Hugh Pickens DOT Com writes "Economist Edward Hadas writes in the NYT that developers of bitcoin are trying to show that money can be successfully privatized but money that is not issued by governments is always doomed to failure because money is inevitably a tool of the state. 'Bitcoin exemplifies some of the problems of private money,' says Hadas. 'Its value is uncertain, its legal status is unclear, and it could easily become valueless if users lose faith.' Besides, if bitcoin ever really started to take off, governments would either ban it or take over the system says Hadas. The authorities might be motivated by a genuine concern about the stability of a shadow monetary system or they might act out of self-preservation because tax evasion would be too easy in a parallel economy. 'Part of the interest in virtual currencies like bitcoin is that their anonymity can provide a convenient cloak for criminal activity. Part is technological — this is a cool idea. And part is speculative — gamblers bet that bitcoin's value will increase,' concludes Hadas. 'Truly private money is an inferior alternative to the money that comes with the backing of a political authority. After all, no bank or bitcoin-emitter can be as public-minded as a government, and no private power can raise taxes or pass laws to unwind monetary excesses.'" Could be there's something good about money that can't be manipulated by law. Some people at least think there's plenty of value in Bitcoin and similar currencies, despite the risks. And those risks at present probably aren't enough to comfort the unfortunate Welsh fellow who (HT to reader judgecorp) "has realised he threw out a hard drive containing 7500 bitcoins, worth £4 million at today's prices. It is now under four feet of garbage in a landfill site the size of a football pitch."

An anonymous reader writes "On Cyber Monday, millions of Americans will take to the Internet in search of the newest gadgets to bestow upon their loved ones. Most of these 'gifts' are trojan horses that will spy on their recipients, prevent them from doing what they want with their device, or maybe even block access to their favorite books or music. The Free Software Foundation is proud to introduce a map through this minefield: our 2013 Giving Guide. The Giving Guide features gifts that will not only make your recipients jump for joy; these gifts will also protect their freedom."

Daniel_Stuckey writes "Since Edward Snowden's disclosures about widespread NSA surveillance, Americans and people everywhere have been presented with a digital variation on an old analog threat: the erosion of freedoms and privacy in exchange, presumably, for safety and security. Bruce Schneier knows the debate well. He's an expert in cryptography and he wrote the book on computer security; Applied Cryptography is one of the field's basic resources, 'the book the NSA never wanted to be published,' raved Wired in 1994. He knows the evidence well too: lately he's been helping the Guardian and the journalist Glenn Greenwald review the documents they have gathered from Snowden, in order to help explain some of the agency's top secret and highly complex spying programs. To do that, Schneier has taken his careful digital privacy regime to a new level, relying on a laptop with an encrypted hard drive that he never connects to the internet. That couldn't prevent a pilfered laptop during, say, a 'black bag operation,' of course. 'I know that if some government really wanted to get my data, there'd be little I could do to stop them,' he says."

wired_parrot writes "New leaked documents show that the NSA was not only monitoring suspected radical sympathizers, but planned to discredit them based on their web-surfing habits. This includes not only evidence of porn browsing and online sexual activity, but also extortion and blackmail based on inappropriate use of funds. At the same time, the leaked document notes that very few of the targeted contacts were associated with terrorism."

hypnosec writes "The European Commission has outlined steps it believes will pave the way for restoring faith in EU-U.S. data flows following revelations about NSA spying activities under its PRISM program. The EC notes that spying on its citizens, companies, and leaders is unacceptable; and that citizens of U.S. and EU need to be reassured about protection of their data, while companies need to be reassured that the existing agreements between the two regions are respected and enforced. The Commission outlined a total of six areas that it believes require action including swift adoption of the EU's data protection reforms; making Safe Harbor safer; strengthening data protection safeguards in the law enforcement area; commitment from the U.S. for making use of a legal framework; addressing European concerns in the on-going U.S. reform process; and promoting privacy standards internationally."

Dega704 writes with news that Edward Snowden is believed to have a collection of highly sensitive classified documents that will be released in the event he is detained, hurt, or killed. According to Reuters, "The data is protected with sophisticated encryption, and multiple passwords are needed to open it, said two of the sources, who like the others spoke on condition of anonymity to discuss intelligence matters. The passwords are in the possession of at least three different people and are valid for only a brief time window each day, they said. The identities of persons who might have the passwords are unknown." These details have caused several security experts to express skepticism, but multiple sources, including Glenn Greenwald, believe Snowden has not released all of the documents he appropriated. "U.S. officials and other sources said only a small proportion of the classified material Snowden downloaded during stints as a contract systems administrator for NSA has been made public. Some Obama Administration officials have said privately that Snowden downloaded enough material to fuel two more years of news stories." Whether or not it's true, U.S. and U.K. officials clearly believe it, which can only serve to protect Snowden.

Jah-Wren Ryel sends this quote from Ars: "Newegg, an online retailer that has made a name for itself fighting the non-practicing patent holders sometimes called 'patent trolls,' sits on the losing end of a lawsuit tonight. An eight-person jury came back shortly after 7:00pm and found that the company infringed all four asserted claims of a patent owned by TQP Development, a company owned by patent enforcement expert Erich Spangenberg. The jury also found that the patent was valid, apparently rejecting arguments by famed cryptographer Whitfield Diffie. Diffie took the stand on Friday to argue on behalf of Newegg and against the patent. In total, the jury ordered Newegg to pay $2.3 million, a bit less than half of the $5.1 million TQP's damage expert suggested. ... TQP's single patent is tied to a failed modem business run by Michael Jones, formerly president of Telequip. TQP has acquired more than $45 million in patent licensing fees by getting settlements from a total of 139 companies since TQP argues that its patent covers SSL or TLS combined with the RC4 cipher, a common Internet security system used by retailers like Newegg."

ericgoldman writes "People often feel passionately about fonts, but government decisions shouldn't depend on what font people choose for their written submissions. In Massachusetts, a sex offender overturned the decision of a hearing officer after it was determined that (among other possible biases) the hearing officer posted to Facebook that he 'can't trust someone who drafts a letter in arial font!' and 'I might be biased. I think arial is inappropriate for most things.' This is just the latest example of how social media rants by government workers are causing problems for the workers — and the people they deal with."

theodp writes " I hope my father dies soon," Dilbert creator Scott Adams wrote Saturday in a frustrated, angry, and poignant blog post. 'My father, age 86, is on the final approach to the long dirt nap (to use his own phrase). His mind is 98% gone, and all he has left is hours or possibly months of hideous unpleasantness in a hospital bed. I'll spare you the details, but it's as close to a living Hell as you can get. If my dad were a cat, we would have put him to sleep long ago. And not once would we have looked back and thought too soon. Because it's not too soon. It's far too late. His smallish estate pays about $8,000 per month to keep him in this state of perpetual suffering. Rarely has money been so poorly spent. I'd like to proactively end his suffering and let him go out with some dignity. But my government says I can't make that decision. Neither can his doctors. So, for all practical purposes, the government is torturing my father until he dies.' Adams also had harsh words for those who would oppose assisted suicide, 'I don't want anyone to misconstrue this post as satire or exaggeration. So I'll reiterate. If you have acted, or plan to act, in a way that keeps doctor-assisted suicide illegal, I see you as an accomplice in torturing my father, and perhaps me as well someday. I want you to die a painful death, and soon. And I'd be happy to tell you the same thing to your face.' His father passed a few hours after Adams wrote his screed. Challenged later by the SF Chronicle's Debra J. Saunders, an opponent of assisted suicide, Adams stood firm on his earlier words. So, can Adams succeed in convincing the U.S. where Dr. Jack failed?"

vikingpower writes "The Justice Department has all but concluded it will not bring charges against WikiLeaks founder Julian Assange for publishing classified documents because government lawyers said they could not do so without also prosecuting U.S. news organizations and journalists, according to U.S. officials." That "all but" probably wouldn't feel all that comforting if this announcement applied to me.

schwit1 writes with a short excerpt from The Cable "The United States and its key intelligence allies are quietly working behind the scenes to kneecap a mounting movement in the United Nations to promote a universal human right to online privacy, according to diplomatic sources and an internal American government document obtained by The Cable. American representatives have made it clear that they won't tolerate such checks on their global surveillance network." A leaked memo containing U.S. suggestions for changes to the ICCPR includes gems like (referring to intercepting communications) "Move 'may threaten' from before 'the foundations of a democratic [society]...' to before 'freedom of expression.' We need to clarify that privacy violations could 'interfere with' freedom of expression and avoid the inaccurate suggestion that all privacy violations are violations of freedom of expression." The U.S. changes are pretty much directed at making dragnet surveillance of non-citizens technically legal.

schwit1 writes about the hazards of driving through Ohio in a car with a secret compartment in the trunk. From the article: "Norman Gurley, 30, is facing drug-related charges in Lorain County, Ohio, despite the fact that state troopers did not actually find any drugs in his possession. Ohio passed a law in 2012 making it a felony to alter a vehicle to add a secret compartment with the 'intent' of using it to conceal drugs for trafficking." This is the first person arrested under the strange law.

Lucas123 writes "Next year, LoJack plans to come out with a telematics system that will allow parents to track their children's cars, auto makers to record vehicle diagnostics and insurance companies to review driving habits as the basis of rate quotes. LoJack said the wireless tracking systems will likely come in several forms, including a OBD II plug-in dongle as well as a factory installable model. The company said it has no plans to sell any information collected through a cloud service connected to the devices, but to only share it with stakeholders — either vehicle owners or businesses that have been given the OK to collect and use the data. Additional features will include the ability for parents to set up geo fences to restrict where their children can drive before alerts can sent as well as the ability to restrict and texting while the vehicle is being operated."

An anonymous reader writes in with this excerpt from Shirky.com. "The idea that 'failure is not an option' is a fantasy version of how non-engineers should motivate engineers. That sentiment was invented by a screenwriter, riffing on an after-the-fact observation about Apollo 13; no one said it at the time. (If you ever say it, wash your mouth out with soap. If anyone ever says it to you, run.) Even NASA's vaunted moonshot, so often referred to as the best of government innovation, tested with dozens of unmanned missions first, several of which failed outright. Failure is always an option. Engineers work as hard as they do because they understand the risk of failure. And for anything it might have meant in its screenplay version, here that sentiment means the opposite; the unnamed executives were saying 'Addressing the possibility of failure is not an option.' ... Healthcare.gov was unable to complete even a thousand enrollments a day at launch, and for weeks afterwards. As we now know, programmers, stakeholders, and testers all expressed reservations about Healthcare.gov's ability to do what it was supposed to do. Yet no one who understood the problems was able to tell the President. Worse, every senior political figure—every one—who could have bridged the gap between knowledgeable employees and the President decided not to. And so it was that, even on launch day, the President was allowed to make things worse for himself and his signature program by bragging about the already-failing site and inviting people to log in and use something that mostly wouldn't work. Whatever happens to government procurement or hiring (and we should all hope those things get better) a culture that prefers deluding the boss over delivering bad news isn't well equipped to try new things.'"

Third Position writes "Many of us yearn for a return to one golden age or another. But there's a community of bloggers taking the idea to an extreme: they want to turn the dial way back to the days before the French Revolution. Neoreactionaries believe that while technology and capitalism have advanced humanity over the past couple centuries, democracy has actually done more harm than good. They propose a return to old-fashioned gender roles, social order and monarchy."

An anonymous reader writes "Singapore and South Korea are playing key roles helping the United States and Australia tap undersea telecommunications links across Asia, according to top secret documents leaked by Edward Snowden. Indonesia and Malaysia have been key targets for Australian and Singaporean intelligence collaboration since much of Indonesia's telecommunications and Internet traffic is routed through Singapore. The NSA has a stranglehold on trans-Pacific communications channels with interception facilities on the West coast of the United States and at Hawaii and Guam, tapping all cable traffic across the Pacific Ocean as well as links between Australia and Japan. Japan had refused to take part."

magic maverick writes "A U.S. federal jury has ordered Agence France-Presse and Getty Images to pay $1.2 million to a Daniel Morel, Haitian photographer, for their unauthorized use of photographs, from the 2010 Haiti earthquake. The images, posted to Twitter, were taken by an editor at AFP and then provided to Getty. A number of other organizations had already settled out of court with the photographer."

wabrandsma writes "Two Israeli computer scientists say they may have uncovered a puzzling financial link between Ross William Ulbricht, the recently arrested operator of the Internet black market known as the Silk Road, and the secretive inventor of bitcoin, the anonymous online currency, used to make Silk Road purchases."

First time accepted submitter conoviator writes "The NY Times has just published a piece providing more background on the healthcare.gov software project. One interesting aspect: 'Another sore point was the Medicare agency's decision to use database software, from a company called MarkLogic, that managed the data differently from systems by companies like IBM, Microsoft and Oracle. CGI officials argued that it would slow work because it was too unfamiliar. Government officials disagreed, and its configuration remains a serious problem.'" The story does not say that MarkLogic's software is bad in itself, only that the choice meant increased complexity on the project.

Fnord666 writes with this excerpt from Tech Crunch "Twitter has enabled Perfect Forward Secrecy across its mobile site, website and API feeds in order to protect against future cracking of the service's encryption. The PFS method ensures that, if the encryption key Twitter uses is cracked in the future, all of the past data transported through the network does not become an open book right away. 'If an adversary is currently recording all Twitter users' encrypted traffic, and they later crack or steal Twitter's private keys, they should not be able to use those keys to decrypt the recorded traffic,' says Twitter's Jacob Hoffman-Andrews. 'As the Electronic Frontier Foundation points out, this type of protection is increasingly important on today's Internet.'" Of course, they are also using Elliptic Curve ciphers.