Tag: bitcoin

All bitcoin related articles are found here. Educative, informative and written clearly.

  • Bitcoin use: The New Era Has Started!

    Bitcoin use: The New Era Has Started!

    Bitcoin use: The New Era Has Started!
    Who would use the fiat anymore

    By Guy Avtalyon

    I would like to tell you a few words about our global educational system. All over the world! They never teach us about even basic finance and who can expect now that people can understand and adopt something complex such is Bitcoin or any other crypto.

    What teachers taught us?

    My teachers taught me how interest was compounded.

    The reasons may not be so clear, but if banking history and monetary theory were taught in schools, no one would use the fiat system. Is so obvious. On the other hand, Bitcoin is a lot simpler than the fiat system, but people are legally compelled to adopt fiat.

    They are forced to! And it is globally. The situation is even worse than that. The people teaching youngsters these days have grown up under Keynesian economic theory  (also called Keynesianism). So, they strongly believe that money is defined as money only if you can touch it, smell it, or hear the sound of counting money.

    Keynesians cover different macroeconomic theories. They believe that in the short run, especially during recessions aggregated demand has a powerful influence on economics. Behind Keynesian theory stand the idea the governments should increase demand to boost growth. These economists believe buyers’ demand is the principal driving force in an economy. This theory promotes the expansionary fiscal policy. The theory strongly depends on government spending on infrastructure, unemployment compensations, and education. Well, the drawback of this theory is that overdoing Keynesian policies boosts inflation.

    It was very difficult for me a few years after Bitcoin came into my view to free my mind from its previous training.

    Ok, some people adopted new technology like ones who buy Android phones or some who run Linux as desktop. Some people are spoon-fed technology, like ones with iPhone or OSX.

    Anyway, I don’t expect people to understand.

    Bitcoin use

    Adoption of something doesn’t require understanding. We all use the internet in every segment of our lives but we can’t point our finger and say “Here! This is the internet!”

    If you ask someone how they understand that the universe is infinite and how they understand the meaning of infinite, you would be surprised by the answers.

    After all, I do not understand how the dishwasher works, but I still use it. Others can’t understand mobile phones or computers.

    But they are using that!

     

    So, use cryptos without fears.

    That’s why there is no excuse when I hear from someone that he does not understand how cryptos work. And how hard is to trade.

    OK, it takes intelligence, but no more than any traditional financial equity trade.

    Yeah, it takes basic finance knowledge to understand and invest but no further than average.

    People should know, if everyone learned about finances they would work and invest and become self-funded within 7 or 8 years even making minimum wage. C’mon, people, wake up!

    But I want to tell you.

    Bitcoin is making the biggest revolution in the finance industry in the last 200 years. Leading all cryptocurrencies, Bitcoin is at the forefront of the bleeding edge of blockchain innovation.

    I think it is necessary to stay patient and witness history first hand.

    Nothing can stop that!

  • What With Bitcoin After DEATH

    What With Bitcoin After DEATH

    1 min read

    Bitcoin after death

    Bitcoin after death! A bizarre topic, I know, I know, but shit can happen. Yeah? And no, of course, I don’t mean “death” of bitcoin, but miners and owners. I would like to ask you something.

    If something is virtual, can it be inherited after someone’s death? You know, it isn’t lol, that is a serious question.

    And unfortunately, it’s already happened.

    Bitcoin after death

    It happened to the family of a young man who died in his early 30th’s.

    A family of young men, Matthew Moody from California found themselves facing this problem. Namely, Matthew was one of the early miners of the cryptocurrency, or rather bitcoin. Then, when mining didn’t need special equipment, a dozen graphics cards and their own power plant in the basement. Time of crypto – pioneers.

    But Matthew died five years ago, and he also left behind the bitcoins. Nobody pays attention to it but as the value of bitcoins grew, his family wanted to take over them. And then there was a problem in front of them. There was no lawyer who can give them advice or help because inheriting bitcoins was a totally new area.

    Cryptocurrencies were an unknown area.

    The question is can the bitcoins be inherited?

    Matthew’s father tried to determine how much bitcoin left his son behind, but without the key to accessing a virtual wallet, it seemed like a mission impossible. The problem is that there is no rule to regulate what is happening with bitcoin (or any other virtual currency) after the death of the owner.

    Unlike them, the classic money deposited in the bank can be reached even after the death of the owner if you prove that you are a heir.

    In the case of bitcoin, there is no centralized body (which is the main advantage at the same time) that would solve such problems, and even the classic legal bodies actually do not know what and how to solve this problem. 

    The issue on legislation -What With Bitcoin After the death

    This will be one of the issues that legislators will have to deal with if they want to regulate crypts and their use in the future. Desiring that such bitcoins do not end up on garbage, stock exchanges dealing with the trade of cryptocurrencies are considering introducing the security mechanisms. They would be activated after the death of account owners, which would simultaneously allow the heirs to reach those cryptos.

    Some of the biggest brokers like CoinBase (and they are maybe unique), have established a kind of custodial service that keeps the user’s private keys. The same ones without which it is impossible to access the user account or wallet. 

    If something happens to the owner, those asks the successor for proof of death and inheritance in order to transfer funds to his heirs.

    But users are those who will ultimately have to take into account and include the inheritance of cryptos into their wills. Or at least notify family members that they own crypto and where it is stored.

    The point is, do not forget your cryptos and leave them out of your will. I mean, it’s smart to do this if you love your family.

    Including with the key, of course.

    You would like to read HOW TO MONETIZE BITCOIN

  • Freedom or Utopia? Leftist Or Left-leaning?

    Freedom or Utopia? Leftist Or Left-leaning?

                                        3 min read

    Freedom or utopia, what is Bitcoin?

    Freedom or utopia, fraud or bubble, you could hear that so many times.

    It was one of the worst months for stock markets. In one of its articles, CNN called that month “Red October”. The global economic crisis was in full swing. Right at the end of that month, October 31, 2008, a document titled “Bitcoin: A Peer-to-Peer Electronic Cash System” appeared on the internet, which on the eight sides briefly describes an entirely new type of money – Bitcoin.

    The origin of this document is covered with a veil of mystery. Some think that its creator deliberately waited for the existing financial system to fall into a deep crisis so that people would be more open to the alternative offered by him. Others think that the phenomenon of appearance is just in the midst of a financial crisis is just a coincidence.

    The only man who could solve this mystery, his creator, is himself quite mysterious. It is represented as Satoshi Nakamoto, but his real identity, as well as his location, stayed unknown, despite many attempts to discover who is behind the Bitcoin. Irrelevant. “Behind it” is only open and accessible to all program code.

    Bitcoin is a recipe, an idea, an algorithm. Freedom, not utopia.

    Freedom or utopia? It’s not a legal entity. So many qualifications, worse after a bad one. Is it important who actually was Pythagoras? Francis Bacon? William Shakespeare?

    The currency was created on January 2009, but in the first 16 months of its existence, nothing was actually paid with Bitcoins. Only on May 22, 2010, for the first time, something tangible was paid by Bitcoin. Specifically, Mr. Laslo paid 10,000 bucks for two pizzas that day.

    Since then, the Bitcoin community has been celebrating May 22 as “Bitcoin’s Pizza Day“. The big question is how much Laslo himself is for celebrating. He became part of the battle of history, but this entry in history cost him a lot. Those 10,000 Bitcoins at the time of writing this article worth more than $65 millions!

    After 9 years we are speaking about the social and political importance of Bitcoin.

    As a form of money, Bitcoin should be viewed in the context of changes in the global monetary landscape of Bretton Woods in the early 1970s. Since then, it has been increasingly difficult to manage national currencies, given the incredible growth of financial instruments produced by banks and other complex financial institutions operating in a global environment.

    These are the events Susan Strange spoke about in books, such as Casino Capitalism (1986), and Mad Money: When Markets Outgrow Governments (1998). She warned that the states, as a rule through central banks, were increasingly unable to control the circulation of funds by instruments that were specifically developed to deal with the risks that arose when the same countries abandoned the exchange rate control.

    Money, which she viewed through the classic definition of Georg Simmel as a “social deal”, was endangered by a series of sophisticated financial instruments designed to control global risks. It seems that many of these new instruments, such as derivatives, act in their own way as forms of money. In the revolutionary book Capitalism With Derivatives, Dick Bryan and Michael Rafferty later argued that derivatives were “a new type of money that now becomes an anchor to the global financial system.

    One cryptocurrency, such as Bitcoin, offers answers to many types of reviews of the monetary system as it is now configured – although the answers do not go in the same direction as criticism. Knowing all reasons that support Bitcoin, there are intriguing and obvious opposite political and ideological alliances around the cryptocurrency in general. That’s where the question Freedom or Utopia arise.

    IT BECOME TOO EXPENSIVE. ONLY RICH CAN AFFORD.

    Money with two decimals is only a historical consequence. It’s not a natural law that money must have only two decimals. Bitcoin is split into a hundred million parts. You can buy, for example, a thousand pieces of coin for 15 euros or dollars. Less than 1% of people on the planet can have more than one Bitcoin.

    AND THEN WHAT? WAITING FOR IT TO GROW, THEN TO SELL?

    Not. You have a chance that your old man did not have. To save something that no single dictator can deny you, a taxpayer or a perpetrator will be seized, the banking officer will refuse, forward it. Every day there is an ever-increasing and widespread payment facility. Wait till we’re exchanging parts of bitcoins at a local flea market.

    THIS IS A BUBBLE!

    Then pop it!

    Bitcoin has had 4 bubbles so far.

    The first was July 2010, when he jumped from $ 0.008 to $ 0.08.

    The other was the “Big Bubble 2011”, from $ 0.06 to $ 31, then dropped to $ 5.

    The third was in April 2013, from $ 20 to $ 280, when Cypriot banks rescued floating client deposits.

    The fourth was a major crisis of the MtGox Stock Exchange in November 2013 when it jumped from $ 70 to $ 1,200, and a few months later it fell to $ 200. 

    Bitcoin is, of course, now in the bubble, which is called the only freely unregulated market in the world. The multi-year trend of growth of Bitcoin values follows Metcalfe’s law on the value of the network. But on a small scale, this value is very volatile, as networks grow in bouts, and on each of them there is a struggle of fear and greed and a new disclosure of a fair price. Do not forget Keynes’s investment advice: “The market can remain irrational longer than you can remain solvent“.

    COUNTRIES WILL NOT ALLOW THIS GAME TO PLAY

    This argument more testifies to the inferiority of the one who pronounces it than about the power of governments. Here is a list of some state bans so far: the printing press, free elections, power-sharing, stripes, alcohol, sucrose, gramophone, gold, homosexuality, marijuana, pornography. 

    So, will we really need to talk about Freedom or Utopia? Now, after all?

    Only the governments and the banking cartel can try to morally outline the idea in the hope that most of us will believe: terrorism, pedophilia and, of course, the favorite oppressive law, the successor to Socrates‘ defect of youth, his predicate highness: money laundering.

    But, without most of us, these are just paper dragons. Don’t forget the first lesson about an enlightened man from the Renaissance period: You are not the object of history, you are the subject that changes it.

    When in 2000, Lars Ulrich ( Metallica) was tearful in front of the Senate Board for his intellectual property in the Napster case, a coder called as an expert, warned the US government: “Forbid Napster, and something more horrible will appear.”

    They turned it off.

    And that same month, they received a BitTorrent protocol, which today is, among other things, an inevitable part of the Bitcoin protocol.

    For, as Victor Hugo said, “No army can stop an idea whose time has come.”

    Attempting to ban Bitcoin is just as an attempt to ban swearing or a word for dots.
    Bitcoin isn’t utopia, it is freedom.

    Do you agree? 


  • Financial Freedom – Viva La Crypto!

    Financial Freedom – Viva La Crypto!

    2 min read

    The cryptocurrency revolution is financial freedom and  independence


    The religious wake up in the morning and thank God they are alive.

    Unlike them, I wake up and thank the internet for the generous bounty it has given us.  I do this not to be intentionally sacrilegious, rather because more than anything else, I believe in the Digital Redemption and the hope it brings humanity.

    And while I absolutely love my friends Wikipedia, Facebook, Amazon, Reddit, and my sexy late-night mistresses Netflix and YouTube, it is none of them who have granted me such faith. 

    It is because I have seen the Sign, the crypto.

    Do understand, what we are witnessing in our lifetimes is the first peep of sunlight in a bright new era of freedom and unlimited access. What a time to be alive, isn’t it?

    To me, the Sign is as clear as day and I’m of course referring to the cryptocurrency revolution.

    Financial freedom is the appearance of the crypto

    In a WSJ Op-Ed written in late November 2017, FCC Chairman Ajit Pai said the Internet is literally “the greatest free-market success story in history” and (Great Scott!) does this resonate with me.

    So far, the digital revolution has laid the groundwork to exchange information, goods, and services globally and freely which has empowered billions by granting them access to what anyone needs to succeed: access and opportunity.

    Unadulterated, uncensored freedom.

    By all logic, cryptocurrency IS the final piece of the free-market puzzle. 

    Bitcoin and other currencies are the keys to create true economic equality by creating a decentralized currency free of government control thus empowering the little guy.

    Power to the people, certainly. That is financial freedom. 
    Financial freedom
    Just think, the heavenly Cloud opens up will lead to her people and create the Promised Land right here on our planet, where Earth used to be.

    Just like the proverbial battle between good and evil, I too hear about how the governing institutions of old are trying to block out the impending sunrise by stealing users’ personal information for political and financial gain and by dangerously bringing into question net-neutral access to the World Wide Web.

    I know that it’s only a matter of time before we, as collective humanity, liberate ourselves from the towel covered birdcage we find ourselves in and come into the light.

    This is why I smile every time I turn on my laptop and see my stake in various cryptocurrencies or articles on the subject.

    The economic revolution has already begun its course and I get to be a part of it.

    What’s my point?

    I am by no means endorsing switching entirely to crypto and abandoning investment in other types of assets. Forex, ETFs, mutual funds and other investment are good products for the time being in the reality of our world’s economy.

    All I am saying is that by building a portfolio and COMPLETELY ignoring cryptocurrency, it’s like you’re trying to get on the expressway in a Ford Model T.

    Sure the car’s got a reputation, four wheels, and an engine but, man, are you going to look stupid when it eventually breaks down on the side of the highway or knocked off the road by someone in a Prius who was texting.

     

    Financial freedom is the revelation of more possibilities

    Understanding and investing in crypto is how I plan on being a part of the economic revolution. I implore you, my dear reader, for your own sake, learn as much as you can about crypto and don’t laugh it off as a passing fad because it is not going away any time soon.

    The economic revolution is afoot and you can either be a part of it or get left on the side of the highway feeling dumb.

    Up to you!

    Read this too MONETIZING BITCOIN – THE TECHNOLOGY BEHIND BITCOIN AND ITS USES

    Risk Disclosure (read carefully!)