For many people the subject of Cryptocurrency is an enigma, it is shrouded in technical complexity, but just like any subject we can acquaint ourselves with the basic principles and arrive at a good understanding of it!
This is the objective of this little presentation, I am addressing people who are not familiar with the details and intricacies of ‘Cryptocurrency’, or the overarching technology of ‘Blockchain’.
If you speak with people who are closely involved with this area, they will tell you that the truly powerful part of this is ‘Blockchain’; it is the specialised database structure of Blockchain which enables the development of all the Crypto money types, but also many other applications which demand an absolute assurance of probity, guaranteed surety, and this can include such things as Voting, Surveys along with the monetary and banking aspects.
In order to understand just what Cryptocurrency is all about we need to investigate the core technology which enables these different currency types to actually function, and successfully be transacted in the ‘real world’; when this technology first appeared many among the ‘mainstream’ financial sectors dismissed it as being a ‘nerdy fad’, or something that hackers and Unix coders dabbled in, it was not taken seriously, with the present value of Bitcoin standing at $26,0173 USD these mainstream financial types have had to revise their opinion!
Today Bitcoin can be seen to have gained substantial acceptance, it has taken 11 years to arrive with substantial investors now taking Bitcoin very seriously indeed; a brief read of Forbes can confirm this.
Databases have been the core strength of the financial world for centuries, ‘Ledgers’ and spreadsheets record transactions and enable us to manage funds in a distinct and acutely focused way; of course databases in the digital context are familiar parts of computer networks, it is databases that underpin all aspects of the internet, and World Wide Web, if you can understand databases you can understand Cryptocurrency.
The Blockchain database is a very specialised type of database, it provides discrete containers (blocks) which have a designated capacity, once one container is filled with data (records of solved equations for example), the container is then closed off and a logical link is formed to connect with the next container to be filled. This sequential activity forms a ‘chain’ of completed data blocks which cannot be revised, or adjusted; if any attempt is made to ‘hack’ these completed blocks the entire network is made aware of this and that block would be rejected. The dispersed nature of the block-chain database provides surety.
So, we need to consider just what the Blockchain is doing here, it is providing a simple, secure opportunity to record transactions that is shared among the network; there is no single ‘authority’ or central store, and it is this dispersed quality of the database which offers us the value of absolute assurance.
Really the conceptual level of Blockchain is very simple, but as we know complexity is built on repetition of simple elements as we find in Fractals.
We can see that the financial industry is based on this very simple requirement of Surety, if we can offer people an absolute assurance that their money (whatever form this might take), can be moved and stored in total security we have a substantial opportunity for providing a service.
In terms of ‘Manifesting’ in the sense that we understand this as being the intelligent focus of our intentions, the Blockchain offers us a remarkable path to follow.
Because we know that the core, foundational source of what we are working with is absolute we can feel totally certain of our own intentions. This is very liberating.
Dependability is the one key requirement for anything in our society to take place, for any project or objective to be fulfilled we have to be able to depend on certain things being possible.
This is what the majority of people are seeking, we find that people as a whole want to feel a sense of guarantee.
In 2009 I remember this new type of currency being spoken about among the various niche groups online, it was greeted with great suspicion and doubt to begin with, which is very natural and to be expected when you think about it; a “coin” which you cannot touch or see, that is the result of CPU equation solving?
This is the most abstract of subjects, Bitcoin represented all that was obscure, hidden and ‘digital’!
It seemed also that this currency was created by a fictional character, some Japanese guy it seemed: Satoshi Nakamoto, are you kidding me, this sounds like someone made up the most ‘Japanese’ sounding names, it comes off as being like some kind of Troll, or high level joke!
No wonder there was so much scepticism surrounding Bitcoin, how could people get behind this as a serious type of currency?
However, Bitcoin persisted, and the level of interest grew in this new computer based system of creating and storing value; if things weren’t sketchy enough it seemed you could even ‘mine’ BitCoins using graphics cards and CPU’s in a combinations, this is actually where most of the interest grew, people were investing in elaborate rigs, trying to poach electricity however they could to operate these coin mining operations. You could make money out of electricity and computer work! Asian consortiums sprang up, and all kinds of back alley BitCoin creating groups emerged, it was all very clandestine and dubious!
But as time progressed it became more difficult to operate these BitCoin mining operations, the equations needing to be solved in order to build out the increasing number of ‘blocks’ on the network to produce these magic coins became increasingly abstruse and demanded greater, and greater computing power. The early mining rigs became useless and the ‘little guys’ were frozen out of the market.
[difficulty = difficulty_1_target / current_target] This is the equation of mining difficulty.
Meanwhile the value of one BitCoin seemed to be unstable, going up to $10,000 USD one week, then plummeting to $100. This did not bode well for the nascent new age currency. The history of BitCoin has been remarkably turbulent, and dynamic.
11 years is a very long time in relative terms, as far as the internet is concerned, 2009 to the present day, it represents one third of the entire age of the public internet/Web, and today BitCoin has ‘matured’ into becoming widely accepted, not only accepted but actively engaged with by some of the more serious financial communities in the world.
This should give you some pause, to consider what this could mean for you personally. I am not suggesting that you accept what I am telling you at face value, this should never be, but if you do some basic research and investigate this technology, this currency and the many other ‘Cryptocurrencies’ which are emerging you will be spending your time wisely!
I have a few ‘affiliate links’ on my site for Crypto, I am declaring this openly, but this is in the interests of building awareness and knowledge about this very significant development; it is entirely up to you if you find the offers valuable, you are not under any obligation whatsoever.
I always suggest caution to people who ask my advice, and opinions, like never invest any more than you can comfortably afford to lose in the event of your risk taking not paying off; there is always a risk involved with life, that is just the way this universe works.
I think that for anyone who is interested with Cryptocurrency BitCoin is the very best version to begin with, this is the most strongly established project and it has the backing of genuine financial markets, you only have to glance at the stock market to see this.
I can report that my own experience has resulted in a three-fold increase in my original investment, for example, just prior to Christmas I was running a little short of ‘fiat currency’ and I decided to sell off $250.00 worth of my inventory, not a big sum I know! Anyway, this dent to my inventory was very quickly ‘healed’ because the remaining store of BTC is now worth more than what I started out with, in a matter of 1 week!
Of course, you cannot depend on this happening continuously, but right about now is the best time to grab yourself some ‘Satoshis’, as time progresses and the BTC mining reaches the final number – BitCoin has a maximum ceiling, 21 Million, no more BitCoins can be produced once this is reached, nobody knows what will happen after this but you can be certain this will make BitCoin all the more desirable and valuable.
Those who own any quantity of BitCoin will be in a good position, so I suggest that you take a look at setting up an account on a reputable exchange, link your bank account, set up a wallet (backup your wallet regularly, and stash your key seed phrase in the safe), and acquire as much Satoshis as you can and HODL*
In my humble opinion BitCoin is one way that us little people can make some progress towards surviving in the unpredictable times ahead, I also suggest investing in Gold & Silver, diversification is always the wisest path, but Satoshis are definitely interesting!
*HODL is a misspelling of ‘Hold’ that BitCoin community people refer to on a regular basis, it just means hang on to your BitCoins and don’t be tempted to be reckless.
Whenever there is a genuine opportunity to profit there are always legions of unscrupulous people who are prepared to go to extreme levels in order to siphon off the funds of the unwary, Cryptocurrency has a lot of complexity, this means a lot of people will be preyed on!
I say this in the interests of your well being, don’t jump into anything which sounds much too good to be true; yes a certain opportunity does exist, especially with Bitcoin but also with other project coins, Etherium is also volatile.
The basic level of this is all about investing a certain quantity of your income into purchasing Bitcoin, avoid the more outlandish investment products, those which offer you ridiculous returns, there is profit to be made from the steady rise in value of Bitcoin; if major financial institutions are saying that Bitcoin will definitely increase in value, look this up, don’t just accept what I am telling you, read the more well known financial blogs and publications. Citibank have stated they think Bitcoin will reach $318 thousand United States dollars by the end of this new year, they are not the only ones. So the obvious conclusion is that investing your ‘Fiat’ currency in some Bitcoin is going to yield up to 10 times the value by the end of 2021, this is logical.
As I say, don’t be led astray by the hyperbole and the glitzy crooks who want to hook you into their little projects, exercise some caution, these are precarious times and we have to be on our guard, right? If you are not familiar with Cryptocurrencies just keep it simple, sign up to a well known exchange and just do a straight investment; study this industry and tread carefully.