While average consumers may be more than happy with dollars and keeping funds in gold, one of the founders of Apple, Steve Wozniak, a mathematician by education, believes that bitcoin outperforms them both as an intermediary and as a means of preserving value-one important reason: his mathematically defined stock of 21 million coins makes it impossible to lower the existing stock in the price, which makes it safer.

Wozniak shared his views on bitcoin and blockchain technology during an interview with CNBC correspondent on technology Deirdre Bosoy at the Money 20/20 conference in Las Vegas on Sunday. Accordingly, the theme of the conference is the future of payments, transactions and, of course, currencies.
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There are a lot of newcomers in the crypto-currency area, and I would like to mark the differences between the Ethereum and the Classic Ethereum, which I consider to be key. I tried to be as objective as possible. You can discuss it, look for other points of view, no one’s opinion is an absolute truth.

Changeability of the blockchain

  • Ethereum – in the record in the blockchain and contracts, it is possible to make changes, if the majority agrees to this (i.e., blockchain is changed).
  • Classic – records in the blockchain and contracts will never change (i.e., blockchain is unchangeable).

Each approach has its pros and cons.

On the side of changeability is the idea that most have the wisdom to make the right decision. Therefore, more practical to cancel the transaction if the thefts and not to chase thieves

On the side of unchangeability – the opposite view that the majority, regardless of wisdom, can’t always make the right decision, so it is better to pursue thieves according to the existing legal framework.
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This week, the leading developer of the Bitcoin ABC client, Amaury Séchet, suggested adding the Bech32 address format to the Bitcoin Cash (BCH) network. Currently, the BCH community is discussing the modification of the address format along with the preparation for the correction of the “EDA”, since the current version creates significant problems with the stability of the hashrate.

On October 14, Amaury Séchet suggested introducing a new address format into the bitcoin cash network. The topic of changing the BCH address format was discussed for several months, and even after Bitpay released a new address format for BCH integration into its Copay wallet.

The discussion began in July this year at the Bitcoin ABC repository on Github. A few weeks ago Bitpay stated that it had created “new mandatory restrictions so that users could not accidentally send BTC to the BCH purse or vice versa.” However, the new Bitpay address format hasn’t been approved by the BCH community and developers.
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The new Bitcoin Gold crypto currency, which is officially separated from Bitcoin this morning, and the official website of the project is still unavailable due to the DDOS attack. This was reported by the project team:
Mass attack DDoS on our cloud site. 10 million requests per minute. We work with providers to ban all IP addresses. We will soon be!

Bitcoin Gold wants to become a crypto currency, which can be produced with the help of less professional equipment.

A smart contract is a computer algorithm designed to conclude and maintain self-executing contracts performed in a blockchain environment.

Such contracts are written as the code that exists in a distributed registry – a blockchain that is maintained and managed by a network of computers. In simple words, smart contracts allow you to exchange assets without resorting to the services of intermediaries.

What feature smart contracts?

Smart contracts enable you to perform reliable and confidential transactions without the involvement of external intermediaries in the face of banks or government agencies. In addition, such transactions are traceable, transparent and irreversible.

Smart contracts not only contain information about the obligations of the parties and sanctions for their violation, but they automatically ensure the fulfillment of all the terms of the contract.
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To date 1170 Crypto-Currency is represented on Coinmarketcap.com. In nine of them market capitalization exceeds $1 billion and in 377 – $1 million. This naturally raises the following questions:

  • Do the world need all these crypto-currencies?
  • The currency, which has the largest market capitalization, will survive, while the rest will disappear?
  • Is it possible that a new currency destroys all the others?
  • Can all these currencies coexist peacefully? (On the last point, it seems, no one believes).

The top-10 is the Crypto-currency by market capitalization on October 16, 2017. Source: Coinmarketcap.com

To answer these questions, it is quite natural to seek a familiar analogue, with which one can compare crypto-currencies. For example, fiat currencies or noble metal.
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On Wednesday, October 18, the price of bitcoin fell on a number of exchanges to around $5,250. The day before the weighted average rate of the first crypto currency reached $5741.58.

The decrease in the bitcoin rate occurs against the backdrop of incoming news from China, where the 19th National Congress of the Chinese Communist Party (CCP) kicked off. This sign for the Middle Kingdom event is expected to adopt a number of strategic decisions, including, possibly, relating to the crypto currency.

The first news from Beijing, however, concerns this sphere so far only indirectly. As reported by CNBC, in China, a popular messenger WhatsApp was blocked. Also there are failures in the work of other social platforms, including WeChat. The latter is especially popular among Chinese crypto investors.

In the meantime, the TASS agency reports that in the next five years the Chinese leadership will intensify the work on creating a “clean and bright” global network space and, in the end, will provide comprehensive control over it. Such a statement at the opening of the congress was made by Chairman of the People’s Republic of China Xi Jinping.

According to him, special attention will be paid to delineating the spheres of responsibility of the competent authorities for the appearance of this or that information on the Internet.

However, as the chart shows, the trend towards lower prices was observed on Tuesday, so news from China, apparently, only partially affect the current situation on the market.

Regulatory authorities around the world feel that is incredibly difficult to control the explosive growth of the currency unrelated to any country.

Russian President Vladimir Putin has become one of the last in a series of politicians calling for the regulation of crypto-currencies. He stated that there are “real risks” to the fact that crypto-currencies can be used for money laundering or tax evasion. Finance Minister Anton Siluanov called for the entering of the same regulation for digital currencies as for securities, and the Bank of Russia promises to block together with the prosecutor’s office sites that allow retail investors to trade in bitcoins.

“We consider that this is a pyramid” – said Sergey Shvetsov, first deputy chairman of the Central Bank.

Officials around the world took up the issue of bitcoin regulation in September after China imposed a ban on ICO and ordered the closure of large crypto-exchanges, before spending six months to audit more than 1,000 sites.

At least 13 countries have introduced new rules for handling cryptocurrency or announced plans to tighten the existing rules. In particular, South Korea also banned the ICO. Last week, member of the Board of Governors of the European Central Bank Ewald Novotny said that the bank is discussing “specific legislative restrictions” on the sale of crypto currency.

The creators of bitcoin, the most popular digital currency, foresaw this development and prepared for it.

Since bitcoin works in a peer-to-peer network, users can buy and sell coins, and also protect and conserve the system without the involvement of governments and central banks. Try to control it is like “catch the water”, – said Alex Tapscott, CEO NextBlock Global, a venture capital firm that invests in blokcheyn start-ups .

Nine years after the mysterious programmer, who called himself Satoshi Nakamoto, opened the world to bitcoin, some see crypto-currencies as a revolutionary technology that will deprive the government of power and give it to citizens; a similar effect is given by pocket video cameras in the hands of civil activists or social networks during the “Arab Spring”.

“As crypto-currencies become more popular, their ability to resist politicians is also growing. Bitcoin is one of the most important liberation technologies in the history of mankind, along with the printing press or the Internet, “said bitcoin-investor Roger Ver, who received the nickname” Bitcoin-Jesus “for his efforts to promote crypto currency in the early years of its existence.

Digital currencies exist in computers and can be stored by millions of people around the world. They can be bought and sold online or in person. Even if there is no ATM or currency exchange nearby, anyone who has access to the Internet can buy bitcoins. They can be spending on literally everything from a sandwich to a dwelling or use them as an investment tool.

The thousand dollars invested in bitcoin in 2012, now would have turned into 4.9 million dollars. At the same time, the number of transactions involving bitcoin continues to grow. According to CoinDesk, it has grown from 60 thousand per day in 2013 and to 291 thousand units per day in the second quarter of 2017 and now twice exceeds the number of transactions with other major crypto-currencies.
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The Chinese currency exchange Huobi told about its actions regarding the forthcoming hardfork Segwit2x, which will be held in mid-November. The company claims that it will continue to provide services for digital assets trading, and the work with the hardfork will not be different, except for the release of internal futures for both Bitcoin variants.

“Huobi has no right to choose the coins received as a result of taking Segwit2x for users” – explains the trading platform. “We will support all coins, and provide our users with options for trade.”

However, Huobi has a strategy of behavior before, during and after a change in consensus. The exchange offers futures, as Huobi plans to open trading pairs BT1 / BTC and BT2 / BTC at 12:00 PM (GMT + 8) on October 19. On the eve of the hardfork, held at block 494784, Huobi will suspend deposits and withdraw funds for up to three days. According to the representatives of the platform, this is necessary to ensure such risks as possible double expenses and instability of the network.

In addition with successful hardfork Huobi plans to rename the new chain with divided coins and enroll the clients to these tokens in a ratio of 1:1. Then the platform will restore the trading pairs of BTC and the token of the “loser” of the blockade. If the hardfork does not take place, Huobi will stop trading futures BT1 and BT2.

Yesterday the crypto community witnessed the rapid growth of the “alternative bitcoin” against the background of the correction of “digital gold” and the most liquid altcoyins. Over the past 24 hours, BCH jumped by more than 10% and, subsequently, just as rapidly fell. An opinion on how the price will go on Bitcoin Cash will be shared by the analyst Veselin Petkov from Alpari.

At the moment, the price of Bitcoin Cash (BCH) is moving in a downward trend (between the red lines on the chart), which began in late August.

Yesterday, the price of BCH on the threshold of the possible November hardfork SegWit2x jumped from $300 to $390, that is, it tested the downtrend line, which worked as a resistance, and now BCH again goes down.

If in the eventual hard-core in November the bitcoin-community shares in two parts, approximately in equal shares, then the developers and that part of the bitcoin community that are committed to increasing the block size will switch to Segwit2x. In this case, the demand for Bitcoin Cash will drop and the price can calmly fall to the support level of S1 ($295), and then to S2 ($192). The thing is that to some extent Segwit2x and Bitcoin Cash for someone are interchangeable from the point of view of economic feasibility.

However, if there is a Segwit2x hardcore and a new “alternative to bitcoin” appears, to which there will be no interest, or if this hardcode does not happen, the price of BCH may again jump to the resistance line of the downtrend to $480.