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Quantum Computing | Intel Newsroom

October 13, 2017 | Author: admin

Quantum computing is an exciting new computing paradigm with unique problems to be solved and new physics to be discovered. Quantum computing, in essence, is the ultimate in parallel computing, with the potential to tackle problems conventional computers cant handle. For example, quantum computers may simulate nature to advance research in chemistry, materials science and molecular modeling.

In 2015, Intel established a collaborative relationship with QuTech to accelerate advancements in quantum computing. The collaboration spans the entire quantum system or stack from qubit devices to the hardware and software architecture required to control these devices as well as quantum applications. All of these elements are essential to advancing quantum computing from research to reality.

Download A Quantum Computing Primer

Intels director of quantum hardware, Jim Clarke, holds the new 17-qubit superconducting test chip. (Credit: Intel Corporation)

Intels 17-qubit superconducting test chip for quantum computing has unique features for improved connectivity and better electrical and thermo-mechanical performance. (Credit: Intel Corporation)

Researchers work in the quantum computing lab at QuTech, Intels quantum research partner in the Netherlands. Intel in October 2017 provided QuTech a 17-qubit superconducting test chip for quantum computing. (Credit: QuTech)

Professor Leo DiCarlo poses in the quantum computing lab at QuTech, Intels quantum research partner in the Netherlands. Intel in October 2017 provided QuTech a 17-qubit superconducting test chip for quantum computing. (Credit: QuTech)

Intel is collaborating with QuTech in the Netherlands to advance quantum computing research. Intel in October 2017 provided QuTech a 17-qubit superconducting test chip for quantum computing. (Credit: Intel Corporation)

Intels new 17-qubit superconducting test chip packaged for delivery to research partners at QuTech, Intels quantum research partner in the Netherlands. Intel in October 2017 provided QuTech with the 17-qubit superconducting test chip for quantum computing. (Credit: Intel Corporation)

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Intel moves towards production quantum computing with new 17 …

October 11, 2017 | Author: admin

Intels quantum computing efforts have yielded a new 17-qubit chip, which the company has just delivered to its partner in that field, QuTech in the Netherlands. Its not a major advance in the actual computing power or applications those are still in very early days but its a step towardproduction systems that can be ordered and delivered to spec rather than experimental ones that live in a physics lab somewhere.

Intels celebration of this particular chip is a bit arbitrary; 17 isnt some magic number in the quantum world, nor does this chip do any special tricks other quantum computer systems cant. Intel is just happy that its history and undeniable expertise in designing and fabricating chips and architectures is paying off in a new phase of computing.

I chatted with Intels director of quantum hardware, Jim Clarke, about the new system.

The test chip itself (the gold ports arent the qubits themselves, obviously)

Were relying on our expertise in hardcore engineering, he said. Were working on all parts of the compute stack: the chip, the control electronics, the system architecture, the algorithm.

Its not quite like popping out a new Core processor every year, but theres plenty of overlap.

Our infrastructure allows us to adapt the materials and the package, Clarke said. If you think of a material that might be good for a qubit chip, Intel likely already has a mature process for that material or at least experience with it.

That isnt easy when the field of computing theyre attempting to enter is largely theoretical. Thats why partners like QuTech, a research institute under TU Delft, are essential. Intel isnt short on big brains, but a dedicated facility under a major technical university is likely more fertile ground for this kind of bleeding-edge work.

The basic relationship is that Intel makes the chips, and QuTech tests them with the latest algorithms, models, and instruments. They turn around and say something like that was great, but well need at least 14 qubits to do this next thing, and we saw a lot of interference under such and such conditions. Intel jots it down and a few months later (theres no set timeline), out comes a new one, and the cycle repeats.

Im simplifying, of course, because I dont know the details of all this quantum tomfoolery (who can, really?), but thats a powerful cycle to nurture.

The results so far let Intel boast of a chip that, thanks to the companys manufacturing prowess and the work by QuTech, has considerably improved in reliability and performance over the last two years, while the architecture, system infrastructure (such as interconnects and testing methods) and so on have evolved alongside.

Of course, these amazing quantum computers still dont really do anything yet and they have to operate at around 20 thousandths of a degree above absolute zero. But the first problem is more exciting than limiting (the potential of these machines, theoretically, is enormous), and the second one, to my surprise, isnt really a big deal any more.

Turns out (perhaps you knew, but I didnt) that you can package a multi-qubit quantum computing system, cooled to the millikelvin level, in an enclosure the size of an oil drum.

Theres a long way to go in the quantum computing world, but its a no-brainer for companies like Intel to bet on the concept; its billions of dollars in infrastructure serve excellently for collateral.

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What will you actually use quantum computing for? | ZDNet

October 11, 2017 | Author: admin

With a tip of the hat to our Big on Data bro George Anadiotis, this week, we're breaking from our usual routine of the here and now to look at what's coming next. Mention the words quantum computing, and your first impression is that we're probably going to be spouting science fiction.

So what is quantum computing? It harnesses the physics of subatomic particles to provide a different way to store data and solve problems compared to conventional computers. Specifically, it totally turns the world of conventional binary computing on its side because quantum computing bits, or qubits, can represent multiple states at once, rather than just 0 or 1. The result is that quantum computers could solve certain HPC-like problems more efficiently.

Oh and by the way, did we mention that quantum computers must run at 4 degrees Kelvin? That's 4 degrees above absolute zero, far colder than interstellar space.

It's tempting to dismiss quantum computers as the computing equivalent of Warp Speed out of Star Trek. Then again, it was barely a few months ago where we saw SAS founder James Goodnight talking to Alexa to gin up a SAS analytics run in much the same way that Captain James T. Kirk spoke to his computers.

So why are we having this conversation?

Our attention was piqued by a chain of events over the past month. IBM first convened an analyst call around an upcoming article in the scientific journal Nature showing how a quantum computing modeling problem for complex molecular behavior would be documented in a Jupyter notebook. (If you want to get technical, it was about how to derive the lowest energy state of a molecule of beryllium hydride.)

Then Satya Nadella assembled a panel of Microsoft researchers to conclude his Ignite conference keynote with a session on pure theoretical physics that sailed straight over the heads of the business analyst and developer audience. Fortunately, the IBM call was way more plain spoken, addressing how quantum computers could be applied to common business problems, and where the technology stands today.

Turns out, quantum computers represent advances that would look familiar to veterans of big data analytics where you could query all of the data, not just a sample. It would also look familiar to those working with graph computing where you could factor the complexity of many-to-many relationships that would otherwise require endless joins with relational data models.

Quantum computing lends itself to any optimization problem where the combination of what-ifs, and all the permutations associated with them, would simply overwhelm a conventional binary computer. That lends itself to a large trove of mundane business and operational problems that are surprisingly familiar.

For instance, if you try to optimize a supply chain, chances are, you are narrowing down the problem to tackle the dozen most likely scenarios. With the resources of quantum computing, you could widen and deepen the analysis to virtually all possible scenarios. The same goes with tangible business challenges like managing financial risk when you have a complex tangle of interlocking trading systems across the globe. Or imagine, during drug testing, that a clinical research team could model all the potential interactions of a new drug with virtually the entire basket of medications that a specific patient cohort would be likely also be taking? And from there, could true personalized medicine be far behind?

But quantum computing development is still embryonic. A small Canadian startup, D Wave Systems, is selling units on a limited basis today. IBM is offering machines from of a half dozen 5 - 17 qubits in the cloud while Google is developing architectures that could scale up to 49. So it's not surprising that quantum still hits the wall with classes of problems that require complex, iterative processing (which, by the way, is what Spark excels at).

A good example of the type of problem that for now is just out of reach is encryption/decryption. As the algorithms grow more complex, it means factoring larger and larger prime numbers. Turns out, the interactions between qubits (which is called quantum entanglement) could short-cut such problems by taking the square root of the number of entries, and reducing the number of steps accordingly. The bottleneck is memory; such computations would require storing of state or interim results, much like a Spark or MapReduce problem. The problem is that, while development of compute chips is underway, nobody yet knows what true quantum memory would look like.

That would imply that for some problems, a division of labor where quantum factors the permutations while conventional scale-out systems handle the iterative processing might be an interim (or long-term) step.

There are a surprisingly sizable number of organizations currently pursuing quantum computing. Right now, most of the action is basic government-funded R&D, although some reports estimate VC investment over the past three years amounting to roughly $150 million. On one hand, it would be easy to get overly optimistic on near-term prospects for development given the rate at which technologies as varied as smart mobile devices, Internet of things, big data analytics, and cloud computing have blossomed from practically nothing a decade ago.

But the barriers to adoption of quantum are both physical and intellectual.

There is the physical need to super-cool machines that, in eras past, would have posed huge obstacles. But the cloud will likely do for quantum machines what they are already starting to do for GPUs: provide the economics for scale-out.

That leaves several more formidable hurdles. The physics of scale out still require basic rather than applied research - we still need to figure out how to scale such a large, fragile system. But the toughest challenge is likely to be intellectual, as it will likely require a different way of thinking to conceptualize a quantum computing problem. That suggests that the onramp to quantum will likely prove more gradual compared to the breakout technologies of the last decade.

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Trumps DOJ tries to rebrand weakened encryption as responsible …

October 11, 2017 | Author: admin

A high-ranking Department of Justice official took aim at encryption of consumer products today, saying that encryption creates "law-free zones" and should be scaled back by Apple and other tech companies. Instead of encryption that can't be broken, tech companies should implement "responsible encryption" that allows law enforcement to access data, he said.

"Warrant-proof encryption defeats the constitutional balance by elevating privacy above public safety," Deputy Attorney General Rod Rosenstein said in a speech at the US Naval Academy today (transcript). "Encrypted communications that cannot be intercepted and locked devices that cannot be opened are law-free zones that permit criminals and terrorists to operate without detection by police and without accountability by judges and juries."

Rosenstein was nominated by President Donald Trump to be the DOJ's second-highest-ranking official, after Attorney General Jeff Sessions. He was confirmed by the Senate in April.

Rosenstein's speech makes several references to Apple, continuing a battle over encryption between Apple and the US government that goes back to the Obama administration. Last year, Apple refused to help the government unlock and decrypt the San Bernardino gunman's iPhone, but the FBI ended up paying hackers fora vulnerabilitythat it used to access data on the device.

"Fortunately, the government was able to access data on that iPhone without Apple's assistance," Rosenstein said. "But the problem persists. Today, thousands of seized devices sit in storage, impervious to search warrants."

"If companies are permitted to create law-free zones for their customers, citizens should understand the consequences," he also said. "When police cannot access evidence, crime cannot be solved. Criminals cannot be stopped and punished."

We asked Apple for a response to Rosenstein's speech and will update this story if we get one.

Separately, state lawmakers in New York and California have proposed legislationto prohibit the sale of smartphones with unbreakable encryption.

Despite his goal of giving law enforcement access to encrypted data on consumer products, Rosenstein acknowledged the importance of encryption to the security of computer users. He said that "encryption is a foundational element of data security and authentication," that "it is essential to the growth and flourishing of the digital economy," and that "we in law enforcement have no desire to undermine it."

But Rosenstein complained that "mass-market products and services incorporating warrant-proof encryption are now the norm," that instant-messaging service encryption cannot be broken by police, and that smartphone makers have "engineer[ed] away" the ability to give police access to data.

Apple CEO Tim Cook has argued in the past that the intentional inclusion of vulnerabilities in consumer products wouldn't just help law enforcement solve crimesit would also help criminals hack everyday people who rely on encryption to ensure their digital safety.

Rosenstein claimed that this problem can be solved with "responsible encryption." He said:

Responsible encryption is achievable. Responsible encryption can involve effective, secure encryption that allows access only with judicial authorization. Such encryption already exists. Examples include the central management of security keys and operating system updates; the scanning of content, like your e-mails, for advertising purposes; the simulcast of messages to multiple destinations at once; and key recovery when a user forgets the password to decrypt a laptop.

No one calls any of those functions a "back door." In fact, those capabilities are marketed and sought out by many users.

It's not clear exactly how Rosenstein would implement his desired responsible encryption.

Rosenstein's"key recovery when a user forgets the password to decrypt a laptop" reference seems to refer to Apple and Microsoft providing the ability to store recovery keys in the cloud. But users who encrypt Mac or Windows laptops aren't required to do thisthey can store the keys locally only if they prefer. To guarantee law enforcement access in this scenario, people who encrypt laptops would have to be forced to store their keys in the cloud. Alternatively, Apple and Microsoft would have to change the way their disk encryption systems work, overriding the consumer's preference to have an encrypted system that cannot be accessed by anyone else.

Rosenstein gave some further insight into how "responsible encryption" might work in this section of his speech:

We know from experience that the largest companies have the resources to do what is necessary to promote cybersecurity while protecting public safety. A major hardware provider, for example, reportedly maintains private keys that it can use to sign software updates for each of its devices. That would present a huge potential security problem, if those keys were to leak. But they do not leak, because the company knows how to protect what is important. Companies can protect their ability to respond to lawful court orders with equal diligence.

Of course, there are many examples of companies leaking sensitive data due to errors or serious vulnerabilities. The knowledge that errors will happen at some point explains why technology companies take so many precautions to protect customer data. Maintaining a special system that lets third parties access data that would otherwise only be accessible by its owner increases the risk that sensitive data will get into the wrong hands.

Rosenstein claimed that "responsible encryption can protect privacy and promote security without forfeiting access for legitimate law enforcement needs supported by judicial approval." But he doubts that tech companies will do so unless forced to:

Technology companies almost certainly will not develop responsible encryption if left to their own devices. Competition will fuel a mindset that leads them to produce products that are more and more impregnable. That will give criminals and terrorists more opportunities to cause harm with impunity.

"Allow me to conclude with this thought," Rosenstein said just before wrapping up his speech. "There is no constitutional right to sell warrant-proof encryption. If our society chooses to let businesses sell technologies that shield evidence even from court orders, it should be a fully-informed decision."

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Cryptocurrency Alternatives to Bitcoin – due.com

October 7, 2017 | Author: admin

When you think of cryptocurrency, chances are the first thing that comes to mind is Bitcoin.

By now, Bitcoin is something that most people are aware of even if they arent exactly sure what it is.

Accepting cryptocurrencies can make sense for your business, whether you sell physical goods or whether youre a freelancer. But using a cryptocurrency as a medium of exchange doesnt mean you have to go with Bitcoin.

In fact, there are a surprising number of cryptocurrency alternatives to Bitcoin.

One of the cryptocurrency alternatives to Bitcoin thats gaining a lot of ground right now is Dash. Thats because Dash is open source and very centered on privacy.

On top of that, there are low fees that come with Dash. To tell the truth, most cryptocurrencies are going to come with lower fees than what you pay with bank and credit card transactions. However, there are cases where its even free to send Dash.

Its also nice that Dash is an instant peer-to-peer cryptocurrency. You dont have to worry about it because payments are private, and instantly appear to the person on the other side of the transaction anywhere in the world.

Theres a reason Dash is one of the most popular Bitcoin alternatives out there.

One of the oldest cryptocurrency alternatives to Bitcoin is Litecoin. This cryptocurrency has been around for several years. Interestingly enough, even though it is capable of handling a higher transaction volume than Bitcoin, it still isnt as well-known.

Litecoin makes use of open source software and the decentralized network makes use of mathematics for security. Litecoin also comes with some cool features:

Due to its availability and other features, its no surprise Litecoin is on the rise.

Peercoin is one of the most potentially inflationary cryptocurrency alternatives to Bitcoin. Theres a lot that goes into rewarding miners and there is no upward limit to how many will be mined. Minting uses Proof of Stake for security in the network, which means that Peercoin security is not impacted the same way that Bitcoin mining is when it comes to Selfish Mining.

Its also worth noting that Peercoin is derived from Bitcoin. So if you have hardware that works with the Bitcoin network, it will also work with Peercoin.

This is great for mining, but it can also allow you to accept payment for more than one cryptocurrency without the need to use different networks.

The peer-to-peer technology used for feathercoin is designed to create borderless payments. One of the cool things is that feathercoin is somewhat unique among cryptocurrency alternatives in that it has a number of features to really bypass banking.

In fact, feathercoin is working on open source projects for ATMs and Point of Sale equipment. Right now, it can be cumbersome to use cryptocurrencies. In many cases, its hard to use cryptocurrencies in real world transactions that take place offline.

That might change if feathercoins projects come to fruition. Physical, laser-etched coins and access to the cryptocurrency easily at Point of Sale terminals and ATMs really set this digital currency apart.

When it comes to mining, Quarkcoin offers the opportunity to just about anyone with a CPU. It doesnt give the advantage to special equipment or server farms. So, if you are looking for a way to mine a little bit more, the Quarkcoin can help.

Like Bitcoin and cryptocurrency alternatives to Bitcoin, Quarkcoin is peer-to-peer. You can make payments directly to the person you want to, almost instantly. Plus, there is a high level of security with Quarkcoin. Were talking nine rounds of hashing, as opposed to one hash used by most cryptocurrencies.

One of the interesting things about Digitalcoin is that it is accepted by a number of businesses. Sometimes, it can be difficult to find someone willing to accept your cryptocurrency payment if it isnt Bitcoin or Dash. Digitalcoin offers stability as well, with a block rewards produced at a lower rate than many other digital currencies.

Digitalcoin, like other cryptocurrencies, is decentralized and secure. You can send and receive the currency anywhere in the world, and its free to use.

This is another of the highly private cryptocurrency alternatives to Bitcoin. Stablecoin is distinguished by the fact that the transactions are not only encrypted, but also untraceable. While this currency isnt quite as well-used as many others, it is working hard to move forward, especially in China. If this catches in China, which is a huge economy, it could grow elsewhere.

The essential question is whether or not you should buy cryptocurrencies with the idea of capital appreciation in mind. Do you buy (or mine) these cryptocurrencies in the hope that you can sell them on an exchange and make a profit?

There are those who look at the widely-accepted Litecoin and refer to it as silver to Bitcoins gold. But does that really make sense in the long term?

While it can be tempting to think of cryptocurrencies as investments, the reality is that they might not be solid. Sure, mine cryptocurrencies. But they might be most useful as mediums of exchange. They are inexpensive, and blockchain technology allows for almost instant transfer so its possible to set up a low-cost global payment system.

The real value might be in the way Bitcoin and the way cryptocurrency alternatives to Bitcoin are changing the way we think about money and do business.

Some of the more interesting blockchain developments are Ethereum and Namecoin.

Ethereum is interesting because it is at once a digital currency and an application layer. If you are hoping to get involved with smart contracts, one of the best choices is Ethereum.

The decentralized, open source Ethereum allows developers to create their own applications. This includes smart contracts, as well as token systems. The systems can be used as part of the smart contract process. Its possible to layer on the applications using Ethereum, which means that this blockchain development could change the face of business.

Namecoin is another interesting blockchain development. Namecoin technology isnt about currencies and money. Its all about decentralizing the Internet itself. Namecoin is about increasing privacy, resisting censorship, and improving the security of the infrastructure of the Internet. This is an interesting open source project that could change the way the Internet itself works.

Innovation in the way we see money and the way we do business are the main results of blockchain technologies. Bitcoin really brought the blockchain and cryptocurrencies into the mainstream consciousness. However, what comes next in terms of the way we conduct business on a global scale could be even more exciting.

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Learn BitCoin and master the world of cryptocurrency

October 7, 2017 | Author: admin

It's about time you learned how Bitcoin works.

Image: pixabay

By Team CommerceMashable Shopping2017-10-04 16:47:54 UTC

You may think youre too late to invest in cryptocurrency like Bitcoin and wear suits made of money but youre actually just in time.

Cryptocurrency has been growing in popularity, but only a tiny percentage (.01 percent) of people have gotten wind of how to make money from it. And thats not because that goal is out of reach. Those who know their way around cryptocurrency know that the high-risk investment has a huge potential for getting you up to your elbows in hundred-dollar bills. Not to mention, you dont have to worry about high bank fees or fluctuations based on government regulations.

Interested in being one of the .01 percent? The #1 cryptocurrency investment course can help you get there. Youll learn different buying strategies for making gains in the short, medium, and long terms and strategies for protecting the money you make. And since its not just about Bitcoin anymore, youll also learn which cryptocurrencies are worth investing in.

The course also gives you access to a private community of like-minded investors, so you can learn from others, get your questions answered, and get live updates on the market. Get the #1 cryptocurrency investment course for $15 here.

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Learn BitCoin and master the world of cryptocurrency

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Cryptocurrency Flash Crash Is Said to Draw Scrutiny From CFTC …

October 7, 2017 | Author: admin

A popular digital-coin exchange isdrawing scrutiny from U.S. regulators over a June flash crash that erased most of the value in thesecond-largest cryptocurrency before traders had time to blink their eyes.

The Commodity Futures Trading Commission has requested information from Coinbase Inc. about a June 21 incident on its GDAX platform in which the ether digital token suffered a precipitous drop, falling to 10 cents from $317.81 in milliseconds before quickly recovering, said two people familiar with the matter.

Among the issues the agency is focused on is what role leverage might have played in the plunge, as Coinbase allowed traders to use borrowed money to make bigger wagers than would have otherwise been possible, said the people, who asked not to be named because the review isnt public.

The CFTC inquiry is the latest sign that federal authorities aregrowing worried about a market with scattershot oversight that has attracted big money. Coinbase, which says it has served 10.6 million customers and facilitated $20 billion in digital currency transactions, is regulated by various states through a patchwork system.

Its not registered with the CFTC, the main U.S. watchdog of currency futures. Coinbase doesnt allow traders to buy and sell derivatives, and firms dont typically fall under the regulators direct jurisdiction unless they allow swaps trading. Coinbase does hold licenses with financial agencies in dozens of states, as well as Puerto Rico, according to its website.

The CFTC sent San Francisco-based Coinbase a letter with a list of questions, including queries about margin trading, one of the people said. Coinbase began offering margin accounts in March, as it sought to attract institutional investors by providing them loans to amplify their bets. The company disabled the service after the June crash.

As a regulated financial institution, Coinbase complies with regulations and fully cooperates with regulators, the company said in an emailed statement. After the GDAX market event in June 2017, we proactively reached out to a number of regulators, including the CFTC. We also decided to credit all customers who were impacted by this event. We are unaware of a formal investigation.

CFTC spokeswoman Erica Elliott Richardson declined to comment.

Coinbases ether plunge was caused by a single $12.5 million trade -- one of the biggest ever -- that prompted selling by other investors. The decline triggered automatic sell orders from traders whod requested to bail on the currency if prices dropped to certain levels, and led GDAX to liquidate some margin trades.

While the drop was dramatic, it was also temporary. Computer algorithms quickly started issuing buy orders that drove prices back up to $300 within 10 seconds.

Bitcoin and other cryptocurrencies have surged this year. But regulators and financial executives are concerned that investors are inflating a bubble thats destined to pop. South Korea banned margin trading in bitcoin and ether Sept. 29 after China earlier cracked down on digital currencies. Last month, JPMorgan Chase & Co. Chief Executive Officer Jamie Dimon likened cryptocurrencies to the infamous Dutch tulip bulb mania of the 17th Century.

The Securities and Exchange Commission has been grappling with how to police digital currencies. SEC Chair Jay Clayton warned lawmakers last week that initial coin offerings are probably full of fraud. The next day, the agency sued a company for misrepresentations tied to a bitcoin offering purportedly backed by diamonds and real estate.

One risk of allowing margin trades is that in a sharp market reversal, trading platforms could run into problems if investors cant repay the money theyve borrowed.

Thats what happened in January 2015 when the currency brokerage FXCM Inc. almost toppled after Switzerland shocked markets by letting its currency appreciate. When the franc jumped, FXCM customers lost more money than they had in their accounts, forcing the company to seek a $300 million bailout from Leucadia National Corp.

Coinbases GDAX had a margin funding limit of $10,000.To qualify, investors had to meet at least one of several qualifications laid out under federal law.

For instance, individuals can only trade with borrowed money if they have more than $5 million invested in various financial markets and are using their margin accounts purely to hedge risks. Individuals are exempt from the hedging requirement if they have more than $10 million invested. The rules are looser for institutional investors, such as hedge funds and corporations.

Last year, the CFTC sanctioned a different digital token market, Bitfinex, for allowing investors who didnt meet the $10 million threshold to make margin trades. Bitfinex also broke the law because it didnt deliver some bitcoins that investors had bought using leverage within a required timeframe, the CFTC said. Instead, it held the tokens in accounts that it owned and controlled, according to the regulator. Bitfinex agreed to pay $75,000 to settle the case, without admitting or denying the allegations.

Coinbase has suffered outages and other performance problems as its struggled to handle the surge in volume thats accompanied skyrocketing cryptocurrency prices. It has also faced a sharp increase in customer complaints. Almost 500 consumer grievances have been flagged about the company this year on a database maintained by the Consumer Financial Protection Bureau, compared with just six for all of 2016.

Coinbase and investors who use it to trade have piqued regulators interest in the past. In 2016,the Internal Revenue Service asked a court for permission to serve a summons against Coinbase, seeking records about taxpayers who have traded digital currencies.

It also has attracted prominent investors including Marc Andreessens venture capital firm and the New York Stock Exchange. In August, Coinbase received $100 million from a group led by Institutional Venture Partners, a Menlo Park, California-based venture capital firm.

With assistance by Nick Baker, and Matthew Leising

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Here’s what quantum computing is and why it matters

October 6, 2017 | Author: admin

Researchers for IBM, Google, Intel, and others are in a fantastic scientific arms race to build a commercially viable quantum computer. They already exist in laboratories, and were only a few years away from the beginning of what may turn out to be an entire shift in how we think about computing.

A typical computer, like the one inside the phone or laptop youre reading this on, is a binary system, basically a yes/no device. The most amazing thing about computer programmers is how they can take something as basic and simple as a computer chip and spit out something like Microsoft Office by creating a series of if this, then that scenarios. This showcases how useful the computer is as a tool for humans to accomplish tasks.

The quantum computer, however, is an entirely difference concept the reason its quantum is that it doesnt use binary logic. By its nature a quantum computer is a yes/no/both device. When a developer makes a logic choice they arent limited by if this then that, they can also ask if this, then that or both and that makes all the difference in the world.

There are several instances where a binary computer cant feasibly solve a problem the way wed like to. When asked to solve a problem where every answer is equally likely, a binary computer has to take the time to individually assess each possibility. Quantum computers can assess more than one probability at a time, through something called quantum entanglement.

When two particles become entangled a phenomenon occurs where anything that happens to one of these particles happens to the other. Einstein called this spooky action at a distance, and he was spot-on. A lions share of the research thats been done in quantum computing since the 1980s has been focused on figuring out how to use quantum entanglement to our advantage.

The quantum internet of the future is also being built right now, with Chinese researchers making amazing strides in quantum communications.

A quantum internet would be unhackable as theres no transmission of data. Of course storage vulnerabilities will still exist, but by then our security will be handled by AI anyway. The weird and wonderful phenomena of entanglement means you can stick data in one side and it pops out the other like teleportation. Theres nothing swirling through the ether; whatever happens to one entangled particle instantly happens to another.

The technology is here already, but there are numerous challenges to overcome on the way to full-scale implementation. First, the quantum computing were capable of is still a bit behind the binary computing weve mastered. We also need to overcome physical concerns such as the fact that, in the IBM labfor example, the processors need to be kept at perfect-zero temperatures within hundredths of a degree.

Despite several incredible problems the outlook is very bright. Recent breakthroughs include the first ever space-based video call secured by quantum encryption.

The video call connected a Chinese scientist in Beijing with an Austrian scientist in Vienna. The distance between the two was over 4,000 miles. The communication was sent to a satellite in space then beamed back down to earth. Scientists have chosen to investigate the quantum network this way due to issues of signal loss through traditional methods of sending photons like fiber-optic cables.

These quantum encrypted communications would be impossible to hack using a binary computer. On the flip-side the successful completion of a commercially viable quantum computer may signal the end of binary-based encryption systems. Theoretically, a quantum computer could crack 128-bit encryption almost instantly given the same resources for computing power as any binary system, for example.

Perhaps the best way to look at the change that quantum computing represents is to compare it to binary computing in the exact same way you would compare the iPhone Xs capabilities with those of a Timex calculator watch from the 1980s.

Read next: 7 tips for using Snapchat like a millennial

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What Is Bitcoin, and How Does It Work? – The New York Times

October 6, 2017 | Author: admin

The record of all Bitcoin transactions that these computers are constantly updating is known as the blockchain.

Criminals have taken to Bitcoin because anyone can open a Bitcoin address and start sending and receiving Bitcoins without giving a name or identity. There is no central authority that could collect this information.

Bitcoin first took off in 2011 after drug dealers began taking payments in Bitcoin on the black-market website known as the Silk Road. Although the Silk Road was shut down in 2013, similar sites have popped up to replace it.

More recently, Bitcoin has become a method for making ransom payments for example, when your computer is taken over by so-called ransomware.

The records of the Bitcoin network, including all balances and transactions, are stored on every computer helping to maintain the network about 9,500 computers in late 2017.

If the government made it illegal for Americans to participate in this network, the computers and people keeping the records in other countries would still be able to continue. The decentralized nature of Bitcoin is also one of the qualities that have made it popular with people who are suspicious of government authorities.

Anyone helping to maintain the database of all Bitcoin transactions the blockchain could change his or her own copy of the records to add more money. But if someone did that, the other computers maintaining the records would see the discrepancy, and the changes would be ignored.

Only a small percentage of all transactions on the Bitcoin network are explicitly illegal. Most transactions are people buying and selling Bitcoins on exchanges, speculating on future prices. A whole world of high-frequency traders has sprung up around Bitcoin.

People in countries with high inflation, like Argentina and Venezuela, have bought Bitcoin with their local currency to avoid losing their savings to inflation.

One of the most popular business plans is to use Bitcoin to move money over international borders. Large international money transfers can take weeks when they go through banks, while millions of dollars of Bitcoin can be moved in minutes. So far, though, these practical applications of Bitcoin have been slow to take off.

There are companies in most countries that will sell you Bitcoins in exchange for the local currency. In the United States, a company called Coinbase will link to your bank account or credit card and then sell you the coins for dollars. Opening an account with Coinbase is similar to opening a traditional bank or stock brokerage account, with lots of identity verification to satisfy the authorities.

For people who do not want to reveal their identities, services like LocalBitcoins will connect people who want to meet in person to buy and sell Bitcoins for cash, generally without any verification of identity required.

The price of Bitcoin fluctuates constantly and is determined by open-market bidding on Bitcoin exchanges, similar to the way that stock and gold prices are determined by bidding on exchanges.

Bitcoin mining refers to the process through which new Bitcoins are created and given to computers helping to maintain the network. The computers involved in Bitcoin mining are in a sort of computational race to process new transactions coming onto the network. The winner generally the person with the fastest computers gets a chunk of new Bitcoins, 12.5 of them right now. (The reward is halved every four years.)

There is generally a new winner about every 10 minutes, and there will be until there are 21 million Bitcoins in the world. At that point, no new Bitcoins will be created. This cap is expected to be reached in 2140. So far, about 16 million Bitcoin have been distributed.

Every Bitcoin in existence was created through this method and initially given to a computer helping to maintain the records. Anyone can set his or her computer to mine Bitcoin, but these days only people with specialized hardware manage to win the race.

Plenty. But these other virtual currencies do not have as many followers as Bitcoin, so they are not worth as much. As in the real world, a currency is worth only as much as the number of people willing to accept it for goods and services.

Bitcoin was introduced in 2008 by an unknown creator going by the name of Satoshi Nakamoto, who communicated only by email and social messaging. While several people have been identified as likely candidates to be Satoshi, as the creator is known in the world of Bitcoin, no one has been confirmed as the real Satoshi, and the search has gone on.

Satoshi created the original rules of the Bitcoin network and then released the software to the world in 2009. Satoshi largely disappeared from view two years later. Anyone can download and use the software, and Satoshi now has no more control over the network than anyone else using the software.

Continued here:
What Is Bitcoin, and How Does It Work? - The New York Times

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Altcoin Watchlist | Meet & Learn Cryptocurrencies

October 4, 2017 | Author: admin

Beside Bitcoin, there are more than 3000 cryptocurrencies existing currently. To give you an easy overview, we got our Altcoin Watchlist (Alternative Cryptocurrencies so all but Bitcoin). We monitor and support the currencies listed. So in our view these currencies have to biggest longterm potencial of them all but as there are so many of them, theres no garantuee this list is complete. Please note that we are NOT an investment information source if you are loocking for a safe or insanly fast investment opportunity, theirs lots of other sources. We focus on the economic and social value of a currency, not its ROI for investors.

The criterias for currencies beeing on our Watchlist are (subject to change) :* Sourcecode for Node must be Opensource* No unreasonable Premine or concentration of Coins from the beginning / for founders (richlist)* CPU/GPU friendly algos that are ASIC-resistant as good as possible and force decentralization.* Innovative Technology that differs it from bitcoin* Does not have to be a currency, but has to have a defined purpose (e.G ETH or DCR)

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Altcoin Watchlist | Meet & Learn Cryptocurrencies

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