge Funds Prepare to Trade Against Bitcoin - Bloomberg
Want to Short Bitcoin? The Time to Take Action Is Now - TheStreet

The top of the market could very well coincide with the beginning of futures trading in Bitcoin. But, Wall Street will not be the ones going down with the ship. Instead, they are going to be shooting holes in the hull of the Bitcoin battleship, cheering as it goes to its watery grave. Sadly, the inevitable outcome is always the same.

As the bear market starts, Bitcoin's days of trading higher are likely over. Like your mother said, you shouldn't play in the street.

Good article, couple of thoughts....

If 20% is the definition of a bear market, this is bitcoin 11th bear market in the last 3 years.  Is about one every 3 1/2 months.  The previous bear market was early November.

So I’m not sure how relevant it is to note it’s fell 20%.  It does it frequently and alway recovers to new highs.

Regarding computational and electricity consumption, that is a problem.  But like have noted above, that is why we have over 1300 cryptos and bitcoin has been forked twice (to “cash” and “gold”).  They are trying to fixed these issues.

I sold all my bitcoins and swapped into ripple, litecoin and etherum.  Going to by bitcoin cash as well (on the pullback).

[Hards Alumni]

Good article, couple of thoughts....

If 20% is the definition of a bear market, this is bitcoin 11th bear market in the last 3 years.  Is about one every 3 1/2 months.  The previous bear market was early November.

So I’m not sure how relevant it is to note it’s fell 20%.  It does it frequently and alway recovers to new highs.

Regarding computational and electricity consumption, that is a problem.  But like have noted above, that is why we have over 1300 cryptos and bitcoin has been forked twice (to “cash” and “gold”).  They are trying to fixed these issues.

I sold all my bitcoins and swapped into ripple, litecoin and etherum.  Going to by bitcoin cash as well (on the pullback).

Personally, I'm avoiding Bcash.  Look into Roger Ver.  He is the definition of douche bag.

[MU82]

Ripple.

Makes me laugh every time I see a reference to it.

Reminds me of Fred Sanford!

[Tugg Speedman]

Ripple.

Makes me laugh every time I see a reference to it.

Reminds me of Fred Sanford!

Has a good technology that could make it a serious competitor in becoming the medium of exchange.  And it was up 50% yesterday, 300% in the last month or so.

Their is a crypto called “Jesus Coin” .... interested?

[MU82]

Has a good technology that could make it a serious competitor in becoming the medium of exchange.  And it was up 50% yesterday, 300% in the last month or so.

Their is a crypto called “Jesus Coin” .... interested?

Sure. Buy one for me. Or a million of 'em. Or however much anybody can buy of any of this stuff.

[Goose]

Yukon

Based on my limited knowledge on the topic, I chose to buy Ripple for the reasons you noted. I am going to give XRB a year and not trade or sell my initial buy and see what happens. I had small LTC position and rolled into XRB on Friday morning. Fingers crossed and looking forward to seeing where XRB is at on 12/1/18.

[Hards Alumni]

Yukon

Based on my limited knowledge on the topic, I chose to buy Ripple for the reasons you noted. I am going to give XRB a year and not trade or sell my initial buy and see what happens. I had small LTC position and rolled into XRB on Friday morning. Fingers crossed and looking forward to seeing where XRB is at on 12/1/18.

You got in at a great time.  I went for REQ and wish that I aimed XRB on that dip.  REQ seems to be a great tech, but will grow more conservatively.

[Tugg Speedman]

Interesting story about a Milwaukee start called Coinigy that offers a trading platform for dealing in cryptos. 

They are involved with MU’s Block Chain lab ... mentioned at the bottom of the story.

As interest in bitcoin grows, so does Milwaukee startup Coinigy

https://www.jsonline.com/story/money/business/onramp/2017/12/22/bitcoin-growing-fast-milwaukee-firm-coinigy/949729001/

Marquette University’s College of Business Administration established a Blockchain Lab this fall to prepare students to develop solutions to problems using the technology. The lab is planning community learning sessions and other events.

“This is not just a fringe, dark-web, libertarian movement,” said Heather Sullivan, the college’s associate director for external relations. “It’s catching everyone’s attention, from Fortune 500 to startups.”

[Tugg Speedman]

The Marquette Blockchain Lab, established in the fall of 2017, facilitates education, research and innovation, and collaboration in the interest of advancing knowledge and implementation of distributed ledger solutions. It is an interdisciplinary initiative that unites students, faculty, and community partners from across disciplines and industries to create workable blockchain solutions to a wide array of problems.

http://www.marquette.edu/business/companies/blockchain-lab.php

[Dr. Blackheart]

Interesting story about a Milwaukee start called Coinigy that offers a trading platform for dealing in cryptos. 

They are involved with MU’s Block Chain lab ... mentioned at the bottom of the story.

As interest in bitcoin grows, so does Milwaukee startup Coinigy

https://www.jsonline.com/story/money/business/onramp/2017/12/22/bitcoin-growing-fast-milwaukee-firm-coinigy/949729001/

Marquette University’s College of Business Administration established a Blockchain Lab this fall to prepare students to develop solutions to problems using the technology. The lab is planning community learning sessions and other events.

“This is not just a fringe, dark-web, libertarian movement,” said Heather Sullivan, the college’s associate director for external relations. “It’s catching everyone’s attention, from Fortune 500 to startups.”

Coinigy Arena coming to 6th and Michigan in 2025.

[MU82]

Coinigy Arena coming to 6th and Michigan in 2025.

Can join Enron Field and TWA Dome on the scrap heap of stadium/arena names in 2026.

[Tugg Speedman]

18 minute Ted talk about what the blockchain is, how it works (nontechnical) how bitcoin fits in and why all of this is the biggest deal since the invention of the internet itself.

Worth a look.

https://ted.com/talks/don_tapscott_how_the_blockchain_is_changing_money_and_business?utm_source=sms&utm_medium=social&utm_campaign=tedspread--b

[MU82]

Israel latest to crack down on bitcoin.

https://seekingalpha.com/news/3319979-israel-latest-crack-bitcoin

Dec. 25, 2017 3:03 PM ET|By: Yoel Minkoff, SA News Editor

Israel has become the latest nation to crack down on cryptocurrencies, proposing regulation to ban companies trading in bitcoin from operating on the Tel Aviv stock exchange.

"I think it looks like a bubble, smells like a bubble, acts like a bubble and feels like a bubble," said Israel Securities Agency Chairman Shmuel Hauser.

The move follows last week's warnings by FINRA against firms that "tout the potential of high returns associated with cryptocurrency-related activities," as well as China's decision to shutter bitcoin exchanges and ban ICOs in September.