BlackRock Warns Users of Crypto Investing Risks

American global investment management corporation stated that the nature of cryptocurrencies makes them tricky investment targets
27 February 2018   513

BlackRock is an American global investment management corporation based in New York City, and one the world's largest asset managers guiding individuals, financial professionals and institutions in building financial futures.

On February 26, BlackRock has released a global weekly commentary entilted "Sizing up the crypto craze", elaborating on such key points as:

  • Cryptocurrencies could gain wider appeal over time, but we see them as far from earning a place in mainstream investment portfolios for now
  • The Federal Reserve expressed greater confidence in both its growth forecast and inflation outlook, sending U.S. government bond yields up
  • Germany’s Social Democrats are expected to approve a coalition government, despite rising chances of a no vote, Italy goes to the polls

The report was presented by Richard Turnill. On the one hand, the study states that cyptocurrencies are gaining wide populary and becoming mainstream nowadays, but, on the other hand, crypto markets are highly volatile, fragmented, largely unregulated, and come with unique liquidity and operational risks.

The volatility of the cryptocurrencies makes the gyrations in the U.S. equity market during the global financial crisis almost look placid.

Richard Turnill

Global Chief Investment Strategist, BlackRock 

The study claimed that blockchain and cryptocurrencies surely have the bright future in front of them, but they still remain risky in terms of investment, and for now only "those who can stomach potentially complete losses" can consider investing in crypto. Moreover, blockchain technology needs to develop much more and undergo significant changes to be able to reach the heights many believe it is really capable of reaching.

HashFlare Users to Face Withdrawal Issues

Looks like Bitcoin cloud mining is not super profitable
18 July 2018   108

Users of HashFlare mining pool can't withdraw their funds, while their contracts are threatened with a temporary ban. Even lower restrictions on withdrawal of funds in the amount of 0.03 BTC caused problems for users, but the service raised the threshold to 0.05 BTC and 0.1 ETH . This is reported by Cryptovest.

In addition, financial pyramids are often promoted under the guise of mining contracts for cloud mining. For last few months, there was a big jump in mining difficulty of many cryptocurrencies, so, old contacts had become unprofitable.

As reported, the reason for the locked funds dates back further - at the beginning of June, so much hashing power was flowing into the Bitcoin network that contracts saw all the mined coins go toward their maintenance fee.

Currently, more and more users who have purchased contracts at earlier stages are facing the fact that they can not withdraw their funds. One of them managed to return the money spent through the bank card operator after filing a corresponding complaint.

To anybody that purchased a Hashflare cloud mining contract with a credit card, it might be possible to get a refund with that credit card as one of my followers tipped me. He bought his contracts at the end of 2017.

bccponzi at Twitter

The hash rate of bitcoin increased from 13 EHash / s at the beginning of the year to more than 40 EHash / s in recent months. The difficulty of mining in the present conditions depends on the circumstances of the specific miner. The cost of bitcoin mining for some of them is $ 4,400, while others spend about $ 5,800. However, in 2018, cloudy mining is called an even more dubious occupation than before, especially when it comes to mining bitcoin.