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Bitcoin what is it and is it still worth investing in 2017

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Bitcoin what is it?

Firstly this will be the single location where I post everything to do with my investment in BTC, I want to keep it in a central location so that you can easily come back and see updates. But as you see my progression the price of BTC will change, and it will change lots too, so if you want to just jump on the Bitcoin train then first head over to here, sign up (its free) and have a good read.

bitcoinBTC is a form of digital currency, created and held electronically. No one controls it. Bitcoins aren’t printed, like dollars or euros – they’re produced by people, and increasingly businesses, running computers all around the world, using software that solves mathematical problems.

It’s the first example of a growing category of money known as cryptocurrency.

What makes it different from normal currencies?

Bitcoin can be used to buy things electronically. In that sense, it’s like conventional dollars, euros, or yen, which are also traded digitally.

However, bitcoin’s most important characteristic, and the thing that makes it different to conventional money, is that it is decentralized. No single institution controls the BTC network. This puts some people at ease, because it means that a large bank can’t control their money.

Who created it?

A software developer called Satoshi Nakamoto proposed bitcoin, which was an electronic payment system based on mathematical proof. The idea was to produce a currency independent of any central authority, transferable electronically, more or less instantly, with very low transaction fees.

Who prints it? (Bitcoin)

No one. This currency isn’t physically printed in the shadows by a central bank, unaccountable to the population, and making its own rules. Those banks can simply produce more money to cover the national debt, thus devaluing their currency.

Instead, bitcoin is created digitally, by a community of people that anyone can join. Bitcoins are ‘mined’, using computing power in a distributed network.

This network also processes transactions made with the virtual currency, effectively making bitcoin its own payment network.

So you can’t churn out unlimited bitcoins?

That’s right. The BTC protocol – the rules that make it work – say that only 21 million bitcoins can ever be created by miners. However, these coins can be divided into smaller parts (the smallest divisible amount is one hundred millionth of a BTC and is called a ‘Satoshi’, after the founder of bitcoin).

What is bitcoin based on?

bitcoinConventional currency has been based on gold or silver. Theoretically, you knew that if you handed over a dollar at the bank, you could get some gold back (although this didn’t actually work in practice). But bitcoin isn’t based on gold; it’s based on mathematics.

Around the world, people are using software programs that follow a mathematical formula to produce bitcoins. The mathematical formula is freely available, so that anyone can check it.

The software is also open source, meaning that anyone can look at it to make sure that it does what it is supposed to.

What are its characteristics?

BTC has several important features that set it apart from government-backed currencies.

1. It’s decentralized

The BTC network isn’t controlled by one central authority. Every machine that mines bitcoin and processes transactions makes up a part of the network, and the machines work together. That means that, in theory, one central authority can’t tinker with monetary policy and cause a meltdown – or simply decide to take people’s bitcoins away from them, as the Central European Bank decided to doin Cyprus in early 2013. And if some part of the network goes offline for some reason, the money keeps on flowing.

2. It’s easy to set up

Conventional banks make you jump through hoops simply to open a bank account. Setting up merchant accounts for payment is another Kafkaesque task, beset by bureaucracy. However, you can set up a bitcoin address in seconds, no questions asked, and with no fees payable.

3. It’s anonymous

Well, kind of. Users can hold multiple BTC addresses, and they aren’t linked to names, addresses, or other personally identifying information. However…

4. It’s completely transparent

…bitcoin stores details of every single transaction that ever happened in the network in a huge version of a general ledger, called the blockchain. The blockchain tells all.

If you have a publicly used BTC address, anyone can tell how many bitcoins are stored at that address. They just don’t know that it’s yours.

There are measures that people can take to make their activities more opaque on the BTC network, though, such as not using the same bitcoin addresses consistently, and not transferring lots of bitcoin to a single address.

5. Transaction fees are miniscule

Your bank may charge you a £10 fee for international transfers. The BTC Crypto Currency doesn’t.

6. It’s fast

bitcoin

You can send money anywhere and it will arrive minutes later, as soon as the bitcoin network processes the payment.

7. It’s non-repudiable

When your BTC is sent, there’s no getting them back, unless the recipient returns them to you. They’re gone forever.

So, BTC has a lot going for it, in theory. But how does it work, in practice? Read more to find out how bitcoins are mined, what happens when a bitcoin transaction occurs, and how the network keeps track of everything.


 

A lover of all things tech, love all things that uses creative juices (not an innuendo) an avid blogger and part time vlogger, not stop reading and go check out some awesome posts on this site.

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Bitcoin investors hoping to make billions may end up with a sack of fool’s gold | Technology

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Sifting the Yukon river for gold was a waste of time for most of the 100,000 prospectors seeking to make themselves rich in the 1890s. The same can be said of the bitcoin miners who dream of striking it rich by getting their hands on some of the extremely lucrative and painfully elusive electronic currency.

Relatively few people have managed to decipher the codes needed to extract bitcoins from the 21 million locked inside the mathematical problems set by its creator, the software engineer whose true identity is unknown but who goes by the name Satoshi Nakamoto.

Those who have employed enough computer power and code-cracking know-how can consider themselves rich now that the value of one bitcoin has soared from $753 last December to around $10,000. The rest have deployed huge amounts of energy and time for no return.

Should anyone be worried about this turn of events? Or will it go down as a moment in history when an asset was mined, some people got rich and … that was it?

The ambitions of the bitcoin community mean the creation of a new currency must be taken more seriously. Its stellar rise in the last 18 months is likely to have sucked in thousands of speculators, many of them ordinary investors.

And with mainstream financial exchanges looking to host bitcoin as a tradeable asset, or list derivatives of bitcoin on their trading boards, thousands more will be sucked in over the next 18 months.

Where ordinary investors, hunting in large numbers, seek a return on their savings in a high-risk environment, governments are usually minded to regulate.

The idea behind bitcoin was that it should be like any commodity that, once discovered, became increasingly difficult to extract. Like gold, it would become a store of value and make those clever enough to find it and believe in it very rich.

The distributed ledger designed to make each bitcoin account secure and accountable without the need for third parties, like banks, to be involved became for many participants a potential template for all future deposit saving and trading.

To that end, it was also viewed as a replacement currency to the dollar, euro or pound – one that could not be manipulated by central banks, which are only too keen to print extra notes, and thereby devalue the currency, in times of trouble. It is a seductive package that has led many in the banking industry – those most under threat – to call it a fraud.

Goldman Sachs boss Lloyd Blankfein said so last week, adding his voice to JP Morgan’s Jamie Dimon.

Dimon described it as fraud that would ultimately blow up and said the desire to hide funds from regulators and the police meant it was only fit for use by drug dealers, murderers and people living in places such as North Korea. Blankfein was more concerned that its volatile price, which dropped 20% in less than 24 hours after topping $11,000 last week, disqualified it from being a sensible currency.

Sir Jon Cunliffe, a deputy governor of the Bank of England, summed up the view of many in the City when he said calmly that bitcoin was a sideshow and too small to pose a systemic threat to the global economy.

To cover his flank against accusations that the Bank, which is the UK’s chief financial regulator, was too dismissive of the issue, he also cautioned that bitcoin investors needed “to do their homework”.

No doubt all bitcoin investors think they have done their homework. And regulators probably think they have enough work to do. But while it is easy to say that a fool and their money are soon parted, anyone who interacts with the financial services industry is a potential victim. And, with this in mind, regulators should be ready to impose all the usual tools of misselling rules and compensation schemes on this freshly minted industry.

At the moment, bitcoin is having a free ride. The tipping point is close. Regulators should be prepared.

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Bitcoin Marketplace NiceHash Hacked – Over $64 Million Stolen

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The Bitcoin marketplace NiceHash has been hacked, and over $64 million dollars worth of Bitcoin has been stolen in a matter of moments.

On Wednesday, several NiceHash users reported some unusual activity in their BTC wallets, several of them found their wallets to be completely empty. Soon after these reports, NiceHash announced that it would be temporarily closing for maintenance.

12 hours after the service went offline for this maintenance, NiceHash released a statement saying that they had experienced a security breach which was compromising their payment services and that the service would continue to be closed for the next 24 hours while they investigated the situation.

source: thehackernews

Several users began tweeting NiceHash, saying that their money had been stolen.

“Either I got hacked or something is up,” tweeted Erik Callesen, showing an outgoing transaction of $56 million he claims to have not made.

NiceHash has not confirmed the total amount of Bitcoin that was stolen, however, CoinDesk has reported that as much as 4,736.42 in Bitcoins were stolen, which at the time of the report was worth over $62 million. With the jump that Bitcoin price has recently taken,

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USI Tech Bitcoin and how to easily invest in the growth (BTC)

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USI Tech Bitcoin (BTC)

So I first want to say welcome, we all may be pretty new to this but the learning curve is steep just like to price per BTC. So where do we go from here and what our the strategies that can be implemented to maximise our profit. We really need to ensure a few things first when we invest in anything thats classed as a volatile market (USI Tech Bitcoin)

  • Only invest in what you can afford to lose, you may hear this a lot but at the end of the day it is a volatile market, it just seems really good at the moment but this could all change in 1 day – lets say bitcoin managed somehow to get hacked, the algorithm was compromised and the price per BTC was pennies / dollars. The likelihood that this will happen is in my eyes minimal.

 

  • Have a game plan and stick to it, be real on what you would like your potential daily / weekly / monthly and yearly earnings to be, and aim for it. Do not get greedy and start investing what you really cannot afford (told you I would mention it again)

 


These posts will hopefully shed some light on my gameplay, hints and tips and how to best invest (USI Tech Bitcoin)but if you have some better ideas please comment below and lets all earn and grow together.

Why, well I want to be transparent and help others, but please also share your experiences too by commenting down below, let other users know how you plan to make the most of this opportunity.


My Game plan and current standings.

So as it stands today (7 Dec) and 2 weeks in. I have 23 packages, not purchased all at the same time, they have been staggered over the past 14 days – all of this information can be found on the back office of your USI Tech Bitcoin dashboard.

usi tech bitcoin

Don’t think that its too late to invest either, this is a massive misconception. You will see other users on groups with over 100, some over a 1,000 – THIS DOES NOT MATTER. The majority of your family and friends won’t invest a penny, and will not make a thing, but you have and you will make money.

So with these 23 active packages – what are my daily (mon-fri) earnings

Sweet we have a 0.0012 BTC daily return – ermm how much is that and what should I do with it. #Gameplan – So this daily pay is equal to £17.48 or $23.55 – my total investment has been around £950 or $1280 – as of right now I won’t be putting any more money in.

So lets see what we can do with these packages, and what you can do with yours. You have 2 options.

Option 1 (my choice)

Rebuy – This means that when I reach enough BTC to purchase another package I will grab another one and keep on doing that. Why – Well you will get 1%** daily on the package up to 140% and with the way BTC is heading at the moment it will be worth a lot more than you put in. So how many packages can I expect to have over the coming weeks and months.

This is our starting point

Working DaysReturn
of Capital
Active PackagesRebuy PackagesWallet TotalPackage
Total Value
Completed Packages
00.0858230.00000.08580

Lets jump to the magical 141 day point for the full 140% return on capital (ROC)

1410.00336910.00030.257423

 

Option 2 

We now now have 69 packages ! after 140 days, but we don’t have any money in our wallet, thats because we are 100% re-buying packages as soon as we have enough money. Makes sense right. We are using every single part of our earning to make more, lets not get too greedy, let see how much we will then earn after another 140 days of these package have been running, but lets start banking some money, lets not buy any more packages.

So after a further 140 days we will now have 0.3629 in our wallet (remember this figure when converted in to GBP / USD will solely depend on the current BTC value.

As of today 0.3629 equals £4594.41 or $6189.27 ! Now thats not a bad investment right.

You don’t have to wait a further 140 days to withdraw this either you can just take it out daily, as remember this is a daily pay to you !


My game plan is to reach 100 packages then place 70% in to my wallet and use 30% to purchase more package – whats yours.


I hope this post explained a few things, what would you like to see next, prefer a video, please ask me questions if you don’t fully understand something out and I will always find you the answer.


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