Lightning Network simplifies money transmission

The forward looking technology turns introduces cryptocurrency exchange without any intermediarie
24 November 2017   271

The Lightning Network, or LN, is one of the most expected protocols. It can help to solve the problem of transaction’s speed. The main difference is that the blockchain doesn’t includes the information about accomplished micropayments. It means, that users can make so many payments as they need and only a total balance of transactions will be recorded in the blockchain.

There is nothing to worry about safety because a recipient can’t get money until he or she signs a special agreement. According to this document a remitter can get paid back, if other party of the contract fails to comply fully with the requirements.

Speaking of advantages of LN, it should be noticed that the technology allows to make micropayments without any impacts on the blockchain. Users can also exchange cryptocurrency without intermediaries with the help of so called atomic swap. The essence of this process is in specific terms of a bargain. A transaction must be fully accomplished or the deal is off.

Atomic swaps has already been tested with the following blockchains: Litecoin, Decred, Vertcoin and Bitcoin.

SEC Suspends Trading in 3 Companies

On Friday The U.S. Securities and Exchange Commission temporarily suspended the trading of three companies as they made the purchase of cryptocurrency and blockchain-related assets
17 February 2018   126

According to the announcement, the trade of  Cherubim Investments, Inc., PDX Partners, Inc., and Victura Construction Group, Inc. will be suspended between 9:30 a.m. EST Friday and March 2. The notice was dated Feb. 15.

SEC stated that its trading suspension orders state that recent press releases issued by CHIT, PDXP, and VICT claimed that the companies acquired AAA-rated assets from a subsidiary of a private equity investor in cryptocurrency and blockchain technology, among other things.

The release also indicates additional reasons for the suspensions. The agency’s orders also say there are questions regarding the nature of the company's business operations. In case of CHIT, the Commission suspended trading in the securities because of its delinquency in filing annual and quarterly reports.

In August 2017, the SEC  issued a warning for investors about the companies that may publicly announce ICO or coin-related events to affect the price of the company’s common stock.

Fraudsters often try to use the lure of new and emerging technologies to convince potential victims to invest their money in scams. 

U.S. Securities and Exchange Commission