Cryptocurrency

Deep-learning chips getting artificially inflated

9 May 2017

Circuitry first produced for videogames now powers advances in the hot field of self-learning computers. That has helped double Nvidia's market value to over $60 bln in less than two years. The fate of graphics chips in bitcoin and new developments at Google may hint at slower growth.

Viewsroom: Intel’s pricey bet on driverless cars

16 Mar 2017

The chipmaker is shelling out $15 bln for autonomous-driving parts firm Mobileye, a cool 30 times estimated revenue. Intel missed the mobile-phone revolution. Is it finally on the right road? Plus: Washington bounces bitcoin’s bid for mainstream acceptance.

Bitcoin is maimed, long live the blockchain

13 Mar 2017

U.S. regulators vetoed an ETF proposed by the Winklevoss twins, slamming the door on taking the crypto-currency to the masses. At the same time, the ledger technology behind it is gaining traction on Wall Street. Bitcoin-related speculation and long-term investing will coexist.

Bitcoin’s ETF drive may spark volatile backfire

9 Mar 2017

The Winklevoss twins of Facebook fame are among those who want to open up the crypto-currency to a wider audience via an exchange-traded fund. Watchdog approval could unleash big inflows, but also fuel bitcoin’s scariest white-knuckle ride yet – and impede mainstream acceptance.

China can ignore ill-advised flight to bitcoin

9 Jan 2017

Beijing has cracked down on people converting yuan to dollars, but seems relatively relaxed about them piling into the virtual currency. That's probably because the bitcoin market is tiny, volatile, and dominated by local speculators: an unreliable channel for capital outflows.

Breakdown: Fintech steps towards maturity

21 Dec 2016

Blockchain, robo advice and other technologies once hyped as the most disruptive to finance will take a back seat in 2017. The payments battle will step up a gear. Alternative lenders will hunt for deposits. And resurgent earnings may give U.S. banks a timely war chest.

Blockchain for banks will eat its creators

27 Oct 2016

A transaction involving Wells Fargo and a cotton trader has made the payment technology a reality. Meanwhile a consortium-backed platform will soon share its code. Banks act like this is a good thing, but their role as middlemen in markets like corporate bonds and FX is at risk.

Banks’ own bitcoin is in the gift of central banks

24 Aug 2016

UBS has corralled four firms to help it develop a digital bitcoin-like currency so as to slash settlement times. Unlike the libertarian cryptocurrency, this approach depends resolutely on central bank approval. And while it may reduce risk, the benefits could also be a pipedream.

Review: Blockchain hopes go well beyond finance

10 Jun 2016

The distributed-ledger concept is linked to the bitcoin cryptocurrency, and more recently potential financial uses have taken wing. A new book, “Blockchain Revolution,” explores democratic and humanitarian applications. It’s both eye-opening and, at times, a bit wide-eyed.

Blockchain teamwork could help banks fight hackers

13 May 2016

An $81 mln central bank heist and a new attack on a commercial lender underscore the rise of cyber-related risks. The European Central Bank wants banks to log serious incidents. But industry collaboration - as seen with distributed ledgers - would do more to shore up defences.

Who cares who invented bitcoin?

2 May 2016

The whole point of the cryptocurrency and related technology is that they now live a life of their own. That makes Australian Craig Wright’s claim to be bitcoin creator Satoshi Nakamoto a curiosity at best. There is, however, a caveat related to the originator’s personal stash.

Fintech’s two big ideas are a decade apart

7 Apr 2016

Blockchains and open-access consumer finance could each conceptually transform banking. But customers will be able to force European lenders to divulge current account data to third parties from 2018, while mainstream adoption of distributed database tech will take far longer.

American oversight of financial tech looks so 2007

9 Mar 2016

U.S. regulators are falling short of policing this emerging industry, partly because of the outdated patchwork of state rules. The UK and others are further ahead in addressing the sector in fresh ways. Creating a modern, federal regime to oversee these firms is a priority.

Blockchain is a zero-sum game for investment banks

29 Feb 2016

The technology that launched Bitcoin could help broker-dealers cut costs. The catch: it could equally eat into revenue by automating services they currently charge for. Given the formidable obstacles to widespread adoption, it may prove to be as much a curse as a blessing.

Banks ponder blockchain’s first-mover disadvantage

16 Dec 2015

Lenders are racing to adopt Bitcoin-style technology to cut their costs. Successfully incorporating so-called distributed ledgers could eventually cut $20 bln from industry costs. But it’s not clear what models will work, and whether free-riding rivals will share the prize.

The Uber or Airbnb of finance will prove elusive

8 Dec 2015

In 2015 more than $15 bln has poured into so-called fintech startups embracing blockchain, peer lending, payments and the like. While each can disrupt an element of the status quo, their scale will be hindered by the deep moat that protects the banking industry: regulation.

Review: The virtual bubble of bitcoin

15 May 2015

The digital currency fits well in the inglorious history of finance. Nathaniel Popper tells the story in “Digital Gold”. Bitcoin’s hot idea, limited supply and uncertain value helped spawn a price explosion. After the bust, the underlying technology may still have a future.

Rob Cox: Bitcoin enters age of Goldman and lawyers

30 Apr 2015

For libertarian early adopters, the discovery of the cryptocurrency by Wall Street’s top firm and a bevy of legal eagles is a pivotal moment. Diehards will mourn the lost privacy and edginess of bitcoin. The flipside is the prospect of mainstream financial industry acceptance.

BBVA hedges banking’s demise with bitcoin punt

21 Jan 2015

The Spanish bank’s ventures arm is backing Bitcoin marketplace Coinbase, alongside tech investors and a stock exchange. BBVA has been a pioneer in digital banking, but Bitcoin aims to disintermediate lenders. That suggests BBVA’s outlay is more hedge than long-term investment.

Bitcoin is latest victim of disinflation

16 Jan 2015

The would-be currency is down 33 pct this year. Bitcoin is a collectible like a painting so psychology matters, and that’s against it in the current climate. Free transactions could end too. The tech may have value, but bitcoin will struggle to regain lost confidence.