Sign up
Обменять

Posts - Page 1

History of cryptocurrencies

At the beginning of the existence of cryptocurrency was a pilot project in the field of cryptoanalysis. Now, 10 years later, they play a serious role in the global economy, and the total market capitalization exceeds 270 billion dollars. Let's look at the history of the main digital currencies and give a forecast of their value for the future.

BITCOIN (BTC) is the first cryptocurrency created by anonymous Satoshi Nakamoto in early 2009. Since 2010, the first exchanges began to appear and more and more people began to learn about cryptocurrency. But no one took the digital currency seriously, users transferred thousands of coins between them.
Since 2011 the price of Bitcoin has started to grow rapidly: first it rose to $1, then to $10, and at the end of the year it was $30. The exchange rate of coins was unstable throughout the entire time: the price could fall by 40-50% in one day. But always the cost of Bitcoin returned to previous levels.
At the end of December 2017, the most popular cryptocurrency was trading at $20,000, with a capitalization exceeding $ 330 billion. This record is still held. Now the capitalization reaches 170 billion dollars, and one coin is worth about $9250.
Analysts ' forecasts are optimistic — most of them believe that the value of Bitcoin will increase in 2021. Some enthusiasts predict new highs and an increase in value to $100,000 or even more.

ETHEREUM (ETH) is the main platform for creating decentralized applications and the main altcoin of the cryptocurrency market. The cryptocurrency was launched in 2015, its Creator is Vitalik Buterin, a canadian programmer of Russian origin.
At the very beginning, the project had many problems. They led to The Ethereum hard fork, which resulted in the creation of a new cryptocurrency — Ethereum Classic. Since 2016, the cryptocurrency has started to grow rapidly, and the maximum value was recorded in early 2018. Then the capitalization reached $130,000,000,000, and one coin was worth more than $1,200. Currently, the cryptocurrency is trading at a price of $240 per coin, and the capitalization is $27,000,000,000.
In 2020-2021, the launch of Ethereum 2.0 is being prepared. the Key feature of this hard fork is the transition to the Proof — of-Stake consensus algorithm. The speed of transactions should also increase, and the need to use the internal currency — Gas-should decrease.
Analysts believe that by the end of 2020, Ethereum can cost up to $500. But some predict that the value of the currency may grow even more on the background of the rise in price of Bitcoin and the launch of Ethereum 2.0.

LITECOIN (LTC) appeared in 2011. Its Creator is a former Google engineer, Charles Lee. The idea was simple — to create a faster version of Bitcoin that can scale better. A new block in the Litecoin network is extracted in 2.5 minutes, for Bitcoin this indicator is 10 minutes. Transactions on the Litecoin network are very cheap and do not exceed a few cents. In other respects, Litecoin is almost no different from its older brother.
The cryptocurrency reached its peak value at the end of 2017 — when the price of one coin was just over $365. The market capitalization reached $ 15 billion. This price did not last long, and the exchange rate began to fall. Now one coin is worth about $40, and the capitalization is 3 billion dollars.
Analysts believe that Litecoin is unlikely to surpass Bitcoin as an investment tool — even if it is better from a technical point of view. However, if the digital currency becomes more popular, then Litecoin will have a promising future. Against the background of an increase in the cost of Bitcoin, the Litecoin rate can update its maximum or even reach the price of $500.

DASH is a digital currency created in 2014 by Evan Duffield. Initially, the project was called XCoin, but in 2015 it acquired the name Dash. The cryptocurrency was created to pay for services and is highly anonymous. The system uses the X11 algorithm, which reduces the energy consumption for mining. Due to the features of this algorithm, mining on ASICS is difficult, you can even extract coins on a computer.
Since its introduction in 2014, the cryptocurrency has grown slowly. In January 2017, its price was $10. Then began a rapid growth: in mate, the coin cost $100, and in June, $300. The peak cost is $1,500 with a capitalization of $1,100,000,000. Now the cost of the cryptocurrency is about $70, and the capitalization is $200,000,000.
Many analysts believe in the future of this cryptocurrency. For 2020, they predict an increase in value: most investors believe that the rate will be able to fix at the level of $100 or higher.

ZCASH (ZEC) is a peer — to-peer payment system developed in late 2016. Its creators are cryptographers Matthew green, Jan Myers, Christina Garman, and Abel Rubin. The main features of the system are anonymity and low commissions in 0.0001 Zcash.
The project was promising from the very beginning. In 2016, one coin cost $35. By the end of 2017, the cost has grown to almost $900, and the capitalization has exceeded $2,000,000,000. but very quickly, the cryptocurrency lost its capitalization. Now the capitalization is about $550,000,000, and one zcash coin costs about $55.
Zcash developers have big plans for the development of the project. Now they intend to make radical changes to the architecture of the cryptocurrency, so that the network can process millions of transactions per second.
Recently, the cost of Zcash has been moving up. Analysts are confident that the price growth will continue, and in the future, the price of Zcash will increase to $100 or more.

Halving Bitcoin 2020: what to expect the owners of cryptocurrencies?

Halving Bitcoin 2020: what to expect the owners of cryptocurrencies?

Halving is one of the most anticipated events among crypto enthusiasts in 2020. Many analysts expect a significant increase in the cost of Bitcoin - only in this case, the profitability of mining will remain. But some experts are not so optimistic: they believe that halving will not significantly change the current price of the coin, or even lead to a drop in value.


What is halving?
Halving is a reduction of the reward for each block produced by 2 times, which occurs once for 210,000 blocks. It is expected that on may 12-13, 630,000 blocks will be mined and the reward will decrease from 12.5 BTC to 6.25 BTC. This is the third halving: previously, remuneration decreased in 2012 and 2016.
Halving acts as a tool for regulating inflation: 2 times less new coins are put into circulation, and a shortage of cryptocurrency is formed on the market. Demand increases, and the cost of coins increases - this is an optimistic scenario that could be observed after the previous halvings.
The decrease in remuneration strongly affects the mining process. Once Bitcoin was successfully mined on conventional processors, but over time, the requirements for hardware have increased. To ensure good profitability in 2020, you need to use ASIC-miners. It is expected that the upcoming halving will make small mining farms unprofitable - more productive equipment will be required to make a profit.


History of halving
Since the beginning of the existence of Bitcoin, 50 coins were paid for each block, and miners were able to extract hundreds and thousands of Bitcoins. But then the cryptocurrency was worth a penny, and no one paid much attention to it. The situation changed dramatically after the first halving, when the price increased from$ 12 to $ 1100 during the year. Before halving 2016, one coin cost about $ 600 - a year later the price was already more than $ 2500, and a year and a half later-almost $ 20,000.

Of course, the value of the cryptocurrency was constantly adjusted - there were cases when within a few days the cryptocurrency could lose half of its price. But such jumps did not affect those who consider Bitcoin as a long-term investment, since the price only increased over time.


Bitcoin price forecasts in 2020
Experts ' opinions on the upcoming halving vary. For example, a well-known analyst of the Bitcoinist portal is convinced that the price of cryptocurrency will reach a historical high this year. It relies on the fact that the cryptocurrency will behave in the same way as in the post-halving years of 2012 and 2016.


Nick Carter, partner at Castle Island Ventures and co-founder of Coinmetrics, believes that halving will have virtually no effect on the price of coins. His forecast is based on the fact that miners are only a small part of the cryptocurrency market: this year, the issue of Bitcoin accounts for only 3.6% of the total number of coins. Of course, the price is likely to increase within a year and a half, but he does not expect a significant jump in the price.


Morgan Creek Digital co-founder Jason Williams believes that halving will not have a strong impact on the price of Bitcoin in the first few months. He is sure that the growth of Bitcoin will begin only 6-10 months after halving. In the long term, it expects a new historical high.


Among analysts, there are those who are set for a seemingly improbable scenario. For example, Fran Streiner believes that by the end of 2020, Bitcoin may be worth more than $ 200,000. In support of his forecast, he refers to the inversely proportional relationship between supply and demand for cryptocurrency: Bitcoin is used by more and more people, new blockchain applications and services are constantly being created, and the number of coins entering circulation is decreasing.


Conclusions
The decrease in the reward for Bitcoin mining is an important event in the cryptocurrency market, and it is very difficult to predict its consequences. You should not panic for sure - the previous halvings provoked a rapid growth of the digital currency, perhaps it will be the same in 2020. With a high probability, we will not see significant changes in the first few months - the growth of the cryptocurrency is expected in the second half of 2020 or

What to expect from the cryptocurrency market in 2020

Bitcoin 2020 – what is waiting for the cryptocurrency market this year?

The first quarter of 2020 turned out to be very difficult for the world economy – on March 11, the world health organization announced a global coronavirus pandemic, which is now rapidly spreading across all continents. Many governments have imposed strict quarantine, which has negatively affected the economic situation – the world is on the verge of another crisis. Naturally, these events could not but affect the cryptocurrency market.

What was the reaction of cryptocurrency to the pandemic coronavirus?

During March 12-14, a number of events occurred in the world of digital currencies, which shocked the entire cryptocurrency community. In just a day, the cost of Bitcoin has fallen by half – from 8 thousand dollars to 4 thousand dollars. According to analysts, this is the largest price reduction for such a period in the history of Bitcoin.

Naturally, after the most popular cryptocurrency, altcoins also collapsed. A significant collapse occurred with Ethereum: for the first time in several years, one coin sank to below $ 110. The cost has fallen almost 2 times.

This also happened with Ripple, which has always been positioned as an asset independent of Bitcoin: the cost of one coin fell from $ 0.20 to $ 0.13.

The situation with other popular cryptocurrencies (Litecoin, Dash, Zcash) is almost identical. All of them sank quite heavily and lost in value from 30% to 50%. To the great relief of owners of digital currencies, by the second half of March 13, the situation more or less normalized, the price of Bitcoin was fixed at a level just above 5 thousand dollars. Now, after a few days, the cryptocurrency market is coming back to normal, and the price of Bitcoin is steadily moving up every day. But this does not mean that the cost of cryptocurrency will continue to increase.

Why has the cryptocurrency market collapsed?

Many crypto enthusiasts believed that the instability of the world economy is a great opportunity for cryptocurrencies, which will cause their value to increase by tens or even hundreds of times. Over the past month, the stock market has sunk significantly, shares of many companies have gone down at an unprecedented rate, and digital gold has not only not risen in price, but also significantly lost in value. You should definitely not be disappointed in cryptocurrencies, their history remembers the worst times. At this stage, it is very important to understand what exactly influenced this fall.

According to Kyle Samani, Manager of Multicoin Capital, the sharp drop in the market indicates that cryptocurrencies are not ready to work on a global scale. During the crisis, cryptocurrency blockchains become so loaded that commissions and the duration of transfers increase many times. As a result, performing arbitrage transactions that can somehow stabilize the currency price becomes an almost impossible task. According to data, on the BitMEX exchange, the amount of applications for the purchase of Bitcoin was $ 20 million, and for its sale – as much as $ 200 million. The difference between supply and demand is tenfold, which significantly affected the price of the asset.According to the Creator of the Galaxy Digital cryptocurrency Bank, Mike Novogratz, traders trading with leverage are to blame for the market collapse. He believes that against the background of the announced pandemic and a slight decrease in the price of Bitcoin, they began to sell coins, which led to an uncontrolled process and General panic. There may be some truth in this, but many of Mike Novogratz's statements are quite controversial and not always confirmed in practice.

What does the cryptocurrency market expect in 2020

There are several points that you need to pay attention to when predicting the future situation. First, this is the upcoming halving, which will reduce the reward of miners who produce Bitcoin by half. It occurs automatically every 4 years, and according to preliminary forecasts, the next reduction in the reward should occur on March 17, 2020.As practice shows, halving always has a positive effect on the value of Bitcoin. This was the case in 2013, when the value of Bitcoin increased hundreds of times, and it happened in 2017, when its price peaked at around 20 thousand dollars. There is every reason to believe that the tradition will continue, and in 2020 or 2021, Bitcoin will conquer new heights.

The second point is related to the coronavirus pandemic. Recently, the supply of mining equipment, which is mainly manufactured in China, has stopped. If the situation does not change, the network expects a significant drop in hashrate, which will reduce the complexity of extracting new blocks. In this scenario, Bitcoin mining will remain profitable even after halving, which is expected in may.

Given these factors, we can expect positive dynamics and a gradual increase in the value of Bitcoin and other cryptocurrencies, but it is definitely not worth blindly believing in a significant increase.

Conclusion

The cryptocurrency market is currently not in the best situation, but after a significant subsidence on March 12-13, there is a positive dynamics. Many experts give optimistic forecasts. For example, the Creator of Cardano, Charles Hoskinson, said that the digital currency market is incredibly stable and can cope with much more significant drawdowns. You should not panic here, you need to soberly assess the situation and be aware of all events in the crypto industry.

And it is always profitable to buy or sell BTC, LTC, DASH,ZCASH on our website 7money.co

Commission for the transfer of the cryptocurrency. - 7MONEY BLOG

Financial transactions using cryptocurrency are already commonplace for many people
– constantly there are online stores and other sites where you can pay with digital
moneys. The number of transactions in Blockchain systems is only increasing, which is why
the Commission for transferring money is constantly changing. To make transfers with minimal
for example, you need to know what its price is based on and how it can be used
reduce.

What is the Commission charged for transactions?
A cryptocurrency transaction is the process of transferring coins from one user to another.
For a transaction to be completed, the Blockchain network must process it and write it to the block.
Confirmation of the transfer requires certain expenses, which are compensated by the Commission.
First of all, it is used to maintain the network and reward miners. Besides,
the transfer fee was introduced to determine the priority of the transaction. If you need to translate
money within a few minutes – you will have to pay extra for the urgency.
When transferring Fiat funds, the Commission is set based on the transaction amount. In
In cryptocurrency blockchains, everything is different – the Commission depends on the amount of information that
contains a transaction. For example, the sender's address usually has 140 bytes, the recipient's address –
30 bytes, information about the translation process takes about 15-20 bytes.
If we take Bitcoin As an example, then each block weighs 1 megabyte, and the generation
performed every 10 minutes. During this time, several thousand transactions occur. If
the translation was not recorded, it will wait for the next block to be generated.
First of all, the change in costs will depend on the network load. Each Blockchain
it has its own bandwidth, so some coins can provide very
low Commission rates. The Commission is charged in cryptocurrency, so the cost of the transfer
it also depends on the course.
How do I reduce the transaction cost?
Users can set the cost of the Commission they are willing to pay for the transfer. From
this will greatly depend on the time of transfer, so most cryptocurrency wallets
automatically determine the optimal cost of Commission costs.
If the transfer is not urgent, you can specify the cost yourself. This will help you save money
a few tens of cents for each transfer. Some wallets have
the function of dynamic changes of the Commission. It will be useful if
the previously set price was not enough for a quick transaction.
Amount of Commission for transactions in cryptocurrencies
Let's look at how much a transfer can cost in popular cryptocurrencies.

The Commission Bitcoin
The Bitcoin blockchain allows you to not pay for transactions at all. But usually they
they are very slow (more than 24 hours), so many users decide to pay
certain percentage.
Most often, the Commission can be 5-20 Satoshi per byte of information. Thus,
the transaction will cost about 0.3-2 dollars and will take about an hour. To implement
transfer in 10-15 minutes, you will need to pay a priority Commission, which is equal to 3-5dollars.

But remember the priority Commission does not always guarantee a quick confirmation of your Request

transactions, as there are cases when the network is overloaded and blocks are formed for a very long time.

The Commission Litecoin
On average, transactions in the Litecoin network have a Commission of 0.1 dollars, they take about 5
minutes. This is because the transaction is considered confirmed after registration
the next 6 blocks after it. This avoids performing a single transaction multiple times
once.
Cost of transactions on exchanges
In addition to direct transfers to other users wallets, many people use
cryptocurrency exchanges – these platforms also take a certain percentage from each
deals. Consider the cost of transactions on the most popular ones:
Binance. The Commission is 0.1% of the transaction amount. If the total trading volume for
the last 30 days exceeds 100 BTC, it will be from 0.09% to 0.02%;
 OK OKEx. Costs are calculated in the same way as on Binance;
Huobi. The Commission is equal to 0.2% of the transaction amount. When receiving VIP status on the site,
costs can be reduced by 10-40%;
Bybit. This exchange has a maker-taker system. For the taker (user,
the Commission is 0.075% for the person who placed an order at the market price. For makers
(a user who placed an order at a price that does not match the market price).
a discount of 0.025%.
Why do commissions interfere with daily payments in cryptocurrency?
As you can see on the charts, in December 2017, due to a large number of
however, Bitcoin transactions were carried out very slowly. This forced users to
increase the cost of commissions that were at the level of 30-50 dollars. Now costs at
transfers of Bitcoins are about 0.5-0.6 dollars, but with any increase in demand for
cryptocurrency they can quickly increase by 5 times.
The network at that time was not ready for such a large number of transfers. If you perceive
cryptocurrency transactions as the future – it is very important to solve the issue of scaling and
high commission.

You can buy or sell Bitcoin or Litecoin from us.

Here's a quick reference: Exchange Bitcoin to Privat 24 UAH

                                           Exchange Privat 24 UAH for Bitcoin

                                           Exchange Litecoin to Private 24 UAH

                                           Exchange Privat 24 UAH to Litecoin

 With Respect the service team 7money.co