A Beginners’ Guide to Libra: What It Is and How to Trade It

Libra, Facebook’s proposed cryptocurrency, has caused the cryptocurrency community to go into a frenzy. It all began in May of 2018 when Facebook created a blockchain subsidiary. In December 2018, the CEO of the subsidiary, David Marcus, disclosed plans to create a digital currency. Finally, in June 2019, Facebook officially released a whitepaper, announcing its intentions to launch ‘Libra’ sometime in the first half of 2020.

Based on the declaration, the Libra project will be overseen by the subsidiary called ‘Calibra.’ Calibra is also the proposed name for the digital wallet which will function as a stand-alone app and will be easily accessible on Whatsapp and Messenger.

As a remedy to the volatility problem plaguing other cryptocurrencies, Libra will be a ‘stablecoin.’ To make it even more stable, it will be tethered to four major fiat currencies. These currencies include the US Dollar, the British Pound, the Euro, and the Japanese Yen.

Unlike other stablecoins, Libra’s value will not be constant. Instead, it will have natural swing cycles based on market conditions just like fiat but will not be as volatile as a cryptocurrency. David Marcus asserts that it will function more like a fiat than crypto.

Libra’s primary goal is to provide hitch-free transactions to the unbanked public across the globe. It is estimated that about 2 billion people on this planet do not have a bank account while there are more than 5 billion people who own and use mobile phones. Almost all of the said 5 billion people have access and use the internet and social media. At the moment, Facebook boasts of about 2.4 billion monthly active users across the globe.

That said, Facebook plans on taking advantage of this large audience to encourage the adoption of Libra. Libra aims at using this reach to provide quality transaction services for everyone, especially to the unbanked public.

Apart from being a stablecoin, listed below are other core features of Libra:

1. It utilizes a unique consensus mechanism known as LibraBFT.
2. It utilizes smart contract coding through the “Move” programming language.
3. It will be run by the self-sufficient Libra Association which will comprise about 100 members by the time it launches. Firms like Uber, MasterCard, and eBay are affiliated with that association. To join the membership, the aspiring firm has to invest at least $10 million into the project.
4. Libra will start as a ‘permissioned’; blockchain but will eventually evolve into a ‘permissionless’ blockchain over time.

Trading and Investing In (Buying) Libra

When it comes to the global markets, they can either be invested in or be actively traded. The same holds for Libra.
Investing in an instrument doesn’t necessarily need any in-depth or steep knowledge in that instrument. Trading, on the other hand, requires experience, skill, and comprehensive knowledge in price analysis and market trends.

That said, active trading is not for those unwilling to devote adequate time to acquire the proper skills needed to be a successful trader. Aside from skills and experience, active traders also need effective trading tools to give them a better edge to succeed.

However, Libra brings a tweak to these market entry methods. It provides an innovative system for traders at all classes to experience success. The method provided by Libra is social-driven as it uses data obtained from trading communities to create better chances for success. This service is popularly known as a “trading bot.”

By analyzing the trading community and following the latest trends in the sector, helps both professional and amateur traders get the best out of trading. The program even boasts a 96% profitability rate.
This feature helps users bypass the arduous process of reading charts and market activities to make a profit. All these can be done automatically at the click of a button.

Let’s analyze, in detail, the dissimilarities between trading and investing in Libra.

Dissimilarities Between Investing In (Buying) and Trading Libra Investing

1. Investing in or buying Libra means that you own the coin and can transact it in any way you see fit.
2. Investing in Libra entails holding the coin for long periods in the expectation that the value will rise.
3. The coin can be used similarly as traditional fiat i.e for payment for goods or services.
4. It is less risky compared to active trading.

Active Trading

1. Libra trading has an automated bot attribute that is created on a social-based trading system.
2. Active trading doesn’t require you to own the underlying asset, in this case, Libra. You can choose to either buy or sell in this method without owning any coin.
3. There’s a higher a higher tendency to make a profit through trading using the bot.
4. This method has a larger exposure to risk.

Libra Wallets

Currently, there is only one known wallet that can support Libra coins; Calibra. The wallet is going to be available as a stand-alone app and will subsequently be available on other apps.
Calibra will be readily available on Whatsapp and Facebook Messenger. However, the firm also plans on allowing developers to build their wallets for the coin.
Libra and Calibra are both expected to drop this year, however, they are still undergoing finishing touches and are trying to secure approval from global authorities.

Benefits and Downsides Associated With Libra

Benefits

1. Amateur traders are now exposed to having a professional edge thanks to Libra’s ingenious trading algorithm.
2. Libra is expected to receive widespread adoption and use as a result of Facebook’s reach and global dominance.
3. Libra is believed to grow exponentially due to the numerous uses it has.
4. It will be easily accessible to anyone from anywhere as its availability on Whatsapp and Messenger significantly lowers the barrier to entry.

Shortcomings

1. Facebook is known for its flawed security for customer data privacy which has sparked questions over Libra’s user privacy and security.
2. Governments and regulatory authorities across the globe are still battling with Facebook and Calibra over Libra and what effects it could have on the global economy.
3. There are suspicions that Libra might be centralized and not decentralized due to the initial ‘permissioned' blockchain system.

Frequently Asked Questions (FAQs)

Is Libra a digital currency?

Yes. Libra operates on cryptographic security, on a decentralized public ledger, and functions without a central governing system. It also uses a pseudonymous wallet.

Does Libra operate on a blockchain like Bitcoin and other cryptocurrencies?

Yes. Libra makes use of a unique blockchain that is significantly different from the traditional blockchain in some regards. Instead of blocks, it uses a ‘Merkle Tree System’ and is designed to have the capacity to scale to billions of accounts.

What does the ‘permissioned’ blockchain concept mean?

The traditional permissionless blockchain allows just about anyone that has acquired the necessary skills and equipment to become a miner. Although this makes a network very decentralized, it also causes the network to be slow due to the overwhelming amount of nodes. This is why Libra plans to begin as a permissioned blockchain which is slightly centralized. At this period, the members of the Libra Association will oversee the affairs of the network.

What type of stablecoin will Libra be?

Libra will be a fiat-backed stablecoin and will be substantiated by the Libra Reserve which will contain real assets. To help reduce exposure to volatility, the assets will contain government securities in safe, respected currencies and bank deposits.

Who will oversee the affairs of Libra?

Libra will be supervised by a body known as the Libra Association. This association is a union of several firms that invested in the advancement of the project. The Libra Association is a not-for-profit organization that is Swiss-based and will also be tasked with governing the Libra Reserve.

Will Facebook have commanding power over Libra?

No. Once Libra takes off, Facebook will immediately hand over control to the Libra Association. This association will have the Libra Association Council as its presiding authority which will be tasked with voting on decision making and policy changes.

What can I buy with Libra?

Holders of Libra will be able to send and receive Libra into their wallets. Considering that firms like Uber and eBay are among the Libra Association, it is anticipated that you will have the ability to pay for their products with Libra once it is out.

Is Libra trustworthy?

Facebook claims to boing everything practical to make Libra secure and safe. They recently announced that Libra would have a bug bounty scheme which will serve as an incentive for tech enthusiasts to look for flaws in Libra’s e dsystem. Facebook also announced that in the unlikely event of a hack, affected users will be fully reimbursed.

Final Note

The fact alone that it is backed by social media behemoth, Facebook, has placed Libra on the path to certain success. The committee backing Libra has taken time to point out deficiencies and weaknesses in other cryptocurrencies that are not found in Libra.

Also, the innovative algo used by this project has greatly contributed to setting Libra ahead of the pack and onto the path to success. There's no denying that Libra is adequately equipped with the tools for success.

However, with the intense crackdown, it is currently facing from regulatory authorities, it is still unclear what the fate of Libra would be.

 

Your All-Round Guide to Bitcoin Gold (BTG)

Cryptocurrency forks are regular occurrences in the crypto space. Bitcoin has witnessed many iterations through this activity. One of Bitcoin’s most anticipated forks, Bitcoin Gold, occurred sometime in 2017.

While there are several intentions behind hard forks, including the opportunity to scale up as the customer base grows or as a result of a disagreement in vision and objectives between developers, Bitcoin Gold noted that its purpose for the fork is to “make Bitcoin decentralized again.”

At first glance, this goal seems somewhat counter-intuitive. Bitcoin is indeed decentralized; it isn’t under the control of any entity or group; neither is it regulated by the government.
So what exactly could Bitcoin Gold’s aim be? BTG was not talking about central issuance when it highlighted decentralization. Instead, it was referring to Bitcoin’s mining process.The creators of BTG explained that by utilizing a new algo for the mining process (in this case, an algo which is known as Equihash), Bitcoin can now become less disproportionate in favoring mining operations. Bitcoin Gold is a newly released cryptocurrency that has been garnering increasing adoption by crypto fanatics around the world because of its multiple usabilities and also because it is a derivative of Bitcoin. 

In this article, you will get an in-depth review of what Bitcoin Gold is all about, how it is being mined, the necessary tools for mining, and other relevant information about the cryptocurrency. 

Bitcoin Gold 101

Bitcoin Gold is a hard fork derivative from Bitcoin, however, it has a more decentralized mining infrastructure compared to Bitcoin. 

Bitcoin Gold is represented with BTG and has a total token pool of about 18 million BTG.

The BTG mainnet was released on the 12th of November 2017 after a beta testing version was successfully run.

BTG functions on a Proof-of-Work algo running Equihash, which can be mined through the use of General Purpose Computer Hardware. ASICs cannot use this digital asset created for Bitcoin, which reduces competition over insufficient resources from Bitcoin. 

The evolution of Bitcoin Gold

Jack Liao and several other developers established BTG in November 2017. The founding team is supported by a group of experienced developers who are tasked with updating the system regularly. The founding fathers sought to bestow BTG users with the ability to mine using ubiquitous GPUs.

BTG was modeled in a manner to decentralize mining and also to authenticate Bitcoin transactions.  

 

 

Bitcoin Gold’s Timeline

BTG is yet another Bitcoin derivative that has had its fair share of security threats and attacks. Shortly after its launch, the cloud site was receiving more than 10 million requests per minute, which caused the system to get clogged and crash. The DDoS attack was handled swiftly, however, that didn’t stop the mining community from lashing out at BTG over gross incompetence. This caused the BTG token to drop in value. 

In May 2018, BTG was a victim of a grand hack scheme, which saw the perpetrators make away with about $18 million in cryptocurrency from the network’s holdings. 

Subsequently, the network was accused of hiding a 0.5% mining charge from the mining community. This caused the Bitcoin community to deny BTG of their support, causing the price of the token to plummet even further.

BTG was priced at $456.25 at release but has sustained a downward trend since that period. It sustained a dropped to the $100 level in January 2018. It has been downtrend after downtrend ever since. 

At the time of writing, BTG is valued at $6.70 (98.5% decrease since its original price at debut) and has a daily trading volume of $17,695,392. Like Bitcoin, it has a total supply of 21 million tokens and currently has about 18 million tokens in circulation.

BTG has a market capitalization of $117,192,656 and dominates 0.05% of the total market space. It is ranked at the 41st position in the market based on market capitalization.

The Technology Backing Bitcoin Gold Technology

BTG operates on SIGHASH_FORK_ID replay protection. It implements a new algo that evaluates the hash of a transaction and delivers 2-way replay protection. It also nullifies Bitcoin transactions on the BTG blockchain and vice versa. 

The equihash algo inhibits the centralization of BTG to disallow small groups of wealthy investors to manipulate the price of this cryptocurrency, thereby providing stability to BTG prices.

Also, Bitcoin Gold uses DigiShield V3 to maintain a 10-minute interval between the creation of Bitcoin blocks to sustain difficulty. 

Bitcoin Gold’s Blockchain

The BTG blockchain is a decentralized peer-to-peer system that runs on the PoW consensus mechanism. It uses the Zhash hashing algo and new tokens are dispensed at every new block. 

As with the crypto giant, Bitcoin, the system undergoes a halving event every four years. Bitcoin, as well as Bitcoin Gold, is set to undergo another halving this year. 

BTG shares similar characteristics with Bitcoin because it is a derivative of it. For example, the block creation time of BTG is ten minutes with a block size of 1 megabyte. This is the same with Bitcoin. 

Bitcoin Gold Nodes

Nodes are the anchor of any network. BTG has two nodes; full nodes and light nodes. 

Full nodes, also known as Full Validation Nodes, are the most important nodes. They download and disseminate the complete transaction history of the blockchain. They also authenticate transactions and blocks on the system. To use the full node, you will be required to download the full blockchain, which is over 200 gigabytes at the moment. 

Light nodes, however, are the most active nodes on the system. They download a section of the blockchain and ensure that it is updated regularly. Light nodes, unlike full nodes, do not fulfill any validation purpose. 

Features of Bitcoin Gold

1- It has a decentralized system: The PoW algorithm decentralizes the mining process on BTG’s blockchain and inhibits the use of specific technical chips for mining. Users can mine BTG using GPUs in a purely decentralized setting. 

2- Replay production: This feature protects users against cyber attacks. It safeguards against transaction, duplication, and loss of funds by ensuring that transactions on one chain are invalid on others. 

3- Insurance against huge swings: Deviation in the aggregate percentage of hash power can be avoided by adjusting the difficulty algo, which also safeguards against considerable swings in hash power. 

4- Special addressing setup: BTG has altered the style of its address to avoid it getting mistaken with Bitcoin’s address. This helps deter the unintentional transfer of BTC to a BTG address, which could lead to the permanent loss of funds. 

Trading Bitcoin Gold

One of the factors that determine the success of a digital asset is its accessibility to public exchanges. Based on the information on BTG’s website, the digital asset is readily available for trading bitcoin on several exchanges. Some of these exchanges include Bithumb, Bitfinex, Binance, Tdax, Indacoin, and a host of others. BTG is also tradable against several other cryptocurrencies and offers a wide array of usabilities.

BTG’s website lets us know that BTG is currently available on 45 markets and 34 exchanges as of January 2018. As BTG continues to grow in widespread use, more exchanges will begin listing the asset on their platforms, giving it an even wider reach.

 

Storing Your BTG Tokens

Bitcoin Gold can be stored on various mediums. One well-known storage medium is its default wallet; BTG Core Wallet v0.15.1. However, this wallet consumes a great deal of space and memory, unlike other third-party wallets which are small in size and do not require as much storage space. Some of these third-party wallets include:

• Trezor 
• Ledger Wallet
• Coldlar 
• Exodus
• Kasse, 

and many more.  

The Distinguishing Factors Between BTG and Other Cryptocurrencies

BTG has some awe-inspiring qualities that help it stand out above the competition. Listed below are some of these qualities:

1. All wallets and transactions are pseudonymous. BTG users can track the movement of tokens, where the transaction originated from and its destination. 

2. BTG can be traded on 34 exchanges and can also be traded against a selection of 72 different cryptocurrencies.

3. BTG mining is open to anyone with a computer system with GPU graphics cards. BTG is based on a social equality principle, unlike other Bitcoin derivatives. 

4. BTG has a Lightening Network integrated into its system, which significantly reduces transaction fees and increases the number of transactions executed per second. 

BTG might take over from Bitcoin mining firms by producing an alternative mining algo which is not vulnerable to ASIC-based optimization. This will give rise to a more accessible mining platform, which will invariably boost investment in security.

BTG’s Dedication to Transparency and its Safety Measures Against Cybercrime

Asides from making Bitcoin decentralized again, BTG’s creators were also concerned with matters relating to distribution, security, and transparency. BTG’s website mentions that hard forking Bitcoin’s blockchain will deliver a fairer and more efficient digital asset to interested cryptocurrency users. 

Also, in today’s world, digital currencies are always the target of cybercriminals and bad actors, and so BTG has taken firm steps to ensure the security of the funds and information of its customers. The security measures include replay protection and distinct wallet addresses. 

Launch and Controversy

After BTG was released, the creators performed what is popularly known as a “post-mine.” This involved the retroactive mining of 100,000 tokens after the forking event. This was done through the instantaneous mining of about 8,000 blocks, which were earmarked for administrative use and for growing the network. 

5% of that 100,000 tokens were reserved as bonus payments for the six primary executives of the firm. Everyone that owned a Bitcoin at the time received a BTG token. Which means, for every single Bitcoin, one BTG token was allotted. This was how BTG got distributed.

In March 2018, BTG had achieved 253 reachable nodes. Germany had the most concentration of nodes followed by the US and France.

Bitcoin Gold Mining

Unlike regular Bitcoin mining, which requires sophisticated tools and adequate expertise, mining BTG requires only a computer system and a Graphics card.
Miners use the computer system and graphics cards to validate BTG transactions. When a transaction is authorized, the miners are rewarded with a block for the task.
In mining, there are two distinct types; solo mining and pool mining. Solo mining involves mining cryptos by yourself, whereas pool mining involves joining a mining firm or network to mine blocks collectively.

Solo mining generally requires several powerful computers with different top-notch video cards. Pool mining, however, is less demanding as resources are pooled together to achieve the same objective. In pool mining, block rewards are shared between miners in the pool according to the percentage of work done, whereas in solo mining, all rewards go to the individual miner.

Requirements for Mining the BTG Blockchain

Let’s say you’re interested in mining BTG, here are the necessary tools you might need:

1. A functioning computer system.
2. A crypto wallet to receive and transfer tokens.
3. Mining software to enable your computer to solve blocks.
4. A registered account on an exchange to trade your mined BTG for other cryptos or fiat.

Necessary BTG Mining Hardware and Software

Hardware

BTG mining can quickly be done using graphics cards. Still, you will need to assemble a mining PC with the listed auxiliary components:

1. A processor: You don’t necessarily need a super-fast processor, a standard Intel Celeron will do.
2. A motherboard: A mining motherboard that has several PCI ports for your graphics cards are quite common, any standard motherboard selection will do in this case.
3. Random Access Memory: A minimum of 4 gigabytes will be necessary for mining.
4. Storage: A decent SSD is required for storing your OS and mining software. You can also run your system on an external hard drive. However, it slows the boot time of the system.
5. Power: One graphics card requires a minimum of 800W so you would need to calculate the number of graphics cards being used and supply power accordingly.
6. Casing: Normal ATX case cannot support more than 4 graphics cards. If you’ll be using more than that number, then you’ll have to customize a casing.

You could also decide to buy your mining case off designated websites. If you’re considering doing so, you’ll need to buy PCI-E riser cables; these allow you to connect numerous graphics cards on the same motherboard.

Furthermore, there are designated websites, like PCPartPicker, that helps you organize and assemble your mining equipment at a cheaper rate. However, the parts don’t come with a warranty, so you’ll have to replace broken or malfunctioning parts from your pocket.

PCPP also helps assess whether your selected components will work together and function efficiently.

Technical Requirements

Even though it is technically feasible to mine BTG using just your default computer processor, it might not be an efficient option. Normal processors, unlike graphics cards, are very slow and, in most cases, will not reap even the least mining rewards. This could leave you at a loss as you will not make back the expense of running a mining system, which makes processor mining extremely unproductive.

Software

Unlike Trading Bitcoin, which requires a dedicated software like Bitcoin Trader, Bitcoin Revolution, Bitcoin Evolution, Mining BTG requires the right mining software. This software links your computer to the network or pool and allows you to begin the hashing procedure. Listed below are a few compatible BTG mining software:

1. EWBF Miner.

2. Claymore’s AMD Miner.

3. Optiminer.

Advantages of BTG

1.Unlike Bitcoin, Bitcoin Gold was created with one thing in mind; equality. BTG can easily by mined by any interested party provided they possess the necessary equipment.

2. Because BTG is mined with GPUs, it doesn’t require much capital to start up, unlike its big brother. This boosts decentralization.

3. Since it is a fork of Bitcoin, you will possess the same number of BTG tokens as BTC that you had before the fork.

Disadvantages of BTG

As with everything on this earth, BTG has its shortcomings. Here are a few weaknesses worth mentioning:

1. It stalled the release of its source code, which incited distrust in its users.

2. The BTG team always seem to be unsettled in their actions.

Frequently Asked Questions (FAQs)

What differentiates Bitcoin from Bitcoin Gold?

Bitcoin is the pioneering cryptocurrency in the world while BTG is a fork of Bitcoin.

What is BTG?

BTG, a fork of Bitcoin, addresses mining problems by switching the SHA-256 algo in Bitcoin with its Equihash algo instead.

What is the purpose of BTG?

According to their mission statement, the BTG aims at “making Bitcoin decentralized again”.

How do I claim a BTG token?

The quickest way to get a BTG is by buying it on an exchange that trades the cryptocurrency.

How do I sell my BTG token?

You can sell your BTG tokens on any of the exchanges listed in this article. You could also engage a brokerage in private trade and sell your tokens.

Should I invest in BTG?

That question should be directed at your financial advisor. However, if you don’t have one, do a little “soul-searching” to find out if BTG is really for you.

When did the BTG fork event happen?

BTG was officially announced in November 2017.

How to Trade Bitcoin – Learn Bitcoin Trading

Trading Bitcoin, profitably, has been somewhat of a challenge for many crypto traders, especially beginner traders. To become successful at cryptocurrency trading, one has to garner a healthy amount of knowledge or experience. All that is required is the dedication to become well versed in cryptocurrency, which will invariably help you grow your trading prowess and become a profitable trader. 

In this article, we cover the basics of trading Bitcoin, the adoption of healthy trading habits, pitfalls to avoid, Bitcoin CFDs, and every other necessary trading information you will need. Regardless of whether you’re a beginner trader or a professional trader, this article will be more than valuable for you. 

Introduction to Bitcoin Trading

 Bitcoin trading, simply put, is buying into Bitcoin positions for a relatively short period with the primary aim of making a profit at the sale. Bitcoin trading involves analyzing trends and charts to get an idea of what the market is doing at that moment and predicting what it will do in the next. 

Mainly, there are two primary modes for analyzing the Bitcoin market; fundamental analysis and technical analysis; we’ll come to this later. 

Why Bitcoin is Valuable 

Bitcoin is an investment vehicle that provides an effective means of transferring funds through the internet at lightning speed and is governed by a decentralized network with transparent regulations, thus serving as a suitable replacement for traditional fiat, which makes it a good Store of Value. 

In today’s economy, for a currency to indeed be characterized as successful, it has to comply with three main qualities:

•  It must be free from all control by governments or authorities. 
•  Borders must not bind it so that it can travel freely to any location on earth. 
•  It must be apolitical, meaning it doesn’t favor certain groups or individuals. 

All these qualities are inherent in Bitcoin. The crypto giant, which was the world’s first digital currency, derives its value from being the very first currency that cannot be manipulated and is readily available to anyone willing to purchase. 

Bitcoin is free from oppression, control, and hyperinflation. It also has a limited supply of 21 million tokens to safeguard against inflation and sustain its value. 

In truth, any currency governed by a central bank is not credible considering the big picture. Governments have made it so that their nations’ currency can be manipulated at will. Fiat has become less and less valuable since it was removed from the gold standard. 

All the numerous flaws plaguing the fiat monetary system cannot be found on Bitcoin, which makes it superior to fiat. 

Bitcoin Trading vs. Investing

 In the global markets, Bitcoin included, there are generally two kinds of players involved: traders and investors. Understanding the difference between the two will help you in becoming a better Bitcoin trader/ investor. 

“Investing” in Bitcoin involves buying and holding Bitcoin for the long term in hopes or expectations that the value will increase over time. Investors also invest in Bitcoin out of the belief of the technology or team. This class of actors is popularly known as HODLers in the Bitcoin community.

Bitcoin traders, on the other, trade Bitcoin in the short term, for quick profits. Traders, unlike investors, see Bitcoin as an opportunity to make profits. In some cases, they don’t even care for the technology behind it or the team. 

That said, some people trade and invest, at the same time, in Bitcoin. 

Bitcoin trading has been on the rise in recent times due to various reasons. 

Firstly, Bitcoin is extremely volatile. This means that you can make a decent profit in a short period if you correctly predict the next price movement. Furthermore, the Bitcoin market is open 24/7 all year round. This allows for more time to trade Bitcoin whenever you see fit. 

Finally, Bitcoin’s decentralized nature and its ease of entry make it very appealing as a trading tool for many. 

Bitcoin Trading Methods

 There’s no arguing that the primary purpose for trading Bitcoin is to make a profit. There are several methods to achieve this aim in the cryptocurrency market. Explained below are the trading methods involved in Bitcoin trading:

1- Day trading: Day trading, as the name suggests, consists in executing and completing trades within a day. Day traders spend the bulk of their time in front of their screens, analyzing charts and price movement. Day traders always make sure they close all open trades on the same day it was opened. 

2- Scalping: Scalping is the attempt of scrapping tiny profits off tiny price movements multiple times to generate substantial profit. Scalping is an extreme short-term trading strategy and is based on the precept that it alleviates the risks involved in trading. Scalpers can conduct hundreds of trades in a single day. However, this trading method has its inherent risks and disadvantages and requires experience and expertise to carry out. 

3- Swing trading: Swing trading is a more passive trading approach that takes advantage of the natural swings of price cycles. Swing trading involves identifying market trends, entering and riding the trend, and exiting only when the trend has ended. 

Swing traders can hold trades for weeks, months, and even a few years until they achieve the desired outcome. 

Fundamental and Technical Analysis Methods

There is no “holy grail” in trading Bitcoin that guarantees a loss-free trading system. Every trader, no matter how experienced, witnesses trading losses at one point or the other. The goal, however, is to have your trading balance in the positive no matter how many losing trades you may have accrued. 

There are two general techniques involved in analyzing the global markets, Bitcoin inclusive. They are fundamental analysis and technical analysis. 

Fundamental analysis: Involves predicting market movements by evaluating news and events happening with Bitcoin. Macroeconomics are also important factors when carrying out fundamental analysis on Bitcoin. 

This analysis method is not concerned with what price may be doing at that moment but is concerned, instead, with outside factors and how they could influence the price. 

Technical analysis: This involves the thorough study of the technicalities included in Bitcoin trading. It requires reading and understanding charts, graphs, momentum indicators, oscillators, volume, volatility, and price action to predict the next possible movement of the price. 

Trading Bitcoin CFDs

The recent increase in the rage for Bitcoin has caused exchanges to increase the access to the global markets they offer their customers. Particularly, a good number of providers have begun delivering “Contracts for Difference” services on popular cryptocurrencies. 

A CFD is an arrangement based on an underlying asset, probably a share, index, commodity or currency pair. Trading CFDs allows you to take advantage of an asset by making speculations on that asset to make a profit, without having to own that asset at any time.

In CFD trading, every point move the price makes in your selected direction translates as a profit for you according to the number of units you traded. Likewise, in a scenario where the price goes in the opposite direction of your selection, you make a loss. 

CFD was initially limited to stocks, currencies, commodities, and indexes. However, it is now available for Bitcoin pairs and crypto-fiat pairs.

 How Does Bitcoin CFD work?

 One of the most remarkable features of trading CFDs is the ability to make a profit by either buying or selling a CFD. Since you don’t own the underlying asset, you are not restricted to just buying that asset, and you could sell it if you feel it is headed for a drop in price. 

One important concept you have to comprehend before going into CFD trading is “Leverage.” Leverage can be very advantageous and detrimental at the same time. 

To open a CFD trade, you will be required to deposit a small percentage (10%, 2%, or even less) of the trade’s total worth. This is generally known as a “margin requirement.”

For example, assume you open a trade worth $5,000 with a margin requirement of 2%, it means that you need just $100 to make this trade.

Here’s where it gets interesting. Your profit expectation is not based on your $100 deposit but instead, on the $5,000 original worth. 

Leveraging allows you to reap more benefits with so little. However, it also amplifies your losses, meaning that there is the possibility of losing more than you deposited for the trade. This risk tendency should be your major concern when trading CFDs.

Even though CFDs trading may seem more daunting than traditional Bitcoin trading, they help you avoid the security-associated risks that come with trading those securities. They also offer the opportunity to make profits in both rising and crashing market situations. However, this advantage comes with a heightened amount of risk. 

Pros of Bitcoin CFDs

Listed below are the advantages of trading Bitcoin CFDs:

1. Margin trading allows for increased profit potential. 
2. You can trade Bitcoin without having to own it. 
3. You don’t need to have accounts on exchanges or own crypto wallets.
4. You can make a profit in both bullish and bearish markets. 
5. CFD providers tend to provide better customer support. 

Cons of Bitcoin CFDs

• Greater exposure to margin calls. 
• You can lose more than you deposit. 
• Not convenient to hold for a prolonged period. 
• Heightened volatility.
• It is also speculative. 

Common Bitcoin Trading Mistakes

If you’ve read up to this point, you should have gotten a feel for how Bitcoin trading works, and you should be ready to test your newly acquired knowledge in the field. However, you need to keep it in mind that trading Bitcoin is a precarious business, and mistakes can be very costly. 

Explained below are some common mistakes traders make. Let’s hope you learn from this and avoid making these mistakes yourself. Professional traders can also make a point or two from these warnings. 

#1 Mistake – Risking more than you can afford to lose: This is probably the worst mistake you can make as a trader. As explained previously, losses are made once in a while. Every trade you take has a possibility of going against you, so if you’re risking more than you can afford, you’re setting yourself up for s loss… and a margin call. 

Also, trading more than you can afford to lose affects you psychologically, which could cause you to make terrible trading decisions. 

#2 Mistake – Not following a plan: Some traders make the mistake of not having a precise course of action when trading. They don’t have any entry or exit plans. 

To be a successful trader, it is imperative to have a pre-set stop-loss and take-profit area before entering any trade. 

#3 Mistake – Keeping money on an exchange: Never leave money on an exchange you’re currently not engaged with. Moving your money on exchanges leaves you open to casualties. The transaction could get hacked, go offline, or go out of business entirely at any time, and if your fund is still on the exchange, you may never be able to recover it. 

Instead of leaving your funds idling on an exchange, move it to your offline or online wallet to secure it. 

#4 Mistake – Acting based on fear or greed: Two fundamental emotions can control the actions of traders; fear and greed. Anxiety could cause you to close out of a position, that would have been profitable, prematurely. Greed, on the other hand, causes traders to jump on a trade without performing proper market analysis because they don’t want to miss out on that opportunity. 

There will always be more opportunities in the future, take your time, and evaluate before executing any trade. A repetition of such actions can lead to the total wipeout of your trading funds. One way to overcome the trap of our emotions in trading is by following our set plan religiously.

#5 Mistake – Not learning from experience: Regardless of whether you had a successful or losing trade, there is always a lesson to be learned. Keep a journal or recorder at hand, and document all your activities. 

Should You Trade Bitcoin? 

Here are eight reasons why you should, in fact, trade Bitcoin:

1- Bitcoin’s rules are permanent: Bitcoin’s set rule can never and will never be changed. The token distribution plan will go as scheduled, halvings will occur when due, and every other set plan will be executed. 

2- Bitcoin will become even more scarce: Because of how rapidly the adoption of Bitcoin is, it is sure to become more limited in the future. Scarcity is also a method Bitcoin utilizes in sustaining its value. 

3- Bitcoin is transparent: Bitcoin is more transparent than the Federal Reserve or any other traditional currency. 

4- Bitcoin cannot be censored: It cannot be censored even in strictly regulated countries like China, Brazil, and Russia, mainly because of its decentralized nature. 

5- Transferring Bitcoin incur low charges: Unlike fiat, transferring Bitcoin across borders is unbelievably cheap.

6- Bitcoin regulation is becoming more developed: In its inception in 2009, Bitcoin was not regarded by any authority because it wasn’t considered to be valuable. However, nations are clamoring to control or regulate the entity, which is a clear sign of how expensive it is and is becoming.

7- Bitcoin creates the opportunity to make a profit: Profit can be made by trading the security or by merely holding it long enough for its value to increase. 

8- Bitcoin is a better alternative to gold: It has become apparent that we’re now in a digital era, and digital currencies are the currency of the future, and gold, unfortunately, will be left in the past. Bitcoin is considered to be an even better Store of Value than gold. 

Now that you’ve seen the pros of buying Bitcoin, It is also imperative to be aware of the possible downsides of buying Bitcoin. Here are some reasons to consider:

1- Bitcoin could suffer technical obsolescence: As the digital world advances, better alternatives to Bitcoin could arise, causing Bitcoin to become obsolete. 

2- Bitcoin is still in its development phase: The stocks and bonds market has been around for over 300 years, which is a huge difference compared to Bitcoin’s tiny ten years in existence. 

3- Bitcoin could be taken down by a coordinated government attack: If all the top economies of the world were to collectively crackdown on Bitcoin, there’s no telling what catastrophe it could spell for the cryptocurrency. 

Frequently Asked Questions (FAQs)

Q- How do I trade Bitcoin?

A- To begin trading Bitcoin, you need to follow these simple steps:

1- Open an account with a Bitcoin-supported exchange. 

2- Verify your identity. 

3- Make a cash deposit into your live account. 

4- Make your first trade. 

Q- Is day trading a good way to make money?

 A- Trading cryptocurrencies can be very profitable, and there are several trading methods to adopt. 

While trading Bitcoin can be a sure way to make money, facts have it that 90% of people that go into trading quit in the first 3 months. 

Final Note

In my opinion, trading Bitcoin can be very challenging, and as stated in this article, the percentage of people who quit trading after the first few months is alarming. That said, to succeed in this intimidating market, you need to build your trading knowledge, skill, and experience.

Another note of warning goes to those who are looking to trade Bitcoin as a get-rich-quick scheme. Bitcoin doesn’t work like that, and it is advisable to stay away entirely from it if this is your expectation.

Crypto Trading – Bitcoin Trader Tips

Cryptocurrency or digital currency is an internet-based medium of exchange which uses cryptographic functions to facilitate financial dealings. Bitcoin is presumed to be the first cryptocurrency ever to be created. After creation, the digital currency can be transferred between parties through the use of public and private keys. Typically when transfers are done between parties, they are usually accompanied by minimal processing fees, which are far better than those charged by traditional financial institutions.

Crypto Trading Tips

Trading in cryptocurrency or fiat currency is all the same. The only difference is that instead of you buying fiat currency like US dollars or euros, you decide to buy or trade Bitcoin or Ethereum. For example, after your market analysis, you find out that Bitcoin (BTC/USD) will inCryptocrease in value against the US dollars; you will then “go long.” Conversely, if the reverse is the case, you will have to “go short.” Remember that we are not buying the cryptocurrency physically but placing orders in the market. Meanwhile, the following are the trading tips:

• Cryptocurrency Volatility
• Limitation of your exposure
• Cryptocurrency Leverage
• Ability to cash out
• Trading patterns

Cryptocurrency Volatility

As a trader, you have to know that cryptocurrencies are incredibly volatile. A typical example is the trading strategy used in forex trading. In Forex trading, these strategies take several weeks before it becomes realizable. However, in cryptocurrency trading, these techniques become achievable in a matter of days or hours. These techniques will work for you in cryptocurrency trading.
Conversely, it will have adverse effects when there is volatility. It’s been reported that Litecoin value fell by 50% within two weeks in 2017. However, the recovery took about two months.
Limitation of Exposure
Your investment must be within what you can afford to lose. Borrowed funds are not supposed to be used for cryptocurrency trading. You should consider your investment as being lost in trading even though you may still have access to it. When you have this notion, and you are comfortable, then you will not be under stress to trade. This is the key to success.

Cryptocurrency Leverage

As a newbie trader subscribing for leverage is not necessary. Leverage is a borrowed fund from the broker to increase your capital for trading. Leverage can help you to magnify your profits when the market is in your favor. On the other hand, it can magnify your losses when the market is against you. Assuming you have $1,000 US dollars in your trading account and you traded BTC/USD without leverage.

You place a long trade because you know that Bitcoin will increase in value. At the end of the trading session, if your capital is increased to $1100, then you have made 10% profits less trading fees. However, if you are trading with leverage, say 10:1. Your profits will multiply by 10 times after trading fees have been deducted. Nonetheless, if the market is against you, leverage will slice away from your deposit, 10 times your losses.

Ability to Cash out

A critical aspect of trading is the ability to exit the cryptocurrency market at the right time with a profit. This is an essential aspect of trading, although your entries are also crucial after thorough market analysis. In trading, you make profits when the market goes up or when it falls. In reality, the market moves down, than it moves up.

You close your winning trades on time because it can turn negative. Targets (take profits) can be set at the critical levels of the markets. Stop-loss orders are another method of exit. When you set your parameters, the platform automatically liquidates your position at the predefined prices.

Trading Patterns

Early days in Forex trading, you must have heard about chart patterns, maybe in market trading books and guides. The market does follow these chart patterns like the Head and Shoulders, Double Top, and Rising Wedge. Professionals use these patterns to predict the market. As a trader, you must limit your exposure to the patterns; the outcome of these patterns is not definite. You can lose your money on some of these patterns does not exist.

What are Cryptocurrencies?     

A cryptocurrency is a digital coin which is an internet-based medium of exchange between persons in virtual transactions. These are not fiat currency that you can hold, but they only exist as data. They are entries in a database that cannot be modified without fulfilling specific conditions. The following are some of the features of a cryptocurrency:

• Digital
• Decentralized
• Peer-to-Peer
• Pseudonymous
• Trustless
• Encrypted
• Global

Digital

Cryptocurrency is called digital because they only exist on computers. Unlike our fiat currency, which exists in the form of coins or paper notes. Fiat currency has reserves in all Central Banks. Cryptocurrency does not have reserves.

Decentralized

As the digital currency exists only in computers, they are distributed across a network of thousands of computers. The cryptocurrencies are not confined to one central computer or server. It is a network without a central server. Every single entity of the network will do this job. Every peer in the network should have an inventory to check if the transactions are valid.

Peer-to-Peer

In any transaction, digital currencies are passed from one person to another. All users of cryptocurrencies deal directly with one another. In cryptocurrency, third parties are not involved and also banks or PayPal.

Pseudonymous

This feature implies that the personal information of a user is not a condition before he or she can use or own cryptocurrency. There are no rules or regulations before owning a cryptocurrency. The users receive Bitcoin on an address that comes with a chain of 30 characters. Under this feature, you can examine all the transaction flow, but it is not necessary to reconcile the real identity of users of those addresses. 

Trustless

Users of cryptocurrencies are in complete control of their money and information. They don’t have to trust the system for it to work. In digital currency, there is no trusted third party. By the word “trusted third party”, it means that users or owners have to trust them with their personal information before using their services.

Encrypted

The word “encrypted” means that information is hidden with cryptography. In digital currency, every user has special codes that prevent their information from being accessed by other users. Therefore, a cryptographer is a process where personal information of one user is not accessed or hacked by the other. The word “crypto” means hidden.

Global

Globally, cryptocurrencies can be sent all over the world since digital currencies exist in computers. Unlike fiat currency, it is difficult to send to every part of the world. The fiat currency is confined to their country of origin.

What cryptocurrency miners do?

Cryptocurrency mining is like an accounting function where crypto transactions are verified. On a daily bases, people will transfer e-coin from wallet to wallet, while miners use computer processing power to maintain the blockchain and verify these transactions. Miners are also called nodes that execute a particular task that makes the transaction possible. The following is an example of what miners do. Assuming Solomon owes Sunday 100 BTC. The first step is to announce that Solomon is sending 100 BTC to Sunday to the Bitcoin network. 

Secondly, miners take this information, add other transaction information, and encrypt it. This method is called hashing. The addition will continue until a block is formed. Thirdly, the miners will now compete among themselves to guess the correct encrypted code or block hash. The lucky miner who guesses the right code gets to add to the new blockchain. Fourthly, other nodes will verify the transaction information on the new block. They will also check the whole blockchain and ensure that the new information matches. When the information is correctly checked, the winning miner will add a new block to the blockchain. The fourth step is called confirmation. Lastly, Sunday will now receive 100 BTC from Solomon.

Blockchain – The Technology behind Cryptocurrencies

A blockchain is a collection of data or a distributed ledger. The ledger is a spreadsheet across the network. It works with blocks while the spreadsheet works with row and columns. In cryptocurrency, when a person pays e-coin, this transaction is recorded in a digital ledger called the blockchain. The whole network will know about this transaction. Miners will confirm this transaction by stamping it as legit and spread them to the network. Every node will add it to its database, and it becomes part of the blockchain. 

What is Blockchain?

A blockchain is a collection of transaction records called blocks which are encrypted and then linked to each other. In this blockchain, you will have the records of the sender and receiver and the amount of the e-coins that was sent. On a daily bases, the blockchain is being grown up. New blocks, when created, will be seen by all users in the network, and after verification, it will be added to the blockchain.

What is Tangle?

A Tangle is a blockchain without a block and no chains. An example is the IOTA (Internet of Thigs Application), a cryptocurrency that was created in 2016. It was created because of the problem of blockchain. IOTA cryptocurrency was created to battle increasing transaction fees and network scalability. In a Tangle, the users are accountable for validating transactions. Users usually benefit from a fee-free transaction and increased process rapidity. In others, there will be no need to get approval from the miners. In the blockchain, miners are accountable for verifying transactions before adding to the blockchain.

What is a cryptocurrency wallet?

A cryptocurrency wallet is storage software where you can keep and exchange your cryptocurrencies. These cryptocurrency wallets are encrypted and exceptional. That means when you are sending messages from your wallet you are sending encrypted messages to the receiver. In this case, only the recipient cryptocurrency wallet can be able to decrypt the messages into its cryptocurrency wallet. There are advantages a hardware cryptocurrency wallet has over a software wallet. A hardware cryptocurrency wallet is immune to viruses or malware. It is more secure and interactive. The personal keys are not exposed to the computer. The hardware can accommodate multiple crypto currencies.

Why Trade Crypto CFDs?

The acronym ‘CFDs’ means’ contract for difference.’ CFD trading is the buying and selling of CFDs. CFDs are derivative products. They enable you to speculate on the global financial markets such as share, forex, indices, commodities, and treasuries without taking ownership of the underlying assets. It is usually a contract between the broker and the traders to pay the difference in price. That is to pay the strike price and the closing price of the trade of underlying assets. Remember that a trader does not take ownership of the underlying assets.

Here are Today’s Most Popular Cryptocurrencies:

• Bitcoin
• Bitcoin Cash
• Bitcoin Gold

Bitcoin

Bitcoin was created in 2008 by Satoshi Nakamoto and started in 2009. It was created as a reward for a process called mining. It is agreed to no extra Bitcoin is produced as a maximum of 21 million Bitcoin units was earlier earmarked. Usually, it can be exchanged for other cryptocurrencies, products, and services. It is the leading cryptocurrency in the world with a market capitalization of $143,576,974,924 and transaction volume of $24,846,179,251. Bitcoin has earlier served as a digital gold in the cryptocurrency industry. The digital gold was used as a means of payment and de-facto currency of cyber-crime like the darknet.

Bitcoin Cash (BCH) 

Bitcoin Cash was an upgraded version of Bitcoin’s core software. It was named by mining pool Via BTC. On August 1, 2017, it was created by the Bitcoin hard fork, which resulted in a new version of the blockchain with different rules. The shift from Bitcoin blockchain to the new version has created more capacity for a more significant number of transactions.

Bitcoin Gold (BTG) 

Bitcoin Gold is the second version to come from the Bitcoin source code. BTG retains Bitcoin transaction history. This implies that if you are a Bitcoin holder before the fork, you can own an equal amount in Bitcoin Gold. This cryptocurrency creation was aim at bringing about an alternative mining algorithm that is less susceptible to ASIC-based optimization enabling users to earn more with computer cycles.

Popular Alt-Coins

The term “Altcoins” refers to cryptocurrencies other than Bitcoin. At the moment, over 1000 cryptocurrencies have been launched. Most of these cryptocurrencies were launched following an ICO (Initial Coin offering) in which developers offer a limited number of initial coins to finance technological development. Today, we have many of these coins like Namecoin, Peercoin, Bytecoin, Deutsche eMark, Novacoin, Cryptogenic Bullion, Quark, DarkCoin and Mangocoinz.

Ethereum (ETH)

Ethereum is next to Bitcoin as the most popular cryptocurrency. It was built with a completely different motive as Bitcoin transformed the payment industry. ETH was proposed by Vitalik Buterin, a cryptocurrency researcher and programmer in 2013. Ethereum is like a giant computer accommodating other computers. Ethereum can store revolutionary computer programs like smart contracts. This gives Ethereum an edge over Bitcoin. It has been attracted by banks all over the world. Meanwhile, Ethereum has been split into two separate Blockchains namely Ethereum (ETH) and Ethereum Classic (ETC)

Litecoin (LTC) 

Litecoin is regarded as a peer-peer cryptocurrency created by Charlie Lee. It has some similarities with Bitcoin but differs in terms of the hashing algorithm used. Two of the differences between Litecoin and Bitcoin are speed and amount. It will take 10 minutes to create a Bitcoin Block. While it takes Litecoin 2.5 minutes to create a block. It means that Litecoin is faster than Bitcoin. Litecoin attracts more users as it produces four times the quantity of Bitcoin.

Ripple (XRP) 

Ripple was conceived by McCaled but built by Arthur Britto and David Schwartz. The cryptocurrency commenced operation in 2017 with a price level of $0.0063 to $1. The cryptocurrency is regarded as the next generation of the payment network. Ripple allows financial transactions of different currencies most easily. Ripple helps in transferring the amount quickly. It handles crypto to crypto and fiat to fiat currency transfer. All the classes can be transferred, whether they are mixed up.

EOS

EOS and Ethereum seem to have similar functions in the blockchain industry. It is one of the newest cryptocurrency in the market. It is regarded as the biggest competitor to Ethereum. It is a network capable of processing millions of transactions per second. EOS is similar to the Ethereum blockchain but faster, more scalable, and allows users to build decentralized applications more proficiently. 

What Makes Cryptos Ideal for Trading? 

Cryptocurrencies trading enables traders to diversify their portfolios. The following include why cryptocurrency trading is very important:

• Cryptocurrency Volatility
• Cryptocurrency Market Hours
• Improved Liquidity
• Ability to go long or short

 

Cryptocurrency Volatility

The volatility of the cryptocurrency market is what makes trading exciting. There will be a rapid intraday movement that creates an opportunity to buy and sell. If you have done your market analysis, you must come with your risk management.

Cryptocurrency Market Hours

The cryptocurrency market is usually available 24 hours a day. It has no central authority in the market. Cryptocurrency dealings take place directly between individuals, on cryptocurrency exchanges all over the world. You can trade crypto to crypto or fiat to crypto.

Improved Liquidity

Liquidity brings about a faster transaction, better pricing, and increased accuracy for technical analysis. Liquidity brings about how easily a cryptocurrency can be converted into cash. On a broader view, the cryptocurrency market is considered illiquid because the transactions are isolated across multiple exchanges.

3 Best Trading Software of 2019 + How-to Guide

Are you a professional stock trader? Or did you get lured into the world of automated online trading because you read a random review that spoke a lot of different advantages of automated online trading? In either case, you must have certainly clicked on this link because you need to know more about trading software. Don’t worry; we’re going to refer to this exact topic in this entire article.

As you know, online automated trading robots have only been a very recent invention. If we consider the cryptocurrency trading robots, they have been more recent as compared to the other stock ones. But the progress that these platforms have made is quite commendable, and as such, it is essential that one refers to reviews before investing in any of these platforms

We say so because a number of these platforms work according to algorithms. However, all these algorithms are designed in such a way that they will always produce a profit even if the market is falling. But, sometimes if the market changes go in the wrong direction, the user might incur some losses. In this way, your hard-earned money might get lost. This is why in this article we are going to educate you a little bit about trading software.

So are you ready to know more? If yes, scroll over and begin reading!

How does trading software work?

Trading software is a program through which you can place your deals on a computer. This means that you do not have to go to a particular office and do your work physically. You only have to enter your details of the programme, and it would do the needful. The trading software will take all your information, get you the type of deal that you want to place and match you with a broker in your region.

Trading software can analyse the market changes in seconds. This is made possible through the algorithms that are fitted inside this trading software. These algorithms can detect the changes in the big data, which is a challenging job if performed by a human. This is why the need for automated trading software has been expanding like never before. Because these algorithms are fitted inside a computer, the chances of malpractices are reduced.

This means that the trader will be in contact with all the trade settings, but the computer will place the deals. As such, these trading platforms enable a person to trade seven times a week and 24 hours a day. This would not have been possible if there was a physical office where such a thing would take place. The trading software never sleeps, and all the job is done without any requirement of human effort. Isn’t it great?

What is a trading robot?

If you have read our reviews about several trading robots, you must have come across this term ‘bot’. We want to clear your confusion in this regard. If you are looking for a fully automated trading software, then it is sometimes referred to as a robot as well. This is because the fully automated trading software does not require any human assistance, and it does everything on its own.

If you choose such a robot, you will have to set all the required settings and leave it to the algorithms of the trading robot to place the deals. The only thing that you would be required to do is open and close the trading sessions. All the big data analysis, as well as research making, is done by the software, and you only have to sip your tea while watching your profits accumulate in your account.

How to access trading software?

Initially, there used to be a lot of problems while accessing trading software. This is because earlier, the automated mode was not available, and an average investor would not be able to open the trading software. This was a luxury that was provided to financial experts only. But now the trading scene is quite different. Due to the emergence of a variety of trading software, the accessing has become quite more simple.

Now, a trading software can be accessed in a few simple steps. All you have to do is navigate to the official website of any software or download the app. After doing so, you will have to make an account. After you are successfully registered, you will be matched with a broker in the country of your residence, and you will finally be able to access the trading software onto your screens. Isn’t that easy?

 

What are the two types of trading software?

You must have already known about the automated trading software. But don’t worry, we will elaborate some more. In an automated trading software, the algorithm, as well as the making of the program, does all the job that it requires to place a deal. The research is carried on by the software itself, and the user only has to open and close the trading sessions. This mode of choice is ideal for people who have no prior experience of trading.

The other mode that is available in trading software is that of manual mode. In such a case, the entire procedure is in the hands of the user. He can adjust the settings and place the deals according to himself. But in such a case if any loss happens, then, it is the whole responsibility of the trader. In such a case the win rate that is provided by software does not matter. This is why, in a manual mode, the user should invest the minimum amount.

What are some of the best trading software?

Our discussion regarding trading software will be incomplete if we do not discuss some of the most beautiful trading software available. Make sure to go over this list to help your decision-making.

Bitcoin Code:

In the category of the best cryptocurrency traders, Bitcoin Code has proven to be one of the best software available. Along with other software such as Bitcoin Trader and Bitcoin Loophole, the software have provided users with the highest possible win rate. The win rate of a majority of these software is around 97%, which means that out of a hundred such deals placed 97 of them will be profitable. If an inexperienced person invests in these platforms and earns hugely, then it is a great thing, and as such, we highly recommend these softwares.

Read Bitcoin Code Review

Weed Millionaire:

if you are interested in trading Cannabis stocks, then Weed Millionaire and Cannabis Revolution are some of the best platforms available. You might feel shocked, but the concept of trading weed stocks is also a thing in the trading business. Moreover, the most profitable business these days is trading cannabis stocks considering its vast popularity. The softwares provide the maximum win-rate, which is why we highly recommend them to you.

Read Weed Millionaire Review

Stock Master:

Are you a stock market enthusiast who wants to try a hand at automated online trading? If yes Stock Master will be the right choice for you. Stock master is one of the best softwares available for stock trading. It provides the best win rate available out there and comes with a variety of features including an excellent customer care service, quick withdrawals and deposits as well as well regulated brokers.

Read Stock Master Review

Conclusion:

In our attempt to do away with any confusion about trading softwares we have listed out the most important things that you should look out while selecting yours. However, one thing that you should always make sure is that if you do not have any prior experience always invest the minimum. This way, you will be away from all the unnecessary losses and will only lose what you can afford to lose!

Do you have any favourites? Put them down in the comment section below!

 

All You Need To Know About Hedera Hashgraph

Hedera is said to be a decentralized public ledger that personalizes the digital world for its users in ways like never before. This technology goes beyond Blockchain for inventors to deliver applications that are fast, fair and secure.

Hedera Hashgraph was developed by Dr. Leemon Baird and Scientist Mande Harmon on July 2016. This game-changing invention was invented by the founders through the experiences and expertise they garnered after working on different projects including Swirlds, Trio Security and BlueWave Security. They also worked with the United States Air Force Academy.

Hedera runs on Hashgraph, which is an even better DLT alternative than the traditional Blockchain DLT and is more than adequate for mainstream and high scale use.

This program enables its users to interact and transact securely and efficiently online, without any third-party intermediary involvement, which could put the user’s sensitive information at risk.

What is the Difference Between Hedera Hashgraph and Other Blockchains?

For a better understanding of Hedera Hashgraph, let us examine the superiority this network has over traditional Blockchain.

Concerns have been raised about the capacity of Blockchain to handle the level of scaling necessitated by mainstream markets. It is mandated that large scale networks be capable of handling hundreds of thousands of transactions per second, but right now, prevailing Blockchain systems do not have such infrastructure in place to handle these requirements.

Hedera’s system, however, can handle up to 10,000 transactions in a second, while maintaining secure and efficient operations.

Hashgraph runs on a system that is Asynchronous Byzantine Fault Tolerant (ABTF), which makes it remarkably secure from cyber attacks like Sybil and DDoS. Hedera believes that this is an adequate security measure to be observed and that the consensus mechanism of other DLTs fails to achieve this.

Furthermore, a good number of public Blockchain systems do not have the necessary technical controls to make decisions, which could result in issues if the system was to have a glitch.

Concerns have also been raised on how public DLT systems should be regulated by well-regarded representatives from different sectors.

This is not the case with Hedera as they have a governance structure that is responsible for evaluating modifications made to the platform’s codebase, electing council managers and maintaining power equilibrium in the network’s corporation. According to Hedera, strong security and effective governance are keys to sustaining a stable system.

The HBAR and How It Functions

Hedera Hashgraph was primarily created to provide a reliable, productive and credible platform that caters to enterprise-grade applications, and not to operate as a cryptocurrency. Nevertheless, as with every other public DLT system, a native coin is necessary for the system to function. In this case, HBAR is the native coin for the Hedera platform and it fulfills two roles in the network which are:

1- Network fuel:

Developers use HBAR as means of exchange for network-related services like managing small contracts, storage of files, and exchanging cryptocurrencies. The HBAR token is also used as a tool for incentivizing and paying network nodes.

Developers can incorporate the HBAR into applications to carry out peer-to-peer payments as well as micropayments business models.

2- Network Protection:

Hedera’s proof-of-stake public system uses HBAR tokens, which are endowed to network nodes, to weigh network votes on transactions when approaching a consensus.

The weighted network voting system makes it incredibly costly and hard for ill-intentioned players to manipulate consensus.

Perks of Using HBAR Tokens

Impressive throughput:

The Hedera Hashgraph system can carry out 10,000 HBAR token transactions in just a second without compromising the security or durability of the network.

Discounted fees:

Hedera Hashgraph’s consensus is exceptionally lightweight which creates room for the cost of HBAR transactions to be low (roughly $0.0001 U.S. Dollar). Such transactional costs coupled with an excellent throughput make the HBAR micropayment a possibility.

Speedy transaction finality:

Hedera boasts of attaining finality on transactions within three to five seconds compared to Bitcoin which takes one minute or Ethereum which takes thirty to fifty seconds.

Economics of HBAR

Hedera’s treasury distributed its HBAR tokens on the 18th of September. 379 million tokens were given to investors who participated in the three-round capital raise that occurred in March up until August 2018. 1.95 million tokens were shared on the first day of launch to advisors, vendors and other related parties. The remaining 50 billion tokens will be distributed strategically by the network’s governing council over the next 15 years.

This release strategy will guarantee the security of Hedera’s proof-of-stake public network. This strategy will assist Hedera in achieving its vision of “maximum decentralization at scale”.

The HBAR listed for trading on twelve exchanges including OKEx, AlgoZ, Bering Waters, xfeatures, Galaxy Digital, Liquid, BitOda, OKCoin, Upbit, GSR, Bittrex and OSL. It can also be traded through over-the-counter desks.

HBAR Proxy Staking

Users and developers can purchase HBAR tokens from third-party outlets end companies such as exchanges and other transactional bodies that have decided to get integrated into Hedera’s ecosystem. The user can then use the HBAR token as a means of exchange for goods or services, and to pay other applicable transaction fees.

Users can also “proxy stake” the HBAR token to a network node. The proxy staking feature guarantees the maintenance of the security as well as the quality of the platform’s network operations while allotting a small percentage of the transaction fees to the proxy stakes. However, the proxy staking feature is yet to be made available.

Hedera’s Governing Council

Hedera is run by a system called the “Governing Council”. This ruling system consists of recognized bodies like IBM, Deutsche Telekom, TATA Communications, FIS, Nomura, Boeing, DLA paper, Swisscom Blockchain, Magulu, and Swirlds.

The governing council is set up in a manner that maintains a “rotating” council of about 39 enterprises specifically selected from an array of industries and geography. This rotational system ensures that there is always an equilibrium of power at any given time.

The Functionalities of the Governing Council

1- Direction of the codebase:

The members of the governing council all have equal votes when it comes to the direction of the software concerning public nodes, as well as the platform’s codebase.

2- No forking:

The consensus algorithm for Hashgraph is proprietary and has an open review code this creates a no-fork warranty for the network and its native coin. This helps to maintain the stability of development for app builders and to also guarantee long-term reliance on the network.

3- Initial network nodes:

Thousands of public nodes will join the network to promote its decentralized consensus and advancement. The governing council screens these nodes before they are integrated into the system.

4- Term limits and vote equality:

Members of the governing council are permitted to only have a three-year term at maximum with two successive terms after which they will be mandated to forfeit the post. However, this rule does not apply to Swirlds. Swirlds, as the creator of the Hashgraph algorithm, has a permanent seat with equal voting rights in the council.

Hedera preserves decentralization by distinguishing between governance and consensus. It was designed in that way to guarantee that the governing council continues to be competent at all times.

The council is also charged with the decision making responsibility on:

Management of the treasury to guarantee the safety of the network.

Provision of the legal necessities to serve the globals.

Regulation of mutability to handle data and legal compliance.

Provision of direction to the platform as well as the network’s node codebase.

Third Generation Distributed Ledger Technology

Bitcoin (first generation DLT) and Ethereum (second generation DLT) were the pioneering entities for decentralized infrastructure and programmability. They operate using a proof-of-work Blockchain which consumes a vast amount of work power and is slow to carry out transactions just so it can achieve acceptable levels of security. The intense levels of consumption of bandwidth by these networks make it expensive, which is exorbitant for simple cryptocurrency transactions.

Hedera, on the other hand, runs on a proof-of-stake public network that is backed by a Hashgraph algorithm and attains a very exceptional grade if security (ABTF) while providing incredibly fast transaction speeds and remarkably low bandwidth consumption.

Just as broadband technology was crucial in the early adoption of the Internet, there have been proclamations that the third-generation DLT is indeed the broadband moment for cryptocurrency.

Other innovations like Facebook’s Libra are signs that the third-generation era is already upon us.

Libra unlike other cryptocurrencies, is a global currency and will have a stable nature. The prospects of Libra has caused unrest in regulatory bodies around the globe and has made them take a negative stand against the progress of the technology. However, Libra does not seem to be deterred by this opposition and is still set to launch on the proposed date.

Decentralized Company Apps on Hedera

Hedera features over 500 decentralized company apps ranging from innovative startups to well established global enterprises. A few of these companies are Armada, Certara, Earth.ID, earth tile, Power transition, Tune.fm, ecclesia, Ads Dax, Alto, Attestiv, Binsignia, Block.Red, Carbon, Zeux, Zabo, and Otarfy.

Conclusion

Hedera is the future of public decentralized ledger technology thanks to the combination of outstanding throughputs and cheap fees. There’no denying that Hedera Hashgraph is a force to be reckoned with.