What’s The Backstory On The Word, HODL?

One of my acquaintances recently informed me that I misspelled the word, hodl, in my Shitcoin article.

I had to politely inform him that the word, hodl, was indeed spelled correctly. I also had to inform him about crypto jargon in the process. Naturally, he felt a bit embarrassed, but it got me wondering about the genesis of the word, hodl. As with much of Bitcoin history, it’s a fascinating story.

For anyone unfamiliar with cryptocurrency trading, the term, hodling, means to hold onto your cryptocurrency coins, even if the market is crashing down.

Anyone who has bought and sold Bitcoin or shitcoins knows the feeling of hodling. While your coin is crashing, you must have faith that the particular coin you hold will go up in value at some time in the future. Therefore, you must exercise patience, devotion, and let’s face it, blind faith. You must HODLat all costs.

Right now I’m hodling Bitcoin, Dash, Steem, Ether, Decred and Ripple. But I’m different from most traders because I earn all my cryptocurrency. I’ve been earning nothing but cryptocurrency since June of 2016, when I found Steemit. I’m not sure how many people are like me as far as living off crypto, but I think I’m in a very small minority. I trade but not every day. It can be extremely addictive and I absolutely love the volatility and energy of these wild west markets.

The term, hodl, emerged out of Bitcoin, but it applies to any cryptocurrency coin out there. Last time I checked, there were 711 different cypto coins listed on Coinmarketcap.

Back to the genesis…..

The guy who first used the word, hodl, realized he had spelled ‘hold’ incorrectly, but he seemed so upset and/or drunk that he intentionally left in the mistake.

He also admitted that he was a bad day trader, so part of the reason the word, hodl, is so funny is because it describes the situation of a lot of noob crypto traders (most of us): we have no idea what we’re doing most of the time in crypto-land. And we end up losing money, or gaining big-time.

But the inventor of the word hodl makes the case that he is not part of the fast-in-fast-out day trading mentality of just buying and selling whatever coin in order to make a quick buck. He makes it clear that he’s in the game long-term, but he seems a bit sore that other day traders know how to make big gains. He also sounds sick of being teased about holding onto his Bitcoin. It’s almost like he’s defending his decision not to day trade. Bitcoin culture is full of dweebs making fun of noobs and people who invest long-term or make bad trading decisions and that is evident from his post.

A quick trip to Reddit reveals the very first time the word, HODL, was used in the English language. The year was 2013.

The emergence of hodl comes from the mouth of a self-described whiskey drunk Bitcoin enthusiast who admits, “I KNOW I AM A BAD TRADER.”

GameKyuubi, the inventor of the word, hodl, is kind of hot, actually:

I AM HODLING

December 18, 2013, 10:03:03 AM

I typed that tyitle twice because I knew it was wrong the first time. Still wrong. w/e. GF’s out at a lesbian bar, BTC crashing WHY AM I HOLDING? I’LL TELL YOU WHY. It’s because I’m a bad trader and I KNOW I’M A BAD TRADER. Yeah you good traders can spot the highs and the lows pit pat piffy wing wong wang just like that and make a millino bucks sure no problem bro. Likewise the weak hands are like OH NO IT’S GOING DOWN I’M GONNA SELL he he he and then they’re like OH GOD MY ASSHOLE when the SMART traders who KNOW WHAT THE FUCK THEY’RE DOING buy back in but you know what? I’m not part of that group. When the traders buy back in I’m already part of the market capital so GUESS WHO YOU’RE CHEATING day traders NOT ME~! Those taunt threads saying “OHH YOU SHOULD HAVE SOLD” YEAH NO SHIT. NO SHIT I SHOULD HAVE SOLD. I SHOULD HAVE SOLD MOMENTS BEFORE EVERY SELL AND BOUGHT MOMENTS BEFORE EVERY BUY BUT YOU KNOW WHAT NOT EVERYBODY IS AS COOL AS YOU. You only sell in a bear market if you are a good day trader or an illusioned noob. The people inbetween hold. In a zero-sum game such as this, traders can only take your money if you sell.

so i’ve had some whiskey
actually on the bottle it’s spelled whisky
w/e
sue me
(but only if it’s payable in BTC)

-bitcointalk.org

Now you know what hodl means. Maybe it’s time for you to buy some coins and Hold Onto them for Dear Life. Only time will tell which ones are shitcoins. I use Bittrex and Coinbase.

 

Original article can be found here

How to Make a Paper Bitcoin Wallet

One of the most popular options for keeping your bitcoins safe is something called a paper wallet. Here we explain how to transfer all those digital coins into a physical paper form using just a printer.

Note that in this guide we’ll be talking about bitcoin. However, the basic concepts apply to any other cryptocurrency; for example, litecoin.

What is a wallet and why do I need one?

A bitcoin wallet consists of two keys. The one you’ll already likely be familiar with is the public key, which is your wallet address and is how other people send bitcoins to you.

The other part of your bitcoin wallet is the private key. It is this that enables you to send bitcoins to other people.

The combination of the recipient’s public key and your private key is what makes a cryptocurrency transaction possible.

It is important to understand that, if anyone else obtains the private key of your wallet, they can withdraw your funds – this is why it’s absolutely essential that nobody else discovers it.

So, if you keep your coins in either an online wallet, or a hard-drive-based software wallet, you are vulnerable to attacks by hackers or malware that can log your keystrokes.

Furthermore, a stolen PC or a hard-drive crash could also see you waving bye-bye to your digital treasure.

Used with care, a paper wallet can protect you from these possibilities.

What is a paper wallet?

A paper wallet is a document that contains copies of the public and private keys that make up a wallet. Often it will have QR codes, so that you can quickly scan them and add the keys into a software wallet to make a transaction.

The benefit of a paper wallet is that the keys are not stored digitally anywhere, and are therefore not subject to cyber-attacks or hardware failures.

The disadvantage of a paper wallet is that paper and ink can degrade, and paper is relatively fragile – its definitely worth keeping well away from fire and water for obvious reasons.

Furthermore, if you lose a paper wallet, you’ll never be able to access the bitcoins sent to its address.

Creating a paper wallet

Here are 10 steps needed to create a paper wallet:

  1. To generate a new bitcoin address, open BitAddress.org in your browser (or LiteAddress.orgfor litecoin).
  2. BitAddress (but not LiteAddress) will ask you to create some randomness by either randomly typing characters into the form or moving your cursor around.
  3. You will be presented with your public and private keys and their respective QR codes. Do not scan these.
  4. Click the Paper wallet tab.
  5. Select the number of addresses to generate.
  6. If you dont wish to keep the bitcoin artwork, click the Hide art? button.
  7. Click the Generate button to create new wallets.
  8. Once the wallets are generated, click the Print button to make a hard copy.
  9. Your browser will ask you to select the printer you wish to use. In the case of Google Chrome, you may also save the page as a PDF file.
  10. Make a note of the public addresses, or scan the public address QR code in your bitcoin (or litecoin) app and start depositing funds.

For users of the Blockchain.info website, there is also a basic paper wallet option too. Click on the Import/Export option, and look for the Paper wallet link on the left-hand menu.

A much more sophisticated option for your paper wallet can be found at Bitcoinpaperwallet.com.

This website offers a tamper-resistant design of paper wallet. It is also possible to order holographic labels to demonstrate that the wallet hasn’t been tampered with. It also supplies a live-boot Ubuntu CD with paper-wallet software pre-installed.

Security Concerns

Given the implications and risks of storing large amounts of money, you may want to take serious precautions for how to go about creating your paper wallet and storing it afterwards.

  • Do not let anyone see you create your wallet.
  • BitAddress and LiteAddress both support encryption of private keys through the BIP38 algorithm. This provides two factor authentication for your paper wallet; ie: something you have (the paper wallet), and something you know (the passphrase). Also note, that you will have to use the same website in the future to decrypt the private key.
  • To rule out the risk of any sort of spyware monitoring your activity, you should use a clean operating system. A good way to achieve this would be to create a USB flash drive or DVD with a LiveCD Linux distribution, such as Ubuntu.
  • Furthermore, once a paper-wallet has been set up via a website, it should be possible for the website code to run offline. Therefore, before creating the private and public keys, take your computer offline before generating the keys.
  • For ultra-tight security, print the paper wallet from a printer that is not connected to a network.

Tips for keeping your paper wallet safe

  • Store the paper wallet in a sealed plastic bag to protect against water or damp.
  • If your paper wallet isn’t folded you could laminate it for durability and proof against water.
  • If you have one, store your paper wallet in a safe to protect from theft and fire.
  • You could entrust the paper wallet with a solicitor. For example, the person who holds your last will & testament.
  • For added redundancy, you may store a wallet in several locations. Some bitcoiners use trusted family members, others use deposit boxes.

Exporting private keys from altcoin wallets

If you want to create a paper wallet for a lesser-used currency that doesn’t have an address generator website, there is still a way to achieve this.

What every alt-currency does have is a variation of the Bitcoin-Qt wallet application.

  • Goto the Receive tab, where your wallet addresses are listed.
  • Right-click on the address you wish to save, then copy the address to the clipboard.
  • Click the Help menu and select Debug’.
  • In the Console tab, enter dumpprivkey and paste in the wallet address.

The console will then display the private key of that wallet.

You then have the public and private keys of the wallet. You can print these as is, or you can opt to generate QR codes to print.

However, the wallet details will still exist in your computer. The only way to remove them it is to open your file explorer in the C:\Users\[YourUsername]\AppData\Roaming\[Wallet App Name]\ folder and delete the wallet.dat file.

NOTE: this will remove all addresses held in the software wallet, and you should make sure that there are no funds remaining in the other addresses you will be deleting.

Now you should be the proud owner of an unhackable paper wallet for your digital currency. If a paper wallet is not for you, however, you could use your own mind with a brain wallet.

 

Original article can be found here

Investing In Cryptocurrencies, Explained

Should I invest in cryptocurrencies?

Cryptocurrencies are now considered to be one of the best investment decisions.

These are some of the reasons:

  1. To increase net worth. The alarming value loss of most currencies makes many people consider a better way to hedge their money. As a result, they turn to cryptocurrencies as a better alternative.
  2. Technology. The technology behind cryptocurrencies is amazing. It offers you a currency that can be used regardless of where you live in the world, unless a government decided to take a hand on it, of course
  3. Track record. Ever since Bitcoin, the first cryptocurrency ever created, was launched back in 2008, investors in the digital currencies have benefited immensely from the surge in prices of the currency over time. Therefore, investing in crypto assets offers you the chance to increase your financial situation over time.

What are the risks?

Some of the issues you might want to consider before investing:

  1. Bubble accusations. Some business experts believe that cryptocurrency is a bubble and will never pass the test of time. JP Morgan CEO Jamie Dimon is one of them, for instance. Traditional financial investors seem to think that since digital currencies are not backed by anything and have a high level of volatility, they cannot compete with fiat money and thus will never replace it.
  2. Volatility. This point is of a high concern. With big volatility jumps you may earn a lot of money but you can also lose a lot in an instant. Take a look at the Bitcoin price over the last three months as an example.

  1. Legal aspects. Not all the countries in the world have officially recognised the digital currency as a currency yet. So you may find it impossible to open a cryptocurrency wallet in some countries or to pay in digital currencies at a groceries store. Also, if you some of your income is in cryptocurrency you may face difficulties declaring taxes, as most of the governments have figured out what to do about it yet.

What cryptocurrency should I invest in?

Tricky question.

There are a lot of factors to consider before investing. Let’s take a look at the most crucial ones.

  1. Acceptability. Before you invest in a crypto asset, consider how many countries recognize and accept it as a legal means of exchange?
  2. Portability. A digital coin must be portable. You should be able to carry it easily from one place to another without much challenge.
  3. Security. It must also be secure. This is a characteristic of all legal currencies. From the US Dollar to the British pound, security is a common quality. So, a good digital currency must also be secure.

Over the years, a lot of digital currencies have been launched with each promising to be the most valuable. Let’s take a look at the ones we cover most often:

  • Bitcoin. Bitcoin has proven to be the most valuable cryptocurrency to invest in. It offers high Return on Investment (ROI). Nevertheless, as mentioned before, it is not immune to volatility jumps.
  • Ethereum. Ethereum is the second largest digital currency by the market capitalization and by the current price.
  • Litecoin. Litecoin has been one of the most stable crypto currencies so far. In fact, it is often called “the main hedge asset of the crypto market”  among crypto traders, although it was affected by the news of the China ICO ban.

There a lot of other potentially interesting cryptocoins to invest to. Do your own due diligence before deciding.

How to start investing in crypto assets?

Take the following steps:

  1. Decide what you want to invest in. The first step to take is to decide what cryptocurrencies to invest in. Since there are more than thousand of them, making a decision on which one to buy is crucial.
  2. Set aside some money for investment. Everything requires planning and goal setting. So, the second step to take is to decide how much you would like to invest in crypto assets either weekly or monthly. Keep aside the amount you wish to invest and watch out for the right time to invest it.
  3. Sign up for a cryptocurrency wallet. You’ll need a wallet address with which to request and receive the coins you will buy. There are different types of wallets such as Bitcoin wallet, Ethereum wallet, etc.
  4. Join an exchange. Now that you have signed up for a cryptocurrency wallet, you still have to join an exchange because this is where you will be trading. There are a lot of exchanges, like HitBTC, Bitfinex, Bittrex, Coinbase, BitstamP, etc.
  5. Purchase your cryptocoins. After creating an account at an exchange, it’s time to start buying. If you have no idea how to do this, get in touch with the support team and they will be glad to guide you.
  6. Move your coins to offline hardware storage. An offline hardware storage will help you store the coins off the internet servers where they are protected from hacking.

Please note that investing in crypto assets is risky. You should conduct your own research when making a decision.

Original article can be found here