Summary of Common Cryptocurrency Questions - A must-see for newcomers

​​Foreword:

This post is mainly for novice confusion. At present, because the currency circle is not unified, it is very unfriendly to newbies as always. Even the exchange app you start to download may be fake. This post is mainly to avoid beginners stepping into pits .

When you decide to enter this market, you must understand that this is a market with no ups and downs restrictions, 24-hour global uninterrupted trading, and huge risks. Indeed, many people in this market have earned countless fortunes and completed the leap in life. These stories are talked about by word of mouth every day, but what's more, countless people have left the market with losses, but they have kept it. silence.

1. What is Bitcoin.

Bitcoin is a consensus network that enables an entirely new payment system and a fully digital currency. Bitcoin can be understood as two levels: 1. It is a decentralized payment system; 2. Digital Internet currency.

The total amount of bitcoins is 21 million. Through "mining", a block is generated every ten minutes, and the block contains 50 bitcoins and handling fees. The block reward is halved every four years, like the current 3 halvings, the block reward is 6.25 bitcoins.

2. How to Get Bitcoin

Normally, the way to get bitcoin is through gifting, mining, and buying.

Recommend several cryptocurrency exchanges around the world

Safe, fast, stable and secure.

Binance, No. 1 in the world in terms of comprehensive strength

Binance Register https://accounts.binancezh.top/zh-CN/register?ref=EHDHVY52

Ouyi OKX registration https://www.okx.com/join/11701570

Bybit registration https://www.bybit.com/zh-CN/invite?ref=JQR3Q4

Domestic registration requires VPN over the wall:

Those without a VPN can use this VPN: https://web3vpn.xyz/register?aff=dzO45X21

Be sure to download the app or computer client from the official page, and do not search and download it yourself in the app store. Some netizens have downloaded okx through the domestic app store, but it was later confirmed to be fake, causing financial losses. At present, depositing money is quite cumbersome, and the purpose is to prevent the influx of black money. For problems encountered during use, you can consult the customer service of each exchange.

Because sometimes it is blocked by the wall, the page may not be opened. So, if possible, choose a computer client or a mobile app. If you have to use the web interface to trade, if this happens, I will update the latest web address in time. After the old user enters, there is no need to re-register. Generally, click the icon in the upper left corner or upper right corner to enter the homepage.

3. How to learn Bitcoin knowledge:

1) Bitcoin official website is a magical website, but many people ignore it. There are learning resource recommendations above. You can find many resource learning websites through its official website. After entering, you can choose the Chinese interface. Address: https://bitcoin.org

2) The blockchain library of the link point is really a good place, which is very suitable for calming down and reading it. Address: https://www.chainnode.com/library

4. Bitcoin wallet options:

If you buy coins on an exchange, the coins are placed in the exchange wallet, which is a custodial wallet. Like Youbixin, which is currently hosted in China, it is very easy to use. However, hosting means you choose to trust the person hosting you.

If you choose to hoard coins, it is recommended to choose an open source decentralized wallet. You can still choose from wallet categories on the official website (bitcoin.org), including desktop, hardware, mobile, and web wallets. In China, Bita wallet is recommended, and Bitpie is a weak decentralized wallet. It is recommended to choose bitcoin core wallet on the computer side. I also recommend the little fox wallet, which is safe and stable https://metamask.io

There are also hardware wallets, which you need to buy yourself.

In short, the choice of wallet depends on your needs. Decentralized wallets are relatively less convenient than custodial wallets, but the safety factor is always the highest.

5. Virtual currency data analysis website.

1) At present, the most authoritative is CMC, which includes the prices and trends of most of the currencies on the market, including the proportion of the market value of Bitcoin. After entering, you can choose the Chinese interface. Address https://coinmarketcap.com

2) TradingView is the most commonly used, covering almost all the price icons and analysis software that investors need, including free and paid functions, and one-click analysis indicators. Addresshttps: //cn.tradingview.com

3) Looking at the K-line indicators, Aicoin is often used. The advantage is that it is relatively complete and covers almost all varieties of exchanges. Addresshttps ://www.aicoin.cn/chart/bitstamp_btc

4) Coinhills, a real-time monitoring platform for virtual digital currency prices developed by a Korean entrepreneurial team, where you can see the monitoring data and rankings of each platform. Address https://www.coinhills.com

5) Glassnode: very authoritative, many indicators, but most of them are charged. Address https://glassnode.com

6) QKL123: K-line can be seen inside, and there are many data and indicators, which are very useful. Addresshttps: //www.qkl123.com

6. Bitcoin block data query tool.

1) btc.com: commonly used to query Bitcoin block data. Address https://btc.com

2) 1ml: Query the status of Bitcoin Lightning Network. Addresshttps: //1ml.com

3) BitInfoCharts: More complete, you can view the block data of Bitcoin and other digital currencies. Address https://bitinfocharts.com

4) Etherscan: Ethereum query tool, which can query token transfers and positions. Address https://etherscan.io

5) bitnodes: Collect and maintain the node information of the Bitcoin network. Address https://bitnodes.earn.com

6) BitcoinCore: The website of the Bitcoin core development team, many people with prejudice about core can check its website. Address https://bitcoincore.org

7) Blockstream: The first company in Bitcoin technology stream. Address https://blockstream.com

7. What does cold wallet mean?

A cold wallet, in layman's terms, is an offline, unconnected wallet. In theory, it is the safest way to store bitcoins.

8. With so many currencies, which one should I buy?

Everyone has a Hamlet in their hearts, and this is also the case in the currency circle.

At each stage, there will always be some coins that will rise more than Bitcoin in a short period of time. But in this market, there are too many examples of 100 times the currency in the first few months, and zero in the next few months. Under the tide of history, even if it was the top ten coins by market value, many of them have now returned to zero and died.

The biggest enemy of early coin hoarders is the high rise of various altcoins, tempting you to exchange bitcoins.

9. Can fixed investment and dead hoard really make money?

Nothing in this world is 100% certain.

Regular investment is to buy Bitcoin at a fixed amount every month or every week. The biggest advantage is that it can share risks and eliminate anxiety. The disadvantage is that if the currency price goes up, the rate of return is not high.

To hoard is to not sell the noble or the cheap, until the price in your heart.

At present, hoarding bitcoin is also the only feasible way to make money in the history of bitcoin. The main reason is that the price of the currency has been rising in the long run.

Of course, if you are truly a one-in-a-hundred trading wizard, you can ignore it.

10. If the price of bitcoin keeps going up, it means that everyone will do nothing and just hoard bitcoin, which will undoubtedly be a disaster for the society.

All investment products have a rising process. If you assume this way, it will not hold. Apple's stock has risen well, so everyone went to buy Apple's stock, will other stocks go to zero?

Society is made up of many people, and you can never force others to think like you.

Plus, hoarding bitcoin is too hard. You can go to the historical records, most of the market sentiment is hopeless.

There are too many examples of this, and most people can't hold it because the market is too clear, and you always simply summarize the early players hoarding coins to make money. Is it too naive?

Do you know how affordable Bitcoin was back then? How much risk do you need to take for hoarding coins? Do you know what the bear market in the currency circle looked like at that time? Have you ever imagined the scenario where 99% of the currency circle companies go bankrupt? Back then, the desperation of the bear market was something you never imagined.

You don't know anything. People like you will only complain that they were born out of time. Those who make more money than you are all out of luck. And imagine that if you knew about Bitcoin in the early days, you would definitely sell houses to buy, and sell at the highest peak in history.

What you never know is that what others endure is different from yours, a small fluctuation makes you pale, while others are still gnashing their teeth after falling 90%.

11. Do you feel uneasy about real-name authentication? What should I do if information is leaked?

I don’t know, several exchanges that I commonly use now all require strict KYC to avoid policy risks.

12. When should Bitcoin be sold?

In fact, there is really no completely standard answer, after all, everyone's actual situation is different.

Simply put, what do you want to do with Bitcoin.

Some people just want to earn tens of thousands of yuan to improve their lives, and they can sell if the goal is achieved.

Some people just want to change to a good car, and you can naturally sell it when the price is reached.

Some people want to change their house, and you can sell it when the goal is reached.

Some people are in urgent need of money, so of course you can sell it anytime.

Some just want to make some money, and when that goal is reached, you naturally choose to sell.

Some people just save him as a savings, then he doesn't care about the price, and the spare money is not urgently needed for investment, so he just hoards it there.

Some people want to wait for Bitcoin to become popular in the future and be called a mainstream currency, then wait slowly.

I have encountered some big winners who hold original stocks. Basically, under the stimulation of sudden wealth, no one can hold the stocks to the end. Who can get to the end? It is a major shareholder under the legal constraints.

The Bitcoin market is too free, there are no constraints, and it is free to come and go. When the amount of funds you hold is enlarged, it is often difficult to control your emotions of worrying about gains and losses.

This is very understandable. When your funds suddenly turn over several levels, it is difficult for you to ask yourself to still be rough. Even if you are willing to discipline yourself in this way, emotionally, you are unlikely to discipline your family in this way.

Just like you rarely see billionaires, there are only scooters like Passat at home. Even in the construction site where local tyrants walk all over the place, some second-generation commuters do drive a low-key cheap compact car, but there will definitely be a million-dollar luxury car at home.

It's also driven by human nature, and it's no big deal.

In the history of Bitcoin, everyone is a short walker, just sooner or later.

Unless you can predict Bitcoin's death date, but with current trends, it's not worth talking about right now.

So don't ask when you should dump Bitcoin.

You feel like your goal has been reached and you can sell.

You can go away if you want to make a profit, and you can do it any time after you make a profit.

However, if you want to leapfrog through Bitcoin, you can only need paranoia that ordinary people cannot insist on.

Today, Bitcoin is at $41,800. It has risen from 21,000 to 69,000 and then fell to the present. Most people are hesitant, but you should not be hesitant, but ask yourself, what do you need.

13. The exchange account passwords are the same, will there be any problems?

The problem is naturally that there may be a chain reaction if an account is hacked. It is recommended not to repeat, it is really difficult to remember, using paper to help, no matter how bad, even if the account password is unified, you must use Google authentication to avoid danger.

14. What is the essential difference between Bitcoin and other altcoins, and why is the price so different?

1) The consensus is different. Consensus is wealth. You can easily fake a WeChat account, but no one uses it. This is the gap;

2) Decentralization is different. Compared with other currencies, Bitcoin is the most decentralized currency;

3) Security issues. Bitcoin's code review system and network security are hard to compare with other coins.

15. Can Bitcoin be divided?

Can be divided, the unit is not the same.

1 Bitcoin (Bitcoins, abbreviated BTC)

1 Bitcent (Bitcent, abbreviated cBTC) = 0.01BTC

1 millibit (Milli-Bitcoins, abbreviated mBTC) = 0.001BTC

1 microbit (Micro-Bitcoins, abbreviated uBTC) = 0.000001BTC

1 Satoshi (abbreviated biti) = 0.00000001BTC

16. Is it a bit late to enter the Bitcoin market now?

I don't know, I don't know what the price of bitcoin was when you saw it, uh, don't come in if it doesn't work.

17. Does Satoshi Nakamoto own millions of bitcoins?

This is just an assumption, mainly because in 2013 Bitmex Research published a blog saying that Satoshi Nakamoto has 100W Bitcoin (Bitmex Research is known for publishing detailed and rigorous investigation reports), based on the analysis of the increase in the value of ExtraNonce in the block. Therefore, different blocks are related to the same miner's miner.

Now the only thing that can be determined is that the address belongs to Satoshi Nakamoto: 1A1zP1eP5QGefi2DMPTfTL5SLmv7DivfNa, which can be queried with the btc.com blockchain, and people transfer coins to his address every day, and there are currently 68 coins.

18. There are so many charging groups in the currency circle, can I enter?

1) This is the case in any circle, that is, a certain person, how awesome, how much money he makes. In fact, this is a matter of probability. When the audience is very wide, there will always be a small group of people who become admired gods because of the right choice and luck;

2) Since 2013, there have been countless single players, but none of them have made a good start. Some people just disappeared without a trace. Remember, there is no one;

3) With such a low probability of existence, I sincerely suggest that you don’t want to risk an accident;

4) No one can guarantee that you will make money, that's for sure. If he can, he can rely on the multiple and easily be included in the Forbes rich list;

5) The market is always uncertain, so most of the time, stable income is the most rare thing. This is why so many Wall Street financial companies will launch fee-based services. Well, the people who charge you also think so.

19. The withdrawal bank card is frozen.

This problem can only be avoided at present, and the strategy is only to reduce the risk of being frozen.

1) Do not use your own commonly used bank cards, such as salary cards, cards for repayment of mortgages and car loans, otherwise, it will be very passive to be frozen;

2) Try not to choose the card of the four major banks, the probability of local banks being frozen is relatively low;

3) Do not participate in Alipay and WeChat, unless you have a lot of Alipay to spare;

4) Try to choose certified merchants with more than 2,000 orders, or those that have been certified by the platform (with a logo on it). Although this has also been proven by cases, the safety factor is always better;

5) If it is frozen due to money laundering, it depends on the proportion of black money, and there are cases where it is confiscated. If you are worried about the long-term discount of Bitcoin, you can exchange it for the stable currency USDT. But this method, on the other hand, the more businesses you have in contact with, the greater the risk of lightning strikes;

6) It is also rumored that the credit card is used for consumption first, the consumption is finished, and then the money is withdrawn. After receiving the amount, the credit card is returned as soon as possible, clean and neat.

7) There are also rumors that after withdrawing the money, first go for a walk in the stock market, and come out to guarantee the joy.

8) In addition, BTC withdrawals are much better than USDT, and most of them are blocked due to USDT withdrawals. If possible, exchange the USDT to be issued into BTC, and then export.

9) Many platforms have large customer channels. If the amount of funds is large, you can choose this method.

In 2020, some OTC merchants have been detained for half a year, and the following points are added:

1) Don't be an OTC merchant when your ability is insufficient. You can't tell the difference between hei money, and it will be very troublesome if you flip your hands too many times;

2) The friend's sentencing standard is (the bank card has been frozen, and the virtual currency otc transaction continues, that is, the person who clearly knows that there may be criminals who buy and sell virtual currency may still conduct transactions, which constitutes a crime.). At that time, the netizen's card was frozen, and he reported it to the platform in time, but continued OTC transactions. The public security decided that: you still know the isolation, you have doubts about abnormal transactions, and you know that there may be criminals inside and continue to engage in otc, then you have committed the crime knowingly.

3) Therefore, if your bank card is frozen, you must not continue to exchange cards to withdraw funds. Contact the bank in time and consider continuing to withdraw money after this matter is resolved.

4) 2022 will be different from before, the market environment will be much better, and the platform will also be strictly controlled, so don’t talk about it;

5) Do not trade offline, withdraw money from exchanges, and take screenshots to save evidence in case of emergencies;

6) Don't be greedy for cheap, and charge usdt that is much lower than the market price. There are a lot of cheap USDT in the telegram group, many of them are scammers;

7) I asked that friend, OTC was a new small platform at that time, and it was estimated that such USDT was flooded;

8) Also, don't be an intermediary for over-the-counter transactions and take commissions. If something goes wrong, it will constitute a crime.

9) Don't panic, this year I know people who have made withdrawals smoothly, both large and small funds. Don't scare yourself, just use Brother Sun's words, my dear, I don't like your three melons and two dates.

10) The most important thing is that you have to stand upright so that you are not afraid of the shadow.

20. Is quantitative trading with stable returns credible?

The digital model software that has been making money is a false proposition.

Most of the people who claim to have done quantification in traditional industries before, have more than ten years of experience, take the initiative to find you, and nine out of ten sentences are trends, grids, backtesting, and parameter tuning. Don't believe it.

If it is true that the income can be stabilized, he will not take the initiative to contact you.

21. Which items cannot be touched.

Domestic, Russian. You can take a look at the top 50 currencies by market value, only three are domestic projects.

Well, in fact, most projects should not be touched. In recent years, it seems that most of the mortality rates are far greater than the survival rate.

22. The mobile phone is an iphone. I want to download the app from the Internet. Is the account bought from Taobao safe?

Due to domestic policy reasons, the exchange apps in the Apple app store have been removed from the shelves. If you need to download, there are currently two ways: 1. Download the beta version, 2. Log in to the overseas app store to download the official version, then you need one The account of the external Apple app store.

The Apple account I currently use is also bought from Taobao. It is basically safe, but it is very important that after logging in, close your iCloud for the first time, and it is turned on by default. Some netizens have taken screenshots of the private keys, which were later automatically uploaded to the cloud, and they were stolen.

23. I think the XX project is very reliable and a little different. I want to buy some of this coin, is it feasible?

The money is yours, as long as you are willing to take the risk.

But over the years, countless experiences have told me that the currency prices of the current hot spots will be very sad when the next round of hot spots arrives. The reason is that the currency circle is still unable to get rid of the moat of copying and pasting. The new coins in the future will always be more technical and hotter than the previous old coins. This is something that is currently insurmountable.

This kind of moat can only be established unless you can do the kind of Bitcoin that only has currency attributes, security and simplicity are the focus, no other cumbersome functions, and a currency with a strong community.

So, you know.

24. What is Grayscale’s Bitcoin Trust Fund?

Grayscale's Bitcoin Trust Fund, hereinafter referred to as GBTC.

1) In September 2013, Grayscale established the first Bitcoin trust fund, which was approved by the US Financial Industry Regulatory Authority for listing in 2015.

2) GBTC will develop private placements for qualified investment users in the primary market every quarter, allowing investors to deposit funds into the trust in the form of cash or BTC. When you buy GBTC, it is equivalent to buying the corresponding share of the BTC held by Grayscale.

3) There are 2 restrictions, 1. The minimum investment amount is US$50,000, and 2. The subscription amount is limited. Before, 70% of the subscription was in the form of BTC, and the remaining 30% was in the form of cash.

4) GBTC does not support redemption so far, and it needs to be locked for one year before it can be sold to others in the secondary market. Of course, the rules are changing all the time. For example, the lock-up period of GBTC is now reduced from 12 months to 6 months.

5) Grayscale’s profit model is based on an annual management fee (2%). There is no problem with the economic model. However, because Grayscale does not have a redemption plan so far, many people have questioned it, thinking that Grayscale is empty-handed.

6) So far, GBTC has reached $1.97 billion. With the increase of positions, many people are more and more worried that during the bear market, there will be a wave of GBTC exchange in the secondary market, and Grayscale is forced to sell the fund at a discount, which will affect the trend of BTC spot.

7) But no matter what, the establishment of GBTC has far more advantages than disadvantages to the vision of BTC going to the public.

25. What is the central bank's digital currency DCEP?

1) DCEP needs to be applied by individuals through commercial banks. Traditional accounts are invalid. You need to bring your own cash and deposits to convert them into DCEP. The digital currency of commercial banks is to pay full and 100% reserves to the central bank.

2) DCEP claims to slowly replace M0 (cash in circulation), and does not affect M1 (M0+ demand deposit) and M2 (M0+ demand + fixed term). Then the question arises. This point may be more convenient for enterprises to run water, but there is no advantage to ordinary people. Why do ordinary people not deposit large sums in banks for a fixed term, and why not put small sums in Yu’ebao, and payment is also convenient. Therefore, the second step of DCEP may affect M1 and M2 in order to stimulate the market. How does that affect? POS mechanism, automatically send interest to DCEP wallet? We'll only know when we come out.

3) 2 sets are equipped with DCEP wallets, which can be paid offline. Does it mean that the money in it is lost like a decentralized wallet? It should not, otherwise the sharp drop in robbery cases caused by mobile payments in recent years may be subverted, and money laundering will become more uncontrollable. Yangma will not ignore this situation. And the Bitcoin wallet is lost, after all, it can still be recovered through the private key. So, is it time to send a recovery artifact (similar to a dongle with a private key) when a DCEP wallet is installed? Can look forward to the next.

4) It is currently unknown whether DCEP will conduct account classification. But it is undeniable that if the digital currency system is willing to carry out special classification, it is very simple. For example, when the company pays you salary, it will note the salary, and the rent received by the rental house will indicate the rental income. For any additional large amount of income, you need to fill in the source of income. After you go to Macau to win money, you have to think about how to fill it in when you deposit it. If you make money playing antiques, you must also indicate the antique transaction, so that you can check whether the transaction is real and legal.

5) If it is dedicated to a special purpose, it will be even more terrifying. For example, the housing demolition subsidy, which has been issued by DCEP, can only be used for consumption housing. The company's "reasonable tax avoidance" grants you the subsidy for car, house, and telephone charges, which can only be used for such special projects. You say, is it exciting to think about it? Is there a way to return to the era of food stamps, meat stamps and cloth stamps of the older generation?

6) The impact of DCEP on the currency circle will be positive. When traditional mainstream media will publicize what digital currency is to the public, BTC will inevitably be mentioned. The exposure rate will rise sharply, and no matter how low the audience acceptance rate is, it will be positive for Bitcoin.

7) The most direct impact may be whether there will be a BTC/DCEP trading pair on the exchange. After the convenience of deposit and withdrawal, the influx of funds will be much faster. From the current point of view, there should be no problem, but don't report too much hope, after all, if the iron fist is strict by then, it may be another story. So far, no one knows how strong the DCEP background monitoring is.

8) Bitcoin is Bitcoin and DCEP is DCEP. Other sovereign countries may not recognize your DCEP, but Bitcoin can be anywhere on the planet.

26. Is the blockchain the most important technology in the future?

It's hard to tell now. In fact, because of the decentralization mechanism, compared with many centralized projects, the blockchain is at an absolute disadvantage in terms of execution and efficiency, without any advantages. Therefore, the breadth of applications may not be as large as you think.

27. Will USDT surpass the market cap of Bitcoin? At that time, will it shake the leading position of Bitcoin?

Why do you say that the additional issuance of USDT will also increase the market value of BTC, because the additional issuance of USDT, in a sense, is good for the virtual currency market. The market has proven the relationship between the two countless times in the past.

Compared with Bitcoin, stablecoin has many advantages. Simply put, it is more convenient to use than Bitcoin. Some time ago I read an article that said that many people in the periphery are using usdt to launder money.

It all looks perfect, but stablecoins do not have the anti-inflation properties of Bitcoin, not now, and will not be in the future. USDT is always 1USDT=1USD. (provided that Tether does not go bankrupt)

Another point is that USDT is still a mine, but no one knows whether this mine can explode, or when it will explode.

So, in the absence of a specific demand, no one is willing to take a full position of USDT to rise. Whether you are Chinese or American, it is meaningless to exclude small fluctuations in the exchange rate. Hold the fiat currency with peace of mind.

But comparing the market value of stablecoins with Bitcoin is meaningless. Even if this happens, it will not inspire any big waves of market confidence.

28. The coins I hold are faster than Bitcoin transfers. Why is the price difference so big?

This is the most common mistake made in the currency circle. I always feel that "I am better than him, I will definitely surpass him", but forget to consider whether this "excellent point" is the user's needs.

And what are the current user needs of the currency circle?

It's very simple, just like traditional finance, it will bring you money.

When the bull market starts, or a hot spot hits, and the currency price rises, he will bring in countless users. And when a bear market hits, the currency price collapses, and countless users will leave. The tide is out, let's see who's swimming naked. This is the most realistic portrayal of the currency circle most of the time.

Therefore, in every bear market, everyone slowly discovers the goodness of Bitcoin.

The reason is simple, it is durable.

If there is such a statistic, the number of users accumulated in the Bitcoin bear market may be more than that of the bull market.

Most people entering a new market will choose to listen to some of the experience of their predecessors.

Slowly, he will hear more stories about Bitcoin and altcoins.

But in Bitcoin, he can see the story of making wealth, and altcoins, most of the records left on the Internet, are lost.

Even if he is unwilling to do so, in a bear market, the market will force him to choose.

As this cycle runs at each bull-bear transition, gradually, Bitcoin accumulates so many users.

The top two currencies, Bitcoin and Ethereum, have always had slots.

Bitcoin slots are currently mainly transaction throughput, Ethereum has more, TPS is too low, the larger the block, the more cumbersome, there are too many bugs, and the decentralization is insufficient.

Aren't these important?

Yes, both are important.

But until the system doesn't crash, until there are better technical improvements, until the price of the currency is still strong, it doesn't matter.

Before the currency of the next new technology comes out, if you have not accumulated more users, then the "advantage" of self-sustaining will easily become worthless.

Technology is always improving, and one day, most people are talking about how to make planes faster and safer, and you are still wondering whether to put grass on your horses at night, and you have failed.

29. Have you always been so confident in Bitcoin that you have no worries?

There are concerns.

For example, in the early years I have been looking around for information on quantum computers. Later, I met a technical person in this field, and he meant to tell me, don't look at the media as a whole reporting that quantum computers have made great breakthroughs, at least in the past few decades, there is no drama. I was thinking that if quantum computers really come out by then, all the current encryption systems of mankind will be forced to upgrade. Bitcoin should also have time to release patches in advance to upgrade or fork to avoid it.

Another example is that now I am worried about the congestion of Bitcoin again. Because of the halving, the computing power has dropped, and the difficulty has not been adjusted in place. Today, Bitcoin is already quite congested. The untransaction information accumulated these days has always been 50-60MB. It's annoying to think about.

30. Can futures do it?

It's better not to do it. In this circle, too many people lose money because of futures.

People always believe in themselves too much. In fact, in the investment world, there has always been a saying that 8 loses, 1 draw and 1 win. That is to say, most people can’t even do a good job of buying high and selling low, let alone easily liquidated positions. futures.

31. The coins I bought have plummeted, and I have no interest in my work. I feel that life is hopeless. What should I do?

Before you reach a professional investor, before you have no capital to give up your job, no matter what you are doing, please always put work and study first.

Investment is not directly proportional to the time and energy you put in, but work and study.

Just like that, it's worth spending your time on it.

Instead of wasting too much time on investments that don't get positive feedback.

32. Can Bitcoin really become a currency as a deflationary currency with a certain total amount?

Argumentation aside, from an investment price point of view, this is not a problem at all.

Iron and aluminum are the most abundant metals on earth, and while the most versatile, they are worthless. The most abundant element on earth is silicon, so sand (the main component is silicon oxide) is the least valuable.

In this world, you remember that for anything linked to value, stock is very important.

In the same way, no matter what happens to the deflationary currency in the future, it must be worth more than the inflationary currency.

33. Can Bitcoin with a confirmation speed of up to 10 minutes really become a currency?

I remember watching a video before. When the mobile phone first came out, I interviewed passers-by and asked if they would buy a mobile phone. Everyone's answer is no, I have a phone at home, why buy a mobile phone? The standby time is so short, is it not too troublesome to use?

Even today in 2022, the battery life of mobile phones is still a shortcoming, but does it affect the penetration rate of mobile phones?

The answer is no.

When mobile phones play an indispensable role in daily life, people can only tolerate this drawback.

In the same way, when Bitcoin is known for its hedging and unfrozen properties of decentralized protection of property, and it becomes an indispensable means of protecting private property, this confirmation speed, at least for now, is not a big problem.

Moreover, technology is still advancing, and Lightning Network and side chains are also developing.

Look forward to it, really wait for all the problems to be solved, do you still want to buy a bitcoin for only tens of thousands of dollars?

34. Isn’t Bitcoin a form of submission?

1) Submission, Baidu Encyclopedia, describes (people) under huge external pressure, succumbing to the constraints of pressure conditions against their wishes.

2) Therefore, there is a very important factor here - against your own wishes, such as the previous example, when filling out the documents, it is so troublesome to stand up and sit down;

3) If you don’t understand bitcoin, you follow the trend and buy bitcoin, which is indeed a submission;

4) If you understand Bitcoin, but you are still not optimistic about the future of Bitcoin, you follow the trend and buy Bitcoin, which is indeed a submission;

5) For me, I like Bitcoin from the bottom of my heart, and I also agree with the future of Bitcoin, which is naturally not subservient.

35. Blockchain is important, or Bitcoin is important.

In the early years, before the concept of blockchain was mentioned, no one separated the two of them. The blockchain was just a technology used by Bitcoin to ensure the copy-paste phenomenon that the network currency could never break.

Now it is separated, I don't know what you think, I am more optimistic about Bitcoin.

The current market pattern of making money is roughly like this: exchanges > mines > information/wallets. How do you vote? Go to the primary market? VCs buy shares?

Even if you have this energy, you can't participate in projects that can make money in the market now. The shares of the new exchange you can buy make you throw money in, and you panic.

Investing in Bitcoin is much easier. And, in my eyes, Bitcoin will definitely be ahead of the blockchain, that's for sure.

Why? Because the core of blockchain: credit orientation, the biggest demand is currency.

36. Bitcoin’s halving rules are very unfair, and the latecomers have to pay for the early movers.

First of all, the world is not fair. A person's success includes too many choices, hard work, luck, etc., so it often happens that you work harder than him, but you are not as good as him.

Secondly, even if you divide all the wealth in the world equally, after a few years, the gap between the rich and the poor will still appear. Some people get the money, eat, drink, and play, some people get the money, and they keep hoarding safes. Some people get the money and invest in the wrong place. Some people get the money, and the value of the right investment has doubled.

The first movers took too much risk. In the early years, Bitcoin was like a crumbling tree that could be uprooted at any time. Even, there is not even a decent wallet in China, and most of the time for information, I have to go to the Internet to read.

In such an environment, are you willing to believe the fuck? If someone dares, he can get chips at a low price. Do you think it's fair?

37. What is the vision of hoarding coins?

In fact, you can look at the vision of hoarding coins in this way. The road that Bitcoin needs to take is divided into 3 stages, which intersect with each other. (For example, Bitcoin is also used for daily use, but the adoption rate is too small.)

1. To protect private property from being controlled by anyone;

2. Like gold, as a safe-haven asset;

3. As a currency for daily use.

The first one is the important attribute that Bitcoin is born with, but many people don’t take it seriously, which is also a driving force that most people are willing to accept Bitcoin. It is even said that most of the people who enter the currency circle are legal currency standard.

It's just that history is always rolling forward, and human cognition is always progressing in a long time axis. On the one hand, the reasons are accumulation and imparting, and on the other hand, the continuous progress of new technologies makes knowledge irreversible. This attribute will continue to be discovered, recognized and believed by people.

We always like to talk about how advanced millennials are and how innovative their thinking is, because this generation was born in the Internet age, and the speed of knowledge acquisition has reached unprecedented convenience, resulting in a leap in cognitive progress far surpassing any previous generation.

In many traditional industries, such as the construction industry where I work, the leaders in the industry are born in the 60s and 70s, or even in the 50s. They are like elementary school students in front of the computer network. So, I sometimes wonder why these industries are progressing so slowly, maybe that's a huge reason as well.

Perhaps, in another 10 years, 20 years and 30 years, those millennials will become the masters. Maybe the new world, the new rules, compared with the present, is a world of difference. The fiat currency exchange rate that you thought was unbreakable at the beginning has already been benchmarked against a certain virtual currency with the largest consensus and become its subsidiary.

The truth will always be the truth, and the truth will always be the truth.

As long as the goal is correct and the direction is correct, the end point will still be reached no matter if you go straight or take a turn.

The second is to become a safe-haven asset like gold.

In recent years, I have been actively comparing Bitcoin and gold, but the correlation is not obvious. Afterwards, I thought about it, 1) countries have left the gold standard, and gold is no longer a currency in the eyes of the public; 2) the properties of gold are difficult to cut, and it is difficult to distinguish between true and false, and it cannot meet the needs of modern people's ideal currency; 3 is Bitcoin only Just starting, even if you accelerate, it will take a lot of time. How can you see signs in a few years now?

Later, I stopped comparing. I simply felt that it made no sense to do it. In my eyes, Bitcoin is always better than gold. A closed currency, a new type of currency, there is no comparison.

Therefore, this one I also think will be the first small goal to be achieved.

At present, the market value of gold is 8 trillion US dollars, and the market value of Bitcoin is 790 billion US dollars. According to this small target, Bitcoin still has a 10-fold increase, which is 40W dollars.

Well, even if you are in a hurry to cash out, I think your task is still to hoard coins until this small goal is reached.

The third article is to become a daily transaction currency. This ultimate goal, let alone. If you get to that point, there is no point in cashing out or not, because spending money is spending bitcoin.

By then, the exchange rate of Bitcoin has stabilized, and the only thing worth considering is how much volume is needed to achieve this.

Well, prophecy is always meaningless, but the future is really worth looking forward to.

37. Calculate the mining cost, do you know the true value of Bitcoin?

no.

1) Mining cost is a dynamically adjusted indicator. When the currency price drops to a certain level, the computing power will decrease, and when it drops to the dividing point where you can make money even after starting the machine, the computing power will maintain. In the same way, when it rises, the computing power will continue to increase. (But because mining machines are always in high demand at this time, and the market supply is insufficient, it is often difficult to find one machine)

2) The computing power will be dynamically adjusted according to the currency price. Each type of mining machine, the difference in electricity costs, etc., will be different;

3) If you consider the factors of "sunk cost" and "futures hedging" carried out by many mining farms, it will be more complicated.

4) 80% of bitcoins have been mined, and less than 20% will be mined in the next many years. The impact of mining costs on bitcoins is not too great;

38. My computer graphics card is very good, can it be used to mine Bitcoin?

Yes, if you join the mining pool to mine, this computing power will not be enough for electricity bills, after all, everyone else is a professional mining machine.

And if you solo solo, it is theoretically possible to mine. Now the block reward is 12.25 bitcoins, but the probability is lower than the jackpot of the two-color ball.

Even before, taking the ASUS GTX1080-A8G as an example, Taobao sold it for 5,000 yuan at that time. If it was used for mining, the probability of digging was 1 in 3238461538. The two-color ball jackpot probability is only 1 in 17 million.

39. Is the exchange safe?

Security is always relative. In the history of Bitcoin, exchanges have been stolen every year, and Mentougou, which previously accounted for 80% of Bitcoin transactions, also experienced theft and bankruptcy.

After the theft, many exchanges compensate, and small amounts are better, while those with large amounts are basically difficult to compensate.

Therefore, most of the time, if you can, buy coins and put them in your wallet. Or put more funds on different large exchanges

40. Is Bitcoin illegal?

In China, it is not illegal to hold bitcoin. However, current Chinese laws do not allow transactions. For example, if you want to open an exchange, it is not allowed.

In many overseas countries, Bitcoin is a fully compliant and legal investment product, and the exchange also has a legal and compliant license.

At present, the policy risks of domestic bitcoin withdrawals are as follows:

1. You can give virtual currency to others, but the recipient needs to declare personal income tax, otherwise it is suspected of tax evasion;

2. Buying domestically and selling overseas, or buying overseas and selling domestically, is suspected of money laundering crimes;

3. Chinese citizens, after selling and withdrawing cash, as long as there is profit, they need to declare personal income tax, otherwise they are suspected of tax evasion;

4. The virtual currency you legally obtained can be sold to others in personal transactions without involving money laundering and tax evasion. This behavior is not prohibited, but not encouraged by policies;

5. Chinese citizens, knowingly selling virtual currency to others, in disguise to assist others to transfer funds into and out of the country, are suspected of money laundering crimes.

41. Can altcoins be bought?

It is not recommended for novices to start with altcoins. At present, the market is still relatively chaotic compared with the traditional market, and various air coins are flooded. If you really want to buy it, I suggest you read the following passage:

1. Altcoins are infinite, while Bitcoin has only one, so the proportion of Bitcoin’s market value will always be continuously reduced by the new market heat. But this should not be a reason for you to buy altcoins;

2. Any investment product has a cycle. When you lengthen the time, it is possible to unwind and get rich. The premise is that it cannot be returned to zero, otherwise all visions will be like bubbles. In the past few years, altcoins have died. The rate is too high, and the death rate of early altcoins even reached 99%. From this point of view, Bitcoin is the only asset worthy of your long-term holding;

3. Altcoins, also known as Altcoins, compete with Bitcoin. If you just compare it to fiat, it doesn't make sense. You are taking such a big risk just to outperform the fiat currency, so why don't you choose a safe and secure Bitcoin?

4. The way of participating in altcoins is different from that of Bitcoin long-term holding. The significance is that the investment time needs to be shortened, so that it is possible to outperform Bitcoin. For most altcoins, long-term holding is simply a false proposition.

5. I often see a coin stuck in a certain group saying that it will last for 5 years and 10 years. Don't take it seriously. Even if you can do it, it is not recommended to do it, even if he can shine in this bull market. , no one can guarantee that he will survive the next bear market.

6. Most of the time, the information that the market feeds back to you makes you anxious, but the correct operation is often the opposite. The more you dare not buy it, the more worthwhile it is for you to buy it, and vice versa. In the same way, where the market hotspot is, the best way is to ambush in advance, rather than rush in;

7. Ambush in advance is easy to say, but very difficult to do. On the one hand, very few people in the market will think so far, and on the other hand, they have to take huge risks to operate against human nature. As the saying goes, you have to get through those days when no one cares before you can have the poetry and distance you want. Poetry and distance are always difficult to reach.

8. Therefore, you have to learn to block the five senses in this market, and remove the information that makes yourself fomo, so that you can make the most correct choice. Basically, every operation under the influence of fomo, most of which will be found in the later review, is very bad;

9. Also, feel more stupid, instead of making some money to inflate. Inflation is followed by overconfidence and risk ignorance. So often when you are most complacent, the next step is the endless abyss;

10. Finally, good luck. As long as you don't have a consistent way to make money one day, luck is essential.

42. If the new bitcoin coins are almost finished, and the transaction volume on the chain is not large, what if the miners’ computing power can be guaranteed to maintain the security of the bitcoin system?

Bitcoin is very cleverly designed, the block reward is halved every 4 years, and the mining revenue is block reward + handling fee.

In the future, the mining revenue in the later stage will be completely derived from the handling fee, which may mean that the transaction volume will increase in the later stage and need to be expanded. Or through the centralized packager of the Lightning Network, so that its rewards can meet the income of miners.

But this situation should not be considered in recent decades. After all, the current mining revenue mainly comes from block rewards. , the main chain fees have exploded

Assuming that the transactions on the chain will not be large in the future, the miners' income will be reduced, and the computing power will decrease, which will affect the security of the Bitcoin network.

In fact, there is no need to worry. Aside from the uncertain factor of handling fees, how to keep the computing power from decreasing?

One simple thing, every 4 years the price of Bitcoin doubles to make up for the block reward halving. In this way, the miners' income will not be reduced.

Of course, there are many assumptions here, such as the machine has not been updated, the number of miners has not changed, and so on.

But the truth remains the same.

Is it hard for Bitcoin to double in price in 4 years?

Well, it's not difficult.

The block reward is now 6.25, 3.125 per block in 2024, 1.5625 per block in 2028, 0.78125 per block in 2032, 0.390625 per block in 2036, and 0.1953125 in 2040.

At present, the share of Bitcoin mining fees only accounts for 10% of the block reward, so according to the halving point of view, this situation can be maintained for at least 3 halving cycles, that is, before the halving in 2032. (provided that the handling fee does not increase dramatically)

Therefore, there is no need to worry about this problem at present. The way for Bitcoin mining income to rely on block rewards is still very long, at least in the past 10 years.

43. I just learned about Bitcoin, can I invest now and get rich?

1) Before entering this market, it is recommended to learn some Bitcoin-related knowledge.

2) After systematic study, I believe that you will have the answer yourself. Instead of listening to me, I am talking hype, and you are not at ease in your heart.

3) From my standpoint, the potential of Bitcoin in the later stage is still huge, and an important sign of becoming mainstream is to surpass gold. According to the market value of gold of 8.2 trillion, if Bitcoin can surpass gold, at least Bitcoin will reach 430,000 US dollars. Of course, this may take the next round or even several rounds of bull markets to achieve.

4) Fortunately, foreign institutions are also slowly accepting Bitcoin. Due to domestic regulations, institutional funds are still not allowed to access Bitcoin. So, this is also an opportunity. From this point of view, it is not too late, and it is also a pioneer.

5) As for the question of getting rich, you have to think for yourself whether you believe that Bitcoin can surpass gold. If you want to believe it, then the question is much simpler, it becomes whether your assets increase by 24 times, can you get rich.

6) If that doesn't work, forget it. In fact, this is not Bitcoin's problem, but your own problem.

7) The actual situation is that even if this goal is achieved, regardless of the risks, it will take many years to accumulate, and it will not be regarded as rich. The thousand-fold increase of Bitcoin in the early days has long disappeared, and he has gradually moved from the ranks of formal investment products. If you are blindly pursuing that kind of short-term riches, Bitcoin is not for you.

8) Finally, you need to be cautious when entering the market. In such a market with no ups and downs limit for 24 hours, there are pits everywhere, and all kinds of black swans, if you are not careful, you will be harvested cleanly. You invest 300,000 yuan to open a milk tea shop, and you can support it for half a year. Even if you lose everything, you can at least give you half a year to slowly settle accounts and slowly understand the market. But if you can’t hold back the idea of ​​getting rich, and with high leverage, you can reach the goal of zeroing in a few minutes, and you can’t learn anything in just a few minutes. So, from this point of view, if you just want to get rich, try not to play.

44. The newcomer asks, are all coins falling wildly in the bear market? Then I'll just sit and wait for the bear market and sell the house.

Indeed, in a bear market all currencies will fall, including Bitcoin.

But you sell the house stud, and the final outcome is basically a tragedy.

In your imagination, you think of a bull market rally as a straight line, and then you sell at the top. In a bear market, a straight line goes down, and then the lowest point is bought.

In fact, this k-line is far more thrilling than you think.

There are countless pullbacks in the bull market, and even a 40% big pullback. Do you think you can judge whether the bull market is over?

In a bear market, there will also be a rise in the market for several months. When the price is high, it will often double. Do you think you can find the lowest price in the bear market?

In the face of the unknown, any buying and selling is a bet, and the outcome is uncertain.

At 312 in 2020, in half a month, Bitcoin fell from 1w to $3,800, plus all the assets in the world are shrinking wildly, don't you panic?

Also selling a house stud, in the case of such heavy chips, no one can hold it.

You are so sure that you are in the bear market to buy the bottom position, is the lowest price?

Are you so sure that Bitcoin will not drop by another 50% after you finish bottoming?

Are you so sure that after another 50% drop, there will definitely be a bull market in the future?

No one can tell what the future will look like, and back then, you wouldn't take it for granted and talk about selling a house as lightly as you do now.

This is how most people look at the K-line that has come out and imagine that they are selling high and buying low at various points, which seems to be very simple.

Unfortunately, there are too few such people.

Wall Street elites say that selling high and sucking low is empty-handed, do you think you can?

After years of observation, there are very few people who continue to play short-term games, regardless of the winning rate, and even persist.

What kind of people have the most?

Excessive trust in yourself, tossing the short-term, the more you play, the less money you have. Finally, the contract was played, and the assets returned to zero.

This is really a big catch.

Hope you are not.

45. Summarize the misunderstandings of newcomers about Bitcoin.

1) The graphics card on the market is out of stock and the price has risen, but it is not used to mine Bitcoin;

2) Bitcoin is not illegal in China, and citizens can legally hold it. However, financial institutions are prohibited from entering, and domestic exchanges are not allowed, and domestic Bitcoin cannot be called currency, but is defined as a commodity;

3) Bitcoin is not a priceless market. In fact, tens of millions of funds are in and out now, and they can’t make any waves. When you want to sell, you can sell it 24 hours a day, 365 days a day, and when you want to buy it, the same is true;

4) Bitcoin can be split, so there is no such statement that Bitcoin is expensive and cannot be bought;

5) It is not difficult to buy Bitcoin, you don’t need to buy it on your behalf, just find a regular exchange and register yourself (described earlier). Basically, those who buy for you on your behalf, it is good to earn the difference, but if you encounter a liar, you will be empty of money and manpower;

6) Most of the people who take you to trade coins, ask you to pay group fees, and help you operate are all IQ taxes. In a bull market, if you close your eyes and buy blindly, there will be profits. Therefore, you must be cautious, because it is very difficult to defend your rights if you are deceived. (I have encountered many fans complaining to me, and it is basically useless to call the police);

7) The statement that Bitcoin chips are centralized is not accurate. Many wallet addresses in the top 100 are the addresses of exchanges, and the coins in them do not belong to individuals;

8) Bitcoin mining is not a waste of resources. First of all, electricity is a very difficult resource to store. Before Bitcoin came out, many small power stations were abandoned. Secondly, mining is to maintain the smooth progress of the Bitcoin ledger, which is not a waste. From this point of view, the "accounting" in the traditional industry is also a waste;

9) Bitcoin does not have the endorsement of a sovereign state, but the currency does not require endorsement by a state. After reading the history of currency, you will find that consensus is the most important, and in the decentralized world, no endorsement is mathematically reliable;

10) Money laundering through Bitcoin is not as much as you think. In fact, most people choose Bitcoin just to make money. There is an authoritative article on cryptocurrency money laundering in 2020, and the use of Bitcoin to launder money is minimal;

11) The success of Bitcoin is not based on disasters. You may have heard about the collapse of XX currency and people choose Bitcoin, but this is not the problem of Bitcoin, but the bad coin that is spammed;

12) Bitcoin is very safe. On the premise of using a cold wallet, no amount of hackers can steal your coins. Most of the Bitcoin stolen news refers to centralized exchanges, not the security of Bitcoin itself. ;

13) Bitcoin is not complicated, in fact, it is much simpler than the steps of applying for a bank card;

14) You can be happy without buying bitcoin, it's just an investment. So, if you don’t understand Bitcoin, there is absolutely no need to enter this market, but try not to smear it without thinking, because it really seems very low-level in many eyes, just like you are still smearing the development of the Internet.

46. ​​Should I choose to buy Bitcoin directly, or choose to mine?

1. Mining and direct purchase of coins have their own characteristics, and they are very dependent on the price of coins, and they are all gambling on the future;

2. The uncertainty of mining is more than the direct purchase of coins. In addition to the factor of currency price, the time cost is also high. The space, wages, and computing power are constantly increasing, which is bad for you;

3. Mining is a long-term trend. In the bull market, when the production capacity of mining machines is insufficient in a short period of time, the cost of Bitcoin obtained by mining is far less than the direct purchase of coins. time accumulation. There are many stories in it. If you are lucky, you will make a lot of profit later. It is not an exaggeration to say that he is a money printing machine. The key point is the entry time;

4. Mining is a one-time investment, and it will gradually benefit. After the currency price "completely" collapses, you have not recovered the cost, and you have no comparative advantage (low electricity price, high computing power machine), it is difficult to play. Therefore, it is often seen that in the bear market, the mining machines are sold as scraps, the reason is that the bitcoins dug out of these old machines are not enough to pay the electricity bill;

5. If you have the resources, you can get a good mining machine in the bull market, and you have cheap electricity, then you can naturally make a vote. If you have this advantage, it is naturally better than buying coins directly. Mining is a game that competes with others. Even if the price of the currency plummets, you can still live well compared to others. As the story goes, if a bear chases two people, you don't have to outrun the bear, but you must outrun your mate.

6. Mining is still the same as other investments. It is the best time to enter the market when no one is interested. So, if you can, it is advisable to get involved in a bear market. At this time, the cost of the mining machine you get will be very low, and the slow income will allow you to survive the dark period, and you will basically win half of the market;

7. An example is: if you buy an S19 in 2020, you only need more than 10,000 yuan. In 2021, you can make a profit of 7,000 yuan a month, and the price of the S19 has risen to 70,000. And if you come in at a location of more than 70,000, plus the electricity bill, you are not sure how long it will take you to pay back.

8. Another most important point is that the mining mentality will be much better. It has been observed over the years that most miners, because they have passively held positions for a long time or are forced to increase their computing power, are much more profitable than those who are fighting in the secondary market, both in terms of their profit-making ratio and ability.

47. The difference between a Bitcoin HD account and an ordinary private key account.

Let’s talk about ordinary private key accounts first.

Before the HD account came out, everyone chose this type of account.

In layman's terms, each bitcoin address corresponds to a private key. If you want to generate a majority of addresses, you have to save the corresponding multiple private keys separately. (Like I wrote about cold wallets before, which is to manually generate multiple private keys)

However, the Bitcoin community strongly advocates that the used Bitcoin address should not be used again, which helps to protect the privacy of transactions and the security of the address.

However, it is too troublesome to use a traditional private key account to save the new address that is randomly generated every time. After all, you can’t have a new address, so you can quickly write down the private key to backup, and then the HD account will be released.

HD account.

The biggest feature of HD accounts is that you save not private keys, but mnemonics, but you can manage countless addresses.

How to understand it, just like you have mastered the trunk, the branches that branch off from it can be proved to be yours.

Many people may think that the mnemonic is derived from the private key, and the deduction in the middle may not be safe, but in fact, this is not the case.

The correct deduction sequence should be, seed - mnemonic - private key.

So there is no argument that the mnemonic is unsafe.

In short, if you are hoarding coins in a cold wallet, in fact, ordinary private keys can also be satisfied. The private keys I saved in the early years are all such accounts.

But if you are a common online wallet, HD accounts will be better in terms of privacy, security and convenience. After all, it is theoretically difficult for quantum technology to launch a computational attack on a frequently changing address.

48. Bitcoin settlement is too slow to be a currency.

The efficiency of Bitcoin is indeed not high. In a decentralized wallet, the theoretical transaction speed of one block in 10 minutes has been abused by traditional transfers. In addition, sometimes the block generation time is longer, or there are 6 complete confirmations. , is more serious.

But that's not a problem because people don't care.

If you only pursue efficiency and do not consider centralization, you can go to the second layer.

What is the second layer?

For example, in a traditional market, I buy something in a vegetable market, take out my wallet, and give RMB to the seller. You can understand it as a one-layer transaction system of RMB, which can ensure anonymity.

But if I am in Jiangsu and want to find a Beijing seller to buy a product, after Taobao takes the picture, Alipay transfers the money, which is the second layer of RMB. It's not the real RMB, it's just digital.

But the second layer is very good, fast, and efficient, but at the expense of anonymity, these transaction information are recorded.

So, if you don't think about decentralization, you can go with Bitcoin's second-layer network. There are many second layers, such as the internal transfers of many exchanges, such as the transfers of custody wallets such as Bixin, which are fast and efficient, just like WeChat transfers.

And if you are hard-core, you are extremely pursuing efficiency and decentralization, you can also use Lightning Network and Liquid Network.

But there are too few people who use it. Most people come to this market just to make money. He doesn’t want to buy a cup of coffee with Bitcoin. This is also the reason why the Lightning Network has not been popularized in recent years, even though the Lightning Network has been developing and the technology has advanced by leaps and bounds.

I mentioned three visions for Bitcoin to go before: 1. Protect private property from being controlled by anyone; 2. Like gold, as a safe-haven property; 3. As a currency for everyday use.

These three visions are very big, and many people need to participate in their realization. The most effective way to absorb them is to make money. Bitcoin has also done it so far. If the number of Bitcoin players is used as a K line, the increase in these years is faster than the price.

Market perception is a very slow thing.

At this stage, it’s hard to ask everyone to see the future of Bitcoin, but that’s not the point, the point is, the road is going in the right direction and Bitcoin isn’t swerving.

Like last year, the market has gradually recognized Bitcoin as a savings tool, which was not seen in the early years. At that time, you have to say that he can save and resist the inflation of fiat currency, and others will come up with high-volatility K-line charts to ridicule you.

So, when one day, people have realized that Bitcoin is an excellent currency and are willing to use him.

At this time, the focus of the market will change from hype to optimizing the use of Bitcoin, and the development of the Lightning Network will advance by leaps and bounds.

I often see some people mocking the slow development of the Lightning Network, and the reason for this is that people are not currently relying on this tool, people just want to see if the price of Bitcoin will rise.

The day will come, and at that time, you may stop complaining, but the cost of your participation is not a matter of tens of thousands of dollars to buy a bitcoin.

49. Can a decentralized blockchain change the world?

When we compare two very different things, the most effective way is to find the characteristics and compare them.

Compared with centralized projects, decentralization is at a disadvantage in terms of efficiency and security.

And the only thing decentralization can take out is itself: decentralization.

But now in many projects, we can be embarrassed to find that most of them are not decentralized, and there are even some rules that are more centralized.

From this point of view, most projects in the current market cannot be called decentralized blockchains.

When you control the rules, even if the chain cannot be changed, it becomes meaningless.

I don't know when the real killer app will appear in this market, but what I do know is that in the future Bitcoin must be one of them.

Currency naturally comes with decentralization rules, which is a perfect match.

So, I've always been skeptical that a decentralized blockchain could change the world.

But I have always had great faith in Bitcoin changing the world.

50. Are there any absolute arbitrage opportunities in the currency circle?

Yes, there is still a lack of information about the influence of the outside world on the currency circle. The current arbitrage opportunities are as follows:

1) Defi mining

To be honest, the income of Defi mining is still very objective.

Just like the stable currency USDT in AEX is all at 20%, but the only risk is that the platform runs away. It has also been said that you can search for AEX on Weibo.

There is also to mine by yourself, which requires some basics, and you need to keep learning by yourself.

2) Eat perpetual rates

Bitcoin's perpetual contract rate is sometimes very high, such as bull markets are often greater than 0.1%.

For the exchange rate, you need to see what the perpetual rate of each platform is. For example, okx can eat 3 times a day at 8:00, 16:00, and 24:00.

For example, if the rate is a positive number, it means that if you open a long position, you need to replenish your short position, three times a day.

At this time, you can exchange the cash in your hand for USDT, part of it to open short contracts, and part of it to buy spot for hedging.

In this way, if the price of Bitcoin rises, you will lose money by opening a short contract, but you will make money in the spot.

When the price of Bitcoin falls, you will make money by opening a short contract, but you will lose money in the spot.

The most important point here is that you need to hedge the profit and loss of the two. No matter whether it rises or falls, you will never make a profit or a loss.

The profit comes from the 3 times the rate is eaten every day.

3) Eat the quarterly contract premium

Quarterly contract arbitrage is about the same, because as the delivery date comes, the second quarter contract will turn to this quarter, then the next week, and then this week.

After the week, the basic premium disappears, and you eat this premium, and most bull markets are higher than 10%.

And no matter whether the currency price rises or falls, you cannot take profits because of hedging. Otherwise, it becomes a game of betting big and small, and it is not called arbitrage.

In short, this piece looks quite simple, and you need to actually operate it yourself and calculate it in detail.

And ah, in the bull market, you will sometimes feel like throwing watermelons to pick up sesame seeds. After all, Bitcoin is crazy, and you can earn more directly from the spot.

But this way, the victory is guaranteed.

Well, making a steady profit is the most terrifying thing. I have said this before. This is why many charging groups in the currency circle are popular. They can't make a steady profit themselves, only charging can do it.

51. How to buy XX coins.

1) Select an exchange

What currency do you want to buy, first choose a good exchange. Popular currencies like Bitcoin and Dogecoin will be traded on normal exchanges. If it is an unpopular currency, you may have to see for yourself which exchanges have trading pairs.

After selecting an exchange, register.

2) Deposit

After successful registration, as a novice, your account has no funds. At this time, you need to recharge funds into it.

Many of the funds in the currency circle are exchanged in USDT. USDT is the currency that anchors the US dollar. With it, you can buy hundreds of virtual currencies.

Of course, you can also use BTC to exchange. Many exchanges have bitcoin trading pairs, which is a kind of trading pair that many currency-based players prefer.

Like Binance, you click on "Transaction" - "C2C", you can buy USDT or BTC.

Like OKEX, you can buy USDT or BTC by clicking "Buy/Sell".

After clicking on it, you will find that there are many pending orders from sellers. You can see the unit price, the limit, and the payment method, and choose according to your needs.

As a reminder, try to choose certified merchants.

After clicking buy, enter the amount you want to buy, and pay according to the seller's request.

After the payment is successful, the seller confirms that the payment has been received and will send the currency you want to purchase to your account. At this time, you have USDT or BTC.

3) Exchange

Because of the legal currency trading area, there are very few supported currencies, and most people buy and sell USDT or BTC.

And if you want to buy other currencies, such as Dogecoin, you need to exchange them through currency trading.

Click to open currency trading (some exchanges are called spot trading), search for DOGE, and you will find many trading pairs, such as "DOGE/USDT", "DOGE/BTC".

Well, if you have USDT, you can choose the first one to exchange Dogecoin, and if you have BTC, you can choose the second one to exchange Dogecoin.

4) Sale

After a currency you bought rises, you feel that it is almost the same, and you can leave with a profit. You can exchange it for USDT or BTC, and then choose to sell it in the C2C (fiat currency trading area).

The same steps as above, only this time someone else pays you. After you receive the cash, choose to put coins.

52. Transfer bitcoin to another wallet, but it has not been received, what should I do?

First go to the Bitcoin browser to check the transaction status, enter your address, and check the sending status.

If it is indeed sent, but not confirmed, it is a Bitcoin transfer, and the handling fee is too low and not packaged.

The mechanism of Bitcoin is that you use a decentralized wallet to transfer money to the other party, and you need to pay a certain fee in front of the handling fee.

This fee is charged by the miners, and they will be packaged in the order of high and low. After your transaction is packaged, it will be confirmed and credited to the account. If the fee you set is too low and the network is too congested, you will only have to wait for the high-fee transaction to be packaged before it is your turn.

Normally, there are 3 points that affect the handling fee: 1. Byte size, 2. Network congestion, 3. Coin age.

In recent years, because Bitcoin has become more and more popular, the block limit of 1MB (Segregated Witness can be slightly expanded, the limit peak is 4MB, but 2MB is very rare. I have learned this knowledge before, if you are interested, you can search for SW) The block limit is gradually satisfied. not the needs of the public. The network was congested for a time. In order to confirm the transaction earlier, many people would add a handling fee to cut the queue, resulting in the high transfer fee of Bitcoin.

For example, at present, I have checked that the memory pool has a volume transaction of 255MB, waiting for confirmation.

53. Import the private key into the wallet and find that the original address starts with 3, but now it starts with 1, and there is no balance.

1) First of all, you must know that at present, the same BTC private key corresponds to 3 different BTC addresses;

2) The 3 addresses are:

① The address starting with 1 is called the most original address;

② Addresses starting with 3 are called Segregated Witness (compatible) addresses;

③ The address starting with bc1 is called the Segregated Witness (native) address;

3) These three addresses are independent of each other. Therefore, even if this student goes to the address starting with 3 to deposit, but after importing the private key, some wallets do not support this format address, but the default address starts with 1, so his balance is still 0;

4) So, it's not a matter of your private key, nor your bitcoins lost, it's just a matter of wallet choice. Now some wallets on the market only support ① format, some only support ①② format, and some support ①②③ format.

5) Just tried it, Bitpie wallet only supports the ① format address after importing the private key, Bitpie and imtoken wallet support the ①② address format after you import the private key (but Bitpie is the transfer form because of the account system); TokenPocket wallet supports ①②③ address format.

6) So, just change the wallet and import it. After some wallets are imported, you can also choose to switch addresses.

The way for ordinary users to avoid this is: 1. Don’t transfer money. Some coins are on the exchange, and you can choose to withdraw coins when the network is not congested. 2. Set a high handling fee and cut the queue.

But what should I do if the confirmation cannot be confirmed because of the low fee set?

There are 3 ways: 1. Wait with peace of mind; 2. Accelerate (many mining pools currently have acceleration services, and now it is about a few hundred yuan); 3. High-level gameplay, erasing previous transactions. (It depends on whether the wallet supports the fee replacement protocol).

54. What should I do if I choose the wrong chain for redemption and withdrawal.

Now many currencies, in addition to the native address, have corresponding addresses on the ETH/BSC/HECO chain. Sometimes you don't pay attention and choose the wrong chain.

Don't worry, you can find it back, in two cases.

1) The wrong chain is selected for withdrawal.

For example, I want to withdraw A coin from the exchange to my ETH chain address, but I choose the BSC chain, what should I do?

Open the BSC chain of your wallet and import it with the private key of the ETH chain. You will find that A coin is lying quietly on the BSC chain.

Because they are the same set of private keys and addresses.

PS: You can transfer back to the exchange and re-select the chain, or you can cross-chain (but the current cross-chain technology is not too mature, use it with caution), but you have to have the gas fee on this chain, such as on the BSC chain, you have to Only if you have BNB, you can transfer money.

2) The wrong chain is selected for recharge.

Find customer service, find customer service, find customer service.

Technically, it's all right, you can find coins, just see if the other party is willing to spend energy to deal with it for you.

to be continued.​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​