18th of June 2020, today we had the opportunity to pick the brain of Jeff Hancock. Originally from Australia. he is the co-founder and CEO of coinpass.com. His recent venture is Coinpass. A UK based GBP Sterling to Crypto Exchange. Who are endeavouring to build a clean, safe and transparent way to buy digital Crypto Assets in GBP Sterling. We talk the future of virtual currencies?
The UK's award-winning "best cryptocurrency exchange platform."
Tells us about your journey to bitcoin?
I was asked by one of my IT clients in 2013 to recover their ransomed data using bitcoin. I had no idea what it was at the time, but we followed the steps on the bitcointalk forum and paid the ransom of the client's behalf. Later in 2016, when bitcoin became more mainstream, we thought about trying to recover the old wallet and see if we had any spare bitcoin left. From the email correspondence we found back from 2013 from the exchange we had used, and the transaction notifications we had leftover 70BTC in the wallet that was now gone from our backup storage. This was my first introduction to bitcoin, where I knew I had to learn more and get more involved.
Why are the stock market and bitcoin rallying in this time?
Free money printing from the US treasury. Rounds of QE of unbacked fiat money flowing into the financial system is driving prices up artificially. With real backed value, this growing debt bubble, growing credit bubble and increasing the money supply of the worlds reserve currency is just kicking the can further down the road for an even bigger crash in the future.
If there is no internet, how do we trade with bitcoin?
If there's no internet, I think bitcoin is the least of our worries. So much of our economy, communications, commerce is based on internet traffic now that I'm sure there will be more significant implications than moving bitcoin between people.
What is the difference between coinpass and coinbase?
We are the UK founded and based? We're not a foreign entity. Our USP is speed, reliability and quality service. We answer every email and phone call we get and don't crash during market peak volatility.
When will Bitcoin be taken seriously by the masses?
When the community grows up a bit and talks more about financial inclusion, global reserve currency and digital finance as a core topic, instead of 10,000 BTC pizza and which is the actual bitcoin. The 0.5% of the population in crypto right now need to work together to bring the other 99.5% in.
Are these get rich stories true?
Some are true, yes. People that got lucky early from being involved in the grassroots, cyberpunk era of mining bitcoin on a laptop... there are still large bitcoin bag holders that we refer to as "whales".
Why has Bitcoin had a rocky past?
Crypto in the early days has some of its first-day use cases as purchasing illicit goods from dark web websites. Back in 2010/2011 users were buying illegal goods and services for 70-100BTC ($60-100)
What is the future of virtual currencies?
The technology that bitcoin has brought to us, DLTs, could see traditional fiat currencies go fully digital and physical cash be a thing of the past. Knowing where every pound or dollar is, has been and who is holding them in a financial system is very attractive for governments and regulators.
- These central bank currencies will only do more to drive the adoption of bitcoin and other decentralized currencies where you can become a digital nomad.
Why is that important to you?
In my own experience, Trust is the new currency. Regardless of which aspect of crypto, finance, wealth or day to day payments is the most appealing to anyone, Trust is king.
If you're an investor or trader, you need to trust the platform you're using to execute your investment or trading strategy is trustworthy enough to work with and Trust they won't work against you. That was one of our most significant factors in starting coinpass were Trust and service. Rather, a dis-service in the industry that still exists today.
Tell me more about that?
With more and more services becoming digital-only, moving away from paper, more time-efficient, secure and niche… meaning you can find the service or product which is just right for you, choice and service us usually what the final purchasing decision. Both of these aspects have "trust" in common.
If you find the right product, at the right price, do you trust who is selling it to you? Can believe who they are and what they are selling is what you will get? The service you're paying or using, can you trust the delivery of this service will be what is written on the tin? What's your guarantee? We all need to establish Trust. What blockchain and crypto allow us to do with banking, payments, any type of service, supply line… is not only TRUST but VERIFY on a public ledger that whats being produced or promised has happened.
How are virtual currencies regulated?
Virtual currencies aren't regulated.
Specific tokens like USDC, for instance, have their circulation amount backed by real USD fiat in a bank account, which is also audited by a 3rd party auditor.. but.. we can see that bank account in real-time, only delayed auditing statistics, which again, we must trust and assume I accurate.
Regulating virtual currencies right now is like controlling the internet, you can't really stop the publishing and distribution of content, perhaps just accessing it certain countries. But remember, everyone has a VPN, so regulation of crypto-assets right now can only fall on the access points, gateways and exchanges.
What "historical events" should rookies know?
Bitcoin's creation, the genesis block... The early history of bitcoin and how it was initially conceived and created. Every halving date is significant in bitcoin's history as each time the world financial system has been in a different state. How bitcoin's value has continued to been perceived at each point in time has changed throughout the last ten years through each event.
What is mining bitcoins?
Mining bitcoins is the act of solving a complex mathematical equation and getting rewarded for your work. Think of something like jeopardy where you get the answer first, and have to come up with the calculation to reach the solution as fast as possible. But, at the same time, you're also verifying the balances for every transaction between each bitcoin wallet in that 10min cycle "block".
Can I ask you a difficult question? Why are bitcoin and virtual currency so prevalent at this time in history?
Take your pick…. Debt, credit, wealth diversity, political tensions, quantitative easing and the constant printing of fiat money from thin air. Ongoing inflation making everyday items more expensive. I feel the invention of bitcoin and cryptocurrency, puts the power of money back into peoples own custody and control.
Aside from that, crypto and digital assets are the newest asset class in several hundred years. There's an inherent interest in anything new, global and the potential to make money. Because the barrier to entry is so low, everyone from any walk of life with a mobile phone or a laptop can get involved in crypto.
Is it the virtual currency revolution working?
I wouldn't call virtual currency a revolution. Bitcoin isn't going to replace the dollar or the pound, ever…. but be bitcan has already shown it can be its own decentralized ecosystem of payments, investment and banking. I feel virtual currencies will be the evolution of currency as we know it today. The underlying technology will be the breakthrough.
Who else cares about the opportunities with bitcoin and virtual currencies?
I think everyone should "care" about what's happening around them. Virtual currencies right now probably feel like something that is so far out of their zone of direct control or influence but should be aware of the impacts they can make. The opportunities are far outside just investing but as an indicator of future tech, job, business or investment opportunities. In my life, I like to use the three plates of a rule—image three dinner plates stacked up, large, medium, small. The top plate, the small one is your zone of direct control. The medium one is what you can influence; the large one is what you should be aware of.
What song do you listen to to get psyched?
There's no individual song, but there are some great mixers and DJ's on Mixcloud that can help put me in the zone.. add free and sometimes over 1 hour long.
What do you an average person to know about coinpass?
Coinpass is a UK based, and the UK operated, and the UK owned cryptocurrency trading platform. We specialize in being the fastest, safest, most reliable and best quality service platform in the UK. Our trading pairs in GBP and soon EUR allow for any investor, professional trader or business to access the cryptocurrency market across the range of our platforms and services.
What are you grateful for?
My team and the UK blockchain community. Without both of these key ingredients, we wouldn't be where we are today.
What message would you like to send the universe?
Never take no for an answer, but learn to ask better questions. Persistence, consistency and massive action = results. Always push for more.
Wow we learned so much. Check out the Instagram Live to a more in depth discussion. Found we can be apart of a trusted banking community. We need to do more research but we will share. Yet, think we will get on the bitcoin train soo.