Cryptocurrency Round-Up: Branson Backs Blockchain and Overstock Plans Bitcoin-Based Stock Market

Cryptocurrency markets stabilise, while Blockchain receives funding and Overstock plans stock exchange(IBTimes UK)

Following a tumultuous few days for bitcoinand other cryptocurrencies, most major markets seem to have stabilised over the last 24 hours.

Bitcoin, litecoin and darkcoin all shifted by less than 1% in value since yesterday, while dogecoin saw some positive movement to take its market capitalisation back up above $27m.

Blockchain raises $30m

Bitcoin wallet firm Blockchain has announced record Series A funding, raising over $30m in capital in its first round of outside financing that included notable investors such as British entrepreneur Sir Richard Branson.

Blockchain is the largest provider of bitcoin wallets in the world, with over 2.3 million consumer wallets being downloaded since the company was founded in 2011.

"The company has grown exponentially in every way over the last 18 months," Peter Smith, president of Blockchain, said in a statement.

"We are honoured to add investors and partners to the team with deep expertise in financial services and consumer technology."

Overstock to create bitcoin-based stock market

Online retailer Overstock has announced it is working on a decentralised stock market based on the bitcoin block chain protocol.

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Cryptocurrency Round-Up: Branson Backs Blockchain and Overstock Plans Bitcoin-Based Stock Market

3 challenges in combatting encryption sprawl

'Now that cloud-based services are so widely used, this sprawl can only worsen'

Encryption is on everyones radar lately, and not just due to worries over government surveillance.

Ever-changing data legislation and industry regulation are driving this renewed interest, along with the obvious desires to avoid data breaches and identity theft.

Google recently announced that about 65% of the messages sent by its Gmail users are encrypted while delivered, up from 39% in December 2013.

Now, encryption is not exactly the new kid on the block. It was once the sole province of financial institutions and governments, but the Internet changed all this.

>See also:The intricacies of Bring Your Own Encryption (BYOE)

Computers that had once been safe due to their isolation were now connected and exposed.

SSL/TLS was universally adopted to protect data, and that protection has extended past the obvious applications like eCommerce to organisations IT systems.

This has resulted in not just a heightened level of security but heightened complexity and cost as well.

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3 challenges in combatting encryption sprawl

Dynamic encryption keeps secrets

2 hours ago

Professor Lars Ramkilde Knudsen from DTU Compute has invented a new way to encrypt telephone conversations that makes it very difficult to 'eavesdrop'. His invention can help to curb industrial espionage.

A method ensuring that all telephone calls are encrypted and that eavesdroppers are unable to decrypt information in order to obtain secrets. This is a brief definition of dynamic encryption, the brainchild of Professor Lars Ramkilde Knudsen from DTU. Together with telecommunications businessman Kaj Juul-Pedersen, he established the company Dencrypt, which sells dynamic encryption to businesses so they can safely exchange confidential information over the telephone.

"Today, all telephone conversations are encryptedi.e. converted into gibberishbut they are not encrypted all the way from phone to phone, and if a third party has access to one of the telephone masts through which the call passes, they can listen in," explains Lars Ramkilde Knudsen.

"And even if the conversation is encryptedin principleit is still possible to decrypt it provided you have sufficient computer power," he says. This is in no small part due to the fact that the vast majority of telecommunications operators use the same encryption algorithmthe so-called AES, the outcome of a competition launched by the US government in 1997.

"This is where my invention comes in," he says. It expands the AES algorithm with several layers which are never the same.

Dynamic encryption

"When my phone calls you up, it selects a system on which to encrypt the conversation. Technically speaking, it adds more components to the known algorithm. The next time I call you, it chooses a different system and some new components. The clever thing about it is that your phone can decrypt the information without knowing which system you have chosen. It is as if the person you are communicating with is continually changing language and yet you still understand," he says.

Because any eavesdroppers would have to decipher the encryption key and encryption methodand both are thrown away by the phone after each call and replaced by a new combinationthe conversation is extremely difficult to decrypt when dynamically encrypted. They new system can prove hugely effective in combating industrial espionage, says Lars Ramkilde Knudsen.

Is there anyone on the line?

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Dynamic encryption keeps secrets