I’m back, Idiots!
I know you’ve all been spoiled with high quality guest content over the past week and a half (Jonathan Levin was on fire, Richard Brown is always good), but unfortunately for you, I did not fall off a cliff on the Inca Trail or get devoured by an anaconda in the Amazon. Aside from some lingering cobwebs that make it hard for me to get back into a writing groove and an unread email inundation, I’m more or less back in one piece from a bucket list trip to Peru. So get excited for more of my usual bitcoin commentary as we kick off this second quarter of 2015.
The days are getting longer, the weather’s getting warmer, and there is a hell of a lot to look forward to this spring.
Ethereum will finally be launching. Ditto Factom. Some Wall Street firms will be making formal entrances into bitcoin and blockchain investments. The Winklevoss ETF will likely be approved by the SEC (April Fools!) And the general pace of blockchain innovation and venture capital will likely continue unabated. I’m not sure whether we will see any killer apps emerge this quarter that finally take bitcoin mainstream, but I do believe this will be a big quarter for bitcoin’s platforms.
Coinbase just put out a “request for startups" in keeping with its recent shift to focus on providing infrastructure services, BitGo shook up its management team in a move meant to refocus on incorporating multi-sig security into all new developer applications, Xapo pimped out its debit card to a payroll startup (very excited about that one, by the way, BitWage), I’ve heard a massive update is in the works for Blockchain wallets, and Circle is (probably) working on something cool, too, I’m sure. They just might never tell us what it is.
In addition, all of these core US infrastructure services will benefit from additional clarity regarding a BitLicense from DFS. And international infrastructure plays will start finally seeing upticks in volume as more legitimate cross-border payments apps burst through betas and into full launches. Said another way, the bitcoin rich will probably get richer (in fiat, at least), while the BTC price swings in whatever irrational direction it feels like.
I’ll admit that this prolonged price holding pattern can make it feel like all of us bitcoin Don Quixotes are merely tilting at windmills. And I’m probably an April fool for remaining optimistic about both blockchain and currency. But I know it won’t take much for the bitcoin floodgates to (re)open.
I’m glad to be comfortably long in Q2.
Events: “Bitcoin 2015” is happening this fall. Stay tuned.
Jobs, Jobs, Jobs
Abra, San Francisco (VC-Backed)The 2.0 remittance app that just won the Launch Festival last week is looking for two senior engineering hires. (goabra.com) -iOS Dev Lead - Min 5 years development experience with at least 3 years on iPhone. Must understand location services, UI programming, and other core iOS servIces.-If you think you’re a good match or know someone who is, email contact@goabra.com. Grayscale Investments, New York (a DCG Company)
The manager of the Bitcoin Investment trust, the first publicly traded bitcoin investment vehicle, is making two non-engineering hires. (grayscale.co)-Account Manager - Min 3 years of demonstrated sales-driven success within the financial industry, preferably in an investor development or capital raising role; Series 7 and 63 licenses certifications. More info here. -Marketing Manager - Min 4 years of demonstrated success in product marketing, preferably in the financial space; looking for candidates with experience marketing either public or private investment products and/or marketing for asset management businesses. More info here.
Bolt, San Francisco (VC-backed)
The stealth startup focused on consumer applications of Bitcoin is making a number of engineering hires including Security Engineer, Ruby Engineer, and UI/UX Designer.
-Check out Bolt (bolt.com) and email jobs@bolt.com.
Elliptic, London (VC-backed)
-The full-service bitcoin custodian is also making a number of key hires including data scientists and front-end developers.
-Learn more and apply at elliptic.workable.com
Today’s Tid Bits
Inquiry of Silk Road Website Spurred Agents’ Illegal Acts, Officials Say
http://www.nytimes.com/2015/03/31/nyregion/silk-road-case-federal-agents-charges.html
On Monday, the government charged two federal agents involved in the undercover investigation of the notorious black-mark site, Silk Road. Agents Carol Mark Force IV of the DEA and Shaun W. Bridges of the Secret Service, have resigned amid growing scrutiny, and have been been charged with money laundering and wire fraud. Mr. Force was also charged with conflict of interest and theft of government property. During the investigating Mr. Force was said to steal a sizable amount of bitcoins for his own possession, while Mr. Bridges diverted more than $800,000 in to his personal account. Both former agents were members of a Baltimore-based task force that investigated Silk Road, which was separate from the Manhattan-based investigation, which ultimately led to the filing of charges against the website’s founder, Ross W. Ulbricht.
Silk Road Agent Gave Bitcoin Tax Advice Prior to Arrest
http://www.coindesk.com/silk-road-dea-carl-force-bitcoin-tax-expert/
The duo mentioned above, Shaun Bridges and Carl Mark Force IV, are said to have misused hundreds of thousands of dollars in funds as part of the Baltimore-based investigation to apprehend Dread Pirate Roberts (DPR) or Ross Ulbricht, the leader of Silk Road. Further evidence now suggests that Force continued to interact with the bitcoin community after the black market was closed. In 2014, Force, who also has his CPA, opened up to a CoinDesk contributor where he alluded to the fact that he gave free tax guidance to 10 potential bitcoin customers. Force, allegedly, was blocked from bitcoin exchange Bitstamp after his use of Tor was flagged by the company’s AML procedures. Force also allegedly used his illicit haul of bitcoin to pay off his mortgage, write lavish checks and “wire hundreds of thousands of dollars.”
Silk Road Revisited: Arrest of Ex-Feds Might Force New trial for Dread Pirate
http://www.bloomberg.com/news/articles/2015-03-31/silk-road-revisited-arrest-of-ex-feds-might-force-new-trial-for-dread-pirate
Carl Force and Shaun Bridges stand accused of stealing $1 million in illicit funds during their investigation of Silk Road. Ross Ulbricht’s (Dread Pirate Roberts, DPR) lawyers have seized on the development as further proof that he should be entitled to a new trial. Force, who used the online alias “French Maid,” was said to extort $100,000 in Bitcoin from DPR. Ulbricht also stands accused of attempting to murder Curtis Green, a former Silk Road employee who was arrested in 2013 and agreed to cooperate with law enforcement; however, Force and Bridges were directly involved in that investigation. More bizarre twists in an already bizarre story.
Overstock Invests $5 Million in Peernova in First Bitcoin Investment
http://www.coindesk.com/overstock-venture-capital-investment-bitcoin-peernova/
Overstock, the US retail giant, has invested $5m in Peernova, a blockchain technology specialist, as a part of its second tranche of Series A financing. Peernova was formed through a merger between cloud mining contract provider CloudHashing and ASIC hardware designer HighBitcoin in early 2014. Peernova, has raised $19m total in funding, as it prepares to launch its new of projects, focused on data security and finance.
BitGo Names New CEO in Leadership Shake-Up
http://www.coindesk.com/bitgo-names-new-ceo/
Today, BitGo, a leading web-based, multi-sig institutional bitcoin wallet, announced that its co-founder Mike Belshe will replace Will O’Brien as acting CEO. O’Brien will remain a shareholder of the company and strategic advisor, but Belshe will now take over allowing him to take BitGo into its “next phase” of development.
Online Billing Service Invoiced.com Now Accept Bitcoin
https://www.cryptocoinsnews.com/online-billing-service-invoiced-com-now-accepts-bitcoin/
Invoiced.com, a billing service that allows businesses to create invoices and accept online payments, now accepts bitcoin. The Austin, Texas-based service provides its billing service for $9 a month after 30 free days and has more than 1,000 customers.
ChangeTip Adds Disqus to Its Growing List of Support Networks
http://cointelegraph.com/news/113815/changetip-adds-disqus-to-its-growing-list-of-support-networks
ChangeTip has integrated into another social network Disqus, a popular comment service, making Disqus its tenth supported network. ChangeTip has given rise to trends like Tipping Tuesday, where Bitcoin users introduce non-users to the digital currency by sending them friendly micropayments through ChangeTip. The Disquis integration will hopefully continue this trend.
Only 2.3% of Americans in Survey Trust Bitcoin Transfers Overseas
http://www.coindesk.com/only-2-3-of-americans-in-survey-trust-bitcoin-transfers-overseas/
According to a new survey by the Digital Currency Council, only 2.3% of Americans would trust bitcoin to send funds overseas in an emergency. While 30.% of the 750 “regular Americans” samples would trust their banks to make international transfers. And 37.2% of those surveyed said that they would not trust their bank, Western Union, MoneyGram, PayPal, or the Postal Service with their international money transfer options.
Financial Watchdog Rethinks AML Guidance for Banks and Bitcoin
http://www.coindesk.com/financial-watchdog-fatf-wants-to-help-bitcoin-businesses-with-risk-based-approach/
The Financial Action Task Force (FATF), the anti-money laundering policy maker proposed a risk-based approach that ensures every digital currency business is evaluated on an individual basis. The FATF’s proposal hopes to move the digital currency sector away from the current de-risking model, which will help bitcoin businesses build partnerships with banks. The FATF proposed their plan at a meeting at Brussels with industry figures last Friday.
Have a tip or feedback? Email me! (2bitidiot@gmail.com)