This is the Second OT for discussing cryptocurrencies and blockchain technology that powers them. The original OT can be found here: Cryptocurrency |OT| A New ERA for Money.
This space will be for discussing all subjects related to the topic of cryptocurrency: investing, mining, buying/selling etc. The crypto space is generating a ton of new interest as more and more people hear about the latest bull runs in their favorite digital currencies.
So What is a Cryptocurrency?
Simply put, its a spendable, digital asset that is backed by a distributed ledger for verifying all transactions, known as a blockchain. The blockchain is verified by hundreds, or thousands of compute devices independently verifying each transaction, which prevents fraud within the ledger. Additionally, some cryptocurrency projects, like Ethereum go beyond simple value exchanges, offering smart contract features. These smart contracts create effecient, blockchain verifiable agreements in real time, that are traditionally covered by paper agreements (think a real estate sale).
Here are some good references for diving deeper into what cryptocurrency and the blockchain are:
https://blog.chain.com/a-letter-to-jamie-dimon-de89d417cb80
https://www.influencive.com/crypto-currency-basics-smart-contract/
https://en.wikipedia.org/wiki/Cryptocurrency
What are the biggest cryptocurrencies out there?
At the time of this writing, cryptocurrency has a $170 billion market cap, with dozens of notable currencies, and a ton of future growth anticipated. I'll name a few of the most popular ones here, but keep in mind there are many more with very enthusiastic communities and investors following them:
Bitcoin - The original and current big fish. Check out https://bitcoin.org for more info.
Ethereum - A platform designed to leverage smart contracts and applications on the blockchain. More info at https://ethereum.org/.
Litecoin - A spinoff of bitcoin created by former Coinbase engineer Charlie Lee. Litecoin is aiming to be used for small daily transactions, with quick processing and lower fees than Bitcoin. More info at https://litecoin.org/.
Monero: A cryptocurrency focused on ensuring privacy for all transactions on its blockchain. Bitcoin transactions can be tracked, which has led to the creation of privacy coins. More info at https://getmonero.org/.
Ark: A digital platform aiming to be an all-in-one enterprise blockchain solution. Holders of the Ark token can stake their coins with a delegate responsible for verifying transactions that will earn them interest payments. Visit https://ark.io to learn more.
Some other notable cryptos are: NEO, TenX, OmiseGo, Zcash, Ripple and Vertcoin, to name a few. Take a look at CoinMarketCapto view the full list of cryptocurrencies currently on the market.
Okay, I'm Interested. How do I buy some and what do I buy?
First, do your research. There are over 1,000 cryptocurrencies, with more being introduced every week. You do not want to get burned on a shitcoin with poor fundamentals and a bad team working on it. That said, Crypto is seen as the next big investment opportunity. If you play it smart, you can likely do well for yourself.
This Reddit thread has good tips for new investors: https://www.reddit.com/r/CryptoCurr...me_food_for_thought_for_new_crypto_investors/
There are many exchanges set up across the world that offer the ability to buy and sell cryptocurrencies:
Coinbase
GDAX
Bittrex
Gemini
Bitstamp
Kraken
HitBTC
Bitfinex
Poloniex
Binance
Once you've bought your coins, YOU NEED TO MOVE THEM TO A WALLET. There are many options our there including desktop app, web, smartphone app, and cold storage wallets. Don't leave your coins on exchanges! Doing so leaves them vulnerable to exchange hacks, which have happened in the past.
What about mining?
Mining is the process of utilizing a compute device to verify the blockchain ledger. Mined coins are the reward for lending ones computer resources to verifying the ledger. Many people are curious about doing it with their computer, but in many cases like Bitcoin and Litecoin, mining is now primarly done by specialized ASIC devices that are designed to get a superior hashrate and pull the most of the rewards.
There are some that are still GPU minable. Ethereum is one, though it will move to a proof of stake coin in the next year or two, which will end mining. Another minable coin with GPUs is Vertcoin. Vertcoin is ASIC resistant due to its hashing algorithm, and does well with Nvidia GPUs.
If you decide to mine, make sure to join a mining pool before firing up your GPU. You'll be better rewarded than trying to go solo.
Happy days ahead and HODL!
MOD EDIT RULES FROM PREVIOUS THREAD:
1. Don't self-promote discord servers that give you "inside" tips:
https://www.resetera.com/posts/2450947/
2. Going forward, sharing pump & dump discord links will result in a perma ban.
https://www.resetera.com/posts/2866235/
This space will be for discussing all subjects related to the topic of cryptocurrency: investing, mining, buying/selling etc. The crypto space is generating a ton of new interest as more and more people hear about the latest bull runs in their favorite digital currencies.
So What is a Cryptocurrency?
Simply put, its a spendable, digital asset that is backed by a distributed ledger for verifying all transactions, known as a blockchain. The blockchain is verified by hundreds, or thousands of compute devices independently verifying each transaction, which prevents fraud within the ledger. Additionally, some cryptocurrency projects, like Ethereum go beyond simple value exchanges, offering smart contract features. These smart contracts create effecient, blockchain verifiable agreements in real time, that are traditionally covered by paper agreements (think a real estate sale).
Here are some good references for diving deeper into what cryptocurrency and the blockchain are:
https://blog.chain.com/a-letter-to-jamie-dimon-de89d417cb80
https://www.influencive.com/crypto-currency-basics-smart-contract/
https://en.wikipedia.org/wiki/Cryptocurrency
What are the biggest cryptocurrencies out there?
At the time of this writing, cryptocurrency has a $170 billion market cap, with dozens of notable currencies, and a ton of future growth anticipated. I'll name a few of the most popular ones here, but keep in mind there are many more with very enthusiastic communities and investors following them:
Bitcoin - The original and current big fish. Check out https://bitcoin.org for more info.
Ethereum - A platform designed to leverage smart contracts and applications on the blockchain. More info at https://ethereum.org/.
Litecoin - A spinoff of bitcoin created by former Coinbase engineer Charlie Lee. Litecoin is aiming to be used for small daily transactions, with quick processing and lower fees than Bitcoin. More info at https://litecoin.org/.
Monero: A cryptocurrency focused on ensuring privacy for all transactions on its blockchain. Bitcoin transactions can be tracked, which has led to the creation of privacy coins. More info at https://getmonero.org/.
Ark: A digital platform aiming to be an all-in-one enterprise blockchain solution. Holders of the Ark token can stake their coins with a delegate responsible for verifying transactions that will earn them interest payments. Visit https://ark.io to learn more.
Some other notable cryptos are: NEO, TenX, OmiseGo, Zcash, Ripple and Vertcoin, to name a few. Take a look at CoinMarketCapto view the full list of cryptocurrencies currently on the market.
Okay, I'm Interested. How do I buy some and what do I buy?
First, do your research. There are over 1,000 cryptocurrencies, with more being introduced every week. You do not want to get burned on a shitcoin with poor fundamentals and a bad team working on it. That said, Crypto is seen as the next big investment opportunity. If you play it smart, you can likely do well for yourself.
This Reddit thread has good tips for new investors: https://www.reddit.com/r/CryptoCurr...me_food_for_thought_for_new_crypto_investors/
There are many exchanges set up across the world that offer the ability to buy and sell cryptocurrencies:
Coinbase
GDAX
Bittrex
Gemini
Bitstamp
Kraken
HitBTC
Bitfinex
Poloniex
Binance
Once you've bought your coins, YOU NEED TO MOVE THEM TO A WALLET. There are many options our there including desktop app, web, smartphone app, and cold storage wallets. Don't leave your coins on exchanges! Doing so leaves them vulnerable to exchange hacks, which have happened in the past.
What about mining?
Mining is the process of utilizing a compute device to verify the blockchain ledger. Mined coins are the reward for lending ones computer resources to verifying the ledger. Many people are curious about doing it with their computer, but in many cases like Bitcoin and Litecoin, mining is now primarly done by specialized ASIC devices that are designed to get a superior hashrate and pull the most of the rewards.
There are some that are still GPU minable. Ethereum is one, though it will move to a proof of stake coin in the next year or two, which will end mining. Another minable coin with GPUs is Vertcoin. Vertcoin is ASIC resistant due to its hashing algorithm, and does well with Nvidia GPUs.
If you decide to mine, make sure to join a mining pool before firing up your GPU. You'll be better rewarded than trying to go solo.
Happy days ahead and HODL!
MOD EDIT RULES FROM PREVIOUS THREAD:
1. Don't self-promote discord servers that give you "inside" tips:
https://www.resetera.com/posts/2450947/
2. Going forward, sharing pump & dump discord links will result in a perma ban.
https://www.resetera.com/posts/2866235/
