The Definition of Bitcoin bitcoin currency trading
Almost everyone now knows about bitcoin currency trading trading. While most people have had success with the currency, there are others that have faced challenges. If you are planning on getting into the market here are some of the things you should be wary of:
The bitcoin wallet
To use the coins, you need a digital wallet. It can be an app, hardware or cloud based. Some bitcoin currency trading companies help beginners by automatically generating the wallets for them. You can store the purses online or offline. For security reasons, save yours online and ensure that the password protects it. Avoid an online wallet as it can easily be hacked. If you have to use the unit keep a limited amount of money in it.
While this is the case, it doesn’t mean that you shouldn’t be conversant with the prices in the market. Regularly visit forums and related places to find the current prices of the coins. Who knows you might find it profitable selling it at the current prices? Bitcoin investing can be quite lucrative
Getting Started With bitcoin currency trading:
Reality CheckIt's “reality check” time - again. Cryptocurrency is not actual money -- it's functional money. We can't just listen to the programmers and anti-capitalist group “We are Anonymous.” Some of these guys/gals are good, some are radicals. It's obvious that the information wars, the misinformation and disinformation campaigns, are in full force. But cryptocurrency is not the perfect “money.” It is not even the perfect “currency” or is it? How about bitcoinI is, however, a near perfect lesson - about how code can substitute for checks. Checks written or debits made or credits obtained -- all based upon fiat money. The problem or perhaps the next step, will be when cryptocurrency itself retains value -- long term. When fiat money is no longer required to support the system of private digital monies. It is going that way now. Digital monies creeping up on ten years of value. So the lesson is that we "the people" can create an encrypted monetary ecosystem which cannot be manipulated. A resilient, person-to-person, fiat e-currency, immune to fickle governments. Immune to us. An irredeemable currency, as it were. Once the block-chain becomes obsolete, however, and that will happen at some point, then the next alternative currency will have been born. And hopefully, it will not owned by the Chinese. Bursting Bubbles?Then there is the supernova theory. A stellar explosion which briefly outshines the entire galaxy, according to Wikipedia. But in this case, the comparison is rather minor, because bitcoin has not yet fully shined. If one looks at bitcoin's past, this stage may have occurred already, when the value exceeded, very briefly, over $1200 dollars each. Like a supernova, bitcoin's energy was expelled for a brief period of time and we are now watching as the residual bitcoin energy fades into oblivion...or are we? So here we go again. Into the great beyond. Perhaps as posited, to over $40,000 a coin? Is this just a maturation stage? A waiting period. A minor plateau on way to Mt. Everest, before we strap on our oxygen bottles and head for nose bleed territory? OutlookMonday, August 24, 2015, marked the beginning of the upward tick for Bitcoin, but only a tick. From the $200 range bitcoins pushed to $500 each. Then they slipped back to lower territory – again. As of this update (April 28, 2017) the upward pattern or revaluation is holding above $1000 (U.S.). Above $1300, actually. It has exceeded that psychological barrier: gold. This pattern is not like a stock, but it is similar. Monero began its serious climb after August of 2016. They currently trade for over $20.00 each. DASH, long bashed by the alleged purists of cryptocurrency, has steadily risen in value. It currently trades at over $70.00 each. DASH's latest upturn began in January of 2016. A year long uptrend, once exceeding over $100, per coin. Company stocks can rise in value and then fade, but the underlying substance, at least for some types of stocks, are voting rights in that company. Note, however, that many stocks and bonds are parceled out in the form of mutual funds or ETF's, where the voting rights remain with the investment houses. Individual investors – you and me – just hope to earn a tidy profit in 20 or 30 years. In Dash, there is a voting system. Not in Monero or Bitcoin, however. Not exactly. We are told that companies mature and their stocks stabilize in value – or grow slowly. We are told to look for that slow and sure growth. Dash? We are told to ignore the fact that the dollar is devaluing and all the American companies, along with it. At least the ones that remain in America. The companies that flee are chased by Uncle Sam, as he tries ever so gently, to shove worthless fiat bills down their throats. We are told not to worry about the "helicopter money." Is Ancient Rome an example? SpeculationSpeculation about the next great 'Bitcoin Bubble' is all over the blogs. Each time Bitcoin gathers a head of steam, the pundits climb on board the train and argue with each other. The Bulls and Bears cheer and jeer, respectively. Will Bitcoins reach $40,000 each? According to some they will go higher. Others cite the supernova scenario. What of a stable value? What of blocksize? Slow transactions? The Chinese? Litecoin? Ripple? The “Gold Bugs bash Bitcoin as just another fiat currency. They have a valid point, but they also forget the value of the blockchain accounting system. Why can't such a system be used to verify ownership of assets? Actually, this has already been accomplished, but not in a big way. Other IssuesEthereum is one such an example. They could issue company stocks on their “blockchain.” Now just imagine for a moment, if their “blockchain” forks? (For the lay person this means that their software just failed and this still occurs within these types of systems.) What happens to your stock? Ethereum has had its share of problems. Manipulation of offshoots, what some call side-chains, to move (not steal) coins. One can use Ethereum Classic instead. Gold Bugs don't need to worry about “forks” just confiscation by governments and thieves. The terms “governments” and “thieves” are often interchangeable, of course. The government fiat-currency buffs are the biggest hurdle to innovations like bitcoin. They begin their morning prayers to John Maynard Keynes, the dead economist responsible for the fiat based currency system we presently use. They fill us with 'concerns' that these new technologies can compromise banking systems. And they, the investigative arms of nations, do have valid points -- as they apply to state run, state controlled, banking systems. But, crypto is private. I might add that many of us feel we use the current government fiat currencies, involuntarily, i.e., fiscal-slavery-lite. No Father?Bitcoin has no father, as some have put it. It is like gold, a physical thing, in that respect, but it is not physical. We know there is about 363,762,732 pounds of gold on earth, at last count, according to Google - on November 9, 2015. We know about how many Bitcoins will be “mined.” About 21,000,000 give or take. But the similarities end there. Will this next Bitcoin surge cause the entire ecosystem to burst like an over-inflated fiat currency or will the world finally stand up and take notice? Could Bitcoin implode, like some fantastical singularity – an intelligent one as some worry - leaving not a trace of itself and millions of “Bag Holders” staring into space-time? Some Bitcoiners will even tell you that money is 'time' and Bitcoin is analogous to a big clock. To be...To optimists, pouring millions of dollars into bitcoin, this is proof positive of its stability. Not to mention yen, yuan, pounds, and various other fiat currencies flowing in. If the current influx of fiat monies continues its pace, Bitcoin will continue to exchange over a billion dollars each week. To the average international bank, this is peanuts. But these exchanges are taking place over automated and decentralized systems (software) anybody can download and use...or not download, but still use. That makes all the difference. Virtually no 'overhead.' Streamlined. Efficient in a lot of ways. But is is very slow when compared to the current financial systems. Ten minutes? Two hours? Just how long does a transaction really take? Say no to the "Download"Downloading is another problem. Nobody is in charge of the Bitcoin Software. A group – a community of sorts – must come together to “update” the software. Then we, the users, must either swallow the “update” or move on. And the software is slow to load the blockchain. It takes days... In other words, human cooperation becomes the new “gold standard.” Interesting, isn't it? Unless...like what is happening currently, one nation assumes control. China, for example. Five ReasonsThere are five good reasons Cryptocurrency will continue to surge - worldwide: Over-Regulation: Countries are making crypto illegal or over-regulating it. When things become illegal, supplies constrict and millions of people who wish to keep using or buying the thing cause the price to elevate. Excessive Debt: Countries are mired in enormous amounts of debt – and we don't trust their currencies. We don't know when the next country will go bankrupt. Once they do, the contagion spreads. Fiat-currencies devalue. Prices rise. The countries then 'pump' more fiats into the ever failing Keynesian Model. Current Weakness of Gold(?): Valuable or other base metals are not performing as well as they could be, owing to the economic slowdown and manipulation. As industry slows, the economy is obviously on the skids. Gold, silver, copper have all experienced unusual drops in value. Historically, it appears to be an inverse bubble. When compared to the underlying fiat-currencies, gold and silver should be much higher. Many gold bugs and sound money theorists place the blame squarely upon the misplaced trust in the dollar. Also – a misplaced trust in cryptocurrency. Once the people realize their error, as the sound money supporters state, gold will seek its rightful and high price, relative to a failing fiat-currencies – they hope. (Or are we in some new monetary paradigm?) Confiscation: Gold can and has been confiscated by governments. This is crux of the “Gold Problem.” In short, sound money theorists cite gold's long history of hard value. They rarely bring up the fact that when gold re-values and currencies crash, governments react by confiscating the gold and reissuing fiat-currencies. Gold is also heavy, must be insured, and cannot be transferred online in the U.S.A. (Bitgold -- now GoldMoney, the company, has solved this problem in Canada. But it is not a decentralized blockchain. It's just another method to invest in gold.) Privatization: Private currencies are very difficult to steal. Governments can't make “private” currency or necessarily confiscate it. The fact that governments cannot control the number of fiat-Bitcoins being issued (mined), traded, and transferred, is a deal-breaker when it comes to the adoption of private-cryptos. Monero and DASH are the primary players in this area. Zcash is attempting to play, but is struggling. The fact that people, the world over, trust cryptocurrency certainly bothers many governments. Governments, most of them, need to retain their ability to 'make' currency – since most don't really make 'money.' If the value of cryptocurrency advances, then how will this change government-fiat currencies? Will they devalue, if crypto becomes a household word? No doubt. Over-regulation is a key factor. The more government entities attempt to curtail innovation, that less innovation there will be. Cryptocurrency is innovation. That's why governments are imitating the “blockchain” software. Nobody (okay – almost nobody) trusts government, however. Government investigations and the general economic malaise worldwide, are other examples recent cyptocurrency investment disinterest. Why jump into a quagmire of rules, regulations, ad infinitum, unless the profit potential outweighs the risk? Cash or dollars are easier to use, but far less private. Maybe the Chinese are fleeing their monetary system in droves, but should other countries follow suit? Perhaps the biggest hurdle, given all of the bad press, however, is trust. Specifically, cryptocurrency trust. The “fear factor” is alive and well within the "crypto-sphere." This is a sobering fact. If and when Bitcoin goes “Supernova” is the big question. An expanding ecosystem, where a Bitcoin fiat currency valuates too quickly, could lead to such a phenomena – just as it does in nature. Bitcoin is unstable. Instability does not last in nature. Neither do good intentions. But...shall we say "In Crypto We Trust" ???
About the Bitcoin Market
Markets NeededBitcoin broke the gold barrier. The last time it touched this "third rail" was a shocker. It dropped precipitously and it required over three years to claw its way back. So far, so good. Japan is in the news of late. It now accepts Bitcoin as a payment method. Retailers and tourism are poised to receive a boost. Optimist think that this development will serve to increase bitcoin valuations and push adoption, at least in Asia. So here we are again. But maybe not. The SEC (Securities and Exchange Commission) in the United States has essentially rejected bitcoin as an investment option. Repeatedly. The long and the short of it is, it can't be regulated internationally. It's too free. Oh, and some bad players might rip you off. And the SEC can't spy on every business in China -- and elsewhere -- offering bitcoin. If the SEC can't spy on you -- just to keep you safe you understand -- then its a non-player. A non-starter. Will the U.S. Government ever allow a legalized Bitcoin? This latest review might be a downer. Be prepared with a little gold and silver...and a bit of Monero. But let us dig a little deeper. In the obvious 'mine.' Bitcoin is an international monetary unit. A type of functional money. A large portion of the mining and transactions are taking place in China. China is not a cooperative country. It is a highly centralized communist dictatorship. It is not a friend of the world. As such, the U.S. looks at a the global picture. What is the global picture? Just as stated. Enemies must be very careful. They must take care not to be undermined in any sphere. Militarily, financially, even business relationships, are all areas that could pose a threat. Bitcoin poses a threat. A financial threat. It's just another part of the global currency wars. And you think Uncle Same will turn a blind eye? Will bitcoin be able to hold against gold this time around? Will math beat out a monetary unit which his existed for thousands of years? Will codes conquer substance -- gold? It'll be an interesting next few months as both sides, the crypto-lovers and the SEC (and the IRS and Uncle Sammy) go at it. Now Japan sides with crypto. But they need all the help they can get. Come to think of it so do we -- the U.S. But whose carrying the big stick? Thus far the answer, at least on a temporary basis, seems to be the people carry the monetary 'bitcoin' stick. Until, that is, governments become involved. Then one needs to make a choice. Shall you stay with bitcoin if any government attempts to influence its code, for example.? Or should you diversify? Before we go there, recently one the the most important core developers has bought something to the attention of the world. It the fact, according to Greg Maxwell, they've now confirmed it. Suffice it to say that a type of flaw in the bitcoin code allows some miners to mine 20% faster (called the AsicBoost). It's a real cash cow and why, according to some, the big Chinese mining companies do not wish to fix the code. See more here. That recent bit of news has faded for now. Litecoin has been around for awhile. To us watchers, the newest prices of LTC brings back memories. Maybe they can climb above $30.00 each again -- and hold. But wait a minute, it did! If bitcoin continues to lose ground, it seems to be the logical next "trusted" choice. And it is well overdue for a spike -- a pump. You would need to do the homework on it again, however. To see if you think "scrpyt" coins are as tough as SHA-256. It is really interesting that Litecoin moved ahead with Segwit. This improvement would "fix" the problems bitcoin currently faces. According to Maxwell, bitcoin, especially the ones making the "killing" in China, could block any such Segwit improvements to bitcoin. The bulletin boards are chirping that bitcoin will eventually adopt Segwit. But how can this be verified? It can go either way. Monero (and Aeon or even Bytecoin) need something really special before they will be accepted and acceptable, by the masses. Like real estate needs location, location, location, a currency needs...markets, markets, markets. They don't have them, yet. Trust is being built, however. Time does this. DASH has a bit more exposure, more markets, so in a sense, it is easier to trade and use. But based upon observational experience, DASH looks to be madly pumping and dumping. A crash back to earth should be expected soon. No sooner than I typed these words a few hours ago, DASH sunk over 90 million dollars...then 100 million... In the weeks that followed, DASH is surprising even me. Soaring to new heights and then crashing back. Is it only a "people pile?" Add to this, Craig Wright's recent mad filing of patents related to Bitcoin and it makes you go, "Hrumph!" Clearly, one blockchain isn't going to get it. We need security, not monolithic cryptography. The more the merrier. But blockchains, without flaws. Not possible really. There are always coding issues. Suffice it to say that psychologically, many will be looking for a cool million dollars on these recent run ups in value of many coins. Beware of trade volumes, however. Exchanges like Poloniex, for example, may only make it possible to sell $50,000 to $100,000 at any given moment. Which isn't bad, if their service does not go down. It's always safer to work on several exchanges and even use the decentralized ones, if you dare. And as for DASH. When will all the voluntary DASH nodes get cold feet? If you run a master node and have set aside 1000 DASH and that DASH soars in value; and you start seeing gold coins and big houses, swimming pools and nice cars, are you really going to keep your DASH? Do you think Duf-boy is not cashing in? How about after recent attack they suffered? You know they are thinking hard on it now. After reaching over a $200 a coin, you know they are wondering. PoloniexMost of Monero's and DASH's business is generated -- from what is visible -- on just one exchange: Poloniex. Many cryptocurrency aficionados often refer to some coins as being "owned" by Poloniex. In other words, that Poloniex is the "pump." That they can rig the game. At least push it along. Kraken finally added Monero. HitBTC and LiveCoin can also serve to stabilize trading. At present HitBTC is pulling some serious weight and could unseat Poloniex in the XMR realm. It's a wait and see thing. Thus far, neither Monero, DASH, Aeon or any other related "private" cryptocurrency, has the market pull of Bitcoin or even the taxed "Zcash." I call Zcash a post-mine. You mine some Zcash and they take their cut up front. And if you're asking about "Zcoin" then ask yourself how many developers are backing it, before you go that route. Add to all of this, the fact that Bitcoin may morph into a more private-centric coin in the near future. And just maybe the "devs" will try to level the playing field. If you trust them. Is this a good idea? I mean if you make better ASIC's to mine BTC faster, then what's the issue? Technology wins. However, if you are exploiting a backdoor of sorts, that's another thing entirely. It's not about being unfair, it's about a broken cryptocurrency. Maybe the "devs" have finally screwed up bitcoin to the "point of no return." Ease of UseMonero (and AEON) might unseat Bitcoin and Ethereum in the near future. DASH is certainly a contender. Bytecoin, a dark horse with alleged "scammy" beginnings. In all probability, Monero is best positioned to accomplish this, but there are stumbling blocks. The fact that Monero appears to be focused upon privacy, but the user does have the option to publicize transactions to a point, for taxes and other purposes. But we don't really know who the developers of these coins are. Doesn't that bother you? Aeon intends to do things a bit differently and this fact could usher in a entirely new method of monetary transactions. It's privacy with a choice to go public as well. Still, does it matter how good something is, if we do not have the name of the primary creator(s) of the "thing?" DASH is up front about its development, but is that a strength? Many cite DASH's "instamine" as a reason to steer clear, but look at the GUI -- the easy to use software. Test it. Then test Bitcoin or Monero GUI's. Who is the true underdog here? Or the best salesman -- as in "used car salesman"? "...separating the wheat from the chaff..." Remember the LaymanThe trouble one always finds in the cryptocurrency world is separating the wheat from the chaff. Scam-coins abound and even legitimate attempts to create a currency and/or monetary unit in this new "cyber-money-space" are often met with disdain, if not outright ridicule. There is much to read and understand, but with a modicum of foresight, one can judge a cryptocurrency by its cover and a bit of the innards, when they are visible. In short, the layman is often left confused and bored. Protection?Since currency and money are very sensitive subjects, the fact that cryptocurrency creators maintain anonymity, may be their only protection. I'm not spouting conspiracy theories, but judge for yourself, the number of developers of these technologies, who have been investigated, ridiculed, ostracized, fined, jailed and finally, imprisoned. SecrecyMathematical geniuses are taking on monetary totalitarianism and they are being picked off, like pigeons at the Vatican. No wonder Monero and Aeon developers remain private. They know the score. Using cyberspace to live free and a digital underground railroad -- to get the code out. DASH is taking a different road. It's letting the software do the work of anonymity. Some call this the high road. Others call this foolhardy. Evan Duffield, social engineer? And another thing, why would the creator of DASH admit on video (see time frame 36:15 in the above video) that he was once a "black hat hacker?" Once dabbled in a bit of crime? Isn't that a foolish statement to make while being interviewed by your employee...Amanda B. Johnson. The same Johnson who once referred to gold as a rock. A relic from a past age? Maybe she is right, but... Clearly these noobs need a PR person, but maybe it's too late now. And maybe it's all planned by Mr. Past Black Hat himself, Evan Duffield, in an effort to jettison DASH before the crypto-sphere collapses. Take his money and run. I mean really, do you think people are foolish enough to pour money into an "iffy" project, long term? Does not leadership or the lack of it, count? But let us not be obtuse. These new Fintech geniuses are attempting to rewrite monetary history and this fact is not going unnoticed. So it becomes a two edged sword? A scam that will result in many prosecutions or a success that will lead to mass adoption by governments and the elimination of private cryptocurrencies altogether. We may be investing in a scam or the next great cryptocurrency. Again, how do you feel about a semi-professionally run organization, like "gray hat" DASH, versus a secretly run Monero? Get that raw feeling in your gut? Bitcoin EraFrom the beginning, which we might label as the Bitcoin Era, the landscape of money itself was altered. Not only are the finance houses from the old empires attempting to catch up, but we the people are left with a choice. Do we allow ourselves to be governed by the chains attached to our wallets or do we evolve? Recently, Sweden rejected a state run cryptocurrency. Few even know about bitcoin. China is preparing to go full steam ahead with a state controlled "Communist Crypto." Any takers? But bitcoin, as I have asserted repeatedly, is a bridge to a better currency. A way to move from a valueless currency (fiat systems) to a valuable one. Maybe. In the meantime, we the people of earth, not nations, are at a fiscal crossroads. We are able, at this moment in history, to remove a thorn from our collective wallets. The thorn of control. That monetary mafia. Can you guess what I am on about? Bitcoin was the first lesson. Things like Monero, Aeon and DASH take the next logical step: privacy. Or partial privacy. But, Aeon, like Monero are the dark-horses. DASH, not so much. Maybe a gray colt, as yet UN-castrated. Meaning what would happen if the DASH team was pulled aside by the U.S. Justice Department? What is to stop the IRS from requesting the Book of DASH from Mr. DASH himself? Nothing. Always, there must be "updates," however. And the lords of control (the developers) will eventually and irrevocably, be remade. That's why things beyond the reach of our minders (our Deep States) must -- should be built. Because such constructs solve two problems: abuse by criminals and abuse of power, by our minders. But why does privacy matter? This video tells us why privacy remains important in the digital age. Final WordsAccording to Cryptocoinsnews, in a article titled "Coinbase CEO Armstrong: Ethereum Scaling Better Than Bitcoin," dated September 21, 2016, Coinbase (a Cryptocurrency Exchange) got an earful from Reddit users about Monero. If Coinbase or other such exchanges list Monero, this could certainly boost usage. However, if one considers the privacy of Monero, such integration could prove problematic for any Cryptocurrency Exchange. Bitcoin is public and the developers are known. Same for Ethereum. But Monero is private and only one spokesman has come forward publicly. Riccardo Spagni. But Spagni does not control Monero. Given the laws and rules surrounding the transmission of money, especially within the United States, one wonders how Monero could ever hope to comply, unless it allows (enforces) the option to "publicize" transactions. Unless Monero can trace Monero -- completely. And that would defeat its purpose, violate one's rights to keep his/her financial details private and, presumably, kill the coin. Now, there are ways to provide law enforcement with the ability to track your Monero transactions, but you must volunteer that information. With Bitcoin, it's far easier to investigate your every dealing, purchase, or savings amount, since all transactions and account balances are public by default. Then the question arises, would you ever volunteer to anyone, never mind your local intrusive government, how and where you store your cash? But the fact that Monero leaves that option up to the person, up to the user, takes the onus off of them. Does DASH have these same problems? Do former "black hats" lie? PredictionI'm not an Edgar Cayce type, but I just consulted my tea leaves. They say that Monero will soon be absorbing DASH's thunder. (Hasn't happened though. Bad publicity?) Bitcoin will begin a slow tumble, south of gold value; and some new form of cryptocurrency, easy to use, not energy hogging, private and secure, backed by "something other than air," will gobble them all. (No such luck on this prediction either. Bitcoin continues to defy even me. And Iota just seems to sit.) In the meantime, a certain U.S. based Cryptocurrency Exchange, with its recent approval to sell and trade new crpyto-coins from the SEC, will open it's more of its books to Uncle Sammy -- behind closed doors. (Actually, the aforementioned exchange is still fighting this loosing battle.) So what is going on? Really? First the SEC refuses bitcoin ETF's in the U.S., then they happily allow more crypto to be sold by a virtually unregulated "exchange" company. Do you smell something? In a year of two, after this, the audits will begin. That's is after the NSA and other more secret agencies, have ferreted about the crypto records room and played out all possible terrorist connections, foreign agent problems and similar. If us noob citizens are lucky, the good guys (the U.S. Government) won't eat its own. After all, the IRS wouldn't just take our money without first determining that tax evasion actually occurred right? Think again. Think hard. Do you really think that the "public" companies in America, the ones that sell cryptocurrencies, have not opened every private electronic vault to Uncle Sam? Yeah, I wish I had more Monero about now, but I am too concerned about the IRS and its gang of goons, who will pick me over like some nice road pizza. I use to like Coinbase, but since they are taking it up the you-know-what, I'd prefer not be present for the fun and frolic ahead. And one last bit of info. After they take down fluffypony, there will only be one standing: Aeon. Keep an eye on the Dude. Check that, keep an eye on the grandpa: Bytecoin. Disclaimer for the Lawsuit HappyOh, so that lawyers won't salivate, please note that the above Hub (you can call it a blog if you like) is in no way any kind of advice to buy, sell, mine or read about cryptocurrencies. In fact, everyone on earth should henceforth, stop thinking, buy government bonds or move to the paradise of Venezuela...if you think that private blockchains are not the future or at least a path on the way to better Fintech.
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