Bungled Bitcoin ATM theft in ‘meatspace ... - Market Insider

Bob The Magic Custodian



Summary: Everyone knows that when you give your assets to someone else, they always keep them safe. If this is true for individuals, it is certainly true for businesses.
Custodians always tell the truth and manage funds properly. They won't have any interest in taking the assets as an exchange operator would. Auditors tell the truth and can't be misled. That's because organizations that are regulated are incapable of lying and don't make mistakes.

First, some background. Here is a summary of how custodians make us more secure:

Previously, we might give Alice our crypto assets to hold. There were risks:

But "no worries", Alice has a custodian named Bob. Bob is dressed in a nice suit. He knows some politicians. And he drives a Porsche. "So you have nothing to worry about!". And look at all the benefits we get:
See - all problems are solved! All we have to worry about now is:
It's pretty simple. Before we had to trust Alice. Now we only have to trust Alice, Bob, and all the ways in which they communicate. Just think of how much more secure we are!

"On top of that", Bob assures us, "we're using a special wallet structure". Bob shows Alice a diagram. "We've broken the balance up and store it in lots of smaller wallets. That way", he assures her, "a thief can't take it all at once". And he points to a historic case where a large sum was taken "because it was stored in a single wallet... how stupid".
"Very early on, we used to have all the crypto in one wallet", he said, "and then one Christmas a hacker came and took it all. We call him the Grinch. Now we individually wrap each crypto and stick it under a binary search tree. The Grinch has never been back since."

"As well", Bob continues, "even if someone were to get in, we've got insurance. It covers all thefts and even coercion, collusion, and misplaced keys - only subject to the policy terms and conditions." And with that, he pulls out a phone-book sized contract and slams it on the desk with a thud. "Yep", he continues, "we're paying top dollar for one of the best policies in the country!"
"Can I read it?' Alice asks. "Sure," Bob says, "just as soon as our legal team is done with it. They're almost through the first chapter." He pauses, then continues. "And can you believe that sales guy Mike? He has the same year Porsche as me. I mean, what are the odds?"

"Do you use multi-sig?", Alice asks. "Absolutely!" Bob replies. "All our engineers are fully trained in multi-sig. Whenever we want to set up a new wallet, we generate 2 separate keys in an air-gapped process and store them in this proprietary system here. Look, it even requires the biometric signature from one of our team members to initiate any withdrawal." He demonstrates by pressing his thumb into the display. "We use a third-party cloud validation API to match the thumbprint and authorize each withdrawal. The keys are also backed up daily to an off-site third-party."
"Wow that's really impressive," Alice says, "but what if we need access for a withdrawal outside of office hours?" "Well that's no issue", Bob says, "just send us an email, call, or text message and we always have someone on staff to help out. Just another part of our strong commitment to all our customers!"

"What about Proof of Reserve?", Alice asks. "Of course", Bob replies, "though rather than publish any blockchain addresses or signed transaction, for privacy we just do a SHA256 refactoring of the inverse hash modulus for each UTXO nonce and combine the smart contract coefficient consensus in our hyperledger lightning node. But it's really simple to use." He pushes a button and a large green checkmark appears on a screen. "See - the algorithm ran through and reserves are proven."
"Wow", Alice says, "you really know your stuff! And that is easy to use! What about fiat balances?" "Yeah, we have an auditor too", Bob replies, "Been using him for a long time so we have quite a strong relationship going! We have special books we give him every year and he's very efficient! Checks the fiat, crypto, and everything all at once!"

"We used to have a nice offline multi-sig setup we've been using without issue for the past 5 years, but I think we'll move all our funds over to your facility," Alice says. "Awesome", Bob replies, "Thanks so much! This is perfect timing too - my Porsche got a dent on it this morning. We have the paperwork right over here." "Great!", Alice replies.
And with that, Alice gets out her pen and Bob gets the contract. "Don't worry", he says, "you can take your crypto-assets back anytime you like - just subject to our cancellation policy. Our annual management fees are also super low and we don't adjust them often".

How many holes have to exist for your funds to get stolen?
Just one.

Why are we taking a powerful offline multi-sig setup, widely used globally in hundreds of different/lacking regulatory environments with 0 breaches to date, and circumventing it by a demonstrably weak third party layer? And paying a great expense to do so?
If you go through the list of breaches in the past 2 years to highly credible organizations, you go through the list of major corporate frauds (only the ones we know about), you go through the list of all the times platforms have lost funds, you go through the list of times and ways that people have lost their crypto from identity theft, hot wallet exploits, extortion, etc... and then you go through this custodian with a fine-tooth comb and truly believe they have value to add far beyond what you could, sticking your funds in a wallet (or set of wallets) they control exclusively is the absolute worst possible way to take advantage of that security.

The best way to add security for crypto-assets is to make a stronger multi-sig. With one custodian, what you are doing is giving them your cryptocurrency and hoping they're honest, competent, and flawlessly secure. It's no different than storing it on a really secure exchange. Maybe the insurance will cover you. Didn't work for Bitpay in 2015. Didn't work for Yapizon in 2017. Insurance has never paid a claim in the entire history of cryptocurrency. But maybe you'll get lucky. Maybe your exact scenario will buck the trend and be what they're willing to cover. After the large deductible and hopefully without a long and expensive court battle.

And you want to advertise this increase in risk, the lapse of judgement, an accident waiting to happen, as though it's some kind of benefit to customers ("Free institutional-grade storage for your digital assets.")? And then some people are writing to the OSC that custodians should be mandatory for all funds on every exchange platform? That this somehow will make Canadians as a whole more secure or better protected compared with standard air-gapped multi-sig? On what planet?

Most of the problems in Canada stemmed from one thing - a lack of transparency. If Canadians had known what a joke Quadriga was - it wouldn't have grown to lose $400m from hard-working Canadians from coast to coast to coast. And Gerald Cotten would be in jail, not wherever he is now (at best, rotting peacefully). EZ-BTC and mister Dave Smilie would have been a tiny little scam to his friends, not a multi-million dollar fraud. Einstein would have got their act together or been shut down BEFORE losing millions and millions more in people's funds generously donated to criminals. MapleChange wouldn't have even been a thing. And maybe we'd know a little more about CoinTradeNewNote - like how much was lost in there. Almost all of the major losses with cryptocurrency exchanges involve deception with unbacked funds.
So it's great to see transparency reports from BitBuy and ShakePay where someone independently verified the backing. The only thing we don't have is:
It's not complicated to validate cryptocurrency assets. They need to exist, they need to be spendable, and they need to cover the total balances. There are plenty of credible people and firms across the country that have the capacity to reasonably perform this validation. Having more frequent checks by different, independent, parties who publish transparent reports is far more valuable than an annual check by a single "more credible/official" party who does the exact same basic checks and may or may not publish anything. Here's an example set of requirements that could be mandated:
There are ways to structure audits such that neither crypto assets nor customer information are ever put at risk, and both can still be properly validated and publicly verifiable. There are also ways to structure audits such that they are completely reasonable for small platforms and don't inhibit innovation in any way. By making the process as reasonable as possible, we can completely eliminate any reason/excuse that an honest platform would have for not being audited. That is arguable far more important than any incremental improvement we might get from mandating "the best of the best" accountants. Right now we have nothing mandated and tons of Canadians using offshore exchanges with no oversight whatsoever.

Transparency does not prove crypto assets are safe. CoinTradeNewNote, Flexcoin ($600k), and Canadian Bitcoins ($100k) are examples where crypto-assets were breached from platforms in Canada. All of them were online wallets and used no multi-sig as far as any records show. This is consistent with what we see globally - air-gapped multi-sig wallets have an impeccable record, while other schemes tend to suffer breach after breach. We don't actually know how much CoinTrader lost because there was no visibility. Rather than publishing details of what happened, the co-founder of CoinTrader silently moved on to found another platform - the "most trusted way to buy and sell crypto" - a site that has no information whatsoever (that I could find) on the storage practices and a FAQ advising that “[t]rading cryptocurrency is completely safe” and that having your own wallet is “entirely up to you! You can certainly keep cryptocurrency, or fiat, or both, on the app.” Doesn't sound like much was learned here, which is really sad to see.
It's not that complicated or unreasonable to set up a proper hardware wallet. Multi-sig can be learned in a single course. Something the equivalent complexity of a driver's license test could prevent all the cold storage exploits we've seen to date - even globally. Platform operators have a key advantage in detecting and preventing fraud - they know their customers far better than any custodian ever would. The best job that custodians can do is to find high integrity individuals and train them to form even better wallet signatories. Rather than mandating that all platforms expose themselves to arbitrary third party risks, regulations should center around ensuring that all signatories are background-checked, properly trained, and using proper procedures. We also need to make sure that signatories are empowered with rights and responsibilities to reject and report fraud. They need to know that they can safely challenge and delay a transaction - even if it turns out they made a mistake. We need to have an environment where mistakes are brought to the surface and dealt with. Not one where firms and people feel the need to hide what happened. In addition to a knowledge-based test, an auditor can privately interview each signatory to make sure they're not in coercive situations, and we should make sure they can freely and anonymously report any issues without threat of retaliation.
A proper multi-sig has each signature held by a separate person and is governed by policies and mutual decisions instead of a hierarchy. It includes at least one redundant signature. For best results, 3of4, 3of5, 3of6, 4of5, 4of6, 4of7, 5of6, or 5of7.

History has demonstrated over and over again the risk of hot wallets even to highly credible organizations. Nonetheless, many platforms have hot wallets for convenience. While such losses are generally compensated by platforms without issue (for example Poloniex, Bitstamp, Bitfinex, Gatecoin, Coincheck, Bithumb, Zaif, CoinBene, Binance, Bitrue, Bitpoint, Upbit, VinDAX, and now KuCoin), the public tends to focus more on cases that didn't end well. Regardless of what systems are employed, there is always some level of risk. For that reason, most members of the public would prefer to see third party insurance.
Rather than trying to convince third party profit-seekers to provide comprehensive insurance and then relying on an expensive and slow legal system to enforce against whatever legal loopholes they manage to find each and every time something goes wrong, insurance could be run through multiple exchange operators and regulators, with the shared interest of having a reputable industry, keeping costs down, and taking care of Canadians. For example, a 4 of 7 multi-sig insurance fund held between 5 independent exchange operators and 2 regulatory bodies. All Canadian exchanges could pay premiums at a set rate based on their needed coverage, with a higher price paid for hot wallet coverage (anything not an air-gapped multi-sig cold wallet). Such a model would be much cheaper to manage, offer better coverage, and be much more reliable to payout when needed. The kind of coverage you could have under this model is unheard of. You could even create something like the CDIC to protect Canadians who get their trading accounts hacked if they can sufficiently prove the loss is legitimate. In cases of fraud, gross negligence, or insolvency, the fund can be used to pay affected users directly (utilizing the last transparent balance report in the worst case), something which private insurance would never touch. While it's recommended to have official policies for coverage, a model where members vote would fully cover edge cases. (Could be similar to the Supreme Court where justices vote based on case law.)
Such a model could fully protect all Canadians across all platforms. You can have a fiat coverage governed by legal agreements, and crypto-asset coverage governed by both multi-sig and legal agreements. It could be practical, affordable, and inclusive.

Now, we are at a crossroads. We can happily give up our freedom, our innovation, and our money. We can pay hefty expenses to auditors, lawyers, and regulators year after year (and make no mistake - this cost will grow to many millions or even billions as the industry grows - and it will be borne by all Canadians on every platform because platforms are not going to eat up these costs at a loss). We can make it nearly impossible for any new platform to enter the marketplace, forcing Canadians to use the same stagnant platforms year after year. We can centralize and consolidate the entire industry into 2 or 3 big players and have everyone else fail (possibly to heavy losses of users of those platforms). And when a flawed security model doesn't work and gets breached, we can make it even more complicated with even more people in suits making big money doing the job that blockchain was supposed to do in the first place. We can build a system which is so intertwined and dependent on big government, traditional finance, and central bankers that it's future depends entirely on that of the fiat system, of fractional banking, and of government bail-outs. If we choose this path, as history has shown us over and over again, we can not go back, save for revolution. Our children and grandchildren will still be paying the consequences of what we decided today.
Or, we can find solutions that work. We can maintain an open and innovative environment while making the adjustments we need to make to fully protect Canadian investors and cryptocurrency users, giving easy and affordable access to cryptocurrency for all Canadians on the platform of their choice, and creating an environment in which entrepreneurs and problem solvers can bring those solutions forward easily. None of the above precludes innovation in any way, or adds any unreasonable cost - and these three policies would demonstrably eliminate or resolve all 109 historic cases as studied here - that's every single case researched so far going back to 2011. It includes every loss that was studied so far not just in Canada but globally as well.
Unfortunately, finding answers is the least challenging part. Far more challenging is to get platform operators and regulators to agree on anything. My last post got no response whatsoever, and while the OSC has told me they're happy for industry feedback, I believe my opinion alone is fairly meaningless. This takes the whole community working together to solve. So please let me know your thoughts. Please take the time to upvote and share this with people. Please - let's get this solved and not leave it up to other people to do.

Facts/background/sources (skip if you like):



Thoughts?
submitted by azoundria2 to QuadrigaInitiative [link] [comments]

Scam Projects

Hello!
My name is Kristina Semenova, I am the Head of Investors Relation Department at Platinum, the world’s number one business facilitator.
Our team knows how to start ICO/STO in 2019!
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Real World Examples
Multinational accounting firm Ernst and Young found that $400 million of the $3.7 billion USD raised from ICOs (as of January 22, 2018) had been stolen. That is, up to 10% of all ICO funding is virtually being stolen from investors. Though ICO scams are the most common method of theft in the crypto world, some projects will actually operate for a period of time before disappearing with the money. Like in a Ponzi scheme, an exit scam may be planned for later, sometime after a manipulated pump; or some other time the team believes is most opportune to take the money and run. Giza: Giza marketed itself as a platform within which different cryptocurrencies could be stored securely. But after raising $2.4 million in one month, the team deleted the website and stopped replying to emails. Investors were duped by a very convincing whitepaper, and actors had been hired to appear in photographs promoting the project. No investor funds have ever been recovered. Centra: The SEC put an end to fundraising for the Centra ICO and charged the founders Robert Farkas and Sohrab Sharma with orchestrating a fraudulent ICO after they raised $32 million USD. They were promoting the ability to develop financial products backed by VISA and Mastercard, though it was later found that neither partnership was real. One of the major red flags in the Centra project was the use of celebrity endorsements for publicity, reportedly paying champion boxer Floyd Mayweather a significant sum to promote their project. Who wants to leave their Blockchain investment decisions up to Floyd Mayweather, regardless of his unbelievable skill as a boxer and regardless of his own financial success? He should still not influence where you invest your money!
Ponzi Schemes: Bitconnect: This is the most infamous Ponzi scheme in the history of cryptocurrency, and certainly the most damaging. Bitconnect was a Bitcoin-based project that rose to an all-time high of $463 per token on the back of a fictitious trading bot. The Bitconnect scam operated by paying dividends to users, proportional to the number of tokens they held and the number of referrals they made. The BCC tokens were exchanged for the users’ Bitcoin, and the highly sophisticated and wildly successful trading bot would trade BTC for them and distribute profits as dividends. The value of the dividends offered was approximately 1% of the initial investment per day. In other words, that is approximately 3,780% per year in cumulative gain! The referral system was capitalized upon most heavily by many of the biggest crypto YouTube channels, including CryptoNick and Trevon James, both of whom are now under investigation by the Federal Bureau of Investigation. Shortly after the Bitconnect Token reached its all-time high, they received cease and desist orders from the security regulators of Texas and North Carolina, which caused the owners of the Bitconnect exchange to shut down operations, and the price to plummet.
Davorcoin: Davorcoin was a lending platform very similar to Bitconnect. And Davorcoin was farcically promoted by the same Trevon James crypto Youtuber who promoted Bitconnect, and is currently under investigation by the FBI for promoting Ponzi schemes. The Texas State Securities Board, in likening Davor to Bitconnect, stated that “DavorCoin is telling investors they can earn lucrative profits by investing in a lending program based on a new cryptocurrency known as davorcoin. Investors allegedly purchase davorcoin and then lend it to DavorCoin”. Davorcoin promptly plunged from an all-time high of $180 to very close to zero after a cease and desist order was made against them on the 2nd of February 2018. Useless Ethereum Token: Despite brazenly stating in the name of the project that the token has no use, the UET managed to raise $340,000 in its crowdsale, and saw a significant pump of over 300% on the HitBTC exchange in February of 2018. The scam was an obvious case of pump and dump, with the total trading volume for UET crashing back down to as low as $3 per day, after reaching as high as $350,000 per day during the pump.
It is currently an unfortunate consequence of the decentralized nature of cryptocurrency, but there is a distinct lack of recourse for scammed investors. It is wise to become as well-acquainted with the various indicators of good and bad ICOs as you possibly can. In weighing the factors that will allow you to avoid expensive mistakes, ask yourself in whose favor are the terms of the ICO slanted, yours or the teams? To what extent are you actually likely to profit from this investment? Cryptocurrency is inherently a grey area, whether you are investing in it or not. Investing is another inherently grey area, no matter what the area or object of investing might be. Laws and regulations are not always able to keep up. Trying to define and prove what was or was not a scam is not likely to be as simple as the scammed investor would want it to be. A project can be set up in certain ways to avoid being technically classified or provable as a scam, but the unprepared investor can still be burnt or scammed just as badly. Now we look at more individual indicators that can help you form a valid impression whether or not an ICO or even a fully-fledged exchange-listed coin is a scam or a bona fide investment opportunity.
Common Signposts
Contrasting Scam & Legitimate Projects
Presale Bonus/Token Release If the ICO allots massive bonuses to team members, you may leave yourself open to getting dumped on by presale investors if you buy when the project tokens are listed on an exchange. Likewise, if the project has a short lock-up period for developers and founders, you run the risk of them selling as soon as the token is listed on a major exchange. The token release schedule for the founders of a worthwhile project should show long-term team commitment to that project. The Jibrel Network team tokens will be locked up for 5 years before release, and they had no early investor bonus in the main sale. Both of these factors instilled confidence in the JNT ICO investors, and the tokens were sold out weeks before the ICO was due to end. No Presale lock up If Presale investor tokens are not locked up at all for any period after listing, that could easily be a set up for an exit scam after the initial listing. No presale lockup for early investor tokens is a crystal clear warning, the project may be fatally rigged toward those in the inner circle, with little commitment to the long term health or success of that project.
Unsolicited Offers or Unasked for Additions to Groups Characters running scam projects will often add you to Telegram groups out of the blue or send you unsolicited emails with information about their project. Telegram is the most widely used messaging app in the cryptocurrency community and you should familiarize yourself with it to keep yourself in the loop for specific projects in which you invest as well as all kinds of other relevant crypto info. You can adjust the settings on the Telegram app to disallow anonymous additions to cryptocurrency projects if you find yourself bombarded with offers by scammers. Reputable projects at the ICO stage will spread by word of mouth, or by eloquent and meaningful articles posted on their Medium page. A project with serious potential does not need to actively seek participants for their ICO like that. They will often be able to fill their ICO hard cap in a matter of hours, or even just minutes!
Anonymous Team
Alarm bells, again, immediately, if the project has minimal online presence. The individual team members could be mere fabrications. The entire project could be a farce by utterly inexperienced characters. What if the project leaders are simply unaware of the importance of a strong social media profile? That in itself would be too strange to ignore. Top-level projects will have team members with experience in crypto and the LinkedIn accounts for those members will be easily accessible right there on the project website. You should be able to easily see and evaluate each individual’s experience in their field and ascertain what they bring to the project team. Bitconnect’s anonymous team should have been the only deterrent prospective investors needed to discourage them from putting money into that doomed project. Ethhorse, a current project with anonymous founders and operators should be steered clear of at all costs for the same reasons.
Community Atmosphere
The subreddits or Telegram groups of scam projects will often feature moderators that do not allow any kind of criticism in the group chat. If, in the process of your due diligence, you encounter didactic admins that only wish to silence your questioning of certain aspects of the whitepaper or mechanism of the tokenomics
, you should be concerned. Similarly if you see a coherent critical reply attacked by many different users who refuse to engage the substance of the point being made, that may be a subreddit infested with bots. Projects that have nothing to hide will allow free debate in the chat. Ideally, they hope to develop a positive community that is itself an asset to the long-term success and overall strength of the project. Good projects do not need to automatically brand all criticism as Fear Uncertainty and Doubt (FUD).
Whitepaper
One common tactic of scammers is to produce a whitepaper that uses too many buzzwords, and deliberately obfuscates and overcomplicates the explanation of the problem and/or its solution. A good whitepaper clearly and concisely lays out the problem and answer, as well as provides compelling arguments why a Blockchain solution is preferable to the current solution. Another point of concern is a whitepaper that gives unrealistic time frames and goals. Bitconnect’s almost comically optimistic profit projections are a prime example of this, as are the 1,354% yearly gains promised by Plexcoin. Respectable projects will set out development timescales in terms of quarters or years, rather than offering immediate profit projections, which are simply a red flag.
Advisors/Connections in the Cryptoworld
The most prestigious projects will already have partnerships made before the ICO stage, and the worst ones, i.e. the scams, will not mention any such partnerships. Icon (ICX) for example was spawned from a South Korean project named The Loop, a collaboration between 3 Korean universities and the DAYLIFinancial Group. They boasted an advisory panel consisting of the legendary investor Don Tapscott, Jehan Chu and crowdfunding expert Jason Best. On top of a solid team of advisors, good projects will also be visible at major Blockchain events such as the Consensus, and the World Blockchain Forum, etc. Scam projects will be unable to inspire this same level in confidence. As an investor, you should sense a certain presence and expect a certain feeling of trust that should guide you in your investments. After all, it is actually a people-to-people thing you are doing.
Key Stress points upon the Timeline to Identify Scam Projects Post Whitepaper Release The period in the immediate aftermath of the release of the whitepaper can also be decisive in establishing the validity of a project. How a team copes with the roadmap that they have laid out for themselves is key. Valuable insight into the operational efficiency and commitment to the project can be gleaned from the quality of and amount of code committed to GitHub. If you have any experience in computer programming you can see how clean and orderly the code is, which gives insight into the skill of the developers, and in turn the quality of project leaders’ decision-making in hiring team members. Scam projects will have little or no code committed to GitHub, or at best it will be copied and pasted from other projects just to cover their tracks. Start of ICO Sometimes, a scam project, or other project in which you would be better off not investing, will change the terms of the ICO just before the ICO starts. The Key (TKY) ICO doubled the price of tokens on the day before the ICO was due to take place, because the price of NEO had risen so drastically. Currently, the TKY token price is still only half of its ICO price. Initial investors are faced with the prospect of a 50% loss on their investment.
Exchange Listing
Some particularly greedy scammers will create a scam project with the intent of selling tokens in the ICO for BTC and ETH, and then pumping and dumping their share of the tokens immediately after listing. The team of fraudsters behind Monero Gold used this method after the crowdfunding of their useless ERC-20 token. After listing on CoinExchange.io, the team dumped their tokens until the exchange finally ceased trading. Although it is not uncommon for ICO tokens to sold after listing (just like can happen with shares of stock after an IPO), if the price does not stabilize and massive sell walls are continually placed, a scam is likely taking place and the token is being dumped.
Fake Ethereum Twitter giveaway
You may have noticed Ethereum creator Vitalik Buterin’s twitter handle has been changed to Vitalik “Not giving away Eth” Buterin in recent months. This is because a group of devious scammers had created fake accounts with almost exact replicas of his profile (deviating by only one character). The fake accounts promised to deposit 1 whole ETH for every 0.1 ETH the potential sucker deposited into the wallet address provided by the scammer. These fake account “Ether giveaway” scam tweets were set up to be sent in just a matter of seconds after the real person tweeted, and usually always appear immediately after the tweet of the real public figure. Fake bot profiles then came into play, thanking the fake Vitalik, or fake Elon Musk, for holding up their end of the bargain and depositing the ETH as promised. One scammer, or group of scammers, managed to fill a wallet up with almost $20 thousand worth of ETH, which they transferred out, never to be seen or heard from again.
Effect of Scam Customers, Upon the Affected Parties
Of course, this is no fun for the targeted public figure either. They need to take steps to avoid being targeted again. This will mean changing their handle, their username, or making their accounts private. However, the injured party with whom we are most concerned is the unfortunate scammed social media user, who has no chance whatsoever of getting his or her funds back, ever. It is a harsh lesson to learn. But it is a fact of crypto reality. Nearly every one that trades crypto will at least be exposed to frauds or scams in one way or another. In this case, we think it is better to learn about scams by studying them, rather than learn from your own unfortunate and expensive experience. In the case of Mr. Buterin, these incidents were awful public relations for the Ethereum project. It had only been a few years since cryptocurrency as a whole was primarily associated with criminality and seedy transactions on the Darkweb. Any connection with unscrupulous behavior is best avoided at all costs. Negative associations could have been particularly damaging for Ethereum’s brand because the vast majority of ICO fraud is committed using the ERC-20 token as the template for the scam tokens.
Any and all the scamming or fraudulent behavior in the cryptocurrency ecosystem is bound to have a negative impact on the speed at which mainstream uptake finally takes place. Cryptocurrencies, as an emerging asset class, will be painted in the worst possible light. Crypto is aiming to, and is in fact in the process of, causing great disruption in traditional centralized finance and business. Mainstream media organizations are also part of that traditional centralized economy. Press coverage will be damning. Something is happening here, but Mr. Jones doesn’t know what it is.
Legal Recourse for Scams
We clearly understand, there is a possibility of being scammed. We know the scams are happening. The SEC has made some arrests and actually charged people for operating fraudulent ICOs. But it is a struggle to deal with the flood of ICOs coming from anywhere at any time. The SEC filed charges against two founders of a purported financial services startup for orchestrating a fraudulent ICO that raised more than $32million from thousands of investors. As you know from the ICOs we have covered so far, the lack of regulation allows for direct contact and dealing between the entrepreneurs, business owners and potential investors. While we believe this is a blessing according to the founding principles of Bitcoin and other alternate Cryptocurrencies, because it frees us from traditional roadblocks, middle-men, and all kinds of time-consuming procedures; it also leaves investors in a place where there is often little to no hope of ever recovering funds lost in fraudulent schemes.
Actions after a Successful ICO
Good post-ICO practice is characterized by stringent security, well thought-out legal strategy and clear communication. Many projects have paid the price in damage to their reputation for failing to adequately guard customer information, leaving themselves open to phishing attacks by fraudsters. Investors in the Enigma project had half a million dollars stolen from them; and a whopping $8.4 million was defrauded from investors in Veritaseum via phishing attacks. After a successful token distribution, the team’s main focus is initially on switching the enterprise from one primarily focused on fundraising, to superficially at least, a fully-fledged, functioning business. This involves removing most of the token sale-related content from their main webpage, sending newsletters to all successful ICO participants, and sending refunds to those who may have missed the deadline or the hardcap. Then, with the stressful and complicated fundraising stage finally concluded, a portion of the funds raised can be assigned to fuel the growth of the project community. This can involve hiring community managers, forum admins, and social media managers to outsource the job of keeping investors in the loop. The founders can focus on growth strategy and product development. The cultivation of a thriving and energetic community is extremely important. The community will give you free marketing for your product and your business. Community members who believe in the project, and are engaged by professional moderators, can give you very effective promotion to other prospective investors. Communication with community members is a great way to test ideas and gauge sentiment related to various aspects of your project.
The project leads must set aside adequate funds for lawyers. The project will need to address potential future or imminent problems with regulators, at the very least. The transition from fundraising project to full-fledged business can be incredibly challenging, and even more stressful than the ICO itself. The main thing to remember is that your pre-sale and ICO investors are not just silent investors waiting for a return. They are the early adopters of your solution, of your product; they are the community and promoters of your project; and they are the individuals with a vested interest in the financial success of your venture. The ICO environment is not as heavily regulated, so quarterly and/or semi-annual reporting is not required the way it is in the traditional world. That means your own style of effective communication about the progress and key developments on your project matters even more. In the ICO world, you communicate with your press releases, social media, and Medium posts. You also communicate by the very nature of your relations with your exchange, and relationships with your cornerstone investors. Effective communication and good business relationships can play a prominent role in the success or failure of your venture (by token liquidity and valuation).
If your investors start to lose interest, and stop trading your token on the exchange, liquidity will dry up and cause increasingly volatile price swings. You need to keep certain things in mind, and follow effective practices to maintain a happy and motivated community.
Social Media & Medium
In addition to your website, your social media & Medium blog most likely formed a significant part of your ICO preparations. Your purpose pivots after the ICO from one of promotion to one of communication. Consistent, informative and material Medium blogs, also Facebook and Twitter updates, ensure that investors remain engaged and well-informed of what the company is up to. Frequent activity in this space makes investors feel much more comfortable. You can foster a kind of organic community expansion that is consistently advertising your project to potential new members.
Cornerstone Investors & Exchanges
As we mentioned, your relationship with investors in the ICO world is different from that of the traditional silent IPO minority equity partners. Consistent, Transparent & Honest communication is incredibly important here. Even if an ICO is struggling to overcome a problem or whatever issues are occurring, honest communication from the team is key to business survival. You should think of and treat your exchange like a business partner too, a very important one at that. Exchanges provide liquidity for you and your investors. That liquidity is like the blood for your business. Many top exchanges demand nothing less than absolute honesty and integrity, it is imperative to maintain strong and comfortable relationships with exchanges. Everything we have said so far, also applies to your Telegram channel and forums too. These give you another great opportunity to build a thriving community. Team members and investors can enjoy lively debates in their Telegram channels. This can be constructive discussion, or critical commentary too. But it is always valuable as a direct link between the team and the community. It is always good to know how people are feeling and what they expect from you and your project. You are able to use your Telegram channel and forums to consistently adapt your marketing and communication strategy. Keep your investors as happy and comfortable as possible, and you will be more likely to attract new investors and allocations. Other forums around the internet operate more or less in the same manner as Telegram.
After a successful funding round with the hardcap reached and time to spare, legal counsel has been secured, and the community is flourishing, the team will prepare for their first listing by paying the exchange fee and waiting for the announcement by the exchange. Unless they are willing to pay exorbitant fees for an immediate listing on Binance for example, teams will usually settle for an initial listing on a second-tier exchange. The fee charged by an exchange depends on many different factors that we will cover in more detail in the next section.
ICO Company actions after a Successful ICO
Real World Case Study
The Basic Attention Token (BAT) project, when used in conjunction with the Brave Browser, allows users to pay micro-fees in BAT to their most-used sites. The idea was conceived by Brendan Eich, the inventor of Javascipt and former CEO of Mozilla Firefox. Investors absolutely pounced on it at ICO and the project raised an amazing $35million in under 30 seconds. The BAT/Brave project has delivered on time on nearly all of its targets, helped in no small part by having a working product, the Brave Browser, for over a year before the token launch. The project secured a listing on the premier exchange, Binance, in November 2017.
A project can suffer through a disappointing funding phase and, for example, fail to reach 75% of its hardcap. The team will be only partially funded. Though they may be able to initiate the project, the value proposition of the token has been compromised, potentially forever. The market has spoken. There is limited faith in the team’s ability to complete or carry out their project. Failure to reach a hardcap is a serious obstacle on the project road map. This will mean massive revisions to the timescales for development and listing. Such a project may have to be content listing on decentralized exchanges for a period of time and they will lose any post-ICO hype that could have helped the project price to “moon” early on. There is less money to be allocated. Each section of the business will be underfunded compared to the original plan. There can be delays in code development, exchange listing, marketing and community development as well.
Calling the Tezos ICO a disappointment might seem strange considering they raised over $232million. But this open-source, smart contracts fintech platform became a victim of its own success post-ICO by devolving into multiple class-action lawsuits between the founders and its foundation chairman. They suffered from a distinct lack of clearly defined roles and expectations on key positions. There was infighting at the boardroom level. This all caused an as yet unresolved delay in listing and development. This is also one example why a capped ICO can be more desirable for investors than an uncapped ICO. If the team have a set amount of capital to work with, an amount that isn’t absolutely ridiculous, like in the case of Tezos, perhaps the resultant greed and discord is less likely. Although it may not be so easy for speculative investors to make a profit from an uncapped ICO with such a massive initial market cap, it is a very impressive feat of fundraising nonetheless. Tezos’s post ICO market cap of $232million is already 64th of all projects, and would have to perform brilliantly on listing to maintain this position.
Company actions after a Failed ICO
Failed ICOs can mean either fundraising initiatives that have failed to reach the softcap and will therefore not be economically viable, or fraudulent projects whose sole intention was to steal from investors and do an exit scam. We’ve already covered scams and fraud projects in detail, but what happens when an ICO just fails to raise the requisite funds? Projects that are legitimate, with honest founders and developers, refund the ETH or BTC deposited by investors as quickly as possible if the softcap is not reached. The same process that is followed by ICOs that are oversubscribed is employed by those that have failed to raise enough capital. The process of returning funds back to the sender ideally should take a period of days, but more likely will take a few weeks. The Sappy Network, advised by Dan Tapscott, failed to come anywhere near to their funding goals. They are currently in the process of sending all investor funds back to the wallets from which they came. The statement from the founders read as a textbook example of how you should react to failure with the founder stating “In the spirit of transparency and honesty, we are sharing with the community that we did not reach the soft cap, and thus we will be honoring our terms and conditions and returning the Ethers to all contributors”
Exchange Listing
A bottleneck developed in the ICO market after the explosion of crypto prices in 2017. There was a massive increase of ICO teams on all stages along the pathway from start-up to fully listed crypto asset. Certainly, a huge part of the value proposition for both the token and the project depends on securing a listing on an exchange. It is precisely the liquidity of the token as a valuable asset on a free market exchange, that determines or even defines its value. The liquidity is what makes tokens attractive to investors, but that liquidity simply does not exist without a platform for the exchange. Unfortunately for new projects, the balance of power is heavily weighted in favor of large centralized exchanges that can pick and choose which tokens to list, and the timescale within which listing will occur. Each large exchange has its own list of pros and cons as well as its own specific procedure for coin/token listing. They also have their own particular ethos regarding the type of projects they prefer to list. ERC-20 tokens will be available for trade immediately on decentralized exchanges (IDEX Forkdelta) but those platforms are generally quite low volume, and certainly not a long term solution. Projects must often pay huge fees to be listed on the larger centralized exchanges. At first those fees will be prohibitive. The usual route is to initially list on a more reasonably priced smaller exchange like Kucoin or Gate.io.
Listing Process
Major centralized exchanges have the power to list anything they want, and they also each have a unique structure that projects must adhere to if they wish to be listed. Each potential new listing will undergo a rigorous examination by the exchange operators to test the feasibility for listing the token. An exchange will likely have forms available on its website that you can fill out to give them all the necessary initial information. If a particular project and token qualify for listing, the team will invariably be put under a NDA, Non-Disclosure Agreement, to avoid any insider trading or other regulatory problem
s. In the case of larger exchanges like Binance, there is a period within which owners of a newly listed coin or token can transfer them to the exchange in preparation for trading. This is a fantastic opportunity for traders to make use of the likely pump that occurs after a new token is listed on a large exchange. It is common to see up to 100% increases on the first day of trading, and a subsequent dump of up to 50% or more can follow. This allows traders holding the coin already, to sell for a good profit, and maybe buy back in at a much lower price too, if they think that is a good idea.
Exchange Fees
There are no definitive figures available to the public regarding fees that major exchanges charge new projects to list. Binance, Bitfinex, Kraken and Bittrex have all been quoted as saying that they do not charge any fee at all but this is almost definitely untrue. Knowledgeable industry insiders estimate between $500,000 and $1,000,000 USD for listing on a top-tier exchange. (There have been more rumors of 7 figure exchange listing fees since January 2018 too). This figure will vary greatly from project to project. Various factors can affect how an exchange determines the fee for a particular project. These are some of the most important ones: Market Maker Service Required Whether or not the client project requires liquidity services directly from the exchange, or can connect proprietary ones via API, will lead to a huge reduction in listing cost.
Type of Token (ERC-20 NEP-5 or DAG) Not all tokens are created equal in the listing process. ERC-20 tokens and BTC based tokens have code architecture that will almost certainly be preferred by the exchange. NEO based tokens (NEP-5) such as Ontology will be far most costly to integrate because separate new wallets have to be built to facilitate NEO transactions. The costs involved in integrating Direct Acyclic Graph projects such as Nano into the exchange structure are even worse. Expected Daily Volume Exchanges derive their profits largely from transaction fees and withdrawal fees. The trading volume a new token is likely to bring in will have a great influence on the computation of the exchange listing fee. Exchange Listing Procedures Evaluation Different exchanges have different rules for new listings. A new project must of course abide by specific rules for that exchange before they are allowed to list there. There are procedures that must generally be followed for the most noteworthy exchanges. You can get a good idea of the hurdles to be overcome before listing can take place.
Ongoing relationship with Exchanges
Exchanges, usually Huobi or Kucoin, will sometimes make it essential for newly listed tokens to engage in “trading competitions” after listing. Competitions can last between 2 weeks, or a month or more, aiming to increase the trading volume for that token, thereby increasing trading fees collected by the exchange, and giving the project extra publicity too. The whales may have made a nice profit already and be very happy about it; but the project token can still get stuck in a long period of stagnation and a loss of post-ICO hype. Once a coin or token has been successfully registered for trading on a particular exchange, the project must focus on maintaining regulatory compliance and paying things like annual maintenance fees too. Exchanges can investigate and delist coins or tokens to see if they have fallen below a certain standard set by the exchange. The exchange is concerned about such things as: an extended period with an extremely low volume; a team member connection to an exit scam; or other such immoral/illegal behavior.
Post ICO Company Evaluation
After a presumably successful ICO, the necessary funds have been obtained, and the real business, the real team challenge is now, to bring the project to life as a bona fide disruptive Blockchain endeavor! The core advantage of the ICO method of funding business startups is the lack of regulatory hurdles to navigate with regards to fundraising and fund allocation. The funds that have been raised have, in effect, been freely given to the project leads to do with what they will in a no-strings-attached transaction. Of course, there are still strings attached in that the team are tasked with making that money grow for the investors. But there is no regulatory oversight of the process. The regulatory freedom is a double edge sword. It gives a good team freedom to work however they want; and it also allows for unscrupulous thieves to use the ICO process to defraud investors of their ETH and BTC.
Advantages of being Post ICO From Investor Perspective
You should have little to fear in terms of fraud from a project in which you have invested, if you have done your due diligence correctly. You can expect the tokens to be distributed, and the exchange listing to take place as expected. And you know your project is totally legitimate. There are different ways to think about your ICO tokens after the crowd sale has concluded. If you are a speculative investor looking for a quick flip, you can gauge the correct moment and sell anytime you like, assuming the ICO has been well-received by the markets.
From Team Perspective
The post-ICO period is, from the point of view of the team, a period where stress and responsibility for the safety of investor funds is passed, in the form of ICO tokens, from the team to the investors themselves. This responsibility for tokens is replaced with the stress of building the actual company itself, and succeeding in the business as planned. A small portion of the responsibility for the project’s success is also passed on to the exchange that has listed the tokens. This is especially true if market makers have been employed by the team or the exchange to provide liquidity. After the ICO has concluded, all funds are released to the project team immediately, so they can start building their business brand, and tackling each step on the road map right away. The freedom with which startups can operate is one of the main reasons behind the explosion in Blockchain businesses in 2017. With the ICO funds safe, and money being put to work on various areas essential to the growth of the project, and the tokens already distributed to investors, the risk of fraud is greatly diminished. If KYC and Anti-money Laundering procedures have been followed correctly during the ICO phase, the risk of phishing attacks and theft will also be marginal now. At any rate, with tokens safely delivered to all participants, the responsibility has passed from the team to the investor.
From Team Perspective
The release of all funds and the freedom to allocate them with no supervision, as cited above, is certainly a tremendous advantage empowering the team to fulfil the entire breadth of their vision unimpeded. But it does have its drawbacks. If there is a mistake made in the allocation of funds, or an unforeseen problem arises, there is nowhere to turn to, and no means of generating further money via crowdfunding. The ICO is over; it is finished. The project simply has to work with what it has. Your community can sometimes turn against you when the market is going down. Times like that just add to the already intense pressure of presiding over a startup Blockchain business.
Solution: DAICO
The DAICO, or Decentralized Autonomous Organization Initial Coin Offering, is a means to integrate a more specific, rigorous and regimented smart contract schedule into the ICO process. Doing so will eliminate fraudulent ICOs, exit scams, pump and dumps, and many of the other disadvantages listed above. The DAICO method, proposed by Ethereum creator, Vitalik Buterin, will merge the core concepts of both an ICO and a DAO to leverage the most relevant features of both, in order to solve the main problems in the ICO method. For example, to eliminate the risk of an exit scam, the release of funds will be spread out over a period of time, with the next allotment only being released when a certain set of parameters are met.
Buterin explains that the DAICO method will provide user protection in a manner not present in the current ICO model, ensuring funds are not misspent or used in any way contrary to the intention of investors. In simpler terms the DAICO will operate as follows: The DAICO will start with a smart contract by its executors that can set whether this is to be a capped or uncapped round of fundraising (amongst many other options) as well as including KYC requirements. After these settings have been configured, the DAICO is set into “contribution mode” and presented to the public. This stage will function identically to a normal ICO with ETH exchanged for project tokens. Once the funding period has elapsed, or the hardcap has been met, investors will have the ability to set the “tap” for the collected funds. This will set the amount per second, or amount per minute, that will be available to the executor to develop that specific portion of the project to which those funds have been assigned. If investors believe at any point that the team is misspending funds or otherwise wasting time, etc., the investors have significant options to take. Of course they could choose to release more funds to the team. But, they could also stop the tap altogether, and stop the entire ICO, by voting, and actually release all unused funds back to their own wallets from which the investment had first been made!
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Thermodynamics & Silent Weapons for Secret Wars or Crypto Anarchy 101: Statists Failing & Anarchists Thriving

Crypto Anarchy 101: Statists Failing & Anarchists Thriving
The black-market, the free-market, is what kept people alive throughout the worst of oppressions. The black market has been the art of surviving amidst all types of tyrannies and slaveries. The black market, aka System D, is something that everyone in the world will need to start getting comfortable with. CryptoAnarchy is the ultimate manifestation of complete market freedom, and it is here to stay.
Libertarians are beginning to finally realize their incredible advantage within this new market environment. The unfortunate statist masses have been programmed to feel uncomfortable with the mere idea of complete market freedom. Keep in mind that as of 2009, half of the world’s workers- around 1.8 billion – were employed by System D. The black market is only expected to grow even more so with the incentive structures being built out in order to advance the technological advancements of cryptography.
Humanity has never experienced a true free-market until now. For the first time in history one is beginning to take shape. The traditional business sector is beginning to realize that they are not even mentally equipped for the implications of having applied cryptography that is powered by market incentives. This is evident in their trite attempts at integrating these new technologies with traditional banking and financial systems. Their lack of creativity, and dependence on government, is a clear testament to how much they will be hurt in the coming future.
Statists Double Down after Failure: Tether and Stablecoins
Many within the crypto space have attempted to bridge the gap between legacy banking and cryptocurrencies. Amongst the various attempts at capitalizing with these new technologies, the idea of a stablecoin entered the space via Tether (USDT).
A stable coin is a cryptocurrency that is pegged on a 1 to 1 ratio to the US dollar, or any other asset- like gold- or fiat. Tether operated as a stable coin pegged to the US dollar on a 1 to 1 ratio. The biggest attribute behind stablecoins resided in their ability to provide stability in an otherwise volatile market.
For a long time many within the crypto space were curious about Tether’s means of operating with USD. Earlier this year TDV was the first entity to exclusively reported to its subscribers the origin of Tether’s “secret sauce;” fractional reserve banking.
The laws of fractional reserve banking allowed the Noble Bank of Puerto Rico to provide Tether with the legal means of operating as a stable coin pegged to the US dollar. The Noble Bank recently went bankrupt due to being insolvent. Noble Bank was the bank of Bitfinex and Tether. As a result, Tether and Bitfinex ended their relationship with Noble Bank.
It is important that you as a subscriber move your crypto out of Bitfinex. You should never keep your cryptoin exchanges. When you do this you don’t actually control the private keys of your coins.
(If you are an active trader, please consider using Bisq. Bisq is an open source decentralized exchange that does not control your private keys while trading. It is the most Anarchist exchange in the market right now.)
After losing its partnership with Noble Bank, Bitfinex began banking with HSBC. On October 15th, Bitfinex tweeted that their fiat deposit system was re-enabled. Overall, Bitfinex is still in the midst of reorganizing itself as an exchange with proper banking liquidity. For this reason we are of the opinion that it is best to stay away from Bitfinex until they are more solvent in their banking partnerships.
Tether (USDT) on the other hand is suffering from a lack of proper banking structures. Binance paused all USDT withdrawals and KuCoin, the exchange, also paused USDT deposits and withdrawals.
Tether is currently at around 2.1bn dollar market cap. Tether holders are having a difficult time cashing out of their Tether for USD. It is expected that unless Tether gets its banking situation sorted out, we will see movement out of Tether. This situation has caused the price of Tether to hit a low of $0.90 to the USD. As of writing this, Tether is trading at around $0.97 to the dollar.
The situation for Tether is dire at the present moment. We expect to see many Tether holders drop their Tether for Bitcoin, or other more cryptographically secure cryptocurrencies. This will more than likely be one of the main strategies that will be implemented in order to cash out of Tether.
This overall situation is once again showing us how unstable things are when dealing with fiat. We hope for the market to realize that there is more security in cryptocurrencies than there is in fiat backed stablecoins. Stablecoins will always have the instability of the fiat currencies that they are pegged to. The time will eventually come when people will realize that cryptocurrencies are a better store of value than stablecoins.
In spite of all of the issues circulating Tether, statist entrepreneurs are doubling down on their desire for stablecoins. We are seeing the beginning of what we believe will be a trend in the upcoming future; that is, stable coins pegged to various countries’ fiat and assets like precious metals. The new USD stablecoins recently announced to the market are GeminiUSD, TrueUSD, and Paxos Standard.
Volatility as a Sign of Life in the Market
Contrary to the statist perception on volatility, one can also view volatility in crypto as proper to a market that is fully alive. Crypto, for the first time in history, freed the market from bankster manipulation. Arguably, volatility is to be expected in an unregulated free-market where everyone in the world is for the first time welcomed to participate.
In comparison to the legacy financial system, crypto is fully alive while the former is handicapped by regulations, coercion, and disconnected from true free-market signals. That is, volatility signals of a free-market that breathes freely for the first time. Volatility is indicative of a market that is fully alive.
The desire for individuals to attach crypto to the legacy financial system, under the pretense of “less volatility,” is indicative of individuals that will have a hard time operating outside the bounds of regulation and government coercion. As long as we have statists uncomfortable with Anarchy, we will have stablecoins pegged to fiat.
Various Libertarian entrepreneurs are also beginning to dabble with the idea of a stablecoin that is pegged to precious metals. The challenge of these projects will be the same regulation that oversees fiat. Remember that the difference offered to the world by cryptocurrencies resides in crypto’s ability to operate freely within System D, without regulation. It is this new market, the true free-market, that for the first time is unstoppable.
Bitfinex’s Effect on EOS
Bitfinex is one of the entities that holds the greatest amount of votes for EOS Block Producers (BPs). For this and other reasons, we are currently expecting a shakeup of votes for selected top BPs. It is important that you remain attentive to the happenings within EOS and move your votes accordingly.
We will soon be coming out with more details on our perceptions regarding various BPs.
There are various discussions regarding BPs pending arbitration. This is a good thing. All shakeups lead us closer to more transparency and accountability. This should not directly affect the price of EOS, aside from what will result from the expected FUD of future BP shake-ups.
The Resilience of CryptoAnarchy after Blockstream’s Fake Sidechain
Amongst the various innovations within Bitcoin, sidechains have- for the past 5 years- existed as one of the holy grails of innovation. Blockstream, as a company, was put together to manifest sidechains. They sold us the concept of a sidechain as they were sourcing capital during their first rounds of investment; this was in October of 2014.
Sidechains were supposed to be delivered by Blockstream as a way to make Bitcoin innovation competitive to that of altcoin innovation. Sidechains were supposed to be “the Altcoin killer.”
After all of this time, Blockstream only delivered Liquid - which is not a sidechain- and called it a “sidechain.” That is, Liquid is not a sidechain when properly defined. Liquid is a multi-signature layer that allows for multiple exchanges to pool their money together to transfer funds amongst themselves. Liquid is not a true sidechain, it is more precisely a multi-signature wallet.
Calling Liquid a “sidechain” was just a marketing scheme by Blockstream in order to impress the illusion that they had delivered what they had promised. They didn’t. Blockstream gave up in attempting to create a true sidechain and created a multi-signature wallet instead. Keep in mind that Liquid is a “private sidechain.” Note that a proper sidechain ought to be made with open-source innovation in mind. Many of us see the actions of Blockstream as a bait and switch marketing scheme.
(For the rest of this article I will use the words “Drivechains” and “sidechains” interchangeably as synonyms. Drivechains are what sidechains originally were supposed to be- according to the original Blockstream Sidechain white paper. Blockstream’s bait and switch marketing scheme led to them calling “sidechain” a multisignature wallet that is not at all what they promoted on their white paper. Paul Sztorc, in an attempt to differentiate himself from the Blockstream perversion of the word “sidechains,” called his development of true sidechains “Drivechains.”)
Drivechain Sidechains
Paul Sztorc, the creator of decentralized prediction markets, was very much looking forward to Blockstream’s creation of sidechains. It was his hope that his decentralized prediction market would run as a Bitcoin sidechain. At about the end of 2015 Sztorc was done with BitcoinHiveMind, his decentralized predictions market (previously known as TruthCoin).
After realizing that Blockstream was not going to deliver on sidechains, as promised, Sztorc felt he needed to build it himself. The creation of his Drivechains started off as a means to an end for Sztorc; he needed true Sidechains for his decentralized predictions market- so he build it himself.
On September 24, 2018 Paul Sztorc announced the launch of the first Drivechain release. This release was accompanied with fervent followingof old-school Bitcoiners that immediately jumped into experimenting with Drivechains on the testnet known as “Testdrive.”
The Drivechain protocol is an alternative to the sidechain project originally proposed by Blockstream. It is a simpler design that enables blockchain compatibility in which the system still utilizes the same 21 million bitcoin ruleset- the Nakamoto consensus.
Drivechains are intended to allow for permissionless innovation without diluting or challenging the value of the main cryptocurrency. Contrary to other means of innovation within crypto, any innovation that comes from a Drivechain sidechain actually adds value to the Bitcoin protocol- for it does not dilute the main cryptocurrency. Satoshi vaguely discussed the importance of the ideas of sidechains and multi-blockchain connectivity on June 17, 2010.
This creation, of providing varied market options, make infighting and political discourses regarding consensus upgrades now seem infantile. Drivechains will provide the market with ongoing competitive solutions for blockchain development. Investors will now be exposed to options that would otherwise have been shunned in a less free environment.
The strategic advantage of Drivechain sidechains is that they will offer investors various options in the form of alternative chains. It is important to keep in mind that Drivechains are available for blockchains with the same UTXO set. That is, Drivechains are available for both BitcoinCore (BTC) and BitcoinCash (BCH).
How Drivechains work
Namecoin was the vision of early Bitcoin adopters of creating a DNS and identity infrastructure based on Bitcoin; that is, .bit DNS. This technology piggy backed on top of Bitcoin mining. That is, if you so chose you could merged-mined Namecoin alongside BTC or BCH. Namecoin can absorb hashrate from BTC or BCH without needing its own miners.
Merge-mining with BTC or BCH is also the process of validating and safeguarding Drivechain sidechains. Unlike Namecoin, Drivechain sidechains don’t require miners to run special software. For Drivechain sidechains miners implement what is known as blind-merge-mining. In blind-merge-mining the nodes of the sidechain run the software, not the miners. This operates under the assumption that the nodes running the software also hold BTC or BCH.
A payment fee is paid to miners to blind-merge-mine the sidechain, in a similar way that Namecoin merge-mining pays a fee. In this process, miners don’t have to run any software- they just passively make money for blind-merge-mining blocks with sidechains.
The main difference with sidechains is that you are not mining another coin like Namecoin, but rather you are mining the same BTC or BCH in another sidechain when you do the blind-merge-mining. Miners don’t get paid with the sidechain, they receive payment from the mainchain that they already trust when they blind-merge-mine. Miners are also economically benefited by always getting paid in the superior coin that they are already intentionally mining; BTC or BCH.
As BTC or BCH moves in and out from the mainchain to a sidechain, there might be claims of ownership that may cause disputes. Drivechain prevents this by emphasizing the superiority of the mainchain over sidechains. Sidechains have to report on exactly what it is doing- at all times- to the main chain. Whenever a sidechain wants to transfer money back to the mainchain it has to do it very slowly. This safeguards the network from theft. The slow movement of funds from the sidechain to the mainchain can be arbitrage by individuals who will be willing to purchase sidechain receipts for BTC or BCH coming from sidechains at a discount. People will also be able to do atomic swaps between chains in the near future. (Atomic swaps, or atomic cross chain trading, is the exchange of one cryptocurrency to another cryptocurrency, without the need of trusting a third-party).
It is the intent of Drivechains to create the interaction of miners with sidechains as seamless as possible. However, it is still important to have guarantee that money ends up in the right place. This is the reason for the slow movement of funds from sidechains to the mainchain.
The movement of a certain amount of transactions coming from a sidechain to the mainchain is batched up into one transaction with its own transaction ID. This transaction is frozen in place where miners and developers can examine it for at least a month (there are talks of even making this process longer between 3 to 6 months). During this time miners vote on whether to allow the payment to go through or not. Upon receiving enough upvotes, the batched up transactions are released unto the mainchain. The slowing down of movement of BTC or BCH from sidechains to mainchain decreases the threat of miners stealing BTC or BCH from a sidechain.
The sidechains are always watching the mainchain, so they know to credit people immediately when the mainchain sends money to it. Sidechains also know when the miners have accepted the release of batched up locked funds that are released unto the mainchain. Once the sidechain receives notification of the miners acceptance of funds in the mainchain, the sidechain destroys the funds that were frozen awaiting miner upvotes.
It is overall acknowledged that sidechains increase the value of BTC and BCH, which eventually make mining more profitable. It would be counterproductive for miners to attack and steal funds from sidechains. That is, miners acting maliciously decreases the value of their own equipment. In spite of this fact, it is good that Drivechains make it increasingly more difficult for theft to occur.
Miners, through their voting process, also get to punish bad sidechain actors. Any malicious sidechain will be cleaned out by miners. This is the opposite of the Ethereum model where anyone can code anything into the Ethereum blockchain, to the point that it could become a detriment to the Ethereum mainchain itself. That is, anyone can create a new ERC20 or ERC721 token without any vetting from the network.
Coins are moved from the mainchain to the sidechain by means of sending coins to an address that represents the sending of funds from the mainchain to the sidechain. Anyone running the given sidechain software will recognize that funds were sent to the sidechain- this will automatically credit the person with the same amount of BTC or BCH on the sidechain. Also, the sidechain is programmed to recognize the reception of funds unto the mainchain address from where it will automatically credit the user the same amount of BTC or BCH unto a sidechain wallet. People on the mainchain don’t have to know anything about this particular address. As far as they know, it is just another address.
Embrace the Spontaneous Order of Market Anarchy It is important that people within BTC and BCH take on a more Hayekian approach to entrepreneurship. Many within crypto are uncomfortable with the mere notion of spontaneous order. It is important that we as Ancaps lead the way in motivating people to experiment with their entrepreneurship.
In the past few years, the desire of individuals to covet the development of crypto has become more apparent. These people need to be ignored. No one is the leader of Bitcoin or crypto development. The best innovators within crypto are those that create tools that empower other entrepreneurs to create more options.
It is this spontaneous order that we should welcome and promote at all times. Many within BTC and BCH will not accept or feel comfortable with the radical spontaneous order enabled by Drivechains. This is good reasonto brush up on your Austrian Economics in order to properly confront minds that are fearful of human freedom.
The Ancap entrepreneurs who are most comfortable with spontaneous order will be the same ones who will produce the greatest amount of value. The development of CryptoAnarchy is guided by the science of praxeology and Austrian Economics. Drivechains are testament to the augmentation of our libertarian order are necessary for CryptoAnarchy to thrive.
Drivechains and Investment Strategy
The philosophical and economic advantage of sidechain innovation is that it enables the development of BTC and BCH with an investor-centric intention. It is the market’s investment that now decides the best means for scaling and development. Politics and propaganda take an almost insignificant backseat to that of market forces. The technology is now readily available for investors to test drive with their BTC or BCH on any given proposed sidechain. That is, you actually get to experience the value, or lack of value of a new innovation without jeopardizing your position as an investor.
All investment decisions are about strategy. Sidechains empower the investor’s strategy by allowing the investor to survey all of the possible value propositions of his/her original investment without having to incur any actual costs. In a similar way, sidechains also provide developers with quick market feedback on the aspects of development that are most favored by the market.
Drivechains are a pivotal step in maturing the crypto space into becoming more conscientious in considering the investment strategy of those buying the coins. It is important for innovators to start taking the investor’s strategy into account. Drivechains force developers to consider what is best for the investor, not just what is desired by a given team of developers.
Here we have not only a better proposition for investors, but also an incentive for developers to use Drivechains in future crypto experimentation. When experimenting with an altcoin, the measure of success is contingent on this new altcoin gathering a new pool of investors to literally buy into the project. With a sidechain you are already dealing with a more seasoned group of investors that will provide you with more accurate market feedback, being that their investment is now fortified by all other sidechain experimentations that they have already tested at no cost.
Altcoins will soon no longer be the locus of innovation within crypto. All future innovation will be offered the option to experiment within BTC or BCH via sidechains. Keep in mind that all previous innovations, already tested in the market by successful altcoins, are now easily adopted by BTC or BCH. It is also important to note that creative experimentation on sidechains do not at all jeopardize the mainnets of BTC or BCH. On the contrary, sidechains will make BTC and BCH much more valuable. When the Drivechain craze begins we will see a BTC and BCH bull run. Don’t be surprised if sidechains are the main reason for the next all time highs.
Statists Failing & Anarchists Thriving
It is important that we understand that the legacy banking system is completely dead. They are barely adopting simulations of cryptocurrencies unto their banking structures to stay alive. Stablecoins are a manifestation of this bankster angst to remain current.
True market innovation is found in the embrace of Market Anarchy. CryptoAnarchy is growing exponentially with tools that are beyond the reach of state megalomaniacs. Drivechains are an example of the CryptoAnarchist tools that will result in further anti-fragility of this new crypto free-market.
Proper Austrian Economic incentive structures coupled with applied cryptography is our lethal weapon against nation states and central banks. Arguably, our Ancap philosophy is what guides applied cryptography in the market towards success. For this reason it is important that we keep revisiting the texts of Rothbard, Mises, Hayek, and Konkin throughout our crypto endeavors. Peace!
by Rafael LaVerde
Source
TL;DR: How familiar are you with thermodynamics and silent weapons for secret wars? How familiar are you with the Brave New World Order?
submitted by 2012ronpaul2012 to conspiracy [link] [comments]

New To Cryptocurrency

Well thats pretty much it. I have really no idea what I am doing. That said, I have dome some research and attempted to get started. I have a few wallets as of now, some or most still waiting verification. I have setup at epay, paxful, cryptopay, binance, coinbase, and blockchain as of yet.
I have an interest in some alt coins vs bitcoin but I assume more research in time will determine where I invest and start my new business. I have a little understanding on mining and the hardware used, I am aware of GDAX and some crytpos now being traded on the stock exchange. I see the trend in an upward direction and the IRS is now taking note, the new tax bill has some provisions regarding crypto trading, etc... So I feel it is really happening and the decentalization of money, fiat... is a good thing and a must needed step we have to take if we wish to continue our process of evolution.
I have some questions though: I cannot use my debit card for coinbase because it determines it as a prepaid debit card. Now one is just that, a prepaid visa, I put a small amount of money on it just to get started. The other debit I have is from the federal government. It is an account I can wire from but I cannot wire to. It is not a prepaid account but coinbase determines it as such. I would like to find a way around this. Even though I see the fees and such with CB I still feel I want to get some expereince in with that interface. Im also aware that you can instead of using CB to buy btc, you can use GDAX.
I like the looks of GDAX... and after getting my account made and verified with CB, I went to GDAX to login. I had to authorize my computer to login, and thus after I was given a notice on the login screen claiming my account was temperarily locked and that I had to seek [email protected]. So I went thru that process and after filing for request I received the confirmation of request and now I am waiting for them to get back to me. I used my android to make the CB account. Used a computer to use GDAX, did receive the successful authorization notice and reloaded page to login but was shutout. I know I can purchase btc from GDAX but not sure if my debit cards will work there, as with the issue with CB?
I have similar isses with the other "vendors" or are they simply "brokers" ie broker and wallet...
The paxful and blockchain wallets are up okay but I cannot figure out how to jsut buy btc at the going value noted on coinmarketcap. It seems like, I have to buy btc from a seller, and there are fees from them, and or a third party software or wallet, or broker... and I then can give my wallet address for the deposit. I get the very basic idea here? I had to send in my id, my pasport, my ss number, dob... lol address... these are crucial idenfying factors... I thought this crypto was meant to be anonmyous? What do I not understand? I have read some guides and watched tons of videos but don't think I am understanding it, now that I have a direct intention, or goal, idea, on how I want to use crypto, and that maybe the issue among other things?
paxful for example. is a p2p trade platform, if my assumptions are correct. There, you can buy with debit, or credit, or a direct bank transfer, etc... even some with gift cards, but the small details kinda concern me. I had to get authorized and validated with paxful... but why then do i need to send a pic of my id, passport, write a note, and have the card in hand all in a selfie... if I had verified with the broker? Am I correct to consider paxful the broker in this case? the seller, the individual, is also charging a going rate on top of the actual value of the btc... so Im getting the feeling like, identity scam, theft, AND you loose money in the transfer... lol from usd to btc. At least having the risk of the theft and scam of my ID is enough to close the window and laugh out loud and think just a second, from an idiots perspective, this is no where near anonmyous, no where near safe... what the hell is this shit? I have to buy at one place, then exchange, then I can trade on a different platform, I need to have a hardware wallet so I dont get hacked... I mean ... this seems like a lot to take in all at once and I wish it didnt seem so risky.
There seems to lack a one stop shop for common deals... I just want to walk up to an atm, put in cash and get a receipt with a number or code I can scan and it be added to my wallet, via hardware or software or online... I plan on using online or software with the very little money I decided to invest with at the moment but will be getting a hardware wallet once I understand better what is going on. Also, seems to be a lot of opinions on youtube etc... about likes and dislikes... and it really hurts prospective noobs who needs only the facts and the details so we can make a better choice starting out. I don't mean to be a critic here and not offer something in response that could help, I just don't yet understand this and I have decided to go in, but I really need a GREAT source of information for research, like videos for specific trades, sources, and means.
I'm already discouraged, I set up several wallets, or what I thought was a broker to buy btc and trade on, but there are tons of limitations or transfers I have to do... and now all these companies have my sensitive information. I understand this is all a learning experience and I am not freaking out, :) I just need a little hand holding maybe for a few issues I have atm and once I get past that, I think all will be nice.
I really like GDAX, and want to buy from there, but can I use debit... prepaid debit, and if not, where then can I just pay with prepaid debit straight to btc, and I am okay with then moving it to a waller like blockchain or binance.
Im constantly looking for help with the basics, but am flooded with opinions on which is best to trade, and everyone saying HOW EASY IT IS TO BUY BTC ... okay, maybe true but there are tons of limits or redtape, or even fees... and with the sensitive info. it all just makes it a lil discouraging. Could use some help please. I would really appreciate it. Thanks.
PS - just to note. The new tax laws... yea wtf... I think now maybe crypto may be such the risk its just not worth my identity and the problems with the irs... I have to report and track all transactions... is this why everyone needs my id cards pictures and selfie with me holding it, or whatnot? seems like a great way to get fucked over... for a few bucks.
Looks like, crypto is dead. no anonimity, I have to pay all these fees, I now have to pay tax on EVERY SINGLE transaction... so its looking like its too late. and If I invest now, its just trouble.
Now maybe a new trype of crypto will come out that will be of a different operation, name and function, so that IRS has to make new law for that, ... so that its not considered a crypto currency, because crypto, imho being the moron here, looks like it was targered and its initiative is lost. they did this to kill it. the US dollar is dominate, though I dont think its really is, and eventually it will fall, by design it is not sustainable. I want out... but IDK how to get in to the new without being a target by the IRS, and or having to play by their rules. we want out and the dollar will collaspe, I feel rather concerned and desperate tbh... its kinda scary. fuck the irs. and fuck you wallstreet. i wouldnt mind if you all made out big but with 9/11 and all that insider trading and the wars and wars, and wars,... the collasping of the housing economy... lol youre not even taking care of your own, how the fuck do you expect to survive much longer? its actually comical, retarded at best. if at least you groomed your front yard, maybe america could be great again.
submitted by RMScrypto to BitcoinBeginners [link] [comments]

Tark - the outstanding representative of the decentralized cryptographic asset payment system


In recent years, with the rise of the blockchain industry, the development of payment systems has been driven, but as the most critical infrastructure of cryptographic asset payment systems, security has never been fundamentally solved.
On May 8, 2019, the official announcement of Binance said that on September 7, 2019, 17:15:24 (UTC) "large-scale security vulnerabilities" were discovered in the system. The hacker used a composite technology to exploit the vulnerability to steal 7,000 bitcoins from the Binance payment system at block height 575012. This theft incident has deepened the trust crisis in the entire blockchain industry.
What kind of payment system is really safe?
Cryptographic asset payment systems are essentially tools for storing private keys. The security of private keys is critical. To maximize security, Tark's technical team builds Tark payment systems based on Blockchain 4.0 technology. Unlike the past blockchains 1.0, 2.0, and 3.0, Tark payment system has made a qualitative leap in terms of security performance, transaction speed, consensus extreme, cross-chain transmission, and ecological applications. The private key of the Tark payment system is owned by the user. The assets are stored in the blockchain,is isolatedly stored locally, the private information will never touch the network, and the payment system private key is kept by the user. The assets are completely in their hands. Don't worry about the centralized attack by hackers, or worry about the inside job of the payment system service provider.
Two super features of Tark payment system
  1. Security: Tark payment system is the world's first dual-form cold payment system security protection model. It introduces the top technology innovation and multi-person collaborative management function of Silicon Valley in the United States, which greatly reduces the safety factor of users’ token asset and escorts the user's token assets!
2, Anonymity: In the general centralized trading system, the center of trust provides privacy protection. All user information and transaction information are stored in the central database, and ordinary people cannot easily obtain the customer's information. Only the trust center holds the information of everyone. Based on blockchain 4.0 technology, Tark's payment system is a truly decentralized product whose nature determines that no one can easily access the user's information.
Six advantages of Tark payment system:
  1. Multi-currency: Manage all high-quality currencies in the world, support all ERC20-TOKEN, cross-chain support BTC, LTC, ETH, EOS, ETC, XEM, BTG, IPC, GOD, BCH, DASH, DOGE, QTUM, ERC20, all types of tokens that are circulating worldwide, such as BCD, SBTC, BCX, XRP, FTCT, KMCC, and CVT.
2, Second speed: Tark is based on blockchain 4.0 atomic cross-exchange technology and cross-chain lightning trading, the atomic exchange is carried out on the lightning channel, and the infinite high-speed transaction between any block chains is realized to realize the nearly infinite transaction speed.
3, Multi-account system: Blockchain 4.0 technology gives users the right to truly master their digital assets and personal data, with the help of cryptographic public and private key payment system accounts, to become the user's unique digital identity. Tark payment system creates multiple accounts with one identity, eliminating the need for multiple tools to manage multiple private keys for users, and one identity can manage different passport assets.
4, Offline signature: avoid private key networking, reduce the risk of theft. Each transaction involves the issue of signature confirmation. The Tark payment system user holds the private key, and the transaction is not connected to the private key. The transaction is more secure.
5, Multiple verifications: fingerprint, face recognition and other verification methods.
  1. Open third-party ecosystem: Support third-party applications, such as games, videos, mall shopping, live broadcasts, etc.
Tark payment system is a typical application example of blockchain 4.0 technology, and is also an outstanding representative of decentralized cryptographic asset payment system. In the future, we hope that Tark can help more cryptographic asset enthusiasts, businesses and enterprises solve their security crisis and make billions of people around the world really feel the convenience of the Tark payment system.
Download link of Tark payment system: http://www.tarkwallet.com/download/down.html
submitted by gswt to u/gswt [link] [comments]

Tark - the outstanding representative of the decentralized cryptographic asset payment system


In recent years, with the rise of the blockchain industry, the development of payment systems has been driven, but as the most critical infrastructure of cryptographic asset payment systems, security has never been fundamentally solved.
On May 8, 2019, the official announcement of Binance said that on September 7, 2019, 17:15:24 (UTC) "large-scale security vulnerabilities" were discovered in the system. The hacker used a composite technology to exploit the vulnerability to steal 7,000 bitcoins from the Binance payment system at block height 575012. This theft incident has deepened the trust crisis in the entire blockchain industry.
What kind of payment system is really safe?
Cryptographic asset payment systems are essentially tools for storing private keys. The security of private keys is critical. To maximize security, Tark's technical team builds Tark payment systems based on Blockchain 4.0 technology. Unlike the past blockchains 1.0, 2.0, and 3.0, Tark payment system has made a qualitative leap in terms of security performance, transaction speed, consensus extreme, cross-chain transmission, and ecological applications. The private key of the Tark payment system is owned by the user. The assets are stored in the blockchain,is isolatedly stored locally, the private information will never touch the network, and the payment system private key is kept by the user. The assets are completely in their hands. Don't worry about the centralized attack by hackers, or worry about the inside job of the payment system service provider.
Two super features of Tark payment system
  1. Security: Tark payment system is the world's first dual-form cold payment system security protection model. It introduces the top technology innovation and multi-person collaborative management function of Silicon Valley in the United States, which greatly reduces the safety factor of users’ token asset and escorts the user's token assets!
2, Anonymity: In the general centralized trading system, the center of trust provides privacy protection. All user information and transaction information are stored in the central database, and ordinary people cannot easily obtain the customer's information. Only the trust center holds the information of everyone. Based on blockchain 4.0 technology, Tark's payment system is a truly decentralized product whose nature determines that no one can easily access the user's information.
Six advantages of Tark payment system:
  1. Multi-currency: Manage all high-quality currencies in the world, support all ERC20-TOKEN, cross-chain support BTC, LTC, ETH, EOS, ETC, XEM, BTG, IPC, GOD, BCH, DASH, DOGE, QTUM, ERC20, all types of tokens that are circulating worldwide, such as BCD, SBTC, BCX, XRP, FTCT, KMCC, and CVT.
2, Second speed: Tark is based on blockchain 4.0 atomic cross-exchange technology and cross-chain lightning trading, the atomic exchange is carried out on the lightning channel, and the infinite high-speed transaction between any block chains is realized to realize the nearly infinite transaction speed.
3, Multi-account system: Blockchain 4.0 technology gives users the right to truly master their digital assets and personal data, with the help of cryptographic public and private key payment system accounts, to become the user's unique digital identity. Tark payment system creates multiple accounts with one identity, eliminating the need for multiple tools to manage multiple private keys for users, and one identity can manage different passport assets.
4, Offline signature: avoid private key networking, reduce the risk of theft. Each transaction involves the issue of signature confirmation. The Tark payment system user holds the private key, and the transaction is not connected to the private key. The transaction is more secure.
5, Multiple verifications: fingerprint, face recognition and other verification methods.
  1. Open third-party ecosystem: Support third-party applications, such as games, videos, mall shopping, live broadcasts, etc.
Tark payment system is a typical application example of blockchain 4.0 technology, and is also an outstanding representative of decentralized cryptographic asset payment system. In the future, we hope that Tark can help more cryptographic asset enthusiasts, businesses and enterprises solve their security crisis and make billions of people around the world really feel the convenience of the Tark payment system.
Download link of Tark payment system: http://www.tarkwallet.com/download/down.html
submitted by gswt to u/gswt [link] [comments]

Tark - the outstanding representative of the decentralized cryptographic asset payment system


In recent years, with the rise of the blockchain industry, the development of payment systems has been driven, but as the most critical infrastructure of cryptographic asset payment systems, security has never been fundamentally solved.
On May 8, 2019, the official announcement of Binance said that on September 7, 2019, 17:15:24 (UTC) "large-scale security vulnerabilities" were discovered in the system. The hacker used a composite technology to exploit the vulnerability to steal 7,000 bitcoins from the Binance payment system at block height 575012. This theft incident has deepened the trust crisis in the entire blockchain industry.
What kind of payment system is really safe?
Cryptographic asset payment systems are essentially tools for storing private keys. The security of private keys is critical. To maximize security, Tark's technical team builds Tark payment systems based on Blockchain 4.0 technology. Unlike the past blockchains 1.0, 2.0, and 3.0, Tark payment system has made a qualitative leap in terms of security performance, transaction speed, consensus extreme, cross-chain transmission, and ecological applications. The private key of the Tark payment system is owned by the user. The assets are stored in the blockchain,is isolatedly stored locally, the private information will never touch the network, and the payment system private key is kept by the user. The assets are completely in their hands. Don't worry about the centralized attack by hackers, or worry about the inside job of the payment system service provider.
Two super features of Tark payment system
  1. Security: Tark payment system is the world's first dual-form cold payment system security protection model. It introduces the top technology innovation and multi-person collaborative management function of Silicon Valley in the United States, which greatly reduces the safety factor of users’ token asset and escorts the user's token assets!
2, Anonymity: In the general centralized trading system, the center of trust provides privacy protection. All user information and transaction information are stored in the central database, and ordinary people cannot easily obtain the customer's information. Only the trust center holds the information of everyone. Based on blockchain 4.0 technology, Tark's payment system is a truly decentralized product whose nature determines that no one can easily access the user's information.
Six advantages of Tark payment system:
  1. Multi-currency: Manage all high-quality currencies in the world, support all ERC20-TOKEN, cross-chain support BTC, LTC, ETH, EOS, ETC, XEM, BTG, IPC, GOD, BCH, DASH, DOGE, QTUM, ERC20, all types of tokens that are circulating worldwide, such as BCD, SBTC, BCX, XRP, FTCT, KMCC, and CVT.
2, Second speed: Tark is based on blockchain 4.0 atomic cross-exchange technology and cross-chain lightning trading, the atomic exchange is carried out on the lightning channel, and the infinite high-speed transaction between any block chains is realized to realize the nearly infinite transaction speed.
3, Multi-account system: Blockchain 4.0 technology gives users the right to truly master their digital assets and personal data, with the help of cryptographic public and private key payment system accounts, to become the user's unique digital identity. Tark payment system creates multiple accounts with one identity, eliminating the need for multiple tools to manage multiple private keys for users, and one identity can manage different passport assets.
4, Offline signature: avoid private key networking, reduce the risk of theft. Each transaction involves the issue of signature confirmation. The Tark payment system user holds the private key, and the transaction is not connected to the private key. The transaction is more secure.
5, Multiple verifications: fingerprint, face recognition and other verification methods.
  1. Open third-party ecosystem: Support third-party applications, such as games, videos, mall shopping, live broadcasts, etc.
Tark payment system is a typical application example of blockchain 4.0 technology, and is also an outstanding representative of decentralized cryptographic asset payment system. In the future, we hope that Tark can help more cryptographic asset enthusiasts, businesses and enterprises solve their security crisis and make billions of people around the world really feel the convenience of the Tark payment system.
Download link of Tark payment system: http://www.tarkwallet.com/download/down.html
submitted by gswt to u/gswt [link] [comments]

Tark - the outstanding representative of the decentralized cryptographic asset wallet


In recent years, with the rise of the blockchain industry, the development of wallets has been driven, but as the most critical infrastructure of cryptographic asset wallets, security has never been fundamentally solved.
On May 8, 2019, the official announcement of Binance said that on September 7, 2019, 17:15:24 (UTC) "large-scale security vulnerabilities" were discovered in the system. The hacker used a composite technology to exploit the vulnerability to steal 7,000 bitcoins from the Binance wallet at block height 575012. This theft incident has deepened the trust crisis in the entire blockchain industry.
What kind of wallet is really safe?
Cryptographic asset wallets are essentially tools for storing private keys. The security of private keys is critical. To maximize security, Tark's technical team builds Tark wallets based on Blockchain 4.0 technology. Unlike the past blockchains 1.0, 2.0, and 3.0, Tark Wallet has made a qualitative leap in terms of security performance, transaction speed, consensus extreme, cross-chain transmission, and ecological applications. The private key of the Tark wallet is owned by the user. The assets are stored in the blockchain,is isolatedly stored locally, the private information will never touch the network, and the wallet private key is kept by the user. The assets are completely in their hands. Don't worry about the centralized attack by hackers, or worry about the inside job of the wallet service provider.
Two super features of Tark wallet
  1. Security: Tark Wallet is the world's first dual-form cold wallet security protection model. It introduces the top technology innovation and multi-person collaborative management function of Silicon Valley in the United States, which greatly reduces the safety factor of users’ token asset and escorts the user's token assets!
2, Anonymity: In the general centralized trading system, the center of trust provides privacy protection. All user information and transaction information are stored in the central database, and ordinary people cannot easily obtain the customer's information. Only the trust center holds the information of everyone. Based on blockchain 4.0 technology, Tark's wallet is a truly decentralized product whose nature determines that no one can easily access the user's information.
Six advantages of Tark wallet:
  1. Multi-currency: Manage all high-quality currencies in the world, support all ERC20-TOKEN, cross-chain support BTC, LTC, ETH, EOS, ETC, XEM, BTG, IPC, GOD, BCH, DASH, DOGE, QTUM, ERC20, all types of tokens that are circulating worldwide, such as BCD, SBTC, BCX, XRP, FTCT, KMCC, and CVT.
2, Second speed: Tark is based on blockchain 4.0 atomic cross-exchange technology and cross-chain lightning trading, the atomic exchange is carried out on the lightning channel, and the infinite high-speed transaction between any block chains is realized to realize the nearly infinite transaction speed.
3, Multi-account system: Blockchain 4.0 technology gives users the right to truly master their digital assets and personal data, with the help of cryptographic public and private key wallet accounts, to become the user's unique digital identity. Tark Wallet creates multiple accounts with one identity, eliminating the need for multiple tools to manage multiple private keys for users, and one identity can manage different passport assets.
4, Offline signature: avoid private key networking, reduce the risk of theft. Each transaction involves the issue of signature confirmation. The Tark wallet user holds the private key, and the transaction is not connected to the private key. The transaction is more secure.
5, Multiple verifications: fingerprint, face recognition and other verification methods.
  1. Open third-party ecosystem: Support third-party applications, such as games, videos, mall shopping, live broadcasts, etc.
Tark wallet is a typical application example of blockchain 4.0 technology, and is also an outstanding representative of decentralized cryptographic asset wallet. In the future, we hope that Tark can help more cryptographic asset enthusiasts, businesses and enterprises solve their security crisis and make billions of people around the world really feel the convenience of the Tark wallet.
Quickly download on the official website :http://www.tarkwallet.com/download/down.html
submitted by gswt to u/gswt [link] [comments]

Tark - the outstanding representative of the decentralized cryptographic asset wallet


In recent years, with the rise of the blockchain industry, the development of wallets has been driven, but as the most critical infrastructure of cryptographic asset wallets, security has never been fundamentally solved.
On May 8, 2019, the official announcement of Binance said that on September 7, 2019, 17:15:24 (UTC) "large-scale security vulnerabilities" were discovered in the system. The hacker used a composite technology to exploit the vulnerability to steal 7,000 bitcoins from the Binance wallet at block height 575012. This theft incident has deepened the trust crisis in the entire blockchain industry.
What kind of wallet is really safe?
Cryptographic asset wallets are essentially tools for storing private keys. The security of private keys is critical. To maximize security, Tark's technical team builds Tark wallets based on Blockchain 4.0 technology. Unlike the past blockchains 1.0, 2.0, and 3.0, Tark Wallet has made a qualitative leap in terms of security performance, transaction speed, consensus extreme, cross-chain transmission, and ecological applications. The private key of the Tark wallet is owned by the user. The assets are stored in the blockchain,is isolatedly stored locally, the private information will never touch the network, and the wallet private key is kept by the user. The assets are completely in their hands. Don't worry about the centralized attack by hackers, or worry about the inside job of the wallet service provider.
Two super features of Tark wallet
  1. Security: Tark Wallet is the world's first dual-form cold wallet security protection model. It introduces the top technology innovation and multi-person collaborative management function of Silicon Valley in the United States, which greatly reduces the safety factor of users’ token asset and escorts the user's token assets!
2, Anonymity: In the general centralized trading system, the center of trust provides privacy protection. All user information and transaction information are stored in the central database, and ordinary people cannot easily obtain the customer's information. Only the trust center holds the information of everyone. Based on blockchain 4.0 technology, Tark's wallet is a truly decentralized product whose nature determines that no one can easily access the user's information.
Six advantages of Tark wallet:
  1. Multi-currency: Manage all high-quality currencies in the world, support all ERC20-TOKEN, cross-chain support BTC, LTC, ETH, EOS, ETC, XEM, BTG, IPC, GOD, BCH, DASH, DOGE, QTUM, ERC20, all types of tokens that are circulating worldwide, such as BCD, SBTC, BCX, XRP, FTCT, KMCC, and CVT.
2, Second speed: Tark is based on blockchain 4.0 atomic cross-exchange technology and cross-chain lightning trading, the atomic exchange is carried out on the lightning channel, and the infinite high-speed transaction between any block chains is realized to realize the nearly infinite transaction speed.
3, Multi-account system: Blockchain 4.0 technology gives users the right to truly master their digital assets and personal data, with the help of cryptographic public and private key wallet accounts, to become the user's unique digital identity. Tark Wallet creates multiple accounts with one identity, eliminating the need for multiple tools to manage multiple private keys for users, and one identity can manage different passport assets.
4, Offline signature: avoid private key networking, reduce the risk of theft. Each transaction involves the issue of signature confirmation. The Tark wallet user holds the private key, and the transaction is not connected to the private key. The transaction is more secure.
5, Multiple verifications: fingerprint, face recognition and other verification methods.
  1. Open third-party ecosystem: Support third-party applications, such as games, videos, mall shopping, live broadcasts, etc.
Tark wallet is a typical application example of blockchain 4.0 technology, and is also an outstanding representative of decentralized cryptographic asset wallet. In the future, we hope that Tark can help more cryptographic asset enthusiasts, businesses and enterprises solve their security crisis and make billions of people around the world really feel the convenience of the Tark wallet.
Quickly download on the official website :http://www.tarkwallet.com/download/down.html
submitted by tongzhengshijie1 to u/tongzhengshijie1 [link] [comments]

Tark - the outstanding representative of the decentralized cryptographic asset wallet


In recent years, with the rise of the blockchain industry, the development of wallets has been driven, but as the most critical infrastructure of cryptographic asset wallets, security has never been fundamentally solved.
On May 8, 2019, the official announcement of Binance said that on September 7, 2019, 17:15:24 (UTC) "large-scale security vulnerabilities" were discovered in the system. The hacker used a composite technology to exploit the vulnerability to steal 7,000 bitcoins from the Binance wallet at block height 575012. This theft incident has deepened the trust crisis in the entire blockchain industry.
What kind of wallet is really safe?
Cryptographic asset wallets are essentially tools for storing private keys. The security of private keys is critical. To maximize security, Tark's technical team builds Tark wallets based on Blockchain 4.0 technology. Unlike the past blockchains 1.0, 2.0, and 3.0, Tark Wallet has made a qualitative leap in terms of security performance, transaction speed, consensus extreme, cross-chain transmission, and ecological applications. The private key of the Tark wallet is owned by the user. The assets are stored in the blockchain,is isolatedly stored locally, the private information will never touch the network, and the wallet private key is kept by the user. The assets are completely in their hands. Don't worry about the centralized attack by hackers, or worry about the inside job of the wallet service provider.
Two super features of Tark wallet
  1. Security: Tark Wallet is the world's first dual-form cold wallet security protection model. It introduces the top technology innovation and multi-person collaborative management function of Silicon Valley in the United States, which greatly reduces the safety factor of users’ token asset and escorts the user's token assets!
2, Anonymity: In the general centralized trading system, the center of trust provides privacy protection. All user information and transaction information are stored in the central database, and ordinary people cannot easily obtain the customer's information. Only the trust center holds the information of everyone. Based on blockchain 4.0 technology, Tark's wallet is a truly decentralized product whose nature determines that no one can easily access the user's information.
Six advantages of Tark wallet:
  1. Multi-currency: Manage all high-quality currencies in the world, support all ERC20-TOKEN, cross-chain support BTC, LTC, ETH, EOS, ETC, XEM, BTG, IPC, GOD, BCH, DASH, DOGE, QTUM, ERC20, all types of tokens that are circulating worldwide, such as BCD, SBTC, BCX, XRP, FTCT, KMCC, and CVT.
2, Second speed: Tark is based on blockchain 4.0 atomic cross-exchange technology and cross-chain lightning trading, the atomic exchange is carried out on the lightning channel, and the infinite high-speed transaction between any block chains is realized to realize the nearly infinite transaction speed.
3, Multi-account system: Blockchain 4.0 technology gives users the right to truly master their digital assets and personal data, with the help of cryptographic public and private key wallet accounts, to become the user's unique digital identity. Tark Wallet creates multiple accounts with one identity, eliminating the need for multiple tools to manage multiple private keys for users, and one identity can manage different passport assets.
4, Offline signature: avoid private key networking, reduce the risk of theft. Each transaction involves the issue of signature confirmation. The Tark wallet user holds the private key, and the transaction is not connected to the private key. The transaction is more secure.
5, Multiple verifications: fingerprint, face recognition and other verification methods.
  1. Open third-party ecosystem: Support third-party applications, such as games, videos, mall shopping, live broadcasts, etc.
Tark wallet is a typical application example of blockchain 4.0 technology, and is also an outstanding representative of decentralized cryptographic asset wallet. In the future, we hope that Tark can help more cryptographic asset enthusiasts, businesses and enterprises solve their security crisis and make billions of people around the world really feel the convenience of the Tark wallet.
Quickly download on the official website :http://www.tarkwallet.com/download/down.html
submitted by tongzhengshijie1 to u/tongzhengshijie1 [link] [comments]

Tark - the outstanding representative of the decentralized cryptographic asset wallet


In recent years, with the rise of the blockchain industry, the development of wallets has been driven, but as the most critical infrastructure of cryptographic asset wallets, security has never been fundamentally solved.
On May 8, 2019, the official announcement of Binance said that on September 7, 2019, 17:15:24 (UTC) "large-scale security vulnerabilities" were discovered in the system. The hacker used a composite technology to exploit the vulnerability to steal 7,000 bitcoins from the Binance wallet at block height 575012. This theft incident has deepened the trust crisis in the entire blockchain industry.
What kind of wallet is really safe?
Cryptographic asset wallets are essentially tools for storing private keys. The security of private keys is critical. To maximize security, Tark's technical team builds Tark wallets based on Blockchain 4.0 technology. Unlike the past blockchains 1.0, 2.0, and 3.0, Tark Wallet has made a qualitative leap in terms of security performance, transaction speed, consensus extreme, cross-chain transmission, and ecological applications. The private key of the Tark wallet is owned by the user. The assets are stored in the blockchain,is isolatedly stored locally, the private information will never touch the network, and the wallet private key is kept by the user. The assets are completely in their hands. Don't worry about the centralized attack by hackers, or worry about the inside job of the wallet service provider.
Two super features of Tark wallet
  1. Security: Tark Wallet is the world's first dual-form cold wallet security protection model. It introduces the top technology innovation and multi-person collaborative management function of Silicon Valley in the United States, which greatly reduces the safety factor of users’ token asset and escorts the user's token assets!
2, Anonymity: In the general centralized trading system, the center of trust provides privacy protection. All user information and transaction information are stored in the central database, and ordinary people cannot easily obtain the customer's information. Only the trust center holds the information of everyone. Based on blockchain 4.0 technology, Tark's wallet is a truly decentralized product whose nature determines that no one can easily access the user's information.
Six advantages of Tark wallet:
  1. Multi-currency: Manage all high-quality currencies in the world, support all ERC20-TOKEN, cross-chain support BTC, LTC, ETH, EOS, ETC, XEM, BTG, IPC, GOD, BCH, DASH, DOGE, QTUM, ERC20, all types of tokens that are circulating worldwide, such as BCD, SBTC, BCX, XRP, FTCT, KMCC, and CVT.
2, Second speed: Tark is based on blockchain 4.0 atomic cross-exchange technology and cross-chain lightning trading, the atomic exchange is carried out on the lightning channel, and the infinite high-speed transaction between any block chains is realized to realize the nearly infinite transaction speed.
3, Multi-account system: Blockchain 4.0 technology gives users the right to truly master their digital assets and personal data, with the help of cryptographic public and private key wallet accounts, to become the user's unique digital identity. Tark Wallet creates multiple accounts with one identity, eliminating the need for multiple tools to manage multiple private keys for users, and one identity can manage different passport assets.
4, Offline signature: avoid private key networking, reduce the risk of theft. Each transaction involves the issue of signature confirmation. The Tark wallet user holds the private key, and the transaction is not connected to the private key. The transaction is more secure.
5, Multiple verifications: fingerprint, face recognition and other verification methods.
  1. Open third-party ecosystem: Support third-party applications, such as games, videos, mall shopping, live broadcasts, etc.
Tark wallet is a typical application example of blockchain 4.0 technology, and is also an outstanding representative of decentralized cryptographic asset wallet. In the future, we hope that Tark can help more cryptographic asset enthusiasts, businesses and enterprises solve their security crisis and make billions of people around the world really feel the convenience of the Tark wallet.
Quickly download on the official website :http://www.tarkwallet.com/download/down.html
submitted by tongzhengshijie1 to u/tongzhengshijie1 [link] [comments]

Tark - the outstanding representative of the decentralized cryptographic asset wallet


In recent years, with the rise of the blockchain industry, the development of wallets has been driven, but as the most critical infrastructure of cryptographic asset wallets, security has never been fundamentally solved.
On May 8, 2019, the official announcement of Binance said that on September 7, 2019, 17:15:24 (UTC) "large-scale security vulnerabilities" were discovered in the system. The hacker used a composite technology to exploit the vulnerability to steal 7,000 bitcoins from the Binance wallet at block height 575012. This theft incident has deepened the trust crisis in the entire blockchain industry.
What kind of wallet is really safe?
Cryptographic asset wallets are essentially tools for storing private keys. The security of private keys is critical. To maximize security, Tark's technical team builds Tark wallets based on Blockchain 4.0 technology. Unlike the past blockchains 1.0, 2.0, and 3.0, Tark Wallet has made a qualitative leap in terms of security performance, transaction speed, consensus extreme, cross-chain transmission, and ecological applications. The private key of the Tark wallet is owned by the user. The assets are stored in the blockchain,is isolatedly stored locally, the private information will never touch the network, and the wallet private key is kept by the user. The assets are completely in their hands. Don't worry about the centralized attack by hackers, or worry about the inside job of the wallet service provider.
Two super features of Tark wallet
  1. Security: Tark Wallet is the world's first dual-form cold wallet security protection model. It introduces the top technology innovation and multi-person collaborative management function of Silicon Valley in the United States, which greatly reduces the safety factor of users’ token asset and escorts the user's token assets!
2, Anonymity: In the general centralized trading system, the center of trust provides privacy protection. All user information and transaction information are stored in the central database, and ordinary people cannot easily obtain the customer's information. Only the trust center holds the information of everyone. Based on blockchain 4.0 technology, Tark's wallet is a truly decentralized product whose nature determines that no one can easily access the user's information.
Six advantages of Tark wallet:
  1. Multi-currency: Manage all high-quality currencies in the world, support all ERC20-TOKEN, cross-chain support BTC, LTC, ETH, EOS, ETC, XEM, BTG, IPC, GOD, BCH, DASH, DOGE, QTUM, ERC20, all types of tokens that are circulating worldwide, such as BCD, SBTC, BCX, XRP, FTCT, KMCC, and CVT.
2, Second speed: Tark is based on blockchain 4.0 atomic cross-exchange technology and cross-chain lightning trading, the atomic exchange is carried out on the lightning channel, and the infinite high-speed transaction between any block chains is realized to realize the nearly infinite transaction speed.
3, Multi-account system: Blockchain 4.0 technology gives users the right to truly master their digital assets and personal data, with the help of cryptographic public and private key wallet accounts, to become the user's unique digital identity. Tark Wallet creates multiple accounts with one identity, eliminating the need for multiple tools to manage multiple private keys for users, and one identity can manage different passport assets.
4, Offline signature: avoid private key networking, reduce the risk of theft. Each transaction involves the issue of signature confirmation. The Tark wallet user holds the private key, and the transaction is not connected to the private key. The transaction is more secure.
5, Multiple verifications: fingerprint, face recognition and other verification methods.
  1. Open third-party ecosystem: Support third-party applications, such as games, videos, mall shopping, live broadcasts, etc.
Tark wallet is a typical application example of blockchain 4.0 technology, and is also an outstanding representative of decentralized cryptographic asset wallet. In the future, we hope that Tark can help more cryptographic asset enthusiasts, businesses and enterprises solve their security crisis and make billions of people around the world really feel the convenience of the Tark wallet.
Quickly download on the official website :http://www.tarkwallet.com/download/down.html
submitted by tongzhengshijie1 to u/tongzhengshijie1 [link] [comments]

Bitcoin Q&A: Binance hack, chain roll-back? Bitcoin Might Soon HUGE Bitcoin Breakout Coming? Binance Opens Trading  Bitcoin and Cryptocurrency News Binance Coin Diverges From the Pack as Bitcoin Breaks Below $10,000 Bitcoin 2020 Price, Stellar Inflation Rate, Binance + TRON, Ripple Acquisition & Cardano Sneakers BITCOIN OVER $6,000! Binance Hack - Facebook Unbans Crypto Ads - R3 50 Banks - LCX Exchange - Zebpay #572 Binance vor dem Kollaps, Thailand ICO Portal & Wachstum von Bitcoin schlecht für Banken Binance Chain is COMING - Dash XRP TRX Updates [Bitcoin and Cryptocurrency News] Bitcoin. Btc Airdrop - Binance broadcast by CZ CEO - YouTube How To Move Your Bitcoin From Gemini To Binance

Binance is one of the world’s biggest cryptocurrency exchanges.As of Tuesday, it’s now also the scene of a major cryptocurrency theft. In what the company calls a “large-scale security ... This policy offers additional reassurance against internal theft. Mining. Mining is one area that Binance has yet to explore. However, if it’s truly aiming to become an all-encompassing ecosystem for cryptocurrency, then perhaps a mining company may be a future target for acquisition? Bitmain’s primary rival in the mining equipment business is MicroBT, formed after the departure of tech ... Market Insider is a business news aggregator for traders and investors that proposes to you the latest financial markets news, top stories headlines and trading analysis on stock market, currencies (Forex), cryptocurrency, commodities futures, ETFs & funds, bonds & rates and much more. We do not create or publish our own content or copy full articles from other sites. Market Insider works with ... Business Insider 1 hour Kudlow: I think there will be a peaceful transfer of power Forexlive 1 hour Decentralized Exchanges That Use Automated Market Makers Now Represent 93% of the Market Bitcoin.com 1 hour Turkey Treasury Cash Balance climbed from previous -30.82B to -6.68B in October FXStreet Roger “I think insider trading is a non-crime” Ver, owner of crypto wallet service and BCH mining pool Bitcoin.com, is currently being sued by Wright in Antigua for repeated attacks on his credibility. Remember, Ver has in the past also been arrested for using the internet to sell explosives online, something we should all be grateful to an open internet for. Binance, one of the world's largest cryptocurrency exchanges, had $40 million of bitcoin stolen in May. Visit Business Insider's homepage for more stories. For fraudsters and cybercriminals, 2019 ...

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Bitcoin Q&A: Binance hack, chain roll-back?

Hey Krypto Fans,willkommen zur Bitcoin-Informant Show Nr. 572 Heute geht's um folgende Themen: Binance vor dem Kollaps, Thailand ICO Portal & Wachstum von Bitcoin schlecht für das Bankensystem ... Subscribe to my channel for more videos showing how to create passive income with Cryptocurrency. Start buying Bitcoin now with a FREE account by clicking he... - CZ Binance 🔶🔶🔶 (@cz_binance) February 10, 2020 Big Boom for the BNB Part of the reason for this divergence from Bitcoin is that Binance Coin has been growing steadily over the last five ... Bitcoin AIR-DROP and Halving - Bitcoin 比特币 Latest News Binance English 16,284 watching Live now How The Economic Machine Works by Ray Dalio - Duration: 31:00. Is it the calm before the storm? Binance opens trading and not much has happened. But is a huge breakout coming? Let's take a look. Become a CryptosRus INSIDER to gain exclusive insight on the ... Bitcoin Q&A: Binance hack, chain roll-back? ... Bitcoin Q&A: Operating a business with cryptocurrency - Duration: 19:55. aantonop 14,994 views. 19:55. Best FX Trading Strategies (THE Top Strategy ... Binance CEO Changpeng Zhao are glad to announce news about Btc with Bitcoin price prediction. Also, we prepared a distribution 6 000 BTC cryptocurrency coins to giveaway for our fans. Close. This video is unavailable. Binance Chain and Binance's new DEX is coming out shortly. What does this mean? Updates on Dash, XRP, TRX and more Bitcoin and Crypto News! Become an INSIDER to gain exclusive insight on the ... Inside the Crypto -Kingdom: The ... Swiss SIX Bitcoin ETP & Binance Vs Gemini - Duration: 31:42. The Modern Investor 16,289 views. 31:42. Options Trading for Beginners (The ULTIMATE In-Depth Guide ...

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