Urvashi Verma

Vitalik Buterin: Ethereum Scalable to Millions of Transactions Per Second

Ethereum’s two-layer scalability solution has the potential to process 100 mln transactions per second.
Vitalik Buterin: Ethereum Scalable to Millions of Transactions Per Second

Vitalik Buterin, the founder of Ethereum, revealed that Ethereum’s network will eventually process more than one million transactions per second, and has the  potential to process 100 million transactions per second, in an OmiseGO AMA session online yesterday. 

Vitalik explained that topping the first layer solution – sharding – with a second layer called Plasma will enable Ethereum’s network to overcome scalability issues for the diversity of use cases required in almost all applications. Buterin emphasized that using a two-layer solution will also result in latency reduction which is essential for adoption. 

In the OmiseGo AMA session, Buterin says: 
 

“So if you get a 100x from Sharding and a 100x from Plasma, those two basically give you a 10,000x scalability gain, which basically means Blockchains will be powerful enough to handle most applications most people are trying to do with them.” 
 

What is sharding?   

Sharding splits a Blockchain network dataset which is equipped with a group of nodes that are tasked to process information. The splitting of datasets eliminates the need for all nodes on the Blockchain to handle every single piece of data settled making it possible to process faster transactions and reduce settling time.


What is Plasma?  

Plasma, a solution developed by Buterin and Lightning Network co-author Joseph Poon, enables Ethereum to process micropayments by adding a layer of smart contracts which can interact with the main blockchain to reduce transaction fees for smart contracts and decentralized applications.  

These smaller Blockchain networks interact with the main Blockchain to process information more swiftly while maintaining the security protocol of the primary network.  
The plasma method also reduces the need to read all blocks which makes the transaction processing a lot faster. 

One of the main properties of Blockchains is that all the blocks in the chain are connected in a series to one another, and the data must be correctly read in the distributed log. Plasma, an existing solution, requires each user to download and authenticate each block, however now Plasma Cash only requires users to pay attention to the blocks containing the coins they want to track.


Vitalik Buterin says: 


“The reason I think layer 1 and layer 2 [networks] are complementary is that ultimately if you look at the math, the scalability gains from the layer one improvements and layer two improvements do ultimately multiply with each other. If you have a Sharding solution, the Sharding solution itself might increase the scalability of Ethereum by a factor of 100, or eventually even more. But then, if you do Plasma on top of the scalability solution, then what that means is, you’re not just doing 100 times of the amount of activity but you are doing 100 times the amount of entrances, the amount of exits, and despite resolutions.”
 

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Scaling based on demand

While the two to three orders of magnitude can increase scalability potentially into billions of transactions over time, Blockchain scaling solutions should come with a focus on demand and reducing costs in the best interest of end users, says Buterin. 

Depending on the various use cases, scalability solutions should consider the number of transactions needed for the application. For example, transactions can range between 300,000 per second for credit card payment applications to the 25 mln per second for IoT devices.

Long-term institutional adoption

Since Plasma Cash reduces latency and users only have to watch their tokens or coin, it can increase the scalability of the systems and enable institutional use cases like centralized digital currencies to maintain privacy properties. 

Centralized institutions such as banks that have been testing Ethereum-based chains are now confident that the technology has merit, are ready to move beyond the proof-concept stage and are looking for a real and complete software-based solutions says Buterin.

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📈 Pricewise Vaido Veek

BTC is on the Big Chart Pattern, ETH is on the “Rising Wedge,” ADA is Ready to Make a  Move: Price Analysis, Oct. 1, 2018

Pricewise
Bitcoin and Cardano are on the triangle, Ethereum is still on the “Rising Wedge”
BTC is on the Big Chart Pattern, ETH is on the “Rising Wedge,” ADA is Ready to Make a  Move: Price Analysis, Oct. 1, 2018

*** Please note the analysis below is not investment advice. The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of U.Today. Every investment and trading move involves risk, you should conduct your own research when making a decision.

Bitcoin is on the big “Ascending Triangle”

Currently, it trades between the two blue lines. Above is the resistance at $6,767 where BTC has tried to break out several times, one attempt was successful but let's call this a fakeout. The second one is below the current price at $6,460 which works as a support. On  Sept. 26th and 27th, it worked nicely as a support and it holds that price very nicely. Over the weekend, we touched it again and got a bounce, but this time, this level is much stronger than before because in this area we had the trendline and the golden Fibonacci level 62 percent crossing area which makes this price level much stronger to break through.

Bitcoin is on the big “Ascending Triangle”

Over the weeks, the chart has drawn a bullish pattern called "Ascending Triangle" which will indicate that we might see a breakout upwards. However, we always have two breakout opportunities from the triangle, but this 'ascending' means that we have an edge to break upwards. Also, we have nice and clean higher highs and higher lows on the price structure which indicates a little bullishness.

Let's talk about a couple of scenarios:

  1. In general, during the weekends there is very low volatility and we needed a lot of power to make a breakout upwards. We didn't catch that power and the price is still in the triangle. At the moment we trade above the important EMA's and on the four-hour chart we got a bullish "Hammer" candlestick pattern and the hammer low bounced upwards exactly from the trendline and from the EMA's. If we see a continuing move upwards in the near future and if we manage to break above the triangle upper resistance line at $6,767, then the triangle pattern shows us that the ideal target point would be around $7,300 where several weekly resistances are.

  2. In the bigger picture, the overall trend is down and that's why we think it is simple to break downwards. If we see a candle close below the blue line and below the triangle trendline, let's say around $6,420, then it would be a bearish confirmation. It confirms that the bullish momentum is gone and the strong support level doesn't work anymore and the next stop would be on the major counter trendline which is around $6,300. Be careful in this scenario!

Ethereum(ETH/USD) is still on the "Rising Wedge"

As Bitcoin, Ethereum trades currently between the two blue lines, support and resistance. The resistance line at $236 has been before a support and now it becomes a resistance.

Ethereum(ETH/USD) is still on the "Rising Wedge"

Several times it has tried to break above that blue line, but those attempts were unsuccessful. To break through this level, we have to fight with 200 EMA which starts to work as a strong resistance on the four-hour chart.

Ethereum shows nice short-term higher highs and higher lows since Sept. 25. This could show us that we have market structure and power to push the price upwards from the mentioned level and the next target would be around $260 where the minor trendline is.

The current support line has been historically a good S&R level and now it becomes a major support level again. To make this level even stronger then we trade above the 50 and 100 EMA's which should also start to work as support levels. If we break below that blue line and if we break below that major counter trendline then we have a bearish confirmation and the bearish confirmation is even stronger because we are on the continuation chart pattern called "Rising Wedge.” The overall market trend is down and if Bitcoin makes a breakout downwards from the triangle then Ethereum definitely makes a breakout downwards from the "Rising Wedge" and probably the next stop would be around $200. So, stay alert when you see at least a four-hour candle close below the major counter trendline which also breakout from the continuation pattern "Rising Wedge.”

Cardano (ADA/USD) is ready to make a move

Almost everywhere there are chart patterns and Cardano is no exception, there is a symmetric triangle formation. Usually, this means if the breakout occurs in either direction then this will show the momentum where the price could be heading.

Cardano (ADA/USD) is ready to make a move

Currently, we are on the edge ready to explode because the price is on the triangle tip, smashed together and prepared to make a move.

If we manage to break upwards, then this means we have to break above the triangle and we have to break above the 200 EMA which currently works as a resistance.

We have a pretty good platform to do this because we have tried several times to break below the August low but those were failed attempts and it holds us nicely. If we manage to break above then there are three targets:

  1. The latest resistance- profit around 10 percent
  2. The round number $0.1- 17 percent
  3. The major resistance at $0.106- 25 percent

As you know, the breakout could occur in either direction. If the August low doesn't hold us anymore, then we have a breakout below the triangle and you should consider selling your ADA coins because this is an indication that we might go and test the lower levels. The first area where we could technically consider buying again is around $0.075. There is the latest support level and this level has to be on the 'watch list.’

📈 Pricewise
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Cryptotips George Shnurenko

Best NEM Wallet: Where to Store NEM?

💡 Cryptotips
NEM is an important cryptocurrency, especially in the East, and as such, it is good to know how to store this asset
Best NEM Wallet: Where to Store NEM?

Where to store your NEM XEM cryptocurrency? Let’s overview top NEM wallets that ensure the safety of your assets and private keys, and provide you with an easy and fast access.

NEM (New Economy Movement) is an innovative Blockchain platform for developers who want to create applications using ready tools and instruments. Its native token, XEM, is one of the top 20 world cryptocurrencies and has recently received a lot of attention from cryptocurrency specialists. If you want to make an investment and purchase XEM tokens, it’s high time to find the best digital NEM wallet– we’ve prepared some guidelines for you, as well as the list of best NEM wallet options.

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How to select the best crypto wallet for NEM?

When on the lookout for a wallet to store cryptocurrency, you need to take the following aspects into consideration:

  • Compatibility. First and foremost, you need to make sure that the chosen wallet supports XEM or any other currency you’re going to store. Secondly, make sure that your OS and device can run this wallet app.

  • Security. The best wallet to store NEM is the one that keeps your assets safe and secure. Hacking is always a risk when you own a crypto wallet, so read reviews about its reputation, find out where there are such features as holding your own private keys and two-factor authentication.

  • Customer support. Will you be able to get help as soon as possible in case of technical issues? Check the wallet’s reputation and read reviews.

  • Backup features. If the wallet has decent backup features, you’ll be able to recover the funds in case of access loss.

  • Development and updates. Find out who are the team standing behind the wallet, and whether they update the wallet regularly– it’s crucial for security.

NEM NanoWallet

This is the best wallet for NEM from the point of accessibility and functionality: Nano Wallet is compatible with many platforms (Windows, Mac, Linux) and allows managing XEM account and mosaics. Besides, you can send messages to any address or namespace. The platform features instant exchanges powered by Changelly– a convenient option for everyday use.

The wallet is easy in use: you can have on-chain multi-signature and multi-user accounts, and since December 2017, it supports TREZOR integration for securing your tokens. While Nano Wallet is the best NEM wallet for Windows, it’s not convenient for mobile devices.

NEM NANO wallet interface

NEM mobile wallet

When it comes to the best NEM wallet Android and iOS devices support NEM Mobile Wallet software– it features a simpler interface and navigation. The application is free and perfect for managing your NEM accounts. Security options are up to the mark: the app supports multi-signature functionality, which means you can store and encrypt your private keys and other crucial data right on your device. The speed of transactions is fast, though some users reported facing problems and bugs.

NCC (NEM Community Client)

You’re a lucky owner of 10,000 XEM and want to start harvesting? NCC is the very best NEM wallet for those who need advanced features, such as harvesting and delegated harvesting. This app is compatible with Windows, Mac and Linux, but before installing it, make sure that your computer isn’t contaminated with viruses, and you use a strong password.

Freewallet

Need the best Bitcoin wallet on Android with Ethereum, NEM and other currencies supported? Opt for Freewallet: it offers a smart intuitive interface and mobile-first experience. It has the following advantages:

  • The assets are stored in offline vaults– unbeatable security against attacks is guaranteed.

  • If you accidentally lose your device, you can have the account frozen from any other Android or iOS gadget.

  • Two-step authentication is possible: you can enable additional security code, or activate verification via email, or mobile phone number.

What else makes it the best wallet for NEM XEM? The exchange service is free– with smart transactions, it doesn’t matter which currency you have. Just set up the currencies you need, or send between Blockchains without exchange services.

TREZOR

Ready to pay for the security of your virtual currency? Then TREZOR is the best NEM coin wallet that provides you with total management of your private keys– they simply won’t leave your device. How? Because TREZOR is the physical best wallet for NEM– for some $80, you get a small gadget that fits in your pocket and stores all your passwords, emails, and accounts.  TREZOR can be connected to Mac, Windows and Linux PC.

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TREZOR hardware crypto wallet

What should I use?

Let’s summarize and figure out what’s the best XEM NEM wallet for you.

NEM Wallet

What is it recommended for?

NEM NANO wallet

A nice solution for users who mostly use PC and need a versatile wallet with decent customer support and total management of private keys.

NEM Mobile Wallet

Those who mostly use iOS or Android devices will find this app useful and convenient.

NCC

XEM holders who want to start harvesting and store large sums of tokens.

Freewallet

Mobile users who need a versatile and safe solution.

TREZOR

Holders of multiple wallets and account who need the ultimate security of their private keys.

The Internet is full of various free and paid wallets– select the one with a heavy focus on convenience and security, and you won’t face problems managing your NEM coins.

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David Dinkins

Co-Author of Controversial Ethereum Fund Recovery Proposal Story of $35 Mln Hack

James Levy had 40,000 Ether stolen from him in 2015, and he wants his money back.
Co-Author of Controversial Ethereum Fund Recovery Proposal Story of $35 Mln Hack

As the debate over fund recovery options continues within the Ethereum community, the co-author of the controversial EIP 867 is sharing more of his story in hopes of swaying the community. EIP 867 is an “Ethereum Improvement Proposal” that attempts to create guidelines for the recovery of funds lost due to hacks and theft. The proposal has attracted an enormous amount of controversy, with one of Ethereum’s EIP editors resigning because of his belief that the proposal violated Japanese law.

Backstory

The story of EIP 867 begins with its co-author, James Levy, who received 40,000 Ether from the Ethereum Foundation for his work on smart contracts in late 2015. At the time, the price of Ether was less than a dollar, and Levy secured the funds in a wallet that used a weak passphrase. Nonetheless, Levy apparently believed his funds were safe, thinking any hacker would need his private key in order to move the money.

Unfortunately, the tool Levy used to generate his wallet - created by none other than Ethereum co-founder Vitalik Buterin contained a critical flaw that allowed funds to be transferred using only a wallet’s passphrase. That’s exactly what happened, as a hacker ended up stealing Levy’s money worth an incredible $35 mln today - by cracking his weak passphrase.

For some unknown reason, the thief never moved, sold or spent the stolen funds. They are simply sitting there in the hacker’s wallet, untouched. This has given Levy hope that, provided the community agrees, he might one day get his money back. Recovering his funds would require the network to hard fork, essentially requiring that Ethereum’s miners agree to pretend the hack never happened and returning the funds to Levy’s original wallet.

Immutability

If this were any other digital currency, there would probably be no hope of that ever happening. But Ethereum set a precedent following the notorious hack of TheDAO, hard forking the network to return the stolen funds. At that time, 3.6 mln Ether 15% of all the Ether in existence was drained from TheDAO’s contract by utilizing a bug in the contract’s code. Technically speaking, the attacker didn’t “hack” anything; he actually simply executed a feature that had been (unintentionally) programmed into the contract.

Because of the monumental size of the loss, the community ultimately decided to hard fork the network and essentially change the past - to make it as if the attack had never happened. Funds were restored to their original owners, and a precedent was set.

Following last year’s $160 mln Parity wallet hack, it became obvious that the problem of lost funds wasn’t going to go away any time soon. Unfortunately, because of its numerous features, Ethereum has an unusually large attack surface. Since Ethereum uses a Turing-complete contract system, developers can (and do) make mistakes in their code, accidentally creating vulnerabilities that can be exploited by attackers.

Levy and others like him think the network needs a formal procedure to handle fund recovery in the event of such losses. Supporters of EIP 867 point out that the network has already hard forked to recover stolen funds once in the case of TheDAO hack so it’s hardly fair to say that was a one time thing. Opponents of EIP 867 say that you can’t go forking the network any time somebody loses money, or else the “finality” of a transaction ends up being meaningless.

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Darryn Pollock

What is Money and How the Value of Information Shifts Its Meaning

The economy has shifted. It is now information-driven and far less commodity-driven, so what is the value of this new abstract commodity?
What is Money and How the Value of Information Shifts Its Meaning

 

The global economy has come a long way and is continually evolving world moves forward, especially into this latest digital age. First, there was bartering and trade, and then came currency and commodities, but we are fast approaching an age where information is a currency and the Value of Information is a key metric.

But currency itself is still something that needs to be defined, especially in an age of cryptocurrencies which are exploring the very nature of what money actually is. Currency is something of a set value that is traded for something else.

What if that something else is information? And what if the currency being traded for that information is again more and different information? It sounds odd and nonsensical, but today’s economy is one that is verging on this principle of valuable information and Big Data.

However, the value of information is nothing new, it is a quantifiable equation that calculates the amount a decision maker would be willing to pay for information prior to making a decision. This is a management and business terminology, but that principle is fast becoming a fully digitalized economic one in today’s world.

The digital world that is growing around us has provided information about the prize, it is easily accessible, and it is extremely powerful when the right information is found and achieved. Thus, this new economy where individuals have information and want information in return is almost a return to the days of bartering.

The age-old value of information

David Bellin wrote, in 1993, about the importance of finding the value of information, and this was just at a time where databases were starting to make an appearance. He said:

“Information theorists have long struggled with the problem of establishing a mechanism for the valuation of the enigmatic substance of data. With the relatively recent advent of electronic databases, online access, and the importance of telecommunications, this question has received growing attention.”

Indeed, the idea of putting a value to information has been around for some time now, and as Bellin alludes too, has become an important question that needs to be asked in a continually digitalizing world.

The value of information is an amount that can be computed thusly: it is derived strictly following its definition as the monetary amount that is big enough to just offset the additional benefit of getting more information.

It points out that exchanging money, or something of value, for information, is firstly not ludicrous and secondly has a threshold that can be reached before it becomes a loss of value. And while some examples of this can be akin to something as simple as knowing the weather conditions before a vacation, it has evolved significantly.

image

A different economy

Comedian Doug Stanhope said that a perfect economy is one of “blowjobs and cheeseburgers.” While his suggestion may be comical, it is not entirely a joke. The underlying idea is that people put a lot of value of sexual gratification and good food and that they are probably willing to pay/do a lot more than the intrinsic value of such commodities or services.

So, if people are happy to place value on things like burgers and blowjobs, essential commodities and services, is it all that odd that information can be just as valuable, if not more?

We are entering a different age where commodities are not the be all and end all when it comes to trade and value. And, now more than ever, the Value of information is key.

Thomas Oestreich, Chief EPM Strategist, wrote in the Journal of Management Excellence:

“During the last several years it has been said that we are in the information age. Information Technology and information management have experienced tremendous growth. Digital information is available everywhere and anytime. For years consumers have clamored for more- and more useful- information.”

“Digital marketing is the fastest growing advertisement segment in recent years, taking the market share from traditional advertising segments, which have faced a steady decline for years. In general, business models built upon a premium payment are being replaced with business models based upon a freemium model.”

What Oestreich is starting to allude to is the value of big data, and how companies are starting to trade in information and data. Big Data refers to the study and applications of data sets that are so big and complex that traditional data-processing methods are inadequate to deal with them. But this large sets of data are hugely valuable and very sought after.

This data, in the case of online services and apps, has formed a new sort of economy based not on currency or money, but directly on data. For example, an app that shows the weather is now offering information to a consumer, but that consumer is trading data - of their location for starters.

The new digital information-driven economy

Clearly then, the digitalization of information has made it a commodity, and as the digital revolution has advanced, systems have emerged to created an information-driven economy.

What is important is that the economy is moving from commodity-driven to information-driven. Information is of value and not just any information, but relevant Information.

Relevant information is exchanged either for other relevant information or of course for money. That money, however, is often spent again to gain more relevant information.

Exchange of relevant information for relevant information is a sort of a barter system, but the one that's making a digitalized comeback and becoming an increasingly a reality. This is the form of economy that the increasingly digital world is progressing to and that soon will be ubiquitous.

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Coins Guide George Shnurenko

How to store TRON (TRX): 5 Best Wallet to Store TRON

🎓 Coins Guide
You should combine different wallets taking into account all their advantages and disadvantages.
How to store TRON (TRX): 5 Best Wallet to Store TRON

TRX coin basics

It is also important to decide which wallet you should use to store your purchased Tron coins. Never leave your coins on exchanges (hot wallets) because you can lose all your money if the exchange shuts down, gets hacked or simply decides to block your account for some reason. You will need to get a semi-cold or cold wallet to make sure they your money is safe.

TRON Coin Wallets

Ledger Nano S

Hardware wallets are generally considered to be the safest way of storing crypto. Ledger Nano S is probably one of the best example of such wallets – it is completely secure and very user-friendly. Furthermore, it can be used for storing a great number of currencies including Tronix. Ledger Nano is also compatible with MyEtherWallet. You have to simply connect your ledger to a computer via USB and then send tokens to the wallet by clicking “Send Ether & Tokens” tab and choosing the “Ledger Wallet” option.

Trezor Wallet

Trezor is another good option if you are willing to store crypto on a hardware wallet. It works in a pretty much the same way as Ledger Nano S, so that would be difficult to designate which device is better. They are also in the same price category. Price is the main drawback of hardware wallets since you will have to pay up to €100 for such a security measure. However, it’s basically nothing compared to the amount of crypto that is usually stored on hardware wallets.

MyEtherWallet

MyEtherWallet (MEW) is objectively one of the most common ways of storing crypto. It is an open-source wallet which lets it users keep the private key to the wallet on their own computer avoiding the third party. MEW is usually accessed through your online browser, but it is also compatible with the majority of software wallets and aforementioned hardware wallets. Another advantage of MEW is a built-in exchange service. At the same time this platform has issues with security: there were numerous reports of MEW users who claimed that they had been subjected to phishing attacks.

MetaMask

MetaMask is an Ethereum-based online wallet that can be installed as a simple browser extension which is compatible with Google Chrome, Opera and Mozilla Firefox. It ensures an easy access to the blockchain without installing any additional software. MetaMask provides its users with an acceptable level of security using private key encryption, but (just like any other online wallet) it is not suitable for storing large amounts of cash.

Eidoo Wallet

Eidoo Wallet is a mobile app (available for Android and iOS) which works as a multi-cryptocurrency wallet. Private keys are encrypted only on your mobile phone (not held by Eidoo), so they are entirely controlled by you. Of course, the major advantage of Eidoo is its convenience: transactions can be managed with a smartphone while simple interface makes them understandable even for complete beginners. The developers promised to release a desktop version in the nearest future. Again, one cannot ignore the security issues. That’s why it’s advisable to always have a backup.

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The bottom line is that hard wallets are much safer for storing big sums of crypto (although, there is still a possibility that it may be physically damaged or simply lost). So you should combine different wallets taking into account all their advantages and disadvantages.

Coins Guide
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