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Cryptocurrency

This author explains our obsession with cryptocurrency

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Frederick Kaufman’s money plot

Source: Other press

What is money Why do we need it?

These are some of the big questions that writer Frederick Kaufman explores in his book The Money Plot: A History of Currency’s Power to Enchant, Control, and Manipulate, published in the middle of the pandemic.

Kaufman, a journalism and English professor, is interested in what we project onto money, from our cravings for abundance and freedom to – most of all – security.

The book comes at a time when our most basic understanding of money is being challenged. (When I hear the word, I still imagine cash, not bitcoin. What do you imagine when you imagine bitcoin?)

One way to get an idea of ​​what’s coming next is to look back. And if you read Kaufman’s book tracing the history of money, you’ll see how Bitcoin isn’t all that different from the pearls that were used as currency 40,000 years ago.

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I recently interviewed Kaufman about his new book. (Disclosure: I was enrolled in one of his courses at the Craig Newmark Graduate School of Journalism at CUNY in 2017.)

The following exchange has been compressed and edited for the sake of clarity.

Annie Nova: How has money changed the most?

FK: Primitive money is very material: it’s a feather, it’s a pearl. Over time, it becomes very metaphorical – a coin, paper money. Finally, of course, there is very little material money in the world. Only about 5 to 10% of the money in the world is in any material form. And then you could say the endgame is cryptocurrency. It has all the properties of primitive money, it is our security, except that it has no material parallel.

Frederick Kaufmann

Photographer: Anthony Tafuro

AN: Why are we looking for money for security?

FK: In the Middle Ages, Christians begin to define the future and that will be the end of the world and the apocalypse. Everything counts on that. This turns the trading culture into that focus on expiration dates, and think of money: it’s all about expiration dates. It’s about when you get paid. It’s when your quarterly report is due. It’s all retirement planning. And of course a mortgage is based on when it expires? We insure the future and gain some control over it. That is the essence of what money is.

AN: But there is a cost, right? A mortgage is security, but also a 30-year term.

FK: It’s one of the ironies of money. We create this fiction and then we get caught by it.

AN: Is it a coincidence that we are so much more interested in cryptocurrencies during a pandemic?

FK: If you look back on the history of apocalyptic moments, people fly towards safety. And that’s money. Some people see their security blanket as gold, others as crypto. Some see it as cash. We are also seeing increased cash holdings during the pandemic. All of this points to the real essence of money: security, to ensure that we can maintain our status, to ensure that the narratives we have about ourselves can continue into the future.

Why are you using the money the way you are using it? It’s because you define a narrative of what you would like to be in the future.

AN: What if people’s stories are disturbed?

FK: If you really check, why do you have a retirement account? why do you work? Why are you using the money the way you are using it? It’s because you are defining a narrative about what you would like to be in the future, and if that gets cut off for lack of money, it’s traumatic. And we see this country going through an enormous period of trauma right now.

AN: What do cryptocurrencies have in common with the primitive forms of money you write about?

FK: Primitive money was more of a talisman than a store of value or a medium of exchange. The rings and pearls had magical powers to bring the wearer safely into whatever lay in front of them. Likewise, cryptos play the role of primitive amulets, especially those that have no value, like Dogecoin, but still promise luck. It is interesting that when Europeans first settled down, they forgot to bring enough money with them. So, much like those mining Bitcoin, they started making their own wampum.

AN: Why do you think there is so much skepticism about cryptocurrencies?

FK: Money is a story we all believe in. Wall Street told this story, trying to predict its end before the rest of us know the end. Of course, bankers get embarrassed when a new group of shamans and fortune tellers tell a new story with a new ending.

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Cryptocurrency

Cryptocurrency providers at high risk of financial crime – FMA

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The Financial Market Authority has found that cryptocurrency service providers are at high risk of being targeted by money launderers and terrorist financiers.

Photo: 123RF

The industry received the rating in the FMA’s most recent sector risk assessment (SRA), in which various types of financial service providers were described with regard to illegal financial behavior.

The risk profile for the majority of the nine sectors supervised by the FMA has not changed since 2017.

However, Virtual Asset Service Providers (VASPs) that enable cryptocurrency, token or crypto-asset transactions were added and received the highest risk rating.

“Since our last assessment, the risks of virtual assets, especially cryptocurrencies, have come to the fore,” said FMA supervisory director James Greig.

“Virtual assets allow for a higher level of anonymity and have a global reach, making cross-border payments easy.”

A sector risk rating was determined on the basis of its complexity, liquidity of the transactions and the anonymity granted to clients.

This included the size of the company, the type of products offered, their value, how products can be bought and sold, customer types and country risks.

Virtual Asset Service Providers, or VASPs, that enable cryptocurrency transactions were added to the list and received the highest risk rating.

Virtual Asset Service Providers, or VASPs, that enable cryptocurrency transactions were added to the list and received the highest risk rating.
Photo: Delivered

The FMA expects all reporting offices to familiarize themselves with the risks and weak points in connection with VASPs and virtual assets and, if necessary, to include them in the risk assessment.

The main regulatory agency of cryptocurrency service providers is the Department of Internal Affairs, with the FMA overseeing a very small number of VASPs.

The 2021 sector risk assessment also confirmed the high risks associated with derivative issuers.

This follows on from the recent measures taken by the FMA against a handful of companies that failed to meet their obligations to combat money laundering.

“Derivatives issuers are inherently high risk because their products are highly liquid, accounts are easy to open, and they can have many overseas clients in higher risk countries,” Greig said.

Greig also said the rapid growth of retail investment platforms meant they could be targeted by money launderers as their compliance with their anti-money laundering commitments may not have kept pace.

This became clear at the beginning of the year when the FMA informed the retail trading platform Sharesies of failing to verify the identity of almost 8,000 customers and of insufficient customer due diligence.

“These platforms are highly liquid, so large volumes of trade can take place without suspicion, and customers can quickly create online accounts without personal verification, which favors anonymity,” said Greig.

“While these platforms often have sophisticated systems for monitoring accounts, they need to collect sufficient information about the nature and purpose of the investment.”

The FMA expected all entities subject to the FMA reporting obligation to review the new SRA and update their own risk assessments accordingly and to take into account all new risks and findings, said Greig.

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Cryptocurrency

Cryptocurrency ‘mainstream’ in Australia | Bega District News

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News, latest news

Cryptocurrency has become mainstream in Australia, and according to a survey by a leading exchange, more and more women are punted. More than a quarter (28.8 percent) say they own or have owned cryptocurrencies, according to the Independent Reserve Cryptocurrency Index (IRCI) 2021 published on Tuesday. The proportion of women who deal with cryptocurrencies has doubled this year from 10.3 percent to 20 percent. Despite the amazing volatility, most of those surveyed (89 percent) made or even broke money this year. Adrian Przelozny, CEO of the Independent Reserve, said the sector urgently needs regulation to provide more security for both investors and cryptocurrency companies. “Our IRCI results this year support this as 28.6 percent of Australians who currently do not own cryptocurrency tell us that if there was better consumer protection, they would invest,” he said. Now in its third year, the annual survey of over 2,000 people tracks awareness, acceptance, trust and trust in the cryptocurrency. 26.6 percent said they would buy crypto if regulation of the industry improved. “While Australian regulators and government agencies may have taken a while to delve into cryptocurrencies and other digital assets, the Australians themselves have moved faster and we really see crypto as an asset class from the edge of the mainstream over the past year,” said Przelozny. According to the survey, Bitcoin remains the most famous and popular cryptocurrency ahead of Ethereum. The age group of 24 to 34 year olds trusted crypto the most. 27.6 percent said they shopped to get rich while people over 65 years of age said they did shopping to get rich Stay skeptical. The latest data from the Australian Tax Service shows that more than 800,000 people are making transactions in cryptocurrency. The Independent Reserve cryptocurrency exchange was developed and established in Australia in 2013 and is now licensed in Singapore. Australian Associated Press

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December 7, 2021 – 10:16 a.m.

Cryptocurrency has become mainstream in Australia, and according to a survey by a leading exchange, more and more women are punted.

More than a quarter (28.8 percent) say they own or have owned cryptocurrencies, according to the Independent Reserve Cryptocurrency Index (IRCI) 2021 published on Tuesday.

The proportion of women who deal with cryptocurrencies has doubled this year from 10.3 percent to 20 percent.

Despite the amazing volatility, most of those surveyed (89 percent) made or even broke money this year.

Adrian Przelozny, CEO of the Independent Reserve, said the sector urgently needs regulation to provide more security for both investors and cryptocurrency companies.

“Our IRCI results this year support this as 28.6 percent of Australians who currently do not own cryptocurrency tell us that if there was better consumer protection, they would invest,” he said.

Now in its third year, the annual survey of over 2,000 people tracks awareness, acceptance, trust and trust in the cryptocurrency.

26.6 percent said they would buy crypto if regulation of the industry improved.

“While Australian regulators and government agencies may have taken a while to delve into cryptocurrencies and other digital assets, the Australians themselves have moved faster and we really see crypto as an asset class from the edge of the mainstream over the past year,” said Przelozny.

According to the survey, Bitcoin remains the best known and most popular cryptocurrency ahead of Ethereum.

The age group of 24 to 34 year olds trusted crypto the most. 27.6 percent said they shopped to get rich, while people over 65 remain skeptical.

The latest data from the Australian Tax Service shows that more than 800,000 people are making transactions in cryptocurrency.

The Independent Reserve cryptocurrency exchange was developed and established in Australia in 2013 and is now licensed in Singapore.

Australian Associated Press

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Cryptocurrency

bitcoin volatility, $196M Bitmart hack, new OpenSea CFO

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The entire cryptocurrency market suffered a slump over the weekend.

Bitcoin, the largest cryptocurrency by market value, plunged to a low of nearly $ 43,000 on Saturday night. The price has since bounced back and is currently trading at around $ 49,149, according to Coin Metrics.

Ether, the second largest cryptocurrency, also fell to around $ 3,500 on Saturday. Ether is currently trading at around $ 4,179.

Aside from the volatility this weekend, here are seven things that have happened in crypto over the past week.

1. Metaverse Land Sales Exceed $ 100 Million In One Week

Virtual real estate has become more and more a coveted commodity.

Sales of NFTs, or non-fungible tokens representing Metaverse land, exceeded $ 100 million in the last week alone, cryptanalysis firm DappRadar reported on Tuesday.

The Sandbox, an Ethereum-based metaverse and game that allows users to purchase land and in-game assets as NFTs, had a trading volume of more than $ 86 million. Decentraland, a virtual reality platform operated by Ethereum, had traded more than $ 15 million for land NFTs.

“With record sales and constantly rising NFT prices, virtual worlds are the new top product in the crypto space,” wrote DappRadar in a blog post.

2. Jack Dorsey’s Square changes company name to block

On Wednesday, Jack Dorsey’s payment company Square announced that it was renaming itself to Block effective December 10th.

Block “has many related meanings for the company – building blocks, neighborhood blocks and their local businesses, communities gathering at block parties full of music, a blockchain, a chunk of code and obstacles to overcome,” Block said in a statement.

Square Crypto, a separate part of the company dedicated to advancing Bitcoin, will change its name to Spiral.

“We built the Square brand for our seller business where it belongs,” said Dorsey, co-founder and CEO, in a statement. “Block is a new name, but our purpose of economic empowerment remains the same. No matter how we grow or change, we will continue to develop tools to improve access to the economy. “

The name change came after Dorsey announced his resignation as CEO of Twitter. Chief Technology Officer Parag Agrawal will take on the role, the company announced on Monday.

3. Facebook withdraws from the crypto advertising ban

4. BadgerDAO DeFi project hacked, approximately $ 120 million loss

On Wednesday evening, BadgerDAO, a decentralized autonomous organization focused on bridging Bitcoin with decentralized financial applications, was reportedly hacked and lost about $ 120 million, according to blockchain security and data analytics firm Peckshield.

An investigation to find out what happened is still ongoing.

Meanwhile, BadgerDAO has frozen all smart contracts, which are digital agreements written in code and stored on the blockchain. Again, according to the BadgerDAO website, users will not be able to request deposits, rewards, or withdraw funds.

This is happening amid many new DeFi-related hacks, which is why financial experts caution against doing thorough research before investing in projects. They recommend investing only what you can afford to lose.

5. Hackers take $ 196 million from Bitmart crypto exchange

The Bitmart cryptocurrency exchange had been hacked, the company confirmed in a statement on Saturday evening.

Bitmart called it “a large-scale security breach” and estimated that hackers withdrew about $ 150 million, but Peckshield estimates the loss was closer to $ 200 million.

In the statement, Bitmart said all withdrawals have been temporarily suspended and a security clearance is ongoing.

As of Sunday, CNBC reached out to several Bitmart employees asking for more clarity about the hack and whether the targets would be reimbursed. CNBC hasn’t heard anything yet.

6. Charlie Munger Says He Wishes Cryptocurrencies “Never Made Up”

Billionaire investor Charlie Munger is still not a fan of cryptocurrency.

“I wish they had never been invented,” said Munger, according to The Australian Financial Review, at the Son conference in Sydney on Friday. “I admire the Chinese, I think they made the right decision to just ban them.”

This isn’t a new attitude for the 97-year-old vice chairman of Berkshire Hathaway. In May, during a question-and-answer session at Berkshire’s annual shareholders meeting, Munger said his aversion to Bitcoin had increased amid the Covid-19 pandemic.

7. OpenSea appoints former Lyft CFO. a

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