Digital Bytes by Team Blockchain Radio; Powered By Cyber.FM

Dr Stephen Castell responds to the Law Commission's final report on digital assets, contending that the Commission has erred by proposing a new legal status for digital and crypto assets that is unnecessary and scientifically incorrect. He argues that the Commission's attempt to distinguish between different sets of algorithmic data as a new category of property is a technical fallacy and that existing Common Law can address any legal concerns. Castell warns that the proposed new property status could lead to miscarriages of justice akin to past instances such as PO Horizon, and highlights the Commission's limited understanding of technical nuances in law making. Full Article Here

PayPal’s new stablecoin means it can offer payment services and products - PayPal’s USD (PYUSD) represents a significant shift beyond revenue generation, so positioning the company as a key player in the evolving digital economy. This move aims to go beyond conventional payment processing whereby facilitating transactions in emerging areas such as the metaverse and digital equities. PayPal’s new stablecoin means that it can now offer not simply payment services but tangible products that others such as Elon Musk's 'X' can now use and so further shape the digital economy's future. Full Article Here Asset tokenisation - DeFi's accessibility, transparency and security offers the promise to transform the financial sector and the way in which we trade assets. It could democratise financial services, especially in areas with few or unreliable financial institutions whilst making global transactions faster and more efficient. The worldwide tokenisation industry is predicted to grow to potentially $68trillion by 2030 as institutions complete their proof of works and scale their digitisation programs. Full Article Here Liquidity pools and the DeFi ecosystem - liquidity pools on decentralised exchanges are digital asset collections enabling automated trading on decentralised exchanges. Users trade directly using smart contracts and liquidity pools help make trading smoother, adjusting prices automatically based on the volume of buyers and sellers. Liquidity pools offer other advantages such as improving financial inclusion, can generate a passive income. The future of DeFi and liquidity pools is promising but security, scalability and regulation do need to be addressed. Full Article Here Has the Law Commission got it wrong regarding a ‘new, third type of property asset’? Dr Stephen Castell responds to the Law Commission's final report on digital assets, contending that the Commission has erred by proposing a new legal status for digital and crypto assets that is unnecessary and scientifically incorrect. He argues that the Commission's attempt to distinguish between different sets of algorithmic data as a new category of property is a technical fallacy and that existing Common Law can address any legal concerns. Castell warns that the proposed new property status could lead to miscarriages of justice akin to past instances such as PO Horizon, and highlights the Commission's limited understanding of technical nuances in law making. Full Article Here

How AI and blockchain can transform the supply chain - AI and blockchains are crucial to guarantee effective supply chain management. The two technologies may improve the experience for suppliers and end customers by driving higher automation and providing scalability, expanding connection across supply networks and enhancing traceability in commodity movement. AI and blockchain technology are increasingly being seen as solutions to help alleviate some of the problems associated with supply chain management. Full Article Here How can a small business get onto the metaverse? - whilst it may sound like an open-world game on steroids, the metaverse has attracted attention from a number of the largest businesses across the globe, with some having poured millions into obtaining real estate in the metaverse. Adidas purchased a plot of land in The Sandbox with plans to fill it with branded content and merchandise, and PwC's Hong Kong branch, not wanting to miss out on the potential benefits, also purchased virtual land in The Sandbox in 2022. Furthermore, companies such as Meta and Microsoft have developed entire virtual workplaces (Microsoft's Mesh and Meta's Horizon), albeit relatively simple constructs. Full Article Here Why is digital cash ‘on its way’? - arguably, the 2008 banking crisis spawned a desire to have an alternative form of cash/payments as taxpayers questioned why they were being forced to bail out the bankers. Trust in bankers took another hit with the LIBOR revelation and bankers being fined $9billion in 2015.  As society becomes ever more digitised, with the desire also to access services 24/7, it seem inevitable that cash is to be offered in a digital format. But this then raises concerns as to a potential loss of privacy….. Full Article Here Looking after your digital assets - interested in digital assets, but don't know where to start? Here we take a look at what digital wallets are, the difference between custodial and non-custodial wallets, and some tips on how to start. Full Article Here

Stablecoins, especially those that bear interest, could be classified as securities under US law using the Howey Test. Stablecoins generally are not considered securities because their value is pegged, however, interest-bearing stablecoins could complicate this assessment. However, Circle (issuer of USDC) asserts that stablecoins function as currency substitutes, lack profit potential from issuers' efforts and should not be seen as securities. The conclusion is that interest-bearing stablecoins should not be classified as securities. Full Article Here

Tokenisation and Luxembourg's pioneering role - Luxembourg stands at the forefront of global financial innovation, pioneering asset tokenisation through robust regulatory frameworks. Its Blockchain Laws I, II and III provide clear guidelines for DLT integration in securities management, ensuring legal certainty and operational efficiency. Regulatory alignment under MiCA further supports digital asset growth, overseen by the Commission de Surveillance du Secteur Financier (CSSF). Luxembourg's proactive stance fosters transparency and operational resilience thereby attracting Fintech firms and positioning it as a model for global blockchain integration in financial services and shaping a resilient future for capital markets through digital transformation. Full Article Here AI's deepfake problem: how can blockchains help? - as the internet evolves towards Web3, empowering users with control over their data, a critical question emerges: can we ensure responsible AI development in this new landscape? Deepfakes threaten to erode trust online, but blockchain technology offers a glimmer of hope to tackle such challenges. By creating verifiable records of original content and tracking AI training data, blockchain can combat deepfakes and bias. However, scalability remains a hurdle. So, can blockchain really provide a secure and ethical path forward for AI? Full Article Here A ‘whale’ of a problem in the crypto class? - crypto whales (owners of large sums of cryptocurrencies), individuals or entities holding massive amounts of cryptocurrency wield significant market power. And, whilst some see them as stabilising forces, others fear their manipulation. By using tools such as Whale Alert and Etherscan, more informed investment decisions can potentially be made. However, questions remain such as, can whales be fully tracked? Also, are they a necessary evil or a threat to a fair market? Hence, understanding these big players is crucial for navigating the ever-evolving crypto landscape. Full Article Here Stablecoins: are they securities? - stablecoins, especially those that bear interest, could be classified as securities under US law using the Howey Test. Stablecoins generally are not considered securities because their value is pegged, however, interest-bearing stablecoins could complicate this assessment. However, Circle (issuer of USDC) asserts that stablecoins function as currency substitutes, lack profit potential from issuers' efforts and should not be seen as securities. The conclusion is that interest-bearing stablecoins should not be classified as securities. Full Article Here

Jack Dorsey’s love of Bitcoin - in 2018, Jack Dorsey predicted that Bitcoin would be the world’s single currency in ten years. Although, back then, he acknowledged that Bitcoin currently lacked the capability to be an effective currency, he hoped that advancements in technology would solve these problems. Ten years from then would be 2028, a mere four years away from now. And, despite criticisms and his alternative vision of Web5, Dorsey's bold bets on Bitcoin reshaping tech and finance so are you brave enough to bet against him? Full Article Here What can be done to address the challenges that potential impact quantum computing may have on blockchains? - quantum computing's arrival threatens blockchain security by compromising encryption, digital signatures and private keys. Various strategies to help address quantum computing threats to blockchain security exist - quantum-resistant cryptography, post-quantum cryptography and hybrid techniques are potential solutions, but what will be required is collaboration between governments and organisations. Undoubtedly, there is an opportunity to unlock significant transformative potential for quantum computing so as to actually enhance cybersecurity in blockchain systems. Full Article Here E-voting: blockchain-powered voting - traditional voting methods are mostly unchanged and, although paper-based processes are plagued by high costs, inefficiency and susceptibility to corruption, paper systems remain. Whilst more than 37 countries have explored or adopted e-voting, blockchain's features (such as immutability and decentralization) ensure votes remain unaltered and free from centralized manipulation, so enhancing voter privacy and reducing corruption risks. For wide scale adoption, blockchain e-voting must be trusted, scalable and user-friendly and, despite hurdles, blockchain-based e-voting remains a compelling solution for modernising the democratic process. Full Article Here Digital assets: accelerating adoption under the hood - more and more jurisdictions and financial institutions are adopting the use of digital assets that are powered by blockchain technology. The deployment of these tokenized assets that can trade 24/7 offer existing infrastructure providers, such as custodians, real challenges as they have to create new systems processes and procedures to embrace these new digital assets. Whilst much work has already been done, further legal and regulatory clarity is still required for the undoubted efficiencies and cost reductions of trading digital assets to be truly realised. Full Article Here

40% of the world’s population are gamers, so what role do blockchains play? - the gaming industry boasts a vast global audience with over 3.1 billion players worldwide, encompassing nearly 40% of the population. Blockchain technology is revolutionizing gaming by enhancing security and offering novel monetisation avenues through play-to-earn mechanics. Blockchain's decentralized nature ensures transparency and efficiency in event management, optimising logistics and equitable reward distribution. Despite challenges such as scalability and regulatory uncertainties, yet the use of blockchain heralds a transformative era of gaming innovation and economic opportunity. Full Article Here The challenges of quantum computing for blockchain technology - quantum computing (utilising qubits) offers immense computational power but poses serious risks to blockchain technology. It can potentially break traditional cryptographic methods such as RSA and elliptic curve signatures, threatening blockchain security. With about 25% of Bitcoins currently vulnerable to quantum attacks, there is an urgent need for quantum-resistant cryptographic solutions. Full Article Here Web3 and wearables integrating and reshaping global wellness - the integration of Web3 applications and wearables are reshaping the global wellness market (valued at $1.8 trillion), particularly driven by Gen Z and millennial consumers. Web3, characterised by blockchain technology, decentralization and patient-centric data control, revolutionises the sector so enabling both data sovereignty and secure, interoperable data exchange. Wearables such as the Oura Ring and emerging competitors leverage Web3 capabilities, offering advanced health monitoring. This shift toward Web3 signifies a user-centric approach to data control and privacy, heralding a new era in wellness technology. Full Article Here The intricacies of indexing blockchain data - have you ever stopped and wondered what powers the blockchain applications you may use, such as your crypto wallet, crypto dashboards or even your favourite blockchain game, have? The obvious answer is blockchain data, but obtaining this data is actually an art in itself. Blockchain indexing streamlines data retrieval for decentralized applications (dApps), akin to an index in a book, guiding users to specific information swiftly. Full Article Here

Motorsport has always been a game of precision where every millisecond can determine the outcome of a race. Team leaders require accurate data points to make informed decisions and choice the optimal strategy and vehicle for a driver. This precise information is essential for tailoring strategies to the driver's strengths and ensuring the best possible performance on the track. Blockchain technology, with its ability to provide immutable, secure and transparent data management solutions, is poised to revolutionise this high-speed sport by enhancing data security, enforcing compliance and engaging fans in new and exciting ways.

Making micropayments using cryptocurrencies and stablecoins - micropayments using stablecoins and cryptocurrencies are poised to revolutionise the creative economy by enabling low-cost, efficient transactions. This democratises revenue, allowing more artists to earn sustainable incomes - even with smaller audiences - as well as reducing reliance on traditional channels. Blockchain-based systems improve data transparency and control, so aiding content customisation. Increasingly, the programmability of digital currencies is being recognised, enabling payments in ways that traditional fiat currencies are unable to do. Full Article Here DeFi impact on agriculture - decentralized finance, or DeFi, has acquired considerable attention in several industries because it promises to lower intermediaries, boost transparency and democratise access to financial services. With its intricate supply networks and economic requirements, agriculture is a vital industry that is set to benefit greatly from DeFi advances. DeFi's potential to reshape agriculture raises exciting possibilities, so are we ready for this transformation? Full Article Here Monetising genetic data: how can blockchain help individuals? - monetising genetic data raises crucial questions about consent and compensation. Surveys reveal a strong desire for compensation, with many unwilling to share their health data for free. Blockchain technology offers a solution by ensuring data ownership, security and transparency, therefore enabling individuals to control and monetise their genetic data. The convergence of genomics and blockchain could revolutionise data management, ensuring fair compensation as well as advancing medical research, whereby creating a new asset class of individuals to directly benefit from it and giving investors the ability to diversify into an uncorrelated asset for their portfolios. Full Article Here Blockchain in motorsport: enhancing data security and fan engagement - motorsport has always been a game of precision where every millisecond can determine the outcome of a race. Team leaders require accurate data points to make informed decisions and choice the optimal strategy and vehicle for a driver. This precise information is essential for tailoring strategies to the driver's strengths and ensuring the best possible performance on the track. Blockchain technology, with its ability to provide immutable, secure and transparent data management solutions, is poised to revolutionise this high-speed sport by enhancing data security, enforcing compliance and engaging fans in new and exciting ways. Full Article Here

More and more jurisdictions and financial institutions are adopting the use of digital assets that are powered by blockchain technology. The deployment of these tokenized assets that can trade 24/7 offer existing infrastructure providers, such as custodians, real challenges as they have to create new systems processes and procedures to embrace these new digital assets. Whilst much work has already been done, further legal and regulatory clarity is still required for the undoubted efficiencies and cost reductions of trading digital assets to be truly realised. Full Article Here

Decentralized Autonomous Organizations (DAOs) are digital entities operating on decentralized ledger technology, where code, rather than humans, makes decisions. Linking a DAO to a legal entity provides legal status and liability protection, crucial for contracts, employment and financial operations. Without this linkage, DAO-members risk personal liability for the DAO’s debts. Therefore, DAO-entrepreneurs are advised to incorporate legal entities and include clear legal frameworks in their smart contract to ensure secure and legally sound operations. Full Article Here

Could cryptocurrencies be harnessed for provide universal basic income? - the financial and social welfare systems of the globe are changing. Could universal basic income (UBI) transform society by providing everyone with a guaranteed income to meet basic needs? And, as traditional UBI models, funded by taxes, struggle with efficiency and work incentives, could cryptocurrencies and blockchain technology offer a groundbreaking alternative? Full Article Here How AI and blockchain can transform supply chains - modern supply chains face unprecedented complexity. AI and blockchain technology have the potential to revolutionise them by offering transparency and trust through tamper-proof ledgers. AI is already used in half of supply chains for forecasting and planning and when combined with blockchain, it can significantly cut delays, fraud and administrative costs, ensuring more efficient operations. These technologies promise more interconnected and resilient supply chains and could reshape the future of global trade, making it more efficient, transparent and trustworthy. Full Article Here Web3 and digital asset interoperability - the world has witnessed a significant evolution in digital assets in recent years. From cryptocurrencies to non-fungible tokens (NFTs) and decentralized finance (DeFi), the landscape has expanded rapidly, presenting opportunities and challenges. One of the critical challenges facing this ecosystem is the interoperability of digital assets across different blockchain networks and decentralized applications (dApps). Ultimately, digital asset interoperability is essential for realizing the potential of decentralized finance and digital ownership, driving a more integrated and efficient Web3 ecosystem. Full Article Here Decentralized autonomous organizations (DAOs): Pioneering the future of blockchain entities - Decentralized autonomous organizations (DAOs) are digital entities operating on decentralized ledger technology, where code, rather than humans, makes decisions. Linking a DAO to a legal entity provides legal status and liability protection, crucial for contracts, employment and financial operations. Without this linkage, DAO-members risk personal liability for the DAO’s debts. Therefore, DAO-entrepreneurs are advised to incorporate legal entities and include clear legal frameworks in their smart contract to ensure secure and legally sound operations. Full Article Here

Tokenization of deposits: trends, challenges and potential - tokenized deposits are set to reshape banking assets into digital tokens using blockchain technology, whereby ensuring security and transparency. Major global banking titans such as Citi and JP Morgan are participating in initiatives exploring multi-asset settlement, being overseen by regulatory bodies. Regulatory involvement extends to central bank digital currency (CBDC) trials indicating the trend's significance, but with challenges including regulatory compliance and liquidity concerns; initiatives such as the UK Regulated Liability Network aim to address these. Tokenized deposits offer advantages over stablecoins, supported by institutional backing and regulatory clarity; they promise to transform wholesale markets, enabling seamless transactions and bolstering investor confidence in a future of borderless financial services. Full Article Here Transforming insurance: the role of smart contracts in shaping the future - blockchain-powered smart contracts are reshaping insurance paradigms, automating processes and enhancing transparency. This article explores their transformative role, spotlighting streamlined claims management, precise underwriting and fraud prevention. Through real-world examples such as Axa's flight delay insurance and ZhongAn's supply chain finance, smart contracts demonstrate their efficacy in expediting processes and ensuring accuracy. Whilst challenges such as scalability and regulatory compliance persist, collaboration and innovation promise a future where smart contracts drive efficiency, cost reduction and customer-centric insurance solutions, marking a significant shift in risk management and policy enforcement. Full Article Here Blockchain scalability solution - blockchain has grown in popularity and hence prompted a boom in research into distributed ledgers. Being a decentralized technology, blockchain enables transactions to be handled without the use of intermediaries and, as it grows increasingly popular, blockchain’s applications are spreading into everyday life. However, the increasing number of users on a blockchain does present scalability issues, so, to solve these difficulties, experts are working on variety of solutions to overcome these blockchain scaling challenges. Full Article Here Crypto payments: the gateway to mainstream adoption - Bitcoin's blockchain has introduced reliable peer-to-peer payments but mainstream adoption is essential. Whilst viewed as risky in well-banked regions, crypto is a lifeline in areas with poor financial services, exemplified by stablecoin use in emerging economies and humanitarian efforts such as the UNHCR's stablecoin distribution in Ukraine. Integrating crypto with familiar platforms (e.g., Solana with Shopify, Ripple with banks, and PayPal's expanding crypto features) normalises its use. Full Article Here

Tokenized commodities are gaining importance, so helping to address challenges such as volatility, transparency and accessibility whilst offering new economic opportunities and reducing traditional risks. Geopolitical conflicts often cause significant price fluctuations, whereby highlighting the need for more secure trading methods. Gold, with a market cap nearing $16 trillion, has been a key focus for tokenization, offering a stable asset that can be accessed and traded globally. This benefits retail investors in emerging markets and institutional investors by providing transparency, flexibility and fractional ownership, making risk management and portfolio diversification easier. ⁠Full Article Here

Bitcoin's blockchain has introduced reliable peer-to-peer payments but mainstream adoption is essential. Whilst viewed as risky in well-banked regions, crypto is a lifeline in areas with poor financial services, exemplified by stablecoin use in emerging economies and humanitarian efforts such as the UNHCR's stablecoin distribution in Ukraine. Integrating crypto with familiar platforms (e.g., Solana with Shopify, Ripple with banks, and PayPal's expanding crypto features) normalises its use. Full Article Here

Web3 and the metaverse are transforming key sectors, with eSports expected to hit $10 billion by 2023. Healthcare is benefiting from immersive experiences and real-time surgical guidance, whilst education (projected to grow to $763.70 million by 2030) is utilising VR and AR for interactive learning. Meanwhile, tourism is revolutionised through virtual exploration via AR/VR, with secure transactions enabled by digital money. Industries are optimising operations with digital twins and VR/AR, supported by blockchain for efficiency. Web3 and the metaverse are redefining how we play, work, learn and engage - so are you ready for this new digital era? Full Article Here

How blockchain and digital assets are being used in vehicles - since its inception with Karl Benz's three-wheeler, the automobile industry has revolutionized transportation. However, it now faces challenges  such as complex logistics, massive paperwork and a lack of transparency. Blockchain, a secure digital ledger, presents a potential solution - but can it truly address these longstanding issues? Certainly, further exploration is needed to understand how effectively blockchain can integrate with existing systems as well as how regulations might evolve to support this technology in the automotive industry. Full Article Here The transformative power of blockchain: revolutionizing societies and economies - blockchain is reshaping societies and economies far beyond digital currencies, whereby highlighting its influence on finance, charities, supply chain transparency, voting and the safeguarding of healthcare data as examples. However, challenges such as regulatory hurdles, interoperability issues and energy consumption remain, hence the need for research, education and increased awareness to maximize blockchain's potential - both in society and commerce. Full Article Here The nature of payments is changing: programmable money - how feasible is the implementation of programmable money without robust infrastructure support, particularly in terms of blockchain technology and smart contracts? Can existing solutions such as stablecoins provide a foundation for programmable money, or are entirely new frameworks required? Additionally, what challenges might arise in the development and adoption of this infrastructure, and how can they be addressed? Full Article Here Why tokenized commodities matter today - tokenized commodities are gaining importance, so helping to address challenges such as volatility, transparency and accessibility whilst offering new economic opportunities and reducing traditional risks. Geopolitical conflicts often cause significant price fluctuations, whereby highlighting the need for more secure trading methods. Gold, with a market cap nearing $16 trillion, has been a key focus for tokenization, offering a stable asset that can be accessed and traded globally. This benefits retail investors in emerging markets and institutional investors by providing transparency, flexibility and fractional ownership, making risk management and portfolio diversification easier. Full Article Here

Bitcoin's unspent transaction outputs (UTXOs) differentiate the Bitcoin blockchain from others and enable innovative financial applications. Programmable UTXOs are deemed foundational for smart contracts and decentralized finance, crucial for driving transaction volume and network security as block rewards decrease. Will the Bitcoin blockchain be able to get others to adopt it to facilitate secure, programmable transactions, globally? Full Article Here

Unveiling the memecoin craze: Pump.fun’s revolutionary role - Pump.fun's role in the memecoin craze reflects a broader shift regarding cryptocurrency towards community-driven, entertainment-focused assets by providing a platform for easy memecoin creation and trading. Its emphasis on security and user empowerment demonstrates a commitment to responsible trading practices. However, investors must remain vigilant amidst the volatility of the memecoin market, both by conducting thorough research and engaging with the community for informed decision-making. Pump.fun symbolizes the evolving landscape of cryptocurrency, fostering innovation and inclusivity where humour, creativity and community engagement intersect to redefine digital finance. Full Article Here Stablecoins: a challenge to traditional payments - the emergence of stablecoins, backed by major players such as PayPal and Ripple, marks a significant shift in digital payments. However, this expansion coincides with global de-dollarization and increased regulatory scrutiny. Whilst stablecoins offer faster transactions and innovation, they face challenges of stability and regulatory complexity. The future of stablecoins hinges on finding a balance between regulation and innovation to shape the evolving digital finance landscape. Full Article Here Tokenizing assets goes hand in hand with cash on chain - tokenizing assets and cash on blockchain offers the potential to revolutionize capital markets by enabling seamless, secure transactions. Whilst stablecoins provide on-ledger representations of cash, wholesale central bank digital currency (CBDC) holds promise for transforming market infrastructure. However, achieving consensus on key issues among central banks is challenging. Central banks must adapt to ensure financial stability amidst the shift towards tokenization, balancing the potential of private sector innovation with the need for interoperability. Full Article Here Value beyond the halving: the real economics of Bitcoin lies with its programmable unspent transaction outputs (UTXOs) - Bitcoin's unspent transaction outputs (UTXOs) differentiate the Bitcoin blockchain from others and enable innovative financial applications. Programmable UTXOs are deemed foundational for smart contracts and decentralized finance, crucial for driving transaction volume and network security as block rewards decrease. Will the Bitcoin blockchain be able to get others to adopt it to facilitate secure, programmable transactions, globally? Full Article Here

The Proceeds of Crime Act 2002, granted UK law enforcement new powers regarding digital assets. Concerns arise regarding the lack of clarity in defining "cryptoassets" and addressing suspects' rights. Challenges related to transferring and destroying seized assets are also highlighted. Overall, there's a need for greater precision and understanding in legislative efforts concerning digital asset enforcement as otherwise there are a raft of unintended consequences. Full Article Here