The price of Bitcoin climbed above $3,500 and at the moment it is standing a little above $4,200. While some people are doubtful towards this gradual increase in value, Veteran trader masterluc says otherwise. He’s made a prediction that Bitcoin will be worth $15,000 by the end of 2017. He claims that this bull run will continue into 2019 where the price will top out anywhere in between $40,000 and $110,000.
Masterluc is said to have a history of being right in his predictions, and many experts agree that the rise will continue for a while longer, which could have some major consequences for paper money.
Bitcoin recently celebrated its market cap crossing over $50 billion as it tripled the price of gold. Predicting the future of the digital currency is not an easy task especially when its reign shows no sign of ending.
News Credits: futurism.com
Image Credits: bloomberg.com
Xcoins is a Bitcoin lending service. It allows you to buy bitcoin with a credit card or PayPal. Lately, there has been too much talk about Xcoins and whether is it legit to buy bitcoins with this service.
In this article, we have discussed all the aspects of Xcoins to help you understand the concept of the service, and whether it is legit to buy bitcoins through Xcoins.
Buying Bitcoin with PayPal Through Xcoins:
Due to the possibility of chargeback fraud – and the lack of support for Bitcoin from PayPal itself, it’s extremely hard to buy bitcoins with PayPal. Xcoins, on the other hand, have exploited this problem and claim to have found a solution in which the coins are loaned instead of getting sold to the clients.
In order to buy bitcoins through Xcoins, the users go to the site where they do an ID verification. After the verification process, they’ll be required to deposit:
- USD equivalent to how much they want to borrow
- PayPal/credit card processing fees
- A fixed amount that acts as the interest on the loan
The site claims to have competitive fees due to their lenders competing against each other for the best possible rate. However, in most cases, the interest rate is fixed at 15% – which could possibly be the lowest interest rate offered by Xcoins. Interestingly, it’s still way higher than what most Bitcoin exchanges offer.
Trading Bitcoins on Xcoins:
Xcoins is not just a buying service – you can also sell/lend coins on the site. To do so, you must decide how much you are willing to loan, and then deposit the amount into your Xcoins account. The amount must be in USD.
Once the deposit is made, the system will automatically direct you to the buyers and they will deposit the money directly into your PayPal account.
Pros and Cons of Xcoins:
The major pros and cons of Xcoins include:
- The quick purchase of Bitcoin either through Credit Card or PayPal.
- Easy sign-up.
- Slow refunds – can take up to a week or longer.
- Support staff is not active – even on working days. If you send them an email, expect the response to come in at least two days.
- Constant complaining to their Support can result in a permanent ban.
- If you do not dispute your charges, they will disable your ability to buy bitcoins.
- If you purchased some coins but the lender is not willing to release them, you will still be charged.
From buyer’s perspective – Xcoins isn’t stable enough for large purchases. Also, the fees are extremely high in comparison to other exchanges. However, if your only option to buy Bitcoin is PayPal, then Xcoins is the way to go.
After the incident of Binance hack, which took place on 7th March, $250,000 are now being offered by the cryptocurrency exchange, “Binance” for arresting the hackers who were involved in the incident. This was announced by Binance on 11th March 2018.
The first person who would give any information about the incident, that’d result in a legal arrest of the hacker will be given the bounty in Binance Coin (BNB), which could be used on the Binance exchange and could be traded as well. According to the announcement, if they find various sources of information related to the Binance hack, that could lead them to the final arrests, then they’d probably divide the bounty between sources.
Binance highlights the importance of an intensive effort to deal with the crime and immoral behaviour in the crypto-community by stating;
“To ensure a safe crypto community, we can’t simply play defense. We need to actively prevent any instances of hacking before they occur, as well as follow through after-the-fact. Even though the hacking attempt against Binance on March 7th was not successful, it was clear it was a large-scale, organized effort. This needs to be addressed.”
$10 million has been allotted by Binance in cryptocurrency funds for the upcoming bounty rewards against any kind of hacking on the Binance exchange. In addition to that, other exchanges from all around the world have been also invited by Binance exchange, according to every Binance statement to follow suit, as they added;
“Protecting your funds is and has always been our highest priority!”
After perceiving unauthorized and irregular transaction activities in the accounts, users notified Binance that their security is being violated. The meticulous way how the hackers used the site still remains unclear, even though on 8th March, trading activities of Binance were resumed. Many users have speculated that compromised API keys is the only reason that could explain how the hackers evaded Binance’s two-factor verification system.
We’re well aware that Bitcoin is an entirely digital currency that lets its users trade money without the involvement of any third-party authority (such as bank, government etc.). Also, these trades are made anonymously, that means no personal information is given out or even required for a transaction.
Out of the many perks of Bitcoin, two happen to stand out the most:
- With Bitcoin, you can exchange money almost instantly with anyone anywhere in the world (but do check if Bitcoin is banned in that country or not). You don’t require a bank account, just a Bitcoin wallet that could be installed on your smartphone, tab, computer etc.
- You aren’t required to mention any personal details which reduce or eliminates the risk of identity theft.
Bitcoin Mining & Blockchain:
For understanding Bitcoin, one must understand how Bitcoin mining works. It is the process behind the creation of bitcoins. During this process, complex mathematical equations are solved by mining hardware in order to verify and generate a block. Every time a transaction takes place, it is tracked digitally by computers in a record, where all transaction details are described.
Bitcoin miners are the people who own those computers and confirm transactions. Moreover, they’re also paid in bitcoins and sometimes even paid a fee for the transactions. Since there’s no involvement of a central authority, miners ensure whether the right amount has been transferred and each member has the right balance after the transaction is completed.
These transactions are shared onto a public ledger, also known as, the Blockchain, which can be accessed by anyone. Every transaction that ever took place is mentioned here along with the Bitcoin address linked to it.
Now you must be wondering, what’s a Bitcoin address?
Let me help you. In order to own bitcoin(s), one must have a Bitcoin wallet. You can get all sorts of wallets, hardware, and software. Install one on your phone, computer or just purchase a physical one. After you’ve got your personal wallet, the next step is generating a bitcoin wallet address and a private key. This is the address you’re going to share with everyone, whenever you want to make a purchase or transaction. Whereas, a private key is meant to be a secret as it basically holds the key to your coins, if you lose your private key, you lose everything.
Remember! Every transaction generates a new Bitcoin address and this is the reason for its anonymity. No one can actually trace the transaction back to you since it’s always a different address.
While Bitcoin has major advantages compared to fiat currency, it’d only seem fair if the drawbacks are pointed out as well.
- The Bitcoin network is also vulnerable to hackers and viruses. Remember, you cannot enter any personal details on a site promising to give out free bitcoins.
- Bitcoin is highly volatile, which means that its price is constantly fluctuating.
- Another drawback is that there are only 21 million bitcoins available. So nobody knows what’s going to happen once it reaches that limit.
- If you lose your wallet, those coins are gone forever, unless you’ve created a backup of it.
Saxo Bank forecasts that the bitcoin cost will take off above $60,000 in 2018 before crashing more than 98 percent to its essential production cost’ of $1,000.”
The Danish investment bank issued this conjecture in its yearly “Over the top Predictions” publication that implies to recognize “highly unlikely events with overlooked potential.”
“The ascent of Bitcoin and different cryptocurrencies has been a standout amongst the most fabulous marvels of financial markets in recent years,” two Saxo experts wrote. “Bitcoin will keep on rising – and ascend high – during the most part of 2018 but Russia and China will together architect a crash.”
The bank predicts that fueled by delayed bullishness over the approach of Bitcoin derivatives, the bitcoin cost will rise around 400 percent from its present level to crest above $60,000 — bringing its market cap to $1 trillion.
However, Saxo cautions, bitcoin’s transient climb will be squared with by the rate of its downfall. Worried about capital flight, China and Russia will release a multi-pronged strike on the decentralized digital money ecosystem to “move the concentration away from Bitcoin”. In addition to creating their own, state-supported cryptographic forms of money, the two governments will boycott mining, referring to environmental concerns while in reality, their approach is keeping a check on domestic monetary policy.
Bitcoin fans won’t surrender without a battle, but the bank predicts that state-run digital forms of money will prove to work better as payment frameworks, putting a conclusion to the two-year crypto fever and causing the bitcoin cost to lurch down to $1,000.
“The smoother working of the state-run conventions for actual payments and value dependability, and additionally the substantial hand of state intervention, drives a diminishing interest for all digital forms of money and totally sidelines the Bitcoin and crypto phenomenon from a price speculation angle even as the innovative guarantee of the blockchain jogs on,” Saxo concludes. “After its peak in 2018, Bitcoin crashes and limps into 2019 at around $1,000.
Keep in mind, these expectations are fairly whimsical — the bank intentionally comes up with improbable situations. However, Saxo foretold “gigantic increases for bitcoin” in last year’s release, although the bank’s “ludicrous” forecast that bitcoin would ascend as high as $2,100 has ended up being shockingly conservative.