Cryptocurrency sphere full of rumors and gossip. At least it saves a great hope in adverse situations, as it is now.
Altcoins can rise due to advertising campaigns or to quickly drop and pull back on a wave of FUD in social networks. This market is unlike any other and to a large extent is guided by impulses. This industry is still at the initial stage of development, so communication can be performed between large reputable companies, cryptocurrency and the potential adoption of the blockchain.
The cryptocurrency space is filled with speculation as to Whether Charlie sold all his stocks Litecoin and Hodler started to guess how a currency will survive without its Creator. Litecoin broke in December, with growth of over 300% in just a week. It has reached about $ 370, and then declined slightly, while losing more than 60%.
According to ZeroHedge, they raised allegations of insider trading, because Lee is a former technical Director of Coinbase. He categorically denied this, claiming that he had sold the stocks in order to avoid a potential conflict of interest with other companies that can start using Litecoin. Of course, If quite a lot of money by selling their coins and can now post to Twitter anything you want, without negative consequences. In addition, the drop Litecoin started after adding Cash of Bitcoin on Coinbase. Cash Bitcoin and Litecoin are improved versions of bitcoin in terms of speed and cost of transactions.
The relationship between Litecoin, Coinbase and Facebook
Around the same time, when Lee sold their stocks, Coinbase announced the appointment of one of the former leaders of Facebook’s David Marcus to serve on its Board of Directors. Previously, Marcus was responsible for the Messenger on Facebook, and as President of Paypal, so he has extensive experience in technology for mobile devices.
After this, in early January, mark Zuckerberg wrote that he “intends to study the” cryptocurrency:
“Against the background of rising a small number of large technology companies and the use of technology by governments to control citizens, many believe that technology is only centralizes power, and not Vice versa. But there are important contratrend as encryption and cryptocurrencies, which take power from centralized systems and return it to the people. They are risk – they are harder to control. I’m interested in learning the positive and negative aspects of these technologies and their best uses in our services.”
Earlier this week, the giant among social networks, announced that platform introduces a ban on advertising the ICO and cryptocurrencies, as well as what the company called “financial products and services, often associated with deceptive or unfair methods of promotion”.
You can draw an analogy between selling in order to avoid conflict of interest and ban potential competitors on Facebook. If the company was sincerely interested in protecting users from “cheating”, it would have taken more stringent action against the crooks who work on the platform and spread have benches, clique-bait and fraudulent websites. Facebook still a hotbed of deception and fraud, is ICO or not, and most of the crypto groups affected them. Removal of the cryptocurrency advertising will pave the way for a new partner, it hardly relates to the prevention of fraud.
Time will tell whether Facebook partner Litecoin, however, Charlie Lee last year in his post on Twitter hinted that Litecoin will be a huge surprise.
If Facebook is indeed planning to tie their business to the cryptocurrency and/or blockchain technology, as hinted at Zuckerberg himself, whether it is based on Litecoin or other platform, his actions make sense — a ban on advertising of crypto-currencies will not leave rivals no chance and will allow Facebook to hold a monopoly position in the market, using their huge platform to be integrated into a massive audience.
Anyway, in 2018 cryptocurrency expect great opportunities if only everyone will be able to overcome a tsunami of FUD in the media and focus on core principles and technologies.