Preparing for the world of cryptocurrency: China version

In the past year, the cryptocurrency market has been hit hard by the Chinese government. The market was hit like a warrior, but the combo hit many cryptocurrency investors. Compared with the increase of a few thousandths in 2017, the market downturn in 2018 was overshadowed.

what happened?

Since 2013, the Chinese government has taken measures to regulate cryptocurrencies, but no measures have been taken compared to 2017. (Check out this article to analyze in detail the official notice issued by the Chinese government)

2017 was a landmark year for the cryptocurrency market, and it has gained all the attention and growth. Extreme price fluctuations forced the central bank to take more extreme measures, including banning initial coin offerings (ICO) and suppressing domestic cryptocurrency exchanges. Soon after, Chinese mining factories were forced to close due to excessive electricity consumption. Many exchanges and factories have moved overseas to avoid regulations, but they are still available to Chinese investors. Nevertheless, they still failed to escape the claws of the Chinese dragon.

In a series of government-led efforts to monitor and prohibit cryptocurrency transactions among Chinese investors, China has expanded the scope of its “Eagle Eye” to monitor foreign cryptocurrency transactions. Companies and bank accounts suspected of conducting transactions and related activities with foreign cryptocurrency exchanges will be subject to measures ranging from restricting withdrawal limits to freezing accounts. There have even been rumors in the Chinese community that more extreme measures will be implemented on foreign platforms that allow transactions between Chinese investors.

“Regarding whether there will be further regulatory measures, we will have to wait for orders from higher authorities.” On February 28, an excerpt from an interview with the head of the Chinese Public Information Network Security Supervision Agency of the Ministry of Public Security

why why why! ?

Imagine your child invests his savings in digital products (cryptocurrency in this case), and he/she cannot verify its authenticity and value. When the crypto bubble bursts, he or she may be lucky and get rich, or lose all. Now to extend it to millions of Chinese citizens, we are talking about billions of yuan.

The market is full of scams and meaningless ICOs. (I’m sure you have heard that someone sent coins to a random address and promised to double their investment and ICO, but that doesn’t make sense at all). Many savvy investors are spending for money, rather than caring about the technology and innovation behind it. The value of many cryptocurrencies comes from market speculation. During the cryptocurrency boom in 2017, you can participate in any ICO with famous on-board advisors, promising teams, or decent hype and be sure to get at least 3 times the investment.

The lack of understanding of the company and the technology behind it, coupled with the proliferation of ICOs, is the source of the disaster. Members of the central bank report that nearly 90% of ICOs are fraudulent or involve illegal fundraising. In my opinion, the Chinese government wants to ensure that cryptocurrencies remain “controllable” and not too large to fail in the Chinese community. China is taking the right steps towards a safer and more regulated world of cryptocurrency, despite its aggressive and controversial nature. In fact, this may be the best move the country has taken in decades.

Will China issue an ultimatum and make cryptocurrency illegal? I doubt it very much because it makes no sense to do so. Currently, financial institutions are prohibited from holding any encrypted assets, and individuals are allowed but prohibited from conducting any form of transactions.

A state-run cryptocurrency exchange?

In the “two sessions” each year (it is named because the two main political parties-the National People’s Congress (NPC) and the National Committee of the Chinese People’s Political Consultative Conference (CPCC) have participated in the first week of March At the forum, leaders gathered to discuss the latest issues and make necessary legal amendments.

NPCC member Dang Wang got involved in the prospect of a state-owned digital asset trading platform and launched an education project on blockchain and cryptocurrency in China. However, the proposed platform will require an authenticated account to conduct transactions.

“With the establishment of relevant regulations and the cooperation between the People’s Bank of China (PBoC) and the China Securities Regulatory Commission (CSRC), a standardized and efficient cryptocurrency trading platform will become a company raising funds (through ICO and investors holding its digital Assets and realize capital appreciation”, excerpts of Wang Pengjie’s speeches at the two conferences.

Towards a blockchain country

Governments and central banks all over the world are struggling to cope with the increasing popularity of cryptocurrencies. But what is certain is that everyone embraces the blockchain.

Despite the cryptocurrency crackdown, blockchain has gained popularity and adoption at all levels. The Chinese government has been supporting the blockchain project and adopting the technology. In fact, the People’s Bank of China (PBoC) has been studying a digital currency and has conducted analog transactions with some commercial banks in the country. It is still uncertain whether digital currencies will be decentralized and provide cryptocurrency features such as anonymity and immutability. Given that anonymity is the last thing China wants in their country, it is not surprising if it is just a digital yuan. However, as a close substitute for the RMB, digital currency will be subject to existing monetary policies and laws.

Zhou Xiaochuan, Governor of the People’s Bank of China. Source: CNBC

“A lot of cryptocurrencies have experienced explosive growth, which may have a huge negative impact on consumers and retail investors. We don’t like (cryptocurrency) products taking advantage of huge speculative opportunities to give people the illusion of getting rich overnight “. On Friday, March 9, Zhou Xiaochuan was interviewed.

In a media appearance on Friday, March 9, Zhou Xiaochuan, governor of the People’s Bank of China, criticized cryptocurrency projects that use the prosperity of cryptocurrencies to make money and stimulate market speculation.He also pointed out that the development of digital currency is technically inevitable

At the regional level, many Chinese cities are promoting blockchain projects to promote their regional growth. Hangzhou, known for its Alibaba headquarters, said that blockchain technology will be one of the city’s top priorities in 2018. The local government of Chengdu has also been proposed to build an incubation center to promote the adoption of blockchain technology in China. City’s financial services.

Local conglomerates such as Tencent and Alibaba have also established partnerships with blockchain companies or initiated projects on their own. Blockchain companies such as VeChain have also established multiple partnerships with Chinese companies to improve the transparency of China’s supply chain.

All clues indicate that China is working hard to establish a blockchain nation. China has always been open to emerging technologies such as mobile payments and artificial intelligence. From now on, there is no doubt that China will become the first country to enable blockchain. Will we see the fall of the Chinese government and let its citizens trade again? The market may be mature and less volatile, but it will definitely not appear in 2018.

What is an ICO in cryptocurrency?

ICO is short for Initial Coin Offering. When launching new cryptocurrencies or crypto tokens, developers provide investors with a limited number of units in exchange for other major cryptocurrencies, such as Bitcoin or Ethereum.

ICO is an amazing tool that can quickly invest development funds to support new cryptocurrencies. Assuming there is sufficient demand, the tokens that can be provided during the ICO can be sold and traded on cryptocurrency exchanges.

The Ethereum ICO is one of the most famous successes, and with our speech, the popularity of the initial token product is growing.

Brief history of ICO

Ripple may be the first cryptocurrency issued through an ICO. In early 2013, Ripple Labs began to develop the Ripple payment system and generated approximately 100 billion XRP tokens. They are sold through an ICO to fund Ripple’s platform development.

Mastercoin is another cryptocurrency that also sold millions of Bitcoin tokens during the 2013 ICO. Mastercoin aims to tokenize bitcoin transactions and execute smart contracts by creating a new layer on top of the existing bitcoin code.

Of course, there are other cryptocurrencies successfully funded through ICOs. As early as 2016, Lisk raised approximately $5 million in its initial coin offering.

Nevertheless, the Ethereum ICO conducted in 2014 may be the most prominent ICO to date. During its ICO, the Ethereum Foundation sold ETH at a price of 0.0005 Bitcoin each, raising nearly $20 million. As Ethereum leverages the power of smart contracts, it paves the way for the next generation of initial coin offerings.

Ethereum’s ICO, the secret of success

Ethereum’s smart contract system has implemented the ERC20 protocol standard, which sets the core rules for creating other compliant tokens that can be traded on the Ethereum blockchain. This allows others to create their own tokens that comply with the ERC20 standard and can be directly traded in ETH on the Ethereum network.

DAO is a famous example of the successful use of Ethereum smart contracts. The investment company raised $100 million worth of ETH, and investors received DAO tokens in exchange to enable them to participate in the governance of the platform. Sadly, DAO failed after being hacked.

Ethereum’s ICO and its ERC20 protocol outline the latest generation of blockchain-based crowdfunding projects through the Initial Coin product.

This also makes it very easy to invest in other ERC20 tokens. You only need to transfer ETH, paste the contract into your wallet, and the new tokens will appear in your account, so you can use them as you wish.

Obviously, not all cryptocurrencies have ERC20 tokens on the Ethereum network, but almost all new blockchain-based projects can initiate initial token issuance.

Legal status of ICO

Regarding the legality of ICOs, there is a bit of jungle there. In theory, tokens are sold as digital commodities rather than financial assets. Most jurisdictions have not yet regulated ICOs, so assuming that the founder’s team has experienced lawyers, the entire process should be paperless.

Even so, some jurisdictions are already aware of ICOs and are already regulating them in a similar way to the sale of stocks and securities.

As early as December 2017, the US Securities and Exchange Commission (SEC) classified ICO tokens as securities. In other words, the SEC is preparing to stop ICOs that they believe are misleading investors.

In some cases, the token is just a utility token. This means that the owner can simply use it to access a certain network or protocol, in which case they may not be defined as financially safe. However, stock tokens designed to increase value are very close to the concept of security. To be honest, most token purchases are made specifically for investment purposes.

Despite the efforts of regulators, ICOs are still hovering in the gray legal realm, and entrepreneurs will not try to benefit from the initial token issuance until a clearer set of regulations is implemented.

It is also worth mentioning that once the regulations reach their final form, the cost and effort required to comply with the regulations may make ICOs more attractive than traditional financing options.

Final words

For now, ICOs are still an amazing way to fund new crypto-related projects, and there have been many successful projects, and there are many more.

However, remember that everyone is launching ICOs these days, and many of these projects are scams or lack the solid foundation needed to thrive and make them worth investing in. Therefore, you should definitely conduct thorough research and investigate the team and background of any crypto project you might want to invest in. There are multiple websites that list ICOs, just do a search on Google and you will find some options.

Cryptocurrency security: Bitmarque review

If you are looking for a reliable digital asset custody service, you may want to check out Bitmarque. Starting in 2017, Bitmarque is a different cold storage solution without any points of failure.

The blockchain experts behind the service use military-grade security systems and secure offline wallets. They are trying to bridge the gap between insurance and cryptocurrency.

In fact, Bitmarque introduced a real and unique insurance for the cryogenic storage, which is a kind of consortium of investors.

In fact, the advantage of this new service is that it can reassure investors.

As far as cryptocurrency is concerned, the biggest problem facing currency holders is security. In other words, they are worried about losing digital currency. This is where Bitmarque rescues.

The company owns its own digital assets, many financial institutions and offline assets, which is why it is an insured custodian service provider for the only people who own cryptocurrencies.

Let’s take a closer look at this service.

What is Bitmarque?

As mentioned earlier, Bitmarque is a unique service because it provides an insurance custody service for cryptocurrency holders.

This service is a pure cold storage solution. It is a combination of multi-signature approval and smart contracts with deeper protection methods. This is why this system is insured by a powerful financial consortium. Therefore, it provides a financial alliance that can provide a high degree of security for your currency. Your deposit will be safe. You don’t need to worry about them.

How safe will your holding company be?

The provider uses military-level security protocols, offline systems and cold storage. To improve security, the system has been installed in secret locations around the world. In addition, they utilize many encrypted firewall layers to provide the highest degree of protection.

Since there are many approval systems, you can rest assured that no matter what threats there are, digital assets will not linger. Unless you agree, company employees or senior management will not have full access to your assets.

How does the service protect your digital assets?

If you are concerned about the protection of digital assets, please know that security protocols are as secure as those used by the military. The company’s technical solutions provide high-level encryption and security protocols. Using smart contracts and physical vaults located in different secret locations around the world can ensure that your digital assets are always in good condition.

Supported cryptocurrencies

You can deposit Litecoin and Bitcoin, but you can also contact Bitmarque to learn about other currencies. However, they do support other cryptocurrencies.

cost

If you want to join the service, you need to pay a one-time registration fee as well as a small monthly fee and bank transaction fees. For more information, you can contact Bitmarque.

Join without suggestions

Unless certain conditions are met, you cannot join without a recommendation. It is best to contact the company to discuss the matter.

Therefore, this is a brief review of Bitmarque. Hope this helps.

What is Bitcoin? Why is cryptocurrency so popular?

Bitcoin has always been a buzzword in the financial field. In fact, in the past few years, Bitcoin has exploded and many people and many large companies are now jumping on the Bitcoin or cryptocurrency trend, hoping to take action.

People know nothing about the cryptocurrency field and keep asking this question. “What exactly is Bitcoin?”

Well, for beginners, Bitcoin is actually a digital currency that is not controlled by any federal government. It has been used worldwide and can be used to buy food, beverages, real estate, cars and other items.

Why is Bitcoin so important?

Bitcoin is not subject to government control and foreign currency fluctuations. Bitcoin is backed by all (your) personal beliefs and is strictly peer-to-peer.

This means that anyone can use Bitcoin to complete transactions. The first thing they realize is that it is cheaper than trying to send money between banks or using other services that require sending and receiving money globally. many.

For example, if I want to send money to China or Japan, I will have to charge a certain fee from the bank, and that money will take hours or even days to get there.

If I use Bitcoin, I can easily complete Bitcoin transactions from my wallet, mobile phone or computer immediately without paying any fees. For example, if I want to send gold and silver, many guards will be required, which will require a lot of time and a lot of money to transfer gold bars point by point. Bitcoin can do this again with fingers.

Why should people use Bitcoin?

The main reason is because Bitcoin is the answer to these unstable governments and money is no longer as valuable as it used to be. The money we have now; the fiat currency banknotes in our wallet are worthless, and one year from now, it will be worth less.

We even see large companies showing interest in blockchain technology. A few weeks ago, a survey surveyed a small number of Amazon customers whether they would be interested in using cryptocurrency if they created an Amazon. The results show that many people are very interested in it. Starbucks even hinted at the use of blockchain mobile applications. Wal-Mart has even applied for a “smart packaging” patent, which will use blockchain technology to track and authenticate packaging.

In our lifetime, we have seen the way of shopping, watching movies, listening to music, reading books, buying cars, looking for houses, and now there are many changes in how we spend money and shopping. Cryptocurrency will continue to exist. If you haven’t, it’s time for everyone to fully research cryptocurrencies and learn how to make the most of this trend, which will continue to flourish throughout the time.

What you need to know about cryptocurrency trading robots

Are you particularly interested in cryptocurrency? Are you eager to learn more about the tools that can achieve the best trading? Therefore, you’d better set your sights on cryptocurrency trading robots. Sounds curious, right? In an era where bots seem to be able to find applications almost anywhere, it is no surprise that they have been implemented even in cryptocurrency trading. Let us learn more about these bots and clarify the key aspects.

Cryptocurrency (or cryptocurrency) trading robots are computer programs that allow you to buy and sell cryptocurrencies at the right time. They aim to bring profit to users and ensure that they will be at an advantage in the long run. The robot will carefully observe the market conditions and execute transactions according to a predefined algorithm. It should also be emphasized that you are free to set your own parameters, which will help in various transactions. The response speed of this kind of software is almost a thousand times that of human beings-therefore, its operating efficiency is impossible.

Crypto trading robots can be divided into many types. Among them, you can find trend-following robots, arbitrage robots and scalping robots. However, according to bitcoin.com, the most popular are arbitrage robots.

If you are primarily concerned with trends in the process of developing your strategy, then trend bots will come in handy. These robots can follow trends and decide when to buy or sell something profitable.

Extensions can help its users execute more effectively in horizontal markets. This means that “scalpers” (often referred to by these users) try to buy goods at lower prices and resell them at higher bargained prices.

As for arbitrage robots, they make profits by checking prices on multiple exchanges and using price differences.

Once or if you decide to try to apply cryptocurrency trading robots in practice, then you should consider which will be able to meet your business needs. Please note that all robots have different requirements in terms of software and hardware. Please consider all aspects before making up your mind.

After completing all the procedures, you can continue the installation process. In fact, you can get a trading robot through any of the following three options:

  • Free access through open source platform;

  • Obtain a paid version of the authorized robot;

  • Create a trading robot (provided that you have sufficient technical knowledge and skills).

After processing all the above details, you may have formed an opinion about the crypto trading robot. Nevertheless, let us review all their advantages in terms of humans.

  • Speed: There is no doubt that robots can run a hundred times faster than humans

  • Endurance: The robot can run 24/7 without interruption

  • Capacity: The robot can process gigabytes of data per second

  • 100% objectivity: robots are not easy to produce any form of emotion. They just do as required.

However, many experts believe that subjective thinking is required under certain circumstances, so that humans can outperform ruthless robots. But these are individual cases, and given the huge opportunities provided by robots, once you put them first, you are destined to become better.

As you can see, it turns out that cryptocurrency trading robots are very useful and versatile, allowing you to generate a lot of profits. Please keep in mind that in order to give full play to their effects, it is strongly recommended that you carefully check the details of the robot. Then, you will have ample opportunity to benefit from this ingenious technology.

What is cryptocurrency?

Cryptocurrency or cryptocurrency (Saxon cryptocurrency) is a virtual currency that is used to exchange goods and services through electronic trading systems without any intermediaries. The first cryptocurrency to start trading was Bitcoin in 2009, and many other functions have appeared since then, including Litecoin, Ripple, Dogecoin and other functions.

what is the benefit?

When comparing cryptocurrency to the money in the ticket, the difference is:

They are decentralized: they are not controlled by banks, governments and any financial institutions

Anonymous: Your privacy will be preserved when making transactions

They are international: an opera for everyone

They are safe: your coin is yours and no one else is using it. It is kept in your personal wallet with only non-transferable codes that you know

It has no intermediaries: transactions are carried out between people

Fast transaction: Remitting money to another country where they charge interest usually takes a few days to confirm; using cryptocurrency only takes a few minutes.

Irreversible transaction.

Bitcoin and any other virtual currency can be exchanged for any world currency

It cannot be forged because they are encrypted using a complex cryptographic system

Unlike currency, the value of electronic currency is governed by the oldest rule in the market: the relationship between supply and demand. He said: “Currently, its value is more than $1,000. Just like stocks, this value may fluctuate up and down.

What is the origin of Bitcoin?

Bitcoin is the first cryptocurrency created by Satoshi Nakamoto in 2009. He decided to introduce a new currency.

Its characteristic is that it can only perform operations within the network.

Bitcoin refers to currency and protocol, and the red P2P on which it relies.

So, what is Bitcoin?

Bitcoin is a virtual intangible currency. In other words, you cannot touch any of its forms like coins or banknotes, but you can use it as the same payment method as these coins or banknotes.

In some countries/regions, you can make money through the electronic debit card page, which allows currency exchange through XAPO and other cryptocurrencies. For example, in Argentina, we have more than 200 Bitcoin terminals.

There is no doubt that what makes Bitcoin different from traditional currencies and other virtual payment methods (such as Amazon coins, action coins) is decentralization. Bitcoin is not controlled by any country or private government, institution or financial entity (such as the Euro) controlled by the Central Government or the Federal Reserve Bank of the United States.

In Bitcoin control, users indirectly control real users through the exchange P2P (point-to-point or point-to-point). This structure and lack of control make it impossible for any institution to manipulate its value or cause inflation by producing more quantities. Its production and value are based on the law of supply and demand. Another interesting detail in Bitcoin is the limit of 21 million gold coins, which will be reached in 2030.

How much is Bitcoin worth?

As we have already pointed out, the value of Bitcoin is based on the relationship between supply and demand and is calculated using an algorithm that can measure the transaction volume and transaction volume of Bitcoin in real time. Currently, the price of Bitcoin is $9,300 (as of March 11, 2018), although this value is not that stable, and Bitcoin is classified as the most volatile currency in the foreign exchange market.