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Here’s Why a Wall Street Vet Says “Everything” is an Inferior Trade to Bitcoin

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Raoul Pal, the CEO of Real Vision, said in a recent interview that he thinks “no trade matters except for Bitcoin” at this moment. He added that “almost everything is an inferior trade” to the cryptocurrency.

This comes shortly after he said that the ongoing money printing is making him more bullish on Bitcoin than ever before:

“In fact, only one asset has offset the growth of the G4 balance sheet. Its not stocks, not bonds, not commodities, not credit, not precious metals, not miners. Only one asset massively outperformed over almost any time horizon: Yup, Bitcoin. My conviction levels in bitcoin rise every day. Im already irresponsibly long. I am now thinking it may not be even worth owning any other asset as a long-term asset allocation, but that’s a story for another day (I’m still thinking through this).”

Pal isn’t the only macro analyst to have been pledging their support for Bitcoin over recent months.

Lyn Alden, the founder of Lyn Alden Investment Strategy, recently shared three reasons why she has allocated capital to BTC. They are as follows:

  • Bitcoin’s network effects have allowed it to outpace altcoins, which could have suppressed BTC.
  • Bitcoin has scarcity mechanisms such as block reward halvings.
  • The cryptocurrency has an “ideal” macro backdrop, which includes massive growth in money supply and the mainstream adoption of the asset by prominent firms.

WHERE COULD BTC RALLY IN THE LONG RUN?

Pal thinks that Bitcoin could gain at least one order of magnitude in the upcoming bull cycle, announcing this target in a number of threads and interviews.

In an April newsletter, he wrote in reference to the price of BTC’s price action seen below:

“The chart is spectacular… I think it hits $100,000 in the next two years alone. But it could go to $1m in the same time period.”

In an interview with Max Keiser, Pal also mentioned there is a potential for Bitcoin to become a $10 trillion asset in the next decade.

Source: bitcoinist.com

Source: http://futureneteam.biz/heres-why-a-wall-street-vet-says-everything-is-an-inferior-trade-to-bitcoin/

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Ethereum’s Scalability Issues Will Not Be Fixed With ETH 2.0

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Ethereum’s scalability issues will not be fixed with ETH 2.0 according to one analyst as we are reading more about it in the latest Ethereum news.

ETH 2.0 could not solve Ethereum’s scalability issues as unique addresses for Defi are growing and surpassed the 450,000 mark since the start of the year. Ethereum has to scale dramatically to on-board the existing crypto user base of 50 million in the DeFi platforms already. ETH 2.0 along with the layer 2 implementations could not be able to keep up with the growth of the network usage from Defi.

The transaction fees on Ethereum cost $7.5 three times that of Bitcoin. Setting up a wallet on MakerDAO costs about $40, compared to Compound’s $10. The crazy fees are not sustainable of course. With the new yield farming incentives on Defi platforms are getting launched every other day, space expands despite alarming signals around the high fees and network congestions. Defi users are waiting for the launch of ETH 2.0 which promises to scale the blockchain but this could not be enough to support the existing number of crypto users.

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The number of Defi addresses that are rising quickly with the addition of the $350,000 addresses since the start of the year will only increase as Uniswap already surpassed coinbase in terms of trading volume and the user base is tiny compared to one of Coinbase’s 32 million users. Assuming that the network gas fees increased, it is a good time to assess how much of a difference with the ETH 2.0 makes.

eth fees
Ethereum Total Transactions (dotted line) vs Ethereum Transfers (solid line). Source Coinmetrics

ETH 2.0 is set to start with 64 shards and each one will operate as a separate chain with the transaction history. This way, the network could increase the transaction capacity by 64 times. Kruger’s estimate is based on the idea that Defi users have four addresses each. After that logic, that equates to about 114,000 unique users. Following this logic, sharding on ETH 2.0 will not solve the congestion problems. Ethereum’s co-founder Vitalik Buterin endorsed the use of the 2-scaling solutions like OMG and ZK-sync for ordinary transactions and according to him, there’s potential to scale from 12-15 transactions per second.

The higher fees are starting to affect profits and as a result, the exchanges will increase the fees and users will look for other alternatives to move their crypto. Layer-2 solutions are proposed for simple transfers of ETH which the effect of the total gas fees will be minimal.

DC Forecasts is a leader in many crypto news categories, striving for the highest journalistic standards and abiding by a strict set of editorial policies. If you are interested to offer your expertise or contribute to our news website, feel free to contact us at [email protected]

Source: https://www.dcforecasts.com/ethereum-news/ethereums-scalability-issues-will-not-be-fixed-with-eth-2-0/

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DeFi’s ‘God Mode’: What to do when it switches modes?

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The Total Value Locked figures for DeFi have reached $9.76B. In fact, over the past 90 days, the space has unlocked 477.5% in growth, with the same showing no signs of stopping. While the SushiSwap incident did contribute to a dip in DeFi’s TVL, there was near-instant recovery, with the figures surging back to its pre-drop levels, a drop that saw TVL fall by 40% in 10 days. Thus the question arises – Is DeFi in God Mode?

Is DeFi on God Mode?

Source: DeFiPulse

Now, God Mode is traditionally a gaming metaphor, one referring to a cheat code that makes the player character somewhat invincible. DeFi, with its incredible surge, sudden drop, and an even incredible resurgence, seems to be assuming the characteristics of such invincibility, ergo, God Mode.

However, it can also be argued that in the context of Bitcoin, DeFi may be playing the role that ICOs played way back in 2017. In fact, some have also drawn parallels between investments in the top 3 ICOs of 2017 – Filecoin, Sirin Labs, and Tezos, and top 3 DeFi Projects – Uniswap, Aave, and Curve Finance.

TVL in these top 3 DeFi projects had climbed to $4.5B, at press time. On the contrary, the total investment raised by the top 3 ICO projects was just $646M. On the face of it, when juxtaposed against each other, it would seem that DeFi has already outperformed the ICOs of 2017. 

If Bitcoin’s present market cycle is considered, one can see that institutional investors like MicroStrategy and Grayscale are very bullish on BTC. And perhaps, because it is, DeFi is deriving value from such growing interest and investment and is adding to its already healthy market capitalization.

Speculation and interest in Bitcoin were fundamental to the ICO craze back in 2017-18 and something similar is playing out for DeFi right now. In fact, one might argue that the latter is climbing at a greater pace since the TVL for the top 3 DeFi Projects is growing by 20-25% every day. yEarn Finance’s YFI token, for instance, grew by 14900% in value, in just one week. 

Is DeFi on God Mode?

Source: DeFiPulse

This rapid injection of capital into crypto-projects resonates with the ICO bubble. However, what also resonates are unfortunate flashbacks of investors pouring money into projects that never moved beyond whitepapers. There is, therefore, a good reason to fear a repeat of what happened back then.

Here, it is also important to note what transpired all those years ago when the ICO empire finally crumbled. When the ICO bubble finally popped in 2018, the overall crypto-market capitalization dropped by $700B, an 85% drop from its peak in January 2018. Many of the top ICOs, many of which received lots of money in investor funds, lost out too. 

Something similar can happen if and when DeFi’s bubble pops. DeFi’s TVL of $9.76B is too significant to not have an impact on Ethereum’s price and the larger crypto-market. For example, many believe that Ethereum’s recent rally was fueled by DeFi. After all, Ethereum is the network powering the space. So, one can imagine how a drop in TVL might impact ETH’s price, market cap, trading sentiment, and the overall market capitalization.  

This is the reason why when the SushiSwap incident transpired and millions were wiped off DeFi’s market cap, Ethereum’s price dropped by 20% on the charts. 

What can a trader do then? Well, caution is key, caution and the understanding that trading in DeFi currently is driven more by hype and irrational sentiment, than anything else. That should do for now for when DeFi is still in God Mode. The question thus emerges – What to do when it switches modes?

Source: https://eng.ambcrypto.com/defis-god-mode-what-to-do-when-it-switches-modes

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Hackers Try To Hack The 7th Biggest BTC Wallet In The World

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Hackers try to hack the 7th biggest bitcoin wallet in the world with $750 million inside, by trying to decrypt it as we are reading more in the latest Bitcoin news.

The bitcoin wallet contains about 69,000 BTC and is now becoming extremely popular in the hacker circles as the hackers try to decrypt it and get the piece of the pie. Seasoned hackers want to break it open and to take all the money or at least a piece of the cake. For the past two years, there was no hacking group that was successful to break it open.

According to the cybersecurity expert Alon Gal or “UnderTheBreach” on Twitter, hackers was trying to break open the Bitcoin wallet with $750 million worth of coins inside. However, Gal reported that no one posted success regarding the hack. The BTC wallet has the 7th biggest stash in the world. some folks even tried to break it themselves but most of them admitted failure and advertised the wallet on multiple online hacking forums for somebody to do the job and to split the prize. Alon commented:

“Stealing Bitcoin wallets from victims worldwide is a common goal among cybercriminals. Wallets tend to be protected by strong passwords and in the event that a cybercriminal manages to obtain a wallet and cannot crack the password he might sell it to opportunistic hash crackers who are individuals with a large amount of GPU power”

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The Bitcoin wallet is tough to crack but the question is, Does it contain the BTC at all? This is quite possible to be a “doctored” file with a public key available but the private one is missing. The founder of Wallet Recovery Services Dave Bitcoin said:

“It’s possible to doctor a Bitcoin wallet.dat file to make it seem like it contains a high balance. The wallet file contains pairs of public key & encrypted private key of the addresses it controls. So one could modify the file in a binary editor and change the public key of one of the address pairs to that of a high value BTC address.”

electrum users, wallet, bitcoin theft

The wallet is likely protected by a uniquie and long password that is difficult to crack. The file could also be encrypted with a combination of AES-256-CBC and SHA-512 algorithms.

DC Forecasts is a leader in many crypto news categories, striving for the highest journalistic standards and abiding by a strict set of editorial policies. If you are interested to offer your expertise or contribute to our news website, feel free to contact us at [email protected]

Source: https://www.dcforecasts.com/bitcoin-news/hackers-try-to-hack-the-7th-biggest-btc-wallet-in-the-world/

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