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the transfer of authority from central to local government

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Does Decentralization Reduce the Likelihood of a Monopoly?

… and more crypto talk with top Hacker Noon writer Noam Levenson.Listen to the interview on iTunes, Google Podcast, or watch on YouTube.“The important question is not that is decentralized or centralized. It’s that the potential for a monopoly is impossible.”— Noam LevensonSubscribe to the Hacker Noon Podcast.Read more tech essays by Noam Levenson on Hacker Noon:The War For The Soul of CryptocurrencyDid the Cryptocurrency Revolution Fail?Why Cyptocurrencies Won’t Be Irrelevant For LongPopping The Bubble: Cryptocurrency vs. Dot ComTrust In A Trustless System? How Ontology Could Bring Big Business To BlockchainAn Undervalued Blockchain Market In China Is Good News For YouCardano: Ethereum and NEO Killer or Overhyped and Overpriced?Blockchains Need iExec: The Market Just Hasn’t Realized It YetRequest Network is more than just PayPal 2.0 — It could revolutionize the finance worldNEO versus Ethereum: Why NEO might be 2018’s strongest cryptocurrencyWhy Ark Deserves Your AttentionListen to more episodes of the Hacker Noon Podcast:Is Decentralized Governance The Future of Tokenized Assets? — with CoinList CEO Andy Bromberg: “A lot of the value of crypto right now has been in speculation and financial instruments, and so decentralized finance makes a lot of sense at first, but then moving to some of these other things, like decentralized governance, that seems like a natural next step as more and more people become involved.”Smart Contracts on Blockchain with Will Martino and Tony Pham: “Overall, where I see the whole space going, is the sharing economy — the Enterprise sharing economy. This is one where you’re redefining how consumers and businesses interact.”AI and Past Rediscovery with Robert Adamson: “The Earth as we know it is really simulated, some really advanced civilizations in the future could not computered in.”Subscribe to the Hacker Noon Podcast.Also check out May’s top stories, the latest stories, today’s homepage, and editors’ featured stories.Does Decentralization Reduce the Likelihood of a Monopoly? was originally published in Hacker Noon on Medium, where people are continuing the conversation by highlighting and responding to this story.
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Ethereum Price Hits New 2019 ATH but Decentralization Brought into Question

Coinspeaker Ethereum Price Hits New 2019 ATH but Decentralization Brought into QuestionWhile the previous year we used to begin the articles with some sad news about the falling prices for cryptos including Ethereum and lost hops of investors, now that black stripe in life has been replaced with a white now. Ethereum has exceeded its short-term price prediction of $200 and now it is believed that it will reach its new height of $300 in the coming days.Now ETH is the second largest world’s crypto by market cap and at the press time, it is traded for $256.37 having gained over 30% during the last 7 days.Over the past days, we could observe rather impressive trading volumes of ETH. Within the previous 24 hours, it was close to $17 billion which is the largest trading volume the cryptocurrency has experienced this year.These days a great number of investors and traders worldwide are actively purchasing and selling ETH. The desire to increase ETH holdings today is explained by the belief that its price will continue growing.According to the data revealed by CoinMarketCap, the exchanges that have seen the highest trading volume of Ethereum are ZBG and EXX. The most popular trading pair to Ethereum across all major trading platforms is Tether (USDT).Why the Price Is GrowingThere are several reasons for the increase in ETH price but experts suppose that the fundamental one is the significant increase in the price of Bitcoin (BTC). When the price for Bitcoin is going up, the whole market joins this tendency. Nevertheless, in the case with ETH, there were also some other grounds. Its price skyrocketed after it had been revealed that Samsung is going to add support for Ethereum. Now the wallet available in the Galaxy phones of Samsung will support Ethereum-based ERC-20 tokens.Another reason for the price growth was the interest of Électricité de France (EDF), the world’s fifth largest electrical company, in the blockchain-based use-cases and solutions. To explore them the company has teamed up with Ethereum application “iExec”.But even this is not the end of the positively influencing factors. In the framework of Consensus 2019,  Joe Lubin of Ethereum and Jimmy Song, a Bitcoin educator, made a bet on the five-year future of Ethereum which has led to a new wave of buzz around ETH. If Ethereum Dapp economy goes down in five years, Song will receive nearly 7 BTC from Lubin. But if it doesn’t happen, Song will send 810 ETH to Lubin.Is It Really Decentralized?While the short-term forecasts for the ETH price are rather optimistic, there are some controversial things about this crypto and its decentralization.As recent research has indicated, one-third of all existing ETH is owned by just 376 whales. Such a situation calls into question true decentralization of this asset and the real use cases of it.The analysis has also found these whales have no real impact on the price of ETH as they are mostly holders. Nevertheless, they can seriously influence the market in case they make large sell-offs.Ethereum Price Hits New 2019 ATH but Decentralization Brought into Question
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Ethereum’s Decentralization in Question with 376 Wallets Holding One-Third of All ETH

According to a new research by Chainalysis Inc., there are just 376 wallets holding as much as one-third of all the Ether, the token that runs the Ethereum blockchain. This figure is surprising for a few reasons, namely that it calls into question the level of decentralisation of the coin, as well as what the tokens are being used for. The cryptocurrency market is still a relatively small one, and in that there has often been cases where big wallets and Whales have had enough capital behind them to move and manipulate the market – especially for Bitcoin where Chainanalysis found that 448 people own 20 percent of all Bitcoin. However, the fact that Ethereum is also prone to these Whales shows that the second biggest cryptocurrency by market cap and the pioneer of smart contract blockchains also might have a problem with distribution and decentralisation. Whale Watching Uncovering these Ethereum Whales is interesting to note as Ether, unlike Bitcoin, has not got the same single function as a store of value and is intended to be used upon the smart contract platform. However, there are clearly still selected individuals who hold large stores of the currency. This 30 percent of Ether being held by a small number of people detracts from the decentralised aspect of major cryptocurrencies like this, but it also leads to questions of market manipulation should these 376 wallets operate with intention in trading. That being said, the research has shown that these wallets are mostly holding. Kim Grauer, a senior economist at the company, said: “The majority of whales aren’t traders. They’re mostly holding.” However, Chainalysis did look at the effect Ether whales have on its price, and found that when a whale moves Ether from a wallet to an exchange, there is a small but statistically significant effect on market volatility. Looking for true decentralisation There have been concerns in the past about Bitcoin and that much of its value belongs to a small fraction of the population that uses the cryptocurrency. There has been instances where Whales, or groups of high-value wallets have banded together to cause movements in the market on purpose. This has raised the eyebrows of the likes of the SEC. For Ethereum also to be in a situation where its distribution is not as advanced as one would hope, and its decentralisation as a smart contract blockchain also in question, there are questions that need to be raised about effectiveness as a decentralised platform. The post Ethereum’s Decentralization in Question with 376 Wallets Holding One-Third of All ETH appeared first on Ethereum World News.
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Protectionism, Free Markets, Decentralization? Trump Versus Jinping Versus Blockchain

Protectionism, Free Markets, Decentralization? Trump Versus Jinping Versus Blockchain “No Collusion, No Obstruction” are the words that close out the entire Mueller Report for Trump and his millions of supporters. With this entire investigation being cordoned off, at least in the mind of the President, he has since placed his focus on that matter of […]
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Don’t Let Them Spit in Your Beer: Decentralization Beyond Blockchain

Blockchain is just one of many tools that will exist in the decentralized future.Countless people in different disciplines are working together to make blockchain the default tool for handling and trading financial assets. The overarching goal of this work is to create a decentralized world; a world in which corruption doesn’t run amok behind closed doors, and where we don’t need middlemen to do stuff for us while taking handsome profits. This decentralized utopia would allow us to have control over our data, and not have to deal with companies taking whatever data they want whenever they want.I am a full proponent and believer of this goal. I think it has the potential to solve a lot of inefficiencies and problems in today’s society. But after working in and observing the space, I can’t help but notice the following contradiction:If we are working towards a decentralized world, then how are we only focusing on developing blockchain? How could one singular tool, with its problem-specific architecture, be responsible for decentralizing every single product that exists in today’s industries?It cannot. Blockchain is great for decentralizing financial services. It is not, for instance, suited for privacy-preserving and verifiable e-voting. It also doesn’t work when we want large amounts of our data to be evaluated in a way where the data itself can remain private.The above use cases, and ones like it, should be present in a world where blockchain is a norm. After all, why should we switch to a different financial system for the sake of cutting through corruption when the services for which we use that money remain corrupt? Why do I care about having more autonomy over my financial data when I still don’t have autonomy over my personal data, which is increasingly becoming a type of currency in itself?For every need that blockchain cannot satisfy, there is most likely a different cryptographic protocol that can. Blockchain in itself is just one protocol addressing the specific problem of how to prevent double spending. There are other problems that need to be addressed whose solutions lie in the field of modern cryptography.A Deep Dive into DecentralizationResponsibility usually implies some amount of power. A server in a restaurant has the responsibility of bringing us our food. This responsibility gives them the power of wreaking all kinds of havoc on our food just by virtue of being alone with it for the time it takes to walk from the kitchen to our table.This idea has some form of manifestation in almost every service we use. Because U.S. congressmen have the responsibility of creating laws, they have the privilege of sneaking things into those laws that benefit corporations that will pay them. Because Facebook has the responsibility of fulfilling our social media needs, they have the privilege of having insight into our personal data. Because banks have the responsibility of transferring and holding our money, they have the privilege of determining transfer times, as well as pooling our money together and investing it for profit.We therefore seek to create decentralized systems. Systems that delineate responsibility from power. We want to prevent service providers from acting outside of the confines of our explicit agreement.In our current society, many companies profit solely off of the implicit privileges given to them via the work that they do. While Google is officially a search engine, it actually makes money by showing us ads according to our searches (having the responsibility of showing us the information we want, gives them the implicit privilege of knowing our desires). While health insurance companies officially take monthly premiums from us for the purpose of paying part of our medical expenses, they actually make money by pooling and investing our monthly premiums (having the responsibility of paying some amount of our healthcare gives them the privilege of demanding a monthly tax from us that far exceeds what is necessary).The goal of a decentralized world is to create systems that prevent service providers from centering their business models around implicit privileges like the ones listed above. Rather, we want to participate exclusively in exchanges with explicit give and take.A decentralized system is one that prevents a service provider from gaining implicit privileges as a byproduct of the service that it provides.Blockchain is fit to do this for some types of services. For the rest of them — we must look to the field of modern cryptography.Cryptography: The Toolbox of Web3Modern cryptography exists solely to create systems that protect against adversaries, who may be either external or internal to those system. When a cryptographic protocol to fit a specific need, the following is determined:A threat model — what computational power do the potential adversaries of the system have? What information will they have access to before the exchange takes place that could help them break the protocol?What are the intentions of the different adversaries? What information are they trying to obtain and what real world privileges will this give them?A security guarantee — who and what does the system promise to protect against?Because we can design systems with the power of the adversary in mind (threat model), we can build systems with security guarantees that prevent adversaries from carrying out their malicious intentions.The following is an attempt at a real world analogy for how we could use cryptography to create a decentralized system.Consider the case where a server at a restaurant is bringing you a beer and you want to make sure they don’t spit in it. The threat model of this system is that a server has a mouth that produces saliva almost constantly. The intention of the server is to use this saliva to spit in your beer while they are carrying it from the bar to the table.Given the above, we want to devise a system with the security guarantee that the server will be incapable of spitting in your beer. Notice I said nothing about if the server decides to steal your beer. That we have to leave for another system. (Security guarantees are important. No one protocol can solve every problem. Being precise about the specific problem we are trying to solve allows us to be precise in the proof of the protocol’s effectiveness).We proceed as follows. We are going to use a cup that fills via a hole in the bottom (they do exist, I promise). We are going to modify these cups slightly by putting a lockable cap on top of the cup. This lockable cap will lock according to a 4 digit code that you program into the cup while the cup is empty (just like a safe that you might find in a hotel room).When you enter the restaurant, the host/ess will hand you an empty cup with an unlocked lid. You must lock the empty cup with a 4-digit code that you tell nobody. You hold onto this empty, locked cup. When the server comes to take your order, you hand this empty, locked cup to the server and request the type of beer you want. The server brings the cup to the bartender and has them fill up the cup from the hole at the bottom. The server then takes the still-locked cup back to you. You enter your code into the cup, unlocking its top for the first time since you arrived at the restaurant. You smile and take a sip, knowing with full confidence that nobody has tampered with your beer.We have just used methodologies from modern cryptography to create a decentralized system for delivering a beer. In the traditional system, it is the server’s responsibility to retrieve the cup and bring the cup back and forth between you and the bartender. In the new system, you have the responsibility of retrieving and holding onto your own cup until it is time for you to place your order. By doing this, we enable you to secure the contents of your drink by preemptively locking your cup. Therefore, we have created a system that allows the server to provide a service without obtaining the implicit privileges of being able to spit in your beer.This methodology can be applied to every single system of service provision that exists in our world today. Cryptography gives us the power to mathematically regulate the actions of individuals, businesses, and government alike. We now have the ability to create systems of exchange that have consequences that we explicitly agree to, instead of just consequences to which we are subjected.Blockchain will always serve as the foundation of the decentralized future in the same way that money serves as the foundation of our current society. However, money cannot exist in a vacuum. If we are truly trying to work towards a decentralized future, it is critical that we use cryptography to work towards decentralizing other aspects of our lives.Don’t Let Them Spit in Your Beer: Decentralization Beyond Blockchain was originally published in Hacker Noon on Medium, where people are continuing the conversation by highlighting and responding to this story.
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For 280 characters, the Twitter ‘inhabitants’ are sometimes even too chatty: so, here are the passions around the new HTC phone, Vitalik Buterin thoughts on the convenience of crypto for people, and the BCH one-year birthday

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Twitter Spoof: BitConnect 2.0 to Return in July; BCC Token to Rise from the Crypto Graveyard?

Bitcoinnect is known for its high yield investment platform Bitconnect.co. The company had a cryptocurrency Bitconnect Coin (BCC) which investors bought with Bitcoin to gain a 0,25% daily interest. The company also has a lending platform and exchange which closed due to warnings from Texas and North Carolina authorities. Some unknown person is however working […]
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MakerDAO Token Holders Vote on Whether to Lower DAI Stability Fee by 2%

MakerDAO Token Holders Vote on Whether to Lower DAI Stability Fee by 2% A vote about whether to decrease the so-called stability fee for MakerDAO’s ethereum blockchain-baseddecentralized stablecoin DAI has started. The vote was announced on the organization’s blog on May 17. If approved, the latest proposal would decrease the stability fee by 2% to […] Cet article MakerDAO Token Holders Vote on Whether to Lower DAI Stability Fee by 2% est apparu en premier sur Bitcoin Central.
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Crypto-Market Top Weekly Performers: Bitcoin, Ethereum, XRP, Stellar, Tezos, Binance

Bitcoin bulls have turned out to be more relentless than the most have predicted from its historic prices. However, the fundamentals around Bitcoin [BTC] seem to be stronger than ever with the Bitcoin virus apparently spreading to the east now. Mati Greenspan, the senior market analyst at eToro tweeted, “BTC on the move again… Asian market certainly doing their bit today.” This is coming after a huge pullback on 17th May 2019. A Bullish Marubuzo with was seen in the 0: 00-4: 00 Hours UTC on 19th May as the market broke above $8000 again. This the second time the market has attempted to break it after a huge correction. BTC/USD 1-Day Chart on Bitstamp (TradingView) The other four performing coins Opening Price: $6968 Closing Price: $8109 The weekly gains: 11% Weekly High/Low: $8390/$6178 Binance [BNB] Coin Binance [BNB] coin was trading in the red in the last week’s update trading around $20. Nevertheless, the token started picking up value again as normal operations began at Binance Exchange after the hack. This week Binance also initiated the process of burning token from the Ethereum blockchain to process them on the native Binance Blockchain. BNB/USD 1-Day Chart on TradingView Opening Price: $20 Closing Price: $29.5 The weekly gains: 40.6% Weekly High/Low: $32.2/$19.9 Stellar [XLM] Stellar’s rise was higher than most coins during the week as it held gained 35% on a weekly scale. The Stellar validators were reportedly shut down for two hours on 15th May 2019. As Bitcoin continued to correct and rise, Stellar held it gains above 0.00001750 BTC. XLM/USD 1-Day Chart on Bitfinex (TradingView) Opening Price: $0.10 Closing Price: $0.14 The weekly gains: 46% Weekly High/Low: $0.16/$0.117 Ethereum [ETH] Ethereum has been the top performer in leading altcoin gains in terms of total market capitalization. The total market capitalization of Ethereum is above $25 billion. It still accounts for more than 10% of the total capitalization of cryptocurrency markets. Also Read: Ripple’s XRP and Ethereum Fight for 2nd Place Behind Bitcoin In The Wake of a Bull Run ETH/USD 1-Day Chat on Coinbase (TradingView) Opening Price: $188 Closing Price: $259 The weekly gains: 38% Weekly High/Low: $281/$185 Tezos [XTZ] Tezos [XTZ] has been one of the best performing coins of the year. It has gained more than 100% before the bull run on Bitcoin began. The gain was influenced by the Coinbase allowing Tezos [XTZ] as the first coin which could be staked/forged on the Coinbase Custody platform. It was on the rise again this week as the market seems to have broken bullish since the beginning of the month. It broke above $1.75 as it set sights on to $2. XTZ/USD 1-Day Chart on Bitfinex (TradingView) Opening Price: $1 Closing Price: $194 The weekly gains: 25.4% Weekly High/Low: $207/$157   XRP, Dash, IOTA, and Cosmos [ATOM] The almost all altcoins were in the green on a weekly scale. While the above-mentioned cryptocurrencies rose higher than the rest, XRP, Dash, IOTA, and Cosmo [ATOM] also registered more than 20% gains. The gain in XRP was considerable as it broke above the $18 billion market capitalization. Moreover, the weekly rise is about 25%. The dominance of XRP over cryptocurrency market is about 7%. The rise of Dash, IOTA, and ATOM is 21%, 31% and 23$ respectively on a weekly scale. XRP/USD 1-Day Chart on Bitstamp (TradingView) *The percentage dominance of cryptocurrencies w.r.t. to the total market capitalization of the market at $0.5 billion is 0.23%. Hence, for Analysis purpose we will only consider cryptocurrencies with a total market capitalization $0.5 billion or more. For future analysis, we’ll try to maintain 0.25% as a standard for the calculation. **The data is taken at around 11: 00 Hours UTC on 19th May 2019.  The post Crypto-Market Top Weekly Performers: Bitcoin, Ethereum, XRP, Stellar, Tezos, Binance appeared first on Coingape.
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