Crypto-Currency: The Revolution That Is Even Greater Than The Internet!
Crypto-Currency: The Revolution That Is Even Greater Than The Internet!
Crypto-Currency: The Revolution That Is Even Greater Than The Internet!
WHAT IS BLOCKCHAIN?
What is blockchain?
• A blockchain is a distributed database that
maintains a continuously-growing list of
records called blocks secured from tampering
and revision. Each block contains a timestamp
and a link to a previous block.
• In relation to cryptocurrency, a digital ledger
recording a list of transactions.
How does blockchain works?
Who companies racing to adapt
blockchain?
https://www.weforum.org/agenda/2015/12/whats-the-future-of-blockchain/
Estimated spending on blockchain by
Banks
Buy coffee with crypto-currency
WAYS TO INVEST IN CRYPTO-
CURRENCIES
Ways to invest in crypto-currencies
• Earn rewards by mining
• Build your own mining rig
• Engage cloud mining service
• Trade from crypto-currencies exchange
• Buy low, sell high (https://poloniex.com; https://www.coinbase.com/; )
RISK
GOVERNMENT CONCERNS ON
CRYPTO-CURRENCY (BITCOIN)
Why government need to control fiat
currency?
• Government control the Fiat Currency. They
increase/decrease fiat currency to exert
economic influence.
• With Fiat Currency, they can track currency
movement, collect taxes, trace criminal
activities. Control is lost if everyone uses non-
government created currencies.
Impacts if everyone uses bitcoin or
other cryptocurrency?
Entire banking system will be irrelevant.
• Many banking jobs will be lost.
• Tax revenue lost when banking industry is gone.
• Where to get mortgage loan?
• Who will pay interest on your saving?
Increase in crime
• with cryptocurrency, untraceable financial transactions
• Drug trafficking, prostitution, terrorism, money
laundering, tax evasion all benefit.
• Case study “Silk Road – Online drug market”
Legality of bitcoin by country
https://en.wikipedia.org/wiki/Legality_of_bitcoin_by_country#List_by_country
THEFT/HACKER IN
BITCOIN/ETHEREUM
Bitcoin worth $78m stolen from
Bitfinex exchange in Hong Kong
https://www.theguardian.com/tec
hnology/2016/aug/03/bitcoin-
stolen-bitfinex-exchange-hong-
kong
PONZI SCHEME ALERT
Characteristics Ponzi Scheme
1. New opportunities with limited knowledge
The company sells shares to investors by taking advantage of a lack of investor knowledge or competence. By doing this, the
company can claim the investment strategy must be kept secret to ensure a competitive edge.
3. High returns
Early investors often reinvest their money because of the high returns. The result of that means the promoting company does not
have to pay out much to the investors. This maintains the deception that the scheme is a legit company with high returns.
6. Consistent payments
Fluctuations in the return on the investments raise questions from investors. Since Ponzi schemes and fraudulent companies
would like to have as few questions as possible from investors payouts are usually abnormally consistency.
The end of Ponzi
A Ponzi scheme sooner or later falls for on of the following reasons:
– The company decides to stop the investment plan for any reason. Could be fro
authorities or any other reason.
– There are too many withdrawals at once and the company can´t handle all the
withdrawals.
– The flow of new investors money slows down compare to the increasing withdrawals.
This cloud turn in a long shut down period with consistent lower payouts for a time.
BitcoinCloudServices.com
THANK YOU
[email protected]