New Zealand opens its arms to Bitcoin

Bitcoin has hit the mainstream in New Zealand today, with new of the first piece of real estate being sold for the digital currency that is taking the world by storm. In this article we discuss the new financial technology that is set to revolutionise the banking paradigm, and highlight a few ways New Zealanders can get involved with crypto currencies such as Bitcoin in these early times.

First, let’s take a look at what Bitcoin is, and the technology that makes it work. Bitcoin is a virtual currency that is immune to inflation, because there can only ever be 21 million of them in existence due to the mathematical system that creates them. There are currently around 16 million bitcoin in existence, and new coins are slowly generated through a process known as “mining”. All 21 million coins will have been mined by the year 2140.

The term “bitcoin mining” is a bit of a misnomer. Theres is no actual mining involved. Mining refers to the processing of financial transactions on the bitcoin network. Imagine how a transaction through a normal bank has to be processed. If someone makes a purchase using EFTPOS, funds are withdrawn from their bank acount and are deposited into the account belonging to the person they are buying from. The bank processes the transaction and charges a small fee for doing so.

The same thing happens with bitcoin: the buyer sends the agreed amount of bitcoin to the seller using an app on their smartphone or pc; the bitcoin network processes the transaction, and receives a small fee for doing so. Infact, almost anybody with a working computer can connect it to the bitcoin network using free software, and start processing transactions on it and earning part of those transaction fees themselves. This is called “mining”, and the people and the computers they use for mining are called “miners”. Bitcoin mining is highly profitable, even for small-time miners running a few pcs or dedicated miners at home.

Bitcoin and other crypto coin miners come in a range of sizes.
Bitcoin and other crypto coin miners come in a range of sizes. The larger machines generally cost a lot more than the smaller models, use more power, and earn more transaction fees for the owners. The term “bitcoin mining” simply refers to the processing of bitcoin transactions – no picks and shovels required.

Bitcoin and other “crypto currencies” (crypto is short for “encrypted”) are stored in people’s phones and computers using small apps called “wallets”. Well, sort of. In reality, only proof of ownership is stored in the wallets. The coins themselves are recorded as entries in a a ledger which is shared and duplicated right across the entire bitcoin mining network, making it very difficult for hackers or fraudsters to get up to any dodgy business. Details of every transaction are permanently recorded, and are viewable by anyone with a web browser using websites such as BlockExplorer. Details of the transaction are recorded, but the names and personal details of the sender and receiver are not, so there is a combination of security and privacy, sometimes referred to as pseudonymity.

As transactions are created using bitcoin and are submitted to the bitcoin network for processing, they are grouped together in batches of transactions known as blocks. Think of a block as being a page bearing a list of perhaps a dozen transactions. Once a block is formed, it is published on the network and waits to be validated or “confirmed” by a number of “miners”. It is encrypted to keep the details secure, is allocated a block number, and is added to the exiting list of previous blocks in a fashion that creates a permanent, unbreakable chain. This is what’s known as the blockchain, and is the underlying technology that is changing the world as we know it and will most likely end the stranglehold that traditional banks have over the world’s financial system.

Bitcoin and blockchain technology are creating a decentralized money system that allows anyone in the world to easily and quickly make payments to anyone else, anywhere else in the world, without the need for an intermediary such as a bank. This is revolutionizing business and will transform the way the world conducts trade, thereby transferring the ability to generate wealth from the extremely rich banking elite to the common people of planet Earth.

The bankers are already kicking up a stink and are doing all they can to make sure bitcoin doesn’t succeed: they don’t want freedom for the masses, but the cat is already out of the bag. Bitcoin is spreading like wildfire around the world, and is now becoming welcomed into the mainstream here in New Zealand. A plethora of bars and cafes around Auckland and Christchurch already accept bitcoin for some products, and the movement is gaining traction.

There are a few downsides to bitcoin as it currently stands. The value of each Bitcoin fluctuates tremendously as traders look to profit from differences in supply and demand, just as they have done in traditional forex and stock markets in the past. This causes a bit of annoyance to bitcoin users but is generally accepted as part of life. Every decent wallet app is constantly updated with the current value anyway, so it is not really much different than having New Zealand dollars and watching the price rise against US dollars or Aussie dollars. Welcome to the age of global trading (which is different than globalization but that’s food for another article).

For people new to the bitcoin world, you need to know that there are many other crypto currencies in existence, not just bitcoin. The other big coins include names such as “Ethereum” (great name and a great currency), Litecoin (designed to act as “silver” in relation to Bitcoin’s status as digital “gold”), DASH (short for “Digital Cash”), and Monero (a crypto currency with an even greater level of privacy).

Each crypto is designed for use in slightly different industries or scenarios. For example, Ethereum (ETH) is designed for use in generating “smart contracts”. One example of a smart contract could be an automatically generated and administered insurance policy, than remains in place so long as the proper conditions such as premium payments are made, and which pays out automatically when a claim is made.

You can monitor the value of each crypto currency on websites like WorldCoinIndex and CoinMarketCap (Cap is short for capitalization). Values are usually represented in comparison to US Dollars, so keep your calculator app handy or find a converter on google.

How to buy Bitcoin in New Zealand.

So how does one get their hands on some of this digital gold, you ask? Well, it is pretty easy, really. There are websites such as “Localbitcoins.com” that let you arrange meetings with other kiwis to do deals for cryptos, but not everyone is comfortable meeting strangers to buy and sell money, and understandably so. A better option is to use a reputable online coin broker or exchange such as Coinmama.com, and just buy bitcoins using your credit card. Just sign up for an account, make your purchase, and wait for the bitcoin to be deposited into your coin wallet app.

If you need a good wallet for pc try Jaxx.io or Exodus wallet. For smartphones, do a search for your particular phone’s operating system as the apps do vary. Just do a bit of research before you jump into it. Make sure the wallet you choose gives you access to your “private keys”. If it does not, keep on looking. Whoever controls your keys, controls your coins. It is not recommended to treat your accounts on coin exchanges as wallets, for the very same reason.

A bitcoin wallet is a simple app on your smartphone or pc
A bitcoin wallet is a simple app on your smartphone or pc

So there is a bit of an introduction to Bitcoin, a background and overview of the mining process and the underlying blockchain technology. You should definitely look into bitcoin. Do some research and get yourself a wallet. Keep in mind that it is very easy to change wallets later, so don’t be scared, just keep a copy of those private keys.

Bitcoin and the other cryptos are the future of finances, and they are here to stay. By jumping onboard now you are still at the leading edge of things, and will be well placed to use the technology to your advantage as we progress. It is an exciting time, so embrace the change and take control over your own finances. Be your own bank!!

 

The ultimate simple explanation of what Bitcoin is for brand new beginners

Mainstream adoption of Bitcoin and crypto currencies is taking place, yet many folks are unsure as to the true nature of these digital assets and the revolutionary blockchain technology that is behind them. In this article I will give you a simple explanation of what Bitcoin is, without going into the nuts and bolts of how everything works. You can read up on the techy stuff later but for now, this post will give you the basics.

Bitcoin is electronic money. It is not printed on paper notes like your old dollar bills, and there are no physical coins like the 50 cents piece rattling around in your car’s ashtray. No paper, no shiny metal coins – just numbers in an account. Think of bitcoins as being money in an online bank account.

Now, as with all online bank accounts, someone has to take care of looking after your Bitcoin balance in the same way that your bank uses its computers to look after your regular bank accounts. When you pay your bills using traditional online banking or EFTPOS, it is your bank that processes the transactions, and they usually charge you fees for doing it. Bitcoin works in the same way except the transactions are processed by a large network of computers spread all over the world. You still get charged a fee for doing a transaction, but that fee goes to the owner of the computer that actually processes your bitcoin transaction.

As with any normal banking transaction, there is a payer and a receiver. If you are paying your power bill online, you are the payer and the power company is the receiver, and you both have your own bank account numbers. In bitcoin transactions, it is the same. You have your own bitcoin account number, but it is called an “address”, and the receiver also has an “address”. When you pay a bill with bitcoins, the bitcoins are transferred from your address to the receiver’s address.

When you send bitcoins to someone in this way, which you can do using a simple app on your smartphone, a small amount of the bitcoins you send are sent to the owner of the computer that processes the transaction. That is the transaction fee, and it helps to pay the costs of their mining equipment and electricity usage plus a small profit. The person who owns that particular computer is called a bitcoin miner. And the processing of the transaction is called bitcoin mining.

Some people own a lot of computers that are used for this “bitcoin mining”, and as a result, they can earn a lot of money from processing lots and lots of transactions. Infact, there is so much money to be made from bitcoin mining that there are even companies who rent out computers so other people can run the bitcoin mining program on them.

All of these bitcoin mining computers are spread out around the world. A lot of people even do the “bitcoin mining” on their personal pc’s and laptops at home, and earn anywhere from a few cents to a few dollars per day depending on the speed of their computer. So Bitcoin gives normal people the opportunity to earn a small income by processing transactions (aka bitcoin mining) on their own pc.

Four Bitcoin mining machines
Bitcoin mining machines come in a variety of types, from tiny USB ASIC miners to big, power hungry professional miners. You might know someone who uses their personal pc or laptop for bitcoin mining.

Bitcoin runs on a decentralized network, as opposed to the centralized system used by traditional banks. Being decentralized means that the system is less prone to hackers and fraudsters, and there is very little chance of the network going offline.

The next thing I will mention is that Bitcoin is “open source”, meaning that anyone can see the actual computer code that runs the network. All transactions are permanently stored on the network, and can be easily viewed by anyone using a web browser. Note that the transactions are visible but none of your personal information is visible because you didn’t have to provide it when you first opened your bitcoin account address.

To get a bitcoin address you first need a bitcoin wallet, which is a small app on your pc or smartphone. The wallet app generates an address and that is where people can send you bitcoins. Every crypto currency needs a different address, but some wallets can be used to store a number of different crypto currencies, in the same way you can hold different paper currencies in your physical purse or wallet.

A bitcoin wallet is a simple app that runs on your smartphone or PC.
Easily check your bitcoin balance and send and receive payments and donations using a wallet app that runs on your smartphone or PC. Some wallets support a wide range of crypto currencies such as Litecoin and Ethereum, in addition to Bitcoin.

Ok, that is enough information for now. There is a lot to more to learn about Bitcoin: we haven’t even talked about the “blockchain” yet, but there is plenty of time for that later, or the huge community that supports the bitcoin network. You can find more information about all those things on this website once you have digested this introductory stuff.

So as a quick summary, here are the main points we have covered in this article:

  1. that Bitcoin is electronic money, otherwise known as a digital asset,
  2. that Bitcoin transactions are processed on a decentralized network,
  3. the processing of bitcoin transactions is referred to as “bitcoin mining”,
  4. the people who own the computers that process transactions are called “bitcoin miners”, and they get paid a small fee for doing it,
  5. Bitcoin and other crypto currencies are stored in small apps called wallets, and some wallets can store a number of different crypto currencies,
  6. your Bitcoin wallet generates an “address” that people can send bitcoins to when they need to pay you, or vice versa.

Hopefully this article has been helpful to you as you learn about Bitcoin. Please feel free to share it with anyone else you know who also wants to learn about this exciting new technology and currency. Bitcoin is the way of the future and you are doing well to educate yourself in these early stages. Go well – go crypto!

The Currency War is in Full Swing as Banksters Attack Bitcoin

Bitcoin Mining - Megadumpload

The crypto currency aka Bitcoin Industry is under attack. We are witnessing a digital massacre, a virtual wipeout – a Bitcoin bloodbath. Crypto currency and Bitcoin buyers, miners and traders across the globe are dumping all their Bitcoins, Litecoins and alt coins, and are running for the hills. Bitcoin, the world’s greatest scam, is over. Dead, boned and buried.

Game over.

Let’s move on.

Imagine please, Earth’s future, eternally controlled by the big banksters; old money; the economically elite families whose ‘hidden hand’ runs the world, makes wars, controls weather, and charges the citizens of the Earth a fortune in daily compounding interest on money they create out of thin air.

The banking cabal are a group of twisted, power hungry families whose relentless lust for money and power has systematically established a system of financial and legislative control that enslaves the vast majority of the human population to them, under threat of capture, prosecution, and imprisonment.

The people who own today’s banks really hate you, and they know how to control you. They make it hard for normal people to survive and thrive. The discourage real human development. The current economic paradigm enslaves humanity in the grip of never ending debt.

The global banking cartel control you because they make and control the money you need in order to live.

THEY make you go to your job on Monday morning, and the following four, five or six mornings that week, and the next week, and the next.

Yet you still think you’re the one calling the shots.

The banking cartel
It is time to turn the tables on the global banking cartel and take the power back!

If you went to work for any other reason than you believe it was the very best thing you could possibly have done with that time, then you are not in charge. How could you be – you wanted to be doing something else!

Now I ask you to try to think about all those millions of lost labor hours that everyday working people around the world spend just on paying interest! Regular people, just like you, who also must turn up each weekday to a job that ties up their minds and bodies and saps their essence on a daily basis. This is not living – it is enslavement.

It is a criminal system that is absolutely corrupt at its core, and it must go!

WE, aka, ‘we the people’, aka the millions of working class people around the world, are sick of it, and we want change.

We want a world where we are not charged interest on money that someone else has created out of thin air. We want a world where we are free to creatively go about our lives without the hidden hand of the global elite controlling our moves at every turn. A world where we are free to transact, barter and trade with whomever we choose, instantly, transparently, and with a minimum of intervention from outside sources.

We want a financial system that is intrinsically secure, anonymous and efficient. And that is what blockchain technology (the cornerstone of Bitcoin and many other crypto currencies) provides for us. A secure and anonymous financial system that has a lightweight, decentralized footprint.

The very computers that run the Bitcoin network are spread around the world, and are owned by hundreds of thousands of small time as well as larger investors known as “Bitcoin Miners”, who provide CPU processing power from their own computer hardware, to the Bitcoin network, in exchange for payment.

Although Bitcoin mining does include working with some technical issues, it is in fact a fairly simple and straight forward thing to get into, once you have done your homework.

But hang on, hold up… wait up!

Bitcoin mining – are you mad??

“Why would I even want to get involved in that?!?” I hear you ask.

To be honest, I’m not sure why YOU would want to do it, but I know I want to, and here’s why:

Supporting the Bitcoin network, aka mining Bitcoin, not only earns me tiny amounts of Bitcoin minute after minute, day after day, but it also lets me shoulder some of the responsibility and workload that is required in order to wrest control away from the big banks.

And oh, how we want to take that control away from them. I personally hate being dominated by debt – debt totally sucks, especially when so much of that debt is interest on money that was created out of thin air.

Anyway, it is up to each individual person to decide whether they want to have control over their financial situation, or not. I cannot force you to become involved in Bitcoin mining. That is your decision. What I can tell you is that it is not as mysterious or complicated as you may imagine. In fact, it really is dead easy. What’s more, I’ll even tell you how to do it, then you can go and make up your own mind – I’m just sharing the information.

In order to get started in Bitcoin mining (and the same applies to most other crypto currencies), you need to understand what is required in terms of hardware and software, and have an adequate power supply to run them.

Or of course, you could always try cloud mining, which is also profitable, and beneficial to the network, but you don’t have the same level of control.

In a nutshell, here is what you need to get started mining Bitcoins.

You need some mining hardware. Mining hardware is really just a fancy name for a powerful computer that is designed for the main purpose of processing millions of mathematical calculations per second. The faster your Bitcoin miner is, the more calculations or ‘hashes’ it can run, and the more you will be paid for your mining efforts. But faster machines require more power, and have higher setup and maintenance costs, so think about your own situation and work out how much you can afford to invest in the way of money, space and power capacity.

I am reminded, and shall remind you, now, of the old adage, “scared money makes no money,” which essentially advises us to take a more measured approach to our mining and overall Bitcoin strategy, rather than grasp at the first thing that comes along as if it was a lifeline.

The Bitcoin industry is very volatile, and sometimes you might have to fly by the seat of your pants, but you can also insert a measure of stability by starting out slow and ramping things up gradually. Just keep your aim in mind and keep learning. Your greatest asset, right now, is information. Gather as much of it as you can, then turn that information into power.

There are two things you need in order to succeed. You need to be smart and you need to be ready. You are already ‘ready’ – whether you are smart is up to you. Smart people mine Bitcoins. Be smart. Mine Bitcoins.

Here is a simple example of Bitcoin mining hardware.

Please note: Bitcoin miners need a stable electricity supply and in internet connection. If you don’t have either then you are going to need to get that sorted out before you begin mining. If you can use solar power to run part of your operation then you will save on the overall power cost in the long run but again, start out slow and take things one step at a time before going all out crazy. There is a smart kind of crazy and a plain old dumb type of crazy. Keep an eye out for my upcoming new book called, “Crazy for Dummies.” Enough said.

Home Built Crypto Currency Miner - Megadumpload
A miner can be built using standard PC components – they key ingredient being the video cards. The more you have, the more coins you will earn.

There are a few different type of mining hardware, from the very small to the very big. Did you know you can even buy little USB Bitcoin mining sticks? Check this out!

Some Bitcoin miners such as the USB Mining Sticks connect to your PC and are controlled with mining software such as CGMiner, which you can learn more about here or have a look on YouTube. Larger Bitcoin mining hardware usually has everything built right into them, and just need the operator to visit a webpage in order to set up your payment details before you start mining. Gotta send your new coins somewhere, right?

Bitcoin miners can be rather noisy, so consider your environment before purchasing hardware. If you live in an apartment block you might want to consider the effect on your neighbors before you go filling up your living room with loud equipment. Again, it is your choice and your neighbors. Some Bitcoin miners have a lower power mode which also means less noise, so that may be an option for running through the night. Keep researching, I say.

Once you have some mining hardware (and software if you need it), you then need to connect to a mining pool. A mining pool is a group of Bitcoin Miners and enthusiasts who combine the processing power of all their mining hardware and work together to process transactions for the Bitcoin network, collectively. This collective approach gives all members a much greater earning potential than if they just mine all by themselves. One great thing about mining pools is that you still keep your own mining equipment with you – you are still in control – but you share the rewards generated by everyone in the group, relative to the amount of mining power your equipment produces. So awesome!

One of the largest and easiest mining pools to join and use is SlushPool. Check it out…

Your earnings accumulate within the pool until it reaches the threshold for a payout, at which point it is sent to your Bitcoin wallet, which, by now, you may be familiar with. Try Jaxx or Exodus if you like, but there are many others.

So let’s take a quick recap of the main points covered in this article. We discussed the issues of control and financial slavery, explained the desperation of the global banking cartel to maintain their grip on the working class people of Earth, and how that desperation has cornered them into declaring all out war on Bitcoin and the other crypto currencies. We then introduced a few main features of blockchain technology and how that technology enables all of us to transact and trade around the world without third party interference. Finally we have shown you what you can do not only to support the Bitcoin network by providing hashpower into the system, but how your efforts in doing so can generate an income of Bitcoins into your own Bitcoin wallet. The future has actually arrived. We are living in the Bitcoin Age, and it is now time for the small time investors to break free of the control of the big banks and secure your own prosperity with the power of Bitcoin Mining and the technology of the blockchain.

 

The comeback of the Crypto Kings – BitConnect and Genesis Mining!

A day can seem like a lifetime in the crypto space; a week: an eternity.

So to some people operating within the space, it may seem an age since two of the major players in the industry, BitConnect and Genesis Mining, suddenly seemed to crash and burn before finally coming back to life.

In reality, it has only been a couple of weeks, well let’s say a few weeks at the most, that we have had to wait for these companies to get their sh*t back on track.

But on track they are. We saw BitConnect come back to life a few days ago, once they had cleaned up the mess following the exploitation of a bug on the website by a few members. The BitConnect team seems to have done a great job keeping users notified and updated about the issue, and we just had to wait it out. Back in action as of a couple days ago and everyone’s looking forward to more of that compoundy interesty goodness in the upcoming weeks and months.

And now on to Genesis Mining, who, according to official claims, suffered an unauthorised attack when someone allegedly hacked into a hot wallet and made off with many thousands of dollars worth of crypto coins. The company took the decision to halt payments until they could shore up the website back end against any further attacks.

While the company apparently did their best to rebuild the hacked systems and get everything back to normal, from a PR perspective it was a fucking nightmare. Right or wrong, the way the company communicated with their users left many in a state of doubt, confusion and suspicion. The hard working folks at Genesis Mining, I’m sure, were doing their best to sort things out – they’re top people, but it must be said that many crypto investors would have preferred a better level of communication throughout the recovery process.

Nevetheless, Genesis Mining have at last sorted out most of the problems, and have announced that the daily payment has been re-implemented, which is good news for all users. They’re also installing new mining capacity for the big currencies, and are soon to implement mining for Bitcoin Cash, which is exciting news to a lot of us.

So there we go. After a few weeks of uncertainty within OUR crypto space, it is now good to see a couple of our most beloved service providers getting back to their best, and perhaps, better than ever! I invite you all to click the referral links below to visit Bitconnect and Genesis Mining and grab hold of that intangible coin goodness and wealth generatey greatness that we have come to expect from these awesome investment platforms.

CryptoCracker wishing you a very happy crypto!!

 

Click this referral link to get started with Genesis Mining. Or sign up on your own and use this Discount Code to save 3% when you buy any mining contract OnGxTZ (you can save the discount code and re-use it every time).

 

Click this referral link to get started with BitConnect.

 

Please don’t forget to like this post and share with your friends, and remember – The Crypto Must Flow!!!