Today on Bitcoin This Week we comment on the usage of blockchain for West Virgina midterm elections, we discuss Starbucks stand on Bitcoin as a payment method and much more.
West Virginia To Use Blockchain For Midterm Elections
West Virginians stationed abroad will be the first to use a new mobile voting app that uses blockchain technology to record how they vote. The app has been developed by Boston based Voatz, and is planned to be introduced for this November’s midterm federal ballot.
The move has been met with criticism from some quarters, with the integrity of elections an area of great concern in the US following allegations that Russia interfered in the 2016 Presidential election of Donald Trump.
Criminals Only A Small Percentage of Bitcoin Users
Bitcoin has often been portrayed as the currency of choice of the criminal underworld. Indeed, Nobel Prize-winning economist Paul Krugman even went so far as to recently suggest that criminality was Bitcoin’s only use case. He might be surprised to learn then that the US Drugs Enforcement Agency now believes that only 10% of Bitcoin activity is linked to criminality.
Most Bitcoin holders are investors operating on the right side of the law. However, the DEA did confirm that when it comes to using Bitcoin as an actual currency, criminals are by far the largest cohort, preferring it to more privacy-focussed coins like Zcash and Monero because of the relative ease with which Bitcoin can be transferred to fiat currencies.
Starbucks Throws Cold Water On Bitcoin Hopes
Just a few days after reports surfaced that Starbucks would be accepting Bitcoin in its multitude of outlets across the world, the coffee chain has poured cold water on the idea. It has, as reported, partnered with Microsoft to launch a cryptocurrency venture, but stories that it was to become the vanguard of the Bitcoin regulation were just froth.
A spokesperson said that they are launching a service for trading and exchanging Bitcoin, rather than accepting the coins in-store. Frappuccino lovers, it appears, will have to wait a bit longer before they have to worry about whether the cost of their coffee has increased or decreased while they are waiting for it to be poured.
Goldman Sachs Mulls Crypto Custodian Service
US bank Goldman Sachs may soon offer a Crypto custodian service to its financial clientele, according to reports this week. It is hoped that a large institution such as Goldman Sachs securing coins could lead traditional investors to speculate on Bitcoin.
In the ongoing debate over the future of cryptocurrencies on Wall Street, an often cited reason why institutional investors continue to shy away from backing Bitcoin is the digital currency’s vulnerability to cybercrime. A move by Goldman Sachs to offer a crypto holding service on behalf of investment firms, coming in the same week when the SEC considers another Bitcoin ETF, is another signal that Wall Street’s frosty opinion of cryptocurrencies is starting to thaw.
Markets – Slow Gains For Bitcoin After Difficult Two Weeks
Bitcoin still struggles to keep its head above the $7000 mark after a difficult two weeks for the coin. It opened Monday at $7062 but fell below $7000 to close the day out at $6951. Its fortunes rose on Tuesday, peaking at $7144, but eased back to close at $7056.