Posted in: Older News
September 28, 2014 11:50 PM UTC

Bitcoin News in Review: PayPal, Butterfly Labs, Goldman Sachs, and More

With the end of a rather eventful week, it's time for the Bitcoin News in Review, where we feature some of the top stories of the week here on CryptoCoins News. This week, PayPal partnered with three major bitcoin exchanges, the U.S. Federal Trade Commission shut…

With the end of a rather eventful week, it’s time for the Bitcoin News in Review, where we feature some of the top stories of the week here on CryptoCoins News. This week, PayPal partnered with three major bitcoin exchanges, the U.S. Federal Trade Commission shut down Butterfly labs, the shady inner workings of Goldman Sachs were revealed, and more. Keep scrolling for this week’s Bitcoin News in Review.

PayPal Partners with BitPay, Coinbase, and GoCoin

Earlier this week, PayPal surprised Bitcoiners with the announcement that the online payments giant had partnered with BitPay, Coinbase, and GoCoin to integrate bitcoin payments into the PayPal Payments Hub. The Payments Hub is used exclusively for digital goods, and now, merchants have the option to easily start accepting bitcoin payments without significantly reworking their existing payment systems.

This announcement led to a short-lived surge in the bitcoin price, soon followed by another drop.

Since GoCoin also supports Litecoin and Dogecoin, PayPal Payments Hub users can now also accept LTC and DOGE. This caused a sharp jump in the Dogecoin price and a slight rise in the Litecoin price before dropping again. The longterm effects of PayPal’s continued interest in bitcoin are hard to predict, but many are optimistic about the partnership.

“We’re excited to continue building this relationship with PayPal, and look forward to helping develop a simple, seamless way for its customers to purchase digital goods with bitcoin.”


FTC Shuts Down Butterfly Labs

Considered a scam by most in the Bitcoin community, Butterfly Labs has finally been shut down by the FTC. With a court order obtained from the Western District of Missouri, the FTC has prohibited BFL from doing any business, frozen their assets, and placed the company in receivership. BFL routinely failed to deliver customers’ orders, and if orders were ever delivered, they were usually obsolete by that time. Jessica Rich, director of the FTC’s Bureau of Consumer Protection, says she looks forward to “putting the company’s ill-gotten gains back in the hands of consumers.” Butterfly Labs has responded to the FTC, accusing the regulatory agency of being “heavy-handed” and “going to war on bitcoin”. BFL will present testimony from key company witnesses to the court on 29th September.

Whistleblower Reveals Regulatory Capture at Goldman Sachs

Carmen Segarra used to work as a bank examiner at the Federal Reserve of New York, overseeing large financial institutions such as Goldman Sachs. However, in her short, 7 months of employment, she witnessed what is known as “regulatory capture,” where regulatory agencies such as the Fed become controlled or “captured” by institutions they were supposed to be regulating. Segarra saw multiple examples of the Fed “going soft” on Goldman Sachs, and alleges she was fired for not taking a part in the collusion. Segarra has also released 46 hours worth of secret recordings to prove her allegations. Unsurprisingly, the Fed and Goldman Sachs have denied all the allegations.

Shellshock – Worse Than Heartbleed

Bash is a command-line interpreter found on Unix-based systems such as Linux, OS X, and iOS. It’s also found in places like traffic control systems and routers, and has been ported over to Windows and Android. And just recently, a major vulnerability, dubbed “Shellshock”, was discovered in Bash. The vulnerability allows hackers to take control of machines and steal data, and has been present in every version of Bash since 1994. An updated version of Bash has been released that fixes the vulnerability, and users are urged to install the patch as soon as possible. However, some systems will be difficult to fix, such as mp3 players and refrigerators, since these types of devices were never designed with regular updates in mind. The pervasiveness of Bash potentially makes this vulnerability worse than the Heartbleed bug discovered a few months ago. However, only online devices are at risk, and Linux and Mac users can patch their systems using this guide.

Greenpeace USA Takes Bitcoin Donations

The environmental activist group Greenpeace USA recently partnered with BitPay to become the first major international charity organisation to accept bitcoin. Climate change is a very real issue, and Greenpeace hopes to help prevent the Earth from entering a disaster zone due to global warming and CO2 emissions. By accepting bitcoin donations, Greenpeace can keep 100% of donated funds, rather than losing hundreds in credit card fees.

“For us, our mission is clear: at every possible opportunity remind the people who we’ve elected that we want them to put Planet Earth first. This means that, even as the sun set on our fragile globe yesterday, the march does not end there. It continues in our hearts and minds and is expressed through audacious acts to keep climate change at the top of our leaders’ agendas. Whether they discuss economics, health or security, if tackling environmental threats doesn’t figure into their plans, there is no discussion at all.”


That wraps up this Bitcoin News in Review. Be sure to follow us on Facebook and Twitter for the latest cryptocurrency news.

Images credited in their respective articles and from Shutterstock.

Last modified: January 24, 2020 9:35 AM UTC

Neil Sardesai @@neilsardesai

I enjoy keeping up with the latest stuff in science and technology and have been following Bitcoin for a few years now. I also occasionally post cool stuff on twitter.

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