CP2000 for Cryptocurrency

Money is great. No doubt about it. Commercials are so vital around. Money is one of the most desirable things in a man’s life. Not until there are taxes to be filed. That is a pain. The process and just the idea of letting go of some amount.

The Internal Revenue Service (IRS) watches over all the investment cradle. Just like every investment and revenue is reported so is the same for cryptocurrency and assets. You heard it right there are tax returns for cryptocurrency as well.

Over 10,000 cryptocurrency holders have been notified by the US body to alert those who might have missed reporting their crypto holdings and transactions in their tax returns. The notice which was the last sent and holds quite a weight is known as CP2000.

Cryptocurrency investments come with a sort of anonymity then how is it that the agency IRS could track down the asset hoarded? This is because eminent exchanges like that of Coinbase send out a form called ‘Form 1099-K’ where they enlist the gross amount of transactions that are done by an investor over the exchange.

1099-K, however, does not report losses or gains and merely report the amount that was involved in the transactions. The CP2000 is actually a notification of any impending information. So, what is to be done if one receives one such notice?

  • Calculate all the cryptocurrency amounts leading to tax correctly because the ones in the 1099-K form were, maybe, misleading. The form does not take cost basis information which is absolutely essential to infer losses/gains.
  • Once you are aware of the exact amount that you owe, you can then seek help from a cryptocurrency tax professional or seek information from portals like Trybe. All this will equip you to respond to the IRS and help you achieve a strong case in case the defaulter charges do not match.
  • Try using crypto tax software that helps file these taxes and also produce tax reports that are absolutely valid. A software of this kind is TurboTax.
  • Ensure that the fair market value is with you apart from the cost basis. Having the fair market value is essential to show the amount that you received against what you bought for.

Understand that the IRS treats cryptocurrency as property and not as currency for tax purposes. So, just how tax reporting liabilities are incurred on properties, it is the same for cryptocurrencies.

How Safe is Ledger Nano S?

Cryptocurrencies have been on a sale like hotcakes in the past couple of years. The right cryptocurrency investment is on everyone’s mind. The popularity with such fund movements is of the results that it might bear upon the right selection of the cryptocurrency.

The transaction process, however, can leave many worried if there is even an ounce of uncertainty. There are two specific ways through which for the time being these transactions take place which is through paper wallets and hardware wallets. Hardware wallets have a fanbase of their own. It is considered one of the best ways to store cryptocurrencies as it comes with high notch security.

Considering the concern regarding choosing the best possible wallet for the cryptocurrencies holding the valuable investments, Ledger Nano S guides the way. The hardware wallet Ledger Nano S is considered to be of optimum quality and range as safety and security are not compromised and are ensured in the best preventive ways possible.

Ledgers built all its devices around specialized chips called Secured Elements and designed a secured operating system called BOLOS. This boosts up all of the wallet’s security amenities. They are run by microcontrollers which are the same as processors.

Here’s how the Ledger Nano S provides all the necessary checkpoints that you are looking for-

  • The wallet requires a physical press to enable “Send transaction”. This cannot be skipped by any hacker who has control over your PC with a hardware wallet connected. This proves a safeguard advantage.
  • The Ledger Nano S requires you to enter a PIN. Upon three failed attempts at entering the PIN, the device will wipe itself.
  • The private keys are stored in a separate enclave environment and are offline. No private keys get stored on the server. They never leave the device and wallets can be wiped and be generated multiple times.
  • The Ledger Nano S has an anti-tampering seal that should only be bought from an authorised seller.
  • Ledger Nano S also has Passphrase which is an extra addition to 24-word recovery phrase.
  • The hardware also checks itself every boot.

Ledgers have been manufacturing one of the safest and secure wallets for investment in the cryptocurrencies. The company recently went into an agreement that ensures all users are protected from a third-party hack. One of the most important things to note however is that it is ordered from its official website and no duplicate ones.

Ledger Nano S vs Trezor

The big bucks need the sort of security that it deserves. So, when the thought of multiplying them in the near future strikes, a new wave of doing so is sought after. The rising growth of the cryptocurrency in 2014 was thought of to be a new revolution in the investment spectrum. Buying and selling of these cryptocurrencies were all over the news and trends. Then what happened that resulted in a sudden decline of the same?

Questions raised on the security of the transactions can be one of the reasons why a decline in the cryptocurrency could be witnessed. Hacking and other such ethical breaches may have seized to exist. But with hardware wallets and their provisions and features, the security aspect is much relaxed. The best advantage of holding the cryptocurrencies in such wallets is that the private keys are stored in the devices itself and do not get shared with any server or any other storage which is software enabled.

If we are to compare two of the most popular hardware wallets in the market at the moment that makes cryptocurrency transactions safe and secured, then they are of Ledger Nano S and Trezor. But to choose to opt for one over the other needs an analysis of the intricate details of all of what it comprises of. The Ledger Nano S and Trezor have a tough face-off with each other considering the following aspects-

  • Ledger Nano S supports more coins as compared to Trezor. This advantage is vital for people who wish to choose from varied options of coins that are available.
  • There is not much difference in the cost of Trezor or Ledger Nano S.
  • Trezor has a bigger display screen in contrast with Ledger Nano S. This provides a more comfortable view.
  • The setup process for both the wallets is the same. They need to be connected via USB to a PC with PC oriented operating systems. There is the requirement to set a PIN code and a backup recovery seed to set up.
  • Trezor is on mobile! The best advantage one can look for. Trezor has an app unlike Ledger Nano S. There is a mobile version available but that doesn’t beat the ease and comfort of an app.
  • The durability of the hardware of Ledger Nano S is hands down more because of its stainless steel body which makes it less susceptible to damage, unlike Trezor’s plastic body. 

Dent Coin Price Prediction

Built on the Ethereum blockchain ecosystem, Dent falls under one of the initiators of virtual telecom operations. This platform deals with the global market aiming the telecom users limited to regionality biases and thus restricting themselves from the worldwide opening. The mobile data infrastructure is not available to many. Dent breaks this bar with its unified marketplace enabling global interaction amongst the user base.

This ERC-20 cryptocurrency is an exchange as well as a marketplace used for mobile data transactions through reciprocated operations over data plans. The convenient pricing and transparency make this platform highly adaptable, even more than expected. Dent is aiming to bring a completely new economic scenario while turning around data that’s worth billions of dollars.

The trading value of Dent currently stands at $0.000170 with a market cap of $13,362,679. According to the price movement chart, a worth of $550,483 Dent is being traded. Within a day’s span, the price escalated to $0.0004 where $0.0001 was the lowest.

The market scenario of cryptocurrencies changes rapidly. And such uncertainty makes the cryptocurrency price prediction a little difficult.

However, in this article, we will cover the estimations made by top websites and market leaders for you to understand the flow of Dent coins. So, let’s have a brief look at them:

  • According to Wallet Investor, it is predicted that during 2020, the value of Dent coins will reach to $0.000012.
  • Taking Crypto Groud’s predictions into account, it can be said that within the next 6 months, and the year, Dent’s worth will be $0.0010 and $0.0013, respectively. Whereas, within 2025, it might take a flight to reach $0.0631.
  • As per Digital Coin Price, the valuation will become $0.00233592.
  • Other sources say that by 2022, Dent’s price to increase to $0.0238.

As an addition to Dent’s uprising worth, the probability of this crypto project to crash down is quite less too. Well, if you see it in the long run, studies show that the value of Dent coins will not drop. And the proof is there in a recent example where Dent’s service expanded to over 50 countries around the world, following the update of its beta app commencing an international call. This actually enhanced the market demand resulting in a 10% value hike. So, all these progressions make it evident that investing in Dent will surely bring a win-win situation for you and the industry as well.

Can You Hack Cryptocurrency?

Cryptocurrency can be best described as a type of digital currency. It uses cryptography for the purpose of offering data security and anti-counterfeiting measures. Generally, public and private keys are employed for transferring cryptocurrency between individuals. Some of the most popularly used cryptocurrencies are Bitcoin, Litecoin, Bitcoin Cash, Dogecoin, Etherium, etc.

The issue of security has been attached to cryptocurrencies, especially bitcoin since its development and inception. In case you are wondering if one can hack cryptocurrency, continue reading this article.

Bitcoin itself is actually very difficult to hack due to its highly supportive blockchain technology. Hacks are usually unlikely as blockchain is constantly reviewed by bitcoin users. However, it does not mean that it’s necessarily a safe investment. The potential for security risks does exist at various stages of the trading process. Although developers are always trying to improve wallet security, there are ‘black hat’ hackers who are always trying to access other peoples’ wallets illegally.

In Bitcoin’s transaction process, the most commonly used security measure is two-factor identification. Linking the security of a transaction to an email address or a cell phone number means that anyone with access to those components can authenticate transactions. If hackers manage to determine your non-cryptocurrency-related personal information, infiltrating your transactions will not be much of a difficult job for the hackers.

In August 2010, Bitcoin was hacked when some hackers exploited a vulnerability. The hackers generated billions of bitcoins which were sent to two addresses on the network. The vulnerability was eventually fixed. After that,  the transaction was erased from the transaction log. The Bitcoin network was forked to an updated version.

A “bad” transaction infiltrated block 74638 on 15th August 2010 due to a bug in bitcoin’s code. There are several more instances as well when Bitcoin and other cryptocurrencies were hacked.

However, there are exchanges working towards maintaining high-security practices. Binance, is one of them, is doing a commendable job to safeguard the cryptocurrency market. In 2018, it impeded into Cryptopia hacker’s plans and had frozen the stolen cryptocurrency. Well, everything has its own positive and negative sides; so is the issue with cryptocurrencies as well. The operation of such digital currencies was made decentralized to make transactions easy, but hackers found their ways to invade into the network and ruin the concept. Though it’s not a child’s play to take preventive measures against such activities, platforms like Binance are putting their best efforts to avoid these unscrupulous happenings.

Is cryptocurrency a mirage?

It is with much trepidation that I would approach the word “mirage”, especially when it is being linked to cryptocurrencies. Bitcoin, in particular. I would also vehemently protest if blockchain is also described similarly. Blockchain is a technology with immense possibilities and it has already illustrated it’s feasibility by being the backbone of digital assets.

And that brings me to Cryptocurrencies. Bitcoin, in particular. Now, the question might be asked as to why just single out Bitcoin, when a thousand other tokens are in vogue. The answer is simple. Bitcoin, being the firstborn, is not just the most influential but largest of all the cryptocurrencies put together. It holds a bit more than 50 % of the market cap of the entire crypto universe. Any changes happening to Bitcoin will have a direct influence on the other cryptos and this has been proved on numerous occasions, earlier. The most major being when Bitcoin crashed from a high of $20000 to a low of under $6000, in 2018.

Now since cryptocurrency is synonymous with Bitcoin, the question beckons.

Is Bitcoin a mirage?

In less than a decade, bitcoin has gone from being an obscure curiosity to a household name. Its value has risen — with ups and downs — from almost nothing to $10,000 at current valuation.

Bitcoin’s rise is spectacular. Its price is up almost thirtyfold in the past three years. Currently, the value of Bitcoin in circulation is more than US$250 billion, greater than the market capitalization of McDonald’s. This is remarkable because unlike McDonald’s, which has stores in almost every corner of the world, Bitcoin as a virtual currency is hardly even transacted in the real world.

Hence, there is a possibility, that since it has no shape and form, it’s viability is always a question mark. But then the rising stock of Bitcoin may also suggest that digital assets are the future.

The rise in Bitcoin’s value reflects speculation about its future value: This digital currency will have long-term value as long as it is accepted as a medium of exchange and a store of value.

The greater its acceptance, the more it will be worth it. However, it is difficult for Bitcoin to be accepted as real money. Therefore, the high volatility of its value largely reflects changes in the perceived degree of acceptance. By design, there are inherent weaknesses that prevent Bitcoin from becoming real money. Once these bottlenecks are removed Bitcoin has the potential to become the currency to own.

The Bitcoin backbone protocol

Cryptocurrency is a type of a virtual digital currency that uses cryptography to secure its transactions and is decentralized. Bitcoin, on the other hand, was the first Cryptocurrency founded in the year 2009 by an unknown source as open-source software. The transactions are peer to peer and are verified through network nodes. A cryptocurrency exchange is businesses that give people a chance or opportunity to exchange Cryptocurrency with other goods, product or even services.

The Blockchain

The blockchain is a public transaction ledger that was to affect the decentralization of the Bitcoin system more so in preventing double-spending. The ledger is maintained by miners who are anonymous participants whose work is to approve transactions and in turn, are rewarded with bitcoins. Blockchain requires miners to solve a cryptographic puzzle in order to generate a new blockchain.

Bitcoin Protocol

The bitcoin protocol is a set of rules or regulations that govern Cryptocurrency exchange; the main problem facing the exchange is double-spending. Double spending occurs when the fraudster credits an account receives the services or the goods agreed upon and manages to organize the Blockchain so that the transaction is reverted. At this point, the fraudster keeps the bitcoins as well as receives the goods or services.

The best cryptocurrency is one that is decentralized, this means there is no central control/authority of the transactions it should also know when to produce new cryptocurrencies and when not to and lastly should be able to distinguish ownership between different players.

Bitcoin, or for that matter, cryptocurrencies were borne out of the need to reinvent the banking environment. With a faster turn around time and impregnable security, it soon became the darling of the tech community.

It is imperative for Bitcoin to maintain authenticity.

Also, the BA (Byzantine Agreement) is built on the terms of the bitcoin backbone protocol and is based o the POW assumption. Every Blockchain has its participants and each participant is required to give input into the Blockchain and a Blockchain becomes authentic only if it contains {0, 1}. When the blockchain reaches sufficient lengths the honest parties read the k elements at the end by pruning and retaining the remaining as part of the blockchain. This ensures the majority of the blockchain originate from the honest parties.

The essence of a crypto transaction is the ease of usage. It is this that has catapulted Bitcoin into the behemoth that it is.

Digital Currencies

Banking has been around for thousands of years, in different forms. From bartering animal skin to gold, banking has evolved to what it is now: a robust system with an infrastructure that is both widespread and impressive. However, over a period in time and with various exigencies, the process of banking has become more officious and rudimentary. Bureaucratic oversight has increased and that has meant more paperwork, fees, and delays. Though it should be mentioned that brick and mortar banking institutions did play its part in increasing efficiency and making the entire process more tech-centric, it remained shackled to its legacy, thereby, limiting its scope.

In such times, arose the concept of blockchain and riding on it, the cryptocurrency. It was simply a digital currency with no tangible form.

What is Digital Currency?

Digital currency is a form of currency that is available only in digital or electronic form, and not in physical form. It is also called digital money, electronic money, electronic currency, or cybercash.

What are the advantages of Digital Currencies?

  • Digital currencies are currencies that are only accessible with computers or mobile phones, as they only exist in electronic form.
  • Since digital currencies require no intermediary, they are often the cheapest method to trade currencies.
  • All cryptocurrencies are digital currencies, but not all digital currencies are crypto.
  • Digital currencies are stable and are traded with the markets, whereas cryptocurrencies are traded via consumer sentiment and psychological triggers in price movement.

A sneak peek

Digital currencies are intangible and can only be owned and transacted in by using computers or electronic wallets connected to the Internet or the designated networks. In contrast, physical currencies, like banknotes and minted coins, are tangible and transactions are possible only by their holders who have their physical ownership.

Now since digital currencies have no tangible form, counterfeiting it is impossible. This brings down the attempt to make fraudulent transactions to near-impossible levels.

Like any standard fiat currency, digital currencies can be used to purchase goods as well as to pay for services, though they can also find restricted use among certain online communities, like gaming sites, gambling portals, or social networks.

Because of such inherent advantages, digital currencies have become a rage among new-age tech enthusiasts the investors, who are ever on the lookout for greener pastures. Bitcoin and its ilk have fashioned a revolution which is the future we would love to believe in.

TRON and the disruption it offers

TRON is a project that aims to disrupt the online content market. It aims to empower the user to decide on the content one would want to watch. Hence, it focuses more on the entertainment distribution network. It basically wants to create an environment where the user-created content will be shared as per the choices the creator makes. This way, they are able to eliminate intermediaries and middlemen who make more gains over what other people create simply because they provide the platform.

Creating value for content makers is a major step in the project’s agenda as it transforms how the world interacts through the internet space. Disrupting this economy brings about one major benefit – freedom from censorship. TRON investment has a long-term advantage. As the world continues in the decentralized direction, platforms like this remain on top of the CDN industry. Another important feature is that it is cross-blockchain compatible with other networks.

The current market rate of TRON is $0.0133 with a potential profit percentage rise if almost 162%.

To buy TRX is quite a simple exercise as it is listed in more than 20 cryptocurrency exchange platforms, which makes it an extremely popular token and it is also being paired more with BTC and ETH. Very few exchanges allow trading with USD and USDT. To buy, you simply need to register on any of the exchanges that list the crypto-asset, then purchase using BTC or ETH as the case may be.

Once the coin has been bought there are two different storage options to choose from:

1) You could decide to store on a web wallet like Myetherwallet (since it’s an ERC20 compatible token), or on exchanges where they are listed. More so, there are some mobile wallets, that can also be used, so it’s safer to transfer the asset to a mobile wallet than to store it on exchanges.

2) Another option, which is the most secure one, is the use of a hardware wallet like Tezor or Ledger Nano S, which provides more security to crypto assets. With the arrival of TRON, the ownership landscape is bound to change. There will be more freedom attached to creativity as a third party hold will reduce drastically. This will hold good for the online entertainment industry. Blockchain and the advantages it brings to provide a level playing field both among the consumer and the platforms that provide the space.

Daedalus Wallet Review

So while the world is going Ga Ga over Cardano and its many disruptive features, one big feature they are absolutely overlooking is the wallet that stores the Cardano tokens. Daedalus.

Daedalus, is the optimal wallet that is used to store ADA coins.

What is a wallet?

The online wallet isn’t the same thing as the leather one in your pocket, though they function similarly. Digital wallets store digital money or cryptocurrencies.

Each cryptocurrency needs a wallet compatible with it. One cannot store any digital currency in any wallet. You also need to choose between software and hardware wallets. Software wallets are online applications, while hardware wallets are a separate device that can be connected to a computer via USB. One such wallet is the Daedalus wallet. It is a software which is compatible with Cardano and our review today will throw some light one it.

What is Daedalus?

Daedalus is the name of the wallet that is compatible with Cardano. You may ask what is Cardano? Well it is among one of the most  respected of cryptocurrencies in the world. And the only wallet supporting it is Daedalus.

It was developed by the Cardano network to provide the highest form if encryption to its users. Daedalus is also a multi platform web-based device. That would mean it can be accessed from anywhere making truly democratic in its functionality.

Daedalus has gained immense popularity within a pretty short span in time because of the wide range of features it offers users. Users can manage the wallet easily and securely using several high tech features. Organizing and recovering funds are also easy. This convenience and ease of use makes Daedalus such a well known Cardano wallet. Also the fact that its multi platform makes it even more of a darling of the Cardano community.

On an extremely basic level, Daedalus is similar to any other cryptocurrency wallet. It lets you store data like private keys for easy access. Also, since Daedalus is an online wallet, it is much easier to use compared to a hardware wallet. You can access the account from any platform and browser from anywhere in the world for instant access to funds.

The three main criteria that Daedalus meets are Protection, convenience and instant service. This what makes it one of the best wallets in the cryptocurrency universe.

Cardano Foundation is based in Switzerland and was founded in 2015.