State Bank of Mauritius Launches Lending Pilot With Blockchain Startup

A commercial bank in Mauritius has inked a deal with blockchain lending startup SALT to test the use of digital assets as collateral for loans.

The "exploratory" deal between the State Bank of Mauritius (SBM) and SALT, which offers a platform allowing users to borrow against their cryptocurrency holdings, will see the bank testing that specific application.

The development represents the latest step in a wider effort to make Mauritius – an island nation in the Indian Ocean with an estimated population of 1.2 million people – a hub for blockchain startups. That goal, advanced by local officials this past spring, was echoed in statements from the bank.

K.C. Li Kwong Wing, chairman of the SBM Group, said of the partnership:

"This relationship will go a long way toward achieving our nation's goal of becoming a hub for outstanding blockchain companies and fostering financial inclusion."

Notably, the chairman indicated that the bank was interested in potentially forming part of the startup's lending services, which could see SBM providing financing for the platform. That said, discussions on that particular point appear to be in the early stages.

"We are keen to explore providing banking services to this innovative company," he said.

As part of the Mauritian government's plans to develop the island as a blockchain center, representatives from ethereum startup ConsenSys visited the nation over the summer to meet with members of both the public and private sector. The ultimate aim of the exploratory talks was to create a so-called "Ethereum Island" to assist blockchain innovators seeking to branch out into Africa, Asia and elsewhere.

Source : CoinDesk

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Slovenia Prepare to Become A Destination in Europe For Leading Blockchain Technology

The government of Slovenia has announced that it aims to position the country as the leading destination of Blockchain technology in the European Union (EU). The government is also studying the potential applications of the technology in public administration.

In his speech at the Digital Slovenia 2020 event in mid-October 2017, Prime Minister Miro Cerar stated that the country’s regulatory agencies and ministries are already studying the technology and its potential applications.

"The regulatory bodies and ministries are already studying Blockchain, and the state is participating in activities at European level in the area of the introduction and regulation of this technology. We are also already laying the foundations for the initial pilot testing of the technology in the state administration."

• Other Blockchain developments in Slovenia

On October 3, the Slovenian government launched the Blockchain Think Tank as part of the Slovenian Digital Coalition.

The think tank will serve as a point-of-contact between Blockchain developers, industry players, and the government. It will also coordinate the creation of various educational materials on Blockchain with different companies and assist in the drafting of new regulations around the technology.

In his speech, Cerar claimed that the government is extending its full support behind the technology.

"Slovenia as a whole is, therefore, setting itself up as a Blockchain-friendly destination, and to that end it is establishing the pillars of a national Blockchain ecosystem in the area of the transfer and spread of information, the adoption of legal regulations and the promotion of a supportive environment for the development of companies working in the area of Blockchain technology.”

Meanwhile, the Slovenian Financial Stability Board has issued a warning to Slovenians advising them to exercise caution when investing in initial coin offerings (ICO) and digital currencies due to the absence of regulations covering them.

Source : Cointekegraph

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Race towards the First “Crypto-Country” in the World

The small European country of Estonia aims to become the first crypto-country in the world. The country is already in the midst of digitizing its government services using Blockchain technology, the tech behind digital currencies like Bitcoin.

The Estonian government’s digitization project reached a whole new level in 2014, with the government’s e-residency program. Under the initiative, any individual around the world can file an online application to become a virtual Estonian citizen. As a digital citizen, he/she can access the same online platforms that Estonia’s physical economy is based on, and the same online public services that domestic Estonians use.

The adoption of Blockchain has also allowed Estonia to introduce an online voting system during national elections. However, only physical residents are allowed to vote under the system. The country is also involved in various public services projects that are powered by Blockchain, including health services, and originally planned for its own digital currency.

Other Blockchain developments worldwide

Aside from Estonia, various countries around the world are also adopting Blockchain in public-sector applications, with the latest EU country vying for the same position being Slovenia.

In the UK, the government is currently piloting a Blockchain-based system for the payment of health benefits claimants. In Russia, Vitalik Buterin has signed a deal with a Russian state-owned bank for the creation of a special national system called Ethereum Russia.

The government of China, meanwhile, has developed a prototype of a prospective national cryptocurrency in the country since June 2017. By September, China decided to better regulate ICOs by banning them and eventually considering licensing options down the line.

In her report, Georgetown University cyber-lawyer, Dr. Clare Sullivan, claimed that the government of Australia is studying ways to replace its separate passport and birth certificate databases with a single Blockchain-based system.

“It is not necessarily cybersecurity concerns that have prevented the increased digitization of government services up to this point, though Blockchain is indeed much more secure than existing systems. Rather, it has been the importance of ‘know-your-customer’ protocols — the need for governments, banks, and other institutions to verify individuals’ identities using physical ID documents and in-person interactions.”

Source : Cointekegraph 

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New Gibraltar Project To Regulate Blockchain Startups

Gibraltar's Financial Services Commission has published a draft of its upcoming regulatory framework for firms offering blockchain services.

Planned to come into effect from January 2018, the new rules will cover any commercial use of distributed ledger technology (DLT) as a means to store and transmit value. While this would include cryptocurrency exchanges, the word "value" is also defined as including "assets, holdings, or other forms of ownership, rights or interests." Investment services (and other controlled financial offerings) connected to the tech would be covered as well.

Under the framework, DLT service providers will be granted a working license, providing they conform to some regulatory principles.

As defined by the paper, these principles include honesty, integrity, the protection of customer assets and maintaining a high degree of cybersecurity. And once the rulings are accepted by Gibraltar's legislature, the British Overseas Territory will be among the few jurisdictions worldwide to offer a fully regulated framework for firms working with blockchain.

Speaking to the Gibraltar Chronicle, minister of commerce Albert Isola said that this was typical of the countries determination to facilitate innovation while maintain a strong regulatory presence. He said: "We have done this before and will do so again."

Samantha Barrass, chief executive of the Gibraltar Financial Services Commission, said:

"This regulatory framework demonstrates that regulators can keep up to date with technology without stifling innovation, protect consumers and create a well-regulated safe environment in which financial technology can flourish."

Earlier this year, the country's primary securities exchange, the Gibraltar Stock Exchange (GSE), revealed a plan to integrate blockchain into its trading and settlement systems.

And, last month, the Gibraltar Financial Services Commission issued an investor warning on initial coin offerings (ICOs). The risks contained in ICO investments led authorities to consider a complimentary framework for token sales on a DLT, according to the statement.

Today's draft made no direct mention of the blockchain use case.

Source : CoinDesk

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Europe Will Have a Big Boost With The Regulated Cryptocurrency Betting

Regulated cryptocurrency gambling is about open up across a large swathe of Europe.

Announced today, major eSports platform Unikrn has been awarded a gambling license in Malta, a move that will open up its platform to real-money wagering via its UnikoinGold crypto token.

UnikoinGold – which is based on the ERC-20 ethereum standard and is currently being distributed via a token sale or ICO – is being deployed as a medium for real-money wagering in licensed jurisdictions. And, with the Malta licensure, that will mean 80 percent of the European continent.

According to Rahul Sood, chief executive of Unikrn:

"The European expansion means there’s going to be a large and soon-growing marketplace of users, including the real-money transition of already established users, who want to buy, exchange and use our token to bet on our platform."

And Sood isn't wrong.

The company formed Unikrn EU through a joint venture with RBP, a leading online gambling platform in France boasting over 300,000 registered users and 1 million unique monthly visitors.

Further, eSports – video games played competitively for both online and in-person audiences – are surging in popularity with young people, and are widely considered to be the fastest growing "sport" in the world. Market research firm Newzoo estimates that global eSports revenues for 2017 will top $696 million – a 41 percent year-over-year jump – with that figure predicted to reach $1.5 billion by 2020.

Unikrn has won the backing of high-profile investors like Mark Cuban, Ashton Kutcher and Elisabeth Murdoch.

Token benefits

Until now, Unikrn had only offered real-money betting in Australia and the United Kingdom – the only two nations where it held gambling licenses. It offered free betting in other jurisdictions on popular first-person shooter and multiplayer battle arena video games such as Counterstrike: Global Offensive, League of Legends and Dota 2.

This was all done through its older free Unikoin tokens, but these are now being retired thanks to the introduction of UnikoinGold and its ICO (now reaching its close).

The Malta licensure and rollout of the UnikoinGold token are critical steps toward migrating the company's free-play bettor base to real money, as well as broadening the number of non-betting related uses that a token owner can derive from holding them.

Another free token, UnikoinSilver, will be launched to keep players in non-licensed areas engaged, though these tokens can't be traded on secondary markets.

For Sood, the decision to transition away from the strictly free-play token was straightforward, particularly as his team had proved the concept of a tokenized scheme for building its global community when it released the original Unikoin two years ago.

Sood told :

“We couldn't have fathomed how popular they'd be. We turned over more than a quarter billion of them in under two years."

Youth appeal

Part of the new token's appeal is that participants, whether gamers or spectators, don't necessarily need to wager to earn tokens.

For example, tokens can be earned by playing in a tournament or by just watching a match online or in person.

Sood explained: "Earning, using and utilizing UnikoinGold is not going to be restricted by region, and we think the more fans that are able to get it, the more uses we can give it. The more uses we give it, the more people will want it, and that drives a ton of potential into our platform."

Both the betting and non-betting appeal of eSports has sparked great interest among the global gambling industry, as well as Las Vegas casinos, all of which are desperately seeking ways to appeal to younger audiences (seven separate panel sessions were held on the topic at last week's Global Gaming Expo in Las Vegas last week, for example).

"Walk through any slot floor and you will see more walkers and wheelchairs than at a Jimmy Buffet concert in a retirement home," Sood said of the industry's demographic struggles.

But the only way to bring about this revolution in gambling, according to Sood, is to play by the rules.

The Malta licensure, he argued, highlights the company's commitment to providing its customers a safe, legal and regulated ecosystem that is underpinned by the token. And, notably, Malta is seeking to become a global leader in legal and regulated cryptocurrency gambling.

The key difference between UnikoinGold and other "gambling tokens" is that most others simply serve as little more than a "shortsighted" means of placing a bet, Sood said, adding:

"Many companies are doing ICOs for all the wrong reasons. They believe that by using crypto they can skirt gambling regulation, which is wrong. We think it will eventually catch up to them, and anybody holding their tokens."

Source: Coindesk

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A new Blockchain Data Privacy Pilot Unveiled By The UK Central Bank

The Bank of England, the UK's central bank, has added yet another blockchain proof-of-concept (PoC) to its growing fintech accelerator program.

The institution is working with blockchain startup Chain on a data privacy pilot, according to a new announcement. The project is one of four unveiled today, all of which focus on financial information processing.

Bank of England officials have been working with a number of startups and companies on blockchain applications through its accelerator since it launched late last year. Among those were a real-time gross settlement (RTGS) trial involving technology developed by Ripple, as well as an asset exchange pilot involving PwC.

In a speech to fintech firms in Cambridge this morning, Andrew Hauser, the central bank's executive director for banking, payments and financial resilience, highlighted additional details about the new pilot.

"The PoC will examine the extent to which [distributed ledger technology] based systems can be configured to enable privacy amongst participants, whilst keeping data on a shared ledger: one of the holy grails of DLT design," he told event attendees.

The UK central bank first voiced its interest in a blockchain data privacy pilot in April. At the time, Bank of England governor Mark Carney said that the institution wanted to explore "maintaining privacy in a distributed ledger."

The Bank of England is exploring multiple applications of the tech, including its use as a basis for a central bank-issued digital currency – an area that a number of central banks worldwide are also researching.


Source: Coindesk

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The Switzerland's Lucerne University Accept Bitcoin

Switzerland's Lucerne University of Applied Sciences and Arts is now accepting bitcoin.

The public institution is taking the cryptocurrency as payment for student-related bills through a partnership with Bitcoin Suisse AG. As might be expected, the university itself won't handle the bitcoin – rather, the brokerage firm will exchange incoming payments into Swiss francs on a weekly basis, according to an announcement.

"Bitcoin Suisse AG will bear the risk of any exchange rate losses and currency fluctuations," the university notes.

Immediate adoption by most students is not expected, however. Only those who are savvy about finance or are interested in pursuing an education in this area are expected to choose the payment method, the release indicates.

The move makes it the latest publicly funded higher education institute to embrace bitcoin as an alternative payment, following the King's College New York, The University of Nicosia in Cyprus, and The University of Cumbria in the U.K.

Yet the move is perhaps an unsurprising one, given the interest the university has shown toward the tech to date.

Researchers at Lucerne are involved in a number of blockchain initiatives, including an ethereum-based identity solution being spearheaded by the City of Zug. The university is also a member of the non-profit Crypto Valley Association, a working group dedicated to companies and startups in Switzerland that are using the tech.


Source: Coindesk

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FedEx and Tencent, participate in Tapscott-Led Blockchain Research Effort

A Canada-based blockchain research effort has added over a dozen members including major companies Tencent and FedEx, and the Ontario Ministry of Health.

The Blockchain Research Institute was originally founded in March by Don and Alex Tapscott, and backed by a group companies like IBM and PepsiCo, as well as a number of blockchain startups.

Aimed to serve as a hub for academic research around the technology, the institute's new members also notably include Deloitte Canada, the Depository Trust & Clearing Corporation (DTCC), Fujitsu, telecom provider Bell Canada and gold mining giant Barrick Gold.

Those backing the effort expressed optimism over the effort in a press release, including Tencent's blockchain lead, Ray Guo, who said:

"BlockchainResearch Institute provides a great platform for Tencent and other members of the institute to carry out blockchain research and discussion, which is of great significance to Tencent and the industry. We believe that the blockchain+ era is coming!"

The institute – which has more than 50 experts developing research and analysis – has also announced that its team will now be working on more than 70 projects. The group has already begun releasing reports exploring blockchain's future potential in a variety of use cases.

The other new members to have joined the research effort are: Capgemini Canada, Cimcorp, the Institute on Governance, KPMG LLP, MKS Switzerland, food retailer Loblaw Companies, interbank network operator Interac and Moog.


Source: Coindesk

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