Your Daily Crypto News on Steemit September 4, 2017

• ICOs in China declared illegal!
• Large banks plan common crypto currency!
• Logistics and Blockchain a dream couple?
• Viberate: ICO for the live music blockchain starts tomorrow!

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The Chinese Central Bank has declared ICOs in China to be inadmissible and brought all fund-raising activities related to ICOs directly to a standstill. This step represents the largest regulatory measure in the crypto area so far.

What has already been pointed out in the last week is now certain: the Chinese central bank bans the issue of new tokens with immediate effect. Future ICOs will be strictly prosecuted and severely punished, already executed carefully examined. All money already spent on token-sales had to be repaid. In addition, the trade of crypto currencies in China is punishable. From now on, it is forbidden to convert digital currencies into national currencies, as well as prohibiting markets and banks from accepting crypto currencies as cash.

The complete ban on ICOs and the extreme restriction of the crypto trade in general represents a radical step on the part of the Chinese government in the attempt to restore the state control over the crypto segment of the financial markets, which has recently slipped. Thus, the crypto and ICO hype and the technology behind it, based on the principles of decentralization and transparency, were also regarded by Chinese officials as a threat to state domination.

In view of these events, the collective price fall on the crypto exchanges is also explained. The 30 tokens with the highest market capitalization have all lost considerable value over the past few hours, many of them in the double-digit range. With the break-up of the Chinese market, which played an important role in the general crypto boom of recent months, all tokens are subject to price corrections.

As reported, the crypto market in China has grown enormously in recent months without being regulated in any way by law. In particular, the ICO business had risen rapidly, money was collected for countless projects and the Chinese investors proved to be exceedingly bountiful. With the rise of NEO in August for the first time a token from China made it into the top 10 of crypto currencies. The Chinese token suffers particularly strongly under the current development - with a price drop of now more than 30%.

Will this radical step of the Chinese government influence the regulatory intentions for crypto markets in other countries as well? It is interesting to observe the reactions and the further development.

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Some of the world's largest banks plan to use a common crypto currency covered by central bank money.

Six major banks are participating in a blockchain project to handle financial transactions. These are Barclays, Credit Suisse, Canadian Imperial Bank of Commerce, HSBC, MUFG and State Street.

For the project, the banks use their own common crypto currency with the name "Utility Settlement Coin", which was developed by the Swiss bank UBS especially for the financial markets.

Hyder Jaffrey, UBS's Strategic Investment and Fintech Innovation Director said:

The Utility Settlement Coin is based on a product developed by Clearmatics Technologies. With the crypto currency, financial institutions are supposed to be able to pay one another, and securities such as bonds and shares are to be traded at a later date.

Instead of having to wait until conventional money transfers are completed, they would use the new currency units that they can then exchange with the central bank for central bank money. This not only saves time, but also the current inconvenient and expensive handling process.

The currency units should be convertible into more than one form of central bank money. Which partner has what for a balance of Utility Settlement Coins will be kept in real time and securelyon the blockchain. Because there is no central place that could be manipulated.

A blockchain is a relatively new variant of a decentralized register. The data are stored on several servers at the same time and are cryptographically signed to prevent manipulation of the data. Bitcoin and other crypto currencies have been showing this for years.

Even though the banks are critical of the competition from crypto currencies, they have shown an increased interest in the technology behind it. They want to use them to automate their internal processing and thus save billions in cost.

Lee Braine, Technical Director of Barclays Investment Bank said:

Blockchain technology is a source of interest where data is exchanged between multiple partners quickly and securely: whether it is commercial finance for medium-sized companies, global container shipping or the handling of gold trading.

Hyder Jaffrey also said:

Until it is possible to settle the securities trading using the Utility Settlement Coin, however, the securities themselves would first have to be recorded in a blockchain system. Otherwise, the desired time gain and the cost reduction would be lost.

Hyder Jaffrey acknowledges that the Utility Settlement Coin may be overtaken by the time when the central banks issue their own blockchain based currencies. However, the UBS manager believes that the central banks will probably still need "many years" to do so.

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What logistics, supply chain management and supply chains can expect for from the blockchain technology- the Innovationsforum Blockchain invites.

In addition to applications from the financial sector, supply chain management, such as logistics, is also seeing a benefit in blockchain technology.

The reason is understandable: In logistics the movements of objects are considered. It is important to know what an object is when and where. While it is often a question of cash flow in the financial sector, a material flow is considered in logistics.

The value chain, which is linked to the material flow, is often regulated by a central ERP system such as SAP. Nowadays, also within the context of the term industry 4.0, the value added always takes place across the enterprise. The management of the associated logistics must therefore either go into the hands of a third party to which all the companies involved trust or decentralized - thus addressing a central application of the blockchain.

An issue that is often raised here is the security and traceability of transports. As elsewhere, there are a few projects, such as CargoChain or Everledger, which are dedicated to specific applications of logistics and supply chain management.

To address these applications of the Blockchain technology in the field of logistics, the Innovationsforum Blockchain invites you to an Event at the Handelskammer Innovationscampus on 12 September at 6 pm. This event was organized together with the Hamburg Logistics Initiative, the German Logistics Association, the Hamburg Chamber of Commerce and the German Transport Association. In the first lecture, Frank Bolten of CHAINSTEP GmbH will explain the basics of the blockchain technology and present some logistics usecases. From Sovereign Speed ​​GmbH, Martin Araman will give a talk on cargo letter security via the blockchain. Afterwards, Florian Seffert of Imperial Logistics International, B.V. & Co. KG, will present the Freightchain project as a means of transactionally securing logistical processes. The evening ends with a discussion discussion moderated by Harald Ehren, the chief editor of the Deutsche Verkehrs-Zeitung, where Dieter Spark (DAKOSY) and Hendrik Roreger (HPA) are taking part.

Therefore, if you are interested in the industry-relevant application possibilities of the blockchain, this event is recommended!

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Viberate wants to create a decentralized system for live music with funding from an ICO. A brief overview of the Viberate ICO, which starts on 5 September.

Especially in the music market, there are many intermediaries between the artist and his followers. This leads to a time- and cost-intensive process when events are organized.

Event management for music events includes, among other things, the contact-making of clients and managers of the artists, the planning of venues and ticket sales. Viberate wants to build an online platform, especially based on the Ethereum blockchain. In addition, a separate Vibe Token is to be launched to attack the 250 billion US dollar (annually) large market, of which up to one third are live events.
The exact functioning of Viberate is explained in a previous article.

Viberate divides its business model into four sectors and wants to serve both B2B and B2C customers:

• Booking commissions:
  According to Viberate, the classic commission rate for the sale of tickets is between 10 and 20% of the artist's net remuneration. Viberate does not want to lower this commission rate, but maintain it, and justify it by the overall lower ticket price.

• Advertising revenues:
  Artists should be able to apply themselves, for example by recording in special charts. Something strange sounds that special positions in the charts are available, which ultimately forms a commercial market place.

• Access to premium contacts:
  Users should pay for access to the representatives or managers of an artist. On the one hand, this is intended as a spam prevention and as a source of income.

• Ticketing:
  More obvious is the classic ticketing, which Viberate performs over the blockchain.

• Third-party integrations:
  The existing data base is to be used for cooperation with third parties, for example for analysis purposes.

Within the framework of the ICO, 120 million of the total of 200 million available VIB Tokens are to be distributed. It starts on 5 September 2017.

In USD, the Soft Cap (minimum funding sum) is one million US dollars and the hard cap is 12 million US dollars. The tokens are sold at a price of 0.1 USD.

For the first investor, a time-limited bonus is also paid:

12% first 48 hours
9% first week
6% second week
3% third week
0% from the fourth week

At the ICO, there was partial criticism because the business model was not sufficient to create a financially successful project and meet expectations. Above all, there is no real income stream of the system.

Disclaimer: The information presented in this post is not a recommendation for purchase or sale. It is only an opinion of me the author. They serve merely to describe the project and are not to be understood as an investment analysis.

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I wish you all a lovely Monday!!!
Best regards
@danyelk