Cardano and Nervos Research Initiative to Find Solutions to UXTO Security Issues

Cardano Foundation is partnering with the Nervos network in a joint research initiative to secure smart contracts, especially on a blockchain, using the Unspent Transaction Output (UTXOs) transaction model. The research efforts come in handy as Cardano aims to take over the decentralized finance (DeFi) ecosystem following the Goguen testnet.

Cardano, and Nervos, two public chains using the UXTO accounting method on their networks, announced a joint research partnership that will see them share proprietary information and write research papers on open-source accounting models, UXTO-based security, and develop a universal standard of accounting across blockchains.

This initiative is set to enhance and develop better security systems on UXTO-based blockchains to provide more efficient interactions with DeFi applications.

First conceptualized and adopted by Bitcoin (BTC), the UTXO accounting model has grown as the most secure across blockchains. A UTXO accounting model entails recording the number of coins remaining in a specific wallet after executing a transaction while monitoring every transaction continuously. This accounting model provides a more secure network than the account-based model, which is used by smart contract-based blockchains such as Ethereum (ETH) and ERC20 tokens, the statement further reads.

The account-based accounting model offers a less cumbersome network to store transactions as opposed to the UTXO module. Account-based accounting models only focus on the balance of the wallet account, ignoring the individual transactions within the address, opening up a loophole to steal funds while no one is monitoring the wallet. Kevin Wang, co-founder at Nervos said,

“UTXOs are superior to account models in many ways and provide improved security, privacy, and scalability, all of which are critical for DeFi.”

This makes the account-based model susceptible to hacks and external attacks, as seen repeatedly across the DeFi space in 2020. According to a CipherTrace report, the overall value of DeFi hacks in 2020 rose to nearly $100 million as hackers turned their eye to the ballooning space.

Cardano and Nervos are both lining up to nab DeFi projects from Ethereum – both taking a step forward in 2020 to strengthen their market position. Nervos Network announced a collaboration with Huobi exchange to develop blockchain framework testnets on DeFi applications in March this year. Additionally, the network also added Chainlink’s decentralized oracles to enhance smart contract development on the platform.

Cardano recently announced its first-ever DeFi project built on the platform, Bondly, lending and borrowing DeFi app, earlier this week. This followed the launch of “Project Catalyst,” a $250,000 fund aiming at incentivizing DeFi developers to build on Cardano.

Read Original/a>
Author: Lujan Odera

Revolut’s Partnership with Paxos Allows its US Users to Buy, Sell, & Hold BTC & ETH in 49 States

Revolut now allows its US users to trade cryptocurrencies by partnering with Paxos. This was made possible by New York-based Paxos getting a new brokerage service to let merchants offer crypto trading services.

Revolut US, the American division of the online bank, is the first client of Paxos. Paxos CEO Chad Cascarilla compared its new brokerage with a “plug-and-play” service that can be used by any company from payment firms to retailers to offer crypto to their customers with Paxos on the backend.

“It’s clear many firms want to offer crypto but are finding it’s difficult to build the regulatory and technological infrastructure to do that,” he told Fortune. “This allows anyone, no matter what type of firm they are, to do that.”

Paxos is a legal trust company, which means it retains all the assets it holds on its customers’ behalf, which allows it to deal with traditional financial firms that have to otherwise keep away from digital assets because of regulation or another risk.

Paxos currently offers a fiat-pegged stablecoin Paxos Standard and a crypto token backed by physical gold.

More Options for US Customers

Just a few months back, in late March 2020, Revolut launched its app and service in the US. Its partnership with the Metropolitan Commercial Bank enabled the company to offer its debit card to US customers.

Now, the European fintech allows its US users to buy, hold, and sell Bitcoin (BTC) and Ethereum (ETH) from the Revolut app, but you can’t send and receive crypto from third-party wallets. The feature is available in 49 states due to some regulator issues in Tennessee.

For now, only the top two cryptos are available, unlike its European counterpart, where it offers more cryptos such as XRP, Litecoin (LTC), and Bitcoin Cash (BCH). The company is working on adding more cryptos to the list.

For the first 30 days, Revolut is waiving the fees, which usually is 2.5% for a free Revolut account while Premium and Metal subscription will pay 1.5% in conversion fees. There are some monthly limits on currency exchange for free user users, which means you have to pay a 0.5% fee above that limit.

Square’s Cash App and commission-free Robinhood also let US users buy cryptocurrency via their apps.

Read Original/a>
Author: AnTy

Bakkt and Novogratz’s Galaxy Digital Partner Following the Uptick in Demand from Institutions

Bakkt is partnering up with Mike Novogratz’s Galaxy Digital to launch a collaborative “white-glove service” for “multi-billion-dollar” asset managers looking to buy and store bitcoin.

As per the announcement that came on Wednesday, Galaxy Digital’s affiliate Galaxy digital trading is providing market access and trading capabilities while Bakkt Warehouse will safeguard digital assets for clients.

Galaxy is an investor in Bakkt and both have been collaborating for months. Bakkt already provides its custody services to more than 70 institutional clients however, it’s trading volume for the past month remained below $50 million while Galaxy’s OTC desk handled more than $1 billion in trading volume in the first quarter.

Demand from Institutions with a Capital ‘I’

Novogratz the CEO of Galaxy is a bitcoin proponent who remains a bitcoin bull and believes it to be the time for bitcoin.

In the backdrop of central banks printing money and debasement of fiat currencies, he has called for bitcoin to end the year higher.

His crypto investment firm reported a net income loss of $32.9 million for its 4Q19 financial returns.

In 2020, interest from asset managers in bitcoin as a hedge and store of value has spiked which is the result of the economic uncertainty caused by the COVID-19 pandemic, said Tim Plakas, Head of Sales at Galaxy Digital Trading, over-the-counter trading desk of New York-based Galaxy.

Just last month, hedge fund manager Paul Tudor Jones announced that he is holding bitcoin through futures that had demand on the CME Group surging. He said,

“We designed this partnership to service the uptick in demand our two firms have received from traditional asset managers seeking access to physical bitcoin.”

John Conneely, head of custody business development at Bakkt shared similar sentiments while talking with Bloomberg when he said this partnership “in response to demand we’ve been seeing in the last three months from institutions with a capital ‘I’.”

Back in April, Novogratz had said that real big investors who never thought about bitcoin have been asking him about the world’s leading digital currency.

Down the prime brokerage route

Back in mid-March, Bitcoin price crashed over 40% but since then it has recovered 155%. Goldman Sachs however, said it doesn’t consider bitcoin an asset class and wouldn’t recommend it to its investors either.

“To be honest, different views exist in any market, that’s what makes the market,” Plakas told Bloomberg.

Galaxy would provide access to physical bitcoin which will be combined with the “high level of regulatory-compliant security,” provided by Bakkt to offer the same caliber of expertise in handling bitcoin as in any established traditional finance.

This announcement came amidst the news of the likes of Genesis (with Vo1t) and BitGo (with BitGo Prime, Lumina Tax, and Harbor) which made new acquisitions and added new capabilities to become crypto’s prime brokers.

“In the digital-asset space there’s a large push toward offering prime brokerage services that don’t exist in a very mature way,” Plakas said. And this is what they think about when going into partnerships or offerings when they “start to go down the prime brokerage-like route.”

Read Original/a>
Author: AnTy

ACCA And Tezos Enter Into An MoU To Promote Blockchain In The Accounting Industry

The U.K based accounting standards club, the ACCA, is partnering with Tezos Southeast Asia (TSA) to introduce blockchain technology to the accounting field.

According to an official press release: the two companies signed a memorandum of understanding, enabling them to explore the place blockchain technology can inhabit in accounting.

ACCA Explores Blockchain with Tezos

The Association of Chartered Certified Accountants (“ACCA”) has now partnered with the Singapore-based blockchain firm TSA, which is a non-profit organization that promotes the development of solutions on Tezos blockchain.

Blockchain technology has the potential to transform the accounting field, as it provides an immutable ledger, enabling secure auditing and management processes to move along efficiently and easily.

The President of TSA, Caleb Kow, praised the partnership with ACCA, promising the two will work together to find solutions to problems facing the accounting sector. He said,

“We believe that by partnering with ACCA, there can be mutual understanding to find solutions that could help reduce pain points and benefit finance functions for practitioners within the accountancy sector.”

The report states that ACCA will contribute to the accounting standards part in the MoU, with TSA providing their blockchain expertise to improve the systems of accounting.

Notwithstanding, the two will co-create an educational and strategic planning platform to promote the adoption of blockchain tech in accounting. Caleb continued,

“The Tezos blockchain takes this further by future-proofing widespread adoption through its unique and proven self-amending feature that can embrace future standards to meet the ever-changing industry needs of tomorrow.”

The Head of ACCA in Singapore, Reuter Chua, expressed excitement at kicking-off the partnership with Tezos, and hopes to integrate the blockchain-based positives into accounting practices in the near future.

This is in a bid to “enhance members’ workflows and prepare them for the outside auditing industry.” He further says,

“The potential applications of blockchain technology in the accounting sector are extensive, ranging from better validation procedures in auditing to accelerating settlement times for transactions, and automating and streamlining compliance processes.”

Mixed Feelings for Blockchain in Accounting

A number of companies, including some of the big four of the accounting world, Ernst & Young, Deloitte and PwC, have come forward purporting a possible adoption of blockchain technologies.

However, in late 2019, the top international accounting firm, International Financial Reporting Interpretations Committee (IFRIC), categorically stated Bitcoin and other cryptocurrencies cannot be considered as legal tender.

Read Original/a>
Author: Lujan Odera

Azimo Teams Up With Thailand’s Largest Bank To Use RippleNet For Instant Payments

London-based money remittances fintech, Azimo has announced that it is partnering with Siam Commercial Bank (SCB), Thailand’s biggest commercial bank, to enhance instant money remittances to Thailand for European-based customers.

The new deal comes just days after the fintech firm inked a deal with Ripple for the use of RippleNet services which allows customers to easily track the movement of their funds until delivery.

Thailand is one of the top destinations for remittances globally and it is the reason why Ripple decided to introduce a gateway in efforts to enable easy cross-border payments. However, it is also very difficult and complex to execute international payments in Thailand. As Azimo has been venturing into new markets in Asia, the high tariff issue may soon be solved.

Talking to Techcrunch, Michael Kent, Azimo co-founder stated that there are many countries which are introducing prompt payment systems and Thailand does not want to be left behind. He explained that the current deal with SCB will tremendously help in reduction of settlement time. Kent explained:

“This partnership with the largest bank in the country allows us to get the time to settle payments down from around 24 hours to an average of 22 seconds. [It’s] faster to send money to Thailand than to someone else in the UK.”

The new deal will not only make it easier to send money from Europe to Thailand but also give the users a platform to track whether the recipient received the money on time through RippleNet.

SCB has been keen to venture into the European market and the new deal gives the bank a leeway to reach the millions of Thais in Europe. SCB’s Arthit Sriumporn praised the partnership with Azimo as it will allow it to serve Thais in Europe efficiently.

Sriumporn stated that Azimo customers will now be able to instantly send money to recipients in Thailand faster, cheaper and in a more secure manner. He added that the service will no doubt enhance people’s lives which is one of SCB’s goals.

“In a little over a month since Azimo’s launch on RippleNet with On-Demand Liquidity (ODL) into the Philippines, this new service with SCB demonstrates the power, ease and flexibility of Ripple’s integration to speed up market entries,” said Asheesh Birla, Ripple’s SVP of Product and Corporate Development.

“It’s exciting to see a long time customer like SCB and a new customer Azimo realizing the benefits of RippleNet to continue to expand their businesses, to enable instant, reliable, low-cost faster, lower-cost payments around the world.”

Read Original/a>
Author: Joseph Kibe

ConsenSys Codefi’s Activate To Launch Its “Proof-Of-Use” Token Platform With SKALE

  • Activate to limit partnering projects based on a maturity level gauge and how ready partners are to launch
  • Tokens to be issued to only dedicated users as they implement proof of use

Activate, a Consensys backed token platform, has announced making its maiden token launch with the SKALE mainnet. Built by the ConsenSys Codefi, it is set to allow the users inputs in the sales of the tokens.

SKALE supported by Ethereum is a secure and decentralized network built for the Decentralized App (DApp)Developers. Their protocol of sharing computational load among different chains is largely based on proposed Ethereum shard system.

The platform’s main objective is enabling parties to securely host the tokenized networks among active users. It would effectively allow individuals to directly take part in of trading tokens while staking in the network as explained by ConsenSys’ Global Lead of Token Architecture Ejaaz Ahamadeen.

“Activate is a platform that allows anyone to engage and participate in decentralized networks. That’s kind of like a statement as a whole. And the best way to think about it is it equips you with the means to purchase, manage or use your utility tokens through its entire existence.”

With current projections from the Activate team suggesting that the Token sales would occur as soon as mid-year. According to the Strategy Lead for ConsenSys Codefi, Mara Schmiedt, Activate seeks to instantly assign tokens to active participants in the Network as soon as Activate’s partners have launched.

However, Activate follows various criteria while choosing partners. They intend to focus on the maturity of the project in that they should be ready to launch their network as soon as they come onboard. She said,

“We are very limited to the projects that we can work with due to many factors, the primary one being maturity of the technology. We’re not going to support a project who’s not going to mainnet soon.”

Proof of Use

The tokens will be distributed on a proof of use basis. This ensures that participants actually purpose to use the token. This requires the users to give a timeline of when they want to use the tokens before you actually get to use them meaning that they have to surrender up to 50% of their tokens to the mainnet for at least 3 months as was further explained by Mara Schmiedt.

While Skale’s CEO, Jack O’Holleran was adamant that money was not their top priority at the moment. They want to focus on first adding participants on their mainnet.

Read Original/a>
Author: Lujan Odera