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The problems with ending encryption to fight terrorism – New Statesman

Every election campaign has its story, its place in the political history of this country. 2017 will forever be known for Manchester and the horror of the attack on Britain's young; and fighting terrorism will be a theme, overt or underlying, of what we see and hear between now and polling day.

The broadcasters have covered the events comprehensively yet sensitively. But they are aware that we're in an election campaign too; and when other news drives aside the carefully-balanced campaign formats, ministerial appearances give them a dilemma.

The fact is that what the Prime Minister and Home Secretary are doing in response to Manchester is newsworthy. It was Theresa May's duty to implement the recommendations of her security advisers on the elevation of the terror alert, and it would have been unthinkable for the news channels not to broadcast her various statements.

But it is also true that, if the bomb hadn't been detonated, Tuesday would have been a day in which the PM would have been under relentless damaging scrutiny for her u-turn on social care.All the opposition parties would have been in full cry across the airwaves. Yet in the tragic circumstances we found ourselves, nobody could argue that Downing Street appearances on the terror attack should prompt equal airtime for everyone from Labour to Plaid Cymru.

There are precedents for ministers needing to step out of their party roles during a campaign, and not be counted against the stopwatch balance of coverage. Irish terrorism was a factor in previous elections and the PM or Northern Ireland secretary were able to speak on behalf of the UK government. It applied to the foot and mouth epidemic that was occupying ministers' time in 2001. Prime ministers have gone to foreign meetings before, too. Mrs Thatcher went to an economic summit in photogenic Venice with her soulmate Ronald Reagan three days before the 1987 election, to the irritation of Neil Kinnock.

There are plenty of critics who will be vigilant about any quest for party advantage in the way that Theresa May and Amber Rudd now make their TV and radio appearances; and its inevitable that a party arguing that it offers strength and stability will not object to being judged against these criteria in extreme and distressing times.

So it's necessary for both broadcasters and politicians to be careful, and there are some fine judgements to be made. For instance, it was completely justifiable to interview Amber Rudd about the latest information from Manchester and her annoyance with American intelligence leaks. I was less comfortable with her being asked in the same interview about the Prevent strategy, and with her response that actions would follow "after June", which edges into party territory and would be a legitimate area to seek an opposition response.

When the campaigning resumes, these challenges become even greater. Deciding when the Prime Minister is speaking for the government and nation, or when she is leader of the Conservative Party, will never be black and white. But I would expect to see the broadcast bulletins trying to draw clearer lines about what is a political report and what is the latest from Manchester or from G7. They must also resist any efforts to time ministerial pronouncements with what's convenient for the party strategists' campaign grid.

There might also usefully be more effort to report straight what the parties are saying in the final days, with less spin and tactical analysis from the correspondents. The narrative of this election has been changed by tragedy, and the best response is to let the politicians and the public engage as directly as possible in deciding what direction the nation should now take.

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Report: Conservative UK government to force tech firms to hand over encrypted data – TrustedReviews

The Conservative party is reportedly using recent terror attacks as leverage to ask technology companies to hand over their encrypted data.

A recent report (via) claims the Tories will push for new legislation after the general election, assuming they win, of course.

The government is supposedly planning on setting new rules which would allow for what's called Technical Capability Notices.

A government minister is said to have told The Sun: "The level of threat clearly proves there is no more time to waste now The social media companies have been laughing in our faces for too long."

Related: Best VPN

These will potentially allow police and MI5 to override the protection promised by technology behemoths such as Apple and Facebook.

Firms such as this encrypt user data to protect against hacking attempts, but such encryption makes it difficult, if not impossible, for government agencies and authorities to gain access to that data as part of investigations.

The argument against opening a so-called "back door" to encryption has always been that it could easily be exploited by hackers.

This isn't the first time governments have tried to get their hands on encrypted data from technology giants it was only last year that the US and Apple were involved in a feud over this very issue after a terrorist attack in San Bernardino.

Apple refused to unlock the shooter's iPhone, with the FBI eventually claiming it found a third party that was able to unlock the phone that was used to help plan and conduct the attack.

The new report claims that if the Tories suceed in their legislative ambtitions, each order to open the back door to encryption will have to have senior judge approval and be signed off by the home secretary.

On top of that, only companies with a user base of more than 10,000 will be targeted for back door access.

Do you think the UK government should have a back door to encrypted networks? Let us know in the comments.

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Opinion: Three reasons to fear the coming crash in bitcoins – MarketWatch

An investment of $1,000 in bitcoin in 2010 would be worth more than $38 million today, not $38 billion, as an earlier version of this column mistakenly stated.

$1,000 $2,000 or $3,000. Heck, it could be up to $10,000 by the end of the month, and carry on climbing from there. While most markets around the world are mildly positive for this year, the cryptocurrency bitcoin has gone through the roof. At $2,400 it has more than doubled in value this year alone, and it is hitting fresh highs almost every day.

But hold on. Bitcoins themselves may be very new, yet that kind of price action is very old. In truth, it is starting to look like a bubble, and that should be making investors everywhere feel nervous. Why? Because it tells us that financial crazes are back. Because it will lead to overinvestment and wild speculation. And because bubbles inevitably crash and once that happens, the losses can ripple out in unexpected ways.

Also read: 4 reasons bitcoin still isnt mainstream

If you were lucky enough, or smart enough, to load up on some bitcoins early, you will be feeling a lot wealthier heading into the summer.

On Monday, the value of bitcoin BTCUSD, +9.47% raced up close to $2,200, an all-time high. By Wednesday it was soaring over $2,400.

If you had put $1,000 in the electronic currency in 2010, it would be worth an extraordinary $38 million (up from $35 million on Monday and compared to $2,500 if you had put it into the S&P 500 SPX, +0.25% ). Not many people were ever going to be that quick off the mark, but if you had loaded up on a few when the price last crashed in 2014 you would have almost quadrupled your money. In the last month alone, the price has risen by 87%, and there is little sign of it stopping there.

There are plenty of solid reasons why bitcoins are going up in price. It is growing in importance, along with other cryptocurrencies, as more and more companies accept it as a means of payment, and as regulators start to accept it as a legitimate investment. It may well start to break out of a small techno world, and become a mainstream asset, like the dollar, or equities, gold or bonds.

Even so, 87% in a month is not a normal price movement. In reality, no one really needs to spend time debating whether its a bubble or not. It is just obvious. The interesting question is what will be the consequences of that, and how much damage it might do when it bursts.

On one level, the answer might be not much. For all the hype and hoopla around electronic currencies, they are not yet a huge financial deal. There are 16 million bitcoins out there, and they currently have a combined value of $35 billion.

Okay, so that might be $40 billion or even $50 billion by the time you get around to reading this far, but in the context of the global capital markets that is not a huge sum.

Apple AAPL, -0.30% has a market value of $805 billion. All the gold in the world has an estimated combined price of $8.2 trillion. The United States bond market is worth an estimated $31 trillion. Bitcoin is hardly that important. Associated British Foods ABF, +0.03% , a relatively dull company you have probably never heard of, is worth about the same as all the bitcoins put together and the markets would not crash if it went pop.

On another level, however, the bubble could matter a lot. Here are three reasons why it should be making investors, whether they have any cryptocurrencies in their portfolio or not, feel anxious.

First, like any mania, it will lead to overinvestment, and that will lead to a misallocation of capital. Only this month, a company called RSK Labs raised $3.5 million for a bitcoin smart contract. Coinbase, a digital wallet startup, raised $75 million in funding.

Anyone who has time on their hands this week might want to try rolling up to a venture capital fund with a whizzy idea for a bitcoin something-or-other. They will probably walk out with $10 million, and a promise of more funding when that is used up. Sure, some of those will be great ideas, and go on to make everyone a lot of money. But a lot of them will flimsy and unpractical and will burn though a lot of cash that could have been more usefully deployed elsewhere.

Next, it tells us that manias are back.

In any long bull market, there are always one or two assets where the price goes completely crazy. It might be dot-com stocks, or space exploration companies, or apartments in central London, or hedge-fund managers, or if you go back far enough, radio shares, or South American railway companies.

But it is always something. If there is an asset bubble underway, it surely tells us that we are close to the peak of a bull market and sooner or later, that will turn down.

Finally, if bitcoin crashes, it might not do that much damage. $30 billion can disappear without leaving much of a trace in the capital markets. The worrying point is this. Bitcoin is not just any old asset. It is also money, if not of the conventional sort.

As we learned in 2008 and 2009 when a part of the financial system starts to crumble, suddenly the whole edifice starts to look pretty shaky. We dont really know what contracts have been linked to cryptocurrencies, what derivatives have been hitched to them, or how deeply they have been embedded into the financial system. One thing is for sure, though. In a crash, we would find out very quickly and the losses might ripple out in all unexpected ways.

Right now, bitcoin is on a roll. We have no way of knowing what its real value might be. The peak of a run might well be some way off. But when a crash comes, it wont just be its holders who feel the pain.

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Why bitcoin prices are rising — way more than a bit – CBS News – CBS News

When hackers recently threatened torelease an unnamed Disney filmunless they received a payoff, they asked for the ransom in bitcoin. The incident highlights the cryptocurrency's dual nature these days as an increasingly prized and accepted financial asset but one that still retains its outlaw allure.

Bitcoin prices are topping $2,000, more than doubling in value this year, as political instability in many parts of the world cause a spike in demand that some fans say could one day upend the world's banking system.

As a result of the latest price surge, the value of the digital currency's total circulation has hit nearly $35 billion. While that may sound like a lot, it's not in the grand scheme of other markets. That's less than the market cap of a single good-size S&P 500 company like Ford's (F) $45 billion market cap or Tesla's (TSLA) $50 billion.

Will the latest bitcoin bubble burst? Or is it different this time? Some market watchers argue that prices for bitcoin and other digital currencies will continue rising. They cite increased economic instability in places like Russia, Nigeria and even South Korea that's encouraging people to turn to bitcoin because it can be a more stable way to conduct financial transactions.

Bitcoin also is being used by people in Venezuela, whose economy is collapsing, to buy food from Amazon (AMZN) through a middleman company.

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"What we're seeing is mainstream adoption ... and cryptocurrencies like bitcoin becoming an accepted commodity for investment," said Sheffield Clark, co-founder and CEO ofCoinsource, the world's largest bitcoin ATM network. "I also expect many countries to follow Japan's footsteps and recognize bitcoin as a legal payment method. As the investor base broadens, there inevitably will be a bandwagon effect that will take hold."

Unfortunately, criminals have also taken hold of bitcoin. The hackers behind the recent WannaCry attack that crippled computers in more than 100 countries demanded payment in the cryptocurrency before they would release the lock they had placed on victims' computers. People involved in prostitution are using bitcoin to pay for ads on sites like Backpage because they're prevented from using conventional payment processors.

Drug dealers are also accepting the cryptocurrency as payment, and bitcoin is the "perfect" tool for tax evaders, according to Tone Vays, a derivatives trader and consultant who hosts a podcast about bitcoin.

The bitcoin market crashed three times between 2011 and 2014, plunging more than 50 percent each time. Prices tumbled earlier this year after the U.S. Securities and Exchange Commission rejected plans by twin-brother entrepreneurs Tyler and Cameron Winklevoss to offer a bitcoin exchange-traded fund. Prices have rebounded since.

Meanwhile, a digital currency called ethereum, which ranks second in the market behind bitcoin, has been on a roller-coaster ride of its own, climbing more than 2,000 percent since January. Ripple, the third-largest, leaped 7,000 percent in two months before crashing recently.

"After these blistering surges of thousands of percentage points in the shortest time, no one is even trying to pretend that these are usable currencies," wroteanalyst Wolf Richter on his website. "That notion has totally fallen by the wayside. They're not even called 'cryptocurrency' anymore. They're cryptocoins or alt-coins or bitcoins or just tokens."

Vays also is skeptical about rivals to bitcoin, predicting that when they crash, it "will make the dotcom bubble look like an appetizer."

2017 CBS Interactive Inc.. All Rights Reserved.

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Bitcoin Tops $2600, Double the Price of Gold – Finance Magnates

If you were expecting the price of bitcoin to settle down and remain stable for a while after recently setting one record after another, you are in for a shock. The BTC/USD exchange rate just went over $2640 for the first time, thanks to another 11% daily rise.

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To put this meteoric rise in some perspective, only at the start of March 2017 we reported thatthe price of bitcoinsurpassed that of an ounce of goldfor the first time. Now, with gold trading at $1,290, bitcoin is more than double its value, completing a 100% rise in less than three months.

In terms of overall market cap, the bitcoin blockchain is now valued at $43 billion, or almost two-thirds of the current equity market cap of Paypal (NASDAQ: PYPL). The value of the entire cryptocurrency and blockchain assets ecosystem is now $87 billion, well over that of Paypal, withBTC dominance remaining at just under 50%.

Trading volumes supporting the recent move are very high, reaching over $2 billion daily inBTC/USD trading. However most of the trading activity is coming from Asia, as we reported before, with exchange rate premiums now reported on exchanges in Japan, Korea, China and India.

Trying to rationalize this irrational exuberance, bitcoin holders and advocates give a number of reasons for the jump. One is thatJapan is to stop applying consumption taxes on cryptocurrencies in July.Another is that mainstream adoption seems closer than ever with companies such asFidelityjumping on the bandwagon. The Chinese are also said to be protecting themselves from an expected economic downturnthat might devalue their RMB holdings. And lastly, anagreement announcedon Tuesday to end the bitcoin civil war by56 companiesrepresenting83.28% of the hashing power (whichincludes activatingSegWit at an 80% threshold and a2 MB hard fork within six months.)

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Cryptocurrency Mania Goes Beyond Bitcoin – Bloomberg

Think bitcoins surge of more than 30 percent in the last week is impressive? Check out what some of its cousins are up to.

The market capitalization of digital currencies has soared over 50 percent to more than $90 billion in the past seven days asthe frenzy around cryptocurrencies reaches a fever pitch. Demand is swelling as more companies embrace the technology backing the method of exchange and some investors see it as a haven from political uncertainty across the globe.

Numerous alternative cryptocurrencies, or "altcoins," have emerged since bitcoin broke into public consciousness in 2013. Companies can sell new tokens through initial coin offerings, or ICOs. Ether, a digital currency linked to the Ethereum blockchain, has more than doubled its worth in the last week and is currently the second most valuable cryptocurrency, behind bitcoin. The value of zcash, the cryptocurrency that announced a partnership with JPMorgan Chase & Co. on Monday, has grown by nearly 200 percent.

Read more on industry perspective about the surge in bitcoin

Bitcoins slice of the pie has shrunk recently as its peers have gained share. It now dominates about 45 percent of the overall digital currency market, down from around 85 percent in February,according to data from CoinMarketCap.com. Meanwhile, Ethereums share has increased to more than 20 percent from 7 percent in February.

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The future of money Cryptocurrency Ethereum’s value soars by more than bitcoin – Express.co.uk

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Ethereum runs on a different blockchain to Bitcoin has gone up by around 2,000 per cent this year alone.

The cryptocurrency rise was only launched in 2014 and since then has seen its popularity soar.

Ethereum has coins like its rival but is more focused on everyday transactions and allows holders to move value around, as well as store registries of debts or promises without a middle man or counterparty risk.

The currency has also been designed for limited human intervention during transactions, and was developed by a Swiss nonprofit and crowdfunding campaign.

Ethereum has strong corporate support, which has helped propel its rally.

It comes after bitcoin hit a record high this week.

The digital currency has been around for far longer than ethereum, and it's now seven years since what is thought to be the first ever transaction using bitcoin.

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Five pound notes with low serial numbers, especially those beginning with AA01, can be worth 200

Japan helped bring Bitcoin into the mainstream by passing legislation that allows it to be accepted as a legal currency.

It has limited supply, has also seen it reach safe haven status - like gold.

The ascent of bitcoin has helped fuel demand for other cryptocurrencies, such as Ethereum.

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Will Banks Soon Be Offering Cryptocurrency Services? – Crowdfund Insider

More and more banks might soon be adopting cryptocurrencies into the services they offer, according to an article published on CoinDesk this week.

Cryptocurrencies, like Bitcoin and Ether, have been a contentious topic lately.Because of the relative lack of regulations covering cryptocurrencies, many have criticized cryptocurrencies for their ability to foster fraudulent activity (see the Mt. Gox scandal of 2014 and the numerous initial coin offerings that might be scams). However, some technology innovators and experts hail cryptocurrencies as a tool that can drive innovation securely and efficiently. For example, Ethereum, the blockchain technology at the base of the cryptocurrency Ether, is being utilized by dozens of Fortune 500 and financial services companies to build efficient automated systems reducing huge transactional costs.

Given the controversy surround cryptocurrencies along with the fact that traditional banks tend to be more cautious with adopting such technologies, its no wonder that few banks have so far incorporated cryptocurrencies into their core services.

Where traditional banks have steered clear of the controversy surrounding cryptocurrencies, there are a few smaller banks who are willing to forge ahead. According to CoinDesk, one of the largest mobile banks in Norway,Skandiabanken, is now offering its clients the ability to link their accounts to cryptocurrency holdings that are held under a Coinbase account. Coinbase, which is based in San Francisco, is one of the worlds largest and most well-known digital currency wallet platform where individuals can buy and sell cryptocurrencies.

Skandiabankens partnership with Coinbase closely mirrors that of USAA, the American financial services institution that specializes in serving US military members and their families. USAA, which actually invested in Coinbases $75 million Series C round, announced back in 2015 that it was rolling out a pilot program for some of its members where they could view their Coinbase balances under their USAA account. The program was expanded to all USAA members in 2016.

As more and more banking customers invest in cryptocurrencies, more and more banks will have to recognize cryptocurrencies as a new investment class. Skandiabanken and USAA are clearly ahead of the curve. Hopefully, more banks will soon get the message before its too late.

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MinexCoin Paves Way for Cryptocurrency Mass Adoption; ICO Launched – newsBTC

MinexCoin has announced that its ICO (Initial Cryptocurrency Offering) has started on May 15th, 2017 (GMT) and will last 30 days. During the ICO, a total of 150,000 MinexCoins will be available.

MinexCoin has announced that its ICO (Initial Cryptocurrency Offering) has started on May 15th, 2017 (GMT) and will last 30 days. During the ICO, a total of 150,000 MinexCoins will be available.

The total amount of coins distributed during the ICO and the exchange rate will be calculated once the ICO gets over.

A 50% bonus investment will be allocated to the investors in the first few days as MinexCoin aims to reward the those who show trust and invest their resources within the initial days of the ICO.

The ICO will be escrowed using a multi-signature wallet because of the firms priority to ensure safe investments for the contributors. Moreover, investors are provided with all the information regardingthe team as well as the roadmap.

MinexCoin aims to create the first digital asset that will be used as a currency with the advantages of the blockchain technology and master the main drawback of a cryptocurrency that denies its mass adoption- volatility. The growth of MinexCoin will be supported by the MinexEcosystem.

The MinexEcosysytem will also provide a broad range of services (digital asset creation, volatility control, trading), and will be designed solely for the purpose of facilitating the coins wide adoption.

Further, it is pertinent to note that MinexCoin has already raised 1127 BTC with success through their first round (pre-ICO), prior to December 2016.

Boris Shulyaev, CEO of MinexCoin describes the crypto as the first blockchain-based cryptocurrency that is designed with the necessary features to act as a stable currency. He believes that the embedded vision as well as the entire ecosystem around it will pave the way for a new era of payment.

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