AugurAugur REP news

Decentralized oracle and prediction market protocol on Ethereum. REP is the cryptocurrency on this blockchain
Price, 24h
6.96 USD / 0.00198600
18.18% / 16.10%
Volume, 24h
2,398,175 USD
109.83%
Marketcap
75,224,327 / 0.07%
Emission
Chart price/vol/NIS 7d
Asset details

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What Is Augur (REP)? | A Guide to the Decentralized Prediction Market

What Is Augur? Augur is a decentralized prediction market platform that utilizes the Ethereum network. In a prediction market, you can bet on the outcome of future events to get monetary prizes. The less likely an event is to occur, the bigger the reward you can earn predicting its success. Augur uses “The Wisdom of the Crowd” from predictors on the platform to create real-time predictive data that’s oftentimes more accurate than the leading experts.   By bringing blockchain technology to the prediction community, Augur provides you an option with fewer fees, greater accessibility, and better accuracy than other markets. In this Augur guide, we’re going to talk about: How Does Augur Work? REP (Reputation) Tokens Augur Team & Progress Trading Where to Buy REP Where to Store REP Conclusion Additional Augur Resources How Does Augur Work? The two primary actions available to you on Augur are: Creating markets Trading event shares Creating markets You need to spend a small amount of Ethereum to create an Augur market. Markets can be anything from “Will the price of Bitcoin hit $20,000 before the end of 2019?” to “Will aliens show up on Earth in 2018?” Originally, when you created a market, you would set the taker and maker fees (the cost to buy and sell shares on the books) of that market. Now, however, market creators set a creator fee, and there are longer maker/taker fees. The creator fee is a percentage of the rewards that winning traders receive. As a market creator, you receive this fee and it must be between zero and fifty percent of the winners’ rewards.  As a market creator, you want to keep the creator fee low enough to incentivize people to bid using your market. However, they need to be high enough to cover the initial Ethereum cost you spent to create the market. Trading event shares Besides creating markets, you can buy and trade shares that represent the odds that the event in a market will happen. For example, you see a market, “Will Bitcoin Cash reach $6k by 2020?” (For the sake of simplification, we’re going to stick with binary, yes/no, markets in this article. You can find a full explanation of the different markets here.) Because Coinbase recently added Bitcoin Cash to their platform, this market interests you. You’re fairly confident that it’ll reach $6k before 2020, so you put in a bid to buy 50 shares at 0.6 ETH a share. Shares are worth anywhere between  0 and 1 ETH. The higher the price you buy a share for, the more likely you believe that the event will happen.   Augur Interface There are two ways to make money as a trader. With fluctuating share prices, it’s possible to buy positions at a low cost and sell them higher as sentiment changes. Real world catalysts may cause an event to be more/less likely to happen over time. You can also earn money if you predicted an event correctly and hold shares when the market closes. The amount of your payout equals: Payout = Number of shares * Price / Number of ticks The number of ticks is the number of possible price points between the minimum and maximum prices in a market. You can short markets as well.  You need to pay settlement fees from each of your winnings. The settlement fees include the creator fee set by the market creator and the reporting fee used in the Decentralized Oracle System. The larger your earnings, the higher the fees you’ll have to pay. REP (Reputation) tokens The REP token powers the Augur Decentralized Oracle System. You stake REP to report on the outcome of events for the different markets. The reporting process is fairly complex. We’ll try to break it down step by step. When you create a market you need to choose a Designated Reporter and post a No-Show Bond. After the market event occurs, the Designated Reporter has three days to report on the outcome of the event (box ‘a’ below). If the Designated Reporter fails to report an outcome, you, as the Market Creator, lose your No-Show Bond and the event enters the Open Reporting Phase (b). In the Open Reporting Phase, anyone can report an event outcome. The first person to do so receives the No-Show Bond which they must use as their stake. If the Designated Reporter successfully reports an outcome, you get your No-Show Bond back. The Designated Reporter must include a stake with the outcome they report. Augur Reporting Process After either scenario, the market enters the Waiting for Next Fee Window to Begin state (c) and the market is given a tentative outcome. Following this state, REP holders can dispute the tentative outcome while putting up some amount of funds as their stake. Eventually, the outcome is finalized. Now, the intricacies of this process are much more complicated. So, if you’re interested in learning more, you should check out the official documentation. Augur Team & Progress Started in October 2014 as one of the first platforms built on Ethereum, Augur is an OG in the crypto world. Jack Peterson and Joey Krug lead the 13-person team. The two have ample experience working with blockchain technology and previously created Sidecoin – a Bitcoin fork. Augur Co-Founders Vitalik Buterin, the creator of Ethereum, is an advisor to Augur. The team released the first public version of Augur in June 2015. Shortly after, Coinbase selected Augur as one of the five most exciting Bitcoin projects of 2015. The beta version was released in March 2016. After a multi-year long beta period, the Augur team finally released the official main net in July 2018. Two weeks later, the team destroyed their ‘kill switch’, a piece of code that gave them control over the network in the event of a critical bug. Doing so further decentralized the project as a central entity no longer has control. Some people hypothesize that the team did this partly to exonerate themselves in the case of illegal markets popping up on the network. They have quite a lot in store for version two of the platform as well. Their roadmap includes DAI integration, a buyback and burn fee system, and ERC-777 support among other features. They have not announced a release date yet. Competition Augur’s biggest competitor is Gnosis. Both projects have teams with significant prediction market and blockchain experience and are using similar technology to create almost identical products. The major difference between projects is within their economic models. Augur collects fees based on trading volume while Gnosis fees are proportional to the outstanding shares. Even with similar products, the market is large enough that both of these platforms could realistically coexist. Trading Augur held an ICO in August 2015 in which they distributed 8.8 million REP tokens. There are and only will ever be 11 million REP tokens in circulation. REP traded between $1.50 and $2.00 (~0.0047 and ~0.0050) immediately after the ICO. The price has had several significant spikes in its history since then. baseUrl = "https://widgets.cryptocompare.com/"; var scripts = document.getElementsByTagName("script"); var embedder = scripts[ scripts.length - 1 ]; (function (){ var appName = encodeURIComponent(window.location.hostname); if(appName==""){appName="local";} var s = document.createElement("script"); s.type = "text/javascript"; s.async = true; var theUrl = baseUrl+'serve/v3/coin/chart?fsym=REP&tsyms=USD,EUR,CNY,GBP'; s.src = theUrl + ( theUrl.indexOf("?") >= 0 ? "&" : "?") + "app=" + appName; embedder.parentNode.appendChild(s); })(); The first occurred in March 2016 as a result of the beta release. The second was in October 2016 when investors received their REP tokens from the ICO. This caused the price to quickly increase before dumping as exchanges added support for the tokens. Although this seems like strange behavior, this is a common occurrence after ICOs. Many investors do this to get profits caused by the price increase that occurs between the time of ICO and when the company releases the tokens. The third and largest price increase occurred at the end of 2017, beginning of 2018. It reached an all-time high just shy of $115 (~0.00810 BTC) before following the rest of the market downwards for the majority of 2018. During this downturn, the price jumped significantly two times – once in April/May and another time coinciding with the main net launch in July. The platform hasn’t gotten the adoption that investors hoped it would, and the current price reflects that. You can get REP for about $8.77 (~0.00205 BTC) right now. The release of the network’s second version may lead to some positive price movement as well as additional adoption. Where to Buy REP Binance is the recommended exchange to purchase REP. Poloniex and Bittrex also support REP. As with most altcoins, you can only exchange for Augur using Bitcoin or Ethereum. To get started, you can buy Bitcoin or Ethereum on a platform like Gemini and transfer it over to your preferred exchange. From there, you can trade to get REP. Additionally, you can use Kraken to purchase REP directly with EUR. Take a look at CoinMarketCap for a complete list of exchanges where REP is available. Where to Store REP Augur has not built a specific wallet for the REP token, but you still have plenty of options. Jaxx and Exodus are two reputable online wallets that support multiple currencies, including REP. Because Augur is an ERC20 token, any wallet with ERC20 support will do. The recommended way to store REP is with a hardware wallet. Using a hardware wallet protects your funds from malicious software and hackers. The Ledger Nano S and Trezor wallet support REP tokens and are both great, secure options. Conclusion Augur is one of the oldest projects out there and was one of the first to be built on top of Ethereum. The platform is a decentralized marketplace for prediction markets and event likelihood stock trading. Augur uses “The Wisdom of the Crowd” to accumulate predictive data and report event outcomes. The team is experienced in working on predictive markets and has been iterating on their product for over two years now. With a successful launch in the books, Augur should pave the way for other dapps on the Ethereum network. Only time will tell if it gains enough adoption to fill this role, though. Editor’s Note: This article was updated by Steven Buchko on 12.01.18 to reflect the recent changes of the project. Additional Augur Resources   Website Facebook Twitter Reddit Github The post What Is Augur (REP)? | A Guide to the Decentralized Prediction Market appeared first on CoinCentral.
Coin Central

Augur Price Turn Extremely Bullish Following 20% Gain on Bitcoin

It has become rather apparent today may not be the best day for cryptocurrency trading. Although all currencies can be scooped at up very appealing discounts, there is seemingly little room for upward momentum. One interesting exception is Augur, as the REP price is going up in spectacular fashion. This completely bucks the overall market trend, which has some traders excited first and foremost. Augur Price Shows Bullish Signs It is somewhat abnormal to see any cryptocurrency buck the overall market trend in such spectacular fashion. All of the major cryptocurrencies are subject to Black Friday discounts, by the look of things. Things are a bit different when looking further down the line, as the Augur price shows some signs of life amid this sea of value. Not only has this currency maintained its value, but it also rose above $10 once again. Over the past 24 hours, there has been an Augur price increase of nearly 16% in USD value. This uptrend is fueled primarily because of massive gains over Bitcoin – 21% – and Ethereum – 24%. This further shows Ethereum will face a bigger setback than Bitcoin once again, only deepening the gap between these two currencies in terms of total valuation. Across social media, there are some interesting Augur debates to take note of. As CryptoNewsWire points out, the current Augur price has hit a 2.5 month high. That in itself seems virtually impossible for most top cryptocurrencies under normal circumstances, let alone when dealing with such a massive setback once again. Even so, odd things tend to happen when people least expect it. That is also what makes this industry so exciting. REP/BTC 2.5 Month High – Augur (REP) price reaches 2.5 Month High – $REP $BTC #augur #altcoin #trading — CryptoNewswire (@CryptoNewswire) November 23, 2018 The social sentiment associated with Augur is still relatively neutral, according to The TIE. The increase in price, as well as the notable improvements in trading volume, further show it is difficult to convince traders and speculators these days. At the same time, a neutral outlook is very different from the bearish scrutiny most cryptocurrencies are getting right now. While the #crypto market continues to fall, #Augur is up 9.99% over the last 24hours. #Rep trading volume is 107% above average. Short-term sentiment is neutral. via https://t.co/NTt8ZqZcpm pic.twitter.com/xMzyvLF0Uw — The TIE (@TheTIEIO) November 23, 2018 Although the following Twee tin itself is not all that spectacular, it is quite interesting to note how there is a Twitter bot named “Botty McBotFace”. The way it tweets about cryptocurrency market movements is also rather interesting, as it offers some comic relief during these troublesome times for Bitcoin and most altcoins. Even so, it is evident the Augur price is well worth paying attention to right now, as things have shifted into a higher gear pretty quickly. Ooh! REP rises! Current Price (USD): $ 10.04 Vol: REP 2,401.11 Change (24h): 15.40% $REP #Augur — Botty McBotface (@AnalysisInChain) November 22, 2018 Despite all of the positivity surrounding REP right now, its overall trading volume remains virtually nonexistent. That is always problematic, as $3.4m in trades is simply not sufficient to keep this price trend going for very long. Although Binance traders will be more than happy to keep things going, the second exchange on the list is Bithumb, which seemingly trades REP at $50, according to Coinmarketcap. Very peculiar, all things considered. Disclaimer: This is not trading or investment advice. The above article is for entertainment and education purposes only. Please do your own research before purchasing or investing into any cryptocurrency. The post Augur Price Turn Extremely Bullish Following 20% Gain on Bitcoin appeared first on NullTX.
NullTX

Altcoin Trio Aurora (AOA), Augur (REP) and Ark (ARK) Soar to Double-Digit Gains

A trio of relatively small-cap altcoins hit double-digit growth for Thursday, Nov 22nd, amid a generally quiet day for the larger coins. Bitcoin remains anchored around the $4,500 position, while Ethereum has found a new home at $130 for the time being. Aurora (AOA) Price Aurora has a history of reliably volatile price movement, despite […] The post Altcoin Trio Aurora (AOA), Augur (REP) and Ark (ARK) Soar to Double-Digit Gains appeared first on Hacked: Hacking Finance.
Hacked

Augur (REP) Blockchain Predictions Saw Big Volume on Election Night, But Days After Tell the Story

The Block recently reported on the impact that the election had on the Augur market, commenting that the midterm elections will “hopefully” have pushed Augur’s market over $1 million. If that is the case, then Augur would be able to show that a decentralized prediction market has its advantages. There is already a centralized version of the service – PredictIt – which seemed to bring in slightly more volume. The actual amount that the platform managed to bring in varies on the price of ETH, since that is the token used for the prediction bids. On the day of the midterms, the Augur market saw a total volume of $2 million, while PredictIt saw $2.4 million. There were a few differences in how the two platforms handled their bids. PredictIt, which is a legal entity, stopped bets from going higher than $850 per person, before adding a 10% fee. The servers went down for a short time during the vote count, though traders were trading in real time. However, Augur had no server issues at all during the election. Right now, many Americans know PredictIt as the only outlet to allow for betting on political elections, considering that it is a law that wagering on elections is generally criminalized. However, this entity has certain limitations that they have to abide by to prevent violating the regulations of the Commodity Futures Trading Commission (CFTC). The unique difference with Augur is that it is a decentralized entity, which means that it cannot be censored. As a result, users are able to make bets of all sizes. If the market was truly fair, then that would not be an issue. By distributing the funds successfully, then Augur would show that they can handle the global betting on various elections in a way that centralized options simply cannot do right now. However, the only question is – can they do it? The next six months after the election are going to make a big difference in if they can succeed. The market does not actually conclude until December 10th, which is when many of the settlements happen. The creator of this market has the next three days to make an unofficial report on what the market’s present status in, specifically outlining their opinion on which side prevailed. Then, REP holders (reporters) have up to a week to contest it. Any holder has the option to stake their tokens in the dispute, which could give them a 50% return. None of this could be mentioned without also bringing up a single transaction that stood out – an unknown purchase of $40,000 worth of losing shares. It would not be that unique if that transaction did not come in just after the results of the election came in. According to The Block, “He would offer up to 0.05 ETH to bet on a Republican House win that would pay out at 1 ETH — a possible return of 20X or more depending on the precise prices paid to acquire the apparent ‘losing shares.’” If that bet works out in the trader’s favor, he stands to receive hundreds of thousands of dollars, though most people would agree that the bet will ultimately pay nothing. However, based on the specific timing and amount of the wager, it looks like an experienced trader made this calculated decision, which has made other traders feel uneasy. The midterm market posed the question – “Which party will control the House after 2018 U.S. Midterm Election?” The market was given one month to make the wagers from the election night, considering that the adjustments to Congress were not actually made on the day of the elections. That considered, The Block points out that “The outcome of the market was known at the very time the market was created. This would normally be a recipe for what’s called an ‘invalid market.’ If reporters ultimately deem a market to be invalid, then shareholders are all paid out proportionally. For example, since there are three outcomes in this market — a Democratic, Republican, and Tie share — each would each pay out ⅓ of an ETH if the market is deemed invalid. If the reporters somehow conclude that this market should settle as Republican due to this wording, then this new entrant would be in for a huge pay day. But that shouldn’t happen, given Augur’s dispute process.” The most likely situation is that the market will ultimately be disputed with all of the funding at stake. Another market, called the “Bastille market” had 15 reporting rounds, and essentially became the “case law” regarding subjective markets and whether they should even be placed on Augur. Basically, there are three outcomes being examined, according to The Block, who put them in order of likelihood, starting with the most likely option. They are: Democrats, which would require the reporters to say that the traders were better on the part that ultimately gained control of the House. Invalid, in which the reporters would say that the outcome was known, and the bets would be called off Republican, in which reporters would “read the English language with a highly technical lens and resolve the market counter to those who appeared to purchase winning shares.” Basically, if the reporters do not settle on Democrats, Augur’s platform is basically unnecessary. There are many purists that believe an invalid market decision would be the best. However, considering the millions of dollars involved, ruling against the Democrats would show traders that Augur is not a trustworthy platform and they cannot be counted on to follow through with the expected choice. Having this negative outcome would basically keep others from wanting to use the app. REP tokens would take a major hit, and the price would plummet. There are many markets in disputes right now, with over 300 of them expiring by the year’s end with significantly more ambiguity. As 2019 begins, Augur will lose 95% of its open interest, and there is a good chance that traders would want to protect themselves from August from now on. As the Block puts it, “The friction, uncertainty, and time to settlement make for a negative experience for a trader.”
Bitcoin Exchange Guide

FRIDAY Augur Proves Its Worth During US Elections

  Listen Here – https://soundcloud.com/cryptodaily/augur-proves-its-worth-during-us-elections Augur is a project built on the Ethereum blockchain, facilitated by its native token, REP. By definition, Augur is a decentralised oracle and prediction market protocol, that is owned and run by the people who use it and of course, REP investors. Users of the Augur network can make predictions that in turn, have a monetary value, like a bet. This means that users can predict on political movements, cryptocurrency movements and even natural disasters. Augur is an open world full of markets which users can place bets on. What is Augur According to the Augur website: “Augur is a decentralized oracle and peer to peer protocol for prediction markets. Augur is free, public, open source software, portions of which are licensed under the General Public License (GPL) and portions of which are licensed under the Massachusetts Institute of Technology (MIT) license. Augur is a set of smart contracts written in Solidity that can be deployed to the Ethereum blockchain.” Furthermore: “Augur is a protocol, freely available for anyone to use however they please. Augur is accessible through a desktop client app, similar to interacting with an Ethereum or Bitcoin node. Users of the Augur protocol must themselves ensure that the actions they are performing are compliant with the laws in all applicable jurisdictions and must acknowledge that others’ use of the Augur protocol may not be compliant. Users of the Augur protocol do so at their own risk.” According to the Augur website, here are a few use cases for the Augur network: Political Forecasting “Turn political knowledge into predictive power by trading on the outcome of upcoming elections, potential policy decisions, and other political events.” Event Hedging “Hedge against catastrophic events like natural disasters, market crashes, and geopolitical upheaval by betting that the event will occur.” Weather Prediction “Harness the power of crowds to create a more accurate weather prediction tool for events like hurricane landfalls, heat waves, and daily temperature averages.” Company Forecasting “Companies can use Augur to guide decision making by forecasting vital information such as total product sales and project completion times.” How does it work? Using Augur is a simple process, firstly, users must select and event that they want to hedge against. In this example, we are looking at the US midterm elections, so let’s stick with that. Within the event, users can then bet on a specific market, or can create their own, so, in this instance, a market may include something like ‘democrats or republicans to take the house in US midterms’. Now, other investors can trade on the outcome of the market, they can back whichever outcome they want to bet for, so again in this example, an investor may bet a bunch of Ethereum or REP tokens on the democrats taking the house in the US midterms. As Augur is decentralised, the final outcome must be reported before winning bets are returned, this gives all users a chance to dispute the outcome if they think it is false or unfair. Finally, those who own shares of the winning market (through the bets they have placed) will receive their payout and the contract is closed. Augur simply takes a traditional betting format, and brings it to the blockchain. Augur has been impressive throughout the elections As we have stated, Augur is in the news this week for holding it’s cool during a huge increase in activity as a result of the US midterm elections. Since Augur is built on the Ethereum network, it’s often assumed that Ethereum products are unable to handle high volumes of traffic and large scale transactions. Even so though, during the recent US election period, it’s alleged that Augur has seen an incredible $1.65 million in bets, with as much as $900,000 all coming through on the same day. According to Ethereum World News: “The decentralized prediction platform of Augur (REP) that is built on the Ethereum network, has achieved an impressive feat of handling approximately $1.65 Million in bets during the US Midterm elections that were held on the 6th of November this year. During the day of the midterm elections, the value of bets had initially reached $900,000 only to surpass the $1 Million Mark as the day came to a close. Further researching the bets made using Augur on the tracking website of Predictions.Global, we find one particular bet that asks which party will control the house after the 2018 US Midterm elections. The volume of this bet currently stands at $1.625 Million.” In terms of value, it’s not a huge amount given the sheer scale of transactions that move across various blockchains, however, it’s a huge amount for a project like Augur to have to handle. What this tells us, is two things. Scalability on the Ethereum network might not be as drastic as we think. Secondly, this proves that there’s a growing interest in cryptocurrency and within the blockchain, so much so, that people are now using it to bet on the outcome of major political elections. googletag.cmd.push(function() { googletag.display('div-gpt-ad-1538128067916-0'); }); The post FRIDAY Augur Proves Its Worth During US Elections appeared first on Crypto Daily™.
CryptoDaily

$1.6 Million in Bets Handled on the Augur (REP) Network During the US Mid Term Elections

The decentralized prediction platform of Augur (REP) that is built on the Ethereum network, has achieved an impressive feat of handling approximately $1.65 Million in bets during the US Mid Term elections that were held on the 6th of November this year. During the day of the mid-term elections, the value of bets had initially reached $900,000 only to surpass the $1 Million mark as the day came to a close. Further researching the bets made using Augur on the tracking website of Predictions.Global, we find one particular bet that asks which party will control the house after the 2018 US Midterm elections. The volume of this bet currently stands at $1.625 Million. The outcomes of this one bet can be found in the screenshot below. The above bet is one of many placed on the Decentralized Augur platform during the US Mid.term elections. Another bet with regards to the Senate currently has a volume of $25,371 in bets. About Augur The Augur prediction platform went live this July after 2 years of extensive development and testing. The Beta version had been available for over a year before the final version was launched. Augur had managed to raise $5 Million through an ICO back in 2015. The final launch of the betting platform also included a migration of the REP token from the Beta platform. The platform allows users to create and make bets on anything from elections, sports, even weather. Augur is unique in the sense that no single entity controls any bet. REP Token Value The current value of the Augur (REP) token on the Ethereum platform is $14.62. The token is down 1.26% in the last 24 hours. With a circulating supply of 11 Million, REP is available in prominent cryptocurrency exchanges such as Bithumb, Binance, Bittrex, Ethfinex, Kraken, Poloniex, just to name a few. Disclaimer: This article is not meant to give financial advice. Any additional opinion herein is purely the author’s and does not represent the opinion of Ethereum World News or any of its other writers. Please carry out your own research before investing in any of the numerous cryptocurrencies available. Thank you. The post $1.6 Million in Bets Handled on the Augur (REP) Network During the US Mid Term Elections appeared first on Ethereum World News.
Ethereum World News
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Waiting for the jump

Twitter community does not stop. But recently all the crypto folks were over some distant things: they shared common principles, recalled the old times. It's clear — the market is unpredictable now, almost everyone follows a wait-and-see line... Anyway, we’re just watching, and bring to your attention the hottest discussions

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US CFTC Plans to Seek Public Feedback to Better Understand Ethereum Blockchain

The latest report on Ethereum future contract unveiled that the Commodity Futures Trading Commission (CFTC) is looking for an in-depth analysis of Etherum blockchain. In order to improve the commission’s understanding of Ethereum and its underlying technology, the CFTC has announced its intention to publish a respective Request for Information (RFI) with the Federal Register. According to the statement: “The Commodity Futures Trading Commission (CFTC) is seeking public comment and feedback in order to better inform the Commission’s understanding of the technology, mechanics, and markets for virtual currencies beyond Bitcoin, namely Ether and its use on the Ethereum Network.” The Commission has put up a total of 25 questions which include topics such as the impetus for developing Ether and the Ethereum Network, especially relative to Bitcoin; the use of the Ethereum network by the developer community; scalability challenges, if any, of the Ethereum network; proof of work and proof of stake; similarities and differences in the governance of Ethereum and bitcoin networks; introduction of derivative contracts on Ether; and security issues, among others. Notably, one question asks: “How would the introduction of derivative contracts on ether potentially change or modify the incentive structures that underlie a proof-of-stake model?” A number of questions following this go further into detail about how the ether market might impact a derivatives market built on top of it – or vice versa. The CFTC said the comments received will benefit LabCFTC, the CFTC’s Fintech initiative, and help to inform the Commission’s understanding of these emerging technologies.
BitZamp

Unbreakable: Mike Novogratz Remains a Bitcoin Bull in a Bleeding Market

Currently, when crypto believers generalize every Wall Street banker to be a Bitcoin critic, a celebrated hedge fund manager and former Goldman Sachs executive changed his perception. Mike Novogratz is a now a name beyond the mainstream finance, and perhaps among the only consistent voices speaking in favor of bitcoin even after its 80 percent-plus drop this year. The 54-year old financial veteran sat before Bloomberg’s Erik Schatzker recently to discuss how the crypto market crash impacted their ventures and how he remains confident about crypto’s long-term potential. Novogratz admitted being on the losing side, stating that his cryptocurrency merchant bank, dubbed Galaxy Digital Holdings Ltd, brought $136 million in losses to its investors when he was raising funds for it. Nevertheless, the crypto crash couldn’t put Galaxy beneath the grounds, and the project was still on its way to – at least – break-even in 2019, he explained. “We’re not nervous; we’re frustrated that our investors have lost money. We’ve got plenty of cash to run the business for a long time. I keep telling my guys we’re a surfer getting ourselves in shape for when the next wave comes, and when the wave comes we’d better be the Laird Hamilton of crypto.” Digital Gold in Making Analysts have continuously argued whether or not bitcoin has a use-case in the mainstream. A majority of them believes that the digital asset’s lower adoption make it an overvalued bubble similar to the infamous Tulipmania from the Dutch Golden age. Investors have entered bitcoin markets on a promise of getting rich quickly, and it is no more stable than a pyramid scheme, i.e., it is all horns but no product. Novogratz, on the other hand, interpreted bitcoin as a digital gold in the making, counterarguing that it is one of the only crypto assets that “gets to be a legal pyramid scheme.” Because, to him, it is the belief that denotes value to a store of value- nothing more, nothing less. “All the gold ever mined in the history of the world fits in an Olympic-size swimming pool,” reasoned Novogratz. “You’re out of your mind to think that pool’s worth $8 trillion. But it is because we say it is.” As a metal, a store of value asset like gold does have plenty of use cases. Most notably, it is a good reflector of electromagnetic radiation such as radio and infrared rays, as well as visible light. Therefore, gold makes an ideal metal when it comes to protecting artificial satellites, astronauts’ helmets and in electronic warfare planes. But, in reality, only about 17% of the mined gold gets used in industrial applications – minus jewelry – while the rest gets stored inside vaults. That being said, the value of gold bullion itself is 83% speculation and 17% use case. Bitcoin, according to Novogratz, strictly possesses such characteristics. “The fact that David Swensen [Yale University’s chief investment officer] put an investment into Bitcoin, with his reputation on the line, his endowment on the line, tells you something. Some of the smartest people in the investing world think it’s a store of value,” Novogratz asserted. Unbreakable: Mike Novogratz Remains a Bitcoin Bull in a Bleeding Market was last modified: December 12th, 2018 by Davit BabayanThe post Unbreakable: Mike Novogratz Remains a Bitcoin Bull in a Bleeding Market appeared first on NewsBTC.
NewsBTC

Mike Novogratz: Bitcoin Was a Drug and We’re at the Methadone Clinic Now

CoinSpeaker Mike Novogratz: Bitcoin Was a Drug and We’re at the Methadone Clinic Now A former partner at Goldman Sachs who is popularly called the “pretty face of cryptocurrency” Mike Novogratz, said that he is now the ugly face of the bust. Talking to Bloomberg, he pointed at SEC sanctions on certain ICOs and the uncertainty surrounding Bitcoin Cash’s hard fork as the reasons behind Bitcoin’s drastic fall from $6,200 to $3,400. However, Novogratz remains confident that Bitcoin will make a comeback. “I do believe Bitcoin is going to be digital gold. We have a business that we think can break even next year, if not make money. We’ve got plenty of cash to run the business for a long time. I keep telling my guys we’re a surfer getting ourselves in shape for when the next wave comes, and when the wave comes we’d better be the Laird Hamilton of crypto.” First, says Novogratz, they thought of crypto as of a bear market. “I went into it thinking in the long run crypto is going to be a real structural shift in the world and I can just hedge my portfolio. And to be fair, we did a really great job not losing money the first 60 percent down. What you forget is that a market like Bitcoin that’s down 84 percent has dropped 60 percent—and then another 60 percent. That’s where the pain happens. You start buying Ether again, because it’s only $400 after being at $1,300. But then it drops to $100, and you’ve lost 75 percent of your money. We haven’t done horribly in that context, but we’re still down.” He then explains what he thinks it’s next for crypto-world. He invested in a company called High Fidelity, which is a virtual world. “Me and you, we’ll sit down, and we’ll have virtual beers. People think I’m crazy when I say that, but Second Life does $500 million a year of GDP, real money traded back and forth in a virtual world with old technology. That’ll be the first use case where blockchain really works.” One of Novogratz ventures in the field of digital currency is the cryptocurrency bank Galaxy Digital LP which began trading back on August 1st, 2018. The bank was off to a very slippery start, losing 20 percent per share in a single day, which added to the company’s overall estimated losses of about $134 million in Q1 of 2018. At the time, the former Goldman Sachs partner once again said that he thinks “we’ve pretty much bottomed.” However, the market has plummeted since, as Bitcoin lost roughly another 60 percent of its value. Yet, Novogratz says that the situation is “not as dramatically as one would think.” Bitcoin Price Rise was Like a Drug High Addressing the fears surrounding Bitcoin he explains the price rise as a drug, “an instance of testosterone boiling over and its fall led to pessimism and rampant fear.” He said: “That was a drug, and I don’t say that lightly…there’s the pessimism, and the fear, and the “Oh my God, it’s going to zero.” But it’s not going to zero. We’re at the methadone clinic.” Novogratz had already been saying that the Bitcoin could hold its position till the end of the year and maybe rise, but then disaster struck. He thought Bitcoin, “was going to hold at $6,200…. but then Bitcoin Cash decided to fork again.” He also mentioned that ICO legislation by the SEC increased investor panic: “The SEC came out and sanctioned a few ICOs and said- oh, by the way, your investors can sue for damages. That scared the heck out of a lot of people.” Novogratz further added that “the ICO market is pretty much dead right now,” however, the regulatory body, “doesn’t want to kill this innovation.” Many crypto proponents of Bitcoin have equated the top crypto to digital gold, Novogratz is one among them, he said: “That means Bitcoin is the only one of the coins out there that gets to be a legal pyramid scheme. Just like gold is. All the gold ever mined in the history of the world fits in an Olympic-size swimming pool. You’re out of your mind to think that pool’s worth $8 trillion. But it is because we say it is. While I believe in the underlying technology and believe in the crypto movement, when prices get stupid, I sell. A lot of my friends in crypto just couldn’t let go. They were saying that this is going to change the world. Revolutions don’t happen overnight. I’d be walking down the street, and people would come up to me wanting to take selfies. That’s when I started to think, OK, this is weird.” Always Cautious About Bitcoin as a Currency It’s more than obvious that he is still being cautious. A year ago, he was known as one of the biggest pro-bitcoin advocates but always saying that bitcoin will be difficult for governments to shut down. “I’ve got concern that if price movements go higher we’re going to get more regulation, but I think it’s hard to shut down. I don’t think that’s a probability. Banks will be slow to move into the industry,” Novogratz then said, adding that he “doesn’t see quick adoption of bitcoin as a currency.“ He also said that one of the big risks out there right now is that prices are moving so fast that regulators are going to get nervous. “I could legitimately see bitcoin go $13,000, $14,000, $20,000, $25,000 and see somebody balk.” He also warned on the fact that right now most regulators, including those in the U.S., are working with the digital currency system and are “intrigued” by it. Today, one thing where Novogratz remains firm is that he reiterates his view saying institutional entry is key for the Bitcoin price surge. Unless that happens, a sustainable price surge in Bitcoin seems a distant dream. Novogratz says that perhaps we can see a significant institutional money flow in the first half of next year, 2019. Steady Growth or Nuclear Winter for Crytocurrency? Despite a huge cryptocurrency market crash, VC billionaire Tim Draper believes, the value of Bitcoin will keep going higher in the upcoming years. Speaking to Thiel Macro’s Mike Green earlier this month, the billionaire said he believes virtual currencies will eventually overtake fiat currency, making up two-thirds of the world’s currency value. “Down the road, when we can easily spend, or invest, or do whatever we want with cryptocurrencies—they’re frictionless, they cost you less,” Draper told On the other hand, the billionaire investor and venture capitalist Jim Breyer believes that the promise offered by the technology is too great for it to be permanently buried by short-term market movements. Breyer kept saying that the technology is too big to be dismissed just because of a temporary bear market. He warned that “we’re close to a nuclear winter right now with cryptocurrency.” Mike Novogratz: Bitcoin Was a Drug and We’re at the Methadone Clinic Now
Coinspeaker

Cubits is Bankrupt and Withholding User Funds As OneCoin Ties Exposed

Anger continues to engulf cryptocurrency trading platform Cubits after executives suddenly announced the company was bankrupt, blocking all user funds. Cubits Owner: Funds Recovery ‘Unsuccessful’ In a press release dated December 11, Dooga Ltd., the UK-based entity trading as Cubits, claimed “collusion” which resulted in a “criminal act” involving the loss of €29 million ($33 million) in February 2018 had forced it to shut down. “Since February, Dooga has made every possible effort to recover these funds,” the release reads. Unfortunately – contrary to expectations – these efforts have been unsuccessful up until now. As Bitcoinist reported December 11, officials had told users on Twitter that Cubits was undergoing “maintenance” and would “be right back.” An identical message had appeared on the company’s website, but on Tuesday this changed to a 500 error message and the website went offline. A fresh tweet then confirmed Dooga had entered administration, leaving already frustrated users bewildered at the conflicting official information. Cubits had begun delaying withdrawals by weeks, some said, while another told Bitcoinist he was looking to involve law enforcement as a result of the company withholding his money. Payments Coordinator Endorses OneCoin At the same time, curious activity among senior management revealed the company’s payments coordinator Eloise Debono to be an advocate of OneCoin, a defunct Ponzi scheme, which has attracted warnings from multiple countries’ authorities over illicit practices. “Bitcoin can be bought and sold on many different exchanges, meaning you could be paying or receiving more or less than you should be,” she wrote in a bizarre article in 2016. OneCoin uses one centralised exchange called OneExchange, where there is a fixed rate for buying and selling. I personally think this is more secure and less volatile. COO Max Krupyshev, listed on LinkedIn as Cubits’ “head of crypto business,” left in November, weeks before users began to complain about withdrawal and funds access problems. Liquidator: Cubits Operator ‘Secure’ According to the company’s administrators, users will receive official correspondence about the debacle in the coming days. “Our goal is to achieve the best outcome for creditors generally at the earliest possible date,” Steve Parker from insolvency firm Opus Business Services Group commented. “Dooga’s current position is secure, investigations are proceeding and we will be writing to creditors, formally, this week.” What do you think about the ongoing Cubits debacle? Let us know in the comments below! Images courtesy of Shutterstock The post Cubits is Bankrupt and Withholding User Funds As OneCoin Ties Exposed appeared first on Bitcoinist.com.
Bitcoinist

Tezos [XTZ] up by 13%; boost comes after Huobi Global teases listing

Tezos [XTZ], the token which ranks on the 20th position on CoinMarketCap’s list, has been going through a rough patch, owing to the strong bear market. However, the time appears to have been changing for XTZ as it has been seen siding the bull. Source: CoinMarketCap According to CoinMarketCap, the coin was valued at $0.41 with a market cap of $252 million, at the time of press. The coin reported a 24-hour trade volume of $2 million and grew by 1.80% in an hour. The maximum trade volume of the coin was registered by Gate.io, with a market cap of $510,404 with XTZ/USDT pair. It was followed by UEX on the second and third position. UEX on the second position registered a trading volume of $398,341 with XTZ/USDT pair and on the fourth position, the market cap was noted to be $394,993 with XTZ/BTC pair. Source: CoinMarketCap This comes after the coin was valued at its lowest at $0.31 recently, with a low market cap of $192 million. The trading volume of XTZ was reported to be $3 million. The rise in the coin’s prices is speculated due to getting listed on Huobi Global. Huobi released a statement informing the crypto world about this. It read: “Tezos (XTZ) will be launched on Huobi Global on December 12, 2018 (GMT+8). Deposits will be available from 14:30, December 12, 2018 (GMT+8). XTZ/BTC and XTZ/ETH trading will be available from 18:00, December 13, 2018 (GMT+8). Withdrawals will be available from 14:30, December 16, 2018 (GMT+8).” Even though the coin is struggling to make over $2 million in trading volume, it has reported an uptrend by 13% over 24 hours. Meanwhile, there have been constant talks about Tezos being listed on Coinbase over the past couple of months and many holders are hopeful about the same. On December 7, Coinbase released a list of potential cryptocurrency list, which may be a part of the new listing. This listing included tokens like Cardano [ADA], EOS [EOS], Stellar [XLM], XRP [XRP], and also Tezos [XTZ]. An update is awaited on Coinbase’s end about the final listing. Tezos seem to be upping its game and fighting the bear head-on. The post Tezos [XTZ] up by 13%; boost comes after Huobi Global teases listing appeared first on AMBCrypto.
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