Crypto.IQ Daily Digest June 27, 2018

EXCHANGES, THE MARKET • FROM TOSHITIMES.COM

A New Crypto Exchange Model is Sparking Controversy and Shaking up the Industry

IQ THOUGHTS

There’s a lot of competition among cryptocurrency exchanges and likely to be even more when the next wave of FOMO hits, and millions of people want to jump in. In response to that competition, these exchanges have come up with an innovative way to offer “zero” fees.

They did it by creating their own coins that are used to reimburse traders for what they spend in Bitcoin or Ethereum on trading fees, zeroing out traders’ costs.

We think this is a questionable practice that has all the trappings of an ICO and so all the potential pitfalls of dealing with tokens that could be securities.

Also, the, essentially zero fees mean traders can move around their cryptocurrency as much as they want without any loss to fees. That tells us that the astounding volume these exchanges are already reporting is likely far less than accurate.

BITCOIN, THE MARKET, ADOPTION • FROM INVERSE.COM

Bitcoin Price: Study Reveals How Social Media Shaped Cryptocurrency’s Rise

IQ THOUGHTS

We know the power of social media from the last U.S. presidential race, but it was surprising to learn that, at least for cryptocurrency, those who post least often count most.

This is not news to any parent who has gone hoarse yelling at the kids. Say something enough times, and pretty soon they tune you out.

Researchers seeking clues to the phenomenon suggest, though, that it may have more to do with how posters see themselves and their role in crypto. Many of the most powerful voices on crypto Twitter are ones that have been in the space for a long time.

They’re here for the ideals and the money, where newcomers are often just investors.

Don’t tell Roger Ver and his battalion of noob BCash crypto Twitter posters.