Author Archives: Derrick Stanley

Japan Looking to Ban Zcash, Monero and Dash?

 

According to a report that was recently released by Forbes, Japan’s Financial Services Agency, the FSA is working diligently to ban three popular cryptocurrencies within the country due to their frequent use of pirates and hackers. Still, despite this threat looming over the world of cryptocurrency, market prices remain stable.

 

A Tool That Promotes Piracy

The cryptocurrency that the FSA is looking to ban are Zcash, Monero and Dash. According to Forbes, anonymous sources have reported that these cryptocurrencies are extremely difficult to track making it nearly impossible for the FSA to regulate the transactions made with these currencies. Furthermore, this makes them a popular tool that can be used to abet internet piracy.

The FSA has officially ruled that these three cryptocurrencies are a safe haven for internet hackers who can easily use them to finance illegal activities such as tax evasion and money laundering. As an example, one could state the recent criminal activities that took place in Japan earlier this year when Coincheck, a massive and very popular exchange platform suffered a cyber attack that saw hackers get away with roughly 500,000,000 NEM tokens.

Another interesting fact is that Coincheck was one of the exchange sites that made use of all three of these cryptocurrencies. Then, after the hacking, due to a request from the FSA, the platform simply walked away from using Dash, Zcash and Monero.

Furthermore, the Financial Services Agency also issued at formal warning to other platforms that are looking to use these three types of cryptocurrencies. While they may still be allowed to operate, the use of these cryptocurrencies could result in a much slower approval process.

 

The Other Suspects

Of course, while there is no solid evidence condemning these cryptocurrencies of doing anything wrong, there are other reasons that have raised warning flags within the FSA.

After the massive heist that took place on Coincheck, another platform known as MyEtherWallet was the victim of another cyber attack that saw losses of $150,000 in Ethereum. And, according to some speculation, this sum was then traded on the Binance platform and could have easily contained the 500,000,000 NEM tokens from the Coincheck hacking.

Therefore, the Japanese government has ordered Binance to cease and desist all operations within the country’s borders. The company was also issued a formal warning that they would face criminal charges if they did not comply with the order.

 

 

 

Low Trade Volume

Despite the complexity of the situation, it should be noted that Zcash, Monero and Dash are far from being the most popular cryptocurrencies on the blockchain. The trio average somewhere in between 5,000 and 10,000 total transactions daily, which is paltry compared to Ethereum which records an average of a million trades per day.

ING Direct Experiments with Blockchain Technology

 

Blockchain is the underlying technology that allows cryptocurrencies such as Bitcoin to function in the way that they do. And, although many people are still skeptical about cryptocurrency, we have seen a steady growth in the number of people who are interested in blockchain technology.

In addition to the countless start-up companies that have been using the technology, now, ING Direct has decided to begin experimenting with blockchain and is investing more and more in terms of innovation.

 

ING Innovative Blockchain Project

At the end of last year, ING surprised the world by announcing the release of their Zero Knowledge Range Proof project. Aimed at improving confidentiality, as well as reducing operation costs, the project was designed for institutions that have been interested in using blockchain’s public registry but have been reluctant to reveal their information to their competition.

The ZKRP project is meant to allow transactions between parties without revealing any of their delicate information. For example, it would show a sum that is within a specified range but not show the exact amount of the transaction.

According the ING Direct’s blockchain manager, the ZKRP is an effective way to disguise a transaction names, while still providing enough information to validate that the sum is sufficient to settle a transaction.

Furthermore, ING has also made improvement to the blockchain and have introduced something known as a Zero Knowledge Set Membership. The entire Zero Knowledge concept had originally been intended for uses other than number, however, the protocol can be used for a variety of different applications. For example, it would be able to confirm things such as nation’s involvement in a project by revealing that they are part of the European Nation, while not disclosing which country they are.

 

Getting Involved with The Blockchain Community

The Zero Knowledge is an open source project and can, therefore, be viewed by anyone who wishes to do so. This makes it much easier to find flaws in the system and to be able to improve upon them. For example, recently two developers were able to find a security flaw in the ZKRPm which allowed ING to correct this and improve their system.

This type of open sourcing is great and allows the entire global community to contribute blockchain project. Furthermore, it represents an excellent way for university students and new developers to share their ideas and opinions with the world.

 

 

 

ING Direct: A Blockchain Expert

To date, the bank’s efforts with developing blockchain technology have been recognized on a global scale and have made them a prominent player in the industry. Moreover, ING was recently invited to join in a workshop, in which efforts are being made to standardize the Zero-Proof Knowledge system. This, along with the company’s other effort have made them a prominent figure in the world of blockchain technology.