Coinbase Hit With Lawsuit From Shareholder Alleging 2021 Stock Listing Was Based On Misinformation

Top US-based crypto exchange Coinbase is getting hit with a lawsuit alleging that the firm’s 2021 stock listing was based on misleading information. …

Coinbase Hit With Lawsuit From Shareholder Alleging 2021 Stock Listing Was Based On Misinformation

This suit is not so dissimilar to another brought against Ripple, creator of XRP, when a couple of XRP holders felt their returns were not what they should have been.

People need to understand the risks associates with investing and know the difference of investing early in new technologies that may or may not survive.

In a technologies infancy, there are likely to be wild price swings. Do your homework and only invest what you can afford to lose.

Best,

Rand

This post contains a repost from dailyhodl.com

BlackRock Partners with Coinbase

When the world’s largest asset management firm, BlackRock, partners with a leading cryptocurrency platform, we must begin to take notice of the emerging asset class. Read the Bloomberg article here. VanEck already has approximately $500M worth of digital assets under management in ETFs, but holding the actual digital asset may be where the real money is. The Blackrock and Coinbase partnership fuses just that; access to the actual tokens as well as custody through Coinbase Prime.

I would be remiss not to draw attention to Larry Fink’s previous stance on cryptocurrency can be listened to in this Bloomberg video. Mr. Fink was showing no signs of interest in digital assets, even though his firm, along with others, were building out digital asset trading platforms.

Ultimately the operational outcome of this move will allow BlackRock’s platform, Aladdin, to work with Coinbase Prime. Coinbase stock price suffered a substantial drop since going public on April 14, 2021. However, the partnership announcement with BlackRock has been nothing but good news for the titan cryptocurrency platform struggling recently due to tightening financial markets around the globe.

Best,

Rand

All opinions are my own and should not be considered investment advice. I am doing this to provide entertainment.

#crypto #xrp #xlm #algo #hbar #miota #qnt #xdc #iso20022 #cryptocurrency #money #futureofmoney #blackrock #coinbase

ISO 20022 and Crypto

Monumental changes are on the very near horizon in the Finserv sector. As early as August 2022 (next week), financial institutions will be able to opt-in to the ISO 20022 standard through the SWIFT community. By November 2022, the option will be generally available.

Let’s look at some of the details. ISO 20022 is the standard for electronic data interchange between financial institutions. It will be the standard messaging system for financial institutions around the globe to track and monitor payments. This means that the way money moves globally is changing. The SWIFT network is the standard method used to move money around the globe and has been the legacy system in use since the 1970s. Technology is now available and being deployed that will allow the exchanges payments messages to be transformed under the ISO 20022 standard. This change will produce efficiencies on a massive scale.

How does this relate to crypto? Currently, there are seven (7) ISO 20022 compliant cryptocurrencies. They are XLM, HBAR, MIOTA, XDC, XRP, ALGO, and QNT. These currencies represent different transaction systems, but have made their business use case compliant with the standard that is quickly becoming the way money moves around the globe.

Furthermore, both Ripple and Stellar are members of the ISO 20022 Standards Body. Each company has minted a native cryptocurrency that run on their digital ledger technology and they are XRP and XLM, respectively.

Cheers,

Rand

All opinions are my own and should not be considered investment advice. I am doing this to provide entertainment.

#crypto #xrp #xlm #algo #hbar #miota #qnt #xdc #iso20022 #cryptocurrency #money #futureofmoney

What is the SEC’s Motive?

Some digital assets have been given a pass, known in the crypto world as the “Ethereum free pass.” Other digital assets, XRP for instance, have had their entire market disrupted due to a lawsuit that the SEC brought against the “minting” company, Ripple.

Ripple minted a total supply of 100 billion XRP in a project they started over a decade ago. Jed McCaleb broke off from Ripple and started Stellar. Stellar produced the digital token known as XLM.

The comparability of XRP and XLM in terms of their functionality for providing real life solutions to real life problems is well known. They provide on demand liquidity for financial markets around the globe. That’s a big deal.

Why then, would the United States government file a lawsuit against one of these two companies alleging the sale of unregistered securities years after the sale of the the digital token began? We know that Ripple sought guidance from the SEC then, yet none was provided.

This lawsuit began with Jay Clayton, a President Trump appointee and continues to this day with Gary Gensler, a Biden appointee. This lawsuit is bigger than politics. It is about money. Global amounts of money.

– Rand

All opinions are my own and should not be considered investment advice. I am doing this to provide entertainment.

#sec #ripple #stellar #crypto #digitalasset #ethereum #bitcoin

How Fast is Money?

This will be a short one and really a question, at that. How fast is money? Why does that matter? What does it mean if it moves faster?

Money is an interesting idea. I think we can agree to that when we really stop and think about it. Over the centuries, it has taken on many forms: minted currencies, animal hides, jewelry, gold and silver, to good old “faith and credit.” It really boils down to a psychological acceptance of something that holds a value to receive something else in exchange.

That said, we believe in money. The United States has its dollar, the British kept their pound (says something about their feelings regarding the Euro), the Japanese have the Yen, and so on.

Money moves at a pace. Sometimes, longer than others. Likely for a reason that the average retail trader or average person doesn’t understand. It takes 3-5 business days for money to clear in a personal checking account. This is 2021 folks. We are purchasing tickets to fly Space X rockets and we have to wait 3-5 business days to get $100 in our checking account? I doubt the duration is the same for large institutions to move money from one to the other. Credit cards instantly record your spending, so why the delay in other applications? Money moves at different speeds.

Why does the speed of money movement matter? In the case of the retail end user, it matters the same as it does for the multi-national institution moving millions or billions of dollars. You want your money when you want it. The difference is, your $100 does not impact the economy the way $100 billion impacts the economy. We know that money can move at different speeds. It can post to your account instantly, but not clear immediately. It can be spent immediately at a store, or to pay a bill. It moves at different speeds when accounts are directly linked, you use a wire transfer, or deposit a paper check. Automation speeds up the movement of money. Digitalization facilitates faster than pen and paper.

If money moves faster, everything from your $100 check to a $100 billion transfer between banks, will effect global economies? If money, and I mean global money, in the realm of trillions in value can move and be utilized in seconds, rather than weeks, days, or even minutes, what kind of profound effect will that have? The United States has been issuing stimulus money over the course of the last year. (Disclosure: This is an exercise in the speed of moving money, not the politics of stimulus money.) We know that many people spend it as soon as it’s received. Reducing the time it takes to issue that money would effectively allow that money to be spent sooner, which in turn keeps money moving through the economy earlier than it did. This could be a game changer for a business that may close its doors if not enough customers came through their doors, or a mortgage payment was delayed because someone lost their job and was a month away from foreclosure.

All that said, if global money moved faster across all spectrums, what problems would that solve? How much does liquidity impact the different people, both linear and vertical in terms of value, across the financial spectrum? Does reducing the time it takes to move money from days or weeks to a matter of seconds mean something to you? I believe it does.

One such proponent of increasing liquidity is currently in a legal battle with the SEC. the outcome may be telling of which way finance is headed.

– Rand

All opinions are my own and should not be considered investment advice. I am doing this to provide entertainment.

Tweet = Control = Bitcoin Control?

Tweets from business leaders like Elon Musk reshape the landscape of assets like bitcoin in a matter of minutes. Be mindful, though. Elon is in the business of sustainable energy and mining bitcoin consumes massive amounts of energy.

Musk bought $1.5 billion worth of bitcoin only a short time before expressing that Tesla will no longer accept bitcoin for payment, pushing the price of bitcoin downward. If bitcoin mining operations in China were crippled by substantially lower the value of the cryptocurrency, it could pave the way for renewable energy companies like Tesla, controlled by Musk, to bring the operation to the United States.

Bitcoin miners need to have the asset at certain levels in order for the operation to be profitable, at least to break even. Each time bitcoin halves (May 2020), the value of the coin needs to appreciate in value for the operation to remain financially viable.

Gaining control in business sometimes requires making it no longer financially viable for a competitor to perform business operations. Digital assets is business, and big business at that. To give some perspective of where this decade old industry reaches today, we should include financial markets and institutions, energy, government regulators, consumers, and retail business across the globe. It is a world-wide part of the economy and to think it will not continue to progress is to be obtuse.

Musk, among other industry titans, have the opportunity to gain massive influence over the industry, and they know it. Post a “tweet” and sink the market? Effecting billions of dollars has never been so immediate. It also opens an opportunity to bring control of bitcoin mining operations to the United States amid a loosely defined regulatory period surrounding the cryptocurrency market.

Musk has a monumental opportunity to mine digital assets (those that require that activity) through renewable energy, rather than coal power currently deployed in other countries.

– Rand

All opinions are my own and should not be considered investment advice. I am doing this to provide entertainment.

#bitcoin #cryptocurrency #renewableenergy #elonmusk #bitcointweet #digitalasset

Will a Recession Catapult Digital Assets?

Digital assets may become the new safe haven when it comes to sheltering investments during economic downturns. We know that gold has always been classified as a good bet and that bitcoin is dubbed “digital gold.”

The digital asset bitcoin has been around since 2008, just after the onset of the last major recession. This has given it the benefit of coming out in front as the most popular asset in the class. However, it does not mean that it is the only asset in this space, or that it will remain the front runner.

There are many more digital assets that have sustainable business use cases, transforming the way that the world operates. Ethereum is one such digital asset that is recently threatening the status of bitcoin, especially when is comes to being sustainable.

In times of crisis, like that which we are all experiencing now, new systems take hold that reshape society’s idea of normal. The bigger the crisis, the bigger the change. When was the last time economies shut down entire sectors of the business community? The changes that erupt from this pandemic will be massive and it seems that digital assets may have a place in the aftermath. Just listen for the words “liquidity” and “crisis” from the mouths of nation’s leaders. There are options available in the digital asset sphere that can substantially help mitigate such instances.

– Rand

All opinions are my own and should not be considered investment advice. I am doing this to provide entertainment.

Surrounded by the Buzz of Bitcoin.

Bitcoin is the catch-all buzzword when it comes to most people talking about digital assets, and perhaps it deserves to be. It was the first one out of the gate to make huge headway in a new asset class. However, just as a copy is a copy and Xerox is a company that makes copy machines, though many people say, “make a Xerox,” we need to separate Bitcoin from being the all-encompassing digital asset.

Entry into this era of digital assets is a matter of timing, and that timing is left to you, the individual investor. My style of investing prefers to wait until investment vehicles, security, and regulatory actions are in place or close to becoming in place. It is a game of wait and see, hopefully having intelligently deduced what the final result will be that satisfies my objective.

I have been watching the regulatory environment, filed any crypto holdings or trades I had with my tax returns (because the IRS requires it), and heard from my bank that they “do not typically release funds to Coinbase.” Though they do eventually release the funds.

The average investor that wants to get in the digital asset market before the possible onslaught of major banking firms open the doors can look inside the United States.

For starters, Coinbase (San Francisco, CA), Uphold (Headquartered in Charleston, SC), Evercoin (Silicon Valley), and Bittrex (Seattle, WA) are US based firms that provide different investment vehicles and options for the digital asset investor.

Coinbase

A major digital currency exchange that allows for the deposit of $USD (fiat) from your bank account to a USD account within the Coinbase platform, or directly purchase Bitcoin (BTC), Bitcoin Cash (BCH), Ethereum (ETH), and Litecoin (LTC). The platform has been in the news recently as the Securities and Exchange Commission (SEC) and Wall Street have been gearing up for the digital asset revolution.

Uphold (Welcome to Uphold. The Internet of Money)

Feels more like a brick and mortar institution, in my opinion, for the digital currency space. To me, that is comforting. Here, you can buy and sell over 30 different assets that you can hold, exchange, or sell around the world. Currencies available for bank transfers include: US Dollar ($), Euro (€), British Pound (£), and Chinese Yuan (¥).
Uphold has also achieved the distinction of supplying a Cryptionary (like a dictionary) for users to facilitate an understanding of the language and buzzwords in the digital asset environment. This is an excellent tool and I suggest that you look at it to better familiarize yourself with the industry.

Evercoin

An exchange. Here, you can exchange currencies from one to another. For example, you want to exchange Litecoin from your Coinbase account to XRP that you hold in a digital or hard wallet, you can do it through Evercoin. Select the amount of one coin that you want to exchange for another and the application automatically sets the amount of the other coin you will receive. The exchange rate already includes all fees, so what you see is what you get. Very easy to use.

Bittrex

Has the look and feel of a professional trading platform and may be a bit scary for newcomers to the digital asset investment world. They are based in Seattle, WA and was founded by previous Microsoft security professionals. They host a massive number of cryptocurrencies with over 190 available.

Wallets: Hot and Cold

Hot wallets store your crypto on an internet enabled device. You also have the option of storing your assets directly on the exchange you are using, and should research the level of security, past breaches, and insurance coverage provided should a hack occur.
Cold wallets store your crypto offline. Currently, this is arguably the most secure way to store your digital assets. There are different manufactures of these devices and each device may NOT store the different digital assets that you are interested in purchasing. DO YOUR RESEARCH to learn which cold wallet will perform for your investment needs.

Examples:
Think of it like this:

HOT WALLET= connected to the internet (MultiBit, Armory (desktop wallets) MyCelium, CoPay (mobile wallets)
COLD WALLET= NOT connected to the internet (Trezor, Keepkey, Ledger Nano S)

All of the examples above; the exchanges, platforms, apps, and wallets have different user features, fees and account set up requirements. Be prepared to offer your personal identifying information in order the financial and banking regulatory rules be adhered to. These verifications vary from a copy of your driver’s license, to possibly more if you are a big investor. Do your own research and understand the risks associated, the assets you are interested in, and other details such as purchase and withdraw limits.

This post is meant to wrap your head around entering the digital asset investing world. There are many questions and regulations that need to be ironed out, and time will establish the system. My point is this; I believe that the digital asset is here to stay and where it took Amazon 20 years to reach its share price, the digital asset world will move more quickly. Technology and the digital world has become not only comfortable and familiar, but necessary. This is the next extension of the digital evolution.
I am not a financial advisor and you should perform your own research, due diligence, and obey tax and regulatory laws.

Best,

Rand

NOTE: As the domain name of this site suggests, the content my blog posts are opinion and not investment advice of any kind. Do your own research before making any decisions to invest (or not to invest). I am not a financial advisor. I am simply sharing information I gather from across the web, news, and media outlets and drawing my own possible conclusions.

2018 brought digital assets to those who paid attention. 2019 will bring it to the rest.

That’s right everyone. The dots for connecting digital assets with real world use cases are growing in number. It reminds me of when as a child, I would connect dots on paper to get a final picture. Sometimes the dots were so few that you could not really visualize what the image would be, but there were also those pictures with so many dots, you could immediately see what was going to present itself.

The picture has been adding dots and a perfect example is the DTCC partnering with a multitude of tech firms in the distributed ledger technology (DLT) and digital asset sphere.

Look around at the mainstream traction that digital assets have been gaining. Brad Garlinghouse, CEO of Ripple just had an interview on CNN explaining the way their native cryptocurrency XRP functions in the banking world. Watch the interview here.

It is highly likely that the digital asset world will shed many of the participants in the coming months as regulators begin determining how best to allow these technologies to function parallel to the existing currency frameworks of global economies.

France, along with other governments, fear the affect of projects such as Facebook’s Libra. Ultimately, national governments are concerned of the threat to their monetary sovereignty with the creation of digital currencies that are designed to compete with, replace, or even coexist with the fiat of the nation. BBC has an article of interest to explain their stance on the Facebook Libra project.

Best,

Rand

Words and opinions are my own. This is for entertainment purposes and to share my own opinions. This is not financial advice.

#digitalasset #cryptocurrency #digitalfuture #ripple #monetarysovreignty #futureofmoney

The Noise can be Distracting

Just over ten years since the creation of Bitcoin, we have one of the most controversial presidents of modern times blasting the existence of Bitcoin publicly. Why would the president of the United States take time to cast opinion on something “based on thin air?”

One can only assume that cryptocurrency has been gaining traction behind the scenes and if the general public has just been brought into the loop from a political standpoint, you can be certain that the big players have already made substantial stakes and plans in the future of cryptocurrency. The confusion is being brought to the future retail investors and there is no better way to that than to politicize an effort.

Understand that the value of the US dollar is backed by the full faith and credit of the United States. It is no longer backed by physical gold. It is based on a form of psychological trust. This trust propels the economy and gets the honest person up in the morning to go out and make government backed money to support their living.

Honestly, it shows that if we really understood where the value of a dollar comes from, it should see magnificent swings in its value based on the majority party of any given election cycle, more so when a major change of party or leadership takes place.

Both the dollar and digital assets are based on trust in something. Albeit, one will not be hard pressed to find opposition of either asset class. Imagine the possibility of transferring trust from a politicized government backed currency to a system of checks and balances that resides on a global public ledger tracking all transactions without the ability to tamper. Take this notion even further and visualize a system of digital assets that improve and validate the flow of currency, real estate, contracts, goods and services globally in a regulatory framework that enhances transparency and accountability.

Let us see what October brings with various digital asset opportunities.

Best,

Rand

Words and opinions are my own. This is for entertainment purposes and to share my own opinions. This is not financial advice.

#digitalasset #cryptocurrency #digitalfuture