The chief operating officer and the co-founder of Blockstream, Adam Back hints at his notion that what the crypto users really need at the current chronological point is outright security to benefit wholly from the ‘bitcoin’s systemic risk protection’. Though Adam diagnosed a malady straightforwardly, he suggested a remedy nevertheless.
for users, whether @xapo vault, ETF from @winklevoss, @vaneck_us or CME/CBOE future or @bakkt custody, ideally to benefit from Bitcoin’s systemic risk protections those systems should offer user ownership control with custodian security using @greenaddrss smart-custody model
— Adam Back (@adam3us) August 15, 2018
There has been quite a buzz surrounding major crypto breakthroughs including the Winklevoss ETF, VanEck, Xapo Wallet and Bakkt as these either face immense popularity or some sort of controversy. The Winklevoss and the VanEck ETFs are deemed not-approvable as of yet by the Securities and Exchange Commission (SEC) while we witness a recent addition (involving huge retailers like Starbucks) like Bakkt, besides from the popularity of the Xapo Wallet.
Amidst the bearish trends of the crypto market, Adam sounds off that the underlying technologies should be efficient enough so as to cater for the users having their own rights to control their digital wealth the way they like. As Adam states the systems should include custodian security throwing a reference to the GreenAddress’ smart-custody model. The custodial models differ from the decentralized ones offering greater speed but a rather lesser transparency.
Nevertheless there also is a non-custodial protocol referring to a more transparent one but with a slower pace of operations. The decentralized model represents the entire structure over which the very first crypto transactions were based i.e the genesis bitcoin framework. It ensures that extreme security measures prevail in the network where there can be thousands of scammers waiting to pounce and attack. Though the system is considered not being able to be breached, the feat of hacking has been pulled off as of late.
Adam insisted over to switch to the GreenAddress protocol for the custodial model which they promise is a one step closer to being transparent than ordinary custodial ones. They vow not to keep the user ‘key’ intact for them as normally the custodial models do. The custodial characteristics like faster pace would stay intact along with the security norms like hack free or scam free path for transactions, which would be enhanced. Though this might lead us to a happy place in the crypto world, the fact to wonder about is that Adam Black is the CEO of a company promoting the latest additions to the blockchain technology which down rightly features the concept of decentralization. The take from this is that Blockstream just might not have come up with the ultimate concoction to make the transactions fool-proof accompanied with a feasible pace. This cuts the user-friendliness out of the equation entirely.
Blockstream CEO’s recent statements can also be linked to justifying the SEC as the commission has been on quite a roll, judging the recent proposals and suggestion from the crypto juggernauts quite sternly. The blame game and hunches that some controversial play is underway, is far beyond the reality as the SEC would never compromise over the lack of security and issues regarding partially handling fairness. Adam’s statement might have just suggested the ultimate remedy to what the systems must incorporate in order to achieve maximum favor from the incumbent authorities and score an approval.
Amidst the hustle, we also stand on the verge of mass crypto extinction as major crypto influencers suggest a future with a whole less cryptocurrencies looming over the financial markets.
Recent Remarks from President of Xapo
The President of Xapo, Ted Rogers is sure that an extinction event is brewing up for the digital assets, ready to commence in a near future. He further presents the idea that as we see the crypto prices go down, there might be a chance for the people to buy more bitcoins to extract the very last benefit out of the crypto market. Rogers further states that over 90% of the market is set to face the perdition, while some may reap the short term rewards out of which users can squeeze out their interest from. But there is a brighter chance that bitcoin will see the light of another day to come while the majority of altcoins would face their untimely demise.
We could be in the midst of the extinction-level event for “cryptoassets” that many maximalists have predicted. 90%+ of @CoinMarketCap list will disappear eventually – might as well happen now. Meantime, lower BTC price means incredible opportunity to buy more #bitcoin
— Ted Rogers (@tedmrogers) August 14, 2018
As Rogers strive to judge the future his own way, another crypto personality comes out to tackle Roger’s notion. Erik Voorhees, the chief operating officer of ShapeShift portrays the picture from the other side explaining the trend that the altcoins tend to fall faster but they also rise faster in bull markets.
So falling alts is an extinction event, and falling Bitcoin is a buying opportunity. Alternative theory: alts are more speculative, thus rise faster in bull and fall faster in bear markets.
— Erik Voorhees (@ErikVoorhees) August 14, 2018
What’s the take from this?
With bitcoin and the counterpart altcoins falling down the price charts (expect from the negligible rebound recently) we might witness much of the crypto market drain away, opening venues for the survivors to flourish to unimaginable heights. With this in mind, the survivors would definitely require a sturdy network with basic features like pace and security which can in turn filter the survivors out for the next extinction massacre.