Three weeks ago, I discussed the dissever of the Bitcoin to the novel Bitcoin (BTC) together with Bitcoin Cash (BCH). For some time, the prices were some $4,000 together with $300 or so, addition minus 30%.
But 2 days ago, BCH began to skyrocket. It reached $1,000 hours ago. The timing of this increment was attributed to the outset viii MB block mined past times BCH (BTC alone mines 1 MB blocks) together with the fact that the it occurred at Korean exchanges.
To brand things to a greater extent than curious, 97% of the mining was known to live done past times a unmarried unknown entity – at to the lowest degree that's how it was a few days ago.
Now, the human relationship betwixt BTC together with BCH is simply similar the human relationship betwixt iPhone vi together with iPhone 7. The latter is faster, newer, the blocks may live viii MB together with non simply 1 MB (1 MB is unopen to 640 kB which should live "enough for everyone"). But is it plenty to explicate the ascent of BCH?
Try to intend how it's possible that the merchandise was overwhelmingly against the won. Is it possible that somebody Korean users got enthusiastic near the Bitcoin cash? I don't intend so. The community of the Bitcoin together with Bitcoin Cash folks is together with so internationalized that yous wouldn't larn such a authority of a "smaller nation".
Also, no somebody banking company could actually afford to throw $2 billion a day, I guess. The traders would in all likelihood non larn the permission.
Bank of Korea: Does it concur a big fraction of the Bitcoin Cash?
There is ane conceivable theory: it's the fundamental banking company of Korea that is buying the Bitcoin Cash to its reserves. Note that the Korean Forex reserves are almost $400 billion which trumps the full capitalization of all cryptocurrencies past times a component of three. But things are simpler when yous purchase the Bitcoin Cash for the money yous tin impress – yous tin impress equally much equally yous need.
OK, together with so assume my theory that it was the Bank of Korea that was buying the Bitcoin Cash. It volition in all likelihood conk on because those $2 billion or together with so is a negligible business office of the reserves. Does the theory brand whatever predictions? Yes, I intend that the theory makes the prediction that the Bank of Korea has been thinking – doing enquiry – near cryptocurrencies together with how to purpose them inwards the context of the fundamental banks.
Can nosotros examination the theory?
Yes, the theory basically predicts that yous tin uncovering some traces of these cryptocurrency games played past times the Bank of Korea. Google search for bank-of-korea cryptocurrency. You volition easily uncovering an April 25th article near a enquiry newspaper past times the Bank of Korea (Hong, Park, Yu 2017) that discusses the collaboration of the fiat currencies together with cryptocurrencies inwards a "dual currency regime". The newspaper says that "crowding out" of ane currency type past times the other is alone possible nether extreme weather condition together with high costs.
Just similar Bitcoin Cash looks indistinguishable from the Bitcoin, except that it's faster, this looks simply similar the astronomical clock at the Prague's Old Town Square City Hall. But simply similar the Bitcoin Cash is a Korean copy, this ane is a Korean copy, "Castle Prague", inwards Seoul. ;-)
So I suppose that Bank of Korea wants to pick out grip of a pregnant fraction of the coins inwards a major currency – which seems to live the Bitcoin Cash – together with it volition travail to practise something with it. So I hold back the increasing tendency of the cost of BCH to resume together with conk on on Monday, unless the Koreans likewise operate on Sundays.
And yes, I likewise intend that computers run past times the Bank of Korea are those that were doing 97% of the mining of the Bitcoin Cash.
If this is confirmed or if the persuasion or meme becomes popular, I hold back other fundamental banks to bring together the Bank of Korea together with start to diversify their reserves. Too bad that the Czech National Bank wasn't the pioneer. They may withal live the #2. Needless to say, if the fundamental banks joined this cryptocurrency tulip mania, some other guild of magnitude could live easily added to the value of the cryptocurrencies.
If someone reads this weblog postal service at the Czech National Bank, I practise recommend to speedily purchase cryptocurrncies for a few per centum of the ČNB Forex reserves.
Influenza A virus subtype H5N1 hateful solar daytime earlier I got the persuasion near the Korean interventions, I convey been thinking near diverse methods for such a fundamental banking company to create profit; to peg a cryptocurrency to a fiat currency; together with to partly supervene upon changes of the involvement rates past times BCHCZK sales together with purchases, with other things. To impose whatever lasting policy similar that, the fundamental banking company should convey a big fraction of the coins to start with, of course.
BTW Allah's Bitcoin address is this God's Bitcoin address, 147dTZzAWwdaMM6oMwUZNKzPTZwKe8ojJy