A quick lesson on plausible deniability

It recently came to my attention that a lot of people weren’t familiar with plausible deniability; a clever security feature that is on the Ledger Nano S.

*As it says this on the device itself and on Ledger’s website too, I feel like I should probably also say it: This is an advanced feature and should be used with caution.*

I made a video on this subject a couple of days ago, so if awful crypto YouTubers are your kinda thing then you can [**check it out here**](https://www.youtube.com/watch?v=WvKUOVGJVV0).

Basically, after talking with friends, I discovered that none of them knew about the hidden layer of security you can create on your Ledger Nano S (and maybe other hardware wallets too? Perhaps a helpful commenter can advise on this).

This is really easy to set up and there is official documentation about it on the Ledger site [**here**](https://support.ledgerwallet.com/hc/en-us/articles/115005214529-Advanced-Passphrase-options).

By navigating to the settings and doing a few other things very similar to when you first set the device up, you are able to set up a secondary PIN which gives you access to a secondary layer of wallets. When you connect the device, you have the choice of which PIN you wish to enter (though the device won’t tell you this, it will simply say ‘Enter Your PIN’ as normal).

*How is this useful?* Well, if you’re ever in distress for any reason and being threatened for your PIN/seed words, you can give out your main PIN number. This will give an attacker access to your main wallets – or your *only* wallets if you’ve not set this up. You will need to have some funds in your main wallets in order to avoid suspicion.

By storing the majority of your funds under an alternative PIN, you are able to disguise where the majority of your funds are sat. You can *plausibly deny* that other PINs and wallets exist. Nothing on the device suggests that you have another PIN set up.

If someone tries to recover your wallet using your seed words, they’ll only get access to your main wallets. However, if you lose your hardware wallet and need to recover using the seeds, you can still recover access to the secondary layer too.

Is this foolproof? *No*. But it’s a hell of a lot better than not having it set up.

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View Reddit by ChristianBentanke

Oyster Mainnet Online!

The Oyster team is proud to announce that the Oyster Mainnet is now live! Users can now host their files using the Oyster Mainnet.

[The Oyster Mainnet web interface can be accessed here.](http://oysterstorage.com/)

**Oyster Team Supplying PRL During Open Beta**
The Oyster team will be supplying the PRL to be used in the open beta of the Oyster Mainnet. Thus, for the time being, users will be able to store their files on the Oyster protocol for free.
**Revenue Beta-Testing has Begun**

We are happy to announce that we have begun beta testing the revenue generation side of the protocol with many different beta testers. The combined monthly unique users of all our beta testers are over two million, ensuring that there will be plenty of web traffic to test the resilience of Oyster’s back-end.


[Click here for more information by getting forwarded to the Medium Article Regarding the mainnet release of Oyster Protocol :)](https://medium.com/oysterprotocol/oyster-mainnet-online-522e865a59f1)

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Have you ever wondered why you can not find order books and graphs of Bitfinex on BTCUSDT pair on the web?

At present, 2,507,140,814 Theter from Bitfinex have been issued in circulation (or better, by a company created by Bitfinex)

Let’s take a few steps back ..

2012 – iFinex, the company that becomes the parent company of Bitfinex and Tether, is founded in Hong Kong.

2013 – Bitfinex incorporates in Hong Kong. Phil Potter runs the company together with CEO Jan Ludovicus van der Velde and CFO Giancarlo Devasini.

July 2014 – Director of the Bitcoin Foundation and former child actor Brock Pierce announces Realcoin a cryptocurrency supported by the value in US dollars. Realcoin is built on Mastercoin (now called Omni), a protocol that works on Bitcoin. Pierce founded the company together with software engineer Craig Sellars and entrepreneur Reeve Collins.

September 2014 – Bitfinex operators Potter and Devasini establish Tether Limited in the British Virgin Islands but tell the public that Bitfinex and Tether are completely separate.

November 20, 2014 – Realcoin rebrands in “Tether”, stating that he wants to avoid the association with “altcoins”. At the same time, the company announces several partners, including Bitfinex. A few questions if Bitfinex actually bought Realcoin and simply wanted to hide the fact that an exchange was issuing dollarized tokens.

February 25, 2015 – Tether starts trading but the amount of USDT in circulation remains relatively flat throughout 2015 and 2016.

May 22, 2015 [19659002] – Bitfinex loses 1,500 bitcoins, worth $ 400,000 at the time, when its hot wallets, connected directly to the Internet, are hacked. The amount represents 0.06 percent of the company’s total holdings. Bitfinex indica will absorb losses.

June 2, 2016 – The United States Futures Trade Commission (CFTC) fines Bitfinex $ 75,000 for the offer of off-exchange financed off-exchange retail products in bitcoins and other cryptocurrencies and for the non-registration as a merchant of a Futures Commission as required by the Commodity Exchange Act. In response, Bitfinex transfers its money from an omnibus account into multi-protected portfolios protected by BitGo.

August 2, 2016 – In the second – the biggest digital currency robber in history at the time, Bitfinex is hacked when a thief manages to escape with nearly 120,000 bitcoins, worth approximately $ 75 million at the moment. Bitfinex never reveals all the details of the hack but BitGo, the security company that had to sign the transactions, states that its servers have not been hacked.

6 August 2016 – Bitfinex “socializes” its losses from theft by announcing a 36 percent cut for almost all of its customers. In return, customers receive BFX tokens, initially valued at $ 1 each. Tokens can be exchanged or used to buy shares in iFinex, Bitfinex’s parent company. Since no third-party verification is conducted, it is unclear whether Bitfinex is solvent at this time or simply trying to stay afloat.

September 2016 – Bitfinex announces Ledger Labs, a forensic blockchain company, to investigate the theft and perform a complete financial audit of its cryptocurrency and fiat assets; only public nevers see the results of the survey, and months later, Bitfinex admits that he has never actually hired Ledger Labs to perform an audit to begin with.

October 13, 2016 – Bitfinex allows customers to convert BFX token at a value of $ 1, into equities in iFinex. For many, who had seen the value of their BFX tokens fall well below $ 1 (a Redditor reported the price dropped to $ 0.30), the deal seems too good to be abandoned. Approximately one-third of all BFX tokens are converted from 1: 1 to RRT token.

March 31, 2017 – Wells Fargo, the last bank willing to process Bitfinex transactions, discontinues all services to Bitfinex and Tether, according to court documents in a lawsuit against Bitfinex against Wells Fargo later. Bitfinex is not a direct customer of Wells Fargo but a customer of four Taiwan-based banks that use Wells Fargo as its correspondent bank.

3 April 2017 – Bitfinex announces that it has paid off all the debt incurred in the August hack, redeeming all the dollarized BFX tokens issued during the haircut. BFX trading is stopped and all remaining BFX tokens are destroyed.

April 5, 2017 – Two days after announcing that the debt has been paid, Bitfinex files a lawsuit against Wells Fargo for interrupting his wire transfer. Tether is listed as a plaintiff. In addition to an injunction order, Bitfinex claims more than $ 75,000 in damages.

6 April 2017 – A pseudonym character known as “Bitfinex” debuts online. Start twisting accusing Bitfinex of creating bonds from nothing to pay debts. (In January 2017 only 10 million tether were in circulation, now there are 55 million.

11 April 2017 – Bitfinex and Tether voluntarily reject the case against Wells Fargo. Potter, the director of Bitfinex, admits later that they only hoped to gain time.

17 April 2017 – Following an announcement on cable delays, Bitfinex announces that it has been closed by its main banks in Taiwan. At this point, Bitfinex has lost all links with formal banking services and is being moved between a number of banks in other countries.

May 5, 2017 – After stating that he never actually hired Ledger Labs for an audit, commissioning Bitfinex Friedman LLP to complete a full audit of the financial statements. “A third-party audit is important for all Bitfinex stakeholders, and we are thrilled that Friedman will help us achieve this goal” – – – – – Bitfinex started blogging. His first blog post introduces a character calling “Spoofy.” A video shows a trader (Spoofy) who makes a large bitcoin order on Bitfinex just to cancel the order as soon as the price of the bitcoin starts to go up. Mt. Gox, an exchange that managed 70% of all Bitcoin transactions worldwide before going bankrupt in 2014, was also accused of manipulating markets.

November 7, 2017 – leaked documents dubbed “Paradise Papers” reveal Bitfinex and Tether are managed by the same individuals. Until now, Tether and Bitfinex have insisted that the two operations were separate.

November 19, 2017 – Tether is hacked and $ 31 million (equivalent in US dollars) is moved from Tether’s treasury portfolio and sent to an unauthorized Bitcoin address. Tether starts a difficult fork to prevent those funds from being spent.

December 1, 2017 – Bitfinex takes over the 5W in New York as a new public relations company.

December 2, 2017 – In a quarterly report, Bitfinex announces that it will no longer serve US customers because it is too expensive to serve them. However, the move, which began in August, follows a US crackdown on the Securities and Exchange Commission (SEC) on tokens generated by initial coin offerings (ICOs) that could be securities.

December 4, 2017 – Bitfinex takes over the Steptoe & Johnson law firm and threatens legal actions against critics. Bitfinex does not specify who exactly could sue, but the individual in question seems to be Bitfinex’ed the blogger who continues to accuse Bitfinex of manipulating markets and printing more cables than it can redeem.

6 December 2017 – The CFTC sends subpoenas to Bitfinex and Tether, Bloomberg Reports. The actual documents are not made public.

December 21, 2017 – Without making any formal announcement, Bitfinex suddenly seems to have closed all new account registrations. Those seeking to register for a new account are required for a mysterious code of reference, but there does not seem to be any reference code.

January 12, 2018 – After a month of closure to new registrations, Bitfinex announces it is reopening its doors, but now requires new customers to deposit $ 10,000 in fiat or cryptocurrency before they can start trading.

January 27, 2018 – Five months after the confirmation of the imminent verification, Tether starts with the Friedman LLP auditor. “Given the extremely detailed procedures that Friedman was undertaking for Tether’s relatively straightforward balance sheet, it became clear that an audit would be unattainable within a reasonable time,” says Tether from CoinDesk.

January 31, 2018 – In the first month of the year, Tether issues 850 million new tether, more than every month before.

Now 2,507,140,814 Theter….

Thanks to some calculation algorithms we managed to analyze the movements and transactions carried out on Bitfinex in greater detail and we discovered the following:

1) The pumps of the last weeks are initialized through the purchase of BTC made with the USDT exchange

2) BTC pump (due to the numerous existing BOTs, altcoins exchange pairs with BTC and the “enzyme mechanism”) stimulates the purchase of altcoins!

3) attained certain price levels (and volume) the altcoins and bitcoins are deflated starting from Bitfinex on the market (the first sales take place on this platform causing a domino effect on other exchanges).

4) emptying takes place in fiat currency !!!!!!!!!

5) Bitfinex is liquidating its BTC: has sold 40,000 BTC in just 14 days (The ghost of Mt.Gox is a cover)! You do not have to believe me, you have to open this link


In practice with this mechanism it is possible to produce a non-existent digital currency (theter = 1 $?????), inflate prices with it and then empty investor’s funds (fiat currencies).

Recent investigations (by SEC) on some ICOs could reveal that one or more altcoins were put into circulation by Bitfinex with indirect correlations.

PAY ATTENTION: The authorities are working on it and soon they could block these activities and you could find yourself with a handful of flies in your hand ..

Welcome to the biggest scam scheme in history!

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