NEM Can Became Centralized After Coincheck Attack

According to the experts, XEM tokens marking mechanism, which is being developed after Coincheck hack, can lead to centralization of NEM
02 February 2018   217

NEM Foundation is developing a mechanism for automatically tracking and marking XEM tokens in order to prevent hacker attacks, similar to the one that the Japanese currency exchange Coincheck recently underwent. Critics are convinced that this will have an extremely negative impact on the ecosystem, depriving XEM tokens of the interchangeability properties and making the network useless from an economic point of view.

The goal of the developers is to mak tokens stolen by hackers useless, the total amount of which is 5% of the total issue. Thus, attackers will not be able to sell them on crypto exchanges, because sites will know that tokens are transferred from an address associated with hackers.

Experts believe that this mechanism is contrary to the idea of ​​decentralization of the network, since the NEM Foundation and the crypto-exchange can distinguish marked tokens from the total mass, as well as decide whether to accept them or not.

The exchanges will be able to claim that a number of XEM tokens are involved in illegal activities, although this may not be true. As a result, XEM will lose the interchangeability property, which is the main characteristic of money.

Such steps by the NEM Foundation indicate centralized control over the blockchain, which contradicts the original concept of technology.

The developers also refused to host the event, stressing that the community does not support this development.

Asian Cryptotrading: Top Altcoin is Stellar Lumens (XLM)

During the morning’s Asian trading session Stellar Lumens has become leading-the-way altcoin at present
18 April 2018   126

It has begun the market correction. Morning’s Asian trading session is led once again by Bitcoin which has lost 1% on the day dropping back under $8,000 once again. This fact has trailed most of the altcoins down with it, albeit marginally. One seem to be doing much better than the rest this morning and leading the way at the moment is Stellar Lumens.

According to Coinmarketcap`s report, an 11% gains for XLM during the morning’s trading in Asia. Other altcoins are mostly marginally up or down but very few are showing double numeric gains. Stellar is currently trading at $0.31 up from $0.28 this time yesterday, over the week it has gained 55% from $0.20 the same time last Wednesday. The monthly illustration is even more colorful with Stellar rising over 85% from its low of $0.167 on March 18. In a difference from Bitcoin, XLM is up 12% on the day to 3920 satoshis from 3500 sats this time yesterday. During the past week Stellar has earned 34% against BTC from 2925 satoshis the same time last week.

Stellar charts
Stellar Lumens charts

Momentum has been largely operated by general positive market mood for all cryptocurrencies over the past week as well. Those that had the substantial losses such as Lumens and Cardano seem to have rebounded faster as traders and investors shared up on them at low prices. Many build problems and hackathons announced on their Twitter have kept the community busy and recently the altcoin was listed on Coindirect and Buybit. 

This morning the most of trade in Asia has been on Binance which commands 30% of the total volume. South Korean’s have been involved in it also as Upbit and Gopax are second and third with trade in KRW. General XLM volume has grown over the past 24 hours by over 60% to $121 million. Stellar has continued to be steady in the top ten for some time now and is currently 8th position with a market cap of $5.7 billion. 

Total crypto market cap has kept stable over the past day and at present sits at about  $326 billion. Other Asian trading`s solid altcoins include Nem, Bytecoin and Steem.

Stellar Lumens price at the moment of press: $0,318381
24h volume: $116 864 000
Market cap: $5 911 936 081