Lưu trữ cho từ khóa: government

Bhutan’s Bitcoin mining stash exceeds $750m: Arkham 

Bhutan, a country with a population of under one million, ranks as the world’s fourth-largest sovereign Bitcoin owner.

According to Arkham, the Kingdom of Bhutan holds over 13,000 Bitcoin (BTC) tokens valued at over $750 million as of Sept. 16. Only the U.S., China, and the U.K. have larger BTC holdings. Bhutan overtook El Salvador to claim fourth place and joined world governments that cumulatively control over 2.2% of BTC’s total supply, per CoinGecko.

Where most authorities in the rankings acquired BTC from criminal seizures and crackdowns, or in El Salvador’s case, daily purchases, Bhutan grew its BTC stash through mining.

Arkham reported that the South Asian Kingdom expanded its BTC mining operations since early 2023. Through its investment arm, Druk Holdings, the nation leveraged its mountainous landscape to set up several Bitcoin mining facilities.

In one case, Bhutan transformed an abandoned Education City project into a large-scale crypto mining complex. There’s no indication that the government plans to sell its BTC, but its overall crypto strategy remains largely unknown.

Bitcoin caches appear across the globe

National balance sheets and BTC increasingly intersected as global blockchain adoption surged. Even apex banks in Norway and Switzerland amassed exposure to the so-called digital gold. 

While some see this development as bullish for BTC, there are concerns about whether governments owning Bitcoin aligns with the ethos of Satoshi Nakamoto, BTC’s pseudonymous creator.

As adoption advances and companies like Arkham uncover more sovereign BTC caches, two questions loom over the industry: Who else owns Bitcoin, and what do they plan to do with it?

Tổng hợp và chỉnh sửa: ThS Phạm Mạnh Cường
Theo Crypto News

Pavel Durov’s arrest is not a free speech hill to die on | Opinion

When word broke that the billionaire Telegram CEO Pavel Durov had been arrested in France over the last weekend in August, it became a flashpoint in the global battle over freedom of speech. But then the charges came, including that Telegram had protected users who shared pornographic images, among other crimes.

By the time the charges were announced; however, the internet’s staunchest defenders of free speech ideals had already taken to social media platforms, such as the X platform (former Twitter), to argue that Durov’s arrest was proof of a sinister plot by behind the scenes French and western elites.

Robert F. Kennedy, Jr., a former independent presidential candidate in the 2024 election, shared a similar sentiment:

Elon Musk called these “dangerous times” in a post on X.

French President Emanuel Macron, under fire that the action had been a political arrest, said it was run-of-the-mill law enforcement activities and not politically motivated. After the revelations in the charging document, it became clear that those who came quickly to Durov’s defense could be portrayed by a press corps ironically contemptuous as defenders of pedophilia.

The arrest 

Durov was arrested as part of an investigation by French authorities after allegations that the messaging service permitted crimes to occur on its platform. Durov said in April that governments have tried to collect information but that the app should remain neutral and not a geopolitical player.

Now, the self-professed libertarian has a cybersecurity gendarmerie unit, and France’s national anti-fraud police are grilling him while he sits in detention and awaits his first court appearance. 

And since Telegram stores data on its servers, unlike other privacy-focused messaging apps like Signal, which encrypts client-side, refusing to comply with data requests can open the service up to enforcement actions. 

The wider context

Defenders of free speech were already on edge, and perhaps rightfully so. European laws on the books could be seen as an attack on free speech rights, and this is precisely what defenders of free speech were lashing out against when they heard of Durov’s arrest.

For instance, one such law is the Digital Services Act, a primary threat to free speech worldwide. It has been designed to force social media companies to censor users who post content the authorities deem to be disinformation or too extreme. Laws like the DSA are slippery, but Durov’s is not the hill to die on. Yet, too many are lining up to do so. 

John Turley, Professor of Public Interest at George Washington University, told Fox News: “It is like arresting AT&T CEO, because the mob used the telephone to do its business.” The problem with Turley’s analogy is that AT&T is known for sharing information with the government in at least the Fairview program. Elon Musk, too, draws a line at illegal activity.

Durov is different because he is an “anything goes” tech tycoon. 

The real battlefield over free speech

Instead of helping in the fight against censorship, free speech defenders hurt it, showing they lack discernment and will throw their hat in the ring to defend the sexual exploitation of children, even if they did so by accident. The battle over free speech won’t be fought over the administrator of a platform censoring or not censoring information and being arrested or not arrested.

The battle over free speech will be fought—indeed, it is being fought already—over our freedom to access technology that preserves privacy without the need for a middleman. For instance, a platform like Signal encrypts messages on the client side, and the messenger service acts more as a relay, never having access to the encrypted messages sent across its network.

Telegram is a centralized service whose administrators have access to information that could aid serious criminal investigations. If they didn’t want that responsibility, they should have then designed better privacy-preserving tech. For whatever reason, they chose instead to mostly market their app as private rather than make it truly so. 

As for free speech defenders, their battle is elsewhere: defending decentralized tech that provides privacy without reliance on middlemen who can be strong-armed and compromised by governments.

Tổng hợp và chỉnh sửa: ThS Phạm Mạnh Cường
Theo Crypto News

Bukele on Bitcoin: ‘It gave us branding, investment, and tourism’

El Salvador’s President, Nayib Bukele, defended his country’s groundbreaking decision to adopt Bitcoin as legal tender, emphasizing its impact on the nation’s global image and economic opportunities. 

In a recent interview with Time Magazine, Bukele highlighted Bitcoin’s (BTC) benefits to El Salvador despite widespread skepticism and limited domestic adoption.

Bukele said Bitcoin not only “gave us branding,” the embrace of a digital economy helped boost tourism and spur investments. The interview comes three years after making El Salvador the first country in the world to embrace Bitcoin officially. 

Bukele, who graced the cover of Time Magazine as the “world’s coolest dictator,” has become a polarizing figure in global policy. While fewer than 12% of Salvadorans have made a single Bitcoin transaction, according to Time, the President insisted that the primary goal was to reposition El Salvador on the global stage.

According to recent reports, the country holds 5,851 BTC worth approximately $352,300,000 at the time of writing.

El Salvador and Bitcoin

El Salvador made global headlines in September 2021 when it became the first country to adopt Bitcoin as legal tender. This move, driven by Bukele, aimed to boost financial inclusion in a nation where 70% of the population lacks access to traditional banking services. 

The government introduced the Chivo Wallet, an official crypto app, offering citizens $30 in free Bitcoin as an incentive to download and use the app. Despite these efforts, widespread adoption was limited, with many early users not engaging in subsequent transactions after spending the initial bonus.

The rationale behind El Salvador’s Bitcoin adoption was multifaceted. One primary motivation was to provide financial services to the unbanked population and reduce the cost of remittances, which are vital to the Salvadoran economy. 

Bitcoin, particularly through the Lightning Network, also aims to facilitate faster and cheaper transactions, which is crucial in a country where traditional banking infrastructure is often inaccessible. However, the policy has faced significant challenges, including technical issues with the Chivo Wallet and skepticism from the general population.

Critics of Bukele 

Critics of El Salvador’s adoption of Bitcoin, including major financial institutions like the World Bank and the International Monetary Fund, expressed concerns about the risks associated with Bitcoin’s volatility and its potential impact on financial stability. 

Despite these warnings, President Bukele remained committed to the Bitcoin experiment, viewing it as a bold step towards economic innovation and financial independence.

Bukele remained unapologetic, viewing Bitcoin as a key element of his broader strategy to attract foreign capital and boost tourism. 

In a sense, this logic worked. Damian Merlo, a lobbyist, told Time that the Bitcoin tourism gamble paid off.

 “We call it the Great Rebranding. It was genius…we could have paid millions to a PR firm to rebrand El Salvador. Instead, we just adopted Bitcoin.”

Damian Merlo. 

Tổng hợp và chỉnh sửa: ThS Phạm Mạnh Cường
Theo Crypto News

US Marshals likely selling Silk Road Bitcoin: Van Buren Capital’s Scott Johnsson

Scott Johnsson, a general partner and general counsel at Van Buren Capital, believes the U.S. government’s recent move to transfer Bitcoin linked to the defunct Silk Road online marketplace to a Coinbase address means the funds are on the verge of being sold.

In an Aug. 16 post on X, the financial lawyer suggested that there was a high possibility the U.S. Marshal Service, the agency mandated to dispose of digital assets seized and forfeited from criminal activity, was likely in the process of selling Bitcoin (BTC) seized from the Silk Road marketplace.

Johnsson was responding to a post from Founders Fund co-founder Joey Krug, who had shared data from Bitcoin explorer Tokenview, showing more than 19,000 BTC that had been moved into a Coinbase account. The lawyer seemed to agree with Krug’s assertion that the coins were the remaining Silk Road stash yet to be sold. 

Johnsson’s assertion comes soon after the U.S. government transferred about $594 million worth of Bitcoin seized from Silk Road to a Coinbase Prime address, according to data from Arkham Intelligence.

Silk Road founder Ross William Ulbricht was arrested shortly after the marketplace was shut down in 2013.

The original site’s administrators then launched a new website, Silk Road 2.0, but a special police task force also closed it down in 2014.

According to Johnsson, the USMS has been transferring assets to the custodial address as per an established servicing agreement with Coinbase that was made in June.

The lawyer claimed that the agreement requires that USMS assets remain completely segregated, with any transfers to commingled exchange addresses like Coinbase Prime meaning that the agency was likely preparing to sell the BTC assets.

In his post, the lawyer shared snapshots of the U.S. Department of Justice’s Office of Inspector General report, which showed that the USMS’s Complex Assets Unit was required to liquidate assets within five business days after they had been forfeited.

Johnsson anticipates the official confirmation of the sale could come with the DOJ’s asset forfeiture program fiscal year 2024 report, due in January 2025. 

Interestingly, he noted that the USMS’s move to dispose of the Silk Road Bitcoin came after former U.S. President and Republican presidential candidate Donald Trump’s recent speech in which he promised not to sell any of the Bitcoin held by the government if he were to win a second term.

The U.S. reportedly holds about $12 billion in BTC, making it the largest government holder of the cryptocurrency, which currently has a market cap of $1.17 trillion.

Tổng hợp và chỉnh sửa: ThS Phạm Mạnh Cường
Theo Crypto News