Overstock will be the first major firm to pay state taxes in Bitcoin

On Thursday, the internet merchant Overstock declared it would pay part of its Ohio state business tax using the famed digital money. The move comes following the country last fall introduced that a first-of-its-kind payment gateway known as OhioCrypto, which lets businesses remit taxes utilizing cryptocurrency.

In a meeting with Fortune, Ohio Treasurer Josh Mandel reported the Bitcoin tax group program is directed at providing advantage to companies, and branding the nation for a pioneer in the adoption of blockchain technology.

Mandel added that many taxpayers choose to utilize charge cards, which obliges them to pay a 2.5% service charge, but Bitcoin payments will incur a charge of just 1 percent –and none whatsoever for early filers such as Overstock.

Also Read: Chilean Treasury releases Blockchain Platform to process public payments

For the time being, the Ohio Bitcoin initiative covers just 23 kinds of company taxes that the state collects, such as those for gas and tobacco. And in the instance of Overstock, it’s electing to cover no more than the Commercial Activity Tax (CAT), which applies to companies with over $150,000 in receipts.

In 2020, Mandel states, Ohio can also expand the application to other sorts of taxes and also to individual tax filers. He added that he anticipates OhioCrypto will also offer you the choice to pay with a range of cryptocurrencies aside from Bitcoin.

Concerning amassing the Bitcoin, Ohio is for now not utilizing its cryptocurrency wallet but is relying upon Atlanta-based service supplier, BitPay, that will obtain the Bitcoin obligations and remit them into the country in U.S. bucks.

Mandel says that an Ohio car dealer was the primary company to cover in Bitcoin, but Overstock is the first firm with a nationwide presence which has declared it will do this.

CEO and creator Patrick M. Byrne in a declaration explained,

“We’ve long believed that considerate political adoption of emerging technologies for example cryptocurrencies (when accompanied by non-restrictive legislation on these technologies) is the perfect approach to guarantee the U.S. doesn’t lose our place in the forefront of their ever-advancing worldwide market,”

Also Read: Irish Govt approves Anti-Money laundering bill affecting cryptocurrency

Byrne is an outspoken cryptocurrency enthusiast, also Overstock has offered clients the choice to pay in Bitcoin. In 2017, the business also made it feasible to cover in heaps of different forms of electronic currencies.

While the amount of companies paying Ohio in Bitcoin is very likely to be modest initially, Mandel says that he thinks the program will increase in coming years, and expand into other nations. He added that he expects that the U.S. Treasury will follow Ohio’s case and permit folks to pay national taxation with cryptocurrency.

DMM.com to cease crypto mining business

Japanese amusement and e-commerce giant DMM.com is allegedly stopping the cryptocurrency mining organization, Bitcoin.com reported speaking to local media accounts.

DMM.com started its own crypto mining company back in October 2017. But, it currently plans to depart the company because of decreasing profitability. If reports are to be considered, the firm had made a decision to depart crypto mining company in September 2018.

“Deteriorating profitability is the principal reason,” DMM.com stated (Bitcoin.com quoted from Toyo Keizai).

It also added that,

“The withdrawal procedure like the sale of these machines will proceed around to the first half of 2019.”

The business stated that it had jeopardized safety issues of digital money mining enterprise. It said:

“I’d like customers to experience the outstanding mining website in their own lives. From such notion, DMM opened part of the [mining] farm into the general public, but that was canceled in early June. It’s as it’s judged that ensuring safety is not difficult. Overseas, theft of digital money mining machines was stable, and [there were efforts ] even in the DMM’s Kanazawa farm”

Also Read: New York Assemblyman declares creation of ‘First’ US Crypto Task Force

DMM.com is the operator of DMM Bitcoin — among those 16 controlled cryptocurrency markets in Japan. DMM founder Keishi Kameyama lately said that he intends to concentrate on the exchange company and blockchain moving ahead.

In addition, the company announced that it won’t launch its crypto trading program Cointap as intended, stating it is now hard for it to attract beginner crypto dealers in the aftermath of decreasing cryptocurrency prices along with the hack of Coincheck trade last January.

Last month, another Japanese company GMO Internet declared plans to stop the growth, manufacture, and sales of cryptocurrency mining machines. It stated that”the environment is competitive due to the diminished demand mainly because of the decrease in the cryptocurrency cost, the decrease in the sales cost, etc..”

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White Hat Hackers earned $878,000 from Crypto Bug Bounties in 2018 says report

Bitcoin might have been dubbed the “world’s most protected transaction settlement coating” by Anthony Pompliano, but the sector surrounding the protocol might not be too stable. Case in point, crypto startups have forked out over $878,000 in bounty to white hat hackers in 2018, especially for resolving bugs that slipped beneath the radar.

Crypto Startups Awarded $878,000 To “Goody Two Shoes” Hackers

The Next Internet’s Hard Fork pillar lately reported that within the duration of 2018, blockchain companies awarded $878,504 into goody too shoes hackers to get rectifying bugs. Block.one, the firm behind the crypto juggernaut at EOS, forked out up of 60 percent of the above sum. Considering the startup raked in an estimated $4 billion because of its EOS nominal offering, among the very recognizable cryptocurrencies of all time, it makes sense why Block.one awarded $534,500 to white hats.

Lately, Coinbase, the apparently unhackable $8 billion upstart, comes behind Block.one with $290,381 in paid bounties. However, HackerOne, the cybersecurity system that compiled the information, did not disclose how much of the amount was a consequence of 2018 bugs, as Coinbase supposedly started its disclosure application in 2014. Justin Sun-headed Tron, that recently surpassed lots of applicable landmarks, has found itself behind Coinbase, enabling white vases to score 76,200.

Nevertheless, these quintuple and sextuple amounts are border cases, as a HackerOne spokesperson told Difficult Fork that”the ordinary bounty [paid] to get blockchain businesses in 2018 was 1,490, that’s greater compared to Q4 platform typical of about $900.”

Also Read: Cryptocurrency Exchange Kraken enables Bitcoin Cash and XRP Margin Trading

Still Vulnerable

As many crypto jobs talk a big game, the most important thing is that numerous blockchains and cryptocurrency-friendly startups remain exposed. According to NewsBTC at early-August, Altex, a lesser-known crypto strength market, watched its ARQ stash becoming looted. The stage claimed it”missing a major amount,” especially because of bug that emanates out of the Monero codebase.

Two weeks after, Pigeoncoin (PGN) fell victim to an odd inflation insect, CVE-2018-17144, that enabled a lousy actor to whip up 235 million PGN in a day’s time. The bugged line of code comes in the Bitcoin protocol. The problem has been patched by Bitcoin Core (the applications ) developers, yet this event shocked consumers en-masse.

Ground-breaking bugs are not confined to the little cryptocurrencies. In July, SlowMist, a Chinese cybersecurity company, claimed an anonymous user was able to double spend 694 Tether(USDT). In accordance with SlowMist, a transactor managed to acquire credit for 694 USDT within a market without sending the money. Upon digging, it had been found that the problem was that the fault of the victimized exchange. Dacoinminister, a creator of the Omni Protocol, that Tether relies on, wrote:

“It seems that what occurred here is that a market was not checking the flag on trades. They accepted a trade with legitimate = false (they shouldn’t have), and the next”double pay” trade had legitimate = true, they also accepted”

Also Read: Samsung wants UK Trademark for Crypto Wallet

Irrespective of where this difficulty originated in, the three above instances just accentuate the fact that this sector remains nascent. So, this industry developers still have a ways to go until crypto is spick and span, and prepared for global consumption.

With Inputs from Aditya Worah, Writer at CryptoGround LLC

Vitalik Buterin hits Bitcoin SV and calls it a ‘Dumpster Fire’

In a succession of tweets, Vitalik Buterin, co-founder of Ethereum, created his disapproval of Bitcoin Cash’Satoshi’s Version’ (BSV) understood, calling the new hard fork of Bitcoin Cash (BCH) that a”pure dumpster fire” Buterin’s remarks were made in an internet Twitter discussion with cryptocurrency commentator and businessman Tuur Demeester on Christmas Day.

From the conversation, Buterin debated the merits and demerits of both Proof-of-Work (PoW) and also Proof-of-Stake (PoS), two calculations utilized by cryptocurrency programmers in building their resources. When piqued because of his view Bitcoin SV, Buterin tweeted:

“I have my discussions with the Bitcoin roadmap, PoW, etc., however they are attempting to do something that is really cool technician,” he respondedbefore calling BSV that a”pure dumpster fire”

Also Read: White Hat Hackers earned $878,000 from Crypto Bug Bounties in 2018 says report

Vitalik Buterin Doesn’t “Believe at Proof-of-Work”

Buterin also made his disdain for PoW understood at the conversation, at one point declaring that he no longer believes in the algorithm, however, he, nevertheless, remains optimistic about the type of technology that’s being developed. Regrettably, he does not share the identical opinion for Bitcoin SV, that claims to have been made in accord with the initial vision set by Bitcoin’s core programmers.

Bitcoin SV and Bitcoin ABC were equally forked from Bitcoin Cash (BCH) on November 15, 2018. BSV was designed with the objective of solving the mounting scalability problems of Bitcoin” on the series” by taking advantage of giant block dimensions. But ever since its beginning, it has continued to confront various technical and advertising difficulties.

It has not been all sunshine and rainbows to get Bitcoin SV. Another half of Bitcoin Cash’s hardfork has had its fair share of problems, especially with mainstream integration and adoption. At press time, it is trading for $85.13 using a entire market cap of $1.49 billion; the altcoin is not yet been recorded on popular crypto exchanges, such as Gemini and Coinbase.

Even though the tricky fork which generated BSV has been in charge of significant rifts between crypto investors, both it and Bitcoin Cash ABC continue to have a powerful support.

Buterin has named Craig S. Wright that a”fraud” into his face with an event.

Also Read: Cryptocurrency Exchange Kraken enables Bitcoin Cash and XRP Margin Trading

Before this month, Buterin made investments in three distinct startups, donating 1,000 ETH tokens per year into the startups, that are focusing on the evolution of Ethereum 2.0. The contributions were motivated by a conversation between Ethereum programmers who whined about the absence of funds for projects that may give rise to the ecosystem.

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Hacker steals 200BTC from Bitcoin Electrum Wallet

This is not the first time something like this has happened, but this sure is a huge amount!

An anonymous hacker (or even consortium of hackers) have stolen almost $1 million value of Bitcoin (BTC), reports tech media outlet ZDNet. Per the report, the Electrum Wallet, a favorite open-minded project based in mid-June 2011, has been broken at a “smart attack

The assault, that has since been supported by the staff behind the enterprise, supposedly consisted of a fictitious message appearing on consumers’ official Electrum-based software, which empowers users to go to a website.

In case the link given has been clicked, then it would lead sufferers into some seeming Electrum-branded GitHub repository, that comprised a malicious variant of Electrum which would steal customers’ Bitcoin holdings.

This particular attack allegedly started on December 21st but has been lately ended (perhaps only briefly ) from GitHub admins, who purged the malicious download documents. But how did the strike work?

Well, as clarified by ZDNet, the hacker supposedly added heaps of”malicious servers” into the Electrum system, so when a user plans to generate a trade, the hacker-backed server answers with an error message which asks users to see the fictitious GitHub. After downloading, the program would ask for users to enter 2FA code, which has been sent to the attacker, then subsequently allowing BTC to be snatched.

Also Read: Bitcoin Exchange Huobi announces Post-Christmas layoffs

Electrum admins have supposedly since disallowed the concept from being largely legible, therefore this moderate of assault is probably breathing its final breaths. Still, the simple fact of the matter is that ultimately, the hackers netted 200+ BTC, roughly valued at ~$740,000 in the time of composing. Other reports show that the assault garnered 250+ BTC to get hackers, but these amounts have not been verified.

Not The Initial Attack On Electrum

Interestingly, this is not the first time that the favorite wallet alternative was assaulted by bad actors. Earlier this season, in early-May, the Bleeping Computer reported the Electrum group had seen an undercover individual/group make a copycat of the flagship product, naming it”Electrum Pro”

The program, that closely resembled its bonafide counterpart, was subjected as a vector of attack which malicious people may exploit, stealing Bitcoin personal keys in the procedure.

At a post-mortem of the assault (of types ), that went for upwards of 2 weeks, it was clarified that there were several glaring red flags. Electrum Pro allegedly used Electrum’s logo and brand without consent, while also buying the rights to get the Electrum.com domain name, which was near-identical into the valid group’s .org domain.

Also Read: Hundreds of Crypto Projects depicts signs of plagiarism, fraud and unlikely returns

After evaluation, it was also shown that in Guru’s code, especially lines 223-248 of all electrumpro_keystore.py, a method has been incorporated that enabled attackers to upload customers’ keys for nefarious purposes. While the Electrum Professional strike has been dismantled, both above instances reveal the hackers are still poised to assault on the cryptosphere, despite a bear market.

Tipped by Rajeesh Nair, Tech Blogger from India

Blockchain will survive a Cryptocurrency Apocalypse

One year before, the concept that Bitcoin and cryptocurrencies were planning to change the entire world has become the consensus notion. Now, not too much.

The electronic money currently trades under $5,000. It is 77 percent off its high near $20,000 in January. Additional cryptos are falling, also.

There’s a catalyst. Individuals who follow electronic tokens attribute the hard disk of Bitcoin Cash. The bigger, namesake cryptocurrency is a branch of Bitcoin appropriate. But the past week, its programmers and miners couldn’t agree about the future of this electronic token. They decided to divide into two rival cryptos, Bitcoin ABC and Bitcoin Satoshi’s Vision (SV).

If this sounds to be an inherently bad idea, it’s. Bitcoin is an open source project. Programmers are free to replicate the foundation code and make cryptocurrencies at will. Plus they have. As of November 2018, you will find 2,502 cryptocurrencies, as per a record compiled at Investing.com. The cumulative market capitalization of those tokens is $142 billion, but it was considerably greater.

Also Read: As Bitcoin price drops, industry startups are forced to cut back

Forgive me. I am burying the lede. The issue with Bitcoin and cryptocurrency generally speaking isn’t working. It is that programmers shouldn’t have the ability to make money, whatsoever.

I started composing in January which cryptocurrencies were in which the net was at the dot-com age, also in February that the majority of these thousands of cryptos were led to zero. At the moment, it wasn’t a popular place. I prefaced my opinion two things every possible investor should know about”me too” digital coins: there’s not any use case worse, it is unlikely they could possibly represent a store of value.

Remember, many things can signify a store of value. Collectibles like artwork, baseball cards, and signed memorabilia immediately come to mind. Cryptocurrencies, at least the huge majority of these, will not be.

Bill Harris, a former chief executive officer in PayPal, made headlines in August when he composed at Recode:

“OK, I will say it Bitcoin is a scam.”

Harris asserts Bitcoin is a pump-and-dump strategy, in which promoters push the value of investments that are questionable with hype and constant advocacy. Since the cost surges and excitement is best, everything, leaving unsuspecting investors holding worthless securities.

Ironically, I’ve made this instance about so-called choice coins. Purchasing a First Coin Offering is similar to speculating in an extremely promoted junior gold mining firm where the possibility of locating real gold is nil. There’ll be cost volatility and a good deal of claims made. However, in the long run, the investment is useless. Plus it was always likely to be unworthy.

However, Harris is conflating Bitcoin with other coins. That’s a mistake, I think.

Pure digital money is a fantastic idea. It takes power away from the central power. The issue is oversupply. There are now too many coins and also many charlatans.

Also Read: Litecoin Foundation to sponsor UFC Title Fight in a bid to increase crypto adoption

This may pass. The Securities and Exchange Commission will round up the fraudsters. Their fake investment assumptions will cause a fantastic reckoning. Many ICOs goes to zero since they’ll be not able to pass the evaluation of valid government supervision.

That may leave Bitcoin as among the past digital coins status. When that happens, my guess is that it will finally be more precious than it is now. But, there’s loads of annoyance ahead as pump-and-dump approaches are found, and coins fall — souring the mood for each of their peers. The drama for stock investors is blockchain, Bitcoin’s cryptographic infrastructure.

In the end, this electronic ledger process will find its way to international supply chains and fiscal services since it removes middling trusted brokers for affirmation.

Blockchain will create legions of accountants, attorneys and back office employees redundant.

IDC, a worldwide data technology research company, sees blockchain as part of a bigger digital transformation. The change may be worth $7 billion by 2022.

Microsoft has been an early convert to the energy of blockchain. It started working with fiscal services start-ups in 2016. More lately, the Redmond, Wash., software giant has been touting the scalability of its Azure cloud computing platform to operate ledger systems. The business is working on a blockchain-as-a-service tool.

Shares trade at 20x forward earnings. The market capitalization has come down to $780 billion at the previous leg of the technology wreck. The stock could be a terrific pickup in the low $90s.

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SBI Holdings’ Vctrade beings accepting Bitcoin, Ethereum, Ripple Deposits

VcTrade, a crypto market lately established by Japanese fiscal giant SBI Holdings, has implemented Bitcoin (BTC), Ethereum (ETH) and Ripple (XRP) deposits. The business has shown this at a media release published Dec. 21.

The statement further notes the market — that was found in July — is contemplating incorporating Bitcoin Cash (BCH) deposits following additional evaluation of this cryptocurrency. SBI has also clarified that cryptocurrency withdrawals won’t be available until late January 2019, and will probably be restricted to some hardware pocket that the company identifies as”designated pocket”

The capability to just use one special pocket, according to the statement, is designed to “connect the speech concerning the client,” hence ensuring adequate execution of Anti-Money Laundering and Counter-Terrorist Financing steps on the market.

SBI Holdings, based on its site, has paid-in funds of more than 92 million yen ($828 million), and more than six million merged employees. According to an interim results statement, at the six months ended Sep. 30 of the year the firm enrolled over 176 million yen in earnings ($1.584 million).

Also Read: Increase in Blockchain revolution despite crypto crash

Since Cointelegraph reported in September, a subsidiary of SBI Holdings, the SBI Savings bank, has signed a memorandum of understanding with

Dayli Intelligence, a firm specialized in artificial intelligence and blockchain technology. The lender has made this move to reinforce its fintech enterprise.

In August, SBI Holdings additionally declared it was made a second investment from cryptocurrency market LastRoots.

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