https://www.marchanger.com/?ref=4836

Miners can make major rewards as they participate in mining activities, as many companies and even individuals have learned. However, in Kazakhstan, since cryptocurrency isn’t considered to truly be money, miners aren’t taxed for these activities, due to new laws implemented this week.

• Funds resulting from cryptocurrency mining are only taxed when they are converted into fiat currency.
  
• Cryptocurrency mining is only an entrepreneurial activity if cryptocurrency mining hardware use is offered as a service.
  

Mining is an essential component for the cryptocurrency industry, though high electricity fees can make turning a profit more difficult in some areas.

The process itself is treated the same way as self-employment, by some countries, resulting in taxation of the miners associated with it. According to lawmakers in Kazakhstan, this will not be the case for miners in their region.

As mining isn’t considered to be an entrepreneurial activity, miners won’t be taxed while they participate in it, according to reports from the local Kursiv publication. Instead, it is considered a “purely technological process.” However, the new legislation states that the funds will be taxed when the mined cryptocurrency is exchanged for its real-world value in fiat currency.

The news was announced at “Blockchain Day” by Madi Saken, legislative analyst at the National Association for the Development of the Blockchain and the Industry of Data Centers of the Republic of Kazakhstan, on December 4th. The announcement was confirmed by Cointelegraph via email correspondence with Saken.

Based on the report, the lawmakers in Kazakhstan have already finalized laws on the taxation of cryptocurrency, though the presidential administration presently has the laws under consideration. This month, the bill is due to be sent to the lower house of the Parliament of Kazakhstan, which is the Mazhilis.

With this new law, both the legal status and taxation of cryptocurrency mining will be established. Saken noted that tax liabilities are only applicable to “real money,” which digital assets and cryptocurrencies aren’t considered to be. However, when converted into fiat currency, the taxes will be applied. Explaining further, Saken stated,

Quote:

“Tax liabilities only emerge when there is an income in the form of real money, particularly when a cryptocurrency is exchanged for real money, which means it is sold on an exchange. Then, this income in the form of classic money will be subject to taxation.”

At this point, the only circumstance in which crypto mining is categorized as an “entrepreneurial activity” is if there is a service that allows an individual or company to use their mining hardware. Hence, mining farms will be taxed, as well as data centers.

Even with this taxation, the government in Kazakhstan has been more supportive and optimistic in the cryptocurrency and blockchain sectors.

The governor of the Astana International Financial Center (AIFC) stated that last year that the innovation of cryptocurrency and blockchain technology will continue, even as the need of regulation arises.

AIFC, the main financial hub in Kazakhstan, partnered with the Bitfury blockchain tech firm in May this year, with the purpose of incorporating blockchain technology in multiple industries.





source https://bitcoinexchangeguide.com/cryptoc...hstan-law/
by Krystle M

Oregon FBI recently issued a cybersecurity warning to Smart TV owners stating that hackers can remotely turn on built-in microphones and cameras to spy on them. Could your crypto be at risk? 

---

About 10 days ago, on November 26, 2019, Oregon FBI released another warning regarding modern technology and its vulnerability to hacking attacks. This time, the Bureau focused on Smart TVs, as the shopping season typically results in a lot of people purchasing new tech for their homes, and Smart TVs are especially popular.

As many are likely aware, Smart TVs are called ‘smart’ due to their connection to the internet, as well as a number of other features. Many models come with built-in cameras and microphones which have voice command capabilities and even facial recognition features.

Not to mention that a lot of people prefer to use their Smart TVs for video calls and chats with family and friends. All of this makes them rather useful and practical, but also dangerous, as hackers might gain access to them in order to spy on their owners.


WHAT DOES THIS HAVE TO DO WITH CRYPTO?

Apart from being known for advanced hacking skills, cybercriminals are also known for innovative ideas, which are mostly used to harm their victims in one way or another. With direct access to the Smart TV owner’s living room, there is a lot that they can do to fulfill their goals.


Crypto users, in particular, need to be aware of cybercriminals’ potential presence, as any mention of private keys, exchange passwords, or similar sensitive information could be used to steal their funds. 

However, that is only one scenario. Another big issue recently is the so-called ‘sextortion scam’, where hackers claim to have defamatory video content of PC users watching adult content and threaten to share it publicly unless a crypto ransom is paid. According to a Checkpoint Research report, just one sextortion scam bot, Trik, was able to earn 11 BTC in 5 months by sending over 30,000 scam emails an hour, and was estimated to have affected over 2.7 million individuals.

The FBI IC3 2018 report stated that sextortion scams had increased over 242% from the previous year, and netted cybercriminals over $83 million. Because of this highly lucrative system, it’s almost a certainty that Smart TV’s will become a new tool for hackers to use to continue extorting unsuspecting victims for crypto.


HOW TO PROTECT YOURSELF?

As the FBI’s report correctly points out, TVs and technology have grown to become a major part of modern life, and they will not simply go away, with or without this type of threat.

The report suggests several methods of protecting yourself, all of which are rather sensible and potentially obvious to some, but still useful for those who are less familiar with the dangers of modern technology. One thing that everyone should do is familiarize themselves with the device, and learn exactly what features there are, and how to control them.

Another important thing to do is to set up a custom password for the TV, instead of leaving the default one, as that is as bad as inviting hackers in. Further, users can choose to turn off the camera, or at least cover it with black tape when they are not using it. The device should also be regularly updated.

However, even with all these precautions, it would be best to stay vigilant, and be careful about discussing passwords or private keys where the TV can ‘hear it.’

Users should remember that there is little that hackers can do if they take proper precautions. Meanwhile, users should report any attempt at blackmail or fraud to the authorities. This is as simple as submitting a complaint at www.IC3.gov, or contacting the local FBI office.




source https://bitcoinist.com/crypto-users-bewa...t-rob-you/
by Ali

Exchanges take a cut of your crypto funds for their services, and while you cannot wholly evade fees, you can avoid paying high fees by using some tricks.

The first thing that you need to be aware of is the different fee structures employed by exchanges and how you can manipulate them to your advantage. You can end up saving money by selecting the right crypto exchange for a specific transaction.

Let’s get into what fees you are usually charged on crypto exchanges:


Trading Fees

The most basic fee on exchanges is the trading fee. This fee is applied when you trade a crypto for another crypto. A piece of simple advice would be to find an exchange that has the lowest trading fee. But there are many other fees that are added to the trading process as you will soon find out.


Exchange Fees



Other fees charged by exchanges may include address creation fee, deposit fee, and withdrawal fee for transactions. Most exchanges do not charge deposit fees, but this might result in a higher withdrawal fee.

Also, an exchange that does not charge any withdrawal fees can reflect in higher trading fees, or a small trading fee might have increased deposit and withdrawal fees.

You have to be careful of this strategy of hiding certain fees while heavily advertising the ones that are apparently smaller. Most exchanges market themselves in this way and hide the non-competitive fees in the fine print. That’s why many users complain online after trading when they find out the exchange took a larger chunk of their funds.

Some fees are calculated based on the percentage of the trade, while others have a fixed rate for all trading amounts. To avoid paying high fees when trading low amounts, do not opt for exchanges that use a fixed fee system.

When you see an exchange that claims they have zero commissions, no exchange fees, and no service fees, you start wondering, how do they make their money? Simple, they just sell the pair at a higher rate than the open market.


Premium Fee



For instant trades, you will have to pay the exchange more for this type of premium service. Instant buying options come with inflated prices. Let’s say an exchange offers both types of services; buying Bitcoin instantly comes to apply a 7% transaction fee, while trading on their market would have a lower price per trade, somewhere below 1% usually. Naturally, you would opt for placing a market trade instead of going for instant trade.


Conversion Fees

Other hidden commissions involve conversion fees. If you deposit any other fiat currency into an exchange that only accepts dollar, you will be charged a fee for converting your currency. But how much can a conversion fee cost? 

Well, Coinbase adds a spread of 0–2% to the exchange rate. And if you want to cash out in the same account, you will lose money on the exchange rate twice. A good way of avoiding paying high fees of conversions is by making them in advance in real life before depositing or withdrawing on any exchange.

Now that you have a better understanding of how fees work on exchanges, let’s explore some methods of minimize these fees so you can get the same money in your daily active trades.


Never Use Credit Cards



Making fiat deposits via credit or debit card incur astronomical fees on any exchange. Coinbase applies a fee of 3.9% for credit card deposit, and the charge can go up to even 5%.

So instead of using a credit account, you should opt for an exchange deposit account, bank account, or e-wallet.

Exchange deposit accounts can be funded via ACH, and you are usually not charged for the deposit, and most of these accounts are USD that are FDIC insured. By using this type of account, the trading fees can be somewhere in the 0.25% range instead of 4%-5% fees that are charged by using a card.


Add Liquidity Through Your Market Orders

There are certain exchanges that reward users for using limit orders, where you not only avoid paying high fees, you actually don’t pay any fees at all. This is their way of rewarding traders for adding liquidity to the market. However, you pay fees when you take liquidity (what’s called as a taker fee), meaning you fill a buy order on the ask side, or you fill a sell order on the bid side.


Be Mindful of Withdrawal Fees

Instead of directly withdrawing cryptocurrency from your Coinbase wallet to other exchanges, you can opt to move them to Coinbase Pro first.

Then, from your Coinbase Pro account, you can transfer your funds to other exchanges. There are no fees applied for moving your funds from Coinbase to Coinbase Pro, and there are also new fees incurred when moving crypto from Coinbase Pro to other exchanges.


Peer-to-Peer Platforms



Peer-to-peer platforms or marketplaces make enable individuals to connect with each other without requiring a third party to mediate the transaction. The two parties establish the terms of the trade on their own, and agree upon the selling or buying price, as well as method of payment and location (if they decide to meet in person).

Some of these marketplaces are LocalBitcoins, Paxful, and LocalEthereum. Even if there are no trading fees, conversion, deposit or withdrawal fees, the platform applies a 1% fee for sellers. Buyers do not have to pay any fees.

Another disadvantage is that such platforms have fewer users, so you will have to wait in order to find a seller, and once found one, you have to be very cautious, as there are many scammers.


Trade Only When You Have To

The simplest way to avoid paying high fees is to not trade at all. By trading actively, the money you will spend on dozens of fees adds up. So the best move would be to trade rarely only when there are opportunities that can yield high-profit results.


Conclusion

If you are an active trader, you should closely examine the exchanges and all of their fees. Even though you might find one with lower fees in one department, it will most likely have higher charges for other aspects. You should consider your trading style and how you can use it to dodge paying unnecessary costs.




souce https://coindoo.com/learn-how-to-avoid-p...exchanges/
by Anca F

There’s a running meme that the cryptocurrency community is filled to the brim with millennials and generation Z—people born after 1981. Apparently, the anecdote is more than just a meme, it’s fact.

New data from Charles Schwab, one of the largest retail brokerage firms in the United States, has indicated that the Grayscale Bitcoin Trust, which trades under the ticker GBTC on over-the-counter markets, is one of the most popular equity holdings amongst millennials. This statistic comes against the headwind of the 50 percent downturn that the Bitcoin price has seen over the past five months.


Bitcoin more popular than Disney, Netflix, and Microsoft amongst millennials

On Dec. 4, Charles Schwab released a report regarding its clientele’s favorite investments as of the end of the third quarter of Q3.

Under the column for millennials, those born after 1981 and before 1996, it was noted that 1.84 percent of this demographic’s collective net worth was allocated to Grayscale’s Bitcoin Trust, making the BTC-linked investment vehicle more popular than Berkshire Hathaway, Walt Disney, Netflix, Microsoft, and Alibaba Group. This made GBTC the fifth most popular investment among millennials, falling short of Facebook’s 3.03 percent, Tesla’s 3.22 percent, Apple’s 6.18 percent, and Amazon’s 7.87 percent.


Sure, 1.84 percent isn’t “mass adoption” per se, though many in the cryptocurrency community have taken this statistic in stride. Mike Dudas, CEO of industry outlet The Block, wrote that this statistic is the “clearest sign to me that there is retail demand for people to own bitcoin via traditional investment accounts.”


Millennial holdings likely to increase from here

While GBTC being millennials’ fifth-largest holding on Charles Schwab is already a positive stat in and of itself, the Trust and other investments affiliated with Bitcoin are likely only going to increase from here.

An early-2019 survey published by industry venture fund Blockchain Capital revealed that there is an overwhelming level of interest for Bitcoin amongst the millennial population in the States.

The poll, which 2,029 American adults responded to, revealed that 59 percent of those aged 18-34 “strongly” or “somewhat” agree that “Bitcoin is a positive innovation in financial technology,” while 42 percent of the same demographic indicated that they intend to purchase BTC within the next five years.

This statistic makes sense. Partner of Bitcoin fund Adaptive Capital Willy Woo recently shared the chart below, which shows that while millennials make up a rapidly increasing portion of the adult population, they own effectively none of America’s wealth. In fact, at just over 25 percent of the U.S. population, millennials own 3 percent of America’s wealth. 

Woo said:

Quote:

“For the sake of economic equality, it’s our duty as Gen-Xers and Millennials to take wealth from the Boomers. Gratitude to Peter Schiff, he’s such an ally.”

Being an asymmetric investment that analysts argue has a strong risk-return profile, Bitcoin gives millennials a chance to begin to encroach on the wealth share of other generations.

Marty Bent, a popular Bitcoin podcaster, commented on this, responding to the Charles Schwab statistic by writing that “we’re mad as hell and we’re going to do something about it,” referencing the idea that millennials will take over the largely baby boomer-run fiat system with cryptocurrencies.

That’s not to mention that Coldwell Banker Global Luxury estimated earlier in 2019 that $68 trillion will be passed down from boomers to millennials in the coming decades. In fact, Coldwell’s report suggested by 2030, millennials will hold five times as much wealth as the demographic holds today.

With investing millennials already showing a preference towards Bitcoin, it shouldn’t be too much of a stretch of the imagination to guess what happens when this group inherits some wealth.






source https://cryptoslate.com/american-millenn...es-schwab/
by Nick Chong

Stellar has finally shown an upward movement after the last few days of struggle. The recovery in the overall market seems to have impacted the XLM coin, as well. It has been through three major price swings in this period and got a hike of 1.28% overnight.


Stellar Price Prediction

XLM coin opened the day at 0.054746 USD, and its first major price variation happened between 01:58 & 12:23 UTC. Over these 10 hours and 25 minutes, Stellar gained 2.81% and got placed at 0.055716 USD, the highest for the day. At 12:23 UTC, the coin started weakening, and it went through a 2.28% decline in the value that cost it 0.001268 USD and pushed XLM price to 0.054454 USD by 15:29 UTC. The last price swing happened between 15:29 & 01:51 UTC and over these 10 hours and 22 minutes; Stellar managed a hike of 2.03% that helped it to scale as high as 0.055562 USD.


The market cap of XLM coin on December 05 was 1.113 billion USD, and over the last 24 hours, it has been increased to 1.115 billion USD. The recent hike in the market cap shows that the investors’ confidence in Stellar Lumens is still intact.

The 20 days MA is now at 0.055452 USD, and it’s 50 days MA stands at 0.055418 USD. The current price at 0.055449 USD is 0.055% more and 0.005% less than the 50 days and 20 days moving averages, respectively. Stellar’s next halt may come at 0.0572 USD as a resistance point.

   



source https://www.cryptonewsz.com/stellar-xlm-...urs/54118/
by Ruti Vora

• Stellar price has started a mild bull-run; yet to cross $0.056
  
• The XLM coin seems to have a support level at $0.054 which corresponds to the 0% Fib level
  
• Technicals are likely to enter a bullish zone with an intact bullish trendline
  

Stellar had struck a notable price spike yesterday when it touched $0.057 price mark and then pulled back. The overall bearish crypto market has been playing a vital role regarding the sluggish trend of the coin. However, XLM coin has recently started to recover its loss of valuation at a slow pace.


Stellar Price Prediction

Yesterday, the XLM price took a sharp rise after dipping below $0.054 from $0.055. After a downward correction, the coin has remained above the 61.80% Fib level. Before closing the day, Stellar price heftily declined and bottomed at $0.0541. 

The coin seems to have a support level there as it attempted a mild price recovery above $0.055.

Today, Stellar has opened at around $0.054, and after maintaining its price range there, the coin has started an upside movement. The XLM coin is already above the 23.60% Fib level and is likely to go beyond the 38.20% Fib level. A steady price rally above the 78.60% Fib level can be considered as a substantial price recovery. At 10:59:12 UTC, the price of Stellar is trading at $0.0552.


Here, Bollinger bands are yet to show any volatility sign according to the chart. The MACD indicator is in the bullish zone with its MACD line on the upside. Also, RSI is above 50, showing a stable phase.

Stellar Lumens is likely to see resistance at $0.0564, $0.0574, and $0.0584 and support levels at $0.0544, $0.0534, and $0.0524.




source https://www.cryptonewsz.com/stellar-xlm-...low/54070/
by Ruti Vora

In less than six months’ time, Bitcoin will see an extremely important event. Known as a “halving” or “halvening,” the number of coins issued per block to miners will get cut in half, effectively meaning that Bitcoin’s inflation rate will be cut in half in layman’s terms.

What’s interesting is that this mechanism was never mentioned in Satoshi Nakamoto’s seminal whitepaper on Bitcoin, though this part of the cryptocurrency has become an integral part of the network.

You see, the halving mechanism, should it be kept in the code in the decades to come, will ensure that there will only be 21 million coins in existence. Ever. This ties into Satoshi’s seeming obsession with creating a scarce, hard form of money that is unlike fiat money, which can be printed without limits.

Despite the fact that it was a non-mention in the whitepaper and that it may seem like a trivial facet of Bitcoin, analysts have long believed that the halving has a strong positive effect on the cryptocurrency market. Not everyone is convinced though.

In fact, a top cryptocurrency investor who has made investments in some of the space’s biggest companies recently came out against the bullish narrative around the halving.


Bitcoin Halving to Be a Non-Event?

Jason Williams, co-founder at digital asset fund Morgan Creek Digital, said at the turn of the month that one of his unpopular opinions is that “Bitcoin halving in May 2020 won’t do anything to the price. It will be a non-event.” This assertion comes in the wake of a strong downturn in the cryptocurrency markets, which has thrown cold water on a lot of the bullish sentiment and narratives being pushed earlier this year.

Quote:
Jason A. Williams @JWilliamsFstmed


Unpopular Opinion -

Bitcoin halving in May 2020 won’t do anything to the price.  It will be a non-event.

1,262
2:22 AM - Dec 2, 2019
Twitter Ads info and privacy

It isn’t only the Morgan Creek Digital partner that is showing skepticism towards Bitcoin’s halving. Per previous report fom Blockonomi, co-founder of Bitmain Jihan Wu said that he believes that a Bitcoin bull run may not follow the halving next year.

Data from Strix Levithan, a Seattle-based cryptocurrency startup, corroborated this. They reported earlier this year that analysis of data on 32 halvings across 24 crypto assets, which includes Bitcoin and Litecoin, suggested that there is no clear evidence that crypto assets that see their emission halve “outperform the broader market in the months leading up to and following a reduction in miner rewards.”


Others Beg to Differ

What’s interesting is that Williams’ partner, Anthony Pompliano, is a staunch believer that the halving will push Bitcoin much higher than current prices. Pompliano, who has become one of Bitcoin’s loudest cheerleaders, posted this tweet below in August, in which he implied that Bitcoin’s halvings will be an event that allows the cryptocurrency to gain more traction than ever before.

Quote:
Pomp 

✔@APompliano



Bank of America believes the Federal Reserve may have to resort back to quantitative easing as early as Q4 this year.

Step 1 was cutting interest rates.
Step 2 is printing money.
Step 3 will be the Bitcoin halving.

You can’t write a better script for the rise of Bitcoin

2,055
2:54 AM - Aug 8, 2019
Twitter Ads info and privacy

Pompliano isn’t alone in this positive sentiment. Just the other day, Thomas Lee of Fundstrat Global Advisors cited the reduction in miner rewards as a catalyst that is likely to provide Bitcoin with some jet fuel heading into and out of 2020.
Can’t Argue With the Math

So sure, the debate around the effects the halving will have on Bitcoin’s price seems divided, though it seems that math is on the side of bulls. PlanB, an institutional quantitative analyst interested in Bitcoin, found earlier this year that the market capitalization of BTC can be accurately determined by the stock-to-flow ratio (effectively inflation) of the cryptocurrency.

His model, which is cointegrated to Bitcoin’s price history and fits the BTC price to an R squared of 0.947 (extremely accurate in statistics lingo), suggests that the cryptocurrency’s market capitalization will have a fair valuation of $1 trillion after the halving.









source https://blockonomi.com/bitcoin-halving-m...es-higher/
by Nick Chong

1. Is crypto in Africa popular?

























Aside from the regulatory headaches, crypto businesses may find it hard to gain traction on the continent.

Why will adoption be a challenge? Mainly because of the fact that it could be hard to get the word out about crypto’s potential, and some consumers may be put off for fear that it’s simply too technical to use on a daily basis. It’s also fair to say that BTC might not be the best currency to use for daily purchases for Africans who are moving away from their local fiat because it’s too volatile.

There is also a real risk that reliable access to the internet across the entire continent might be overestimated, especially considering that connectivity lags far behind other parts of the world. Plus, compelling crypto and blockchain projects that are tailored to the African market will depend on developers and entrepreneurs who can deliver it, which means training new talent and enticing expertise from around the world will be crucial in enhancing levels of mainstream adoption.





source https://cointelegraph.com/explained/cryp...-explained
by Connor Blenkinsop

It’s impossible to assess the cryptocurrency landscape without considering Binance. It looms large over the industry, dictating trends, soaking up liquidity, and compelling new exchanges to fight tooth and nail for market share. Most exchanges aren’t gunning to become the next Binance. But they must all exist in its shadow while striving to carve a niche of their own.



This week, a new exchange ranking system revealed that 1.9 million BTC worth around $14 billion is stored on centralized exchanges. A good chunk of that resides with Binance, where 2.5 million trades are conducted daily. Earlier this year Binance made headlines when it moved $1.3 billion of BTC in a single transaction. Its spot exchange dwarfs the competition, though its futures exchange which launched in September still lags behind the market leaders.

Quote:
Shariq@shariq911


Companies made their first $1 Billion. @binance:2 years @Google:5 years@facebook:6 years@Spotify:8 years@Dropbox:10 years@netflix:10 years@Apple:14 years@Microsoft:15 years@intel:16 years@WaltDisneyWorld:69 years@IBM:79 years

U can avoid but can't ignore @binance

2,915
8:16 AM - Dec 3, 2019
Twitter Ads info and privacy

Barely a day seems to go by without Binance rolling out a new product or feature. This week, for instance, it announced zero-fee tezos staking. The move was seen as a direct challenge to custodians such as Coinbase, which charges 25%, and Gate.io which charges 33%. “Staking will become a user acquisition service similar to what Coinbase Earn is doing,” ventured The Block’s Larry Cermak. “Exchanges will eat the costs to attract new customers.”



New exchanges looking to lure customers from giants such as Binance, Coinbase, and Huobi face a dilemma: should they emulate the formula that’s worked so well for Binance, or chart a different path and pray their boldness pays off?




Stormgain is a new crypto exchange that finds itself in this unenviable position. Its CEO Alex Althausen told news.Bitcoin.com that exchanges that replicate the status quo are setting themselves up to fail, saying: “The market doesn’t need another dozen Binance or Coinbase clones. There’s nothing wrong with introducing features that have proven to be successful elsewhere, but your exchange needs to have a USP that will enable it to make a name for itself.”

“With Stormgain, we’ve focused on giving traders tools that will empower them to make smarter decisions, and to ultimately increase their profitability. This includes things like free demo accounts to simulate trading, including the use of margin with up to 100x leverage, and trading signals for specific cryptocurrencies, which are directly integrated into the trading platform.”




Emirex is a Dubai-headquartered company that oversees Bitcoin Middle East Exchange as well as Digital Commodities Exchange for tokenized commodities. Its co-founder Irina Heaver told news.Bitcoin.com that there is still room for emerging exchanges to prosper through focusing on the needs of regional investors. “There will always be a need for global exchanges,” she said, “but they will struggle to adapt to meet the needs of traders in specific jurisdictions. We’ve found through listening to the concerns of our customers that there’s a demand for services that cater to their technical ability, product familiarity, languages and fiat currency requirements.”

“Localization and understanding the uniqueness of the local markets is the key. From liaising with businesses in the Middle East, and fielding demand for tokenized representations of traditional assets such as commodities, for instance, we’ve been able to create a platform that’s tailor-made for that, and are now expanding into trading tokenized bonds and sharia compliant sukuks. This is something which international exchanges simply aren’t equipped to do.”





Four days ago, Upbit became the seventh major exchange to be hacked this year when $50 million was drained from its ETH cold wallet. In May, Binance suffered a similar fate, losing $40 million of cryptocurrency. That was small change to the exchange, but given the amount of cryptocurrency it holds, including staking and lending assets, it remains a prime target for attackers. Binance has since tightened up its procedures, but if lightning were to strike twice and strike harder, the crypto market would react accordingly.

Quote:
sicarious@Sicarious_


If you had to keep your #bitcoin on an exchange for a year, pick one.
5%Poloniex 2.0
14%Bitmex
17%Bittrex
64%Binance
13,626 votes•Final results

171
2:48 PM - Nov 28, 2019
Twitter Ads info and privacy

The ideal solution is for users to store more of their crypto in noncustodial wallets and for decentralized exchanges to improve to the point where they can compete with CEXs. For now, the best that can be hoped is for traders to avoid putting all their eggs in one basket. Smaller exchanges carry their own security trade-offs, naturally, and it will take time for newer entrants to build up trust and liquidity.

Of course, it’s easy to criticize the king. Centralization concerns aside, Binance is widely regarded as a net good for the cryptosphere, having improved the landscape in a wealth of ways. Nevertheless, bitcoiners have reason to remain wary of exchanges that become “too big to fail.” Years ago, another exchange held that mantle. Its name was Mt. Gox.




source https://news.bitcoin.com/cryptocurrency-...es-shadow/
by Kai Sedgwick

• The total crypto market cap jumped from $188.0B, but it failed to stay above $200.0B.
  
  
• Bitcoin price rally above the $7,500 level was completely reversed.
  
  
• BCH price is somehow holding the key $205 and $200 support levels.
  
  
• EOS price is facing a strong resistance near the $2.700 area.
  
  
• Stellar (XLM) price could continue to move down towards the main $0.0500 support area.
  
  
• Tron (TRX) price is down 2% and it is approaching the $0.0140 support area.
  

Bitcoin (BTC) and the crypto market cap are resuming their downtrend. Ethereum (ETH), BCH, stellar (XLM), ADA, EOS, litecoin, ripple, and tron (TRX) are likely to continue lower.


Bitcoin Cash Price Analysis

Recently, bitcoin cash price tested the main $200 support area and later started a decent recovery against the US Dollar. BCH price climbed above the $210 and $215 levels. However, it failed to surpass the key $220 resistance area.

As a result, there was a fresh decline below the $210 level and the price seems to be heading back towards the main $200 support area. Any further losses may perhaps push the price towards the $185 support.


Stellar (XLM), EOS and Tron (TRX) Price Analysis

EOS price made another attempt to settle above the $2.700 and $2.750 resistance levels. However, the price failed to continue higher and it is now declining towards $2.600. The key support on the downside is near the $2.500 level, below which the price could revisit the $2.350 support.

Stellar price remained in a bearish zone below the $0.0585 and $0.0600 resistance levels. XLM price is currently declining and it seems like it could break the $0.0520 support area. Any further losses may lead the price towards the $0.0500 zone.

Tron price is down more than 2% and it is trading below the $0.0150 level. An immediate support is near the $0.0142 level, below which it may perhaps test the $0.0140 support. On the upside, there are a few key hurdles near the $0.0148 and $0.0150.



Looking at the total cryptocurrency market cap 4-hours chart, there was a strong bounce from the $188.0B support area. The crypto market cap broke the $195.0B resistance, but it struggled to continue above the $200.0B resistance area.

The market cap is now well below $200.0B and it seems like it could even break the $188.0B support area. The next major support is near the $174.0B level. Therefore, there are chances of more downsides in bitcoin, Ethereum, EOS, ripple, litecoin, bitcoin cash, XLM, TRX, BNB, WAN, WTC, ICX, and other altcoins in the near term until the crypto market cap surpasses $200.0B.





source https://www.newsbtc.com/2019/12/05/bitco...-analysis/
by Aayush Jindal

The phones are ringing off the hooks at the New York offices of BitOoda, a financial services and brokerage firm that advises bitcoin mining companies and investors in the bitcoin space on investment strategies and risk management.

Ryan Porter, head of business development at BitOoda, told Bitcoin Magazine that there’s lots of interest, including from Chinese companies and investors, in the new frontier of bitcoin mining in the U.S. and Canada. “We’re seeing potentially explosive growth in North America in bitcoin mining as the number of inquiries from both mining companies and investors in possible mining operations has picked up significantly in 2019. Some institutional investors who have been waiting on the sidelines are making mining their first foray into bitcoin and many view North America as their best option.”

Porter also added that, in addition to its own bitcoin mining benefits, North America is becoming increasingly popular in relation to the world’s central hub for bitcoin mining.

“With continuing regulatory uncertainty in China and relative stability here, along with plentiful inexpensive power, operators and investors are realizing that North America is a desirable option for bitcoin mining,” he said.

Similarly, Jonathan Hamel, founder and president of Montreal-based Académie Bitcoin, and a close observer of the bitcoin mining sector, told Bitcoin Magazine:

“I believe the reputational risk associated with bitcoin mining is slowly going away. For example, here in Canada, Bitfarms being publicly listed on the [Toronto Stock Exchange] and audited by Ernst & Young, brings a lot of credibility to the industry.”


Bitcoin Mining in the New World

Like the early pioneers, mining companies are turning to the New World, where they hope to find relative freedom from government interference and, in places, plentiful supplies of ready-to-use, cheap power, often in abandoned industrial sites.

In areas like central Texas, there are local economic development officials working with companies like Bitmain to take over sites. The abandoned Alcoa aluminum smelting complex in Rockdale, for example, is already equipped with a built-in power plant and electricity lines.

“As more states and provinces look for markets for abandoned industrial sites with stranded energy, I believe that we're moving towards a normalization/commoditization of the industry,” said Hamel. “That's a good thing for Bitcoin: more locations, more decentralization.”


Use of Renewable Energy for Bitcoin Mining

In June 2019, CoinShares (the cryptocurrency investor service providing advice, tools and services) published its report on mining. On one hand, it assured readers it provided the best available information on bitcoin mining. On the other, it cautioned that bitcoin mining is “a highly private and secretive industry. As a result, our estimates may be subject to significant potential uncertainty.”

Still, CoinShares made the point that cheap energy is a bottom line for mining companies and, as it happens, an economic change from an industrialized to postindustrial economy has left lots of abandoned facilities with power-generating capacity available.  

“Our findings reaffirm our view that Bitcoin mining is acting as a global electricity buyer of last resort and therefore tends to cluster around comparatively under-utilised renewables infrastructure,” per the report.

The report concludes that bitcoin mining relies heavily on renewables in comparison to other industrial sectors.

“We calculate a conservative estimate of the renewables penetration in the energy mix powering the Bitcoin mining network at 74.1 percent, making bitcoin mining more renewables-driven than almost every other large-scale industry in the world.”

It also noted that this is “more than four times the global average.” 

Following is an initial list of some major players in the bitcoin mining industry in North America by state/province.




Bitcoin Mining in the United States: A Mix of Resources

According to the CoinShares report, the two major mining centers in the U.S. are in the states of Washington and New York. The cool climates and rugged terrains, along with powerful rivers like the Columbia and the St. Lawrence, make for plentiful hydroelectric power there.

These two states have been on the front line of the economic change from heavily resource-dependent economies with lots of hydroelectric dams to postindustrial, knowledge-based economies leaving lots of surplus power and infrastructure available for bitcoin mining.

Recent announcements of new bitcoin mining projects have also come from Texas and Nebraska.


Washington State

CoinShares calls Washington State one of the two U.S. “major mining centers,” noting its cool climate and abundance of hydroelectric power from a mountainous interior with hydroelectric dams on powerful rivers like the Columbia River.

Washington State officials are more than happy to negotiate cheap power rates for interior sites once occupied by major forestry and pulp and paper mills, factories equipped with hydro-driven power plants and electrical lines, abandoned when a central state resource economy became uneconomical.

Salcido Group

Salcido Enterprises, one of the first major mining operations, located in Wenatchee, in Central Washington State, has three centers all using renewable, inexpensive hydroelectric power.

The Columbia Data Center, the Cashmere Data Center and the Horizon Data Center are all built on converted industrial sites and use power from dams on the Columbia River to power their mining operations.

Bitmain

Located in East Wenatchee, in Central Washington State, Bitmain is one of the mining companies there refitting abandoned factory infrastructure that uses power from hydroelectric dams and electrical lines (power that is created whether it’s used or not).

According to media reports, Bitmain invested $20 million in the Wenatchee facility with five buildings, each with 1,620 Antminer S9s for a combined total of 12 MWs.

Bitmain has also built an electronics repair center in nearby Malaga, about 7 miles (11 kilometers) from East Wenatchee. It will serve as the firm’s service location for repairing damaged Antminers for Western North America.

With mines in China, East Asia and now in Texas and Washington, Bitmain is tracking to be one of the largest mining companies in the world. A report earlier in 2019 said Bitmain has plans to open 17 mining centers in the U.S.


New York State

New York State is the other major center (along with Washington) of U.S. bitcoin mining, according to CoinShares.

With a similarly rugged terrain, New York has seen a net outflow of manufacturing and resource companies, leaving industrial infrastructure with power plants and lines available for reuse. Along the St. Lawrence River, many dams produce cheap power for residents of towns like Massena and Lake Placid.

Coinmint

Coinmint currently operates three mining facilities. The first two are located in Plattsburgh, New York. Coinmint’s third and largest mining facility is in a former Alcoa Aluminum smelter in Massena, New York. According to its website, at 435 MW, the Massena facility is the largest digital currency data center in the world.

The company is confident of its success there in part because of the abundance of cheap hydroelectric power and wind generation in northern New York.


Texas

Texas has been making news in the bitcoin world lately as a number of major mining operations set up shop in the Lone Star State. Like the rust-belt states, central Texas has taken a hit economically over the last few decades with the end of industrialization and the export of resource and manufacturing investment.

Bitmain

Beijing-based Bitmain worked with local economic development officials from the Rockdale Municipal Development District to launch a new mine in Rockdale, Texas, in collaboration with Canadian blockchain firm DMG Blockchain Solutions. 

Bitmain set up on the 33,000-acre, former Alcoa Aluminum smelting site, with much of the infrastructure, including an electricity plant and power lines still intact. It will reportedly be working to increase its power output from the current 25 MW level to a maximum of 300 MW. (Note: Bitcoin Magazine was unable to confirm the power source for this location by time of publication.)

Layer1

Layer1, a San Francisco-based cryptocurrency infrastructure company, is building a full-stack mining facility in West Texas. 

With a show of faith from investors, including a Peter Thiel-led $50 million funding round, co-founder Alexander Liegl plans to take advantage of the state’s competitive electricity prices and encouraging policies to upscale their operations. 
According to the company, Layer1 will be using mostly wind-powered energy. 

Whinstone and Northern Bitcoin

Whinstone US Inc., a Louisiana-based developer of high-speed data centers, and Northern Bitcoin AG, a Germany-based bitcoin mining firm, have announced they will be partnering to open a 100-acre bitcoin mining farm in central Texas.
The new center will build a capacity of 1 gigawatt and will be using a combination of renewable energy sources.


California

Plouton Mining

Located in California's Mojave District, Plouton Mining is hoping to secure its place as a long-term mining operation with its use of solar power.

As North America’s largest solar-powered mining center, it plans to operate next-generation 7nm SHA256 ASIC Bitcoin miners at 400 Ph/s.


Georgia

Blockstream Mining

Georgia joined the North American mining fray recently with its hosting of Blockstream Mining in Adel, Georgia. Blockstream provides economic development for the state and is a customer for a combination of renewable energy sources, according to Blockstream CSO Samson Mow, in a written reply to Bitcoin Magazine.

With its other facility in Quebec, Canada, using readily available hydroelectric power, Blockstream says it has over 300 MW of energy sites in operation with more to come.

Blockstream Mining is also offering colocation services: equipment, space, bandwidth and/or power rental for interested miners who can benefit from inexpensive energy without negotiating separately with local authorities. Currently renting space are the Fidelity Center for Applied Technology and LinkedIn founder Reid Hoffman.


Nebraska

Compute North

Hoping to join the states that benefit economically from mining, Nebraska offered low, subsidized energy rates to lure Compute North to Kearney, Nebraska.

According to Nebraska Power, the district uses a mix of renewables like wind and water but also adds power from coal, natural gas and nuclear plants.

Compute North, like its Texas and South Dakota centers, is a colocation service offering mining services — equipment, space, bandwidth and/or power rental — to interested miners around the world who can benefit from inexpensive energy without negotiating separately with local authorities.


Canada: A Bitcoin Mining Magnet

In Canada, bitcoin mining can be found in British Columbia, Alberta, Newfoundland and Labrador, and Quebec.
Benefiting from a cool climate, Canada has abundant supplies of renewable hydroelectric power left over from a time when resource extraction and processing, in forestry, pulp and paper, and heavy industry, drove the northern economy.

Alberta

Alberta’s oil and gas based economy has been struggling lately, so with an appreciation of innovation and entrepreneurship, it has welcomed miners by offering some of the lowest power rates in Canada

Hut 8 

With 94 BlockBox centers in Medicine Hat and Drumheller, Alberta, Hut 8 says it is benefiting from the lowest energy rates in Canada via the Alberta government.

One of the largest bitcoin mining centers in Canada, Hut 8 is publicly listed on the Toronto Stock Exchange. Hut 8 uses natural gas but says it is looking for sites to expand into that have affordable, renewable energy.

Upstream Data

Located on the Alberta-Saskatchewan border, Upstream Data has developed new technology, the Ohmm Mining data centers, to efficiently capture and reuse the natural gas by-products from oil refining which would normally go to waste, vented into the atmosphere.

It not only mines, but helps other companies take advantage of this inexpensive capture technology.


Quebec

Quebec has gone back and forth with its support of bitcoin mining, but its sheer volume of available hydroelectric power dams and power lines from a time of aggressive industrialization, in combination with a cool northern climate, make it ideal for mining. As a result, the government is negotiating cheaper power rates for interested miners.

Blockstream

Blockstream is entering the North American market with two centers, one in Quebec using hydroelectric power and the other in Adel, Georgia, using “a mix of renewable energy sources,” according to Blockstream’s CSO Samson Mow.
Both facilities offer colocation services — fully-equipped spaces for miners to rent.

Bitfarms

With five separate mining sites in Quebec, Bitfarms is one of the largest mining operations in North America.
Benefiting from Quebec’s plentiful surplus electricity from hydroelectric dams, the company has mining sites in five locations: Sherbrooke, Farnham, Saint-Hyacinthe, Cowansville and Magog. 

Bitfarms is publicly listed on the Toronto Stock Exchange and is audited on a regular basis by Ernst & Young. Recently, Bitfarms released its earnings for Q3 2019, which, it claims, reveal it to be the most profitable publicly-traded bitcoin miners in the world.


British Columbia

Left over from the once prosperous forestry, pulp and paper, and traditional mining industries, B.C. (like Quebec) now has lots of available hydroelectric power with facilities and hydro lines ready to go. 

DMG

DMG uses what it calls “clean hydroelectric power” for its flagship location near Castlegar in southern B.C.
In addition to its fixed location, a 20,000-square-foot facility, DMG has built fully automated containers for deployment in remote locations. 

DMG offers consulting services to help other cryptocurrency data center companies build their facilities and setup operations.


The Future of Bitcoin Mining in North America

With bitcoin mining operations taking root in locations across North America, from British Columbia to Georgia, it is rapidly becoming an epicenter for the entire Bitcoin sector. As the operations described above continue to expand and flourish, the region’s slice of the industry is only set to expand.

As it does, Ryan Porter at BitOoda has his work cut out for him just answering calls from interested miners and investors. 
“With the continued uncertainty in China and a growing interest in renewable sources of power like hydroelectric dams, I expect North America will continue to attract new mining and mining investment for the foreseeable future,” said Porter.








source https://bitcoinmagazine.com/articles/bit...-new-world
by Jessie Willms

The blockchain industry is moving forward but what companies head the journey? Here is a list of the most valuable crypto unicorns.

Many things have been said about the champions who have been at the forefront of making things happen in the crypto space but not much has been known about them. The list below and the descriptions indicate the biggest companies in the industry not only by valuation and capitalization but also by goodwill and corporate presence both online and offline as well. They shall be listed in no particular order of preference. 


Ripple (Valuation of about $5 Billion)

Many people have heard one way or the other about Ripple Labs Inc. It is widely associated with the now popular XRP token as it uses this coin in its solutions. Ripple Labs owns and runs RipppleNet. Driven by what is referred to as the Ripple Protocol Consensus Algorithm (RPCA), RippleNet is used for all kinds of transactions between financial institutions but with the introduction of new tools different kinds of platforms will be able to run off it making Ripple be not only the darling of the financial services sector but also to be one of the cryptocurrency companies to watch out for come next year. Ripple has been tipped to be worth about $5 billion.


Circle (about $3 Billion)

While Circle is quite popular these days with its hands in many pies in the crypto space, this cryptocurrency unicorn started out as a service where you could buy Bitcoin with credit card and has grown to be one of the most dynamic organizations out there also with its own stablecoin USDcoin which is tied to the United States Dollar. Sources indicate that Circle achieved its $3 billion valuation after a funding round of about $100 million last year.


Bitmain (about $12 Billion)

Now everyone knows that Bitmain is by far the largest cryptocurrency corporate organization by sheer size and valuation. Owning the world’s largest cryptocurrency mining facilities and being a major hardware manufacturer of cryptocurrency mining equipment, Bitmain has overtaken just about everyone else to be at the top when it comes to valuations. This does not mean however that it hasn’t had its share of corporate issues. Sources estimated last year that the total valuation of Bitmain stood at $12 billion.


Binance (about $2 Billion) 

Binance is quite popular in the crypto space as it is one of the most popular cryptocurrency exchanges at the moment. Its premier position in terms of trading volume (as the second largest) has only made it more obvious that it holds the top spot in the hearts and minds of many within the industry. Apart from trading cryptocurrencies, Binance is also known for other products such as Binance Coin and its decentralized trading blockchain Binance Chain. CEO Changpeng “CZ” Zhao has indicated that Binance is worth at least $ 2 billion or more.


Canaan Creative (about $2 Billion)

While maybe not many new people know about this particular cryptocurrency mining company, Canaan Creative is also one of the leaders when it comes to cryptocurrency mining. Even though the company itself hasn’t been dong well as of late, it is still punching above its weight when it comes to having superstar status. Reports have it that the recent IPO places it at a little over $ 2 billion.


Coinbase (about $8 Billion)

We all know Coinbase and its cryptocurrency exchange platform were one way or the other going to be on the list. With other products such as the recently introduced Coinbase Prime, Coinbase Custody and even Coinbase Commerce, Coinbase is indeed on a curve to grow exponentially. So much so that the cryptocurrency exchange put its valuation at $8 billion last year after finishing its series E round of financing.


BitMEX (around $3 Billion)

With an innovative cryptocurrency trading platform that offers more than the usual trading of cryptocurrencies ( futures and perpetual contracts as well), BitMEX enables traders to use the necessary leverage to enhance the potential for profit as well. Reports indicate that BitMEX is worth $3.6 billion from last year although other reports contradict this and put the valuation at around $1 billion.


Robinhood (about $7 Billion)

Robinhood has created a more centrist appeal than many other cryptocurrency trading platforms. This has led to its massive success as its main focus are the millennials. Robinhood took off in the beginning as a fee-free stock trading platform. Its valuation at around $7 billion was reported earlier this year and this, of course, makes it be a force to be reckoned within the industry.


Block.One (around $3 Billion)

Block.One has been one of those organizations that have scaled through all the odds when it comes to corporate-startup challenges. Being a contender for the throne of king of Decentralized Applications, Block.One it has been reported has a valuation of about $3 billion with a significant majority of its holdings in fiat assets surprisingly for a company that rules its share of the crypto space.


Kraken (about $4 Billion)

Kraken is one of the premier cryptocurrency exchanges. This goes without saying that the recent acquisition of a futures trading platform and the closing of its last funding round to the tune of $13 million had quite a bit to do with its recent $ 4 billion valuation. It has, of course, raised the bar for the cryptocurrency trading platform whose future had reportedly been in the doldrums prior to the acquisition and new funding round.


Is It All about Money?

While the performance of the companies is as important as the reason that they were set up or are operational in the first place, the basic reason for the consideration of the most valued companies in terms of valuation is to gauge the health of 
the corporate actors currently on the big stage within the crypto space. 

This also indicates the direction that the sphere is going in; the direction of greater adoption and inclusion in normal day-to-day events. One thing is certain from the above: a new industry has been born and those who can catch the “crypto-fire” may one day be also among these above-listed companies as many others are in fierce pursuit of being unicorns themselves.





source https://www.coinspeaker.com/most-valuable-crypto-space/
by Christopher Hamman 

With the year rapidly coming to a close, some people have already started preparing their tax returns.

Even though we’re still far away from any tax deadlines in some jurisdictions, I’m of the opinion that you’re better safe than sorry.

As such, I thought it would be a good time to discuss what cryptocurrency tax software is available on the market.
In this article, I will cover three pieces of accounting and tax software that can assist you with your crypto tax endeavours.

This list is not exhaustive, and there are of course a number of choices out there. You should always do your own research and choose the option that is best suited to your needs.


CryptoTrader.tax

CryptoTrader.tax helps cryptocurrency traders calculate their capital gains/loss exposure in minutes. The simple interface makes it easy to import your trades and make sure that you’re not overpaying on your taxes.

The CryptoTrader.Tax platform focuses on the US market and currently supports over 20 direct connections to exchanges like Coinbase, Bittrex, Gemini, Binance, and Poloniex.

Users can also upload their trading data using CryptoTrader’s generic exchange template. After importing your trades, CryptoTrader will calculate your tax liability using a similar method to accountants across the industry.

Once the tax exposure has been calculated, users are provided easily exportable tax documents for filing, including IRS forms and a cryptocurrency income statement.

In addition, CryptoTrader creates an audit trail that details every single calculation used in your tax filing to work out your net cost basis and proceeds.


CoinTracker

CoinTracker is a hybrid crypto asset tracker and tax reporting platform. The platform automatically syncs your asset balances and transactions from your exchange accounts or local wallets, providing up-to-date information about all of your cryptocurrency activities.

The interface displays a visualisation of all of the digital assets you own and the associated trading history.

Additionally, CoinTracker also provides a performance tracker, which gives you a clear picture of your crypto investment performance over time. CoinTracker works well with the US market as it also provides exportable IRS forms.

To date, CoinTracker has been a top performer in the crypto tax software market. It has over 100,000 wallets and exchanges connected and tracks over $10 billion in transaction volume.

Blox.io



While researching this article, Blox.io was probably the software I enjoyed looking at the most. In terms of its user interface, something I personally value quite a lot (given the amount of work it requires), Blox was my favourite.

In addition to auto-tracking, financial tools, and a pretty neat dashboard, Blox includes features like an enterprise solution and a smart tool for the automated and accurate calculation of cryptocurrency profit and loss.

The list of clients using Blox is quite impressive and proves how serious the company is. Big names such as eToro, Polkadot, Ox, Ziliqa, and Nexo are all using Blox to calculate crypto taxes.

To conclude, I believe it’s important to start considering using specific cryptocurrency tax software if you’re managing large sums.

One of the most important aspects of trading and investing is to never miss tax day and to keep your books up to date.





source https://coinrivet.com/cryptocurrency-tax...available/
by Pedro Febrero

TokenData decided to analyze merger and acquisition (M&A) activity in the crypto industry, and it discovered over 350 deals worth over $4 billion in the last seven years.

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The cryptocurrency industry has been around for nearly 11 years now, but that doesn’t mean that it has fully developed as of yet. In fact, it will likely be years, even decades before that happens. For now, this industry is still in its infancy, but even so — important developments are already underway.

According to a recent report published by TokenData, there has been a significant rise in M&A (Mergers & Acquisitions) surrounding cryptocurrency-based firms. However, in the last decade, there has not been any official report regarding this type of activity, excluding news reports and maybe some high-level summaries. This is why TokenData decided to do its own analysis and report some curious findings.


TOKENDATA REPORT

After long and thorough research, the company came to a series of conclusions, starting with the fact that there were around 350 acquisitions regarding crypto and blockchain firms between 2013 and late 2019. The majority of them happened in 2018, with 162 deals in total, while there were only 4 deals in 2013.

Quote:
TokenData@TokenData

 · 22h


1/ New research from @TokenData:

A first-of-kind analysis of all M&A activity in the crypto industry since 2013.

TLDR: 350+ deals and $4B, exchanges are the most active acquirers, "Decentralized M&A" has yet to happen but protocol teams are active.https://research.tokendata.io/2019/11/24/barbarians-on-the-blockchain/ …

Crypto M&A: Barbarians on the Blockchain
A comprehensive review of 350+ M&A deals in the cryptocurrency industry.
research.tokendata.io

Quote:
TokenData@TokenData


2/ Deal Activity

M&A activity peaked in 2018 with more than 160 deals, and we estimate 90-100 deals for 2019. Digging into deal types, stakeholders and dynamics will paint a better picture of what's really going on.



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11:49 PM - Dec 2, 2019
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This year, the activity has once again dropped off, although it still includes between 90-100 deals, which makes it the second busiest year from 2013 until now.

TokenData also believes that the activity regarding M&A is as volatile as crypto prices, and it actually positively correlated with them. In total, the deal value of all activity between 2013 and late 2019 is estimated at around $4 billion, most of which ($2.8 billion) was recorded in 2018. The total for 2019 is significantly lower, sitting at $700 million.

Quote:
TokenData@TokenData

 · 22h


Replying to @TokenData
4/ Marquee Deals

There has been "only" one $100M+ transaction in 2019. Nonetheless 2019 has been filled with different deal types such as acquihires by Facebook for @Libra_ , consolidation plays by exchanges such as @coinbase  and the first token merger.

Quote:
TokenData@TokenData

5/ Deal Value

We estimate total deal value at $4 Billion since 2013, with $2.8B in 2018 and $700M in 2019. This might sound impressive, but it's small compared to the total network valuation of crypto networks (200B) and M&A in other tech sectors. It's still early...



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11:52 PM - Dec 2, 2019
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Clearly, these seem like significantly high numbers, although, as TokenData points out, the value of the crypto markets exceeds $200 billion, which dwarfs the volume of M&A.


EXCHANGES DID MOST OF THE ACQUIRING

While the volume seems significantly lower in 2019, TokenData points out that the reason might be that the different deal types have emerged, especially when it comes to Facebook’s activity regarding its Libra project, or consolidation plays by Coinbase and other crypto exchanges.

In fact, TokenData notes that exchanges are among the most active acquirers. This is hardly surprising, as trading continues to be one of the most popular activities in the crypto industry. That way, exchanges receive huge amounts of funds, which allows them to engage in acquisitions. Coinbase itself had over 16 deals up to this point.

Quote:
TokenData@TokenData

 · 22h


Replying to @TokenData and 2 others
6/ Financial vs Strategic M&A

2018 saw a rise in Financial M&A with investment vehicles acquiring crypto startups and reverse mergers. This opportunistic and sometimes obscure activity dropped in 2019, while Strategic M&A kept steady - a clear positive for the crypto industry.

Quote:
TokenData@TokenData


7/ The M&A "Barbarians"

Trading is crypto's first killer-app providing big exchanges with cash and networks to engage in acquisitions. Unsurprisingly, Coinbase (16 deals ) leads the pack and engages in all types of deals (industry consolidation, regulatory plays, talent).

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11:53 PM - Dec 2, 2019
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Of course, exchanges are not the only ones who have the means and the will to purchase crypto startups. A significant increase in similar activities was noticed among non-crypto companies, as well, especially by those that have high hopes for the future of the crypto sector. These firms did some acquiring of their own in order to increase their presence in the industry.

Facebook is the best example here, as the firm acquired two crypto startups — Servicefriend and Chainspace — both of which will contribute to Libra in some way.

Naturally, strategic M&A goes far beyond that, and exchanges have been known to acquire startups only to get access to certain products or jurisdictions. TokenData noted at least 15 deals in 2018 and 2019 that were made for the sole purpose of gaining regulatory licenses. The companies that acquired crypto startups do not try to hide this — they mentioned regulation as one of the most important aspects of their moves.

There were other reasons, as well, particularly when a company discovers a startup with exceptional talents or promising new technologies. These so-called ‘Tuck-Ins’ were particularly high in 2018 and 2019, with the activity in 2019 being only somewhat lower than last year.

One clear lack is noticeable when it comes to Decentralized M&A — there weren’t any in the last seven years. In fact, there were none of those, at all. Although many have been speculated regarding how those might look like, and for now — they remain the thing of the future.




source https://bitcoinist.com/crypto-merger-and...ince-2013/
by Ali Raza