Apr 282017
 
Greenfire supports blockchain business and technology. It is a belief held by Greenfire that business is growing into a blockchain technology based accountability system that will provide the move into a more sound money system. Aaryn Prettyman   Maybe you’ve heard the term “blockchain” but aren’t quite sure what it is. You’d be in good company. However you may want to start learning, as it just may be a technology platform that changes the ARM industry someday. In super-simple terms, blockchain is a decentralized way of keeping track of what is “true” (i.e. who owns what, who has signed what, who has paid what, etc.). This decentralized mechanism is called a “distributed ledger” – imagine a town checkbook, but instead of living in city hall, everyone in the town has a copy of it. Each time an entry is made it must be validated by everyone with a copy, and then everyone’s copy is updated. Each update is a new “block” in the “chain,” and each block needs all the other blocks to form the whole picture. The result is said to be a highly secure, transparent, interdependent chain.  Today, most information is tracked in major centralized databases owned by one company (or government) or another. As we know, these databases are often vulnerable to hackers, they are not at all transparent, and they can be difficult to get corrected when they are wrong. This has created a lack of trust in our systems, and makes it frustrating to do business. Blockchain was first used to manage bitcoin, the new kind of electronic currency that pretty much operates on the fringe. But many are now experimenting with a wide range of other, more mainstream uses. One example is that the State of Arizona has just passed a bill giving legal status to smart contracts and blockchain based signatures. Here’s what the bill says, "A signature that is secured through blockchain technology is considered to be in an electronic form and to be an electronic signature. A record or contract that is secured through blockchain technology is considered to be in an electronic form and to be an electronic record. Smart contracts may exist in commerce. A contract relating to a transaction may not be denied legal effect, validity or enforceability solely because that contract contains a smart contract term. For the purposes of this section: “Blockchain technology” means distributed ledger technology that uses (more…)
Dec 302016
 
Russian Airline and a Bank Execute a Blockchain Service Payment – CryptoCoinsNews The post Russian Airline and a Bank Execute a Blockchain Service Payment appeared first on CryptoCoinsNews. up JSC Siberia Airlines, commonly known under its operative name of S7 airlines has executed the first of its kind service payment using Ethereum blockchain smart-contracts through a letter of credit, with Russia-based Alfa-Bank. The announcement reveals that the agreement took place between the airlines and a counterpart using a letter of credit, through Alfa-Bank. A letter of credit is issued as a bank guarantee that payments will be made to a seller from the buyer. The bank issuing the letter of credit is obligated to cover the amount in the event that a buyer is unable to make the payment. Services giant Deloitte acted as the advisory consultant to the airline on blockchain technology, whilst providing legal support to the project. With the deal, smart contracts helped record the bank’s actions of opening and executing the letter of credit on a blockchain. In providing a conclusive statement, Artem Tolkachev, director of legal services for tech products at Deloitte said: Legally, this transaction meets all the requirements for a letter of credit as a form of bank settlement, and demonstrates the potential of smart contract application in the framework of Russian legislation. The Blockchain Service Payment The bank specifically provided members of the deal with an electronic “Alfa-business online” system where a customer could apply to open a letter of credit while a contractor is enabled with providing the bank documents upon provision of services. A “special cover account” sees funds written off from a customer’s account when the letter of credit is issued, and the funds reach the contractor’s account upon submission of documents confirming the transaction. S7 airlines deems the opening and the utilization of the letter of credit as the two main facets of the deal. “A blockchain record includes a hash (result of encryption) of the following information: deal identifiers (Taxpayer Identification Numbers (INN) of the customer and the contractor and type of works) and commercial terms (value of the letter of credit, date of opening and closing of the letter of credit),” the announcement explains further. The airline group’s deputy director general Dmitry Kudelkin added: By conducting the deal, we have tested efficiency of smart-contracts and realized how this technology could help to optimize business-processes and improve (more…)
Dec 132013
 
Chinese yuan dominates global bitcoin trade Tuesday, 03 December, 2013, 1:10pm Business›Banking & Finance CURRENCIES Patrick Boehler patrick.boehler@scmp.com With the digital currency’s value rising sharply, 58 per cent of day’s global volume done in yuan as non-professionals wade into new market The yuan accounts for most of the trade in bitcoins as trading of the unregulated digital currency soars in the world’s second-largest economy. By noon yesterday, about 58 per cent of the global trade during the preceding 24 hours occurred on exchanges trading the mainland currency, according to open-source research project BitcoinAverage [1]. A Bitcoin logo is seen at the window of a restaurant that accepts Bitcoin, a form of digital currency, as payment in San Francisco. Photo: Reuters[2] According to the aggregator of market data, China’s trading volume in the period reached 827 million yuan (HK$1 billion). Trades in US dollars account for roughly 37 per cent of global volume. Trades in euros account for slightly less than 2 per cent. No other currency accounts for more than one per cent of trade, according to BitcoinAverage. Fortunes have already been made in China via the virtual currency. The value of a bitcoin in China soared 861.02 per cent from 844.75 yuan on September 3, the earliest data available on BitcoinAverage, to its peak value last Friday of 7273.47 yuan. The virtual currency was trading at between 6,300 and 6,400 yuan on Tuesday morning on major Chinese exchanges. Unlike with previous virtual currencies, China’s deputy central bank governor Yi Gang said last month that bitcoins could be freely traded, although the government would not accept them as currency.  A provincial subsidiary of state-run China Telecom even said it would accept payment in the virtual currency. Jiangsu Telecom said last week it would accept the virtual currency for pre-orders of a new Samsung phone[3]. “China is driving the volume predominantly for two reasons: speculation and mining,” said Zennon Kapron, managing director fo the Shanghai-based financial advisory firm Kapronasia. “Returns on Bitcoin this year have surpassed real estate which previously was the best performing mainstream asset class in China, which has naturally attracted more attention and further driven the price up.” Kapron said it was natural for China, the world’s biggest manufacturer of bitcoin mining equipment, to play a large role in the trade. Li Lin, head of the Beijing-based Huobi trading platform, told the Beijing Morning Post last week that the majority of new bitcoin (more…)
Jun 152011
 
Friday, June 3, 2011 by: Jack Hough Bitcoins are the top-performing money in the world — but what are they?   The best performing currency of the past year isn’t Brazil’s real, up 15% versus the U.S. dollar, or Australia’s dollar, up 27%. It’s the Bitcoin. A year ago one was worth half a penny. Thursday morning it hit $10.50. That’s a gain of more than 200,000%. What’s a Bitcoin? It’s a peer-to-peer system of electronic money that allows payments to be sent directly between two parties without the need for a financial institution. It’s related to Bit Torrent, a system for sharing large files like movies, but in this case the “movie” is a file with the currency’s entire transaction history. And because users themselves all share that history, “it’s more secure than even bank transactions,” says Donald Norman, a spokesman for the Bitcoin Consultancy, which is seeking to gain wider acceptance for the currency. As befitting a virtual currency, no one is quite sure who created the Bitcoin. A white paper and software turned up three years ago listing Satoshi Nakamoto as the author. That’s presumed to be a pseudonym. All that’s known about Nakamoto, based on his paper and message board comments, is that he’s fluent in English and has a deep understanding of Internet security. Dotcom crash veterans might recall failed currencies like Flooz and Beenz, but those were mere means of online payment. Bitcoin is an entire monetary system. It doesn’t require a Treasury Department, because there are no bills or coins to mint. It doesn’t need a Federal Reserve to create money. An algorithm does that at a rate that slows by half every four years. There are about six million Bitcoins today. The number will approach 21 million beginning in the 2030s but never exceed it. The finite supply of Bitcoins might help explain the frantic demand for them. Dollars and euros are created at will by central bankers. Some economists see that as useful for smoothing out wild swings in the economy — making money more plentiful when consumers are hurting and scarcer when they’re flush. Skeptics, and there are many, worry that the ability to create money from nothing will be abused by governments that overspend, resulting in gradual debasing of the value of savings. That’s why dollar bears cling to gold, and why a few might now be scrambling for (more…)