Month: November 2018

Blockchain/Crypto Paradoxes

Source: BankUnderground, Nov 2018
<read source for details>

Existing private cryptocurrencies do not seriously threaten traditional monies because they are afflicted by multiple internal contradictions. They are hard to scale, are expensive to store, cumbersome to maintain, tricky for holders to liquidate, almost worthless in theory, and boxed in by their anonymity. And if newer cryptocurrencies ever emerge to solve these problems, that’s additional downside news for the value of existing ones.

  1. The congestion paradox
  2. The storage paradox
  3. The mining paradox
  4. The concentration paradox
  5. The valuation paradox
  6. The anonymity paradox
  7. The innovation paradox
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SEC (US) Enforces Against 2 ICOs

Source: TheBlockCrypto.com, Nov 2018

<official SEC announcement: LINK>

  • Cease-and-desist orders were entered under the Securities Act of 1933 against Paragon and CarrierEQ Inc. (Airfox)
  • The SEC has developed or appears to be developing a template for ICO enforcement
  • The SEC made it clear that tokens that fit within the Howey Test rubric are actually securities
  • It appears that the volume of enforcement actions by the SEC is set to increase

Source: “https://twitter.com/stephendpalley/status/1063457944757592064&#8221;