What is Bitcoin?
Bitcoin is an open source, p2p type of advanced (digital) cash. What precisely does that mean? With Bitcoin, we have a “people’s currency” out of the blue with no legislative or focal figure controlling things like inflation or loan rates. Bitcoin exchanges can’t be turned around or reversed, so clients can get payments without worrying about chargebacks and the expenses related with them. In the meantime, this element implies that you should be cautious with your coins; on the off chance that if you lose them, you can’t get them back. Since Bitcoin is shared i.e. peer to peer, charges for transactions are insignificant or even free.
Bitcoin takes a deflationary model. Just 21 million bitcoins are ever going to exist. There are no substitutions or replacements, so lost coins are gone permanently, making the supply much rarer. This implies bitcoins will really raise in value after some time, unlike to fiat money that loses value increasingly each year.
What is Blockchain?
Arguably more important than Bitcoin is the blockchain. The blockchain is the public ledger for Bitcoin, and keeps track of every transaction made. This is publicly available, and anyone can view it.
Numerous things can be based over the Bitcoin blockchain, for example, colored coins. These still have the security and essential features of Bitcoin, however they can represent totally unique things. Blockchain technology is still being explored by both software developers and entrepreneurs looking to build on the protocol and establish new products and services. Blockchain technology can shape the money related industry going forward and will prepare for new applications which engage individual clients.
Bitcoin’s system is kept up in a decentralized way, with everybody contributing. The ability for a single entity to control the network is discouraged, with someone needing 51% or more of the mining power to endeavor this. There is next to zero motivation for endeavoring to control the system because of the enormous cost of endeavoring to stage such an attack, and the way that there would be no advantage for the attacker.
Bitcoin isn’t designed to be a completely anonymous technology, but rather one that empowers individuals and allows them to take control of their own finances.
How to Use Bitcoin?
Before you can utilize Bitcoin, there are two things you require. Initially is a wallet. A wallet is an application that runs in the web, on your PC, or on your mobile phone. Wallets store your private keys and addresses. These are two crucial parts of what makes a bitcoin exchange work, so ensure you have a working and up to date wallet before continuing.
The second part you will require is bitcoin itself. There are a large number of approaches to get bitcoin, from getting them inside and out at exchanges to accepting them from sellling products or services.
Rather than utilizing names for payment, addresses are utilized which are long chains of characters used to distinguish an open key (public key) that is fixing to a private key used to spend funds.
52% of ICO’s failed in 2017
According to the data compiled by Fabric ventures and Token Data, 52% of ICO’s failed in year 2017, and only 48% of them were successful.
A Total of $5.6 billion was raised by ICO’s in 2017, making it the most beneficial year for ICO founders ever, although project success ratio has dropped.
Number of successful ICO’s in 2017 were 435 with average funding of $12.7 million
10 largest projects raised 25% of total ICO’s funding
worrying sign is that return on investment for new investors in the market is on downtrend.
Venture capital fund Fabric Ventures and cryptocurrency data provider TokenData shared the figure in their “State of the Token Market” report. 2017 saw a huge boom in companies raising money by issuing their own digital currencies, which are structured similarly to bitcoin, in return for funds to build their business. These “coins” can then be traded freely on online exchanges, offering greater liquidity to investors than traditional equity investment.
“More than $5.6 billion of capital was raised in 2017 according to the metrics used by the TokenData team,” the report says. “This compares to $1 billion of ‘traditional’ venture investing in blockchain startups in the same time frame and a ‘mere’ $240 million raised by token sales in 2016.”
Fabric Ventures and TokenData found 435 successful ICOs out of an attempted 913 last year — meaning just 48% were successful.
The average amount raised was $12.7 million but the report notes: “Collectively, the 10 largest sales raised close to $1.4 billion and roughly 25% of the total capital raised in 2017.”
Almost a third of funding went towards blockchain infrastructure projects. The biggest ICO of last year was Filecoin, a project to build a decentralized data storage solution based on the blockchain. The project raised $257 million in September.
The majority of people investing in these ICO projects have been retail or small-time investors but institutions are increasingly looking at ICOs due to their eye-catching returns.
Berlin: The Crypto Capital of Europe
When it comes to spending crypto currencies in real life, it seems that Berliners are way ahead of entire Europe in terms of usage of crypto currencies.
Guardian referred Berlin as Bitcoin capital of Europe back in 2013, and it seems like with the passage of time Berliners are getting more into crypto currencies.
Nowadays people can buy an apartment, book holidays, eat and drink in a number of trendy bars and even pay for further education using the controversial cryptocurrency Bitcoin.
One of the first universities in Germany to accept Bitcoin as a mean of payment is the European School of Management and Technology (ESMT). The ESMT Berlin EMBA is ranked highly in the world for career progress and first started accepting Bitcoin payments in December 2016.
Georg Garlichs, CFO of ESMT explains that Bitcoin is a decentralized virtual peer-to-peer currency and can now be used for all payments to ESMT. The institution also accepts Ethereum, Litecoin and Dash and many other cryptocurrencies as a form of payment. “Similar to an SMS, the digital currency enables worldwide money transfers within a few minutes without involving a bank. ESMT is an innovative and future-oriented business school,” says Garlichs.
Niels Göttsch is the owner of Leuchtstoff Kaffeebar in Berlin which introduced Bitcoin payments in 2012 and has been fascinated by cryptocurrencies for a very long time. Why? Göttsch explains the idea of having a currency that doesn’t need an authority and therefore cannot be controlled by any state or company as one reason.
“There’s no political decisions in there. The algorithm is transparent to everybody,” says Göttsch.
Göttsch explains the second reason is that nobody can control Bitcoin payments. “First it is pseudo-anonymous, it’s hard to track user data. Second is you don’t need a bank that charges random fees. It is international and can be transferred to local money in every country you are in.”
Leuchtstoff Kaffeebar also accepts Ether as a form of payment. Do many customers use the Bitcoin and Ether payment services? Göttsch says: “It was more in 2012. Now with the high fees it’s not that common anymore.”
Networking is key in the crypto scene and Berlin’s tech scene has a strong, vibrant community. Developers, anarchists, libertarians, cypherpunks and would-be entrepreneurs have all been rubbing shoulders at bars in Berlin where you can pay with Bitcoin and where everyone is open to talking about crypto.
32 Cryptocurrencies with market cap of over $1 Billion
Market cap is one of the most important indicators to know the worth of any cryptcurrency,Boom of 2017 in crypto market lead many crypto currencies to reach different milestones. One of the most important targets for any crypto currency is to reach the target of $1 billion, and that’s what happened with 32 cryptocurrencies.
According to coinmarketcap, there are 32 different cryptocurrencies with market cap of over $1 billion
Bitcoin and Ethereum leading the market cap
Bitcoin is still the most valuable crypto currency in the world with market cap of over $190 billion, followed by ethereum ($110 billion) , so both these crypto currencies hold more than $300 billion in market cap out of total $580 billion, so Bitcoin and Ethereum are leading the number game in crypto market.
Here’s the list of 32 crypto currencies with market cap of over $1 billion
- Bitcoin ($190 billion)
- Ethereum ($110 billion)
- Ripple ($50 billion)
- Bitcoin Cash ($27 billion)
- Cardano ($14 billion)
- NEO ($10 billion)
- Stellar ($9.8 billion)
- Litecoin ($9.7 billion)
- EOS ($8.1 billion)
- NEM ($7.9 billion)
- IOTA ($6.7 billion)
- Dash ($6 billion)
- Monero ($4.8 billion)
- Tron ($3.9 billion)
- Icon ($3.6 billion)
- Ethereum Classic ($3 billion)
- Qtum ($3 billion)
- BitcoinGold ($3 billion)
- Vechain ($2.8 billion)
- Lisk ($2.6 billion)
- RaiBlocks ($2.5 billion)
- Populous ($2.5 billion)
- Tether ($2.2 billion)
- OmiseGo ($1.7 billion)
- Stratus ($1.4 billion)
- Zcash ($1.3 billion)
- Steem ($1.3 billion)
- Bytecoin ($1.2 billion)
- Siacoin ($1.2 billion)
- Binance Coin ($1.2 billion)
- Bitshares ($1.1 billion)
- Verge ($1.1 billion)
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