Cryptodigest on August 21: Joseph Lubin about Crypto Market Slump, Arrest of the Head of the Indian Bitconnect Branch and Satoshi Nakamoto’s Capital

Ethereum Co-Founder Joseph Lubin: Crypto Market Slump Won’t Curtail Growth In a recent interview with Bloomberg, Lubin said the collapse in prices is not a new development as it has always been present in the...

Ethereum Co-Founder Joseph Lubin: Crypto Market Slump Won’t Curtail Growth

In a recent interview with Bloomberg, Lubin said the collapse in prices is not a new development as it has always been present in the “blockchain ecosystem since 2009 when Bitcoin was invented.” He went further to note that in spite of the slump in prices, under scrutiny, the price bubbles will seem like “little pimples on a chart” because “growth has been exponential,” as well.

People are rushing in because they see the promise of the technology. But then, we build more fundamental infrastructure, we see a correction, and the potential gets even more impressive… I absolutely expect that there is a strong correlation between the rise in price and the growth of fundamental infrastructure in the ecosystem.

Indian police arrest the head of the local branch of the crypto-currency pyramid Bitconnect Divyesh Darji

Together with other promoters, Diyash Darzhi led seminars, where investors were promised a high profitability of investments in the Bitconnect coin (BCC). Employees of the Indian office of Bitconnect based in Surat have appropriated tens of millions of Indian rupees of depositors. Law enforcers were interested in the project in December 2017, when Bitconnect did not pay dividends to one of the major investors. In January six people accused Bitconnect of creating an international financial pyramid and filed a class action lawsuit against the Southern District of Florida on behalf of all investors.

Researchers from BitMex evaluated Satoshi Nakamoto’s capital at 700,000 BTC

The cryptocurrency assets of the legendary creator of bitcoin do not exceed 700,000 BTC. This conclusion was reached by specialists of BitMex cryptoexchange. Unambiguously associate with Satoshi Nakamoto can be the activity of the miner who dominated the network in 2009. In their calculations, BitMex analysts relied on research of co-founder of RSK Labs Sergio Lerner, who estimated the state of Nakamoto in 1 million bitcoins in 2013. Researchers note that the new analysis, like the previous work, has a number of inaccuracies and assumptions. The new estimate does not match with Lerner’s estimate, as BitMex analysts believe that after August 2009, it is impossible to attribute a dominant role in the network to any one of the miners.

Other news

The Bakkt platform of the operator of the New York Stock Exchange, announced that it will comply with regulatory requirements, provide transparency in determining prices and infrastructure to serve institutional investors. Also earlier, the launch of one-day "physical futures contracts for bitcoin" was announced.

The Gartnet research company says in its report "The HYIP cycle in developing technologies" that interest in cryptocurrencies is disappearing. In their opinion, blockchain technology is on the verge of a phase of "getting rid of illusions", which will allow it to achieve a "productivity plateau" in the next ten years.

The U.S. Securities and Exchange Commission (SEC) already this Thursday will decide on bitcoin-ETF from ProShares. The firm's proposal supports the creation of an instrument, depending on which futures contracts will be based, that is, the cost of ETF will be determined by the futures exchange rate for CME and СВОЕ.

The Chinese Zheshang Bank issued securities worth $ 66 million and distributed it among investors using its own blocking platform Lianrong. It was designed to give registered companies the opportunity to transfer their debit debts to potential investors.