FXB Trading Articles

[sakura]

Successful foreign currency trading

In order to successfully implement foreign currency trading strategy, you must be able to recognize, assess and track trends within the Forex Exchange Rates so that you can determine whether it is a good idea to trade or not.

When choosing the currency pairs to trade in as well as establishing the strategy, it is essential to take time to read the historical information as well as evaluating pricing charts so that trends in the Forex Exchange Rates can be followed.

How to Determine and Use Forex Exchange Rates

Many forex traders prefer not to carry out a lot of research and perform with what they have. This is where the Forex software is extremely useful as it only requires past data to begin evaluating the Forex Exchange Rates, and gives recommendations about buying and selling of different trade indicators.

The software creates these trade indicators after examining the progress in the Forex Exchange Rates in a certain period of time. The trading software is programmed to identify any defined trend in the exchange rates as the prices change.

Are Forex Exchange Rates reliable?

At a national and global level, the foreign currency is one of the biggest markets as well as the most volatile place in the economy. The reason for this is because the prices can fall or rise in minutes. Therefore, it is very important to acquire a trading account that will permit you to carry out the tracking and monitoring of the Forex Exchange Rates in real time.

For more detail : Successful foreign currency trading

[sakura]

Strategies for successful trading decisions – going short or long

The Forex market is quickly becoming the focus of attention for millions of new entrants as a result of its unique advantages. A large number of people have learnt how to make clever investment choices in order to take advantage of the market. Two strategies in Forex are going long and going short – once you understand these two strategies you will be able to make important decisions in order to be profitable. The two main strategies will be examined below.

Going Short

This trading strategy is when the base currency is sold in order to buy it at a later stage when the price begins to fall, resulting in a return from the transaction. For example, if the current GBP/USD is 1.5345 meaning we pay 1.5345 Dollars for one Pound Sterling, and we have $1000 dollars, we would sell the Dollars in order to purchase the Pound Sterling. This is carried out when the cost is expected to fall again in a short period of time. When the price GBP/USD falls to 1.5350, this means that more Dollars can be purchased with the same amount of Pounds that were obtained at the start. The additional dollars can be kept as profit which were earned by considering the dollar as the base currency.

Risk in Short Position

As with all financial markets, forex involves the same amount of risk. If the prices go in the exact opposite direction than originally expected, there will be a loss instead of a profit. For example, if the GBP/USD goes to 1.5340, you would not even get the same amount of Dollars that you sold initially. This strategy is only profitable if prices drop.

For more detail : Strategies for successful trading decisions – going short or long

[sakura]

Litecoin rising. Momentum returning to cryptos?

Litecoin value has almost doubled in two weeks and stands out amongst general increase in prices among main cryptos recently

There are signs cryptocurrencies are on the rise with Bitcoin near $10,000 (February 16) and a Litecoin surge grabbing attention.

As the case with most cryptos Litecoin recently dipped following record highs. However, it broke $214 (February 16) from a low of $110 on February 2 suggesting further price increases are imminent. Litecoin’s gain has stood out amongst a general growth pattern seen in many leading cryptos this month.

Since its inception Litecoin founder Charlie Lee has positioned his creation as the silver to Bitcoin’s gold. The main benefits of Lee’s digital coin over Bitcoin are twofold.

Michael LaVered of Oracle Times explains: “Litecoin combines all of the benefits of Bitcoin, but with shorter transaction times and lower fees.”

LaVered believes that Litecoin could potentially overtake Bitcoin in price because of the difficulty the leading cryptocurrency faces in scaling.

However, one of the driving factors behind Litecoin’s recent rise is the announcement of a potential hard fork called LitePay.

LitePay will enable Litecoin users to make purchases through businesses with a flat 1% transaction fee. Litecoin founder Lee has disassociated his digital coin from the spin off, denouncing it as a “fraud”. However, Litecoin users are being attracted with the offer of 10 coins of litecoin cash per coin held.

LitePay could be LiteCoin ‘gamechanger’

Palwasha Saaim, a Research Analyst at Lombardi Financial, claims LitePay will truly be a “game changer.”

Saaim said: “Litecoin users will be able to convert Litecoins to dollars and vice versa through their Visa-compatible LitePay cards, which will be usable at all ATMs or businesses that support Visa payments.”

In an email to CNBC, LitePay CEO Kenneth S. Asare said merchants in 41 countries will have access to LitePay merchant payment processing.

“Our goal is to create a way for merchants to earn Litecoin, which is a particularly good cryptocurrency for payments,” Asare told CNBC.

The cryptocurrency has tied up with Visa Inc. for the LitePay Visa card, which will be accepted at all outlets that accept Visa.

Microsoft also announced plans to use the Litecoin platform as a foundation for its decentralised identity system – along with Bitcoin and Ethereum.  

The largest US-based cryptocurrency exchange, Coinbase, is releasing a PayPal-like service of its own.

Coinbase explain that the new platform will make it easier for merchants to accept payments with cryptocurrencies through Coinbase Commerce.

“Coinbase Commerce can be integrated into a merchant’s checkout flow or added as a payment option on an e-commerce platform.”

No-one can predict with certainty what cryptocurrency values will be by the end of 2018 but the entire market could hit $1 trillion this year, Kraken founder and CEO Jesse Powell told CNBC this week.

For more detail : Litecoin rising. Momentum returning to cryptos?

 

[sakura]

Buy, sell, and exchange cryptocurrencies with the FXB Crypto Webtrader

The FXB Crypto Webtrader allows you to buy, sell and exchange cryptocurrencies directly from your web browser in a couple of clicks with no additional software. All you need is an internet connection and a PC.  The Crypto Webtrader is a regular part of the desktop platform. The application is safe to use – all transmitted data is securely encrypted.

Crypto Webtrader Features

• Trade directly from any internet browser
• Compatibility with Windows, MacOS, Linux
• Reliable data protection
• Maximise your opportunities with real-time instant quotes
  

FXB Crypto Webtrader offers a reliable and secure platform where you can buy, sell and exchange popular cryptocurrencies like Bitcoin, Ethereum, Ripple, Litecoin, Monero, etc.

For more detail : Buy, sell, and exchange cryptocurrencies with the FXB Crypto Webtrader

[sakura]

Ethereum for beginners

Ether is the second largest cryptocurrency in terms of market capitalisation. The total value in the market is approximately $85 billion (value correct on 28/2/18). Even though it is considerably behind Bitcoin, Ethereum is well ahead of other major cryptocurrencies such as Ripple and Litecoin.

If you want to find out about Ethereum, what it can be used for and its potential then this guide is for you.

What is Ethereum?

Ethereum is a decentralised programmable blockchain based software platform that runs smart contracts. The network is based on the blockchain technology and enables you to build decentralized apps and use the network if you have Ether. Ether is the cryptocurrency which helps in running the platform.

Basically, Ethereum functions as a platform through which Ether tokens can be used to create and run applications and smart contracts.

Ether is also used as a cryptocurrency and is traded on different exchanges.

What is a smart contract?

A smart contract is a blockchain based protocol that directly controls the transfer of digital currencies or assets between two exchanging parties. When a smart contract runs on the blockchain, it automatically executes under specific conditions. On the blockchain, smart contracts run exactly as programmed without any downtime, fraud or third-party interference. They solve a real problem by making existing systems better.

For more detail : Ethereum for beginners

[sakura]

The Bitcoin, Litecoin, Ripple & Ethereum survival guide

Are you still confused about Bitcoin? Or maybe you don’t know what cryptocurrency is and why it is so significant. Our Bitcoin survival guide will outline everything you need to know and help you make the right decisions when investing.

Throughout this guide I will refer to Bitcoin, but the information applies to Litecoin, Ripple and Ethereum as well. Read on to find out all you need to know about Bitcoin and surviving the market trends.

What is cryptocurrency?

A cryptocurrency is a digital currency that uses cryptography to secure its transactions.

How can cryptocurrency be used as money?

Currency is a system of money and a form of exchange in general use in a specific country. At present, the Dollar is the most widely used currency around the world.

Anything can be used as a form of exchange, and this includes cryptocurrency.

Bitcoin is a ‘cryptocurrency’

Bitcoin is a type of cryptocurrency. There are many other cryptocurrencies such as Ripple, Litecoin, Dash, etc.

Bitcoin is the most popular because it was the first successful cryptocurrency to emerge. It is a digital currency that can be used to complete a transaction between two parties without involving a middleman. It allows direct, private transactions between users with almost no transaction costs. This is achieved because it is powered by blockchain technology.

For more detail : The Bitcoin, Litecoin, Ripple & Ethereum survival guide

[sakura]

Wall St strategist: $25k Bitcoin by year end

Bitcoin value currently around $10k but will be worth more than double by year end says Fundstrat

Fundstrat, one of Wall Street’s leading investment advisories, believes Bitcoin will soon return to the $20,000 value reached in 2017. Tom Lee is Fundstrat’s co-founder and has been a leading Wall Street strategist for 25 years. They published a cryptocurrency report (February 28) with analysis on price expectations also highlighting notable companies like Rakuten and plans to launch their own Rakuten Coin.

CNBC spoke to Lee about the report where he added that he expected Bitcoin to reach $20,000 by the middle of the year. He also expects it to reach $25,000 by year end based on historical price trends and crypto-related announcements by major companies.

Lee said: “The announcement by Rakuten is another example of positive developments in crypto in 2018, suggesting the large sell-off in Bitcoin and others at the start of the year was an overshoot to the downside.”

Fundstrat sets Bitcoin price targets

A number of financial firms have published reports on cryptocurrencies but Fundstrat are the only one to issue formal price targets on Bitcoin.

Lee pointed out Bitcoin’s lows typically occurred at the beginning of the year. This has been the case for six of the last seven years.

He explained that increased adoption of cryptocurrencies by major companies would boost values. In addition to e-commerce giants Rakuten he pointed to Japanese messaging app Line announcing in January the creation of a new division called Line Financial which would allow exchange of digital currencies.

Starbucks Executive Chairman Howard Schultz has said the company are also expected to adopt blockchain technology for a payments application. “I think blockchain technology is probably the rails in which an integrated app at Starbucks will be sitting on top of,” said Schultz.

The Fundstrat report suggested Facebook and Amazon would also announce a crypto strategy this year. In a separate report LendEDU quoted a poll by Pollfish conducted at the end of February. It said that 51.7 per cent of Americans would use an Amazon-created virtual currency for purchases.

For more detail : Wall St strategist: $25k Bitcoin by year end

[sakura]

Is Ripple the best cryptocurrency to invest in?

Ripple is emerging as the cryptocurrency with the most real world use as more financial institutions partner with it to provide payment solutions

Ripple is emerging from the pack of cryptocurrencies as one of the most likely to make a big impact in the financial services sector. Major companies are partnering with Ripple on payments projects to use its platforms. If these prove fruitful Ripple’s blockchain technology will take a step closer to becoming anindustry standard.

Saudi Arabia’s central bank announced on February 14 that it was partnering with Ripple on a payments ledger. The system enables local banks to deploy Ripple’s xCurrent for cross-border payments and will save up to $400 million per year, according to Moody’s Investor Services.

It’s not the first central bank Ripple have cooperated with. The Bank of England (BoE) successfully completed a proof of concept eight months ago to synchronise a payment between two central bank systems. It was part of the BoE’s exploration of solutions on how to update their payments systems.

Then, Mark Carney, governor of the BoE, said the cryptographic system that underpins virtual currencies is “not sufficiently mature” to support the scale of the bank’s payment requirements. However, the test “highlighted areas where we would like to conduct more exploratory work.”

Could Ripple provide the technology that changes financial services?

Ripple’s Saudi partnership is the latest development of the technology and adds to the growing belief that Ripple could emerge as the cryptocurrency that will dominate changes in the financial sector.

The sheer number of digital coins that occupy the cryptocurrency space makes choosing which to buy tricky. Bitcoin is the biggest, most valuable and most well-known. But its blockchain technology has been surpassed by many new crypto entrants. An average bitcoin transaction now takes longer than an hour to process and settle, with an average cost of $28, which is essentially on par with a bank wire transfer.

Ripple leads the pack for processing speed and transaction fees. Analysis by HowMuch.net states Ripple can handle 1,500 transactions per second (200 times more than Bitcoin) at a cost of a fraction of cent. This makes it a prime candidate to really disrupt traditional payments industries.

The superior efficiencies perhaps explains why Ripple has already secured major financial partnerships with American Express and Banco Santader. The latter’s mobile payment app will use Ripple’s xCurrent technology for its clients in Spain, Brazil, UK and Poland.

For more detail : Is Ripple the best cryptocurrency to invest in?

[sakura]

Bitcoin value can reach $50k this year

Bitcoin value has dropped by almost 45% after hitting a high of almost $20k this month but some experts feel the crypto currency is set to climb again in 2018

Cryptocurrency investors who joined late will feel the latest headline about Bitcoin value is a bad joke. Most people who invested in Bitcoin recently are sitting on negative equity or have cashed out losing.

Ethereum and Ripple backers have similar stories to share with their Bitcoin owning counterparts. But for portfolio manager Jeet Sign cryptocurrency volatility isn’t surprising and he envisages Bitcoin’s value hitting $50k this year.

Singh gave his views about cryptocurrencies to RT while attending the Davos Economic Forum in Switzerland. He’s been operating in the cryptocurrency space for the last six years. He’s seen similar volatility time and again. And he’s also experienced fluctuations by more than 80% and above on a regular basis.

Singh drew comparisons between cryptocurrency and the early performance of Microsoft and Apple stock.

“If you look at Microsoft or Apple when they went public their stocks were very volatile because the market wasn’t mature,” he said.

The lack of vendors accepting cryptocurrencies as payment results in cryptocurrencies being used more like as a store of value. However, in countries with high inflation (Indonesia and Thailand) cryptocurrencies are more readily accepted.

Bitcoin qualified differently around the world

In different countries bitcoin is qualified differently,” explained Singh. It is a commodity in the US, a currency in Switzerland “but to me it’s more than a currency.”

He predicts “bitcoin could definitely see $50,000 in 2018” but that it’s volatility will continue.

Singh’s outlook should bring some optimism to Bitcoin investors who bought into the digital currency recently and fear for their investment. His observations reinforce the belief that cryptocurrency is here to stay.

Big financial institutions are still wrestling with the dilemma of denouncing cryptocurrency or joining those investing in it.

The combined market value of cryptocurrencies has gone from less than $20bn to more than $540bn making it impossible to ignore.

Blockchain is the shared ledger technology behind cryptocurrencies. It also used to share data between companies, people and institutions.

The technology could also lead to stock exchanges and clearing houses being disintermediated. If smaller banks start using blockchain global forex trading houses like JPMorgan and Citigroup could lose out.

Perhaps reflecting the threat it poses a session entitled “the crypto-asset bubble” was held at the World Economic Forum.

Despite the fact that most banks refuse to touch cryptocurrencies many big financial institutions are investing time and considerable money exploring the potential of blockchain technology to improve post-trade settlement in financial markets and cross-border payments to trade finance and syndicated loans.

Banks are calling on regulators to tackle the new crypto-markets sooner rather than later. “We can’t deny that things are changing,” says Benoit Legrand, chief innovation officer at Dutch bank ING. “The world will include cryptocurrencies in the way we work in the next 10 years. But it needs to be regulated. This is absolutely key.”

For more detail : Bitcoin value can reach $50k this year

[sakura]

How far will cryptocurrrencies go for security?

Zcash go nuclear to generate random numbers to ensure security of digital coin in latest step by cryptocurrencies gain acceptance

The security of cryptocurrencies is an issue for some people. The founders of digital coins know that stories about exchanges being hacked damage their image.

For cryptocurrencies to be commonly used by the general public they must gain trust. The same trust that people have in the bank coins and notes they use to buy goods and services.

The developers of privacy-obsessed digital coin zcash have gone to unique (and extreme) lengths to ensure their digital currency’s security.

Zcash used nuclear waste from the infamous Chernobyl power station to create low-level radiation. This was converted into random numbers to generate zcash’s public cryptography parameters.

Extra layer of security for cryptocurrencies

To add a further layer of security, and hence prevent the code from falling into the wrong hands, they flew around 1km above sea level over Illinois and Wisconsin to carry out the procedure.

Many still need convincing about the relevance and legitimacy of cryptocurrencies. However, John McAfee believes they will be commonly used by half the world within the next five years.

For more detail : How far will cryptocurrrencies go for security?

[sakura]

Bitcoin mania: Join the rush or beware the bubble?

Bitcoin’s meteoric rise in value this year has outstripped even high-performing technology stocks tempting more investors to capitalise on the volatility while others steer clear fearful of a crash

When the Wall Street Journal’s headline reads Bitcoin: Even Grandma Wants In On The Action you can’t ignore it.

Bitcoin’s price swings have been prompting volatility-starved investors to join the biggest speculative boom since the 1990s dotcom fever.

Just six minutes into Bitcoin futures trading, the contract expiring in January which opened at $15,000 rose to $16,600.  Trading on Monday morning (December 11th) in London the contract was changing hands at $17,500. Bitcoin itself was at $16,635.05 according to CoinDesk. Right now there is no hotter ticket having started 2017 at $968.23.

Is Bitcoin a bubble?

Investment is being tempered by the fear that Bitcoin’s value is speculation driven. They’re wary of putting money into a bubble.

Some are convinced it’s the future. John McAfee – founder of the eponymously named software – doubled down on his previous prediction and claimed: “I’ll eat my own d**k on national TV if Bitcoin doesn’t surpass $1 million by 2020.”

More investors are setting aside Bitcoin’s questionable past and use by criminal elements. Some see it as a viable alternative to gold as an investment. Especially when faith ebbs in fiat currencies.

‘Millions of active Bitcoin users’

“We now have millions of active users,” said Peter Smith, chief executive of Bitcoin services firm Blockchain.info. “We didn’t have a million last year.”

Bitcoin’s meteoric rise has seen interest increase in other cryptocurrencies like Litecoin, Ethereum, Dash and Ripple. Microsoft are reportedly exploring Ripple’s Interledger protocol for their own blockchain toolkit offering.

CME Group Inc., the world’s biggest exchange group, announced they were launching a Bitcoin futures contract next week. Goldman Sachs Group Inc. has also fuelled interest further by announcing intent to introduce products based on the virtual currency. Who knows what the price will be when these financial instruments kick in.

For more detail : Bitcoin mania: Join the rush or beware the bubble?

[sakura]

A beginner’s guide to trading cryptocurrencies

Cryptocurrency trading

Cryptocurrency trading is becoming more and more popular and many investors are jumping on the cryptocurrency bandwagon. However, it is essential to understand that trading cryptocurrencies is not necessarily a ‘Get rich quick scheme’. Before you start investing in cryptocurrencies, it is important to do your research. Read our guide and find out all you need to know about trading cryptocurrencies.

What are cryptocurrencies?

Cryptocurrency is a digital or virtual currency that uses cryptographic techniques to secure transactions and control the creation of additional units of the currency. Cryptocurrencies are a digital asset and exist only in an electronic form.

What are the most common cryptocurrencies?

The most common cryptocurrencies are Bitcoin, Ethereum, Ripple, Litecoin, Dash, Monero, and Zcash.

What is the blockchain?

The blockchain is a decentralised, digital technology of all cryptocurrency transactions. It is constantly growing as the most recent transactions are recorded and added in chronological order. The first blockchain was developed in 2008 with bitcoin.

Any blockchain will work with a digital currency, also called a token. Transactions between network users are grouped into blocks. Each block is validated by the ledger keepers of the network, known as ‘miners’, according to techniques that depends on the type of blockchain. When the block is validated, it is added to the chain of blocks and the transaction can be seen by the receiver as well as the whole network. The validation process takes some time depending on the type of blockchain.

For more detail : A beginner’s guide to trading cryptocurrencies

[sakura]

How to buy cryptocurrencies through an exchange: a step-by-step guide

If you are interested in buying cryptocurrencies, there are many crypto exchanges operating all around the world that allow you to buy cryptocurrencies. It is a good idea to register and verify your accounts with multiple exchanges. The reason for this is that the process can take time if there is an increase in registrations every time there is an increase in the price of Bitcoin. Different crypto exchanges have different features, fees, policies and coin listings. Leading brokers usually allow clients to use fiat currencies to buy cryptocurrency. These are traditional currencies such as Euros, Dollars and the British Pound.

A guide for buying cryptocurrencies

Once you have a basic understanding of cryptocurrencies, you can follow the steps below in order to start building your own portfolio.

1) Open an account with a cryptocurrency exchange

The first thing you need to know is where to buy cryptocurrencies. If you want to buy Bitcoin, there is a wide range of exchanges to choose from. Make sure your required cryptocurrency is listed on the exchange. Always research your chosen cryptocurrency exchange and read reviews.

2) Choose the cryptocurrencies you want to invest in long-term

You can invest in multiple cryptocurrencies. However, it is advisable to start with one currency first. There is a wide range of cryptocurrencies to choose from. There are thousands of cryptocurrencies available on exchanges around the world.

If you want to invest, you should enter initially with small amounts to familiarize yourself with the basic functions of the exchange.

It is also important to get used to the market volatility so that you don’t panic sell. During a rapid fall in prices, price swings can be huge in a very short period of time.

3) What price is your chosen cryptocurrency trading at?

An important thing you need to take into account is the price of your preferred cryptocurrency. For instance, you need to determine if it is cheap, at a high price or a low price. You should never make a purchase based only on the price. You should consider other factors as well. These factors are valuation, the available supply of currency, the technology it uses and the targeted market.

In order to maximize your gains, it is important that you apply the ‘buy low, sell high’ principle. This is a successful cryptocurrency trading strategy.

For more detail : How to buy cryptocurrencies through an exchange: a step-by-step guide

[sakura]

Samsung joins cryptocurrency bandwagon

Samsung reveals plans to create mining chips as it officially enters cryptocurrency arena

Samsung have announced that their foundry business makes chips designed for cryptocurrency mining. The move was reported by Korean newspaper The Bell who revealed the chips will be application-specific integrated circuit (Asic). It marks the first official move by Samsung into cryptocurrencies.

Garrick Hileman, a cryptocurrency researcher from the University of Cambridge, said the move indicates that Samsung does not see Bitcoin as a bubble that is about to burst.

Bitcoin may be the biggest and most popular cryptocurrency today. However, it has been joined by many others over the years with new coins being launched regularly. Samsung’s chip manufacturing decision is clearly influenced by more than Bitcoin. The combined market value of cryptocurrencies has gone from less than $20bn to more than $540bn making it impossible to ignore.

The South Korean company’s semiconductor business is booming. It overtook Intel to become the world’s biggest chipmaker last year. Asic chips are designed to carry out a single task, which in this case is mining.

Demand for chips grows with cryptocurrency

The demand for these chips has grown in parallel to the value of cryptocurrencies. Bitcoin is created by solving mathematical problems, with these calculations also maintaining the integrity of the transactions.

As more Bitcoins are mined, these problems become more difficult. Miners who used to use normal integrated graphics cards switched to GPUs designed for gaming. However, they are now turning to specially built ASICs.

Mining is how transactions are verified and added to the blockchain public ledger. Mining is also how new cryptocurrencies are released.

The recent shortage of high-end GPU cards has increased their prices, making Asic technology more appealing.

Samsung believes part of its popularity is down to its memory chips, with high demand from the computer server and mobile device storage markets in particular.

For more detail : Samsung joins cryptocurrency bandwagon

[sakura]

Is this the best time to get into cryptocurrency?

Rumours about exchanges being shut down in South East Asia and regulatory restrictions have affected cryptocurrency markets and seen prices fall. Does this make it the best time to invest in them?

Headlines about cryptocurrency have filled the news for months and helped fuel price increases in Bitcoin and others virtual coins.

While plenty acted quickly and got in on cryptocurrency, many other potential investors have cautiously considering held back. They feared the opportunity had gone when Bitcoin reached $20,000 and others like Ethereum and Ripple started making big gains.

Warnings about bubbles, regardless of who was making them, have largely gone unheeded. New price records have been set then broken on a regular basis. However, a market correction was always going to happen.

Rumours of a cryptocurrency ban

It’s been nothing like the drastic fall some commentators have predicted (remember Bitcoin was valued at around $900 in December 2016). However, on January 17 Bitcoin tumbled to $10,000 after reports of a potential ban on cryptocurrency trading in South Korea. Fears of a regulatory crackdown sparked a domino effect on the cryptocurrency market. Ethereum dropped 23 per cent and Ripple 33 per cent on the same day.

Some view this as the beginning of the end of cryptocurrency trading. However, it’s more likely to be the breather this market takes while the new financial instruments growing up around cryptocurrencies settle in and the authorities firm up their decisions on how virtual coins will be regulated.

Prices are set to fluctuate further on fears of a collapse and others try to get out of cryptocurrency altogether. This is why it could be exactly the right time to make a shrewd investment in cryptocurrency.

Cryptocurrency set to stick around

The evidence that cryptocurrency will be around for a lot longer is hard to ignore.

Bitcoin futures have only just come into play. CME Group have launched their own futures contract. Just days ago, Goldman Sachs gave Bitcoin its biggest credibility boost yet. Bloomberg reported that Goldman Sachs is setting up a cryptocurrency trading desk. They also published the report Bitcoin as Money predicting cryptocurrency will be bigger this year than it was in 2017.

Even JP Morgan CEO Jamie Dimon said he regrets calling Bitcoin a fraud. And according to Forbes JP Morgan will position themselves as a future cryptocurrency clearinghouse.

Blockchain technologies are the backbone of the crypto world and it seems increasingly likely that this technology will go mainstream. The likes of Microsoft, IBM, Maersk and even Kodak are investigating methods on how to implement blockchain.

For more detail : Is this the best time to get into cryptocurrency?

[sakura]

Bitcoin takes a big stride away from fringes of finance

Bitcoin’s value surged past $7000 on November 2 setting a new high on the back of news that CME Group will offer a futures option later this, the move may be a pre-curser to Bitcoin becoming an exchange-traded fund and acceptance by mainstream finance

CME Group’s October 31 announcement to offer futures on Bitcoin this month sent the cryptocurrency surging past $6,400. The move brings Bitcoin closer to mainstream finance, placing it alongside CME’s futures on interest rates, indices, commodities and currencies.

Bitcoin’s price has soared. It started the year at $966, broke $5,000 on October 11 before settling at $6,362.65 on October 31.

Futures are derivatives contracts that investors typically use to speculate on prices or hedge risk against turns in the market. Other major markets like stocks, bonds, commodities and currencies all have derivatives based on them. CME’s futures option would allow investors to hedge that Bitcoin’s price will rise, something that is difficult at present.

Bitcoin price index based futures contract

The move is significant because CME Group is the world’s largest derivatives exchange. CME explained that the futures will be cash-settled and based on their CF Bitcoin Reference Rate.

The news comes as a surprise because in September CME president Bryan Durkin told Bloomberg: “I really don’t see us going forward with a futures contract in the very near future.”

However, Terry Duffy, CME Group chairman and chief executive officer, explained that they were simply responding to increased interest in Bitcoin and that the new vehicle “will provide investors with transparency, price discovery and risk transfer capabilities.”

Garrett See, DV Chain CEO told CNBC that CME’s announcement showed “cryptocurrencies are gaining more legitimacy in the financial marketplace. It’s really exciting. I think it’s going to bring a lot of liquidity.”

Regulatory approval

The Bitcoin futures contracts is contingent on CME receiving approval from the US Commodity Futures Trading Commission (CFTC).

Duffy said on CNBC’s “Closing Bell” that he is “confident” the CME’s self-certification process at the CFTC and full application process will go through. “We’ve been working with the regulator. They understand our application. And they understand our model very, very well.”

The CFTC declared cryptocurrencies a “commodity” in 2015, enabling it to police futures contracts based on them. The agency recently warned that unregistered cash bitcoin markets are susceptible to “bucket shop” schemes, “Ponzi schemers” and “fraudsters seeking to capitalise on the current attention focused on virtual currencies”.

Bitcoin and cryptocurrencies has a vocal legion of sceptics and critics who have repeatedly warned of its potential dangers.

Joe Saluzzi, a principal at Themis Trading told CNBC says he likes Bitcoin and the concept behind it. But, warned: “I have a problem that on Wall Street the innovators are trying to package something up (Bitcoin) and put a derivative label on it when they really don’t know what’s underneath. It reminds me of the financial crisis all over again.”

For more detail : Bitcoin takes a big stride away from fringes of finance

[sakura]

Cryptocurrencies and gold: You need to take a position

Cryptocurrencies and gold are often written about as either / or positions for an investor’s portfolio as they act as an alternative to currencies but they have can work well in combination

Any trader looking to make money on cryptocurrencies and gold markets needs to invest time researching before taking a position.

If you do a search on cryptocurrencies it won’t be long before you’ll see an article that compares their merits against gold.

Should you invest your hard-earned money in gold or cryptocurrencies? They ask, and variations on that theme.

The number of these articles implies that they are somehow in competition with each other.

But it’s a phoney war. Both have a different role to play in the world of finance and in your portfolio.

Gold offers stability

One of the reasons gold has stood the test of time is the stability it offers against the unpredictability of currencies and the sudden collapses that have taken place throughout history that can wipe out fortunes in an instant.

Gold is the perfect way to hedge against risk, impervious to natural, financial or political disasters.

Cryptocurrencies also offer a viable alternative to traditional currencies because they are decentralised, meaning no central authority can take it away from you.  

But they differ in tangibility. Gold has been around forever and relied upon for centuries. Cryptocurrencies have no history, they are so new people are still waking up to them and their possibilities.

The sense of value that comes in physically holding gold can’t be replicated by cryptocurrencies. They don’t ‘feel’ as safe as gold because they rely on an internet connection, they can’t be seen, they can’t be held.

Cryptocurrencies are the future

But in reality, very few people reading this will have actually bought anything with gold. The likelihood is that most never will. However, there is a strong possibility that some will make a transaction with a form of cryptocurrency in the future.

Their full role or use hasn’t been fully explored or understood which has led to sceptics expressing caution. Ray Dalio of Bridgewater Associates is concerned that Bitcoin (a leading cryptocurrency) is a speculative market that was a bubble.

JPMorgan chief Jamie Dimon went even further. He described it as a fraud and warning that he’d fire any trader he caught buying or selling it.

But Bitcoin and other cryptocurrencies are necessary because people are losing trust in money. Gold offers the sense of security people are looking for but it lacks genuine usability.

For more detail : Cryptocurrencies and gold: You need to take a position

[sakura]

Bitcoin mania: Is it too late to join the rush?

Bitcoin’s meteoric rise in value this year has outstripped even high-performing technology stocks tempting more investors to capitalise on the volatility while others steer clear fearful of a crash

When the Wall Street Journal’s headline reads Bitcoin: Even Grandma Wants In On The Action you can’t ignore it.

Bitcoin’s price swings have been prompting volatility-starved investors to join the biggest speculative boom since the 1990s dotcom fever.

Just six minutes into Bitcoin futures trading, the contract expiring in January which opened at $15,000 rose to $16,600.  Trading on Monday morning (December 11th) in London the contract was changing hands at $17,500. Bitcoin itself was at $16,635.05 according to CoinDesk. Right now there is no hotter ticket having started 2017 at $968.23.

Is Bitcoin a bubble?

Investment is being tempered by the fear that Bitcoin’s value is speculation driven. They’re wary of putting money into a bubble.

Some are convinced it’s the future. John McAfee – founder of the eponymously named software – doubled down on his previous prediction and claimed: “I’ll eat my own d**k on national TV if Bitcoin doesn’t surpass $1 million by 2020.”

More investors are setting aside Bitcoin’s questionable past and use by criminal elements. Some see it as a viable alternative to gold as an investment. Especially when faith ebbs in fiat currencies.

‘Millions of active Bitcoin users’

“We now have millions of active users,” said Peter Smith, chief executive of Bitcoin services firm Blockchain.info. “We didn’t have a million last year.”

Bitcoin’s meteoric rise has seen interest increase in other cryptocurrencies like Litecoin, Ethereum, Dash and Ripple. Microsoft are reportedly exploring Ripple’s Interledger protocol for their own blockchain toolkit offering.

CME Group Inc., the world’s biggest exchange group, announced they were launching a Bitcoin futures contract next week. Goldman Sachs Group Inc. has also fuelled interest further by announcing intent to introduce products based on the virtual currency. Who knows what the price will be when these financial instruments kick in.

For more detail : Bitcoin mania: Is it too late to join the rush?

[sakura]

Why FXB has chosen Bitpay

FXB Trading is accepting bitcoin payments through Bitpay, a leading Bitcoin payment service provider.

Bitcoin (BTC) is an online virtual currency with no centralized exchange. It is a unique electronic currency which is increasingly popular worldwide.

Advantages of Bitcoin

One advantage of Bitcoin is that there are no transaction costs. All bitcoin transactions are digitally recorded on public networks without banks or clearing agencies playing a role. There are normally no transaction costs involved in bitcoin, even for global transfers.

In addition, bitcoin allows customers to transfer in and out of bitcoin toward any local currency with minimum effort.

Furthermore, Bitcoin is particularly beneficial for traders from developing countries. This is because they have restricted access to wire transfers or credit card payments.

Unlike credit card payments, bitcoin transfers can be as small as a dollar. They are not subject to the frequent credit card declines which affect traders paying from developing countries.

Low transaction costs and instant transfers make bitcoin the ideal payment method.

For more detail : Why FXB has chosen Bitpay

[sakura]

Everything you need to know before you buy cryptocurrencies

You’ve been following cryptocurrencies for a while and seen Bitcoin rise in value from cents to its highest point of almost twenty thousand dollars. You have been thinking about joining the crypto rush but your knowledge is very limited. You want to invest an amount of $500 and are probably wondering which cryptocurrencies to invest in.

However, before you buy, you should do your research in order to find out everything there is to know about cryptocurrencies. To help you, we have compiled our own research. Read on to find out more.

What is Bitcoin?

Bitcoin is a popular digital currency created and stored electronically. It is digital money that is not linked to any financial institution, banking or currency system which can be transferred between individuals without any financial intermediaries.

What makes Bitcoin valuable?

Bitcoin gets its value because many people want to trade and accept it. It follows the basic rules of supply and demand. As people hear about others making money from cryptocurrencies, they buy their own and this makes the price increase.

Is Bitcoin unique?

No. There are more than 1300 other cryptocurrencies that investors can buy.

Which is the best way to buy Bitcoin and other cryptocurrencies?

The best way to start buying is by opening a wallet with one of the largest cryptocurrency exchange websites (online). You can buy most of the popular cryptocurrency and keep them in the same wallet.

What is a wallet?

A cryptocurrency wallet is a software program that is used to store, send, receive and keep a record of the balances of cryptocurrencies. Wallets also interact with different blockchains to complete transactions. They also store the private and public keys needed to make these transactions.

For more detail : Everything you need to know before you buy cryptocurrencies