Hi Guys, I'd like to answer any of your questions on Crypto Currencies ฿ |⧫ |Ł

Hello everyone I'd like to answer any questions you may have on crypto currency. If you are trying to enter the market or you're trying to expand on your existing understanding, I can help.

There are a lot of misconceptions on what cryptocurrency is as well as what role blockchain plays.

Fire away the questions and i'll try to answer them!

 

What's the purpose of a blockchain? What IS a blockchain?

 

Great question! Block chain is essentially a ledger system which is meant to keep track of data such as transactions. It cannot be altered meaning once the transaction has occurred no one can deny it didn't happen or contest it's legitimacy. There are many use cases for this. Example real estate - Imagine in some parts of the world where the paper work can be altered if the govt is corrupt such as India for example. You buy a property in india and someone creates fake paper work on the same property and claims it to be theirs. The govt process and slow system makes it so you have to fight the case for generations to settle the dispute even if you have everything to prove the property is yours. But with blockchain you can immediately show the very moment the transaction has occurred which the other party cannot. Also in order to process the transaction in the first place, random people around the world have to give up a part of their computers processing power and "mine" for the crypto currency such as BTC (bitcoin) in exchange they get a small portion of the bitcoin as a reward and the transaction is complete after enough people have provided the mining and in doing so confirmed and processed the transaction has occurred (this is popular but not mandatory but for sake of discussion in this scenario they use it). So now you have 100 witnesses around the world who have confirmed the transaction has occurred which immediately defeats the conman who tried to steal your property with falsified documents.

Also The purpose of blockchain varies depending on it's use case in different sectors. Over all it's purpose it to wipe out the middle man. Why do you need a realtor to get commission off you when you and the seller can both just agree on the price and do a transaction (we call this a smart contract) and bam paper work is legitimately processed through the chain and you send the crypto over to them. Blockchain does not mean the data it keeps track of is not "hackable" as it is not a security. It is simply a permanent ledger keeping tack of events and assets which occur.

Another use case is to eliminate major middle men such as banks. Why should banks process your transactions and tell you where you can and cannot send your money and how much you can and cannot send when you can use crypto and blockchain to legitimize the transactions as thats what banks do anyways. They literally hold your money as a middle man just to say "yes he has x amount of money and now he is paying for x product or service, and I verify this occurred". This is flawed as even banks screw up and their transaction ledger is constantly edited and manipulated as there is room for human error but blockchain doesn't allow this as it is decentralized for most use cases.


SIMPLY PUT BLOCKCHAIN IS FOR THE NEW ECONOMY WHICH IS THE TRUST ECONOMY.

Let me know if this made sense

 

How can no one question a blockchain ledgers legitimacy?
How would they be able to provide a completely legit ledger? Like how is the information recorded on the ledger known to be 100% true?

 

No one can question it as no one can alter it. It is literally written in stone. (How ever in the case of bitcoins model it is susceptible to what we call a 51% attack. If someone managed to spend billions of dollars to have the majority processing power they would be able to alter a whopping one transaction haha but have no control of which. so they can use one bitcoin for two transactions even though in reality they would have needed 2 bitcoins )

Thats the thing no one is "providing a legit ledger". The ledger is constantly adding new transactions and the ledger is with everyone. so everyone has a version of the ledger not just one individual or a group of individuals. The information is known to be true as it has to be confirmed by a set number of computers processing the transaction (chosen at random around the world (they don't have control.)).

Its a vast network of computers processing parts of millions of different transactions randomly.

 

So if the transaction between you and me requires $1. I must have $1 in the first place and the ledger recognizes i have that and when i send it to you the ledger recognizes now you have it so I don't. It is all done through a unique decentralized ecosystem.

 

What is your personal opinion on the current market value of cryptocurrencies? And what do you believe will happen next years? which ones you think will survive?

 

My personal opinion on the current market value of cryptocurrencies is this is just the beginning. The current market value is nothing abnormal, just like how bitcoin can go to almost 20k and recede back to 6k just to go back to 8k. I believe there is a huge demand to get in on the action but the governments in the countries with lines of people waiting to get in on the action are preventing them from getting exposure to the crypto world. Only .006% of the world participate or know what crypto is. So think about that for a second. When people say bitcoin will be 100k it's not impossible it's simple economics. Supply and demand. Then calculate the fact that no one wants centralized banking as it is a fraud and scam to the people. The future of crypto is bright. Right now you can fit the market in the palm of your hands so you can see how big players can manipulate the prices.


In the next years more regulation will kick in making the governments okay with allowing more investors (everyday people and not just accredited investors like how they do in the US currently) to participate in investments when crypto's are vetted and deemed safe for investment.


As for which one will survive. We must consider their underlying technologies they represent. Each has it's own unique blockchain such and bitcoins blockchain and etherium's blockchain or EOS , etc.. So this is currently the blockchain war. The massively adopted tech will be the winner. Currently Etherium takes the lead as it is the underlying blockchain for many ICO's. This gives it leverage as it's being used in many industries through various ICO's. Also Bitcoin is basically ancient in terms of it's blockchain. It's not meant for massive adoption as in they can't launch ICO's ofof it. But however it's underlying philosophy and model with the addition of being the "grandfather currency" and it's massively successful marketing will give it a place in the future. As for the rest of them, only by how well its adapted and used in it's ecosystem will determine it's survival. Also we need to consider new coins with bigger advancements which may come in the near future. Don't judge the market by how much is being traded on exchanges. These exchanges frankly are manipulated for the most part. Also check out this ICO, it's a good example of what I mean by good use case and ecosystem for their crypto Aquaintel.io .

 

Thoughts on Tulip Mania?

Tulip mania - Wikipedia

 

I do believe they are similar but not the same. Tulip Mania was example of free market failure over a product of absolutely no substance. Crypto did see a massive spike but this is just the beginning.

Crypto has a actual use case and underlying technology in which it is meant to by pass middlemen like banking and financial controls by govt which manipulate the market place. It's purpose is to replace centralized banking and the same cannot be said about tulips. lol

 

Is crypto a scam?

 

What would you advise was the best investment for my money? If I was to buy £200 of a crypto per month via Coinbase, which would you chose and why?

 

No it is not a scam. Although a vast majority of beginner investors did lose, these are folks who came in 2017. The currencies failed due to lack of regulation and understanding of the market so we had more uneducated beginner investors for the first time and also they were sheep who just listened blindly and scammers took advantage of this swindled people out of their money. Now however there is less of that. the crypto market cap came down from 800 Billion to 200 billion. This is the perfect time to buy at low tide.

No it is not a scam if you do your due diligence and research.

 

I would say BTC has the biggest earning potential. Also if you are really into it you should try investing in strong ICO's you can 10x and in some cases 100-1000x your investment and usually these ICO's (initial coin offerings) issue their coin/token for .01-.25 and at time of ICO going public it's sold at .50 - $1.

 

What about longevity? I want to invest for my children.

 

If you are seeing crypto as an investment there is no official fund or brokerage yet to manage that type of long term crypto investments portfolio. Main reason being it is still so new but still volatile and yes lucrative. Think of it as when runescape if you're familiar with the game started. Party hat was dirt cheap and no one cared for it. But hind sight everyone wished they kept theirs. Similarly this is the case for Crypto it's too early to have charts or patterns to show where the trend or markets are headed. We'd need to wait at least 5 years for there to be investment products for crypto for longterm returns.

I do believe Bitcoin will hit 100k. So the safest one for now. If you want to get in early on a strong opportunity ICO let me know.

 

I disagree with BTC as being the biggest earning potential. Upon 2017, XRP was the biggest earner. BTC was the biggest earner when it was like .001 cents. NEO, If I remember correctly was the biggest earner actually. BTC would never be the biggest earner. It would always be an altcoin because of BTC has too big of a marketcap.

 

What are your thoughts about XRP?
If xRapid is launched in Q4 of this year, what is the expected price of it to be by the end of 2018

 

what would be the best crypto currenciues to invest in now for the winter spike?

 

If you're talking pump and dump, yes XRP was profitable but in terms of functionality. BTC is like a sponge. It is going to be playing a huge roll in the upcoming recession (more like depression) in two years time. Also in terms of retention BTC doesn't recede to extremes like XRP did. XRP's track record is for a span of few months while bitcoin has a record since 2009. NEO fits in with the ranks of ETH but as mentioned I am seeing this in terms of mass use and that will be appealing to a generic crowd is Bitcoin. I believe the XRP shouldn’t exist in the Ripple Protocol at all. I see no reason for that other than to make users buy XRP tokens thus inflating XRP’s price in the open market without really adding any value.