Rakuten to Allow to Convert Loyalty Points to Crypto

Rakuten Super Points can be exchanged for three cryptocurrencies: Bitcoin, Ethereum and Bitcoin Cash, but customers must have Rakuten Wallet
24 December 2019   480

The trading platform of the Japanese financial services giant Rakuten Wallet will allow Rakuten Group customers to convert loyalty points into digital assets.

According to the company this Tuesday, Rakuten Super Points can be exchanged for three cryptocurrencies: Bitcoin, Ethereum and Bitcoin Cash. Previously, customers will have to register an account with Rakuten Wallet. The minimum amount for an exchange is 100 points. During such operations, the rate of one “super point” will be set at the level of one yen ($ 0.0091).

Through the launch of the new service, Rakuten Wallet hopes to reduce the barriers of entry to crypto asset trading by providing an easy and more accessible way for new users to start, including novice users who are interested in crypto asset trading with no prior experience. The service also increases the range of uses for Rakuten Super Points across the Rakuten Group’s ecosystem of services, making the Rakuten loyalty membership program even more attractive and convenient.

 

Rakuten Wallet

Restrictions on the amount of one transaction apply, as well as the amount of points available for conversion per month - up to 500,000 ($ 4,570). Initially, the service will be available only to users of the Android application, but next month its support will be implemented in the iOS application.

The public launch of Rakuten Wallet took place this August. The exchange is one of the few regulated entities for cryptocurrency trading in Japan.

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   224

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.