Posts Tagged ‘Business’

The World’s first Electronic Cryptocurrency Robot

October 21st, 2022

There are a few things to learn: getting and using a software wallet,Guest Posting learning how to send and receive money, learning how to buy bitcoin from a person or an exchange.
Preparation
Before getting started, you will need to get yourself a wallet. You can do this easily enough by registering with one of the exchanges which will host wallet for you. And, although I think you are going to want to have one or more exchange wallets eventually, you should start with one on your own computer both to get a better feel for bitcoin and because the exchanges are still experimental themselves. When we get to that stage of the discussion, I will be advising that you get in the habit of moving your money and coins off the exchanges or diversifying across exchanges to keep your money safe.
What is a wallet?
It is a way to store your bitcoins. Specifically, it is software that has been designed to store bitcoin. It can be run on your desktop computer, laptop, mobile device (except, as yet, Apple) and can also be made to store bitcoins on things like thumb drives. If you are concerned about being hacked, then that is a good option. Even the Winklevoss* twins, who have millions invested in bitcoin, put their investment on hard drives which they then put into a safety deposit box.
*The Winklevoss twins are the ones who originally had the idea for a social networking site that became Facebook. They hired Mark Zuckerberg who took their idea as his own and became immensely rich.
What do you need to know about having a bitcoin wallet on your computer?Below you can download the original bitcoin wallet, or client, in Windows or Mac format. These are not just wallets, but are in fact part of the bitcoin network. They will receive, store, and send your bitcoins. You can create one or more addresses with a click (an address is a number that looks like this: 1LyFcQatbg4BvT9gGTz6VdqqHKpPn5QBuk). You will see a field where you can copy and paste a number like this from a person you want to send money to and off it will go directly into that person’s wallet. You can even create a QR code which will let someone take a picture with an app on their phone and send you somebitcoin. It is perfectly safe to give these out – the address and QR code are both for my donations page. Feel free to donate!

Cryptocurrency for Beginners

October 6th, 2022

In the early days of its launch in 2009, several thousand bitcoins were used to buy a pizza. Since then, the cryptocurrency’s meteoric rise to US$65,000 in April 2021, after its heart-stopping drop in mid-2018 by about 70 percent to around US$6,000, boggles the mind of many people – cyptocurrency investors, traders or just the plain curious who missed the boat.

How it all began

Bear in mind that dissatisfaction with the current financial system gave rise to the development of the digital currency. The development of this cryptocurrency is based on blockchain technology by Satoshi Nakamoto, a pseudonym apparently used by a developer or group of developers.

Notwithstanding the many opinions predicting the death of cryptocurrency, bitcoin’s performance has inspired many other digital currencies, especially in recent years. The success with crowdfunding brought on by the blockchain fever also attracted those out to scam the unsuspecting public and this has come to the attention of regulators.

Beyond bitcoin

Bitcoin has inspired the launching of many other digital currencies, There are currently more than 1,000 versions of digital coins or tokens. Not all of them are the same and their values vary greatly, as do their liquidity.

Coins, altcoins and tokens

It would suffice at this point to say there are fine distinctions between coins, altcoins and tokens. Altcoins or alternative coins generally describes other than the pioneering bitcoin, although altcoins like ethereum, litecoin, ripple, dogecoin and dash are regarded as in the ‘main’ category of coins, meaning they are traded in more cryptocurrency exchanges.

Unregulated, so buyers beware

Some countries are keeping an open mind adopting a hands-off policy for cryptocurrencies and blockchain applications, while keeping an eye on outright scams. Yet there are regulators in other countries more concerned with the cons than pros of digital money. Regulators generally realise the need to strike a balance and some are looking at existing laws on securities to try to have a handle on the many flavours of cryptocurrencies globally.

Digital wallets: The first step

A wallet is essential to get started in cryptocurrency. Think e-banking but minus the protection of the law in the case of virtual currency, so security is the first and last thought in the crypto space.

Apart from the two main types of wallets, it should be noted that there are wallets just for one cryptocurrency and others for multi-cryptocurrency. There is also an option to have a multi-signature wallet, somewhat similar to having joint account with a bank.

Wallet notes

The cryptocurrency wallet has a public and private key with personal transaction records. The public key includes reference to the cryptocurrency account or address, not unlike the name required for one to receive a cheque payment.

Wallet formats

Different types of wallets are available to suit individual preferences.

  • Hardware wallets made by third parties which have to be purchased. These devices work somewhat like a USB device which is deemed safe and only connected when required to the Internet.
  • Web-based wallets provided, for example, by crypto exchanges, are considered hot wallets which purt users at risk.
  • Software-based wallets for desktops or mobiles are mostly available for free and could be provided by coin issuers or third parties.
  • Paper-based wallets can be printed bearing the relevant data about the cryptocurrency owned with public and private keys in QR code format. These should kept in a safe place until required in the course of crypto transaction and copies should made in case of accidents such as water damage or printed data fading through passage of time.

Crypto exchanges and marketplaces

Crypto exchanges are trading platforms for those interested in virtual currencies. The other options include websites for direct trading between buyers and sellers as well as brokers where there is no ‘market’ price but it is based on compromise between parties to the transaction.

How to Get Bitcoin

March 21st, 2022

If you’re looking to get into the game of Bitcoin and hold your own coins, there are many options available. Here are some of the different methods available for acquiring some Bitcoin of your own.

Buy them from an exchange

One of the most common ways to acquire bitcoins is through an exchange. Websites like Bitstamp, BTC-E, or Cavirtex here in Canada, allow you to purchase Bitcoin. They don’t sell Bitcoin themselves, but how it works is the exchanges pair you as a buyer with a seller who’s selling for whatever price you’re looking for.

This sounds like a great option, and in some ways it is, but it has its disadvantages as well.

One of the major ones is that the exchanges require you to add your personal information to them via Know Your Client legislation that’s present in many countries in regards to currency-related businesses. This might not be a concern for everyone, but in a post-NSA scandal era, it’s becoming more and more clear, at least to me, that data you put out there is more accessible than you think.

I might be a little paranoid, but who knows what might happen in the future. After all, just ten years ago the idea that the government is spying on everything we do was purely the realm of tin foil hat conspiracy theorists, and now it’s just common knowledge. Who knows what’s next?

As you can tell, I’m not a big fan of the exchanges. The idea that I have to give up my personal information to an entity which might have to release that information seems to go against the spirit of Bitcoin.

Fortunately, there are other options.

Mine them

Of course, there’s only one place Bitcoins really come from; mining. Every Bitcoin you’ll ever own, see, or hear about, was at one point mined via the Bitcoin mining network.

If you find yourself in possession of a mining rig, go ahead and mine away! Or if you have a computer fast enough to make it worthwhile, that’s cool too.

But be careful! If your computer isn’t cooled properly, you run the risk of overheating it, which could potentially brick it.

Frankly, mining with your computer isn’t really worth it. Not anymore. As the mining difficulty increases, it becomes more and more difficult to gain any profit from it. And unless you have a dedicated mining rig, your chance of getting any sort of return from mining is pretty low.

Some argue that mining is on its way out, and even buying a dedicated mining rig isn’t really a valid option anymore. I disagree, but that’s a topic for another day.

Buy them from a private broker

If you’re able to find a private broker, you can hook up with them and exchange. This has some obvious benefits, but it also has drawbacks.

First off, it’s completely anonymous. Even if you meet in person, there’s no reason you need to use your real name, or any details about yourself other than your wallet number so they can transfer the funds to you. And if you pay cash, the banks can’t trace it either. So if that’s a concern for you, you’re in business.