Project: Bitcoin -- Status: Bitcoin; NEM; Nexus; Safe Exchange; Stratis; Status; Syscoin | |
Psych
(OP) User ID: 71582760 Netherlands 05/27/2017 01:19 PM Report Abusive Post Report Copyright Violation | Appendix: An introduction to Bitcoin Bitcoin is a cryptocurrency and a digital payment system: invented by an unknown programmer, or a group of programmers, under the name Satoshi Nakamoto. It was released as open-source software in 2009. The system is peer-to-peer, and transactions take place between users directly, without an intermediary. These transactions are verified by network nodes and recorded in a public distributed ledger called the blockchain. Since the system works without a central repository or single administrator, bitcoin is called the first decentralized digital currency Bitcoin has been designed as a deflationary currency, so it has a strictly limited money supply of $21M. Broadly speaking, a deflationary currency is one that increases in value over time. Goods and services priced in a deflationary currency will therefore tend to reduce in price - all other things being equal. Bitcoin uses the metric system to denote amounts. 1mBTC is a thousandth of a bitcoin and is called a milli (like millimeter). 1µBTC is a millionth of a bitcoin and is called a mike (like micrometer). The smallest unit (8 decimal places) is called a Satoshi after the inventor of Bitcoin: Satoshi Nakamoto. In order to buy, sell or transfer bitcoins, first you need a wallet. A wallet is in essence a private key. The private key is a long string of characters. To make it easier, this string can be converted into 12 words, called seed words. You need the private key or the 12 seed words (and password) to access the wallet, so it's important to keep them in a safe place. From within the wallet you can generate public keys which you can give to others to receive money. Wallets come in different forms. • Online/Hot Wallet • Desktop/Hot Wallet • Offline/Cold Wallet • Hardware/Cold Wallet Wallets The simplest way to describe the difference between a cold wallet and a hot one is this: hot wallets are connected to the internet while cold wallets are not. Most people who hold digital assets have both cold and hot wallets because they are designed for different purposes. Online/Hot Wallet + Exchange: While convenient, the risk with online wallets is that you are not the only one in control of your wallet/private key. They can freeze you out of your own funds. Good to trade, but not for large/long term investments. Desktop/Hot Wallet: A desktop wallet is more secure than an online wallet because only you own, control, and are responsible for its security. The drawback is that desktop wallets generally don't support the altcoins you might be interested in, and it is still connected to the internet and therefore exposed to possible vulnerabilities. Offline/Cold Wallet: By far the most secure way to store a wallet. The private key is created using an offline wallet (private key) generator. The key is stored on a USB drive or written on a paper, and stored in a safe. Hardware/Cold Wallet: Using dedicated hardware for offline storage allows for storing multiple altcoins, and includes a verification process to prevent unauthorized transfers. You still would still have to store the private key or seed words in a different place in case something happens with the hardware, though. Exchange When you have set up your wallet, it is time to buy your first bitcoins. This is done through an exchange. Online wallets generally speaking include an exchange which allows you to buy and sell bitcoins from within the wallet. Offline wallet owners go to an exchange directly to buy or sell bitcoins. Tutorials Getting started with a desktop wallet and Bittrex The way I did it... 1: Install Electrum wallet. 2: Go to 'Receive' and request a public key. This key will be used to receive bitcoins. You can generate as many as you want to keep it organized. 3: Sign up to an exchange, suitable for you. E.g. best rates; most convenient payment method for you. I chose Bitonic because of its reputation, its rates, and because it allows me to pay through iDEAL. 4: Purchase bitcoin from the exchange. Use your public key for the exchange to send bitcoins to. Once purchased, and processed by the seller and blockchain, your bitcoins will show up in your wallet. 5: I use some of my bitcoins to buy other cryptocurrencies through the exchange Bittrex. This exchange supports lots of them. See the video below on how to transfer bitcoin to, and trade on Bittrex. Education Getting educated on Trading Babypips: [link to www.babypips.com (secure)] (tip!) Learn how to trade Forex using a demo account with Oanda, and apply it to trading cryptocurrencies using a trading platform like Coinigy. Digital Asset Market Capitalization How to research a digital asset When you find a digital asset you are considering investing in long term, it is important to understand the project and know the team behind it. Do your research because most projects look great on the surface, until you start digging into it. Start with: • Market Cap • Read their website, white paper, social media, and Slack channel • Check popular crypto related websites • Use Google (engine and trends) • Use YouTube and look for interviews with the CEO or developer(s), because you are not only investing in an idea, you are investing in the team executing it as well Questions you could take into consideration • Does it solve a world problem? • Does it have a real world use case? • Enterprise contracts in place? • Does it have a strong development team? • A growing community? • Is there at least an alpha application? (check GitHub) Utilities Online/Hot Wallet + Trading Platform: (use at own risk!) Bittrex: [link to bittrex.com (secure)] (tip!) Desktop/Hot Wallet Wallet: Electrum: [link to electrum.org (secure)] (currently using) Exodus: [link to www.exodus.io (secure)] (make use of Shapeshifter; expensive) Offline/Cold Wallet Wallet: Bitcoin paper wallet: [link to bitcoinpaperwallet.com (secure)] Hardware/Cold Wallet: Ledger ($70-$275): [link to www.ledgerwallet.com (secure)] TREZOR ($99): [link to trezor.io (secure)] KeepKey ($99): [link to www.keepkey.com (secure)] Compare wallets + security: Cryptocompare: [link to www.cryptocompare.com (secure)] Exchanges: (Compare) LocalBitcoins: [link to localbitcoins.com (secure)] (Compare) BittyBot: [link to bittybot.co] Bitonic: [link to bitonic.nl (secure)] (good rates; signed up and verified account within an hour) Bitstamp: [link to www.bitstamp.net (secure)] Shapeshift: [link to shapeshift.io (secure)] (no account needed, but expensive) Portfolio trackers: CoinTracking: [link to cointracking.info (secure)] Transactions: Blockchain (lookup tool): [link to blockchain.info (secure)] Charts: Trading View: [link to www.tradingview.com (secure)] (tip!) Coinigy [link to www.coinigy.com (secure)] (tip!) Daily FX: [link to www.dailyfx.com (secure)] BitInfo Charts: [link to bitinfocharts.com (secure)] Cryptowatch: [link to cryptowat.ch (secure)] Fiat Leak: [link to www.fiatleak.com] (watch the world currencies flow into BTC in realtime) Calculator: Percentage Calculator: [link to percentagecalculator.net (secure)] Coin Market Cap: [link to coinmarketcap.com (secure)] Price list, Supply & Market Cap: Coin Market Cap: [link to coinmarketcap.com (secure)] Coin Gecko: [link to www.coingecko.com (secure)] Mobile apps: Bitcoin Buzz News: Search for it Blockfolio: [link to www.blockfolio.com (secure)] (tip!) News: Bitcoin News: [link to news.bitcoin.com (secure)] Community: Slack: Search for it Bitcoin talk: Search for it Last Edited by Psych on 08/17/2017 09:09 AM |
Anonymous Coward User ID: 74967015 Brazil 05/27/2017 01:20 PM Report Abusive Post Report Copyright Violation | |
Psych
(OP) User ID: 71582760 Netherlands 05/27/2017 01:23 PM Report Abusive Post Report Copyright Violation | |
Anonymous Coward User ID: 74967015 Brazil 05/27/2017 01:25 PM Report Abusive Post Report Copyright Violation | |
Anonymous Coward User ID: 74940351 United Kingdom 05/27/2017 01:30 PM Report Abusive Post Report Copyright Violation | |
Psych
(OP) User ID: 71582760 Netherlands 05/27/2017 01:37 PM Report Abusive Post Report Copyright Violation | post the exact moment when you buy/sell...I'll follow with a small amount. Quoting: Anonymous Coward 74967015 I will. I will provide complete transparency. great thank you...it'll be fun. Very welcome. No doubt it will be fun. Excited that you'll follow along as well. Good stuff! Last Edited by Psych on 05/27/2017 01:50 PM |
Psych
(OP) User ID: 71582760 Netherlands 05/27/2017 01:46 PM Report Abusive Post Report Copyright Violation | Investing in bitcoin is a great idea, it has approximately 50% of the crypto currency market share. Quoting: Anonymous Coward 74940351 You should, if serious, look to invest a percentage into some other coins as well. Thanks. I definitely will. As you said, because of market share I want to pocket a few Bitcoins first but I will be looking to diversify. The market cap site gives me a nice list to investigate. Last Edited by Psych on 05/27/2017 01:50 PM |
Anonymous Coward User ID: 4222222 United States 05/27/2017 01:52 PM Report Abusive Post Report Copyright Violation | |
< DL >
05/27/2017 01:55 PM Report Abusive Post Report Copyright Violation | Im in the same boat, invested 10k over last few weeks. I set aside another 10k for metalpay's ICO yesterday, but that was a complete disaster, so I'll probably throw 5 at bitcoin and 5 at ethereum if there's another good dip today. |
Anonymous Coward User ID: 74959096 United States 05/27/2017 02:03 PM Report Abusive Post Report Copyright Violation | |
Anonymous Coward User ID: 74970120 France 05/27/2017 02:12 PM Report Abusive Post Report Copyright Violation | |
Anonymous Coward User ID: 74970120 France 05/27/2017 02:13 PM Report Abusive Post Report Copyright Violation | Im in the same boat, invested 10k over last few weeks. I set aside another 10k for metalpay's ICO yesterday, but that was a complete disaster, so I'll probably throw 5 at bitcoin and 5 at ethereum if there's another good dip today. Quoting: < DL > you need to understand that selling 1200 bitcoins is enought to make it crash down 200 or 300 usd. it's really too late to make a lot of money from bitcoin. small profit is realistic. |
Anonymous Coward User ID: 74959096 United States 05/27/2017 02:15 PM Report Abusive Post Report Copyright Violation | I'm completely new to all of this. I've gone as far as opening accounts on Kraken, and Coinbase. Coinbase is where I intend to purchase my first btc, unless someone can point me in a better direction. So far my experience with coinbase has beendecent, but their ID verification is annoying. Had to upload pics of my id several times before they'd give me verification. So far I've managed to link my debit card, but the fee for purchasing crypto with a debit card is 3.99%. This adds about $20 to the price of 1 whole bitcoin. Coinbase fee for bank transfers is better at 1.49%. This is the option I'm planning to use. ID verification for bank transfers require some additional steps like giving them your bank account and routing numbers. |
< DL >
05/27/2017 02:22 PM Report Abusive Post Report Copyright Violation | Im in the same boat, invested 10k over last few weeks. I set aside another 10k for metalpay's ICO yesterday, but that was a complete disaster, so I'll probably throw 5 at bitcoin and 5 at ethereum if there's another good dip today. Quoting: < DL > you need to understand that selling 1200 bitcoins is enought to make it crash down 200 or 300 usd. it's really too late to make a lot of money from bitcoin. small profit is realistic. After this next round of bitcoin, I'm focusing on etherium and other coins. |
Anonymous Coward User ID: 74975901 United Kingdom 05/27/2017 03:08 PM Report Abusive Post Report Copyright Violation | I deleted them because nobody was using them, you could do nothing with them. It was just a nice experiment. I can't give a rats ass, I would delete them right now because it is a farce, a scam and those with many bitcoins, good luck cashing them, the irs will find you, that is why they allow bitcoins, for the reaping when you cash out. |
Psych
(OP) User ID: 71582760 Netherlands 05/27/2017 03:53 PM Report Abusive Post Report Copyright Violation | Looking forward to following the thread. What's your jump in point? Quoting: Anonymous Coward 4222222 I will assess this on a daily basis. Ideally, we will see a classic Fibonacci retracement to the 1600-1800 range next week. I will pull the trigger in that range, provided my indicators are not showing showing any red flags. If panic erupts, the next stop could be the 1200-1300 range. I consider that unlikely, but not impossible as it would merely mean that the price would be going back to its original trend/channel. It would be a perfect and safe buying opportunity. Considering the price just met resistance after a run, the next few days are going to be interesting, and will determine the options. In the end, I am looking to buy below 2K USD, but of course the lower the better. |
Psych
(OP) User ID: 71582760 Netherlands 05/27/2017 03:58 PM Report Abusive Post Report Copyright Violation | Im in the same boat, invested 10k over last few weeks. I set aside another 10k for metalpay's ICO yesterday, but that was a complete disaster, so I'll probably throw 5 at bitcoin and 5 at ethereum if there's another good dip today. Quoting: < DL > What happened over there? I read their White Paper and while I thought it was poorly explained, as far as I understood it, I did like what they are trying to accomplish. If successful, It would result in a huge influx into cryptocurrency. |
Psych
(OP) User ID: 71582760 Netherlands 05/27/2017 04:06 PM Report Abusive Post Report Copyright Violation | OP, do you personally know anyone with more bitcoin knowledge than you? Quoting: Anonymous Coward 74959096 I don't, but I used to trade currencies and commodities and with the internet at my disposal I am confident I will wrap my mind around this pretty quickly. Priorities have shifted lately, and I am also getting back into Forex. |
Psych
(OP) User ID: 71582760 Netherlands 05/27/2017 04:16 PM Report Abusive Post Report Copyright Violation | if i follow your graphic to really make money from crypto currency you have to be in the case "innovators", else you won't really make a lot of benefice. Quoting: Anonymous Coward 74970120 it's just used as a currency on the internet. Indeed. The risk has increased significantly, but if cryptocurrency or rather Bitcoin is going where I think it could go, there is plenty of upside potential to make a good sum. Having said that: I will be looking to diversify, and pick up cryptocurrencies still in innovation phase, just in case. I think cryptocurrency will be used on the internet primarily as well, but unlike PayPal I do see potential for it beyond it. |
Psych
(OP) User ID: 71582760 Netherlands 05/27/2017 04:27 PM Report Abusive Post Report Copyright Violation | I'm completely new to all of this. I've gone as far as opening accounts on Kraken, and Coinbase. Quoting: Anonymous Coward 74959096 Coinbase is where I intend to purchase my first btc, unless someone can point me in a better direction. So far my experience with coinbase has beendecent, but their ID verification is annoying. Had to upload pics of my id several times before they'd give me verification. So far I've managed to link my debit card, but the fee for purchasing crypto with a debit card is 3.99%. This adds about $20 to the price of 1 whole bitcoin. Coinbase fee for bank transfers is better at 1.49%. This is the option I'm planning to use. ID verification for bank transfers require some additional steps like giving them your bank account and routing numbers. Watch out for Coinbase. I am reading mixed reviews on it. One major drawback which applies to all online wallets is that the wallet is in their possession, and they can freeze you out. I will use an offline wallet, both because I want to stay in control and for security purposes. The fees can be pretty high, indeed. Not just on your purchase, but also on your withdrawals. Can't avoid the fees completely, but there are better offers out there. |
Anonymous Coward User ID: 74976383 United States 05/27/2017 04:32 PM Report Abusive Post Report Copyright Violation | Looking forward to following the thread. What's your jump in point? Quoting: Anonymous Coward 4222222 I will assess this on a daily basis. Ideally, we will see a classic Fibonacci retracement to the 1600-1800 range next week. I will pull the trigger in that range, provided my indicators are not showing showing any red flags. If panic erupts, the next stop could be the 1200-1300 range. I consider that unlikely, but not impossible as it would merely mean that the price would be going back to its original trend/channel. It would be a perfect and safe buying opportunity. Considering the price just met resistance after a run, the next few days are going to be interesting, and will determine the options. In the end, I am looking to buy below 2K USD, but of course the lower the better. You poor bitter bastard. |
Anonymous Coward User ID: 74976383 United States 05/27/2017 04:35 PM Report Abusive Post Report Copyright Violation | Sorry OP, not you. Here is the correct poor bitter bastard. In the beginning when bitcoin was not heard of I tried mining it and after running a night I got exactly 98 bitcoins. Quoting: Anonymous Coward 74975901 I deleted them because nobody was using them, you could do nothing with them. It was just a nice experiment. I can't give a rats ass, I would delete them right now because it is a farce, a scam and those with many bitcoins, good luck cashing them, the irs will find you, that is why they allow bitcoins, for the reaping when you cash out. |
Ravenage
User ID: 73435446 United States 05/27/2017 04:37 PM Report Abusive Post Report Copyright Violation | I'm completely new to all of this. I've gone as far as opening accounts on Kraken, and Coinbase. Quoting: Anonymous Coward 74959096 Coinbase is where I intend to purchase my first btc, unless someone can point me in a better direction. So far my experience with coinbase has beendecent, but their ID verification is annoying. Had to upload pics of my id several times before they'd give me verification. So far I've managed to link my debit card, but the fee for purchasing crypto with a debit card is 3.99%. This adds about $20 to the price of 1 whole bitcoin. Coinbase fee for bank transfers is better at 1.49%. This is the option I'm planning to use. ID verification for bank transfers require some additional steps like giving them your bank account and routing numbers. Watch out for Coinbase. I am reading mixed reviews on it. One major drawback which applies to all online wallets is that the wallet is in their possession, and they can freeze you out. I will use an offline wallet, both because I want to stay in control and for security purposes. The fees can be pretty high, indeed. Not just on your purchase, but also on your withdrawals. Can't avoid the fees completely, but there are better offers out there. What do you think of bitstamp? (I'm interested in following along on your thread...especially if you decide to go for XRP...as I'm new to cryptos, but it ... XRP ... has my attention) Last Edited by Ravenage on 05/27/2017 04:37 PM "The fundamental question of our time is whether the West has the will to survive. ... Our own fight for the West does not begin on the battlefield — it begins with our minds, our wills, and our souls... Americans, Poles, and the nations of Europe value individual freedom and sovereignty. We must work together to counter forces, whether they come from inside or out, from the South or the East, that threaten over time to undermine these values and to erase the bonds of culture, faith and tradition that make us who we are. I am here today not just to visit an old ally, but to hold it up as an example for others who seek freedom and who wish to summon the courage and the will to defend our civilization." ~President Donald J Trump "...sometimes, you have to be a high-riding bitch to survive. Sometimes, being a bitch is all a woman has to hang onto." ~Vera Donovan "Pain or damage don't end the world, or despair or fucking beatings. The world ends when you're dead. Until then, you got more punishment in store. Stand it like a man-and give some back." ~Al Swearengen "Be polite, be professional, but have a plan to kill everybody you meet." ~Mattis |
Psych
(OP) User ID: 71582760 Netherlands 05/27/2017 04:37 PM Report Abusive Post Report Copyright Violation | In the beginning when bitcoin was not heard of I tried mining it and after running a night I got exactly 98 bitcoins. Quoting: Anonymous Coward 74975901 I deleted them because nobody was using them, you could do nothing with them. It was just a nice experiment. I can't give a rats ass, I would delete them right now because it is a farce, a scam and those with many bitcoins, good luck cashing them, the irs will find you, that is why they allow bitcoins, for the reaping when you cash out. I am glad you don't feel remorse. Regarding the IRS. I assume profits from cryptocurrency investments have to be reported like any other investments. Good point, though. Something I need to look into. Last Edited by Psych on 05/27/2017 04:40 PM |
Sir France's Beercan
User ID: 74967384 United Kingdom 05/27/2017 04:40 PM Report Abusive Post Report Copyright Violation | |
Anonymous Coward User ID: 74913574 Canada 05/27/2017 04:41 PM Report Abusive Post Report Copyright Violation | |
Xenophobe
User ID: 72371353 United States 05/27/2017 04:42 PM Report Abusive Post Report Copyright Violation | |
Anonymous Coward User ID: 74959096 United States 05/27/2017 04:42 PM Report Abusive Post Report Copyright Violation | |
Xenophobe
User ID: 72371353 United States 05/27/2017 04:46 PM Report Abusive Post Report Copyright Violation | In the beginning when bitcoin was not heard of I tried mining it and after running a night I got exactly 98 bitcoins. Quoting: Anonymous Coward 74975901 I deleted them because nobody was using them, you could do nothing with them. It was just a nice experiment. I can't give a rats ass, I would delete them right now because it is a farce, a scam and those with many bitcoins, good luck cashing them, the irs will find you, that is why they allow bitcoins, for the reaping when you cash out. I am glad you don't feel remorse. Regarding the IRS. I assume profits from cryptocurrency investments have to be reported like any other investments. Good point, though. Something I need to look into. Here's a little inside baseball on bitcoins and the IRS. Now, the IRS can pass any rule they damn well like, not having to base it on reality or logic, so this may not matter to them. However, this is a fact: Every bitcoin transaction, with the exception of selling bitcoins you mine yourself (which the IRS as zero ability to determine), is buying or selling of used goods. That't right. Bitcoin is not income. And it's as taxable as selling used clothing, that is, not at all. It's a bug hunt |
Waffles ™
User ID: 71445090 United States 05/27/2017 04:48 PM Report Abusive Post Report Copyright Violation | im not interested in jumping on a bandwagon created by the CIA.. I'll stick with tangible time tested investments like precious metals,,virtual super mario tokens is just as bad as FIAT Federal Reserve notes backed by nothing and worthless as real investments.. just a digital Ponzi scheme..if i want to gamble i'll go down to my local casino.. ------------------------------------- |