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Bitcoin Creator Satoshi Nakamoto Turns 48 Today, Coinciding With the Anniversary of FDR’s US Gold Ban

Bitcoin Creator Satoshi Nakamoto Turns 48 Today, Coinciding With the Anniversary of FDR’s US Gold BanAccording to the P2P Foundation forum, the mysterious creator of Bitcoin, Satoshi Nakamoto, has ostensibly turned 48 today on April 5, 2023. More than 14 years ago, Nakamoto introduced Bitcoin to the forum members, noting that the inventor “developed a new open-source P2P e-cash system called Bitcoin.” The Significance of April 5 in the History […]

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‘AI can be defeated with cryptography,’ says Chelsea Manning at SXSW

Cointelegraph sat down with activist and cybersecurity expert Chelsea Manning to discuss how blockchain technology can combat challenges associated with artificial intelligence.

Artificial intelligence (AI) has become a hot topic following the launch of ChatGPT, an AI chatbot created by research company OpenAI. Yet, while ChatGPT has the potential to write blogs and create crypto trading bots, some worry that AI could be harmful. 

A survey conducted by sales platform Tidio found that 69% of college graduates believe AI could take their job or make it irrelevant in the coming years. Others have pointed out that the rise of AI will make it increasingly challenging to verify accurate information versus fake news generated by artificial intelligence.

For example, Chelsea Manning — an activist, security consultant for decentralized privacy platform Nym and former army intelligence analyst — told Cointelegraph that information verification would become a fundamental problem as AI is integrated into society. Manning told Cointelegraph about how blockchain technology can help combat AI challenges during an exclusive interview at South by Southwest 2023.

Cointelegraph: Why is the rise of AI concerning, and how can blockchain technology combat these concerns?

Chelsea Manning: The actual teachings of AI have been going on for a long time, yet as surveillance in AI becomes more efficient, it will reduce the effectiveness of virtual private networks and other circuits from protecting user data.

Another danger associated with AI and deep fakes is that these elements will eventually become so convincing that many of these instances will end up in a courtroom setting. For instance, there will be situations in the future where individuals will have to forensically verify to a court if something was generated by AI.

We can use blockchain technology to create a decentralized list of where information is coming from, who is producing it and where it was created. This can then be verified on a distributed ledger to prove that a particular event historically occurred, resulting in less dispute.

For instance, someone could take a photograph and then place that metadata on a ledger for verification. If someone tries to dispute that, they can go to the ledger and view the cryptographic signature for verification to see that a particular event occurred.

CT: Do you think we will see more companies evolve that will use cryptography to combat AI challenges?

CM: Yes — since verification is going to be a fundamental problem that arises between society’s exposure to products or surveillance that leverage AI. One way to challenge this is through cryptography, which is going to be fundamental.

Manning (right) with Cointelegraph reporter Rachel Wolfson at SXSW. 

I also believe that a great battle within the technology space over the next decade is going to be this issue of verification and knowing if the information we are receiving is accurate. We are running the very real risk of having our entire reality exposed through our phones or televisions and other places online. Although this is a fundamental way to interact with the world, this information will increasingly not be accurate, yet it will be convincing. I believe there are solutions to these problems, and with some foresight and planning, these doomsday scenarios can be navigated.

CT: You also have strong views on taking an infrastructure approach when it comes to ensuring privacy and security. Can you explain what this means?

CM: One of the most frustrating aspects of developing hardware technology is ensuring that the hardware itself is secure. This is why hardware developers need to focus intensively on supply chain matters — who is developing the technology, who is designing it, etc.

I also believe in the added benefit of an open-source architecture, as these standards are common and universal. I’ve been looking at open-source architectures for designing and developing secure hardware technology for Nym. For example, RISC-V is open source architecture developed at the University of California, Berkeley. RISC-V was designed to grow over time as a standard that doesn’t require any intellectual property (IP). Users can build an IP based on RISC-V, but the architecture itself is available to anyone without requiring a fee.

CT: What are your thoughts on cryptocurrency?

CM: I was very interested in Bitcoin when the white paper came out, but I didn’t necessarily view tokens as being assets or the value behind blockchain technology. I was quite surprised and struck by how readily people were to view proof-of-work certificates as being something that they would buy, sell and speculate on.

This is not necessarily my interest, as I don’t play with speculative assets in general. But from a purely academic sense, I find the technology fascinating. I think cryptocurrency is still a proof-of-concept for what is possible down the line with blockchain technology, but not necessarily ripe and ready to change the world.

CT: Recently, we saw Silicon Valley Bank overtaken by regulators. How do you think this will impact the tech industry as a whole?

CM: This is a seismic event and it goes back to my skepticism of speculative assets in general. This shows that we are still at the whims of the economy, both with traditional banks and with token assets.

The Federal Reserve System and regulators are all interconnected, so it doesn’t surprise me that as inflation has been high, and as the Federal Reserve has tried to curtail the amount of currency flowing, we have seen a number of stressors on more speculative and risky ventures. We are now seeing the effects of that.

But out of every one of these cycles, there has been innovation. If anything, operating in an environment where there is less cash available forces people into a position where they have to innovate more in order to survive. I think this will be an interesting time for the technology industry. It will slow down startups for sure, but I think that existing startups that are able to survive this will be the ones to look out for the most over the next 10 years.

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Digital Real Pilot to Run on Ethereum-Compatible, Permissioned Blockchain

Digital Real Pilot to Run on Ethereum-Compatible, Permissioned BlockchainAccording to the Central Bank of Brazil, the digital real pilot project will use an Ethereum-compatible, permissioned blockchain for the issuance of the tokenized version of the country’s currency. Hyperledger Besu, the open-source platform elected for the tests, will allow the project to run without any licensing costs and to deal with maintenance costs later, […]

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Apple’s Approval Process Delays Uniswap’s Mobile App Launch; Firm Launches Limited Trial Release

Apple’s Approval Process Delays Uniswap’s Mobile App Launch; Firm Launches Limited Trial ReleaseOn March 3, 2023, Uniswap Labs, the firm behind the decentralized exchange Uniswap, announced the launch of a limited early-release application through Apple’s Testflight program. The company stated that the limited release was due to Apple not granting approval for the application launch, and the team does not know why. Uniswap Labs Launches Limited Early-Release […]

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Polygon launches decentralized ID product powered by ZK proofs

The public launch of Polygon ID comes 12 months after it was first launched in a closed-environment to a select group of builders.

Polygon, a layer-2 scaling protocol for Ethereum, has launched a zero-knowledge decentralized identity solutionto the public nearly a year after announcing its development.

The Polygon ID service uses zero-knowledge proofs (ZK proofs) that use cryptographic techniques to allow users to verify their identity online without having their sensitive information passed or potentially stored with a third party.

Polygon Labs publicly released Polygon ID on March 1, almost 12 months after the project was officially launched in a closed-source environment.

The Polygon team says Polygon ID was built to “solve the issue of digital trust.”

“What sets Polygon ID apart from most other decentralized ID frameworks is its implementation of zero-knowledge technology, allowing users to verify their identities or other credentials without necessarily revealing sensitive information,” Polygon said.

The public release introduces four new tools to the Polygon ID toolset — Verifier SDK, Issuer Node, Wallet SDK and Wallet App — that will allow Polygon developers to integrate decentralized identity into their applications.

A simple chart explaining how Polygon ID interacts with user credentials. Source: Polygon

Users will be able to produce zero-knowledge proofs using off-chain credentials — such as their passport, national ID or a bachelor's degree — to interact with smart contracts and verify information on-chain.

“This means that off-chain data can now be used for trustless on-chain verifications in the widely-supported Verified Credential format.”

Polygon claims it’s also the first ZK-based digital ID tool that allows users to hold credentials locally on handheld devices such as smartphones, and that users will no longer need passwords:

“Passwordless logins exchange encrypted verifiable credentials by simply scanning a QR code or connecting to a desktop wallet. Organizations can benefit from improved security, a better user experience, and productivity of their system administrators whose time is not taken up by password resets.”

The co-founder of Polygon ID, David Schwartz, said in a March 1 tweet that the product was built “on the latest decentralized identity standards” which will help protect developers and users against unauthorized access from third parties.

"Providing identity in a way that the average consumer can use is the holy grail of digital ID adoption,” he explained in a separate press statement.

Related: Decentralized finance to be examined at inaugural CFTC tech advisory meeting

Multiple projects have already committed to integrating Polygon ID upon launch, such as Web3 infrastructure provider Kaleido, ID verification solution Fractal and Web3 community management system Collab.Land. Together they have a user base of over 4 million, according to Polygon.

Other Web3 projects, such as metaverse platform The Sandbox and blockchain builder community Guild.xyz, are in the process of integrating Polygon ID too.

Following the news, the price of Polygon’s native token, MATIC (MATIC), increased 2.5% from $1.22 to $1.25 in a matter of hours before falling back to $1.23.

Other blockchain-based ID products out in the space today include Quadrata and IDNTTY.

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Btcpay Introduces New Coinjoin Plugin for Enhanced Bitcoin Privacy for Merchants

Btcpay Introduces New Coinjoin Plugin for Enhanced Bitcoin Privacy for MerchantsOn Monday, Wasabi Wallet and the open-source bitcoin payment processor Btcpay announced a new plugin for the Btcpay server. The plugin implements Wasabi’s Wabisabi coinjoin coordination protocol, allowing merchants to benefit from privacy enhancement. By activating the newly launched plugin, all the funds that merchants receive and send will be coinjoined, or mixed together with […]

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Coinbase new blockchain seen as ‘massive confidence vote’ for Ethereum

One Ethereum bull hopes the launch will help onboard a host of other crypto companies and financial institutions onto Ethereum.

The Ethereum community appears to have taken a bullish view of Coinbase’s newly announced layer-2 network, Base, which has been described as a “massive confidence vote” and a “watershed moment” for the blockchain network. 

Secured on Ethereum and powered by layer-2 network Optimism, Base aims to eventually become a network for building decentralized applications (DApps) on the blockchain. The layer-2 network is currently in its testnet phase, according to Coinbase CEO Brian Armstrong.

Members of the crypto community such as Ryan Sean Adams, host of the Bankless Show, believe the move “is a massive vote of confidence for Ethereum,” which could set a precedent for cryptocurrency companies and financial institutions to use Ethereum as the settlement layer of choice.

Coinbase has approximately 110 million verified users and has partnered with 245,000 companies in over 100 countries since it was founded in 2012. Its cryptocurrency exchange is the second largest in terms of trading volume, behind Binance according to CoinGecko.

“If Coinbase converts 20% of its 110m verified users to Layer 2 users in the coming years, this alone will 10x the total number of crypto native users,” Adams added.

Adam also commended Coinbase for opting to open-source Base and believes the new layer-2 network will bring about even more block space demand on Ethereum.

Meanwhile, Sebastien Guillemot, co-founder of blockchain infrastructure firm dcSpark, suggested that Coinbase made a wise decision to go with a layer 2 as opposed to an independent sidechain, noting that “almost all” cryptocurrency transactions and value locked on Ethereum resides on layer 2s these days.

Ryan Watkins, the co-founder of crypto-focused hedge fund Syncracy Capital, described the news in a Feb. 23 tweet as a “watershed moment” in the Ethereum rollup ecosystem. He added that there was “likely no one better” positioned than Coinbase to onboard the next 10 million users and institutions to Ethereum.

Not everyone was bullish though.

Gabriel Shapiro, general counsel of investment firm Delphi Labs, explained in a Feb. 23 Twitter post that launching a centralized layer-2 network “opens the door” to unwanted SEC scrutiny.

Related: Coinbase beats Q4 earnings estimates amid falling transaction volume

“A centralized L2 that trades lots of tokens any number of which could be alleged securities, or does lots of DeFi transactions that arguably might alleged to be regulated (securities swaps etc), opens the door to the SEC making new kinds of secondary market claims,” wrote Shapiro, adding:

“imo, this will accelerate the SEC's "secondary market" agenda re: blockchain securities issues, because they can't let an SEC registrant "get away with" potential violations & build up a legal arbitrage strategy right under the SEC's nose.”

Shapiro’s concerns come as the SEC has recently upped its enforcement efforts against several stablecoin issuers and staking service providers of late.

Regarding the launch of Base, the lawyer opined that it could be a “bad step for them” and inflict “collateral damage” on the rest of the ecosystem, particularly in the event that the SEC finds a vulnerability to expose:

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Crypto Exchange Coinbase Launches Ethereum L2 Scaling Network Called Base

Crypto Exchange Coinbase Launches Ethereum L2 Scaling Network Called BaseThe cryptocurrency exchange Coinbase has announced the deployment of Base, an Ethereum layer two (L2) scaling network, after developers launched the Base testnet on Thursday. The company said it is incubating Base within Coinbase and that the L2 chain will progressively decentralize over time. Coinbase L2 Scaling Platform Aims to Help Scale the Crypto Economy […]

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Litecoin Network Adopts Ordinal Inscriptions, Following Bitcoin’s Lead

Litecoin Network Adopts Ordinal Inscriptions, Following Bitcoin’s LeadFollowing a growing trend of Ordinal inscriptions on the Bitcoin blockchain, the technology has been ported to the Litecoin network, and the number of onchain Litecoin inscriptions has surpassed 13,000. Software developer Anthony Guerrera made Ordinal inscriptions on the Litecoin network possible by receiving 22 Litecoin to port the technology to the proof-of-work (PoW) blockchain. […]

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The importance of open-source in computer science and software development

Open-source software development promotes collaboration, innovation and accessibility in the tech industry.

Open-source refers to the practice of making source code freely available to the public, allowing anyone to view, modify and distribute the code. In computer science and software development, open source is important for several reasons, as explained in the below sections.

Collaboration and innovation

Global collaboration and contributions to the creation of software projects are made possible by open source, leading to faster innovation and the creation of more advanced and reliable software.

The creation of the Linux operating system is a prime illustration of how open source promotes cooperation and innovation. Linus Torvalds founded the open-source Linux project in 1991. It is one of the most popular open-source projects in history and is widely used in servers, smartphones and other devices today.

Related: Why less may be more when building Web3

Thousands of programmers from all over the world work together on the Linux project to develop the operating system by correcting problems, adding new features and enhancing performance. Anyone can contribute to the project because the source code is openly available for developers to inspect, alter and share.

The collaborative spirit of the Linux project has sparked quick innovation and produced an extremely sophisticated and dependable operating system. There are numerous instances where open source has aided in collaboration and creativity, including the creation of the Python programming language, the MySQL database and the Apache web server, to name a few.

Cost savings

Since open-source software is frequently free to use and distribute, both enterprises and individuals can significantly cut the cost of software creation and deployment.

The use of the LibreOffice productivity suite is one example of how open-source aids in cost savings. Alternatives to expensive, closed-source office productivity suites, such as Microsoft Office, include LibreOffice. Businesses and individuals can avoid paying high software license fees by utilizing LibreOffice.

Increased transparency and security

By allowing anybody to access, evaluate and alter the source code, open source encourages greater transparency and security. This increases the software’s overall security and stability by allowing developers and security professionals to find and repair bugs and security vulnerabilities more rapidly.

For instance, a group of developers that work on the project can remedy a problem if a security flaw is found in an open-source project. This community is capable of promptly identifying a fix and producing a patch that can be widely applied, enhancing the software’s security for all users.

Proprietary software, in contrast, is created behind closed doors, with the vendor of the product being the only one with access to the source code. It is the vendor’s responsibility to address the problem and make a patch available when a security flaw in proprietary software is found. If the vendor is not motivated to accomplish this, the procedure may take some time or even not happen at all.

Community support

Open-source software often has a large and active community of users and developers who provide support and help to improve the software. This can result in faster and more efficient problem resolution.

Related: What are decentralized social networks?

The creation of the WordPress content management system is one instance of how open-source fosters community support. Since its initial release in 2003, WordPress has grown to become one of the most widely used content management systems in the world, powering millions of websites.

A sizable and vibrant community of users and developers work together on the WordPress project to advance the platform. Through online forums, documentation and tutorials, this community helps to make WordPress more approachable and user-friendly by offering assistance to other users.

Education and training

Students and professionals can access real-world software projects using open-source software, giving them a chance to learn and advance their abilities. Additionally, open-source programming languages, such as Python, Java and Ruby, are frequently utilized in education and training courses because they are affordable, simple to learn, and have a big user and developer community that can offer assistance and resources.

For instance, many colleges and institutions teach computer science and software development using open-source programming languages because they allow students to use tools and technologies that are currently in use and help them build skills that are applicable to the labor market.

Additionally, many open-source development tools and platforms, such as GitHub, are widely used in the industry, making it possible for students to gain experience with tools and technologies that are used in real-world development projects. This can help to bridge the gap between education and employment, making it easier for students to transition into software development careers.

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