Ride-sharing app Uber experienced a setback on Thursday (11 May), as a top EU lawyer of the European Court of Justice (ECJ) stated in an opinion that the company can be regulated , instead of an information society business.But the ECJ is not the only thing that is on Uber's worry list.People are still using cash, but for how long?(Photo: Peter Teffer) Virtual currencies may one day challenge the dominance of digital giants such as Uber and home-rental app Airbnb.Both of these firms run their services on centralised platforms and skim fees off their users around the globe.It is a business model that has earned them billions in revenue and raised tricky questions over tax and labour rights.Destroying that business model - while keeping the service with the same level of trust when things go wrong - could be the next big step in the so-called sharing economy.The vision of a decentralised sharing economy has gripped people who see virtual currencies as a driving force behind what today remains very much a niche movement.

Aaron Wright, director of the Blockchain project at the New York City-based Cardozo School of Law said "I think it is very early days," referring to the new wave of cryptocurrencies.Digital currencies first appeared eight years ago with Bitcoin, the value of which has been fluctuating up and down over time.baisse du bitcoinDespite internal turmoil among its user base, Bitcoin traded above the market price of one ounce of gold for the first time ever earlier this year.550 ti bitcoinMany similar currencies have since followed Bitcoin's release, with a total combined market cap value of around €27 billion and growing.litecoin bitcoin profitabilityNot all virtual currencies are the same, but one thing all of them share is the underlying use of blockchain technology.bitcoin poker league

Blockchains store information across a network of personal computers.It means no company, government, or person owns the system.Information on blockchains cannot be altered, reversed or changed.And everyone helps run it.Bitcoin is by far the most popular virtual currency on the market.jewelry bitcoin faucetBut two years ago, Ethereum appeared and has since become Bitcoin's biggest rival.skrill to bitcoin instantUnlike Bitcoin, Ethereum is also able to transfer information and value of any kind."It [Ethereum] resembles a new level of understanding of what cryptocurrencies can do," said Walid Al-Saqaf, from the US-based non-profit Internet Society (ISOC).Sometimes described as a decentralised world computer, Ethereum can run programmes, exchange information and value.Ethereum opens up a whole new field of opportunities that may one day rival more traditional online industries.

One reason is that Ethereum is the first currency that allows for so-called smart contracts.A smart contract is a small programme that acts as a digital middle-man, gets money from multiple people, and provides designated services.Placed on a blockchain, which is immutable and transparent by default, it could create the trust people seek when they sign up to services like Airbnb and Uber."We can use this new database that nobody owns.That means Uber doesn't own it, that means Airbnb doesn't own it," said Wright of the Cardozo School of Law.Wright said people then started thinking about how the blockchain could be used in the sharing economy."I think people see the vision for this and the question is does it happen in the next five years or does it happen in 20 years," he said.Some are already trying.Slock.it, a German-based firm, is currently developing the smart contract and Ethereum concept into practical applications.According to the company's website, Slock.it wants to give everyday things, like work space rental, the ability to receive payments and enter into complex agreements and transact without intermediaries.

In March, it secured some $2 million in seed money to develop its Universal Sharing Network (USN) project."With the USN, rental apartments and offices will become fully automated, smart objects will be rented on demand and unused vehicles get a new lease on life," said Slock.it's CEO, Christoph Jentzsch, on the firm's website.But Slock.it hasn't been without issues.Last year, it attempted to raise venture capital using a smart contract that was later hacked.The smart contract contained a bug, which was exploited.Some $50 million of digital Ethereum money, also called Ether, was stolen from the project known as the Decentralised Autonomous Organisation (DAO)."People learned from that [DAO], because it is not a simple thing to write a smart contract, it is much more demanding," said Walid Al-Saqaf.It means if there is a bug in the code then it becomes susceptible to hacking or other vulnerabilities.Al-Saqaf says a critical mass is needed for people to consider Ethereum as a living application for a smart contract, rather than as a currency, before it would ever go mainstream.

"I see it developing, the thing is that there is potential and the technology is available," he said.This article is part of EUobserver's annual Business in Europe magazine, which will come out 15 May.This year, the magazine looks at how Europe manages the sharing economy.If you would like to receive the e-version of the magazine, please register for the newsletter.On July 20, 2016, the Ethereum blockchain was successfully hard forked in order to unwind a hack executed on the smart contract known as the Decentralized Autonomous Organization (DAO).As a result of this hard fork, a new blockchain came into existence.As the Ethereum Foundation, a large majority of developers and miners, and most other members of the Ethereum community adopted this new blockchain, it kept the name Ethereum.However, a vocal minority did not agree with the implementation of the hard fork, protesting that such action violated the principles of immutability and fungibility.These individuals opted to support the original, pre-fork blockchain.

They named this blockchain “Ethereum Classic,” declared their independence from Ethereum, and set up their own website.The Ethereum Classic blockchain continues to exist, and its token, which is listed on several virtual currency exchanges, is the sixth largest crypto-currency in the world in terms of market capitalization.Buterin and the Foundation have previously commented publicly about the Ethereum Classic blockchain, without any indication that they are concerned about the use of the term Ethereum Classic.Buterin has welcomed Ethereum Classic supporters to focus on the original blockchain: “Anyone who feels sufficiently strongly in the other direction is welcome to focus on the [original] chain, and we will see if it remains viable.”  Nevertheless, some vocal members of the Ethereum community have questioned whether the individuals supporting the original blockchain can continue to legally use the Ethereum source code, have Ethereum in their name, and use a logo that is very similar to the Ethereum logo.

Some have even called upon the Ethereum Foundation, which owns the copyright for the source code and the trademark rights for the Ethereum name and logo, to issue a cease and desist letter to the Ethereum Classic community.There is no strong legal basis for pursuing this type of aggressive and unnecessarily divisive action.Software, including source code and object code, is protected as a literary work under U.S.v. Kaufman, 669 F.2d 852, 855 (2d Cir.1982); Williams Elecs., Inc.v. Artic Int'l, Inc., 685 F.2d 870, 876 (3d Cir.The applicable federal statute provides authors with certain exclusive rights in their original works, such as the right to 1) copy the copyrighted work; 2) prepare derivative works based on the copyrighted work; 3) distribute copies of the copyrighted work; 4) perform the copyrighted work; and 5) display the copyrighted work publicly.The software (i.e., source code) that runs the Ethereum blockchain has always been, and remains, available to developers and end users under the GNU Lesser General Public License (LGPL).

That license provides for four essential freedoms that are inherent in free software: The LGPL incorporates the terms of version 3 of the GNU General Public License (GPL), including Section 2, entitled “Basic Permissions,” which states: You may make, run and propagate covered works that you do not convey, without conditions so long as your license otherwise remains in force.You may convey covered works to others for the sole purpose of having them make modifications exclusively for you, or provide you with facilities for running those works, provided that you comply with the terms of this License in conveying all material for which you do not control copyright.As per the LGPL, Ethereum Classic developers and miners are free to use the Ethereum software, as long as they abide by the above conditions.Although the software does not cost anything to license, a user who fails to abide by the terms of the LGPL can be liable for copyright infringement.federal appeals court has held that a copyright holder does not waive his or her rights by making software freely available and can enforce conditions in a free software license against developers and end users of the software.[1]

Thus, while the Foundation has enforceable copyrights in the Ethereum source code, those rights are limited to the ability to pursue developers or miners who violate the terms of the LGPL.There is no indication that Ethereum Classic developers or miners have failed to comply with any of the LGPL conditions.Instead, Ethereum Classic has maintained the LGPL license and conditions intact.Some members of the virtual currency community have pushed the Foundation to pursue action under the Digital Millennium Copyright Act (DMCA).The DMCA states that while an Internet Service Provider (ISP) is not liable for transmitting information that may infringe a copyright, the ISP must remove materials from users’ websites that appear to constitute copyright infringement after it receives proper notice.Thus, if a copyright holder believes that its rights are being infringed by a website, it can send a “takedown” notice to the website’s ISP.As set forth above, there is no indication that the Ethereum Classic community is violating the Foundation’s copyrights in the Ethereum source code.

Thus, there is no basis for the Foundation to send a takedown letter.An owner of a mark acquires trademark protection under U.S.law by using the mark in commerce in connection with goods or services, or by registering the mark with the United States Patent and Trademark Office (USPTO).The Foundation filed a trademark application with the USPTO for the name Ethereum on May 19, 2015.Although that application is still pending, it states that the Ethereum name and logo were first used in commerce on February 6, 2014.Thus, it is reasonable to assume that the Foundation potentially has legally protectable trademark rights to Ethereum.trademark owner, the Foundation may enforce its rights under a statute known as the Lanham Act, or common law, to protect against the use of similar marks.To establish a trademark infringement claim under the Lanham Act or common law, the plaintiff must demonstrate that (1) it has a valid and legally protectable mark; (2) it owns the mark; and (3) the defendant's use of the mark to identify goods or services causes a likelihood of confusion.

See A&H Sportswear, Inc.v. Victoria's Secret Stores, Inc., 237 F.3d 198 (3d Cir.The likelihood of confusion analysis focuses on whether the use of the allegedly infringing mark leads to confusion as to the “source or sponsorship of the goods or services because of the marks used thereon.” See, e.g., Paula Payne Prods.v. Johnson’s Publ’g Co., 473 F.2d 901, 902, 177 USPQ 76, 77 (C.C.P.A.“The question is not whether people will confuse the marks, but rather whether the marks will confuse people into believing that the goods they identify emanate from the same source.” Rearden LLC v. Rearden Commerce, Inc., 683 F.3d 1190, 1205 (9th Cir.On the remote chance that a court could find a likelihood of confusion with respect to the two blockchains, Ethereum Classic would have strong defenses.After all, the Ethereum Classic blockchain, which the Ethereum community has effectively abandoned, was originally called Ethereum.The fact that the new, post-hard fork chain is also named Ethereum is hardly the fault of the Ethereum Classic community.