Bitcoin and cryptocurrency news round-up: 10 January 2018
What you need to know
China wants to stamp down on local bitcoin mining, Ethereum's strong 2018 continues, and Telegram's ICO whitepaper has leaked.
1. Kodak's stock price has more than doubled after announcing Kodakcoin
Photography and film company Eastman Kodak announced this morning it would be launching “a photocentric cryptocurrency to empower photographers and agencies to take greater control in image rights management”. This has resulted in the company's shares skyrocketing up over 120%.
Currently, photographers face big problems monetising their content, and Kodak is hoping that blockchain and distributed ledger technology can help with that. The idea that some form of blockchain tech can be embedded into digital content to curb illegal copying is the holy grail for media and content companies who face major piracy problems.
2. Telegram's token will be called TON
Telegram's ICO whitepaper has leaked, revealing more information about what could potentially be the largest ever ICO.
The company highlights the limits of the likes of Ethereum and bitcoin as payment facilitators, citing slow transaction times on both networks, limiting their viability to compete with Visa and Mastercard.
Telegram will be launching its own TON blockchain, which will also have 292 side chains. The blockchain will be Proof of Stake (PoS) based, will offer an "infinite sharding paradigm" to allow different side chains to split and merge to help with scaling, and will support millions of transactions per second.
3. South Korea's date for banning anonymous trading will allegedly be 20 January
According to South Korean news agency Yonhap, anonymous trading will be banned in the country from 20 January. The Korean government announced last week that it would be regulating the cryptocurrency industry more tightly, with one of those changes being banning anonymous trading on local exchanges. There's also currently a ban on issuing new Korean based trading accounts by the exchanges and any exchange who continues to issue accounts could potentially be shut down.
4. Ethereum's 2018 run continues
After being hit with a big slump through Christmas time and December, Ethereum has rallied throughout the start of 2018, hitting all time highs on price and market cap. It has also firmly re-established itself again as the second largest crypto by market cap at US$126 billion, ahead of Ripple's US$81 billion. The surge in the last week followed a fourth-quarter report showing that transactions across the Ethereum network have more than doubled.
5. China is trying to stop bitcoin mining
China has ordered its internet finance regulator to "guide" cryptocurrency miners to make an orderly exit from the business. This has come after earlier reports that China was limiting electricity supply to bitcoin miners.
Most of the world's bitcoin mining is based in China and Asia due to the cheap electricity provided by hydroelectric power plants. If China did shut down mining operations in the country it could hurt bitcoin massively.
Newer cryptocurrencies are moving towards a Proof of Stake platform which will eliminate the need for mining. Existing currencies that currently mine, such as Ethereum, are also exploring a move to Proof of Stake to remove the reliance on miners, too.
- Cryptocurrency crash: Here’s why the markets are plummeting
- Independent Reserve has a new KPMG cryptocurrency tax estimator
- IMF director: Central banks should consider issuing digital currencies
- Australia sees the savings in a “smart money” cryptocurrency test
- Marshall Islands national cryptocurrency is a go