To enable more efficient development of deterministic crypto-functions we are developing a command-line client. This is also vital for those people who need to access blockchain technologies in places with extremely low bandwidth, as the communication between the command-line client and hybrid nodes is much less resource consuming than the web interface (which is already the most efficient in its class). Others in our team have been working on the transport mechanisms, so that both command-line and web clients can exchange information decentralised with nodes and these can share datagrams amongst themselves in a secure and tamper-proof manner, without having to depend on untrusted or centralised third parties, such as certification authorities.
A third party that had initially shown initiative to launch the hybrid tokens used within the Internet of Coins on a centralised exchange has stopped communicating with us. We assume for now that their technicians will need more time than they anticipated and hope they will contact us again when they make progress. On the bright side, we observe that the tokens of individual chains are becoming available on the decentralized exchanges. Of course, we will inform you when markets establish themselves. In the meantime, we focus on implementing the infrastructure and network support for decentralised multiple-token interchange.
The blockchain and cryptocurrency scene is hot right now. It looks like everyone wants a piece of it, and there are a plethora of new experiments and technologies popping up all over the scene. Some people have only just discovered Bitcoin, its possibilities and potential applications. Other people have gone further to explore technologies like Bitshares, CounterParty or Waves and have been playing with the various token systems and smart contracts that are available on these platforms.
There are initiatives to make blockchain technology easier to use. These take the form of online wallets and block explorers, while going deeper one finds entire contract compilation systems implemented into easy-to-use websites. Enthousiastic users of cryptocurrency are also trying out decentralized exchanges like EtherDelta, the NXT Asset Exchange, or playing around with Mosaics on the New Economy Movement platform.
However, in all the activity and clamour, users are still pining for an environment that brings all these initiatives together in an understandable and secure way. Internet of Coins (IoC) wants to create this place without a for-profit motive, guaranteeing objectivity, equality and freedom of development and use of all the novel peer-to-peer financial technologies. They also want it to be an environment that people with no technological experience can use, and feel comfortable with.
Internet of Coins is geared to being such an environment, and its development has been underway for some time now. The foundations for a decentralized financial web have been set down at its core, and its mission and objective is to make sure all the different platforms, ecosystems and technologies that are out there become accessible to anyone and everyone.
To boost development of its easy-to-use hybrid asset technology, and make it available sooner, Internet of Coins is organizing a crowdfund to ensure further integration of blockchain finance technologies. As a perk to invite people to start using the environment they are giving out hybrid tokens that run on multiple blockchains simultaneously, merging their innovations and technological power.
Hybrid is a unique token, as it functions as a diversification portfolio of multiple blockchain technologies, and spreads risk of failure of any one of these systems. At the same time it facilitates decentralized trade on all the underlying platforms and has a focus on creating liquidity. This kind of experiment has not been done before in the blockchain arena, and is sure to bring about new cross-blockchain ideas and experiments.
So where is this all going? They are sailing for a new horizon, where anyone can use blockchain technology, crypto tokens and deterministic transactions, without having to explicitly think about how to do it. Using advanced distributed ledger technology should be available for everyone, whether it's you, me, your parents or grandparents. It should be as easy as sending an e-mail. And seeing the developments at Internet of Coins, that's where it looks to be going.
Today, the Internet of Coins consortium is proud to announce it has come to an agreement with service provider Bitalo for an initial funding investment and development collaboration. The Internet of Coins developers are constructing a cross-blockchain solution using hybrid assets without the need to update or adapt existing blockchains. Fully open source and fully decentralized.
Martin Albert, CEO of Bitalo believes the open source technology developed by the Internet of Coins team can benefit future cryptorelated initiatives for the community: "The Internet of Coins is the perfect project to ultimately establish the ideals for the exchange of value: decentralized technology, voluntarily, gives you the freedom of choice and is highly innovative."
In the past months, founders Joachim de Koning and Robert de Groot have been presenting the system throughout Europe. Joachim: "The Bitalo partnership will allow us to continue development of the decentralized prototype. With the initial risk of alpha development covered, we are now confident we can invite users to take part in the project while already working on its delivery. More information can be found on the website, in our whitepaper or ask us anything on Bitcointalk." Robert: "Since our first hybrid asset went online in June we have seen similar projects successfully emerge, each with their own advantages, interpretation and form of governance. We focus on the technology only and want to build an open source standard, to allow the cryptocommunity to become fully integrated, decrease fragmentation and most importantly: develop itself without dependence on third parties. Other initiatives may freely use it or fork it to advance this evolution."
THE NEXT STEP Joachim: "We have gradually expanded our devteam and will continue to do so. The golden rule is: only people we've previously met and know to trust. Aside from the Bitalo support from Finland, our own team now consists of developers in The Netherlands and Germany. Of course anyone will be able to contribute via GitHub." Robert: "As a pre-launch investor, Bitalo will be among the first companies to receive cross-blockchain trading implementation support. Participating companies receive a stake in the project’s future success. Individual users have the chance to take part in the public sale on January 3rd 2015, when we have made further progress in the development of the software."
The original document including contact information for both organisations can be downloaded here.
Time for an update! First of all, say hello to some new faces on our Team page. Systems architect Amadeus and mathematician Jelle have joined our cause for integrating digital value systems. Now that we are growing, it is time to give the cryptosphere a peek at what we're doing. So we are taking the Internet of Coins to new places.
First off, we will be presenting the Internet of Coins this Friday the 17th of October at the start-up show of the Bitcoin 2 Business event in Brussels. Next will be the Ethereum & Bitcoin meetup, November 4th in Amsterdam. Wednesday November 5th (remember, remember...) we will be present at Bitcoin Wednesday Amsterdam. November 28th we will be visiting Arnhem Bitcoin City. Also, this week we received confirmation that we can take part in the Virtual Bitcoin Expo in January where we will be showing where we are heading in our developments. Take a look, visiting the virtual event is free. Interested in what we are doing, but not around at one of these events? Feel free to contact us.
Today, we had our first presentation on the Internet of Coins at the Amsterdam Bitcoinference Summer 2014. The presentation sheet itself is now added to the home page, providing a short explanation of the concept of decentralized blockchain interconnectivity. If you have any questions or remarks, please let us know.
We had some great talks and have seen several interesting presentations, for instance about the history of centralized exchanges which eventually led to Draglet and the interest for miners in the use of block-hiding strategies. We would like to thank Nicolas Courtois in particular for providing a refreshing critical view on the vulnerabilities of current Bitcoin technology.
So what's next? The Bitcoinference will last a few more days, after which we plan on visiting several other meetups; most of them in the Netherlands to discuss the consortium and the required technology for the Internet of Coins. In the meantime we will continue to work on our hybrid assets whitepaper and keep you posted via this website - or you can fire questions at us any time via Twitter.
The current decline of alt-coins has recently been on my mind a lot. As has been the marginalization of many of these coins. Some of them have great concepts, for example Datacoin. So what is going on with these coins, and what to do about them? (also featured on CoinTelegraph)
For the past eight months I have been running my own trading bot called Project Stormwind. It is a bot that performs arbitrage across the board of seven exchanges and many different types of cryptocurrencies. It is supposed to identify pumps-and-dumps in the market and tries to invest capital to stop these from destabilizing the currency by returning the price action to average levels. While the trading engine makes a profit, the overall value of the alt-coins it trades has measurably and steadily been declining.
It can also be seen on the charts that the collective value of most of the coins has been dwindling. Would this leave Bitcoin as the only cryptocurrency to become successful? Some avid Bitcoin fans would have us believe this. It reminds me of a history I once read of the development of bank notes in the United States.
An essay in the spirit of the Friesian School on www.friesian.com says: National Bank Notes were established by the National Banking Act of 1863. This was done to raise money for the federal government, since it required that National Banks that wished to issue banknotes deposit United States Securities with the Treasury as backing for the notes. This effectively multiplied the money with which such securities were purchased, turning the money itself over to the Treasury, for its purposes, but then enabling the banks to issue currency against it. The desire of the federal government to monopolize banknotes is evident in the tax that was subsequently levied on all banknotes issued by State banks.
Although this development much differs from what we see happening in cryptocurrencies today, there is a similarity in the way value flows from 'independent' initiatives in digital cash back to the cryptocurrency-to-rule-them-all: Bitcoin. There may be many reasons for this, beside Bitcoin being perceived by a lot of traders as the reserve cryptocurrency, and I do not pretend to know each and every one of them. Still, I want to explore some directions I think this can take us, and contemplate on the concept of creating an Internet of Coins.
Bitcoin is being tempered with legislative action as of late in the United States and other parts of the world. Regulating Bitcoin is impossible according to some, however, the fact that Bitcoins are pseudonymous makes a good case for government to have power over it nonetheless. Spending from non-identified addresses could made illegal for businesses wanting to accept cryptocurrency, and this would severly hamper the adoption of Bitcoin. An immutable public ledger can be abused by governing powers and used to start a campaign for identifying its users.
What we need to stay free from this is further decentralization of the cryptosphere, but this also causes fragmentation and isolation. And that is what we see happening right now. Cryptocurrencies that become marginalized lose value because they cater only to speculators. A cryptocurrency cannot live on speculation alone. It needs a market of diverse elements to thrive.
During the development of the world-wide-web we saw many different ideas and technologies taking shape and making a niche for themselves. However, what made the Internet so powerful was the way in which all these technologies became integrated, empowering eachother its users. Up to today this has never stopped. Some concepts like Gopher, for example, have become marginalized, but are still in use by many across the globe today. My hope is for many marginalized alt-coins to be as resilient in the years to come.
We mustn't forget the diversity of the Internet is often threatened by large companies trying to take a large slice of its market by enticing netizens to use their centralized services. So the same will most likely happen in the world of cryptocurrencies. We must already be thinking right now about how to protect the cryptosphere from becoming just a plateau of monoliths.
So how can we further decentralize the cryptosphere without spreading its benefits too thin and destroying its potential? My take on it is integration of technologies. In the past years we have seen a lot of innovation, and a multitude of blockchains spring forth from this. We have seen the implementation of innovative concepts from being your own bank, to distributed assets, and running decentralized applications.
To make sure we can benefit from all this in the future, now is the time to tie it all together and shape it into a coherent, useful and decentralized philosophy. Now is the time to integrate the greater and smaller technologies. To look beyond your own blockchain, and look towards The Internet of Coins.