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Why encryption is for everyone – IFEX

This statement was originally published on indexoncensorship.org on 25 August 2017.

By Jamie Bartlett

I spend a lot of my time writing about encryption. Until recently I did this from a UK perspective. That is to say, in a country where there are pretty good citizen protections. Despite the occasional hysterical article, the police don't snoop on you without having some probable cause and a legal warrant. UK citizens aren't constantly under surveillance and don't get rounded up for speaking their mind.

From this vantage point, the public debate on encryption starts with its problems. Terrorists are using encrypted messaging apps. Drug dealers are using the Tor browser. End-to-end encryption used by the big tech firms is a headache for local police forces. All this is true. But any benefits are merely addendum, secondary points, ands or buts. Don't forget, however, that encryption is also for activists and journalists, including those in less friendly parts of the world. Oh, and don't forget ordinary citizens. Such benefits are mostly discussed abstractly, almost as an afterthought.

My view on encryption changed in 2016 when I was researching my book Radicals. This being a book about fringe political movements often viewed with hostility by governments - I expected to use some degree of caution. But it was more than this. Over in Croatia, I was following Vit Jedlicka, the president of Liberland, a libertarian pseudo-nation on the Serb-Croat border. Jedlicka is trying to create a new nation on some unclaimed land that will run according to the principles of radical libertarianism, including voluntary taxation. The Croat authorities do not like him at all, even though he is non-violent and law abiding.

I arrived in Croatia, after an early Easy Jet flight, and was taken aside for questioning by the border police, who appeared to know I was coming. They told me not to attempt to visit Liberland. A little later, while I was away from my hotel, the police turned up and demanded a copy of my passport from the hotel manager. Jedlicka, meanwhile, was barred from entering Croatia, having been deemed a threat to national security.

I did not know a great deal about the Croatian police, but what little I did know made me doubt they cared too much about my right to privacy. I suddenly felt exposed. So Jedlicka and I communicated using an encrypted messaging app, Signal. I had considered Signal mostly a frustrating tool that helps violent Islamists avoid intelligence agencies. But suddenly this nuisance app was transformed. Thank God for Signal, I thought. Whoever invented Signal deserved a prize, I thought. Without Signal, Jedlicka couldn't engage in activism. Without Signal, I couldn't write about it.

This was in Croatia. Imagine what that might feel like as a democratic activist in Iran, Russia, Turkey or China.

You see the debate about encryption differently once you've had cause to rely on it personally for morally sound purposes. An abstract benefit to journalists or activists becomes a very tangible, almost emotional dependence. The simple existence of powerful, reliable encryption does more than just protect you from an overbearing state: it changes your mindset too. When it's possible to communicate without your every move being traced, the citizen is emboldened. He or she is more likely to agitate, to protest and to question, rather than sullenly submit. If you believe the state is tracking you constantly, the only result is timid, self-censoring, frightened people. I felt it coming on in Croatia. Governments should be afraid of the people, not the other way around.

The debate on encryption, therefore, should change. The people who build this stuff - whether Tor, PGP or whatever else are generally motivated by the desire to help people like Jedlicka, people like me. They don't do it for the terrorists. Seen and understood in that light, the starting point for discussion is about the great benefits of encryption, followed by the frustrating and inevitable fact that bad guys will use the same networks, browsers and messaging apps.

Which is why any efforts to undermine encryption - through laws, endless criticism, weakening standards, bans, threats to ban, backdoors and international agreements - would hit someone like Jedlicka, or me, just as it would Isis. The questions then become: are we willing to prevent good guys having protection just because bad guys are using it? Once you've had cause to use it yourself, the answer is extremely clear.

Jamie Bartlett is the director of the Centre for the Analysis of Social Media at the think tank Demos. In 2014 he published The Dark Net, a book about hidden internet subcultures. His second book, Radicals, released in 2017, is about how the world has changed in unexpected ways in recent years.

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4D quantum encryption successful in first real-world test – New Atlas – New Atlas

Using quantum encryption to secure messages could make for much less hackable communication networks. The technique has been tested in the lab, but for it to really take off as a practical system it needs to work out in the real world, among other signals and natural air turbulence. Now, researchers from the University of Ottawa have successfully sent a message with high-dimensional quantum encryption between two building rooftops.

Quantum communication, at its most basic level, usually encodes information in a binary system: individual photons are sent between two points, with each representing one bit of information, either a one or a zero. But a technique called high-dimensional quantum encryption can theoretically squeeze twice the data into each photon, in turn allowing exponentially more information to be transmitted. Two bits of information per photon opens up four signal possibilities 00, 01, 10 and 11 giving it the title of 4D quantum encryption.

Not only can this technique fit more information into each particle, it's also more secure against deliberate attempts to intercept the message, as well as environmental factors like air turbulence and electronic interference. To keep out any prying eyes, this information can be encrypted with quantum key distribution, which uses the quantum states of light to encode a message and tell the receiving device how to decrypt it.

But outside of a lab, the real world is a noisy place, full of buildings, turbulent air and electronics. Before 4D quantum encryption can reach its potential, it needs to be tested in the kinds of environments it may eventually be used in. Since there's so much noise on the ground, sending a signal across a distance of 3 km (1.9 miles) horizontally is equivalent to the much greater distance of beaming a message through the relatively-clear air between the ground and a satellite in orbit.

The 3-km horizontal test is the next step, but for this proof of concept, the University of Ottawa researchers set about performing a 300 m (985 ft) test run between two rooftops in a city. They set up the lab equipment on the roof of each building, protected from the worst of the weather in wooden boxes.

The test was successful. Messages secured with 4D quantum encryption were beamed between the two stations, with an error rate of 11 percent well below the threshold to make it a secure connection. Accounting for the error correction and turbulence, the system was able to transfer 1.6 times more data per photon than 2D encryption.

"Our work is the first to send messages in a secure manner using high-dimensional quantum encryption in realistic city conditions, including turbulence," says Ebrahim Karimi, lead researcher on the study. "The secure, free-space communication scheme we demonstrated could potentially link Earth with satellites, securely connect places where it is too expensive to install fiber, or be used for encrypted communication with a moving object, such as an airplane."

The researchers say the next step is to test the system across three points, placed 5.6 km (3.5 mi) apart, using adaptive optics to try to counteract the turbulence. Longer-term, the plan is to add more links and more encryption dimensions to the system.

The research was published in the journal Optica.

Source: The Optical Society

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Amber Rudd is wrong – real people do want end-to-end encryption – ITProPortal

Writing in the Daily Telegraph recently, British Home Secretary Amber Rudd stated that real people do not need such high levels of security as offered by end-to-end encryption (E2EE), going on to add that real people often prefer ease of use and a multitude of features to perfect, unbreakable security. This statement couldnt be further from the truth.

Encryptions benefits are far-reaching and essential in a world where most of our business and personal communications happen digitally. To cite just a few examples, E2EE allows people to communicate safely with one another in nations with oppressive regimes, enables LGBTQ individuals to stay in touch in countries where homosexuality is illegal, provides a way for doctors to share confidential patient information and ensures journalists can protect their sources.

Our online lives also necessitate an enormous and ever-increasing amount of personal data sharing, further driving a need for E2EE. For example, our personal details, credit card and other banking information and medical records are frequently shared online, increasing risk, as unsecure communication can be captured by a whole host of malicious actors such as sniffers on public WiFi networks, malware apps and ISP-level tracking.

In addition, our personal data has become the centre of a new economy, with retailers tracking and storing information on our shopping habits in data repositories, while social media has fuelled us to share our photographs, plans, whereabouts, and feelings on a daily basis. This has driven advertisers to utilise detailed and very personal information to target consumers, with vast resources spent collecting such information, all without transparency, policy, or oversight.

Furthermore, the volume of digital threats is increasing; Google saw a 32 per cent increase in the number of website hacks in 2016. Such breaches have enormous ramifications for both businesses and consumers, with investors losing 42 billion from hacking attacks on UK businesses since 2013.

The combination of these factors has powered demand for E2EE. As weve seen with the surge adblocker downloads, an increasing number of consumers are looking to escape the barrage of adverts and stop their personal communication passing through data mines, causing more and more people to turn to E2EE.

However, the most notable demand for strong encryption has stemmed from businesses, which until recently have lacked a user-friendly E2EE business communications tool. Companies have therefore been forced to rely on tools which lack a rich user experience and functionalities that are vital for business communications. Alternatively, they have had to use non-E2EE solutions such as Slack and Skype for Business that use transport layer security protocol that has been the subject of a number of high profile attacks.

As these breaches demonstrate, not using an E2EE tool leaves businesses chats, files and calls at the risk of being exploited by hackers who can compromise the servers and get hold of these details, as well as open to access by service providers.

At Wire, weve seen three distinctive drivers for E2EE from businesses:

The need to protect customer data (healthcare companies, businesses in the legal and financial sectors, tax advisors and private banking) The need to protect intellectual property amidst fears of growing industrial espionage, in particular with companies from the pharmaceutical, automotive and industrial sectors The need to protect their internal communications (government institutions and M&A departments of large corporations, etc.), and communication with customers, the real people

These drivers have fuelled a change in the communications landscape, and prompted us to launch a dedicated E2EE business platform.

The spate of high profile hacks during the past few years has shown the enormous damage a breach can do to a business customers, reputation and revenue; Oxford Economics found that companies share prices fall by an average of 1.8 per cent on a permanent basis following a severe breach where large amounts of sensitive information is lost. While this percentage may seem low, for FTSE 100 companies this would equate to an average of 120 million.

In addition, E2EE will be a vital tool for companies next year when the newGeneral Data Protection Regulation(GDPR) comes into force in May 2018. This will require companies to enforce greater levels of protection on their customer data, and securing communications channels is a vital part of this process.

Breaching GDPR could lead to fines of up to 20 million euros or 4 per cent of the annual global turnover, whichever is greater, demonstrating the importance of adhering to the regulations.

Digital Minister Matt Hancock also recently announced that firms could face steep fines of up to 17 million, or 4 per cent of global turnover, should they fail to protect themselves from cyber-attacks. In spite of Rudds comments regarding encryption, should businesses opt to communicate through non-secure channels, they could be perceived as not protecting themselves from breaches, and thus potentially at risk from fines.

As these use cases demonstrate, contrary to Rudds statement, real people and businesses not only want the high level of security offered by E2EE, they need it, and are demanding it, and these demands will only increase as technology advances. For example, were likely to soon witness a need for E2EE for the Internet of Things, and for the management of self-driving cars.

Fortunately some governmental institutions recognise the need to embrace E2EE. In June the EU Parliamentary Commission on Civil Liberties, Justice and Home Affairs highlighted the need for safe and secure communication, and recommended a ban on any attempt to weaken E2EE by any member state.

This proposal would forbid the use of so-called backdoors that allow the reading of encrypted messages, and places the EU in conflict with the UK government, with Rudd previously expressing the belief that technology companies should provide authorities with access to encrypted messages.

However, despite insistence by Rudd that such a backdoor would enable the UK to keep its citizens safe from some threats, it exposes them to a wealth of others. Building in a backdoor for the authorities would invalidate the encryption, and leave it wide open to exploitation from anyone.

Against a backdrop of growing digital threats, E2EE has become more important than ever, and its benefits should not be ignored. Instead of looking to remove encryption, governments, businesses and real people should look to utilise it and unlock the vast amount of benefits it can bring. E2EE is an essential building block of the ecosystem that protects consumers and businesses from privacy invasion and threats, and it is time it was recognised as such.

Alan Duric, Co-Founder, CEO, WireImage Credit: Yuri Samoilov / Flickr

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Western Digital (WDC) Acquires Cloud-Storage Startup Upthere – Nasdaq

Western Digital Corporation WDC recently announced that it has completed the acquisition of the assets of Upthere, an app-based cloud-storage startup. The company will integrate Upthere into its Client Solutions business unit. However, financial details of the transaction were not disclosed.

Upthere's Storage Approach: It's Different

Redwood City, CA-based Upthere offers cloud storage services which is almost similar to other well-known providers like Dropbox, Apple AAPL iCloud, Box BOX and Google Drive. The app is available on most platforms including iPhone, iPad and Android devices, as well as Mac operating system (OS) and Windows PCs.

Upthere's "streaming" approach is different as compared to its cloud-storage peers. Per TechCrunch , the service bypasses (almost) local storage and directly "writes"/"reads" into the cloud, which updates documents, files and music on a real-time basis. This feature also makes the app significantly faster during uploading/downloading files.

However, Upthere doesn't sync with a users local file system. So, a user cannot see through Finder or Windows explorer.

The acquisition will definitely boost Western Digital's footprint in the cloud-storage market, which is projected to grow from $23.76 billion in 2016 to $74.94 billion by 2021. However, we believe that the consumer cloud-storage market is already quite oversaturated. Hence, room for further growth may not be significant in our view.

Western Digital Corporation Price and Consensus

Western Digital Corporation Price and Consensus | Western Digital Corporation Quote

Acquisitions: Key Catalyst for Western Digital

Over the years, Western Digital has focused on acquisitions to expand total addressable market (TAM) and solidify footprint in growth markets. The acquisition of SanDisk has opened new avenues of growth for the company, particularly in the NAND and SSD markets.

The acquisitions of Amplidata, sTec, Velobit, Inc., Arkeia Software Solutions and Virident Systems have not only strengthened Western Digital's small-to-medium sized business solutions but also expanded its SSD product portfolio.

Reportedly, Western Digital is on the verge of acquiring Toshiba's TOSYY chip unit, which will significantly improve its competitive position in the NAND flash market.

Currently, Western Digital carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 (Strong buy) Rank stocks here .

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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pCloud First Cloud Storage Provider to Offer Lifetime Plan – PR Newswire (press release)

BAAR, Switzerland, Aug. 29, 2017 /PRNewswire/ --

What is pCloud?

pCloud is a personal cloud space where files and folders can be stored. It has a user-friendly interface that clearly shows where everything is located and what it does. The software is available for almost any devices and platforms iOS and Android devices, Mac, Windows, and Linux. By installing pCloud on the computer (through its desktop application pCloud Drive), the app creates a secure virtual drive which expands local storage space. Every change made in a pCloud account can be seen immediately on all other devices - computer, phone or tablet. All devices are instantly synchronized and have direct file access to any update. And if that's not enough, pCloud offers a new, industry-first LIFETIME PLAN so everyone will have unlimited, secure storage space forever.

How is pCloud unique from other cloud storage services?

The main difference is that pCloud does not take space on the computer. pCloud Drive acts as a virtual hard disk drive, which allows users to access and work with content in the cloud, without using any local space.

What is significant about the lifetime plan?

The introduction of the Lifetime plan is something that no other company in the cloud storage market has done before. It gives users the chance to invest in a secure storage solution and eliminate the risk of losing their files to external drives, which have an average lifespan of around 5 years.

External hard-drives are in imperfect solution as they cost hundreds of dollars and have a 20% chance of breaking down in the first year, not to mention the risk of being stolen. The cost of recovering information on an external hard drive is extremely high, and can often exceed $1,000.

Over a long period, the cost of other cloud storage services is exorbitant and prohibitive.

How much does pCloud lifetime storage cost?

With pCloud, there are no monthly or yearly payments. For one payment users get storage for a lifetime.

About pCloud

pCloud was launched just over 3 years ago and has grown into a community of more than 7 million users from around the world. Today, the service is among the top five players in the global cloud storage market. In 2015 the company received a round A series of investments amounting to $3 million for the expansion of the service in the international scene. pCloud has over 1.4 billion uploaded files and over eight PetaBytes of maintained information.

Media Contact:Tunio ZaferCEO172930@email4pr.com+41 43 508 59 48

View original content with multimedia:http://www.prnewswire.com/news-releases/pcloud-first-cloud-storage-provider-to-offer-lifetime-plan-300510271.html

SOURCE pCloud

http://www.pcloud.com

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Faction Partners with CoreSite to Launch Multi-Cloud Storage and … – Business Wire (press release)

DENVER--(BUSINESS WIRE)--CoreSite Realty Corporation (NYSE: COR), a premier provider of secure, reliable, high-performance data center and interconnection solutions across the U.S., today announced that Faction, a leading enterprise-class private cloud and backup infrastructure provider, has partnered with CoreSite in both the Northern Virginia and Silicon Valley markets to deliver expanded multi-cloud service offerings to its customers.

Faction chose to partner with CoreSite based on its scalable data center platform, strategic locations and high-performance interconnection solutions that allow Faction to optimize the delivery of its multi-cloud service offering by providing low-latency connectivity to leading cloud and network service providers. Faction will leverage connectivity to the CoreSite Open Cloud Exchange to deliver high-performance and cost-effective VMware based clouds with Administrator-level access to VMware vCenter that offers unprecedented control, flexibility, and integration capabilities for hybrid & multi-cloud deployments.

Along with Factions leading enterprise-class private cloud and Veeam backup solutions, Faction is launching a multi-cloud NetApp storage solution and Managed VMware on AWS offering that is enabled by leveraging the low-latency cloud on-ramps within the CoreSite portfolio.

CoreSite provides the facilities, high-performance interconnection solutions and close proximity to the major public cloud providers, which are key to enabling our multi-cloud solutions and go-to-market strategy, said Luke Norris, Chief Executive Officer at Faction. We are committed to providing our customers with maximum control in an unmatched multi-cloud environment, and CoreSite enables us to deliver a differentiated customer experience.

The CoreSite Silicon Valley market is comprised of seven operational data centers, providing colocation solutions to one of the largest concentrations of Internet and technology companies in the world. More than 185 international and national carriers, social media companies, cloud computing providers, media and entertainment firms, and enterprise customers connect to do business in CoreSites Silicon Valley data center market.

The CoreSite Northern Virginia data center market currently includes three highly scalable facilitiesone in Washington, D.C. and two on its Reston, VA campus (VA1 and VA2). CoreSite recently announced the expansion of both its Reston and Washington, D.C. campuses, all of which will now total over 1,097,000 square feet of colocation data center space upon full build out. CoreSites customer community includes a diverse mix of government, financial services and cloud service providers, as well as domestic and international networks providing a direct connection to U.S. and European markets. With the growing importance of Northern Virginia as a communications and enterprise hub, CoreSites Reston campus provides flexible colocation and hybrid-cloud deployment solutions for customers located in Washington, D.C. and the greater Northern Virginia area.

We are pleased that Faction has partnered with CoreSite to expand the reach of their VMware-based private cloud and Veeam backup solutions. Additionally, their multi-cloud service offering is a valuable addition to the ecosystem, and through the CoreSite Open Cloud Exchange, Faction is able to deliver a true hybrid-cloud experience without compromising security or performance, said Steve Smith, Senior Vice President, Sales and Marketing at CoreSite. Faction provides enterprises with unique and customized cloud solutions built on a powerful and well-adopted VMware environment, and we look forward to supporting their future growth.

Faction is a member of theCoreSite Marketplace, which provides a dynamic web-enabled interface, where CoreSite customers can learn of other service providers, how they can benefit from one another, and engage easily to support their IT strategy. These services include network providers, cloud on-ramps, managed service providers, and software providers. To learn more about Faction, visithttp://www.coresite.com/marketplace/faction.

About Faction

Colorado-based Faction is an enterprise-class IaaS cloud provider delivering maximum control, flexibility, and integration capabilities for customers in hybrid & multi-cloud environments. Faction has Type II SSAE 16 and SOC 1 & 2, HIPAA compliant and PCI capable cloud nodes in 8 geographies in North America. Faction is a Platinum-level NetApp Service Provider and is VMware Hybrid Cloud and IaaS Powered. For more information on Faction and to learn how to leverage hybrid cloud and multi-cloud strategies, please visit http://www.factioninc.com. Follow us on Twitter (@FactionInc) and LinkedIn.

About CoreSite

CoreSite Realty Corporation (NYSE:COR) delivers secure, reliable, high-performance data center and interconnection solutions to a growing customer ecosystem across eight key North American markets. More than 1,200 of the worlds leading enterprises, network operators, cloud providers, and supporting service providers choose CoreSite to connect, protect and optimize their performance-sensitive data, applications and computing workloads. Our scalable, flexible solutions and 430+ dedicated employees consistently deliver unmatched data center options all of which leads to a best-in-class customer experience and lasting relationships. For more information, visit http://www.CoreSite.com.

Forward Looking Statements

This press release may contain forward-looking statements within the meaning of the federal securities laws. Forward-looking statements relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends and similar expressions concerning matters that are not historical facts. In some cases, you can identify forward-looking statements by the use of forward-looking terminology such as "believes," "expects," "may," "will," "should," "seeks," "approximately," "intends," "plans," "pro forma," "estimates" or "anticipates" or the negative of these words and phrases or similar words or phrases that are predictions of or indicate future events or trends and that do not relate solely to historical matters. Forward-looking statements involve known and unknown risks, uncertainties, assumptions and contingencies, many of which are beyond CoreSite's control, that may cause actual results to differ significantly from those expressed in any forward-looking statement. These risks include, without limitation: the geographic concentration of CoreSite's data centers in certain markets and any adverse developments in local economic conditions or the demand for data center space in these markets; fluctuations in interest rates and increased operating costs; difficulties in identifying properties to acquire and completing acquisitions; significant industry competition; CoreSite's failure to obtain necessary outside financing; CoreSite's failure to qualify or maintain its status as a REIT; financial market fluctuations; changes in real estate and zoning laws and increases in real property tax rates; and other factors affecting the real estate industry generally. All forward-looking statements reflect CoreSite's good faith beliefs, assumptions and expectations, but they are not guarantees of future performance. Furthermore, CoreSite disclaims any obligation to publicly update or revise any forward-looking statement to reflect changes in underlying assumptions or factors, of new information, data or methods, future events or other changes. For a further discussion of these and other factors that could cause CoreSite's future results to differ materially from any forward-looking statements, see the section entitled "Risk Factors" in CoreSite's most recent annual report on Form 10-K, and other risks described in documents subsequently filed by CoreSite from time to time with the Securities and Exchange Commission.

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A Man Backing Up Millions Of GB Of Porn May Have Ended … – Indiatimes.com

There used to be a time when CDs and flash drives were a godsend, allowing us to digitally store anything we felt like for later perusal. Sure, theyre used to some extent, but cloud storage has largely overtaken those forms in our day to day usage. We remotely save and access data everyday from our computers and smartphones.

While a lot of these cloud storage providers offer a subscription based unlimited plan, one user set out to find just how unlimited they actually are. More specifically, how much would Amazons unlimited data plan let you hoard.

Reddit user beaston02 seemed determined to discover the upper limits of Amazons cloud storage, of which the unlimited plan was killed off earlier in June. In fact, others on Reddit speculate he may be a major reason the plan was killed off. Thats because beaston02 was hoarding a massive cache of porn in his cloud storage account. Specifically, one petabyte (1 million GB) worth of it.

To achieve the feat, beaston02 compiled a code that would record public shows from a number of adult webcam sites, including CamSoda, Chaturbate, and MyFreeCams. It is nearly entirely porn, he posted on Reddit. Ever since I got into computers, I found myself learning more, and faster when it was something more interesting. Call me crazy, but women interest me more than most other things on the internet and there is a huge amount of data being created daily, so it was a good fit for the project.

Beaston02 eventually ditched the project when his interest waned a couple of months ago, stopping just shy of the 1.8 petabyte mark, and making his collection available on GitHub. Other Redditors have now joined forces on what theyre calling the Petabyte Porn Project, continuing to archive these public cam shows on both Amazon and Googles cloud storage

So just how much porn does 1 petabyte add up to? Well, an average 720p video would work out to about 2GB per hour. However, most cam websites offer a significantly lower quality, making it best to average them at about 480p. That means, at about 0.7GB per hour, beaston02 archived approximately 293 year's worth of porn.

No matter the situation, no one can ever be that bored.

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Elusive Majorana Particle Takes Major Step Towards Quantum Computing – IEEE Spectrum

An international team of researchers has fashioned a device from nanowires that may finally prove the existence oflong-theorized quasiparticles known asMajorana particles. Once these Majorana particles are identified and isolated, they could form the basis of a quantum bitor qubitthat would process information in a new kind of quantum computer with improvedstability.

Ever since 1937, when the Italian physicist Ettore Majorana first theorized the existence of the quasiparticle that takes his name, there has been much effort to prove that it really exists, withlittle to show for it. But this changed back in 2012, when researchers at Delft University of Technology (TU Delft)in the Netherlandssaw strong hints of Majoranas when they sent electrons into a semiconducting nanowire placed alongside superconducting material.

Since that 2012 Delft research, there have been a number of experiments that have reported evidence of Majoranas in a similar system. However, all of those experiments, including the original one at Delft, left open the possibility of alternative explanations for the results. So, unilnow, there has been no smoking-gun evidence of Majoranas, saidHao Zhang, a post-doc at TU Delft, in an e-mail interview with IEEE Spectrum.

There remained one definitive way to prove the existence of these Majorana particles and that was for them to exchange places along the nanowire, a phenomenon referred to as exchanging statistics of the particles. These statistics describe how the quantum mechanics of the system changewhen two indistinguishable particles switch places.

This exchange of places along the nanowire is also called braiding. These braids form the logic gates of topological quantum computers. However, no one could see how this braiding was possible because the act of getting the particles to pass each other in this nanowire would annihilate them.

If this braiding of these quasiparticles could somehow be artificially induced, researchers theorized,it would result in a far more stable method for quantum computing than employing trapped quantum particles. Thats because the systemwouldnt be susceptible to outside influences like thermal fluctuations.

In research described in the journal Nature, the researchers, from TU Delft, Eindhoven University of Technology in the Netherlands, and the University of California,Santa Barbara, created a hashtag-like device made from nanowires. It provided a four-way intersection in which two Majorana particles could exchange places in the nanowire-based structure without coming in contact with each other and annihilating each other.

These braiding experiments can give experimental results, which are unique to Majoranas, and cannot be mimicked by other alternative scenarios, says Zhang. Thus it can be treated as the smoking-gun evidence.

Braiding not only provides definitive evidence of Majoranas, but perhaps more importantly, it also proves the feasibility of topological quantum computing in which the fundamental assumption of their operation is based on the braiding phenomenon. In other words, the braiding not only proves the existence of Majoranas, but also provides the mechanism by which they could serve as the basis of a qubit for a topological quantum computer.

This means that the quantum information (qubit) can be stored and manipulated simply by braiding (swapping) of Majoranas. This process of braiding is supposed to be robust against error since the outcome only depends on the order of braiding operations, adds Zhang.

In the video below, you can see a description of how the Majoranas are formed from the combining of semiconductor nanowires with a superconductor material, and how once formed can be manipulated into serving as qubits in a topological quantum computer.

This robustness against error depends on Majornas ability to maintain superposition. In previous quantum computing proposals, the unpaired electrons of certain ions can assume either of two spin states, up or downor in terms of digital logic, 0 or 1. When these ions are hit with a microwave pulse, the unpaired electron can take on both the 0 and 1 state simultaneously. These two states constitute what is termed superposition.

Unil now, it has only been possible to maintain a superposition state for very short periods of time because the spin states of neighboring atoms quickly destroy the coherent state.This makesthe life of the qubit too short for it to perform the desired number of quantum computations.

This is the biggest advantage of Majorana qubit compared to other qubits, says Zhang. The Majorana qubit should have longer coherence time (robust against error) due to its topological protection.

Zhang says that they are already working on the engineering of a qubit based on these Majoranas that will involve the fabrication of a microwave pulse circuit.

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Dark web finds bitcoin increasingly more of a problem than a help, tries other digital currencies – CNBC

Criminals are dropping bitcoin in favor of other digital currencies that are harder for law enforcement to use in tracking activities in an anonymous corner of the internet known as the dark web, analysts said.

Although hard numbers on criminal activity in digital currencies are difficult to pin down, Shone Anstey, co-founder and president of Blockchain Intelligence Group, estimates that illegal transactions in bitcoin have fallen from about half of total volume to about 20 percent last year.

"Now it's significantly less than that," he told CNBC earlier this month, noting that overall transaction volume has grown globally.

A U.S. Homeland Security official confirmed to CNBC in a phone interview on Thursday that criminals are "looking more closely at other currencies like monero and ethereum."

"What the criminals are starting to see, and some of the trends we're picking up as well, is that bitcoin also works equally just as much against you as it does for you," said the official, who didn't want to be named.

Ethereum cybercrime revenue in $ millions

Source: Chainalysis

Bitcoin is built on the blockchain, a public record of all transactions available online. Users also need a public address of numbers and letters in order to receive payments. As a result, intelligence agencies can track the movement of funds to addresses that hackers provide and catch the criminals when they try to cash out through more regulated entities such as exchanges or banks.

Jonathan Levin, co-founder of blockchain analytics firm Chainalysis, noted that recent law enforcement crackdowns have "made a dent in the trust" in dark web markets, where people primarily use cryptocurrencies for payment.

On July 20, the U.S. Justice Department and Europol announced the closure of two of the largest dark web marketplaces, AlphaBay and Hansa, which listed tens of thousands of vendors selling illegal drugs, counterfeit identification documents and other illicit products.

The DOJ said AlphaBay transactions used bitcoin, monero and ethereum, while Europol estimated a minimum of $1 billion in transactions on AlphaBay since its launch in 2014.

A few days later, a grand jury in the U.S. District Court for the Northern District of California charged Russian national Alexander Vinnik and the digital currency exchange he allegedly operated, BTC-e, with money laundering and related crimes. Once a major exchange, the BTC-e website now shows it's been seized by U.S. authorities.

Screenshot of BTC-e landing page

"We're getting a lot better through law enforcement tracking those [criminals] and holding the exchanges more accountable," the Homeland Security official said. "I think [bitcoin]'s a lot more legitimate than people give it credit for."

The average number of daily bitcoin transactions has climbed to 224,000 so far this month from around 206,000 last August, according to data from the Blockchain website. Daily trade volume in bitcoin has multiplied rapidly in the last year, climbing to an average of $2 billion so far this month from an average $86.7 million last August, according to CoinMarketCap data.

Bitcoin has more than quadrupled in value this year, to hit a record high of more than $4,700 on Tuesday.

Daily confirmed bitcoin transactions by seven-day average (2009 - 2017)

Source: Blockchain.info

In the last three years, new digital currencies such as monero have emerged in an effort to increase privacy. Unlike the open transaction record of bitcoin, monero's technology hides the name of the sender, amount and receiver.

A representative from monero did not respond to email and Twitter requests for comment.

Monero hit a record high Monday of $154.58, up more than 1,000 percent this year, according to CoinMarketCap.

Digital currency ethereum is an increasing target for cybercrime as well, according to Chainalysis. Ethereum is up about 4,300 percent this year amid a flood of funds into the digital currency for initial coin offerings, which have raised the equivalent of nearly $1.8 billion in the last three years, CoinDesk data showed.

Cybercriminals raised $225 million in ethereum so far this year, Chainalysis said in a report posted Aug. 7 on its website. Phishing attacks disguised emails or other communication used to trick people into disclosing personal information make up more than half of all ethereum cybercrime revenue this year at $115 million, the study said.

The Ethereum Foundation did not return a CNBC request for comment.

That said, analysts pointed out that bitcoin is still favored by many criminals since its relatively more widespread use makes it easier for them to quickly convert the digital currency to cash without any intermediary.

The sharp gains in bitcoin's price have also made it more attractive for hackers in recent high-profile attacks such as WannaCry, though analysts estimate the criminals have only received tens of thousands to a few hundred thousand U.S. dollars' worth of bitcoin.

"Bitcoin basically introduced a situation where we could bypass the money mules," said Rickey Gevers, cybercrime specialist at RedSocks Security, which detects and fights against malware.

But, Gevers said, "in the beginning [bitcoin] looks very anonymous, and in the end it doesn't look very anonymous."

Wall Street is increasingly interested in bitcoin. More investment funds are opening and the U.S. Commodity Futures and Trading Commission is allowing bitcoin options to begin trading. Switzerland's financial markets regulator in mid-July also approved Falcon Private Bank as the first Swiss private bank for bitcoin asset management.

"The whole use issue of digital currencies has become a big industry. Bitcoin isn't this weird, odd currency that's being used on the dark web," said Paul Triolo, practice head of geotechnology at consulting firm Eurasia Group. "Since the early days of bitcoin on some [levels], the world has changed quite a bit."

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