Tag Archives: bitcoin

Do a Vanishing Act With Cryptocurrency

Do A "Vanishing Act" With Cryptocurrency

Maybe not 100% of the people interesting in cryptocurrency are primarily interested in its anonymity feature but a lot of them sure are.

In this video, the founder of HowToVanish.com, (his name might be "Lohengrin" but that sounds rather operatic to me) points out the danger of our data being manipulated, in the course of typical internet commerce and activity,  without our knowledge, against our will, and possibly even to our detriment.

Toward the end of the video, he recommends making all purchases possible with bitcoin (or another cryptocurrency).

I totally agree with him. I'm so sick and tired of seeing and reading about big business and governments treating normal people like databytes.

Microsoft Announces Availability of R3’s Corda Blockchain Platform on Azure

Microsoft Announces Availability of R3’s Corda Blockchain Platform on Azure

R3’s blockchain software Corda, developed by the Fintech startup alongside 70 of the world’s biggest banks forming the R3 consortium, is now available on Microsoft’s cloud computing platform, Azure.

Announced quietly last week, the revelation comes soon after Corda’s code was contributed to the Linux Foundation-led Hyperledger Project on November 30. R3 first announced its decision to go open-source with Corda, the product of its Concord blockchain product, in October this year.

Elaborating on R3’s year-long development, Richard Brown, technology chief at R3 claims:

Corda is a distributed ledger platform designed from the ground up to record, manage and synchronize financial agreements between regulated financial institutions. It is heavily inspired by and captures the benefits of blockchain systems, without the design choices that make blockchains inappropriate for many banking scenarios.

Corda’s availability is the latest offering and addition of Microsoft’s blockchain services toolkit called Project Bletchley. First announced in June 2016, Project Bletchley is Microsoft’s endeavor to push for “an open, modular blockchain fabric powered by Azure.” Fundamentally, Microsoft is looking to provide comprehensive solutions with blockchain technology for customers on various platforms, as Blockchain as a Service (BaaS).

R3’s Blockchain Demo Available

Microsoft’s announcement includes a demo offering of Corda via virtual machine image. While this author hasn’t tried the demo prior to publishing, Microsoft claims the demonstration will showcase Corda’s capabilities through real-world scenarios such as interest rate swap deals. Details reveal that deployment will take 3-5 minutes for the virtual machine to be created, one which will deploy a multi-member Corda demo network. The demo isn’t charged, but usage of Microsoft’s resources including storage, networking and computing will be billed.

R3’s blockchain software Corda is now available on Microsoft’s clould computing platform, Azure.

Brown’s comments above point to a marked difference in the ‘design choices’ made by Corda compared to a public blockchain, like bitcoin’s ledger. These choices include developing the Corda blockchain platform within the confines of legal and regulatory frameworks, a focus on privacy and the means to achieve a modular consensus.

R3’s CTO added:

By making simple Corda demos available on the Azure Marketplace, R3 and Microsoft are making it easy for newcomers to experience Corda for themselves before joining the community.

R3’s efforts to push its blockchain product for wider adoption (with its notable call to go open-source) comes during a time when the New York-based startup is losing some of its notable banking members. The likes of Goldman SachsMorgan Stanley and Banco Santander have all decided to exit the consortium after a year’s membership.

Images from Shutterstock.

TwitterLinkedinFacebookRedditWeibo

Chris Corey 

CMO Markethive Inc

 

Bitcoin Latency Solved!

Bitcoin’s Big Problem: Transaction Delays Renew Blockchain Debate

Bitcoin is facing a major problem as the time it takes transactions to be processed has increased dramatically leading businesses to stop accepting the cryptocurrency and others to issue warnings that the problems could be terminal.

The problem is not something that has come out of the blue with those within the bitcoin community as well as researchers pointing to this looming issue for some time. The problem relates to how transactions are processed on the blockchain, the decentralized, distributed ledger technology that underpins bitcoin.

The average time it takes for a bitcoin transaction to be verified is now 43 minutes, and some transactions remain unverified forever. Some of the problem stems from the fact that anyone can add a fee to every bitcoin transaction, which bumps that transaction up in the queue, meaning that those who didn’t pay such a fee — or didn’t pay a sufficiently big fee — may be waiting hours and sometimes even days for a transaction to complete.

This is how it works. When someone uses bitcoin to pay for an item in a shop, that transaction needs to be verified on the blockchain. This is done by what are known as miners, individuals or groups who use massive computing power to solve increasingly complex mathematical equations to mine new bitcoins, which come in “blocks” and are mined about every 10 minutes. These blocks are used to record all transactions made on the bitcoin network, and have a maximum size of 1 megabyte (MB), meaning they can record just seven transactions per second at most.

To put this in context, Visa says its payment system processes 2,000 transactions per second on average and can handle up to 56,000 transactions per second if needed.

The result of the slowdown in transaction clearance rates has led some businesses to give up on bitcoin completely while others are recommending users to switch from bitcoin to alternative cryptocurrencies like litecoin.

The problem grew so large this week that at one point there were 40,000 bitcoin transactions waiting to be cleared — though at the time of writing, that figure has dropped to under 10,000. This drop has mirrored a drop in bitcoin’s dollar value this week, going from over $917 on Friday to under $863 yesterday, according to Gemini's tracker.

The bitcoin community has split into two distinct groups over the past years. The first group is known as Bitcoin Core, the network’s volunteer developers who want to change the way the signatures are stored on the blockchain rather than increase the size of the blocks. The other is known as Bitcoin Classic, a group comprised of developers and enthusiasts who propose the adoption of an alternative blockchain (incompatible with the original) that would increase the block size to 2 MB, a move it believes would increase user adoption.

Bitcoin’s architecture worked well when it was not widely used, but with over 200,000 bitcoin transactions processed every day and a market capitalization of over $14,588,828,445, the system is beginning to creak.

The problem was flagged up earlier this year  by one of the main developers of bitcoin over the last five years, Gavin Andresen, who told MIT Technology Review at the time that the problem with bitcoin’s limited transaction rate "is urgent."

"Looking at the transaction volume on the bitcoin network, we need to address it within the next four or five months,” Andresen said.

Then last January, another core bitcoin developer Mike Hearn penned a widely read missive on Medium, which declared bitcoin a failure. “[Bitcoin] has failed because the community has failed,” Hearn said. “What was meant to be a new, decentralized form of money that lacked ‘systemically important institutions’ and ‘too big to fail’ has become something even worse: a system completely controlled by just a handful of people in China.”

These concerns were backed up last month with the release of a research paper from a large group of researchers mostly affiliated with Cornell University, titled “On Scaling Decentralized Blockchain.” The research suggests that bitcoin would need a complete redesign if it is to support a much larger network of users and transactions.

In a blog post this week, Andresen said that the block size limits are there to protect the network from attacks — and so far that method has been effective. He added that the current problems could be highlighting an underlying problem. “In my view, people are using the block size limit for something it was never meant to do — to influence how people use the bitcoin blockchain, forcing some users off the blockchain,” he said.

It is time for a new evolved enterprise solution.

Enter the impending launch of a new type blockchain that is a POS (Proof of Stake) in contrast to Bitcoins POW (Proof of Work).  A truly exponentially expanded distribution that has no latency and gets even faster as it grows.

The technology is in the phone apps, not big cumbersome Mining Computer systems.

And this prevents the density of miners in one area or country as Bitcoin is mostly mined in China. And there are many reasons to have concerns in that regard.

A new type of Blockchain coin that delivers a wallet that transacts all fiat and crypto currency, comes with a VISA debit card and is part of the POS system, thereby earning you money on an ongoing basis.

MCC (My Crypto Coin)

Launches January 10th on to all the exchanges, it will be exciting to watch how this progresses.  MCC is in the final days of a Crowd Funding where you could fund at any level and find yourself holding a fortune as a result. Do not delay. Come to our meetings. There are only a few days left.

To get going join our group in Markethive
https://markethive.com/group/cryptocoin

Thomas Prendergast
Founder and CEO
Markethive Inc.

Bitcoin Advocates Close To Trump

Bitcoin Advocates Close To Trump

President-elect Donald Trump has brought at least three individuals into his new administration who are publically pro-bitcoin. Who are the individuals and what makes them interesting?

They are:

  • For the position of US Director of Office of Management and Budget, Trump appointed US Congressman Mick Mulvaney, a Tea Party Republican, a hardline fiscal conservative known as being very outspoken about drastically cutting  federal spending on social programs. Mr. Mulvaney is also a founding member of the bipartisan Blockchain Caucus, aka the "Bitcoin Caucus" whose purpose is to help congress remain current on crypto/blockchain technologies and currency, and how to develop policies to advance them. He is also a very outspoken advocate of abolishing the Federal Reserve.

  • Peter Thiel, one of the original founders of PayPal, vocal bitcoin advocate, and outspoken gay billionaire has been offered a position on Trump’s transition team executive committee but has yet to accept. Nevertheless, the offer shows that Trump is not shy about bringing bitcoin advocates into his administration.

  • Betsy DeVoss, daughter-in-law of Amway co-founder Rich DeVoss, has been picked by Trump to be Secretary of Education but has yet to be vetted and approved by the appropriate congressional committee. Her position on bitcoin is unknown but it might be assumed that being closely associated with Amway she might be pro bitcoin. Ironically… her kids go to private schools but considering that she has always been an advocate for quality education she might possibly be presumed to be pro bitcoin.

  • Texas Governor Rick Perry, an outspoken advocate for bitcoin, has been nominated for Secretary of Department of Energy and is awaiting congressional confirmation.

A few other prominent politicians who have in recent years spoken positively about bitcoin include:

1. Jared Polis

A US congressman known for saying that the US dollar should be banned instead of bitcoin.

2. Dan Elder

A candidate for US House of Representatives in 2016 famous in the bitcoin community for funding his campaign solely by bitcoin and stating that bitcoin would be a way to bring integrity back to the notion of money.

3. George Galloway

A British politician and mayoral candidate in London noted for pledging to run his campaign budget  on MayrosChain, a blockchain-based  public expenditure management system. He stated on his funding page:

“Now, for the first time, the radically disruptive technology of blockchains can provide a technological backbone for true, 100 percent transparency. Political accountability, it seems, is about to take on a whole new meaning."

4. Andrew Hemingway

Andrew Hemingway, a Republican who ran (unsuccessfully) for New Hampshire Governor in 2014 and spoke once about using blockchain tech for elections.

5. Gulnar Hasnain

Over in London again, Gulnar Hasnain, a Green Party candidate running for a local government position, became noted for taking donations via bitcoin and also an alt coin called Onename, and a micro-tipping tool called Change Tip (recently closed).

In this interesting Youtube video, she shares her evolution into a bitcoin advocate.

She once said in an interview that she would like to draw attention to the positive aspects of blockchain technology and its potential to “transform democracy worldwide” and added that there were many similarities between her party and the principles of distributed ledger technologies.

She further added, “Surprisingly, the Green Party is vocal on the same issues as the bitcoin movement – more decentralised power, smaller government, a need for a shift in the concentration of power in the banking system and a more inclusive society.”

6. Rand Paul

Back in the US, everybody knows Ron Paul’s son, Rand Paul, a noted Libertarian who currently serves as Kentucky as one of its two Senators. He accepted bitcoin donations during his brief, unsuccessful campaign for US Republican Presidential nominee.

Kentucky Senator Rand Paul, who officially announced his bid for the 2016 Republican presidential nomination, started to accept bitcoin donations in April this year. The Washington Post called his decision to accept donations in the digital currency a "genius political move".

However, during a TechCrunch panel earlier this year, Paul said he was "an outlier" on "the bitcoin things".

That might have something to do with the reason he didn’t win the nomination…. Maybe he just wasn’t Libertarian enough. In a Bloomberg News report, he was quoted to say, "I've been fascinated by the concept of it, but I never would have purchased it myself. I'm just a little bit skeptical."

So, there are probably other politicians who are slowly evolving a positive attitude toward bitcoin and cryptocurrency if for no other reason than their hope that it might keep their sorry asses in office. Whatever happens, you can bet that as public awareness and favorability it increases, most of them will see it as a politically expedient bandwagon to jump on.

Trumps recent statements and appointments are indeed a positive thing but exactly when, where, and how the components of Trump’s administration will fall into place remains to be seen as does precisely how his new administration will deal with the massive tactical problem of (as he says) “draining the swamp”.

To say that there is a lot of inertia in the federal bureaucracy, the upper echelons of Wall Street and the global banking industry, and the US “presstitute media” would be an understatement. Such massive anti-freedom, anti-capitalistic, anti-libertarian machines as have evolved over the recent several US political administrations will take an equally long time to unravel and properly reconstruct, if for no reason other than the fact that it will take time to ferret out the dormant agents of the old regime and its way of thinking. They will not ‘go quietly’.

A few observers are speculating that Trump might try to pull a rabbit out of the federal hat by taking the US economy toward some kind of bitcoin-based monetary system.  

That’s possible but, as far as it goes, there aren’t any indications that such a move is being seriously considered…yet. Plus, it’s doubtful that the existing government bureaucracy would eagerly cooperate with something so totally libertarian.

One notable speaker, author, and economic forecaster, Doug Casey, has conjectured that the US government’s only possible way to avert a total collapse of the overly debt-burdened US economy would be to come out with a federally sponsored and/or designed version of cryptocurrency… which Mr. Casey conceptually calls, “Fed Coin”. See my recent article about Fed Coin and Mr. Casey.

I agree that Trumps appointments are looking interesting but I also think it’s still too early to start popping champaign corks about what it means for bitcoin and cryptocurrency in general. For the time being, the future of such things is still in the hands of private sector entrepreneurs. Whatever the Trump administration might try to do, the devil is still in the details. And the solution to the world’s money problems are still TBA (To Be Announced).
 

Art Williams
Freelance Writer
Case Studies and eMail Copywriting
eMail Me here

 

Cryptocurrency Metrics – Are There Any Good Ones?

Cryptocurrency Metrics – Are There Any Good Ones?

 

I don’t claim to be a cryptocurrency guro nor do I play one on TV. But I do know a little bit about basic marketing and business metrics and now that I have recently gotten interested in Bitcoin and cryptocurrency it occurred to me to see if there were meaningful metrics to help me choose among the multitude of cryptocurrencies I’ve encountered in the market.

My thinking was that, ‘If this question comes to my mind, it might be of concern or interest to other newbies in the cryptocurrency market too.”

So here’s what I found (or didn’t find) today. Are there any commonly used terms and metrics that a beginner-level cryptocurrency buyer can use to evaluate and differentiate between cryptocurrency choices?

The short answer seems to me to be, “No…not really.”

Whereas traditional business accounting has such measurements as:

Debt to equity ratios

Total Debt to Asset Ratio

Accounts receivable turnover

Accounts payable turnover

Current Ratio

Working Capital

Working Capital

Net Profit

Operating Margin
Accounts Receivable
Accounts Payable
..and others…

…..I couldn’t find anything similar for cryptocurrencies except one term… “Market Capitalization” or Market Cap.

And even for that term, the definition used for stocks (i.e. equities) can’t be directly applied to cryptocurrencies because cryptocurrencies and equity stock are two different animals.

Whereas the standard definition for Market Capitalization in equities markets is, ‘The amount of dollars per share of company stock times the number of shares’, the most logical comparison I could come up with in applying that definition to cryptocurrencies was, “the current prices per coin times the number of coins in circulation”. I couldn’t find anything more specific.

So, what signals or metrics could or should a prospective cryptocurrency purchaser use?

First of all, it probably should not be just one metric. While market cap is probably one reasonably good metric (of popularity and/or tenure in the market), there could also be other profile factors to pay attention to.

Liquidity, i.e. the number of buyers and sellers in the market could be important. Especially for traders rather than long-term investors. While I did not see the term, Liquidity, listed on any charts, I did see the term mentioned in some coin reviews.

Related terms could be “available supply” and “volume”.

Transaction fees might sometimes be a factor when purchasing cryptocurrency from an exchange. I saw that term mentioned in some reviews of alt coins but it wasn’t listed on any charts that I found.

The term Nodes has something to do with the processing time of buying and selling of cryptocurrency and and that might be a factor for active traders. And I did see the term listed in some alt coin reviews. But again…it wasn’t prominant on any charts that I found.

The term Difficulty has something to do with security issues and transaction processing time and I gather that this factor varies from coin to coin. But again, it was listed in some coin reviews but didn’t seem be a prominant consumer concern. It is related to the maximum allowed number in a given numerical portion of a transaction block’s hash. The lower the number, the more difficult it is to produce a hash value that fits it.

Bitcoin Price Index (BPI) is a term you might come across where the information provider wants to give you a graphic illustration of some particular cryptocurrency factor, e.g. trading volume, market buys or sells per 24 hour period, etc. An “index” could relate to many factors other than price.

Bitcoin Market Potential Index (BMPI) This metric is subjective but could be relevant if the buyer was concerned with a particular market characteristic. An ‘index’ could, theoreticaly, be constructed to help the reader make a conclusion based on those narrowly defined factors.

Bitcoin Sentiment Index (BSI) . This factor is, like the one above, probably subjective but might be valuable at least a relative sense.

Liquidity. This is probably a good term to watch for. And you will see it on some coin charts and reviews. The ability to buy and sell an asset easily via a suitably large community of buyers and sellers is important for liquidity. The result of an illiquid market is price volatility, and the inability to easily determine the value of an asset.

As you can see, there’s not a whole lot to sink your teeth into when you’re trying to understand what a good coin is vs. what a bad coin is. And the problem can be compounded even further when you discover that some coins were not even created for consumer-type purposes.

So what’s the answer?

You just don’t have the same kind of Quick and EZ Guide To CryptoCurrency Riches that you do in more mature subjects (e.g. Bass Fishing, Golf, Learning Spanish). But it seems to me that the best answer is:

  • Don’t move too fast.

  • Do as much research as you can.

  • Ask a lot of questions but be sure you ask people who can respect.

  • Try to pick your ‘plays’ based at least on what you might have in common with people who’ve made the same play, i.e. if you’re a middle-income working-guy, try to find out what coins similar people have bought (and been happy with). Don’t buy a coin just because some finance guy you read about in some far-off financial capital (who is probably in an income bracket 3 levels higher than you) bought.

  • Start small.

  • Don’t rob your kid’s piggybank. Take the risk from your budget.

The good news is that a rising tide floats all boats and many people have a mix of worry and optimism right now. On the one hand many people are optimistic for the US and world economy (due in no small part to the recent election of D.Trump). On the other hand, more and more people are realizing that old-fashioned money and banking practices are a game they’ll never win and they are starting to see that crytocurrency looks like a viable answer to their problems.

Luckily… it’s early in this incredible cryptocurrency phenomenon and you’ve got time to win big. Just take it seriously. The stakes are very high.
 

Art Williams
Freelance writer
Case Studies and eMail Copywriting

 

Bitcoin has had quite a month, rising from $725 to a high of $911 today.

Bitcoin has had quite a month, rising from $725 to a high of $911 today.

Part of what is driving bitcoin's price movement is the financial turmoil in China. A weakening yuan in combination with increasingly strict capital controls in the country have driven investor's capital out of mainland china and into bitcoin.

Likewise, since the Chinese government considers bitcoin to be a commodity rather than a currency, it is impervious to foreign exchange regulators – meaning that it is nearly impossible for them to limit its upside.

But, in my opinion, China is only one of numerous reasons bitcoin has been rising.

The Trump effect as well and his embracement of the Blockchain apparent in his cabinet appointments as Kim Dotcom has also predicted Bitcoin to hit $2000 next year giving Trump much of the credit.

But, with it breaking out to all-time highs now, it begs the question, how high can it go?

Let's look at the total market cap compared to other money and sectors.

Bitcoin is currently near $14 billion of total market cap.  If you multiply the total amount of bitcoins available (currently just above 16 million) by its current price you get its market cap near $14 billion.

At $14 billion, bitcoin has nearly the same market cap as silver.

But, when compared to Bill Gates, with a worth of $75 billion, bitcoin is still worth much less than the world's richest man.

When comparing it to companies, like Apple, the world's highest market cap company at $620 billion, bitcoin is still only worth 2% of the value of Apple.

And, compared to the total value of all gold in the world of $7.8 trillion, bitcoin is only 0.17% of that value.

Gold is likely the most similar item to compare bitcoin to.  Like bitcoin, it is a store of wealth and considered by many to be money.

And given the ease of use of bitcoin and how digital the world is becoming, it is fair to posit that at some point bitcoin may be worth as much as gold.

If that were to happen the price of each bitcoin would have to be valued at $487,500.

Another item that could be compared to bitcoin is the value of all fiat money in the world.  It is estimated, by the CIA Fact book, that there is about $28.6 trillion of coins, bank notes and bank deposits in the world.

If bitcoin were to replace all fiat currencies, something in which we speculate is certainly a possibility, the value of each bitcoin would be worth $1,787,500.

Will that happen anytime soon?  Of course not.  Could it happen?  Absolutely.

So, if you think you have missed the boat on bitcoin by not buying it earlier… there are plenty of reasons to think that it hasn't even begun yet.

 

Will Latency Slow Bitcoin Rise

Yes bitcoin has doubled in value over the past year, however as more people turn to bitcoin then more miners are required to ensure transactions are completed quickly. China has a large share in mining pools, however in the past months some of them have been shut down for stealing electricity to power the computers required to solve the mathematics which builds blocks in the blockchain. the longer it takes to produce blocks the slower the transaction becomes.

There has been talk of fork to update the blockchain but there is no consences for this. Implimentation might also prove challenging due to its widespread distribution which perversly adds to it security.

Waiting in the wings is a new coin Mycryptocoin (MCC), which brings together the best of bitcoin and ether, but using Proof Of Stake(POS) to replace mining as all coins will be allocated at launch.

Smart contract and application can be run on the blockchain. Owners walletscan hold MCC and these can be bought and sold within the wallets with links to all other ccyptocurrencies, bank accounts, cards and other payments systems such as paypal. Truly a one stop wallet complete with its own Visa card.

Are you interested to join a brave new world, if so you are just in time to join an Initial Coin Offering (ICO) cloud funding project which is about to close.

MyCryptoWorld, has a lucrative offer at the moment which is going to be explained TODAY

Take the first step now by joining me at  https://markethive.com/group/cryptocoin

Then remember to come to our webinar today at 12 noon MT on Friday 23rd December (Use http://www.timeanddate.com/worldclock/meeting.html enter Denver as location 1 and your own location to check your local time)

Join our live Webinars Every Day: For times and Webinar logins on go to the Markethive calendar: https://markethive.com/calendar

Direct access to our webinar room is at: https://www.ivocalize.net/#room/TheHive

Thomas Prendergast
Founder and CEO
Markethive Inc.

Hitchhikers Guide To Cryptocurrency Terminology

Hitchhikers Guide to Cryptocurrency Terminology

 

Just as I’ve often marveled at how many internet gurus take it for granted that the average person is familiar with Microsoft Word, I think the same situation will probably develop as Bitcoin and other cryptocurrencies get more into the mainstream of society and people encounter a whole new terminology they are not familiar with.

So, as a public service, here’s my non-academic, non-professional survey of some terminology that you either will need to know, might need to know, or might enjoy knowing as cryptocurrency becomes a part of your life.

Alt Coin

It has been said that ‘imitation is the sincerest form of flattery’ and there have been plenty of groups who have come out with their own imitations of Bitcoin. Some have been more successful than others but here is a list of several of the more successful ‘alternate’ cryptocoin patterned after Bitcoin to one degree or the other. Keep in mind that alt coin pundits can be pretty snarky in their opinions and alt coins are not all created for the same purpose or by the same means. As for which one is, “x” (where x is a particular attribute)… the answer is, “It all depends.”

Litecoin

Peercoin

Namecoin

Quarkcoin

Primecoin

Novacoin

Feathercoin

Zetacoin

MyCrytoCoin

Digitalcoin

Dogecoin

Stablecoin

Ethereum

Ripple

Bitcoin

The original cryptocurrency launched in 2009 and based on a scholarly paper released on the internet by a mysterious figure, or possibly group of people, going by the name of Satoshi Nakamoto. Some people doubt that the originator was Japanese. Nevertheless, the paper was titled Bitcoin: A Peer-to-Peer Electronic Cash System. In January 2009, Nakamoto released the first bitcoin software, open source, that launched the bitcoin network. The first units of the bitcoin cryptocurrency were called bitcoins. Note: “Bitcoin” is the network and “bitcoin” is the payment unit used in that network.

 

Cryptocurrency (also cryptocoin)

A digital asset designed to work as a medium of exchange using cryptography to implement and secure the transactions and to control the creation of additional units of the currency. In practical terms for the consumer… cryptocurrency is digital money used for the same things traditional money is used for… except with certain advantages over traditional money. All bitcoins are cryptocurrency but not all cryptocurrency is Bitcoin.

IBAN

The International Bank Account Number is a unique identifier helping banks process payments from person to person automatically. The IBAN contains all necessary information of the owner if a bank account such as the account number, bank and branch information and country code. Since the processes for transferring bank funds into cryptocurrencies can sometimes still be rather rigorous and tedious, this number could be seen on some paperwork.

Bank Secrecy Act

This fine work of legislative art, The Bank Secrecy Act of 1970 (otherwise known as the Currency and Foreign Transactions Reporting Act) requires financial institutions in the United States to assist U.S. government agencies to detect and prevent money laundering (as if the NSA wasn’t enough). Specifically, the act requires financial institutions to keep records of cash purchases of negotiable instruments, and file reports of cash purchases of these negotiable instruments of more than $10,000 (daily aggregate amount), and to report suspicious activity that might signify money laundering, tax evasion, or other criminal activities. Of course, in periods of inflation, even a trip to 7-11 approaches this criminal parameter thus conveniently making almost everybody a criminal.

BBAN

Basic Bank Account Number. It represents a country-specific bank account number. The BBAN is the last part of the IBAN when used for international funds transfers. The average cryptocurrency user or purchaser may see it on a form.

BIC

Bank Identifier Code… an international code that banks use for financial transactions. Each bank has its own BIC. Also known as SWIft CODE. Could be 8 or 11 characters.

FinCEN

FinCEN is the federal agency principally charged with combatting money laundering and financial crimes. A feat they accomplish primarily through the regulation of banks and related entities, or “Money Services Businesses” (“MSBs”).

Hash

AKA: hashing or hash function. Hashing isn’t directly relative to a consumer’s use of cryptocurrency but it is a word that pops up a lot when looking at descriptions of various cryptocurrencies. It refers to a security protocol whereby a data string is jumbled up (i.e. like real “hash”) at the sender-end and then put back together at the receiver-end. Both results should match of course. Just like in the kitchen, there are different kinds of hashes.

Keys (or Crypto Keys)

In the world of cryptocurrency, ‘keys’ are small strings of alphanumeric data used to unlock a larger piece of code relating to a cryptocurrency transaction. Keys are either Public or Private and are very important to the success and security of cryptocurrency systems and processes.

KYC

An acronym for “Know Your Client/Customer” and referring to a large body of rules and regulations enacted and enforced by governments on financial institutions to presumably prevent them from doing business with criminals and terrorists. The two main facets of KYC rules are (1) traceability and (2) identification verification.

Mixing Service

A service that mixes your bitcoins with someone else's, sending you back bitcoins with different inputs and outputs from the ones that you sent to it. A mixing service (also known as a tumbler) preserves your privacy because it stops people tracing a particular bitcoin to you. It also has the potential to be used for money laundering. For some users and in some scenarios, mixing is a desirable feature because it adds extra layer of anonymity to a transaction.

mBTC

1 thousandth of a bitcoin (0.001 BTC).

OTC Exchange

An exchange in which traders make deals with each other directly, rather than relying on a central exchange to mediate between them.

Public Key

An alphanumeric string which is publicly known and unique to each transaction. This key is used in conjunction with your Private Key to complete a transaction.

Pump and Dump

Inflating the value of a financial asset that has been produced or acquired cheaply, using aggressive publicity and often misleading statements. The publicity causes others to acquire the asset, forcing up its value. When the value is high enough, the perpetrator sells their assets, cashing in and flooding the market, which causes the value to crash. This can and has happened with some alt coins and MLM cryptocoin scams.

PSP

Not a video game system but rather a Payment Services Provider. This is not a consciously important term for the average cryptocurrency user but is important to merchants who want to accept cryptocurrency…much in the same way that merchants need a ‘merchant account’ to accept Visa, Mastercard, or other credit or debit cards. Cryptocurrency PSP’s are ‘hot’ financial services right now. Note: The MyCryptoWorld block chain, when released, will incorporate all the features of PSPs for merchants and will be a very-much ‘game-changing’ development in the cryptocurrency ecosystem.

Private Key

An alphanumeric string kept secret by the user, and designed to sign or authenticate a digital communication when combined with a public key.

Paper Wallet

A ‘Paper Wallet’ is the physical equivalent of a digital or e-wallet. It is a printed sheet containing one or more public bitcoin addresses and their corresponding private keys. It is often used to store bitcoins securely, instead of using software wallets which can be corrupted or web wallets which can be hacked or simply disappear. They are useful but require great accuracy and security.

SEPA

The Single European Payments Area. A payment integration agreement within the European Union, designed to make it easier to transfer funds between different banks and nations in euros.

Silk Road

An underground online marketplace, generally used for illicit purchases, often with cryptocurrencies such as bitcoin. Silk Road was shut down in early October 2013 by the FBI after owner Ross Ulbricht was arrested. Ulbricht was later convicted on money laundering and drug distribution charges.

 

Scamcoin

An altcoin produced with the sole purpose of making money for the originator. Scamcoins frequently use pump and dump techniques and pre-mining together. A great conversation starter at a party: “Hey, have you bought any Scamcoin yet!?”

Satoshi Nakamoto

The name used by the original inventor of the Bitcoin protocol, who withdrew from the project at the end of 2010. Not to be confused with Sasushi Nakamoto who owns a sushi restaurant in Los Angeles.

Satoshi

The last name of the mythical inventor of Bitcoin but also used to denote the smallest subdivision of a bitcoin currently available (0.00000001 BTC).

Transaction Fee

A small fee imposed on some transactions sent across the bitcoin network. The transaction fee is awarded to the miner that successfully hashes the block containing the relevant transaction. Cryptocurrency transactions fees are miniscule in comparason to transaction fees in traditional banking channels. Thus no wonder that banks and ‘banking families’ are very sceptical of cryptocurrencies.

Transaction block

A collection of transactions on the bitcoin network, gathered into a block that can then be hashed and added to the blockchain.

TOR

An very robust, effective, and anonymous internet data routing protocol, used by people wanting to hide their identity online.

QR Code

A two-dimensional graphical block containing a monochromatic pattern representing a sequence of data. QR codes are designed to be scanned by cameras, including those found in mobile phones, and are frequently used to encode bitcoin addresses. QR codes are frequently used in the buying and selling of cryptocurrencies via smartphone.

uBTC

One microbitcoin (0.000001 BTC)

Wallet

A method of storing bitcoins for later use. A wallet holds the private keys associated with bitcoin addresses. The blockchain is the record of the bitcoin amounts associated with those addresses.

So, that’s a starter Primer for your Bitcoin and/or cryptocurrency adventure. Of course this document is meant more to the benefit of Beginners but I do plan on updating it as time goes by because I know that getting into cryptocurrency can be a bit intimidating at first.

If you encounter a term that you think should be highlighted and clearly defined in future revisions of this list, please let me know at 713 701 1853, xpatflipper@gmail.com, or by joining Markethive, the free community for Entrepreneurs (for free… here) and connecting with me there.

 

Art Williams
Freelance Writer
Case Studies and Email Copywriting

 

 

Experts Predict Bitcoin Hits 1 Million Next Year

Experts Predict Bitcoin Hits 1 Million Next Year

We have the opportunity right now to take a very good risk to acquire results into the millions of dollars.

Here me out and come to our live webinars. Time is running out.

The lessons learned in business. Paying attention and seeking knowledge. Pursuing wisdom and mentors with wisdom and experience

Case in point, Bitcoin 2009, where were you?

You see back in 2012 when Bitcoin was trading around a penny, I was aware of the new revolutionary tech called Blockchain. Aware, but very ignorant. I had $50,000 invested in bulk silver coin and gold 1 ounce Maple Leafs. I was totally focused on the wrong preparations for the immediate future

I am a smart, experienced, entrepreneur and have been my entire life. I created and built Veretekk with nothing more than my visions, and my bare hands. There was no one before me to teach me. I joined UCSD’s Super Computer center to learn how to build the tools I envisioned and with the help of George Kremeneck and the partnership I built with Jeff Balmeo, we, laid the foundations, for what is now Markethive, the first off, Market Network (evolving from the Social Networks). I invented Inbound Marketing in the mid 1990’s Way way to early.

Markethive is a new wave technology, born from 20+ years of endeavor, innovation and dedication. It’s time has come. Why? And why am I discussing the summary history of and birth of Markethive?

Because it needed the Blockchain to morph into the most powerful social network what the pundits have identified as the new Market Networks that will dwarf the “Social Networks” and we are the first to produce one.

But Markethive needs a Blockchain to produce a shopping platform that every single human could utilize to build wealth regardless of nationality or residency. That is our mission, and MCC’s blockchain has given us the foundation to do it.

So, how in the world did I miss it in 2009-2012? I was not “Paying Attention” If I had paid attention, I would have liquidated my small holding of silver and gold, and purchased $50,000 worth of Bitcoin at less than a penny per coin.

Segway to the near completion of Markethive, discovering that Markethive was actually a Market Network, a new market to supersede the Social Networks, as has begun recognition of this new burgeoning  SAAS, Social Network, market platform predicted to eclipse the Social Networks and become the first Quadrillion dollar market.

Markethive (over 20 years in development) is ready to launch, as the new Market Network.

In that process we are seeking capital investors. And along came MCC, as this new emerging Blockchain company, they see the future and raw power potential in Markethive.

So James Wilfong and I talked about their investing into Markethive. We negotiated 5% of the Markethive stock for $5 million. This comes about in January after their ICO (Initial Coin Offer).

A few weeks after the negotiations I started really looking at the bitcoin market, educating myself, researching etc. As I did so, it started to form from the fog, that perhaps MCC (MyCryptoCoin) was more then I realized at first.

Now understand; as I did this research it dawned on me that back in 2008 when I started buying up Gold and Silver bulk coins (not collector coins) at around $800 per ounce. About $50,000 worth.

If I had paid attention to the Bitcoin revolution and bought the same amount I would have over $4.5 billion today. This caught my attention. I have seen a similar event with the Internet, but this is actually hundreds of times more intense. In fact, this trend (revolution) will likely be bigger than any other event in the history of mankind.

I started to realize that what MyCryptoCoin was doing was not just another coin, MyCryotoCoin’s DAO (Do you know what that is?), Their own Blockchain, their own proprietary Wallet, all developed with engineers that came from Bitcoin and Etherium, are about to launch the next level in this revolution. I call it bitcoin V2 and will address and solve the latency of Bitcoin, will give Markethive the ability to offer an Ebay type shopping platform that will allow all forms of live payment processing within 2nds.

Listen carefully, Markethive will be able to offer an Ebay type shopping platform that will accept all forms of payment. With MyCryptoCurrency over coming Bitcoins bottle neck of latency, transactions in crypto coin, fiat accounts (ACH), credit cards, 3rd party wallets like Payza, and Paypal will all be accepted with instantaneous transactions. Instant, no waiting (like) occurs with today’s crypto coins.

This is a substantial technical advancement that will both catapult Markethive becoming a trillion dollar Market Network, eclipsing LinkedIn (A social network) with monthly profits in the billions. Think I am kidding?

Fueled by MCC (mycrytocurrency) another huge disruptive company poised to launch, which I am convinced will eclipse Bitcoin, because they will be launching the “Latency” solution Blockchain, an advanced Wallet that solves the online Merchant Account issues and a series of other proprietary technology that will bring the CryptoCurrecy revolution into the main stream.

Did I mention? No I did not. Until the year end, we are offering you the option to purchase 3 million coins and $500,000 worth of Markethive stock for a ridicules low cost. We have other incredible packages that I can personally embrace as being one of those once in a lifetime events were you can leap from your financial level into wealth. Making literally millions even billions in dollars in profits.

I missed the first wave with Bitcoin in 2009 but I am firmly paying attention this time.

Come to the meetings! Do not miss this!
CHECK THE CALENDAR

Join our group
https://markethive.com/group/cryptocoin

Thomas Prendergast
Founder and CEO
Markethive Inc.

Excuse Us…Perhaps You’d Like some Fed-Coin?

Fed Coin – The Government’s Cyber-Swindle?

Does the US government have a shady knock-off of Bitcoin (BTC) up their sleeve to cope with the increasingly likely collapse of the US dollar? Doug Casey thinks they might.

Doug Casey is a writer, speculator, and the founder and chairman of Casey Research. He describes himself as an anarcho-capitalist influenced by the works of novelist Ayn Rand. Doug has a very prescient hypothesis of how the US government, and indeed world governments, might try to solve their debt and currency-value problems.

Mr. Casey’s idea is within the realm of possibility and smart patriots, citizens, and consumers would be wise to, as the Bible says, “Pay attention!”.

First of all, we must recognize the reality that although the US dollar is still fairly well regarded internationally, that’s only because it’s living off of the reputable reputation it once had. See this article.

But don’t delude yourself that lots of countries haven’t been looking for currency and financial system alternatives. They have.

In fact, a growing number of countries have already taken proactive action to set up their own international settlements network that bypasses the New York City banks. These countries are already starting to trade in their own currencies.

This group of countries is known as BRICs ( Brazil, Russia, India, China, and S.Africa) and is described in Wikipedia in the following manner:

“In the aftermath of the Yekaterinburg summit, the BRIC nations announced the need for a new global reserve currency, which would have to be "diverse, stable and predictable". Although the statement that was released did not directly criticize the perceived "dominance" of the US dollar – something that Russia had criticized in the past – it did spark a fall in the value of the dollar against other major currencies.”

Some background to the chain of events which led up to this point: Since the US dollar went off the gold standard and US coinage lost all silver content by the mid 70’s to mid 80's, US currency has barely been worth the paper it is printed on or the value of the base metal it is minted with.

The only thing that has kept the US economy afloat, other that the fact that the US has been pretty good at intimidating and destabilizing other countries, is the ability unique situation whereby the Fed can print all the money it wants, America does have a large consumer base, and other countries have been dumb enough to take it our worthless dollars in return for the merchandise they manufacture and ship to us.

But accepting US ‘funny money’ is like building a skyscraper with fake steel. Such a structure is inherently unstable and nobody in their right mind would want to rent on one of the upper floors. Foreign governments are realizing that US dollars, especially with the US government influence that comes packaged with it, is not a smart deal.

So what would happen if foreigners stopped taking US dollars for their ‘stuff’? Today, there are multiple economic scenarious that could bring the US economy down. And of course when the US economy fails, the rest of the world would suffer too. Everybody except the politicians of course.

Many experts have quietly been warning for several years that one such precipitous event could be a collapse of the US derivatives market. Although derivatives might theoretically be a sound financial product in some circumstances, the problem with most derivatives, especially in the US, is that most of them are based on lousy collateral.

Lots of foreign governments also own US derivatives. And when these governments eventually decide they don’t want to refinance their US debt securities anymore and would prefer to take their money and do something else with it…the US won’t be able to comply with that request because it simply doesn’t have the cash.

A derivatives crash, or anything of similar scope which might cause a run on the US banking system, would be bad news not only for America but also for the world economy.

US banks don’t have enough cash to cover all the debt they’ve issued. No US bank, including the Fed, even meets its own reserve requirements.   

In such an event, even if the US government resorted to printing more of the worthless money they’ve been printing for several years, it would be a practical impossibility to print the amount needed. And that presumes that debtors would even want US “dollars” at that point…. Which they probably wouldn’t.

This looming catastrophe has been in plain view for several years now.

To summarize the problem to this point: US currency is worth nothing, the US government is up to its eyeballs in debt, there is growing suspicion and outright lack of confidence in US geopolitics and the US economy (e.g. we don’t ‘make’ anything anymore except war), the US middle class is ‘feeling the pinch’ and they’re not very happy about it, the US has a bloated and unproductive bureaucracy and and welfare class, and the list goes on.

So, if you’re in the government, there’s not much to be positive about economically. Unless you think you can ‘dance between the hailstones´.

Enter Bitcoin (BTC) and Mr. Casey’s theory: Since US cash is worthless, what if the government tried to come out with their own version of Bitcoin? Wouldn’t that tend to reset the clock and buy them more time to kick the can down the road?

Could such a nefarious scheme actually work?

Yes, it could. It all depends on how it would be packaged to the public and whether the public accepted it.

What would the government have to do to pull off a ‘caper’ like this?

First of all, they would push the mantra that ‘government is good’ and ‘market forces’ are bad.

Next it would enact laws ‘to protect the public’. These laws would probably favor their plan over the private market option (i.e. BTC et.al.). Similar to what the Indian government is doing now with gold ownership laws…ostensibly to protect Indians. See that article here.

Simultaneously they would use their influence with the vestiges of the almost obsolete US banking industry to regulate or curtail conversion between the cryptocurrency domain and traditional types of ‘money’ in the US. They would use regulatory powers to make Bitcoin, Dogecoin, et.al. more difficult to use.

Also they would probably become more intrusive into the citizen's cyberspace…including trying to control capital flight from the US.

And of course, they would use their power to try to throw in some proprietary ‘perks’ to their “Fed Coin” scheme to make it more attractive than alternate type of cryptocurrency.

They could have other tricks up their sleeve. Don't be surprised if they even try to tie Fed Coin in with anti-terrorism. But Mr.Casey’s point is valid: The government might figure, “If we can’t beat’em….join 'em!”

“Fed Coin.”

It sorta has a patriotic, SuperHero ring to it, doesn’t it?

Don’t fall for it. Fed Coin: Bad. Bitcoin: Good.

 

 

Bitcoin Will Rise to $2000 in January 2017

Bitcoin Can Rise to $2000 in January 2017

The Confirming Trends

Trump’s ascendancy will be confirmed in January – a time in which Kim Dotcom hopes to launch his Megaupload 2.0.

Saxo’s projected three-fold increase in the current price of the digital currency – currently at $760 – is similar to Dotcom’s prediction that Megaupload and its potential Bitcoin wallet Bitcache system could take the price of Bitcoin to $2000, based on the claim that the file sharing product would overcome Bitcoin’s scaling problems.

The anonymous cloud sharing, anti-surveillance, video hosting, Bitcoin-caching online service, that will serve the equivalent to the population of the Philippines (approximately 103 mln), is slated for a release in late January. Let’s hope he can pull it off.        

China to exceed growth expectations

On Dec. 1, China restricted the importation of gold in order to prevent capital leaving the country. The country still plans to regulate the importation of gold to avoid the Chinese yuan from leaving the country.

As a huge determinant of the eventual quasi-synchronization in price between Bitcoin and the yuan, the Chinese trading volume will correlate with the price of Bitcoin in the coming weeks even as the Chinese central bank and authorities struggle to recover the value of the yuan which has fallen 5.8 percent against the dollar already this year.

Saxo Bank notes that China is expected to exceed growth expectations in the coming years, adding that the country’s current slowdown has been predictable due to elevated investment levels of around 50 percent of GDP while total debt has swollen to an unsustainable 237 percent of GDP.

Through massive stimulus from fiscal and monetary policies, and by opening up capital markets even more, the country successfully steers a transition to consumption-intensive growth surpassing current expectations and reaching eight percent growth in 2017.

India is ready for Bitcoin

Bitcoin’s price increased following the recent demonetization of the Indian rupee. Following this, there were suggestions that the government could be planning a ban on the importation of gold as the precious metal reached two-year highs in November. This, coupled with the growing awareness of Bitcoin in the world’s second most populated country and the Indian government's resolve to work on Bitcoin and the Blockchain framework before 2018, could push it to a tipping point.

In its Payment and Settlement Systems in India: Vision-2018, the Reserve Bank of India notes that it will be monitoring framework for new technologies/innovations in order to “ensure that regulations keep pace with the developments in technology impacting the payment space, the global level developments in technology such as distributed ledgers, Blockchain etc. will be monitored and regulatory framework, as required, will be put in place.”

This will improve the country’s payments ecosystem, it says, which has been evolving dynamically with the advancements and innovations taking place, particularly in the area of FinTech.

In a chat with Cointelegraph, a spokesperson for Zebpay agrees that there's been no talk of Bitcoin without the mention of India lately and this will continue for a little longer because Bitcoins are the new game changers in the era of cashless economy offering billions of Indians the ability to go cashless using digital currencies.

The spokesperson says: “We skipped the landline generation and have a modern mobile phone infrastructure. Similarly, India has the potential to skip the plastic money generation and build a modern financial infrastructure on this revolutionary technology.”

For Coinsecure CEO Mohit Kalra, India is rising to Bitcoin and 2017 seems promising for its adoption and usage.

"In terms of use, we are hoping to see more merchants start accepting Bitcoin in India. Demonetization and going cashless can definitely help boost adoption rates across merchants, businesses and individuals alike!"

Read more at: The CoinTelegraph

Join our live Webinars and special guests: Events and Webinar logins on the Markethive calendar: https://markethive.com/calendar

Direct access to our webinar room is at: https://www.TheHiveRoom

Thomas Prendergast
CEO
Markethive Inc.

P.S. At least move some of your money into Bitcoin. Here is a comprehensive list of Bitcoin exchanges. This is a new shift, much like the Internet. Do not reject this move, rather embrace it. The List:
https://99bitcoins.com/best-bitcoin-exchanges-comparison-review/