Biggest Negatives Of 2017 - Ico Crowd The Disruptive Investors Magazine
ICO CROWD The Disruptive Investors Magazine 1) SCALING FAILURE The Bitcoin scaling war was resolved basically with a complete failure to scale Bitcoin at all thus resulting in sky high fees. For example the recommended fee (for likely in the next block) for a normal transaction is as of Dec 15 420 satoshis/byte. For the median transaction size of 226 bytes, this results in a fee of 94,920 satoshis. At the current Bitcoin price of $17,561 this means the median transaction costs a whopping $16.62 cents! The other day I sent someone $2 as a demonstration, now Im afraid I spent $16 dollars to do so. No wonder Steam just dropped Bitcoin as a payment system.At this point, it has become untenable to support Bitcoin as a payment option, Valve said. We may re-evaluate whether Bitcoin makes sense for us and for the Steam community at a later date.Its far cheaper, almost free, to use Litecoin or Bitcoin cash for payments now. This partly explains why Litecoin is skyrocketing at the moment. Cores incredible obstinance in refusing a blocksize increase has really handicapped Bitcoin. It is useless as a payment system now unless you are sending hundreds of dollars. Even for a hundred-dollar payment you are paying a 16% fee. You may as well use Western Union. Coinbase.com and Blockchain.info have not even adopted the Segwit code which activated way back in August and should result in significantly lower fees. Youd think they would want to help their customers in this way. But apparently not.Instead Bitcoin is simply adopting the role of digital gold.But Core should not be allowed to oppress Bitcoin like this. Why isnt there a UASF to insist that Core increase the blocksize? 2) Ethereum is still fairly insecure. Unlike Bitcoin, which has quite simple functionality, Ethereum contains it Continue reading >>
Pros/cons Of The Top 10 Cryptocurrencies In Market Cap Everyone Need To Know(1)
Pros/cons of the top 10 cryptocurrencies in market cap everyone need to know(1) This is an article for potential investors and people interested in the hottest ethereum/blockchain project recently. This can also serve as reminding notes to organize information as there are so many altcoin s now and people are easily confused with. Current market cap rankings and information can be found here . Note that this is my personal view and observations and should not be considered as financial advice. Bitcoin(BTC): The first successful cryptocurrency, Owning around 46% of the crypto market. The most accepted and easy to trade crypto in the current market, with sufficient resources online for everyone to learn more about. Has a large community and unlikely to disappear suddenly or found as spam which have happened to other altcoins. High transaction fee and scaling problem: As average block ming time is 10 minutes and blocks in bitcoin are limited to 1MB in size, which allows only 3 transactions per second, number of transactions to be mined raises incredibly. Transaction fee thus increases while miners are prioritizing transactions with a higher fee. See the following transaction fee chart: Consensus problem: Reaching agreement is also not easy in bitcoin due to its large community. There are always different supporters. A good example is the recent solution for scaling problem, SegWit and bitcoin cash(covered later in this article). Some even joke that bitcoin is the Nokia in the world of cryptocurrencies. 2. Ethereum(Ether, ETH): Ethereum is a decentralized platform that runs smart contracts written in Turing complete programming languages such as Solidity. Ether was created as a cost for programs to run in Ethereum. Ethers will always be needed to execute code on Ethereum, Continue reading >>
What Does Proof Of Stake Mean For Ethereum?
What does Proof of Stake mean for Ethereum? One major issue with Ethereum mining is the high consumption of power. Processing transactions costs an ever-increasing amount of electricity which is not only bad from a financial perspective but also bad for the environment. The main concept used in cryptocurrency mining is proof of work (PoW) which means miners get rewarded when they solve puzzles to validate transactions and create new blocks. Though it works and is used by the majority of cryptocurrencies, there is a need for a lot of computing power for new transactions to be verified. According to an approximation done by Vitalik Buterin who is the founder of Ethereum, it uses electricity costing up to $1M daily in order to process daily transactions. Since mining is becoming less financially feasible over time the founder proposed switching to a different concept as an alternative to proof of work called proof of stake. As opposed to proof of work where miners have to solve complicated algorithms to validate a transaction, in proof of stake miners are those that are willing to stake part of their cryptocurrency on the blocks they think should be added to the blockchain. Proof of stake depends on validators economic stake in the network. In a PoS based blockchain, miners who are the validators have their own turn in voting and proposing the next block. The weight of the vote of the validator will depend on their stake in the network which is basically the deposit of cryptocurrency they have. The blockchain will keep a record of validators and those who hold the blockchains base cryptocurrency. If one holds the blockchains base cryptocurrency they can easily become a miner or a validator as all they need to do is to give up their ether into a locked deposit through a sp Continue reading >>
Transactions - What Are The Pros And Cons Of Ethereum Balances Vs. Utxos? - Ethereum Stack Exchange
What are the pros and cons of Ethereum balances vs. UTXOs? Ethereum has a simpler model by not having UTXOs (Unspent Transaction Outputs) like Bitcoin.What does Ethereum "give up" by not having UTXOs, and what does it gain? The answer to this important questions are, sadly, totally slanted towards Ethereum, straight cup & paste coming from the Ethereum documentation. For example with UTXOs there's no need to come up with nonce and whatnots to fix transaction ordering issues: the recent Ledger Nano S SNAFU where many tx were broadcast several times or ppl eventually sending ETH many times instead of once to crowdfund ICOs during blockchain congestion cannot be nearly as bad when UTXOs are used. There are also 0-conf systems that are used with UTXOs that simply aren't as secure with Ethereum (you must wait blocks) Cedric Martin Feb 2 at 18:30 Basically the accepted answer here is of very poor quality and totally lacks objectivity. It's the Ethereum documentation which present the only advantage as "potential scalability paradigms" (notice the "potential"). Re the privacy we all know now that it's incorrect: there are companies whose sole purpose is de-anonymizing UTXOs / the Bitcoin blockchains. I'm sorry but there's much more to UTXOs than "potential scalability paradigms". I gave two examples. There are more (I'm not an expert on the matter but now enough to see that the answers here are totally biased). Cedric Martin Feb 2 at 18:33 +1 and favorite to the question asked. -1 to all the answers (so far). Cedric Martin Feb 2 at 18:33 @CedricMartin I've unaccepted the Jan 22 answer because we do want as much factual and unslanted answers as possible. If you find an expert who can answer, please encourage them. If this question is too broad for an expert, they may post thei Continue reading >>
What Are The Advantages And Disadvantages Of Ethereums Blockchain Architecture? Steemcreated With Sketch.
Bottom dollar: Ethereum is a platform, and thus will never be seen as efficient asother faster blockchains. Many complain at the speed of transactions for its cryptocurrency ETH, and I myself have had some laggy delays in transactions, as has @craig-grant who has talked about this in his videos. The roadmap instils major upgrades all the time it seems, and this includes moving Ethereum from a proof of work platform to a more efficient proof of stake one. This will be a tricky upgrade that will keep the developers busy, as well as the daily attacks that happen on the blockchain by rogue hackers. The worst thing I find about Ethereum is the lack of documentation to help people become Ethereum developers. I myself tried a few years ago and failed. Most of the online content is out of date and only covers the basics. To get to any depth within smart contracts is a tough gig. The Ethereum blockchain is such a new technology just like Steemit. Hopefully someone will put some Ethereum documentation together just like we've done with our FAQ section on Steemit - well done to Mr @timcliff on that one. Bottom dollar: Ethereum is a platform, and thus will never be seen as efficient asother faster blockchains. Many complain at the speed of transactions for its cryptocurrency ETH, and I myself have had some laggy delays in transactions, as has @craig-grant who has talked about this in his videos. I disagree with this statement entirely. ETH blocktimes are not slow at all ~15s. I am not sure what sorts of lag you are talking about but I send dozens of transactions every day and I would have conformations within a minute. Just because Ethereum is a platform does not mean it is inherently inefficient. The roadmap instils major upgrades all the time it seems, and this includes moving E Continue reading >>
Bitcoin, Ethereum, Bitcoin Cash, Ripple, Litecoin: Price Analysis, October 30
Bitcoin, Ethereum, Bitcoin Cash, Ripple, Litecoin: Price Analysis, October 30 Bitcoin trading might be back to China; Warren Buffett fearing the bubble, and more. How has the market responded? The views and opinions expressed here are solely those of authors/contributors and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision. * BTC/USD, ETH/USD and LTC/USD market data is provided by the HitBTC exchange . A bullish rumor doing the rounds was that the Chinese ban on bitcoin trading is likely to be lifted. That news boosted Bitcoins price higher yesterday. However, a parting message by Huobi poured cold water on the expectations. As a result, Bitcoin prices are correcting from their highs. While Warren Buffett , Jamie Dimon , and a few others are warning of a bubble in Bitcoin, the legendary investor Bill Miller is smiling away to the bank. His fund is up 70% this year. Miller had invested about 30% of his funds assets in Bitcoin in early-2016. Elsewhere, a few central banks are trying to stifle the use of Bitcoin by banning it. Nevertheless, the beauty of cryptocurrencies is that they are not controlled by anyone. The market shall decide the value. Though the ban might make it difficult to use Bitcoin in the marketplace, it is unlikely to affect trading activity. Bitcoin has rebounded sharply from the trendline support and is attempting to breakout of the ascending channel. On Sunday, the cryptocurrency broke above the resistance line of the ascending channel, but could not sustain it. Though the ascending channel has been a stiff resistance and the RSI is also showing a negative divergence, we believe that if the digital currency again breaks out of the c Continue reading >>
What Advantages And Disadvantages Does Ethereum Have Over Bitcoin?
What advantages and disadvantages does Ethereum have over Bitcoin? What advantages and disadvantages does Ethereum have over Bitcoin? What can you do with Ethereum that you simply cannot with Bitcoin? What price do you pay for these additional functionalities? I'll answer the middle question from the White Paper . Bitcoin can allow simple scripting and a weak version of smart contracts. The scripting that you can do has these limitations (quoting from the white paper, where UTXO means "unspent transaction outputs") Lack of Turing-completeness - that is to say, while there is a large subset of computation that the Bitcoin scripting language supports, it does not nearly support everything. The main category that is missing is loops. This is done to avoid infinite loops during transaction verification; theoretically it is a surmountable obstacle for script programmers, since any loop can be simulated by simply repeating the underlying code many times with an if statement, but it does lead to scripts that are very space-inefficient. For example, implementing an alternative elliptic curve signature algorithm would likely require 256 repeated multiplication rounds all individually included in the code. Value-blindness - there is no way for a UTXO script to provide fine-grained control over the amount that can be withdrawn. For example, one powerful use case of an oracle contract would be a hedging contract, where A and B put in $1000 worth of BTC and after 30 days the script sends $1000 worth of BTC to A and the rest to B. This would require an oracle to determine the value of 1 BTC in USD, but even then it is a massive improvement in terms of trust and infrastructure requirement over the fully centralized solutions that are available now. However, because UTXO are all-or-no Continue reading >>
Cardano: Ethereum And Neo Killer Or Overpriced?
Writer, researcher, and investor in Distributed Ledger Technology CEO and Co-founder of Eden Block. EdenBlock.com Cardano: Ethereum and NEO Killer or Overpriced? As the first blockchain with peer reviewed tech, Cardano is an ambitious platform. Can it stack up to NEO and Ethereum? Cardano has been on the tip of everyones tongue since its enormous run up earlier this month. Even in the volatile world of cryptocurrency, Cardanos 2000% increase over three weeks was extraordinary, and the community took notice. It now sits as the 6th largest cryptocurrency market cap at over $10 billion. Yet, before Cardano and its then $700 million market cap suddenly appeared on coinmarketcap.com, most had never heard of the project before. Its sudden appearance and enormous subsequent increase have left the blockchain community scratching their heads and scouring for information. So like with any new kid on the block, we want to understand what Cardano is, what separates it from other blockchain platforms, and whether it can play centerfield for our neighborhood team This article examines Cardano both as a standalone platform, as well as in comparison to Ethereum and NEO. For an analysis of NEO versus Ethereum, you should read this . I understand that EOS and other third generation platforms are also relevant; I will research and write about those later on. Since I have already extensively covered NEO, I will dedicate this article primarily to providing an in-depth analysis of Cardano. I will also compare each unique component to those of NEO and Ethereum. I will quote directly from my past article on some aspects. Lets begin Cardano is the, no-crust on his sandwich, kid at school who uses words like peer-reviewed and reads academic journals. He occasionally gets shoved into his locker Continue reading >>
Problems Ethereum/wiki Wiki Github
Anti-spam and anti-sybil attack algorithms Incentivized marketplaces for computational resources Decentralized systems for social welfare / mutual aid / basic income Decentralized governance (for both for-profit and non-profit entities) The increasing prominence of cryptoeconomics in the last five years is to a large extent the result of the growth of cryptocurrencies and digital tokens, and brings a new, and interesting, dimension to cryptography. While before cryptography was, by and large, a purely computational and information-theoretic science, with strong guarantees built on security assumptions that are close to absolute, once money enters the picture the perfect world of mathematics must interact with a much more messy reality of human social structures, economic incentives, partial guarantees and known vulnerabilities that can only be mitigated, and not outright removed. While a cryptographer is used to assumptions of the form "this algorithm is guaranteed to be unbreakable provided that these underlying math problems remain hard", the world of cryptoeconomics must contend with fuzzy empirical factors such as the difficulty of collusion attacks, the relative quantity of altruistic, profit-seeking and anti-altruistic parties, the level of concentration of different kinds of resources, and in some cases even sociocultural circumstances. In traditional applied cryptography, security assumptions tend to look something like this: No one can do more than 279 computational steps Taking nth roots modulo composites is hard The elliptic curve discrete logarithm problem cannot be solved faster than in 2n/2 time In cryptoeconomics, on the other hand, the basic security assumptions that we depend on are, alongside the cryptographic assumptions, roughly the following: No se Continue reading >>
Advantages And Disadvantages Of Cryptocurrency
Advantages And Disadvantages Of Cryptocurrency Before talking about the advantages and disadvantages of cryptocurrency, it is essential to know what it really is. Cryptocurrency is a digital currency that can use as a standard currency where ever that accepts it. However it is not under the regulation of the governments or issued by the central banks. Cryptocurrency does not enjoy the same kind of stability when comparing to regular physical currencies but nowadays many people are using it for different purposes like shopping online or money transactions. Bitcoin is the first cryptocurrency to come out and because of this, it has become the de-facto crypto which is just another benefit of Bitcoin. In reality, it is a form of digital currency that uses encrypted cryptographic technology and runs on blockchain technology. Today there are various functioning websites which allow you to convert cryptocurrency to real money and transfer it directly to your bank account or vice versa. It doesnt have a physical tangible form which is why its called digital. Unlike all other forms of currencys, its intangible so you cant touch it, smell it, or put it in a safe (kind of). This makes it hard for the older generations to take it seriously but it is being used to purchase, sell and transfer billions of dollars every single day. Many people often claim we already have different forms of currency so what are Bitcoins used for or what do people use Bitcoins for? Knowing it is a decentralized currency that no government or bank can control is a very big reason why many people are starting to use it. There are over 1200 altcoins with a lot of them being considered shitcoins, or in other words, useless. A lot of them have very good use-cases like privacy coins which helps mask your iden Continue reading >>
Ethereum V Bitcoin: The Pros And Cons Of These Two Cryptorivals | Cryptocoin.news
Ethereum V Bitcoin: The Pros And Cons Of These Two Cryptorivals By Fernando Sanchez, title image from Pixabay here . The crypto race is on between Bitcoin and its current main rival Ethereum. These blockchain riders trek across a global network, seeking to outrun each other, and become de facto standards in an increasingly challenging environment. But despite some superficial similarities, their paths are quite divergent underneath. While Bitcoin is merely developed to enable peer-to-peer financial transactions, Ethereums array of application-building opportunities easily outdoes its rival. Thus, some questions arise: Is it wise to choose one over another? Or should the industry have to choose at all? Will Bitcoin v Ethereum become the crypto equivalent of the perennial Coke v Pepsi dilemma? Or perhaps these two entities can adapt into a long-standing, uneasy truce, and share the spoils of a global market, until natural selection makes a choice. Whats their respective value proposition? Lets find out the answers to these questions. Bitcoin v Ethereum: The good, the bad, and the smart Bitcoin rose up from the ashes of the scorched financial earth left behind by the 2008 crash. Traditional money went up in smoke, wiping the value and riches of many individuals and organisations overnight. Money burned because it was real, and tangible. So digital currency was born, the next stage in financial evolution. Conceived as a hybrid of technology, digital asset, and money, cryptocurrency uttered its first cry and took a few tentative steps in a chaotic world before rising to prominence. In a way, Bitcoin was the father of cryptocurrency, and though it has aged since, it has done so handsomely. When Bitcoin needed a medium to thrive in, the blockchain was created. The blockchain Continue reading >>
The Sec Ruling Should Be Positive, Not Negative For Bitcoin, Ethereum And Litecoin
The SEC Ruling Should Be Positive, Not Negative For Bitcoin, Ethereum And Litecoin Opinions expressed by Forbes Contributors are their own. Digital currency traders have it wrong. The SEC ruling that treats digital currencies as common investments is positive, not negative for cryptocurrencies, at least for now. Cryptocurrencies traded sharply lower on Tuesday, following an SEC ruling that cryptocurrency IPOs or Initial Coin Offerings (ICOs) are investments, and therefore, should be subject to the same rules as regular stocks. That would certainly slow down the pace of ICOs and the money that flows into digital currencies, and therefore, cool off investor enthusiasm. While this is true for new digital currencies on the ICO pipeline, it isnt true for the existing digital currencies. In fact, the slow-down of ICOs will limit the supply of digital currencies at a time when they are gaining traction as a medium for exchange. Thats certainly bullish, not bearish, for such existing digital currencies, as Bitcoin, Ethereum, Litecoin etc.; and a short-term rebound should be imminent. Still, governments consider digital currencies a threat to their monopoly on printing money. And the SEC ruling may be just the beginning of more regulations to come, undermining the very existence of legitimate digital coin exchanges. Thats something investors should keep in mind before pouring more money into digital currencies. Continue reading >>
The Best Bitcoin And Ethereum Explainers
Bitcoin, the decentralized digital currency dominated by white men , seemed on the verge of disappearing after every scandal, crash, or hack. But eight years later, its not only growing but accelerating, tripling in total value since January to over $45 billion . And its not the only cryptocurrency; competitors include Litecoin, Dogecoin, and Ethereum (a currency that supports smart contracts). Bitcoins high volatility makes it terrible by traditional currency standards, fantastic as a risky investment vehicle, and fascinating as a cultural experiment. Its a dramatic rethinking of how currency can work, and its very complicated and unfamiliar to the common person. Over the years, hundreds of news outlets have tried to explain it, which is lucky because it often takes several explanations to grasp. Here are some of the best, starting with the three most essential guides. How Bitcoin works, in five minutes : A straightforward guide that gets increasingly technical. Just hop off when the ride gets too fast. History of Bitcoin : Timeline of Bitcoins invention, growth, and major hacks. A beginners guide to Ethereum : Describes a newer blockchain with applications outside of digital currency, including automatically executed contracts, identity management, computer usage sharing, DRM, and more. Continue reading >>
Stay Away From Bitcoin And Ethereum They Are Complete Garbage - Marketwatch
If youve ever wondered what cryptocurrencies such as bitcoin, litecoin and ethereum are for, ask one of their legion of techie-libertarian fans. And its dollars to dogecoins (yet another one) that the conversation will go something like this: You: So whats the purpose of bitcoin BTCUSD, -2.26% ? Fan: The technology is absolutely amazing! Fan: Really, the blockchain technology is a total masterpiece, way ahead of its time! You: Yes, yes, I understand that. But what is it actually for? Fan: You dont understand! Its a completely decentralized money system! Totally revolutionary! You: Honestly, does it have a purpose? Any purpose at all? Cryptocurrencies, or cybercurrencies, which were in a massive financial mania until their sudden selloff that started last month , have two actual applications: online gambling and money laundering. Neither is the heart of a major business model. But thats it. And these, preposterously, are the fundamentals behind a mania that has driven these currencies up thirtyfold, so that today, in aggregate, the market for them is a staggering $82 billion. None of the defenders other arguments stack up. Online currencies are hardly a store of value when they can fall, say, about 30% in a week. Are they really protections against the ravages of inflation and monetary debasement imposed by wicked governments? If so, how come people who keep their money in bitcoin and ethereum and the like have experienced Weimar Republic levels of consumer-price inflation in the past month? That is, after all, what it means when the price of your currency plunges. Ethereum isnt just down 50% against the dollar since mid-June. Its down 50% against the potato, the sack of rice, the gallon of gasoline and the new car. Read: Ethereum has lost $17.5 billion in market value Continue reading >>
4 Pros And Cons Of Investing In A New Cryptocurrencies
4 Pros and Cons of Investing in a New Cryptocurrencies The steep rise in the value of cryptocurrencies is, depending on your risk tolerance, a compelling lure to get in or a likely sign of a coming fall. Cryptocurrency initial coin offerings (ICOs) are gambles. They have the potential to create huge returns on your investment, but also come with great volatility and risk. Though people have been talking about the risks associated with ICOs for some time now, major financial institutions such as Goldman Sachs and JPMorgan are beginning to look at investing in the sector. Whether you have a significant amount of capital or a little bit of extra cash, cryptocurrency is an investment worth looking into. Here are a few of the pros and cons associated with a cryptocurrency ICO. Related: Why You Can't Afford to Ignore Cryptocurrencies and Blockchain Anymore Pro No. 1: Massive potential for returns. One of the statistics that makes everyone consider investing in cryptocurrency is that $1,000 invested in Bitcoin in 2013 would be worth over $400,000 today. Recent ICOs have created a number of huge returns in a short amount of time. Stratis raised $600,000 during their ICO in June 2016, and has since seen a 63,000 percent rise in the price. Spectrecoin raised $15,000 in January 2017 during their ICO, and has since risen over 13,000 percent. Related: Why Marketers Need to Pay Attention to Cryptocurrency -- Now Since cryptocurrencies are riskier investments, it is best to compare them to angle investing and venture capital investing. Datum launched their ICO in late October 2017, having already raised $1.5 million in pre-ICO funds . Since cryptocurrencies are network-based and Datum has already received a groundswell of support, investors know it is likely that they can begin cashi Continue reading >>