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Bitcoin [BTC]: Veriblock blockchain goes live on Bitcoin mainnet

Akash Anand

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Bitcoin [BTC]: Veriblock blockchain goes live on the Bitcoin mainnet
Source: Pixabay

On March 26, Veriblock announced that their Veriblock blockchain was live on the Bitcoin mainnet. This was a welcome announcement for many crypto-enthusiasts as Veriblock was in the testnet phase for a year, a period which saw major Bitcoin price fluctuations and changes in market volume and market cap.

The launch of the Veriblock blockchain will allow exchanges, merchants, wallet providers, and other cryptocurrency businesses to make use of the security features on Bitcoin’s blockchain. Veriblock’s official website stated:

“We develop decentralized, transparent, trustless and permissionless technologies to secure and scale the blockchain ecosystem.”

The official release from the company said:

“VeriBlock’s technology delivers Bitcoin-level security to both new and established blockchain and cryptocurrency projects that may otherwise be vulnerable. This enables development teams to focus on innovative features and functionality, rather than worrying about attacks. The marketplace has validated this approach, with over 6,000,000 security transactions on Bitcoin to date.”

The main advantage of Veriblock implementation is that the model increases Bitcoin blockchain’s security protection from the established 51 percent attacks to blockchains other than Bitcoin. This is done by linking the blockchains to the mainstay Bitcoin blockchain, a move aimed to increase security effectiveness.



Many people in the cryptosphere have praised Veriblock, with Jordan Andersen, the Vice President of Bitbuy, saying:

“VeriBlock is an excellent example of a proof-of-proof initiative to ensure altcoins are not susceptible to a 51-percent attack. VeriBlock will promote security and stability within the altcoin ecosystem, and provide greater confidence to consumers looking to participate.”

The implications of Veriblock was made evident when users speculated that Bitcoin’s volume drop was due to the culmination of the Veriblock testnet on March 4. Reports stated that the testnet process accounted for almost 20%-30% of the occurring BTC transactions. Some people in the space also complained about multiple spams and problems during the testnet. Before the end of the testnet process, Veriblock had stated:

“The reinforced security provided by PoP will encourage further adoption of these alternative blockchains. The transition of transactions from Bitcoin to alternative blockchains will also facilitate Bitcoin scaling, while continuing to drive value back to Bitcoin miners.”





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JP Morgan: Big banks stand corrected as Bitcoin rally past intrinsic value; admits current surge mirrors 2017 rise

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JP Morgan: Big bank stands corrected at Bitcoin rally past intrinsic value; admits current surge mirrors 2017 rise
Source: Pixabay

Big banks are riding a FOMO wave as the Bitcoin bull-run is just beginning. Spearheaded by the changing colors of JP Morgan, which recently forayed into the digital assets world, the banking elite is now suggesting that their initial stance on Bitcoin and the larger cryptocurrency world might have been off.

A recent chart by JP Morgan shows the current BTC price veer upwards chiding the “intrinsic value” the big bank placed on the virtual currency.

Based on the article by Bloomberg, the price of the coin would reverse towards the end of December 2018 and then make marginal gains until May 2019, all under the $5,000 mark. In reality, the BTC price, after dropping to “rock bottom” at just above $3,100 in early December 2018, edged upwards.

Several spurts of growth were seen in early January and February, prior to a massive April ascendance. On April 2, Bitcoin did away with the bank’s value mode and amassed a daily gain of over 15 percent, fuelling its current rise. Breaking the $5,000 ceiling in the process, which was pegged to remain intact well into May 2019, the king coin is now almost $3,000 ahead of the mark and is not looking to stop.

Source: Bloomberg

It should be noted that JP Morgan’s “intrinsic value” is calculated on the basis of the marginal cost of production, electricity prices, and hash rates. This model does not take into account, at least on absolute terms, the anticipatory effect of the 2020 halving, which, according to a slew of analysts is the behind the price rise.

Nikolaos Panigirtzoglou, the MD in the Global Market Strategy team at JP Morgan stated that Bitcoin breaking through its “intrinsic value” showed signs of mirroring its 2017 bull run. He evidenced this move by comparing the pre-December 2017 slump to the one seen prior to the current bullish swing.

The analyst added:

“Over the past few days, the actual price has moved sharply over marginal cost. This divergence between actual and intrinsic values carries some echoes of the spike higher in late 2017, and at the time this divergence was resolved mostly by a reduction in actual prices.”

With the analyst admitting that the imparting of an “intrinsic or fair value” to a cryptocurrency, much less a volatile one like Bitcoin, is a “challenging” ordeal, a mere JP Morgan acknowledgement of a Bitcoin bull-run is a remarkable sign for the digital assets industry, especially given the bank’s and its CEO Jamie Dimon’s Bitcoin-bashing in the past.

Mati Greenspan, senior market analyst at eToro attested to the same, adding a key point that JP Morgan failed to take into account in their calculation. He stated:



“Great to see JPM finally admitting that Bitcoin has intrinsic value.
Now wait till they understand that miners who run a surplus tend to begin hording.”

Despite Bitcoin slumping at press time, recording a 1.23 percent decline against the dollar, the prospects look positive. After recording a massive gain on 19 May, briefly surging past $8,000 for the second time in a week, Bitcoin created a High-Low [HL] at $7,100, which many analysts look at with glee.

This HL immediately following last week’s pull-back caused due to post-Consensus bears, a Bitstamp sell-order and market correction showed the king coin’s bullish persistence and can even be a foundation for a $9,000 ascendance, defying any “intrinsic value” expectations.





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