BIP91 & SegWit2x Lock-in, Activation

There seems to be a lot of confusion about BIP91, SegWit, SegWit2x timelines lock-in and activation dates. This is a quick explainer. BIP91 Explained BIP91 Forces signalling for BIP141. 269/336 blocks are required to lock BIP91 in. Current BIP91 period started at block 476448. If at block 476783 we have 269 blocks that signalled bit 4, then bip91 will be locked-in. Once that (lock-in) happens BIP91 will be activated 336 blocks later (roughly two and one third of a day). BIP91-enabled nodes will reject blocks that do not signal BIP141. BIP91 was devised to avoid BIP148 activation. Once signaling BIP141 becomes “mandatory” we still need to have enough votes for BIP141 to lock it in and activate it. Lock-in happens after

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Blockchains: Empowering Individuals or Corporations?

TWO MAIN TYPES Not all blockchains are created equal. Some empower individuals, others profit corporations. This article takes a look at who benefits and why. Of course, the world isn’t neatly divided into two categories: people and corporations. Companies are composed of individuals after all. However, the interests of people, in contrast to corporate motivations, may be a useful framework for understanding two primary types of blockchains: “public” and “private”—or perhaps, “public” and “corporate”, is a more apt depiction. Let’s first cover some basic terminology to better make sense of blockchains and how they are used in real-world applications. BLOCKCHAIN JARGON A blockchain is simply a special type of database—one that is usually replicated and distributed amongst numerous interested parties.

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DAO Dilemma: Hard Fork or No Fork

Why I changed my mind and now endorse a hard fork Introduction This post is inspired by a live discussion led by Andreas Antonopoulos on June 29, covering the most recent developments in TheDAO and Ethereum. This excellent discussion can be viewed in its entirety here. The opinions expressed in this article are my own and do not necessarily reflect those of the panelists or other researchers at CryptoIQ. In the spirit of full- disclosure, I own both DAO tokens and ether. Nothing here should be construed as investment advice. A Costly Experiment Shortly after TheDAO hack came to light, and it became evident there is an unintended flaw in the code, allowing an unscrupulous party to enrich itself at

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Code is Cruel

by Dr Bryant Joseph GILOT – 19 June 2016 Recent events at the Decentralized Autonomous Organization (DAO) are unfortunate. Despite the gravity of the consequences; we, the cryptocurrency community, must be certain to proceed in a very thoughtful, prudent and deliberate manner. A reactive and emotional response will have a long lasting impact on the entire cryptocurrency community, including Bitcoin. I wish to offer my condolences to all those who have been negatively impacted. What has happened has been perpetrated by a cruel individual or individuals, is unfair, and is not consistent with the true spirit of the DAO smart contract code. A vulnerability of the DAO contract code has been exploited causing the DAO, its courageous participants and the

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Bitcoin Privacy & Traceability #001- Untraceable bitcoin Transfer

Recently I have been thinking about privacy in Bitcoin. It seems to me that the general public is not clear as to what degree of financial privacy comes with Bitcoin. As a result i have decided to start another series of posts to talk about Bitcoin privacy. Perhaps the first post should have been about the very basics. However, I felt compelled to point out a way to transfer bitcoins in a way that it is untraceable. There is one caveat, it is between parties that trust each other. So technically the title should have been “Untraceable bitcoin transfer between trusted parties”. We can transfer bitcoins using the blockchain, that is send them from one address to another. By doing

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The DAO Ka-Ching!

The Yin and Yang of Crypto Speculation “Thirty spokes share the wheel’s hub; It is the center hole that makes it useful. Shape clay into a vessel; It is the space within that makes it useful. Cut doors and windows for a room; It is the holes which make it useful. Therefore profit comes from what is there; Usefulness from what is not there.” [1] In Crypto We Trust Ka-ching! The DAO is big news in the startup world, shattering previous records for crowdfunding ventures [2]. With still another two days to go before the offering closes, The DAO has raised an astonishing sum, about $143 million so far, denominated in ether (ETH), the cryptocurrency of the open source Ethereum

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Coding for Better Regulatory Outcomes in The Internet Age of Bitcoin and Blockchains

Background From globally diverse legal perspectives, the current regulations affecting Bitcoin and blockchains are quite disparate, ranging on the spectrum from laissez-faire to outright prohibition, enforced with severe criminal penalties. The conundrum, however, lies with the fact that Bitcoin and blockchains are really an extension of the ever more ubiquitous Internet, albeit a radical extension, permitting digital value to be transmitted peer-to-peer, and diminishing the need for third-party intermediaries, who too often exploit their power and privilege. Given that access to the Internet is proclaimed as a fundamental human right by the UN [1], and that non-profit initiatives from high-profile tech giants such as Google, Facebook, and Microsoft are on a mission to bring the Internet to all corners of

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New Internet Technologies To Remedy The Unfairness of Clickwrap Contracts

“Courts do not enforce consumer-proffered online terms as enforceable contractual terms, but they also do not admit that this is what they are doing. Courts instead exclude the consumer preference from the four corners of the online agreement. What the company wrote is “the contract,” and the expression of consumer preference is simply not part of that contract. Courts manipulate the contours of the contractual agreement to exclude expressions of consumer preference in online agreements. If, however, consumers were able to somehow express their preferences unmistakably within the contours of what courts consider to be the online agreement, then courts would have no choice but to recognize consumer-proffered online contract terms. Instead of just clicking “I Agree,” consumers could actually

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An Open Letter to Banks and Financial Institutions

Advice to Ignore at Your Own Peril By Paul Jones and Albert Szmigielski   To Whom It May Concern: And concerned you should be, gravely. A storm is brewing on the distant horizon, more clearly visible to some than others. From our lookout perch, using high-tech vision enhanced with deep research, the threat is unequivocal. Decisive timing is uncertain but the path well-defined. You can put your heads in the sand, ignoring this destructive force, hoping it will dissipate, suddenly change course, or just die out, but thorough preparation is essential to weather the storm if you hope to survive its devastating aftermath. The tempest is growing with momentum increasing, absorbing the energy from superheated seas, the eye of the

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Uphold, Inc. – Disrupting Global Banking

COMPANY PROFILE Uphold, Inc. is a leader in the rapidly emerging FinTech sector. Uphold’s online platform has a global reach, allowing verified members speed and flexibility in managing their money. Funds can be deposited using standard bank transfers, credit cards, and even bitcoin. Uphold account holders, which include individuals and businesses, can instantly send and receive funds amongst each other, and convert between twenty-three major currencies, four precious metals, and two cryptocurrencies. New commodities and currencies are being added regularly to expand the choices available to Uphold’s members.   VALUATION In January 2015, Uphold closed a Series B round, raising $9.6 million via crowdfunding from institutional and individual investors located in the US and UK. Equity was sold on the

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Blocksize: A Matter of Logistics

Discussions regarding the block size are often burdened by complex technical and engineering details, but fail to emphasize the key driver of Bitcoin’s future success. The critical driver of Bitcoin’s future success is its continued utility. If Bitcoin should for any reason become useless, it will become irrelevant! If it were to become inaccessible, or if it were to perform poorly in its main functions (1) assuring the security of the cryptographically scarce counterfeit resistant digital token bitcoin or (2) fail to securely facilitate the movement of these tokens from one address to another in an efficient, reliable, predictable and affordable manner – Bitcoin & bitcoin would become irrelevant. The original maximum allowable block size was 32MB1. In the early

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