Author: Michael Gu

  • Lightning Node Setup Guide (With Docker)

    Lightning Node Setup Guide (With Docker)

    This guide will get you started setting up a Lightning node to send and receive Bitcoin on the lightning network. The node will be always online – you’ll be able to send and receive lightning transactions at any time. We’ll be using a Docker container allow for faster deployment and updating. Remote Lightning nodes are great for anyone who wants to make some extra money routing lightning network transactions for passive income.

    • Difficulty: Intermediate
    • Time required: 1h
    • Setup type: LND with Docker
    • Prerequisites: Ability Deploy nodes on AWS or DigitalOcean

    This guide has been adapted from ZAP-tutorials – including a few updated commands.

    Note: For this guide we’re going to be using the Bitcoin Testnet – a test environment where we can make mistakes without serious consequences. Once you’re comfortable with deploying the node, you can switch over to the bitcoin mainnet by replacing “testnet” with “mainnet” in the code.

    Remote Node Setup with Docker

    For this setup, you’ll need to setup your own remote node on a cloud hosting service such as AWS or DigitalOcean. In this example, I deployed a t2.micro instance on AWS running Ubuntu Server 18.04. You can deploy any type of server, so long as it supports Docker you’re good to go.
    Note: must have 1GB or more of RAM on the VPS. Anything less will result in frequent crashes.

    To get Docker, install it with these commands

    sudo apt update
    sudo apt install docker.io

    Installing the Lightning node

    For the container, we’ll be using an image built by Zap – it’s already pre-configured with everything you need to get started (lnd, lndconnect). The first step is to create a “volume” which allows our data to be preserved in case the container is destroyed in the future. The volume we are creating is called “lnd-data”.

    Note: some installations docker don’t require “sudo”, if you run into problems, run docker without elevated “sudo” privileges.

    sudo docker volume create lnd-data

    Next step we’re going to run the latest image from “lnzap/lnd:latest”. We’re going to connect to the Bitcoin Testnet – this way if we make any mistakes we won’t be losing real Bitcoin.

    We are also connecting to public neutrino clients – this greatly lowers the hard disk requirements for this node.

    Before executing, make sure you fill in your IP in the YOUR_EXTERNAL_IP section.

    sudo docker run -v lnd-data:/lnd --name=lnd-node -d \
      -p 9735:9735 \
      -p 10009:10009 \
      lnzap/lnd:latest \
      --bitcoin.active \
      --bitcoin.testnet \
      --debuglevel=info \
      --bitcoin.node=neutrino \
      --neutrino.connect=testnet1-btcd.zaphq.io \
      --neutrino.connect=testnet2-btcd.zaphq.io \
      --autopilot.active \
      --tlsextraip=YOUR_EXTERNAL_IP \
      --externalip=YOUR_EXTERNAL_IP:10009 \
      --rpclisten=0.0.0.0:10009

    Congrats! You got your Lightning Node up and running.

    Create a Bitcoin Wallet

    Now its time to create a Bitcoin Wallet. You can do this directly by interacting with the lnd-node via Docker.

      sudo docker exec -u lnd -it lnd-node lncli --network=testnet create
    Successfully created a Bitcoin Wallet. Make sure you keep the seed phrase safe (written down on paper)

    You can create a new address with the following command

      sudo docker exec -u lnd -it lnd-node lncli --network=testnet newaddress np2wkh

    This will give you a Bitcoin address where you can send Bitcoin to to fund the account. Since we’re on the Bitcoin Testnet, you can use https://coinfaucet.eu/en/btc-testnet/ to fund the account for free.

    PRO TIP: You can check if your node is working by scanning port 10009 and 9735 using https://www.yougetsignal.com/tools/open-ports/. This is a great way to check if there are any firewalls blocking your node from communicating and if the overall setup is successful. Running nodes will always have an “OPEN” status for the 2 ports.

    Connecting the Remote node with ZAP iOS app

    The ZAP app on iOS allows you to easily access the node remote node, send transactions, manage channels and more. The ZAP app is free and downloadable from https://zap.jackmallers.com/

    To connect ZAP with the remote node, run this command:

     sudo docker exec -u lnd -it lnd-node lndconnect --bitcoin.active 

    This gives you a QR code you can scan with your wallet (“Connect to a Remote Node”) to complete the binding. (Note: Older guides ask you to use zapconnect which no longer works and will give you an error).

    Creating Channels with other nodes

    To start making payments, you’ll need to create Lightning Channels with other nodes on the network. A great place to start finding other nodes is via https://1ml.com/testnet/. This is a list of all the testnet nodes.

    You can scan the QR code for various servers via “Settings” -> “Manage Channels” -> “+”

    Helpful Debugging tools and commands

    Now you’re all done – the remote node is running and funded. To test out the configuration you can use these following tests:

    Check LND status

    This command checks for status of lnd and if you’re fully synchronized with the Bitcoin Network.

    sudo docker exec -u lnd -it lnd-node lncli --network=testnet getinfo

    Checking LND Logs

    If there any problems and issues, it’ll usually show up in the logs. Access the latest 100 log messages using this command

     sudo docker logs --tail 100 -f lnd-node  

    Restarting the container

    When you restart the node, you’ll need to restart the container. For this you’ll need to know the container ID, then starting it.

    sudo docker ps -a 
    
    sudo docker start CONTAINER_ID

    Unlocking the Wallet

    Every time you restart the container, you’ll need to unlock the wallet:

     sudo docker exec -u lnd -it lnd-node lncli unlock
  • Proof of Stake explained

    Proof of Stake explained

    Proof of stake (PoS) is a consensus mechanism introduced in 2011 to improve upon the current most popular algorithm in use – Proof of Work (PoW). The main advantage of Proof of Stake two-fold it improves the speed of the Blockchain and also reduces the amount of electrical waste. Instead of consuming vasts amounts of computational power to “mine” for cryptocurrencies, Proof of Stake elects stakeholders to validate transactions. This election processes depends on the amount of cryptocurrency held by a node, hence the name Proof of Stake.

    What is Proof of Stake

    To truly understand PoS it is easier if we also explain the current system being used by Ethereum, and that is proof of work (Ethereum Mining). So basically when Ethereum is transferred, miners group that up into a ledger called a block chain and to do this they have to solve a puzzle. In creating this blockchain, a lot of computational power is also used. The amount of reward you get for creating a blockchain is a transaction reward. However, this depends on how much work you ie. how fast you can calculate and solve the puzzle.

    So this is all going to go away once proof of stake comes along. With proof of stake, you don’t actually solve any puzzles. You remove the puzzle solving element from the system and thus change the way the reward is distributed. So instead of proving how fast you can calculate with hashrate, you need to prove how much Ethereum you own. You do this with something called a master node. When you create a master node, you have to lock up a certain amount of Ethereum to prove that you have it and rewards are distributed according to how much proof of stake you have. One can create multiple master nodes with a lot of Ethereum inside and you’ll earn more through this method.

    Will Ethereum adopt Proof of Stake?

    So you might have heard that Ethereum is considering changing its distributed consensus system to something called proof of stake. Here, we will try to explain what this is as well as how it may affect you.

    So you might have heard that Ethereum is considering changing its distributed consensus system to something called proof of stake. Here, we will try to explain what this is as well as how it may affect you.

    How does this affect me?

    So that’s going to be extremely interesting for everyone. We’ve seen proof of stake currencies before. Dash is one example where 50% of the rewards is done by mining and the other 50% is done by proof of stake. And there is PIVX which is 100% proof of stake. The advantage of proof of stake is huge. One benefit is that you no longer have to do the calculations which mean you save a lot of computational power. Another one is that you actually lock up Ethereum. By locking up Ethereum you effectively create more scarcity which means the price should go up.

    So hopefully, it’s going to happen sometime this year. To do so, the people in charge of Ethereum have to make sure the code is ready and stable. And they also have to make sure they have the support of the miners. That’s going to be an interesting thing to see in the coming months because if the miners don’t support this move then what can happen is that it might break up Ethereum again just like last year.

    But there are mechanisms to help along this process. Ethereum actually has kind of a ‘time bomb’ that would blow up if the switch is not made. The switch has always been planned and it’s in a sense been hard coded to happen sometime so that’s kind of interesting to see how this will progress.

    Miners also do not need to worry they will be without a job. There are other currencies that can be mined with the current hardware. For example, if you use AMD GPUs, you can start mining Zcash which is also extremely profitable right now. So I do see this as being very exciting for everyone.

  • CryptoDaily’s Fabulous Camera and Gear Setup

    CryptoDaily’s Fabulous Camera and Gear Setup

    Cameron runs the wonderfully informative and hilarious CryptoDaily Channel. Something we notice straight away the high quality render of his rugged beard and perfect bed hair. Today we find out what camera and recording gear CryptoDaily uses to create his awesome content, direct from the man himself!

    CryptoDaily Camera and Gear Setup
    CryptoDaily Camera and Gear Setup

    Main Camera – Canon 1DX Mark ii Lens – Canon EF 11-24mm f/4L USM Lens Viewfinder – SmallHD 5inch
    This camera again is totally unnecessary, but it gives great colour accuracy, sharp image and smooth 50fps. The 4k quality is quite important because it allows you to punch in without losing image quality.

    Side Camera – Canon 80D Lens – Canon EF-S 10-18mm f/4.5-5.6 IS STM Lens This is the part of my setup I am least happy with. The lack of 4k quality on it is in stark contrast to the main camera, but provides 50fps smooth image also. The ultrawide lens is important so it can be quite close to you in an office without looking like it is.

    Display – 49-Inch 5k Super Ultrawide Display – Dell U4919DW
    Totally unecessary, but it does allow me to have notes on the side, my main window being recorded in the middle, and my OBS on the other side as though it was a triple monitor setup with no bezels.

    Mic – Shure SM7B Mixer –
    Yamaha MG10XU I love the sound of this mic. I’ve tried many in the past, nothing is better for podcast audio in my opinion.

    Monitor Speakers – Audioengine A5+
    Ideally you edit with a pair of quality headphones, but I try to be wireless where I can. This are monitor speakers so ideally what I am hearing is what most people will also have recreated when watching my videos.

    Keyboard – Logitech G613

    Mouse – Razer Mamba Wireless

    PC – GTX 1080 graphics card, 8700K CPU, 32gb Ram, Maximus X Motherboard, NZXT AIO, NZXT Case, 4TB Samsung SSD.

  • Binance Chain Guide

    Binance Chain Guide

    *Update: Added information about Binance Chain Memos and new withdraw panel

    Binance just launched the Mainnet for Binance Chain – and there are significant changes such as a “BNB token swap” that you MUST know about. The Binance Token (BNB) will no longer be on the ethereum chain (ERC-20 Token), instead it will be fully migrated to Binance chain (BEP-2). This means if you hold BNB on an ethereum wallet, you must pay special attention or you might accidentally send it to the wrong address.

    Binance Dex with new BNB address
    New BNB addresses are shown on Binance DEX

    Read more about Binance and features in our Binance Exchange Review

    Binance BNB Token Swap

    Binance has started the token swap for $BNB tokens. In the future, BNB address will begin with “bnb……” format instead of the ethereum “0x…” address.

    New BNB withdraw page uses the MEMO feature that is unique to Binance Chain
    • BNB kept on Binance.com will automatically be swapped – no manual operation required. The new withdraw page will automatically use the Binance Chain address.
    • To deposit Ethereum based tokens based on the ERC-20 standard, $BNB tokens can be sent to the Ethereum deposit address on the Exchange.
    Old ERC20 Binance BNB tokens can be deposited in “Ethereum” address for converstion

    Once ERC20 BNB is deposited into the exchange, the token will be automatically swapped.

    BNB Token Supply and Functionality

    In terms of total supply, the amount of BNB remains the same. The initial supply of BNB will be 200,000,000 and 11,654,398 BNB will be burned on Binance Chain. Binance will burn ERC20 BNB tokens to keep the total supply constant as the token swap takes place

    Binance DEX

    Binance DEX has officially launched at Binance.org. This Decentralized Exchange is designed for advanced users who want to keep self-custody of their cryptocurrency assets (as opposed to centralized exchanges where funds are kept by exchanges).

    Currently Binance DEX support their own token standard, the BEP2 token. For coins to be listed on the DEX, they need to be migrated to the Binance Chain. Whether coins are willing to migrate depends on what features they need:

    • Faster transactions – Accelerators and small number of Validators mean confirmation times are much faster
    • Centralized – Validators are pre-authorized and consensus is not open to general public
    • No smart contract support – Binance Chain is transaction only

    Binance to Challenge Ethereum as top Token Issuance Platform?

    With the introduction of the BEP2 token standard, Binance Chain can allow projects issue tokens via Initial Coin Offerings (ICO) or Initial Exchange Offerings (IEO). This feature allows BinanceChain to rival the ERC20 standard Ethereum which has been used by many popular projects such as Basic Attention Token (BAT) and OmiseGo (OMG). What sets BEP2 tokens apart is that it has a faster confirmation time and access to Binance DEX.

    Whilst many have questioned if the success of Binance Chain would mean the demise of Ethereum, CEO Changpeng Zhao has denied this claim.

    CEO Changpeng Zhao doesn’t see Binance Chain as a competitor to Ethereum

    Currently Mithril (MITH) has chosen to migrate to be the first token to be migrated to the Binance Chain.

    Disclaimer: Cryptocurrency trading involves significant risks and may result in the loss of your capital. You should carefully consider whether trading cryptocurrencies is right for you in light of your financial condition and ability to bear financial risks. Cryptocurrency prices are highly volatile and can fluctuate widely in a short period of time. As such, trading cryptocurrencies may not be suitable for everyone. Additionally, storing cryptocurrencies on a centralized exchange carries inherent risks, including the potential for loss due to hacking, exchange collapse, or other security breaches. We strongly advise that you seek independent professional advice before engaging in any cryptocurrency trading activities and carefully consider the security measures in place when choosing or storing your cryptocurrencies on a cryptocurrency exchange.

  • Secrets of “Darkpools” and unreported trade volume and Bitcoin OTC

    Secrets of “Darkpools” and unreported trade volume and Bitcoin OTC

    In Crypto, not all trade volumes are visible – in fact “Darkpools” account for a huge amount of crypto trading and has an enormous impact on cryptocurrency prices. Darkpools include peer-to-peer trading, such as on sites like localbitcoins.com and also Over the Counter (OTC) desks. The reason why it’s unreported is because deals are done privately, for example Peer-to-peer trading can be done in person and with cash, leaving virtually no trace of the transaction ever happening. Large volumes are also traded OTC – this is more organised as private buyers and sellers are matched, with some form of escrow to allow the transaction to take place. OTC desk sometimes even require minimum volumes, like $100,000+ USD to up to 1 Million.

    First things first. What’s an Over the Counter (OTC) desk?

    Traditionally, OTC desks facilitate trading of securities that are not listed on formal exchanges, e.g. the New York Stock Exchange.

    The trading of cryptocurrencies on OTC desks is similar to those in traditional markets.

    OTC desks have a network of buyers and sellers. The trades themselves are facilitated by OTC broker-dealer who will locate and negotiate directly with prospective buyers and sellers over computer networks or by phone.

    This is contrasted from trading over exchanges where the prices and order books are publicly available. For OTC desks, their broker-dealers will negotiate the trade price for you. Trades are also not publicly listed giving the parties privacy.

    Therefore, to fully understand what is going on in the cryptocurrency markets it is important to consider what is also happening at OTC desks. This is because large transactions happen on them on a daily basis.

    What does a trader at an OTC desk do?

    Traders at OTC desks are the broker-dealers mentioned above. Their role is to locate and match buyers and sellers, and negotiate the best deal for all the parties involved.

    Part 1: Crypto trading/ Market Manipulation/ OTC Markets

    Therefore, it is important for traders at OTC desks to have a keen eye on the cryptocurrency markets and be knowledgable of the market trends.

    I had the opportunity to interview Charles Yang, Head Trader at Genesis Block Hong Kong, an OTC desk. In my interviews we discuss what’s really happening at OTC desks away from the public eye. We also discuss his thoughts on the market sentiment.


    Is Tether Safe? Will Bitcoin & Ethereum Recover? 

    Secrets and Insights from an OTC Trader

    Here’s a summary of the key points from the interviews with Charles.

    There is still interest in cryptocurrencies

    Charles observes there is revived interest in cryptocurrencies despite this bear market.

    He notes that a lot of the customers from the OTC desk who were previously dormant have recently contacted them wanting to buy and sell cryptocurrencies.

    The risk of Tether is exaggerated

    Firstly, what is Tether? Refresh your memory with our Tether Explained guide below:

    We’ve seen in recent news that USDT is not fully backed by cash. Instead, Tether is around 75% backed by cash, and the remaining 25% by other securities or loans.

    Confused with what’s happening in this Tether scandal? Check out our video below which explains what is happening and the latest legal action surrounding Bitfinex.

    Despite this, there is still demand for USDT in Asian countries such as China, where they are buying USDT at a premium.

    This is because China bans cryptocurrency exchanges, so retail investors cannot buy cryptocurrencies such as BTC. What they do instead is they first buy USDT through peer to peer merchants, and then enter the cryptocurrency market at a later time when conditions are right. 

    Right now, Bitfinex who is being accused of “losing” customers funds is more at risk. Bitfinex will have to go bust first before people question USDT.

    Charles believes that fundamentally short trading would have less losses because if USDT is at 97% and your prediction is wrong, then your loss would only be 3%. Whereas the opposite would be to bet that it goes to 0.

    Mining is still profitable

    The recent “official news” in China was that cryptocurrency mining has been banned.

    Despite this ban, Bitmain is coming up with new models and generally summer is big for mining because electric costs falls.

    There may be miners who start accumulating and building to maximize their margins 

    Charles notes there is news that big players are scrambling to get cheap damaged mining rigs. They are not the newest models but there are still returns from using them to mine cryptocurrencies.

    So despite the official news about China banning mining the word on the street is that people are buying rigs and locking in contracts for the summer months.

    Simple guide to the aftermath of the Chinese Bitcoin mining ban

    Initial Exchange Offerings (IEOs) are risky, but need not be avoided completely

    If you participate and get allocation you would benefit. But ultimately it is the exchanges that benefit because you need to buy their token to participate.

    For example Binance requires you to buy into IEOs with their BNB token. Of course it’ll be great for you in the short term if you get allocation and the coin pumps. However your risk is that you would be left with the exchange token if you don’t manage to get any allocation after the lottery.

    IEOs are also highly volatile, especially immediately after listing

    It may be better to trade with OTC desks than exchanges

    Charles notices that there is quieter trade flow, so big players looking to buy or sell cryptocurrencies need to offer better prices. Therefore the margin between the buy and sell price is much less. Bigger players also can offer better quotes because of volume. Therefore it may be cheaper to trade with OTCs who deal exclusively with larger orders than exchanges.

    And whilst exchanges require you to have the funds ready at the time of transaction, OTC desks allow you to lock in the prices and settle later. This gives people more flexibility .

    However, depending on who you are, one upside or downside of OTCs is that they are not transparent. So while you can try to gauge whether there is a lot of trade flow through an OTC desk by reading their reports (if any), there is no way you can verify if they are being truthful. On the other hand you can conduct trades privately compared to on exchanges.

    What coins to hold? Bitcoin Bitcoin Bitcoin (BTC)

    Unlike other coins, Bitcoin (BTC) has a 10 year history. There is no founding team or leader. For this reason it is not affected by company politics and is the most decentralised.

    We can see the prices for a lot of tokens crash during the Initial Coin Offering (ICO) crash. Some may be due to the project running out of funds, failing to deliver on its promises or in worse cases the founders and key personnel leaving the project altogether. Studies were shown that over 80% of ICOs in 2017 were scams.

    I was standing in the same spot glued to my phone for 2 hours when this all went down.

    We also see that the ICO game was not fair, some people were able to purchase tokens for a more favourable rate or terms even before the token was listed to the public. This however would never happen with BTC.

    Is day trading profitable? No (sorry)

    For retail investors, day trading is not profitable even for traditional markets.

    This is because retail investors would be bogged down by trading fees, but not all trades are profitable.

    Retail investors are also unprotected from market manipulation. This is especially true for cryptocurrency investing, which is generally an unregulated space.

    Don’t do this

    Conclusion

    Ultimately, trading cryptocurrencies requires exercising caution and doing your own research. One can look at OTC desk reports to have a good grasp of what may be quietly happening with some big players, but at the end of the day, question everything. Also, whilst you may stand to gain several times your initial investment by going into highly volatile IEOs, bear in mind it is designed so that exchanges ultimately win. The most prudent thing to do is to never invest more than you can lose.

    Links

    Buy Bitcoin in Hong Kong – https://buybitcoinhongkong.com/

  • MimbleWimble complete Beginner’s Guide

    MimbleWimble complete Beginner’s Guide

    What is MimbleWimble

    While earlier blockchains such as Bitcoin did not account for privacy and scalability, new projects are addressing these very issues. One of the most revolutionary protocols right now is MimbleWimble. The protocol is gaining traction because of its ability to address privacy, scalability and fungibility. Currently coins that use this technology are Grin, Beam, Epic Cash and Litecoin is starting sidechain development.

    Why is Privacy important? Currently, when you use Bitcoin, that is, to send bitcoin, the receiver can extract unrelated transactional information. Because of this splitting transparency concession, privacy coins like Monero are increasingly becoming more popular thanks to their transaction obfuscating ability.

    MimbleWimble’s History

    The whitepaper for MimbleWimble was first published by Tom Elvis Jedusor, an alias name referenced from Harry Potter, in June 2016 but the mainnet is now live. What Elvis proposed was hiding senders and receivers addresses as well as the amount. This not only ensured privacy but also reduced block size to allow for more direct and efficient transactions while making the platform more scalable. Because of their proposal, Mimble Wimble’s white paper is popular with privacy coins enthusiasts.

    How does MimbleWimble Works

    MimbleWimble (MW) ensures that with all transactions, there are no addresses from where the amount is coming from and to whom it is going to. Furthermore, it hides the amount being transacted. Transactions are trivially aggregated to hide where a newly created transaction comes from. The transaction is relayed privately among peers before becoming public.

    Without an address it becomes impossible for any user to track a transaction. With other cryptocurrencies, to send or receive transactions, one must have an address. This addresses act as tags making it possible for the public to tack transactions, with MimbleWimble, this simply doesn’t exist because the address (tag) isn’t there.

    To hide transaction amounts, MimbleWimble has used EllipticCurve Cryptography (ECC) creating the underlying structure to eliminate inputs and outputs data. This essentially takes out your signature from transactions by combining the signature of the sender and the receiver to create a private address.

    However, using confidential transaction, the amount being transferred remains visible to the participants of the transaction.

    MimbleWimble goes further ensuring that not even your IP can be traced. If you send or receive amounts with a phone or laptop regularly, this phone or laptop can be identified and traced back to you. However, with a new privacy layer in the MimbleWimble protocol, there’s extra security preventing tracking.

    Grin’s Advantage over Other Privacy Coins

    By comparing it to one of the biggest privacy coins, Monero, it’s clear that Grin—which uses MW, is superior. Whereas Monero creates dummy transactions to hide the real transaction via ring signatures, Grin employ transactional output, a technique that makes it hard for UTXO tracking as well as cut-through transaction via Coinjoin to merge old transactions.

    Clearly, what Mimble Wimble brings to the fore is a technological breakthrough that has great implication for the entire ecosystem that would even changehow transactions are done. Its implementation means cryptocurrencies like Bitcoinwould be used on a day to day basis without compromise of privacy, scalability and fungibility via a simple hard fork.

    How to mine MimbleWimble Coins

    MimbleWimble coins can be mined using GPU and CPU hardware. To find out how to mine Epic Cash, check out our full Epic Cash Mining guide.

  • Mithril (MITH) Overview

    Mithril (MITH) Overview

    Mithril aims to disrupt our perceptions on social media- to decentralize and reward social media content creators fairly and openly. 

    For a long time, content creators have not been earning for firing up their creative juices. Their followers have also been left dry after interacting with content. But this is now in the past since the launch of Mithril, a platform employing blockchain technology with content creators and their followers in mind. 

    The team behind Mithril comprises of top minds like Wilson Huang who is a former software engineer at Yahoo and Jeffry Huang, the former chairman of M17 Entertainment. 

    Since its launched in 2018, the decentralized social media platform has already made notable milestones. For example, it has secured a partnership with PiePie, a social platform where content creators can earn MITH tokens (more on this shortly). 

    Mithril does this through “social mining”. Unlike other social media platforms such as Facebook and Instagram, Mithril rewards users for their content according to the popularity it attracts. 

    What makes the Mithril ecosystem 

    The Mithril ecosystem is made of the MITH token, Lit, and the Mithril Vault which are intertwined to bring a comprehensive experience to content creators. 

    The MITH token (MITH) is the platform’s native token and which is used to reward publishers in a process called Social Mining (more on Social Mining later). The token is built using the ERC-20 standard on the Ethereum blockchain. It can be used to purchase goods and services on the Mithril Merchant Network, or it can be traded for other digital currencies. Apart from being used for payment and Social Mining, MITH can also be used for staking.  

    Lit, on the other hand, is an already developed social media app that is available to those using iOS or Android-powered mobile devices. Just as with other top social media apps like Facebook, Lit can be used for messaging and posting personal stories using the ‘stories’ feature. 

    The third core component of Mithril is the Mithril Vault, a secure virtual wallet for the MITH tokens. 

    Key Features Of Mithril

    Social Mining

    Though their mobile app- Piepie (available on iOS and Andriod), users can post 6 second videos and share it with over 154,000 (and growing!) other users globally who can follow, like or comment on them. 

    Users who post on Piepie will be rewarded with Mithril’s (MITH) tokens.

    Mithril recently expanded their ecosystem by partnering with Yeemos (available on iOS and Andriod). Yeemos is an app where users can post photographs. Other users can then interact with the posts by doodling, posting stickers, emojis, reactions or comments on them.

    Yeemos is expected to support the MITH reward system soon.

    Mithril Vault

    Users can link their Piepie (and eventually Yeemos) accounts to the Mithril Vault. The Mithril Vault has several functions:

    Funds: Users can withdraw and/or deposit their MITH, Binance (BNB) and Ethereum (ETH) tokens. Support for more tokens is expected.

    Staking: Users can “stake” some/all of their MITH for a minimum of 14 days. Staking increases the amount of MITH earned when using Piepie.

    Shift: Users can “shift” their MITH to ETH and vice versa.

    Exchanges

    MITH tokens are currently traded on most major exchanges including Binance, Bitfinex, Bithumb, Lbank, OKEx and HitBT etc.

    Uses for MITH Token

    The MITH token can be used as follows:

    Staking: As mentioned above, MITH can be staked in the Mithril Vault to increase the MITH earned from social mining on Piepie.

    Shifting: Also as mentioned above, the MITH Vault allows users to shift their MITH into ETH.

    Payments: MITH is accepted as a form of payment in the Mithril Merchant Network. For now this includes some Taiwanese cafes and merchants. Globally, MITH can be used to pay for other products/services relating to dating apps, paid content and other applications.

    The Mithril roadmap

    Mithril has been hard at work meeting its milestones, and in some cases ahead of schedule.

    For Mithril, the milestones covered form the footing for a bright future ahead. While the future will be comfortable for Mithril network users, the developers have already rolled their sleeves up. 

    For instance, the team behind Mithril is yet to develop an ad network, conduct a vault merchant network onboarding, among other high profile developments. 

    Those already partnering with Mithril include, Qtum, M17 Entertainment, Swag, SOLA Foundation, bytepay, Simple Swap, Atomic, among others. 

    In short, Mithril has just left the runway. 

    Resources:

    Website: https://mith.io/

    Whitepaper: https://mith.io/whitepaper.pdf

    Blog: https://medium.com/mithriltoken

    Telegram: https://t.me/MithrilChat

    Twitter: https://twitter.com/MithrilToken

    Binance research report: https://info.binance.com/en/research/MITH-2018-11-15-46831.html

  • Elastos Explained – what’s a decentralized internet

    Elastos Explained – what’s a decentralized internet

    Elastos is a third generation technology that leverages blockchain technology in giving internet users complete control over their digital properties. The protection that Elastos provide is beyond cryptocurrencies or private data. It covers other intellectual properties such as books, games, movies, and business ideas.

    Elastos is a new Internet technology that is revolutionizing online security and smart technology. Elastos is built on the concept of removing middleman, monetizing computing power, protecting digital assets and offering incentivised digital properties transactions with enhanced security and speed at an affordable cost.

    How does Elastos work?

    Elastos operates in an isolated environment called a virtual machine that runs on elastos runtime. Its is a lightweight operating system kept in a little box. To penetrate the system, an attacker has to create their own box and connect to the user’s data.

    If hackers manage to breach the security, Elastos does not grant Internet access so the information derived cannot be sent out or uploaded to the third-party websites like YouTube, Facebook or Dropbox.

    Alternatively, the hacker may try to download it to external storage, but elastos requires that the owners of the data grant permission from their end. Therefore unless the owners voluntarily share their digital assets, hackers cannot take possession of it giving owners exclusive protection over the data they secure with elastos.

    In another instance, assuming the hackers try to connect another virtual machine like engineering artificial intelligence (AI) scanner, it can only scan and check the data, but it is not transferable as it is an isolated device. The information cannot be passed on to the outside world.

    In another real-life instance, assuming you have a session with your doctor and he connects to your virtual machine, he can only read your medical report but will not be able to save a copy. It is also imperative to the point that the moment you close your Elastos machine, the information viewed by the doctor will be permanently erased guaranteeing you topmost security.

    The Blockchain Technology Behind Elastos

    Now that we know how Elastos works, it is possible for readers to conclude that Elastos does not need a blockchain technology to function in reality, the blockchain provides the secure ID to access Elastos.
    In a case where a hacker tries to override the user’s security, it is the blockchain that will be responsible for the assurance that the ID is authentic, not tampered with, void of virus and malware, and perfectly matches with the one registered in the block.

    Blockchain provides a layer of trust for all the virtual machines that want to connect to a system.

    Real Life Application of Elastos

    Business and Enterprise

    It helps businesses and enterprises to protect the trade secrets, for instance, Coca-Cola can use it to store their recipe menu which will not be available to anyone without their permission

    Professionals

    To safeguard valuable private data and ensure that only people with permission can access the information stored on it

    Content Creators

    Authors, content creators, movies and game developers can leverage the use of elastos in securing the ownership of their intellectual properties. With that, they can scale up their earnings and prevent illegal distributions of their contents to unauthorized users.

    Also, the content owners can use elastos to create a scarcity of their digital asset thereby increasing its value.

    Developers

    Elastos provides large blockchain applications in a secure environment and keeps contents intact after multiple uses

    Ethereum vs. Elastos

    Ethereum operates on a single main chain structure leading to speed limitation while elastos adopts main chain and side chain structure that speeds up the transaction, payment and smart contract support for several applications and services

    Ethereum experiences network congestion and data redundancy while Elastos is the more secure runtime with the independent operating system, software development kit (SDK) that speed up the operating process and prevent data congestion.

    Ethereum exposes data to risk as it employs a front end decentralized application (DApps) while elastos make use of a safe DApps prevented from accessing the networks thus protecting data from DDos. Also, elastos doesn’t make use of IP addresses which implies that hackers cannot track users’ activities.

    Conclusion

    In conclusion, Elastos is a disruptive third generation blockchain technology that offers total protection of data and vital confidential information for an individual or a corporate body. The innovative technology will help content owners to maximize the returns on the sale of their digital assets thus making more from their intellectual properties. Elastos is a very beneficial technology that every user of the internet should have in their possession to create a more secure internet environment for all.

  • Binance CEO Interview: Future of Exchange, Binance DEX, and BNB

    Binance CEO Interview: Future of Exchange, Binance DEX, and BNB

    I caught up with Binance CEO, CZ (Changpeng Zhao), at Binance Blockchain Week. I asked him about the future of the exchange, Binance Chain (BNB), Binance DEX and STOs.

    Binance CEO Interview: Future of Exchange, Binance DEX, and BNB

    To find out more about Binance, we have full Binance Exchange Review.

    CZ’s vision for Binance and Crypto ecosystem

    Micheal: What do you think about the crypto space at the moment?

    CZ: Personally, I think we are in a better place than we were this time last year. We are healthier than ever and there are tons of great things to invest in. The valuations are high and those who are building now have really good products, contrary to how it was when the market was high. Everyone at the conference has many ideas and more people are enthusiastic. The number of people going to conferences, the number of people working in this industry is increasing so the industry still going very strong even though the price of dropped a little bit since last year but if you look at two years ago it was like $300 for a Bitcoin so today’s 3000 it’s not too bad at all.

    Michael: What’s the vision for Binance going into 2019?

    CZ: We want to build five to ten Fiat on-ramps around different parts of the world hopefully spreading out from different continents. We see that as a limiting factor for the market and we also see there is an overwhelming need for it in the Jersey market. We want money coming in from the fiat market but on the flip side, we also see the need for a decentralized exchange.

    Binance DEX – Decentralized Exchange built on Binance Chain

    Binance DEX: Decentralized exchange

    Michael: What is happening with the decentralized exchange? Will they be competing against each other?

    CZ: I don’t think it competes at all. There are three categories really so there are people who use Fiat to crypto centralized exchanges and now you can’t really decentralize anyway because the banking relationship you can’t do it. Then there are people who are using crypto to crypto centralizing because there are very high liquidity faster systems etc and then this exchange you got to rely on exchange some people view that as less secure, some people view that is more secure than doing themselves and then there are the guys who want to control their own private Keys who want to be more anonymous. So most of the guys in the core community are heavy power users and they’re loud they speak more and the others, they want to use Dex so we see that as not really competing we’re just offering different solutions to different people and we always let the user choose and we let the market choose. Overall, most people think decentralized exchanges will be the future.

    M: Will we see familiar tokens on the decentralized exchange?

    CZ: I think over time we will see more coins traded on the decentralized exchange because there’s less control we already have confirmation of a number of large projects were doing that they have to migrate completely from Ethereum on to finance. So, basically, if you’re only using ERC-20 as a token there’s no real reason for you to stay on Ethereum. There’s a lot of benefits with Binance, lesser cost transactions and it integrates a native Dex decentralized exchange so you don’t have to use a slower more expensive distance-wise exchange. So the Binance chain is actually a very simple chain where to create a token you don’t write a small contract so you just you just specify a few parameters you specify the token name the token symbol and how many decimals you have and pay a relatively large fee initially as we want to block out the scammers. Pay a fee in and boom you have your current you have your token so it’s much easier to use much less programming involved and so because we don’t have the smart contract there will be no EVMs making virtual machines to be faster so it’s a much condensed special-purpose chain.

    Security Token Offerings (STOs)

    M: What are your opinions on STO’s?

    CZ: It is definitely a very interesting space but excuse relates very heavily to regulatory regulations so we already have regulatory licenses at different places with different partners long term. It’s not our strength so we’re kind of waiting to see how other people do it and once other people figure out what they do. We can potentially copy them shamelessly and then grow that. (https://idealhealth123.com/) It requires a lot of lawyers a lot of guys in the regulator space so it’s one for the future, we are more technology-based right now.

    CZ showing off his new Binance Tattoo

    Getting to know CZ

    M: What’s the weirdest place you have used Twitter?

    CZ: I don’t know, I love Twitter. I am just myself and it’s nice to interact with the community and get feedback. Sometimes I attack people sometimes I am polite, I just am myself.

    M: Tell us about your Binance tattoo?

    CZ:  I was in Singapore with Gareth and Luke, and Luke had a bitcoin, coin finance tattoo and he said he was going to get a Binance one so I thought I should get one also. Then Gareth said he wanted a Binance tattoo too. So the three of us went to a tattoo shop in Singapore I got it like about a month ago so now it’s healed really well I like it.

    M: What’s your next tattoo going to be?

    CZ: Yeah actually I’m okay with one for now. I think for me the logo is very meaningful, I think if you want to put something on your body it has to be meaningful to you. I like it, yeah but I don’t think I’ll get a second tattoo anytime soon!

  • Blockshow Asia sends strong positive signals for crypto

    Blockshow Asia sends strong positive signals for crypto

    Attending Blockshow Singapore, I only have one question in my mind – is the Blockchain scene still alive? Conferences are great for answering this question because unlike fake trade volumes, attendees cannot be faked.

    Who’s Attending Blockshow – any new investors?

    Upon arriving at the Marina Bay Sands Conference center, I was pleasantly surprised at the number of attendees: more than 3000 blockchainers packed the conference halls. Both conference halls had over 70% of the seats filled, which was a good sign as people were actually listening to the talks. The organizers made some cheeky “optimizations” by booking a smaller venue:  the main conference hall packed around 300 people instead of the usual 600 seen in other conferences. 

    I’m watching out for new investors. High numbers of new faces to the blockchain space would mean that the scene is heating up again. It could also potentially signal an end to the year-long bear market. Unfortunately, CEO of Blockshow Addy Crezee stated that there are few new investors coming into this conference. 

    Strong Development Focus

    You’re going to need different types of people – can’t just be engineers. You’re going to need branding, marketing, financial consultants … everybody

    Jeffrey Huang, Co-founder of Mithril

    For once in a Blockchain conference, attendees are no longer comparing “top ICO deals” or “hottest altcoin tips“.  Unproductive ICO deal discussion dominated the conversation space at Consensus in New York this year, a conversation topic that breeds unwanted speculation into this space.

    Read more about Mithril and Binance Partnerships in Mithril Coin Guide

    During Blockshow, discussions matured and revolved around about “what a team is developing?“. In addition critical debates were held over how to advance blockchain technology. This sends a strong positive long-term signal as we are guided towards health growth and advancements in this space. 

    Working Products

    I was lucky enough to catch a glimpse of the SBTG Shadow Fury with Vechain anti-counterfeit technology. Scanning the trainers with the Vechain Pro app will verify the unique ID on the shoe and match with records on the Vechain blockchain. (Diazepam) The tag is directly sown into the tongue of the shoe and cannot be duplicated due to the strong encryption used. 

    Read more about Vechain in our Vechain Coin Guide

    I have to say, seeing products in real life is much better than looking at drawings and whitepapers. The next step is to take this technology mainstream and into major brands (Nike is trialing this) and other products such luxury handbags. 

    Security Token Offerings (STO)

    CEO of Blockshow Addy Crezee gives a rundown of the conference

    Security Token Offerings (STOs) have become a hot topic this year, with ICO engineers look to STOs as a way to reignite the fundraising fever. STOs offer direct value to token holders – by offering an equity share of the company, it solves many of the problems of Utility Tokens face. Token holders no longer need to as “what are the tokenomics” or “what makes this token valuable in the long term“.

    However, there is catchextremely limited accessibility, especially in the US. Security tokens can only be traded between accredited investors who have more than $1 Million USD net-worth. 

    There will be new terms like Token Security – which I always talk about. (Token Security) has an underlying asset that is a security, which already has an legal entity.

    Professor David Lee, Blockasset Ventures

  • Monero (XMR) in a Nutshell

    Monero (XMR) in a Nutshell

    Monero is a rather unique member of the cryptocurrency family thanks to its focus on privacy and absence of the traditional open blockchain network like those found on Bitcoin. It is, in a nutshell, a system that makes use of three key technologies — Ring Signature, Stealth Address and Ring CT (Confidential Transaction) — to ensure that the sender, receiver and transaction amount are concealed from view.

    On a traditional blockchain, you can freely click to see who sent any transaction, how much it was, and who the receiver is. For many this was the logical way to do things because an open book meant less suspicion of dubious activities on the network. Going into “stealth mode”, as you can choose to on some platforms, is a sure-fire way to attract raised eyebrows. Monero tried to eliminate this problem by making its transactions 100% private.

    Advantages and Disadvantages of Monero

    + Users don’t have to worry about fraudulent chargebacks or multi-day holding periods. What’s more, there are no capital controls which restrict flow for traditional currencies. The user truly is in control.

    + Protection by CryptoNote’s hashing algorithm, “CryptoNight” makes it more resistant to ASICs (but not 100% ASIC-proof). The thinking is that it would be so costly to produce an ASIC for Monero that the benefits couldn’t possibly be worth it.

    + For better or worse, privacy is more attractive to more users. Privacy has always been a hallmark of any online industry’s success. Online shopping, for instance, was never going to be a reality unless people had ways to conceal their purchase histories and keep things private.

    Monero focuses on privacy

    – On February 19th 2017, the CryptoNote currencies, including Monero, were subject to a bug that allowed for stealthy creation of an unlimited number of coins, untraceable unless the viewer, too, knew about the flaw and what to look for. Fortunately, after scanning their system, Monero found it had never been exploited using this flaw, and by February 21st the problem was patched. To be fair to Monero, they have been open and disclosed full details of the error and all measures taken to rectify it.

    – The privacy element means there are view or no wallets available for full viewing, and so it’s impossible to know about past transactions and what’s really going on in the network. It may be a pro for existing users, but for newcomers it can be a little unsettling.

    It’s clear that one of the biggest pulls of Monero is the ability to remain anonymous without the same suspicion being leveled at you on other platforms where “stealth” is optional (and only used for dodgy transactions, people think). But, after the open-ledger and dominance of more “typical” cryptocurrencies, Monero represents a radical, even revolutionary approach that has a potent allure.

    RandomX CPU mining

    RandomX is a new cryptocurrency mining algorithm designed improve the distribution of mined cryptocurrencies more evenly to a broader base of users. The idea is that everyone with a computer has a CPU, and hence an algorithm that favors the CPU will be more inclusive. Random is is designed to only function on CPUs, with strong resistance to both GPU and ASIC mining. This is achieved by making use of functions only available on modern day CPUs, such as virtualization. RandomX has already been audited and is currently deployed on Epic Cash and will be deployed on Monero.

    Monero – How does it work?

    So how does it work? Each piece of aforementioned tech is used to protect a different element of the transaction.

    The sender is protected by the “Ring Signature,” which attaches multiple names to each transaction, forming a ring around the true sender and obscuring their true identity.

    The receiver is protected by the “Stealth Address,” which sends transactions to a single-use address that will flag up as non-existent should anyone try to look into who the transaction was going to.

    The amount of each transaction is concealed by the “Ring CT,” which only shows each exchange as being more than zero and valid — that’s it!

    Summary of how Monero works

    The conscious crypto user who wants to be anonymous for innocent reasons, but doesn’t want to arouse suspicion, will find the perfect partner in Monero. Privacy is a right, and Monero is one of the platforms offering it openly and genuinely. Not everyone agrees. Some people see universal anonymity as limiting, as it makes it impossible for new users to look into past transactions and determine if everything is kosher. There are even additional tools like their “Kovri” tool which masks IP addresses. To the experienced observer of the Bitcoin ledger, this secrecy can be rather off-putting.

  • Segwit Activation and Bitcoin Future with Jimmy Song

    Segwit Activation and Bitcoin Future with Jimmy Song

    Hi guys! I’m going to interview Jimmy Song (with Ivan on Tech), a vocal Bitcoin Developer and Entrepreneur about Segwit and the future of Bitcoin. Do you guys have any suggestions for interview questions?

    I would like to ask the boxminingmedeveloper.temp927.kinsta.cloudmunity if you have any questions to ask Jimmy (concerns over Bitcoin Scaling etc).

    Video will go live on July 19th Wednesday 8 pm CST
    (view from link below, will also be cast on Ivan’s channel)

    https://www.youtube.com/watch?v=G7NbMJqUnEQ

    Comments and suggestions:
    https://docs.google.com/document/d/1az8gtlpBRKXUOEyzPIv_kuy9d6AXY04ffm4Y9zX_lLk/edit?usp=sharing

    Objectives:
    Scenarios for Aug 1st
    Dispel some rumors / false information that is spreading in the bitcoin community
    Theme: Will Aug 1st Lead to a Better Bitcoin?

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    Questions

    1. Tell us about yourself How did you get into Bitcoin
    2. Why do we need to fix Bitcoin Scaling? (eg. currently, a large number of transactions create higher fees)
    3. Optimistic Scenario – Locking mechanism etc
    4. Failed Scenario – Betray and chain split
    5. Practical: what do “regular” people absolutely need to know until the August the 1st? For example: is it safe to transact during that time etc.. (pamblancopainting.com)
    6. How do we think we can heal the wounds and get everyone working together again
    7. What misconceptions do you want to dispel – what do you think people get most confused about

    References

    https://medium.com/@jimmysong
    Latest Post: https://medium.com/@jimmysong/uasf-segwit2x-scenarios-and-timelines-1a540336c4be