All posts by Cryptologist

4 Reasons to Start Trading Crypto with Bitcoin Storm App


Cryptocurrencies are all the rage right now, and for good reason. They offer an
exciting new way to invest and trade. Bitcoin Storm is a trading app that
makes it easy for anyone to get started trading crypto. Here are three reasons
you should give Bitcoin Storm a try.

1) User-friendly platform:


With the Bitcoin Storm platform, you can start trading crypto without any prior
experience or knowledge. The platform is designed with user-friendliness in
mind and is easy to navigate and use. All you need to do is create an account,
deposit funds, and start trading.
The Bitcoin Storm platform also offers a demo account so you can try out the
platform before committing to a live account. With the demo account, you can
test out the features and get a feel for how the platform works. Once you’re
ready to go live, you can switch to a live account and start trading for real.
With the Bitcoin Storm platform, you can trade crypto with ease and
confidence.

2) Wide range of currencies:


With the Bitcoin Storm app, you can trade a variety of cryptocurrencies,
including Bitcoin, Ethereum, Litecoin, and more. This gives you the flexibility to
invest in the currency that you believe will have the most growth potential.
With Bitcoin Storm, you can start trading with as little as $250, and you can
withdraw your earnings at any time.
The Bitcoin Storm app also offers a demo account so that you can practice
trading before risking your own money. Overall, the Bitcoin Storm app is a
great way to get started in the world of cryptocurrency trading.

3) Earnings potential:

Bitcoin Storm is an automated cryptocurrency trading platform that offers the
potential for high returns. With Bitcoin Storm, you can start earning profits
right away. The Bitcoin Storm platform is designed to be user-friendly and
easy to use. You can set up your account in just a few minutes, and the
platform will do the rest.
Bitcoin Storm uses advanced algorithms to buy and sell

cryptocurrencies on your behalf automatically. The goal is to keep your account balance in
US dollars, so you don’t have to worry about currency fluctuations. Bitcoin
Storm also offers a demo account so you can try out the platform before you
commit to investing any real money.

4) 24/7 support:


If you have any questions or need help getting started, the Bitcoin Storm team
is available 24/7 for support. Plus, there is a large community of users who
are happy to offer helpful advice and tips. Why not give the Bitcoin Storm app
a try? You may be surprised at how enjoyable, and profitable crypto trading can
be!

Sign-up details:


To sign up for a Bitcoin Storm account, you only need an email address. You
can create a demo account to practice trading, or you can switch to a live
account and start trading for real. With the Bitcoin Storm platform, you can
trade crypto with ease and confidence. check out

Top 5 Best Investment Methods for Beginners 2022

Best investments for beginners

High-yield savings accounts

This can be an easy way to increase your return on your money beyond
what you’re earning in a regular checking account. High-yield savings
accounts, often opened by online banks, pay higher interest on average
than standard savings accounts yet give customers regular access to their
money.
This can be a great place to park the money you’re saving for purchases in
the years to come, as well as hold on just in case of an emergency.

Certificates of deposit

Certificates of deposit are another way to earn extra interest on your
savings, but they will tie up your money for longer than a high-yield
savings account. You can buy CDs for different periods, such as six months,
one year or even five years, but you usually cannot access the money
before the CD matures without paying the penalty.
Certificates are considered extremely safe, and if you buy through a
federally insured bank.

Individual stocks

Buying stock in individual companies is the riskiest investment option discussed
here, but it can also be rewarding. But before you start investing, you should
consider whether buying stocks makes sense for you. You invest for the long
term, usually at least five years. Stocks are priced every second of the trading day, and because of this, people are often drawn to a short-term trading mindset
when they hold individual stocks.
A stock is a partial ownership stake in a real business; over time, your fortune
will grow with the underlying company you invest in. If you don’t think you have
the skills or stomach to run it with individual stocks, consider Instead taking the
more diversified approach offered by mutual funds or ETFs.

Mutual funds

Mutual funds offer investors an opportunity to invest in stocks or bonds that they could not
easily make on their own.

Low costs help investors keep more of the fund’s returns for themselves and can be a great
way to build wealth over time.

ETFs

Exchange-traded funds, or ETFs, are similar to mutual funds in that they hold
securities, but they trade throughout the day in the same way that stocks do. ETFs
don’t come with the same minimum investment requirements as mutual funds, which
typically come in at a few thousand dollars. ETFs can be purchased for the price of
one share plus any fees or commissions associated with the purchase, although you
can start with even less if your broker allows fractional share investments.

Why should you start investing?

Investing is essential if you want to maintain the purchasing power of your savings
and reach long-term financial goals such as retirement or wealth building. If you let
your savings sit in a traditional bank account that earns little or no interest, eventually
inflation will erode the value of your hard-earned capital. By investing in assets like
stocks and bonds, your savings keep up with or even outpace inflation.
Short-term investments like high-yield savings accounts or money market mutual
funds can help you earn more on your savings when you make a big purchase like a
down payment on a car or home. Stocks and ETFs are considered better for long-
term goals such as retirement because they are likely to yield better returns over
time, but they carry additional risk.

How much money is needed to start investing?

You don’t need much money to start investing. Most online brokers have no
account minimums to get started, and some offer fractional share investments for
those starting with small dollar amounts. For just a few dollars, you can buy an
ETF allows you to build a diversified portfolio of stocks. A micro-investing
the platform will let you round up debit card purchases as a way to start investing.

What Is Elliott Wave?

Ralph Nelson Elliott was regarded as one of the greatest technical analysts of the 20th century. In the early-1930s, Elliott began working on a systematic study of fluctuations in the stock market. Based on his analysis, he concluded that fluctuations in the stock market were mainly based on collective human behavior.

Elliott believed that all speculative markets followed fairly predictable price movements based on investor psychology and underlying social principles. In 1938, he combined all of his research into a book called The Wave Principal.

Elliott’s book was very well received within the investment community, particularly among traders who relied on technical analysis.

The Elliot Wave Principle

Elliott passed away in 1948, leaving behind a treasure trove of historical data and research based on his Wave Principal. Elliott’s original work in the field of human behavior actually became more popular in the years following his death.

Several technical analysts expanded on his research, particularly in the area of investor psychology. This additional research also looked at crowd psychology and the herd mentality of crowds. Today, Elliott Wave is one of the most popular forms of technical analysis used to forecast the stock market and other speculative markets.

The Elliott Wave Principal moves between optimism and pessimism in natural sequences. These mood swings create various patterns or waves. Based on Elliott’s model, all market prices fluctuate between impulse and corrective phases. These fluctuations occur regardless of the time frame. In other words, Elliott Wave can be successfully applied to long-term studies or short-term studies.

Suggested Read: Everything You Need To Know About Binance Coin – Cryptobite

Impulse Phases and Corrective Phases

Impulse phases are subdivided into five smaller waves. Corrective phases are subdivided into three smaller waves. In a bull market, waves #1, #3, and #5 of the impulse phase are bullish. Waves #2 and #4 are retracements of the primary bullish trend.

In a bear market, waves #1, #3, and #5 are bearish. Waves #2 and #4 are retracements of the primary bearish trend. The big move always occurs in wave #3.

Waves #1, #3, and #5 are also known as motive waves. These waves always move with the underlying trend. Waves #2 and #4 are also known as corrective waves. They move against the underlying trend. Please review Chart #15.

Each motive wave and corrective wave has its own sub-cycle. Each sub-cycle is divided into mini waves. An entire Elliott Wave motive pattern consists of 89 waves, followed by a completed corrective pattern of 55 waves.

During his initial research, Elliott subscribed to the idea that each completed wave pattern represented a degree of movement based on a specific time frame. Each degree of movement was given a name.

Elliott labeled nine different degrees of movement.

  • Grand Supercycle – multi-century
  • Supercycle – multi-decade
  • Cycle – multi-year
  • Primary – months
  • Intermediate – weeks to months
  • Minor – weeks
  • Minute – days
  • Minuette – hours
  • Sub-minuette – minutes

A grand supercycle is the longest degree of movement based on Elliott’s research. The reversal of a grand supercycle is incredibly rare. Most traders and investors will never see a grand supercycle reversal in their lifetime.

Although Elliott Wave has been extremely popular over the past several decades, the main criticism of this trading approach is based on the fact that the entry and exit levels are too subjective.

Additionally, the wave counts are open to interpretation. In an attempt to remedy this problem, many traders who use Elliott Wave on a daily basis prefer to combine the wave counts with Fibonacci ratios. Adding Fibonacci ratios to the mix provides specific entry and exit signals.

Elliott Wave is not perfect. It continues to remain one of the most widely followed trading techniques in the history of technical analysis.

Brief Summary of Elliott Wave

  • Ralph N Elliott is regarded as one of the greatest technical analysts of all time.
  • In the early-1930s, Elliott began to study fluctuations in the stock market.
  • He observed that fluctuations in the stock market were based on human behavior.
  • Throughout the 1930s, Elliott developed a systematic investment approach.
  • The investment approach was based on his observations concerning human behavior.
  • Following his death in 1948, traders continued to study Elliott’s original work.
  • Elliott’s methods actually became more popular during the years following his death.
  • His methodology became known as the Elliott Wave Principle.
  • Elliott Wave Principal moves between optimism and pessimism in natural sequences.
  • These mood swings create various patterns or “waves.”
  • All prices fluctuate between an impulse phase and a corrective phase.
  • According to Elliott, these fluctuations will occur regardless of the time frame.
  • Therefore, Elliott Wave can be applied to long-term studies or short-term studies.
  • In a bull market, waves #1, #3, and #5 are bullish.
  • Waves #2 and #4 are retracements of the primary bullish trend.
  • In a bear market, waves #1, #3, and #5 are bearish.
  • Waves #2 and #4 are retracements of the primary bearish trend.
  • An entire Elliott Wave motive pattern consists of 89 waves.
  • This is followed by a completed corrective pattern of 55 waves.
  • Elliott believed that each completed wave pattern represented a degree of movement.
  • Each degree of movement was based on a specific time frame.
  • Elliott labeled nine different degrees of movement.
  • Elliott Wave continues to remain extremely popular among technical analysts.

The Froots Are Here and Moving Fast

I was surfing through transactions on the Solana blockchain yesterday, and I noticed a large volume moving on Froots NFTs and decided to check things out.

Froots NFTs sold out fast, and the floor started running up. The mint price started at 2.75 Sol on July 21st. When I saw the project and could get in yesterday, the floor was sitting at 4. Last night and today, the Floor has been floating around 5.5 to 6.5.

What are Froots?

Froots is a collection of 7,777 fruit NFTs.

Froots, also known as ‘The Vibers of Solana’ is a community driven project of cute froots that aims to spread good vibes and provide its holders with great opportunities, through their different ventures. With Froots, we want to experiment and set a precedent for what can be done between Web2, IRL businesses and Web3. While our main goal is to develop multiple subsidiaries in various industries ranging from F&B, Merch, Books,etc… We will always put our community first and make sure that we’re always innovating and keeping it fun.

Froots

Let’s Breakdown the Froots NFT Project

The project appears to be a fast-release project. A short roadmap section briefly discovers the project and utilities of the NFTs. Froots announced that only 3 of the 6 NFT utilities had been released the other 3 are still a surprise.

What is Driving the Popularity?

It’s all about the community. The Froots has a fantastic community helping to push this project to the top of Solana.

The Road Map

Froots is a multi-venture brand where holders of the genesis NFT collection will be benefiting from each ventures of the Froots umbrella, through our rev-share program. The first subsidiary will be a juices/smoothies company, and the 2nd one is a merch service venture to help projects develop high quality merch that suits their needs and brand image. We have a lot more in stock but we’d rather overdeliver than overpromise, however we can tell you that the future of Froots will include: Merch, 1/1 Charity Auctions, Web 2 + Web 3 partnerships, Lore related projects, Cute art… and VIBES!

https://frootsnft.com/

Suggested Read: The Art Collective Multichain DAO by Metazens – Cryptobite

My Thoughts On Froots NFT Solana Project

I had to jump in on the rise up and make a little profit at least. I love the idea behind it and am curious to see what the other utilities will be. I will also hold at least one just to see where the project goes. They make some cool PFPs for Social Media when all else fails.

What Is Hashing?

In simple terms, a hash is a function that converts an input of letters and numbers into an encrypted output of a fixed length. A hash is an essential ingredient of blockchain technology. As you may recall, we discussed hashing during our conversation about cryptocurrency mining. Hashing plays a critical role in the mining process, as miners collect transactions and organize them into blocks.

The most important component of a cryptocurrency is the blockchain. We will discuss blockchain technology in a later section. For the purpose of our hashing conversation, it’s important to know that a blockchain is formed by linking together individual blocks of transaction data. To prevent fraudulent transactions, the blockchain only contains validated transactions. These validated transactions are a series of encrypted letters and numbers, known as a hash.

Hashing involves processing the data from a block through a mathematical function, thus creating a fixed-length output. This increases security based on the fact that anyone trying to decrypt the hash won’t be able to determine the length of the input based solely on the length of the output.

A great way to think of how hash functions work on a blockchain is that they act as a digital signature. For the next block to be made, the signature (hash) from the previous block MUST match that of the next block. This is why blockchain tech is considered so secure.

Cryptographic Hash Function

In addition to cryptocurrencies, hashing and hash functions are used across many industries. A cryptographic hash function is a special class of hash function that has unique properties making it well suited for cryptography. A cryptographic hash function contains three specific properties needed to ensure security. Let’s briefly review each property.

Deterministic

This means that you will always receive the same result no matter how many times you pass a particular input through a hash function. This property is very important because it becomes impossible to track the input properly if you receive different hashes.

Quick Computation

The hash function must be capable of returning the hash of input quickly and accurately. If the process isn’t fast enough, the system becomes inefficient.

Preimage Resistance

It is infeasible to find two different messages with the same hash value.

Summary

Without question, hashing is a difficult concept to understand. Thankfully, it’s not necessary for the average crypto user to fully grasp the idea of hashing. In reality, miners are the only people in the crypto community who work with hashing and hash functions daily.

Hashing and hash functions have been in existence well before Bitcoin arrived on the scene in 2009. Bitcoin (and cryptocurrency in general) has used hashing to create a decentralized money system that will one day be viewed by financial historians as arguably the greatest innovation in the history of money.

Brief Summary of Hashing

  • A hash converts an input of letters and numbers into a fixed-length encrypted output.
  • Hashing plays a critical role in the mining process.
  • Through hashing, miners are able to validate all transactions on the blockchain.
  • Hashing and hash functions are used across many industry groups.
  • A cryptographic hash function is a special class of hash functions with unique properties.
  • Cryptographic hashes are deterministic, quick, and have preimage resistance.

Everything You Need To Know About Binance Coin

What is Binance Coin?

Blockchain and cryptocurrency cover a wide range of assets and projects that serve different purposes. For instance, there are several types of crypto exchanges, with each crypto being unique in terms of construction and features.

Binance coin is a cryptocurrency issued by the Binance exchange and trading as a BNB symbol. Similar to other cryptocurrencies, Binance Coin offers multiple uses beyond the Binance Exchange. For instance, it can be used for trading, credit card payments, transaction fees, booking travel arrangements, entertainment, investment, and loans and transfers. It is currently among the most prominent cryptocurrencies globally, with over 1.4 million transactions per second.

Suggested Read: What Is an ICO, and What is it for? – Cryptobite

Who Created Binance Coin?

Binance Coin was created in 2017 by Changpeng Zhao, a developer who had created high-frequency trading software.

When was Binance Coin launched?

Binance Coin was launched in July 2017.

What Is The Price of Binance?

Binance
Previous 25
Next 25
#CoinPriceMarketcapVolume (24h)SupplyChange (24H)Price Graph (7D)

How Does Binance Coin Work?

Being a cryptocurrency, BNB operates the same way as digital assets in the market—it rises and falls in value depending on how people use and trade it. It can be held in compatible wallets off crypto exchanges and sent directly to others as a form of payment or for other uses. It can be traded for other currencies or cryptos on various exchanges.

Binance Coin can also be used as a form of payment for crypto credit card bills through the Crypto platform. Businesses can also offer BNB as a form of payment for the goods and services they sell as an alternative to the traditional currency; for instance, book travel arrangements such as flights and hotels and buy lottery tickets. BNB is a sought-after option for investing in EFTs, stocks, and other investment opportunities.

How does one get BNB? Having understood the several purposes of the Binance Coin, where and how to get it is a question that crosses many people’s minds. It can be acquired through various platforms, and the most notable way is through Binance Exchange, the crypto’s own exchange. One can get BNB in four critical steps.

  • Get a Binance Coin wallet, also known as coinomi or ledger
  • Locate your own BNB address
  • Sign up for Binance
  • Buy Binance Coin with either a credit card or another crypto

BNB works in tandem with two blockchains—Binance Chain and Binance Smart Chain (BSC). While BSC is a separate blockchain built into the Binance Chain, it runs parallel to BC and carries different features like smart contract capability.

BC was designed for optimal performance. In fact, BC was based on a decentralized exchange (DEX) owned by Binance. Nonetheless, it was limited in allowing developers to build solutions. Therefore, BSC was designed to add more capabilities to the BNB ecosystem, thereby giving developers more functionality. An example is the smart contract functionality available on BSC and not BC.

How To Keep Your Binance Coin Safe?

Binance is currently the most popular and most used exchange to buy and sell coins and tokens. However, is it safe to leave or hold coins on the platform? Cryptosec confirms that Binance is safe and maintains its security in two ways. Firstly, Binance has cold storage where most of the funds are stored, making it significantly difficult to steal funds. Secondly, it has a SAFU fund used to store 10% of trading fees received on their emergency fund. This ensures that users who get their funds stolen can be compensated.

Despite the measures above, being the most popular cryptocurrency exchange means Binance will continue to be a target for hackers. Therefore, it offers guidelines on how users can secure their cryptos. For instance, using regulatory compliant centralized exchanges by AML and KYC checks when trading cryptos. However, prioritize peer-to-peer trading and decentralized exchanges with audits.

Binance offers multiple security options for storing cryptos. One of the ways includes keeping cryptos on regulated exchanges, especially if someone is a newcomer. Using a non-custodial wallet where a user owns the keys provides more security. A more secure option is to keep it in a wallet not connected to the internet. Also, using audited DApps can improve security.

Is Binance Coin A Good Investment?

We do not provide investment advice, only objectively presenting factual data around virtual currencies. That said, even though cryptocurrencies are highly volatile, BNB can be an excellent investment for long-term investors. It is the most popular crypto for a reason; it is attractive to investors. Binance Coin was only introduced to the market less than four years ago, and it has since rapidly grown. It also aims to revolutionize the cryptocurrency space through tokenomics and utilities.

What Is a Decentralized Autonomous Organization (DAO)?

Arguably, the main benefit of blockchain technology is the removal of a centralized authority. This is particularly true in the area of financial systems and financial applications.

Other industries include healthcare, education, retail, supply chain management, and legal. All of these industries could be largely impacted by the removal of a centralized authority.

Over the past few years, corporate governance has received a great deal of attention.

Corporate Governance and Blockchain Technology

Corporate governance is the system used to control companies, corporations, and other businesses. The system consists of various rules, processes, and mechanisms established to direct and guide the company. The main goal of corporate governance is to serve the interests of the company’s shareholders, senior executives, employees, customers, suppliers, and the local community. Typically, the board of directors has the greatest influence on corporate governance.

Blockchain has the potential to radically alter the world of corporate governance by creating new types of organizations that can run autonomously. This is done without the need for a centralized authority such as a board of directors. One such example is a Decentralized Autonomous Organization (DAO).

Suggested Read: Everything You Need To Know About Chainlink – Cryptobite

Introducing DAO

A centralized organization relies on a small group of people to manage and dictate the interest of the company. Essentially, each person within the group is acting as an agent for the company. Employment contracts are used to determine the relationship each person has with the company. Their rights and responsibilities are specifically defined within the contract. If the contract is not fulfilled, a court of law decides who is responsible.

In contrast to a centralized organization, a DAO is governed by computer code and programs through the use of blockchain and smart contracts. People interact with each other according to an open-source protocol.

Keeping the network safe is one of the primary objectives of the DAO. In addition to maintaining the security of the network, members are responsible for performing various tasks within the network. In exchange for these services, the DAO rewards the members with native tokens attached to the network. This type of incentive structure is much less expensive compared to the centralized organization of using a board of directors.

Transparency

In addition to a reduced centralized incentive structure, DAOs create a higher level of transparency between the company and its shareholders. The interests of all shareholders are coordinated with the consensus rules attached to the native token. DAO members are rewarded with tokens when they collectively work for the common good of the shareholders.

All rules are fully available and 100% transparent based on the fact that they are written into the smart contract. This type of arrangement eliminates the need for a centralized legal contract enforced by a court of law. Instead, a DAO relies on the smart contract where an error can’t be made. Either the contract is fulfilled, and the reward is paid, or it isn’t, and the reward is withheld.

Hierarchies

A centralized organization is based on a hierarchical structure consisting of several layers of bureaucratic coordination. This type of corporate hierarchy has been in existence for centuries. It can be extremely inefficient, wasteful, and prone to corruption.

If this type of organization is so ineffective, why does it continue to dominate the corporate landscape? Because there is no financial incentive to make any drastic changes. The participants inside the centralized organization are paid a salary to perform certain tasks. As long as they continue to work within the hierarchical structure, they will continue to receive a salary.

DAO is the Future

Even though a DAO offers a more transparent structure for shareholders. It could take several years for this type of organization to penetrate the centralized world of traditional businesses.

Centralized organizations have been the pillar of the global business community since the beginning of modern economics, dating back to the late-1700s. People’s salaries and livelihoods are attached to this centralized approach. As a general rule, people dislike major changes in their daily lives. Therefore, it’s highly unlikely that DAOs will be adopted by major corporations at any time soon.

Brief Summary of Decentralized Autonomous Organizations (DAOs)

  • DAOs can operate autonomously without the need for a centralized authority.
  • DAOs are governed by computer code through the use of blockchain technology.
  • People interact with each other according to an open-source protocol.
  • The primary objective of DAO members is to maintain the safety of the network.
  • DAO members perform certain tasks in exchange for native tokens.
  • DAOs have the potential to dramatically alter corporate governance.
  • Corporate governance is mainly dictated by the board of directors.
  • Boards of directors could be replaced by decentralized autonomous organizations.
  • Compared to boards of directors, DAOs offer a higher level of transparency.
  • Concerning transparency, the needs of shareholders are better represented by DAOs.
  • Centralized organizations can be inefficient, prone to corruption, and wasteful.
  • DAOs would be a radical shift for most centralized businesses and corporations.
  • Therefore, the adoption of DAOs will take several years or longer.

Polygon Releases Advance in Ethereum Scaling

Today Polygon MATIC announced the implementation of #zkEVM, which is fully open-source. #zkEVM is a big move for Ethereum scaling and ZK innovation.

We all know that Ethereum needs to scale, but won’t that mean sacrificing security and decentralization? Not with Polygon #zkEVM. It inherits the security of Ethereum while increasing throughput and radically reducing fees. The best part? It’s fully EVM-equivalent.

EVM-equivalence means that any smart contract or dev tool that you can use on Ethereum can be used on Polygon #zkEVM. Period. It’s just like using Ethereum, but with the groundbreaking scaling power of ZK tech.

Like any ZK L2, Polygon #zkEVM “rolls up” a batch of transactions and uses a ZKP to validate those transactions on Ethereum. Unlike any other ZK L2, Polygon zkEVM leverages the fastest ZK tech with #plonky2, while giving users and devs the convenience of EVM-equivalence.

Polygon #zkEVM doesn’t sacrifice speed or raise costs to achieve this game-changing EVM-equivalence. It will achieve high throughput, low latency, and low fees. EVM-compatibility without compromise.

Polygon #zkEVM is the first technology of its kind. No other scaling solution harnesses the potential of ZK proofs while achieving EVM-equivalence. And this is only the beginning. Learn more about Polygon #zkEVM and the roadmap here.

Polygon Matic

Suggested Read: Everything You Need To Know About Chainlink – Cryptobite

Everything You Need To Know About Chainlink

What is Chainlink?

Chainlink (LINK) is a cryptocurrency designed as a smart contract solution to increase security and reliability. Its purpose is to verify assets in decentralized blockchain oracle networks. The founders designed LINK cryptocurrency technology with on-chain infrastructure and off-chain infrastructure.

On-chain infrastructure or “oracles” process offline data requests and verify real-world data to users on the Ethereum blockchain. Chainlink’s off-chain infrastructure comprises proprietary “nodes” that collect and report real-world data.

Founders of Chainlink say that it supports smart contracts on any blockchain. It provides users with cryptographic proofs for on-chain smart contracts. They use custom-built APIs to connect Chainlink to real-world assets and data information sources offline.

The Chainlink technology is a scalable proof-of-reserves solution designed to work with all current and future blockchains.

Suggested Read: Blockchain and Artificial Intelligence – Cryptobite

Who Created Chainlink?

Chainlink’s authors include Sergei Nazarov, Steve Ellis, and Dr. Ari Juels.

When Was Chainlink Launched?

The founders announced the Chainlink protocol in 2017 via white paper. Chainlink officially launched in 2019 on the Ethereum network.

What Is The Price of Chainlink?

chainlink
Previous 25
Next 25
#CoinPriceMarketcapVolume (24h)SupplyChange (24H)Price Graph (7D)

How Does Chainlink Work?

Built on the Ethereum platform, Chainlink is a cryptocurrency solution designed to provide tamper-proof data from on-chain and off-chain sources. Chainlink uses the decentralized blockchain oracle network and APIs to verify proof-of-reserves for smart contracts.

It links with real off-chain assets to make sure traders on the platform have enough collateral off-chain to cover on-chain trades.

This technology integrates with all known blockchains in the cryptocurrency ecosystem to verify the reserves of stablecoins like Wrapped Bitcoin (WBTC).

Secure features reduce the risk of hacking and breakdowns in centralized servers.

They tasked Chainlink’s Keeper nodes with the job of automating smart contracts. The platform helps stakeholders verify stablecoin collateral using a proof-of-reserves system.

Proof-of-reserves is an audit system that allows the Chainlink system to integrate with and audit the reserves of leading off-chain cryptocurrencies like Wrapped Bitcoin WBTC.

Chainlink’s proof-of-reserve provides proof of cryptocurrency collateralization that verifies smart contracts against the records of off-chain reserves.

It operates using its proprietary “Keeper” nodes and a built-in proof-of-reserves audit system to automate smart contracts and provide proof-of-collateralization for a wide variety of cryptocurrencies using blockchain technology.

They originally built Chainlink on the Ethereum network using an extension of an ERC-20 token known as ERC-677. ERC-677 tokens issued by LINK keep the same capabilities and functionality as their ERC-20 counterparts. Users holding ERC-677 tokens can use them interchangeably in the Ethereum ecosystem.

Chainlink Features

  • Uses tokens as data feeds to connect on-chain smart contracts with off-chain reserves.
  • Tamper-proof system
  • Reduces the likelihood of theft, lack of collateralization, and duplicate transactions.
  • Rewards node operators for retrieving the data from on-chain smart contracts.
  • Integrates with all blockchains
  • Connects to web data sources using secure HTTPS
  • Operates using zero-knowledge proofs to protect personally-identifying information

How to Keep Your Chainlink Safe

Chainlink operates on the Ethereum blockchain. This makes it easy for LINK token holders to secure and store their value in ERC-20 compatible smart wallets. ERC-20 tokens and ERC-677 tokens in the Ethereum ecosystem have the same functionality, including the option for secure storage in hardware wallets and cold storage wallets.

These secure storage technologies provide traders with private keys that only they can access. Secure wallet technologies offered by third-party’s offer LINK holders secure storage solutions where cryptocurrency investments are trackable online via desktop and laptop computers.

Is Chainlink a Good Investment?

We do not provide investment advice. This historical analysis of performance is for informational purposes only. It’s important to do your research before investing in Chainlink or any other cryptocurrency. They designed Chainlink to address issues of tampering, theft, and fraud on the Ethereum blockchain. This cryptocurrency has received mostly positive reviews about its technology since its official launch in 2019.

Chainlink’s total supply hovers around 1 billion LINK. It has a market dominance of just under 0.40%. The LINK token started out with a value of around $0.11. It reached its all-time high of $52.88 in May 2021. Chainlink currently ranks at number 22 in the top 50 cryptocurrencies by market cap.

There is a potential risk involved in any investment. Think about how much you can afford to invest. Before you invest, figure out how much you can afford to lose. Learn more at: https://chain.link/

What Is a Digital Signature?

A digital signature is a cryptographic mechanism used to validate the authenticity and integrity of digital data. This includes such things as a message, software, or digital document.

Essentially, it is the digital equivalent of a handwritten signature or a stamped seal. However, a digital signature offers far more inherent security. In many countries, a digital signature is legally binding in the same way as a traditional handwritten signature.

How Digital Signatures Work

Digital signatures are based on public-key cryptography (PKC), which is used to generate two keys that are mathematically linked: a public key and a private key. The keys can be used for both data encryption and digital signatures.

As an example, let’s assume ABC Mortgage Company is creating a document requiring Jane’s signature. The mortgage company uses its own private key to encrypt (secure) the necessary electronic documents. The only way to decrypt (access) the documents is with Jane’s public key. Jane provides an electronic signature, and the transaction is complete.

Digital signature technology is only effective if all parties in the transaction trust that the individual (or company) creating the document was able to maintain the integrity of the private key by keeping the key secret. Let’s return to our example involving ABC Mortgage Company. Jane is trusting that the mortgage company did not allow a third party to gain access to the private key. If the key is compromised, fraudulent digital signatures could be created in the name of the private key holder.

Suggested Read: What Is Decentralized Finance? – Cryptobite

Classes of Digital Signatures

There are three different classes of digital signature certificates. Let’s briefly review each class.

Class 1

These digital signatures provide a basic level of security. They are used in environments with a low risk of data compromise. Class 1 signatures cannot be used for legal business documents because the validation process does not meet the high level of security required for such documents.

Class 2

These digital signatures provide a moderate level of security. They are used for both businesses and individuals. Authentication of a class 2 signature would include verifying the individual’s signature against a pre-verified database such as Equifax, TransUnion, or Experian. Class 2 digital signatures are used for such things as e-filing of tax documents, insurance documentation, mortgage applications, loan documents, and other paperless banking.

Class 3

These digital signatures provide the highest level of security. Class 3 signatures require a person or organization to appear in front of a certifying authority to prove their identity prior to signing the document. These signatures are used in cases involving high-value transactions or where a high level of fraud exists. Examples include e-auctions, court filings, e-ticketing, and highly secure government documents.

Digital Signature Versus Electronic Signature

There seems to be some confusion between digital signatures and electronic signatures. Although the two terms sound rather similar, there is a distinct difference between digital and electronic signatures. Let’s review the details.

A digital signature is a technical term based on a cryptographic process that is used to authenticate a sequence of data. As we discussed earlier, digital signatures are based on public key cryptography (PKC).

An electronic signature, also known as an e-signature, is a legal term that is defined by lawmakers through the legislative process. In fact, the United States Congress officially defined an electronic signature as, “An electronic sound, symbol or process, attached to or logically associated with a contract or other record and executed or adopted by a person with the intent to sign the record.”

The main takeaway from this rather definition is that a digital signature can also be an electronic signature. But an electronic signature is often not a digital signature. A digital signature can provide cryptographic proof that a document was signed. However, an electronic signature cannot provide the same guarantee. This explains why not all electronic signatures can be digital signatures.

Summary

Digital signatures are used to sign and authorize cryptocurrency transactions. In terms of Bitcoin, digital signatures are particularly important because they protect the BTC owner by allowing only the holder of the private keys to access the crypto.

A digital signature is another example of how technology has completely changed the way consumers interact with businesses and with other consumers. A few decades ago, the idea of using an electronic device to replace a hand-written signature would have been unthinkable. Advances in technology continue to move forward, despite our occasional reluctance to embrace new technology. We can only imagine where technology will take us a few decades from now.

Brief Summary of Digital Signature

  • A digital signature uses cryptography to validate the authenticity and integrity of digital data.
  • Signatures are based on public-key cryptography (PKC).
  • PKC is used to generate two keys that are mathematically linked – the public key and the private key.
  • The keys are used for data encryption and digital signatures.
  • Digital signature technology is only effective if the integrity of the private key is maintained.
  • There are 3 classes of digital signature certificates.
  • Class 1 certificates are used in environments with a low risk of data compromise.
  • Class 2 certificates are used for e-filing tax documents, insurance, and banking documents.
  • Class 3 certificates require a certifying authority to verify physical identity before signing.
  • A digital signature can also be an electronic signature.
  • An electronic signature is not necessarily a digital signature.
  • Concerning blockchain, digital signatures are used to authorize crypto transactions.

Blockchain and Artificial Intelligence

Artificial intelligence (AI) is the ability of a computer program to think, learn and mimic human thought. Introduced in 1955 by John McCarthy, artificial intelligence has several different fields of study. These fields include computer science, mathematics, psychology, and philosophy, among many others. AI is linked to several different use cases. The most prominent use cases include machine learning, supply chain optimization, speech recognition, self-driving cars, and manufacturing optimization.

Now we know a bit about AI, let’s review a few examples of how AI is improving decentralized networks like blockchain.

Cryptocurrency Trading

During the past few years, artificial intelligence has substantially increased its presence in the area of crypto trading. This is particularly true with high-frequency trading (HFT). Essentially, HFT is a type of algorithmic financial trading characterized by high speeds and high turnover rates. High-frequency trading is a perfect vehicle for cryptocurrency trading because the crypto universe has several different exchanges.

HFT uses artificial intelligence to analyze multiple technical indicators across various exchanges in an effort to take advantage of market opportunities. AI is still in its infancy stage in regard to crypto trading. Going forward, artificial intelligence will play a pivotal role within the crypto trading community. These are commonly known as trading bots.

Suggested Read: What Are Public, Private, and Consortium Blockchains? – Cryptobite

Blockchain Security

Unfortunately, industries that find themselves in a hyper-growth phase are more susceptible to cyberattacks and malware. Without question, blockchain technology, along with digital assets, is currently experiencing an explosive rate of growth. Consequently, the blockchain industry has endured an exponential increase in malware, phishing, fraud, and digital theft. Based on data provided by industry experts, $9 million is lost to cryptocurrency scams on a daily basis.

The key to successfully thwarting a blockchain hack is to identify the threat and understand the nature of the attack as quickly as possible. Hackers are acutely aware that they must strike quickly in order to launch a profitable attack. Unfortunately, crypto exchanges have a poor track record in preventing cyber-attacks. AI-based cybersecurity systems are designed to detect a hack in real-time and dramatically increase the likelihood of stopping the attack. AI systems are far superior to traditional cybersecurity systems because AI has the ability to detect patterns from previous attacks. This information can be used to prevent future cyber threats.

Bitcoin Mining

As you know, all crypto transactions are verified and added to the blockchain by Bitcoin miners to maintain the integrity of the network. In exchange for their work, miners are rewarded with Bitcoin. Crypto mining requires energy consumption and computing power. Over the past few years, Bitcoin miners have explored the idea of using artificial intelligence to reduce energy waste and computing power to reduce costs.

A few of the largest mining companies have created AI-based systems, allowing companies to share power and increase profitability. AI algorithms have made crypto mining faster, more profitable, and more efficient. Without question, artificial intelligence will continue to play an essential role throughout the crypto industry.

Brief Summary of Blockchain and Artificial Intelligence

Artificial intelligence (AI) was introduced in 1955 by John McCarthy

  • AI is the ability of a computer program to think, learn and mimic human thought.
  • AI encompasses several different fields of study.
  • AI has increased its presence in cryptocurrency trading.
  • High-frequency trading uses AI to analyze technical indicators across many exchanges.
  • AI-based cybersecurity systems are designed to detect a hack in real-time.
  • Bitcoin miners use AI to reduce energy consumption and computing power.
  • A few of the largest mining companies have created AI-based ecosystems.
  • AI algorithms have made crypto mining faster, more profitable, and more efficient.