Aurelia Butler

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    in Cryptocurrency

    Account abstraction will reinvent fintech industry | Opinion

    Our traditional financial industry, despite its tenacity and resilience, is beginning to show its age. The challenges that plague this sector, including its highly centralized nature, exorbitant transaction costs, and inefficient settlement times, underscore the need for transformation. It is indeed a sturdy structure, but one crafted in an era far removed from today’s rapid technological advancements and evolving consumer demands. Parallel to these traditional systems, web3 has emerged, promising an efficient, cost-effective, and decentralized alternative. It signifies a shift from internet monopolies to a user-centric internet, where users own their data and interact directly with each other. However, the journey of web3 isn’t without hurdles. Its complex usability, coupled with cybersecurity concerns, are significant roadblocks to mass adoption. It is in this challenging environment that the concept of account abstraction emerges, providing a glimmer of hope and immense potential.Account abstraction, with its ambition to simplify and make blockchain accounts more programmable, is being hailed as a game-changer. This ingenious approach to smart contracts and digital asset management stands to redefine the fintech landscape, catapulting it to greater heights of accessibility and security.The journey towards simplified interactionAs things stand today, the world of digital assets can be an intimidating space. With a global adoption rate being around 4.2%, it is clear that the perceived complexities of blockchain technology are formidable barriers for potential users. To reach the masses, we must simplify the onboarding process, making the concept more accessible and less daunting. Account abstraction promises to do just that. Crypto world map. Source: Triple-AConsider the Ethereum standard ERC-4337, an embodiment of the account abstraction principle. This standard goes beyond simplifying user interaction with digital assets; it revolutionizes it. It compacts the complex access routes of existing systems into a single, user-friendly login. Not only that, but it also gives users the ability to execute multiple transactions simultaneously, epitomizing the efficiency and convenience that digital asset transactions should offer. The fund transfer process is no longer a complex chore but an experience as seamless as mobile banking, despite the additional capabilities of the system. ERC-4337 provides a standard for the ecosystem to converge on, significantly enhancing the interoperability of smart accounts. It clears the fog around the onboarding process, simplifies the user interface, and promotes an overall improved user experience. Whether you are a crypto native, or a newcomer ready to take the plunge into the world of digital assets, account abstraction is a beacon that can help users confidently through their journey. Heightened security for digital assets Cybercrime remains a concern across all industries, and the financial sector is no exception. Whether in traditional finance or the emerging fintech space, the risk of cyber attacks and data breaches are a constant worry. This concern, coupled with the possibility of losing access to digital wallets, is among the top reasons potential users hesitate to engage with cryptocurrencies.Account abstraction can alleviate these fears. By offering multi-signature security, social recovery, and custom access controls like timelocks, spending limits, and allow-lists/disallow-lists, it creates a robust security framework. This approach does not merely protect users from threats but empowers them with unprecedented control over their digital assets.Multi-signature security allows users to configure their smart contract to require authorisation from several trusted parties. Social recovery offers the option to authorize new devices and reset access, enhancing account protection. Custom access controls, such as spending limits, prevent attackers from draining the entire sum in an account. As we move deeper into the digital age, security cannot be an afterthought. With account abstraction, it becomes an inherent feature, actively enabling users to safeguard their digital assets.The future of fintech The transformative power of account abstraction extends beyond its current capabilities. By handing control back to users and simplifying interaction with smart contracts and programmable payments, it fosters a democratic, transparent, and fortified financial ecosystem. The level of customizability that comes with advancements in account abstraction is revolutionary. We are on the brink of an exciting journey. Account abstraction’s foundation of facilitating efficient and secure transactions on a single account is just the beginning. There’s immense potential to further explore and innovate. As we integrate web3 and blockchain technology more deeply into our lives, we must continue to push the boundaries of account abstraction to realize its full potential. Adopting account abstraction is an essential step forward in creating a new global financial infrastructure. As we continue this journey, we will see a financial system emerge that is more inclusive, efficient, and secure, free from third-party interference.The path to account abstraction might be challenging, with many more milestones to achieve. However, the pace at which it has already begun to transform the fintech landscape is truly astounding. We are actively shaping a future where the control of digital assets is not merely a privilege but a fundamental right. The new era of finance isn’t just on the horizon, it’s here. Account abstraction, with its potential to redefine fintech and the global economic structure, could very well be the fulcrum upon which this transformation pivots.Author: Hsuan LeeHsuan Lee is the co-founder and CEO of Blocto, an ERC-4337 compatible cross-chain wallet that simplifies the onboarding process for individuals into the complex world of cryptocurrencies. Previously, as VP of Engineering, he helped build a distributed ledger technology DEXON and recruited the majority of its local developer talent pool into its dApp ecosystem. Traveling around the world as a crypto nomad, Hsuan continues to push for a culture of innovation and the mass adoption of blockchain with Blocto Wallet, made by Portto.This article was originally published on Crypto.news More

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    in Cryptocurrency

    Sam Bankman-Fried requests weekday freedom for legal defense work

    According to a letter sent to Judge Lewis Kaplan on Friday, as reported by Bloomberg, legal representatives for SBF stated that their client faced difficulties thoroughly reviewing the extensive document accumulation related to the case while confined to the Metropolitan Detention Center in Brooklyn, New York.Continue Reading on Coin Telegraph More

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    in Economy

    Biden to sign strategic partnership with Vietnam -Politico

    The agreement will allow for new bilateral collaboration that will boost Vietnam’s efforts to develop its high technology sector in areas including semiconductor production and artificial intelligence, Politico said.A source familiar with the plans told Reuters on Friday that Biden was weighing a September trip to Vietnam.Biden said this month he would be traveling to Vietnam “shortly” because the country wanted to elevate its relationship with the United States and become a major partner. The White House has not confirmed plans for the trip. Vietnam’s foreign ministry did not immediately respond to a request for comment on Saturday. Ministry spokesperson Pham Thu Hang on Thursday did not confirm or deny a possible Biden visit.”High-level leaders of the two countries have agreed and are discussing measures to further deepen bilateral relation in a stable, substantive and long-term manner, and aiming to upgrade (the relation) to a new level when possible,” Hang told a regular press conference. At a meeting in April, Vietnamese Prime Minister Pham Minh Chinh and U.S. Secretary of State Antony Blinken expressed a desire to deepen ties as Washington seeks to solidify relations with partners in Asia to counter an increasingly assertive China.Officials have not said what the closer relationship might entail, but experts say it could include increased military cooperation and U.S. weapon supplies. More

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    in Economy

    Less cash, fewer bears could leave U.S. stocks vulnerable

    NEW YORK (Reuters) – Several indicators that pointed to upside for U.S. stocks this year have shifted to a more neutral outlook, potentially leaving equities vulnerable to turbulence from a recent surge in bond yields and worries over China’s economy, investors said.Some investors watch so-called contrarian indicators to gauge the market’s mood, with extreme pessimism thought to be a good sign to buy and vice versa. At the start of the year, measures such as stock positioning and allocations to cash showed extreme bearishness, reflecting investors’ grim outlook following a brutal selloff in 2022 and expectations of a recession in the second half of this year. But signs of a resilient economy and cooling inflation drew investors off the sidelines and bolstered risk appetite in the months that followed, fueling a nearly 14% rise in the S&P 500 this year. The upshot, some believe, is that there is now less cash on the sidelines to drive further gains and fewer skeptical investors to win over. While bearish positioning was a “strong tailwind” for risk assets in the first half of 2023, that’s “not the case” in the second half, strategists at BofA Global Research wrote in a report earlier this week. The bank’s survey of fund managers showed cash allocations dropped to 4.8% in August, the lowest level in 21 months. That shifted its “cash rule” indicator – which stands at “buy” when allocations are above 5%, to “neutral.” The survey also showed fund managers the least bearish since February 2022.Bearishness among retail investors, meanwhile, is at half the levels seen in September 2022, according to the AAII Sentiment Survey. “There was plenty of pessimism in the market earlier this year and that shift from pessimism to optimism was fuel for a rally,” said Willie Delwiche, strategist at Hi Mount Research. “We saw it quickly go from too much pessimism to excessive optimism, and now we are starting to see that roll over.” Investors are looking ahead to the Federal Reserve’s annual symposium in Jackson Hole, Wyoming, at the end of next week for further insight into how long the central bank intends to leave rates around current levels. OPTIMISM TESTEDThe surge of optimism that helped fuel stocks is being tested this month, though it remains to be seen whether investors will see the declines as an opportunity to buy on the cheap or a signal to lighten up on stocks.The S&P 500 is down more than 5% from its intra-day high in late July while yields on the benchmark U.S. 10-year Treasury on Thursday hit their highest since October. U.S. real yields, which show what investors can expect to earn on Treasuries after adjusting for inflation, stand near their highest since 2009. Higher yields on Treasuries, which are seen as virtually risk free since they are backed by the U.S. government, can make stocks less appealing to investors, especially since equity valuations are high by historical standards. At the same time, anxiety over China’s worsening property crisis and its impact on the country’s weakening economy has grown after embattled developer China Evergrande (HK:3333) Group filed for U.S. bankruptcy protection this week.”The market is particularly vulnerable right now” due to the surge in bond yields and concerns over contagion in the Chinese property sector, said Quincy Krosby, chief global strategist at LPL Financial (NASDAQ:LPLA). She expects stocks to remain volatile until companies start announcing third-quarter earnings in October. Should the market stabilize, investors will likely reallocate more cash to stocks later in the year, she said. Of course, while optimism has grown, it is still far from extreme, and cash levels are far from historical lows. Bullish investors have taken heart from signs that the U.S. economy will likely avoid recession this year, even as inflation has cooled and the Fed is unlikely to raise interest rates much further. Steve Chiavarone, senior portfolio manager at Federated Hermes (NYSE:FHI), recently increased allocations to sectors such as energy and materials in anticipation of more economic growth.”The market, if anything, might not be bullish enough in the short to medium term,” Chiavarone said. His firm’s research has found that historically the S&P 500 has gained an average of 14% during pauses to Fed tightening. “The time to get bearish is not today,” he said. More

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    in Economy

    Argentina sets grocery price controls for 90 days to tame inflation

    Economy Minister Sergio Massa made the announcement after a meeting with supermarket representatives, noting that officials reached the deal with representatives of 31 local supermarket chains to “stabilize” prices until national elections scheduled for October.Massa himself is running for president as the standard-bearer of the ruling Peronist coalition, after he won its nomination in last Sunday’s primary vote.The center-left minister will face off against radical libertarian Javier Milei, the top vote getter in the nationwide primary, and center-right hopeful Patricia Bullrich.The agreement takes into account tax benefits for those supermarkets that do not increase prices above 5% per month, besides a credit program for small and medium-sized companies that supply supermarkets, the ministry said in a statement. The move follows other price-freezing initiatives from the government to contain surging annual inflation, which topped 113% in July. Consumer prices are expected to rise further in August after Milei’s shock primary win led to a sharp peso devaluation. “The objective of this deal is to prevent the variation in the official exchange rate – which responds to an (International Monetary Fund) condition – from being transferred to the prices of mass consumption products, negatively impacting the pocket books of all Argentines,” the statement added. On Thursday, the ministry announced it would freeze fuel prices until October 31 after an agreement with the industry. More