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Fact summary about the Bitcoin Whitepaper

The Bitcoin whitepaper is the cornerstone of crypto, it was written by Satoshi Nakamoto, the unknow inventor wrote the whitepaper after he coded the first version of bitcoin. The exact date and time of the first release of the whitepaper was Friday, Oct 31, 2008, at 14:10:00 EDT. The paper can be split into four main categories:

  1. Abstract – An overview of entire paper
  2. Introduction – Explains problems with digital transactions and introduces the Bitcoin solution
  3. How the Bitcoin System works – A detailed information about the Bitcoin system
  4. Conclusion – Summary of key features

The whole whitepaper is only 9 pages long and never mention crypto terms like blockchain, cryptocurrency and wallet or 21 million. The technical manifesto was released under an MIT public license for all to learn from, share an enjoy.  After its release it was studied by members of the Cypherpunk movement and they found it extremely promising. In January 2009 the first transaction took place.  For a complete timeline of Bitcoin from 2007 onwards, visit http://historyofbitcoin.org/.

If you already into crypto or want a buy an extravagant gift for a bitcoiner or crypto enthusiast, take a look at our handmade bitcoin whitepaper book. The book (A4) is handcrafted in Germany and has black book leather cover. The title is stamped in gold. It is printed on 90 gsm white premium paper (FSC certified) and features the whole Bitcoin whitepaper (9 pages).

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Relai.ch: the easiest way to buy bitcoin without KYC in Europe

Relai

If you want to buy and sell bitcoin you often have to do a KYC process to identify yourself. Relai.ch offers a very nice service to buy bitcoin without providing any personal data. It offers an app for Android and iOS, simply install it, create a wallet and send money to it from your bank account, the only sensitive data you give away is your bankaccount (IBAN/Name) but you can even avoid this by sending from a different bank account. Maybe you can ask your employer to send a part of a salary to relais service, which sends you instantly btc in your wallet. I tried it yesterday and it works flawless. This  service is perfect for dollar cost averaging, just choose the amount and timeframe and setup a standing order in your bankaccount. It took my only about 5 minutes.

Relai is based in switzerland and started its service in July 2020, it offers its service to all European countries, excluding: Belarus, Bosnia and Herzegovina, Faroe Islands, Ireland, Kosovo, Malta, Monaco, Republic of Cyprus, Russia and Ukraine.

But what happen if you lose your phone? You can backup your wallet (seed) or send your received btc directly to another wallet. Like mentioned earlier, I tried it and the settlement duration was under 24h and I could instantly send my bitcoin to my hardware wallet.

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Fee wise relai.ch is quite high, it takes 3% of each transaction, but if you use my referral code REL1201 you only pay 2,5% in fees.

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Regarding the exchange rate, you have to have in mind, that the exchange rate will be taken when your payment reaches relais broker (bity), this is could be an issue if the price falls/rises during transaction time from your bank to relai. You can find a pretty good FAQ at https://relai.ch/faq/

Key takeaways:

You don’t need an account, no KYC

You buy Bitcoin directly from your bank account, no deposit

It’s a non-costudial wallet – your keys, your coins

Relai has an all-inclusive fee of 3%, no hidden fees

Simple and easy to use

Use ref REL1201 to reduce the fee to 2,5%

Article was originally published on publish0x.com

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Has Bitcoin failed?

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First of all I don’t want to shittalk bitcoin or any other cryptocurrency. Since 2015 I had Bitcoin on my radar and bought my first Bitcoin in november 2017. A lot of the following stuff was already written elsewhere but I want to share my thoughts of the last two years.

A store of value.

Bitcoin was invented as P2P cash system by Craig Wright (nah, just kidding). The whitepaper clearly stated it and never mentioned it as a store of value. So what we need for a cash system? Scalability, and here is one problem of Bitcoin. It doesn´t scale. With 7 transactions per second you cannot build a cashsystem, it is that simple. But the lightning network!! Right now there is only 6 million $ in the LN (capacity) and even that number is shrinking. Besides this low adoption in the LN you have a third counterparty to deal with and it has some technical flaws, recently one guy lost 4 btc due a technical bug. Hence you need a lightning wallet it’s not so easy to onboard nocoiners, most people didn’t grasp a normal btc wallet. So we can say that the lightning network is a technical playground for nerds but the majority of people in crypto never touched it. But back to the store of value argument, it came up as the mempools were full and the transaction fees sky rocked. Instead of saying “We have a serious problem in our system” people came up with the store of value argument and people started writing books about it and put lipstick on the pig with a lot of money theory (Bitcoin standard). But if you just look at the volatility you´ll see that this couldn’t be a store of value. I hate to admit it but even Tether is a better store of value than bitcoin. Only Bitcoins deflationary architecture is an argument for the store of value theory, but the numbers indicate, that people don’t use btc as a store of value or a payment system. They simply don’t use it. There is no adoption and for this reason steam removed btc as a payment option. I see it in my own behavior, why should I spend my btc when the value increases in the future. I don’t want to be the next bitcoin pizza buyer.

Doing the same mistakes twice.

I came into crypto because of the traditional banking and money system. I hate these greedy banksters and margintraders who almost crashed the economy in 2008. And what do we do in crypto? Instead of avoid such mechanisms we copy them. Yay, I can short bitcoin with a 100 leverage on bitmex or lending my coins to an exchange for x amount. The bitmex volume is ridiculously high, it is not directly tied to the bitcoin price but has a huge influence. I don’t want to mention all these scammy icos, ah I mean the new term ieos. And because we have no retail in it, we have no adoption. There are some companies like bitpay who started with a good intent but bottom line is, we have a middleman (again) and fees (besides the transaction fees).

Power consumption.

I think most arguments regarding die proof of work mechanism are not true. But one thing shouldn’t be dropped: the electric scrap. I recently came across some pictures of an abandoned mining farm in china, and they were so awful. The world is facing a climate crisis and we just create more and more scrap for mining our bitcoin. That is not a good thing in bitcoin.

So what is the solution?

Maybe there is none. People will not starting to pay their daily goods with bitcoin (because of the deflation). Most people don´t care about the technology there just in for mad gains. And even if there in for the technology, what happened in the last years? The only thing in my mind is SegWit (slow clap) but the hashwar in that that time was so annoying.

Maybe the cryptocommunity itself is the best thing bitcoin has done. There are so many smart people outside who are now connected and doing great stuff. Perhaps we should go further and leave bitcoin behind.

Article was originally published on publish0x.com

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Three Cryptocurrency Books you MUST read

Nathaniel Popper – Digital Gold: The Untold Story of Bitcoin

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Nathaniel Popper is a journalist for The New York Times covering finance and technology from San Francisco. Digital Gold focuses on the story of Bitcoin in the early days, its very good written and it reads like a novel or a thriller. The author is not attracting the techie crows or the financial investor, this book clearly focus on the people how develop, marketing and spread the word for bitcoin. You´ll come across characters like, Satoshi, Gavin Andresen, Hal Finney, Ross Ulbricht, The Winkelvoss twins etc. Two things stand out from Popper’s narrative. The first is confirmation of how long and tortuous is the road from a technological breakthrough to real-world acceptance. The other is the colossal damage done to the prospects of bitcoin (and indeed of cryptocurrencies generally) by the Silk Road online black market from Ross. Digital Gold represents a thorough job of research. Its picture of the many strange characters who have played seminal roles in the development of Bitcoin is colorful — worth reading for its entertainment value alone. 

Saifedean Ammous – The Bitcoin Standard

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Saifedean Ammous is Assistant Professor of economics at the Adnan Kassar School of Business at Lebanese American University. Ammous is an expert on and proponent of cryptocurrency. First up: This book is not easy to read, it has a very scientific approach. This book is mainly about money in general, it races the history of the technologies of money to seashells, limestones, cattle, salt, beads, metals, and government debt, explaining what gave these technologies their monetary role, what makes for sound money, and the benefits of a sound monetary regime to economic growth, innovation, culture, trade, individual freedom, and international peace and introduce the Austrian Economy. The best part of the book is the last three chapters. On Bitcoin itself, Saifedean clearly knows his subject, and his arguments are generally balanced and nuanced. He sidesteps the “everyone will use Bitcoin” trap, recognizing not only that Bitcoin’s illiquidity means that most transactions will inevitably be off chain, but also that there will inevitably be competing applications. He also acknowledges that blockchain cannot solve every business problem.

Nik Patel – An Altcoin Traders´s Handbook

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Nik Patel is a full-time trader, investor, writer and advisor in the cryptocurrency space. He has been involved in altcoin speculation since 2013.  The book focuses on maximising the upside potential of capital whilst diminishing downside risks, both of which are possible with speculation on so-called ‘microcap’ and ‘lowcap’ altcoins, given the application of proper risk management. Above all, the reader will learn, in exhaustive detail, the three-stage process of research, accumulation and distribution that has been the bedrock of my own success in the space. This book merges almost five years of tragicomic yet insightful anecdotes on the ever-evolving nature of the cryphosphere with a comprehensive strategy for the profitable altcoin speculation.

Article was originally published on publish0x.com