‎The What Bitcoin Did Podcast: Is Bitcoin Trading a Dirty ...

Crypto Banking Wars: Can BlockFi & Celsius Disrupt Banking?

Crypto Banking Wars: Can BlockFi & Celsius Disrupt Banking?
These crypto lending & borrowing services found early traction. Are they capable of bundling more financial services and winning the broader consumer finance market?
https://reddit.com/link/icps9l/video/98kl1y596zh51/player
This is the third part of Crypto Banking Wars — a new series that examines what crypto-native company is most likely to become the bank of the future. Who is best positioned to reach mainstream adoption in consumer finance?
While crypto allows the world to get rid of banks, a bank will still very much be necessary for this very powerful technology to reach the masses. As we laid out in our previous series, Crypto-Powered, we believe a crypto-native company will ultimately become the bank of the future. We’re confident Genesis Block will have a seat at that table, but we aren’t the only game in town.
In the first post of this series, we did an analysis of big crypto exchanges like Coinbase & Binance. In our second episode, we looked at the world of non-custodial wallets.
Today we’re analyzing crypto lending & borrowing services. The Earn and Borrow use-case covers a lot of what traditional banks deliver today. This category of companies is a threat worth analyzing. As we look at this market, we’ll mostly be focused on custodial, centralized products like BlockFi, Nexo, and Celsius.
Many of these companies found early traction among crypto users. Are they capable of bundling more financial services and winning the broader consumer finance market? Let’s find out.

Institutional Borrowers

Because speculation and trading remains one of the most popular use-cases of crypto, a new crypto sub-industry around credit has emerged. Much of the borrowing demand has been driven by institutional needs.
For example, a Bitcoin mining company might need to borrow fiat to pay for operational costs (salaries, electricity). Or a crypto company might need to borrow USD to pay for engineering salaries. Or a crypto hedge fund needs to borrow for leverage or to take a specific market position. While all of these companies have sufficient crypto to cover the costs, they might not want to sell it — either for tax or speculative reasons (they may believe these crypto assets will appreciate, as with most in the industry).
Instead of selling their crypto, these companies can use their crypto as collateral for loans. For example, they can provide $1.5M in Bitcoin as collateral, and borrow $1M. Given the collateralization happening, the underwriting process becomes straightforward. Companies all around the world can participate — language and cultural barriers are removed.

https://preview.redd.it/z9pby83d6zh51.png?width=600&format=png&auto=webp&s=54bf425215c3ed6d5ff0ca7dbe571e735b994613
The leader (and one of our partners) in this space is Genesis Capital. While they are always the counterparty for both lenders and borrowers, they are effectively a broker. They are at the center of the institutional crypto lending & borrowing markets. Their total active loans as of March 2020 was $649M. That number shot up to $1.42B in active loans as of June 2020. The growth of this entire market segment is impressive and it’s what is driving this opportunity for consumers downstream.

Consumer Products

While most of the borrowing demand comes from institutional players, there is a growing desire from consumers to participate on the lend/supply side of the market. Crypto consumers would love to be able to deposit their assets with a service and watch it grow. Why let crypto assets sit on an exchange or in cold storage when it can be earning interest?
A number of consumer-facing products have emerged in the last few years to make this happen. While they also allow users to borrow (always with collateral), most of the consumer attraction is around growing their crypto, even while they sleep. Earning interest. These products usually partner with institutional players like Genesis Capital to match the deposits with borrowing demand. And it’s exactly part of our strategy as well, beyond leveraging DeFi (decentralized finance protocols).
A few of the most popular consumer services in this category include BlockFi, Nexo, and Celsius.

https://preview.redd.it/vptig5mg6zh51.png?width=1051&format=png&auto=webp&s=b5fdc241cb9b6f5b495173667619f8d2c93371ca

BlockFi

BlockFi (Crunchbase) is the leader in this category (at least in the West). They are well-capitalized. In August 2019, they raised $18.3M in their Series A. In Feb 2020, they raised $30M in their Series B. In that same time period, they went from $250M in assets under management to $650M. In a recent blog post, they announced that they saw a 100% revenue increase in Q2 and that they were on track to do $50M in revenue this year. Their growth is impressive.
BlockFi did not do an ICO, unlike Celsius, Nexo, Salt, and Cred. BlockFi has a lot of institutional backing so it is perceived as the most reputable in the space. BlockFi started with borrowing — allowing users to leverage their crypto as collateral and taking out a loan against it. They later got into Earning — allowing users to deposit assets and earn interest on it. They recently expanded their service to “exchange” functionality and say they are coming out with a credit card later this year.

https://preview.redd.it/byv2tbui6zh51.png?width=800&format=png&auto=webp&s=bac080dcfc85e89574c30dfb396db0b537d46706
Security Woes
It’s incredible that BlockFi has been able to see such strong growth despite their numerous product and security woes. A few months ago, their systems were compromised. A hacker was able to access confidential data, such as names, dates of birth, postal addresses, and activity histories. While no funds were lost, this was a massive embarrassment and caused reputational damage.

https://preview.redd.it/lwmxbz5l6zh51.png?width=606&format=png&auto=webp&s=ebd8e6e5c31c56da055824254b35b218b49f80e0
Unrelated to that massive security breach and earlier in the year, a user discovered a major bug that allowed him to send the same funds to himself over and over again, ultimately accumulating more than a million dollars in his BlockFi account. BlockFi fortunately caught him just before withdrawal.
Poor Product Execution
Beyond their poor security — which they are now trying to get serious about — their products are notoriously buggy and hard-to-use. I borrowed from them a year ago and used their interest account product until very recently. I have first-hand experience of how painful it is. But don’t take my word for it… here are just a few tweets from customers just recently.

https://preview.redd.it/wcqu3icn6zh51.png?width=1055&format=png&auto=webp&s=870e2f06a6ec377a87e5d6d1f24579a901de66b5
For a while, their interest-earning product had a completely different authentication system than their loan product (users had two sets of usernames/passwords). Many people have had issues with withdrawals. The app is constantly logging people out, blank screens, ugly error messages. Emails with verification codes are sometimes delayed by hours (or days). I do wonder if their entire app has been outsourced. The sloppiness shines through.
Not only is their product buggy and UX confusing, but their branding & design is quite weak. To the left is a t-shirt they once sent me. It looks like they just found a bunch of quirky fonts, added their name, and slapped it on a t-shirt.

https://preview.redd.it/mi6yeppp6zh51.png?width=600&format=png&auto=webp&s=fd4cd8201ad0d5bc667498096388377895b72953
Culture
To the innocent bystander, many of these issues seem totally fixable. They could hire an amazing design agency to completely revamp their product or brand. They could hire a mercenary group of engineers to fix their bugs, etc. While it could stop the bleeding for a time, it may not solve the underlying issues. Years of sloppy product execution represents something much more destructive. It represents a top-down mentality that shipping anything other than excellence is okay: product experience doesn’t matter; design doesn’t matter; craftsmanship doesn’t matter; strong execution doesn’t matter; precision doesn’t matter. That’s very different from our culture at Genesis Block.
This cancerous mentality rarely stays contained within product & engineering — this leaks to all parts of the organization. No design agency or consulting firm will fix some of the pernicious values of a company’s soul. These are deeper issues that only leadership can course-correct.
If BlockFi’s sloppiness were due to constant experimentation, iteration, shipping, or some “move fast and break things” hacker culture… like Binance… I would probably cut them more slack. But there is zero evidence of that. “Move fast and break things” is always scary when dealing with financial products. But in BlockFi’s case, when it’s more like “move slow and break things,” they are really playing with fire. Next time a massive security breach occurs, like what happened earlier this year, they may not be so lucky.
Institutional Focus
Based on who is on their team, their poor product execution shouldn’t be a surprise. Their team comes mostly from Wall Street, not the blockchain community (where our roots are). Most of BlockFi’s blockchain/crypto integration is very superficial. They take crypto assets as deposits, but they aren’t leveraging any of the exciting, low-level DeFi protocols like we are.
While their Wall Street heritage isn’t doing them any favors on the product/tech side, it’s served them very well on winning institutional clients. This is perhaps their greatest strength. BlockFi has a strong institutional business. They recently brought on Three Arrows Capital as a strategic investor — a crypto hedge fund who does a lot of borrowing. In that announcement, BlockFi’s founder said that bringing them on “aligns well with our focus on international expansion of our institutional services offering.” They also recently brought someone on who will lead business development in Asia among institutional clients.
BlockFi Wrap Up
There are certainly BlockFi features that overlap with Genesis Block’s offering. It’s possible that they are angling to become the bank of the future. However, they simply have not proven they are capable of designing, building, and launching world-class consumer products. They’ve constantly had issues around security and poor product execution. Their company account and their founder’s account seem to only tweet about Bitcoin. I don’t think they understand, appreciate, or value the power of DeFi. It’s unlikely they’ll be leveraging it any time soon. All of these reasons are why I don’t see them as a serious threat to Genesis Block.
However, because of their strong institutional offering, I hope that Genesis Block will ultimately have a very collaborative and productive partnership with them. Assuming they figure out their security woes, we could park some of our funds with BlockFi (just as we will with Genesis Capital and others). I think what’s likely to happen is that we’ll corner the consumer market and we’ll work closely with BlockFi on the institutional side.
I’ve been hard on BlockFi because I care. I think they have a great opportunity at helping elevate the entire industry in a positive way. But they have a lot of issues they need to work through. I really don’t want to see users lose millions of dollars in a security breach. It could set back the entire industry. But if they do things well… a rising tide lifts all boats.

Honorable Mentions

Celsius (ICO Drops) raised $50M in an ICO, and is led by serial entrepreneur Alex Mashinsky. I’ve met him, he’s a nice guy. Similar to Binance, their biggest Achilles heel could be their own token. There are also a lot of unanswered questions about where their deposits go. They don’t have a record of great transparency. They recently did a public crowdraise which is a little odd given their large ICO as well as their supposed $1B in deposits. Are they running out of money, as some suggest? Unclear. One of their biggest blindspots right now is that Mashinsky does not understand the power of DeFi. He is frequently openly criticizing it.
Nexo (ICO Drops) is another similar service. They are European-based, trying to launch their own card (though they’ve been saying this forever and they still haven’t shipped it), and have a history in the payments/fintech space. Because they haven’t penetrated the US — which is a much harder regulatory nut to crack — they are unlikely to be as competitive as BlockFi. There were also allegations that Nexo was spreading FUD about Chainlink while simultaneously partnering with them. Did Nexo take out a short position and start spreading rumors? Never a dull moment in crypto.
Other players in the lending & borrowing space include Unchained Capital, Cred (ICO Drops), and Salt (ICO Drops).

https://preview.redd.it/9ts6m0qw6zh51.png?width=1056&format=png&auto=webp&s=dd8d368c1aa39994c6bc5e4baec10678d3bbba2d

Wrap Up

While many companies in this category seem to be slowly adding more financial services, I don’t believe any of them are focused on the broader consumer market like we are. To use services like BlockFi, Nexo, or Celsius, users need to be onboarded and educated on how crypto works. At Genesis Block, we don’t believe that’s the winning approach. We think blockchain complexity should be abstracted away from the end-user. We did an entire series about this, Spreading Crypto.
For many of these services, there is additional friction due to ICO tokens that are forcefully integrated into the product (see NEXO token or CEL Token). None of these services have true banking functionality or integration with traditional finance —for example, easy offramp or spending methods like debit cards. None of them are taking DeFi seriously — they are leveraging crypto for only the asset class, not the underlying technology around financial protocols.
So are these companies potential competitors to Genesis Block? For the crypto crowd, yes. For the mass market, no. None of these companies are capable of reaching the billions of people around the world that we hope to reach at Genesis Block.
------
Other Ways to Consume Today's Episode:
Follow our social channels: https://genesisblock.com/follow/
Download the app. We're a digital bank that's powered by crypto: https://genesisblock.com/download
submitted by mickhagen to genesisblockhq [link] [comments]

Crypto Banking Wars: Will Coinbase or Binance Become The Bank of The Future?

Crypto Banking Wars: Will Coinbase or Binance Become The Bank of The Future?
Can the early success of major crypto exchanges propel them to winning the broader consumer finance market?
https://reddit.com/link/i48t4q/video/v4eo10gom7f51/player
This is the first part of Crypto Banking Wars — a new series that examines what crypto-native company is most likely to become the bank of the future. Who is best positioned to reach mainstream adoption in consumer finance?
While crypto allows the world to get rid of banks, a bank will still very much be necessary for this powerful technology to reach the masses. We believe a crypto-native company, like Genesis Block, will become the bank of the future.
In an earlier series, Crypto-Powered, we laid out arguments for why crypto-native companies have a huge edge in the market. When you consider both the broad spectrum of financial use-cases and the enormous value unlocked through these DeFi protocols, you can see just how big of an unfair advantage blockchain tech becomes for companies who truly understand and leverage it. Traditional banks and fintech unicorns simply won’t be able to keep up.
The power players of consumer finance in the 21st century will be crypto-native companies who build with blockchain technology at their core.
The crypto landscape is still nascent. We’re still very much in the fragmented, unbundled phase of the industry lifecycle. Beyond what Genesis Block is doing, there are signs of other companies slowly starting to bundle financial services into what could be an all-in-one bank replacement.
So the key question that this series hopes to answer:
Which crypto-native company will successfully become the bank of the future?
We obviously think Genesis Block is well-positioned to win. But we certainly aren’t the only game in town. In this series, we’ll be doing an analysis of who is most capable of thwarting our efforts. We’ll look at categories like crypto exchanges, crypto wallets, centralized lending & borrowing services, and crypto debit card companies. Each category will have its own dedicated post.
Today we’re analyzing big crypto exchanges. The two companies we’ll focus on today are Coinbase (biggest American exchange) and Binance (biggest global exchange). They are the top two exchanges in terms of Bitcoin trading volume. They are in pole position to winning this market — they have a huge existing userbase and strong financial resources.
Will Coinbase or Binance become the bank of the future? Can their early success propel them to winning the broader consumer finance market? Is their growth too far ahead for anyone else to catch up? Let’s dive in.
https://preview.redd.it/lau4hevpm7f51.png?width=800&format=png&auto=webp&s=2c5de1ba497199f36aa194e5809bd86e5ab533d8

Binance

The most formidable exchange on the global stage is Binance (Crunchbase). All signs suggest they have significantly more users and a stronger balance sheet than Coinbase. No other exchange is executing as aggressively and relentlessly as Binance is. The cadence at which they are shipping and launching new products is nothing short of impressive. As Tushar Jain from Multicoin argues, Binance is Blitzscaling.
Here are some of the products that they’ve launched in the last 18 months. Only a few are announced but still pre-launch.
Binance is well-positioned to become the crypto-powered, all-in-one, bundled solution for financial services. They already have so many of the pieces. But the key question is:
Can they create a cohesive & united product experience?

Binance Weaknesses

Binance is strong, but they do have a few major weaknesses that could slow them down.
  1. Traders & Speculators Binance is currently very geared for speculators, traders, and financial professionals. Their bread-and-butter is trading (spot, margin, options, futures). Their UI is littered with depth charts, order books, candlesticks, and other financial concepts that are beyond the reach of most normal consumers. Their product today is not at all tailored for the broader consumer market. Given Binance’s popularity and strength among the pro audience, it’s unlikely that they will dumb down or simplify their product any time soon. That would jeopardize their core business. Binance will likely need an entirely new product/brand to go beyond the pro user crowd. That will take time (or an acquisition). So the question remains, is Binance even interested in the broader consumer market? Or will they continue to focus on their core product, the one-stop-shop for pro crypto traders?
  2. Controversies & Hot Water Binance has had a number of controversies. No one seems to know where they are based — so what regulatory agencies can hold them accountable? Last year, some sensitive, private user data got leaked. When they announced their debit card program, they had to remove mentions of Visa quickly after. And though the “police raid” story proved to be untrue, there are still a lot of questions about what happened with their Shanghai office shut down (where there is smoke, there is fire). If any company has had a “move fast and break things” attitude, it is Binance. That attitude has served them well so far but as they try to do business in more regulated countries like America, this will make their road much more difficult — especially in the consumer market where trust takes a long time to earn, but can be destroyed in an instant. This is perhaps why the Binance US product is an empty shell when compared to their main global product.
  3. Disjointed Product Experience Because Binance has so many different teams launching so many different services, their core product is increasingly feeling disjointed and disconnected. Many of the new features are sloppily integrated with each other. There’s no cohesive product experience. This is one of the downsides of executing and shipping at their relentless pace. For example, users don’t have a single wallet that shows their balances. Depending on if the user wants to do spot trading, margin, futures, or savings… the user needs to constantly be transferring their assets from one wallet to another. It’s not a unified, frictionless, simple user experience. This is one major downside of the “move fast and break things” approach.
  4. BNB token Binance raised $15M in a 2017 ICO by selling their $BNB token. The current market cap of $BNB is worth more than $2.6B. Financially this token has served them well. However, given how BNB works (for example, their token burn), there are a lot of open questions as to how BNB will be treated with US security laws. Their Binance US product so far is treading very lightly with its use of BNB. Their token could become a liability for Binance as it enters more regulated markets. Whether the crypto community likes it or not, until regulators get caught up and understand the power of decentralized technology, tokens will still be a regulatory burden — especially for anything that touches consumers.
  5. Binance Chain & Smart Contract Platform Binance is launching its own smart contract platform soon. Based on compatibility choices, they have their sights aimed at the Ethereum developer community. It’s unclear how easy it’ll be to convince developers to move to Binance chain. Most of the current developer energy and momentum around smart contracts is with Ethereum. Because Binance now has their own horse in the race, it’s unlikely they will ever decide to leverage Ethereum’s DeFi protocols. This could likely be a major strategic mistake — and hubris that goes a step too far. Binance will be pushing and promoting protocols on their own platform. The major risk of being all-in on their own platform is that they miss having a seat on the Ethereum rocket ship — specifically the growth of DeFi use-cases and the enormous value that can be unlocked. Integrating with Ethereum’s protocols would be either admitting defeat of their own platform or competing directly against themselves.

Binance Wrap Up

I don’t believe Binance is likely to succeed with a homegrown product aimed at the consumer finance market. Their current product — which is focused heavily on professional traders and speculators — is unlikely to become the bank of the future. If they wanted to enter the broader consumer market, I believe it’s much more likely that they will acquire a company that is getting early traction. They are not afraid to make acquisitions (Trust, JEX, WazirX, DappReview, BxB, CoinMarketCap, Swipe).
However, never count CZ out. He is a hustler. Binance is executing so aggressively and relentlessly that they will always be on the shortlist of major contenders.
https://preview.redd.it/mxmlg1zqm7f51.png?width=800&format=png&auto=webp&s=2d900dd5ff7f3b00df5fe5a48305d57ebeffaa9a

Coinbase

The crypto-native company that I believe is more likely to become the bank of the future is Coinbase (crunchbase). Their dominance in America could serve as a springboard to winning the West (Binance has a stronger foothold in Asia). Coinbase has more than 30M users. Their exchange business is a money-printing machine. They have a solid reputation as it relates to compliance and working with regulators. Their CEO is a longtime member of the crypto community. They are rumored to be going public soon.

Coinbase Strengths

Let’s look at what makes them strong and a likely contender for winning the broader consumer finance market.
  1. Different Audience, Different Experience Coinbase has been smart to create a unique product experience for each audience — the pro speculator crowd and the common retail user. Their simple consumer version is at Coinbase.com. That’s the default. Their product for the more sophisticated traders and speculators is at Coinbase Pro (formerly GDAX). Unlike Binance, Coinbase can slowly build out the bank of the future for the broad consumer market while still having a home for their hardcore crypto traders. They aren’t afraid to have different experiences for different audiences.
  2. Brand & Design Coinbase has a strong product design team. Their brand is capable of going beyond the male-dominated crypto audience. Their product is clean and simple — much more consumer-friendly than Binance. It’s clear they spend a lot of time thinking about their user experience. Interacting directly with crypto can sometimes be rough and raw (especially for n00bs). When I was at Mainframe we hosted a panel about Crypto UX challenges at the DevCon4 Dapp Awards. Connie Yang (Head of Design at Coinbase) was on the panel. She was impressive. Some of their design philosophies will bode well as they push to reach the broader consumer finance market.
  3. USDC Stablecoin Coinbase (along with Circle) launched USDC. We’ve shared some stats about its impressive growth when we discussed DeFi use-cases. USDC is quickly becoming integrated with most DeFi protocols. As a result, Coinbase is getting a front-row seat at some of the most exciting things happening in decentralized finance. As Coinbase builds its knowledge and networks around these protocols, it could put them in a favorable position to unlock incredible value for their users.
  4. Early Signs of Bundling Though Coinbase has nowhere near as many products & services as Binance, they are slowly starting to add more financial services that may appeal to the broader market. They are now letting depositors earn interest on USDC (also DAI & Tezos). In the UK they are piloting a debit card. Users can now invest in crypto with dollar-cost-averaging. It’s not much, but it’s a start. You can start to see hints of a more bundled solution around financial services.

Coinbase Weaknesses

Let’s now look at some things that could hold them back.
  1. Slow Cadence In the fast-paced world of crypto, and especially when compared to Binance, Coinbase does not ship very many new products very often. This is perhaps their greatest weakness. Smaller, more nimble startups may run circles around them. They were smart to launch Coinbase Ventures where tey invest in early-stage startups. They can now keep an ear to the ground on innovation. Perhaps their cadence is normal for a company of their size — but the Binance pace creates quite the contrast.
  2. Lack of Innovation When you consider the previous point (slow cadence), it’s unclear if Coinbase is capable of building and launching new products that are built internally. Most of their new products have come through acquisitions. Their Earn.com acquisition is what led to their Earn educational product. Their acquisition of Xapo helped bolster their institutional custody offering. They acqui-hired a team to help launch their staking infrastructure. Their acquisition of Cipher Browser became an important part of Coinbase Wallet. And recently, they acquired Tagomi — a crypto prime brokerage. Perhaps most of Coinbase’s team is just focused on improving their golden goose, their exchange business. It’s unclear. But the jury is still out on if they can successfully innovate internally and launch any homegrown products.
  3. Talent Exodus There have been numerous reports of executive turmoil at Coinbase. It raises a lot of questions about company culture and vision. Some of the executives who departed include COO Asiff Hirji, CTO Balaji Srinivasan, VP & GM Adam White, VP Eng Tim Wagner, VP Product Jeremy Henrickson, Sr Dir of Eng Namrata Ganatra, VP of Intl Biz Dan Romero, Dir of Inst Sales Christine Sandler, Head of Trading Hunter Merghart, Dir Data Science Soups Ranjan, Policy Lead Mike Lempres, Sr Compliance Vaishali Mehta. Many of these folks didn’t stay with Coinbase very long. We don’t know exactly why it’s happening —but when you consider a few of my first points (slow cadence, lack of innovation), you have to wonder if it’s all related.
  4. Institutional Focus As a company, we are a Coinbase client. We love their institutional offering. It’s clear they’ve been investing a lot in this area. A recent Coinbase blog post made it clear that this has been a focus: “Over the past 12 months, Coinbase has been laser-focused on building out the types of features and services that our institutional customers need.” Their Tagomi acquisition only re-enforced this focus. Perhaps this is why their consumer product has felt so neglected. They’ve been heavily investing in their institutional services since May 2018. For a company that’s getting very close to an IPO, it makes sense that they’d focus on areas that present strong revenue opportunities — as they do with institutional clients. Even for big companies like Coinbase, it’s hard to have a split focus. If they are “laser-focused” on the institutional audience, it’s unlikely they’ll be launching any major consumer products anytime soon.

Coinbase Wrap Up

At Genesis Block, we‘re proud to be working with Coinbase. They are a fantastic company. However, I don’t believe that they’ll succeed in building their own product for the broader consumer finance market. While they have incredible design, there are no signs that they are focused on or capable of internally building this type of product.
Similar to Binance, I think it’s far more likely that Coinbase acquires a promising young startup with strong growth.

Honorable Mentions

Other US-based exchanges worth mentioning are Kraken, Gemini, and Bittrex. So far we’ve seen very few signs that any of them will aggressively attack broader consumer finance. Most are going in the way of Binance — listing more assets and adding more pro tools like margin and futures trading. And many, like Coinbase, are trying to attract more institutional customers. For example, Gemini with their custody product.

Wrap Up

Coinbase and Binance have huge war chests and massive reach. For that alone, they should always be considered threats to Genesis Block. However, their products are very, very different than the product we’re building. And their approach is very different as well. They are trying to educate and onboard people into crypto. At Genesis Block, we believe the masses shouldn’t need to know or care about it. We did an entire series about this, Spreading Crypto.
Most everyone needs banking — whether it be to borrow, spend, invest, earn interest, etc. Not everyone needs a crypto exchange. For non-crypto consumers (the mass market), the differences between a bank and a crypto exchange are immense. Companies like Binance and Coinbase make a lot of money on their crypto exchange business. It would be really difficult, gutsy, and risky for any of them to completely change their narrative, messaging, and product to focus on the broader consumer market. I don’t believe they would ever risk biting the hand that feeds them.
In summary, as it relates to a digital bank aimed at the mass market, I believe both Coinbase and Binance are much more likely to acquire a startup in this space than they are to build it themselves. And I think they would want to keep the brand/product distinct and separate from their core crypto exchange business.
So back to the original question, is Coinbase and Binance a threat to Genesis Block? Not really. Not today. But they could be, and for that, we want to stay close to them.
------
Other Ways to Consume Today's Episode:
Follow our social channels: https://genesisblock.com/follow/
Download the app. We're a digital bank that's powered by crypto: https://genesisblock.com/download
submitted by mickhagen to genesisblockhq [link] [comments]

Crypto-Powered - The Most Promising Use-Cases of Decentralized Finance (DeFi)

Crypto-Powered - The Most Promising Use-Cases of Decentralized Finance (DeFi)
A whirlwind tour of Defi, paying close attention to protocols that we’re leveraging at Genesis Block.
https://reddit.com/link/hrrt21/video/cvjh5rrh12b51/player
This is the third post of Crypto-Powered — a new series that examines what it means for Genesis Block to be a digital bank that’s powered by crypto, blockchain, and decentralized protocols.
Last week we explored how building on legacy finance is a fool’s errand. The future of money belongs to those who build with crypto and blockchain at their core. We also started down the crypto rabbit hole, introducing Bitcoin, Ethereum, and DeFi (decentralized finance). That post is required reading if you hope to glean any value from the rest of this series.
97% of all activity on Ethereum in the last quarter has been DeFi-related. The total value sitting inside DeFi protocols is roughly $2B — double what it was a month ago. The explosive growth cannot be ignored. All signs suggest that Ethereum & DeFi are a Match Made in Heaven, and both on their way to finding strong product/market fit.
So in this post, we’re doing a whirlwind tour of DeFi. We look at specific examples and use-cases already in the wild and seeing strong growth. And we pay close attention to protocols that Genesis Block is integrating with. Alright, let’s dive in.

Stablecoins

Stablecoins are exactly what they sound like: cryptocurrencies that are stable. They are not meant to be volatile (like Bitcoin). These assets attempt to peg their price to some external reference (eg. USD or Gold). A non-volatile crypto asset can be incredibly useful for things like merchant payments, cross-border transfers, or storing wealth — becoming your own bank but without the stress of constant price volatility.
There are major governments and central banks that are experimenting with or soon launching their own stablecoins like China with their digital yuan and the US Federal Reserve with their digital dollar. There are also major corporations working in this area like JP Morgan with their JPM Coin, and of course Facebook with their Libra Project.
Stablecoin activity has grown 800% in the last year, with $290B of transaction volume (funds moving on-chain).
The most popular USD-pegged stablecoins include:
  1. Tether ($10B): It’s especially popular in Asia. It’s backed by USD in a bank account. But given their lack of transparency and past controversies, they generally aren’t trusted as much in the West.
  2. USDC ($1B): This is the most reputable USD-backed stablecoin, at least in the West. It was created by Coinbase & Circle, both well-regarded crypto companies. They’ve been very open and transparent with their audits and bank records.
  3. DAI ($189M): This is backed by other crypto assets — not USD in a bank account. This was arguably the first true DeFi protocol. The big benefit is that it’s more decentralized — it’s not controlled by any single organization. The downside is that the assets backing it can be volatile crypto assets (though it has mechanisms in place to mitigate that risk).
Other notable USD-backed stablecoins include PAX, TrueUSD, Binance USD, and Gemini Dollar.
tablecoins are playing an increasingly important role in the world of DeFi. In a way, they serve as common pipes & bridges between the various protocols.
https://preview.redd.it/v9ki2qro12b51.png?width=700&format=png&auto=webp&s=dbf591b122fc4b3d83b381389145b88e2505b51d

Lending & Borrowing

Three of the top five DeFi protocols relate to lending & borrowing. These popular lending protocols look very similar to traditional money markets. Users who want to earn interest/yield can deposit (lend) their funds into a pool of liquidity. Because it behaves similarly to traditional money markets, their funds are not locked, they can withdraw at any time. It’s highly liquid.
Borrowers can tap into this pool of liquidity and take out loans. Interest rates depend on the utilization rate of the pool — how much of the deposits in the pool have already been borrowed. Supply & demand. Thus, interest rates are variable and borrowers can pay their loans back at any time.
So, who decides how much a borrower can take? What’s the process like? Are there credit checks? How is credit-worthiness determined?
These protocols are decentralized, borderless, permissionless. The people participating in these markets are from all over the world. There is no simple way to verify identity or check credit history. So none of that happens.
Credit-worthiness is determined simply by how much crypto collateral the borrower puts into the protocol. For example, if a user wants to borrow $5k of USDC, then they’ll need to deposit $10k of BTC or ETH. The exact amount of collateral depends on the rules of the protocol — usually the more liquid the collateral asset, the more borrowing power the user can receive.
The most prominent lending protocols include Compound, Aave, Maker, and Atomic Loans. Recently, Compound has seen meteoric growth with the introduction of their COMP token — a token used to incentivize and reward participants of the protocol. There’s almost $1B in outstanding debt in the Compound protocol. Mainframe is also working on an exciting protocol in this area and the latest iteration of their white paper should be coming out soon.
There is very little economic risk to these protocols because all loans are overcollateralized.
I repeat, all loans are overcollateralized. If the value of the collateral depreciates significantly due to price volatility, there are sophisticated liquidation systems to ensure the loan always gets paid back.
https://preview.redd.it/rru5fykv12b51.png?width=700&format=png&auto=webp&s=620679dd84fca098a042051c7e7e1697be8dd259

Investments

Buying, selling, and trading crypto assets is certainly one form of investing (though not for the faint of heart). But there are now DeFi protocols to facilitate making and managing traditional-style investments.
Through DeFi, you can invest in Gold. You can invest in stocks like Amazon and Apple. You can short Tesla. You can access the S&P 500. This is done through crypto-based synthetics — which gives users exposure to assets without needing to hold or own the underlying asset. This is all possible with protocols like UMA, Synthetix, or Market protocol.
Maybe your style of investing is more passive. With PoolTogether , you can participate in a no-loss lottery.
Maybe you’re an advanced trader and want to trade options or futures. You can do that with DeFi protocols like Convexity, Futureswap, and dYdX. Maybe you live on the wild side and trade on margin or leverage, you can do that with protocols like Fulcrum, Nuo, and DDEX. Or maybe you’re a degenerate gambler and want to bet against Trump in the upcoming election, you can do that on Augur.
And there are plenty of DeFi protocols to help with crypto investing. You could use Set Protocol if you need automated trading strategies. You could use Melonport if you’re an asset manager. You could use Balancer to automatically rebalance your portfolio.
With as little as $1, people all over the world can have access to the same investment opportunities and tools that used to be reserved for only the wealthy, or those lucky enough to be born in the right country.
You can start to imagine how services like Etrade, TD Ameritrade, Schwab, and even Robinhood could be massively disrupted by a crypto-native company that builds with these types of protocols at their foundation.
https://preview.redd.it/agco8msx12b51.png?width=700&format=png&auto=webp&s=3bbb595f9ecc84758d276dbf82bc5ddd9e329ff8

Insurance

As mentioned in our previous post, there are near-infinite applications one can build on Ethereum. As a result, sometimes the code doesn’t work as expected. Bugs get through, it breaks. We’re still early in our industry. The tools, frameworks, and best practices are all still being established. Things can go wrong.
Sometimes the application just gets in a weird or bad state where funds can’t be recovered — like with what happened with Parity where $280M got frozen (yes, I lost some money in that). Sometimes, there are hackers who discover a vulnerability in the code and maliciously steal funds — like how dForce lost $25M a few months ago, or how The DAO lost $50M a few years ago. And sometimes the system works as designed, but the economic model behind it is flawed, so a clever user takes advantage of the system— like what recently happened with Balancer where they lost $500k.
There are a lot of risks when interacting with smart contracts and decentralized applications — especially for ones that haven’t stood the test of time. This is why insurance is such an important development in DeFi.
Insurance will be an essential component in helping this technology reach the masses.
Two protocols that are leading the way on DeFi insurance are Nexus Mutual and Opyn. Though they are both still just getting started, many people are already using them. And we’re excited to start working with them at Genesis Block.
https://preview.redd.it/wf1xvq3z12b51.png?width=700&format=png&auto=webp&s=70db1e9587f57d0c470a4f9f4523c216929e1876

Exchanges & Liquidity

Decentralized Exchanges (DEX) were one of the first and most developed categories in DeFi. A DEX allows a user to easily exchange one crypto asset for another crypto asset — but without needing to sign up for an account, verify identity, etc. It’s all via decentralized protocols.
Within the first 5 months of 2020, the top 7 DEX already achieved the 2019 trading volume. That was $2.5B. DeFi is fueling a lot of this growth.
https://preview.redd.it/1dwvq4e022b51.png?width=700&format=png&auto=webp&s=97a3d756f60239cd147031eb95fc2a981db55943
There are many different flavors of DEX. Some of the early ones included 0x, IDEX, and EtherDelta — all of which had a traditional order book model where buyers are matched with sellers.
Another flavor is the pooled liquidity approach where the price is determined algorithmically based on how much liquidity there is and how much the user wants to buy. This is known as an AMM (Automated Market Maker) — Uniswap and Bancor were early leaders here. Though lately, Balancer has seen incredible growth due mostly to their strong incentives for participation — similar to Compound.
There are some DEXs that are more specialized — for example, Curve and mStable focus mostly only stablecoins. Because of the proliferation of these decentralized exchanges, there are now aggregators that combine and connect the liquidity of many sources. Those include Kyber, Totle, 1Inch, and Dex.ag.
These decentralized exchanges are becoming more and more connected to DeFi because they provide an opportunity for yield and earning interest.
Users can earn passive income by supplying liquidity to these markets. It usually comes in the form of sharing transaction fee revenue (Uniswap) or token rewards (Balancer).
https://preview.redd.it/wrug6lg222b51.png?width=700&format=png&auto=webp&s=9c47a3f2e01426ca87d84b92c1e914db39ff773f

Payments

As it relates to making payments, much of the world is still stuck on plastic cards. We’re grateful to partner with Visa and launch the Genesis Block debit card… but we still don’t believe that's the future of payments. We see that as an important bridge between the past (legacy finance) and the future (crypto).
Our first post in this series shared more on why legacy finance is broken. We talked about the countless unnecessary middle-men on every card swipe (merchant, acquiring bank, processor, card network, issuing bank). We talked about the slow settlement times.
The future of payments will be much better. Yes, it’ll be from a mobile phone and the user experience will be similar to ApplePay (NFC) or WePay (QR Code).
But more importantly, the underlying assets being moved/exchanged will all be crypto — digital, permissionless, and open source.
Someone making a payment at the grocery store check-out line will be able to open up Genesis Block, use contactless tech or scan a QR code, and instantly pay for their goods. All using crypto. Likely a stablecoin. Settlement will be instant. All the middlemen getting their pound of flesh will be disintermediated. The merchant can make more and the user can spend less. Blockchain FTW!
Now let’s talk about a few projects working in this area. The xDai Burner Wallet experience was incredible at the ETHDenver event a few years ago, but that speed came at the expense of full decentralization (can it be censored or shut down?). Of course, Facebook’s Libra wants to become the new standard for global payments, but many are afraid to give Facebook that much control (newsflash: it isn’t very decentralized).
Bitcoin is decentralized… but it’s slow and volatile. There are strong projects like Lightning Network (Zap example) that are still trying to make it happen. Projects like Connext and OmiseGo are trying to help bring payments to Ethereum. The Flexa project is leveraging the gift card rails, which is a nice hack to leverage existing pipes. And if ETH 2.0 is as fast as they say it will be, then the future of payments could just be a stablecoin like DAI (a token on Ethereum).
In a way, being able to spend crypto on daily expenses is the holy grail of use-cases. It’s still early. It hasn’t yet been solved. But once we achieve this, then we can ultimately and finally say goodbye to the legacy banking & finance world. Employees can be paid in crypto. Employees can spend in crypto. It changes everything.
Legacy finance is hanging on by a thread, and it’s this use-case that they are still clinging to. Once solved, DeFi domination will be complete.
https://preview.redd.it/svft1ce422b51.png?width=700&format=png&auto=webp&s=9a6afc9e9339a3fec29ee2ae743c07c3042ea4ce

Impact on Genesis Block

At Genesis Block, we’re excited to leverage these protocols and take this incredible technology to the world. Many of these protocols are already deeply integrated with our product. In fact, many are essential. The masses won’t know (or care about) what Tether, USDC, or DAI is. They think in dollars, euros, pounds and pesos. So while the user sees their local currency in the app, the underlying technology is all leveraging stablecoins. It’s all on “crypto rails.”
https://preview.redd.it/jajzttr622b51.png?width=700&format=png&auto=webp&s=fcf55cea1216a1d2fcc3bf327858b009965f9bf8
When users deposit assets into their Genesis Block account, they expect to earn interest. They expect that money to grow. We leverage many of these low-risk lending/exchange DeFi protocols. We lend into decentralized money markets like Compound — where all loans are overcollateralized. Or we supply liquidity to AMM exchanges like Balancer. This allows us to earn interest and generate yield for our depositors. We’re the experts so our users don’t need to be.
We haven’t yet integrated with any of the insurance or investment protocols — but we certainly plan on it. Our infrastructure is built with blockchain technology at the heart and our system is extensible — we’re ready to add assets and protocols when we feel they are ready, safe, secure, and stable. Many of these protocols are still in the experimental phase. It’s still early.
At Genesis Block we’re excited to continue to be at the frontlines of this incredible, innovative, technological revolution called DeFi.
---
None of these powerful DeFi protocols will be replacing Robinhood, SoFi, or Venmo anytime soon. They never will. They aren’t meant to! We’ve discussed this before, these are low-level protocols that need killer applications, like Genesis Block.
So now that we’ve gone a little deeper down the rabbit hole and we’ve done this whirlwind tour of DeFi, the natural next question is: why?
Why does any of it matter?
Most of these financial services that DeFi offers already exist in the real world. So why does it need to be on a blockchain? Why does it need to be decentralized? What new value is unlocked? Next post, we answer these important questions.
To look at more projects in DeFi, check out DeFi Prime, DeFi Pulse, or Consensys.
------
Other Ways to Consume Today's Episode:
Follow our social channels:https://genesisblock.com/follow/
Download the app. We're a digital bank that's powered by crypto:https://genesisblock.com/download
submitted by mickhagen to genesisblockhq [link] [comments]

Equilibrium May Summary

In spite of quarantines and worldwide slowdown, Equilibrium has kept up to speed in May. We were active with PR in several podcasts and an AMA. Our governance system is developing fast, with numerous top names joining the system. We have launched our staking pool, a powerful instrument that offers users passive income. Finally, we are excited to have launched the Equilibrium testing team, in which you, our community, take the lead role!

Launch of our staking pool

Our staking pool lets you earn predictable interest on EOS and NUT, and now, also on EOSDT. The interest rate earned on EOSDT depends on the total amount of EOSDT already staked to the contract, the fee sent to the smart contract, the total outstanding EOSDT, and the amount of EOSDT the user deposits to the staking pool. The more EOSDT you stake, the more interest you earn on it. You can read about examples of how you can predict your earnings here.

Major industry players join our governance

Several major players have joined Equilibrium’s governance system. They include: Binance, eosfinex, EOS Nation and EOS Cannon. Each of these well-known companies are now part of the approval process for EOSDT contracts before those contracts are released. The smart contracts behind EOS-based DeFi applications are changeable and upgradeable for the sake of future-proofing these services. Thanks to this feature of EOSIO, DApp upgrades can happen seamlessly without requiring painful migrations to a completely new set of contracts as is the case on other platforms like Ethereum. Equilibrium’s governance system only allows code to be updated if there are multiparty signatories. This is key to ensure decentralization and prevent a single point of failure. We are honored to welcome such prominent participants to our ecosystem.

AMA Session with MyKey wallet on Bihu

MyKey wallet invited our CEO Alex Melikhov to feature one of our top innovations: “DeFi Hub in your crypto wallet: multiple options to get passive income”. As you know if you own EOSDT, letting your money work for you is one of our main advantages. There are several ways to do this. You can read about lending to earn passive yield on the Equilibrium website.

Q&A with the pTokens community

In another media event, Alex Melikhov met with the pTokens(pBTC) community for a podcast. pTokens are the ERC-20 token version of other, non-Ethereum blockchain currencies that enable liquidity to freely move from one blockchain to another. We have recently entered a cross-chain partnership with pTokens, launching support for Bitcoin collateral. Podcast topics included: the advantages of EOS as a platform for building high-powered DeFi apps above and beyond Ethereum, our plans for listings on major exchanges, and our stability fund, the first defi insurance policy to minimize user risk by guaranteeing funds. You can watch the podcast with pTokens here.

Podcast with Greymass

Yet another podcast with Greymass — a platform that curates world-class B2C experiences — featured Alex Melikhov on Equilibrium as the leading defi liquidity project on EOS. The discussion focused on our stablecoin as the key element in defi ecosystems, the advantages of staking for our tokenholders, Equilibrium’s growth in Asia and the geographical distribution of our clientele, offered a peak at new products including plans for our liquidity pool, and explained our innovative portfolio leveraging in one single transaction.

First governance proposal on Equilibrium

Equilibrium has now confirmed its first governance proposal, which has raised our stablecoin fee to 1,8% APR. Changes in stablecoin fees affect the supply side by targeting its generation and payback intensities, while the rewards from the EOSDT savings contract affect the demand side by offering a “risk-free” return on EOSDT’s stake. Defending the peg becomes especially important as Equilibrium prepares for forthcoming listings of EOSDT on major exchanges and the opening of new markets, which will increase liquidity and EOSDT trading volumes. This proposal is an important milestone for Equilibrium EOSDT because it marks a big step in the evolution of its decentralized governance process.

Equilibrium’s testing team

At Equilibrium, our most important collateral is our community. You are essential to the development of our ecosystem, and we want to have as much ‘end-user feedback’ as possible. That’s why we are calling for our community members to join the product testing team. If you would like to join, you can connect a wallet, test specific cases and workflows, the user-oriented Equilibrium.io DeFi hub (web application) — we’d love to get your feedback! — and create EOS/BTC positions. Find out how you can participate and earn NUT.
Source: https://medium.com/equilibrium-eosdt/equilibrium-may-summary-5f81f11566ef
submitted by BTCfan234 to eos [link] [comments]

Weekly Update: $PAR events galore, Parachute Treasure Hunt Winner, Arena Match Roadmap, SelfKey on ETHoutlet... – 18 Oct - 24 Oct'19

Weekly Update: $PAR events galore, Parachute Treasure Hunt Winner, Arena Match Roadmap, SelfKey on ETHoutlet... – 18 Oct - 24 Oct'19
Hiya folks! Long time since I shared a weekly update. Let's see if I can catch up with the latest in the next few days. Wish me luck. Here’s your week at Parachute + partners (18 Oct - 24 Oct'19):

This week’s Parena saw rageagainst take home a cool 50k $PAR by beating Ryan in a quick finale battle. The ParJar Battle Royale for our newest ParJar Pilot partners was this week. A ton of fun and a lot of $PAR (and $AMGO) tipped out. The official numbers of the $AMGO airdrop is out. The event which happened few weeks back saw 27k new ParJar wallets receiving the drop. Sweet! In this week’s TTR trivias, we saw 25k $PAR given out in MrPromise’s 10 question physics quiz, folks getting bamboozled in Charlotte’s Math trivia (10Qs, 2500 $PAR each), Doc Victor’s Video Games and War quiz seeing a participation frenzy for a 25k $PAR pot for 10 questions. Plus, Benjamin hosted a 10Q, 25k $PAR pot trivia based on the 2nd edition of the Parachute Post that he wrote. Even if you didn’t win, you definitely know more about Parachute and ParJar now. Thanks Ben!
Jose is making a Parachute CS map (de_parachute). Awesome! Gamers get ready
KellyBoy won 12,500 $PAR in Jason’s first ever raffle. Another first ever this week was Jason’s #WholesomeWed initiative: participants win $PAR for writing “about what they like about where they live”. Higher tips for photos, descriptions, stories, poems. Thank you Andy, Jason, Trojak, Nico B, Jeff Crypto, Gisele, Andhrew666, Reyna, Tavo (Gustavo), Cap, Zion, Lordhades, Marcos, Evangelina, Jose, Doc Victor, Saman, Richi, Shirin, Elena, Charlotte, Borna, Gl1tch, Bose Grace, Naya, Fadlan, Hanabi, dontouchscreen, Martha, Mariuska, Maiden, Jorge, Abdul, Labyb, CF (not Crypto French :p), Rin, Annerys, Mike India, Santhi, Adrian, Alexis, Frank, Glox, Muksin, Shaq Diesel, Alanys, Daniel, Brian, Yoleidis and Alejandro for the pictures! The Parachute Treasure Hunt finally has a winner. Congratulations to Justin Tobin for winning a boatload of crypto! Also, great teamwork by Harry, Edson, Unique, Reuben, Alimam and Doc Vic for getting the 2nd position. Two-for-Tuesday is back! This time in Parachute. This week’s theme was Rap/Reggae/Reggaeton. Super fun as always, Gian!
PARachuter lunch. PAR is everywhere #PARroundings. Pic courtesy: Sebastian
aXpire announced this week that they were joining the Oracle for Startups ecosystem. This initiative helps startups grow by leveraging Oracle’s PaaS and IaaS platforms. Watch the latest weekly update from Joakim by clicking here. The weekly 20k $AXPR burn can be tracked here. The team also opened up a question form for an AMA next month. Last week, we shared that $BAT is now tradeable/spendable/sendable on 2gether. Read more about it here. The latest feature in the app allows you check price history of cryptos. Neat! Participants of the Crypto Talent competition, don’t forget to check out Salva’s video on foundations of the economy. Founding Partner Luis Estrada will be speaking on AI, Cloud and BigData at the eShow in Madrid next week. Following and chatting options are now live in the WednesdayClub dApp. Noice! The latest WandX update covers developments from the strategic front, especially how the team is navigating the challenges of cross blockchain applications and regulations vis-à-vis Dex’es. As mentioned in the previous updates, XIO will not switch to Binance Chain and will continue to remain on Ethereum. Zachary explained in detail the events that lead to the decision in this article and video. There will still be a token swap but it will be an ERC20:ERC20 token swap to filter out inactive wallets. Details on how to do the swap will be shared in future updates. The first set of XIO incubated startups are also slated to be revealed soon. If you wish to receive regular XIO mailer updates, make sure to register as a Citizen here. Uber cool gif, Jimpanze! This week’s community discussions revolved around utility vs adoption, liquidity pool on Uniswap and multi-collateral XIO.
\"First sneak peek at some conceptual UI/UX of $XIO\". Nice!
$HYDRO is now tradeable on Liquid with a $BTC and $EUR pairing. Deploying Hydrogen’s PaaS for your fintech needs could lead to massive cost savings. Read more about it here. Dedicated socials and website for the Hydro Labs were launched this week. Plus, a Turkish blog. The team travelled to Montreal for Fintech Forum Canada and to Madrid for the BBVA Open Summit. Ahead of the 2019 Fintech Awards in which Hydro is a nominee, the project was covered in an article by Benzinga. And a cool shoutout from Bank Innovation. Hydrogen is also a finalist in the Most Innovative Banking Technology Provider category of the Banking Technology Awards 2019. Woohoo! Hydro's webinar on financial wellness happened this week. The Hydro 2FA solution is now integrated in the Barginex trading platform. A sweet bugfix bounty of $10k HYDRO got scooped up within a day of announcement. Click here to catch up on the latest ongoings on the dev front at Silent Notary. Tech nerds, have a read of Sentivate founder Thomas Marchi’s thoughts on QUIC, HTTP, UDSP and have a go at his riddle while you’re around. OST’s Pepo app launched on Product Hunt and app stores this week. As influencers continue to join the platform, this week we got a chance to see Meltem Demirors, NiMA Asghari and Dennison Bertram in action on Pepo. The latest upgrade features browsable hashtags. OST Founder Jason Goldberg’s fireside chat with CryptoOracle co-founder Lou Kerner is scheduled for next week. OST-backed Pepo and Hornet are now live on State of the DApps. Ahead of the San Francisco Blockchain Week, which the team will be attending, a new bounty was released for attendees. Tons of $OST up for grabs! There’s also a cool bounty for 1k $OST for promoting your blockchain article.
With Halloween right around the corner, Hydro office decorations are on point
Click here to watch the Mycro design & development team work on the app’s processes. SelfKey’s $KEY token was listed on ETHoutlet this week. The listing will provide $KEY with an $HKD fiat on-ramp. Additionally, ETHoutlet also joined SelfKey’s Marketplace. ETHoutlet operates a Dealer Exchange (i.e. traders trade with the platform directly instead of P2P) and has a physical store where people can trade OTC by visiting the location. Want to identify an exit scam before it happens? SelfKey crew’s got your back. Check out their article to learn how. Constellation joined the Board of Advisors at the Portland State University this week as part of an accredited Business Blockchain Certificate program which is also the world’s first such university accredited program. Congratulations! BAGS token group had their 6th Bazaar Upcycle event this week. Plus, a ton of $BAGS were given away for trivia and stickers contest. The Arena Match Fall 2019 Roadmap was published. Some of the updates that will go live are – CS:GO ranked matchmaking, replacement of credits with straight cash in/out (with an optional AMGO toggle), enhanced Perks, new UI, on-demand servers etc. Lots in store! Big up to Pynk for winning the Wolves Summit Pitch Competition. Click here and here for pics from the event. Last week we talked about Pynk's feature in BlockMAG published by the Malta Blockchain Summit. Here's the full scoop. Plus, a cool shoutout from Founder Institute. P.S. Pynk is an FI alumnus.
Arena Match new dashboard prototype mockup
Birdchain announced a copywrite contest this week. Cryptowriters assemble! The team also shared its marketing roadmap. Switch partner McAfeeDex now has 10 portals live with more in line for release. The next updates will contain multi chain support + Onion portal. It is also the 37th most popular ETH-based dApp on DappRadar. Plus, a chance to win 1k $ESH. More media coverage of the McAfeeDex from Bitcoin.com, CoinTelegraph, Blockonomi, The Daily Chain podcast and BLOCKTV this week. Plus, the first decentralised IEO was launched on the Dex. If you missed Fantom’s AMA with CryptoDiffer this week, here’s the transcript to get upto speed. The latest research paper from Fantom's partners at Yonsei University talks about The Economics of Smart Contracts. Have a read when you get a moment. Uptrennd will be introducing a more robust verification system for withdrawals to ensure that the platform stays fair and keeps bad actors away. In addition to the Malta Blockchain Summit, Jeff will also be travelling to CMC’s The Capital and BlockShow this month. In case you get to meet him at these events, chances are you could win some $1UP in the process. Woot! Click here to check out the entries to the video intro contest started last week. Uptrennd now has a Subreddit as well. Starting this week, the crew will be publishing regular TA reports based on community votes. 1UP was voted for the first report. Blockport’s $BPT/$ETH trading pair was discontinued from KuCoin this week as requested by the project. The $BTC pairing will continue to operate on the exchanges. Click here to catch up on the latest district weekly from District0x.

And that’s a wrap for this week in Parachuteverse. See you again soon. Cheerio!
submitted by abhijoysarkar to ParachuteToken [link] [comments]

Subreddit Stats: CryptoTechnology top posts from 2017-12-23 to 2020-01-20 15:51 PDT

Period: 758.36 days
Submissions Comments
Total 956 13660
Rate (per day) 1.26 18.01
Unique Redditors 584 3144
Combined Score 21553 44566

Top Submitters' Top Submissions

  1. 1166 points, 43 submissions: Neophyte-
    1. "Do you need a Blockchain?" - this paper is fantastic, everyone should read this before evaluating a coin and if requires a block chain to solve a solution the coin is promising to solve. (136 points, 41 comments)
    2. Do any of you foresee a crypto being widely adopted as a general purpose payment coin? nano, btc, btccash etc (take your pick). I think it won't happen for reasons in this post. What do you think? (59 points, 54 comments)
    3. Noticed the huge rise of EOS lately what does it have over NEO and ethereum and to a lesser extent Cardano? I tried researching it, but wasn't sold. (54 points, 55 comments)
    4. Hard Problems in Cryptocurrency: Five Years Later ~Vitalik (46 points, 1 comment)
    5. I had a Q&A with Bruno head architect / CEO of oyster, thought you guys might like it. (45 points, 2 comments)
    6. A good article that explains in simple terms how Eth2 works, how it will be rolled out and migrated from eth1 (42 points, 4 comments)
    7. DAI the stablecoin can now be transferred GAS free (article explaining how it works via new MCD DAI contract). This holds alot of promise for the so called "Web3" (40 points, 8 comments)
    8. Veriblock is consuming 27% of bitcoins block space - what does this mean for bitcoins future? (39 points, 16 comments)
    9. Vitalik: Alternative proposal for early eth1 <-> eth2 merge (38 points, 3 comments)
    10. Is launching a PoW permissionless blockchain still possible today? or would it be too susceptible to a 51% attack? (37 points, 37 comments)
  2. 578 points, 16 submissions: crypto_ha
    1. Why is Ripple considered a cryptocurrency (by many)? (109 points, 63 comments)
    2. So reportedly there are serious vulnerabilities found in EOS’ code. And it seems like those are more than just random software bugs. (97 points, 29 comments)
    3. Guide: How to get started with Blockchain development? (60 points, 6 comments)
    4. A newly found vulnerability in Nano's Android wallet (44 points, 12 comments)
    5. The history and state of Ethereum's Casper research - Vitalik Buterin (39 points, 4 comments)
    6. What is the difference between Sidechain vs Child Chain vs Off Chain? (39 points, 12 comments)
    7. EOS mainnet is official live (finally), but... (36 points, 24 comments)
    8. Bitcoin's "doomsday" economics - Bank of International Settlements (34 points, 23 comments)
    9. How Wall Street’s embrace could undermine Bitcoin (30 points, 9 comments)
    10. Ethereum ERC 1497: DApp Dispute Evidence Standard (24 points, 0 comments)
  3. 513 points, 20 submissions: ndha1995
    1. Ethereum Classic is currently being 51% attacked (103 points, 31 comments)
    2. Why are there so many garbage posts the past 24 hours? (58 points, 10 comments)
    3. Google Unveils 72-Qubit Quantum Processor With Low Error Rates (48 points, 24 comments)
    4. IOTA's Network-Bound PoW consensus, is it feasible? (42 points, 13 comments)
    5. The Challenges of Investigating Cryptocurrencies and Blockchain Related Crime (29 points, 7 comments)
    6. Deep dive into zk-STARKs with Vitalik Buterin's blog posts (26 points, 3 comments)
    7. Tether discussion thread (26 points, 21 comments)
    8. Vitalik Buterin Proposes a Consensus Algorithm That Requires Only 1% to Be Honest (24 points, 8 comments)
    9. Can somebody compare Qtum vs. NEO, technology-wise? (E.g. PoS vs. PoW; smart contract protocols...) (21 points, 15 comments)
    10. Introduction to Non Fungible Tokens (NFTs) (21 points, 9 comments)
  4. 377 points, 16 submissions: turtleflax
    1. Around 13% of DASH's privateSends are traceable to their origin (69 points, 3 comments)
    2. "Big Bang" attack could leverage Monero's dynamic blocksize to bloat the blockchain to 30TB in only 36 hours (52 points, 3 comments)
    3. The case for the obsolescence of Proof of Work and why 2018 will be the year of Proof of Stake (41 points, 29 comments)
    4. Monero vs PIVX: The First Scheduled Privacy Coin Debate Thread on /CryptoCurrency (38 points, 12 comments)
    5. Introducing the Privacy Coin Matrix, a cross-team collaboration comparing 20 privacy coins in 100 categories (26 points, 25 comments)
    6. Do permissioned blockchains have any merits? (25 points, 23 comments)
    7. The State of Hashing Algorithms — The Why, The How, and The Future (21 points, 4 comments)
    8. How Zerocoin Works in 5 Minutes (19 points, 5 comments)
    9. Errors made by Satoshi (17 points, 8 comments)
    10. How Much Privacy is Enough? Threats, Scaling, and Trade-offs in Blockchain Privacy Protocols - Ian Miers (Cornell Tech, Zerocoin, Zerocash) (17 points, 4 comments)
  5. 321 points, 6 submissions: Qwahzi
    1. Technical comparison of LIGHTNING vs TANGLE vs HASHGRAPH vs NANO (133 points, 37 comments)
    2. Addressing Nano's weaknesses (bandwidth usage and disk IO). Nano voting traffic to be reduced by 99.9% by implementing vote by hash, lazy bootstrapping, and reduced vote rebroadcasting (x-post CryptoCurrency) (78 points, 8 comments)
    3. Emergent centralization due to economies of scale (PoW vs DPoS) – Colin LeMahieu (52 points, 37 comments)
    4. Nano community member developing a distributed "mining" service to pay people to do PoW for third-parties (e.g. exchanges, light wallet services, etc) (32 points, 20 comments)
    5. What do you think about OpenCAP, the cryptocurrency alias protocol that mirrors traditional email addresses? (15 points, 12 comments)
    6. Bitcoin would be a calamity, not an economy (11 points, 52 comments)
  6. 256 points, 4 submissions: rockyrainy
    1. Bitcoin Gold hit by Double Spend Attack (51% attack). The Attacker reversed 22 blocks. (179 points, 102 comments)
    2. ZK-starks white paper published (44 points, 16 comments)
    3. [Q] How does a network reach consensus on what time it is? (21 points, 17 comments)
    4. Stateless (no history) Cryptocurrency via snapshots? (12 points, 7 comments)
  7. 244 points, 3 submissions: HSPremier
    1. From a technical standpoint: Why does every blockchain projects need their own coins? (181 points, 50 comments)
    2. What is Reddit's obsession with REQ? (61 points, 43 comments)
    3. What is the technological difference between a privacy coin and a privacy coin platform? Won't a privacy coin platform be more superior than a privacy coin? (2 points, 3 comments)
  8. 234 points, 2 submissions: Realness100
    1. A Guided Reading of Bitcoin’s Original White Paper (202 points, 10 comments)
    2. A Guided Reading of Ethereum's Original White Paper! (32 points, 5 comments)
  9. 185 points, 4 submissions: tracyspacygo
    1. My brief observation of most common Consensus Algorithms (159 points, 49 comments)
    2. What are the main Trends/Challenges for Bitcoin and whole crytpocurrencies industry? (12 points, 33 comments)
    3. Guideline for Newbies: Trying out Bitcoin transactions with TESTNET (7 points, 1 comment)
    4. Most advanced Cryptocurrencies Comparison Table (7 points, 8 comments)
  10. 177 points, 9 submissions: benmdi
    1. What's the best argument against cryptotechnology? I.e. Steelman the cryptocurrency skeptic (43 points, 42 comments)
    2. Would there be interest from this community in crypto resources aimed at developers? If so, what topics? (29 points, 14 comments)
    3. Has the window for bootstrapping a new PoW coin closed? (24 points, 57 comments)
    4. What can we, as a community, learn from the rise & acquisition of GitHub (23 points, 8 comments)
    5. 🍱 Rollup Roundup: Understanding Ethereum's Emerging Layer 2 (19 points, 1 comment)
    6. Video Tutorial: Introducing An Experience Dev To Smart Contract Coding (17 points, 3 comments)
    7. Do we need a blockchain to be decentralized? What questions would you ask a self described fan of decentralization, but blockchain skeptic? (11 points, 19 comments)
    8. ETH Block Rewards And Second Order Effects On Hardware Availability (7 points, 8 comments)
    9. Which Of The Big Tech Companies Is Most Likely To Bring Crypto Mainstream? Here's Why I Think It's Apple (4 points, 7 comments)
  11. 175 points, 9 submissions: galan77
    1. Is the Lightning Network a massive threat to the blockchain? (49 points, 66 comments)
    2. TPS of Lightning Network vs. Sharding, which one does better? (28 points, 7 comments)
    3. Are there any major downsides to sharding? (21 points, 33 comments)
    4. What's the difference between trustlessness and permissionlessness (19 points, 7 comments)
    5. Which consensus algorithm is the best, PoW, PoS, PoAuthority, PoAsset? (18 points, 57 comments)
    6. How can XRP reach 50,000 TPS when they have no sharding and every node has to validate every single transaction. (15 points, 14 comments)
    7. A few questions about the Lightning Network (14 points, 6 comments)
    8. Pascalcoin can do 72,000 tps apparently. Is this legit? The new Nano? (8 points, 39 comments)
    9. How does Ripple's (XRB's) consensus algorithm Proof of Correctness work, are there any downsides? (3 points, 23 comments)
  12. 175 points, 1 submission: ilielezi
    1. Why white papers in crypto world are so unprofessional? (175 points, 88 comments)
  13. 165 points, 6 submissions: CryptoMaximalist
    1. Facebook's Libra (48 points, 55 comments)
    2. “Fake Stake” attacks on some Proof-of-Stake cryptocurrencies responsibly disclosed by researchers from the Decentralized Systems Lab at UIUC (31 points, 9 comments)
    3. Quantum Computing and the Cryptography in Crypto (27 points, 14 comments)
    4. PING and REJECT attacks on ZCash (Patch available) | Stanford Applied Crypto Group (22 points, 1 comment)
    5. Introduction to Cryptography: Part 1 - Jinglan Wang (19 points, 1 comment)
    6. New site howmanyconfs.com shows the amount of time and confirmations of Proof of Work coins to match 6 confirmations on Bitcoin (18 points, 11 comments)
  14. 163 points, 10 submissions: GainsLean
    1. Videos For Developers Who Want To Learn Blockchain In A Practical Way (36 points, 17 comments)
    2. What Do You Want To Learn? (32 points, 20 comments)
    3. Get Involved With The Smart Contract Coding Challenge (25 points, 4 comments)
    4. Solution To $10K Art Prize (25 points, 3 comments)
    5. Blockchain Course Outline Has Been Released - Feedback warranted (22 points, 12 comments)
    6. Introduction To Distributed Systems And Consensus Protocols (9 points, 2 comments)
    7. Are there any closed source crypto wallets? (4 points, 19 comments)
    8. Are there any successful proof of identity projects? (4 points, 8 comments)
    9. SPV Wallets Vs API Wallets (4 points, 1 comment)
    10. 12 Popular Consensus Algorithms - Explained (2 points, 0 comments)
  15. 163 points, 7 submissions: QRCollector
    1. Part 5. I'm writing a series about blockchain tech and possible future security risks. This is the fifth part of the series talking about an advanced vulnerability of BTC. (43 points, 43 comments)
    2. I'm writing a series about blockchain tech and possible future security risks. This is the third part of the series introducing Quantum resistant blockchains. (36 points, 4 comments)
    3. Part 4B. I’m writing a series about blockchain tech and possible future security risks. This is the fourth part of the series explaining the special quality of going quantum resistant from genesis block. (25 points, 21 comments)
    4. Part 6. (Last part) I'm writing a series about blockchain tech and possible future security risks. Failing shortcuts in an attempt to accomplish Quantum Resistance (24 points, 38 comments)
    5. I'm writing a series about blockchain tech and possible future security risks. This is the first part of the series introducing the basic concept of blockchain and what makes it reliable. (23 points, 10 comments)
    6. I'm writing a series about blockchain tech and possible future security risks. This is the fourth part of the series explaining the special quality of going quantum resistant from genesis block. (7 points, 1 comment)
    7. Part 2. I'm writing a series about blockchain tech and possible future security risks. This is the second part of the series: An accessible description of hashing and signature schemes. (5 points, 0 comments)
  16. 162 points, 3 submissions: FashionistaGuru
    1. How do we change the culture around cryptocurrency? (118 points, 54 comments)
    2. Which cryptos have the best new user experience? (30 points, 34 comments)
    3. Why does Apple prevent many crypto apps from entering the App Store? (14 points, 8 comments)
  17. 157 points, 7 submissions: SamsungGalaxyPlayer
    1. Breaking Monero Episodes 1-3: Introduction, Ring Signatures, 0-Decoy and Chain Reactions (45 points, 1 comment)
    2. "No, dPoW Isn't a Perfect Solution" (35 points, 48 comments)
    3. Breaking Mimblewimble’s Privacy Model - Dragonfly Research (27 points, 10 comments)
    4. Breaking Monero (and Zcash) Episodes 7-9: Remote Nodes, Timing Attacks, Poisoned Outputs (EAE Attack) (21 points, 2 comments)
    5. "Attacker Collection of IP Metadata" (18 points, 10 comments)
    6. "Tracing Transactions Across Cryptocurrency Ledgers" Using Shapeshift and Changelly (6 points, 4 comments)
    7. Breaking Monero Episodes 4-6: Chain Splits (Key Image Attack), Input Selection Algorithm, Unusual Ringsize (5 points, 2 comments)
  18. 147 points, 1 submission: shunsaitakahashi
    1. Proof-of-Approval: Stake Based, 1 Block Finality & History Attack Defense (147 points, 4 comments)
  19. 146 points, 6 submissions: themoderndayhercules
    1. "The selfish mining fallacy" explained and debunked (60 points, 8 comments)
    2. A Discussion of Stable coins and Decentralized Oracles (35 points, 8 comments)
    3. A Selfish Mining Double Spending attack Simulator (25 points, 2 comments)
    4. Why reputation systems don't work (15 points, 12 comments)
    5. A better incentivization for Swarm (6 points, 0 comments)
    6. When Mises met Szabo - A Discussion of the value of Bitcoin (5 points, 16 comments)
  20. 143 points, 7 submissions: KomodoWorld
    1. Komodo Platform's core developer and founder jl777 has started his own blog on Medium. The blog is aimed for senior developers who want to learn about blockchain. (46 points, 15 comments)
    2. Delayed Proof of Work (dPoW) security explained (36 points, 46 comments)
    3. Proof-of-Gameplay (19 points, 3 comments)
    4. Good guide for getting started with the Custom Consensus tech for Komodo-based blockchains (17 points, 0 comments)
    5. Cross-chain migration of coins with Crypto Conditions - by smk762 (12 points, 0 comments)
    6. A step-by-step example of working with a Crypto Conditions based Oracle - by smk762 (10 points, 0 comments)
    7. Changing consensus rules on the fly with Crypto Conditions (3 points, 0 comments)
  21. 141 points, 8 submissions: Stormy1997
    1. What technical/business advantages does a private blockchain have over a SQL server? (49 points, 79 comments)
    2. Is sharding to scale bad? (24 points, 28 comments)
    3. How would one create a fiat gateway theoretically? (19 points, 19 comments)
    4. Looking for Stellar smart contract/side chain code examples (16 points, 1 comment)
    5. Question - Securing personal information on a centralized server with user-owned keys (13 points, 3 comments)
    6. How do blockchains/smart contracts communicate with oracles? (10 points, 4 comments)
    7. Bandwidth scaling for TPS (8 points, 2 comments)
    8. Best method to transmit detailed data between two parties via existing platforms (2 points, 1 comment)
  22. 141 points, 3 submissions: seventyfiver
    1. Why does Ethereum use Solidity while other ecosystems like NEO stick with popular ones like Java and C#? (94 points, 26 comments)
    2. Chainlink's initial Go implementation went live this morning. Has anyone reviewed the code and can comment on it's quality? (40 points, 3 comments)
    3. What are some great books on cryptoeconomics or blockchain technology? (7 points, 4 comments)
  23. 134 points, 6 submissions: johnny_milkshakes
    1. Sub dedicated to DAG based coins (42 points, 8 comments)
    2. Thoughts on this? (28 points, 38 comments)
    3. This is very interesting (24 points, 19 comments)
    4. Educational presentation by Clara Shikhelman (18 points, 0 comments)
    5. Ethics question. (12 points, 40 comments)
    6. How to scale on chain? (10 points, 30 comments)
  24. 127 points, 4 submissions: sukitrebek
    1. What are you currently obsessed with, and why? (58 points, 150 comments)
    2. Crypto-based social network without a cryptocurrency. (42 points, 23 comments)
    3. How does underlying architecture affect what kinds of applications are possible? (17 points, 3 comments)
    4. Holochain vs. Radix DLT (10 points, 11 comments)
  25. 126 points, 1 submission: RufusTheFirefly
    1. Everytime I try to investigate the technology behind Cardano(Ada), I come across the words "scientific" and "peer-reviewed" over and over but almost no actual details. Can someone fill how this coin actually works and where they are in development? (126 points, 49 comments)
  26. 112 points, 1 submission: rocksolid77
    1. Can we have a real debate about the Bitcoin scaling issue? (112 points, 89 comments)
  27. 110 points, 4 submissions: kelluk
    1. What one can learn from browsing 30 million Ethereum addresses (72 points, 21 comments)
    2. I wanted to categorize all coins/tokens, and this is my proposal (23 points, 33 comments)
    3. Should whitepapers be understood by ordinary people? (10 points, 41 comments)
    4. Querying the Ethereum blockchain: how to & what to? (5 points, 5 comments)
  28. 107 points, 1 submission: NewDietTrend
    1. Outside of currency and voting, blockchain is awful and shouldnt be used. Can anyone explain where blockchain is worth the cost? (107 points, 166 comments)
  29. 105 points, 1 submission: insette
    1. /CryptoTech PSA: there are broadly TWO TYPES of Decentralized Exchanges. Which type are you investing in? (105 points, 55 comments)
  30. 103 points, 3 submissions: dtheme
    1. How to accept crypto payments for digital downloads if you are a small business? Solutions, e-commerce sites are lacking (46 points, 38 comments)
    2. How many 24 letter seeds and "Bitcoin" keys can there be? (34 points, 24 comments)
    3. Is there any reason why the big tech companies are not getting into crypto? (23 points, 36 comments)
  31. 103 points, 3 submissions: dvnielng
    1. Why do so many of these businesses need a token? (Unsure) (61 points, 86 comments)
    2. DAPPS - Only coins that have intrinsic value? Ethereum , Neo? (31 points, 10 comments)
    3. How could blockchain work for expensive purchases/escrow? (11 points, 2 comments)
  32. 101 points, 1 submission: kickso
    1. Is NANO everything it says it is? (101 points, 96 comments)
  33. 98 points, 3 submissions: heart_mind_body
    1. How can we breathe some life into this sub? (56 points, 22 comments)
    2. Can anyone give an example for a technology that provides a "public permissioned blockchain"? (28 points, 16 comments)
    3. Can we do a discussion on ICON and "clusters of private chains connected to a public chain" ? (14 points, 13 comments)
  34. 97 points, 8 submissions: kelraku
    1. Thoughts on Mimblewimble? (23 points, 13 comments)
    2. Has anyone looked at the lelantus protocol? (18 points, 6 comments)
    3. How much control do developers have over the coins (18 points, 6 comments)
    4. Lesser known protocols? (11 points, 17 comments)
    5. Zerocoin and Blockchain Analysis (9 points, 5 comments)
    6. Zerocoin vs Cryptonote (7 points, 14 comments)
    7. Lightning network privacy (6 points, 13 comments)
    8. Integrity of the DAG (5 points, 17 comments)
  35. 96 points, 6 submissions: blockstasy
    1. How to Get to One Million Devs (32 points, 12 comments)
    2. The Decade in Blockchain — 2010 to 2020 in Review (27 points, 4 comments)
    3. Ethereum by the Numbers – The Year of 2019 (26 points, 9 comments)
    4. Knowledge Drop: Mining and the role it plays with the Ethereum blockchain (5 points, 0 comments)
    5. A great article that explains Ethereum’s Muir Glacier Update (4 points, 0 comments)
    6. Youtube Silences Crypto Community (2 points, 6 comments)
  36. 93 points, 3 submissions: OneOverNever
    1. Which is the last WHITE PAPER you've read that's truly impacted you? (77 points, 81 comments)
    2. [CMV] Bitcoin's intrinsic technological value. (14 points, 29 comments)
    3. What are some weak points that still hold XVG back from becoming a top player in crypto? (Technically speaking, not marketing and etc.) (2 points, 19 comments)
  37. 93 points, 3 submissions: ryano-ark
    1. (ARK) ACES Completes Integration of ARK Channels for Two-way Transfers for Easy ICOs When Paired With ARK Deployer (Push-Button-Blockchains) (57 points, 5 comments)
    2. (ARK) ACES Releases Fast (Ansible) Deployments for all ACES Applications. (23 points, 4 comments)
    3. A Future of Cryptocurrencies and Blockchains (13 points, 3 comments)
  38. 92 points, 2 submissions: BobUltra
    1. Our blockchains are all centralized! (51 points, 34 comments)
    2. List of qualities needed to dethrone Bitcoin. (41 points, 43 comments)
  39. 90 points, 1 submission: refreshx2
    1. CMV: It doesn't make sense for (crypto)companies to create coins linked to their tech (90 points, 18 comments)
  40. 89 points, 1 submission: perceptron01
    1. What does Nano do better than Steem? (89 points, 55 comments)
  41. 87 points, 1 submission: Shuk
    1. How does one begin to develop an employable skill in blockchain development? (87 points, 25 comments)
  42. 87 points, 1 submission: conorohiggins
    1. I spent three weeks researching and writing a huge guide to stablecoins. Enjoy! (87 points, 36 comments)
  43. 86 points, 1 submission: Bacon_Hero
    1. ELI5: Why did it take so long for blockchain technology to be created? (86 points, 66 comments)
  44. 85 points, 3 submissions: theFoot58
    1. If crypto now is like 'the Internet' of the past, where are we? (65 points, 53 comments)
    2. If the Internet had its Genesis Block, what would it be? (14 points, 9 comments)
    3. Coin grouping - ruby and CryptoCompare API (6 points, 1 comment)
  45. 85 points, 1 submission: youngm2
    1. Which decentralised exchange has the most promise for 2018? (85 points, 89 comments)
  46. 84 points, 4 submissions: bLbGoldeN
    1. On Mass Adoption of Cryptocurrencies (28 points, 68 comments)
    2. Join the Bloom team for our first tech AMA tomorrow (Tuesday, March 13th) at 7 PM GMT! (23 points, 2 comments)
    3. Join the Decred team for an AMA - Friday, June 1st from 19:00 to 22:00 UTC (17 points, 10 comments)
    4. Join the district0x team for an AMA Monday, April 2nd at 5:00 PM (GMT) (16 points, 0 comments)
  47. 82 points, 2 submissions: SubsequentDownfall
    1. Has a 51% attack ever been witnessed? (45 points, 46 comments)
    2. Is a DAG coin like RaiBlocks able to be private like Monero? (37 points, 40 comments)
  48. 82 points, 2 submissions: guidre
    1. Tron and other source Code (42 points, 24 comments)
    2. Why Will companies adopt blockchain, the user interface is complex and i'm not sure that many companies want all their internal dealings made public. (40 points, 19 comments)
  49. 81 points, 4 submissions: solar128
    1. New Atomic Swap Tools Released (35 points, 4 comments)
    2. Using Blockchain to make a censorship-resistant Reddit (28 points, 14 comments)
    3. Best security practices for addressing Spectre & Meltdown (13 points, 0 comments)
    4. Influence of on-chain governance weighted by wealth - good or bad? (5 points, 2 comments)
  50. 81 points, 2 submissions: Blockchainsapiens
    1. Blockchain study finds 0.00% success rate and vendors don't call back when asked for evidence (47 points, 30 comments)
    2. The elephant in the room: would the public ever use a volatile currency over a stable currency? (34 points, 45 comments)
  51. 81 points, 1 submission: Mycryptopedia
    1. Understanding the Tech Behind RaiBlocks (81 points, 7 comments)
  52. 81 points, 1 submission: davidvanbeveren
    1. Article thoroughly analysing / comparing IOTA and RaiBlocks (x-post /CryptoCurrency) (81 points, 10 comments)
  53. 77 points, 4 submissions: DeleteMyOldAccount
    1. HD Wallets Explained: What they are, and how to make them coin agnostic (28 points, 11 comments)
    2. Bitcoin Cash May 15th fork (23 points, 22 comments)
    3. So you want to build a Bitcoin HD wallet? Part 1 (23 points, 3 comments)
    4. Applications of Blockchain in Supply Chain (3 points, 9 comments)
  54. 76 points, 3 submissions: kryptofinger
    1. Why would anyone bother using any DPOS coins for dapps like Eos over normal systems like AWS? (44 points, 104 comments)
    2. Could a state backed privacy coin work? (22 points, 32 comments)
    3. Thoughts on Elastos? (10 points, 8 comments)
  55. 76 points, 1 submission: francohab
    1. 55% of the Nano representative nodes are "official representatives", presumably held by developers. How big of an issue is that? (76 points, 46 comments)
  56. 75 points, 2 submissions: MerkleChainsaw
    1. The biggest challenge for cryptocurrencies and how to mitigate it (73 points, 37 comments)
    2. Short and long term design tradeoffs in crypto (2 points, 2 comments)
  57. 75 points, 1 submission: jatsignwork
    1. Raiblocks & Spam (75 points, 60 comments)
  58. 74 points, 1 submission: behindtext
    1. Hello, this is Jake Yocom-Piatt. Ask me anything about Decred! (74 points, 49 comments)
  59. 73 points, 2 submissions: TexasRadical83
    1. Why use a new "currency" at all? (40 points, 48 comments)
    2. Why are big price increases for crypto a good thing? (33 points, 41 comments)

Top Commenters

  1. Neophyte- (1649 points, 746 comments)
  2. ndha1995 (583 points, 98 comments)
  3. turtleflax (406 points, 116 comments)
  4. senzheng (326 points, 193 comments)
  5. holomntn (294 points, 40 comments)
  6. manly_ (286 points, 43 comments)
  7. signos_de_admiracion (250 points, 18 comments)
  8. fgiveme (231 points, 77 comments)
  9. crypto_kang (222 points, 45 comments)
  10. jatsignwork (220 points, 37 comments)
  11. GainsLean (218 points, 76 comments)
  12. benthecarman (211 points, 48 comments)
  13. rockyrainy (200 points, 39 comments)
  14. hungryforitalianfood (197 points, 58 comments)
  15. rocksolid77 (190 points, 20 comments)
  16. bannercoin (189 points, 11 comments)
  17. insette (181 points, 47 comments)
  18. DiogenicOrder (175 points, 41 comments)
  19. islanavarino (173 points, 51 comments)
  20. behindtext (172 points, 14 comments)
  21. takitus (171 points, 25 comments)
  22. sukitrebek (170 points, 42 comments)
  23. UnknownEssence (170 points, 31 comments)
  24. crypto_ha (170 points, 26 comments)
  25. AlexCoventry (167 points, 17 comments)
  26. DragonWhsiperer (165 points, 38 comments)
  27. stop-making-accounts (164 points, 57 comments)
  28. KnifeOfPi2 (157 points, 13 comments)
  29. Edgegasm (156 points, 42 comments)
  30. ippond (152 points, 15 comments)
  31. dontlikecomputers (151 points, 61 comments)
  32. QRCollector (150 points, 46 comments)
  33. alexrecuenco (145 points, 18 comments)
  34. BobUltra (144 points, 88 comments)
  35. SpamCamel (135 points, 22 comments)
  36. InterdisciplinaryHum (133 points, 107 comments)
  37. theglitteringone (132 points, 10 comments)
  38. ChocolateSunrise (128 points, 23 comments)
  39. PM_ME_UR_QUINES (125 points, 4 comments)
  40. narwhale111 (122 points, 15 comments)
  41. pepe_le_shoe (121 points, 47 comments)
  42. Darius510 (119 points, 39 comments)
  43. glen-hodl (118 points, 21 comments)
  44. HOG_ZADDY (117 points, 23 comments)
  45. coranos2 (116 points, 44 comments)
  46. etherenvoy (116 points, 15 comments)
  47. johnny_milkshakes (115 points, 55 comments)
  48. galan77 (115 points, 52 comments)
  49. hybridsole (113 points, 40 comments)
  50. funciton (113 points, 8 comments)
  51. Mr0ldy (110 points, 24 comments)
  52. Corm (109 points, 42 comments)
  53. cryptoscopia (109 points, 7 comments)
  54. ReportFromHell (106 points, 39 comments)
  55. broscientologist (105 points, 26 comments)
  56. straytjacquet (104 points, 28 comments)
  57. Quadling (101 points, 24 comments)
  58. BlockEnthusiast (101 points, 17 comments)
  59. thats_not_montana (99 points, 37 comments)
  60. TheRealMotherOfOP (98 points, 27 comments)
  61. yarauuta (96 points, 11 comments)
  62. pegasuspect93 (96 points, 1 comment)
  63. andrew_bao (93 points, 40 comments)
  64. samdotla (93 points, 6 comments)
  65. melodious_punk (91 points, 34 comments)
  66. Mquantum (91 points, 31 comments)
  67. TJ_Hooker15 (91 points, 27 comments)
  68. NoFaptain99 (91 points, 3 comments)
  69. ilielezi (87 points, 10 comments)
  70. Raapop (87 points, 2 comments)
  71. Allways_Wrong (86 points, 36 comments)
  72. bLbGoldeN (86 points, 19 comments)
  73. ResIpsaLoquiturrr (86 points, 15 comments)
  74. kabelman93 (85 points, 29 comments)
  75. no_pants_gamer (84 points, 9 comments)
  76. AnkurTechracers (83 points, 16 comments)
  77. ric2b (83 points, 11 comments)
  78. Big_Goose (83 points, 10 comments)
  79. Lifeistooshor1 (82 points, 21 comments)
  80. vornth (82 points, 11 comments)
  81. Sargos (81 points, 25 comments)
  82. refreshx2 (81 points, 16 comments)
  83. Qwahzi (78 points, 27 comments)
  84. StupidRandomGuy (77 points, 35 comments)
  85. WikiTextBot (77 points, 24 comments)
  86. SnootyEuropean (77 points, 5 comments)
  87. cryptogainz (76 points, 14 comments)
  88. frequentlywrong (76 points, 4 comments)
  89. the_defiant (76 points, 4 comments)
  90. BrangdonJ (75 points, 28 comments)
  91. hendrik_v (75 points, 7 comments)
  92. solar128 (74 points, 18 comments)
  93. foobazzler (74 points, 8 comments)
  94. ginger_beer_m (73 points, 35 comments)
  95. kAhmij (73 points, 25 comments)
  96. DeleteMyOldAccount (73 points, 20 comments)
  97. sn0wr4in (73 points, 9 comments)
  98. Dyslectic_Sabreur (72 points, 5 comments)
  99. X7spyWqcRY (71 points, 8 comments)
  100. Krapser (70 points, 5 comments)

Top Submissions

  1. A Guided Reading of Bitcoin’s Original White Paper by Realness100 (202 points, 10 comments)
  2. From a technical standpoint: Why does every blockchain projects need their own coins? by HSPremier (181 points, 50 comments)
  3. Bitcoin Gold hit by Double Spend Attack (51% attack). The Attacker reversed 22 blocks. by rockyrainy (179 points, 102 comments)
  4. Why white papers in crypto world are so unprofessional? by ilielezi (175 points, 88 comments)
  5. My brief observation of most common Consensus Algorithms by tracyspacygo (159 points, 49 comments)
  6. Proof-of-Approval: Stake Based, 1 Block Finality & History Attack Defense by shunsaitakahashi (147 points, 4 comments)
  7. "Do you need a Blockchain?" - this paper is fantastic, everyone should read this before evaluating a coin and if requires a block chain to solve a solution the coin is promising to solve. by Neophyte- (136 points, 41 comments)
  8. Technical comparison of LIGHTNING vs TANGLE vs HASHGRAPH vs NANO by Qwahzi (133 points, 37 comments)
  9. Everytime I try to investigate the technology behind Cardano(Ada), I come across the words "scientific" and "peer-reviewed" over and over but almost no actual details. Can someone fill how this coin actually works and where they are in development? by RufusTheFirefly (126 points, 49 comments)
  10. How do we change the culture around cryptocurrency? by FashionistaGuru (118 points, 54 comments)

Top Comments

  1. 160 points: holomntn's comment in ELI5: Why did it take so long for blockchain technology to be created?
  2. 121 points: KnifeOfPi2's comment in How do we change the culture around cryptocurrency?
  3. 105 points: theglitteringone's comment in Outside of currency and voting, blockchain is awful and shouldnt be used. Can anyone explain where blockchain is worth the cost?
  4. 102 points: benthecarman's comment in If crypto now is like 'the Internet' of the past, where are we?
  5. 96 points: pegasuspect93's comment in If crypto now is like 'the Internet' of the past, where are we?
  6. 95 points: bannercoin's comment in Realistically, why would anybody expect the startup crypto platforms to beat out the corporate giants who are developing their own Blockchain as a Service (BaaS) solutions? Ex. IBM, SAP, JP Morgan...
  7. 83 points: AlexCoventry's comment in Ethereum private key with all zeroes leads to an account with 5000$ on it
  8. 82 points: deleted's comment in Is blockchain really useful ?
  9. 81 points: signos_de_admiracion's comment in Why white papers in crypto world are so unprofessional?
  10. 78 points: NoFaptain99's comment in Why do so many of these businesses need a token? (Unsure)
Generated with BBoe's Subreddit Stats
submitted by subreddit_stats to subreddit_stats [link] [comments]

Wealth Formula Episode 172: Ask Buck

Catch the full episode: https://www.wealthformula.com/podcast/172-ask-buck/
Buck: Welcome back to the show everyone we have a number of questions today on Ask Buck so I am gonna get with it right away the first question is from Beau Cannington. He’s a member of Investor Club and Wealth Formula Network. Here's his question.
Beau Cannington: How much of a negative impact do you think that a rising interest rate environment will have on our commercial real estate investments and specifically the syndication investments with Western Wealth Capital? Thank you very much.
Buck: So Beau good question especially on paper right makes a lot of sense that potentially rising rates could be problematic for multifamily real estate or really for any kind of real estate. But let's go back to basics first because I think it's important, a lot of people don't have a good enough understanding of this in the first place which is when does leverage help you in the first place when does it help to borrow money from the bank? Well leverage only really helps you if you're borrowing at a rate that is less than your effective cap rate and what I mean by effective cap rate is you know you're gonna constantly drive net operating income into a property if you're increasing value of the property if you're in a value-add situation. That's what we do in the Western Wealth Capital opportunities that you're talking about. But that rate at which you borrow has to constantly and always be above your effective cap rate otherwise it's gonna hurt you. All leverage does is to simply amplify the directionality of your profit or losses. So just like it makes you profit more if your effective cap rate is greater than your interest rate, if that you know that income drops to a point where now your cap rate is actually below the interest rate, it's gonna magnify your losses. So that's at a very basic level hopefully that makes sense if it doesn't real issen to it because it's critically important and for some reason you know a lot of people don't pay attention to that especially people who are just getting into real estate for the first time it's really important. Now let's talk about the idea of interest rates themselves I mean the one that most people are familiar with is the one that's on the news all the time. It's a Fed Funds rate you know people call benchmark rate whatever. It's the one that's set by the Federal Reserve and the way I think about the Fed Funds rate is that it's an indicator for whether or not the economy is healthy it's it's sort of a barometer when the rates are getting hiked the economy is in pretty good shape and the Fed is trying to prevent it from getting too hot and to you know potentially prevent inflation. On the other side when the you know Fed lowers rates, like it just did by the way, it signals some level of concern about the economy it you know suggests that maybe there's some deflationary activity going and suggest that there's some recessionary activity going on. You know ultimately the Fed rate is you know it's set by the Fed and it's it's a tool of monetary stimulus to try to control inflation and ultimately mitigate recessionary cycles so it's a way for the Fed to control the economy you know it's one of the ways that they try to control the economy one of the monetary pulse. Now the Fed Funds rate does not equate to mortgage rates I I hear a lot of people you know like on social media and stuff talking about had funds rate goes the perfect time for me to go shopper shop a loan or something like that and well you should know a little bit more than that if you're in the business of real estate and taking loans out but you know I mean I'm seeing like syndicators do that. The Fed fund rate really affects short-term and variable adjusted rates really it's really an indication of what's going on right now in this economy in the very short term. And mortgage rates of course then are far more complex mortgage rates reflect sort of a longer-term health of the economy and they're probably there's a lot that goes into them but probably the thing that you need to watch the most is the ten-year Treasury which is much more a reflection of you know the long-term rates what the market thinks to the markets gonna be in the future right so if there is a belief that there is you know inflation on the horizon you probably see those rates start to rise. Inflation tends to rise when the economy's you know hot so anyway now again so what you should be looking at is the 10-year Treasury now I'm giving you a little bit of background rather than just answering Beau’s question initially but the good news right now is that the Fed fund rate was actually cut so it's actually not going up anyway so we don't need to worry about that right now but what we we also had a big dip in the tenured Treasury so our mortgage rates are very favorable right now as well now that's interesting because that happened before the Fed cut rates you know we recently closed on something within our Investor Club and got really good rates and that was before the that was because the treasury took a dive before it took a dive right before you know the hope this whole thing in the last week or so couple weeks where there's actually a Fed rate. But let's move back again and you know to Beau’s question. Say mortgage rates were going up what would that mean and how would that affect our investments? Now presumably that would be a suggestion that the 10-year Treasury as we talked about was going up which would also be suggestive of an inflationary environment. Now here's where it's really helpful to be invested in real estate like multifamily real estate which is of course my sweet spot. Inflation also means that we raise rents more right so in other words as rates go up so to our rent. So the ten-year Treasury is reflective of inflation when we and so the rates go up but so do rents proportionally and so theoretically we should be in good shape and not worry about it too much because it's really just an adjustment for inflation if you think about it that way. Bottom line is for me personally I don't worry too much about rates when it comes to our Wealth Formula accredited investor opportunities that we're doing and one of the reasons for that is we are incredibly aggressive about value add. So we're constantly in decompression mode as well and we're you know we're locked in to some good rates here too so. Now in addition if you look at the speed at which you know some of these companies work like Western Wealth Capitals the one you mentioned and they're forcing equity into these assets like you know incredibly fast so you're in a dynamic mode of decompressing cap rates in real time and that effectively again de-leverages the asset altogether. So if you found that confusing, listen to it again. But bottom line is if you take nothing else away from this I would tell you that interest rates in general mortgage rates will reflect inflation. So if inflation is going up rates are gonna go up and vice versa and so they tend to cancel each other out don't worry about it that's what I would tell you. If anything rates going down might be potentially more of a concern simply because that's a much more of an indication of an economy that's not healthy. Now we're doing you know BC classed multifamily I still think we're positioned very well so again I don't worry about it too much. Okay let's see next question from Chris Odegard another Investor Club guy and also another Wealth Formula Network guy so Chris here you go.
Chris Odegard: Hey Buck. Chris Odegard here in Kent Washington. My question relates to asset classes. If I remember correctly from Tom Wheelwright he talks about four asset classes: paper or commodities, real assets, real estate real assets aka real estate and businesses. So I believe that you know if I'm a shareholder in coca-cola that's paper but I'm also a private shareholder in a number of small start-up businesses so because my ownership of private shares and small businesses constitute a paper asset or a business asset? And if that's still a paper asset you know what makes you a have what makes you have an investment in business since most of the time you know if you're an owner or part owner of a small non publicly traded business it's usually their share so anyway I'm kind of struggling with the distinction between paper and a business asset classification so appreciate your help on that. Thanks.
Buck: So Chris I thinkx first of all let's back up and just say you know the reality is that these are you know these are just definitions right and there's a gray area between them and we can use them to guide us a little bit as we appropriate things into the right quote-unquote basket but you know we shouldn't get hung up on them too much but let's go back and review the definitions right so what are what are paper assets. So well let's talk about what real assets are so real assets are physical assets right and the thing that they are known for is that they have intrinsic worth due to their substance and property so precious metals commodities real estate land equipment natural resources these all have some kind of intrinsic value to them whereas paper assets would be assets where ownership’s defined only by paper like as you mentioned stocks and currencies and bonds and things like that. The reality is that in in some cases like you're talking about the definitions might not be as useful it might be a better idea to simply ask yourself in a sort of a common-sense way well what is it that I actually own? You know if you own businesses that are not asset heavy lots of you know and what I mean by assets heavy is like you know lots of machinery, stuff that you could liquidate, it's probably fair to put it in the you know the paper side of things. On the other hand if you have a business that as a significant balance sheet of stuff that could be liquidated you might actually put it in you know the real asset bucket. But I will tell you in knowing yours what you're talking about you invest in a lot of startups I would say that I personally would probably never consider an investment limited partner investment in a start-up as a real asset I mean I think the bottom line is that most of those businesses are not going to have a significant amount of equity or collateral to back your debt so there's not a lot to liquidate there's not a lot of intrinsic value in those businesses other than their ability to produce income. So that's where I would put that. Now what gives real estate and precious metals let's go back to that real status well it's ultimately again their inherent value. that it can't really be erased the way a stock price can go to zero. Or frankly if you talk about businesses what happens if the business that you're invested in Chris what if that goes to zero right? If there's no profit if there's no nothing to distribute etc it's not worth anything anymore right so that that to me is probably the biggest thing to distinguish. Although I should bring up I keep thinking about this as we're talking that you know I was listening to the Peter Schiff they still like to listen to I think he's a smart guy just you know he's a little stubborn and he's always thinking the this guy is falling which I don't I don't agree with him but you know he's on this big rampage against Bitcoin and he's been debating all these people about gold versus Bitcoin which I actually think it's kind of a silly debate because I think the gold and Bitcoin people should sort of you know be on the same side but I think you know it might be in part because Peter sells gold and it's a good opportunity to get in front of people, but one of his arguments about gold is that the reason that it has value is that it has intrinsic properties and those intrinsic properties are that it can be used you know to melt down and make stuff and I think there's true but the problem with this argument there in my opinion is that seriously for those of you who are out there like owning gold have you've owned a few ounces of gold and you store it somewhere are you seriously owning it because you know because you might be able to use it sometime or because somebody might be able to use it or are you using it because somebody thinks it has a value? I would argue that the reason you own it in most cases unless you're like a big jewelry buff or whatever is because somebody because you or you want somebody else to you know at some point pay you more for that then what you bought it for so in that respect it's not a whole lot different from like Bitcoin right like you know people the value of gold it has to do with the fact that it also has a monetary value it's really seen that way if you took that out of it and all of it was just a matter of it being jewelry it would not be worth as much as it is but anyway that's my take on that a little unrelated but I thought I would throw in that commentary. Next question let's see is from Ramin Rafie here we go.
Ramin Rafie: Hi Buck. I'm a physician general practitioner. I've been out of residency for about decade now. I have been an employed physician working for a larger corporation making house calls and a hospice director for their large healthcare organization which actually has recently been bought by an insurance company, that's a whole nother story. I actually went to medical school in California. And I've always wondered if it's feasible for me to open up my own kind of practice I don't know enough about the tax structures reimbursement etc, etc. I understand insurances are a big problem and you have to hire a lot of staff that's a waste of resources to strike to insurances but I was debating if solo practitioner doable perhaps direct primary care and if so is one better off just doing a cash face back to this and the legal structure of either having an LLC or an S corp or C Corp I don't know if you can operate on that that's gonna be I guess I need to talk to it accounts it's about that I figured I'd ask you and you might know you might not but I enjoy listening to your podcast it's amazing how many physicians up there are in the same boat. Thanks great time.
Buck: Alright so we do have a lot of physician listeners non-physicians to probably about in case you're wondering it's probably about but not just physicians but health care people right so you know physicians dentists and you know you know high doctors and you know all sorts of stuff, chiropractors and that's probably because well I've had a healthcare background myself on doing a few different kinds of surgery and stuff like that but thanks for the question. I'm gonna try to I mean there's a lot there and I think honestly the truth of the matter is I'm not necessarily an expert on all of these issues but you know some of the things I can answer I think will be relative relatively useful to anybody who's thinking about going on their own. First of all I'd say that if you're starting your own thing you know it an LLC is generally going to always be the best structure for a small business for maximum flexibility you can take, if for some reason you want to be taxed as a c-corp you could where you do an S selection so that's pretty easy. The answer your question of you know can you do it the answer is absolutely yes. There are solo practitioners out there now and you can do it and you could probably do it better and that's always generally been my philosophy when starting businesses usually I don't start businesses I'm you know I don't start businesses that have not in some way shape or form shown that they can be a success, I usually rip off somebody's idea and then pivot a little bit add a little bit something and executed and so I think to the extent that there are plenty of sole practitioners out there in California still I think it absolutely can be done. You know so your question about cash versus insurance based medicine just keeping it brief I'll tell you that it's not really an expertise of mine but by but what I can tell you is that coming out of the door with any business if it's just a cash business you're gonna have to advertise like crazy and you're gonna have to run it like a business which not everybody is ready for so the nice thing for physicians and dentists sometimes is that you know if you do take third party payers like you know these insurance companies they drive patients to your door so especially in the area of primary care there's a shortage so I don't think you'd have any trouble if you took insurance getting filled up really quickly and succeeding. Now as far as advice on how to move forward in general first you know again in this applies anybody who's starting a business and anything in my opinion, first of all finding somebody who's doing what you you know you want to do in another market and kind of copy them if you can reach out to them even better if they're not in a competing market but find in you’re case find a you know solo practitioner market that's similar to what you're trying to do and is showing a success and you know see if they're willing to spend some time with you I would offer to pay them because everybody's helpful until it's like damn I'm busy and this guy wants me to help him. But I think if you say hey now you get a successful thing there I'm looking for some help and you know looking for some consulting from a successful practice it might be useful. Another option of course is to go straight to a consultant and again this applies to every business in my opinion. Of course there's a lot of you know consultants out there. I had one for my first practice ultimately it was a cosmetic surgery business and again I ran this thing not like a medical thing, I didn't take any third-party insurance and stuff but I marketed like crazy I knew nothing about running a business or marketing when I started this the business I set out to start ended up looking nothing like the one I ended up with. What I ended up with was a lot better because I learned a lot on the job. But a lot of the back end things whether it's medical whether it's you know any kind of business or the same right I mean you've got to figure out how do you pay bills how do you set up all the systems accounting payroll and that for me where the consulting was like a really useful thing and I'm you know at the time I think I must have paid like twenty five thirty thousand dollars for and it seemed really expensive but I can tell you in any start-up situation you are much better off spending some money up front with someone holding your hand getting you started quickly and you know I have been you know. I literally have friends I have a couple of friends who've been trying to start up their own practices from multiple years now they could have been up and running in like three months if they just had paid somebody to get it done. So don't be that person you know anyway that's a message for everyone really if you have a problem, now remember this if you have a problem that you can write a check to someone to fix, you don't have a problem right? So that's the way you deal with this stuff don't spend all your time trying to deal with stupid little problems think of yourself as a you know is a thoroughbred right I mean you save yourself for you know high-value tasks. If you mess around and try to do everything yourself you're gonna end up worse I pretty much guarantee it, that goes for anyone starting any kind of business for the first time. So finally I would just say that I don't know a single I don't know a single health care provider in particular I know there's a lot of you out there with your own practice that once you have your own thing would ever go back to working for someone else or who'd ever want to go back for working for someone else, I know some of you have done it after you've sold your practice which is different you sitting on a huge chunk of cash but if you have any sort of entrepreneurial spirit and like the idea of not having limits on the upper end I would highly encourage it. All right so hopefully that's helpful and you know it's broadly I think it's broadly applicable to a lot of people who have ever contemplated any kind of entrepreneurial activities. So let's see the last one that's an actual voice one so let's do that from Ravi.
Ravi Ghanta: Hi buck this is Ravi Ghanta I just wanted to say thank you for all of your hard work and for providing such valuable information to this community. As part of the investor I've gained so much knowledge from you as well as from your guests on your podcast. Unfortunately I have not been able to attend the Meetup and I won't be able to go to the next meetup in Dallas in September, however I was wondering if you would consider creating a directory of some sort where those who are willing to provide their name their mailing address email address or even phone number to create a community where we can interact with each other you know perhaps by having this information we can even meet up with each other in different places informally, we can also discuss things you know we may all many of us are in the medical field and other specialties or other aspects of business and crafts developing contacts in that way just a thought. But once again thank you for your insightful information and I look forward to continuing to work with you. Thank you.
Buck: All right thanks Ravi. Ravi again is a member of the investor group now I don't think Ravi's part of Wealth Formula Network and that could be part of the confusion or not confusion but part of the question you answer the question which is, is there community that you could join or have you know or have some additional contact. The first thing I'm going to tell you there is that's really what Wealth Formula Network was really all about. So Wealth Formula Network is the online private community we have you know a very strong community there are a lot of people who are really just interested in connecting with one another it is of course that started out with the course and the course was with you know with Tom Wheelwright, Ken McElroy real estate guys bunch of guys I know sort of us gives you the bases gives you the foundation for things that we talk about and then we have these bi-weekly phone calls these bi-weekly phone calls are very useful they're not just phone calls they're zoom phone calls zoom video so we can see each other it's very personal and we have very in-depth conversation, people who are on in well formula Network often create relationships off line off community and that's certainly an option for you. In terms of online communities I would say that I probably wouldn't do anything else and the reason being that anytime you preside over an online community you kind of have to keep an eye on it and I I have well formula Network and that's really all I really want to focus in on I don't really want to you know monitor other sites. As far as you know people putting their information out and stuff I don't necessarily have a problem with that the thing that I worry about is if it's anywhere that people can access, I worry about your privacy because you know we have an extremely robust audience here including you know an accredited investor list of over a thousand people and if there's some like you know advisors registered advisors or you know people who are trying to get to those people they will spam you like crazy if they ever got a hold of that. But Ravi let me think about it because there could be a way to do you know to what you're talking about to a certain extent you know we certainly like I said we certainly already do this kind of thing and within Wealth Formula Network if that's of interest you check it out WealthFormulaRoadmap.com I think you'd probably really enjoy that if you enjoy the show. So all right I don't have any more video I don't have any recorded questions I have a couple of written ones I'm going to get to those the first one says is from Robert McLeod. He says I've been listening your podcast for the last couple years now I know you're a huge proponent of investing in real estate assets especially multifamily but I can't remember you've ever discussed mobile homes. I was wondering if you've looked into investing in or thought of mobile home park space. Thanks for the informative podcast. So it's a sensitive thing because I know there's a lot of people were interested in that people listen to this and friends of mine who are involved in this but you ask I'll answer. To be honest I'm not a big fan of that space right now here's why the cap rates on these things are approaching multifamily real estate right multifamily can always be improved significantly and attract higher level tenants and then areas get gentrified, they get improved I mean there's some improvement ability in mobile home parks right but it's really capped I mean think about it at some point you don't want to live in a damn mobile home anymore right. so here's a good example of you know how multifamily doesn't really have on that cap Chicago Lincoln Park is one of the like fanciest parts of Chicago's really expensive jam-packed full of mansions and stuff now, but there's also a bunch of apartment buildings that are over a hundred years old and you know forty years ago Lincoln Park was an absolute dump and it was dangerous and no one wanted to live there and then it got gentrified and all these places that were probably low income housing are now these incredibly luxurious apartments have been upgraded like crazy and now they are you know now they're multi-million dollar asset selling at ridiculous cap rates. Now tell me how do you do that with a mobile home community? You can't right. So at some point if people are doing well they want to move out of a mobile home park so you can't keep raising rents and expect people to live there so that's one reason so now so if you're capped on an appreciation of rents it's gonna cap your equity upside so now the syndicators out there that I'm seeing especially on the limited partners side are giving returns that frankly are inferior to what we're getting in multifamily an investor club by a longshot I know some of you like this area but I don't and I sure as hell would never invest in a limited partnership like this for returns that are less than double-digit again that's just me though. So finally let me just say this, my philosophy right now in general, buy quality assets don't buy crap okay. I see people posting stuff on Facebook about single family you know Class C Class D homes they bought we're supposed to cash flow like crazy and they you know all they have is problems now you know the idea is that these things might look good on numbers but when you add in the capex and paying for damages and you tenants I mean you may not cash flow at all people are losing money on this stuff left and right so there's a reason why these numbers look so good on paper because they're not good investments and people are trying to sell you them so bottom line is I'm not saying that mobile home parks are you know bad for everyone. I'm just saying that I personally look at the alternative and the alternatives from me are better. I prefer to focus on high quality assets and markets that are growing quickly right. I mean to me I mean it may be boring and repetitive what I do but I can tell you from personal experience it works and I think chasing yield in the idea of going to lower quality assets are going to tertiary markets is a very very bad idea because those are the markets those are the areas in my view that are going to suffer the most if and when there's a significant recessionary activity or market turnaround so hopefully that answers that. Next question Mark Dvorak. Hello can you talk about on your podcast about real estate professional? I feel like it's the ultimate green card to play in real estate as passive losses are you limited? Everyone only talks about this powerful designation briefly. Like the 750 hour rule, can two people count towards those? What are the max deductions and then he says for LP is what are the max deductions one can get without being a real estate professional, a show detailing all these options. Well let me just be brief about this, the reason people are briefed about it is because for the most part there the definition of real estate professional is this ok 750 hours of documented actual work in real estate like not just being a limited partner but you know looking for real estate acquiring you know talking to people whatever you got to have that 750 hours per year and it can't be two people no it has to be one person and you can't have anything that you're doing more of so it's not I've heard some people say they're gonna try to do it with a full-time job I just don't recommend it I think the IRS is gonna not take you seriously in that situation but you know you could try. In that situation of course the losses there's no cap to your losses. The beauty of it is what what you're talking about is say you have a spouse who has a W2 income that's active income but as you as a professional real estate professional all of the passive losses that you generate through depreciation where most people who are not real estate investors can only offset those against passive investments, you can offset that against active active income because your losses as a real estate professional your what would be passive loss has become activated. So if you've got $100,000 loss from real estate depreciation you could offset you know your hundred thousand dollars of your Weiss active income because you're filing jointly right. So that's that's the Holy Grail you're right I think it's a big deal and so but that's really all there is to it. I mean you have to find a CPA who can guide you on this you know I would recommend you know for somebody from WealthAbility and pretty much anybody there's gonna tell you all the right rules but really the issue with the that is you got to find a CPA who's going to tell you how to do it and then stand by you in in the event of an audit. An audit not it's not a bad you know it's not the end of the world it happens anybody's making money you gotta have somebody who is actually you know going to defend that successfully. So anyway that's it in terms of the caps about you know being a limited partner and what are some of the maximum deductions you can get without being a real estate professional the honest truth is that I don't I don't know that there's any really maximum deductions for real estate I mean listen if you have a hundred thousand dollars or two hundred thousand or a million dollars of passive income and you have those losses you have passive losses out of the same amount you could deduct it all so there's no cap at all. I mean the only thing I think there's a cap on I think charitable giving is about fifty percent you know charitable giving fifty percent but you know and then and then there's all your typical things that I don't you know I don't really get into about you know the basic accounting deductions and things like that for other things but I'll tell you from the standpoint of real estate there really is no cap on deductions, it's just you know it's what you have whatever if you're in the passive column as is a non real estate professional you could deduct all that and then the active side you could deduct all of your depreciation against all of your income. So that's pretty straightforward. Okay last question and it's from Betty and she said Buck I heard you talking about a bad drug reaction you had a Minneapolis. What was the drug that gave you the bad reaction yeah so let me let me tell you about that I am those last show I talked about that was my near-death experience thing where I thought I was gonna die, listen to this show you'll get the whole story but bottom line is as it turned out it was a CBD tincture. And I took some CBD for my back in in Santa Barbara and it worked really well for me and then I don't know what was in this bottle that I bought but it just gave me some sort of crazy out-of-body experience and I'm it wasn't like being stoned okay I I've been to college I know what that feels like was something was very wrong, anyway it was the CBD it's a long story. Bottom line is if you are interested in that story and how what I came about listened to show where I talk about this in the last show I think it's probably last week according where this is and you will you'll hear about that. By the way, I'll say that you know riffing off that last show I'm looking again those vintage cars to things that mattered the most of lessons that I had there were to make sure to take care of your family so look at Wealth Formula Banking make sure you you know get into that and and and try to you know align your investments with legacy to a certain extent that's one of my takeaways the other one was to try to have a little bit of fun here and and don't always push it away into delayed gratification. Okay that's it for the questions today and we will be right back.
submitted by Buck_Joffrey to u/Buck_Joffrey [link] [comments]

Bitcoin Live Trading Prime XBT Tutorial For Beginners (Leverage Trading) - YouTube Met Leverage Traden op Binance  Doopie Cash  Bitcoin & Crypto ByBit Exchange Tutorial: How to Long or Short Bitcoin ... How to Trade Bitcoin with Kraken using Leverage - YouTube

Saifedean: The chances that they also want to trade Bitcoin with you, that they have a cash balance in Bitcoin. That allows them to take payments in Bitcoin, or to make payments in Bitcoin. Is roughly in the order of 0.1 or 0.2%. And, that’s why it’s far more likely than when you want to transact, you’ll be able to find people that are going to be wanting to transact with you in fiat ... In this episode, I talk to Flood, an independent Bitcoin trader. We discuss the key things a newcomer to trading needs to know from which exchanges to use, trading strategies, leverage, finding your edge and the common mistakes. Bitcoin Trading Strategy: How To Not Get Liquidated – Crypto Leverage Trading 🔴 Subscribe for more Cryptocurrency News, Tutorials & Strategies: CRYPTO EXCHANGES/PLATFORMS I USE (Affiliate Links) Buy Crypto/Bitcoin – Coinbase ($10 FREE Bonus): Altcoin Trading – Binance: Crypto Leverage Trading – Bybit ($90 FREE Bonus): This means that there’s a slight chance that you might be at risk of falling victim to frequent episodes of false breakouts and exaggerated wicks. You need to be careful about this. Therefore, avoid getting into an unplanned trade using a market order. This can cost you a sizable chunk of your capital if you’re not careful. Take advantage of previous trades and study their patterns. This ... So Bitcoin has become for me the most dominant trade potentially in the world right now. You know, last time when we were speaking, I was probably very interested in the bond market. Now I think that on a risk adjusted basis, Bitcoin probably has the best opportunity on earth at this point, going forwards, whether that’s over the time horizon of the next six months or whether it’s a time ...

[index] [33709] [43283] [185] [38133] [1698] [29951] [32868] [14747] [33248] [27532]

Bitcoin Live Trading

Trade with leverage on Bybit get free $10 by retweeting my referral link : ... Bitcoin Live Trading 24/7 KisamaCrypto 10 watching. Live now; Simon Sinek on How to Get People to Follow You - Inside ... How To Short/Leverage Trade + Buy/Sell Bitcoin on kraken Exchange. This video goes over how to use kraken exchange and is a kraken exchange tutorial. #kraken... PatternCast #Bitcoin Signals https://patterncast.com Join Our Discord Server https://patterncast.com/discord Leave a Tip if you feel like I helped https://tr... 🚨 MEGA BITCOIN BLUEPRINT SALE 🚨 https://www.btcblueprint.com 🔥 Up To $600 Discount - Limited Time 🔥 🔲 My Top 3 Recommended Exchanges 🔵 Phemex http ... ByBit exchange tutorial: how to long or short Bitcoin (BTC), Ethereum (ETH), EOS, or XRP using margin leverage trading review. NOT BITMEX. 🔶 Sign Up to ByBit...

#