ICON, a protocol of interconnected networks aggregating blockchain data into one layer, today announced the launch of a brand new blockchain project coming to ICON.
This new blockchain, designated ICE, will bring about a new application hub for the ICON ecosystem. Upon completion, ICE will provide developers better tooling, EVM and eWASM compatibility, and immediate access to the growing ETH and Polkadot ecosystems.
“ICE also represents a shift in the direction of the ICON project by separating functionality, product targeting, and the purpose of each of these respective networks. ICE will become the application hub of the ecosystem while we double down on our efforts to make ICON the leading cross-chain and interoperability protocol in the industry. With ICON, users will be able to wrap assets, natively swap assets using each respective network’s underlying security, query data between networks, and more. Our goals will be to push these boundaries through continued research and development of Blockchain Transmission Protocol (BTP) and focused integrations driving its adoption. ICON isn’t a competitor, it is an enabler. It’s agnostic, and as crypto grows, ICON does as well.” – The ICON Team
Overview
In partnership with Parastate, a Substrate-focused development team specializing in building complex virtual machine pallets, the ICON Network will achieve both EVM and eWASM compatibility through a customized and novel Substrate based side-chain.
While others have used the Substrate SDK to build an app or feature-specific parachain for Polkadot; ICON is the first team to use the Substrate SDK to extend the feature-set of an existing layer-1 blockchain.
The main purpose of this new blockchain is the addition of EVM compatibility to the ICON ecosystem.
EVM compatibility enables developers to iterate and innovate much faster using existing tooling and code from the Ethereum ecosystem. It also allows for increased growth prospects of ICON given easier portability of apps. On ICE, ICON is also adding eWASM support; preparing ICON for ETH 2.0 compatibility.
In addition to Parastate, there are numerous other teams working on ICE, with the goal of growing the developer base, leading integrations, and driving activity.
Breakdown: ICON ecosystem
The ICON Ecosystem will now be split between two networks with differing goals:
First, the ICE blockchain will be focused on the app layer; as it is much easier for existing blockchain developers to leverage the tools and codebase of EVM compatible networks. Additionally, applications will be able to port over their services quickly to take advantage of ICON’s dedicated user base.
Second, the current network will continue to optimize for ICON’s Blockchain Transmission Protocol (BTP) and begin focusing specifically on interoperability plus low-latency cross-chain apps. The core focus will become increasing integrations of other networks and driving volumes through BTP.
Impact on ICX token holders
The ICE blockchain’s native token, ICE, will be airdropped 1:1 to all ICX holders. All ICX holders at the time of the snapshot will receive ICE tokens equivalent to the amount of ICX they hold.
Through the use of ICON’s BTP, ICX will be the governance token of the ICE network. ICX will be used to vote for validators, similar to how it is used for (P-Reps) on the current network.
ICX holders will transfer ICX to the ICE network via BTP, stake their ICX, vote for validators, and earn ICE tokens as rewards. While ICX will be the governance token, ICE will be the gas token of the ICE blockchain.
Additionally, this provides an early use case for BTP. The ICON Network will earn fees as users send ICE and ICX between the ICE Network and the ICON Network; creating further economic ties to the ICX token. All fees earned from BTP transactions are sent to ICON’s Contribution Proposal System or burned.
The architecture of the ICE blockchain
The ICE blockchain will start as a Proof of Authority network, with trusted validators operating the chain.
After the network is stabilized, it will migrate to NPoS, the consensus mechanism commonly used by other Substrate SDK networks. NPoS is a variation of DPoS (ICON Network’s current consensus mechanism), where token holders vote for validators to produce blocks and govern the network.
Smart contracts on the ICE Network will be written in Solidity, Rust, and C++. Fees for smart contract interactions, smart contract deployments, and token transfers will be paid in ICE tokens. 20% of the transaction fees of the network go to Parastate as part of utilizing their technology.
The initial supply of ICE tokens will be 25% higher than the supply of ICX, with this extra 25% being set aside to incentivize future core contributors to the ICE blockchain. It will be inflationary to incentivize voting and block production similar to the ICON Network.
Inflation rates and more detailed economics will be provided by the ICON team after more research into the Substrate SDK. However, ICON says it will target a 5% or 6% maximum inflation rate at launch.
Timeline
Right now, the plan is to have the ICE blockchain fully operational with BTP connections by Q4 of 2021. The initial proof of concept network will be live in Q3 2021, allowing DApp developers to begin building EVM and/or eWASM applications before full completion.
This weekly roundup of news from Mainland China, Taiwan, and Hong Kong attempts to curate the industry’s most important news, including influential projects, changes in the regulatory landscape, and enterprise blockchain integrations.
It has now been two months since the crypto crackdown and subsequent enforcement began. Most new stories are now just the trickling down of earlier national policies being enforced at a provincial level. The latest example was from the Anhui provincial government, as it announced a set of measures to reduce energy consumption, with cryptocurrency mining listed among the culprits. Anhui is a small province east of Shanghai, more known for its scenic rural landscape and agriculture than its contributions to the economic development of China. It’s likely other provinces, particularly ones that rely on coal for energy, will have similar announcements over the summer as the central government pushes for a carbon-neutral future.
On July 13, Chinese mining pool giant Bit Mining announced it had raised $50 million for expansion outside of China. The company is listed on Nasdaq and operates BTC.com, which is currently a top 5 pool for Bitcoin, Bitcoin Cash, and Litecoin. This is another sign that Chinese mining companies aren’t giving up in light of the restrictions at home, instead choosing to relocate the data centers and mining machines abroad.
The disappearing industry left a trail of impressive photographs, including some published by Financial media Caixin. One image that grabbed the attention of social media depicted a woman who appeared to be an ethnic minority holding a bundle of mining equipment and power cables like a flower bouquet.
Going for gold?
Former Bitmain CEO Jihan Wu believes that the mining regulations will benefit the industry over the long-term, citing an improved public image and eradication of bad actors. It’s certainly a nice thought, but at the moment, China seems more intent on eliminating all actors, not just the bad ones.
With the upcoming Winter Olympics in February of 2022 looming, Beijing will have the perfect opportunity to show off clear blue skies and clean-energy industries. On top of that, China can showcase its state-of-the-art central bank digital currency, without the confusion stemming from more speculative digital assets that might appear to have similarities on the surface. Those with first hand memories of the 2008 Summer Olympics may also remember the strict regulation against technology and social unrest prior to that landmark event.
Lowest volumes in years
The impact is being felt by leading exchanges in China. Huobi’s BTC/USDT pair saw only 109K BTC transacted in the past week, the lowest weekly volume dating back to October of 2018. Global exchanges were also affected by slumping volumes, but not to the degree as these predominately Chinese exchanges. In today’s regulatory climate, there’s no doubt that exchanges proactive in decentralizing operations and risk are better poised to minimize damage from unfavorable policies.
Working together for compliance?
On July 13, the Nanjing Public Security Research Institute announced it was working with OKLink to combat money laundering. OKLink is a blockchain technology firm that has ties to OK Group, a company that used to manage leading exchange OKex. With exchange leadership under incredible scrutiny in 2021, there is no surprise in seeing attempts to placate regulators.
Abandoning ship
On July 15, cryptocurrency media company Bishijie announced it was shutting down after violating national laws against cryptocurrency. Bishije, which translates to Coin World, had enjoyed a lot of popularity in 2018, prior to the depths of the last bear market cycle. This recent bull cycle never saw it fully recover it’s previous position however, making this only a minor loss for the current cryptocurrency space. It remains to be seen whether other media platforms based in the mainland can survive this trying period of time.
Starting today, Clover Finance (CLV) is available on Coinbase.com and in the Coinbase Android and iOS apps. Coinbase customers can now trade, send, receive, or store CLV in the United States, with the exception of New York State. Trading is also supported on Coinbase Pro. Please note that Coinbase only supports ERC-20 CLV running on the Ethereum blockchain.
Clover Finance (CLV) enables developers to bridge DeFi applications from Ethereum to Polkadot. The CLV token is used to pay for Clover transactions and to vote for network upgrades. Clover also aims to enable interoperability between Bitcoin and other blockchains. Note: Coinbase currently supports CLV running on Ethereum (ERC-20).
One of the most common requests we hear from customers is to be able to buy and sell more cryptocurrencies on Coinbase. We announced a process for listing assets, designed in part to accelerate the addition of more cryptocurrencies. We are also investing in new tools to help people understand and explore cryptocurrencies. We launched informational asset pages (see CLV), as well as a new section of the Coinbase website to answer common questions about crypto.
Customers can sign up for a Coinbase account here to buy, sell, convert, send, receive, or store CLV today.
Please note: Coinbase Ventures may be an investor in the crypto projects mentioned here, and additionally, Coinbase may hold such tokens on its balance sheet for operational purposes. A list of Coinbase Ventures investments is available at https://ventures.coinbase.com/. Coinbase intends to maintain its investment in these entities for the foreseeable future and maintains internal policies that address the timing of permissible disposition of any related digital assets, if applicable. All assets, regardless of whether Coinbase Ventures holds an investor or Coinbase holds for operational purposes, are subject to the same strict review guidelines and review process.
This website contains links to third-party websites or other content for information purposes only (“Third-Party Sites”). The Third-Party Sites are not under the control of Coinbase, Inc., and its affiliates (“Coinbase”), and Coinbase is not responsible for the content of any Third-Party Site, including without limitation any link contained in a Third-Party Site, or any changes or updates to a Third-Party Site. Coinbase is not responsible for webcasting or any other form of transmission received from any Third-Party Site. Coinbase is providing these links to you only as a convenience, and the inclusion of any link does not imply endorsement, approval or recommendation by Coinbase of the site or any association with its operators.
Crypto is a new type of asset. Besides potential day to day or hour to hour volatility, each crypto asset has unique features. Make sure you research and understand individual assets before you transact.
All images provided herein are by Coinbase.
Clover Finance (CLV) is now available on Coinbase was originally published in The Coinbase Blog on Medium, where people are continuing the conversation by highlighting and responding to this story.
Axelar, a decentralized interoperability network that connects blockchain ecosystems, apps, and users, has raised $25m in its Series A funding, led by Polychain Capital. The funding will go towards scaling the network’s key integrations and providing more engineering resources for the team’s rapid expansion.
In addition to Polychain Capital, notable investors in the funding round include Dragonfly Capital; Galaxy Digital; North Island Ventures; Robot Ventures; Collab+Currency; Cygni Capital; Lemniscap; Divergence Ventures; SCB 10X; Hypersphere; Zola Global Investors; Nima Capital; and GoldenCoin TS LLC.
Angel investors participating in this Series A include Do Kwon, co-founder of Terra; Happy Walters, co-founder and CEO of Catalyst Sports & Media; Waikit Lau, founder and CEO of RemoteHQ; and others.
Interoperability Protocol
The Axelar protocol is designed explicitly to frictionlessly connect all blockchain ecosystems that speak different languages. The protocol empowers developers to build on any blockchain platform and leverage cross-chain liquidity and composability via the Axelar Network.
Axelar Network is currently live in testnet, with a range of early adopters including the Polkadot, Terra, and Avalanche ecosystems. Polkadot users will be able to move digital assets from external chains to Moonbeam and use them in dApps; while Avalanche users and developers will be able to access assets on Bitcoin, Ethereum, and additional chains connected to Axelar’s network.
“We are delighted to have reached such an important funding milestone, which will allow us to work towards our goal in delivering complete industry-wide blockchain interoperability solutions, including further integrations with other networks. We are thankful for such a vote of confidence in Axelar by our investors and stakeholders; who have recognized the need for scalable cross-chain communication, and believe that Axelar is the one to deliver it.” – Sergey Gorbunov, Co-Founder & CEO of Axelar
Starting today, Mask Network (MASK) and Rally (RLY) are available on Coinbase.com and in the Coinbase Android and iOS apps. Coinbase customers can now trade, send, receive, or store MASK and RLY in most Coinbase-supported regions, with the exception of Singapore. MASK will not be available in New York State. Trading for these assets is also supported on Coinbase Pro.
Mask Network (MASK) enables users of popular social media platforms to send cryptocurrency, interact with decentralized applications, and share encrypted content. MASK token holders can vote on ecosystem initiatives via a decentralized autonomous organization called MaskDAO.
Rally (RLY) is an Ethereum token that powers the Rally network. Rally enables creators and online communities to launch their own cryptocurrencies. By creating these so-called “social tokens,” fans can gain access to benefits like unreleased content or merchandise, while creators can unlock new forms of revenue.
One of the most common requests we hear from customers is to be able to buy and sell more cryptocurrencies on Coinbase. We announced a process for listing assets, designed in part to accelerate the addition of more cryptocurrencies. We are also investing in new tools to help people understand and explore cryptocurrencies. We launched informational asset pages (see MASK and RLY), as well as a new section of the Coinbase website to answer common questions about crypto.
Customers can sign up for a Coinbase account here to buy, sell, convert, send, receive, or store MASK and RLY today.
Please note: Coinbase Ventures may be an investor in the crypto projects mentioned here, and additionally, Coinbase may hold such tokens on its balance sheet for operational purposes. A list of Coinbase Ventures investments is available at https://ventures.coinbase.com/. Coinbase intends to maintain its investment in these entities for the foreseeable future and maintains internal policies that address the timing of permissible disposition of any related digital assets, if applicable. All assets, regardless of whether Coinbase Ventures holds an investor or Coinbase holds for operational purposes, are subject to the same strict review guidelines and review process.
This website contains links to third-party websites or other content for information purposes only (“Third-Party Sites”). The Third-Party Sites are not under the control of Coinbase, Inc., and its affiliates (“Coinbase”), and Coinbase is not responsible for the content of any Third-Party Site, including without limitation any link contained in a Third-Party Site, or any changes or updates to a Third-Party Site. Coinbase is not responsible for webcasting or any other form of transmission received from any Third-Party Site. Coinbase is providing these links to you only as a convenience, and the inclusion of any link does not imply endorsement, approval or recommendation by Coinbase of the site or any association with its operators.
Crypto is a new type of asset. Besides potential day to day or hour to hour volatility, each crypto asset has unique features. Make sure you research and understand individual assets before you transact.
All images provided herein are by Coinbase.
Mask Network (MASK) and Rally (RLY) are now available on Coinbase was originally published in The Coinbase Blog on Medium, where people are continuing the conversation by highlighting and responding to this story.
Starting Today, Thursday July 15, transfer CLV into your Coinbase Pro account ahead of trading. Support for CLV will only be available in the United States with the exception of New York residents. Trading will begin later today, Thursday July 15, if liquidity conditions are met. Please note that Coinbase only supports ERC-20 CLV running on the Ethereum blockchain.
One of the most common requests we receive from customers is to be able to trade more assets on our platform. Per the terms of our listing process, we anticipate supporting more assets that meet our standards over time. Most recently we have added trading support for Mask Network (MASK), Rally (RLY), BarnBridge (BOND), Livepeer (LPT), Quant (QNT), Chiliz (CHZ) Keep Network (KEEP), Polkadot (DOT), Solana (SOL), Gitcoin (GTC), Enzyme Token (MLN), Amp (AMP), Dogecoin (DOGE), Internet Computer (ICP), Cartesi (CTSI), iExec (RLC), Mirror Protocol (MIR), Tellor (TRB), Tether (USDT), Ampleforth Governance Token (FORTH),1inch (1INCH), Enjin Coin (ENJ), NKN (NKN), Origin Token (OGN), Ankr (ANKR) Curve DAO Token (CRV), Storj (STORJ), Cardano (ADA) and SushiSwap (SUSHI)
Starting immediately, we will begin accepting inbound transfers of CLV to Coinbase Pro. Trading will begin later today, Thursday July 15, if liquidity conditions are met.
Once sufficient supply of CLV is established on the platform, trading on our CLV-USD, CLV-EUR, CLV-GBP, CLV-USDT order books will launch in three phases, post-only, limit-only and full trading. If at any point one of the new order books does not meet our assessment for a healthy and orderly market, we may keep the book in one state for a longer period of time or suspend trading as per our Trading Rules.
We will publish tweets from our Coinbase Pro Twitter account as each order book moves through the phases.
Clover Finance (CLV) enables developers to bridge DeFi applications from Ethereum to Polkadot. The CLV token is used to pay for Clover transactions and to vote for network upgrades. Clover also aims to enable interoperability between Bitcoin and other blockchains. Note: Coinbase currently supports CLV running on Ethereum (ERC-20).
CLV is not yet available on Coinbase.com or via our Consumer mobile apps. We will make a separate announcement if and when this support is added.
You can sign up for a Coinbase Pro account here to start trading. For more information on trading CLV on Coinbase Pro, visit our support page.
### Please note: Coinbase Ventures may be an investor in the crypto projects mentioned here, and additionally, Coinbase may hold such tokens on its balance sheet for operational purposes. A list of Coinbase Ventures investments is available at https://ventures.coinbase.com/. Coinbase intends to maintain its investment in these entities for the foreseeable future and maintains internal policies that address the timing of permissible disposition of any related digital assets, if applicable. All assets, regardless of whether Coinbase Ventures holds an investor or Coinbase holds for operational purposes, are subject to the same strict review guidelines and review process. This website contains links to third-party websites or other content for information purposes only (“Third-Party Sites”). The Third-Party Sites are not under the control of Coinbase, Inc., and its affiliates (“Coinbase”), and Coinbase is not responsible for the content of any Third-Party Site, including without limitation any link contained in a Third-Party Site, or any changes or updates to a Third-Party Site. Coinbase is not responsible for webcasting or any other form of transmission received from any Third-Party Site. Coinbase is providing these links to you only as a convenience, and the inclusion of any link does not imply endorsement, approval or recommendation by Coinbase of the site or any association with its operators.
Crypto is a new type of asset. Besides potential day to day or hour to hour volatility, each crypto asset has unique features. Make sure you research and understand individual assets before you transact.
All images provided herein are by Coinbase.
Clover Finance (CLV) is launching on Coinbase Pro was originally published in The Coinbase Blog on Medium, where people are continuing the conversation by highlighting and responding to this story.
Bitcoin and other cryptocurrencies, such as Ethereum, are becoming more popular as an investment alternative. In early 2021, the price of bitcoin skyrocketed to all-time highs. Bitcoin is currently worth $33,225.90.
In 2020, Bitcoin and other cryptocurrencies outpaced the majority of traditional investments.
Bitcoin and other cryptocurrency investments are well-known for yielding huge profits at high risk. Almost every investor understands the volatility of cryptocurrency, whether they invest with personal assets or retirement funds. If you are going to dabble in crypto investing, you must be informed of your acceptable loss.
Should you include bitcoin in your 401(k)?
Begman of IRA Financial stated – “Just like stocks, Bitcoin can be purchased in an IRA or 401(k). However, from a practical standpoint, an employer-adopted 401(k) plan with employees will likely not allow for any alternative investment options because of ERISAfiduciary rules.”
Even so, people who want to add cryptocurrency to their 401(k) should think about a few things first.
According to Leanna Haakons, the Founder of Black Hawk Financial, the biggest benefit would be that people interested in crypto could invest pre-tax money, something they cannot do through a brokerage account at this time. This is something long-term investors will benefit from. However, some self-directed IRAs do offer bitcoin as an investment option.
In addition, Haakons added that because retirement plan providers cap crypto contributions at 5% of an account’s total value, it is a smart way to get engaged in crypto investing without risking too much of your money, as you might if you invested on your own and went all in.
Lyle D Solomon
Haakons added that the at-home investor who is not going to be monitoring the market every day is a better option. They should be given the exposure and the chance to make some of those big potential gains but restrict them to follow the guidelines.
Cryptocurrencies, like bitcoin, are extraordinarily volatile assets. A 401(k) or individual retirement plan should be made up of stable, low-cost investments you feel will grow in value over time. That means index funds are one of the best choices for most average investors.
With a few exceptions, you will not be able to take money out of your 401(k) until you are above the age of 59, at which point you will be subject to taxes and penalties.
So, according to Haakons, you need to think about your investment timeframe and priorities. Bitcoin’s value could skyrocket tomorrow, but it will not help you if you are decades away from retirement. If you are thinking of a short-term investment, a brokerage account with more buying and selling flexibility might be a better choice.
It is also important to understand where you are investing your money. Dan Kemp, Chief Investment Officer of Morningstar Investment Management, recently cautioned against buying bitcoin or any digital currency just because it is what your friends are talking about.
Understand the differences between crypto-assets and bitcoin, and why they are seen as superior long-term prospects by some investors. Also, keep in mind that there is always some hot new investment that promises to turn the average person into a millionaire quickly. But, practically, things are not always so easy.
According to Haakons, investing in safe bets like index funds, and committing only 5% of your portfolio to bitcoin wagers are not always a bad idea. It all boils down to how much you are willing to take a chance. You should only invest money you can afford to lose in something unproven like bitcoin or other cryptocurrencies.
Haakons commented that it will not be a massive risk if you keep it to the maximum of 5% of your retirement savings unless you have a lot of money in there. You will still have a strong foundation thanks to mutual funds and exchange-traded funds (ETFs). an investment that promises to turn the regular individual into a millionaire quickly. But, practically, things are not so easy after all.
How Much Is It Worth to Invest in Bitcoin IRAs?
The Internal Revenue Service (IRS) does not have a cryptocurrency-specific account. As a result, when investors talk about ‘Bitcoin IRA’, they’re referring to an IRA that contains bitcoin or other digital currency within its holdings.
A self-directed IRA is sometimes known as a Bitcoin IRA. Self-directed individual retirement accounts (SDIRAs) allow you to invest in assets such as real estate, precious metals and cryptocurrency that are not allowed in traditional IRAs.
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Investing in Bitcoin for retirement may increase your investment returns and diversify your portfolio, but it also adds a significant amount of risk to your retirement portfolio. If you are self-employed or operate a small business, SEP and Simple IRAs, as well as solo 401(k)s, offer significantly larger contribution limits.
Additionally, you can transfer money from a traditional IRA to a self-directed IRA. The IRS has treated bitcoin and other cryptocurrencies in retirement plans as property since 2014, which means coins are taxed similarly to equities and bonds.
According to the Retirement Industry Trust Association (RITA), between 2 and 5% of all IRAs are currently invested in alternative assets.
You will need to keep three things in mind:
Your IRA is held by a custodian, who handles its safekeeping as well as ensuring that your account complies with IRS and government rules. With traditional IRAs, banks and other financial entities often fulfil this function.
Your cryptocurrency trades are managed by an exchange. A crypto exchange (sometimes referred to as a DCE or digital currency exchange) is equivalent to a stock exchange. It is a marketplace for digital currencies, and it is where you will get your Bitcoin, Ethereum, or any cryptocurrency.
Your cryptocurrency is safe with a secure storage solution. Most Bitcoin IRA providers feature patented secure storage mechanisms to help protect your digital assets from theft after you buy them.
A custodian is required for IRA participants who want to include digital tokens in their retirement funds. Many investors have discovered that finding a custodian who accepts bitcoin in an IRA might be difficult. Custodians and other companies that let investors include bitcoin in their IRAs have grown in popularity recently.
Self-directed IRAs (SDIRAs) are increasingly allowing for alternative assets like cryptocurrencies, which is beneficial for consumers who want to include bitcoin in their IRAs. Some of the early leaders in this area are companies like BitIRA, Equity Trust, and Bitcoin IRA.
Let’s analyze the pros and cons of Bitcoin IRA:
Pros:
Tax benefits – Tracking trades and calculating taxes owed is the single biggest problem for Bitcoin investors. Because you owe taxes every time you sell cryptocurrencies for a profit, keeping track of multiple purchase prices and gains can be an accounting problem. Investing in a tax-advantaged account, such as a regular or Roth IRA, relieves this burden because it does not tax you on anything as long as the funds and assets remain in the account. Furthermore, you will benefit from the compounding growth of value that you will not lose due to taxes.
High-return potential – Bitcoin is extremely volatile, yet with volatility comes the potential for massive gains. For example, the value of Bitcoin was at $5,200 on March 15, 2020, and completed the year at $30,000, while Ethereum, the second most popular cryptocurrency, increased by almost 400% in 2020. Bitcoin’s massive potential is definitely worth the risk, especially if you are only investing a small portion of your IRA’s total value.
Diversification – Cryptocurrency is an asset class that is different from stocks and bonds, which are the most commonly held assets in retirement accounts in the United States. Even while crypto is risky in its own way, this could help secure your retirement funds.
Cons:
Volatility – The price of Bitcoin has fluctuated from close to $20,000 in December 2017 to as low as $3,400 in December 2018. Such volatility poses significant danger to an IRA, particularly for those nearing retirement.
Fees – Unlike traditional IRAs, self-directed IRAs usually have a higher charge structure. Make sure you understand all the charges associated with investing in cryptocurrency for retirement, from setup fees to trading and account administration fees.
Exchange restrictions – Some Bitcoin IRA providers will only let you trade on affiliated currency exchanges. Others provide you with the option of selecting your favorite exchange. If you want to invest with a certain crypto exchange, make sure your Bitcoin IRA provider enables it.
Complexity – When you invest in a Bitcoin IRA, you will almost certainly need to maintain at least one additional retirement account in addition to dealing with the moving parts of custodians, exchanges and secure storage. This is because Bitcoin IRAs are not set up to allow traditional assets like equities, bonds and mutual funds. This can make retirement planning even more difficult.
Final Takeaway – Should You Include Bitcoin in Your Retirement Portfolio?
Diversification is an important factor. Bitcoin is a very volatile investment, but some industry professionals believe it is an excellent one to have in your portfolio.
Before including it, though, you must be aware of the risk. Consult your financial advisor about the percentage of your portfolio that you should allocate to Bitcoin.
Bitcoin’s price decreased by about 85% between December 2017 and December 2018. However, it has increased tenfold since that low point, showing that volatility cuts both ways.
The higher the volatility of an investment, the higher the losses, but it also increases the potential gains. Whatever amount you invest, make sure you do your homework by understanding not only digital currencies but also the blockchain technology that powers them.
If you decide to invest in Bitcoin, be sure you are in it for the long haul and that you know you could lose all of your money. This is what experts refer to as an ‘acceptable loss’.
You do not have to buy coins directly because there are crypto-focused mutual funds. You should not invest in these types of assets if you do not understand how premiums and discounts work. Also, keep in mind the tax implications for this form of investment in the funds where you put it.
Given the volatility of cryptocurrencies, it is probably not the best idea for individuals closer to retirement to incorporate Bitcoin in their portfolio. On the other hand, those with a longer time frame and a higher risk tolerance may find that investing a modest portion of their retirement savings in alternative assets, such as Bitcoin or other cryptos, might provide an upside and protect them from losses in their traditional holdings.
Make sure you understand the fees structure before investing. Lastly, and perhaps most significantly, consider using Bitcoin and other cryptocurrencies as a minor portion of your total retirement plan, rather than the entire strategy.
Lyle Solomon serves as a principal attorney for the Oak View Law Group in Los Altos, California.
While the crypto market has been bleeding out, Axie Infinity (AXS) records a 112% rally over the past week and a 14.7% profit in the daily chart. Bears are in disbelief, as this Non-Fungible Token (NFT) based platform continue to gain popularity, users, and moving to the upside.
AXS with small profits in the daily chart. Source: AXSUSDT Tradingview
As NewsBTC previously reported, Axie Infinity was inspired by Pokemon and allows its users to capture, breed, train, and battle with pet creatures called Axies to receive rewards. These creatures are tokenized on the platform in the form of NFTs and can traded with other players on a marketplace.
One of Axie Infinity’s most important features is that it allows players to turn their in-game assets into Ethereum (ETH). Thus, they can be taken out of the platform and turn into real word assets. This could give a new boost to what some are referring to as the “Gig Economy”.
This game rewards players for their time and effort, as an official post claims, with a 100% community own “real money economy”. The team behind this platform is focus on growing this ecosystem and the game’s inner world.
Amy Wu, a partner at venture capital firm Lightspeed, believes Axie Infinity Play-to-Earn (P2E) model is the next step for “Guilds”, a core component of Massively Multiplayer Online Games (MMO).
If a player is part of a guild, they can earn reputation within a community. Now, NFT-based games could become something more, entities that can add value for their members and to a real economy:
P2E has created the 2.0 Guild, revenue-generating organizations that buy, breed, lease assets, and provide employment, in addition to community. They can solve the cold start challenge for new NFT games, and also become dominant net new asset buyers (Eg Axies).
Axie Infinity And The Transformation Of The Gig Economy
Players make a choice when they decide to spend their time on a certain game. So far, that choice has been limited to which game to dedicate time. Wu argues that in the future, the fundamentals of that decision will change to the point where players will decide to work for a company or play for a fix income.
There are tens / hundreds of millions of people who would play a game for 6 hrs / day and make $500 / mo. And before, many did in the grey market, farming gold and other activities. The P2E economy has legitimized and operationalized this gig economy.
At the start of July 2021, Axie was generating more revenue than some of the biggest protocols in the DeFi sector, such as Synthetix, MakerDAO, Curve, and other, combined, according to data shared by his co-founder Jeffrey “Jihoz” Zirlin.
Source: Token Terminal
Most of the revenue generated by this platform comes from breeding fees, and the 4.25% of the trading volume generated by their marketplace. A portion of the revenues goes to the community to be managed with a decentralized governance model.
In the future, they will have a saying in the changes to be implemented to Axie to make its model more sustainable. Jihoz said that in the long term, the platform must migrate to rely more on advertising fees and sponsorships, nonprofits organizations, and UBI experiments.
Additional data provided by Axie Infinity claims that 50% of their players are in the platform for the social aspect rather the economic benefits. However, many questioned the sustainability of their model and doubt their rally will prolonged.
Starting Today, Wednesday July 14, transfer MASK & RLY into your Coinbase Pro account ahead of trading. Support for MASK & RLY will generally be available in Coinbase’s supported jurisdictions with the exception of Singapore. MASK will not be available to New York residents.Trading will begin on or after 8AM Pacific Time (PT) Thursday July 15, if liquidity conditions are met.
One of the most common requests we receive from customers is to be able to trade more assets on our platform. Per the terms of our listing process, we anticipate supporting more assets that meet our standards over time. Most recently we have added trading support for BarnBridge (BOND), Livepeer (LPT), Quant (QNT), Chiliz (CHZ) Keep Network (KEEP), Polkadot (DOT), Solana (SOL), Gitcoin (GTC), Enzyme Token (MLN), Amp (AMP), Dogecoin (DOGE), Internet Computer (ICP), Cartesi (CTSI), iExec (RLC), Mirror Protocol (MIR), Tellor (TRB), Tether (USDT), Ampleforth Governance Token (FORTH),1inch (1INCH), Enjin Coin (ENJ), NKN (NKN), Origin Token (OGN), Ankr (ANKR) Curve DAO Token (CRV), Storj (STORJ), Cardano (ADA) and SushiSwap (SUSHI)
Starting immediately, we will begin accepting inbound transfers of MASK & RLY to Coinbase Pro. Trading will begin on or after 8am Pacific Time (PT) Thursday July 15, if liquidity conditions are met.
Once sufficient supply of MASK & RLY is established on the platform, trading on our MASK-USD, MASK-USDT, MASK-EUR, MASK-GBP, RLY-USD, RLY-EUR, RLY-GBP and RLY-USDT order books will launch in three phases, post-only, limit-only and full trading. If at any point one of the new order books does not meet our assessment for a healthy and orderly market, we may keep the book in one state for a longer period of time or suspend trading as per our Trading Rules.
We will publish tweets from our Coinbase Pro Twitter account as each order book moves through the phases.
Mask Network (MASK) enables users of popular social media platforms to send cryptocurrency, interact with decentralized applications, and share encrypted content. MASK token holders can vote on ecosystem initiatives via a decentralized autonomous organization called MaskDAO.
Rally (RLY) is an Ethereum token that powers the Rally network. Rally enables creators and online communities to launch their own cryptocurrencies. By creating these so-called “social tokens,” fans can gain access to benefits like unreleased content or merch, while creators can unlock new forms of revenue.
MASK & RLY are not yet available on Coinbase.com or via our Consumer mobile apps. We will make a separate announcement if and when this support is added.
You can sign up for a Coinbase Pro account here to start trading. For more information on trading MASK & RLYon Coinbase Pro, visit our support page.
### Please note: Coinbase Ventures may be an investor in the crypto projects mentioned here, and additionally, Coinbase may hold such tokens on its balance sheet for operational purposes. A list of Coinbase Ventures investments is available at https://ventures.coinbase.com/. Coinbase intends to maintain its investment in these entities for the foreseeable future and maintains internal policies that address the timing of permissible disposition of any related digital assets, if applicable. All assets, regardless of whether Coinbase Ventures holds an investor or Coinbase holds for operational purposes, are subject to the same strict review guidelines and review process. This website contains links to third-party websites or other content for information purposes only (“Third-Party Sites”). The Third-Party Sites are not under the control of Coinbase, Inc., and its affiliates (“Coinbase”), and Coinbase is not responsible for the content of any Third-Party Site, including without limitation any link contained in a Third-Party Site, or any changes or updates to a Third-Party Site. Coinbase is not responsible for webcasting or any other form of transmission received from any Third-Party Site. Coinbase is providing these links to you only as a convenience, and the inclusion of any link does not imply endorsement, approval or recommendation by Coinbase of the site or any association with its operators.
Crypto is a new type of asset. Besides potential day to day or hour to hour volatility, each crypto asset has unique features. Make sure you research and understand individual assets before you transact.
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Mask Network (MASK) and Rally (RLY) are launching on Coinbase Pro was originally published in The Coinbase Blog on Medium, where people are continuing the conversation by highlighting and responding to this story.
The long-awaited layer two scaling solutions upgrade for Uniswap has finally been spotted in the wild with the launch of version 3 on Optimistic Ethereum.
In a post on July 13, the world’s most popular decentralized exchange stated that it was pleased to finally announce the alpha launch of Uniswap v3 on the Optimistic Ethereum (OΞ) mainnet.
The alpha launch is a limited version of the full system which helps developers deploy the system gradually and address any issues that may arise. The blog post elaborated:
“Please treat this as an early alpha product. Optimistic Ethereum is a complex Layer 2 scaling solution still in need of rigorous battle testing.”
The DEX warned of potential downtime, and stated that withdrawals from OΞ to layer one will take seven days. It also stated that there are limited assets at launch, namely ETH, USDT, WBTC, DAI, and SNX, but more will be added in the coming days and weeks.
During the alpha period, the platform will support an initial throughput of 0.6 transactions per second. It added that this should equate to a transaction capacity roughly in line with layer one, but transactions on OΞ confirm instantly meaning there are no more pending or stuck swaps.
Uniswap explained that assuming v3 has equal usage to layer one, OΞ should offer transaction cost savings of up to ten times, however increased demand will drive gas costs higher. The transaction speeds will be increased over the coming weeks and months as the infrastructure is tested and optimized at scale.
Protocol founder Hayden Adams commented on the launch and high-speed transaction capabilities, adding:
“Building general purpose Optimistic Rollups is an extraordinary undertaking and a critical step for decentralized finance to gain mass adoption.”
1/
It’s happening
Instant transactions and a steady increase in scaling w/ the end goal of fully meeting demand for low cost, high speed DEX trading
All built on Ethereum and preserving decentralization https://t.co/SyVtUsswYW
Related:Will the launch of Uniswap v3 spark a new DeFi boom?
Initial users have been impressed, with Bankless founder David Hoffman exclaiming “It’s instantaneous and insanely cheap. 5 swaps in 30 seconds, and I wasn’t even trying to be fast.”
Uniswap said that the scaling solution is complementary to Ethereum 2.0:
“Scaling Ethereum will be an iterative process, but this is a major step forward. Optimistic Rollups and ETH 2.0 are complementary scaling solutions and together will propel DeFi to mainstream adoption.”
OΞ uses an optimistic rollup which changes the zero-knowledge consensus principle by assuming that all transaction verifications are correct. Users only intervene only if they see an incorrect transaction whereby they can submit a “fraud-proof” to signal that the data is incorrect.
DeFi platform Synthetix has also announced the launch of Optimistic Ethereum for its layer two exchange for the week beginning July 26. In late May, the Ethereum layer two scaling solutions provider announced a collaboration with blockchain analytics platform Etherscan.
