By Jon Matonis Forbes Sunday, March 24, 2013 http://www.forbes.com/sites/jonmatonis/2013/03/24/cyprus-goes-cashless-the-hard-way/ The rolling crisis in Cyprus should reach a crescendo this week. If the parliament votes yes on some type of deposit confiscation, it would mean the people of Cyprus have elected to go “all in” on the euro and link their fate with the fate of the single currency. When given a clear opportunity to leave the eurozone, Cypriots will probably decide to stay rather...

By Patrick Murck Bitcoin Foundation Tuesday, March 19, 2013 https://bitcoinfoundation.org/blog/?p=152 FinCEN shook us all from our Monday afternoon  stupor by dropping some provocative “guidance” for those involved in the business and use of digital currencies and, in particular those of us involved with the grand experiment that is Bitcoin. You can and should read what FinCEN had to say for yourself here. Upon an initial reading two things struck me: FinCEN firmly believes that virtual...

By Jon Matonis Bitcoin Foundation Tuesday, March 26, 2013 https://bitcoinfoundation.org/blog/?p=170 This month saw two important developments on the road to a mature and robust bitcoin economy. First, there was the joint CoinLab and Mt. Gox announcement involving Silicon Valley Bank that I wrote about here. While the North American accounts represent a huge amount of trading volume and a large percentage of Mt. Gox’s book, the more interesting aspect was CoinLab’s intention...

By Jon Matonis American Banker Thursday, March 21, 2013 http://www.americanbanker.com/bankthink/fincen-spying-plan-invites-privacy-workarounds-1057728-1.html The dangers to financial privacy are monumental. Consider an Obama administration plan to give spy agencies unfettered access to data on American citizens and others who bank in the U.S. Suspicious Activity Reports, filed by financial institutions that operate in the U.S., are the primary documents that the Financial Crimes...

By Peter Šurda Economics of Bitcoin Wednesday, March 6, 2013 http://www.economicsofbitcoin.com/2013/03/re-bitcoin-bubble-20-by-patrik-korda.html Patrik Korda recently published an critique of Bitcoin: http://seekingalpha.com/instablog/7761841-patrik-korda/1616371-bitcoin-bubble-2-0. I get agitated when I disagree with others, so I wrote a rebuttal. Competition under the network effect Korda's first argument is that because it is easy to create a new cryptocurency, they will compete each...

By Jon Matonis American Banker Friday, March 15, 2013 http://www.americanbanker.com/bankthink/how-cryptocurrencies-could-upend-banks-monetary-role-1057597-1.html Peter Šurda I recently had a fascinating chat with the economist Peter Šurda to discuss how nonpolitical cryptocurrencies like bitcoin could alter the future of fractional reserve banking. Peter is also a software developer experienced in the online payments industry and will present at the Bitcoin 2013: The Future of Payments...

By Jon Matonis Forbes Wednesday, March 13, 2013 http://www.forbes.com/sites/jonmatonis/2013/03/13/winpoker-becomes-first-major-gambling-operator-to-adopt-bitcoin/ WinPoker in Curaçao announced that it will now begin accepting bitcoin as a deposit and withdrawal method to their WinPoker accounts which are on the iPoker network. Consisting of over 30 different brands, including large European bookmakers like Paddy Power, Bet365, Betfair and William Hill, iPoker is the largest network of online...

By Jon Matonis Forbes Friday, March 8, 2013 http://www.forbes.com/sites/jonmatonis/2013/03/08/first-bitcoin-hedge-fund-launches-from-malta/ Ever since the bitcoin cryptocurrency first launched and achieved initial success, institutional investors and hedge fund managers have secretly sought a regulated investment vehicle for bitcoin placements. Malta-based Exante Ltd. has the solution with their new Bitcoin Fund. "I hope our fund will be the first hedge fund to take advantage of using...

By Jon Matonis PaymentsSource Friday, March 8, 2013 http://www.paymentssource.com/news/a-new-challenger-in-the-bitcoin-merchant-processing-race-3013477-1.html The large payment brands fiddle while Rome burns, seemingly unaware of the approaching bitcoin onslaught that is free of processing fees and political boundaries. One of those barbarians at the gate, formerly known as WalletBit, has broadened its functionality and cut its pricing to expand directly into merchant processing. The...

By Jon Matonis Forbes Saturday, March 2, 2013 http://www.forbes.com/sites/jonmatonis/2013/03/02/bitcoin-exchange-deal-repatriates-assets-to-u-s/ Although the deal for Mt. Gox bitcoin exchange and CoinLab to partner on U.S. customer business was brokered by Seattle-based CoinLab, it would not have been possible without a solid and willing financial institution in the United States. Innovative Silicon Valley Bank stepped up to the plate and agreed to facilitate the U.S. dollar financial...