Artificial Intelligence, COVID-19, and Developing Countries: Priorities and Trade-Offs – Elemental

The crisis is an wake-up call to developing countries to speed up the digitalisation of their economies

In this article, I will refer to current efforts to harness Artificial Intelligence (AI) against COVID-19, note its promises, limitations, and potential pitfalls, and identify priorities for developing countries. Artificial Intelligence (AI) is the use of algorithms, data, and statistics to teach computers to recognize patterns and predict outcomes. Pattern recognition and prediction are what underlies Machine Learning (ML), Natural Language Processing (NLP), and Computer Vision, the main applications of modern AI.

Since the outbreak of the pandemic in December 2019, there has been a rush to harness AI in the fight. I document these in a recent companion article in Towards Data Science on Medium. AI can help track and predict the spread of the infection, it can help make diagnoses and prognoses, and it can search for treatments and a vaccine. It can also be used for social control for instance, to help isolate those that are infected and monitor and enforce compliance with lockdown measures.

Unfortunately, AI is currently not up to the job to rigorously track and predict the infection. It cannot yet provide reliable assistance in diagnoses. And while its most promising use is to search for a vaccine and treatments, these will take a long time. The main reason for this somewhat pessimistic conclusion is inadequate data. The problem in the current crisis is that there is, on the one hand, not suitable enough (that is, unbiased and sufficient) data to train AI models to predict and diagnose COVID-19. Most of the studies that have trained AI models to diagnose COVID-19 from CT scans or X-rays have made use of small, biased, and unrepresentative samples from China. Many of these studies are not (yet) published in peer-reviewed journals.

On the other hand, the global impact and focus on the pandemic have resulted in too much data. There is too much noisy social media data associated with COVID-19, which, as the failure of Google Flu Trends, illustrated more than five years ago. This failure is dissected by Lazer and colleagues in a 2014 paper in Science, in which they identified the noisy social media data as upending big data hubris and algorithm dynamics. These factors currently also bedevil efforts to track COVID-19 using big data from social media. Furthermore, and perhaps more importantly, the systemic shock which the outbreak has caused has led to a deluge of outlier data. In essence, COVID-19 is a massive unique event. This sudden deluge of new data is invalidating almost all prediction models in economics, finance, and business. The consequence is that many industries are going to be pulling the humans back into the forecasting chair that had been taken from them by the models.

So, while we will not likely see AI in prediction and diagnoses during the current COVID-19 pandemic, we are likely to see the growing use of AI for social control. In contrast to AIs limitations in prediction and diagnoses due to data problems, no such problems exist in using surveillance technology. The use of mass surveillance to enforce lockdown and isolation measures in China, including infrared cameras to identify potentially infected persons in public, has been well documented. These have not been limited to China, but are being adopted by many western democracies, including the USA, UK, Germany, and Spain. Here, it is not so much public infrared cameras that are used but rather personal mobile phone data that are being requested by governments.

Moreover, many developing economies are following suit. OneZero has compiled a list of at least 25 countries that by mid-April 2020 had resorted to surveillance technologies to track compliance and enforce social distancing measures. Many of these violate data privacy norms. These include developing countries such as Argentina, Brazil, Ecuador, India, Indonesia, Iran, Kenya, Pakistan, Russia, South Africa, and Thailand. In the case of South Africa, the country is reported to have contracted a Singapore-based AI company to implement a real-time contact tracing and communication system. Singapore is using an app called TraceTogether, which sends out warnings if social distancing limits are breached.

In addition to social control and compliance measuring, AI systems via apps and mobile devices can also help health authorities to manage. According to Petropoulos, these can enable patients to receive real-time waiting-time information from their medical providers, to provide people with advice and updates about their medical condition without them having to visit a hospital in person, and to notify individuals of potential infection hotspots in real-time so those areas can be avoided.

Social control, and the public information that can be spread via mobile devices, can be beneficial so long as we do not have a vaccine against the virus causing COVID-19. Without a vaccine, governments are left to resort to flatten the epidemiological curve, so as to help the healthcare industry not to be overwhelmed by a sudden increase in patients. And while lockdowns and social distancing measures can be effective to reduce the speed at which the virus spread, they come at an exorbitant economic cost and, therefore, at some time, will have to be phased out.

To limit the danger that there will be a rebound in infections once restrictions are lifted, it may be necessary for large scale diagnostic testing to identify those still infected and keep them in quarantine. In this approach, AI surveillance tools can be valuable. Large scale diagnostic testing is also necessary to fill in the data-gap that characterizes knowledge on the extent and fatality of the coronavirus. It is not known accurately how many people are in fact infected and how many are asymptomatic. A study in Science suggested that up to 86 percent of all infections may be undocumented. If this is accurate, then there are two important implications, one bad and one good news. One, the pandemic may easily rebound once lockdowns are lifted. Two, the virus may not be as lethal as is thought. In this regard, The Economist points out, If millions of people were infected weeks ago without dying, the virus must be less deadly than official data suggest.

The contribution of surveillance technology comes with one substantial risk: that once the outbreak is over, that erosion of data privacy would not be reversed, and that governments would continue to keep intrusive tabs ontheir populations. They can even potentially use the data obtained in the fight against COVID-19 for other purposes.

This risk of using AI in the fight against COVID-19 is perhaps reflective of the general risk in using AI. AI has both positive and negative impacts. There will always be trade-offs. For instance, if we consider the Sustainable Development Goals (SDGs) broadly, a recent survey published in Nature Communicationsemphasized that AI can enable the accomplishment of 134 targets across all the goals, but it may also inhibit 59 targets. AI can do good, but it can also do bad.

Take two more examples of how AI can do both good and bad at the same time. While NLP algorithms may warn against the possible outbreak of an epidemic by mining written reports on social media and online news, a recent study found that to train a standard NLP model to do this using Graphics Processing Unit (GPU) hardware, emits 626,155 pounds of CO2. This is five times more than an average car emits in its lifetime (120,000 lbs.). Another example is that AI-driven automation may raise productivity and firm efficiency, but may increase unemployment and poor-quality jobs (gigs), with higher poverty and inequality as outcomes.

Hence, the authors in Nature Communications recommend that the fast development of AI needs to be supported by the necessary regulatory insight and oversight for AI-based technologies to enable sustainable development. Failure to do so could result in gaps in transparency, safety, and ethical standards.

The key point is that we need to limit the potential adverse consequences of AI, and we need to do so through adequate governance of AI.

Having identified current efforts to harness AI against COVID-19, and having noted their promises, limitations, and potential pitfalls, it remains to identify the priorities for developing countries.

Developing countries are already having to deal with the economic fallout of the pandemic. As Hausmann argues, with revenues, trade, and investments dropping, developing countries would need to increase their indebtedness massively if they are to implement basic healthcare support and social distancing measures against the disease. They are losing policy space precisely when they need it the most. Therefore, prioritization of resources is vital.

Developing countries should prioritize their scarce resources on propping up their health sectors and providing social security to their citizens. In essence, they should not be investing their resources in AI in the hope of improving hospital efficiencies, or in finding a vaccine.

Although AI can be helpful in finding a vaccine, developing countries, and particularly those in Africa, are largely lagging in terms of AI research and development capability. As I document elsewhere, around 30 companies in three regions, North America, the EU, and China, perform the vast bulk of research, patenting (93%), as well as receives the bulk (more than 90 percent) of venture capital funding for AI.

This is not to say that developing countries have no interest in harnessing AI to find a vaccine they do, and this illustrates that such a vaccine is a global public good. Scott Barret has put forth the concept of a single-best effort public good, which can be applied to the search for a vaccine for COVID-19. In the case of a single-best effort public good, it can be produced by one or a few countries for the benefit of all countries. Thus, while developing countries should not be spending resources on finding pharmaceutical solutions to the crisis through AI, they should be part of a global coalition to harness the AI capabilities of high-income economies and China in this respect. What should be avoided is an uncoordinated response, an AI arms race between countries and regions, and uncertainty about the distribution of and access to such a vaccine.

Developing countries should not be spending resources on trying to find pharmaceutical solutions to the crisis, but should be part of a global coalition to harness the AI capabilities of high-income economies and China to find a vaccine and treatments

Developing countries should also partake in the gathering and building of large public databases on which to train AI. The costs of doing so are small, and the potential benefits, given the need for unbiased and representative data on the pandemic is high. It should be seen as an investment against future pandemics.

Finally, in terms of surveillance, AI, in combination with testing, may help developing countries to ease restrictions and lockdowns earlier. But as was discussed, this will come at the risk of compromised data privacy a price that may have to be paid for public health and the re-opening of economies.

How developing countries go about their AI-based surveillance and testing will be crucial. Developing country governments and the global community need to ensure adherence to the highest ethical standards and transparency. If they do not, then they may face the prospect that people will lose what little trust they had in government, which will, as Ienca and Vayena pointed out, make people less likely to follow public-health advice or recommendations and more likely to have poorer health outcomes.

For the developing countries of Africa, this makes it imperative that they ratify the African Unions Convention on Cyber Security and Personal Data Protection the Malabo Convention as soon as possible. On two countries have so far done this. Consistent with this convention, they should stop limiting internet access, internet censorship, and trying to restrict digital information flows.

Developing countries still face a substantial digital divide, and the worlds poorest region, Sub-Saharan Africa, face a particularly daunting challenge it currently contributes less than 1% of worlds digital knowledge production.The COVID-19 crisis, and its likely long-term consequences in terms of accelerating automation, online trade, reshoring as well as increasing the market power of large incumbent digital platforms, should spur on these countries to see the current crisis as an opportunity to speed up their digitalization, and to leverage from domestic and international sources the funding to invest in the long-run upgrading of data infrastructures and skills.

Note from the editors: Towards Data Science is a Medium publication primarily based on the study of data science and machine learning. We are not health professionals or epidemiologists, and the opinions of this article should not be interpreted as professional advice. To learn more about the coronavirus pandemic, you can click here.

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Artificial Intelligence, COVID-19, and Developing Countries: Priorities and Trade-Offs - Elemental

Europe’s digital future: Robotics and artificial intelligence – Open Access Government

The European Commissions policies on the areas of robotics and artificial intelligence will continue to positively shape Europes digital future.

In the upcoming Horizon 2020 calls, future plans for robotics and its vast roles are more important than ever, and the European Union has Four Priority Areas (PAs) targeting: healthcare inspection and maintenance of infrastructure, agri-food, and agile production.

Ccile Huet, Deputy Head of Unit Robotics & Artificial Intelligence, and Directorate-General for Communication Networks, Content & Technology at the European Commission explained in a presentation, what the definition of Agile production is exactly Under Horizon 2020: Agile Production refers to robotic production systems that operate quickly and adaptively in dynamically changing work contexts, adapting to varying work tasks and varying workpieces. The term Agile refers to speed and adaptation in combination and is related to the systems execution of a task or the speed with which reconfiguration or adaptation to a different task can be carried out. (1) Agile Production includes anything that is made, all manufactured goods, food, clothes, shoes, pharmaceuticals, craft items, components and assemblies, buildings, and more.

This perfectly demonstrates one of robotics vital roles in the fast-paced modern digital age. Everyday life relies heavily on all four of these PAs therefore focussing on and developing them will only strengthen the potential for growth, jobs, and innovation in Europe. The fast-developing market and rapid increase in the use of robots in our homes and at work, in hospitals and industrial environments provides an inspiring vision about how they can benefit society as a whole.

There are numerous reasons why the funding of robotics research and innovation is vital to todays world, such as:

Essential for productivity and competitiveness. Reindustrialisation, ageing workforce. Essential to address societal challenges. Health, ageing population, environment, security. Growth potential. Service markets, double-digit growth. Autonomous systems transforming ICT. In addition to ICT, automotive and other sectors. Advanced robotics is one of the key drivers of digital innovation.

Huet also went on to outline the four core technologies when it comes to autonomy in robotic systems, which are AI and Cognition, cognitive mechatronics, socially cooperative human-robot interaction, and model-based design and configuration tools.

Artificial intelligence (AI) has become an area of strategic importance and a key driver of economic development bringing the possibility of solutions to many societal challenges from treating diseases to minimising the environmental impact of farming. However, socio-economic, legal and ethical impacts must be carefully addressed. Therefore, the European Commission has stated that it is essential to join forces within the European Union to stay at the forefront of this technological revolution, to ensure competitiveness and to shape the conditions for its development and use (by ensuring respect of European values).

This European approach to AI will boost the European Unions competitiveness and ensure trust based on European values. The European Commission has already invested significant amounts to bring benefits to our society and economy. In its Communication Artificial intelligence for Europe, the Commission puts forward a European approach to Artificial Intelligence based on three pillars:

Being ahead of technological developments and encouraging uptake by the public and private sectors. (The Commission is increasing its annual investments in AI by 70% under the research and innovation programme Horizon 2020. It will reach 1.5 billion for the period 2018-2020.) The reason for this is to connect AI research centres across the EU and platform the individual efforts of those involved. Prepare for socio-economic changes brought about by AI. The Commission will support business-education partnerships to attract and keep more AI talent in Europe, set up dedicated training and retraining schemes for professionals, support digital skills and competences in (STEM), support entrepreneurship and creativity, and encourage Member States to modernise their education and training systems. Ensure an appropriate ethical and legal framework. On 19 February 2020, the European Commission published a White Paper aiming to foster a European ecosystem of excellence and trust in AI and a Report on the safety and liability aspects of AI. (2) The White Paper proposes measures that will streamline research, foster collaboration between Member States and increase investment into AI development and deployment. It also proposes policy options for a future EU regulatory framework that would determine the types of legal requirements that would apply to relevant actors, with a particular focus on high-risk applications.

The importance of the final of three these pillars is reinforced by the Head of Unit, Directorate-General Communications Networks, Content and Technology (DG connect) at the European Commission Marco Marsella, who stated in an interview with us; To have a meaningful and trustful relationship with digital transformation, trust is, therefore, very important. Everything related to digital data has this component of safety, privacy, security, and trust. (3)

1. https://ec.europa.eu/digital-single-market/en/news/robotics-upcoming-horizon-2020-calls-information-and-brokerage-day2. https://ec.europa.eu/info/files/commission-report-safety-and-liability-implications-ai-internet-things-and-robotics_en3. https://edition.pagesuite-professional.co.uk/html5/reader/production/default.aspx?pubname=&edid=e7e65f16-14bb-415e-a4a7-84c443d8db40&pnum=14

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Artificial Intelligence in Manufacturing Market worth $17.2 billion by 2025 – WhaTech Technology and Markets News

Artificial Intelligence in Manufacturing Market size Research Report, identifies new revenue opportunity in artificial intelligence in manufacturing driver industry. The report aims at estimating the market size and future growth of the artificial intelligence in manufacturing based on offering, process, application, vertical, and region.

According to the latest market research report"Artificial Intelligence in Manufacturing Marketby Offering (Hardware, Software, and Services), Technology (Machine Learning, Computer Vision, Context-Aware Computing, and NLP), Application, Industry, and Geography - Global Forecast to 2025", the artificial intelligence in manufacturing market is estimated to be valued at USD 1.0 billion in 2018 and is expected to reach USD 17.2 billion by 2025, at a CAGR of 49.5% from 2018 to 2025.

Browse134 market data Tables and48 Figures spread through184 Pages and in-depth TOC on"Artificial Intelligence in Manufacturing Market - Global Forecast to 2025"

Download PDF Brochure @www.marketsandmarkets.com/pdfdownd=72679105

The market has huge potential across various industries such as automobile, energy and power, pharmaceuticals, and food and beverages. Increasingly large and complex data set available in the form of big data and evolving industrial IoT and automation drive the growth of this market.

Improving computing power and declining cost of hardware are other key factors driving the AI in manufacturing market.

AI in manufacturing market for software to hold largest market during forecast period

The AI in manufacturing market for software segment is expected to hold the largest market from 2018 to 2023. A large number of companies such as IBM (US), Microsoft (US), SAP (Germany) and Siemens (Germany) are developing software solutions for various manufacturing applications; this is the key factor complementing the growth of software segment.

Moreover, growing involvement of start-ups in the market is further complementing the growth of the software segment.

Computer vision technology to witness highest CAGR from 2018 to 2025

Computer vision technology is expected to foresee the highest CAGR throughout the forecast period.

The growing adoption of computer vision in applications such as industrial robots, quality control, and material movement is propelling the growth of this technology in the AI in manufacturing market. Computer vision is mainly used for predictive maintenance and machinery inspection purpose.

Companies such as Siemens (Germany) and Mitsubishi Electric (Japan) are using computer vision technology in their manufacturing plants.

APAC leads AI in manufacturing market in terms of value

APAC to account for the largest size of the AI in manufacturing market throughout the forecast period. The presence of a large number of manufacturing companies in China and Japan along with the strong presence of automobile and electronics and semiconductor companies are driving the growth of the AI in manufacturing market in APAC.

Moreover, the high adoption of industrial robots is expected to play a vital role in the growth of the said market in APAC.

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The major companies profiled in this report are NVIDIA Corporation (US), IBM Corporation (US), Alphabet Inc. (Google) (US), Microsoft Corporation (US), Intel Corporation (US), Siemens AG (Germany), General Electric Company (US), General Vision Inc.

(US), Data RPM (US) (now Progress Software Corporation), Clearpath Robotics Inc.(Canada), Mitsubishi Electric Corporation (Japan), Sight Machine (US), SAP SE (Germany), Oracle Corporation (US).

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Crypto Analyst Cautions Investors Against Bitcoin for 3 Key Reasons – Cointelegraph

Bitcoin is often described as gold 2.0; a superior system of storing and transferring value. It has seen a rapid increase in market capitalization since its introduction in 2009, with strong custodial, exchange, and futures infrastructure.

Yet, one cryptocurrency analyst known as cryptocomicon recently laid out a series of compelling reasons why one should not invest in Bitcon. The three that stood out most were limited privacy, centralized mining, and the lack of scalability.

Despite each of these being valid points to consider, they can also be seen as advantages for BTC.

Up until 2018, governments and various financial bodies criticized the anonymous nature of Bitcoin, stating that it poses a risk to the global financial system. But, as reported by Cointelegraph, South Korea recently cracked down on a large-scale sex crime ring earlier this month through tracking Bitcoin addresses.

One could argue that the lack of privacy measures on the Bitcoin network has actually improved the image of the dominant cryptocurrency.

Previously the public and governments perceived Bitcoin as the currency most preferred for use in criminal activities and terrorist financing, but this view appears to have changed in recent years as sophisticated blockchain analytics companies who offer crypto transaction tracking services emerged.

Following the release of the Financial Action Task Force (FATF)s revised guideline on crypto assets on February 22, 2020, it has become even more challenging to launder money using Bitcoin than ever before.

Thus, the lack of privacy can also be viewed as increased transparency and this could eventually prevent governments from over-regulating Bitcoin-related companies.

The low scalability of Bitcoin is similar to the no privacy argument in the sense that it can be comprehended in two ways: it can make transactions expensive when the network reaches its peak, but it can also encourage second-layer scaling.

Some state that the relatively high fees on the Bitcoin network would push for the use of second-layer scaling solutions, which many believe to be inevitable if public blockchain networks are eventually used by billions of people worldwide.

Other major public blockchain networks with high scalability like Ethereum are exploring second-layer scaling solutions such as plasma, indicating that second-layer scaling is necessary for any large blockchain network.

According to a report from CoinShares Research, up to 65 percent of the Bitcoin network hashpower comes from China, a level unseen since 2017. While the level of mining centralization in China is currently high, over time it is expected to become more distributed across the world.

To date, large mining centers in China have been able to access cheap electricity in mountainous regions of the country, operating ASIC miners at low costs with natural cooling. Consequently, the level of mining centralization in China reached unprecedented levels in December 2019.

Additional data from CoinShares explained that:

While we expect this ratio to fall again as latest generation hardware further makes its way into the non-Chinese market, at the time of writing, as much as 65% of Bitcoin hashpower resides within China the highest weve seen since we began our network monitoring in late 2017.

The researchers also said:

We have reasons to believe the lions share of the newly deployed hardware has been predominantly installed in China. There could be many reasons for this, but Occams Razor suggests that it is likely an effect of relational and geographic proximity to manufacturers making barriers to business comparatively lower.

Chinas Bitcoin mining equipment access and hashrate. Source: CoinShares

Currently Chinas mining sector has two clear advantages over the rest of the world, cheap electricity and direct access to new mining equipment. Eventually, lower electricity rates and better access to newer mining equipment could push the global mining industry to expand outside of China in the years to come, reducing the level of centralization.

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Crypto Analyst Cautions Investors Against Bitcoin for 3 Key Reasons - Cointelegraph

Bitcoin: The Halvening Cometh – Forbes

HONG KONG, HONG KONG - NOVEMBER 9: As a visual representation of the digital Cryptocurrency, Bitcoin ... [+] with US Dollar on November 9, 2017 in Hong Kong, Hong Kong. Cryptocurrencies - Bitcoin, have seen unprecedented growth in 2017. (Photo by studioEAST/Getty Images)

Bitcoin remains a controversial asset with most people either believing it as doomed to be valueless or set to be worth $1 million a coin. As such it is probably a fair bet to say it will do neither.

Here is the state of play:

The Bitcoin chart as the 'halvening' approaches

This is what happened last time:

Here's what happened to the Bitcoin price after the last 'halvening'

The idea is that the price will go up because the supply of new coins will halve, so on an even keel basis there will be the same demand but less supply. The increase of bitcoin supply will half but interestingly it will also fall below the recent rate of U.S. dollar inflation. So the thinking goes: supply of new bitcoin down + supply of bitcoin less than U.S. dollars (substantially less since the recent titanic stimulus packages) + ever increasingspread of acceptance = significant price rise.

Doomsters say that miners will flee as they can no longer make money mining and the blockchain will seize up. However, every two weeks the mining difficulty retargets to take that into account, so this scenario simply wont happen and in the end transaction costs would make up for any drop in new coin rewards if the situation became difficult. A $6 per transaction fee would fill the gap, which is super pricey, but not when large transactions are at stake.

The halvening wont break bitcoin, but will it be the beginning of the next leg up?

I think so.

Will it catapult bitcoin to $100,000 a coin? It could happen but I want to believe because I have a pile of bitcoins.

The key factor will be the shape of the developing coronavirus recession. The outcome of these huge stimulus packages are impossible to predict. Not only is their effect utterly unpredictable but even their scale is uncertain. Bitcoin (BTC) is just a tiny sideshow to all these goliath moves.

The only outcome that would hurt BTC is deflationary depression and with trillions of cash being helicoptered in to bailout everyone, at least the deflationary part seems hard to imagine.

What isnt so hard to imagine is something the ex-Federal Reserve Chairman brought up: Hysteresis. Thats not the electrical thing, its the political type. Hysteresis is what Marxists use to explain away the fact that their fabulous theories never seem to be adopted or work. Its a shock to the system that is needed to create the momentum for a sudden and irreversible change. That Ben Benenke should bring up the prospect for that is enough to make your ears burn. Bitcoin $1 million is totally ridiculous but then.

A Zimbabwe one hundred trillion dollar note

Whether hysteresis would mean a trillion dollar bill or something else entirely, it wont do bitcoin any harm.

Love it or hate it, in times of hysteresis a bitcoin wallet would be a prized possession. Even without the halvening, bitcoin looks good as a haven/flight asset in very uncertain times.

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Clem Chambers is the CEO of private investors websiteADVFN.com and author of 101 Ways to Pick Stock Market Winners and Trading Cryptocurrencies: A Beginners Guide.

Chambers won Journalist of the Year in the Business Market Commentary category in the State Street U.K. Institutional Press Awards in 2018.

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Bitcoin: The Halvening Cometh - Forbes

More Investors Are Holding Bitcoin Ahead of the Halving, Data Suggests – CoinDesk

Investors may be accumulating bitcoin ahead of next month's miner reward halving.

The seven-day moving average of the total number of bitcoin held in exchange addresses fell to 2,214,365 on April 14 the lowest level since last June according to numbers from blockchain intelligence firm Glassnode.

As of Tuesday, the average was down nearly 8 percent from a high of 2,404,786 registered on Jan. 17, 2020.

The decline in exchange balances suggests a shift to longer-term holding strategies, according to Glassnode.

That's because investors usually withdraw coins from the exchanges to hold in their personal wallets when prices are expected to rise. Conversely, they tend to move their balances to exchanges in preparation to sell when a price drop is expected or during a price crash.

For instance, bitcoins price fell by 33 percent in the seven days to March 15. At the time, the seven-day average of coins held on exchanges rose from 2,333,279 on March 11 to 2,350,795 on March 18.

However, the spike was short lived and the downturn in exchange balances resumed from March 19.

The increased levels of holding may be associated with bullish expectations tied to bitcoins mining reward halving, scheduled to take effect in just 27 days. The process, aimed at controlling inflation, will reduce rewards per block mined from 12.5 BTC to 6.25 BTC.

Essentially, miners will be adding fewer coins to the ecosystem following the halving. Some analysts think that would create a supply deficit and push up prices.Once bitcoin has its halving next month, we expect prices to rally, carrying the rest of the market with it, said Richard Rosenblum, head of trading at GSR.

Meanwhile, some stock-to-flow models indicate the halving could send bitcoins price to $100,000, as noted in the cryptocurrency platform Lunos weekly market report.

Further, the coronavirus-induced global economic recession and resulting unprecedented monetary and fiscal stimulus launched by the Federal Reserve and the U.S. government, respectively, are widely expected to boost bitcoins appeal as a safe haven asset and a hedge against inflation.

However, some observers have been skeptical about the bullish narrative surrounding bitcoins halving. Bitcoin halving in May 2020 wont do anything to the price. It will be a non-event, Jason Williams, co-founder of digital asset fund Morgan Creek Digital, tweeted in December.

Meanwhile, the cryptocurrency has so far failed to perform as a safe haven asset and has largely moved in line with the equity markets. Since the beginning of March, bitcoins correlation with the S&P and Dow has been unusually high at approximately 0.82, Nicholas Pelecanos, head of trading at NEM Ventures, told CoinDesk.

If the decline in exchange balances is a guide, though, the investor community looks to have some belief in the bullish halving narrative and the long-term value of the cryptocurrency as an inflation hedge.

From a technical analysis standpoint, the cryptocurrencys recovery rally from the March low of $3,867 looks to have run out of steam.

Weekly chart

Bitcoin has failed three times in the last month to keep gains above the 100-week moving average, currently lined up near $7,060.The repeated failure is suggestive of buyer fatigue.

That, coupled with the rising wedge breakdown seen on the daily chart, suggests scope for a downside break of the recent trading range of $6,600$7,200. A range breakdown, if confirmed, would open the doors to $6,100, as discussed Tuesday.

Bitcoin has enjoyed an over-50-percent rally from its mid-March low. The bulls now must sustain the rally at an equal or greater pace in the short term or the bears might take back some serious ground," said NEM Ventures Pelecanos. "Indicators from one of our momentum-based strategies are beginning to show a serious bearish setup that could lead to a 50-percent sell-off, sending prices into the low $3,000s."

Disclosure:The author currently holds no cryptocurrencies.

The leader in blockchain news, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups.

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More Investors Are Holding Bitcoin Ahead of the Halving, Data Suggests - CoinDesk

Bitcoin Will Follow Ethereum And Move to Proof-of-Stake, Says Bitcoin Suisse Founder – Cointelegraph

Niklas Nikolajsen, the founder of Swiss crypto broker Bitcoin Suisse, predicts that Bitcoin (BTC) will move to Proof-of-Stake (PoS) once the Ethereum (ETH) network has proved the algorithms success.

Bitcoins current Proof-of-Work (PoW) consensus algorithm the pioneering concept which in fact pre-existed Bitcoin, but has since come to be indissociable from the cryptocurrency will probably change in the future, Nikolajsen argued.

In outtakes from an interview conducted for a German TV documentary recorded back in October 2019, but uploaded on April 6 Nikolajsen said:

[Bitcoins move to Proof-of-Stake] is not planned, but the second-largest cryptocurrency, Ether, will move to a Proof-of-Stake concept that demands vastly less electricity, already in a few months. Im sure, once the technology is proven, that Bitcoin will adapt to it as well.

Once its proven that Proof-of-Stake works well, its a superior system to Proof-of-Work, he said.

In blockchains that use a PoS system, nodes in the network engage in validating blocks, rather than mining them, as in PoW. For PoS, a deterministic algorithm selects block validators based on the number of tokens a given node has staked in their wallet i.e. deposited as collateral in order to compete to add the next block to the chain.

Nikolajsen's prediction that Bitcoin will eventually migrate to a PoS system was made in the context of a discussion of the notoriously high levels of electricity needed to sustain mining on the current network.

He dismissed claims that mining Bitcoin consumes levels of electricity comparable to small nations and also emphasized that mining's energy-intensity is less of an issue than where that energy is produced and how sustainably it is generated.

Moreover, the energy consumption of producing gold Bitcoins proverbial predecessor must be equally acknowledged, Nikolajsen states, as does that in the existing banking system and tech industry:

Which metropolis in the world doesnt have 100-story-high banking towers, glowing in a million different colors all night, and their financial systems, their computers, server rooms. How much energy does Facebook consume? They have 21 huge data centers worldwide, Id say probably more than Bitcoin. The banking system for sure consumes a lot more energy.

The common perception that high energy consumption is an Achilles Heel for Bitcoin has been critiqued by some proponents of clean energy, who, like Nikolajsen, place an emphasis on the sources of power, rather than levels of consumption.

Beyond the energy problem, the PoS vs. PoW debate engages questions of economic fairness, barriers to entry, network security and decentralization.

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Bitcoin Will Follow Ethereum And Move to Proof-of-Stake, Says Bitcoin Suisse Founder - Cointelegraph

Judge ‘Puzzled’ by Craig Wright’s Objections to Producing Evidence of Over 1.1M Bitcoin – CoinDesk

A federal judge said Craig Wright's objection to handing over crucial evidence regarding billions in bitcoin left her "puzzled," as he seemed to be arguing the court should "blindly accept" everything he says.

District Judge Beth Bloom overruled Wright's objections to an Order of Discovery issued by another judge, compelling Wright to produce 11,000 documents for the Kleiman lawsuit. She said the defendant mischaracterized the order and relied on unsubstantiated arguments.

In a highly critical explanation for her decision for the Southern District Court of Florida, Bloom said it was the role of the presiding judge to determine what evidence was admissible in court. She ruled Wright's arguments that the documents would be inadmissible because they would disregard his attorney-client privilege was a mischaracterization.

The brother of Wright's deceased business partner is suing Wright for half of the 1.1 million bitcoin supposedly held in a joint mining venture known as the Tulip Trust. Based on today's price, the overall value of the bitcoin in question would be more than $7.7 billion, according to CoinDesk's Bitcoin Price Index.

Wright has long claimed to have access to the bitcoin but has told the court he couldn't prove this as it would infringe on the privilege he has with a mysterious Kenyan lawyer known as Denis Mayaka, who is supposedly counsel for the Tulip Trust.

As Bloom said in this week's court order, Reinhart already highlighted Wright's relationship with this lawyer could not properly be authenticated. The evidence consists of a LinkedIn printout and typed declaration asserting he is counsel for the Trust. This "could easily have been generated by anyone with word processing software and a pen," Reinhart had said.

In her reasons for overruling Wright's objections, Bloom said Reinhart "was not clearly erroneous or acting contrary to law" after he issued the discovery order. "Defendants gripe, therefore, is not with the supposed exclusion of the evidence but instead with the weight assigned to it."

Bloom said Reinhart's skepticism was justified on the basis of Wright's history of providing false evidence.

"[T]he Court is puzzled by Defendants apparent argument that Judge Reinhart must blindly accept items produced by Defendant such that Judge Reinhart cannot rely on his past experiences with Defendant in this litigation (including his history of providing forged materials and giving perjured testimony) in evaluating whether Defendant has carried his burden as to privilege."

"That is not how fact-finding works," Bloom added.

Bloom found nothing to support Wright's argument that producing the evidence would leave him in violation of Australian law. She also threw out claims the magistrate judge should have determined whether documents were relevant to the proceedings before ordering Wright to produce them in court.

The court order is the latest development in a long lawsuit characterized by bad blood on both sides. Wright was previously found to be in contempt of court, while just last month Reinhart criticized Kleiman's legal team for charging "excessive fees" that were to be paid by the defendant due to the drawn-out proceedings.

Wright now has until April 17 to produce the requested documents.

See the full filing below:

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Judge 'Puzzled' by Craig Wright's Objections to Producing Evidence of Over 1.1M Bitcoin - CoinDesk

Here’s Why This Billionaire Just Applauded Chainlink and Compared it to Bitcoin – Bitcoinist

One of the most well-known figures in the crypto industry, supporting Bitcoin from the very beginning, has expressed some positive comments regarding the stand out altcoin cryptocurrency Chainlink, which has been a top-performing asset throughout the last two years. He even compares the assets community to that of Bitcoin or Ethereums, noting that it is one of the rare cryptocurrencies with real merit behind it.

Cameron and Tyler Winklevoss are widely recognized as investors, businessmen, and entrepreneurs by the general public, due to their close involvement with the early days of Facebook. The duo worked closely with Mark Zuckerberg and was emblazoned in a long court battle over rights to the social media network.

After losing the fight to Zuckerbergs arsenal of lawyers, the pair brushed off their losses and took another chance at something potentially as disruptive and far-reaching, if only the world could ever realize its power. During the earliest days of Bitcoin, the Winklevoss twins met Charlie Schrem, who put them onto the first-ever cryptocurrency.

Related Reading | Chainlink Integrates Real-World Assets Into DeFi on Ethereum

They bought a substantial amount of the asset, and are known to have one of the largest holdings of Bitcoin even today. When Bitcoin ballooned to over $20,000, their net worths skyrocketed, thanks to the two betting big on what they refer to as the future of finance.

Their belief in crypto was so powerful, the two launched the Gemini cryptocurrency exchange as a means to connect the disruptive fintech with consumers at scale.

Tyler Winklevoss, shares some of that belief in the up and comer altcoin called Chainlink, tweeting positively about not only the asset itself but its development and investor community.

The Gemini exchange co-founder and one half of the Winklevii, Tyler, took to Twitter to commend the cryptocurrency known as Chainlink, and the assets community.

He revealed that the passion the community shows is appreciated, and reminds him of the dedication early Bitcoin supporters like himself and his twin brother. The same goes for the community involved in the number two crypto by market cap, Ethereum.

Related Reading | Crypto Trader Gets $0.0001 Chainlink Order Partially Filled on Binance

Etheruem enjoys one of the most active development and investment communities in the investment space, so comparing it to Chainlink is an enormous nod of approval. Chainlink doesnt yet support such activity, but the altcoin is very young and support is still growing rapidly.

And so is that assets price. After being the top performing crypto asset of 2019, Chainlink was the only altcoin to set a new all-time high amidst the coronavirus chaos last month, when markets collapsed into a downward spiral of panic-selling.

With such community support, rapidly rising prices, and a nod of approval from the likes of Tyler Winklevoss, Chainlink is set to have yet another incredible year.

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Here's Why This Billionaire Just Applauded Chainlink and Compared it to Bitcoin - Bitcoinist

Another Bitcoin Mining Firm Warns COVID-19 Pandemic May Harm Its Business – CoinDesk

Hut 8 Mining Group, a publicly traded cryptocurrency mining firm, is concerned about coronavirus-related delays of new machine deliveries from potential suppliers such as Bitmain and MicroBT.

During an earnings call last week, CEO Andrew Kiguel said his firm was grappling with a vague timeline for the delivery of crypto mining machines to support its farms, saying that while in February, you thought machines could be delivered between March and April, these timelines have since shifted due to the ongoing pandemic. He did not have a revised timeline either.

His remarks follow guidance from competitor Riot Blockchain, which also warned the novel coronavirus outbreak would impact its business operations.

Three or four weeks ago, nobody thought these things would be an issue, and the world is grappling right now with different supply chain issues like getting ventilators and masks around the world as opposed to bitcoin mining machines, Kiguel said.

Bitmain was one of several Chinese miner manufacturers that warned as far back as January close to eight weeks ago it would be forced to delay deliveries due to the coronavirus outbreak.

Bitmain has since resumed operations, though its delivery timetable is still unclear.

Hut 8 Mining Group, one of the few publicly traded mining firms in the U.S., is also closely watching the upcoming bitcoin halving in hopes of appropriately scaling the size of its mining farm.

The Canadian firm is set to have a higher stake in the bitcoin market after launching its core operation in the middle of 2018 and acquiring facilities to boost its mining power last year. According to its year-end report for 2019, released on Monday, Hut 8 saw $58.6 million in revenue, up by 66 percent from the prior year, thanks to larger capacity and higher bitcoin price.

This places it as one of the productive miners in North America among its competition, including the Colorado-based Riot Blockchain.

Hut8s coronavirus concerns come as the firm prepares for bitcoins hotly anticipated halving, tentatively set to occur in mid-May.

There's a lot of different scenario planning that we've done, Kiguel said.

The leader in blockchain news, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups.

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Another Bitcoin Mining Firm Warns COVID-19 Pandemic May Harm Its Business - CoinDesk