HDR Global Trading said in a post on Tuesday that it had increased the grant it was paying to Michael Ford, also known by his handle “fanquake,” from $60,000 to $100,000 made payable over a 12-month period from March 2020.
The company behind derivatives exchange BitMEX is increasing the grant it pays to one of the developers responsible for keeping the Bitcoin Core protocol up and running.
The firm has supported Ford ever since he took up the post
of Bitcoin Core maintainer in June 2019. One of five maintainers, Ford helps to ensure that the Bitcoin network continues to runs efficiently and can propose and make software alterations to the protocol where necessary.
A Seychelles-based company, HDR has provided financial support for other entities, too. Two months before its grant to Ford, the BitMEX operator made an unconditional donation to the Massachusetts Institute of Technology’s Digital Currency Initiative (MIT DCI), to finance further cryptocurrency research. The size of the donation was undisclosed, however.
Ford has occasionally contributed research
to BitMEX Research. In early January, he provided data showing how system updates had improved protocol performance and reduced bitcoin’s potential attack surface.
HDR’s original grant
for Ford was set to run from July 2019 to July 2020. However, that has been replaced with the new grant that is aimed to increase transparency for the benefit of the Bitcoin community. The exchange owner insists grants are awarded no strings attached, and that it will not use funding to exert any influence over maintainers.
That said, the new grant still has a few conditions. According to a template contract
the company posted on GitHub, all work produced has to be open source and must be relevant to bitcoin development as defined by “the reasonable opinion of the Grantor [HDR].”
If the grantee fails to meet any of these conditions, HDR is authorized to terminate the grant immediately.
Bitcoin Cash ‘Halved,’ DeFi Gets a Boost and Bisq Halts Trading
Bitcoin cash, the splinter cryptocurrency that forked from the Bitcoin blockchain in 2017, underwent its first programmable halving.
Like other proof-of-work blockchains, bitcoin cash (BCH) manages its monetary supply by slowly printing mining rewards to machines that secure its network by solving complicated mathematical problems. As of Wednesday morning, miners will receive half the amount of BCH for essentially the same amount of work. In the past, these “halving events
” proceeded cryptocurrency price rallies, but industry experts have their doubts a bull run is in store for Bitcoin Cash.
Bid-ask spreads on major exchanges widened dramatically
in March, following coronavirus-led market turmoil. The bid-ask spread is an indicator of market liquidity, measuring the gap between the highest price a buyer would pay and the lowest price a seller would accept.
Halvings are not always bullish, and many experts think bitcoin cash has a rough road ahead to retain price and mining capacity. “The conventional crypto wisdom that halvings magically induce a bull run such that the real USD value of miner revenue does not cut in half is naive wishful thinking, encouraging investors to be fooled by correlation/causation,” said Zach Resnick, managing partner at Unbound Capital.
In May of 2020, bitcoin is expected to undergo its third “halving,” a programmed supply reduction that has in the past coincided with a strong run-up in the bitcoin price. In this paper, we explain what the bitcoin halving is, why it matters and why the market is so focused on this event.
Epsilon Theory’s Ben Hunt and NLW discuss why markets are rallying as we enter what promises to be the deadliest week of the virus in the US yet. The question is: Is the rally in both stocks and crypto premature?