19 Chinese exchanges apply for a Japanese license

Chinese exchanges seek second chance in Japan, Singapore, Hong Kong and South Korea
28 October 2017   1190

China's relationships with cryptocurrencies and ICOs have been quite tough lately. Following the crackdown by the government last month, Bitcoin exchanges in China are looking to continue their businesses in cryptocurrency-friendly countries such as Japan, Singapore, Hong Kong and South Korea.

For instance, as reported, several Chinese companies are now applying for a license to operate in Japan, the country that legalized Bitcoin as a method of payment in April. Thus, cryptocurrency exchanges are required to register with the country’s Financial Services Agency (FSA). 

There’re at least 19 companies applying for a Japanese license.
 

bloomberg.com

Still, not only Japan is a cryptocurrency-friendly place. These are the Hong Kong-based exchange, Binance, that is looking for local partners and considering acquiring an operational exchange, and Beijing-based exchange Bixin, which has also expressed its interest.

Mike Kayamori, Head of Quoine, the Singapore-based exchange with a strong presence in Japan, comments on the situation.

We’re talking to almost all of those guys. They’re all desperate now. There’s a lot of Chinese retail people reaching out to us, but we can’t handle it. So if a Chinese partner can handle all of those and they connect to us, that will be much easier.
 

Mike Kayamori
Head of Quoine

On top of that,  some Chinese exchanges are turning to Singapore. The managing director of the Monetary Authority of Singapore (MAS), Ravi Menon, reveals that the central bank has no plans to regulate cryptocurrencies. Staying true to this "open mind” perspective, Singapore could become one of the most important countries for the development of Blockchain technology.

Potentional Vulnerabilities Found in ETH 2.0

Least Authority have found potentional security issues in the network P2P interaction and block proposal system
26 March 2020   1011

Technology security firm Least Authority, at the request of the Ethereum Foundation, conducted an audit of the Ethereum 2.0 specifications and identified several potential vulnerabilities at once.

Least Authority said that developers need to solve problems with vulnerabilities in the network layer of peer-to-peer (P2P) interaction, as well as in the block proposal system. At the same time, the auditor noted that the specifications are "very well thought out and competent."

However, at the moment there is no large ecosystem based on PoS and using sharding in the world, so it is impossible to accurately assess the prospects for system stability.
Also, information security experts emphasized that the specifications did not pay enough attention to the description of the P2P network level and the system of records about Ethereum nodes. Vulnerability risks are also observed in the block proposal system and the messaging system between nodes.

Experts said that in the blockchains running on PoS, the choice of a new block is simple and no one can predict who will get the new block. In PoS systems, it is the block proposal system that decides whose block will fall into the blockchain, and this leads to the risk of data leakage. To solve the problem, auditors suggested using the mechanism of "Single Secret Leader Election" (SSLE).

As for the peer-to-peer exchange system, there is a danger of spam. There is no centralized node in the system that would evaluate the actions of other nodes, so a “malicious" node can spam the entire network with various messages without any special punishment. The solution to this problem may be to use special protocols for exchanging messages between nodes.