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Italian bitcoin enthusiasts gathered at the Chamber of Deputies, the lower house of the Italian parliament, in Rome on Wednesday with the aim of informing Italian lawmakers about the economic benefits of bitcoin.The 11th June event, organised by bitcoin consultancy Coin Capital, featured participation from parliament member Stefano Quintarelli and Senate Vice President of the Treasury and Finance Committee Francesco Molinari, as well as representatives from Italy’s academic and banking sectors.Coin Capital told CoinDesk that the first two hours saw its partners Sebastiano Scròfina and Guido Baroncini, University of Rome ‘Tor Vergata’ telecommunications professor Francesco Vatalaro and investment bank Banca IMI’s Ferdinando Ametrano introducing block chain technology and its monetary applications.At the event, Bit-Wallet also unveiled the country’s first domestically produced bitcoin ATM. Turricchia characterized the remainder of the day’s events, stating:“Risk and opportunity were clearly disclosed in a neutral way. In the second part, [a representative moderated a] discussion between politicians, institutions and business, and [many questions were asked by these participants].”The events come in the wake of the Central Bank of Italy’s May warning that domestic investors should avoid buying, investing in or using bitcoin as a currency due to price volatility and the lack of consumer protection laws to protect consumers.A second, non-affiliated event, organized by digital payment advocacy group CashlessWay, is set to take place on 26th June. Speakers will include bitcoin banking provider Robocoin CEO Jordan Kelly and parliament member Sergio Boccadutri, who presented a proposal for regulating bitcoin under existing Italian law in January.Robocoin indicated it is looking forward to the event as a way to help educate an influential government about the nascent technology, stating:“Italy is full of cultural tastemakers and has a rich history in banking and finance. These all support Robocoin’s goal of helping proliferate bitcoin.”For more information on the 11th June event, visit Coin Capital’s website. Photos by G. Baroncini Turricchia Coin CapitalEuropegovernmentItalyregulationRobocoin
Original author: Pete Rizzo

Japanese Diet upper house
Japan’s ruling political party has announced that it is against regulating bitcoin for the time being.The Liberal Democratic Party (LDP) made the statement as an interim measure, but the final decision will be made after hearing “more opinions” on the matter, said LDP lawmaker Takuya Hirai.“Basically, we concluded that we will, for now, avoid a move towards legal regulation,” Hirai told Reuters.Following the highly publicised collapse of bitcoin exchange Mt. Gox, Japanese authorities found themselves in the world’s media spotlight.The exchange was incorporated in Japan and several politicians were quick to call for bitcoin regulation. There was no shortage of opposition, however.Senior Finance Minister Jiro Aichi called for an international effort on bitcoin regulation in late February. Japan’s regulators argued that international collaboration is necessary due to the global nature of digital currencies, which easily transcend various jurisdictions and can be used to exploit loopholes in international law.The Liberal Democratic Party launched an investigative committee into bitcoin in March, issuing a statement saying that bitcoin is not a currency, but stressing that the digital currency is still taxable. Japan started looking into ways of taxing bitcoin in the weeks following the Mt. Gox collapse.So far none of the efforts have resulted in new legislation and judging by Hirai’s latest statement, Japan is not in a rush to regulate bitcoin.AsiaJapanregulation
Original author: Nermin Hajdarbegovic

bernie han, dish
US-based subscription satellite TV provider DISH became the world’s largest company to accept bitcoin late last month, boasting 14 million subscribers, nearly $14bn in annual revenue and a $27bn market capitalization.Overnight, DISH reaped the rewards of its forward-thinking initiative in the media, scoring high-profile promotions in financial publications such as Reuters and The Wall Street Journal along with more general-interest national news outlets such as NBC and ABC.However, while the press response to the news was strong, DISH’s executive vice president and chief operating officer Bernie Han told CoinDesk in a new interview that the decision to take a chance on bitcoin was not the product of its marketing department.Rather, bitcoin payments were an employee-led initiative, Han said:“We had some employees at DISH who are bitcoin enthusiasts, and they brought this idea up. We’re one of the best companies for customer service already today, and we know one of the reasons for that is we like to offer choice and convenience for our customers, when it comes to programming, technology and how they pay for their bills.”Formerly the CFO of US Airways, Han told CoinDesk that DISH’s confidence in the merchant processing service offered by Coinbase – which allows it to receive fiat currency for bitcoin payments – was integral to the company’s announcement.Han added: “Having that was an enormous benefit. If we didn’t have that, we’d be unlikely to be in the space today”.DISH also indicated that its decision to delay bitcoin payments until its third-quarter launch was not a reflection of any issues or complications with the integration process, as suggested by commentators.“At a big company like ours,” Han said, “everything touches our billing system, and there’s literally hundreds of projects happening every quarter.”Listening to its employeesThe news that employees played a role in this process is notable, given that the Colorado-based company was voted the worst company to work for in America for two years in a row and, most recently, in 2013.Still, Han’s comments suggest that DISH is putting increased emphasis on speaking with its employees, adding that the initiative “came from the ranks” and was eventually assessed by upper management.Han further suggested that acting on suggestions from employees was simply a practical response, explaining:“We’re always trying to balance the attractiveness of ideas against the degree of difficulty of implementation and the constrained resources we have to implement literally hundreds of projects every quarter. When we did that assessment [...] we saw the implementation risk as very manageable and the resources as something we were willing to consume.”Bitcoin vs recurring billingMuch has also been made of DISH’s decision to accept bitcoin given that it is a subscription service that would seemingly prefer recurring billing options. Bitcoin payments are pushed by the consumer to the company, rather than pulled automatically as in recurring credit card billing options.However, Han stated that recurring billing isn’t as easy and advantageous as observers may assume. He noted that accepting payment via this method brings its own kind of added responsibilities and costs.For example, Han said that recurring billing does impart a rather large cost on DISH in the form of the security steps it must take:“You have to collect account numbers and store account numbers. Suddenly you’re holding customer information and security becomes a much bigger issue when that’s the case.”Han hinted that DISH may seek out more advanced bitcoin auto-payment services, should they become available, but that they aren’t actively looking at such options at this time.For now, bitcoin customers will be prompted monthly via email to make their payments, a service that Han said is used widely even by those who favor traditional payment options.Why Coinbase was keyAs a purely US-focused company, DISH wasn’t equipped to handle any currencies outside of the dollar. According to Han, this made Coinbase’s bitcoin-to-fiat conversion service a key incentive for starting to accept the digital currency.Should DISH have needed to handle its own currency conversion, Han said, the attractiveness of bitcoin payments given the extent of its operations would have likely dissipated:“While it might make sense down the road, it would’ve opened up a lot of questions and uncertainties which we weren’t willing at that time to address.”Current state of the projectOnce DISH decided to investigate bitcoin payments, it still need to perform a cost assessment of the initiative. This included documenting any requirements, assessing the difficulty of those requirements and revising and refining this list of necessities until a final decision could be made.DISH assessed the internal systems bitcoin payments will interact with, and now approved, the initiative will head to the company’s development team.Han said:“Ultimately, they write the code that’s needed to develop those things. The integration between us and Coinbase is development work.”Until the time this work is completed, however, US bitcoin enthusiasts will need to wait patiently to take advantage of DISH pay-TV service, and further demonstrate the benefits that bitcoin businesses in the ecosystem can gain.Image via DISHCoinbasedishmerchants
Original author: Pete Rizzo

shave
British grooming brand King of Shaves has started accepting bitcoin payments in a marketing push backed by a few clever puns, including the hashtag ‘#cuttingedge’.The company is a relatively small player in a big industry, which has been dominated by Gillette and Schick (Wilkinson Sword) for decades.Carving out a small niche in a multibillion dollar duopoly is never easy, so King of Shaves tends to employ clever marketing tactics, ranging from sponsorship deals with athletes and powerboat racers through savings bonds dubbed ‘shaving bonds’ to its über-cool URL: www.shave.com.Now the company is accepting bitcoin through BitPay, according to a tweet sent out earlier today.We now accept bitcoin at http://t.co/1WcWt3ziXC :-) #cuttingedge #cryptocurrency via @BitPay /@iAmWilliAmKing :-))) pic.twitter.com/NdLvjTiTRM— King of Shaves (@KingofShaves) June 18, 2014It seems it’s always pun time with King of Shaves. The company’s CEO is Will King, which explains the @iAmWilliAmKing handle – a likely swipe at rapper and serial entrepreneur will.i.am, who was last seen promoting a 3D Systems printer that gobbles up PET bottles as filament.Accepting bitcoin is not just a way of shaving transaction fees, it is clearly yet another clever publicity stunt from the small Buckinghamshire outfit. Since we don’t want to get into an unwinnable pun war with King of Shaves, we’ll leave it at that.Shaving man image via ShutterstockKing of Shaveslifestyle
Original author: Nermin Hajdarbegovic

bowl bitpay
Merchant bitcoin payments processor BitPay has announced that it will sponsor the St. Petersburg Bowl, an annual college postseason football game sanctioned by the National Collegiate Athletic Association (NCAA), through 2016.This year’s game will kick off at Tropicana Field, home of Major League Baseball’s Tampa Bay Rays, on 26th December under a new name. The bowl was previously sponsored by chain restaurant Beef ‘O’ Brady’s and USB provider magicJack.Thanks to BitPay sponsorship, however, the bowl will now be known as the Bitcoin St. Petersburg Bowl. BitPay hopes the sponsorship will raise awareness by promoting bitcoin to a much wider, mainstream audience.Executive chairman Tony Gallippi explained:“Our goal is to continue to move bitcoin into the mainstream and sponsoring the St. Petersburg Bowl offers us that opportunity. College football fans and the bitcoin community represent a similar target demographic – tech-savvy men between the ages of 18 and 40 [years old].”Brett Dulaney, executive director of the Bitcoin St. Petersburg Bowl, welcomed BitPay to the world of college football and one of its venues, St. Petersburg.The game will air on ESPN, a sports-centric US television network that reaches nearly 100 million American households.More detailsIn addition to a new prefix for the bowl, the event itself will become bitcoin friendly, too. ESPN Events says tickets for the 2014 Bitcoin St. Petersburg Bowl will go on sale later this year, with prices starting at $40.However, this time around fans will be able to purchase tickets and merchandise in bitcoin.It is not yet clear what types of merchandise will be available or whether this promotion will extend to in-stadium purchases for food and beverages, though more details are likely forthcoming.Bitcoin in sportsBitcoin has intrinsic properties that can make it a viable alternative payment method at sports arenas and other entertainment venues, and major professional teams are taking note.Earlier this year, the San Jose Earthquakes soccer club started accepting bitcoin at its stadium box office, gift store and concession stands. Earthquakes President Dave Kaval told CoinDesk that the team decided to embrace bitcoin thanks to the relative proximity of Silicon Valley and its strong association with the digital currency. He also explained why bitcoin is a good choice for sports venues.Additionally, the Sacramento Kings became the first NBA team to accept bitcoin back in January. Like the Quakes they also cited the close proximity of Silicon Valley as one of the reasons behind the decision.Disclaimer: CoinDesk founder Shakil Khan is an investor in BitPayImage via BitPayBitPaySportUSA
Original author: Nermin Hajdarbegovic

email-inbox
A list of potential buyers for almost 30,000 bitcoins confiscated from the now-defunct Silk Road black marketplace has been leaked via email by the US Marshals Service (USMS).The original intent of the email was to inform interested parties about an updated FAQ related to the bitcoin auction. The USMS staffer who sent the email allegedly inadvertently CC’ed the list rather than BCC’ed, making the names viewable for all recipients.The list details a diverse group of possible bidders representing members of the bitcoin community and the investment world, as well as varied private citizens.The list of names includes:Daniel Folkinshteyn, assistant professor at Rowan UniversityBarry Silbert, CEO for SecondMarketLuther Lowe, director of public policy for YelpMalcolm Oluwasanmi, chairperson of Little Phoenix Investment GroupFabrice Evangelista, quantitative arbitrage at BNP ParibasMichal Handerhanm, co-founder and COO of Bitcoin ShopDave Goel, managing general partner of Matrix Capital ManagementDinuka Samarasinghe, investment professionalChris DeMuth Jr., Wrangeley CapitalFred Ehrsam, co-founder, CoinbaseJonathan Disner, corporate counsel at DRW Trading GroupWilliam Brindise, head investment manager at DigitalBTCMichael Moro, director at SecondMarketJennifer R. Jacoby, lawyer at WilmerHaleSam Lee, co-founder, Bitcoins ReserveAvarus CorporationAdditional emails from the USMS provided to CoinDesk state that the names are only those who have expressed interest in the auction.The email, allegedly from the US government, explains:“One of the emails that we sent out this morning inadvertently showed a list of some of the individuals who have asked a question or questions about the pending bitcoin auction. We apologize for the error.”Notably, the email address which sent the original message to potential buyers was the same the USMS required bidders to use when sending information to be considered.$18m in bitcoin at stakeThe USMS is hoping to sell the Silk Road bitcoins, which are currently worth around $18m, in nine separate blocks. According to the government agency, there are strict guidelines that must be adhered to in order for potential buyers to be entered into the auction.Those interested in purchasing some of the confiscated Silk Road bitcoins have until 23rd June to submit information to the USMS. The auction itself will take place on 27th June, with bidders being notified of the results sometime on 30th June, the agency has said.Some organizations and investors who have previously expressed interest in buying the bitcoins were not represented on the leaked list. This suggests that the leaked list only represents some of the bidders, meaning that others are in contention for the 29,656.5 BTC.Silk Road saga continuesThe auction is set to take place months after the US government first began investigating Silk Road and its alleged mastermind, Ross Ulbricht. The roughly 30,000 bitcoins were taken from the site’s master wallet, with the USMS announcing last week that the bitcoins would be up for grabs during several rounds of bidding.The US government first announced its intent to sell the bitcoins this January, a decision which caused a strong price reaction from bitcoin investors.Notably, the 30,000 BTC total does not include the estimated 140,000 BTC belonging to alleged Silk Road leader Ross Ulbricht, who has sued to contest the sale of these assets.The US Marshals Service has been contacted to verify the emails, but at press time, has not responded.Additional reporting provided by Stan Higgins, Emily Spaven, Grace Caffyn and Pete Rizzo.Bitcoin auctionSilk RoadUS Marshals Service
Original author: Joon Ian Wong

sweden, regulation
Sveriges Riksbank, Sweden’s central bank, has published a brief economic commentary on the impact of digital currencies on the retail payments market.The document outlines the basics behind digital currencies and focuses on bitcoin, but it also mentions some altcoins such as litecoin and dogecoin.Aside from a relatively basic introduction to digital currencies and background information for novices, the document also sheds light on the state of bitcoin in Sweden and the bank’s attitude towards bitcoin and other cryptocurrencies.Take-up remains limitedThe Sveriges Riksbank report found that the use of digital currencies in Sweden remains very limited. The authors point out that it is particularly difficult to obtain accurate information on the use of digital currencies in different countries, hence most analyses are usually limited to the total issue value and global usage.The report tries to isolate Sweden and examine transactions limited to Swedish krona (SEK) exchanges. Even so, the data may not be complete, as it only deals with transactions involving SEK.“On average, around 212 bitcoins per day were converted to or from SEK during the period December 2012 to May 2014 at an average value of just over SEK 266,000. However, the daily value varied substantially, between SEK 2,500 and SEK 2.5 million, depending on the exchange rate and the number of bitcoins exchanged,” the report notes.The authors caution that the statistics are incomplete, as there is no data on transactions between private persons and other movements of funds that could be relevant. Therefore, they concede, the exchange statistics may underestimate the use of bitcoin in Sweden.However, the report concludes that the values involved in cryptocurrency transactions pale in comparison to traditional transactions. This is how bitcoin stacks up:“Households make daily payments using cards and cash totalling 8 million in volume and to a total value of over SEK 3 billion. Even if the use of bitcoin in Sweden were to be much larger than the average exchange value of just over SEK 266,000, this is a relatively low value in relation to other types of payment. At present, there only seem to be around 25 swedish companies accepting Bitcoin.”Risky but innovativeAlthough the report contains the usual set of caveats found in most central bank statements involving digital currencies, it also includes some relatively positive commentary.The report states that digital currencies are one of many innovations in the Swedish payments market and like other innovations, digital currency is essentially positive:“It can contribute to meeting new payment needs and to making payments cheaper and more secure. Those who choose to use a particular payment service can be expected to do so because it gives them an added value in relation to other payment services. This also applies to virtual currencies, which can for instance make some cross-border payments simpler, faster and cheaper. Another advantage is if the payer does not need to share sensitive information, such as card number or bank account number, with the payee.”Cryptocurrencies may also be better suited for micropayments made via websites, the report further notes.Disadvantages associated with digital currency platforms include lack of clear regulation, lack of consumer protection regulation, volatility, security risks and the risk of using digital currencies for illicit transactions.The report concludes that the impact of any innovation depends on how much it is used. The use of digital currencies is “very limited” both in terms of the number of users, the number of transactions and the value involved in said transactions.Therefore both the positive and negative effects of digital currencies on the payment market in Sweden are currently negligible.Sveriges RiksbankSweden
Original author: Nermin Hajdarbegovic

british one pound sterling coin
The Institute of Economic Affairs (IEA) has today released a report stating that the UK should privatise the pound and replace it with cryptocurrencies.Founded in 1955, the London institute was described as the “most influential thinktank” in modern British history by journalist Andrew Marr. Its impact on public policy should not be underestimated.The institute believes bitcoin will “open the floodgates to a tidal wave of private money,” but points out that digital currencies are quite a bit different than previous examples of private money. For example, due to its decentralised nature bitcoin cannot be easily shut down, so the institute thinks it is here to stay.A bit-part player?In the institute’s report, titled ‘New Private Monies – A Bit-Part Player?’ professor Kevin Down argues that the innovation behind non-conventional types of money, including digital currencies like bitcoin, has been fuelled by “mounting restrictions on financial freedom.”Dowd believes states must allow a “level playing field” for private money and stop stifling competition between state-backed and private currencies. Central banks should welcome competition, as it will force them to offer greater choice and improved quality, argues Dowd, adding:“A weakened ability to store value, growing restrictions on finance, oppressive taxes and a lack of financial privacy have resulted in growing frustration at state controlled money. The superior nature of private currencies combined with the financial freedom they offer has led to their increasing attraction.”Dowd believes governments should stop favouring their own or any currency in particular and refrain from imposing regulations. He explained his pro-privatisation position in an interview with The Guardian:“The natural analogy is with some of the old, bad, monopolies like British Gas or British Telecom. Telecom is a very good example: for a long time, we had a government monopoly, which stifled innovation, and the service was poor. Once that got opened up, competition opened, new innovation prospered, and we got all sorts of innovation that we couldn’t possibly anticipate, and we’re a lot better off for it.”Four factors behind bitcoin’s successShould the UK, or any other country, decide to ‘privatise’ its national currency and embrace competition from private monies, Dowd believes these new forms of money will by cryptocurrencies.Although Dowd talks about bitcoin, he believes bitcoin is unlikely to replace the pound. The way it is designed, bitcoin is prone to bubble-bust cycles, hence Dowd expects it to fail in the long run.However, the professor sees a silver lining: he expects bitcoin to be displaced by superior and more imaginative forms exchange.Dowd outlines four reasons for bitcoin’s success:Low transaction costs associated with bitcoinSelf-regulating nature of the bitcoin market, no sweeping regulation imposed by central banksHigh level of anonymity (or pseudo-anonymity) in an age when financial freedom is being eroded by governmentsNovelty factor – bitcoin can be used to facilitate trade in activities prohibited by the stateDowd believes the market for private monies will continue to thrive as long as states try to restrict and prohibit various forms of commerce. Assaults on personal freedoms make alternative currencies and private money more attractive to wider circles of people.Mark Littlewood, Director General at the Institute of Economic Affairs, thinks that a decision to embrace private monies rather than suppress them would have profound implications on personal freedom. He added:“Bitcoin has proved widely successful as an alternative form of exchange and as way of restoring financial freedom. It is just the beginning however. Fierce demand for private money will drive innovation, creating a tidal wave of new and superior forms of exchange.”Institute of Economic AffairsUK
Original author: Nermin Hajdarbegovic
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