TWEET OF THE DAY
“Bullish on bitcoin dipping below my follower count.”
- We’re going to need about 100,000 more people to follow Ari.
TLDR IF YOU ONLY READ THE HEADLINE
💰 $1 billion lost in Mt. Gox to be returned in bitcoin.
This morning Tokyo District Court paused Mt. Gox’s bankruptcy proceedings and instead started a legal process called civil rehabilitation. Which means remaining Mt. Gox’s assets (about $1.2b worth) will be distributed to creditors instead of being sold. A few details: the assets are being distributed in bitcoin, all claims need to be refiled by October, and creditors likely won’t get their bitcoin back until late next year.
So, why is civil rehabilitation important? A couple reasons. One, under the original bankruptcy plan, creditors were only going to receive the monetary equivalent of their bitcoins’ value during the collapse (which was around $450) if they ever saw their funds returned at all. Now, they’ll be receiving it at present-day value. Two, Mt. Gox whale trustee Nobuaki Kobayashi won’t be selling anymore, so it looks like we’re going to have to blame price changes on something else.
IN CASE YOU MISSED IT
🇰🇷 South Korea’s investing $9m in six blockchain pilots for its public sector and educational programs to “nurture 10,000 blockchain specialists by 2022” according to the Ministry of Science and ICT.
📉 EOS freezes 27 accounts with “logic and reasoning to be posted at a later date.” Safe to say the EOS governance model is off to a rough start.
🇯🇵 bitFlyer isn’t accepting new customers Japan’s biggest crypto exchange issuspending new account creation until its security system gets the green light from Japan’s Financial Services Agency (FSA). And bitFlyer’s not alone. Japan’s FSA has been cracking down on the country’s top crypto exchanges all year following the $530 million Coincheck hack.
👀 ICON teams up with Bodhi to strengthen the ICON community in China and enhance Bodhi’s prediction platform.
🏝 Castle Island Ventures Nic Carter and Matt Walsh’s new $30m fund will be focusing on both equity and token investments.
READ(S) OF THE DAY
📖 Early stage valuations fall to earth. We’re stoked Ari’s (kind of) writing again. This morning, he posted to his blog an internal memo that he’d sent his team. In it, he explains why we saw amazing returns on ICOs prior to April 2017, how pre-ICO valuations are coming down to earth to match public markets, and the reason we’re seeing this all play out in slow motion.
📖 Crypto 101: Multi-sig. Part of Casa’s new initiative to help people learn about crypto. Starting today, the team’s launching a series of short explainers on tough topics. There’s also a fresh coat of paint on their website.
🚀 Celo: Makes sending payments as easy as sending texts. Which is especially important when you consider two thirds of the unbanked/underbanked population have a mobile phone.
How does it work? On a high level, anyone with a smartphone can participate in the network. Celo maps phone numbers to wallet addresses using a decentralized address-based algorithm, and users earn rewards for securing and maintaining the system.
Which begs the question, how does the team defend against SIM porting? Stay tuned for an AMA down the line…
QUESTION OF THE DAY
What are some of the biggest differences between US vs Chinese crypto communities?
Eric Meltzer lists a few.
THING TO KNOW
Tumblers make it difficult to prove where cryptocurrencies came from. A tumbler tries to remove the link between the original transaction and final address of the coin by sending coins from you to other people and coins from them to you. It also randomizes transaction amounts and can add time delays to the transactions.