In a simplified way, we can define this parameter as the resistance to mine a certain crypto.

The importance of the hardware

To an inexperienced eye, it may seem that the value of extraction of a hardware is constant over time, but certainly,it is not. For hardware there are two aspects to keep under control:

1. the wear of components over time (which diminish their performance)
2. the constantly increasing extraction difficulty.

If the algorithm remain the same,why the difficulty increases? The answer lies in the concept of blockchain data mining itself.

When we try to extract crypto we enter into competition, for the resolution of a block and then to be paid, with other miners.This implies that, especially in the short term, luck has a significant weight. The higher number of more people thattry to extract a cryptocurrency, the higher the difficulty will be. In other terms, it will be more difficult for us to achieve results.

Mining Bitcoin

Equally intuitive is to understand that the increase of miners focusing on one crypto rather than another often relates to its increase in price. Blockchain data mining of Bitcoin, for example, has become a real “challenge” because we are going to collide with big entrepreneurs. Mainly in China, who even rented Boeing 747 to bring faster components to their “Farm”.

Another parameter to keep in mind is that the technological world is constantly evolving. Therefore, buying a hardware that has been present on the market for some time may not be a disadvantage. When a more performing solution comes out, our results could be far lower.

For more information on the world of cryptocurrencies read the other articles on our site.

L'articolo Blockchain data mining: what is the difficulty? proviene da Crypto Age.

 Cryptography

When we talk about mining we refer to the activity carried out using specific hardware. These thanks to a high-energy consumption can solve the complex mathematical calculations. These calculations hide behind the cryptography of our cryptocurrencies and thus allow to “coin new coins” adding new blocks to the blockchain chain.

The mining activity, especially for Bitcoin, in the last 2 years has had a crazy increase that continues to rise in conjunction with the currency’s increase in price.

Why mining attracts so much?

Because it actually consists of a passive income. This activity infact allows having a fixed monthly income without spending the whole day to dedicate it. However, this is a highly technical area and therefore before embarking on this world one must be aware of the various implications.

Several Cryptocurrencies, many different algorithms

First thing to know is that now there are several cryptocurrencies, many of which have different cryptographic algorithms. For each algorithm,a specific type of hardware offers best performances. For example, for the Bitcoin,  specific solutions for the corresponding algorithmcalled Antminer exist since several years.

Secondly, the initial investment to make is considerable.

The expenses

The main expenses to face for those who want to enter this world are essentially two:

1. The expenses concerning the hardware. After the last yearboom, several components (such as NVIDIA or AMD video cards) are almost impossible to find and the price increased in many cases by 70% or 80%. Furthermore, must take into account the cost for secondary components such as the cooling system and all theaccessory components. Consider also that the average life of components is between 24 and 36 months, because the intensive usage leads to premature wear.
2. The cost of electricity. This vary a lot, depending on the country of residence.

Blockchain mining explained

For a first rough calculation on the profitability of mining, there are several sites. Whattomine is currently the most accurate. However, it is important to point out that the calculations are highly variable, according to price and algorithm difficulty.

L'articolo Blockchain mining explained: all the key aspects proviene da Crypto Age.

Pro

The points we consider most interesting about this project are essentially four.

1. Many ICOs, due to their nature, lay on projects without even foundations. Spectrocoin is the only one that allow buying the token bnk. It already boasts over 500,000 subscribers and, since 2014, it showed to be a solid Exchange.
2. If the market will continue to grow steadily governments will decide to regulate this sector. Now there is no specific regulations. If this should happen, surely an innovative bank could represent the right compromise to favor both users and states. Bankera prospects the blockchain in financial markets.
3. The team is young but with a respectable background. Among the project’s advisors, there is the founder of NEM (xem). Nem is a very stable crypto that is constantly in the top positions for market capitalization. Two MPs, including the European Antonhy Guoga, known as Tony G and famous for being a professional poker player.
4. ICObuyers will receive a weekly payment (you can choose whether to receive it in Nem or Ethereum). In the specific, Bankera pay dividends among the holders based on the amount of tokens held. It pays 20% of the profit that Spectrocoinearnings weeklyearn.

Cons

Among the negative points we can consider the high number of tokens (they will total 25 billion). However, the project certainly requires by its nature a very large number of coins. This subdivision made it possible to keep a low price. It give everyone the opportunity to buy. The price in fact went from 0.01 of the pre ICO to about 0.02 currently. Bankera has already raised 100 million euros to date.

Conclusion of blockchain in financial markets

Bankera is a long-term project. The turning point for the success or failure of the project will be in 2019. At this time a bank license will be required to operate in the EU.

L'articolo Blockchain in financial markets: Bankera proviene da Crypto Age.

What is a Bitcoin

Bitcoin is a cryptocurrency born in 2009.

Anonymous creator known under the pseudonym of Satoshi Nagamoto. The concept of cryptocurrency (based on cryptography) introduces important innovations in the financial sector. Indeed, it is the first decentralized payment system, whose value depends exclusively on market rules (supply / demand).

Does Bitcoin have an actual value?

The lack of an actual bitcoin value is one of the criticisms that is most moved to this project. First, it is worth to notice that noweven the value of fiat coins. Simply, the laws of market establish the value of this money and therefore the so-called “holders” people.

How can I buy Bitcoins?

There are now several exchange platforms, which once registered and after having confirmed your identity. These platforms allow you to exchange different currencies in bitcoins and with different payment methods: bank transfer, credit card.

Do I have to buy at least one of it?

No, it is a fractionable currency. Specifically, the units are the “satoshi” (named after the inventor of bitcoins) which correspond to 0.00000001 BTC.

Is Bitcoin a bubble?

Probably yes, just like all the great technological innovations of the last years – including internet itself. It is not necessarily a bad thing, as important innovations often generate high interest. Currently, because of the lack of association with precious materials but having only nominal value. We can consider every payment system we use daily a bubble.

Is Bitcoin a Ponzi scheme?

Absolutely no. The pyramid schemes offer gains to new entrants in varying percentages on invested capital. Until new people continue to enter the scheme by providing liquidity to pay for those who had previously entered. When the system is saturated and there are no new entrances, everything falls. Bitcoin does not guarantee anything to anyone, who invests to speculate, does it at his own risk. Moreover, the success of the operations does not depend on the system but simply on the market.

How Bitcoins are created

Extraction is the process to create Bitcoins. ASICS systems are currently very popular. That are able to solve the mathematical problems deriving from cryptography. Moreover, they add new blocks of currency to the system. However, it requires a high-energy consumption.

You can find all the information you need about cryptocurrencies on our site.

L'articolo Bitcoin: The most frequently asked questions proviene da Crypto Age.

What are Altcoins

Bitcoin was the first crypto introduced in the market. Over the years have developed many other projects, among the most famous Ethereum, Ripple etc. To today, there are over 1.500 cryptocurrencies. You can check the present valuation on many websites but the main is coinmarketcap. Generally the first coins in the coinmarketcap ranking are the top altcoins.

How cryptocurrencies work

The concept of digital currency is not so innovative because even FIAT currencies (i.e. euro, dollar, yen, etc.) are mostly traded digitally. Nevertheless, the crypto bases on the innovative blockchain technology system. This technology guarantees decentralization of the system because it DOES NOT depend on physical persons but on unalterable mathematical rules. The advantages of this type of system are various.

How many bitcoins will be extracted

The maximum amount of bitcoins that will be available on the market is 21 million. Analysts estimate that the last bitcoin will be coined around the year 2140. The resource scarcity is one of the best features of bitcoin, so much to compare it to gold.

Earn with bitcoin and other cryptocurrencies

Especially in the last two years, the market has been strongly bullish. It has seen an exponential growth in the value of several coins. There were annual increases of over 30.000% (see Ripple, one of top altcoins in 2017). That is why you have to invest consciously and always keep the risks in mind.

What is an ICO?

ICO stands for Initial Coin Offer is a public offer through which any person can invest in a project that he considers valid. An ICO allows entering a project in the early stage. In the past, many ICOs have given different satisfactions to those who have supported them. However, following the wave of enthusiasm in recent times there are hundreds of ICO. Unfortunately, many of these are attempts of fraud. Therefore, you must always be aware of what you are investing in. An ICO can become a top altcoins only if it has a solid and serious project.

What is a wallet?

You will find it written in many places that a wallet is the portfolio in which to keep your coins. This is not properly correct. The wallets are keychains. It keep your private keys safe, allowing you access to your funds. There are different types: mobile, hardware, software paper and everyone has different characteristics. In this world, you are your own bank. Therefore, you must absolutely worry about all the aspects related to security of your money. So if stolen nobody will refund you.

You can find all the information you need about cryptocurrencies on our site.

L'articolo Top altcoins: frequently asked questions proviene da Crypto Age.

Ethereum vs Bitcoin

As we said here, Bitcoin is a system to transfer value. Ethereum (ETH) instead is a decentralized platform that allows developing smart contracts. Infact, if we simply define Eth a cryptocurrency, we commit a mistake. This is one of the reasons because should I invest in ethereum.

What is the advantage of a smart contract?

Smart contracts let us introduce a concept that is fundamental for the informatics: the condition. Indeed, fulfilling certain conditions we unblock the activities envisaged by the smart contract. These contracts have another important feature: they are decentralized. Therefore, there is no need for a physical person to verify thatthe contract is terminated but the blockchain guarantees the validation.

Ethereum: simply more than a cryptocurrency

On the Ethereum platform is possible to develop a new cryptocurrency.  Moreover, it is also possible to start the ICO that allows us to develop our idea. All the tokenscreated on this platform will be an ERC-20 token. This information is important, for example to choose the cryptocurrency wallet.

Features of Ethereum blockchain

Currently, just like with Bitcoins, the miners guarantee the validation of transactions with the “proof of work” method. In the 2018, there will be some important updates on this platform, such as a different validation method called “proof of stake”. This system use a kind of “fuel” called Gas to pay the miners and validate the transactions.

Conclusions

Ethereum is a project with significant growth margins throughout 2018. One of the major points in favor is certainly the excellent development team members, in particular the founder Vitalik Buterin. Perhaps, the only cons point is that, compared to Bitcoin, Ethereum lacks a maximum supply.

L'articolo Should I invest in ethereum? Absolutely proviene da Crypto Age.

Take advantage of a fork

First, we must point out that there are two types of fork: soft and hard fork.

Soft forks do not give chances to have a gain. Indeed, it consists in a bockchain update, without the generation of new coins.

Hard forks instead create a new chain and consequently new coins, from a certain point ahead. The operation is similar to the one described for airdrops.

How can I get new coins?

The procedure is not always the same. First, we need to be sure that official and reliable channels have announced the fork. Secondly, we need to verify that the wallets or exchanges on which we keep the tokens have joined the fork.

How can I gain with the fork?

There are mainly two strategies to follow.

Usually, the fork announcement generates a strong peak due to all the people that want to receive the new coins.

It can be a good idea to sell the owned position right before the fork and realize the percentage of profit. In other cases, if the project of a new generatedcoin seems interesting, we can wait for the fork.

It is important to know that, after a fork, there is a dump in sales.This is due to those who wanted to get the new coins.

Conclusions

Hard forksare probably one of the best opportunities to gain with cryptocurrency. However, there is not a “best strategy”, butit depends on what we really care about getting in the specific case.

If you want more information on the world of cryptocurrencies, keep up to date by following our website.

L'articolo Cryptocurrency: the opportunity of today proviene da Crypto Age.

Bitcoin as currency

Bitcoin is the first crypto currency, created by the famous and mysterious Satoshi Nagamoto. This project opens the doors to the fantastic world we live today. It is a currency because its main purpose is to transfer value from one subject to another. Moreover, we talk about “crypto” as it is based on cryptography that guarantees security. So make a bitcoin investment equivalent to invest in a currency.

How to make a bitcoin investment

There are different ways to make a bitcoin investment. To invest you need to buy a certain number of coins. Mainly there are two ways of buying: wallet and exchange. The wallet allows you to keep coins on your PC or mobile phone. The exchanges are born as platforms for trading. In recent times they have evolved allowing the creation of portfolios. With exchange wallets we have the ability to instantly convert our coins into other currencies. For other currencies we mean not only virtual but also Euro and Dollar.

Blockchain

The main innovation brought by Bitcoin is the technology on which it is based, called blockchain. The blockchain is a “chain of blocks” in continuous evolution. In fact, a block is added to the rest of the chain once completed with a total number of transactions validated by the work of the miners (for a deepening on mining go to our dedicated mining section).

Nobody can  remove in any way a validate transaction in the Ledger. Furthermore, all nodes in the network have a copy of the transaction, so the system can easily detect a fraud attempt.

Advantages

The Blockchain offers also the great opportunity to give up, during a transaction, the need of an intermediary.  This is because the trust needed to guarantee the transfer is provided by known and non-modifiable mathematical algorithms. This brings numerous advantages, or better cancels all the disadvantages that the human component involves in this area.

L'articolo Bitcoin investment: why is it so important? proviene da Crypto Age.

 The project Dash

Dash is a crypto currency that aims to enable digital transactions of coins quickly and safely. From this point of view, it can be a Bitcoin competitor. Moreover, as Bitcoin, it uses the POW (Proof of Work) for the transactions’ confirmation, which gives the possibility to mine this currency.

Mining

Given the complexity of the algorithm, we recommend to mine this currency with a powerful GPU. Specific equipment is available on the market, just as for bitcoins. Antminer d3 is certainly one of the most efficient products in this sector.

Buy dash cryptocurrency

DAO structure

The crypto “Dash” introduces important innovations. The first is certainly the project structure, named DAO, which provides three separate entities:

1. miners (45%)
2. master nodes (45%)
3. treasure (10%)

Master-nodes (MN) are holders of a wallet with at least 1,000 Dash. They have a fundamental role within the community.

Treasure supports the necessity for updates and the rewards to developers.

Instant send and private send

The type of structure that includes the MN has some advantages also from the functional point of view. In the case of Dash, there is an “instant send” and a “private send”.

Instant send

In the “instant send”, there are 5 confirmations that occur in about 2 seconds. In this way the transaction costs are amortized.

Private send

“Private send” uses an innovative process. This process mixes your input with the inputs of other people. Your coins are not moved from the wallet. So this ensures maximum security and maximum privacy.

Conclusion

This crypto currency represents a very solid project that presents several interesting news.

However, remember the first rule of the crypto world: perform a thorough research on the various projects before buying virtual coins. So we can say that the safest method to buy dash cryptocurrency are the desktop wallets. Finally pay close attention not to share the secret key of your wallet with anyone.

L'articolo Buy dash cryptocurrency: focus on the payments industry proviene da Crypto Age.

The objective

Speaking about Neo, it is more correct to talk about a project and not crypto money. This is because just like Ethereum, it represents a platform on which is possible to develop smart contracts. Neo coin gave itself the ambitious goal of competing with Ethereum.

Neo coin and Gas coins

The first thing to say about this project is that there are two cryptographic currencies. The Neo coins have all been premiered by the developers and are crypto non-divisible. So they can be purchased only for whole units. The seconds are the Gas coins, created instead by the generation of new blocks, with a maximum quantity of 100M for both crypto coins.

Neo vs Ethereum

It is easy to understand that  the token used for transactions and used to remunerate those who validate the blocks is Gas. From this point of view, there are two different figures. The coin holders, which are simply those who hold Neo, and the consensus nodes, which must be voted by the firsts to become such.

As mentioned, the objective of this project is the development of smart contracts as in Ethereum. However, while Ethereum uses a specific programming language for its platform (i.e. Solidity), in Neo it is possible to use more common and simpler languages like Java and C #.

Future improvements

The different protocols planned for this project are interesting too.

NEOX aims to give the possibility to make transactions between different blockchains. Surely a complex and ambitious goal that could represent a big news.

Other protocols are NeoFS (Neo File System). This aims to create a database distributed within the blockchain, and NeoQ, which instead aims to protect the system from potential attacks by quantum computers.

Blockchain technology today represents a secure and almost inviolable system. So in the future could be subject to attacks by quantum computers. Although this is a hypothesis still far in time. It is appreciable that a project can move in a preventive manner.

Conclusions

Neo maybe  a great project, first because with the wide diffusion of crypto world, platform-based projects can have a great success for the whole 2018. Secondly, the possibility of simply holding this crypto to receive a passive income through the Gas seems an excellent opportunity too. On Neo’s official website there is a calculator to evaluate the exact revenues per year.

Finally you can find more information on the world of cryptocurrencies on our site.

L'articolo Neo coin: a Chinese competitor of Ethereum proviene da Crypto Age.