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ICO Analysis: Liquid Asset Token (LAT)

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Some of the asset-backed tokens issued at the LAT Exchange may be considered as securities subject to regulation in certain countries. Turnover of the tokens in these jurisdictions would be restricted by LAToken until appropriate registration occurs. The LAT Exchange will follow KYC and AML rules and apply for exchange license where needed.

Today we tackle Liquid Asset Token, which we believe is the first to market with a radically important technology product. We spoke yesterday on Propy, which focuses strictly on the trading and sale of private real estate, and we identified its primary problem as being legal hurdles. As you can see, LA Token makes no bones in addressing this issue. (The above is from their executive summary. Not using avoidance strategies regarding legality is an early plus for this review.) The decision to disclose and decide on this matter at the outset should hardly be understated – this immediately helps people decide whether it exceeds their risk appetite and helps gauge how connected to reality the founders are.

We invite you to have a look at the tokenized asset exchange:

Now, anyone can make a nice UI these days, and it’s not very expensive. Massive Javascript libraries exist for the purpose of making slick web design as easy as possible. Nevertheless, having something we can click, touch, feel, and get a sense of, is a huge plus for those trying to determine whether we are looking at something which interests us enough to make an investment or not. We see below that there are some inner-workings remaining to be finished, as this asset has no details at all:

Nevertheless, the above screenshots do some of the work for this analysis. We can see that we’ve got a workable platform here. We’re not young or old enough to be confused by the fancy web design, so we’ll have to look into the technicals and definitely would suggest a security audit (bug bounty program anywhere?), but overall, we’re already looking at something which will tokenize the future.

Tokenizing Any Asset?

Heavily regulated environments like the United States will grow increasingly upset as the rest of the world takes off around us. Most technologies which are enabling such things as tokenizing your rental properties or your vast Rollex collection are deeply afraid of operating in the United States. The prosecutorial, Puritan arm of the federal government swings in every direction, often with little or randomized provocation.

Uncle Sam Is Cool With This?!

ICO initiators no doubt learned from the story of Kathleen Giffords, Ripple executive who kissed up to California regulators, whose firm was later fined nearly a million dollars by the FinCEN. All of which is to say that, as usual, if you’re in the US and you’re interested in this ICO, entering it will be doing so at your own risk, as you have no legal recourse being that the first part of the agreement is that you are not a US citizen. Being a crypto enthusiast, this may not be a deterrant, but let’s get the legal language out there, as the author has a feeling this one might be hard to resist:

IN THE EVENT OF ANY CONFLICTS OR INCONSISTENCIES BETWEEN SUCH TRANSLATIONS AND COMMUNICATIONS AND THIS OFFICIAL ENGLISH LANGUAGE WHITEPAPER, THE PROVISIONS OF THIS ENGLISH LANGUAGE ORIGINAL DOCUMENT SHALL PREVAIL. YOU ARE NEITHER A UNITED STATES CITIZE NOR PERMANENT RESIDENT OF THE UNITED STATES, NOR HAVE YOU A PRIMARY RESIDENCE OR DOMICILE IN THE UNITED STATES, INCLUDING PUERTO RICO, THE U.S. VIRGIN ISLANDS OR ANY OTHER POSSESSION OF THE UNITED STATES. NONE OF THE OWNERS OR BENEFICIARIES OF THE COMPANY ON BEHALF OF WHICH YOU ARE AUTHORIZED TO ACT, ARE U.S. CITIZENS OR PERMANENT RESIDENTS OF THE UNITED STATES, NOR HAVE THEY A PRIMARY RESIDENCE ORDOMICILE IN THE UNITED STATES, INCLUDING PUERTO RICO, THE U.S. VIRGIN ISLANDS, OR ANY OTHER POSSESSION OF THE UNITED STATES.

Also banned is the Republic of Singapore.

Now that that’s out of the way and by continuing to read you agree we are not conspiring to commit securities fraud or anything of the like, let’s talk a bit about what tokenizing assets means and why it should happen.

The Revolution Will Be Tokenized

People often sink money into things they cannot immediately get the value back of in times they may need it. In the case of homes, this puts them at the mercy of lenders who do not just want a piece of the pie or a guarantee of repayment, but in an ideal situation for the banksters, they would simply claim the deed in exchange for an equity payment. Of course they would, that’s the name of the game. But in the blockchain, we find the opportunity to immutably record any transaction of willing participants. As such, it becomes infinitely more possible and eventually much safer to, instead of liquidating assets at pawn shops and other emergency funding options, people can capitalize on the shifts in value of their assets. Instead of getting a loan or worse on your wholly owned holdings, you can sell shares in them.

There are a few questions that we will need to answer regarding this technology:

  1. What, if any, rights are token holders granted?
  2. How are said rights enforced?
  3. What requirements are made of the physical asset holders?

The Tokenization of All Things will involve the growth a few industries. For certain types of assets, publicly verifiable storage solutions will need to emerge. The lack of such things and the demand to put trust in third-parties we’d never heard of was a major contributing factor to our negative feeling toward OneGram.

LAToken Team

AIBanks Issue

The author did some research on the LAToken team, and came across an interesting thing: they’re all part of what seemed to be another project. This raised huge warning flags. The author wondered if he had wasted all time up to present, simply being able to write down one word here: “scam.” Reading through the documents, it started to sound like the same thing. Then, an explanation emerges:

Zologo is an apparent business in Russia which is headed Valentin Preobrazhensky, who was published by Forbes Russia in March. In this article he and his co-author elucidated what the author says above:

In Russia, 20% of the population spend more than 60% of their income on repayment of expensive and short-term consumer loans. This makes it necessary to save and reduce consumption. As a result, production, wages and jobs are shrinking. Unemployment leads to an increase in overdue debt, a rise in the cost of loans and a new round of cyclical consumption crisis. […] At the same time, in Russia there is a small amount of credit for the population […] especially in the context of a recession. At the same time, it has a great social significance – it reduces the debt load of the most accredited part of the population, increases their economic activity and productivity. Therefore, this channel [“non-targeted mortgages”] of stimulating demand is the least inflationary one.

Deeper Into LAToken

Since the token sale is ongoing and apparently almost over (they added 5 million from the reserve to the sale), we’ll answer the questions above and get to verdict and details.

  1. What, if any, rights are token holders granted?
  • “LAT do not grant their holder ownership orequity in the Company or the right to participate in the control, direction, or decision making of the Company.”
    • So, no ownership in Zologo or LAT proper.
      • The second part of the answer bleeds into the next question.
  1. How are said rights enforced?
  • “As discussed above, LAT are issued on the basis of a smart contract via a blockchain platform. A smart contract is a way to discharge obligations by means of the algorithm input into the respective program code. As such, smart contracts shall fully comply with the laws applicable to them, in particular, they shall ensure compliance with confidential information legal requirements.

Have to pause here and address this. It could be a deal-breaker. What we are seeing here is two things: the passing of the buck and the fiat approach to enforcement. As a crypto enthusiast, the author prefers technical solution to problems involving trust. We want a Utopian world where everyone does what they say will, but since we won’t get that, we build code. We verify then trust, not the other way around and not in any other order.

LAT are here saying: we will provide a platform for you to buy and sell assets that you may never physically touch, and we will profit handsomely in so doing, even garnering profit at every turn, but we will do nothing but put these words on paper as far as providing you assurances that things will work out for the best.

Ah, but I had such great hopes. Well, the cryptocurrency world could always use a little more drama

  1. What requirements are made of the physical asset holders?

And in the abov, we get the answer: all the requirements. LAToken seems to want to put this thing out in the world, make a few million bucks, and hope for the best. The myriad of issues that might arise, well, they don’t want any part of all that, as the abundance of red herring legalese in their actual whitepaper suggests.

 The Verdict

Had high hopes. They were dashed when you got to the bare-metal of how the property is enforced. Property enforcement is what the government arose to do, after all, in many respects. Therefore anything that rises up and says it will replace the government had better have most if not all of the answers as to what happens if and then what.

But all the same, they’re almost funded. That counts for something too – it means you might not fall directly off a cliff if you still decide to see how this plays out. The platform could be a lot of fun to play with, and you need tokens to do it. But just like we feel that Propy will not be the property and asset swap platform of the future, we feel that Liquid Asset Token is falling short, too.

Risk

  • Plain as day, outlined above. Every investment on the LAT platform will require its own analysis due to the legality and the great potential for scamming. You may be creating more work than you can compensate yourself for through trading there. -4

Growth

  • Already built a product. Shows the firm is willing to invest its own funds to get going. Could be that getting off the ground is what’s necessary in order to get enough lawyers to find a workable global solution, but we’re not sure about this company being the ones to do it. Nevertheless, for having shown us something that will later be aped by countless competitors, we give LAT first-mover points in the sum of 5.
  • Changing the way people borrow and repay money is the kind of thing that can make waves at every level of society. As elucidated by LAT CEO Valentin Preobrazhensky above, this plays particularly well for people in less regulated markets where predatory lending is more prevalent, as well as pockets of more regulated environments where poverty is real but property ownership manages to sustain itself. +2
  • Has everything the others have and more. This is also a great drawback for trying to get started, so we split the points: +1.
  • The author grants this team 0.25 over Propy, as a personal disposition in how these two ICOs are likely to perform at market. Reasoning: having the ability to test out the product is a much greater hype generator than any amount of social media campaigning.

Disposition

Having a positive carry of 8.25 points, we cannot forget the fundamental reality that all they are doing is building a public swimming pool, a blockchain within a blockchain, and the investor will very much be in the wilderness when interacting there. At least at first. We’ll update in 30-45 days with performance information.

Investment Details

A total of 1 billion tokens are being generated as the author writes this. 40% of these were initially put on the market, but due to alleged high demand during their pre-sale (which we did not get wind of at all, here at Hacked), they put another 5 million up for sale. Their status meter looked like this, going to press:

The exact price of the tokens at the time of writing was around 31 cents:

Please exercise caution when sending hard currency over the Internet.

Visit https://sale.latoken.com if you wish to invest in LAT.

Important: Never invest (trade with) money you can't afford to comfortably lose. Always do your own research and due diligence before placing a trade. Read our Terms & Conditions here. Trade recommendations and analysis are written by our analysts which might have different opinions. Read my 6 Golden Steps to Financial Freedom here. Best regards, Jonas Borchgrevink.

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5 stars on average, based on 2 rated postsP. H. Madore has covered the cryptocurrency beat over the course of hundreds of articles for Hacked's sister site, CryptoCoinsNews, as well as some of her competitors. He is a major contributing developer to the Woodcoin project, and has made technical contributions on a number of other cryptocurrency projects. In spare time, he recently began a more personalized, weekly newsletter at http://ico.phm.link




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4 Comments

4 Comments

  1. gxd01

    August 23, 2017 at 7:40 pm

    Just a small comment – the propy review does not show under the ICO category, but is linked under the ICO ratings part. Also perhaps conclude the review with the 4.25 as it does look like 8.25. Good review as ever, never had even heard of this ICO until this.

  2. gxd01

    August 23, 2017 at 8:05 pm

    To follow up clicking on the propy ICO in ICO Ratings takes you to the categories – and there is no propy review…

  3. hs

    August 24, 2017 at 1:00 am

    You’ve got a typo
    Disposition
    Having a positive carry of 8.25 points

    Shouldn’t that be 4.25 !

  4. sickettyboy71

    August 24, 2017 at 1:30 am

    Not so sure about this “high demand” thing. I checked this one out a week ago and that teal line indicating the number of tokens sold hasn’t moved a great deal. I enjoyed your assessment.

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Altcoins

Your Guide to Stablecoins 2019

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Stablecoins are cryptocurrencies with a value pegged to a currency or to exchange traded commodities. Many projects today are researching and developing such technology. Issuers distribute stablecoins to customers in exchange for fiat currency such as USD at a 1:1 fixed exchange rate. USD is a desirable medium of exchange and globally accepted unit of account, making it a good choice for a stablecoin. Stablecoins most often take the following shapes.

  • Fiat-collateralized: Reserves in a national currency collateralize the creation and issuance of such tokens. The goal is price stability by pegging a token’s value to a reserved fiat value.
  • Crypto-collateralized: Cryptocurrencies backing cryptocurrencies. That might sound far fetched or futuristic, but it is possible in the present day. Forget the Gold Standard. Now you can hold a cryptocurrency backed by a basket of cryptocurrencies.
  • Seigniorage: These tokens are not-collateralized. Software maintains the price stability.
  • Hybrid: When you blend the three basic approaches above – or some assortment thereof – you get a hybrid stablecoin.

Let’s go deeper.

Fiat-backed

Fully-backed by fiat money at a 1:1 ratio, you might receive $1 of fiat-backed stablecoins in exchange for $1 of fiat money. Custodians (third-parties) typically manage the fiat in such an arrangement. In order to maintain a stable price, fiat-backed tokens may be issued or destroyed as needed. When holders redeem cash with tokens, for instance, the company might wire money to a bank account, then destroy or otherwise remove the tokens from circulation so as to maintain the fiat currency peg.

Tether (USDT)

Tether’s daily volume on January 18 was $189,134,405. Traders use tether as a way to hedge and to convert holdings into the equivalent USD value without having to cash-out. Detractors argue that Tether lacks transparency when it comes to reserves, though the company claims all issued USDT tokens are backed on a one-to-one basis. The CEO of Bitfinex is also the CEO for Tether Limited, which issues Tether.

TrueUSD (TUSD)

TrueUSD claims to be more transparent than Tether, while still enabling TUSD customers to exchange USD through an escrow account over which the TUSD team claims to have no control. The company uses smart contracts to ensure the 1:1 parity between real USD reserves in the escrow accounts and the TUSD tokens issued.

Gemini

Gemini took a different approach than most stablecoins, receiving permission from the New York Department of Financial Services (NYDFS) before creating its USD-pegged stablecoin. Designed to provide traders and institutions with a “regulated” version of tether (USDT), Gemini claims their stablecoin establishes trust through cryptographic proof and regulatory oversight.

Gemini’s ERC20 stablecoin includes an “upgrade feature, an offline approval mechanism for high-risk actions, and a hybrid online-offline approval mechanism for high-risk actions and token issuance that provides the desired level of security and flexibility.”

Gemini links licensed financial institutions and examiners. They form a network of trust that backs the Gemini dollar. This regulated stablecoin is to serve as a medium of exchange and unit of account for centralized and decentralized applications. Gemini has pledged to create a network of trusted and licensed financial institutions and examiners. These implementations combined form the Gemini dollar, a regulated stablecoin that can serve as a viable medium of exchange and unit of account for centralized and decentralized applications.

Gemini’s proof-of-solvency is also a unique selling point requires a trusted third party. It plans to have the audit committee of the board of directors of Gemini engage an independent registered public accounting firm to attest to the underlying US dollar balance.

Paxos Standard

Paxos Standard is built upon the Ethereum blockchain as an ERC-20 token. Rather than issuing new money to maintain price stability, as past coins have attempted, Paxos Standard provides a more stable representation of existing money with accepted and trusted value. The company posits early use cases for the technology as a payment means; hedge against volatility; contracts for more complicated transactions, and more. Longer term use cases include asset mobility and settlement and ecosystem development.
Centre

CENTRE is creating a network scheme to manage the creation, redemption and mechanisms enabling issuing members to mint and burn/redeem asset-backed fiat tokens, ensuring price stability. CENTRE’s fiat-collateralized approach entails a unit of tokenized fiat currency being backed by one unit of reserved fiat. According to CENTRE, Circle will become a “licensed member of the CENTRE network”, but an independent entity will govern and develop CENTRE protocols separate from Circle.
Commodity-Backed

Commodity-backed stablecoins are pegged to a specific value of, say, gold. One token, for instance, might represent one gram of gold. Physical gold is often claimed to be stored in a trusted third party vault. BitShares was one of the first projects to introduce a commodity-backed stablecoin. Backed by real assets and redeemable at the conversion rate of the real asset, commodity-backed stablecoins try to maintain the stable value of gold, while being easily transferred.

Digix Gold Tokens (DGX)

Digix has two tokens. Digix Gold Tokens (DGX) and DigixDAO Tokens (DGD). DGD tokens are used for DigixDAO’s governance model. DGX tokens are used as collateral and a trading pair by other crypto projects like MakerDAO, Kryptono Exchange, Kyber Network, WeTrust, Monolith, and others.

A Digix customer might buy gold through the Digix platform. The vendor then supplies gold and a custodian stores the customer’s gold. Relevant details (vendor, custodian, customer, etc.) are stored on a digital card, and sent to smart contracts so new, gold-backed coins can be minted.

DGX, created by DigixGlobal, is an ERC-20 token backed by physical gold. Fully-audited and stored in a vault in Singapore, the Safe House, each token’s value is fully redeemable and pegged to price of gold. Digix’s Proof-of-Provenance algorithm ensures that each gold bar’s custodianship status is tracked on the Ethereum blockchain. Reserves are audited each quarter.

Cryptocurrency-Backed Stablecoin

Backed by other cryptocurrencies, crypto-collateralized cryptocoins can be less stable than fiat and commodity-backed stablecoins because the underlying asset is less stable. Cryptocurrency-backed stablecoins might sometimes be over-collateralized to account for the volatility. While a US-backed stablecoin might be pegged 1:1, an Ethereum-backed stablecoin might be worth 2:1. (US $2 worth of ethereum for US$1 worth of stablecoin).  Still, cryptocurrency backed stablecoins are more volatile than stablecoins backed by other assets like commodities and fiat money.

Usually backed by a basket of cryptocurrencies instead of a lone currency, some such stablecoins require users to stake and lock cryptocurrency via a smart contract to create a fixed ratio of stablecoins. Considered a more decentralized alternative to fiat and commodity-backed stablecoin, cryptocurrency backed stablecoins offer quick liquidation from one cryptocurrency to another.

MakerDAO (DAI)

Maker, a smart contract platform based on the Ethereum platform, stabilizes the value of Dai, a collateral-backed cryptocurrency, through a dynamic system of Collateralized Debt Positions (CDPs), autonomous feedback mechanisms, and appropriately incentivized external actors.

Collateralized debt position are smart contracts on the Maker system. CDPs keep track of assets deposited by users so that users can generate Dai. The value of an active CDPs collateral is higher than the value of the debt. Ether is used as collateral for new coins, and must be sent to a CDP, which locks the staked ETH so new DAIs are minted. Dai is designed to be sent to others, used as payments for goods and services and held as savings. MakerDAO also issues MKR token.

Seigniorage-Style Stablecoin

Seigniorage-Style stablecoins are uncollateralized and stabilized by algorithms. Algorithms might maintain the value and stability of a coin by controlling the supply of the uncollateralized stablecoin, shrinking and growing it based on certain indicators.

Seignoriage-style coins’ algorithmically governed approach to expanding and contracting a stablecoin’s money supply. New stablecoins are minted to maintain stable prices, when, say, demand increases or decreases.

Conclusion

Technologists claim that stability offered in stablecoins would be a boon to cryptocurrency by minimizing fluctuations of value. A stablecoin theoretically represents a stable means of payment and trade, making it appealing for daily use, and perhaps more palatable for the general public. Yet, stablecoin technology is still nascent, and questions such as how to manage supply and demand in such a way as to create stable value have yet to be fully answered and understood. Of the coins listed here, Digix, Gemini, MakerDAO and Paxos represent under-publicized products on which to keep an eye.

Image: Artem Beli

Important: Never invest (trade with) money you can't afford to comfortably lose. Always do your own research and due diligence before placing a trade. Read our Terms & Conditions here. Trade recommendations and analysis are written by our analysts which might have different opinions. Read my 6 Golden Steps to Financial Freedom here. Best regards, Jonas Borchgrevink.

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5 stars on average, based on 1 rated postsJustin O'Connell is the founder of financial technology focused CryptographicAsset.com. Justin organized the launch of the largest Bitcoin ATM hardware and software provider in the world at the historical Hotel del Coronado in southern California. His works appear in the U.S.'s third largest weekly, the San Diego Reader, VICE and elsewhere.




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Altcoins

Tron Price Analysis: TRX/USD Constructing a Head and Shoulders Pattern

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  • TRX/USD remains vulnerable to further downside, with eyes on the possible head and shoulders technical structure.
  • TRX/BTC bulls are having much difficulty breaking down huge area of supply.

TRX/USD Price Action

TRX/USD daily chart.

There has been little in terms of committed market direction. It appears that after the huge bull run, which was observed from mid-December until 10th January, the price is trying to find its feet again. The gains of that push higher were a chunky 180%, before quickly becoming unstable and losing some of that ground.

Head and Shoulders Pattern

TRX/USD head and shoulders formation, via daily chart.

A near-term ascending trend line can be observed via the daily chart. This could be forming a head and shoulders formation. The left shoulder and head have already been constructed, with attention on this possible right shoulder. It is currently moving back towards the trend line, acting as a neckline for the technical pattern. A breach could see a fast fall below the $0.020000 mark.

The next major area of support is seen at a demand zone, which tracks from $0.017500 down to $0.016000. TRX/USD last traded here on 20th December, when the bulls ran through this range, which at the time was acting as supply. At a worse case scenario, a failure of this zone holding will shift attention to the December low area, $0.011150.

TRX/BTC Bulls Cannot Break Down Big Supply Zone

TRX/BTC daily chart.

This trading week, the TRX/BTC bulls attempted on a few occasions,to break down heavy area of supply. It can be seen tracking from 0.00000700 up to 0.000007500. The price has not been convincingly breached since June 2018, a strong sign of the bearish trend gripping the market. Briefly on 10th January, an aggressive spike to the upside was observed, pushing above for a very short-time before the sellers piled in.

Weekly Chart

TRX/BTC weekly chart.

Looking via the weekly chart view, TRX/BTC has been pushing higher for the past three consecutive weeks, at the time of writing. Despite this run of gains, the technical picture does still somewhat express some vulnerabilities. The large upper wick produced during the week which commenced 7th January appears to be a bearish pin bar formation.

If this week fails to close in the green, it could suggest that a larger wave of selling pressure may materialize. Typically, the types of candlesticks described above tend to come ahead of downside pressure. In addition, then numerous rejections seen within the earlier detailed supply zone, stacks favorably for the bears.

Disclaimer: The author owns Bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.

Featured image courtesy of Shutterstock.

Important: Never invest (trade with) money you can't afford to comfortably lose. Always do your own research and due diligence before placing a trade. Read our Terms & Conditions here. Trade recommendations and analysis are written by our analysts which might have different opinions. Read my 6 Golden Steps to Financial Freedom here. Best regards, Jonas Borchgrevink.

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4.6 stars on average, based on 110 rated postsKen has over 8 years exposure to the financial markets. During a large part of his career, he worked as an analyst, covering a variety of asset classes; forex, fixed income, commodities, equities and cryptocurrencies. Ken has gone on to become a regular contributor across several large news and analysis outlets.




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Altcoins

Monero Price Analysis: Stronger Malware to Mine Monero; XMR/USD Has Room for Another Potential Squeeze South

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  • Researchers: a stronger malware has been uncovered, which can mine Monero.
  • XMR/USD price action remains stuck in a narrowing range, subject to an imminent breakout.

The XMR/USD price has seen some upside on Saturday, holding gains of around 3% towards the latter stages of the day. Despite the press higher from the bulls, a move which has been observed across the cryptocurrency market, vulnerabilities remain. Price action has been ranging for the past nine sessions. Once again, this isn’t specifically just XMR, as this type of behavior is witnessed across the board. The narrowing in play came after the steep drop that rippled across the market on 10th January.

Price action was initially well-supported to the upside by an ascending trend line, which was in play from 15th December. This at the time was a very promising recovery, as XMR/USD had gained as much as 55%. Unfortunately, however, the bulls were unable to break down supply heading into the $60 region and were eventually dealt a big hammer blow. On 10th January, the market bears forced a heavy breach to the downside, smashing through this support. The price had dropped a big double-digits, some 20%.

Stronger Malware Mining Monero (XMR)

There is a dangerous form of malware that can bypass being detected and mine Monero (XMR) on cloud-based servers. A recent notice was put out by Palo Alto Networks’ Unit 42, an intelligence team that specializes in cyber threats, regarding a Linux mining malware. This was detailed to have been developed by Rocke group, which has the ability uninstall cloud security products. It can do this to the likes of Alibaba Cloud and Tencent Cloud, to then illegally mine Monero on compromised machines.

The two researchers from Palo Alto Networks, Xingyu Jin and Claud Xiao, detailed the findings of their studies. Once the malware is downloaded, it takes administrative control to initially uninstall all cloud security products. Shortly after, it will then then transmit code that will mine the Monero (XMR). Further within their press release, they said, “To the best of our knowledge, this is the first malware family that developed the unique capability to target and remove cloud security products.”

Technical Review – XMR/USD

XMR/USD daily chart.

Given the current range block formation, eyes should be on the key near-term technical areas. Firstly, to the downside, $43, which is the lower part of the range. A breach here will likely see a retest of the December low, $38. To the upside, resistance be observed at around the mid $46 level. Should a breakout be observed here, then a potential retest of the broken trend line will be watched.

Disclaimer: The author owns Bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.

Featured image courtesy of Shutterstock.

Important: Never invest (trade with) money you can't afford to comfortably lose. Always do your own research and due diligence before placing a trade. Read our Terms & Conditions here. Trade recommendations and analysis are written by our analysts which might have different opinions. Read my 6 Golden Steps to Financial Freedom here. Best regards, Jonas Borchgrevink.

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4.6 stars on average, based on 110 rated postsKen has over 8 years exposure to the financial markets. During a large part of his career, he worked as an analyst, covering a variety of asset classes; forex, fixed income, commodities, equities and cryptocurrencies. Ken has gone on to become a regular contributor across several large news and analysis outlets.




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