Bitcoin Price Chart (BTC) | Coinbase

Bitcoin Halving 2020

Bitcoin Halving: Bitcoin Halving happens in intervals of 210,000 blocks, which is approximately every 4 years. Bitcoin miners are currently regarded 12.5 BTC once a block is mined successfully. The next Bitcoin halving will take place in May 2020 and miners rewards will be 6.25 BTC post Bitcoin halving.
By 2025, it is projected that the total capitalisation of digital assets (tokenised traditional assets and cryptocurrencies) is going to exceed $5 trillion and mining certainly plays a major part in that.
Vital mining purpose: In addition to increasing the wealth of miners, mining serves a second and vital purpose: It is the only way to release new cryptocurrency into circulation. In other words, miners fulfil the function of banks that "mint" currency.
In February of 2019, there were a little over 17.5 million Bitcoin in circulation. Aside from the coins minted via the genesis block (the very first block created by Bitcoin founder Satoshi Nakamoto himself), every single one of those Bitcoin came into existence because of miners. In the absence of miners, Bitcoin would still exist and be usable, but there would never be any additional Bitcoin. There will come a time when Bitcoin mining ends; per the Bitcoin Protocol, the number of Bitcoin will be capped at 21 million.
Bitcoin halving increases value: The Cryptocurrency Bitcoin is mined in units called "blocks." As of the time of writing, the reward for completing a block is 12.5 Bitcoin. As of today in December of 2019, the price of Bitcoin is $7,300, which means a miner would earn (12.5 x $7,300) = $91,250.
When Bitcoin was first mined in 2009, mining one block would earn a miner 50 BTC. In 2012, this was halved to 25 BTC. By 2016, this was halved again to the current level of 12.5 BTC. In 2020 or so, the reward size will be halved again to 6.25 BTC.
The more difficult cryptocurrency mining becomes and the lower the reward for miners is, the more cryptocurrencies will grow in value.
The more the available volume of Bitcoin for mining decreases, the more valuable the crypto becomes. Halving increases prices dramatically and benefits miners who join in early.
Increases in cryptocurrency prices catch the mainstream media’s attention, which drives up public interest and demand. For small mining pools, this means an increase in the percentage share of hash rate on the network as Bitcoin mining remains competitive.
The next halving for Bitcoin is expected around May 2020. Bitcoin investors are already readying themselves for a huge price rally.
In its 10-year history, Bitcoin has always had a price surge in the months ahead of its block halving. The price starts to turn bullish gradually as Bitcoin nears its next block halving. While the market experiences a brief decrease at this time, this leads to a long-term increase in the price.
Decrease in Bitcoin supply: During the last Bitcoin block halving, the circulating supply was near the maximum supply of Bitcoin in existence. In the past, when the block reward halving of Bitcoin occurred, the circulating supply of the asset was still estimated to be close to its maximum circulating supply. However, the case is different this time.
Exchange mismanagement, private key losses, and dormant addresses have resulted in millions of Bitcoins lost forever on the blockchain.
This has further reduced the circulating supply of Bitcoin significantly. According to Chainalysis (the blockchain analysis company), about 4 million Bitcoins were lost in 2017 alone and millions more were lost in 2018. With the upcoming Bitcoin block halving in 2020, the circulating supply of the cryptocurrency will reduce even more and drive the value up.
Changes in mining difficulty: Changes in mining difficulty over time are inevitable. In order to overcome it, MintMine plans to upgrade 100% of the equipment every 1 year. This is why MintMine dedicates 10% of all Bitcoins generated and both of it’s reserves to the modernisation and expansion of its mining equipment. While there is no guarantee, the goal of this approach is to keep the % of mining reward which goes to MintMine token holders fairly constant, even as hash rates/difficulty increase over time. Since it is impossible to accurately predict hashing power of equipment in the next 5 years, in projections we have deducted 25% from mined output as “Bitcoin difficulty cost” which accounts for reduced output with increasing difficulty.
submitted by MintMine to u/MintMine [link] [comments]

Vitalik's response to Tuur

I interlaced everything between Vitalik and Tuur to make it easier to read.
1/ People often ask me why I’m so “against” Ethereum. Why do I go out of my way to point out flaws or make analogies that put it in a bad light?
Intro
2/ First, ETH’s architecture & culture is opposite that of Bitcoin, and yet claims to offer same solutions: decentralization, immutability, SoV, asset issuance, smart contracts, …
Second, ETH is considered a crypto ‘blue chip’, thus colors perception of uninformed newcomers.
Agree! I personally find Ethereum culture far saner, though I am a bit biased :)
3/ I've followed Ethereum since 2014 & feel a responsibility to share my concerns. IMO contrary to its marketing, ETH is at best a science experiment. It’s now valued at $13B, which I think is still too high.
Not an argument
4/ I agree with Ethereum developer Vlad Zamfir that it’s not money, not safe, and not scalable. https://twitter.com/VladZamfistatus/838006311598030848
@VladZamfir Eth isn't money, so there is no monetary policy. There is currently fixed block issuance with an exponential difficulty increase (the bomb).
I'm pretty sure Vlad would say the exact same thing about Bitcoin
5/ To me the first red flag came up when in our weekly hangout we asked the ETH founders about to how they were going to scale the network. (We’re now 4.5 years later, and sharding is still a pipe dream.)
Ethereum's Joe Lubin in June 2014: "anticipate blockchain bloat—working on various sharding ideas". https://www.youtube.com/watch?v=oJG9g0lCPU8&feature=youtu.be&t=36m41s
The core principles have been known for years, the core design for nearly a year, and details for months, with implementations on the way. So sharding is definitely not at the pipe dream stage at this point.
6/ Despite strong optimism that on-chain scaling of Ethereum was around the corner (just another engineering job), this promise hasn’t been delivered on to date.
Sure, sharding is not yet finished. Though more incremental stuff has been going well, eg. uncle rates are at near record lows despite very high chain usage.
7/ Recently, a team of reputable developers decided to peer review a widely anticipated Casper / sharding white paper, concluding that it does not live up to its own claims.
Unmerciful peer review of Vlad Zamfir & co's white paper to scale Ethereum: "the authors do NOT prove that the CBC Casper family of protocols is Byzantine fault tolerant in either practice or theory".
That review was off the mark in many ways, eg. see https://twitter.com/technocrypto/status/1071111404340604929, and by the way CBC is not even a prerequisite for Serenity
8/ On the 2nd layer front, devs are now trying to scale Ethereum via scale via state channels (ETH’s version of Lightning), but it is unclear whether main-chain issued ERC20 type tokens will be portable to this environment.
Umm... you can definitely use Raiden with arbitrary ERC20s. That's why the interface currently uses WETH (the ERC20-fied version of ether) and not ETH
9/ Compare this to how the Bitcoin Lightning Network project evolved:
elizabeth stark @starkness: For lnd: First public code released: January 2016 Alpha: January 2017 Beta: March 2018…
Ok
10/ Bitcoin’s Lightning Network is now live, and is growing at rapid clip.
Jameson Lopp @lopp: Lightning Network: January 2018 vs December 2018
Sure, though as far as I understand there's still a low probability of finding routes for nontrivial amounts, and there's capital lockup griefing vectors, and privacy issues.... FWIW I personally never thought lightning is unworkable, it's just a design that inherently runs into ten thousand small issues that will likely take a very long time to get past.
11/ In 2017, more Ethereum scaling buzz was created, this time the panacea was “Plasma”.
@TuurDemeester Buterin & Poon just published a new scaling proposal for Ethereum, "strongly complementary to base-layer PoS and sharding": plasma.io https://twitter.com/VitalikButerin/status/895467347502182401
Yay, Plasma!
12/ However, upon closer examination it was the recycling of some stale ideas, and the project went nowhere:
Peter Todd @peterktodd These ideas were all considered in the Treechains design process, and ultimately rejected as insecure.
Just because Peter Todd rejected something as "insecure" doesn't mean that it is. In general, the ethereum research community is quite convinced that the fundamental Plasma design is fine, and as far as I understand there are formal proofs on the way. The only insecurity that can't be avoided is mass exit vulns, and channel-based systems have those too.
13/ The elephant in the room is the transition to proof-of-stake, an “environmentally friendly” way to secure the chain. (If this was the plan all along, why create a proof-of-work chain first?)
@TuurDemeester "Changing from proof of work to proof of stake changes the economics of the system, all the rules change and it will impact everything."
Umm... we created a proof of work chain first because we did not have a satisfactory proof of stake algo initially?
14/ For the uninitiated, here’s a good write-up that highlights some of the fundamental design problems of proof-of-stake. Like I said, this is science experiment territory.
And here's a set of long arguments from me on why proof of stake is just fine: https://github.com/ethereum/wiki/wiki/Proof-of-Stake-FAQ. For a more philosophical piece, see https://medium.com/@VitalikButerin/a-proof-of-stake-design-philosophy-506585978d51
15/ Also check out this thread about how Proof of Stake blockchains require subjectivity (i.e. a trusted third party) to achieve consensus: https://forum.blockstack.org/t/pos-blockchains-require-subjectivity-to-reach-consensus/762?u=muneeb … and this thread on Bitcoin: https://www.reddit.com/Bitcoin/comments/59t48m/proofofstake_question/
Yes, we know about weak subjectivity, see https://blog.ethereum.org/2014/11/25/proof-stake-learned-love-weak-subjectivity/. It's really not that bad, especially given that users need to update their clients once in a while anyway, oh and by the way even if the weak subjectivity assumption is broken an attacker still needs to gather up that pile of old keys making up 51% of the stake. And also to defend against that there's Universal Hash Time.
16/ Keep in mind that Proof of Stake (PoS) is not a new concept at all. Proof-of-Work actually was one of the big innovations that made Bitcoin possible, after PoS was deemed impractical because of censorship vulnerability.
@TuurDemeester TIL Proof-of-stake based private currency designs date at least back to 1998. https://medium.com/swlh/the-untold-history-of-bitcoin-enter-the-cypherpunks-f764dee962a1
Oh I definitely agree that proof of work was superior for bootstrap, and I liked it back then especially because it actually managed to be reasonably egalitarian around 2009-2012 before ASICs fully took over. But at the present time it doesn't really have that nice attribute.
17/ Over the years, this has become a pattern in Ethereum’s culture: recycling old ideas while not properly referring to past research and having poor peer review standards. This is not how science progresses.Tuur Demeester added,
[email protected] has been repeatedly accused of /criticised for not crediting prior art. Once again with plasma: https://twitter.com/DamelonBCWS/status/895643582278782976
I try to credit people whenever I can; half my blog and ethresear.ch posts have a "special thanks" section right at the top. Sometimes we end up re-inventing stuff, and sometimes we end up hearing about stuff, forgetting it, and later re-inventing it; that's life as an autodidact. And if you feel you've been unfairly not credited for something, always feel free to comment, people have done this and I've edited.
18/ One of my big concerns is that sophistry and marketing hype is a serious part of Ethereum’s success so far, and that overly inflated expectations have lead to an inflated market cap.
Ok, go on.
19/ Let’s illustrate with an example.
...
20/ A few days ago, I shared a critical tweet that made the argument that Ethereum’s value proposition is in essence utopian.
@TuurDemeester Ethereum-ism sounds a bit like Marxism to me:
  • What works today (PoW) is 'just a phase', the ideal & unproven future is to come: Proof-of-Stake.…
...
21/ I was very serious about my criticism. In fact, each one of the three points addressed what Vitalik Buterin has described as “unique value propositions of Ethereum proper”. https://www.reddit.com/ethereum/comments/5jk3he/how_to_prevent_the_cannibalism_of_ethereum_into/dbgujr8/
...
22/ My first point, about Ethereum developers rejecting Proof-of-Work, has been illustrated many times over By Vitalik and others. (See earlier in this tweetstorm for more about how PoS is unproven.)
Vitalik Non-giver of Ether @VitalikButerin: I don't believe in proof of work!
See above for links as to why I think proof of stake is great.
23/ My second point addresses Ethereum’s romance with the vague and dangerous notion of ‘social consensus’, where disruptive hard-forks are used to ‘upgrade’ or ‘optimize’ the system, which inevitably leads to increased centralization. More here:
See my rebuttal to Tuur's rebuttal :)
24/ My third point addresses PoS’ promise of perpetual income to ETHizens. Vitalik is no stranger to embracing free lunch ideas, e.g. during his 2014 ETH announcement speech, where he described a coin with a 20% inflation tax as having “no cost” to users.
Yeah, I haven't really emphasized perpetual income to stakers as a selling point in years. I actually favor rewards being as low as possible while still being high enough for security.
25/ In his response to my tweet, Vitalik adopted my format to “play the same game” in criticizing Bitcoin. My criticisms weren't addressed, and his response was riddled with errors. Yet his followers gave it +1,000 upvotes!
Vitalik Non-giver of Ether @VitalikButerin: - What works today (L1) is just a phase, ideal and unproven future (usable L2) is to come - Utopian concept of progress: we're already so confident we're finished we ain't needin no hard forks…
Ok, let's hear about what the errors are...
26/ Rebuttal: - BTC layer 1 is not “just a phase”, it always will be its definitive bedrock for transaction settlement. - Soft forking digital protocols has been the norm for over 3 decades—hard-forks are the deviation! - Satoshi never suggested hyperbitcoinization as a goal.
Sure, but (i) the use of layer 1 for consumer payments is definitely, in bitcoin ideology, "just a phase", (ii) I don't think you can make analogies between consensus protocols and other kinds of protocols, and between soft forking consensus protocols and protocol changes in other protocols, that easily, (iii) plenty of people do believe that hyperbitcoinization as a goal. Oh by the way: https://twitter.com/tuurdemeestestatus/545993119599460353
27/ This kind of sophistry is exhausting and completely counter-productive, but it can be very convincing for an uninformed retail public.
Ok, go on.
28/ Let me share a few more inconvenient truths.
...
29/ In order to “guarantee” the transition to PoS’ utopia of perpetual income (staking coins earns interest), a “difficulty bomb” was embedded in the protocol, which supposedly would force miners to accept the transition.
The intended goal of the difficulty bomb was to prevent the protocol from ossifying, by ensuring that it has to hard fork eventually to reset the difficulty bomb, at which point the status quo bias in favor of not changing other protocol rules at the same time would be weaker. Though forcing a switch to PoS was definitely a key goal.
30/ Of course, nothing came of this, because anything in the ETH protocol can be hard-forked away. Another broken promise.
Tuur Demeester @TuurDemeester: Looks like another Ethereum hard-fork is going to remove the "Ice Age" (difficulty increase meant to incentivize transition to PoS). https://www.cryptocompare.com/coins/guides/what-is-the-ethereum-ice-age/
How is that a broken promise? There was no social contract to only replace the difficulty-bombed protocol with a PoS chain.
31/ Another idea that was marketed heavily early on, was that with ETH you could program smart contract as easily as javascript applications.
Tuur Demeester @TuurDemeester: I forgot, but in 2014 Ethereum was quite literally described as "Javascript-on-the-blockchain"
Agree that was over-optimistic, though the part of the metaphor that's problematic is the "be done with complex apps in a couple hours" part, NOT the "general-purpose languages are great" part.
32/ This was criticized by P2P & OS developers as a reckless notion, given that every smart contracts is actually a “de novo cryptographic protocol”. In other words, it’s playing with fire. https://bitcointalk.org/index.php?topic=1427885.msg14601127#msg14601127
See above
33/ The modular approach to Bitcoin seems to be much better at compartmentalizing risk, and thus reducing attack surfaces. I’ve written about modular scaling here...
To be fair, risk is reduced because Bitcoin does less.
34/ Another huge issue that Ethereum has is with scaling. By putting “everything on the blockchain” (which stores everything forever) and dubbing it “the world computer”, you are going to end up with a very slow and clogged up system.
Christopher Allen @ChristopherA: AWS cost: $0.000000066 for calc, Ethereum: $26.55. This is about 400 million times as expensive. World computer? https://hackernoon.com/ether-purchase-power-df40a38c5a2f
We never advocated "putting everything on the blockchain". The phrase "world computer" was never meant to be interpreted as "everyone's personal desktop", but rather as a common platform specifically for the parts of applications that require consensus on shared state. As evidence of this, notice how Whisper and Swarm were part of the vision as complements to Ethereum right from the start.
35/ By now the Ethereum bloat is so bad that cheaply running an individual node is practically impossible for a lay person. ETH developers are also imploring people to not deploy more smart contract apps on its blockchain.
Tuur Demeester @TuurDemeester: But... deploying d-apps on the "Ethereum Virtual Machine" is exactly what everyone was encouraged to do for the past 4 years. Looks like on-chain scaling wasn't such a great idea after all.
Umm.... I just spun up a node from scratch last week. On a consumer laptop.
36/ As a result, and despite the claims that running a node in “warp” mode is easy and as good as a full node, Ethereum is becoming increasingly centralized.
@TuurDemeester Finally a media article touching on the elephant in the room: Ethereum has become highly centralized. #infura https://www.coindesk.com/the-race-is-on-to-replace-ethereums-most-centralized-layeamp?__twitter_impression=true
See above
37/ Another hollow claim: in 2016, Ethereum was promoted as being censorship resistant…
Tuur Demeester @TuurDemeester: Pre TheDAO #Ethereum presentation: "uncensorable, code is law, bottom up". http://ow.ly/qW49302Pp92
Yes, the DAO fork did violate the notion of absolute immutability. However, the "forking the DAO will lead to doom and gloom" crowd was very wrong in one key way: it did NOT work as a precedent justifying all sorts of further state interventions. The community clearly drew a line in the sand by firmly rejecting EIP 867, and EIP 999 seems to now also be going nowhere. So it seems like there's some evidence that the social contract of "moderately but not infinitely strong immutability" actually can be stable.
38/ Yet later that year, after only 6% of ETH holders had cast a vote, ETH core devs decided to endorse a hard-fork that clawed back the funds from a smart contract that held 4.5% of all ETH in circulation. More here: ...
See above
39/ Other potential signs of centralization: Vitalik Buterin signing a deal with a Russian government institution, and ETH core developers experimenting with semi-closed meetings: https://twitter.com/coindesk/status/902892844955860993 …,
Hudson Jameson @hudsonjameson: The "semi-closed" Ethereum 1.x meeting from last Friday was an experiment. The All Core Dev meeting this Friday will be recorded as usual.
Suppose I were to tomorrow sign up to work directly for Kim Jong Un. What concretely would happen to the Ethereum protocol? I suspect very little; I am mostly involved in the Serenity work, and the other researchers have proven very capable of both pushing the spec forward even without me and catching any mistakes with my work. So I don't think any argument involving me applies. And we ended up deciding not to do more semi-closed meetings.
40/ Another red flag to me is the apparent lack of relevant expertise in the ETH development community. (Check the responses…)
Tuur Demeester @TuurDemeester: Often heard: "but Ethereum also has world class engineers working on the protocol". Please name names and relevant pedigree so I can follow and learn. https://twitter.com/TuurDemeestestatus/963029019447955461
I personally am confident in the talents of our core researchers, and our community of academic partners. Most recently the latter group includes people from Starkware, Stanford CBR, IC3, and other groups.
41/ For a while, Microsoft veteran Lucius Meredith was mentioned as playing an important role in ETH scaling, but now he is likely distracted by the failure of his ETH scaling company RChain. https://blog.ethereum.org/2015/12/24/understanding-serenity-part-i-abstraction/
I have no idea who described Lucius Meredith's work as being important for the Serenity roadmap.... oh and by the way, RChain is NOT an "Ethereum scaling company"
42/ Perhaps the recently added Gandalf of Ethereum, with his “Fellowship of Ethereum Magicians” [sic] can save the day, but imo that seems unlikely...
Honestly, I don't see why Ethereum Gandalf needs to save the day, because I don't see what is in danger and needs to be saved...
43/ This is becoming a long tweetstorm, so let’s wrap up with a few closing comments.
Yay!
44/ Do I have a conflict of interest? ETH is a publicly available asset with no real barriers to entry, so I could easily get a stake. Also, having met Vitalik & other ETH founders several times in 2013-’14, it would have been doable for me to become part of the in-crowd.
Agree there. And BTW I generally think financial conflicts of interest are somewhat overrated; social conflicts/tribal biases are the bigger problem much of the time. Though those two kinds of misalignments do frequently overlap and reinforce each other so they're difficult to fully disentangle.
45/ Actually, I was initially excited about Ethereum’s smart contract work - this was before one of its many pivots.
Tuur Demeester @TuurDemeester: Ethereum is probably the first programming language I will teach myself - who wouldn't want the ability to program smart BTC contracts?
Ethereum was never about "smart BTC contracts"..... even "Ethereum as a Mastercoin-style meta-protocol" was intended to be built on top of Primecoin.
46/ Also, I have done my share of soul searching about whether I could be suffering from survivor’s bias.
@TuurDemeester I just published “I’m not worried about Bitcoin Unlimited, but I am losing sleep over Ethereum” https://medium.com/p/im-not-worried-about-bitcoin-unlimited-but-i-am-losing-sleep-over-ethereum-b5251c54e66d
Ok, good.
47/ Here’s why Ethereum is dubious to me: rather than creating an open source project & testnet to work on these interesting computer science problems, its founders instead did a securities offering, involving many thousands of clueless retail investors.
What do you mean "instead of"? We did create an open source project and testnet! Whether or not ETH is a security is a legal question; seems like SEC people agree it's not: https://www.cnbc.com/2018/06/14/bitcoin-and-ethereum-are-not-securities-but-some-cryptocurrencies-may-be-sec-official-says.html
48/ Investing in the Ethereum ICO was akin to buying shares in a startup that had “invent time travel” as part of its business plan. Imo it was a reckless security offering, and it set the tone for the terrible capital misallocation of the 2017 ICO boom.
Nothing in the ethereum roadmap requires time-travel-like technical advancements or anything remotely close to that. Proof: we basically have all the fundamental technical advancements we need at this point.
49/ In my view, Ethereum is the Yahoo of our day - an unscalable “blue chip” cryptocurrency:
Tuur Demeester @TuurDemeester: 1/ The DotCom bubble shows that the market isn't very good at valuing early stage technology. I'll use Google vs. Yahoo to illustrate.
Got it.
50/ I’ll close with a few words from Gregory Maxwell from 2016,: https://bitcointalk.org/index.php?topic=1427885.msg14601127#msg14601127
See my rebuttal to Greg from 2 years ago: https://www.reddit.com/ethereum/comments/4g1bh6/greg_maxwells_critique_of_ethereum_blockchains/
submitted by shouldbdan to ethtrader [link] [comments]

What is Halving?

What is Halving?
Cryptocurrency is a digital asset and its value is determined mostly by the demand for it. One of the ways of coin generation is mining. This is a computational process of creating new blocks of coins and as a result, the miner receives a reward for each mined block. Halving is the periodical reduction of the block mining reward issued by half.
https://preview.redd.it/1opmzoeq83t31.jpg?width=1024&format=pjpg&auto=webp&s=4361ef9e3e15119d59f5780e580f0718665b6a48
Halving is a big day for every crypto coin and should be considered from two points of view: miners and the network itself.
From the viewpoint of those who are engaged in the mining process, then for them, the halving is a negative and stressful process. Cause while using the same computing power, the miner begins to receive a smaller reward. If to talk about halving from the network’s point of view – it is an exclusively positive process. It allows limiting emissions and therefore not only supports the currency rate but encourages its growth. This controlled level of monetary inflation is one of the main differences between cryptocurrencies and traditional fiat currencies, which, in fact, have an infinite circulating supply.
Bitcoin became a pioneer in the halving process. So after the first halving in 2012, BTC reached a record rate of $1.000 by November 2013. After the second halving in 2016, Bitcoin took off again and reached its rate of $20.089 on December 18, 2017, after which its price fell. However, since February 2019, Bitcoin begins to grow so the number of its transactions.
When is the next halving?
  • 5 November 2019 Monero (XMR)
  • 8 April 2020 Bitcoin Cash (BCH)
  • 20 May 2020 Bitcoin (BTC)
  • 4 August 2023 Litecoin (LTC)
Famous quotes
“When the mining rewards get cut in half, some miners will not be profitable and they will shut off their machine. If a big percentage does that, then blocks will slow down for some time. For Litecoin it’s three and a half days before the next change, so possibly like seven days of slower blocks, and then after that, the difficulty will readjust and everything will be fine”. — Charlie Lee (Litecoin Founder)
“In terms of the price, the halvening should be priced in because everyone knows about it since the beginning. But the thing is people kind of expect the price to go up. So a lot of people are buying in because they expect the price to go up and that’s kind of a self-fulfilling prophecy. So, because they’re buying in, the price does actually go up”. — Charlie Lee (Litecoin Founder)
“Halving always kind of a shock to the system”. — Charlie Lee (Litecoin Founder)
Interesting facts
  • The halving principle was developed by Satoshi Nakamoto in order to keep Bitcoin inflation under control.
  • Halving can be applied to all cryptocurrencies with the Proof-of-Work consensus algorithm where mining is allowed.
  • The reward for the BTC block began with 50 BTC and then fell to 25 at the end of 2012 and to 12.5 BTC in 2016. The third block halving in the Bitcoin network will occur on May 2020 and the size of the reward will decrease to 6.25 BTC.
Hope this article was useful for you. You are always welcomed to share your opinion in the comments below.
And remember no matter which crypto coins halving right now, you can always change the coins on StealthEX. Just go to www.StealthEX.io and follow these easy steps:
✔ Choose the pair and the amount for your exchange. For example ETH to BTC.
✔ Provide the recipient address to which the coins will be transferred.
✔ Move your cryptocurrency for the exchange.
✔ Receive your coins.
For all requests message us via [[email protected]](mailto:[email protected])
submitted by Stealthex_io to NewbieZone [link] [comments]

"What is Halving?" A new article from StealthEX

Cryptocurrency is a digital asset and its value is determined mostly by the demand for it. One of the ways of coin generation is mining. This is a computational process of creating new blocks of coins and as a result, the miner receives a reward for each mined block. Halving is the periodical reduction of the block mining reward issued by half.
https://preview.redd.it/pwkwlqon73t31.jpg?width=1024&format=pjpg&auto=webp&s=57442a9223599eaae0a06dec9460c20f9d813011
Halving is a big day for every crypto coin and should be considered from two points of view: miners and the network itself.
From the viewpoint of those who are engaged in the mining process, then for them, the halving is a negative and stressful process. Cause while using the same computing power, the miner begins to receive a smaller reward. If to talk about halving from the network’s point of view – it is an exclusively positive process. It allows limiting emissions and therefore not only supports the currency rate but encourages its growth. This controlled level of monetary inflation is one of the main differences between cryptocurrencies and traditional fiat currencies, which, in fact, have an infinite circulating supply.
Bitcoin became a pioneer in the halving process. So after the first halving in 2012, BTC reached a record rate of $1.000 by November 2013. After the second halving in 2016, Bitcoin took off again and reached its rate of $20.089 on December 18, 2017, after which its price fell. However, since February 2019, Bitcoin begins to grow so the number of its transactions.
When is the next halving?
  • 5 November 2019 Monero (XMR)
  • 8 April 2020 Bitcoin Cash (BCH)
  • 20 May 2020 Bitcoin (BTC)
  • 4 August 2023 Litecoin (LTC)
Famous quotes
“When the mining rewards get cut in half, some miners will not be profitable and they will shut off their machine. If a big percentage does that, then blocks will slow down for some time. For Litecoin it’s three and a half days before the next change, so possibly like seven days of slower blocks, and then after that, the difficulty will readjust and everything will be fine”. — Charlie Lee (Litecoin Founder)
“In terms of the price, the halvening should be priced in because everyone knows about it since the beginning. But the thing is people kind of expect the price to go up. So a lot of people are buying in because they expect the price to go up and that’s kind of a self-fulfilling prophecy. So, because they’re buying in, the price does actually go up”. — Charlie Lee (Litecoin Founder)
“Halving always kind of a shock to the system”. — Charlie Lee (Litecoin Founder)
Interesting facts
  • The halving principle was developed by Satoshi Nakamoto in order to keep Bitcoin inflation under control.
  • Halving can be applied to all cryptocurrencies with the Proof-of-Work consensus algorithm where mining is allowed.
  • The reward for the BTC block began with 50 BTC and then fell to 25 at the end of 2012 and to 12.5 BTC in 2016. The third block halving in the Bitcoin network will occur on May 2020 and the size of the reward will decrease to 6.25 BTC.
And remember no matter which crypto coins halving right now, you can always change the coins on www.StealthEX.io
submitted by Stealthex_io to CryptoBeginners [link] [comments]

What is Halving?

What is Halving?
Cryptocurrency is a digital asset and its value is determined mostly by the demand for it. One of the ways of coin generation is mining. This is a computational process of creating new blocks of coins and as a result, the miner receives a reward for each mined block. Halving is the periodical reduction of the block mining reward issued by half.
https://preview.redd.it/4x6fdupl53t31.jpg?width=1024&format=pjpg&auto=webp&s=b03b416f1405b53331cf539b4d52c7b5cba0022c
Halving is a big day for every crypto coin and should be considered from two points of view: miners and the network itself.
From the viewpoint of those who are engaged in the mining process, then for them, the halving is a negative and stressful process. Cause while using the same computing power, the miner begins to receive a smaller reward. If to talk about halving from the network’s point of view – it is an exclusively positive process. It allows limiting emissions and therefore not only supports the currency rate but encourages its growth. This controlled level of monetary inflation is one of the main differences between cryptocurrencies and traditional fiat currencies, which, in fact, have an infinite circulating supply.
Bitcoin became a pioneer in the halving process. So after the first halving in 2012, BTC reached a record rate of $1.000 by November 2013. After the second halving in 2016, Bitcoin took off again and reached its rate of $20.089 on December 18, 2017, after which its price fell. However, since February 2019, Bitcoin begins to grow so the number of its transactions.
When is the next halving?
  • 5 November 2019 Monero (XMR)
  • 8 April 2020 Bitcoin Cash (BCH)
  • 20 May 2020 Bitcoin (BTC)
  • 4 August 2023 Litecoin (LTC)
Famous quotes
“When the mining rewards get cut in half, some miners will not be profitable and they will shut off their machine. If a big percentage does that, then blocks will slow down for some time. For litecoin it’s three and a half days before the next change, so possibly like seven days of slower blocks, and then after that, the difficulty will readjust and everything will be fine”. — Charlie Lee (Litecoin Founder)
“In terms of the price, the halvening should be priced in because everyone knows about it since the beginning. But the thing is people kind of expect the price to go up. So a lot of people are buying in because they expect the price to go up and that’s kind of a self-fulfilling prophecy. So, because they’re buying in, the price does actually go up”. — Charlie Lee (Litecoin Founder)
“Halving always kind of a shock to the system”. — Charlie Lee (Litecoin Founder)
Interesting facts
  • The halving principle was developed by Satoshi Nakamoto in order to keep Bitcoin inflation under control.
  • Halving can be applied to all cryptocurrencies with the Proof-of-Work consensus algorithm where mining is allowed.
  • The reward for the BTC block began with 50 BTC and then fell to 25 at the end of 2012 and to 12.5 BTC in 2016. The third block halving in the Bitcoin network will occur on May 2020 and the size of the reward will decrease to 6.25 BTC.
And remember no matter which crypto coins halving right now, you can always change the coins on StealthEX. Just go to StealthEX.io and follow these easy steps:
✔ Choose the pair and the amount for your exchange. For example ETH to BTC.
✔ Provide the recipient address to which the coins will be transferred.
✔ Move your cryptocurrency for the exchange.
✔ Receive your coins.
Follow us on Medium, Twitter, Facebook, and Reddit to get StealthEX.io updates and the latest news about the crypto world. For all requests message us via [email protected]
submitted by Stealthex_io to StealthEX [link] [comments]

Bitcoin, dogecoin. How I tried to make my fortune in 2014 with the sweat of my computer.

Bitcoin, dogecoin. How I tried to make my fortune in 2014 with the sweat of my computer.

https://preview.redd.it/mv21lvsa3do31.jpg?width=1280&format=pjpg&auto=webp&s=51bf5296a06eedc178079cf0b3ab4c3cfc44f271
Make money just by working on your computer: the rise of electronic currencies, in the wake of bitcoin, can be a little dream, especially in times of crisis. We tried the experiment. Wealth at your fingertips? Not for everybody.
Reading time: 6 min.
We have known at least since March 2013, with the soaring Bitcoin (BTC) price during the closing of Cypriot banks: electronic currencies, it has not much virtual. Since the creation of the enigmatic Satoshi Nakamoto serves as a safe haven, a playground for speculators, interests the States and even makes it possible to pay for his trip to the space where his beer, bigger world would dare to pretend that it only serves to buy prohibited substances on SilkRoad - if it ever was.
At the end of November, James Howells was mocked a lot, this Brit, caught in a household frenzy, inadvertently threw a hard disk containing 7,500 bitcoins, the equivalent of 4.8 million euros. A small fortune now lost in the depths of the Docksway dump near Newport. Nevertheless, before causing the consternation of the global Internet, Jamie still had the nose to undermine the BTC at a time when the experience mobilized a handful of hardcore geeks.
Since the rise (sawtooth) bitcoin, each unit currently weighs more than 800 dollars, nearly thirty cryptocurrencies have emerged. Is it possible, this year again, to let this promising, volatile and risky train pass, or to fall into
  1. Choose your electronic motto.
  2. All are based on the same principle: to summarize (very) big features [1], the issuance of money is governed by an algorithm, and the new corners put in circulation reward the resolution, by participants in a network of peer and mathematical problems, including the validation and archiving of transactions, which are public [2]. Mining a cryptocurrency is like putting the computing power of your computer in the service of the network.
  3. Since the program is decreasing [3], the mining becomes more and more difficult with time (and with the increase of the number of participants): to hope to make his pelote via the only computational activity, one must either have to at its disposal a large fleet of machines, to be a miner from the first hour. Exit the bitcoin, long since out of the reach of a personal computer.
  4. I similarly gave up the litecoin and peercoin, already well launched (they date respectively 2011 and 2012), to set my heart on one of the most recent currencies - and certainly the hippest of the moment: the dogecoin.
  5. As its name suggests, the cryptocurrency favorite Shiba Inus from around the world is a tribute to the Doge, one of the most famous memes of 2013, with its captions in Comic Sans, the font most sorry for the web. A geek joke, therefore, except that - the unfathomable mysteries of the Internet - its value jumped 900% in the third week of December, and she suffered a Christmas robbery online.
  6. Admittedly, at the time when these lines are written, the dogecoin caps at 0.00023 dollars [4] - its quite ridiculous (and quite depressing), but even if you bet on the future, so much to go frankly.
  7. 2. The hands in the engine the billboard.
  8. From there, things get tough (a little). Installing an electronic purse on ones computer is not very complicated (the software is available for Windows, MacOS, Android or, for the more adventurous, on a repository to compile under Linux). It is also possible to use an online wallet, but it is more risky (except, perhaps, when one is called James Howells). When opened for the first time, the purse automatically synchronizes with the Dogecoin network (be careful, it can be long), which gives you a payment address (we can generate more later).
  9. The two most common ways to undermine electronic money are to use the computing power of the computers microprocessor (CPU) or, more efficiently, that of the graphics card processor (GPU). In the first case, the program is simple to install; in the second, it is necessary to choose the most adapted to its material [5]. There are, thankfully, a lot of online tutorials. Still, to operate the corner board requires in all cases to trade the comfort of the GUI for aridity, so confusing to the layman, command lines - we have nothing for nothing.
  10. Finally, at work alone, we prefer collaboration. Mining is best done in groups, or rather in pool: it distributes the gains, of course, but also the difficulty. For the dogecoin as for all the crypto-currencies, the pools are numerous. A quick tour of a dedicated section of the Reddit community site can help you make your choice.
  11. 3. Extension of the field of struggle.
  12. And after? After, we can rest, since it is the machine that works. But the truth of a cryptocurrency - even at the exceptionally high LOL and LOL rates of the Shiba Inu - is cruel and brutal: not all computers are equal. Or rather, some are more equal than others. For while you heat your CPU or your graphics card to grapple some unfortunate corners, others will sweep the game thanks to specialized integrated circuits, computing capabilities much higher.
  13. If the game of buying and reselling corners is basically just another stock exchange mechanism, less the intervention of the central banks - what is at stake, and the big political question they ask: are we certain to prefer speculation pure and perfect to monetary policies, however questionable they may be? -, production, it is the law of the strongest (in calculation). There are even lethal weapons at $ 10,000 each, with which your processors are like mosquitoes in front of an A bomb.
  14. And if you think it does not matter because after all, it does not cost you anything, think again: the components, like humans, wear out faster when they work at full speed, and the bill of electricity can quickly grow. The profitability of the case is anything but certain, as evidenced by the results of online calculators. (Needless to say, our laughing dogecoin does not stand up to this kind of simulation.)
  15. Much more boring, from a collective point of view: the carbon footprint, current and above all expected, of electronic currencies worries more and more. Last spring, Bloomberg estimated that the energy consumption of the Bitcoin network was equivalent to that of 31,000 US households. Not sure, according to the site, that their emission is less damaging to the environment than have been some physical currencies.
  16. For exciting to analyze that is the emergence of cryptocurrencies, it is better to ask now about their cost, economic and ecological. To see it as a potential source of income, except for being a very early adopter with a hollow nose, an individual with a lot of computational capital or a clever trader, you have to make a point.
  17. If the recurrent comparison with the famous Ponzi pyramid [6] is discussed (after all, the decentralized currencies do not make promises), remains that, as long as the value does not collapse, the system benefits mainly to the first entrants - except James Howells.
  18. As the Bitcoin.fr site aptly states: all this is just an experiment, invest only the time and money you can afford to lose. LOLs love was not a worse reason than another to experiment, so I finally submitted my laptop to four days and three nights of intense activity, which makes me happy. owner of a good half a thousand dogecoins. Either the equivalent of 0.115 dollar, or 0.08 euro. It is obviously not worth the electricity consumed to generate them, it increases my carbon footprint, but it amuses my entourage. But laughter is, as everyone knows, a safe bet in times of crisis, less volatile than a real bitcoin.
  19. And then, after all, you never know.
  20. Amaelle Guiton.
  21. 1. For explanations more provided (the case is quite complex), refer, for example, to the series of very detailed notes devoted to blogger Turblog.
  22. 2. And as such, searchable by everyone. It is the identity of the users that is not known, unless they reveal it, hence the reputation of anonymity (relative, therefore) cryptocurrencies.
  23. 3. In the case of bitcoin, the maximum of 21 million units should be reached around 2140.
  24. 4. For a day-to-day follow-up, see the CoinMarketCap site which lists the exchange rates of crypto-currencies, based on the dollar value of bitcoin.
  25. 5. We discover then, unfortunately, that some graphics cards do not allow the mining. This is the case for the author of these lines, reduced to working in conditions of extreme computer deprivation.
  26. 6. Comparison which is at the heart of a hilarious note on the ponzicoin, signed by the economic journalist Matthew OBrien, on The Atlantic (to read if you intend seriously to invest in the dogecoin).
submitted by Mejbah411 to u/Mejbah411 [link] [comments]

POW

I did a write up on POW to try and understand it better. What do you think?
Advantages of POW
I decided to start writing my thoughts about some of the more debated aspects of cryptocurrencies in general. Today I am going to focus on “Proof of Work” or the consensus mechanism employed by BTC and other cryptocurrencies.
What is Proof of Work?
POW is the original consensus algorithm that governs the Bitcoin network. The mechanism is used to verify new transactions and create new blocks. The process of verifying transactions and creating new blocks in the blockchain is referred to as mining. Mining is basically having some “ASIC” mining equipment solving very difficult mathematical equations that would take a human years to complete (see the following link for more information on mining https://www.buybitcoinworldwide.com/mining/hardware/). These “miners” can complete the equation in a relatively short period of time. But the mining equipment is competing with miners all around the globe to solve the equations. Every ten minutes (on average) a block is filled with transactions approved by miners. Now this doesn’t mean that every block occurs in 10 minute intervals, but instead it means that the average is 10 mins. So there are some blocks that take 1 minute and some that take 15 minutes to be completed. The difficulty involved with BTC mining is adjusted every 2016 block or roughly every 2 weeks to ensure the mining process doesn’t become to difficult or easy. When a new block is formed 12.5 BTC are distributed to miners for their work. Every block that is created makes the BTC network more robust and more secure. Now some miners have a better “hash rate” than others due to more mining equipment. This means they will likely receive more BTC than a small time mining operation, but that doesn’t mean small time miners cant make some BTC for their troubles. The amount of BTC one receives for each block mined varies. Depending on how much you contributed to discovering the hash (answer) The equation that the mining equipment must solve are similar to what you saw in high school, except much more difficult. (EX: A = B + 3 * 25) To mine a block, a miner needs to hash (answer) the block’s header (mathematical equation) in a way that it is less than or equal to the “target.” Bitcoin uses an algorithm that is called “SHA-256” which is basically a 256 digit alpha numeric code that is a big part of the BTC network and is important to understand if you want to be a miner. (Secure Hash Algorithm) SHA was created by the National Institute of Standards & Technology, and they came with an improved version called SHA-256 where the number is represented as the hash length in bits. No matter what the input the output will always be represented by the 256 alpha numeric code. There is a website that you can actually see how this works by entering any word, from your name to the longest word you can come up with and it will show you exactly what the word you entered is in SHA-256 encryption. I entered my first name (Tim) and this was the results: “aac09a648fc382b6f78897595486e691d00de9dfc742f3ba1930464b56eecda6” So that is my name in SHA-256. (Just wanted to give you an idea of what we are dealing with) Here is the website I used to figure that information out https://md5hashing.net/hash/sha256/aac09a648fc382b6f78897595486e691d00de9dfc742f3ba1930464b56eecda6 Just for comparison I also entered “Mississippi” and the results were “8584ecbb1ea76935b74c3c313980c410cbe26b2ff48806950f2a70ff2ec82493”So the output was different, but the same amount of alpha numeric digits. The website can also decode the encrypted messages as well. So, if you copied and pasted the code I just shared you would see it decoded as Mississippi. This is how encryption works. There is a lot to discuss when it comes to SHA-256, but I feel we have spent enough time on that, so let’s move on to rewards. When Bitcoin was first created the mining rewards were set in stone. Every 4 Years roughly (Its really every 210,000 blocks) there is a “halving” that reduces mining rewards by half. The first halving occurred on 11/28/2012.The reward was reduced from 50 BTC mined per block to 25 BTC mined per block. There was a 2nd halving on 7/9/2016. The reward was cut in half then as well from 25 to 12.5 BTC produced every 10 minutes. The next halving will occur mid 2020. Reducing the reward from 12.5 BTC to 6.25 BTC produced with each block mined. The reason Bitcoin halves the rewards for mining is to basically stretch the mining process out and ensure not all BTC gets mined in 2 years. There are multiple reasons for the halving, but in my opinion keeping miners paid for their work is crucial. Of course, mining BTC is not all about the rewards you receive, but also about the transaction fees you get from the multiple transactions that occur on the BTC network. Many people fret over what will happen when mining rewards are so small that it becomes hard to imagine anyone would want to mine with the reward system being reduced every 4 years and the answer to that is transaction fees. People claim that miners wont work for only transaction fees, which is a valid point, but it fails to consider the growth of BTC. By the time the mining rewards are 0 the transactions on the BTC network will be immense. Not to mention transaction fees may
be raised if necessary. The difficulty in mining 1 block is astronomical. As of December 2018 your chances of mining 1 block was roughly 1 in 7 trillion. This level gets adjusted every 2016 blocks or every 2 weeks approximately. The more miners that are competing with one another the more difficult the “problem” or Bitcoin mining becomes. It also works the other way as well. If miners decide to stop mining the difficulty will then decrease. Now if this wasn’t tough enough for miners, they must also come up with the hash faster than the other miners to receive a reward. This has a lot to do with mining equipment and how much you have. The more mining equipment (“asic miners” or application specific integrated circuit) you have the more hashes you can put out and you obviously would stand a better chance of solving the hash and getting the block reward over someone with 1 asic machine running. Bitcoin once could be mined via a personal computer or laptop, but this has now become impractical and not profitable with the new and faster asic mining equipment that was designed specifically for mining BTC. This mining equipment requires plenty of electricity and it isn’t cheap to operate the equipment. Electrical costs alone could cost more than your net profits from mining. This has caused many small time mining operations to close either temporarily until it becomes profitable to mine once again or entirely and sell off their equipment. We discussed this earlier, but when miners leave it makes the difficulty become easier. It’s a perfectly balanced system if you ask me.
Now there is another option if you want to mine but cant afford the 1000 asic mining machines needed to be competitive. You could join “cloud mining” which is essentially a group of individual miners that pool their hash power together to become competitive and it gives them a better shot at solving the hash. The profit in mining pools is divvied up depending on many factors, but the main factor would be the amount of hash power you add to the pool. So if I had one asic and my friend Phil has 10, he would receive a bigger payout than me thanks to his contribution (which is larger obviously) Mining pools have become a popular way for small time mining operations to become more profitable. This is how the reward system works for BTC miners.
Proof of work is the only true way to be decentralized as control is not centralized in a server somewhere, but instead is distributed across the globe in an immutable “blockchain” that is transparent and not reversible. Naysayers claim POW is inefficient and claim POW is susceptible to “51% attacks” Which is accurate to a degree. People point out coins like Ethereum Classic and Verge as examples of how a 51% attack can occur on the BTC network. This fails to take into consideration the fundamentals of BTC and why it is so difficult and unlikely to be attacked. So, every ten minutes (approximately) a block is produced by the mining process, and when the block is produced it is distributed lightning fast to nodes across the globe and the chain is updated. The speed one would need to work at to attack BTC is astronomical. And the likelihood of failure is likely. Too much risk. But, achieving this feat is easy with smaller chains like Ethereum Classic, but when you consider the difficulty involved when attempting to attack Bitcoin one must consider the cost in mining equipment and electricity which makes an attack on the BTC blockchain so unlikely. Why attack BTC when you can go after smaller chains for much less overhead costs and walk away with quite a bit (like with Ethereum Classic) Im not saying it will never happen, but it will take a lot of work. Every block that gets mined makes BTC more robust and secure along with hash power. People point to mining pools as a likely suspect for future attacks on BTC, but those mining via cloud would all need to agree to attack BTC, all the while needing over half the hash rate of the entire network. Every scenario involving a 51% attack on BTC is extremely difficult and costly. Proof of Work is the only consensus mechanism that can be considered truly decentralized. With that being said not all POW coins are decentralized. Bitcoin is a beautiful example of how decentralized Blockchains should function. Secure and decentralized.
Written by Tim Pace 2/5/2019
submitted by HeisenbergBTC to Bitcoin [link] [comments]

Trading Cryptocurrency Markets

Hello! My name is Slava Mikhalkin, I am a Project Owner of Crowdsale platform at Platinum, the company that knows how to start any ICO or STO in 2019.
If you want to avoid headaches with launching process, we can help you with ICO and STO advertising and promotion. See the full list of our services: Platinum.fund
I am also happy to be a part of the UBAI, the first educational institution providing the most effective online education on blockchain! We can teach you how to do ICO/STO in 2019. Today I want to tell you how to sell and transfer cryptocurrencies.
Major Exchanges
In finance, an exchange is a forum or platform for trading commodities, derivatives, securities or other financial instruments. The principle concern of an exchange is to allow trading between parties to take place in a fair and legally compliant manner, as well as to ensure that pricing information for any instrument traded on the exchange is reliable and coherently delivered to exchange participants. In the cryptocurrency space exchanges are online platforms that allow users to trade cryptocurrencies or digital currencies for fiat money or other cryptocurrencies. They can be centralized exchanges such a Binance, or decentralized exchanges such as IDEX. Most cryptocurrency exchanges allow users to trade different crypto assets with BTC or ETH after having already exchanged fiat currency for one of those cryptocurrencies. Coinbase and Kraken are the main avenue for fiat money to enter into the cryptocurrency ecosystem.
Function and History
Crypto exchanges can be market-makers that take bid/ask spreads as a commission on the transaction for facilitating the trade, or more often charge a small percentage fee for operating the forum in which the trade was made. Most crypto exchanges operate outside of Western countries, enabling them to avoid stringent financial regulations and the potential for costly and lengthy legal proceedings. These entities will often maintain bank accounts in multiple jurisdictions, allowing the exchange to accept fiat currency and process transactions from customers all over the globe.
The concept of a digital asset exchange has been around since the late 2000s and the following initial attempts at running digital asset exchanges foreshadows the trouble involved in attempting to disrupt the operation of the fiat currency baking system. The trading of digital or electronic assets predate Bitcoin’s creation by several years, with the first electronic trading entities running afoul of the Australian Securities and Investments Commission (ASIC) in late 2004. Companies such as Goldex, SydneyGoldSales, and Ozzigold, shut down voluntarily after ASIC found that they were operating without an Australian Financial Services License. E-Gold, which exchanged fiat USD for grams of precious metals in digital form, was possibly the first digital currency exchange as we know it, allowing users to make instant transfers to the accounts of other E-Gold members. At its peak in 2006 E-Gold processed $2 billion worth of transactions and boasted a user base of over 5 million people.
Popular Exchanges
Here we will give a brief overview of the features and operational history of the more popular and higher volume exchanges because these are the platforms to which newer traders will be exposed. These exchanges are recommended to use because they are the industry standard and they inspire the most confidence.
Bitfinex
Owned and operated by iFinex Inc, the cryptocurrency trading platform Bitfinex was the largest Bitcoin exchange on the planet until late 2017. Headquartered in Hong Kong and based in the US Virgin Island, Bitfinex was one of the first exchanges to offer leveraged trading (“Margin trading allows a trader to open a position with leverage. For example — we opened a margin position with 2X leverage. Our base assets had increased by 10%. Our position yielded 20% because of the 2X leverage. Standard trades are traded with leverage of 1:1”) and also pioneered the use of the somewhat controversial, so-called “stable coin” Tether (USDT).
Binance
Binance is an international multi-language cryptocurrency exchange that rose from the mid-rank of cryptocurrency exchanges to become the market dominating behemoth we see today. At the height of the late 2017/early 2018 bull run, Binance was adding around 2 million new users per week! The exchange had to temporarily disallow new registrations because its servers simply could not keep up with that volume of business. After the temporary ban on new users was lifted the exchange added 240,000 new accounts within two hours.
Have you ever thought whats the role of the cypto exchanges? The answer is simple! There are several different types of exchanges that cater to different needs within the ecosystem, but their functions can be described by one or more of the following: To allow users to convert fiat currency into cryptocurrency. To trade BTC or ETH for alt coins. To facilitate the setting of prices for all crypto assets through an auction market mechanism. Simply put, you can either mine cryptocurrencies or purchase them, and seeing as the mining process requires the purchase of expensive mining equipment, Cryptocurrency exchanges can be loosely grouped into one of the 3 following exchange types, each with a slightly different role or combination of roles.
Have you ever thought about what are the types of Crypto exchanges?
  1. Traditional Cryptocurrency Exchange: These are the type that most closely mimic traditional stock exchanges where buyers and sellers trade at the current market price of whichever asset they want, with the exchange acting as the intermediary and charging a small fee for facilitating the trade. Kraken and GDAX are examples of this kind of cryptocurrency exchange. Fully peer-to-peer exchanges that operate without a middleman include EtherDelta, and IDEX, which are also examples of decentralized exchanges.
  2. Cryptocurrency Brokers: These are website or app based exchanges that act like a Travelex or other bureau-de-change. They allow customers to buy or sell crypto assets at a price set by the broker (usually market price plus a small premium). Coinbase is an example of this kind of exchange.
  3. Direct Trading Platform: These platforms offer direct peer-to-peer trading between buyers and sellers, but don’t use an exchange platform in doing so. These types of exchanges do not use a set market rate; rather, sellers set their own rates. This is a highly risky form of trading, from which new users should shy away.
To understand how an exchange functions we need only look as far as a traditional stock exchange. Most all the features of a cryptocurrency exchange are analogous to features of trading on a traditional stock exchange. In the simplest terms, the exchanges fulfil their role as the main marketplace for crypto assets of all kinds by catering to buyers or sellers. These are some definitions for the basic functions and features to know: Market Orders: Orders that are executed instantly at the current market price. Limit Order: This is an order that will only be executed if and when the price has risen to or dropped to that price specified by the trader and is also within the specified period of time. Transaction fees: Exchanges will charge transactions fees, usually levied on both the buyer and the seller, but sometimes only the seller is charged a fee. Fees vary on different exchanges though the norm is usually below 0.75%. Transfer charges: The exchange is in effect acting as a sort of escrow agent, to ensure there is no foul play, so it might also charge a small fee when you want to withdraw cryptocurrency to your own wallet.
Regulatory Environment and Evolution
Cryptocurrency has come a long way since the closing down of the Silk Road darknet market. The idea of crypto currency being primarily for criminals, has largely been seen as totally inaccurate and outdated. In this section we focus on the developing regulations surrounding the cryptocurrency asset class by region, and we also look at what the future may hold.
The United States of America
A coherent uniform approach at Federal or State level has yet to be implemented in the United States. The Financial Crimes Enforcement Network published guidelines as early as 2013 suggesting that BTC and other cryptos may fall under the label of “money transmitters” and thus would be required to take part in the same Anti-money Laundering (AML) and Know your Client (KYC) procedures as other money service businesses. At the state level, Texas applies its existing finance laws. And New York has instituted an entirely new licensing system.
The European Union
The EU’s approach to cryptocurrency has generally been far more accommodating overall than the United States, partly due to the adaptable nature of pre-existing laws governing electronic money that predated the creation of Bitcoin. As with the USA, the EU’s main fear is money laundering and criminality. The European Central Bank (ECB) categorized BTC as a “convertible decentralized currency” and advised all central banks in the EU to refrain from trading any cryptocurrencies until the proper regulatory framework was put in place. A task force was then set up by the European Parliament in order to prevent and investigate any potential money laundering that was making use of the new technology.
Likely future regulations for cryptocurrency traders within the European Union and North America will probably consist of the following proposals: The initiation of full KYC procedures so that users cannot remain fully anonymous, in order to prevent tax evasion and curtail money laundering. Caps on payments that can be made in cryptocurrency, similar to caps on traditional cash transactions. A set of rules governing tax obligations regarding cryptocurrencies Regulation by the ECB of any companies that offer exchanges between cryptocurrencies and fiat currencies It is less likely for other countries to follow the Chinese approach and completely ban certain aspects of cryptocurrency trading. It is widely considered more progressive and wiser to allow the technology to grow within a balanced accommodative regulatory framework that takes all interests and factors into consideration. It is probable that the most severe form of regulation will be the formation of new governmental bodies specifically to form laws and exercise regulatory control over the cryptocurrency space. But perhaps that is easier said than done. It may, in certain cases, be incredibly difficult to implement particular regulations due to the anonymous and decentralized nature of crypto.
Behavior of Cryptocurrency Investors by Demographic
Due to the fact that cryptocurrency has its roots firmly planted in the cryptography community, the vast majority of early adopters are representative of that group. In this section we cover the basic structure of the cryptocurrency market cycle and the makeup of the community at large, as well as the reasons behind different trading decisions.
The Cryptocurrency Market Cycle
Bitcoin leads the bull rally. FOMO (Fear of missing out) occurs, the price surge is a constant topic of mainstream news, business programs cover the story, and social media is abuzz with cryptocurrency chatter. Bitcoin reaches new All Timehigh (ATH) Market euphoria is fueled with even more hype and the cycle is in full force. There is a constant stream of news articles and commentary on the meteoric, seemingly unstoppable rise of Bitcoin. Bitcoin’s price “stabilizes”, In the 2017 bull run this was at or around $14,000. A number of solid, large market cap altcoins rise along with Bitcoin; ETH & LTC leading the altcoins at this time. FOMO comes into play, as the new ATH in market cap is reached by pumping of a huge number of alt coins.
Top altcoins “somewhat” stabilize, after reaching new all-time highs. The frenzy continues with crypto success stories, notable figures and famous people in the news. A majority of lesser known cryptocurrencies follow along on the upward momentum. Newcomers are drawn deeper into crypto and sign up for exchanges other than the main entry points like Coinbase and Kraken. In 2017 this saw Binance inundated with new registrations. Some of the cheapest coins are subject to massive pumping, such as Tron TRX which saw a rise in market cap from $150 million at the start of December 2017 to a peak of $16 billion! At this stage, even dead coins or known scams will get pumped. The price of the majority of cryptocurrencies stabilize, and some begin to retract. When the hype is subsiding after a huge crypto bull run, it is a massive sell signal. Traditional investors will begin to give interviews about how people need to be careful putting money into such a highly volatile asset class. Massive violent correction begins and the market starts to collapse. BTC begins to fall consistently on a daily basis, wiping out the insane gains of many medium to small cap cryptos with it. Panic selling sweeps through the market. Depression sets in, both in the markets, and in the minds of individual investors who failed to take profits, or heed the signs of imminent collapse. The price stagnation can last for months, or even years.
The Influence of Age upon Trading
Did you know? Cryptocurrencies have been called “stocks for millennials” According to a survey conducted by the Global Blockchain Business Council, only 5% of the American public own any bitcoin, but of those that do, an overwhelming majority of 71% are men, 58% of them are between the ages of 18 and 35, and over half of them are minorities. The same survey gauged public attitude toward the high risk/high return nature of cryptocurrency, in comparison to more secure guaranteed small percentage gains offered by government bonds or stocks, and found that 30% would rather invest $1,000 in crypto. Over 42% of millennials were aware of cryptocurrencies as opposed to only 15% of those ages 65 and over. In George M. Korniotis and Alok Kumar’s study into the effects of aging on portfolio management and the quality of decisions made by older investors, they found “that older and experienced investors are more likely to follow “rules of thumb” that reflect greater investment knowledge. However, older investors are less effective in applying their investment knowledge and exhibit worse investment skill, especially if they are less educated and earn lower income.”
Geographic Influence upon Trading
One of the main drivers of the apparent seasonal ebb and flow of cryptocurrency prices is the tax situation in the various territories that have the highest concentrations of cryptocurrency holders. Every year we see an overall market pull back beginning in mid to late January, with a recovery beginning usually after April. This is because “Tax Season” is roughly the same across Europe and the United States, with the deadline for Income tax returns being April 15th in the United States, and the tax year officially ending the UK on the 6th of April. All capital gains must be declared before the window closes or an American trader will face the powerful and long arm of the IRS with the consequent legal proceedings and possible jail time. Capital gains taxes around the world vary from jurisdiction to jurisdiction but there are often incentives for cryptocurrency holders to refrain from trading for over a year to qualify their profits as long term gain when they finally sell. In the US and Australia, for example, capital gains are reduced if you bought cryptocurrency for investment purposes and held it for over a year. In Germany if crypto assets are held for over a year then the gains derived from their sale are not taxed. Advantages like this apply to individual tax returns, on a case by case basis, and it is up to the investor to keep up to date with the tax codes of the territory in which they reside.
2013 Bull run vs 2017 Bull run price Analysis
In late 2016 cryptocurrency traders were faced with the task of distinguishing between the beginnings of a genuine bull run and what might colorfully be called a “dead cat bounce” (in traditional market terminology). Stagnation had gripped the market since the pull-back of early 2014. The meteoric rise of Bitcoin’s price in 2013 peaked with a price of $1,100 in November 2013, after a year of fantastic news on the adoption front with both Microsoft and PayPal offering BTC payment options. It is easy to look at a line going up on a chart and speak after the fact, but at the time, it is exceeding difficult to say whether the cat is actually climbing up the wall, or just bouncing off the ground. Here, we will discuss the factors that gave savvy investors clues as to why the 2017 bull run was going to outstrip the 2013 rally. Hopefully this will help give insight into how to differentiate between the signs of a small price increase and the start of a full scale bull run. Most importantly, Volume was far higher in 2017. As we can see in the graphic below, the 2017 volume far exceeds the volume of BTC trading during the 2013 price increase. The stranglehold MtGox held on trading made a huge bull run very difficult and unlikely.
Fraud & Immoral Activity in the Private Market
Ponzi Schemes Cryptocurrency Ponzi schemes will be covered in greater detail in Lesson 7, but we need to get a quick overview of the main features of Ponzi schemes and how to spot them at this point in our discussion. Here are some key indicators of a Ponzi scheme, both in cryptocurrencies and traditional investments: A guaranteed promise of high returns with little risk. Consistentflow of returns regardless of market conditions. Investments that have not been registered with the Securities and Exchange Commission (SEC). Investment strategies that are a secret, or described as too complex. Clients not allowed to view official paperwork for their investment. Clients have difficulties trying to get their money back. The initial members of the scheme, most likely unbeknownst to the later investors, are paid their “dividends” or “profits” with new investor cash. The most famous modern-day example of a Ponzi scheme in the traditional world, is Bernie Madoff’s $100 billion fraudulent enterprise, officially titled Bernard L. Madoff Investment Securities LLC. And in the crypto world, BitConnect is the most infamous case of an entirely fraudulent project which boasted a market cap of $2 billion at its peak.
What are the Exchange Hacks?
The history of cryptocurrency is littered with examples of hacked exchanges, some of them so severe that the operation had to be wound up forever. As we have already discussed, incredibly tech savvy and intelligent computer hackers led by Alexander Vinnik stole 850000 BTC from the MtGox exchange over a period from 2012–2014 resulting in the collapse of the exchange and a near-crippling hammer blow to the emerging asset class that is still being felt to this day. The BitGrail exchange suffered a similar style of attack in late 2017 and early 2018, in which Nano (XRB) was stolen that was at one point was worth almost $195 million. Even Bitfinex, one of the most famous and prestigious exchanges, has suffered a hack in 2016 where $72 million worth of BTC was stolen directly from customer accounts.
Hardware Wallet Scam Case Study
In late 2017, an unfortunate character on Reddit, going by the name of “moody rocket” relayed his story of an intricate scam in which his newly acquired hardware wallet was compromised, and his $34,000 life savings were stolen. He bought a second hand Nano ledger into which the scammers own recover seed had already been inserted. He began using the ledger without knowing that the default seed being used was not a randomly assigned seed. After a few weeks the scammer struck, and withdrew all the poor HODLer’s XRP, Dash and Litecoin into their own wallet (likely through a few intermediary wallets to lessen the very slim chances of being identified).
Hardware Wallet Scam Case Study Social Media Fraud
Many gullible and hapless twitter users have fallen victim to the recent phenomenon of scammers using a combination of convincing fake celebrity twitter profiles and numerous amounts of bots to swindle them of ETH or BTC. The scammers would set up a profile with a near identical handle to a famous figure in the tech sphere, such as Vitalik Buterin or Elon Musk. And then in the tweet, immediately following a genuine message, follow up with a variation of “Bonus give away for the next 100 lucky people, send me 0.1 ETH and I will send you 1 ETH back”, followed by the scammers ether wallet address. The next 20 or so responses will be so-called sockpuppet bots, thanking the fake account for their generosity. Thus, the pot is baited and the scammers can expect to receive potentially hundreds of donations of 0.1 Ether into their wallet. Many twitter users with a large follower base such as Vitalik Buterin have taken to adding “Not giving away ETH” to their username to save careless users from being scammed.
Market Manipulation
It also must be recognized that market manipulation is taking place in cryptocurrency. For those with the financial means i.e. whales, there are many ways in which to control the market in a totally immoral and underhanded way for your own profit. It is especially easy to manipulate cryptos that have a very low trading volume. The manipulator places large buy orders or sell walls to discourage price action in one way or the other. Insider trading is also a significant problem in cryptocurrency, as we saw with the example of blatant insider trading when Bitcoin Cash was listed on Coinbase.
Examples of ICO Fraudulent Company Behavior
In the past 2 years an astronomical amount of money has been lost in fraudulent Initial Coin Offerings. The utmost care and attention must be employed before you invest. We will cover this area in greater detail with a whole lesson devoted to the topic. However, at this point, it is useful to look at the main instances of ICO fraud. Among recent instances of fraudulent ICOs resulting in exit scams, 2 of the most infamous are the Benebit and PlexCoin ICOs which raised $4 million for the former and $15 million for the latter. Perhaps the most brazen and damaging ICO scam of all time was the Vietnamese Pincoin ICO operation, where $660million was raised from 32,000 investors before the scammer disappeared with the funds. In case of smaller ICO “exit scamming” there is usually zero chance of the scammers being found. Investors must just take the hit. We will cover these as well as others in Lesson 7 “Scam Projects”.
Signposts of Fraudulent Actors
The following factors are considered red flags when investigating a certain project or ICO, and all of them should be considered when deciding whether or not you want to invest. Whitepaper is a buzzword Salad: If the whitepaper is nothing more than a collection of buzzwords with little clarity of purpose and not much discussion of the tech involved, it is overwhelmingly likely you are reading a scam whitepaper.
Signposts of Fraudulent Actors §2
No Code Repository: With the vast majority of cryptocurrency projects employing open source code, your due diligence investigation should start at GitHub or Sourceforge. If the project has no entries, or nothing but cloned code, you should avoid it at all costs. Anonymous Team: If the team members are hard to find, or if you see they are exaggerating or lying about their experience, you should steer clear. And do not forget, in addition to taking proper precautions when investing in ICOs, you must always make sure that you are visiting authentic web pages, especially for web wallets. If, for example, you are on a spoof MyEtherWallet web page you could divulge your private key without realizing it and have your entire portfolio of Ether and ERC-20 tokens cleaned out.
Methods to Avoid falling Victim
Avoiding scammers and the traps they set for you is all about asking yourself the right questions, starting with: Is there a need for a Blockchain solution for the particular problem that a particular ICO is attempting to solve? The existing solution may be less costly, less time consuming, and more effective than the proposals of a team attempting to fill up their soft cap in an ICO. The following quote from Mihai Ivascu, the CEO of Modex, should be kept in mind every time you are grading an ICO’s chances of success: “I’m pretty sure that 95% of ICOswill not last, and many will go bankrupt. ….. not everything needs to be decentralized and put on an open source ledger.”
Methods to Avoid falling Victim §2 Do I Trust These People with My Money, or Not?
If you continue to feel uneasy about investing in the project, more due diligence is needed. The developers must be qualified and competent enough to complete the objectives that they have set out in the whitepaper.
Is this too good to be true?
All victims of the well-known social media scams using fake profiles of Vitalik Buterin, or Bitconnect investors for that matter, should have asked themselves this simple question, and their investment would have been saved. In the case of Bitconnect, huge guaranteed gains proportional to the amount of people you can get to sign up was a blatant pyramid scheme, obviously too good to be true. The same goes for Fake Vitalik’s offer of 1 ether in exchange for 0.1 ETH.
Selling Cryptocurrencies, Several reasons for selling with the appropriate actions to take:
If you are selling to buy into an ICO, or maybe believe Ether is a safer currency to hold for a certain period of time, it is likely you will want to make use of the Ether pair and receive Ether in return. Obviously if the ICO is on the NEO or WANchain blockchain for example, you will use the appropriate pair. -Trading to buy into another promising project that is listing on the exchange on which you are selling (or you think the exchange will experience a large amount of volume and become a larger exchange), you may want to trade your cryptocurrency for that exchange token. -If you believe that BTC stands a good chance of experiencing a bull run then using the BTC trading pair is the suitable choice. -If you believe that the market is about to experience a correction but you do not want to take your gains out of the market yet, selling for Tether or “tethering up” is the best play. This allows you to keep your locked-in profits on the exchange, unaffected by the price movements in the cryptocurrency markets,so that you can buy back in at the most profitable moment. -If you wish to “cash out” i.e. sell your cryptocurrency for fiat currency and have those funds in your bank account, the best pair to use is ETH or BTC because you will likely have to transfer to an exchange like Kraken or Coinbase to convert them into fiat. If the exchange offers Litecoin or Bitcoin Cash pairs it could be a good idea to use these for their fast transaction time and low fees.
Selling Cryptocurrencies
Knowing when and how to sell, as well as strategies to inflate the value of your trade before sale, are important skills as a trader of any product or financial instrument. If you are satisfied that the sale itself of the particular amount of a token or coin you are trading away is the right one, then you must decide at what price you are going to sell. Exchanges exercise their own discretion as to which trading “pairs” they will offer, but the most common ones are BTC, ETH, BNB for Binance, BIX for Bibox etc., and sometimes Tether (USDT) or NEO. As a trader, you decide which particular cryptocurrency to exchange depending on your reason for making that specific trade at that time.
Methods of Sale
Market sell/Limit sell on exchange: A limit sell is an order placed on an exchange to sell as soon as (also specifically only if and when) the price you specified has been hit within the time limit you select. A market order executes the sale immediately at the best possible price offered by the market at that exact time. OTC (or Over the Counter) selling refers to sale of securities or cryptocurrencies in any method without using an exchange to intermediate the trade and set the price. The most common way of conducting sales in this manner is through LocalBitcoins.com. This method of cryptocurrency selling is far riskier than using an exchange, for obvious reasons.
The influence and value of your Trade
There are a number of strategies you can use to appreciate the value of your trade and thus increase the Bitcoin or Ether value of your portfolio. It is important to disassociate yourself from the dollar value of your portfolio early on in your cryptocurrency trading career simply because the crypto market is so volatile you will end up pulling your hair out in frustration following the real dollar money value of your holdings. Once your funds have been converted into BTC and ETH they are completely in the crypto sphere. (Some crypto investors find it more appropriate to monitor the value of their portfolio in satoshi or gwei.) Certainly not limited to, but especially good for beginners, the most reliable way to increase your trading profits, and thus the overall value and health of your portfolio, is to buy into promising projects, hold them for 6 months to a year, and then reevaluate. This is called Long term holding and is the tactic that served Bitcoin HODLers quite well, from 2013 to the present day. Obviously, if something comes to light about the project that indicates a lengthy set back is likely, it is often better to cut your losses and sell. You are better off starting over and researching other projects. Also, you should set initial Price Points at which you first take out your original investment, and then later, at which you take out all your profits and exit the project. That should be after you believe the potential for growth has been exhausted for that particular project.
Another method of increasing the value of your trades is ICO flipping. This is the exact opposite of long term holding. This is a technique in which you aim for fast profits taking advantage of initial enthusiasm in the market that may double or triple the value of ICO projects when they first come to market. This method requires some experience using smaller exchanges like IDEX, on which project tokens can be bought and sold before listing on mainstream exchanges. “Tethering up” means to exchange tokens or coins for the USDT stable coin, the value of which is tethered to the US Dollar. If you learn, or know how to use, technical analysis, it is possible to predict when a market retreatment is likely by looking at the price movements of BTC. If you decide a market pull back is likely, you can tether up and maintain the dollar value of your portfolio in tether while other tokens and coins decrease in value. The you wait for an opportune moment to reenter the market.
Market Behavior in Different Time Periods
The main descriptors used for overall market sentiment are “Bull Market” and “Bear Market”. The former describes a market where people are buying on optimism. The latter describes a market where people are selling on pessimism. Fun (or maybe not) fact: The California grizzly bear was brought to extinction by the love of bear baiting as a sport in the mid 1800s. Bears were highly sought after for their intrinsic fighting qualities, and were forced into fighting bulls as Sunday morning entertainment for Californians. What has this got to do with trading and financial markets? The downward swipe of the bear’s paws gives a “Bear market” its name and the upward thrust of a Bull’s horns give the “Bull Market” its name. Most unfortunately for traders, the bear won over 80% of the bouts. During a Bull market, optimism can sometimes grow to be seemingly boundless, volume is rising, and prices are ascending. It can be a good idea to sell or rebalance your portfolio at such a time, especially if you have a particularly large position in one holding or another. This is especially applicable if you need to sell a large amount of a relatively low-volume holding, because you can then do so without dragging the price down by the large size of your own sell order.
Learn more on common behavioral patterns observed so far in the cryptocurrency space for different coins and ICO tokens.
Follow the link:
UBAI.co
If you want to know how do security tokens work, and become a professional in crypto world contact me via Facebook to get all the details:
Facebook
submitted by UBAI_UNIVERSITY to u/UBAI_UNIVERSITY [link] [comments]

AMD's Growing CPU Advantage Over Intel

https://seekingalpha.com/article/4152240-amds-growing-cpu-advantage-intel?page=1
AMD's Growing CPU Advantage Over Intel Mar. 1.18 | About: Advanced Micro (AMD)
Raymond Caron, Ph.D. Tech, solar, natural resources, energy (315 followers) Summary AMD's past and economic hazards. AMD's Current market conditions. AMD Zen CPU advantage over Intel. AMD is primarily a CPU fabrication company with much experience and a great history in that respect. They hold patents for 64-bit processing, as well as ARM based processing patents, and GPU architecture patents. AMD built a name for itself in the mid-to-late 90’s when they introduced the K-series CPU’s to good reviews followed by the Athlon series in ‘99. AMD was profitable, they bought the companies NexGen, Alchemy Semiconductor, and ATI. Past Economic Hazards If AMD has such a great history, then what happened? Before I go over the technical advantage that AMD has over Intel, it’s worth looking to see how AMD failed in the past, and to see if those hazards still present a risk to AMD. As for investment purposes we’re more interested in AMD’s turning a profit. AMD suffered from intermittent CPU fabrication problems, and was also the victim of sustained anti-competitive behaviour from Intel who interfered with AMD’s attempts to sell its CPU’s to the market through Sony, Hitachi, Toshiba, Fujitsu, NEC, Dell, Gateway, HP, Acer, and Lenovo. Intel was investigated and/or fined by multiple countries including Japan, Korea, USA, and EU. These hazard needs to be examined to see if history will repeat itself. There have been some rather large changes in the market since then.
1) The EU has shown they are not averse to leveling large fines, and Intel is still fighting the guilty verdict from the last EU fine levied against them; they’ve already lost one appeal. It’s conceivable to expect that the EU, and other countries, would prosecute Intel again. This is compounded by the recent security problems with Intel CPU’s and the fact that Intel sold these CPU’s under false advertising as secure when Intel knew they were not. Here are some of the largest fines dished out by the EU
2) The Internet has evolved from Web 1.0 to 2.0. Consumers are increasing their online presence each year. This reduces the clout that Intel can wield over the market as AMD can more easily sell to consumers through smaller Internet based companies.
3) Traditional distributors (HP, Dell, Lenovo, etc.) are struggling. All of these companies have had recent issues with declining revenue due to Internet competition, and ARM competition. These companies are struggling for sales and this reduces the clout that Intel has over them, as Intel is no longer able to ensure their future. It no longer pays to be in the club. These points are summarized in the graph below, from Statista, which shows “ODM Direct” sales and “other sales” increasing their market share from 2009 to Q3 2017. 4) AMD spun off Global Foundries as a separate company. AMD has a fabrication agreement with Global Foundries, but is also free to fabricate at another foundry such as TSMC, where AMD has recently announced they will be printing Vega at 7nm.
5) Global Foundries developed the capability to fabricate at 16nm, 14nm, and 12nm alongside Samsung, and IBM, and bought the process from IBM to fabricate at 7nm. These three companies have been cooperating to develop new fabrication nodes.
6) The computer market has grown much larger since the mid-90’s – 2006 when AMD last had a significant tangible advantage over Intel, as computer sales rose steadily until 2011 before starting a slow decline, see Statista graph below. The decline corresponds directly to the loss of competition in the marketplace between AMD and Intel, when AMD released the Bulldozer CPU in 2011. Tablets also became available starting in 2010 and contributed to the fall in computer sales which started falling in 2012. It’s important to note that computer shipments did not fall in 2017, they remained static, and AMD’s GPU market share rose in Q4 2017 at the expense of Nvidia and Intel.
7) In terms of fabrication, AMD has access to 7nm on Global Foundries as well as through TSMC. It’s unlikely that AMD will experience CPU fabrication problems in the future. This is something of a reversal of fortunes as Intel is now experiencing issues with its 10nm fabrication facilities which are behind schedule by more than 2 years, and maybe longer. It would be costly for Intel to use another foundry to print their CPU’s due to the overhead that their current foundries have on their bottom line. If Intel is unable to get the 10nm process working, they’re going to have difficulty competing with AMD. AMD: Current market conditions In 2011 AMD released its Bulldozer line of CPU’s to poor reviews and was relegated to selling on the discount market where sales margins are low. Since that time AMD’s profits have been largely determined by the performance of its GPU and Semi-Custom business. Analysts have become accustomed to looking at AMD’s revenue from a GPU perspective, which isn’t currently being seen in a positive light due to the relation between AMD GPU’s and cryptocurrency mining.
The market views cryptocurrency as further risk to AMD. When Bitcoin was introduced it was also mined with GPU’s. When the currency switched to ASIC circuits (a basic inexpensive and simple circuit) for increased profitability (ASIC’s are cheaper because they’re simple), the GPU’s purchased for mining were resold on the market and ended up competing with and hurting new AMD GPU sales. There is also perceived risk to AMD from Nvidia which has favorable reviews for its Pascal GPU offerings. While AMD has been selling GPU’s they haven’t increased GPU supply due to cryptocurrency demand, while Nvidia has. This resulted in a very high cost for AMD GPU’s relative to Nvidia’s. There are strategic reasons for AMD’s current position:
1) While the AMD GPU’s are profitable and greatly desired for cryptocurrency mining, AMD’s market access is through 3rd party resellers whom enjoy the revenue from marked-up GPU sales. AMD most likely makes lower margins on GPU sales relative to the Zen CPU sales due to higher fabrication costs associated with the fabrication of larger size dies and the corresponding lower yield. For reference I’ve included the size of AMD’s and Nvidia’s GPU’s as well as AMD’s Ryzen CPU and Intel’s Coffee lake 8th generation CPU. This suggests that if AMD had to pick and choose between products, they’d focus on Zen due higher yield and revenue from sales and an increase in margin.
2) If AMD maintained historical levels of GPU production in the face of cryptocurrency demand, while increasing production for Zen products, they would maximize potential income for highest margin products (EPYC), while reducing future vulnerability to second-hand GPU sales being resold on the market. 3) AMD was burned in the past from second hand GPU’s and want to avoid repeating that experience. AMD stated several times that the cryptocurrency boom was not factored into forward looking statements, meaning they haven’t produced more GPU’s to expect more GPU sales.
In contrast, Nvidia increased its production of GPU’s due to cryptocurrency demand, as AMD did in the past. Since their Pascal GPU has entered its 2nd year on the market and is capable of running video games for years to come (1080p and 4k gaming), Nvidia will be entering a position where they will be competing directly with older GPU’s used for mining, that are as capable as the cards Nvidia is currently selling. Second-hand GPU’s from mining are known to function very well, with only a need to replace the fan. This is because semiconductors work best in a steady state, as opposed to being turned on and off, so it will endure less wear when used 24/7.
The market is also pessimistic regarding AMD’s P/E ratio. The market is accustomed to evaluating stocks using the P/E ratio. This statistical test is not actually accurate in evaluating new companies, or companies going into or coming out of bankruptcy. It is more accurate in evaluating companies that have a consistent business operating trend over time.
“Similarly, a company with very low earnings now may command a very high P/E ratio even though it isn’t necessarily overvalued. The company may have just IPO’d and growth expectations are very high, or expectations remain high since the company dominates the technology in its space.” P/E Ratio: Problems With The P/E I regard the pessimism surrounding AMD stock due to GPU’s and past history as a positive trait, because the threat is minor. While AMD is experiencing competitive problems with its GPU’s in gaming AMD holds an advantage in Blockchain processing which stands to be a larger and more lucrative market. I also believe that AMD’s progress with Zen, particularly with EPYC and the recent Meltdown related security and performance issues with all Intel CPU offerings far outweigh any GPU turbulence. This turns the pessimism surrounding AMD regarding its GPU’s into a stock benefit. 1) A pessimistic group prevents the stock from becoming a bubble. -It provides a counter argument against hype relating to product launches that are not proven by earnings. Which is unfortunately a historical trend for AMD as they have had difficulty selling server CPU’s, and consumer CPU’s in the past due to market interference by Intel. 2) It creates predictable daily, weekly, monthly, quarterly fluctuations in the stock price that can be used, to generate income. 3) Due to recent product launches and market conditions (Zen architecture advantage, 12nm node launching, Meltdown performance flaw affecting all Intel CPU’s, Intel’s problems with 10nm) and the fact that AMD is once again selling a competitive product, AMD is making more money each quarter. Therefore the base price of AMD’s stock will rise with earnings, as we’re seeing. This is also a form of investment security, where perceived losses are returned over time, due to a stock that is in a long-term upward trajectory due to new products reaching a responsive market.
4) AMD remains a cheap stock. While it’s volatile it’s stuck in a long-term upward trend due to market conditions and new product launches. An investor can buy more stock (with a limited budget) to maximize earnings. This is advantage also means that the stock is more easily manipulated, as seen during the Q3 2017 ER.
5) The pessimism is unfounded. The cryptocurrency craze hasn’t died, it increased – fell – and recovered. The second hand market did not see an influx of mining GPU’s as mining remains profitable.
6) Blockchain is an emerging market, that will eclipse the gaming market in size due to the wide breath of applications across various industries. Vega is a highly desired product for Blockchain applications as AMD has retained a processing and performance advantage over Nvidia. There are more and rapidly growing applications for Blockchain every day, all (or most) of which will require GPU’s. For instance Microsoft, The Golem supercomputer, IBM, HP, Oracle, Red Hat, and others. Long-term upwards trend AMD is at the beginning of a long-term upward trend supported by a comprehensive and competitive product portfolio that is still being delivered to the market, AMD referred to this as product ramping. AMD’s most effective products with Zen is EPYC, and the Raven Ridge APU. EPYC entered the market in mid-December and was completely sold out by mid-January, but has since been restocked. Intel remains uncompetitive in that industry as their CPU offerings are retarded by a 40% performance flaw due to Meltdown patches. Server CPU sales command the highest margins for both Intel and AMD.
The AMD Raven Ridge APU was recently released to excellent reviews. The APU is significant due to high GPU prices driven buy cryptocurrency, and the fact that the APU is a CPU/GPU hybrid which has the performance to play games available today at 1080p. The APU also supports the Vulcan API, which can call upon multiple GPU’s to increase performance, so a system can be upgraded with an AMD or Nvidia GPU that supports Vulcan API at a later date for increased performance for those games or workloads that been programmed to support it. Or the APU can be replaced when the prices of GPU’s fall.
AMD also stands to benefit as Intel confirmed that their new 10 nm fabrication node is behind in technical capability relative to the Samsung, TSMC, and Global Foundries 7 nm fabrication process. This brings into questions Intel’s competitiveness in 2019 and beyond. Take-Away • AMD was uncompetitive with respect to CPU’s from 2011 to 2017 • When AMD was competitive, from 1996 to 2011 they did record profit and bought 3 companies including ATI. • AMD CPU business suffered from: • Market manipulation from Intel. • Intel fined by EU, Japan, Korea, and settled with the USA • Foundry productivity and upgrade complications • AMD has changed • Global Foundries spun off as an independent business • Has developed 14nm &12nm, and is implementing 7nm fabrication • Intel late on 10nm, is less competitive than 7nm node • AMD to fabricate products using multiple foundries (TSMC, Global Foundries) • The market has changed • More AMD products are available on the Internet and both the adoption of the Internet and the size of the Internet retail market has exploded, thanks to the success of smartphones and tablets. • Consumer habits have changed, more people shop online each year. Traditional retailers have lost market share. • Computer market is larger (on-average), but has been declining. While Computer shipments declined in Q2 and Q3 2017, AMD sold more CPU’s. • AMD was uncompetitive with respect to CPU’s from 2011 to 2017. • Analysts look to GPU and Semi-Custom sales for revenue. • Cryptocurrency boom intensified, no crash occurred. • AMD did not increase GPU production to meet cryptocurrency demand. • Blockchain represents a new growth potential for AMD GPU’s. • Pessimism acts as security against a stock bubble & corresponding bust. • Creates cyclical volatility in the stock that can be used to generate profit. • P/E ratio is misleading when used to evaluate AMD. • AMD has long-term growth potential. • 2017 AMD releases competitive product portfolio. • Since Zen was released in March 2017 AMD has beat ER expectations. • AMD returns to profitability in 2017. • AMD taking measureable market share from Intel in OEM CPU Desktop and in CPU market. • High margin server product EPYC released in December 2017 before worst ever CPU security bug found in Intel CPU’s that are hit with detrimental 40% performance patch. • Ryzen APU (Raven Ridge) announced in February 2018, to meet gaming GPU shortage created by high GPU demand for cryptocurrency mining. • Blockchain is a long-term growth opportunity for AMD. • Intel is behind the competition for the next CPU fabrication node. AMD’s growing CPU advantage over Intel About AMD’s Zen Zen is a technical breakthrough in CPU architecture because it’s a modular design and because it is a small CPU while providing similar or better performance than the Intel competition.
Since Zen was released in March 2017, we’ve seen AMD go from 18% CPU market share in the OEM consumer desktops to essentially 50% market share, this was also supported by comments from Lisa Su during the Q3 2017 ER call, by MindFactory.de, and by Amazon sales of CPU’s. We also saw AMD increase its market share of total desktop CPU’s. We also started seeing market share flux between AMD and Intel as new CPU’s are released. Zen is a technical breakthrough supported by a few general guidelines relating to electronics. This provides AMD with an across the board CPU market advantage over Intel for every CPU market addressed.
1) The larger the CPU the lower the yield. - Zen architecture that makes up Ryzen, Threadripper, and EPYC is smaller (44 mm2 compared to 151 mm2 for Coffee Lake). A larger CPU means fewer CPU’s made during fabrication per wafer. AMD will have roughly 3x the fabrication yield for each Zen printed compared to each Coffee Lake printed, therefore each CPU has a much lower cost of manufacturing.
2) The larger the CPU the harder it is to fabricate without errors. - The chance that a CPU will be perfectly fabricated falls exponentially with increasing surface area. Intel will have fewer high quality CPU’s printed compared to AMD. This means that AMD will make a higher margin on each CPU sold. AMD’s supply of perfect printed Ryzen’s (1800X) are so high that the company had to give them away at a reduced cost in order to meet supply demands for the cheaper Ryzen 5 1600X. If you bought a 1600X in August/September, you probably ended up with an 1800X.
3) Larger CPU’s are harder to fabricate without errors on smaller nodes. -The technical capability to fabricate CPU’s at smaller nodes becomes more difficult due to the higher precision that is required to fabricate at a smaller node, and due to the corresponding increase in errors. “A second reason for the slowdown is that it’s simply getting harder to design, inspect and test chips at advanced nodes. Physical effects such as heat, electrostatic discharge and electromagnetic interference are more pronounced at 7nm than at 28nm. It also takes more power to drive signals through skinny wires, and circuits are more sensitive to test and inspection, as well as to thermal migration across a chip. All of that needs to be accounted for and simulated using multi-physics simulation, emulation and prototyping.“ Is 7nm The Last Major Node? “Simply put, the first generation of 10nm requires small processors to ensure high yields. Intel seems to be putting the smaller die sizes (i.e. anything under 15W for a laptop) into the 10nm Cannon Lake bucket, while the larger 35W+ chips will be on 14++ Coffee Lake, a tried and tested sub-node for larger CPUs. While the desktop sits on 14++ for a bit longer, it gives time for Intel to further develop their 10nm fabrication abilities, leading to their 10+ process for larger chips by working their other large chip segments (FPGA, MIC) first.” There are plenty of steps where errors can be created within a fabricated CPU. This is most likely the culprit behind Intel’s inability to launch its 10nm fabrication process. They’re simply unable to print such a large CPU on such a small node with high enough yields to make the process competitive. Intel thought they were ahead of the competition with respect to printing large CPU’s on a small node, until AMD avoided the issue completely by designing a smaller modular CPU. Intel avoided any mention of its 10nm node during its Q4 2017 ER, which I interpret as bad news for Intel shareholders. If you have nothing good to say, then you don’t say anything. Intel having nothing to say about something that is fundamentally critical to its success as a company can’t be good. Intel is on track however to deliver hybrid CPU’s where some small components are printed on 10nm. It’s recently also come to light that Intel’s 10nm node is less competitive than the Global Foundries, Samsung, and TSMC 7nm nodes, which means that Intel is now firmly behind in CPU fabrication. 4) AMD Zen is a new architecture built from the ground up. Intel’s CPU’s are built on-top of older architecture developed with 30-yr old strategies, some of which we’ve recently discovered are flawed. This resulted in the Meltdown flaw, the Spectre flaws, and also includes the ME, and AMT bugs in Intel CPU’s. While AMD is still affected by Spectre, AMD has only ever acknowledged that they’re completely susceptible to Spectre 1, as AMD considers Spectre 2 to be difficult to exploit on an AMD Zen CPU. “It is much more difficult on all AMD CPUs, because BTB entries are not aliased - the attacker must know (and be able to execute arbitrary code at) the exact address of the targeted branch instruction.” Technical Analysis of Spectre & Meltdown * Amd Further reading Spectre and Meltdown: Linux creator Linus Torvalds criticises Intel's 'garbage' patches | ZDNet FYI: Processor bugs are everywhere - just ask Intel and AMD Meltdown and Spectre: Good news for AMD users, (more) bad news for Intel Cybersecurity agency: The only sure defense against huge chip flaw is a new chip Kernel-memory-leaking Intel processor design flaw forces Linux, Windows redesign Take-Away • AMD Zen enjoys a CPU fabrication yield advantage over Intel • AMD Zen enjoys higher yield of high quality CPU’s • Intel’s CPU’s are affected with 40% performance drop due to Meltdown flaw that affect server CPU sales.
AMD stock drivers 1) EPYC • -A critically acclaimed CPU that is sold at a discount compared to Intel. • -Is not affected by 40% software slow-downs due to Meltdown. 2) Raven Ridge desktop APU • - Targets unfed GPU market which has been stifled due to cryptocurrency demand - Customers can upgrade to a new CPU or add a GPU at a later date without changing the motherboard. • - AM4 motherboard supported until 2020. 3) Vega GPU sales to Intel for 8th generation CPU’s with integrated graphics. • - AMD gains access to the complete desktop and mobile market through Intel.
4) Mobile Ryzen APU sales • -Providing gaming capability in a compact power envelope.
5) Ryzen and Threadripper sales • -Fabricated on 12nm in April. • -May eliminate Intel’s last remaining CPU advantage in IPC single core processing. • -AM4 motherboard supported until 2020. • -7nm Ryzen on track for early 2019. 6) Others: Vega, Polaris, Semi-custom, etc. • -I consider any positive developments here to be gravy. Conclusion While in the past Intel interfered with AMD's ability to bring it's products to market, the market has changed. The internet has grown significantly and is now a large market that dominates when in computer sales. It's questionable if Intel still has the influence to affect this new market, and doing so would most certainly result in fines and further bad press.
AMD's foundry problems were turned into an advantage over Intel.
AMD's more recent past was heavily influenced by the failure of the Bulldozer line of CPU's that dragged on AMD's bottom line from 2011 to 2017.
AMD's Zen line of CPU's is a breakthrough that exploits an alternative, superior strategy, in chip design which results in a smaller CPU. A smaller CPU enjoys compounded yield and quality advantages over Intel's CPU architecture. Intel's lead in CPU performance will at the very least be challenged and will more likely come to an end in 2018, until they release a redesigned CPU.
I previously targeted AMD to be worth $20 by the end of Q4 2017 ER. This was based on the speed that Intel was able to get products to market, in comparison AMD is much slower. I believe the stock should be there, but the GPU related story was prominent due to cryptocurrency craze. Financial analysts need more time to catch on to what’s happening with AMD, they need an ER that is driven by CPU sales. I believe that the Q1 2018 is the ER to do that. AMD had EPYC stock in stores when the Meltdown and Spectre flaws hit the news. These CPU’s were sold out by mid-January and are large margin sales.
There are many variables at play within the market, however barring any disruptions I’d expect that AMD will be worth $20 at some point in 2018 due these market drivers. If AMD sold enough EPYC CPU’s due to Intel’s ongoing CPU security problems, then it may occur following the ER in Q1 2018. However, if anything is customary with AMD, it’s that these things always take longer than expected.
submitted by kchia124 to AMD_Stock [link] [comments]

Groestlcoin Release September 2018

Introduction

As always, the past 3 months since 22nd June have been crazy busy. The bears might still be around, but the show must go on and of course has not slowed the Groestlcoin development team in the slightest. Here’s a quick overview of what has already happened since the last release: - Integrated into the bitbns exchange, with the ability to buy Groestlcoin directly with the Indian Rupee. - Groestlcoin Rebrand Vote – Whilst there was much talk and push for a rebrand vote, the overall result was almost unanimously in favour of keeping our unique and conversation-starting name. With just 83 votes to Rebrand, and 2577 votes to No Rebrand. Thank you for all who voted, the funds raised are being used to fund ongoing hosting and development costs. - Integrated into the Cryptobridge exchange. Cryptobridge is a popular decentralised exchange where you always hold the private keys to your funds, only YOU have access to them. - Groestlcoin has been added to SimpleSwap – Groestlcoin can now be swapped with over 100 other cryptocurrencies, without signing up! - Groestlcoin has been added to UnoDax, one of the leading cryptocurrency exchanges in India, with TUSD, BTC and INR trading pairs. - Groestlcoin has been added to SwapLab.cc, where you can buy Groestlcoin using Bitcoin and over 50 other altcoins. Purchasing with VISA/Mastercard is coming VERY SOON. Discussed later: - Groestlcoin has been listed on #3 largest exchange in the world on volume, Huobi Global! More on this to come further on in the announcements. - Groestlcoin has been added to the Guarda Multi-Currency Wallet. - Groestlcoin has been added to Melis Multi-Device, Multi-Account, Multi-Platform, Multi-Signature advanced wallet! Already this list is far more than most other cryptocurrencies have achieved in the past 3 months. But this is just the tip of the iceberg of what has been developed.

What's been Happening?

GRSPay Released

We are so excited for this, that it has it's own separate reddit thread. Head over there now at https://www.reddit.com/groestlcoin/comments/9ikr5m/groestlcoin_releases_grspay/? to see more on this!
https://www.melis.io/assets/logo-navbar-4b6f0d372f15b2446d3fa4c68f346e4fb08ee113941186cee58fd6135f3f8b7d.svg

Melis Wallet

The the most advanced wallet for Bitcoin, Bitcoin Cash, Litecoin and now Groestlcoin.
With Melis you have the complete control of your bitcoins and private keys, you can define spending limits policies and make use of two or more factors authentication. Melis is open source, published on GitHub.

How Melis Works?

You can create as many accounts as you want. An account is a part of your wallet that can be customised to your requirements. You can choose how many co-signers are required to spend funds. The accounts are completely independent and act like separate wallets from each other but can be accessed via the same details. A core feature of Melis is the ability to set a ‘primary’ device. With this you can set an account as ‘Secure’ so it is only viewable (and accessible at all) from the Primary device. You can have a savings account hidden from the outside world whilst also having your ‘spending’ funds available on the go. With Melis you can create a multi-signature account between N people, where up to N signatures are required to sign a transaction, choosing if any of those should be mandatory.
Core Features:
https://guarda.co/assets/images/1PGo4ID.svg?1537791124643

Guarda Wallet

Safer than ever! Desktop Light Wallet - Anonymous and fast!
With Guarda Multi-currency Desktop Light Wallet you don’t need to register. Guarda has no access to your private keys or funds. You can receive, send, store, buy and exchange cryptocurrencies in complete anonymity and safety. All these features are available on Linux, Windows or MacOS. Choose the one that suits you!
More info about Guarda wallet on www.guarda.co
https://holytransaction.com/images/logo.png

Integrated into HolyTransaction

What is HolyTransaction?

HolyTransaction gives users access to the crypto world with a universal cryptocurrency wallet and instant exchange.

Features

For more information, visit Holy Transaction here.
https://www.groestlcoin.org/wp-content/uploads/2018/09/next-grs-groestlcoin.jpg

Integrated into NEXT Wallet

What is NEXT?

NEXT is a modern, next-generation stylish open-source Desktop wallet.

Features

For more information, visit NextWallet here.
https://blockchainfinancial.com/mediaserve2018/09/admin-06143647-bcf_logo_vec_256x256.png

Integrated into Blockchain Financial

What is Blockchain Financial?

Blockchain Financial is a set of web based services for individuals and companies that want to make things happen with the Cryptocurrencies Ecosystem. - For those that don't know anything about cryptocurrencies, we offer tools that will let them receive, send and operate with an assortment of coins. - For those that are already riding the wave, we offer tools that will let them do all those things that they weren't able to do.

Blockchain Financials mission

We're not here to reinvent the wheel. We're here to make it run smoother for you, and we provide some of the most useful services you'll find on the internet, made in a way that is easy to understand and use on a daily basis. In short, we're a bunch of people that claim to be Crypto Evangelists. We strongly believe in cryptocurrencies, and our main promise is to push them up so more people get involved and take all the advantages they offer.

More information from Blockchain Financial

Back in 2014, the world was taken by storm when Facebook approved the first cryptocurrencies tipping apps. The first was for Dogecoin, and the second was for multiple coins.
The project was hosted on whitepuma.net, and persisted for almost two years, built up a massive user community and gave a home to Bitcoin, Litecoin, Dogecoin and dozens of other bitcoin-based altcoins.
After very active months, the tipping hype started to fade away. Then, the developers decided to jump into the next stage: bringing not only tipping, but also mining and a widget that could be embedded on websites to allow everyone to accept payments. Sadly, the work was never completed because the project started to require an unsustainable amount of resources. Then, in a painful decision, a shutdown was announced by December 2015.
A couple of months after whitepuma.net was closed, the source code was released by its creator as Open Source on GitHub. But it wasn't maintained.
Now, some of the original members of the dev and admin teams gathered up with a handful of the WhitePuma's elite users, and decided to make something good with the best pieces of the old source code. That, with fresh new ideas and the power of the BardCanvas engine, synthesized the core of Blockchain Financial.
More info about Blockchain Financial wallet on .
For more information, visit [Blockchain Financial](www.blockchainfinancial.com)
https://www.huobi.com/image/logo.aeb4723.svg

Groestlcoin Listed on Huobi

Who are Huobi?

Huobi was founded in China and is now based in Singapore, with offices in Hong Kong, South Korea, Japan and the North America, currently sitting #3 in volume on Coinmarketcap. Huobi is a great leap forward for our growing presence in Asia and we are very excited to be listed here!
You can find the official Huobi announcement here.

Groestlcoin Core v2.16.3 - Please Update ASAP

A new major Groestlcoin Core version 2.16.3 is now available for download which includes both a Denial of Service component and a critical inflation vulnerability, so it is recommended to upgrade to it if you are running a full Groestlcoin node or a local Groestlcoin Core wallet.
v2.16.3 is now the official release version of Groestlcoin Core. This is a new major version release with a very important security updates. It is recommended to upgrade to this version as soon as possible. Please stop running versions of Groestlcoin Core affected by CVE-2018-17144 ASAP: These are 2.13.3 and 2.16.0.
As a result in this, all exchanges and services have been asked to upgrade to this version, so please be patient if wallets go in to maintenance mode on these services.

What's new in version v2.16.3?

This is a major release of Groestlcoin Core fixing a Denial of Service component and a critical inflation vulnerability (https://nvd.nist.gov/vuln/detail/CVE-2018-17144) exploitable by miners that has been discovered in Groestlcoin Core version 2.13.3 and 2.16.0. It is recommended to upgrade to 2.16.3 as soon as possible. If you only occasionally run Groestlcoin Core, then it's not necessary to run out and upgrade it right this second. However, you should upgrade it before you next run it. If you know anyone who is running an older version, tell them to upgrade it ASAP. Stored funds are not at risk, and never were at risk. At this time we believe over half of the Groestlcoin hashrate has upgraded to patched nodes. We are unaware of any attempts to exploit this vulnerability. However, it still remains critical that affected users upgrade and apply the latest patches to ensure no possibility of large reorganizations, mining of invalid blocks, or acceptance of invalid transactions occurs.

The Technicals

In Groestlcoin Core 2.13.3, an optimization was added (Bitcoin Core PR #9049) which avoided a costly check during initial pre-relay block validation that multiple inputs within a single transaction did not spend the same input twice which was added in 2012 (Bitcoin Core PR #443). While the UTXO-updating logic has sufficient knowledge to check that such a condition is not violated in 2.13.3 it only did so in a sanity check assertion and not with full error handling (it did, however, fully handle this case twice in prior to 2.1.0.6). Thus, in Groestlcoin Core 2.13.3, any attempts to double-spend a transaction output within a single transaction inside of a block will result in an assertion failure and a crash, as was originally reported. In Groestlcoin Core 2.16.0, as a part of a larger redesign to simplify unspent transaction output tracking and correct a resource exhaustion attack the assertion was changed subtly. Instead of asserting that the output being marked spent was previously unspent, it only asserts that it exists. Thus, in Groestlcoin Core 2.16.0, any attempts to double-spend a transaction output within a single transaction inside of a block where the output being spent was created in the same block, the same assertion failure will occur. However, if the output being double-spent was created in a previous block, an entry will still remain in the CCoin map with the DIRTY flag set and having been marked as spent, resulting in no such assertion. This could allow a miner to inflate the supply of Groestlcoin as they would be then able to claim the value being spent twice.
Groestlcoin would like to publicly thank Reddit user u/Awemany for finding CVE-2018-17144 and reporting it (https://lists.linuxfoundation.org/pipermail/bitcoin-core-dev/2018-Septembe000064.html). You deserve gratitude and appreciation from cryptoworld, and you have ours. If you want to support him for his work, please consider donating to him on his bitcoin cash address: bitcoincash:qr5yuq3q40u7mxwqz6xvamkfj8tg45wyus7fhqzug5
http://i.imgur.com/3YhyNZK.png

Groestlcoin Electrum-GRS 3.2.2 - Ledger & Trezor Edition

What is Electrum-GRS?
Electrum-GRS is a lightweight "thin client" groestlcoin wallet Windows, MacOS and Linux based on a client-server protocol. Its main advantages over the original Groestlcoin client include support for multi-signature wallets and not requiring the download of the entire block chain.

Changes:

http://i.imgur.com/3YhyNZK.png

Electrum-GRS Mobile Android

What is Electrum-GRS Mobile?

Electrum-grs is a lightweight "thin client" groestlcoin wallet Android based on a client-server protocol. Its main advantages over the original Groestlcoin client include support for multi-signature wallets and not requiring the download of the entire block chain.

Changes

Groestlcoin EasyVanity Released

Groestlcoin EasyVanity is a Windows app is built from the ground-up in C# and makes it easier than ever before to create your very own bespoke Groestlcoin address(es), even whilst not connected to the internet! You can even generate multiple keys with the same prefix and leave it on overnight whilst your CPU or GPU collects and stores these addresses locally.
If you're tired of the random, cryptic addresses generated by regular groestlcoin clients, then Groestlcoin EasyVanity is the right choice for you to create a more personalized address.

Features

• Ability to continue finding keys after first one is found • Includes warning on startup if connected to the internet • Ability to output keys to a text file (And shows button to open that directory) • Ability to make your match case sensitive (Where possible) • Show and hide the private key with a simple toggle switch, and copy the private key straight to your clipboard • Show full output of commands • Includes statistics whilst the application is running • Ability to choose between Processor (CPU) and Graphics Card (GPU) • Automatically detects 32 or 64 bit systems • Features both a Light and Dark Material Design inspired Themes • EasyVanity's search is probabilistic, and the amount of time required to find a given pattern depends on how complex the pattern is, the speed of your computer, and whether you get lucky. • EasyVanity includes components to perform address searching on your CPU (vanitygen) and your OpenCL-compatible GPU (oclvanitygen). Both can be built from source, and both are included in the Windows binary package. • Prefixes are exact strings that must appear at the beginning of the address. When searching for prefixes, Easyvanity will ensure that the prefix is possible, and will provide a difficulty estimate. • The percentage displayed just shows how probable it is that a match would be found in the session so far. If it finds your address with 5% on the display, you are extremely lucky. If it finds your address with 92% on the display, you are unlucky. If you stop EasyVanity with 90% on the display, restart it, and it finds your address with 2% on the display, your first session was unlucky, but your second session was lucky. • EasyVanity uses the OpenSSL random number generator. This is the same RNG used by groestlcoin and a good number of HTTPS servers. It is regarded as well-scrutinized. Guessing the private key of an address found by EasyVanity will be no easier than guessing a private key created by groestlcoin itself. • To speed up address generation, EasyVanity uses the RNG to choose a private key, and literally increments the private key in a loop searching for a match. As long as the starting point is not disclosed, if a match is found, the private key will not be any easier to guess than if every private key tested were taken from the RNG. EasyVanity will also reload the private key from the RNG after 10,000,000 unsuccessful searches (100M for oclvanitygen), or when a match is found and multiple patterns are being searched for. • Free software - MIT. Anyone can audit the code. • Written in C# - The code is short, and easy to review.

Groestlcoin Sentinel (Android & Blackberry) – Mainnet + Testnet

What is Sentinel?

Groestlcoin Sentinel is the easiest and fastest way to track/receive/watch payments in your offline Groestlcoin Wallets. Groestlcoin Sentinel is compatible with any standard Groestlcoin address, BIP44 XPUB (Extended Public Key) BIP49 YPUB and BIP84 ZPUB
Groestlcoin Sentinel is a great solution for anyone who wants the convenience and utility of a hot wallet for receiving payments directly into their cold storage (or hardware wallets). Sentinel accepts XPUB's, YPUB'S, ZPUB's and individual Groestlcoin address. Once added you will be able to view balances, view transactions, and (in the case of XPUB's, YPUB's and ZPUB's) deterministically generate addresses for that particular wallet.

What's New?

The P2SH paperwallet supports creating P2SH paperwallets in bulk, keypair generation with QR codes and sweeping tool. Groestlcoin believes strongly in privacy, the live version does not collect and store IP or transaction data.
Changes
Features
The BECH32 paperwallet supports creating BECH32 paperwallets in bulk, keypair generation with QR codes and sweeping tool. Groestlcoin believes strongly in privacy, the live version does not collect and store IP or transaction data.
Features
![WebWallet](https://i.imgur.com/Z2oj7bj.png)

Groestlcoin Web Wallet Update 1.4

What is Groestlcoin Web Wallet?
Groestlcoin Webwallet is an open source, multisignature, HD Wallet and more! Webwallet is a a open source browser based Groestlcoin webwallet.
Webwallet is a playground for Groestlcoin in javascript to experiment with. It supports multisig, OP_HODL, RBF and many more. Groestlcoin believes strongly in privacy, the live version does not collect and store IP or transaction data.
Changes:
submitted by Yokomoko_Saleen to groestlcoin [link] [comments]

Proof of work

I did a write up on POW to try and understand it better. What do you think?
Advantages of POW
I decided to start writing my thoughts about some of the more debated aspects of cryptocurrencies in general. Today I am going to focus on “Proof of Work” or the consensus mechanism employed by BTC and other cryptocurrencies.
What is Proof of Work?
POW is the original consensus algorithm that governs the Bitcoin network. The mechanism is used to verify new transactions and create new blocks. The process of verifying transactions and creating new blocks in the blockchain is referred to as mining. Mining is basically having some “ASIC” mining equipment solving very difficult mathematical equations that would take a human years to complete (see the following link for more information on mining https://www.buybitcoinworldwide.com/mining/hardware/). These “miners” can complete the equation in a relatively short period of time. But the mining equipment is competing with miners all around the globe to solve the equations. Every ten minutes (on average) a block is filled with transactions approved by miners. Now this doesn’t mean that every block occurs in 10 minute intervals, but instead it means that the average is 10 mins. So there are some blocks that take 1 minute and some that take 15 minutes to be completed. The difficulty involved with BTC mining is adjusted every 2016 block or roughly every 2 weeks to ensure the mining process doesn’t become to difficult or easy. When a new block is formed 12.5 BTC are distributed to miners for their work. Every block that is created makes the BTC network more robust and more secure. Now some miners have a better “hash rate” than others due to more mining equipment. This means they will likely receive more BTC than a small time mining operation, but that doesn’t mean small time miners cant make some BTC for their troubles. The amount of BTC one receives for each block mined varies. Depending on how much you contributed to discovering the hash (answer) The equation that the mining equipment must solve are similar to what you saw in high school, except much more difficult. (EX: A = B + 3 * 25) To mine a block, a miner needs to hash (answer) the block’s header (mathematical equation) in a way that it is less than or equal to the “target.” Bitcoin uses an algorithm that is called “SHA-256” which is basically a 256 digit alpha numeric code that is a big part of the BTC network and is important to understand if you want to be a miner. (Secure Hash Algorithm) SHA was created by the National Institute of Standards & Technology, and they came with an improved version called SHA-256 where the number is represented as the hash length in bits. No matter what the input the output will always be represented by the 256 alpha numeric code. There is a website that you can actually see how this works by entering any word, from your name to the longest word you can come up with and it will show you exactly what the word you entered is in SHA-256 encryption. I entered my first name (Tim) and this was the results: “aac09a648fc382b6f78897595486e691d00de9dfc742f3ba1930464b56eecda6” So that is my name in SHA-256. (Just wanted to give you an idea of what we are dealing with) Here is the website I used to figure that information out https://md5hashing.net/hash/sha256/aac09a648fc382b6f78897595486e691d00de9dfc742f3ba1930464b56eecda6 Just for comparison I also entered “Mississippi” and the results were “8584ecbb1ea76935b74c3c313980c410cbe26b2ff48806950f2a70ff2ec82493”So the output was different, but the same amount of alpha numeric digits. The website can also decode the encrypted messages as well. So, if you copied and pasted the code I just shared you would see it decoded as Mississippi. This is how encryption works. There is a lot to discuss when it comes to SHA-256, but I feel we have spent enough time on that, so let’s move on to rewards. When Bitcoin was first created the mining rewards were set in stone. Every 4 Years roughly (Its really every 210,000 blocks) there is a “halving” that reduces mining rewards by half. The first halving occurred on 11/28/2012.The reward was reduced from 50 BTC mined per block to 25 BTC mined per block. There was a 2nd halving on 7/9/2016. The reward was cut in half then as well from 25 to 12.5 BTC produced every 10 minutes. The next halving will occur mid 2020. Reducing the reward from 12.5 BTC to 6.25 BTC produced with each block mined. The reason Bitcoin halves the rewards for mining is to basically stretch the mining process out and ensure not all BTC gets mined in 2 years. There are multiple reasons for the halving, but in my opinion keeping miners paid for their work is crucial. Of course, mining BTC is not all about the rewards you receive, but also about the transaction fees you get from the multiple transactions that occur on the BTC network. Many people fret over what will happen when mining rewards are so small that it becomes hard to imagine anyone would want to mine with the reward system being reduced every 4 years and the answer to that is transaction fees. People claim that miners wont work for only transaction fees, which is a valid point, but it fails to consider the growth of BTC. By the time the mining rewards are 0 the transactions on the BTC network will be immense. Not to mention transaction fees may
be raised if necessary. The difficulty in mining 1 block is astronomical. As of December 2018 your chances of mining 1 block was roughly 1 in 7 trillion. This level gets adjusted every 2016 blocks or every 2 weeks approximately. The more miners that are competing with one another the more difficult the “problem” or Bitcoin mining becomes. It also works the other way as well. If miners decide to stop mining the difficulty will then decrease. Now if this wasn’t tough enough for miners, they must also come up with the hash faster than the other miners to receive a reward. This has a lot to do with mining equipment and how much you have. The more mining equipment (“asic miners” or application specific integrated circuit) you have the more hashes you can put out and you obviously would stand a better chance of solving the hash and getting the block reward over someone with 1 asic machine running. Bitcoin once could be mined via a personal computer or laptop, but this has now become impractical and not profitable with the new and faster asic mining equipment that was designed specifically for mining BTC. This mining equipment requires plenty of electricity and it isn’t cheap to operate the equipment. Electrical costs alone could cost more than your net profits from mining. This has caused many small time mining operations to close either temporarily until it becomes profitable to mine once again or entirely and sell off their equipment. We discussed this earlier, but when miners leave it makes the difficulty become easier. It’s a perfectly balanced system if you ask me.
Now there is another option if you want to mine but cant afford the 1000 asic mining machines needed to be competitive. You could join “cloud mining” which is essentially a group of individual miners that pool their hash power together to become competitive and it gives them a better shot at solving the hash. The profit in mining pools is divvied up depending on many factors, but the main factor would be the amount of hash power you add to the pool. So if I had one asic and my friend Phil has 10, he would receive a bigger payout than me thanks to his contribution (which is larger obviously) Mining pools have become a popular way for small time mining operations to become more profitable. This is how the reward system works for BTC miners.
Proof of work is the only true way to be decentralized as control is not centralized in a server somewhere, but instead is distributed across the globe in an immutable “blockchain” that is transparent and not reversible. Naysayers claim POW is inefficient and claim POW is susceptible to “51% attacks” Which is accurate to a degree. People point out coins like Ethereum Classic and Verge as examples of how a 51% attack can occur on the BTC network. This fails to take into consideration the fundamentals of BTC and why it is so difficult and unlikely to be attacked. So, every ten minutes (approximately) a block is produced by the mining process, and when the block is produced it is distributed lightning fast to nodes across the globe and the chain is updated. The speed one would need to work at to attack BTC is astronomical. And the likelihood of failure is likely. Too much risk. But, achieving this feat is easy with smaller chains like Ethereum Classic, but when you consider the difficulty involved when attempting to attack Bitcoin one must consider the cost in mining equipment and electricity which makes an attack on the BTC blockchain so unlikely. Why attack BTC when you can go after smaller chains for much less overhead costs and walk away with quite a bit (like with Ethereum Classic) Im not saying it will never happen, but it will take a lot of work. Every block that gets mined makes BTC more robust and secure along with hash power. People point to mining pools as a likely suspect for future attacks on BTC, but those mining via cloud would all need to agree to attack BTC, all the while needing over half the hash rate of the entire network. Every scenario involving a 51% attack on BTC is extremely difficult and costly. Proof of Work is the only consensus mechanism that can be considered truly decentralized. With that being said not all POW coins are decentralized. Bitcoin is a beautiful example of how decentralized Blockchains should function. Secure and decentralized.
Written by Tim Pace 2/5/2019
submitted by HeisenbergBTC to u/HeisenbergBTC [link] [comments]

BITCOIN DIFFICULTY ADJUSTMENT  Satoshi Nakamoto's Wallet  Market Analysis and Bitcoin News Bitcoin blockchain records mining difficulty record Bitcoin Difficulty Explained BITCOIN DIFFICULTY ANPASSUNG FÜHRT ZUM CRASH Bitcoin Mining Difficulty Hits Record High of 17.3 ...

The world’s first cryptocurrency, Bitcoin is stored and exchanged securely on the internet through a digital ledger known as a blockchain. Bitcoins are divisible into smaller units known as satoshis — each satoshi is worth 0.00000001 bitcoin. Bitcoincharts is the world's leading provider for financial and technical data related to the Bitcoin network. It provides news, markets, price charts and more. Bitcoin is a peer-to-peer decentralized digital currency. a new block is created. Until December 2012, the value of each block is 50 BTC (Bitcoins). The Bitcoin system is designed so that The bitcoin index value for the end of May 2020 amounted to approximately 9,437 U.S. dollars. The bitcoin price index is an average of bitcoin prices across leading global exchanges. However, after the current drop in difficulty, it has now become a lot more profitable to mine Bitcoin compared to rivals Bitcoin Cash and Bitcoin Cash SV. While 2018 has been predominantly bearish, since mid-November, BTC prices took an even larger tumble, falling 38 percent – which is apparently now squeezing out the less-profitable miners.

[index] [16907] [28718] [22861] [24922] [7878] [8938] [30296] [30598] [13781] [7042]

BITCOIN DIFFICULTY ADJUSTMENT Satoshi Nakamoto's Wallet Market Analysis and Bitcoin News

Bitcoin basics: What is the difficulty target and how does it adjust itself? - Duration: 7:12. Keifer Kif 4,486 views. 7:12. What is Crypto Mining Difficulty and How it Impacts YOUR Profits ... To calculate New Difficulty Target, take old difficulty target X 20160 minutes (which is amount of time in minutes for 2 weeks) Divided by the time in minutes of the last 2016 blocks. With Bitcoin mining difficulty hitting an all time high we look at whether this means that more accumulation for Bitcoin is due and that Altcoins will soar as a result. Forget the 'Summer of Love ... 01:18 Market Update 02:18 BTC Difficulty and Hash Rate Drop 05:01 Satoshi Nakomoto Won't Sell Bitcoin 07:28 eToro Market Analysis 10:59 Paxful in India 13:36 IOST NFT Collectibles and Mystery Box ... Bitcoin Mining Difficulty Hits Record High of 17.3 Trillion Techtalk **Disclaimer** Please be advised that the content of our media are intended FOR GENERAL INFORMATION PURPOSES not financial ...

Flag Counter