An official address from the U.S. Marshals states that they will hold an auction to sell about 2.170 bitcoins.
The U.S. Marshals are auctioning approximately 2,170 bitcoins in connection with various federal criminal, civil and administrative cases during a six-hour period March 19 from 8 a.m. until 2 p.m. EDT.
To register, potential bidders must complete all registration requirements by noon EDT March 14. A $200,000 deposit is required to participate. Deposits will be returned to non-winning bidders.
Bids will be accepted by email from preregistered bidders only. The bitcoins are offered for sale in 14 blocks: two blocks of 500 bitcoins, 11 blocks of 100 bitcoins and one block of approximately 70 itcoins.
The winning bidder will be notified March 19. Further details on the auction are available at www.usmarshals.gov/assets/2018/marchbitcoinauction.
Additional information about the U.S. Marshals Service can be found at http://www.usmarshals.gov.
RELATED ARTICLESMORE FROM AUTHOR
4 Quick Ways To Buy Bitcoin With Cash
Buying Bitcoin can be a profitable decision to invest your money, but many people don't know how to buy Bitcoin, and for that reason, they hesitate to invest. Investing in Bitcoin can be complicated, but it is much easier when you crack the steps. Several platforms offer to buy various cryptocurrencies using your cash in a very few steps. You can buy Bitcoin in Davis CA, which offers a variety of coins you can choose according to your convenience.
Buying Bitcoin with cash sounds good as you don’t need to provide any personal information or KYC verification. You just need cryptocurrency exchanges and wallets that support buying crypto with cash. Below, we have mentioned detailed information about how you can buy cryptocurrencies like Bitcoin using cash.
4 Quick Ways To Buy Bitcoin From Cash
Four options are available to buy cryptocurrencies like Bitcoin with your cash. So, let’s explore these methods for better understanding before investing in cryptocurrency.
1] Peer-To-Peer Exchanges
Peer-to-Peer or, in short, P2P exchanges are escrow services that are a secure and comfortable way to buy Bitcoin through cash. Here, you just need to sign up for a good P2P exchange and find a reputable local Bitcoin buyer or seller.
Just visit the P2P marketplace and open an account using your Email address. Further, add your bank account to your wallet, and now you are ready to buy or sell your cryptocurrencies. You can directly fund to your bank account or transfer money to your bank account through online payment methods. Escrow features in these types of platforms provide safety for your money. These exchanges also contain hundreds of currencies other than Bitcoin, which you can manage very easily.
2] Buy Bitcoin With Cash In Person
You can find a person to deal with cash in Bitcoin if you don’t want to rely on third-party services. You can place ads on social media, local websites, advertisement forums, boards, or simply check with your friends. You can also visit Bitcoin meetups and search for the people who are interested in buying or selling Bitcoin in cash.
However, it is advisable that you should not reveal your actual name and location on those ads for safety reasons. And maintain a low profile if you visit Bitcoin meetups. If you get any person who is interested, then fix the meeting in a safe place like malls, shops, or local streets where people reside around you.
3] Through The Crypto Trading Platform
If you don’t find any person or a place for P2P Bitcoin trade, then you can visit the crypto trading platform. These platforms are available online, or you can download the app to connect with them.
These websites contain a portfolio of multiple cryptocurrencies, including Bitcoin, and you can buy them using cash. You just need to create an account with your email id, and the platform will direct you to the dashboard. Add your Bitcoin wallet, and now you are ready to trade with crypto coins like Bitcoin. You can purchase your Bitcoin directly from the website and transfer them to your wallet. And if you need to sell, you can use the same trading platform, and easily withdraw your money from the Bitcoin wallet.
4] Buy Bitcoin From The Bitcoin ATM
Another method is you can buy Bitcoin through the Bitcoin ATM. You can visit your nearby Bitcoin ATM and purchase Bitcoin using cash currencies.
Scan the QR code of your Bitcoin wallet in the ATM, through which you will get a paper wallet generated by the ATM. You will most likely be asked to scan your fingerprint or any other verification depending upon the ATM’s configuration or manufacturer. After giving all the details, the new portal will open, where you can select the number of Bitcoins that you want. And at last, you need to insert the required cash and wait for a few seconds until the coins are delivered to your wallet.
4 Easy Steps To Invest In Bitcoin
Now, if you have understood different ways to invest in Bitcoin using your cash, below are the steps to start your investment in Bitcoin.
1] Choose Crypto Trading Service
The first step in buying Bitcoin is choosing a cryptocurrency trading service or venue. The popular crypto services provide three features; cryptocurrency exchange, payment services, and brokerages. This platform offers a marketplace to purchase and sell coins, and you can manage your portfolio in one place.
2] Get A Bitcoin Wallet
The next step is to create a Bitcoin wallet to exchange all your coins from the trading platform to your bank account. It acts as a medium that connects the crypto trading platform and your bank account. You need to add this wallet to the trading platform, and you will be ready to sell and purchase the coins you want.
3] Place Your Bitcoin Order
Now, place the order of Bitcoin from a favorable platform or website. You can trade with P2P exchanges for secure trade. Just visit the website and choose the coin you want to purchase. Make payment through your credit and debit card or any other payment method and wait for some time. It can take a few minutes, and after verification, they will be transferred to your wallet.
4] Manage Your Bitcoin Investment
After investing enough Bitcoin, you can manage your coins straight from the website. You can track all the information on each coin in your dashboard. Sell them if you feel profitable using the same platform, or you can keep them for the future to make a huge profit.
Final Verdict
Buying Bitcoin with your cash was tricky earlier, but now several online trading platforms are available where you can sell or Buy Bitcoin in Davis 2002. It provides an easy and safe terminal for your trade. If you want to start your investing career, then cryptocurrencies like Bitcoin can be the option to grow your money.
How to Retrieve Bitcoin from Your Scammers – 2022 Guide
Bitcoin is regarded as one of the safest cryptocurrencies, but things do happen, and there are scammers who prey on cryptocurrency users. No one is safe, not even the most successful merchants. Even the best and most experienced traders have been duped, cheated, and lost their hard-earned money.
Despite the lack of information on scammers and their methods, the recovery possibilities are not wholly foreign. Let's look at the finest solutions for recovering bitcoins that have been lost or stolen. Let's also look at how to avoid painful circumstances in the future.
It is not an exaggeration to say that recovering fraudulent bitcoins was extremely difficult until recently. These proven techniques of reclaiming duped bitcoins are thank goodness, lifesavers.
BitQt is one of the best bitcoin trading platforms for avoiding these types of scenarios since they deploy solid defense mechanisms in the first place. Even if something undesirable occurs, they quickly respond and do what is necessary.
Prevent The Loss of Bitcoins by Backing Up Your Data:
Non-public keys to your visible bitcoin address are found in most bitcoin wallets. If you don't back up these keys and data, your prospects of retrieving lost or stolen bitcoin are slim. Even if it's a sizable sum, all you can do is mourn over your lost fortune. As a result, backing up your bitcoin data with your email address is critical to avoiding these circumstances and getting scammed. Always save these non-public keys connected with bitcoin addresses to your email as a backup. In this manner, your protection guards are up against coning and scamming.
Recovering fraudulent bitcoins was extremely difficult until recently. These proven techniques of reclaiming duped bitcoins are thank goodness, lifesavers. In this article, let's go over the best ways to retrieve your hard-earned bitcoins back after scammers have stolen them.
BitQt is one of the best bitcoin trading platforms for avoiding these types of scenarios since they deploy solid defense mechanisms in the first place. Even if something undesirable occurs, they quickly respond and do what is necessary.
Prevent The Loss Of Bitcoins By Backing Up Your Data:
Non-public keys to your visible bitcoin address are found in most bitcoin wallets. If you don't back up these keys and data, your prospects of retrieving lost or stolen bitcoin are slim. Even if it's a sizable sum, all you can do is mourn over your lost fortune.
As a result, backing up your bitcoin data with your email address is critical to avoiding these circumstances and being a victim of scammers. Permanently save these non-public keys connected with bitcoin addresses to your email as a backup. In this manner, your protection guards are up against coning and scamming.
Get in Touch With The Bitcoin Platform:
The first step will be to get in touch with the trading site where you lost your funds. There's no guarantee that you'll get your money back, but there's still hope, and you can warn them that you'll denounce them to the appropriate authorities.
Backups in Encryption:
Simply backing up data will only go you so far. Even backups are at risk when done online. There's still a danger that hackers will gain access to your accounts and cause damage before you discover it. How can you protect yourself against this danger? Encrypt your backups, at the very least. That will shield your bitcoins from being stolen in another fraud.
Hackers and scammers may find that PCs connected to a network are vulnerable. As a result, encrypting your backups is a wise security measure you may do right now to protect your revenue. In this manner, you may reclaim your assets while also preventing them from being stolen.
Furthermore, you can contact organizations like Chargebacking, a fund recovery service that allows customers to submit a complaint against a scammer and retrieve their funds. Their qualified team of experts can assist you recover your funds from any form of scam or cryptocurrency fraud. When you contact them, a team of professional agents from Chargebacking will be summoned to note down the situation, collect data, track your scammer's digital trail, and prepare a strong case against them to help you recover all of your valuable possessions or money that you have misplaced. From cyber investigation to digital tracking, they devise a mechanism that refunds 99.99 percent of a victim's lost money.
If You Think Money Is Real Then, You Don’t Understand Bitcoin
Let’s be genuine!
Do you understand what Blockchain, or Cryptocurrencies, or Bitcoin is?
I’m not belittling your intelligence-even the professionals hardly understand these concepts. But what you do understand is that real money-and bitcoin, including other cryptos, is undoubtedly worth a lot of it.
For example, if you exchanged real dollars for some of this virtual cash just last year, that amount of dollars would be worth almost ten times as many real dollars now.
So, What Don’t You Understand?
Bitcoin is just figures in cyberspace, a mirage, and flimsy as beer bubbles. Bitcoin isn’t supported by anything instead of trusting the traders who purchase it and the experienced traders who purchase it from less-experienced traders.
And you know what?
All this is true.
What may be simpler to understand is that United States dollars also consist primarily of figures out there in cyberspace. They’re stored in coins or papers at times, but while the coins and papers are materials, the dollars they portray aren’t.
U.S dollars aren’t supported by anything other than the trust of the users who adopt it as payment and other users who in turn accept it as payment from them. The primary distinction is that the usage of dollars is widespread and more fiercely believed at the moment.
Surprisingly, almost all of the current U.S dollars; approximately 90% are purely abstract-they only exist in virtual nature.
“Just about 10% of the U.S money supply roughly $1.5 trillion of approximately $13.7 trillion total is available in the nature of coins and paper cash,” James Surowiecki said in 2012, “nothing is hindering the banking system from printing more dollars when triggered by circumstances.”
Out of the $13.7 trillion in the M2 cash supply (classification of money supply that includes checking deposits, cash, and easily convertible near money) as of October 2017, $13.5 trillion was printed after 1959-that’s a 50 times expansion by M2.
The U.S money is commonly known as “fiat” currency. Fiat means “let there be” in Latin.
For example, let there be light, fiat lux; hence fiat denarii, let there be rubles, dollars, bolivars, and lire. The attempt by national leaders to print money has traditionally been practically compelling. One consequence of this wantonness is inflation. The buying power of $1 in 1959 is currently as low as 12 cents.
So, What Happens To Bitcoin After 2140?
The Bitcoin blockchain was designed, in part, to solve this traditional pitfall. After the 21 millionth Bitcoin is mined in 2140, the system will seize to produce.
Thieves and quacks will forever attempt to experiment with numerous systems to control and account for any monetary platform and any store of value. All valuable stores are targets. Using any exchange system via foul or fair means- fortunes can or will either be lost or made. And yet, surprising as it may appear, enough individuals act in good faith to block secure monetary structures from tragic downfall.
There’re slight radical distinctions between U.S dollars and cryptocurrencies.
For instance, the transactions performed in the bitcoin platform are recorded in an unfalsifiable ledger that does not depend on the governments or banks' authority but on the power of a public computer system that any individual is free to join. Moreover, the supply of bitcoin is fundamentally fixed. The anonymity of cryptocurrency isn’t, perhaps, quite as bulletproof as the anonymity of unmarked cash.
On the other hand, while many people work so hard to make money, grow it, and keep it, the only real thing concerning it is its symbolic power, which is indeed impressive, considered from a particular angle.
Our collective understanding of the value of that printed piece of paper is all that counts. And that common understanding lacks fixed meaning. It’s in eternal flux. The “value” of all stores of exchange, all money, is abstract and unstable, even in the presence of all attempts to protect it mainly to control its flow by adjusting interests’ rates. Cash is only changing system of agreements created in and on behalf of the hive, and that’s all it has ever been- a weak thread in a collection of human trust.
All the hitting debates against cryptos like bitcoin, and the blockchain technology that secure them, often fail to accept this reality — the fragile and provisional nature of the usual dollar into account.
Cryptos can’t be understood even by a small fraction by any individual who imagines money is real, solid, or supported anything apart from human trust in organizations whose stability is invariably uncertain. U.S dollar is backed by “the undisputable trust and credit of the U.S.” But what exactly does this entail?
Simple;
It entails that if you request the U.S Treasury to redeem for you one dollar, they’ll offer you one dollar. Or probably four quarters if you so wish.
When the Cypriot Government Sought To Clean the Country’s Banking Crisis
The unfortunate reality is that monetary calamity in unstable governments such as Spain, Venezuela, and Greece has already taken part in numerous spikes in the crypto ecosystem.
When the Cypriot government opts to settle the nation’s 2013 banking menace by subjecting its population’s bank deposits to almost a 7% reduction, bitcoin’s price boomed. Since that point, numerous southern European holders of euros with debt-ridden government suppose that bitcoin might represent a more reliable home for their cash than Cypriot banks could offer.
Therefore, Spanish bank depositors must question: Would their banks be next?
The existing financial organizations are genuinely faulty and permanently inclined to corruption, and this was long before bitcoin becoming a goldmine in its peculiar investor’s eye. Satoshi Nakamoto committed beginning it plain as day in what is considered genesis block that launch bitcoin rolling.
Bitcoin was a political influence project from the initial, a new system explicitly designed to offer a tamperproof digital exchange option. A better opportunity to present banking systems might be situated.
The Theoretical Tamperproof
The theory behind all cryptos such as Bitcoin is that the record generated by a distributed computer network can be designed tamperproof, thus theoretically assuring currency’s stability much better than the government. Besides some substantial difficulties, the blockchain platform on which bitcoin is designed has partially confirmed this theory. Surprisingly, since 2019, more bitcoins have gone missing, but the accounting system on which bitcoin is situated has so far remained incorruptible and stable.
The numerous ripoffs and thefts in bitcoin’s early days demonstrate how greed and corrupt humans are. There is no doubt that the anticipation of immediate wealth can push people insane. Unfortunately, the tendency of greed to generate crime and insanity didn’t trigger the value of gold to evaporate.
The actual caution here is that the bitcoin ledger’s integrity succeeded, not only due to the system's distribution or because of its brilliant cryptographic protection, but due to the good sense and good faith of personal developers who conducted the project via the infancy stage.
Bitcoin is successful today due to the relentless nature of the sangfroid of Gavin Andresen. Without it, the project might have easily collapsed. Even today, the numerous forks and developing pains still tormenting the bitcoin network are issuing a stress test type.
On the contrary, crypto investors ran the danger of getting ignored early on due to hurdles in designing secure storage and building systems for earning ordinary cash safely from cryptocurrency. Due to issues such as the crime of approximately 800,000 bitcoins, the entire system of Mt. Gox exchange got somehow a poor rap.
As a result, the public was convinced that bitcoin was, to some extent, hacked when, in a real sense, it was Mt. Gox exchange that got hacked. Just like Bangladesh’s Central Bank was short of a whopping $63 million in its Federal Reserve Bank’s account in 2018.
So, If Bitcoin Isn’t A Scam, Then What Is It?
Claiming that “bitcoin is a scam” because ill-hearted people have ripped others off is precisely like claiming “the financial services sector is a scam” because of corrupt commercial banks.
Bitcoin was utilized on dark sites to trade drugs! Now, by the virtue that’s, it’s used in illegal transactions delegitimize money?
No.
The fact is that cash is tarnished in its general nature.
Very soon, the blockchain network now in utilization to authenticate bitcoin payments will morph and blend with other networks since its value isn’t calculable. Speculators from Sand Hill Road to Wall Street have so far invested vast amounts of cash, time, and energy in blockchain-niched businesses. Every individual needs to be certain whether or not something occurred.
Blockchain technology can be coded to offers us trustworthy information concerning it. No matter the fault in the network introduced in 2009 by Satoshi Nakamoto, and they’re still essential-he confirmed that there is a means for individuals to design foolproof, assured records of the human undertaking, totally without dependence on external authorities like government or banks.
And there’s no turning back from that!
The Bottom Line
Now, up to this point, do you understand how money is different from bitcoin?
Well, the struggle for solidity in any currency is often at the level of being defeated because wherever there’s an opportunity to build a transaction, it's human nature that some will attempt to gain the advantage of the others.
However, even the little and uncertain solidity we have in advanced nations needs attentiveness and operate on the side of innumerable conscientious individuals, and there’s never a conviction. The battle to conserve the confusion that cash is real is never-ending, and it never can be.
VerolianAuthor Bio
Verolian Opiyo is a former teacher of English turned content strategist. He specialises in writing about FinTech and Next-generation technology.
Best Bitcoin mining hardware for 2020 – An in-depth review
Bitcoin - the currency that took the digital terrain by storm and paved a path for the cryptocurrencies, wallet and exchange. It is an innovative payment network and an open-source peer-to-peer (P2P) money.
Bitcoin originated in January 2009 by the mysterious and incognito developer or a group of developers that goes by the name Satoshi Nakamoto. The official identity is yet to be revealed.
What makes Bitcoin so popular? The lower transaction fees, decentralized authority and open-source is what makes Bitcoin an innovative payment network.
Bitcoins are released into circulation by a process called Bitcoin Mining. What does Bitcoin mining mean? Read on to grab all the requisite details or call on Bitcoin support phone number for any kind of help regarding bitcoin transactions.
Introduction
Hearing the word Mining would direct your mind to extract minerals by digging deep down into the earth’s crust. And Bitcoin mining might compel you to think that it is the process of extracting bitcoins. But NO! It’s a whole different story.
Bitcoin mining is the process of creating bitcoin currency. Bitcoin cannot simply just be printed (unlike real money; Note and Coin) when more is needed. It has to be mined through different mathematical processes. The transactions are verified and added to the blockchain digital ledger.
In layman terms, Bitcoin maintains a public ledger, Blockchain, which includes past transactions whereas mining is the process of adding new transactions to this ledger. The process introduces more coins into the system.
The primary role of mining is to -
- Allow bitcoin nodes to become secure and unforgeable.
- Forged to be resource-intensive and difficile such that the number of blocks discovered each day is kept steady.
Why the name ‘Bitcoin mining’? The process is called so because it resembles the real mining of other material resources.
It requires great efforts to create a new currency that is sold at rates comparable to gold and silver.
Chapter 1: Understanding Bitcoin mining equipment
Bitcoin mining is a way to get involved with the bitcoin frenzy. In the previous section, we have already discussed the basics of Bitcoin Mining. In this section, we will be discussing how Bitcoin mining can help you make money.
To begin with, Bitcoin charts high on popularity. It stimulated the launch of hundreds of other virtual currencies who are collectively referred to as Altcoins. Then came Bitcoin mining, the backbone of the bitcoin network. Miners provide protection and reaffirm Bitcoin transactions. Also, without Bitcoin miners, the network would be vulnerable to virtual attacks.
Bitcoin mining does -
- Issuing of new bitcoins
- Providing security
- Confirming transactions
The internet claims “Mining is a Profitable and Promising Industry in a Slow Global Economy.” The major profit factors of Bitcoin mining are - Access to cutting-edge ASIC mining hardware, Low electricity costs and Deep knowledge of Bitcoin and business.
1.1 How does the equipment help you make money?
Though Bitcoin mining has so many beneficial determinants, you can make money through bitcoin mining only at the times when the price of bitcoin happens to be high. Also, you would require quick access to equipment/energy supply that lets you mine faster as well as cheaper than other people can.
To mine, if you are buying new equipment, you have to pay for it as well as get it working while conditions for mining are still good. You are solely responsible to pay for the electricity you utilize and the weathering of your equipment.
Remember: You are most likely to mine as part of a pool of miners, and the pool, in turn, will take its little cut.
To complete one unit of mining, the mining reward lessens from time to time since the amount of computing work keeps being adjusted upward in order to keep constant the bitcoin production rate. The power of the world's computing stock increases simultaneously.
The network miners are required to solve more and more complex problems to confirm transactions in order to check how frequently bitcoins are generated. For this, the miners must have more and more powerful equipment to keep abreast. In order to have a chance at being profit-making, miners need to adopt any one of the two approaches -
1) buy exclusive hardware (a bitcoin mining rig)
OR
2) Connect with a cloud mining pool.Only if you have a lot of money to spend, you may begin with bitcoin mining.
To figure out of bitcoin mining is actually profitable for you or not, you should run some calculations. Use a Bitcoin mining calculator to get an idea. The calculator calculates the profitability of bitcoin mining. You simply just need to enter your hardware's hash rate (Gh/s), its power use in watts, and your electricity cost in dollars per kilowatt-hour. Further, it enters current bitcoin difficulty, bitcoin block reward, and bitcoin price automatically.
1.2 What makes hardware better than cloud mining or other forms of earning BTC?
In this section, we are going to study about the Bitcoin mining hardware and why it is better than cloud mining or other forms of earning BTC.
To begin with your mining rig, you need to buy and set up hardware designed for mining bitcoin, and allow it to run 24x7 for solving bitcoin transactions. In turn, this results in a steady flow of payments without your interruption. Easy to use and easy to set up is the major factor that makes hardware a better choice. However, making money is a challenge.
On the other hand, cloud mining requires purchasing time on someone else’s rig. Companies (like Genesis Mining and HashFlare) charge the user based on a hash rate—in simpler terms, your processing power. Some companies also charge a maintenance fee. All in all, cloud miners, that allow you access to bitcoin, come at elevated rates. You might also be required to sign a year-long contract, locking you in. Worse of all, if the value of the cryptocurrency drops, you could be stuck in an unprofitable contract.
Please note - You might be required to replace the hardware in a year or so. Now that you have got the fairer idea on the details of Miners and Mining hardware, let’s proceed to the next section where we will discuss the best BTC miners.
Chapter 2: Best BTC miners
In this section, we have discussed the top 12 BTC miners to help you narrow down the choice. Let’s get acquainted with them along with their features -
- AntMiner L3+
AntMiner L3+ comes with four boards each having 288 chips (double of its predecessor). AntMiner L3+ is an easy to use mining hardware which comes with a hash rate of about 504 MH/s and utilizes around 800 watts and sports efficiency of 1.6 J/MH.
- BitMain AntMiner S5
Bitmain AntMiner S5 has a power supply of 115 Volts which draws about 560 Watts. The power consumption is low and the unit produces about 1 GH/s for every 0.51 watts consumed in terms of efficiency. The hardware is one of the best Bitcoin miner hardware in 2019.
- BitMain AntMiner S7
BitMain AntMiner S7 gained popularity the moment it launched in 2015. It is one of the most popular Bitcoin mining hardware due to its lower power consumption factor. The power utilized is 1600 watt APW3, which is undoubtedly one of the best available in the market. Its efficiency depends on the effectiveness of the ambient temperature and the power supply used.
- BitMain AntMiner S9
End your search at Bitmain Antminer S9. With the highest hash rate of about 14 TH/sec, it is currently one of the best and most efficient Bitcoin mining hardware available in the market. The 3 circuit boards featuring a total of 189 chips sums up this high hash rate. It consumes 300 watts which are twice as efficient with about 0.1 Joules per Gigahash.
- AvalonMiner 741
If you are looking for the affordable Bitcoin mining hardware, AvalonMiner 741 is the one. It was created by a company called Canaan. With a good hash rate of about 7.3 TH/s, efficiency of 0.16 J/GH and an air forming cooling system that allows 88 chips to function as a single unit, it helps keep the miner running all the time.
- BitMain AntMiner D3
AntMiner D3 is the best bitcoin mining hardware when it comes to Dash ASIC miners. The hardware is mostly used to first mine dash coins that are converted into Bitcoins and whilst doing so, make increased profits.
It has a hash rate of 15 GH/s and utilizes around 1200 Watts.
- AntMiner T9
AntMiner T9 is a bit expensive as compared AntMiner S9. It consumes around 1450 watts for approximately 11.5 TH/s for Batch 23 and has an efficiency of 0.126 J/GH.
The quality chips of S9 were of a lower quality but the T9 Miner fixed this problem of lower quality.
- Dragonmint T16
Dragonmint T16 is the first BTC mining hardware with the hash rate of 16 TH/s hence being exceptional. The hardware requires 1600 W power supply but consumes only 0.075J/GH.
The dragonmint T16 efficiency can be boosted by 20% since it is equipped with the ASICBOOST algorithm.
- Pagolin Miner M3X
Pagolin Miner M3X might not be as energy-efficient or effective as compared to other hardware, but it is a bigger unit because of its embedded ASIC chips. It has a draw rate of between 1.8 kilowatts and 2 kilowatts and hence the most power demanding Bitcoin mining equipment. It has a high hash rate of 13 TH/s.
- Avalon6
If you are about to begin with BTC Mining, Avalon6 is the best choice. The hardware is easy to set up and is one of the most profitable ones. It utilizes the power of 1050 W and produce 3.5 TH/s.
Avalon6 doesn’t come with its own power supply. You are required to buy it separately. The Avalon6 makes a good unit to run in an office or at home. It secures the network like no other.
- USB Bitcoin Miners
You may buy USB Bitcoin miners, but they don’t contribute to any significant profits. If you want to play and just do a timepass then it is a good choice. You can buy one to learn how mining works. Check out the profitability of a USB miner by using the mining calculator.
Best Bitcoin miner 2020
Before jumping to the best bitcoin miner 2020, we are going to get you acquainted with the factors you should keep in mind while buying the best mining hardware -
- Hash rate
Hash rate is measured in Megahashes/Gigahashes/Terahashes per second. It is a crucial factor as a high hash rate increases the chances of solving the complex mathematical computations which are important for earning Bitcoin as a reward.
Higher the hash rate, the more profitable the mining.
- Energy consumption
Investing in Bitcoin mining can cost you enough. Energy cost is one such expense you would have to bear with.
The more powerful hardware you use, the more power it is bound to consume. Consider electricity consumption (in Watts) before purchasing mining hardware. This will give you an idea of the energy costs consumed by the unit. It will also help you determine the viability of Bitcoin mining using the said hardware.
- Price
The mining hardware comes with a huge amount of price. If you go for a cheap one, the hardware will collect only a few Bitcoins. The Bitcoin mining hardware which is expensive is unique, fast and efficient. Be ready to shell out some extra money if you wish to make a fortune from the Bitcoin mining business. Go for value and quality in your purchase.
Once you have got the idea of the factors above, you are ready to buy the best bitcoin mining hardware. Read on to figure out the best miner hardware to start with BTC Mining.
The top Bitcoin miners on the market today are:
- Antminer S17 Pro
This miner is 7nm long. With a power consumption of around 2790 watts, the miner can reach 62 Th/s. It has two modes – normal and Pro.
- Terminator T3
This powerful miner in the market can supply up to 43TH/s. It has a power consumption of 2100 Watts.
- EBIT E12+
Till date, this miner is one of the most impressive miners yet. It is the most efficient miner with an ideal hash rate of 50TH/s and a power consumption of around 2500 Watts.
You can opt for one of the three hardware blindly. However, according to the reviews, Antminer S17 Pro emerges as the best-priced option displaying good performance.
Bonus: Cheap bitcoin mining hardware
If you are determined to mine but tight on budget, USB Miners is the one for you. As mentioned earlier, they are a good choice if your sole purpose is to play with Bitcoin mining. You may also check ASICMiner Block Erupter USB 330MH/s Sapphire Miner, Avalon Nano 3 and 21 Bitcoin Computer.
If you really want to make a profit, check out other Bitcoin mining hardware listed in the blog.
Conclusion
Mining Efficiency is rising day by day and is constantly improving. The mining hardware has evolved from computer CPUs to graphics card GPUs to FPGAs (Field-Programmable Gate Array) and now to ASICs (Application-specific Integrated Circuit).
To make your mining venture profitable, you can consider the listed hardware. The Dragonmint T16 is the best option (as of now) for someone getting started with mining.
It is highly recommended to dive into the details before making the ultimate choice or call on Bitcoin contact number.
Moreover, if you are confused and require more briefing, kindly post your query in the comment section below. We would be happy to answer you!
Bitcoin has reached $5 000 for the first time in the past quarter
The new month brings good news to the entire crypto industry! The snow has melted and with it, the hard winter has passed, and with the upcoming of spring, the bear market is expected to recover.
It's been a rough ride for Bitcoin as its price has drastically dropped in the past year. However, its price has became the only topic of interest as today, Bitcoin finally hit the $5000 mark for the first time in five months.
[caption id="attachment_3095" align="aligncenter" width="600"]
Bitcoin price, April 2, 2019[/caption]After reaching $5 000, BTC's price rolled back to $4 750, where it is trying to stabilize. The next crucial step for Bitcoin is to consolidate its rate on the corridor between $4 500 and $4 700, in order to rise back to $5 000 and above.
Mind-blowing facts about cryptocurrency thefts – Infographic
According to an ex-engineer at BitGo, Jameson Lopp, as of July 2018, users have been deprived of their access to 6 million BTC in the bitcoin blockchain. Thus, the lost amount is 35.29% of the total circulating supply (17.5 million).
Our friends from ICOPulse have provided us with a complex Infographic about mind-blowing facts regarding cryptocurrency thefts:
The crime of the century! 6 million bitcoins have been stolen! Just get over it — you won’t get the stolen money back.
Don't forget to visit our friends from ICOPulse: https://icopulse.com/blog/mind-blowing-facts-about-cryptocurrency-thefts/
Bitcoin Tax Calculator
If you are a U.S. resident that invested in Bitcoin or other cryptocurrencies in 2017, you may have recently received a tax document from the trading platform or cryptocurrency exchange you use and may need to pay taxes. While there is currently very little guidance on the taxation of cryptocurrency, one thing is clearly defined. The Internal Revenue Service (IRS) views cryptocurrency as property for tax purposes. That means you likely received a tax document because you either experienced a capital gain on that virtual investment in 2017 or received cryptocurrency as compensation, which is seen as ordinary income to the IRS.
For practical purposes, the IRS has issued guidance defining cryptocurrency such as Bitcoin and Ethereum as virtual currencies. This guidance is subject to interpretation, but for most people the main things to consider from a tax perspective are:
- How long you held your Bitcoin or other cryptocurrencies from purchase to sale? If held for less than a year, any profit may be liable for short-term capital gains tax. If held for longer than a year, any profit may be liable for long-term capital gains tax.
- What is your tax filing status and taxable income? That will determine your tax bracket and the tax rate on any Bitcoin profits.
- What is your state tax rate? That will determine how much you may owe in state taxes.
Bitcoin Tax Calculator Instructions
Part 1: Enter Your Personal Details
Step 1: Select the tax year you would like to calculate your estimated taxes.Step 2: Select your tax filing status.Step 3: Enter your taxable income excluding any profit from Bitcoin sales. For most people, this is the same as adjusted gross income (AGI).Step 4: Enter your state’s tax rate.Part 2: For each Bitcoin sale within a tax year
Step 1: Enter the purchase date and purchase price. The purchase date can be any time up to December 31st of the tax year selected.Step 2: Enter the sale date and sale price. Make sure the sale date is within the tax year selected.Step 3: Repeat for all Bitcoin or cryptocurrency sales within the tax year selected.Bitcoin Tax Calculator
Example Bitcoin Tax Situation
This example calculates estimated taxes for the 2018 tax year for a person that made two sales. All values are in USD.Person A Tax and Finance Details2018 Taxable income – 80,0002018 Filing Status – Single2018 State tax rate – 5%Transaction #1On Feb. 1, 2018, Person A sold Bitcoin for a total of $10,000. That Bitcoin was previously purchased on June 1, 2017 for $5,000. Since it was held for less than a year, the $5,000 profit is subject to short-term capital gains tax rates. Based on Person A’s filing status and income, the taxes are calculated as follows:- The first $2,500 in profit is taxed at the 22 percent federal tax rate.
- The remaining $2,500 is taxed at the 24 percent federal tax rate.
- The entire $5,000 taxed at the 5 percent state tax rate.
- The entire $7,000 is taxed at the 15 percent long-term capital gains tax rate.
- The entire $7,000 is taxed at the 5 percent state tax bracket.
Article written by TaxAct
Bitcoin and Taxes: What You May Not Know
You might be aware that your Bitcoin or other cryptocurrency transactions have a possible taxable impact. However, you might not know exactly how to report them. You can use this bitcoin tax calculator or read on for more guidance on cryptocurrency taxes.
What is Bitcoin?
Bitcoin is a worldwide payment system where users buy virtual currency using an exchange. The Bitcoins are stored in a digital wallet and can be transferred using a mobile app. No bank or other intermediary institution is involved.
Bitcoins can be used as a digital currency to send or receive funds, pay for goods or services, or simply for investment. Transactions are anonymous and are tracked only via the digital wallet identifiers on a public ledger. Originally used by illicit operators, mainstream companies such as Overstock.com now accept Bitcoin as payment.
Enter the IRS
The Internal Revenue Service (IRS) isn’t blind to Bitcoin and provided guidance about “convertible virtual currency” in its Notice 2014-21.
The IRS defined convertible virtual currency as virtual currency that has an equal value in real currency, or that is a substitute for real currency.
The IRS specifically referred to Bitcoin as a type of convertible virtual currency that can be digitally traded. In addition, you can buy or exchange virtual convertible currencies into U.S. dollars or other real or virtual currencies. However, virtual currency itself does not have legal tender status in the U.S.
Tax Liability
“Though cryptocurrencies seem like a brand-fangled new investment, one with which our, by comparison, antiquated tax system can’t compete, they are actually taxed like pretty much any other mundane item,” emailed Mark Durrenberger, Certified Financial Planner®, Enrolled Agent and author of The Modern Day Millionaire.
If you sell, exchange, or use convertible virtual currency to pay for goods or services, you might have a tax liability. For tax purposes, the IRS treats convertible virtual currencies as property. If you receive Bitcoin as payment for goods or services you provide, then when you compute your gross income, you must include the fair market value of Bitcoin in U.S. dollars as of the date you received the Bitcoins.
Durrenberger gave the following example:“If you buy Bitcoin for $100, and later sell it for, say, $1,000, [y]ou would owe capital gains taxes on that $900 gain. If you held that Bitcoin for less than one year, the tax rate would be whatever rate you pay on your regular income. If you held it for longer than one year before you sold, you are taxed at the more favorable (i.e., lower) long-term capital gains rates,” Durrenberger said.
Fair Market Value
How would you determine the fair market value of Bitcoin? “It can get a bit tricky as the value of Bitcoin jumps and dips constantly and those changes can be quite drastic at times,” emailed David Hryck, a tax lawyer, and partner at Reed Smith in New York City. “You will have to convert the Bitcoin value to U.S. dollars as of the date each payment is made.”
In this world of anonymous payments, recordkeeping of your transactions might be a challenge. “Make sure you keep careful records of the dates and value,” Hryck said.
Independent Contractors
If a company or individual pays you in Bitcoins for services you performed as an independent contractor, you might wonder if it constitutes self-employment income.
According to the IRS, self-employment income includes all gross income from any trade or business you engage in, other than as an employee. The fair market value of Bitcoins you receive for your services (measured in U.S. dollars as of the date you receive payment) is self-employment income and consequently is subject to self-employment tax.
Reporting to the IRS
You might wonder how to report your Bitcoin or other cryptocurrency transactions on your annual tax return.
The basic tax rules that are applicable to property transactions apply to transactions using virtual currency. The IRS has made it clear that Bitcoin is a type of property and your transactions must be reported.
You should file Form 8949, Sales and Other Dispositions of Capital Assets and Schedule D (1040), Capital Gains and Losses, with your annual tax return to reflect your cryptocurrency transactions.
Failure to Report
What will happen if you skip reporting your Bitcoin or other digital currency transactions on your tax returns? Will the IRS know?
The fact that in 2014 the IRS issued a comprehensive notice including a Q&A section shows that the IRS is well aware that Bitcoin and other cryptocurrency transactions are more than a passing fad. As with any tax law or IRS rules, you assume certain risks if you fail to comply.
Valerie Rind first from TaxAct
A Look Into Bitcoin’s Security
Bitcoin has always been one of the more volatile topics of discussion. That is partly because of a lack of understanding of how it operates, its benefits, weaknesses and how to overcome them. Even so, it is impossible to quell everyone’s doubts when it comes to cryptocurrency, and especially Bitcoin.
One of the most controversial points of focus for Bitcoin is its security. Overall, the majority of people agree that Bitcoin offers significant protection and privacy. Unfortunately, due to the solidity of its security, there are those who claim that the protection provided is absolute – a statement that is very misleading. In truth, even Bitcoin has its shortcomings when it comes to security. Through this article, we have explored the ins and outs of Bitcoin security.
Bitcoin's weaknesses
Although the blockchain is said to be hack-proof, the same cannot be said for user accounts. To use Bitcoin, you need an account, and for that, you need to register for a Bitcoin wallet. Each wallet is tied to a Bitcoin address, which is what is used to identify an account. This is a potential vulnerability.
Additionally, every Bitcoin wallet has a private key, which is used to access the wallet. Without the private key, it would be impossible to access one’s account. That is why hackers often tend to target the account holder. If a hacker takes over your private key, then you lose your account and your Bitcoin. This is why the wallet and private key are considered to be Bitcoin’s most significant weaknesses. So, what steps can one take to overcome such shortcomings?
Solutions to Bitcoin's security shortcomings
Increase cybersecurity
Cybersecurity lies at the root of the problem and can very well be the best solution. Although Bitcoin is said to be anonymous, it is still possible to trace a Bitcoin address back to you. The easiest way is by taking advantage of one’s IP address and using it to identify the device and location of the owner.
However, with that in mind, you can use a VPN to hide your IP address, assign a different IP address to your devices and encrypt your network traffic. To increase the effect of the VPN even further, you should use Tor over VPN, which reinforces the privacy, security, and anonymity afforded by both Tor and VPN.
Besides that, you should install an antivirus to scan your device and eliminate malware. Malware can be used by hackers to gather or manipulate information on your device. For instance, keyloggers can be used to track and record your keystrokes, thereby gathering information about your private key.
Protect your private key
Hackers often target your private key, so protecting your key already mitigates security risks significantly. Ideally, you should store the private key in an encrypted digital folder from where you can use the convenience of copy and paste. Doing so allows you the convenience of not having to type in the characters, which reduces the risk of theft of your private key through keyloggers.
Obscure your transactions
From a logical standpoint, if a hacker doesn’t have your address, then they can’t put in the effort to steal your private key. Unfortunately, hackers use numerous means to gather Bitcoin addresses such as stealing information from trade websites. That is why it is essential to obscure your transactions. There are various ways to hide your Bitcoin transactions, and the choice ultimately depends on your circumstances. For instance, you could use an online wallet, which doesn’t assign an address to every user. In case you already have an address, then you could exchange your Bitcoin with someone you trust and use your traded funds for your transactions, although this lowers the security.
Additionally, you might consider Altcoin and Coinjoin. The former provides a way to exchange your Bitcoin for Fiat currency securely, while the latter allows you to join hands with multiple other Bitcoin users and pull your resources together for your transactions. By pooling your resources together with various parties, a hacker cannot tell one transaction from the other.
The Takeaway
Bitcoin provides users with a numerous security advantage. However, you shouldn’t assume that there are no weaknesses in Bitcoin security. Nevertheless, with a clear understanding of these shortcomings, it is easy to prepare effective countermeasures. With the countermeasures in place, Bitcoin becomes one of the most secure financial options available.
- Jeff Anderson
Would Bitcoin Thrive Without PayPal?
If you're reading this on this website, you're undoubtedly aware that bitcoin has been in a rough patch. The cryptocurrency has struggled for much of 2018, which is particularly disappointing to some proponents and investors following its late-2017 takeoff. Many are still of the belief that bitcoin will climb toward the end of the year, but at this point that doesn't seem the case. It's always been a difficult market to predict. Given that we know how a bullish bitcoin market can look however, it's interesting to think about what might be holding it back from more sustained strength. And as a point of interest, PayPal feels relevant in this conversation.
Incidentally, former PayPal CEO Bill Harris recently had some harsh words for bitcoin and cryptocurrency in general, stating that it's useless as a payment mechanism and ridiculous as a store of value. There are plenty of crypto critics who will quickly agree with Harris, and he may be proven right in the long-term. His comments clash with the actual value of bitcoin, even now, however, and invite comparisons with PayPal. In this case, we're wondering - would bitcoin be more useful as a payment mechanism or less "ridiculous" as a store of value specifically if PayPal weren't in its way?
The clear benefit would be in retail. We think of bitcoin in fairly complex terms at this point, and the more we consider cryptocurrency in general the more complicated the picture gets. In a very fundamental way though, these currencies were created to provide an easy and reliable means of digital payment. Unfortunately, that's what PayPal has already done for a long time. Naturally there are plenty of other differences between the two methods, but this is where serious bitcoin proponents sometimes have a hard time putting themselves in the shoes of beginners. For a lot of people, they're essentially two competing means of making digital payments - and PayPal has almost all of the retail utility on its side. Were it not an option, bitcoin could conceivably expand further into more useful retail areas, with more people tempted to adopt it to make online finances more convenient.
On a similar note, there's something to be said for the online gaming and casino business. Serving tens of millions of customers across international borders, this is a huge industry, and one in which lots of gaming platforms now accept PayPal transactions for deposits. As it happens, a few platforms - typically smaller ones - have also started accepting bitcoin and other cryptocurrencies. And as with retail this only makes one wonder what would happen if PayPal hadn't gotten there first. Without PayPal's availability at online gaming sites, there could be more demand for bitcoin, and thus more adoption.
Another space that's emerging as something of a battlefield between payment processing and alternative currency is alternative banking. PayPal is leading the way in a race of processors determined to offer traditional banking services, encouraging people to take their finances into their own hands. Things like direct deposit, debit cards, and more help PayPal to more or less replace personal banks in a lot of cases - which isn't in direct conflict with bitcoin, but which does theoretically negate some of its utility. Because it's billed as an alternative to fiat currency, cryptocurrency itself can function as something of an answer to those who would prefer not to be at the mercy of their banks. With PayPal and some of its counterparts already providing outlets for this though, bitcoin isn't exactly in first place as a choice for people who want to detach from banks.
This is not to say that bitcoin would automatically thrive without popular payment processors. It does seem however that PayPal is at least partially blocking its growth in a few areas.
Bernadette Dawson
Bitcoin Rolls Over at Descending Wedge Resistance; $6000 Next Area of Strong Support?
Bitcoin has seen a small 0.5% price decline over the past 24 hours of trading. The cryptocurrency is currently exchanging hands on exchanges at a price of $6435 after seeing a 10% price decrease over the past 7 trading days.
The Bitcoin market looked like it may be recovering in August, however after meeting resistance at the upper boundary of the long term descending wedge pattern we have been following, the market rolled over and reversed once again.
Since the high of $408 million in May the entire total market cap for all cryptocurrencies has fallen by a dramatic $204 million to where it is trading today around $204 million as seen in the chart below.
Bitcoin still currently holds its number one position in terms of overall market cap across the entire industry. It currently has a market cap value of over $111 billion after the 64 month old coin suffered a 12.30% price decrease over the past 90 trading days.
Let us continue to remind ourselves of the long term descending triangle wedge and then analyse price action much closer to highlight any potential support and resistance areas.
Price Analysis
BTC/USD - LONG TERM - DAILY CHART
Analysing the market from the long term time horizon above, we can clearly see the descending wedge formation on the chart. The bottom of the wedge has been supported by the $6000 handle and we can see that each time the market had approached this area of demand, the market rebounded aggressively. The market has tested the bottom boundary of the technical pattern a total of 4 or 5 times over the course of the trading year.
Price action has also touched and reversed from the upper boundary of the technical pattern a total of 4 times also. Each time the market made an attempt to break above the upper boundary of the long term descending triangle we can see that resistance proved too overpowering as the market reversed.
Price action is currently trading marginally below the long term .786 Fibonacci Retracement priced at $6622 which has proven to be a significant area of resistance during the month of August 2018.
If the market continues to head further lower, we can expect the identified price level at the $6000 handle to provide significant support moving forward.
Let us continue to analyse price action much closer to highlight any potential support and resistance areas.
BTC/USD - SHORT TERM - DAILY CHART
Analysing the market from the benefit of a closer time period such as the one displayed above, we can see clearly how the market has recently reversed from the upper boundary of the descending wedge pattern.
Price action had experienced a significant bullish run throughout July 2018 as the market started from a price low of $5850 on the 29th of June 2018 and extended to an intermediary high priced at $8506 on the 2th of July 2018. This was a price increase totalling 47% from low to high.
We can see that after placing this high and meeting resistance at the upper boundary of the descending triangle, price action rolled over and began to drop aggressively. We can see that the market had found support at the short term .886 Fibonacci Retracement level (drawn in red) priced at $6129. We can see that as the market approached this area the bears began to take their foot off of the pedal and began to slow down. This gave the bulls a change to regather their control and push price action higher from this level.
We can see that toward the end of August 2018, price action went on to create higher highs nice again and continue to rally until it had met further resistance at the upper boundary of the technical triangle/wedge pattern. We can see that as the market met this area of resistance in rolled over aggressively once again and began to drop.
We can see that price action has now found support at the previous .786 Fibonacci Retracement level priced at $6398. If the bearish pressure continues within the market and pushes price action below $6398 we expect immediate support to be located at the downside 1.414 Fibonacci Extension level priced at $6343. Further support located below this level will then come in at the .886 Fibonacci Retracement level priced at $6129.
If the market can continue even further lower we expect significant support to then be located around the psychological round number $6000 handle. Further support located below $6000 can be expected at the long term lower boundary of our descending wedge/triangle priced around $5824.
The technical indicators within the market are currently heavily leaning towards favouring the bears at this current moment in time. The RSI has recently penetrated below the 50 handle indicating that the bears have regained control within the market. IF the RSI remains below the 50 handle we can expect the market to continue to head further lower. For some gains to made within the market we would need to see the RSI break above the 50 handle and continue higher.
Similarly, the moving averages have recently started to show favour that leans toward the bears as the shorter moving averages have crossed back below the longer moving averages indicating that the bearish pressure is now increasing. The 7 day EMA (blue moving average) has crossed below the 21 day EMA (purple moving average) which signals are bearish crossover. If these moving averages continue to diverge away from one another we can expect the bearish pressure to continue to increase within the market.
Which Country Is Most Likely To Adopt Bitcoin First?
Bitcoin adoption is a widely discussed topic which has many people looking at metrics like the number of Bitcoin transactions that the network has processed. However, the truth is that the majority of these transactions are just people using Bitcoin to buy and sell altcoins. In fact, being a gateway to altcoins is arguably one of Bitcoin’s main functions right now. However, we must remember the goals of Bitcoin creator, Satoshi Nakamoto, and his vision for the cryptocurrency. In a nutshell, Bitcoin was always intended to be used as peer to peer cash that didn’t go through a traditional financial institution.
In reality, the majority of Bitcoin transactions are simply people using centralized exchanges to buy other cryptocurrencies. This was not Bitcoin’s intended purpose. Yes, it can be argued that this is adoption, but is it the sort of adoption that will lead to Bitcoin becoming a true peer to peer cash? We think not.
Instead, true adoption happens in the real world with people actually using Bitcoin as a medium of exchange and a store of value. Right now in the West, the majority of Bitcoin owners are either idealists who share the vision, Satoshi himself or speculators looking for Bitcoin to rise in value. There is nothing wrong with speculating on Bitcoin, however, this is not true adoption and these people are simply using Bitcoin as a vehicle for short term profit.
What Will Make Countries Adopt Bitcoin?In developed countries, there is little incentive to adopt Bitcoin as a peer to peer cash. Of course, there are people who wish to adopt because of the tech and the ideology. However, there is no real pressing need. This is because fiat currencies in these countries are still relatively stable and function adequately.
However, there are countries in the world where fiat currencies are in crisis. Argentina is in financial turmoil, Syria is on the cusp of hyperinflation and Venezuela is experiencing some of the worst hyperinflation ever seen. These fiat currency crises provide an opportunity for Bitcoin to step in and offer whole nations the choice of an alternative currency system.
Countries experiencing financial crisis all have one thing in common: They are typically developing countries. They also generally have very low GDP per capita scores with most people having little in terms of savings and a high proportion of the population being unbanked.
To put it in perspective, the majority of people in Venezuela are living off a dollar per day or less. The reason is that the government and the Venezuelan banks imposed ATM withdrawal limits of just $1 per day. Now consider the position of the unbanked population holding fiat currency in an economy expected to reach one million percent inflation in 2018.
Bitcoin actually allows people to become their own bank and take custody of their own funds. This means there is no centralized organization there to say they can only access $1 a day. They instead have the freedom to access any amount of funds whenever they wish. Even though Bitcoin is volatile, it’s nowhere near as volatile as the Venezuelan Bolívar. This means that people's purchasing power is protected better than holding local currency. These are the conditions in which Bitcoin should theoretically be adopted at scale.
The Problems Surrounding AdoptionThe key characteristic of developing countries is that the local infrastructure is usually quite poor. People simply don’t have the money to be able to own laptops and desktops. However, almost everyone has a mobile phone. This means that if mobile data is within reach of the masses, then so is the ability to own and use Bitcoin.
The other side of the coin is that actually buying Bitcoin usually requires a bank account to make that Bitcoin purchase. As the majority of people in developing countries do not have one, this acts as a roadblock to adoption. That’s when peer to peer exchange of local currencies to Bitcoin comes in and LocalBitcoins is one such service. Adoption is of course bottlenecked by the availability of Bitcoins on the ground. However, this should improve over time. Quite simply if there is massive demand for an asset in a specific country, humans usually find a way to satisfy that demand.
What Do The Trading Volume Numbers Tell Us?The difficulty is finding data sets that are broken down by country and for platforms that allow a peer to peer exchange of digital currencies on the ground, without the use of a bank account. Localbitcoins trading data gives us exactly that. It should be noted that Bitcoin purchases will be happening through other means. However, when it comes to true adoption we are mainly concerned with the overall trend.
Caption: Click here to view raw data.Incredibly, Venezuela has the fourth highest trading volume of any country in the dataset. You must appreciate that the total value of the local currency in the country is significantly lower than countries like the UK. This means that there are higher adoption rates in the country. Even when it comes to metrics like GDP or GDP per capita, Venezuela scores exceptionally low compared to the other countries with high Bitcoin trading volumes in the data. ConclusionThere is little doubt that Bitcoin adoption is growing in countries like Venezuela. This seems to support the idea that the countries most likely to truly adopt Bitcoin as peer to peer cash, are those experiencing a financial crisis.The underlying problems that caused the 2008 financial crisis have not been solved and Venezuela will not be the last country to experience an economic crisis. Whilst more economically developed countries are better equipped to weather the storm, they are not immune to pressure on their own fiat currencies. As this pressure grows, so does the incentive for cryptocurrency adoption.