Today in #Bitcoin (2017-07-12) - Segwit2x, Bitcoin Falls and the Willy Bot is real

For those who haven’t heard yet, CoinDesk is a subsidiary of Digital Currency Group, which acted as organizer for the SegWit2x proposal and has an ownership stake in Coinbase and BitPay.

They’ve also got a brand new article explaining Segwit2x…. The basics as they say are simple:

It was not put forward by, nor has it been endorsed by, Bitcoin Core, the network's main open-source developer team.

Seems like a big problem to me. They’re also creating the code on a very short timeline, which could lead to bugs or bad code.

However the article seems to believe there’s no reason to worry because

Nearly all Bitcoin Core developers responsible for maintaining the software oppose the plan.

According to Coinbase, Supporters of Segwit2x include:

Most of the network's larger mining pools
Bitcoin startups like Coinbase, BitPay and Blockchain
Notable developers, including former lead maintainer of Bitcoin Core, Gavin Andresen.

While others oppose the plan, including:

A few businesses (including Bitrated and Bitonic)
Many node operators and bitcoin users
Nearly all Bitcoin Core developers responsible for maintaining the software.

This is a major decision point for CONTROL of Bitcoin going forward. Do you want a Bitcoin that is developed in a top down style like a corporation or do you like a Bitcoin that is developed bottom up like a science project.

Science projects take time and patience. The results don’t always fit your goals, so it might not be the best for your particular business. Problem with the alternative clearly rest in influence. Once a corporation controls Bitcoin they’ll have no choice but to twist Bitcoin for their own ends. If their business depends on high transaction volume, suddenly the incentives of Bitcoin do as well.

The development of Bitcoin has been compared to repairing an airplane while it’s in flight. So far the cautious and meticulous nature of the core team has prevented any major bitcoin catastrophe. So far.

Meanwhile we’ve got fresh developments from the Mt. Gox trial, where disgraced CEO Mark Karpeles has now admitted that they created the so called “Willy bot”, which with the help of it’s friend Markus drove the price of Bitcoin to above $1200, perhaps in an attempt to save the exchange which was allegedly operating on a fractional reserve after a hack. During the trial, Karpeles explained that he created the Bot as an “obligation exchange” and that because it was good for the company, it was perfectly legal…. Story developing.

The price of Bitcoin is down quite a bit since last month’s all time high and now that Bitcoin is bigtime, our good friend, the Mainstream media was there to report on every price move an action saying that:

Bitcoin falls to near one-month low with $12 billion wiped off value since record high 30 days ago [TRUE]

The bitcoin price hit a near one-month low on Wednesday of $2,272.32. [also true]

Bitcoin's market capitalization is off around $12.2 billion since it's all-time high of $3,025.47 on June 11. [Factual]

Traders have cited the big rally and profit taking as well as the ongoing "scaling debate" as reasons for the bitcoin pullback. [Great summary. Now why would anyone read the article?]

While today, The price of Bitcoin was down 3.89% in the last 24 hours, with a last of 2335, a high of 2358 and a low of 2240.

Thank you for watching. Be sure to Like, Comment and Subscribe.

Today is Wednesday July 12, 2017

My name is Thomas Hunt

And that’s what happened, Today in Bitcoin…

LINKS:

Explainer: What Is SegWit2x and What Does It Mean for Bitcoin?
http://www.coindesk.com/explainer-what-is-segwit2x-and-what-does-it-mean-for-bitcoin/

Mt. Gox Trial Update: Karpeles Admits ‘Willy Bot’ Existence
https://cointelegraph.com/news/mt-gox-trial-update-karpeles-admits-willy-bot-existence

Bitcoin falls to near one-month low with $12 billion wiped off value since record high 30 days ago
http://www.cnbc.com/2017/07/12/bitcoin-falls-to-near-one-month-low-amid-bubble-concern-scaling-debate.html