United States

US Examining Alibaba's Cloud Unit for National Security Risks (reuters.com) 11

The Biden administration is reviewing e-commerce giant Alibaba's cloud business to determine whether it poses a risk to U.S. national security, Reuters reported Tuesday, citing three people briefed on the matter, as the government ramps up scrutiny of Chinese technology companies' dealings with U.S. firms. From a report: The focus of the probe is on how the company stores U.S. clients' data, including personal information and intellectual property, and whether the Chinese government could gain access to it, the people said. The potential for Beijing to disrupt access by U.S. users to their information stored on Alibaba cloud is also a concern, one of the people said. U.S. regulators could ultimately choose to force the company to take measures to reduce the risks posed by the cloud business or prohibit Americans at home and abroad from using the service altogether. Former President Donald Trump's Commerce Department was concerned about Alibaba's cloud business, but the Biden administration launched the formal review after he took office in January, according to one of the three people and a former Trump administration official. Alibaba's U.S. cloud business is small, with annual revenue of less than an estimated $50 million, according to research firm Gartner Inc. But if regulators ultimately decide to block transactions between American firms and Alibaba Cloud, it would damage the bottom line one of the company's most promisingbusinesses and deal a blow to reputation of the company as a whole.
Bitcoin

Jared Kushner Floated the Idea of a Federal Cryptocurrency, Documents Reveal (theverge.com) 71

An anonymous reader quotes a report from The Verge: Jared Kushner, former President Donald Trump's son-in-law who acted as a senior advisor during Trump's time in the White House, was apparently interested in the idea of whether the federal government should make a cryptocurrency in 2018. In an email to then-US Treasury Secretary Steven Mnuchin, Kushner asked if he could have a group of people "brainstorm" about the government creating its own digital currency, as revealed by a Freedom Of Information Act request from CoinDesk. Here's the email in full: Steven --

Would you be open to me bringing a small group of people to have a brainstorm about this topic?

http://blog.samaltman.com/us-digital-currency

My sense is it could make sense and also be something that could ultimately change the way we pay out entitlements as well saving us a ton in waste fraud and also in transaction costs...
The Verge report continues... The link [included in Kushner's email] goes to a 2018 blog post titled "US Digital Currency," which was written by Sam Altman, a former president of startup incubator Y Combinator and currently the CEO of OpenAI. The post discusses how the US should create a cryptocurrency and make it legal tender in the country. (While it suggests naming the coin USDC, for US Digital Currency, there actually is currently a stablecoin named USDC, short for US Dollar Coin, but that it wasn't created by the government.) Altman's post suggests that the US cryptocurrency could have taxes built-in and that building it could help give America "some power over a worldwide currency."

For his part, Kushner suggests it could be a way to cut down on waste, fraud, and transaction costs when paying out entitlements. The outcome of his request is unclear -- the emails don't show whether Mnuchin ever responded, or if there was ever a meeting about the idea.

Piracy

VPN Provider Agrees To Block Torrent Traffic and The Pirate Bay On US Servers (torrentfreak.com) 55

An anonymous reader quotes a report from TorrentFreak: Over the past few years we have seen copyright holders take several ISPs to court, accusing them of failing to disconnect repeat copyright infringers. These lawsuits have expanded recently, with VPN providers and hosting companies as the main targets. The VPN lawsuits are filed by a group of independent movies companies that previously went after piracy sites and apps. They include the makers of films such as The Hitman's Bodyguard, Dallas Buyers Club, and London Has Fallen. In one of these cases, the filmmakers accused VPN Unlimited's company KeepSolid Inc. of being involved in widespread copyright infringement. The company allegedly 'encouraged' subscribers to use pirate sites and did nothing to stop infringing traffic.

Most VPNs can't track the online activities of subscribers and the filmmakers believe that VPN Unlimited and other providers actively promoted their services to online pirates. For example, by referencing known pirate sites. "Defendant KeepSolid encourages its users to access torrent sites including the Pirate Bay," the complaint read, showing a screenshot from the VPN's help section, which remains online today. Instead of fighting the case on its merits, both parties have agreed to settle the case behind closed doors. Last week, they informed the Virginia federal court that an agreement had been reached. As part of this settlement, all claims against VPN Unlimited were dismissed. The full details of the settlement agreement are confidential. Both parties agreed to cover their own costs but it's unknown whether any monetary damages are involved. What is clear is that, going forward, VPN Unlimited will restrict torrent traffic on its U.S. servers.

"Pursuant to the confidential settlement agreement, Plaintiffs have requested and Defendant KeepSolid has agreed to use commercially reasonable efforts to block BitTorrent traffic," the joint dismissal stipulation reads. As it reads, this measure applies to BitTorrent traffic as a broad category. That includes both pirated content and lawful torrent transfers. In addition, VPN Unlimited will also take more targeted measures to stop traffic to torrent sites. VPN Unlimited has agreed to block access to several pirate sites. These include YTS, The Pirate Bay, RARBG, 1337x, and several proxies. These measures are again limited to U.S.-based VPN servers. Popcorn-time.tw is also on the blocklist, but this Popcorn Time fork has already shut down.

Privacy

Cambodia's Internet May Soon Be Like China's: State-Controlled (nytimes.com) 24

Under a new decree, all web traffic will be routed through a government portal. Rights groups say a crackdown on digital expression is about to get worse. From a report: The day Kea Sokun was arrested in Cambodia, four men in plainclothes showed up at his photography shop near Angkor Wat and carted him off to the police station. Mr. Kea Sokun, who is also a popular rapper, had released two songs on YouTube, and the men said they needed to know why he'd written them. "They kept asking me: âWho is behind you? What party do you vote for?'" Mr. Kea Sokun said. "I told them, 'I have never even voted, and no one controls me.'" The 23-year-old artist, who says his songs are about everyday struggles in Cambodia, was sentenced to 18 months in an overcrowded prison after a judge found him guilty of inciting social unrest with his lyrics. His case is part of a crackdown in which dozens have been sent to jail for posting jokes, poems, pictures, private messages and songs on the internet.

The ramped-up scrutiny reflects an increasingly restrictive digital environment in Cambodia, where a new law will allow the authorities to monitor all web traffic in the country. Critics say that the decree puts Cambodia on a growing list of countries that have embraced China's authoritarian model of internet surveillance, from Vietnam to Turkey, and that it will deepen the clash over the future of the web. Cambodia's National Internet Gateway, set to begin operating on Feb. 16, will send all internet traffic -- including from abroad -- through a government-run portal. The gateway, which is mandatory for all service providers, gives state regulators the means to "prevent and disconnect all network connections that affect national income, security, social order, morality, culture, traditions and customs." Government surveillance is already high in Cambodia. Each ministry has a team that monitors the internet. Offending content is reported to an internet crime unit in the Ministry of Interior, the center of the country's robust security apparatus. Those responsible can be charged with incitement and sent to prison.

Government

Why Many California Police Departments Are Now Encrypting Their Radio Communications (sandiegouniontribune.com) 104

"The San Diego County Sheriff's Department last week encrypted its radio communications, blocking the public from listening to information about public safety matters in real time," reports the San Diego Union Tribune: The department is the latest law enforcement agency in the county and state to cut off access to radio communications in response to a California Department of Justice mandate that required agencies to protect certain personal information that law enforcement personnel obtain from state databases. Such information — names, drivers license numbers, dates of birth and other information from the California Law Enforcement Telecommunications System, or CLETS — sometimes is broadcast over police radios.

The October 2020 mandate gave agencies two options: to limit the transmission of database-obtained personal information on public channels or to encrypt their radio traffic. Police reform advocates say the switch to encrypted channels is problematic. The radio silence, they say, will force members of the public, including the news media, to rely on law enforcement agencies' discretion in releasing information about public safety matters....

A sheriff's spokesperson has said the department is exploring ways to disseminate information about incidents as they unfold. One idea is an online page that would show information about calls to which deputies respond.

Government

What Happened at the Hearing for New Hampshire's Free Software Law? (concordmonitor.com) 58

What happened after a New Hampshire state representative proposed legislation either encouraging or requiring free software in much of the state government? The Concord Monitor writes, "It's been three decades since Linux launched the modern world of free, open-source software, but you'd hardly have known that at a state legislative hearing Tuesday. One bill (HB 1273) from Eric Gallager, a Concord Democrat, is a sweeping effort that not only establishes a committee to study "replacing all proprietary software used by state agencies with free software" but also does such things as limit non-compete clauses that conflict with open-source development and forbid Javascript in state government websites. The other bill (HB 1581) from Lex Berezhny, a Grafton Republican, would reinstate a requirement that state agencies must use open-source software when it is "the most effective software solution." That requirement existed in state law from 2012 to 2018, he said.

Gallager said the two bills were developed separately. "The fact that you've got people in both parties thinking about this issue independently shows there is a wide range of support for it," he said.

The Executive Department and Administration committee sent both bills to subcommittee.

But what's interesting is the arguments that were made — both for and against: Tuesday's hearing drew the state's most prominent free software advocate, Jon Hall, a programmer whose legacy in the field dates back three decades... Among his arguments, Hall said that studies have shown that free and open-source software is cheaper in the long run than software from Microsoft or other vendors because you don't have to buy regular licenses or be forced into software upgrades or have to ditch equipment like printers because they are no longer supported. Even when free and open-source software has higher costs due to training, he said, those costs have benefits. "Where does the money that you spend go? You can send millions of dollars to Redmond (Washington, home of Microsoft) or Silicon Valley, or pay local software developers," Hall argued.

On the other hand, Denis Goulet, commissioner of the Department of Information Technology, said Gallager's bill would put large and hard-to-quantify costs onto the state. "It would take a year, two years, to figure out what it would cost" due to training on new systems, he told the committee. "It wouldn't be small." Goulet, who opposed Gallager's bill and did not speak on Berezhny's, said the state already uses open-source systems as appropriate, pointing to its web content management system.

"I estimate 85 percent of systems contained one or more open-source libraries," he said.

The lead developer and founder of Libreboot tweeted video of the hearing, where you can also hear the first opponent of the legislation — state representative Stephen Pearson.

Click here to read some of the highlights from Tuesday's hearing:
Government

Is It Wrong To Mock People Who'd Opposed Covid Vaccines and Then Died of Covid? (cnn.com) 869

Slashdot reader DevNull127 shares a transcript from a recent segment on CNN: CNN: Here's a moral question peculiar to these days: Is it wrong to mock people who publicly crusade against the Covid vaccine, and then die of the disease?

Or does it drive home the message about saving lives?

There are entire web sites that are devoted to such mockery. Sorry Antivaxxer.com gleefully tales stories and photos of anti-vaccine advocates who end up in the ICU, intubated, or dead from the disease.

One recent case of this kind of tasteless taunting spurred two dueling opinion pieces in the Los Angeles Times. Orange County Republican Kelly Ernby, a former assistant D.A. and state assembly candidate who had lobbied publicly against the Covid vaccines, passed away earlier this month at age 46 from Covid complications. She was unvaccinated. Ernby's death unleashed a torrent of reaction on the internet. On her own Facebook page under a Christmas collage that she had posted, there are now more than 4,600 comments. Some are sympathy notes; many other are not.

In response to the piling on, Los Angeles Times columnist Nicholas Goldberg wrote, "I don't understand how crowing over the death of others furthers useful debate — or increases vaccination rates." But a few days later, Goldberg's colleague Michael Hiltzik published a column expressing the exact opposite. "Mocking anti-vaxxers' Covid deaths is ghoulish, yes — but may be necessary." Michael Hiltzik joins me now, he's the L.A. Times' business columnist. He's also a Pulitzer Prize winner. Michael let's make clear at the outset: you are not talking about the everyday people who don't get vaxxed, sadly contract Covid, and die. You're talking about people with a platform, right?

Michael Hiltzik: That's correct... In my column, I pointed out that the unvaccinated really fall into three categories. There are those who can't get vaccinated for legitimate reasons — small children, people with genuine medical contra-indications of vaccination. Then there's a fairly large group of people who I think have been duped into resisting the vaccine, duped by misinformation and disinformation about the vaccines, and sort of nonsense about preserving our freedoms in the face of this pandemic.

The real targets who are important here are those who spent the last few months or years of their lives crusading against sensible, safe policies such as vaccination and social distancing and what have you — and ended up paying the ultimate price for their own — basically, their own folly.

[CNN puts a pargraph on the screen, highlighting Hiltzik's comment that "Mockery is not necessarily the wrong reaction to those who publicly mocked anti-Covid measures and encouraged others to follow suit, before they perished of the disease the dangers of which they belittled."]

Michael Hiltzik: You know, we have sort of a cultural habit of not speaking ill of the dead, of treating the good deceased — looking at the good that they've done during their lives. I'm not sure that in this case that's entirely appropriate, because so many of them actually have promoted reckless, dangerous policies.

And as I wrote there, they took innocent people along with them.

So is mockery the only response? Well, I don't know — but as I wrote, every one of these deaths is a teachable moment. And unfortunately we haven't been learning from the lesson that we should be hearing from them.

In his column, Hiltzik had argued that "[P]leas for 'civility' are a fraud.

"Their goal is to blunt and enfeeble criticism and distract from its truthfulness. Typically, they're the work of hypocrites."
Microsoft

Microsoft Detects Lurking Malware On Ukrainian Computers (bdnews24.com) 42

"Microsoft warned on Saturday evening that it had detected a highly destructive form of malware in dozens of government and private computer networks in Ukraine," reports the New York Times, "that appeared to be waiting to be triggered by an unknown actor...."

The Times reports that the malware "bears some resemblance" to NotPetya, the widespreading 2017 malware which "American intelligence officials later traced to Russian actors."

The discovery comes in the midst of what the Times earlier called "the security crisis Russia has ignited in Eastern Europe by surrounding Ukraine on three sides with 100,000 troops and then, by the White House's accounting, sending in saboteurs to create a pretext for invasion."

Long-time Slashdot reader 14erCleaner shares the Times' latest report: In a blog post, [Microsoft] said that on Thursday — around the same time government agencies in Ukraine found that their websites had been defaced — investigators who watch over Microsoft's global networks detected the code. "These systems span multiple government, nonprofit and information technology organizations, all based in Ukraine," Microsoft said.... The code appears to have been deployed around the time that Russian diplomats, after three days of meetings with the United States and NATO over the massing of Russian troops at the Ukrainian border, declared that the talks had essentially hit a dead end....

Microsoft said that it could not yet identify the group behind the intrusion, but that it did not appear to be an attacker that its investigators had seen before. The code, as described by the company's investigators, is meant to look like ransomware — it freezes up all computer functions and data, and demands a payment in return. But there is no infrastructure to accept money, leading investigators to conclude that the goal is to inflict maximum damage, not raise cash.

It is possible that the destructive software has not spread too widely and that Microsoft's disclosure will make it harder for the attack to metastasize. But it is also possible that the attackers will now launch the malware and try to destroy as many computers and networks as possible.... Warnings like the one from Microsoft can help abort an attack before it happens, if computer users look to root out the malware before it is activated. But it can also be risky. Exposure changes the calculus for the perpetrator, who, once discovered, may have nothing to lose in launching the attack, to see what destruction it wreaks.

So far there is no evidence that the destructive malware has been unleashed by the hackers who placed it in the Ukrainian systems....

The new attack would wipe hard drives clean and destroy files. Some defense experts have said such an attack could be a prelude to a ground invasion by Russia. Others think it could substitute for an invasion, if the attackers believed a cyberstrike would not prompt the kind of financial and technological sanctions that [U.S. President] Biden has vowed to impose in response.

Ukraine's Ministry of Digital Development issued a statement that "All evidence indicates that Russia is behind the cyberattack. Moscow continues to wage a hybrid war and is actively building up its forces in the information and cyberspaces." While the Associated Press reported the statement, the Times notes that the ministry provided no evidence, "and early attribution of attacks is frequently wrong or incomplete."

But the Times also cites U.S. national security adviser Jake Sullivan as saying "If it turns out that Russia is pummeling Ukraine with cyberattacks, and if that continues over the period ahead, we will work with our allies on the appropriate response."
Youtube

Host of Youtube-dl Web Site Sued by Major Record Labels (torrentfreak.com) 104

"As part of their growing battle against popular open source software tool youtube-dl, three major music labels are now suing Uberspace, the company that currently hosts the official youtube-dl homepage," reports TorrentFreak: According to plaintiffs Sony, Universal and Warner, youtube-dl circumvents YouTube's "rolling cipher" technology, something a German court found to be illegal in 2017.... While the RIAA's effort to take down youtube-dl from GitHub grabbed all the headlines, moves had already been underway weeks before that in Germany. Law firm Rasch works with several major music industry players and it was on their behalf that cease-and-desist orders were sent to local hosting service Uberspace. The RIAA complained that the company was hosting the official youtube-dl website although the tool itself was hosted elsewhere.

"The software itself wasn't hosted on our systems anyway so, to be honest, I felt it to be quite ridiculous to involve us in this issue anyway — a lawyer specializing in IT laws should know better," Jonas Pasche from Uberspace said at the time.

In emailed correspondence today Uberspace informed TorrentFreak that, following the cease-and-desist in October 2020, three major music labels are now suing the company in Germany... According to the labels, youtube-dl poses a risk to their business and enables users to download their artists' copyrighted works by circumventing YouTube's technical measures. As a result, Uberspace should not be playing a part in the tool's operations by hosting its website if it does not wish to find itself liable too....

The alleged illegality of youtube-dl is indeed controversial. While YouTube's terms of service generally disallow downloading, in Germany there is the right to make a private copy, with local rights group GEMA collecting fees to compensate for just that. Equally, when users upload content to YouTube under a Creative Commons license, for example, they agree to others in the community making use of that content. "Even if YouTube doesn't provide video download functionality right out of the box, the videos are not provided with copy protection," says former EU MP Julia Reda from the Society for Freedom Rights (GFF) to NetzPolitik. "Not only does YouTube pay license fees for music, we all pay fees for the right to private copying in the form of the device fee, which is levied with every purchase of smartphones or storage media," says Reda.

"Despite this double payment, Sony, Universal and Warner Music want to prevent us from exercising our right to private copying by saving YouTube videos locally on the hard drive."

Google

California Judge Rules Google's Confidentiality Agreements Break the State's Labor Laws (msn.com) 29

"A California judge ruled this week that the confidentiality agreements Google requires its employees to sign are too broad and break the state's labor laws," reports the Washington Post, calling it "a decision that could make it easier for workers at famously secret Big Tech firms to speak openly about their companies." A Google employee identified as John Doe argued that the broad nondisclosure agreement the company asked him to sign barred him from speaking about his job to other potential employers, amounting to a non-compete clause, which are illegal in California. In a Thursday ruling in California Superior Court, a judge agreed with the employee, while declining to make a judgment on other allegations that Google's agreements blocked whistleblowing and sharing information about wages with other workers.

The ruling marks the latest victory for labor advocates who have sought to force Big Tech companies to relax the stringent confidentiality policies that compel employees to stay quiet about every aspect of their jobs, even after they quit....

The decision isn't final and could still be appealed by Google.... If Google doesn't appeal, or loses the appeal, it could have a real impact on how much power companies hold over employees, said Ramsey Hanafi, a partner with QH Law in San Francisco. "It would mean most of these Big Tech companies would have to rewrite their agreements," Hanafi said. "They all have this broad language that employees can't say anything about anything about their old companies...."

In its opinion, the California Courts of Appeal affirmed the importance of the state's labor laws that go further than federal laws in protecting employees' rights to free speech. Those laws give workers in California the right to "speak as they choose about their work lives," the court wrote. "In sum, these statutes establish as a minimum employment standard an employee anti-gag rule...."

The lawsuit was originally filed in 2016, the article points out, and has been responsible for exposing several internal Google documents (including one detailing a program where employees can report suspected leakers of Google information).
Facebook

Zuckerberg and Pichai Allegedly Signed Off On Illegal Facebook-Google Ad Deal (buzzfeednews.com) 23

BuzzFeed News reports: Google CEO Sundar Pichai and Facebook CEO Mark Zuckerberg personally signed off on a secret advertising deal that allegedly gave Facebook special privileges on Google's ad platform, according to newly unredacted court documents filed on Friday.

The allegation is from a complaint first filed in December 2020 by Texas and several other states against Google for engaging in "false, deceptive, or misleading acts" while operating its buy-and-sell auction system for digital ads. In the complaint, state attorneys general claim Google illegally teamed up with Facebook, its fiercest competitor in the digital advertising market, for a 2018 deal Google dubbed "Jedi Blue" in a reference to Star Wars. Prior to the alleged deal, Facebook appeared to threaten Google's dominance in the market by backing an ad-buying technique called "header bidding." "Google understood the severity of the threat to its position if Facebook were to enter the market and support header bidding," the complaint reads. "To diffuse this threat, Google made overtures to Facebook."

In the end, Facebook backed off after Google agreed to give the social network "information, speed, and other advantages" in auctions run by Google, the complaint says.

The newly unredacted version of the complaint shows that the deal was allegedly struck at the highest levels of the companies, a noteworthy level of cooperation from two of the most powerful companies in the world.

Censorship

Germany's Security Watchdog Finds No Evidence of Censorship In Xiaomi Phones (reuters.com) 28

Germany's federal cybersecurity watchdog, the BSI, did not find any evidence of censorship functions in mobile phones manufactured by China's Xiaomi, a spokesperson said on Thursday. Reuters reports: Lithuania's state cybersecurity body had said in September that Xiaomi phones had a built-in ability to detect and censor terms such as "Free Tibet," "Long live Taiwan independence" or "democracy movement." The BSI started an examination following these accusations, which lasted several months. "As a result, the BSI was unable to identify any anomalies that would require further investigation or other measures," the BSI spokesperson said.
The Courts

John Deere Hit With Class Action Lawsuit for Alleged Tractor Repair Monopoly (vice.com) 57

A class action lawsuit filed in Chicago has accused John Deere of running an illegal repair monopoly. Motherboard reports: The lawsuit alleged that John Deere has used software locks and restricted access to repair documentation and tools, making it very difficult for farmers to fix their own agricultural equipment, a problem that Motherboard has documented for years and that lawmakers, the FTC, and even the Biden administration have acknowledged. The lawsuit claims John Deere is violating antitrust rules and also alleges that Deere is illegally "tying" farmers to Deere-authorized service centers through arbitrary means.

"Farmers have traditionally had the ability to repair and maintain their own tractors as needed, or else have had the option to bring their tractors to an independent mechanic," the lawsuit said. "However, in newer generations of its agricultural equipment, Deere has deliberately monopolized the market for repair and maintenance services of its agricultural equipment with Engine Control Units (ECUs) by making crucial software and repair tools inaccessible to farmers and independent repair shops."

Forest River Farms, a farming corporation in North Dakota, filed the recent antitrust lawsuit against John Deere, alleging that "Deere's network of highly-consolidated independent dealerships is not permitted through their agreements with Deere to provide farmers or repair shops with access to the same software and repair tools the Dealerships have." "As a result of shutting out farmers and independent repair shops from accessing the necessary resources for repairs, Deere and the Dealerships have cornered the Deere Repair Services Market in the United States for Deere-branded agricultural equipment controlled by ECUs and have derived supracompetitive profits from the sale of repair and maintenance services," the lawsuit, which repeatedly cites some of Motherboard's reporting on the issue, continues. [...] The lawsuit alleges that, though Deere has made some types of software and repair parts available to the public, they are "insufficient to restore competition to the Deere repair services market," and notes that "there are no legitimate reasons to restrict access to necessary repair tools."

The Almighty Buck

PayPal Faces Lawsuit For Freezing Customer Accounts and Funds (engadget.com) 53

Three PayPal users who've allegedly had their accounts frozen and funds taken by the company without explanation have filed a federal lawsuit against the online payment service. From a report: The plaintiffs -- two users from California and one from Chicago -- are accusing the company of unlawfully seizing their personal property and violating racketeering laws. They're now proposing a class-action lawsuit on behalf of all other users who've had their accounts frozen before and are seeking restitution, as well as punitive and exemplary damages. Lena Evans, one of the plaintiffs who'd been a PayPal user for 22 years, said the website seized $26,984 from her account six months after it got frozen without ever telling her why. Evans had been using PayPal to buy and sell clothing on eBay, to exchange money for a poker league she owns and for a non-profit that helps women with various needs. Fellow plaintiff Roni Shemtov said PayPal seized over $42,000 of her money and never got an acceptable reason for why her account was terminated. She received several different explanations when she contacted the company: One customer rep said it was because she used the same IP and computer as other Paypal users, while another said it was because she sold yoga clothing at 20 to 30 percent lower than retail. Yet another representative allegedly said it was because she used multiple accounts, which she denies.
Bitcoin

Jack Dorsey Announces Bitcoin Legal Defense Fund (cointelegraph.com) 23

Former Twitter CEO and Block founder Jack Dorsey has announced plans to create a "Bitcoin Legal Defense Fund" with Chaincode Labs co-founder Alex Morcos and Martin White, who appears to be an academic at the University of Sussex. CoinTelegraph reports: The announcement was sent on a mailing list for Bitcoin developers, bitcoin-dev, at 13:45 UTC on Wednesday from an email address appearing to belong to Dorsey. The announcement stated the fund will help provide a legal defense for Bitcoin developers, who are "currently the subject of multi-front litigation." "Litigation and continued threats are having their intended effect; individual defendants have chosen to capitulate in the absence of legal support," the email stated, referencing open-source developers who are often independent and, therefore, susceptible to legal pressure.

The announcement went on to describe the Bitcoin Legal Defense Fund as a "nonprofit entity that aims to minimize legal headaches that discourage software developers from actively developing Bitcoin and related projects." "The main purpose of this Fund is to defend developers from lawsuits regarding their activities in the Bitcoin ecosystem, including finding and retaining defense counsel, developing litigation strategy, and paying legal bills," it stated. Initially, the fund will include volunteers and part-time lawyers for developers to "take advantage of if they so wish," although, the email also states that "the board of the Fund will be responsible for determining which lawsuits and defendants it will help defend." According to the email, the fund's first project will be to take over the existing defense of Ramona Ang's "Tulip Trading Lawsuit" against developers for alleged misconduct over access to a Bitcoin (BTC) fortune.

Transportation

Carmakers Launch Desperate Attempt To Delay Massachusetts Right-to-Repair Law (gizmodo.com) 63

An anonymous reader quotes a report from Gizmodo: Major car manufacturers aren't giving up on their efforts to stymie Massachusetts' right to repair legislation. Less than two years after residents in the state voted in favor of updated right to repair laws that would let independent auto repair shops receive telematics data from vehicles, groups representing auto manufacturers are now introducing their own new proposals that would delay the law's implementation. If passed, the two new proposals, first viewed by Motherboard, would push back the starting date of Massachusetts' right to repair law to 2025, three years later than the original 2022 start date. Though supporters of the proposal argue the extra years would give automakers more time to comply with the laws, the efforts were derided by critics like Massachusetts Right to Repair Coalition Director Tommy Hickey.

"Massachusetts consumers have spoken, and the law now gives them the right to control their own repair data so that they can get their car fixed where they want," Hickey told the Gloucester Daily Times. "However, instead of listening to their customers and attempting to comply with the ballot initiative, automakers and dealers filed a baseless, anti-democratic lawsuit." For those unaware, Massachusetts' 2020 law was intended to make it easier for small auto shops to access diagnostic data about vehicles without the need for proprietary tools available only to manufacturers. When the law goes into effect, The Drive notes, it would require any automaker doing business in the state to allow this telematics data to be accessible through a smartphone app.

The auto industry has argued making such tools more widely available could come with cybersecurity and vehicle safety risks, though that line of argument has often come across as more akin to fearmongering than actual concern for consumers' well-being. (One ad paid for by the Alliance for Automotive Innovation tried to convince viewers a sexual predator could use vehicle data to stalk and prey upon their victims). Industry groups representing carmakers even went as far as to file a lawsuit in U.S. District Court arguing the law was unconstitutional. The ruling on that suit has yet to be determined.

Government

January 6 Committee Subpoenas Social Media Giants In Probe of Capitol Attack (cnbc.com) 119

The House select committee investigating the deadly Capitol riot has subpoenaed social media giants Twitter, Reddit and the parent companies of Facebook and Google, the panel's chairman said Thursday. CNBC reports: The select committee had asked a trove of records last summer from those and other social companies, but received "inadequate responses" from four of the largest platforms, according to a press release Thursday. The committee is once again demanding that Google parent company Alphabet, Twitter, Reddit and Meta -- formerly known as Facebook -- hand over a slew of records relating to domestic terrorism, the spread of misinformation and efforts to influence or overturn the 2020 election.

"Two key questions for the Select Committee are how the spread of misinformation and violent extremism contributed to the violent attack on our democracy, and what steps -- if any -- social media companies took to prevent their platforms from being breeding grounds for radicalizing people to violence," Chairman Bennie Thompson, D-Miss., said in the press release. "It's disappointing that after months of engagement, we still do not have the documents and information necessary to answer those basic questions," Thompson said. "The Select Committee is working to get answers for the American people and help ensure nothing like January 6th ever happens again. We cannot allow our important work to be delayed any further."

Bitcoin

Crypto-Savings Lawsuit Puts Principles of DeFi To the Test (wsj.com) 33

The emerging world of decentralized finance offers the holders of cryptocurrency many of the amenities of a modern financial system, under the premise that blockchain technology can cut out the middlemen, replacing flesh-and-blood bankers with autonomous, self-governing computer programs. The model promises lower costs and greater access. It also begs the question: Who's responsible when things go wrong? From a report: That is the question being raised by a class-action lawsuit filed in New York federal court against one such novel DeFi service, a cryptocurrency savings application called PoolTogether. The application, described as a "no loss prize game," incentivizes users to save their cryptocurrencies by offering them the chance to win awards from the interest generated by the collected funds. The lawsuit, filed by a software engineer named Joseph Kent, has challenged the legality of PoolTogether's operation, saying the scheme is essentially a lottery and prohibited under New York law.

Although Mr. Kent's lawsuit, supported by two plaintiffs' law firms, is nominally focused on winning a potentially large pot of financial damages, it also appears to be a deliberate effort to put some of the DeFi community's core doctrines to the test. A former technology lead for Sen. Elizabeth Warren's 2020 presidential campaign, Mr. Kent is described in his lawsuit as someone "gravely concerned" at the prospect that cryptocurrency, which consumes voluminous amounts of electricity, could contribute to climate change, besides enabling bad actors to circumvent financial sanctions. The size of the DeFi market has grown precipitously in the last year, bringing closer attention from the U.S. Securities and Exchange Commission and other regulators. The total value of assets deposited as collateral on DeFi platforms climbed to more than $111 billion in November, up feverishly from about $10 billion at the beginning of 2020, according to DeFi Pulse.

AI

AI Unmasks Anonymous Chess Players, Posing Privacy Risks (science.org) 27

silverjacket shares a report from Science.org: [A]n AI has shown it can tag people based on their chess-playing behavior, an advance in the field of "stylometrics" that could help computers be better chess teachers or more humanlike in their game play. Alarmingly, the system could also be used to help identify and track people who think their online behavior is anonymous. [...] To design and train their AI, the researchers tapped an ample resource: more than 50 million human games played on the Lichess website. They collected games by players who had played at least 1000 times and sampled sequences of up to 32 moves from those games. They coded each move and fed them into a neural network that represented each game as a point in multidimensional space, so that each player's games formed a cluster of points. The network was trained to maximize the density of each player's cluster and the distance between those of different players. That required the system to recognize what was distinctive about each player's style.

The researchers tested the system by seeing how well it distinguished one player from another. They gave the system 100 games from each of about 3000 known players, and 100 fresh games from a mystery player. To make the task harder, they hid the first 15 moves of each game. The system looked for the best match and identified the mystery player 86% of the time, the researchers reported last month at the Conference on Neural Information Processing Systems (NeurIPS). "We didn't quite believe the results," says Reid McIlroy-Young, a student in Anderson's lab and the paper's primary author. A non-AI method was only 28% accurate. [...] The researchers are aware of the privacy risks posed by the system, which could be used to unmask anonymous chess players online. With tweaks, McIlroy-Young says, it could do the same for poker. And in theory, they say, given the right data sets, such systems could identify people based on the quirks of their driving or the timing and location of their cellphone use.

China

Dutch Athletes Warned To Keep Phones and Laptops Out of China (reuters.com) 138

schwit1 shares a report: Dutch athletes competing in next month's Beijing Winter Olympics will need to leave their phones and laptops at home in an unprecedented move to avoid Chinese espionage, Dutch newspaper De Volkskrant reported on Tuesday. The urgent advice to athletes and supporting staff to not bring any personal devices to China was part of a set of measures proposed by the Dutch Olympic Committee (NOCNSF) to deal with any possible interference by Chinese state agents, the paper said citing sources close to the matter. NOCNSF spokesman Geert Slot said cybersecurity was part of the risk assessment made for the trip to China, but declined to comment on any specific measure. "The importance of cybersecurity of course has grown over the years", Slot said. "But China has completely closed off its internet, which makes it a specific case."

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