Boring Bitcoin Report

Happy Two-Thirds Day!

Today the Bitcoin protocol issued its 14 millionth bitcoin – 7 million more to go!

For daily updates and breaking news, follow us on Twitter @BoringBitcoin, and Facebook: Boring Bitcoin Report.

Click on the headlines below for links to the full story.

 Government Scoop

The Economist: Benjamin Lawsky “Shock Therapy” A State Regulatory Generates Controversy

Last week The Economist published a feature article on New York Department of Financial Services Superintendent Ben Lawsky, calling him a “controversial figure.”  While the Bitcoin community knows Lawsky as the first state regulator to publish a comprehensive proposal to regulate virtual currencies, the traditional foreign financial services firms “are looking for ways to minimize their business in New York” because “they have been hit particularly hard because they lack domestic political advocates.” In the past 3.5 years, DFS has levied over $5.3 billion in fines from financial institutions.

Trendon Shavers Pleads Not Guilty To NY Fraud Charges

The operator of virtual hedge fund Bitcoin Savings and Trust, Trendon Shavers, has pled not guilty to charges of securities and wire fraud. Shavers was arrested in November and accused of running a bitcoin ponzi scheme promising outrageous returns on investments and stealing an estimated 764,000 BTC from investors.  Shavers was already fined $40.7 million in 2014 from a US District Court in Texas in another case brought forward by the SEC.

Industry Scoop

Factom Software Sale Launches Today  

Factom is a blockchain infrastructure software play that is looking to change the way businesses and governments manage their data and keep records. Factom was founded by David Johnston, Paul Snow and Peter Kirby and backed by investors including DApps Fund and Tally Capital.

Image Credit: @Factomproject

Estonian LHV Bank Partners With Bitcoin Exchange CoinFloor

Estonia-based LHV Bank “the most pro-Bitcoin bank in Europe” has partnered with UK-based Bitcoin exchange CoinFloor to handle user deposits. LHV is also the bank behind Coinbase’s Europe expansion into 13 new countries. The UK has been working to draw digital currency business into their jurisdiction.  Given the financial access challenges bitcoin business face in the US, this will likely be a draw for start-ups to establish operations in the UK.

Image Credit: @LHVBanka

Credit Suisse Publishes Paper on Bitcoin

Credit Suisse has joined the Bank of England and Goldman Sachs by releasing a positive paper on bitcoin’s impact on the financial industry. In the report, Credit Suisse analyst Jonathan Horlacher states bitcoin’s low transaction rates and easy remittance method make it a legitimate currency but also argues that bitcoin’s greatest strength and weakness is its decentralization.

Image Credit: @Creditsuisse

Coinigy Raises $100K in Seed Funding

Milwaukee-based trading platform Coinigy has raised $100,000 in seed funding. The funds will be used to improve its existing trading platform as well as to develop a new universal API that will allow users to access data from 24 different bitcoin exchanges to give users an integral insight into digital currency markets.

Image Credit: @Coinigy

Bitcoin Exchange Bitt to Bring Digital Currencies to the Caribbean

Bitt is set to become the Caribbean’s first bitcoin exchange on its opening day, March 30. It is poised to serve the 60% of Caribbeans who are unbanked or under-banked. Bitt will also offer “core services” such as digital wallets, remittance services and an e-commerce merchant payment system.

Bitpay Partners with NETELLER to Expand Global Transactions

Bitcoin payment processor Bitpay has partnered with NETELLER, owned Optimal Payments, by enabling their global network to accept bitcoin. The partnership will allow the prepaid cards to be loaded with bitcoin, saving the user up to 5%.

Forbes Author: Regulation on the Way for Bitcoin Industry

Bitcoin regulation has long been a topic of discussion as more bitcoin exchanges have opened such as Coinbase, Bitstamp, Bitfinex and BTCChina, with different levels of regulation. Tyler Winklevoss told Fortune that 2015 will be “the infrastructure year” for bitcoin in America and “establishing regulated exchanges is crucial to that infrastructure.”

Rivetz and Factom Add Device-Level Security to Blockchain Ecosystem

Technology security firm Rivetz and blockchain technology company Factom are partnering to take security and privacy to “new levels” for their respective applications. The collaboration will use “Rivetz’s Trusted Execution model for the secure protection and processing of data and collection of user intent with Factom’s data layer on the blockchain to provide organizations in the financial, manufacturing, distribution and wholesale industries with the efficient means of verifying processes and registering data.”

 Boring Bitcoin Calendar

Inside Bitcoins – New York

April 27-29, 2015, New York, NY

Inside Bitcoins will be returning to New York on April 27-29 at the Javits Convention Center. The program will cover topics including bitcoin 2.0, blockchain-based startups, institutional investing, multi-sig wallets, risk mitigation, compliance, banking and fundraising, and more. Keynotes have been confirmed from Dan Morehead, CEO, Pantera Capital and Chairman, Bitstamp; Brian Kelly, Contributor, CNBC’s Fast Money and Founder & Managing Member of Brian Kelly Capital LLC; and Perianne Boring, Founder and President, Chamber of Digital Commerce. Get 10% OFF with the discount code CHAMBER. Register at insidebitcoins.com/new-york.

Virtual Currency Today Summit

April 29, 2015, Boston, MA

“Bitcoin and Beyond: The Next Disruptor in Payments.” The Virtual Currency Today Summit will be held at the Hilton Boston Back Bay and will look at the many factors that will shape the adoption and growth of Bitcoin and other similar currencies. Expert panelists will offer insights on how market stakeholders can push through barriers to embrace digital currency as the next generation of payments and transaction solutions, which will ultimately change the end-user customer experience.

Tweet of the Week

Ex-federal agents accused of stealing Bitcoin during Silk Road probe. http://t.co/qGi2cvGRXw.

— CNN Breaking News (@cnnbrk) March 30, 2015

Pic of the Week

Wall Street continues to embrace bitcoin: Noble Markets partners with Nasdaq Photo credit: Nasdaq OMX Media Team

 Quote of the Week

Bitt co-founder Gabriel Abed, to Caribbean news outlet Guardian:

 “We are riding a technology wave with finance that is cutting costs, making it faster, making it cheaper, making it possible for people outside of the banking systems to control their money using their mobile phones.”

For daily updates and breaking news, follow us on Twitter @BoringBitcoin, and Facebook: Boring Bitcoin Report.

Click on the headlines below for links to the full story.

Government Scoop

HM Treasury Reveals Bitcoin Regulation Plans

Her Majesty’s Treasury (HM Treasury) has issued a report on digital currency in conjunction with its annual budget speech. The report is largely positive towards digital currencies and outlines the government’s plans for regulation. The UK government plans to create a transparent regulatory framework with insight from the public. The report stated: “The government considers that digital currencies represent an interesting development in payments technology … the potential advantages are clearest for purposes such as micro-payments and cross-border transactions.” 10 million pounds is also reportedly slated for digital currency technology research.

Image Credit: @hmtreasury

Senate Committee Passes Amendment to End Operation Choke Point

An amendment to end Operation Chokepoint, a controversial Department of Justice program, passed the Senate Budget Committee on Thursday by a 13-9 vote. Under Operation Chokepoint, the DOJ has been investigating US banks and their relationships with money transmitters and others that have deemed as “high risk” for money laundering or fraud. It is widely known that Bitcoin companies are having a difficult time establishing and maintain banking relationships and having a bank account is considered a competitive advantage. Some believe Bitcoin’s banking woes can at least partially be attributed to Operation Chokepoint.

US House Members Form Payments Congressional Technology Caucus

Several members of the US House Financial Services Committee have formed a bipartisan Congressional Payments Technology Caucus to educate the public on electronic payments. The CPTC will also “explore the new and innovative technologies in the payments industry, as well as answer questions about data security, unbanked users’ access to electronic payments.” Members include Representatives Lynn Westmoreland (R-GA), Randy Neugebauer (R-TX), David Scott (D-GA) and Kyrsten Sinema (D-AZ).

Industry Scoop

NASDAQ To Power Nobel’s Bitcoin Marketplace

The NASDAQ OMX Group announced a partnership with Nobel Markets to provide its X-stream Trading technology to power the startup’s digital currency marketplace.  This is the first Bitcoin company to announce a partnership with NASDAQ, which is one of the largest stock exchanges in the world powering over 70 marketplaces. John Betts, Noble Markets Founder & CEO said, “Noble was founded on the principal of bringing credible market structure and institutional trading expertise to the cryptocurrency marketplace.” This announcement is essentially Nobel Market’s coming out party, as this is the first public announcement from the company.

Rakuten To Accept Bitcoin Via Bitnet

Japan’s largest online retail firm, Rakuten, recently announced they will begin accepting bitcoin for payment from US customers using the bitcoin payment processor, Bitnet. Rakuten plans to expand to Germany and Austria next. This will make Rakuten one of the largest e-commerce companies in the world to accept digital currencies, next to Dell, Overstock and Microsoft.

Image Credit: @Rakutenglobal

Ex-DOJ Chief to Advise BitFury on Security

A former chief from the Department of Justice’s Criminal Division is joining BitFury. Jason M. Weinstein resigned from the DOJ in 2012 amid a controversial congressional investigation into the “Fast and the Furious” weapons trafficking sting. Weinstein will engage in private consulting with BitFury on security matters and will maintain his day job at DC law firm Steptoe & Johnson LLP. Weinstein told the Wall Street Journal: “I think [BitFury’s managers] understand from the point of view of law enforcement that you want to have the companies that secure the blockchain in places where there is transparency.”

Image Credit: Steptoe & Johnson LLP

Deep-web Bitcoin Market Admins Disappear With $12m in Bitcoin

A little over a year after it “surfaced,” the second largest online illegal marketplace, Evolution, has disappeared overnight. The operators of the marketplace are suspected of running off with over $12 million in bitcoin. The underground marketplace did offer multi-signature services for security-minded users, but few took advantage of the feature because it was inconvenient for trading. Evolution rose to prominence after the arrest of Ross Ulbricht in connection with the infamous Silk Road. Users of the site have started funding bounties for information relating to the crime.

Ripple Labs Adds Former State Department Official To Their Advisory Board

Former US State Department official Anja Manuel has joined the advisory board at payment network Ripple Labs. Manuel will reportedly play a key role in the company’s international expansion. Ripple announced in January that former White House Advisor, Gene Sperling would join its Board of Directors. Manuel said, “[Ripple] has the potential to expand the global economy through increased trade, and enables better, more transparent regulatory oversight of payments. I am excited to help build on Ripple’s impressive momentum and help it to gain traction internationally.”

Image Credit: @ripplelabs

New Report: Nearly 5 million Will Use Bitcoin by 2019

Active bitcoin users will grow from 1.3 million users to 5 million by 2019 according to a report recently released by Juniper Research. Although several high-profile retailers have recently accepted bitcoin, activity levels are still low online and in person and the majority of the growth in daily transaction volume comes from established users, as opposed to consumers new to the digital currency. The report also found that criminals using digital currencies for deep web purchases, money laundering and high profile hacking of bitcoin exchanges are keeping new users at a minimum. Despite this, Juniper concludes that consumer adoption will grow through bitcoin exchanges, rather than retailers.

Image Credit: @juniperresearch

Coinbase Chief Compliance Officer Resigns, Company Under Scrutiny

Chief compliance officer for Coinbase, Martine Niejadlik, has resigned “to spend more time with her family.” However, Coinbase has recently been scrutinized in the media for multiple compliance related issues. The most shocking regarded an investment pitchdeck that touted Bitcoin’s ability to thwart international sanctions. Niejadlik has had a long career in regulatory compliance, winning praise for her work at companies like PayPal, Ebay and Amazon.

Martine Niejadlik, Image credit: CoinBase

Bitreserve Adds New Billionaire Investor

Bitreserve, a bitcoin payment system started by CNET founder Halsey Minor has a new investor. Mexican billionaire Ricardo Salinas-Pliego will partner with the company to help set up a remittance service at the retail outlets he owns, which number more than 2000. Bitreserve also announced the launch of a new cloud money system, Changemoney.org and the acceptance of the Indian Rupee and the Mexican Peso. Since its launch, the company has accumulated $10 million worth of transactions and holds over $1 million in deposits.

Private Messaging App Banned in China for Adding Bitcoin Support

Popular chat application Wiper was removed from Apple’s iOS store in China for its new link to bitcoin. The app, which allows encrypted chats and phone calls, was banned after enabling a new feature that allows users to send the digital currency to each other while using the app. The company said it has added eight million new users in the last three months and the addition of the bitcoin payment option was met with “overwhelming support,” especially among its Asian users.

Boring Bitcoin Calendar

Loyola Consumer Law Review

March 27, 2015, Chicago, IL

This symposium will examine emerging payment systems that are innovating on traditional payment rails, such as mobile payments and prepaid products, in addition to blockchain technology, the payment rail behind Bitcoin and other cryptocurrencies. Industry professionals will navigate the current landscape of emerging payments by analyzing the technology and business models responsible for the market shift, and the legal, regulatory, and compliance hurdles encountered by businesses and financial institutions.

Texas Bitcoin Conference

March 28-29, 2015, Austin, TX

The Texas Bitcoin Conference is a bitcoin technology summit with speakers, presentations and a hackathon. Key speakers include Steve Stockman, Congressional representative and bitcoin advocate, IBM Business Analytics and Strategy Architect Sumabala Nair and Founder and Partner of the Gilder Technology Fund, George Gilder.

Inside Bitcoins – New York

April 27-29, 2015, New York, NY

Inside Bitcoins will be returning to New York on April 27-29 at the Javits Convention Center. The program will cover topics including bitcoin 2.0, blockchain-based startups, institutional investing, multi-sig wallets, risk mitigation, compliance, banking and fundraising, and more. Keynotes have been confirmed from Dan Morehead, CEO, Pantera Capital and Chairman, Bitstamp; Brian Kelly, Contributor, CNBC’s Fast Money and Founder & Managing Member of Brian Kelly Capital LLC; and Perianne Boring, Founder and President, Chamber of Digital Commerce. Get 10% OFF with the discount code CHAMBER. Register at insidebitcoins.com/new-york.

Virtual Currency Today Summit

April 29, 2015, Boston, MA

“Bitcoin and Beyond: The Next Disruptor in Payments.” The Virtual Currency Today Summit will be held at the Hilton Boston Back Bay and will look at the many factors that will shape the adoption and growth of Bitcoin and other similar currencies. Expert panelists will offer insights on how market stakeholders can push through barriers to embrace digital currency as the next generation of payments and transaction solutions, which will ultimately change the end-user customer experience.

Tweet of the Week

Nasdaq to provide trading technology for startup Noble Markets’ new digital-currency marketplace http://t.co/syUZuRUoJB #bitcoin

— Michael Casey (@mikejcasey) March 23, 2015

Pic of the Week

Brazilian Bitcoin User Attempts to Climb Mount Everest. Image Credit: @bitcoin_ita

Quote of the Week

Former DOJ head Jason M. Weinstein to the Wall Street Journal:

“The glass-half-empty view of the blockchain is that this is anonymous and we are never going to be able to track criminals, but the glass-half-full view is there is traceability and a real advantage in having every transaction in the history of the currency available.”

Chamber of Digital Commerce

Invites You To A Complimentary Webinar

March Regulatory Affairs Update

TOPICS DISCUSSED INCLUDE:

1. California Assembly’s AB-1326, requiring money transmission licenses for all persons/businesses engaging in virtual currency business activities
2. New York’s Department of Financial Services’ (DFS) updated BitLicense proposal
3. Consumer Financial Protection Bureau’s (CFPB) proposed rule on prepaid cards

For more information click here

Boring Bitcoin Report

For daily updates and breaking news, follow us on Twitter @BoringBitcoin, and Facebook: Boring Bitcoin Report.

Click on the headlines below for links to the full story.

Government Scoop

Isle of Man Still Wants to Become Bitcoin Haven

Located between Northern Ireland and the west coast of England, The Isle of Man, could become the first place in the world to pass a “regulatory framework” for digital currencies. The small, self-governing island, which operates with its own government, has proposed a legal framework to allow businesses using bitcoin and other cryptocurrencies to operate more safely and securely. The island is poised to benefit from FinTech companies that are looking for proximity to London, but with a better regulatory landscape.

UK Politician Exceeds Bitcoin Fundraising Goal by 50 Percent

A UK politician who has embraced digital currency donations has exceeded her target fundraising goal by 50%. Green Party candidate Gulnar Hasnain, running for the constituency of Vauxhall in London, has raised roughly $2200 through “cryptocurrency crowdfunding.” The money will be used to produce leaflets explaining the Green Party’s stance on housing, tax evasion, and the environment. Hasnain joins Texas governor Greg Abbott and Swedish Parliament’s Mathias Sundin, as candidates who have embraced digital currencies for donations.

Image Credit: @gulnar73

Industry Scoop

IBM May be in Talks with Central Banks for Bitcoin Technology

IBM is reportedly developing a Bitcoin-like technology that would be controlled by central banks. In a Reuters exclusive, an anonymous source said the company held “informal” talks with several central banks, including the Federal Reserve to develop a bitcoin-tied cash system. IBM has experimented with blockchain technologies before. They recently introduced several services for a partnership with Samsung including ADEPT, which uses peer-to-peer file sharing system BitTorrent, ethereum, which deals with smart contracts and TeleHash, peer-to-peer messaging.

Image Credit: @IBM

Chinese Yuan Commands Majority of Bitcoin Trades

A new Goldman Sachs report reveals that 80% of bitcoin volume is exchanged in and out of the Chinese yuan. According to the report, day traders and younger Chinese citizens see more of an opportunity to profit off of bitcoin, as opposed to investing in property or the stock market. Digital currency lawyer Rowland Sun stipulates loopholes that allow companies to circumvent China’s ban on bitcoin trade is another reason the digital currency continues to flourish there. In addition, China sees a substantial amount of bitcoin mining, which is said to also be a contributing factor.

Image Credit: @goldmansachs

‘Secretive’ Bitcoin Startup Raises Record 116 Million

Bitcoin startup 21 Inc. has raised $116 million, a record amount for a digital currency startup. The San Francisco-based company is not yet, however, “publicizing the precise nature of its operations.” Co-founder Matthew Pauker is expected to reveal the company’s software and hardware products in the coming months. 21 Inc. has garnered investments from venture capitalists and tech luminaries like PayPal co-founders Peter Thiel and Max Levchin, Dropbox CEO Drew Houston, Expedia CEO Dara Khosrowshahi and tech giant Qualcomm.

Image Credit: 21 Inc.

More African Migrants Opt to use Bitcoin for Remittance

More migrant workers in Africa are turning to bitcoin as an option for sending money home. BitPesa’s CEO Elizabeth Rossiello told the BBC that “a shortage of payment options” is driving the uptick, in addition to the lower cost per transaction. BitPesa’s 3 percent fee is significantly lower than the 12.3 percent on average charged by other remittance services. Rossiello added BitPesa’s business has been growing about 60 percent “month-on-month.” Over 30 million Africans send nearly $40 billion USD home each year.

Image Credit: @Bitpesa

Ex-JP Morgan Exec Joins Bitcoin Startup

One of the pioneers of the credit-default swap and former JPMorgan Chase Executive, Blythe Masters, is joining Chicago-based Digital Asset Holdings, a financial software company. Masters was head of JPMorgan’s commodity unit but left last April because it wasn’t performing up to expectations. Digital Asset plans to utilize blockchain technology to improve the financial transaction process by providing their customers with financial software. “We’re not seeking to disintermediate and destroy the current financial system… We’re seeking to make it stronger, better and safer,” said Masters.

Image Credit: @jpmorgan

Partnership Announced to Deploy ‘BitSats’

Dunvegan Space Systems has announced a partnership with Deep Space Industries Inc. to build 24 BitSats, satellites that will broadcast and keep record of bitcoin transactions. Bitcoin core developer Jeff Garzik who heads the company, first introduced the idea for the technology last year. The project was initially slated to be paid for through crowdfunding, but instead is seeking customers to to pay $1 million per satellite including launch, or $19 million for 24 satellites, including launches. Garzik told the Wall Street Journal,“Basically we look at [the BitSat] as a platform that can do on-demand data broadcasts to any location on earth, as well as store data for customers.”

Image Credit: @godeepspace

BitGo Announces Upgrade to Multi-Sig Wallet and Free Services

Bitcoin security provider BitGo has introduced product and service updates, including upgrades to its multi-signature bitcoin wallet. BitGo will now be free of charge to individuals and free to try for businesses. The company has also improved the “ease of use” of their bitcoin software. BitGo CEO Will O’Brien said in a press release, “We are incredibly excited to now offer the security controls and capabilities of BitGo free to all individual holders of bitcoin.”

BitPay Signs Referral Agreement with Payment Processor

BitPay, a bitcoin payment processor, has reached a referral agreement with a traditional payment processor, Heartland Payment Systems. This is now the second referral agreement with a traditional payment processor that BitPay has publically announced. The first was with Global Payments, which was reported last August. Heartland is the fifth largest payment processor in the US and boasts over 300,000 businesses and educational locations in their network. As part of the program, Heartland will identify the businesses and organizations that would see the most benefit from accepting bitcoin and refer them first.

Image Credit: @Bitpay

In other news…

Teen Convicted After Spending 30,000 Mistakenly Deposited Into Account

A teenager in Madison County, Georgia was convicted after spending $30,000 mistakenly deposited into his account by a bank teller. Steven Fields will serve 10 years’ probation and was ordered to pay the money back. The money was originally deposited by another Steven Fields, who is 70-years-old after he sold property. The teen reportedly spent most of the money on a BMW. He has since been arrested for possession of illegal drugs.

Boring Bitcoin Calendar

 Loyola Consumer Law Review

March 27, 2015, Chicago, IL

This symposium will examine emerging payment systems that are innovating on traditional payment rails, such as mobile payments and prepaid products, in addition to blockchain technology, the payment rail behind Bitcoin and other cryptocurrencies. Industry professionals will navigate the current landscape of emerging payments by analyzing the technology and business models responsible for the market shift and the legal, regulatory, and compliance hurdles encountered by businesses and financial institutions.

Texas Bitcoin Conference

March 28-29, 2015, Austin, TX

The Texas Bitcoin Conference is a bitcoin technology summit with speakers, presentations and a hackathon. Key speakers include Steve Stockman, Congressional representative and bitcoin advocate, IBM Business Analytics and Strategy Architect Sumabala Nair and Founder and Partner of the Gilder Technology Fund, George Gilder.

Inside Bitcoins – New York

April 27-29, 2015, New York, NY

Inside Bitcoins will be returning to New York on April 27-29 at the Javits Convention Center. The program will cover topics including bitcoin 2.0, blockchain-based startups, institutional investing, multi-sig wallets, risk mitigation, compliance, banking and fundraising, and more. Keynotes have been confirmed from Dan Morehead, CEO, Pantera Capital and Chairman, Bitstamp; Brian Kelly, Contributor, CNBC’s Fast Money and Founder & Managing Member of Brian Kelly Capital LLC; and Perianne Boring, Founder and President, Chamber of Digital Commerce. Get 10% OFF with the discount code CHAMBER. Register at insidebitcoins.com/new-york.

Virtual Currency Today Summit

April 29, 2015, Boston, MA

“Bitcoin and Beyond: The Next Disruptor in Payments.” The Virtual Currency Today Summit will be held at the Hilton Boston Back Bay and will look at the many factors that will shape the adoption and growth of Bitcoin and other similar currencies. Expert panelists will offer insights on how market stakeholders can push through barriers to embrace digital currency as the next generation of payments and transaction solutions, which will ultimately change the end-user customer experience.

Tweet of the Week

UK’s #Bitcoin Politician Exceeds Fundraising Target by 50% http://t.co/Y15PalLG9E pic.twitter.com/qNbd6rSn4K

— Coinfeed (@CoinfeedIO) March 12, 2015

Pic of the Week

Crypto Panel at SXSW: (L to R) Kat Murti, Digital Marketing Manager, The Cato Institute @katmurti, Perianne Boring, Founder & President, Chamber of Digital Commerce @periannedc, Mark Calabria, Director of Financial Regulation Studies, The Cato Institute @markcalabria, Ashe Schow, Opinion Writer, Washington Examiner @asheschow, Cathy Reisenwitz, Editor-in-Chief Sex and the State blog @cathyreisenwitz

Quote of the Week

Bitcoin startup 21 Inc. Co-founder Matthew Pauker, to the Wall Street Journal:

“Bitcoin is going to change the way that people and businesses and even machines interact with each other. But for bitcoin to realize that vision we need mass adoption. It can’t just be for Silicon Valley.”

Communications Director Wanted

The Chamber of Digital Commerce is currently interviewing for a full-time communications director.  This role would require working closely with the Chamber President and the government affairs staff to develop and implement a communications strategy for the Chamber.  Assumed responsibilities would include publishing regular newsletters, creating presentations for webinars and other speaking engagements, managing the social media accounts and blog, and overseeing all marketing/PR initiatives.  This role would be highly entrepreneurial in nature. The Chamber is looking for someone that can embrace a startup mentality, work independently, and add value to the organization.

If you are interested in applying please email Perianne Boring at .

Inaugural Bitcoin Women’s Day

This Sunday was International Women’s Day, and a few of my female colleagues in bitcoin came together to launch Inaugural Bitcoin Women’s Day. It is estimated that only 8% of bitcoin users are female. Earlier this year, I was honored to be named CoinFilter’s #1 Woman in Bitcoin. However, I was appalled that not one woman made CoinDesk’s Most Influential People in Bitcoin poll this year. Women bring a different set of characteristics and talents to the boardroom. The bitcoin industry faces serious challenges and barriers to mainstream adoption. Embracing this demographic into the ecosystem will be essential for the future of bitcoin.

It’s not news that Bitcoin has a perception problem. Most people’s first impression of bitcoin is a scandal like Mt. Gox, Silk Road, or Liberty Reserve. What’s frustrating is that these scandals are not only continuing but getting worse, from funding terrorism to pedophile rings. Bitcoin has a dirty and unsafe reputation. Women are natural nurturers, protectors, and pay acute attention to image. In addition, women have tremendous control over household spending. It will take women’s work to drag bitcoin’s name out of the mud and into a trusted household brand.

Chinese-based Alibaba, one the largest e-commerce companies in the world, values women in business. Jack Ma, founder and executive chairman, was quoted saying “One of secret sauces of Alibaba is we have a lot of women”.  The bitcoin community needs more women in existing bitcoin companies, starting their own bitcoin companies, integrating blockchain technology into other non-bitcoin specific companies, and using bitcoin in their households.

My hope is that Bitcoin Women’s Day can shed light on the fact that bitcoin is not just for men, computer geeks or scientists.  Bitcoin offers the largest white space in our generation and this technology has the potential to penetrate any market, anywhere around the world. Everyone has something to offer the ecosystem, especially women.

For daily updates and breaking news, follow us on Twitter @BoringBitcoin, and Facebook: Boring Bitcoin Report.

Click on the headlines below for links to the full story.

Government Scoop

ECB Issues “Further Analysis” of Virtual Currency

The European Central Bank issued a follow-up to its 2012 study on “Virtual Currency Schemes.” The report acknowledged that bitcoin and other cryptocurrencies are gaining traction, but called them “inherently unstable.” The report’s authors added, “In theory, VCS could have an impact on monetary policy and price stability. However, it was concluded that VCS did not pose a risk for price stability in practice, provided that the issuance volume of virtual currency continued to be stable and their usage low.”

Image Credit: @ecb

California Company Tries to Trademark ‘Bitcoin’

The US Patent and Trademark Office turned down a California houseware company’s application to trademark the word ‘Bitcoin.’ Owner of Atlantic City Bitcoin, Russ Smith filed an opposition against the company, Urban Trend LLC. The motion resulted in a default judgment because the owner of Urban Trend failed to reply to questions required after the opposition was filed. The Bitcoin Foundation has long opposed any trademark of the word “bitcoin”, maintaining it should remain available for “public use.”

Image Credit: @uspto

Industry Scoop

FINRA Grants Approval to Bitcoin Investment Trust

Financial Industry Regulatory Authority granted approval to the Bitcoin Investment Trust last week. BIT, though technically a hedge fund, operates like an exchange-traded fund through a loophole in FINRA rules. BIT is poised to be the first publicly traded bitcoin fund in the US. Also in the race is the Winklevoss Bitcoin Trust, an ETF that is waiting to receive approval from the Securities and Exchange Commission.

Image Credit: @bitcointrust

Canadian Bitcoin Exchange To Go Public

A Bitcoin exchange in Canada could soon go public. Quadriga CX received approval from the Supreme Court of British Columbia allowing the company to conduct a reverse takeover of the Whiteside Capital Corporation. Quadriga has about 5,000 clients but the move will give them extra capital to expand their exchange and host additional services like remittance capabilities and merchant services. Already, Quadriga is said to be in talks with two online casinos to process their payments.

Image Credit: @QuadrigaCoinEx

MGT Capital Investments Files LOI to Merge with Tera Group

MGT Capital Investments and Tera Group have filed a Letter of Intent for a reverse merger with the Commodity Futures Trading Commission. The companies plan to form the first publicly traded US Bitcoin derivatives exchange. MGT currently runs “social and real money gaming sites online.” Tera launched TeraExchange, the first regulated platform for Bitcoin derivatives, and a spot Bitcoin index in September 2014. The news comes after Timo Schlaefer, formerly of Goldman Sachs, recently launched Crypto Facilities, a bitcoin derivatives brokerage firm in the UK.

Japan’s New Digital Currency Exchange Aims to Fill Mt. Gox Void

Japan-based Tech Bureau Inc. is launching a new digital currency exchange. Zaif Exchange supports Bitcoin and Monacoin. Tech Bureau recently bought local digital currency exchange Etwings after receiving $835,000 in venture capital funding from Nippon Technology Venture Partners. Tech Bureau’s CEO told CoinTelegraph that the collapse of Mt. Gox “fueled a lot of negative coverage” of bitcoin but he is hoping strong business practices can spur greater adoption of digital currencies.

Image Credit: Zaif Exchange

Peer-to-Peer Money Transfer App Wins Top Prize at Launch Festival

The former director of Netscape, Bill Barhydt, has won the top prize at Launch Festival 2015 for his new bitcoin venture Abra. The goal of Abra is to reduce fees associated with third party money transfers, billing itself as “the world’s first digital cash, peer to peer money transfer network.” The app, powered by bitcoin, will allow anyone with a debit card or cash to transfer money to anyone else with the app, through virtual “tellers.” Barhydt is known for giving the first TED Talk on bitcoin.

Image Credit: @abraglobal

Boring Bitcoin Calendar

Loyola Consumer Law Review

March 27, 2015, Chicago, IL

This symposium will examine emerging payment systems that are innovating on traditional payment rails, such as mobile payments and prepaid products, in addition to blockchain technology, the payment rail behind Bitcoin and other cryptocurrencies. Industry professionals will navigate the current landscape of emerging payments by analyzing the technology and business models responsible for the market shift and the legal, regulatory, and compliance hurdles encountered by businesses and financial institutions.

Texas Bitcoin Conference

March 28-29, 2015, Austin, TX

The Texas Bitcoin Conference is a bitcoin technology summit with speakers, presentations and a hackathon. Key speakers include Steve Stockman, Congressional representative and bitcoin advocate, IBM Business Analytics and Strategy Architect Sumabala Nair and Founder and Partner of the Gilder Technology Fund, George Gilder.

Inside Bitcoins – New York

April 27-29, 2015, New York, NY

Inside Bitcoins will be returning to New York on April 27-29 at the Javits Convention Center. The program will cover topics including bitcoin 2.0, blockchain-based startups, institutional investing, multi-sig wallets, risk mitigation, compliance, banking and fundraising, and more. Keynotes have been confirmed from Dan Morehead, CEO, Pantera Capital and Chairman, Bitstamp; Brian Kelly, Contributor, CNBC’s Fast Money and Founder & Managing Member of Brian Kelly Capital LLC; and Perianne Boring, Founder and President, Chamber of Digital Commerce. Get 10% OFF with the discount code CHAMBER. Register at insidebitcoins.com/new-york.

Virtual Currency Today Summit

April 29, 2015, Boston, MA

“Bitcoin and Beyond: The Next Disruptor in Payments.” The Virtual Currency Today Summit will be held at the Hilton Boston Back Bay and will look at the many factors that will shape the adoption and growth of Bitcoin and other similar currencies. Expert panelists will offer insights on how market stakeholders can push through barriers to embrace digital currency as the next generation of payments and transaction solutions, which will ultimately change the end-user customer experience.

Tweet of the Week

The boring people at #PrivacySummit go to FTC sessions. The cool people are learning about robots and #Bitcoin.

— Jim Harper (@Jim_Harper) March 5, 2015

Pic of the Week

Bill Barhydt, presenting Abra at Launch 2015. Image credit: Youtube.com/LaunchConf

Quote of the Week

PayPal creator Peter Thiel speaking at the ButtonWood Gathering in New York:

“PayPal had these goals of creating a new currency. We failed at that, and we just created a new payment system. I think Bitcoin has succeeded on the level of a new currency, but the payment system is somewhat lacking. It’s very hard to use, and that’s the big challenge on the Bitcoin side.”

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Click on the headlines below for links to the full story.

Government Scoop

California Assemblymember Introduces “Virtual Currency” Bill

Last Friday, California Assemblymember Matt Dababneh (D-San Fernando Valley) introduced AB-1326 “Virtual currency.” If enacted, Dababneh’s bill would prohibit any person or business from engaging in virtual currency business activities in the state unless they hold a money transmission license or exemption from the California Division or Business Oversight. The Federal Reserve system, US Postal Service, FDIC insured financial institutions, and merchants are all exempt from this bill.

Sect 1-26002 (a): “A person shall not engage in this state in the business of virtual currency unless the person is licensed or exempt from licensure under this division.”

BitLicense Provision: Top Bankers Could Be On the Hook For Money Laundering

Senior bank executives could be liable for their institution’s anti-money-laundering controls. That’s just one of a handful of new proposals from DFS Superintendent Benjamin Lawsky. The proposal would put more responsibility on the banks themselves and is based on provisions from the Sarbanes-Oxley Act. Speaking at Columbia University Law School, Lawsky said, “We need more individual accountability after misconduct occurs to help produce real deterrence.” The proposal also includes random audits of the AML systems banks have in place to make sure they are correctly identifying “suspicious activity.”

Image Credit: @BenLawsky

New Hampshire Moves Slowly Towards Allowing Bitcoin Tax Payments

Legislators in New Hampshire could soon decide whether to allow residents to pay taxes and fees using bitcoin. The New Hampshire Court General Ways and Means Committee is currently debating a bill that was introduced earlier this year by state representative Eric Schleien. Other states legislatures, such as Utah, are considering bills that will study the use of bitcoin as well.

 Industry Scoop

RE/MAX London Begins Digital Currency Pilot Program

U.K.-based based real estate company RE/MAX London is now accepting Bitcoin, Litecoin and Dogecoin for rental payments. The company is partnering with California-based payment processor GoCoin for what it is calling a “pilot-program.” In a press release, RE/MAX said, “Integrating with GoCoin’s platform will benefit both RE/MAX London and its tenants by offering instant and frictionless lease payments without the fees associated with credit cards and other traditional payments methods.” Regional director of RE/MAX London credits the company’s preeminence in the real estate market with its ability to leverage emerging technology. Steve Beauregard CEO and co-founder of GoCoin said while the rental market is the primary focus, they look forward to expanding into other areas of smart property as well.

Secure OS, Considered a Threat to NSA, Adds Bitcoin Wallets

Tails OS, which some experts call the most secure operating system in the world, has added a bitcoin wallet. The company announced the release of version 1.3 of their OS with an optional bitcoin wallet called Electrum. Tails has been referred to by the National Security Agency (NSA) as a “major threat,” because it can derail their information collection efforts.

Ex-Goldman director Opens Bitcoin Derivative Trading Platform

Former investment bankers from Morgan Stanley, BNP Paribas and Goldman Sachs have launched Crypto Facilities, a sophisticated trading platform for bitcoin derivatives. Customers of the London-based broker can trade options and futures of bitcoin. Timo Schlaefer, who left his position at Goldman Sachs to start Crypto Facilities, told CNBC that he sees the potential behind the blockchain. The firm falls under the regulation of the U.K. Financial Conduct Authority (FCA), which is said to be more “relaxed” than US regulators. Bank of England has also stated Bitcoin technology could “reshape the financial world.”

German Bank Customers Can Now Buy Bitcoins Directly from Accounts

Customers of German bank Fidor can now purchase bitcoins using their accounts through a partnership with German bitcoin exchange Bitcoin.de. It took the bank the last year and a half to comply with all necessary regulations. Despite Fidor being a relatively small bank, the service could be a “game changer” since it will allow people to buy bitcoin directly through the legacy banking system.

BitGo To Offer Comprehensive Insurance Coverage

Bitcoin multi-signature wallet provider, BitGo, announced last week that they have secured theft insurance coverage of up to $250,000 for their customers via the A-rated, XL Group. Customers of both BitGo’s enterprise service and their API platform will be covered from potential bitcoin losses and theft. “For our large enterprise customers, an insurance-backed guarantee is the final missing ingredient for peace of mind in a robust security software offering,” said Will O’Brien, CEO and co-founder of BitGo. Many in the community consider this a private sector alternative to FDIC insurance.

Bitcoin E-Voucher Program Expands in Turkey

A new e-voucher service for bitcoin, Bitupcard that functions similarly to prepaid mobile minutes or data vouchers was recently released in Turkey. The pilot program saw $25,000 worth of bitcoins sold in the first 10 weeks. The program is backed by Berlin’s MK Payment and Amsterdam’s Bit4coin. Users can exchange 50-500 Turkish lira, roughly $20-$200, for a unique coupon code that can be redeemed for bitcoin on the company’s website. The vouchers are available for purchase at 300 retail locations.

Another Bitcoin Miner Files for Bankruptcy

Privately funded Bitcoin mining company Aquifer LLC is filing for bankruptcy, blaming falling bitcoin prices. Aquifer claims to owe between 1 and 10 million to less than 49 creditors, according to court filings. One of Aquifer’s investors was Mega Big Power’s CEO, who was not aware of the bankruptcy proceedings. Aquifer joins other failed Bitcoin companies such as CoinTerra and HashFast currently mired in bankruptcy proceedings.

Android App Beats Apple Pay to Secure Bitcoin Mobile Payments

Bitcoin security company Rivetz has developed a new app for android that could beat Apple in creating a secure bitcoin payment platform. The company has partnered with Bitpay and created the app using hardware that already exists in the smartphone and uses secure Trustonic, compatible with over 350 million android devices. The app will be unveiled at the Mobile World Congress March 2 in Barcelona, Spain.

Boring Bitcoin Calendar

Loyola Consumer Law Review

March 27, 2015, Chicago, IL

This symposium will examine emerging payment systems that are innovating on traditional payment rails, such as mobile payments and prepaid products, in addition to blockchain technology, the payment rail behind Bitcoin and other cryptocurrencies. Industry professionals will navigate the current landscape of emerging payments by analyzing the technology and business models responsible for the market shift and the legal, regulatory, and compliance hurdles encountered by businesses and financial institutions.

Texas Bitcoin Conference

March 28-29, 2015, Austin, TX

The Texas Bitcoin Conference is a bitcoin technology summit with speakers, presentations and a hackathon. Key speakers include Steve Stockman, Congressional representative and bitcoin advocate, IBM Business Analytics and Strategy Architect Sumabala Nair and Founder and Partner of the Gilder Technology Fund, George Gilder.

Inside Bitcoins – New York

April 27-29, 2015, New York, NY

Inside Bitcoins will be returning to New York on April 27-29 at the Javits Convention Center. The program will cover topics including bitcoin 2.0, blockchain-based startups, institutional investing, multi-sig wallets, risk mitigation, compliance, banking and fundraising, and more. Keynotes have been confirmed from Dan Morehead, CEO, Pantera Capital and Chairman, Bitstamp; Brian Kelly, Contributor, CNBC’s Fast Money and Founder & Managing Member of Brian Kelly Capital LLC; and Perianne Boring, Founder and President, Chamber of Digital Commerce. Get 10% OFF with the discount code CHAMBER. Register at insidebitcoins.com/new-york.

Virtual Currency Today Summit

April 29, 2015, Boston, MA

“Bitcoin and Beyond: The Next Disruptor in Payments.” The Virtual Currency Today Summit will be held at the Hilton Boston Back Bay and will look at the many factors that will shape the adoption and growth of Bitcoin and other similar currencies. Expert panelists will offer insights on how market stakeholders can push through barriers to embrace digital currency as the next generation of payments and transaction solutions, which will ultimately change the end-user customer experience.

Tweet of the Week

1. #Bitcoin will change the world—just not overnight, over years. @Gartner_inc’s Hype Cycle: http://t.co/C8K5cUBSzX pic.twitter.com/SpFU0dODjU

— Dan Morehead (@dan_pantera) February 24, 2015

Pic of the Week

The New Hampshire General Court Ways and Means Committee hears testimony on bitcoin bill

Quote of the Week

Timo Schlaefer, to Coindesk:

“Bitcoin is a special realization of the blockchain technology … Whatever the new use of the blockchain technology will be, it’s probably going to be some crypto asset, some sort of virtual asset. If you have a framework for how to trade this asset, how to hedge risk and so forth, I think that’s quite valuable.”