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Bitcoin Core Announces New Security Disclosure Policy
New security policy for vulnerabilities in Bitcoin Core Bitcoin Core developers have introduced a new security vulnerability reporting policy to improve the reporting and timely resolution of security-critical bugs. This policy aims to strengthen transparency and security in the Bitcoin ecosystem by standardizing the vulnerability reporting and disclosure process. The safety notification process A security advisory involves security researchers or ethical hackers reporting discovered vulnerabilities to the affected organization so that the organization can fix the issues before they are maliciously exploited. This process includes discovering the vulnerability, confidentially reporting it, verifying it, developing a fix, and publicly disclosing it with mitigation advice. Current vulnerabilities and recommendations The latest reports concern various vulnerabilities, including denial-of-service (DoS) vulnerabilities, a remote code execution (RCE) vulnerability in the miniUPnPc library, transaction processing bugs, and network vulnerabilities such as buffer overflow and timestamp overflow. Users are advised to keep their software up to date, although none of these vulnerabilities currently pose a critical risk to the Bitcoin network. Categorization of vulnerabilities The Bitcoin Core policy categorizes vulnerabilities into four severity levels: Low, Medium, High, and Critical. Disclosure timing varies depending on severity to ensure an appropriate response and protect the integrity of the network. Importance of security practices and updates The goal of the new policy is to ensure responsible reporting and rapid community action on vulnerabilities, underscoring the importance of vigilant security practices and regular updates on the Bitcoin network. Ongoing research and future prospects Bitcoin has experienced notable security issues over the years that are being addressed through ongoing research and potential updates. Bitcoin Core's new disclosure policy is a step toward achieving that balance through well-communicated and responsibly managed updates.
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Keeping an eye on Bitcoin script optimization with Lightning Labs' Ryan Gentry
Ryan Gentry of Lightning Labs talks about Bitcoin Scripting Ryan Gentry of Lightning Labs talked about various proposals to improve Bitcoin's scripting capabilities, focusing on Rusty Russell's Great Script Restoration Project. This proposal aims to restore previously disabled opcodes such as OP_CAT to expand the scripting potential of the Bitcoin network. Comparison with other proposals Gentry contrasted this comprehensive approach with more incremental proposals such as Christian Decker's work on channel factories or CTV (CheckTemplateVerify, a method for program template verification). These focus on specific functionality but often encounter political tensions. The Great Script Restoration aims for holistic improvement by providing developers with a versatile toolkit and reducing debates over competing proposals. Challenges and optimism However, reaching consensus for such a comprehensive initiative is challenging due to its complexity. It requires careful project management to ensure progress and not get lost in trivial debates. Despite these hurdles, Gentry is optimistic, noting that there is growing support from previously skeptical developers, which could lead to a unified effort. Ossification of Bitcoin The proposal also aligns with calls to ossify Bitcoin by addressing known issues and improving both security and functionality. This approach balances the need for new functionality with the desire for a stable protocol, potentially making Bitcoin more robust and future-proof. Future prospects Gentry envisions a community uniting behind the Great Script Restoration. This initiative could significantly improve Bitcoin's scripting capabilities and make it more versatile and secure. The key to success lies in structured project management and collaborative efforts that ensure focus and motivation in the community.
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Digital Shovel sues RK Mission Critical for patent infringement on Bitcoin mining containers.
Patent infringement lawsuit against RK Mission Critical LLC Digital Shovel Holdings Inc. has filed a lawsuit against RK Mission Critical LLC, RK Mechanical LLC and RK Industries LLC, accusing them of patent infringement. The core of the dispute is Digital Shovel's V-Shape technology, an innovation that increases the miner density (number of computing units) in crypto mining containers by 30%. Digital Shovel developed this technology in 2018 and secured the corresponding patents in the following years. Background of the lawsuit According to the complaint, Compute North, a customer of RK Mission Critical, sought to license this technology from Digital Shovel in 2019 but was turned down. RK Mission Critical then allegedly produced similar containers, which caused confusion among Digital Shovel employees who believed the containers were its own products. Digital Shovel CEO Scot Johnson claims that RK Mission Critical sold approximately 850 units at over $200,000 each, for total revenue of $170 million. Digital Shovel’s demands Digital Shovel further accuses RK Mission Critical of continuing production despite knowing about the pending patents since 2021 and refusing to negotiate a settlement. The lawsuit seeks damages as well as an injunction (a judge's order) to stop further sales of the patent-infringing products.
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Bitcoin ETFs record largest inflow within a month
Bitcoin Exchange-Traded Funds (ETFs) in the USA recorded their largest daily inflow in nearly a month on Monday, at $129 million. This increase marks the fifth consecutive day of positive inflows and the highest daily amount since June 7. The majority of Monday's inflow went to Fidelity's Wise Origin Bitcoin Trust, which received $65 million. Bitwise's Bitcoin ETF took in $41 million, and Ark Invest's fund attracted $13 million. Outflows from the largest Bitcoin ETFs In contrast, the two largest Bitcoin ETFs, BlackRock's iShares Trust and Grayscale's fund, saw no inflows. The recent inflows are notable after Bitcoin ETFs struggled with nearly $1 billion in outflows in June, which correlated with Bitcoin's price drop below $20,000. Bullish July for Bitcoin Historically, July has been a bullish month for Bitcoin, with average returns of over 11% over the past decade and positive performance 70% of the time. Analysts suggest that if inflows into spot ETFs continue, the bullish trend could continue, supported by seasonal patterns in investor behavior around tax times. However, Bitcoin could also experience selling pressure from unlocked Mt. Gox coins. Price action will depend on whether bullish seasonality can override the bearish macroeconomic environment.
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$105 billion electronics giant Sony plans to launch a new Bitcoin exchange
Sony Group launches crypto exchange in Japan Sony Group will launch a bitcoin and crypto exchange in Japan following the acquisition of Amber Japan, a subsidiary of Amber Group. The new exchange, S.BLOX, is expected to strengthen Sony's presence in the cryptocurrency market. After Sony acquired Amber Japan in 2023 through its subsidiary Quetta Web, the exchange was renamed. Extensive upgrades to the user interface and improvements to the mobile app are planned. Sony's involvement in the cryptocurrency market This initiative shows Sony's increasing commitment to Bitcoin and cryptocurrency. By leveraging the established Amber Japan exchange, Sony aims to leverage its brand and international influence to promote its crypto offerings. Japan's progressive regulation and high consumer awareness make the market ideal for Sony's new crypto services. The involvement of major companies like Sony in Bitcoin and crypto signals growing mainstream adoption and could transform finance in a similar way to how Sony's previous acquisitions have done in the media industry.
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German government transfers millions in Bitcoin to exchanges
Bitcoin transfer from the Federal Criminal Police Office The Federal Criminal Police Office (BKA) has transferred another 1,500 Bitcoin worth nearly $95 million to exchanges such as Bitstamp, Coinbase and Kraken. Since June 19, the German government has moved about $220 million worth of Bitcoin to various exchanges. These Bitcoins were originally seized in 2013 from Movie2k.to, a movie piracy website, and at the time amounted to nearly 50,000 Bitcoin, which would be worth over $2 billion today. Possible plan of the German authorities The current transfers indicate a possible plan by the German authorities to liquidate (convert into money) some of their Bitcoin holdings, which is in line with the US government's approach. This development has sparked speculation within the Bitcoin community about its potential impact on the market. Despite these transfers, the German government continues to control approximately 44,692 Bitcoin, worth around $2.82 billion. However, how the market will react to these moves remains uncertain.
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Seizing Bitcoin MEV Opportunities with Rebar Labs: Everything You Need to Know
Rebar Labs and the challenges of MEV in the Bitcoin network Rebar Labs, a team of experienced crypto experts, is committed to the on-chain Maximum Extractable Value (MEV) in the Bitcoin network. The company raised $2.9 million in a seed funding round led by 6th Man Ventures. ParaFi Capital, Arca, Moonrock Capital and UTXO Management also provided additional support. The Mission of Rebar Labs Its mission focuses on three key areas: Infrastructure Rebar Labs plans to provide an alternative to the public mempool by providing private transactions to help miners maximize MEV revenue and optimize block construction and fees. Wallet integrations are intended to provide support to affected participants in the Bitcoin ecosystem. Products The company develops data products and dashboards to make MEV-related activities on Bitcoin visible and understandable. Research Rebar Labs will produce analysis, reports and articles on new and unexplored Bitcoin activities, with a special focus on MEV. Maximum Extractable Value and its significance for Bitcoin MEV refers to techniques that exploit price inefficiencies in blockchain transactions. Rebar Labs aims to use MEV to subsidize mining yields, mitigate the negative impact of diminishing block rewards, and improve market fairness. The company also intends to protect users from strategies such as frontrunning and sandwich attacks. The journey of Rebar Labs Rebar Labs plans to launch its first products in the summer. CEO Alex Luce emphasizes the company's goal of creating the necessary infrastructure and products to support the Bitcoin community in the emerging MEV landscape while promoting a fairer and more transparent ecosystem. Rebar Labs is part of UTXO Management, which invests in Bitcoin companies and digital assets.
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Bitcoin exchange Coinbase sues SEC and FDIC for alleged regulatory overreach.
Coinbase sues SEC and FDIC Coinbase has taken legal action against the U.S. Securities and Exchange Commission (SEC) and Federal Deposit Insurance Corporation (FDIC). The company claims that these agencies are trying to interfere with the crypto industry. The lawsuits, filed on June 27 in a Washington DC district court, allege that the SEC and FDIC have not responded to Coinbase's Freedom of Information Act (FOIA) requests. Coinbase suspects that the withholding of information indicates a coordinated effort to limit the crypto industry's access to banking services, which poses a significant threat to the industry. Pressure on crypto companies According to Coinbase, regulators are pressuring banks to deny accounts and services to crypto firms, reminiscent of "Operation Choke Point," an Obama-era strategy that excluded certain industries from banking services. Coinbase accuses regulators of exceeding their authority and violating transparency laws to conceal their actions against the crypto industry. However, legal experts point out that FOIA lawsuits are difficult to win because there are numerous exemptions to disclosure and it is challenging to prove regulators' malicious intent. Part of the resistance to regulation This lawsuit is part of Coinbase's larger resistance to regulatory measures, which are often seen in the crypto community as an attempt to hinder technological progress.
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US government moves millions in Bitcoin to Coinbase
US government transfers 3,940 Bitcoin to Coinbase Prime On June 26, the U.S. government transferred 3,940 bitcoins worth $241 million to Coinbase Prime, a trading platform for institutional investors. These bitcoins were originally seized from drug smuggler Banmeet Singh, who was arrested in London in 2019 and extradited to the U.S. in 2023. Singh had to hand over more than 8,100 bitcoins, which were worth about $150 million at the time. US government owns 214,000 Bitcoin as largest national Bitcoin reserve Despite the significant transfer, it represents only a small portion of the U.S. government's bitcoin holdings. In total, the U.S. government owns around 214,000 bitcoin worth over $13 billion, making it the largest national bitcoin reserve in the world. These holdings come primarily from seizures related to the Silk Road marketplace, an illegal online marketplace, and the 2016 Bitfinex hack, a cryptocurrency theft. Possible sale of Bitcoin reserves The transfer to Coinbase Prime suggests that the government may intend to sell some of its Bitcoin reserves. However, the amount transferred is small compared to Bitcoin's daily trading volumes. The government still retains the majority of its holdings, which have since increased significantly in value.
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