Compass Mining To Offer U.S. Clients Tax-Efficient Bitcoin Mining

A press release was sent to Bitcoin Magazine. It states that U.S. Compass mining clients can now mine Bitcoin directly into a Choice Individual retirement account without triggering any taxable events.

According to current tax laws, income from Bitcoin mining can be taxed like income. When they have to sell bitcoins to pay other taxes, miners are also subject to capital gains tax.

Depending on the type of IRA they choose, miners can avoid tax on bitcoin income by mining in a Choice account.
Compass sent a statement to Bitcoin Magazine explaining that tax-efficient mining offers huge benefits to retail miners, and gives them another tool to make more money on a smaller scale.

Choice is an independent custodian that meets the requirements of the South Dakota Division of Banking. It also offers Kingdom Trust Company. Choice was the first retirement provider to offer one account for all clients’ retirement assets, digital or legacy, in May 2020. Choice currently has over 125,000 retirement accounts and more than $18 billion in assets.

Compass mining lets users mine efficiently without having to worry about logistics. They can rent or purchase machines and have them housed, maintained and operated for their benefit. This is the best place for average investors to mine at profit on a variety of scales. Retail miners have access to the same high quality mining hardware as industrial customers and verified hosting facilities.

Compass Mining surpassed 450 petahashs (PH) in July across all of its customers. Only retail miners who purchased hardware from Compass are eligible for the tax benefits of mining to a Choice IRA. The Choice account receives the mining payouts.

Choice CEO Ryan Radloff commented that it was an amazing opportunity to be able to buy a Compass miner in your IRA and mine Bitcoin in a tax-advantaged accounts. We are all excited to continue working with Compass as the industry evolves.

South African Central Bank Warns Citizens Against Accepting Tainted Banknotes

EWN reports that the South Africa Reserve Bank (SARB), has warned South Africans who are found with such banknotes they could be subject to criminal investigation. This warning comes after what the SARB called an “increase in circulation of dye-stained banknotes in KwaZulu-Natal, and Gauteng.”

South Africa was in chaos immediately after Jacob Zuma’s arrest. His supporters violently protested his imprisonment. This chaos allowed criminal elements to launch a looting spree that is estimated to have cost billions.

Looting ATMs

According to the EWN report, ATM robbers had the perfect opportunity to multiply their attacks due the chaos that followed initial looting and torching real estate properties. According to South African ATMs, cash is kept in dye-stain containers.

This technology activates when the container is opened. This causes the cash to be stained with a blue and green dye. The notes are then rendered unusable as currency.

The central bank also advised South Africans who unknowingly received such notes to immediately report to the nearest police station. The SARB did not disclose the exact value or number of the banknotes stolen at the time of writing.

Greenidge Joins Foundry USA, Deal Gives Bitcoin’s Fifth-Largest Pool 800 Petahash

Greenidge, which is based in Rochester, New York, announced Wednesday that it has partnered up with Foundry, a company providing capital and intelligence to North American crypto mining companies.

Greenidge will join the Foundry USA mining pool, which currently holds the fifth-largest global hashrate. Foundry USA currently commands 10.46% Bitcoin’s global havehrate, or 10.23 Exahash per Second (EH/s), of hashpower.

The collaboration was not only announced by the two companies, but also the sale of 2,300 Whatsminer 30S mining machines to Greenidge. According to the company’s announcement, the 2,300 mining machines were used previously at Greenidge’s Dresden, New York facility. Foundry sold 1,800 of these devices to Greenidge. The remainder of the Whatsminer M30S will be transferred before 2021.

“Pioneering Integration of a Clean Power Plant Operation, and Carbon-Neutral Cryptocurrency mining”

The Bitmain Antminer S19 models have 5,000 currently in operation, and the remaining 1,000 machines are expected to be transferred by Q3 2021. Greenidge joins a number other Foundry USA members. Hive, Bitdeer and Bit Digital are all Foundry members. Blockcap, Hut 8 and Bitfarms are also Foundry members. Jeffrey Kirt, CEO of Greenidge, explained that Foundry had previously worked together in hosting arrangements.

Kirt stated in a statement that Foundry was a long-standing customer of Greenidge. This partnership will expand our existing relationship as Greenidge expands outside of New York.

Foundry’s partnership with Greenidge follows his plans to build a South Carolina mining facility. Greenidge reveals that the Spartanburg facility, which is carbon neutral, will be available in 2021 or 2022.

The announcement made Wednesday stated that Spartanburg will be the company’s second US mining site. This is in addition to its plans to increase its mining capacity to 500 MW by 2025. Greenidge’s new arrangement will provide ‘approximately 800 petahashes computing power to [Foundry USA] pool,’ or 0.8 EH/s in hashpower.

Mike Colyer, Foundry CEO, stated that Greenidge was the first to integrate a clean power plant operation with carbon-neutral cryptocurrency mining in North America. “We look forward providing Greenidge our best-in class services that are tailored-made for institutional businesses in the cryptocurrency mining sector,’ the executive said.

93K Users Scammed Into Buying Fake Cryptocurrency Mining Apps

Scammers

sold fake cryptocurrency apps to more than 93K people through the Google Play Store. These numbers are based on the report of Lookout, a security company based in California. The report states that the apps act as a frontend to cloud mining platforms. These apps are designed to trick users into believing they are mining cryptocurrency.

The apps actually do absolutely nothing. These apps are subtler than similar apps that siphon private information from buyers. Some of these apps were able to go unnoticed in Google’s Play Store. One hundred and fifty-five of the 175 apps that Lookout detected were in the Play Store. The other one could have been sideloaded from third party markets.

These paid apps come with expensive upgrades and subscriptions models that supposedly increase the mining performance. These apps are being monetized by scammers. By showing false numbers, users are convinced that the apps are mining currency. When they try to withdraw, the apps will give them an error message.

There are two types of Cloudscam: Bitscam and Cloudscam

Lookout split these apps into two groups: Clouscam or Bitscam. Bitscam apps accept payments in cryptocurrency like bitcoin and ethereum. This is the main difference between them. Cloudscam apps accept only Google payments. Lookout estimates that these apps have cost customers at least $350K.

Google has removed the reported apps form the Play Store. These apps are still available on third-party marketplaces. Scammers are making it easy for inexperienced people to profit from the new boom in cryptocurrency. Google is aware of this but there may be hundreds or even thousands of apps still lurking in Google Play Store.

Lookout recommends that new investors do their research before investing in a cryptocurrency mining app. Scammers are aware that inexperienced users are flooding the cryptocurrency market and will attempt to profit from this boom. Security firm suggests knowing who the developers are before purchasing these apps, only installing them from the official app, and looking at user reviews to spot any anomalies.

‘We Want You,’ Pro-Bitcoin Senator Cynthia Lummis Invites Crypto Miners to Wyoming

Companies in the coin minting industry have been actively seeking out friendlier countries to relocate their operations due to the ongoing crackdown in China on cryptocurrency mining. There are some potential destinations in the U.S. with Florida and Texas being two of the most prominent. Both states offer affordable energy to crypto miners.

Wyoming has been positive about cryptocurrency for some time and could easily be the next Bitcoin mining hotspot. Wyoming Senator Cynthia Lummis is a well-known supporter Bitcoin and recently used Twitter to invite crypto miners to join the state.

PS – Please reach out if you are interested in the #Bitcoin mine space. Wyoming WANT YOU! http://t.co/OUPAEYTXTG

– Cynthia Lummis, @CynthiaMLummis July 3, 2021

Lummis posted a tweet on Saturday defending Bitcoin’s environment record. Referring to research at the University of Cambridge that showed bitcoin mining uses approximately 40% renewable energy, while the indicator is only 12% for the non-bitcoin mining industry, the senator said: She stressed:

Bitcoin mining is more eco-friendly than other non-carbon emitting energy sources.

Cynthia Lummis: Bitcoin mining is not a bad energy guy

The Wyoming senator also pointed out the ‘innovations that’re happening behind-the scenes’ in crypto mining, pointing to her own state as an example. Lummis explained that Wyoming is an oil-and-gas producer and that a new well is not initially connected to a pipeline when it is drilled. With mobile mining platforms that are easily installed and operated near the source, Bitcoin miners help to use the gas.

“I would say that you shouldn’t view bitcoin mining as an energy-bad guy. The lawmaker stated that there are many things to support this conclusion. Cynthia Lummis noted that cryptocurrency mining has been a boon to the drilling industry, as it keeps carbon out of our atmosphere and allows us to create another product with it in the form bitcoin.

In the U.S., there is a race to attract crypto miners. Miami Mayor Francis Suarez has recently tried to attract companies that are moving to America. In another interview with CNBC Suarez stated that he wanted them to be there and highlighted the fact that their region is dependent on nuclear power, which is a source for clean, cheap electricity.

BBVA THROWS OPEN BITCOIN (BTC) TRADING FOR ITS PRIVATE BANKING CLIENTS IN SWITZERLAND

BBVA, among the important banks in Spain using a completely possessed franchise in Switzerland, has declared that bitcoin storage and trading could be available because of its personal banking customers in Switzerland.

It was established following an interval of 6 weeks of testing using a chosen group of consumers and after analyzing the system performance and reliability and receiving feedback from your consumers.

Alfonso Gómez, CEO of BBVA Switzerland, states “This slow roll-out has enabled BBVA Switzerland to check the agency’s operations, reinforce safety and, most importantly, detect there is an important desire for investors to get crypto-assets or digital resources as a means of simplifying their portfolios, regardless of their volatility and higher hazard”

The bank announced this new agency could be started on June 21 and could incorporate custody and trading services and this could be incorporated into the present banking system so the customers would have the ability to look at their holdings along with their performances like the way they could observe another asset classes. The bank also stated that this ceremony would start with bitcoin also it might be slowly expanded into other devices in that course of time.

While different nations grapple with how to best treat cryptocurrencies, together with China and the US authorities seeking to tighten their hands, Switzerland is among the few states which have well-defined laws for handling cryptos and these may be anticipated to be steady in the future too. This is why those services are launched in this nation, the lender said. Additionally, it added that the expansion of the service to other nations would rely on the requirement and on the regulation in these countries as well as the way the marketplace evolves later on.

Lately we watched Vaneck set its Bitcoin and Ethereum ETPs at Switzerland revealing how for additional financial companies too. Although bitcoin gifts as a speculative asset at this time , we’re seeing increasing interest from institutional and retail customers over the previous couple of months as well as the fall in their costs don’t appear to have dampened the excitement. Together with Switzerland providing a secure atmosphere for financial companies dealing with crypto, it’s merely a matter of time until we see an increasing number of banks and other businesses seeking to launch different advantage products revolving round bitcoin along with other cryptocurrencies.

Bitcoin’s biggest public holder gets $500m to buy more BTC; now looks to sell $1B in shares to buy further

The planet’s biggest public Bitcoin holder MicroStrategy has increased $500 million in bond sale — $100 million more than what it had anticipated — to buy more Bitcoins. The company on Monday said that it closed a $500 million offering of senior secured notes due 2028 while it quotes that the net profits from the purchase to be around $488 million, after deducting commissions and other expenditures. “MicroStrategy intends to use the net proceeds from the sale of these notes to acquire additional bitcoin,” the company said in a statement, underscoring the institutional interest in the world’s largest cryptocurrency despite current price correction.

“The round was oversubscribed to a sum of 1.5 billion. This reveals a great deal of curiosity among accredited investors, and we could see a lot more prudent by MicroStrategy in close future to acquire more Bitcoins. 34 publicly listed companies jointly own 186,421 Bitcoins values $7 Billion, along with the institutional adoption will increase more in long run. There’s a high likelihood that we could possibly see Apple and Facebook declare bitcoins acquisition in the near future,” Hitesh Malviya, crypto expert and Creator, itsblockchain.com told Financial Express Online.

Also read: Bitcoin’s Taproot update gets approval from crypto miners; to Increase transaction privacy, efficacy

Interestingly, the business is now seeking to sell up to $1 billion in common shares too, intended to improve its enormous Bitcoin holding. In its S-3 filing on Monday with the US Securities and Exchange Commission, MicroStrategy stated,”We intend to utilize the net proceeds from the sale of any class A common stock offered under this prospectus for general corporate purposes, including the purchase of bitcoin, unless otherwise indicated in the related prospectus supplement. We haven’t determined the amount of net profits to be used especially for any specific function. As a result, management will retain broad discretion over the allocation of the net proceeds of any offering”

MicroStrategy Launches”At the Market” Securities Offering for Flexibility to Sell Up to $1 billion of its Class A Common Stock Over Time $MSTRhttps://t.co/qouK8pFmBF

— Michael Saylor (@michael_saylor) June 14, 2021

As of Tuesday, the business possessed 92,079 Bitcoins worth $3.6 billion — the largest among public companies that have Bitcoin, according to statistics from BitcoinTreasuries.org. The company stated its existing bitcoins are being held with a newly formed subsidiary MacroStrategy LLC. Tesla (42,902 BTC), Galaxy Digital Holdings (16,400), Voyager Digital (12,260), along with Square (8,027) were other people Bitcoin holders in the top-five bracket)

“Smart money purchased the dip. In the current price consolidation, on chain data is mostly bullish, and I’ve discovered two or three large transactions by a number of the big accounts. 1 single consideration that I tracked, bought 12,000 bitcoins in the last few weeks at an average cost of $39,000,” additional Malviya. Bitcoin had dropped from over $64,000 price mark at April 14, 2021, to $31,800 at June 8, 2021, before selecting up to cross 40,000 level on Monday, according to data from CoinMarketCap.

Anthony Scaramucci says he accepts bitcoin’s volatility, sees upside as it challenges gold

Investors need to take the trajectory and degree of volatility at bitcoin since the electronic money becomes widely adopted worldwide, based on SkyBridge Capital’s Anthony Scaramucci.

Adhering to a run into a all-time high over $63,000 at April, the cost of bitcoin has quickly tumbled in a matter of months – at a stage even greater than halving from these prior highs. Nonetheless, it’s gained over 10% since the beginning of 2021. At 2:35 a.m. ET Wednesday, the purchase price of bitcoin was 33,744, based on data in Coin Metrics.

‘I shall point out this bitcoin remains on the calendar year, therefore it has really been a really good actress this year.,”’ Scaramucci informed CNBC’s’Capital Link’ on Tuesday.

Skybridge Capital has’roughly $500 million’ from bitcoin, based on Scaramucci, creator and co-managing partner in the company in addition to a CNBC contributor.

He explained bitcoin remains just in its first adoption phase and can be set to turn into a’replacement’ for gold, including:’We really enjoy the upside traits and will willingly take the volatility at bitcoin.’

The most significant cryptocurrency by market capitalization, based on CoinMarketCap, bitcoin can be viewed as a possible competitor to gold because a permanent store of value. At the moment, however, bitcoin’s cost has been exponentially more explosive than gold.

‘If you moved back into Amazon’s IPO back in 1997, then in the event that you held that inventory, $10,000 of the inventory on its own IPO is currently worth $24 million. However, you’d have exposed yourself to eight spans of time in which the inventory dropped at least 50 percent as it had been climbing, agreeing to Metcalfe’s law,”’ he explained.

Metcalfe’s law says that the value of a system is proportional to the square of its customers. Skybridge’s research division anticipates bitcoin consumers to attain billion by 2025, by the 125 million in present, Scaramucci explained.

‘Think about the telephone back at the early 1900s as folks began to purchase those telephones and relate to one another,’ he explained. ‘That is kind of what is occurring to bitcoin at the moment.’

‘I am really confident that we will be sitting here a couple of years from now and discussing the particular volatility, but being astonished in the upward trajectory of all bitcoin during the subsequent 24 months,”’ Scaramucci explained.

Tech Tent: Green Bitcoin and innovative engines

With this week’s Tech Tent we investigate if Bitcoin is moving green and in the event the jet engine company Rolls Royce can still innovate.

The important idea behind Bitcoin along with other cryptocurrencies is they are decentralised and no one is accountable for

However, this week a bunch of North American Bitcoin miners, together with the reinforcement of crypto-enthusiast Elon Musk, chose to take control.

But to be clear, the associates of this self-appointed Bitcoin Mining Council determined they’d behave to take care of a significant image problem for its cryptocurrency: its own energy usage.

As Tech Tent has reported, the practice of producing new coins and documenting trades uses as much power annually for a nation the size of Argentina.

That difficulty has witnessed China and Iran proceed to prohibit cryptocurrency mining, which has led to the wild swings at the Bitcoin cost seen lately.

Jaime Leverton, chief executive of Hut 8 Mining, among the members of this Bitcoin Mining Council, informs the programme the objective is to’offset the sound and some of the misinformation that is coming in the Bitcoin mining sector’.

She says that they wish to’form the story around the cryptocurrency business’s energy use’ to tackle concerns that the business isn’t environmentally friendly.

She states that Bitcoin mining gear – basically computers packaged with specialised chips – is becoming a great deal more efficient and estimates a study demonstrating 39 percent of the energy used in mining comes from renewable resources.

However, North America only accounts for a tiny percentage of mining, together with much of it occurring in China using power from coal-fired electricity channels.

Even if there’s a ban in China, Reuters is reporting that lots of miners intend to proceed to oil-rich Kazhakstan, using its abundant economical, energy.

The fund author Frances Coppola, a long-term believer of cryptocurrencies, concedes the North American miners are currently taking the environmental effect of their actions seriously. However she points out that a greener Bitcoin presents several issues.

‘Bitcoin, as it’s an add-on to present financial systems, really increases emissions – it is likely to raise emissions simply because it is present. And there are also things such as the ransomware dangers – offenders use Bitcoin to get ransomware needs,’ she explained.

While this new technology is interfering with its influence on the climate, a considerably older sector – air transportation – was under pressure to lower its carbon footprint for ages. Coupled with this, the impacts of the pandemic have had a devastating effect on the business’s finances.

But on a trip to the engine-maker Rolls Royce, based at the start of the previous century, we discovered a work force decided to innovate its way out of difficulty.

In its Derby plant, a huge new motor test facility opened this week, made for its new UltraFan motor that the firm says will’redefine renewable aviation’ – although it’s going to be the end of the decade until it moves into production.

Elsewhere, new technologies – from snake robots that permit keyhole operation on motors to augmented reality coaching programs so airline engineers do not need to go to Derby to upgrade their abilities – is helping to decrease costs.

However, the secret to a sustainable future for both the surroundings and Rolls Royce’s financing is information. Nowadays, every engine offered is packaged with sensors constantly sending information back to Derby for evaluation.

The organization’s chief digital officer, Stuart Hughes, states collecting that data is essential if motors must be stored from the atmosphere instead of at the repair shop so long as you can.

‘A number of our motors when they arrived off an aeroplane may take around 200 times to experience the repair store,’ he explains.

‘We utilize that information to decrease the amount of time an engine is inaccessible to the airline – information is absolutely crucial.’

Two quite different technologies, cryptocurrencies and aerospace, want to accommodate to a real-world universe.

However, what’s intriguing is how otherwise they’re appreciated by shareholders.

Rolls Royce, following significant cuts to its work force, nevertheless employs over 40,000 individuals, but the industry now places a value on the company of approximately $13bn (#9.2bn).

By comparison, the cryptocurrency market Coinbase – a new coming in the stock exchange – is valued at over $50bn.

However, as we’ve seen over recent markets may change their minds very quickly. It’s absolutely possible that the engine-maker will probably be worth more than the crypto market per year from today.

‘I have some bitcoin,’ says Dalio at crypto conference: ‘Personally, I’d rather have bitcoin than a bond’

Billionaire hedge-fund director Ray Dalio has shown that he possesses a few bitcoin, which makes the elite investor among the most recent conventional investors to announce possession in the planet’s hottest digital advantage.

The creator of Bridgewater Associates’s remarks suggests he could be gradually warming to bitcoin and cryptographic resources widely, which he’s previously expressed disbelief about.

‘Personally, I would rather have bitcoin compared to a bond,”’ Dalio told CoinDesk.

Authorities will wrestle with how to maintain control of their money and also the flow of cash and credit as cryptocurrencies compete as options across boundaries, based on Dalio, who proposed holding a diversified portfolio of crypto.

He explained of competing alternative monies.

Back in November, Dalio indicated he was skeptical about the usefulness of resources such as bitcoin BTCUSD, +10.32% and Ethereum ETHUSD, +20.03percent , the world’s No. two most notable crypto.

In a succession of tweets roughly six months before, Dalio introduced what he described as his’easy’ issues with bitcoin, such as his perspective the electronic advantage is too volatile and is not’very good as a medium of trade’ or a store of value.

Dalio did not say during the new CoinDesk interview just how much he possesses in bitcoin. Additionally, it might be possible that his investment is merely a means for him to understand an advantage he has criticized before.

However, his current remarks do indicate he is becoming less stridently opposed to bitcoin and its ilk.

Before this month, Dalio appeared a bullish tone to get crypto assets, stating that the largest hazard was’its achievement.’ He explained this notion for bitcoin throughout the CoinDesk interview also stated the ideal cryptocurrency for people might not be the best ones for authorities.

Dalio, a dominant figure in the realm of finance, has a networth of $20.3 billion, based on Forbes.