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How is blockchain algorithm put into operation

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How is blockchain algorithm put into operation. Blockchain Technology is one of the most emerging Technologies of the decade

Understanding the hash function used by the blockchain technology

How is blockchain algorithm put into operation. Blockchain Technology is one of the most emerging Technologies of the decade. It has proved to provide Real-world solutions to a number of problems. It is able to find applications in almost all the fields. But most importantly it has affected the financial and business economy by providing a whole new set of decentralized cryptocurrencies.

The blockchain technology actually works on the proof of work concept and distributed ledger Technology. They both are implemented in order to provide security to the system.

 

Hash function or SHA 256 – blockchain algorithm

One of the most important function that the blockchain network uses, in order to provide security to itself, is the hash functions, specifically SHA-256.

Hash Function is basically an algorithm which takes the input of any size but gives an output of fixed size. Depending on the size of the input the input is either squeezed or expanded in order to make the output of the desired size. The implementation of this particular algorithm in the blockchain technology is when one needs to generate a particular Hash of a block which contains a large amount of information like the transactions, the user ids, and the public keys which are basically nothing but characters.

This is necessary because we need to compare the blocks in the future and also to check if the block has been tampered with or not. Also, we need to take the hash of a particular block as an input to the next block in order to generate its hash.

 

Miners – blockchain algorithm

The miners run this particular Hash algorithm in a set of a large number of transactional records in order to generate a particular Hash. This set of records from a single block. Then the miners need to solve the complex algorithms and when they successfully do it they are permitted to add their particular block in the blockchain which is verified by the other miners in the network. It is also to be kept in mind that as the number of miners in the network increases the difficulty of the complex mathematical problem also increases exponentially and the reward for adding a particular block to the blockchain keeps decreasing.

The transactions which are contained in a single block are said to have happened at the same time and the transactions which are not yet added to the blocks are said to be unconfirmed. Each and every node in the network has the authority to group a set of unconfirmed transactions and suggest it’s addition to the block. But since there are a huge number of nodes and each and every node of the network can suggest the blockchain, so how does the blockchain decide which particular block to accept.  This is decided based on which particular node solves the complex mathematical problem posed by the blockchain to them which is created by an irreversible cryptographic Hash Function. At this point in time, a typical computer would take years together to calculate or specifically guess the result. Hence these days specialized circuit board is used to solve the algorithms.

 

Complex blockchain algorithm

As the difficulty of the solving Complex algorithm increases with increase in the number of nodes, the people, intelligently have started to come together and act as a single node but dividing the number of guesses that each particular one does working themselves. In this way the difficulty level of the complex algorithm is not increased by the addition of a number of nodes, also there is the higher probability of finding the solution and they share the reward within themselves. Such systems are called as mining pools. Some of the mind phones have become so large that they constitute almost 20% of the total mining done on the network. If at all in future if this percentage reaches up to 50% then it is a great threat to the whole network as they can manipulate or tamper the data easily as they would have gained control over 50% of the total network.

Currently, the Bitcoin reward is around 12.5 Bitcoin. It is estimated that over a span of 4 years the reward will keep decreasing by a factor of 2. A number of different algorithms have been put forward in order to overcome the drawback that Bitcoin possesses. The proof of stake concept is one of the best examples. With the efforts to make the Bitcoin network more secure, the hackers and the criminal minds somehow find a way to dodge them.

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Binance completes its 1 year, here are 15 things you should know

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Below are some of the key features of Binance which makes it's so reliabl

15 characteristics of Binance that makes it so convenient for the customers

The exponential increase in the value of Bitcoin in the previous year opened the eyes of investors as well as the traders as they realized the potential of the cryptocurrencies and the Blockchain Technology which can be used to transform many fields. Bitcoin was not the perfect cryptocurrency, it had certain drawbacks and hence to overcome them, a number of other cryptocurrencies were created.

However, the number of cryptocurrencies available now is a lot more than required. This has put the investors in a state of confusion as to which particular cryptocurrency to choose from in order to get best returns. Making best profits require less transaction fee and a lot of service capabilities provided by the medium through which we perform the trading, which is the cryptocurrency exchanges.

Binance was actually initiated in the year 2017. It has almost been one year since its initiation and the exchange has reached the pinnacles of success.

 

Below are some of the key features of Binance which makes it’s so reliable:

 

  1. The word Binance is actually a portmanteau of Binary and Finance.

 

  1. Binance has proven to be one of the best among all the other cryptocurrency exchanges. With its initial coin offering done in July 2017 as an ERC20 token BNB, the exchange managed to raise almost $15 million.

 

  1. It was after this particular exchange that the other cryptocurrency exchanges started to incorporate the ICO

 

  1. Originally, the cryptocurrency exchange was founded in China but due to the regulations in the country, in September 2017 it had to move its servers from China to Japan.

 

  1. The founder of the exchange, Changpeng Zhao is well known for creating some systems which are even now used on the Tokyo Stock Exchange. This experience might be the reasons for the success of Binance.

 

  1. The cryptocurrency exchange covers a large spectrum of Altcoins with over more than hundred cryptocurrencies available to trade.

 

  1. The cryptocurrency trading fees are also very less in the industry. It is only 0.1%.

 

  1. There is an added advantage of using the binance coin, BNB for the transactions where the users can get 50% discount on their fee.

 

  1. There is no transaction fee as well as a limit for deposits. Anyhow there is a transaction fee as well as certain amount of limit for the withdrawal of Bitcoin.

 

  1. If the user needs to withdraw more than two Bitcoins then extra verification procedures must be followed by providing various identification proof such as a passport.

 

  1. The cryptocurrency exchange can be considered as a launchpad for various coins. This is evident as, as soon as the ICO for a coin is ended, it is available on this particular cryptocurrency exchange.

 

  1. The exchange incorporates a two-factor verification model where are unique code is sent to the customer’s mobile phones whenever a login attempt is done.

 

  1. The cryptocurrency exchange has the capability of processing over 1.4 million transactions per second. Hence the buyers and sellers consider this exchange as a preferred option over the other exchanges which has low trading volumes.

 

  1. The only biggest disadvantage of this exchange is that it doesn’t accept the Fiat currencies. Other cryptocurrency exchanges accept Fiat currencies in the form of credit card, debit card or Paypal payments. This is the main reason why the beginners cannot start directly with Binance.

 

  1. It even provides an advanced option for experienced cryptocurrency users. The advanced option displays detailed statistics about the price movements of a number of cryptocurrencies which cannot be understood by novices.

The exchange’s consistent updations with the regulations as well as technology are the crucial factor for its success. The CEO, Changpeng Zhao is well known in the cryptocurrency world for his expertise in the field. Also, BNB is experiencing an upward movement when the whole market is facing a downfall. According to reports, the exchange is all set to include EURO trading pairs along with doubling the referral commission rewards which would again add to its customer base.

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Switzerland and cryptocurrencies

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Here are insights about the cryptocurrency scenario in Switzerland

The wealth management industry has always found itself as a major darling in Switzerland. Housing about 27% of the global offshore wealth, Switzerland has always been a sort of money hub of the world. Owing to their wonderful financial market, it is hardly a surprise to see them flourishing on the digital currency front too. The world has been very harsh towards digital currencies and several countries, even till date, have been apprehensive about them. However, Switzerland was one of the first countries to adopt digital currencies and the flourishing ICO (Initial Coin Offering – an unregulated means to raise funds for new cryptocurrency ventures) market is helping Switzerland accelerate fast towards the status of a ‘Crypto Nation’. It’s great involvement in the subject matter and quick moves in this fintech industry has brought Switzerland at the epicentre of cryptocurrency revolution.

 

Here are a few insights about the cryptocurrency scenario in Switzerland:

 

  1. Switzerland is fasting emerging as an ICO hub and this flourishment is largely owed to the great variety of rich investors and technical specialists, something that has always been Switzerland’s strong point. Economic experts and big financial players believe that Switzerland would be one of the strongest value holding contender in the future when digital currency becomes more mainstream.

  2. Not just digital currencies, Switzerland is also emerging as a great ecosystem for blockchains and other distributed ledger technologies. With the recent the implementation of forward-looking regulation by the Swiss Financial Market Supervisory Authority, Oliver Bussmann, the founder of the Crypto Valley Association said, ‘Switzerland is emerging as one of the world’s leading ecosystems for crypto, Blockchain, and distributed ledger technologies’.

  3. The First Bitcoin ATM was set up in Zurich four years ago in 2014. Moreover, the Swiss national rail company has since 2016, been providing the possibility of purchasing Bitcoins at over 1,000 distributors across the country.

  4. Zug, a small town a little while away from Zurich, has always been an economic hub owing to large investment firms, pharmaceutical companies and commodity trading groups. This place has unofficially become “Crypto Valley”, set up in 2013 their explicit aim is to draw startups dabbling in virtual currency technologies.

  5. Zug’s Crypto Valley claims to be receiving 5 – 10 queries per day from startups that work in the blockchain and digital currency sector. To flourish and increase the popularity of digital currency and educate the people about how it can be used for practical purposes too,  Zug started accepting in 2016, Bitcoins as a legal payment mode for council services.

  6. According to the Swiss financial watchdog Finma, out of the world’s six biggest Initial Coin Offerings (ICOs) last year, four took place in Switzerland.

  7. The foundation of the second largest digital currency platform after Bitcoin, Ethereum, along with almost 200 other blockchain based companies is all credited to the land of Switzerland.

  8. There has been a lot of healthy competition in Switzerland for further advancement of digital currencies. Accordingly, the southern Italian speaking Swiss town of Chiasso, has been in healthy competition with Zug so as to establish itself as a “CryptoPolis”. It has started accepting bitcoin payments for some taxes.

  9. Finma recently warned people against the threats of money laundering in digital currencies stating that, ‘in a decentralised blockchain-based system, in which assets can be transferred anonymously and without any regulated intermediaries.’ Owing to the sharp increase in the number of ICOs in Switzerland, regulators outlined regulation guidelines for these fundraising schemes saying, ‘Creating transparency at this time is important given the dynamic market and the high level of demand’.

  10. Vontobel, one of Switzerland’s largest banks, created the first structured bitcoin product which is basically a tracker that lets an investor not to actually purchase any digital currency directly but to make an investment in its shifting value. Despite the involvement of some big names in the crypto pool, there still are several big names like UBS and Credit Swisse who have decided to keep their distance since they do not consider it valuable or sustainable in the long run.

  11. Falcon Private Bank, a Swiss private banking boutique headquartered in Zurich, has offered asset management services for a huge range of digital currencies (including bitcoin and ethereum).

  12. Switzerland’s openness to business innovation is another huge reason why it has been so successful on the digital currency front. Martin Eckert at MME has mentioned and applauded Swiss regulators to be one of the few ones who actually have good and deep understanding of the subject matter i.e. of the underlying technology and its complete working.

  13. The Internal Revenue Service, Criminal Investigation, deals with potential criminal infringements. Its Editor in Chief, Don Front, recently made a statement to Bloomberg News stating that is is possible for people with ill will to try and use these digital currencies in a way similar to Swiss accounts which would help them evade taxes. Accordingly, the IRS-CI has recently set up a team of special agents that would be investigating and providing proof of whether or not these digital currencies are being used to cheat the tax authority.

  14. 2017 was a big year for Swiss based ICOs. In the whole year, these ICOs raised about $550 million in funding. This makes up for almost 14% of the global ICO market, which stands at around $4 billion. The Zug based company, Tezos ICO raised around $232 million in July 2017.

  15. Switzerland’s approach to the entire digital currency market has been described as pragmatic by some and opportunistic to a certain extent by a few people. Kari Larsen, an attorney at Reed Smith in New York, has international experience in managing global commercial and legal risks. She reportedly stated that simply welcoming without looking where the consumer and market appropriate is rather a short sighted approach by Switzerland since it could soon face competition from places like Gibraltar which would eventually lead to damaging competition to attract ICOs.

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Top 10 Bitcoin Advertising Network Platforms

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Popular Bitcoin Advertising Networks

Best Bitcoin Advertising networks as of 2018

Advertising can be considered as a form of providing an information to the people so that they are aware of the product or service they provide. In olden days people used to march around the whole village holding banners to advertise the product or a service to the people. But as days have passed by modern methods are used for advertisements. The current generation online and hence instant, therefore the advertising industry adapted to the situation in order to meet the requirements. A whole new spectrum of opportunities has evolved in the online marketing industry.

The cryptocurrency world is seeming very promising to many people and is hence trying to find out ways to earn them. Advertisements are one of the means to get them. If a person runs a website which is related in publishing the cryptocurrency related contents then if he ties up with an Advertising network then that company would pay him to show their ads on his webpage. In particular, if the website is related to Bitcoin then collaborating with a Bitcoin Advertising Network would be a preferred option. Some of the most popular Bitcoin Advertising Networks are listed below.

 

  1. A-ADS (ANONYMOUS ADS). It is regarded as one of the best in the field. As the cryptocurrencies and the Blockchain Technology aims at providing complete transparency and therefore privacy, the company seems to follow it’s footsteps and doesn’t track the personal data. It does so, by not allowing any cookies to be left on the visitor’s computer. They are one of the oldest Advertising Networks that still exist. It offers only Cost Per Click (CPC) and Cost per Thousand Impressions (CPM)  type of advertising models. They have no restriction on the type of website that they collaborate with is the minimum traffic limit that a particular website should have.

 

  1. Coinzilla.IO.  One of the most famous advertising networks along many other is COINZILLA.IO. The advertising network strives to provide the most relaxed and high-quality advertisements to its customers. The publisher has an advantage of fast website approval. Payment is done here only in Bitcoins. It is held for a period of seven days in order to avoid or check the fraudulent activity/clicks on the website. The minimum payout is around 0.001BTC with a fee levied upon it of 0.0001BTC. Here, the one of the requirement is that the website must be more than 3 months old.

 

  1. ADVERTI – INNOVATIVE Bitcoin Advertising Network. It is one of the most innovative Bitcoin advertising networks and it even claims that it provides more than 100 million impressions on websites on a monthly basis. It is one of the best advertising networks providing the highest revenue. It employs CPM advertising model. The payout can be in both USD as well as Bitcoins. A split up the option of the payout is also available. The company does not accept adult websites and also it must be at least three months old. They also support Paypal as the payment method.

 

  1. MELLOW ADS. They are also one of the leading Bitcoin Advertising Networks which specializes in providing banner advertisement as well as a pop-under advertisement models. An automatic payment system is available here and a 10% pay provided is provided for network campaigning. The website must have at least three months of history and a manageable Alexa ranking. The payment is done only in Bitcoins. This particular advertising network is very fast growing with almost 8.2 billion banner as well as pop-under ad Impressions within past 30 days.

 

  1. COINURL. It is one of the most popular organizations providing an URL shortening service. A URL shortener is nothing but a tool which is used to reduce the length of the uniform resource locator which redirects to the original page itself. However, it is also a Bitcoin advertising network. It provides a banner advertisement model where the publisher is paid using the Cost-per-click system. All kinds of websites are supported and the payment is done on a daily basis.

 

  1. Bitmedia.IO. It is currently supporting more than 4000 websites which deliver almost 3.6 million ad Impressions. The Advertising Network is best suited for crypto-related Niche websites. The payments are done on a daily basis with a minimum payout being 0.01 BTC. It specifically requires the websites which are cryptocurrency and Blockchain related. Websites with spams and auto-redirects would not be accepted.

 

  1. COINTRAFFIC. It is another Bitcoin advertising network which places its advertisements on its list of cryptocurrency and Bitcoin websites. It is estimated that the company imparts almost 3.6 billion impressions per month. The company supports websites without adult content. There must be 10000 unique visitors every month and hence it must be a top domain. It offers CPC and CPM based advertisements with no bonus for referrals.

 

  1. CoinAd.  This Bitcoin advertising network is very unique from all the other networks. It is unique in a way that they impose strict requirements for the websites and new publishers can get in touch with them only on an invite basis.  It is considered to be a privilege if one manages to collaborate with this particular Bitcoin advertising network. The publisher will gain enough profit if his website is of good quality and receives a lot of traffic. The payout is done on a weekly basis in Bitcoin or by using PayPal.

 

  1. Adbit. This advertising network is a part of BitRush. Here the various advertisers compete with each other and bidding is done for the ad space provided on your website. Hence the publisher can gain maximum profit out of his ad space provided. The payment is done instantly with every click which is done in the advertisement.
  2. Bittraffic. If the publisher’s website of a niche type then this service can effectively be applied in order to earn money. It can reach thousands of customers within a matter of few hours itself. The service is available worldwide. It provides CPM and CPC type of ad model. Payment is done in various cryptocurrencies.

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