DNotes 2.0 - Staking, CRISP Interest, DNotes Pay

[Dyna]

Frankly we have been so busy, we did not keep up with the news. But what Sen. Chuck Grassley is proposing is quite alarming. It almost seems like every time our industry gained some ground there is a big push back. Read on and decide for yourself. 

We saw something like this coming and decided against launching a DNotes ICO because of our concern on possibility that SEC may consider the issuance of tokens as a sale of securities. We have also stayed away from anonymity and ‘zero knowledge” transaction”.  But this is beyond our worst-case scenario. Personally, I highly doubt that it will pass into law in its current form. Sadly, it shows great ignorance on that part of our law makers. We are seeing the greatest technology revolution since the internet and yet some idiots are all-out squander it. This will not make America great again!

Proposed Legislation Would Combat Terrorist Financing, Money Laundering

By John Kelly, Thad McBride, Eli Richardson & Cheryl Palmeri on June 8, 2017

POSTED IN INTERNATIONAL TRADE, SANCTIONS (OFAC)
•   Proposed legislation targets current gaps in U.S. financial crime law and enforcement
•   Bi-partisan Senate legislation would likely expand compliance obligations for banks and others in financial services industry
•   Proposed legislation is in line with U.S. and international efforts to fight terrorism and trafficking through economic sanctions and anti-money laundering (AML) rules
On May 25, 2017, Sen. Chuck Grassley (R-IA) introduced the “Combating Money Laundering, Terrorist Financing, and Counterfeiting Act of 2017” (the “Act”).  The full text of the bill is available here.
Read More: http://www.bassberrygovcontrade.com/2017/06/proposed-legislation-would-combat-terrorist-financing-money-laundering/

......................................

ZeroHedge made the negative implications to our industry a little to understand:

You Won't Believe This Stupid New Law Against Cash And Bitcoin

This one is almost too ridiculous to believe.
Recently a new bill was introduced on the floor of the US Senate entitled, pleasantly,
You can probably already guess its contents.
Cash is evil.
 
Bitcoin is evil.
 
Now they’ve gone so far to include prepaid mobile phones, retail gift vouchers, or even electronic coupons. Evil, evil, and evil.
These people are certifiably insane.
Among the bill’s sweeping provisions, the government aims to greatly extend its authority to seize your assets through “Civil Asset Forfeiture”.
Civil Asset Forfeiture rules allow the government to take whatever they want from you, without a trial or any due process.
This new bill adds a laundry list of offenses for which they can legally seize your assets… all of which pertain to money laundering and other financial crimes.
Here’s the thing, though: they’ve also vastly expanded on the definition of such ‘financial crimes’, including failure to fill out a form if you happen to be transporting more than $10,000 worth of ‘monetary instruments’.

Have too much cash? You’d better tell the government.
If not, they’re authorizing themselves in this bill to seize not just the money you didn’t report, but ALL of your assets and bank accounts.
They even go so far as to specifically name “safety deposit boxes” among the various assets that they can seize if you don’t fill out the form.
(Yet another reason to consider storing cash, gold, and silver in an overseas safety deposit box.)
This is unbelievable on so many levels.

It’s crazy to begin with that these people are so consumed by the fact that someone has $10,000 in cash.
But it’s even crazier that they’re threatening to take EVERYTHING that you own merely for not filling out a piece of paper, without any due process whatsoever.
Oh, and on top of civil asset forfeiture penalties, there are also criminal penalties.

Right now according to current law they can imprison you for up to FIVE YEARS for not filling out the form. Five years.
But apparently that doesn’t go far enough to protect us against evil men in caves.

So this bill aims to double the criminal penalty to TEN years in prison.

And if that weren’t enough, this bill also gives them with new authority to engage in surveillance and wiretapping (including phone, email, etc.) if they have even a hint of suspicion that you might be transporting excess ‘monetary instruments’.

Usually wiretapping authority is reserved for major crimes like kidnapping, human trafficking, felony fraud, etc.
Now we can add cash to that list.

It’s not just government spy agencies to worry about, either.
Banks in the US are already unpaid government spies, required by law to fill out suspicious activity reports on their customers.
Then Congress started expanding those requirements to include other businesses and industries that might come into contact with cash.
Stock brokers. Casinos. Currency exchanges. Precious metals dealers. Pawnbrokers. The Post Office.

According to the law (section 5312 of US Code Title 31), those industries are also required to spy on their customers for the government.
But under this new bill, they want to forcibly recruit even more unpaid spies, including any business which issues or redeems ANYTHING that’s prepaid.
Prepaid credit cards. Prepaid phones. Prepaid retail gift cards. Prepaid coupons.

Read more: http://www.zerohedge.com/news/2017-06-14/you-wont-believe-stupid-new-law-against-cash-and-bitcoin

[TimMarsh]

The Flippening: Are DNotes Ready?

I've been reading the CoinDesk Q1 Report and the related article on 'The Flippening', the point where Bitcoin is superseded by another cryptocurrency.
http://www.coindesk.com/flippening-will-ether-pass-bitcoin-will-mean/

A number of qualities come together to indicate dominance, such as: Market capitalization, transactions(24H), trading volume(24H), mining reward(24H), nodes, and Google trends. At the moment, Ethereum is beating Bitcoin in all categories but capitalization and trends. This combined with ambivalent attitudes towards Bitcoin's future functionality make The Flippening not only feasible, but approaching fast.

Of course the cryptocurrency to bump Bitcoin out of the top spot will gain a chunk of Bitcoin's market share, as people wake up to the fact that substance and technical agility are worth more than having been the first to market. But along with this shift will come a spike in price that many will recognize as a bubble.

So it is reasonable to assume that during The Flippening, the price of BTC will drop dramatically, causing more of an exodus to other cryptocurrencies which are not spiking or in a bubble. But there will also be a huge sense of urgency because as BTC drops, they'll want to get out fast and shift their value to other alt-coin. With this transition, worthy options will also be rising quickly in price. This will mean that a decision will have to be made really quickly to avoid transition loss.

For DNotes to increase its market share during this period it will need to have a dedicated portal aimed at people who really know the industry. This portal should have everything needed to make the decision and act, at their fingertips with no distractions. This would include real-time price, transaction fee, transaction time. As well as links to recommended exchanges and their stats.

Bitcoin has brought cryptocurrency into the spotlight of mainstream news, and I'm sure The Flippening will be a big story. Having a solid, comprehensive, and well explained press release to offer information hungry outlets during this rush period will also be important.

So of course I'm wondering how prepared DNotes are for this event.

[alfaalfa]

The Flippening: Are DNotes Ready?

I've been reading the CoinDesk Q1 Report and the related article on 'The Flippening', the point where Bitcoin is superseded by another cryptocurrency.
http://www.coindesk.com/flippening-will-ether-pass-bitcoin-will-mean/

A number of qualities come together to indicate dominance, such as: Market capitalization, transactions(24H), trading volume(24H), mining reward(24H), nodes, and Google trends. At the moment, Ethereum is beating Bitcoin in all categories but capitalization and trends. This combined with ambivalent attitudes towards Bitcoin's future functionality make The Flippening not only feasible, but approaching fast.

Of course the cryptocurrency to bump Bitcoin out of the top spot will gain a chunk of Bitcoin's market share, as people wake up to the fact that substance and technical agility are worth more than having been the first to market. But along with this shift will come a spike in price that many will recognize as a bubble.

So it is reasonable to assume that during The Flippening, the price of BTC will drop dramatically, causing more of an exodus to other cryptocurrencies which are not spiking or in a bubble. But there will also be a huge sense of urgency because as BTC drops, they'll want to get out fast and shift their value to other alt-coin. With this transition, worthy options will also be rising quickly in price. This will mean that a decision will have to be made really quickly to avoid transition loss.

For DNotes to increase its market share during this period it will need to have a dedicated portal aimed at people who really know the industry. This portal should have everything needed to make the decision and act, at their fingertips with no distractions. This would include real-time price, transaction fee, transaction time. As well as links to recommended exchanges and their stats.

Bitcoin has brought cryptocurrency into the spotlight of mainstream news, and I'm sure The Flippening will be a big story. Having a solid, comprehensive, and well explained press release to offer information hungry outlets during this rush period will also be important.

So of course I'm wondering how prepared DNotes are for this event.

Good point here. I have invested a lot in DNotes at 0.25$/NOTE. I can't even sleep with the thought that it's already at 0.15$ level. Also, if I understand this correct, in a 5 year retirement program, will I get a bonus besides the monthly interest? And if I need the money let's stay 8 months from now, will I get any interest?

[TeeGee]

The Flippening: Are DNotes Ready?

I've been reading the CoinDesk Q1 Report and the related article on 'The Flippening', the point where Bitcoin is superseded by another cryptocurrency.
http://www.coindesk.com/flippening-will-ether-pass-bitcoin-will-mean/

A number of qualities come together to indicate dominance, such as: Market capitalization, transactions(24H), trading volume(24H), mining reward(24H), nodes, and Google trends. At the moment, Ethereum is beating Bitcoin in all categories but capitalization and trends. This combined with ambivalent attitudes towards Bitcoin's future functionality make The Flippening not only feasible, but approaching fast.

Of course the cryptocurrency to bump Bitcoin out of the top spot will gain a chunk of Bitcoin's market share, as people wake up to the fact that substance and technical agility are worth more than having been the first to market. But along with this shift will come a spike in price that many will recognize as a bubble.

So it is reasonable to assume that during The Flippening, the price of BTC will drop dramatically, causing more of an exodus to other cryptocurrencies which are not spiking or in a bubble. But there will also be a huge sense of urgency because as BTC drops, they'll want to get out fast and shift their value to other alt-coin. With this transition, worthy options will also be rising quickly in price. This will mean that a decision will have to be made really quickly to avoid transition loss.

For DNotes to increase its market share during this period it will need to have a dedicated portal aimed at people who really know the industry. This portal should have everything needed to make the decision and act, at their fingertips with no distractions. This would include real-time price, transaction fee, transaction time. As well as links to recommended exchanges and their stats.

Bitcoin has brought cryptocurrency into the spotlight of mainstream news, and I'm sure The Flippening will be a big story. Having a solid, comprehensive, and well explained press release to offer information hungry outlets during this rush period will also be important.

So of course I'm wondering how prepared DNotes are for this event.

Good point here. I have invested a lot in DNotes at 0.25$/NOTE. I can't even sleep with the thought that it's already at 0.15$ level. Also, if I understand this correct, in a 5 year retirement program, will I get a bonus besides the monthly interest? And if I need the money let's stay 8 months from now, will I get any interest?

Hey Alfaalfa!

It's great to see you commenting here. We also share your pain regarding the activity at the exchanges, we are all in this together. However, we are very confident in the future value of Note. We have had a very consistent message for some time that we are doing the right things to make sure we get the result we need. I will elaborate on a few things that I hope will alleviate some of your concerns.

Firstly, we have to accept that crypto markets are volatile at the moment. One of the main things we identified early on was that stability of the currency was paramount - the market as a whole is immature, and it can not afford for people to come in and get hurt, which results in them not coming back!!! We take a different approach. We tend to speak with a more conservative tone, trying to avoid empty speculative draws of interest until we have the 'goods' ready to go (this is prudential to avoid crashes in price as much as possible). We will have those goods ready to go in the near future - it is not too much longer for DNotes 2.0. I will elaborate further.


* Bitcoin prices have been hammered in the last few days - there are a variety of reasons for this. Coinbase infrastructural immaturity is one. This is an issue that DNotes Global will build and improve upon in the coming years as part of our core strategic components. Another component to this may have been the Federal Reserve interest rate announcements this week, which will often bring traders back into forex markets, and they remove their crypto liquidity to do so. I could reasonably expect traders of this type to move back into crypto as they close their forex positions (this is what I personally would do, and HAVE done in the past). I can not accurately predict the price movements of Bitcoin, but I can discuss the rationale and game theory that particular groups of actors may act by.

* The recent bill brought before the senate will have had a marked effect on the BTC price, and of course holders of other coins may have sold their alt-positions into BTC in order to move out into other 'less-risky' asset classes. One benefit of this however in the shorter term, is those funds will have potentially moved into the hands of those who are less likely to sell in the future (they have a higher propensity for risk). DNotes future is longer-term, and certain types of investors are more important to us than others - i.e. those who are happy to have their skin in the game.

* DNotes 2.0 will have marked difference in the availability of coins to be sold at market. Currently we are using Proof of Work, which as you may know means all the new coin distribution goes to the miners. Currently miners will put their ASIC or computers at the most profitable coin to mine at any time, and often they send their coins straight to the exchanges to be sold so they can pay for the expensive hardware they have purchased to mine. This is indicative of newly minted coins going into the hands of a group of actors that likely have much less of an interest in the long-term prospects of the coin. This is one reason we opted to move to Proof of Stake. When the DNotes 2.0 platform rolls out soon, the Proof of Stake component will mean that newly minted currency units will be paid to current holders of DNotes (2-4% depending on if you stake and use the CRISP, or just one of them), which means that the people who actually care about the future of the coin are awarded the new supply in the form of the mining reward, which is kind of like 'interest' in an illustrative sense. This move will negate the current (anywhere up to) ~36000 DNotes being sent to the markets every day by miners for sale, and give it in interest to current stakeholders. That means a massive reduction in sell side exchange activity (or ~1 million units per month reduction). I also estimate that this ~36000 newly minted supply daily of DNotes will reduce to ~6000 after the change, a not-so-insignificant differential in potential new supply that can be sold = less inflation and fewer new units available for sale.

* The fact that Proof-of-Stake awards newly minted coins to holders of the currency, the people who care about the currencies long-term future (and are less likely to sell), become the ones to get the new reward. Not only that, but being paid an effective 'interest' / staking reward incentivizes people to acquire DNotes, which means a larger demand to purchase them. Compounding interest on balances held can have a very significant effect on the well-being of our stakeholders. We are primarily volunteer development employees of our stakeholders, and not 'flaky' miners

In short, while there is nothing that can be done regarding the Bitcoin markets at our end, improving the way our economy rewards its participants has been at the forefront of our mind.  In the coming couple of months we foresee a drying up of coins available for sale as coins shift from short-term owners (miners) to long term holders / investors, and the scale skewed towards holding more DNotes as holders will make profit just for holding DNotes themselves. This equates to more people buying, and much lower incentive to sell. We believe in free-markets, and let the cards fall as they may, however if true value is built into a network, this value will be reflected in the value of a project over time. This value is what we are focusing on building for our community, and as a result we know the price will take care of itself (and we all know how quickly it CAN happen).

I hope this may give you some peace of mind, as it does us. Crypto markets can be tough, but over the long-term - should you invest with the right people (which I believe you most definitely have), then I think it can work out very well for everybody involved.

*** Side note, the new CRISP program that will pay 2% annualized interest from the mining reward (on all balances held there for 30 days or more to encourage saving) will become the replacement for some of the current CRISP programs (including retirement).

[DNotes]

The Flippening: Are DNotes Ready?

I've been reading the CoinDesk Q1 Report and the related article on 'The Flippening', the point where Bitcoin is superseded by another cryptocurrency.
http://www.coindesk.com/flippening-will-ether-pass-bitcoin-will-mean/

A number of qualities come together to indicate dominance, such as: Market capitalization, transactions(24H), trading volume(24H), mining reward(24H), nodes, and Google trends. At the moment, Ethereum is beating Bitcoin in all categories but capitalization and trends. This combined with ambivalent attitudes towards Bitcoin's future functionality make The Flippening not only feasible, but approaching fast.

Of course the cryptocurrency to bump Bitcoin out of the top spot will gain a chunk of Bitcoin's market share, as people wake up to the fact that substance and technical agility are worth more than having been the first to market. But along with this shift will come a spike in price that many will recognize as a bubble.

So it is reasonable to assume that during The Flippening, the price of BTC will drop dramatically, causing more of an exodus to other cryptocurrencies which are not spiking or in a bubble. But there will also be a huge sense of urgency because as BTC drops, they'll want to get out fast and shift their value to other alt-coin. With this transition, worthy options will also be rising quickly in price. This will mean that a decision will have to be made really quickly to avoid transition loss.

For DNotes to increase its market share during this period it will need to have a dedicated portal aimed at people who really know the industry. This portal should have everything needed to make the decision and act, at their fingertips with no distractions. This would include real-time price, transaction fee, transaction time. As well as links to recommended exchanges and their stats.

Bitcoin has brought cryptocurrency into the spotlight of mainstream news, and I'm sure The Flippening will be a big story. Having a solid, comprehensive, and well explained press release to offer information hungry outlets during this rush period will also be important.

So of course I'm wondering how prepared DNotes are for this event.

Good point here. I have invested a lot in DNotes at 0.25$/NOTE. I can't even sleep with the thought that it's already at 0.15$ level. Also, if I understand this correct, in a 5 year retirement program, will I get a bonus besides the monthly interest? And if I need the money let's stay 8 months from now, will I get any interest?

Hey Alfaalfa!

It's great to see you commenting here. We also share your pain regarding the activity at the exchanges, we are all in this together. However, we are very confident in the future value of Note. We have had a very consistent message for some time that we are doing the right things to make sure we get the result we need. I will elaborate on a few things that I hope will alleviate some of your concerns.

Firstly, we have to accept that crypto markets are volatile at the moment. One of the main things we identified early on was that stability of the currency was paramount - the market as a whole is immature, and it can not afford for people to come in and get hurt, which results in them not coming back!!! We take a different approach. We tend to speak with a more conservative time, trying to avoid empty speculative draws of interest until we have the goods ready to go. We will have those goods ready to go in the near future - it is not too much longer for DNotes 2.0. I will elaborate further.


* Bitcoin prices have been hammered in the last few days - there are a variety of reasons for this. Coinbase infrastructural immaturity is one. This is an issue that DNotes Global will build and improve upon in the coming years as part of our core strategic components. Another component to this may have been the Federal Reserve interest rate announcements this week, which will often bring traders back into forex markets, and they remove their crypto liquidity to do so. I could reasonably expect traders of this type to move back into crypto as they close their forex positions (this is what I personally would do, and HAVE done in the past). I can not accurately predict the price movements of Bitcoin, but I can discuss the rationale and game theory that particular groups of actors may act by.

* DNotes 2.0 will have marked difference in the availability of coins to be sold at market. Currently we are using Proof of Work, which as you may know means all the new coin distribution goes to the miners. Currently miners will put their ASIC or computers at the most profitable coin to mine at any time, and often they send their coins straight to the exchanges to be sold so they can pay for the expensive hardware they have purchased to mine. This is indicative of newly minted coins going into the hands of a group of actors that have zero interest in the long-term prospects of the coin. This is one reason we opted to move to Proof of Stake. When the DNotes 2.0 platform rolls out soon, the Proof of Stake component will mean that newly minted currency units will be paid to current holders of DNotes (2-4% depending on if you stake and use the CRISP, or just one of them), which means that the people who actually care about the future of the coin are awarded the new supply in the form of the mining reward, which is kind of like 'interest' in an illustrative sense. This move will negate the current (anywhere up to) ~36000 DNotes being sent to the markets every day by miners for sale, and give it in interest to current stakeholders. That means a massive reduction in sell side exchange activity (or ~1 million units per month reduction). I also estimate that this ~36000 newly minted supply daily of DNotes will reduce to ~6000 after the change, a not-so-insignificant differential in potential new supply that can be sold = less inflation and fewer new units available for sale.

* The fact that Proof-of-Stake awards newly minted coins to holders of the currency, the people who care about the currencies long-term future (and are less likely to sell), become the ones to get the new reward. Not only that, but being paid an effective 'interest' / staking reward incentivizes people to acquire DNotes, which means a larger demand to purchase them.

In short, while there is nothing that can be done regarding the Bitcoin markets at our end, improving the way our economy rewards its participants has been at the forefront of our mind.  In the coming couple of months we foresee a drying up of coins available for sale as coins shift from short-term owners (miners) to long term holders / investors, and the scale skewed towards holding more DNotes as holders will make profit just for holding DNotes themselves. This equates to more people buying, and much lower incentive to sell.

I hope this may give you some peace of mind. Crypto markets can be tough, but over the long-term - should you invest with the right people (which I believe you most definitely have), then I think it can work out very well for everybody involved.



*** Side note, the new CRISP program that will pay 2% annualized interest from the mining reward (on all balances held there for 30 days or more to encourage saving) will become the replacement for some of the current CRISP programs (including retirement).

Thanks Tim, and a little further on the new CRISP program, as we have been getting a few questions.

The new CRISP program will require nothing more than having your coins in your wallet for more than 30 days. That could be any wallet, including a DNotesVault wallet will pay interest. It may be possible to receive this reward on exchanges if they are able to participate in the program, the logistics of this may be challenging and it is a new to the industry style of reward.

Let's break down the 2% annualized target. It will be distributed monthly, so the interest will compound. It is a target interest based on a monthly static (but increasing) distribution. Which means if less people participate everyone who does participate will get more.

You do not have to do anything to receive this reward, no action is required on the user end, and the wallet doesn't need to be online. 

Here is an example:
If there are 120,000,000 DNotes total and the CRISP 30 day reward is 200,000. If everyone kept their coins in their wallet for more than 30 days, then everyone would get .1666... percent that month. But let's say that 20,000,000 of all DNotes were moved around within the last 30 days. That leaves 100,000,000 of the DNotes to split against the CRISP reward. Then you would get .2 percent that month.

[Dyna]

The Flippening: Are DNotes Ready?

I've been reading the CoinDesk Q1 Report and the related article on 'The Flippening', the point where Bitcoin is superseded by another cryptocurrency.
http://www.coindesk.com/flippening-will-ether-pass-bitcoin-will-mean/

A number of qualities come together to indicate dominance, such as: Market capitalization, transactions(24H), trading volume(24H), mining reward(24H), nodes, and Google trends. At the moment, Ethereum is beating Bitcoin in all categories but capitalization and trends. This combined with ambivalent attitudes towards Bitcoin's future functionality make The Flippening not only feasible, but approaching fast.

Of course the cryptocurrency to bump Bitcoin out of the top spot will gain a chunk of Bitcoin's market share, as people wake up to the fact that substance and technical agility are worth more than having been the first to market. But along with this shift will come a spike in price that many will recognize as a bubble.

So it is reasonable to assume that during The Flippening, the price of BTC will drop dramatically, causing more of an exodus to other cryptocurrencies which are not spiking or in a bubble. But there will also be a huge sense of urgency because as BTC drops, they'll want to get out fast and shift their value to other alt-coin. With this transition, worthy options will also be rising quickly in price. This will mean that a decision will have to be made really quickly to avoid transition loss.

For DNotes to increase its market share during this period it will need to have a dedicated portal aimed at people who really know the industry. This portal should have everything needed to make the decision and act, at their fingertips with no distractions. This would include real-time price, transaction fee, transaction time. As well as links to recommended exchanges and their stats.

Bitcoin has brought cryptocurrency into the spotlight of mainstream news, and I'm sure The Flippening will be a big story. Having a solid, comprehensive, and well explained press release to offer information hungry outlets during this rush period will also be important.

So of course I'm wondering how prepared DNotes are for this event.

Good point here. I have invested a lot in DNotes at 0.25$/NOTE. I can't even sleep with the thought that it's already at 0.15$ level. Also, if I understand this correct, in a 5 year retirement program, will I get a bonus besides the monthly interest? And if I need the money let's stay 8 months from now, will I get any interest?

Hey Alfaalfa!

It's great to see you commenting here. We also share your pain regarding the activity at the exchanges, we are all in this together. However, we are very confident in the future value of Note. We have had a very consistent message for some time that we are doing the right things to make sure we get the result we need. I will elaborate on a few things that I hope will alleviate some of your concerns.

Firstly, we have to accept that crypto markets are volatile at the moment. One of the main things we identified early on was that stability of the currency was paramount - the market as a whole is immature, and it can not afford for people to come in and get hurt, which results in them not coming back!!! We take a different approach. We tend to speak with a more conservative time, trying to avoid empty speculative draws of interest until we have the goods ready to go. We will have those goods ready to go in the near future - it is not too much longer for DNotes 2.0. I will elaborate further.


* Bitcoin prices have been hammered in the last few days - there are a variety of reasons for this. Coinbase infrastructural immaturity is one. This is an issue that DNotes Global will build and improve upon in the coming years as part of our core strategic components. Another component to this may have been the Federal Reserve interest rate announcements this week, which will often bring traders back into forex markets, and they remove their crypto liquidity to do so. I could reasonably expect traders of this type to move back into crypto as they close their forex positions (this is what I personally would do, and HAVE done in the past). I can not accurately predict the price movements of Bitcoin, but I can discuss the rationale and game theory that particular groups of actors may act by.

* DNotes 2.0 will have marked difference in the availability of coins to be sold at market. Currently we are using Proof of Work, which as you may know means all the new coin distribution goes to the miners. Currently miners will put their ASIC or computers at the most profitable coin to mine at any time, and often they send their coins straight to the exchanges to be sold so they can pay for the expensive hardware they have purchased to mine. This is indicative of newly minted coins going into the hands of a group of actors that have zero interest in the long-term prospects of the coin. This is one reason we opted to move to Proof of Stake. When the DNotes 2.0 platform rolls out soon, the Proof of Stake component will mean that newly minted currency units will be paid to current holders of DNotes (2-4% depending on if you stake and use the CRISP, or just one of them), which means that the people who actually care about the future of the coin are awarded the new supply in the form of the mining reward, which is kind of like 'interest' in an illustrative sense. This move will negate the current (anywhere up to) ~36000 DNotes being sent to the markets every day by miners for sale, and give it in interest to current stakeholders. That means a massive reduction in sell side exchange activity (or ~1 million units per month reduction). I also estimate that this ~36000 newly minted supply daily of DNotes will reduce to ~6000 after the change, a not-so-insignificant differential in potential new supply that can be sold = less inflation and fewer new units available for sale.

* The fact that Proof-of-Stake awards newly minted coins to holders of the currency, the people who care about the currencies long-term future (and are less likely to sell), become the ones to get the new reward. Not only that, but being paid an effective 'interest' / staking reward incentivizes people to acquire DNotes, which means a larger demand to purchase them.

In short, while there is nothing that can be done regarding the Bitcoin markets at our end, improving the way our economy rewards its participants has been at the forefront of our mind.  In the coming couple of months we foresee a drying up of coins available for sale as coins shift from short-term owners (miners) to long term holders / investors, and the scale skewed towards holding more DNotes as holders will make profit just for holding DNotes themselves. This equates to more people buying, and much lower incentive to sell.

I hope this may give you some peace of mind. Crypto markets can be tough, but over the long-term - should you invest with the right people (which I believe you most definitely have), then I think it can work out very well for everybody involved.



*** Side note, the new CRISP program that will pay 2% annualized interest from the mining reward (on all balances held there for 30 days or more to encourage saving) will become the replacement for some of the current CRISP programs (including retirement).

Thanks Tim, and a little further on the new CRISP program, as we have been getting a few questions.

The new CRISP program will require nothing more than having your coins in your wallet for more than 30 days. That could be any wallet, including a DNotesVault wallet will pay interest. It may be possible to receive this reward on exchanges if they are able to participate in the program, the logistics of this may be challenging and it is a new to the industry style of reward.

Let's break down the 2% annualized target. It will be distributed monthly, so the interest will compound. It is a target interest based on a monthly static (but increasing) distribution. Which means if less people participate everyone who does participate will get more.

You do not have to do anything to receive this reward, no action is required on the user end, and the wallet doesn't need to be online.  

Here is an example:
If there are 120,000,000 DNotes total and the CRISP 30 day reward is 200,000. If everyone kept their coins in their wallet for more than 30 days, then everyone would get .1666... percent that month. But let's say that 20,000,000 of all DNotes were moved around within the last 30 days. That leaves 100,000,000 of the DNotes to split against the CRISP reward. Then you would get .2 percent that month.

When in doubt if DNotes is the right choice for your situation do a deep research on us, especially on the DNotes' difference and decide for yourself. We have provided a massive amount of information about DNotes and our commitment to making DNotes a purposeful digital currency for the benefits of everyone. Start from page one of this forum and follow every link, as you wish of course. We are re-searchable and verifiable.

[CazMoney]

I'm curious... wouldn't it be better to tie the NOTE to $USD (at PLNX it would be the $USDT)? Given the underlying goal of creating a stable currency, wouldn't that be a priority? If so, what's required to make that happen at the exchange level?

[DCEBrief]

New Bill Would Require Declaration of Digital Currency Holdings when Entering U.S.

https://dcebrief.com/new-bill-would-require-declaration-of-digital-currency-holdings-when-entering-u-s/

[DCEBrief]

Frankly we have been so busy, we did not keep up with the news. But what Sen. Chuck Grassley is proposing is quite alarming. It almost seems like every time our industry gained some ground there is a big push back. Read on and decide for yourself. 

We saw something like this coming and decided against launching a DNotes ICO because of our concern on possibility that SEC may consider the issuance of tokens as a sale of securities. We have also stayed away from anonymity and ‘zero knowledge” transaction”.  But this is beyond our worst-case scenario. Personally, I highly doubt that it will pass into law in its current form. Sadly, it shows great ignorance on that part of our law makers. We are seeing the greatest technology revolution since the internet and yet some idiots are all-out squander it. This will not make America great again!

Proposed Legislation Would Combat Terrorist Financing, Money Laundering

By John Kelly, Thad McBride, Eli Richardson & Cheryl Palmeri on June 8, 2017

POSTED IN INTERNATIONAL TRADE, SANCTIONS (OFAC)
•   Proposed legislation targets current gaps in U.S. financial crime law and enforcement
•   Bi-partisan Senate legislation would likely expand compliance obligations for banks and others in financial services industry
•   Proposed legislation is in line with U.S. and international efforts to fight terrorism and trafficking through economic sanctions and anti-money laundering (AML) rules
On May 25, 2017, Sen. Chuck Grassley (R-IA) introduced the “Combating Money Laundering, Terrorist Financing, and Counterfeiting Act of 2017” (the “Act”).  The full text of the bill is available here.
Read More: http://www.bassberrygovcontrade.com/2017/06/proposed-legislation-would-combat-terrorist-financing-money-laundering/

......................................

ZeroHedge made the negative implications to our industry a little to understand:

You Won't Believe This Stupid New Law Against Cash And Bitcoin

This one is almost too ridiculous to believe.
Recently a new bill was introduced on the floor of the US Senate entitled, pleasantly,
You can probably already guess its contents.
Cash is evil.
 
Bitcoin is evil.
 
Now they’ve gone so far to include prepaid mobile phones, retail gift vouchers, or even electronic coupons. Evil, evil, and evil.
These people are certifiably insane.
Among the bill’s sweeping provisions, the government aims to greatly extend its authority to seize your assets through “Civil Asset Forfeiture”.
Civil Asset Forfeiture rules allow the government to take whatever they want from you, without a trial or any due process.
This new bill adds a laundry list of offenses for which they can legally seize your assets… all of which pertain to money laundering and other financial crimes.
Here’s the thing, though: they’ve also vastly expanded on the definition of such ‘financial crimes’, including failure to fill out a form if you happen to be transporting more than $10,000 worth of ‘monetary instruments’.

Have too much cash? You’d better tell the government.
If not, they’re authorizing themselves in this bill to seize not just the money you didn’t report, but ALL of your assets and bank accounts.
They even go so far as to specifically name “safety deposit boxes” among the various assets that they can seize if you don’t fill out the form.
(Yet another reason to consider storing cash, gold, and silver in an overseas safety deposit box.)
This is unbelievable on so many levels.

It’s crazy to begin with that these people are so consumed by the fact that someone has $10,000 in cash.
But it’s even crazier that they’re threatening to take EVERYTHING that you own merely for not filling out a piece of paper, without any due process whatsoever.
Oh, and on top of civil asset forfeiture penalties, there are also criminal penalties.

Right now according to current law they can imprison you for up to FIVE YEARS for not filling out the form. Five years.
But apparently that doesn’t go far enough to protect us against evil men in caves.

So this bill aims to double the criminal penalty to TEN years in prison.

And if that weren’t enough, this bill also gives them with new authority to engage in surveillance and wiretapping (including phone, email, etc.) if they have even a hint of suspicion that you might be transporting excess ‘monetary instruments’.

Usually wiretapping authority is reserved for major crimes like kidnapping, human trafficking, felony fraud, etc.
Now we can add cash to that list.

It’s not just government spy agencies to worry about, either.
Banks in the US are already unpaid government spies, required by law to fill out suspicious activity reports on their customers.
Then Congress started expanding those requirements to include other businesses and industries that might come into contact with cash.
Stock brokers. Casinos. Currency exchanges. Precious metals dealers. Pawnbrokers. The Post Office.

According to the law (section 5312 of US Code Title 31), those industries are also required to spy on their customers for the government.
But under this new bill, they want to forcibly recruit even more unpaid spies, including any business which issues or redeems ANYTHING that’s prepaid.
Prepaid credit cards. Prepaid phones. Prepaid retail gift cards. Prepaid coupons.

Read more: http://www.zerohedge.com/news/2017-06-14/you-wont-believe-stupid-new-law-against-cash-and-bitcoin

Yeah,  I feel like I need to apologize for that. Grassley represents my state, and is definitely past his sell-by date. He's like far too many of our representatives these days: operating with an understanding of the world that is all but obsolete, and way over his head when it comes to grappling with issues involving new technologies and other innovations. I like the guy personally and think that he's a decent human being, but he's simply operating out of his league when it comes to these issues.

Not that he's alone, mind you. The capital is filled with people who are woefully unqualified to deal with this rapidly-changing world.

[CazMoney]

New Bill Would Require Declaration of Digital Currency Holdings when Entering U.S.

So then it would seem... if/when a crypto currency begins trading with USD, this constitutes a positive growth step? I would think you might even say it more "legitimizes" the currency? 

[R-J-F]

This is awesome!

From Steemit - The author is using the "Could I retire on faucets?" strategy from wiser's CryptoMoms post, to accumulate DNotes. He gives DNotes a glowing review and encourages everyone to buy. He also created a video detailing how to buy on Poloniex, using DNotes Vault, etc. The only problem is, he still thinks the retirement accounts are paying interest (??).


Week 1: Bought 52 DNOTES for my 20 Year Retirement Plan - 1% Interest per Month!

7 hours ago
bitcoinkings48 in cryptocurrency

Hi guys!

Today I wanted to share with you an awesome Crypto-currency I recently discovered called DNOTES (NOTE). I found out about this altcoin after reading an interesting thread on cryptomoms.com titled: Could I retire on faucets?

In this thread the author speaks about how (s)he collects free Bitcoin from faucets and uses that to buy DNOTES.

Moon Bitcoin: Claim your free bitcoin now
Moon Dogecoin: Claim your free dogecoin now
Moon Litecoin: Claim your free litecoin now

The author then sends all DNOTES (s)he bought into a 20 year retirement account called CRISP for Retirement with a return of 1% per month, which amounts to 12% interest annually.

You can BUY DNOTES from Poloniex and once you have your coins you can send them to your retirement plan.

I am currently registered on DNOTES Vault with a 20 year retirement plan which is earning me an interest of 1% per month. This is 12% compounding interest annually. When I started my plan I decided to buy 52.63157894 DNOTES from Poloniex at a value of 0.00099999 BTC which was around $2.03479201 when I transferred my DNOTES into my wallet.

The value of my investment is currently $10.43789687 and I have already earned 0.52542632 DNOTES interest on my original balance. I intend on buying DNOTES on a monthly basis and sending it to my retirement plan. I will keep you guys posted on the progress of my account.

https://www.youtube.com/watch?v=rF0gNXSXt30

https://steemit.com/cryptocurrency/@bitcoinkings/week-1-bought-52-dnotes-for-my-20-year-retirement-plan-1-interest-per-month

Awesome video though it needs some clarification. Of course, we love and appreciate compliments that are totally unsolicited.

DNotes is committed to building a trusted brand because we believe that trust is invaluable in every business dealing, particularly in financial services.  The next wave of investment will be coming from seasoned investors and professional fund managers. We want to ensure that everything that we do is researchable and verifiable. That is what separates DNotes from most of our industry peers. Perhaps we believe more than others that we are dealing with money, other people’s hard-earned money, no matter how it is characterized - commodity, asset of no instinct value, or property.

Now back to CRISP For Retirement. We did not want to dilute our stakeholders assets by issuing more DNotes in order to fund the retirement program, yet we felt that it would be a great incentive to provide a few selections of different terms to give people a choice that best fit their time horizon – 5, 10, 15, or 20 years.

With that I got the support of some major stakeholders who collectively purchased 1,000,000 Dnotes and contributed them for of paying the interest until the last DNotes from this pool is used up. The balance is verifiable:

CRISP for Retirement Statistics
Funded Retirement Accounts   296
Principal Deposit Value   82,479.42 USD
Total Interest Payments   951,187 NOTE
Current USD Value   1,322,245.80 USD
Current DNotes   6,601,110 NOTE
Retirement Fund Bonus Balance   100,447 NOTE

Apparently, there is still some left. The math may not add up because early withdrawal were forfeited any interest paid as stipulated.
We are committed to the benefits and success of others based on our principal belief that we will also be successful as a group by doing that. The following press release provides more details:

Yahoo Finance:
 
DNotes Digital Currency Retirement Savings Plans Provide Relief For Underfunded Retirement Accounts

AccesswireFebruary 16, 2015

DNotes is pleased to announce unprecedented Digital Currency Retirement Savings Plans to provide relief for underfunded retirement accounts; offering up to 12% Yearly Interest Bonus with a limit of 1,000,000 DNotes and a 100% deposit guarantee.

CHICAGO, IL / ACCESSWIRE / February 16, 2015 / DNotes, known as a stable digital currency with a solid and consistent uptrend, announced an unprecedented new savings plan to provide relief for underfunded individual retirement accounts. According to computing pioneer and DNotes Co-Founder Alan Yong, one million DNotes have been donated to CR.I.S.P. (Cryptocurrency Investment Savings Plan) for Retirement to encourage savers to supplement their underfunded individual retirement accounts. With any long term DNotes deposit commitment of 5, 10, 15, or 20 year duration, individuals will receive a 100% deposit guarantee, up to 12% yearly interest bonus on their deposit with 1 million DNotes limit on the bonus interest offered. Utilizing DNotes secure online coin storage platform DnotesVault; DNotes is now offering a wide range of individualized long term savings solutions.
 
Mr. Yong went on to explain that not everyone has the means or ability to save for retirement, resulting in many reaching retirement age with social security as their only source of income. Even for disciplined savers who can only save a small amount regularly, because of limited means, it can take decades to build a meaningful nest egg. This is compounded by the fact that nearly one in three Americans have withdrawn funds from their accounts before reaching retirement age.
Digital currencies such as DNotes and Bitcoin, are often characterized with huge potential growth propelled by rapidly growing investment from venture capital and wealthy individuals. As a group, $314 million was invested in this space in 2014 and is likely to exceed $1 billion this year. Being still at an early stage, investment in digital currency has the potential to yield high returns, albeit at a high risk. It is, therefore, prudent to only allocate a small percentage of one's total portfolio for high risk investment, especially in early stages digital currency.

Closer to home, the seriously under funded individual retirement savings are also troubling. RJF, Director of CR.I.S.P. for Retirement expressed his concern, "In these uncertain financial times, it is becoming more and more difficult to maintain a retirement account that will actually see you through your golden years. We believe that the concept of using DNotes to augment your retirement savings is an important consideration."

RJF went on to explain that CR.I.S.P. for Retirement is an unstructured and self-directed plan, using DNotes as the investment vehicle to supplement retirement savings. Re-occurring savings, in any amount, may be added at any time. This savings plan can be started with any amount of DNotes by opening an account at DNotesVault with an expanded registration at CR.I.S.P. for Retirement landing page.
CR.I.S.P. is the brain-child of Chase, a core team member of CryptoMoms; a community with a dedicated mission to encourage and assist women to participate in the cryptocurrency world currently dominated by men. CryptoMoms.com is a currency neutral site, offering rich content on everything about cryptocurrency. It has a very helpful community ready to answer any questions promptly. CryptoMoms was created by, and is fully funded by, the DNotes team.

Read More: :  https://finance.yahoo.com/news/dnotes-digital-currency-retirement-savings-032800708.html

Very glad to see the fund is doing well. Any thoughts of upgrading or modifying to achieve more returns for new depositors? Is Dnotes 2.0 not POS? Could be something there...

[R-J-F]

New Bill Would Require Declaration of Digital Currency Holdings when Entering U.S.

So then it would seem... if/when a crypto currency begins trading with USD, this constitutes a positive growth step? I would think you might even say it more "legitimizes" the currency? 

Along those lines: In case you didn't see, I posted this on DCEBrief concerning the declaration of digital assets to US Customs at border entry points. Honestly, with all these morons, sorry, "politicians" coming out of the woodwork, it feels like we have actually taken 2 steps back in digital history.

"Ludicrous, ridiculous, stupid, inept, uninformed and down right self serving political theater. This ” bipartisan group” of cavemen needs to be UN-ELECTED as fast as their elections can be held. Lets all go back to using stone knives and bear skins while we shiver in our caves because of some totally uninformed self serving members of the electorate are trying to make a name for themselves while putting the future on hold for their own aggrandizement. I have so had it with idiots getting elected perhaps we need to change the entire system. Surely there is something better than “governing by ignorance”. Besides, it is TOTALLY and COMPLETELY unenforceable and a huge waste of taxpayer time and money. Lets pull these idiots into the new world or, better yet, let them rot in theirs."

I know it's a little weak, just could force myself to use more eloquent language considering the subjects...

[DCEBrief]

New Bill Would Require Declaration of Digital Currency Holdings when Entering U.S.

So then it would seem... if/when a crypto currency begins trading with USD, this constitutes a positive growth step? I would think you might even say it more "legitimizes" the currency? 

Some will probably make that argument, and you and I may see that potential upside. That's almost certainly not the intent of the legislation, however. The requirement to disclose digital currency holdings at all points of entry just seems designed to stigmatize crypto and further the "it's for criminals and terrorists" narrative. I've never entered the U.S. from abroad and had anyone ask me to declare the value of my bank account holdings - and those funds are even easier for me to access electronically than any of my digital currency. I suspect that those behind this legislation understand that, and yet they've still focused on crypto rather than more common forms of electronic money.

I've probably said too much. Don't want to give them any ideas...

... at least, not until they start paying me consultant fees.

[DCEBrief]

New Bill Would Require Declaration of Digital Currency Holdings when Entering U.S.

So then it would seem... if/when a crypto currency begins trading with USD, this constitutes a positive growth step? I would think you might even say it more "legitimizes" the currency? 

Along those lines: In case you didn't see, I posted this on DCEBrief concerning the declaration of digital assets to US Customs at border entry points. Honestly, with all these morons, sorry, "politicians" coming out of the woodwork, it feels like we have actually taken 2 steps back in digital history.

"Ludicrous, ridiculous, stupid, inept, uninformed and down right self serving political theater. This ” bipartisan group” of cavemen needs to be UN-ELECTED as fast as their elections can be held. Lets all go back to using stone knives and bear skins while we shiver in our caves because of some totally uninformed self serving members of the electorate are trying to make a name for themselves while putting the future on hold for their own aggrandizement. I have so had it with idiots getting elected perhaps we need to change the entire system. Surely there is something better than “governing by ignorance”. Besides, it is TOTALLY and COMPLETELY unenforceable and a huge waste of taxpayer time and money. Lets pull these idiots into the new world or, better yet, let them rot in theirs."

I know it's a little weak, just could force myself to use more eloquent language considering the subjects...

Hi RJF, we appreciate the comment - thanks for weighing in! Next time, though, you should tell us how you really feel about the politicians making these kinds of decisions. Some might think that you're actually giving them more credit than they deserve...

You're pretty much right on target, though. Unfortunately, we'll probably see misguided bills like this popping up over the next several years, as out-of-touch legislators in the nation's capital react to changes that most of them can barely even begin to comprehend. Politics might be a science, but that doesn't always mean that it attracts only the best and brightest among us. And Congress' utensil drawer is filled with more than its share of dull knives.

[R-J-F]

New Bill Would Require Declaration of Digital Currency Holdings when Entering U.S.

So then it would seem... if/when a crypto currency begins trading with USD, this constitutes a positive growth step? I would think you might even say it more "legitimizes" the currency?  

Some will probably make that argument, and you and I may see that potential upside. That's almost certainly not the intent of the legislation, however. The requirement to disclose digital currency holdings at all points of entry just seems designed to stigmatize crypto and further the "it's for criminals and terrorists" narrative. I've never entered the U.S. from abroad and had anyone ask me to declare the value of my bank account holdings - and those funds are even easier for me to access electronically than any of my digital currency. I suspect that those behind this legislation understand that, and yet they've still focused on crypto rather than more common forms of electronic money.

I've probably said too much. Don't want to give them any ideas...

... at least, not until they start paying me consultant fees.

I hope it's a big one!  

I used to take this crap at face value, politicians trying to make a name for themselves and, to a certain extent, I still do but, I also realize there is a much bigger underground involved and the government will never give up the "control the populace through their pocketbook mentality" Problem now is, every attempt to improve the financial system leads to cries of terrorist financing. What a crock of crap. It's hard enough for civilized, technology aware countries like the US to even grasp the concept of crypto let alone use it to finance anything outside of the few who "get it" and frequent these forums.

I thinks it's misdirection they are playing with. Blame crypto while they do as they please with the economy and misdirect the populace that would be outraged, if they knew for sure where their precious dollars are going! Who is really financing the terrorists? I just know it's not us.


 

[Dyna]

I'm curious... wouldn't it be better to tie the NOTE to $USD (at PLNX it would be the $USDT)? Given the underlying goal of creating a stable currency, wouldn't that be a priority? If so, what's required to make that happen at the exchange level?

Welcome to DNotes, CazMoney and thanks for asking a great question. It will certainly be an added advantage to tire Note to USD. As an example, an exchange like Poloniex would list DNotes as a Note/USDT pair. USDT is a Tether token with a 1:1 conversion with a slight value discrepancy of a few percent if traded in multiple exchanges.  

Out of 66 altcoins listed on Poloniex only 11 are listed with xxx/USDT pair. Poloniex, understandably, is very selective in adding to their listed coins.  I believe that given a sustained higher volume DNotes will achieve that status one day.

A Notes/USDT pair is far from an ideal solution to achieve (value) stability which is crucial as a medium of exchange in global commerce. Stability (a constant value with nearly zero fluctuation) is nearly impossible for any digital currency to achieve in their current forms. DNotes is mindful of those challenges. Accordingly, we have crafted a business model that will address the stability issue which will include having our own exchange, bank, and partner banks in the future. These will take a few years to accomplish. If you need more clarification please feel free to PM me.  Thanks, Alan Yong.

[DCEBrief]

I'm curious... wouldn't it be better to tie the NOTE to $USD (at PLNX it would be the $USDT)? Given the underlying goal of creating a stable currency, wouldn't that be a priority? If so, what's required to make that happen at the exchange level?

Welcome to DNotes, CazMoney and thanks for asking a great question. It will certainly be an added advantage to tire Note to USD. As an example, an exchange like Poloniex would list DNotes as a Note/USDT pair. USDT is a Tether token with a 1:1 conversion with a slight value discrepancy of a few percent if traded in multiple exchanges.  

Out of 66 altcoins listed on Poloniex only 11 are listed with xxx/USDT pair. Poloniex, understandably, is very selective in adding to their listed coins.  I believe that given a sustained higher volume DNotes will achieve that status one day.

A Notes/USDT pair is far from an ideal solution to achieve (value) stability which is crucial as a medium of exchange in global commerce. Stability (a constant value with nearly zero fluctuation) is nearly impossible for any digital currency to achieve in their current forms. DNotes is mindful of those challenges. Accordingly, we have crafted a business model that will address the stability issue which will include having our own exchange, bank, and partner banks in the future. These will take a few years to accomplish. If you need more clarification please feel free to PM me.  Thanks, Alan Yong.

Alan, it is indeed an exciting time for DNotes, and the next several years are going to be memorable in so many ways. Have I told you lately how grateful I am to you and Joe for introducing me to this craziness?

[Hotdog453]

looking forward to exchange rate increase

[TeeGee]

We have created the following video to explain better the ownership structure of DNotes Global, it's future plans, and how it benefits DNotes currency.

https://www.youtube.com/watch?v=IenaYn1ce3w

[Chase]

Regulation / Strangulation Week continues:

Are ICO's about to have their SEC moment (and not in a good way)?


"Initial coin offerings" present dangers to investors, new challenge for U.S. regulators

http://www.reuters.com/article/bc-finreg-bitcoin-ico-idUSKBN1942HF