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  • The Online Threats of 2019

    The Online Threats of 2019

    How you can stop them from happening.

    Like a biological virus mutates – as technology advances so do the complexity of phishing and identity theft schemes. With major services adopting cloud technologies and storing private data online, anyone is vulnerable to hacking.

    To make matters worse, hackers continue to come up with some pretty creative ways to profit from stolen information.

    Without wasting time, these are the things you should already be doing to avoid being exposed to hackers in the first place:

    In order to keep these cyber-criminals out of your lives and computers, let’s take a look at some of the actual schemes to watch out for in 2019.

    Hacking

    We all know what hacking is by now – the term has almost become synonymous with internet security. So a question is: do you love watching movies on Netflix or jamming out to your summer playlist on Spotify? If the answer is yes, then you’re at a pretty high risk of getting hacked.

    DynaRisk, a UK cybersecurity firm, recently found that cybercriminals most commonly target these brands, along with adult-oriented sites (you know what we mean) and then, online gaming services.

    Identity Theft

    A few weeks ago, authorities caught a New York-based gang who had used identity theft to steal over $19 million worth of iPhones. Quartz reported that this operation ran for seven years.

    So-called “Top Dogs,” the ring leaders, would organize lower level members of their organization to steal identities and create clone credit and identity cards. Then, affiliates fanned across the nation, signing up for mobile phone plans to acquire iPhones, which were later sold for a profit by the Top Dogs.

    Because phone payment plans take the shape of nominal fees over the course of several years, victims often wouldn’t notice the fraud until it was too late. Learn how another scheme dubbed sim port attack works in the diagram below:

    Ransomware

    Hacking can happen to anyone – including our favorite bands. In early June, a hacker managed to steal the minidisk archive of Thom Yorke, the lead singer of Radiohead. This included previously unreleased demos and audio material from around the time of “OK Computer,” the band’s 1997 worldwide hit album. The hacker then demanded $150,000 on the threat of releasing it.

    Holding files for ransom is so common nowadays that it even has its own name: “Ransomware.” Either pay over the ransom or lose your files—or, even worse, have them released onto the unforgiving Internet.

    In response, Radiohead released all 18 hours of material on Bandcamp themselves, winning against these ransom hackers.

    Most security experts recommend the same route as Radiohead—never pay the ransom, because there’s no guarantee you’ll recover files or prevent their release.

    Sextortion

    If you think ransomware is bad, there’s an entire subgroup of it aimed to profit off sexual shame. Cheekily named “Sextortion,” some hackers creatively upgraded the classic email phishing scam to scare victims into handing over Bitcoin.

    According to Fortune, hackers have already racked up over $900,000 with sextortion. In these phishing emails, the sender claims to have spied on you while you watched porn—and has webcam footage of the salacious deeds. The message then demands a Bitcoin ransom, or else face the social and professional consequences of this lewd video getting sent to all your contacts.

    To make the threat even more believable, the sender references a previous password tied to the user’s email account. According to Krebson Security, a sextortion phishing message might look a little like what’s written in the sidebox.

    In rare cases, the threats are real—and hackers get their hands on some sexually explicit photos. Recently, American actress Bella Thorne fell victim to sextortion. Last Saturday, she took a similar, albeit more risqué, route as Radiohead, opting to release her nude photographs on Twitter in order to take the power away from her hacker.

    Last thoughts

    So, what’s the best way to avoid your personal, or, business from costing thousands in virtual currency? Since most of these emails are fake, you can just avoid them with a spam filter. And you should probably buy a webcam cover…just to be safe. When it comes to general browsing- we suggest using a VPN.

    Read more about VPNs here

    There are now more secure anti-hacking tools that use the Blockchain and offer great protection, especially against identity theft. Have a look at our feature on Tokenisation.

    Most online services now like mobile banks, offer App-based 2-factor authentication. This should now be regarded as the minimum security for ANY online account or App.

    To avoid hacking or phishing scams in general, optimizing your cybersecurity and using online common sense will save you loads of time, trouble and money.

    Cybersecurity by Acunetix
  • Already GDPR-ed Out?

    Already GDPR-ed Out?

    Well, it didn’t take long. Less than a full week in fact, for the first GDPR-related court cases to surface against social tech giants Facebook and Google.

    It was as if lawyers were just waiting to pounce on them for their apparent failure to protect our rights as online users. This pertains specifically to issues relating to data privacy and the sharing of private details mainly with third-party marketers.


    How Facebook stores and shares your data has been clarified by several intense inquiries in the US and recently in Europe. This is where the law is set to benefit users of the social media platform in that geospatial area of the world.


    The said lawsuit, however, focuses on the opt-out clause that forces you to make a choice to comply or leave. The claimant is a privacy campaigner. He has made the Billion-Euro complaint on behalf of several users; seemingly a challenge to Facebook.


    Additionally, he has launched a separate suit against Google, accusing them of “pressurizing” users into accepting their data collection policies.
    This ‘comply and accept or get thrown out’ clause could leave you without your routine dose of social media consumption. Such a clause is thus deemed unfair.


    It could cost Facebook a lot if they get their way based on the terms stipulated in the new law. The social media giant could be fined up to a few billion or a sizeable fraction of their earnings in punitive damages.

    The aim of the new law

    The passing of the new regulation on May 25th, 2018, better known as the General Data Protection Regulation {GDPR} has been a long time coming.


    Despite the warnings of the “kick-in” of the regulation, many are unprepared for it. Some of the reactions to the law include confusion, anxiety by both large and small firms alike, and plain comical hysteria!


    Non-compliance now carries heavy fines and penalties, up to 20 million euros for anyone operating within the EU borders.

    So, what then, is the big fuss about GDPR?


    Well, it boils down to a right that has since the launch of the Internet to the mainstream, been waivered and overlooked. Gaining CONSENT to use your data for anything other than the reason you went public on the Internet is very crucial.


    This has become a contentious issue as many companies have over the years, unscrupulously benefited from data acquired (mined) – without your consent. Facebook only brought this into the spotlight recently.

    You can read more about data mining here

    Ad: Web, Network & App Scanner

    Who needs compliance?

    If you hold a folder, database of clients whether online or on your internal server, you would have to comply with the rules which stipulate full disclosure. This includes who you share your details with, and how the information is tracked, shared, and kept secure.


    Furthermore, research in March this year showed that only 39% of the Fortune 500 companies in the UK and 47% had GDPR compliance taskforces.


    Another UK firm commissioned study found that our buying behaviours are heavily influenced by we perceive our data is being handled by companies.

    The consent given to use your basic information cannot be taken for granted – even in the medical environment.

    German doctors’ practices, in the wake of GDPR, are manually making you sign consent forms. Doctors are now required to fully disclose who they share your contact information with.

    How to be compliant

    There are simple ways you can stay GDPR compliant. One method is to adopt an attitude of embracing it rather than just complying with it. You can be transparent with your customers by doing the following:

    Add a cookie bar to your website. You can also add a clause/paragraph to that effect (website disclaimer) in your ‘About Us’ section.


    Similarly, you must state clearly on any opt-in forms. Newsletters and any forms where their data is collected, used, and passed onto other third-parties must be announced. State clearly who they are and which data they have access to.


    You then need to give your customer the option to select what they want to share. Even if such data may not be necessary for them to receive services from you.


    Constantly review your relationships with third-party affiliates and partners to ensure that they are also complying with the law.
    They could be jeopardizing your data compliance efforts – as Cambridge Analytica did with Facebook.

    The last and most challenging step requires the action of what is promised above. This means an upgrade of your internal software to include security/encryption.

    GDPR compliant software

    You can obtain full compliance by using a GDPR-compliant package like Office 365 Enterprise E3. This package has email software specially designed for those of you dealing with sensitive client’s data that need to be kept for long periods.  Litigation hold, heavy archiving features; as well as basic email encryption are all included.


    You can add supplementary encryption software such as Azure Information Protection as an extra layer of security. This helps you to safeguard emails and stored data from being lost, compromised, or accidentally shared.


    All said and done it is likely that if you are a bigger firm, you would either need to create the position of a data security officer internally. If your lawyers are not up to date with digital laws, however, you can simply outsource the service.

    This should help make you become fully compliant thereby having to avoid issues with the data compliance authority altogether.
  • For investment gains or for purpose?

    For investment gains or for purpose?

    As much as institutions, risk-averse, or simply skeptical people have downplayed the new digital currency revolution. It still, a decade after coming to public light, remains resilient.

    Bitcoin now gets a regular mention in daily news and stock market reports. It is being traded by several established investors and even included by fund managers as high-risk portfolio instruments.

    We all by now, have heard the rhetoric of high volatility and use for criminal activity when it comes to Bitcoin and its crypto-family.

    Billionaires Warren Buffet and Bill Gates also weighed into this by publicly lambasting Bitcoin. Buffet equated cryptocurrency to rat poison 🙂

    Be it may, digital currency, however, does have some unbeatable benefits and functions you cannot ignore.

    Financial emancipation

    Bitcoin and ‘altcoin’ investing have created a new wave of financial investors.

    These include retired bankers, ‘millennials’ – who instinctively jump on-board a new discovery that has creative destruction-like tendencies. You also have the plumber, bartender, or ‘average man on the street’ looking to change their lifestyles instantaneously.

    Based on their phenomenal returns, many people have taken to social media (via groups, profiles, and communities) to share their success stories. But this is also a reason to for you to heed caution when you take counsel from anyone claiming to be an expert in cryptocurrency investment.

    Volatility is not new to trading – and especially not with Crypto trading. It is constantly on a rollercoaster ride making it hard for even seasoned trading experts to predict movements with traditional market analysis tools.

    Money transfer

    We all have undergone the painful stress of waiting for funds to clear so your rent gets paid or waiting endlessly to receive money from abroad.

    With cryptocurrency, the aim is to be not only the most secure form of funds transfer – but the fastest.

    main-qimg-ff968a87730554a92951137b04f01117

    Converting cryptocurrency to fiat money, however, remains a bottleneck. It still needs institutions to adopt or directly accept payments in cryptocurrency to avoid you going through another step in order to transact.

    Cryptocurrencies still cut down transfer time significantly compared to traditional electronic fund transfers of fiat money.

    Some well-established companies already use Cryptocurrencies like Bitcoin, and Litecoin for fund transfers, or even direct exchange for services.

    Cost savings

    We cannot ignore the reduced costs associated with dealing with money you have (hopefully) earned from hard work.

    Even inheritances are gained because of the toils of the giver’s hard work. So, it wouldn’t be fair for a group of a few companies headed by executives to siphon it from you while claiming to ‘provide you with a service’.

    We all pay for Internet use (and the security software associated), for smartphones and computers.

    We, therefore, have the technology to make transactions ourselves without having to rely on others to charge us for things we can do ourselves.

    The financial institutions have long preyed on your ignorance, obedience, and unquestioning trust. This, while they brazenly burn cash dabbling in equally questionable high-risk investments like derivatives and futures.

    Use cases

    Cryptocurrencies have nevertheless, got us thinking about making profits, the tax implications, and anything financial for that matter!

    A recent development called Hodl Waves attempts to track and predict Bitcoin movements via complex usage history. It basically compares behavioural patterns of what you do when you have coins and when you choose to reinvest them.

    N26 Bank

    Blockchain technology has also spurred a new path of careers and industries. More companies globally are looking to acquire lucrative Crypto-exchange licenses to operate.

    These cryptocurrency exchanges require people to service clients in various areas. They will require employees as any company would.

    Governments too will benefit from their operations. While there are still discrepancies in most countries about how to tax you, authorities can get a lion’s share from directly taxing exchanges.

    A new wave arises

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    It is only a matter a time before the banking institutions and big companies get on board to benefit from the high-level encryption and speed provided by digital currency.

    To conclude, the ‘wait and see’ mantra is all that we can exercise when predicting the future of digital currency.

    There are, however, concerns on how secure the encryption can remain with the advent of quantum computing.  This ground-breaking tech can make calculations at millions of speeds faster and thus able to crack the toughest data encryption.

    Some form of regulation would be required in some form to keep Crypto prices stable.
  • Nine Reasons Why Globalization Can’t Be Permanent

    Nine Reasons Why Globalization Can’t Be Permanent

    We spoke about globalization in an earlier post on some general terms – citing that it has taken a different shape or evolved. This article below however, delves deeper and highlights on nine reasons why this evolution will be forced to happen.

    It is so well written, it covers all salient points and asks all the right questions – such as what we have pondered on the validity of GDP as a measure of success. The Intelligence Quotient (IQ) has of late been questioned as the main determinant of intelligence in the advent of Emotional Intelligence (EQ) and soon Artificial Intelligence (AI). Likewise, we must question the accuracy in the way the success (or disguised failures) of a nation is presented, and what we are told is required for this success to materialize.

    We especially loved this analogy of the current world situation and if anything is to be taken from this article, this is it:

    bicycle-analogy

    Again kudos to the author Gail Tverberg for this in-depth piece (featured on her website on 31 Jan 2018). In it, Gail touches on issues such as a population growth, a growing wage-disparity, heavy energy consumption, and the demand for cheaper alternative energy:

    Read about the 9 reasons here:   https://wp.me/p3dRG-b4w

    Also read more on how Globalization has evolved here

    Hope you enjoy it as much as we did, and that it has the same effect it had – getting one to think outside the box and look at the big picture.

  • Conjecture buying

    Conjecture buying

    Before throwing our coins out of the pot or making second guesses about a big crash one must understand how the price of altcoins works.

    The price of some altcoins on the trading market has a lot less to do with its intrinsic value. It is actually what individuals, and most traders (who seek only profit), believe it to be worth.


    So, what is the reason behind the recent downward price spiral? Not much conspiracy to “ruin the cryptocurrency” other than an expected price correction coupled with some external factors.


    Punters including ‘corner shop’ setups inflated the price with rampant price speculation. Speculation based on nothing more than historic (and a short history) rise of the price of the coin from only a few cents to almost $65 000 each (adjusted to 2021 all-time-high price).


    The idea of creating an invention that performs a certain function quite soundly and then limiting its supply displays the financial clout of its creator/s.


    That way, the natural laws of supply and demand would drive up the price of Bitcoin, as it became rarer though needed. It is already becoming harder to attain (through mining) and as it encroaches its supposed 21-million-unit limit.

    “The fact that people keep talking today that bitcoin is below 10,000, it’s a disaster, or bitcoin is above 10,000 and that’s crazy. I think the fact that bitcoin is still alive, and attracting so much attention, is the fact that we’re talking about bitcoin in Davos with a Nobel Prize winner, a central bank governor, and a seasoned investor. I think that’s a powerful tool.” – Jennifer Zhu Scott (Radian Partners principal) – 2018.

     

    External influencers of price

    But there are external factors that come into play that affected its speculative price. Factors such as the rise of other altcoins after the split in its technology.


    Bear in mind that the blockchain code is open to anyone smart enough to develop and run a product on it.
    So, there is also some kind of a substitution effect as newer altcoins become more specific in purpose and faster in executing transactions.


    This results in people switching from Bitcoin to the likes of Ethereum-run newcomers like DigixDAO.
    These new coins are doing well (if the rising price is an indicator) and climbing while others lose both intrinsic a speculative value.


    External factors including market sentiments do in fact play a huge role in determining the demand for the product or service. In the case of Bitcoin, the closing down of some Exchanges in Asia as well as talks of heavier regulation. Such was mentioned at the World Economic Forum in Davos 2018.


    Global leaders pledging to take tougher measures to regulate cryptocurrencies raises cause for concern for people with significant amounts invested.


    So, the usage by criminals, for instance, has created a much-expected reluctance by governments and financial institutions to accept its legitimacy.
    There is also a constant and sometimes subliminal shift in thinking, as trading involves a lot of psychological and emotional play on buying behavior.

    Buyer behaviour

    One such example is the impulse people have when purchasing items that are supposedly on ‘special’ or at a low price.
    A 75% discount on a pair of shoes only tells you that the seller has marked it up so high that they could still make a profit when they knock it down by that much!


    You only notices the price (before and after) the discount. This is without realising that it cost the buyer a fraction of both to produce, package it and get it shipped to the store.

    The true value of ‘the shoe’ lies in the materials (quality) used to produce it for it to last long or give it its level of comfort (its true purpose). That and its appearance of course.


    The “brand name and image” in this case can thus be compared to the speculative aspect of a commodity.
    So, a pair of pumps would sell (at a higher than normal price) if the likes of Beyoncé or Gal Gadot are seen wearing them.
    The same goes for sportspeople and the whole multi-million dollar/euro endorsement deals they carry. Their endorsement of a product thus ‘legitimizes’ it.


    When global leaders, banks, and financial institutions raise concerns about cryptocurrency – it does the very opposite. This sets off-market panic and the selling-off we are currently observing.

    The future of Crypto

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    So, what will happen from here on? Provided it is not outright outlawed. This is, however, proving to be difficult as even the South Korean government have now softened their tough stance on the Crypto Exchanges.
    This is after they discovered what a tax ‘gold mine’ Crypto exchanges can be. This is then when the speculative buying will begin again.


    Investors who couldn’t purchase Bitcoins at levels above $20 000 will now be seeking an opportunity to enter the market.


    Especially if it dips below the $30000 mark (it is currently $34 000). This with the hope to make some decent profit even if it just pushes back to $50 000.
    Some will hold on and speculate on a return to previous highs – and so the bullish and bearish cycle continues.


    Authorities including the delegates at the Davos talks were in agreement, however, that they will want it at affordable prices. At a level that stays relatively stable, they may even start to consider it as ‘global legal tender’.


    But that will be a long time, especially if traders continue to buy it speculatively to make profits.
    Those awaiting a total crash of Bitcoin, altcoins, or the blockchain, however, would have to hold their breaths.


    The technology is indeed a game-changer and has already been widely adopted. It will only change form to be partially or fully regulated.

    The core functions of blockchain-based currency will remain its main contribution to the evolution of banking and ‘money’ transfers.
  • Manage your own trading portfolio

    Manage your own trading portfolio

    The natural inclination for anyone that hears about a new means of making money is: “how do I get involved?” It is therefore only right to not just dangle the carrot in front of faces but also to share tips.

    Despite the fact that investing in shares, securities and now Cryptocurrency, as mentioned in the previous blog, comes with a very high risk. 

    Your portfolio can be managed carefully to minimize the risk and here is how. Before we progress, please note that this is not fail-safe advice but only a guide, so do take heed of our disclaimer.

    Preparation

    As a rule, this applies to any website offering advice. We would like to warn you that just like eating regularly at a fast food joint – the risks are clear.

    So if you know your appetite for risk or have a lack of financial discipline and take this as information gathering to enhance your awareness.


    Additionally, we would like to reiterate that running and maintaining your personal investment portfolio requires practice before jumping straight in.

    The first step is to identify the types of securities available. Research new articles and the respective financial statements. Once you’ve done that, start a free trial with an online trading account.

    There are several institutions offering online trading (each with its criteria for entry and for trading).


    Banks also offer this service but might charge a monthly service fee for it so the first step is to do a little shopping around.


    Not all online trading platforms are offered globally so one must find one that follows the financial compliance laws in your country/continent or territory.

    Taxation

    This is important because, like any other investment, your profits from trading are subject to tax (tax evasion is fraud). The type of tax, in this case, is Capital Gains Tax (CGT).


    This is payable as a percentage of up to 25% of your profits once you have closed a position and cashed out from the trading account.


    The CGT would have to be declared and paid for directly to your local authorities when you fill out your tax returns.


    There is still a grey area as to whether Cryptocurrencies are to be classified as taxable assets – which might work to your advantage.

    In Germany apparently, if you hold (without selling) Crypto on an online platform for more than a year – you are not liable for taxes.

    Nevertheless, be sure to factor CGT into your calculations, and don’t get caught out with that!

    The act of trading


    The actual trading itself requires some strategy. you should be including a combination of high risk and lower risk asset classes in your portfolio. ETFs and Equities are more on the “lower risk” side as they are purchased on a long-term outlook.


    Purchasing equities in well-grounded tech companies such as Amazon; Microsoft; Google; telecommunications and energy companies are considered as long buying. We highly recommend this option.



    However, while you sit on those over the months or years you would still want to make some short-term gains. This is where your high-risk high returns securities (Forex, Indices, Options, and Cryptos) come into play.

    As a rule of thumb, your high-risk assets should only be between 15-20% or less of your overall portfolio.


    This way any losses incurred can be absorbed or regained over the following few months allowing you to accumulate more stable/longer-term equities.

    Like a business, your trading portfolio can grow exponentially if you continue to re-invest your gains-profits.

    Your gains made in the short-term can be used to purchase the next long-term security. But n case of emergencies, they can be withdrawn to cover other needs (holidays, unexpected debts). It is better to regard your collective portfolio as a long-term asset.

    Four quick basic steps to getting into trading.

    Step 1:

    Decide on an amount outside your other investment vehicles (property, savings, mutual funds, or bonds) that you would set aside for trading. Again, this must only be a fraction of your overall investment.


    Most online trading platforms require a minimum amount to open a trading account of between 50 – 200 USD/EURs (you can use that amount for trading).


    You will need to ensure you have a good enough Laptop/PC and broadband with all the required security software installed. You can also use your mobile phone for short-term securities such as for binary options etc.


    Platforms such as IQOption and are available via Apps for phones and tablets as well.

    Step 2:

    Before choosing the platform, make sure you understand the costs to be incurred while trading (it’s wise to compare options).

    One main charge is commission. You pay it with a purchase of an online traded asset, interest from leverage (margin trading) to purchase the asset, deposit fees, and some even charge for withdrawal of funds.

    So, while one platform may charge a 0% commission on trading with some securities, they may offer other securities that require leverage or just charge a higher deposit fee. They are after all there to make money as well.

    Use your free trial to work out which pricing model suits your trading needs in addition to learning the market trends and getting a handle on technical analysis tools.

    Click here to see a video below of one of such tools.

    As part of the service, you would also get access to online chat, a personal assistant to call during office hours about anything to do with your account/portfolio and the option to upgrade your account. So you are never on your own really!


    Some trading platforms offer you benefits (in the form of cashable tokens or direct cash commission) for trading profitably, referring someone onto the platform and when they make money.


    One such platform called eToro is known as a social trading platform.
    It allows you to “shadow” successful traders and pays “leaders” handsomely in return for the number of “followers” you acquire.


    Many platforms like IQOption will reward you if the person you referred makes profitable sales of their assets. This comes in the form of a direct cash commission paid to their account.

    Step 3:

    So now that you have familiarised yourself with the tools, and have analyzed the technical aspects of the platform, you can begin real-time trading. This means switching from a trial to a paid account. You will need to provide your banking details (chequing account, credit card, or digital wallet). This is where deposits and withdrawals will be made from.


    Most platforms, which are usually located in your geographical region, allow you to pay from your local (debit) bank account, a PayPal, or other types of online money transfer services.


    The next step, which is important for security from both parties as well as for the financial and monetary authorities, is account verification.

    You will need multiple forms of identity: passport, proof of residence, social security or tax reference number, and of course contact details such as email and mobile (cell) phone number for various forms of authentication (e.g. two-step authentication to protect your account from unauthorized access or in case of password resets).

    Once completed and have been approved/verified you are good to go! This can all take 30 mins (and processed online) if you have everything in place.

    Step 4:

    The final step to running your own successful trading portfolio is to exercise the skill of patience. Learn to watch the market trends and do not act on impulse.


    The rule is simple: buy low and hold. Selling should only be done if you have credible information on the impending total meltdown of a company you own shares in. Otherwise, like a rollercoaster, be prepared to watch your stocks go up and down.


    When it comes to the risk of a downward trend you will have the tools on most of the platforms to help you control losses from price movements automatically (Stop Loss). with this tool, you don’t have to always be glued to your PC to monitor the longer-term securities.


    Binary Options (illegal in some countries) are different though and require quick execution of trades. Have a look at the first section of the resources page to familiarise yourself with how high-risk securities work.


    But for all others, you will have tools such as stop-loss orders, take profit/limit orders, pending orders, and trailing stop orders. These will help you protect your profits and prevent colossal losses.
    Go forth and make a fortune – or at least some passive income and a decently rewarding long-term investment supplement!

    Start with a demo trading account now!

    RISK WARNING: YOUR CAPITAL MIGHT BE AT RISK.

  • The big Crypt-ture

    The big Crypt-ture

    I’m not quite sure if anyone has given some careful thought, whilst in the heat of this Crypto mania, to the actual ramifications of the blockchain and its impact on the global economy. So, this is an attempt to perform a calculated prophecy, based on the conversations had with like-minded visionaries. An introspection into this much talked about technology has led to endless possibilities and here is how:

    Presently, every Tom, Anastasia, and Patel are pursuing short-term gains. Relentlessly investigating ways in which they too can “cash in” on the new digital currency from an investment point of view. This is mainly driven by how the altcoin is performing in value. But the real appeal for each digital “currency” comes from the security, speed and of the transactions it permits, as well as the fact that it is decentralized, free from additional admin charges and commissions.

    Also, let’s not forget the anonymity it affords one – great for criminals, money launderers. Because of the increased risk, monetary authorities and regulatory bodies will definitely make a case for the tighter controls or the outright banning of this new currency altogether.

    Retail and commercial banks, are currently entrusted with the movement of funds (electronic transfers) and are governed by economic monetary policy set up by the watchful eye of their big brothers – the Reserve Banks. These are the “primary targets” so to say of the blockchain, and were, therefore, the first to react by investing or attempting to start up their own blockchains. Such projects, however, prove to be expensive and still risky ventures given that no-one knows the source and destination of the blockchain.

    Banks are nevertheless having to either make quick decisions as to whether they get on board (some are partnering with developers of Cryptos such as Ripple), or get left in the dust when it comes to adopting a disruptor that clearly works better than what they are currently using or offering to their clients.

    But we also must look beyond banks towards institutions such as credit lending facilities and money transfer institutions, who also are in partnerships with the banks. They stand to get wiped out by the blockchain if you think about it. I mean, who will want to cough up a 10% commission or a transfer fee on money sent abroad to your family when you can use something like IOTA which, by the way, is as a Crypto hovering around 3-5 USD per unit. It is capable of transacting very quickly (even more so than the known altcoins as it uses a different technology altogether) and securely with no transaction fees. And how so you may ask? Those details are listed clearly on their respective websites. This begs the question – what does that then mean for companies like Visa, Mastercard or even PayPal?

    You can also imagine the implications for investment banks and its traders if markets such as the very volatile foreign exchange (Forex) are completely abandoned and substituted by Cryptos. There are now many an exchange for Cryptos in the appearing monthly.all coin logo

    So, you will be able to switch or trade Bitcoin for Ethereum, Litecoin, IOTA or Ripple if you need them for a specific transaction, country or product/service that only deals in that digital currency.

    While most people are understandably looking at it solely from an investment point of view – as greed never sleeps – its purpose is actually about changing the way we transact and pay for goods and services. The aim is to make it a currency not only accessible to attain but also if you have the resources to “mine “and own them, can be an alternative income generator alleviating the need for job creation – or a substitute for those who are perhaps made redundant by Automation and AI. So, once you mine the currency (provided you have the infrastructure and pay the overheads), you can use it to get the things you need or must pay for. e.g. your electricity bill can be processed and paid for directly from an IOTA-holding wallet.

    And speaking of electricity, I came across a very insightful article (referenced in the resource section) focusing on the impact energy consumption that global rampant mining will cause the price of electricity and the environment. Coupled with the switch to electric cars this could surely force us to invest in better ways to generate electricity if we are to maintain sensible levels of sustainability.

    Whether the price of electricity goes up or down will be determined by how quickly energy providers globally will be able to meet this surging demand. We can surely be in a position to observe the upcoming impact on electricity consumption from next year as more and more of the global population begin to mine altcoins for themselves.

    I also believe that the initial plan for Cryptos’ was to enable anyone to have access to a shared (decentralized) peer-to-peer type service which allows for secure transacting. One can look at the blockchain working in the same manner as BitTorrent or E-Mule (for those who remember that far back). In the way, that data, albeit mostly bootlegged music, videos, and software, was distributed and downloaded on the web.

    “Blockchain is essentially a quick peer-to-peer transaction of digital currency”

    So, while the value of Cryptocurrencies is now driven by a demand in terms of how well it works as a system, we must also look more closely at the added value it can offer society from a functional, practical, convenient and of course, cost-saving perspective.

    As we head into the festive season and bonuses are being paid out, be responsible for how you splash out. Do your research first – even if it means waiting a year to see how it all plays out.

     

     

  • Out with the old school…

    Out with the old school…

    Creative destruction has become our new favourite buzzword. It also aptly describes this new wave or phenomenon of Crypto-mania driven by the blockchain and its shining star – the Bitcoin.

    Suddenly, people who normally would not bat an eye at trading are now asking how to invest in Crypto.

    Bitcoin

    We must note that anything that goes up very abruptly and abnormally – eventually comes tumbling down. The same way the big dot.com bubble burst and left many in dire straits after they over-indulged in overvalued tech companies.

    Turbulent history

    Bitcoin will eventually find its peak and there will be a mass sell-out and a ‘crash’ at some point.

    We even had the likes of an ironical skeptic – the dubious Ponzi-scammer dubbed ‘the Wolf of Wall Street’ Joel Belmont. He attempted to pre-empt a crash of Bitcoin.

    The funny thing is, however, most of the critics are people who have not invested themselves. Perhaps they suffer from a case of ‘sour grapes’ or they simply don’t understand how it works to even get involved.

    Doubt is prompted by fear of an unknown. Most investors themselves don’t understand the complex algorithms that went into designing the blockchain. However, it is proving to be resilient and gaining intrinsic value by the day.

    A new industry borne

    Bitcoin (at the time of writing), which was hovering around $17000 after breaking its latest resistance level, and poised to reach the $20000-mark.

    Creative destruction does not result in the reinventing of the wheel. It does, however, make the previous version look ancient very quickly. So while Bitcoins may not even last long, it has brought about its add-ons or spill-over effects.

    There are now hundreds of cryptocurrencies. While not all and most will not experience huge price surges like that of Bitcoin, Ethereum, or recently Dash, they are still in circulation.

    One of the spill-over effect includes the creation of jobs for new entrepreneurs, gamers, and developers across the globe.

    Though it might be too late for investors to delve into the above-mentioned ‘big boys of crypto’, institutions are constantly developing blockchain solutions.

    The fact of the matter is that the use and process of a blockchain makes sense and will, and is in the process of removing the old currency system.


    Now, this may take a while before it completely phases out fiat money. This will also hopefully, much to the delight of governments and fiscal authorities, help eradicate the scourge of counterfeiting. 

    Applications of blockchain

    tesla-1738969_1920

    Think about the big picture, the blockchain technology will allow you or any institution smart enough to copy or modify a part of the anonymously written code. Blockchain is open-source, so anyone smart enough can create their own.


    We can now have Crypto for shopping, for buying cars; getting your salary paid by a multi-national company irrespective of where you are based; or paying for using Internet services (IoT).


    The latter already exists and is called IOTA – read more about it on the resources page.


    This technology can enable one to find creative ways to monetize a cryptocurrency to serve any purpose. This while providing a secure and lightning-quick means to transfer funds.


    Litecoin and Dash boast amazing speeds of under 10 seconds to complete international money transfers.


    It would be interesting to observe any bank try and beat that without charging an arm and leg for that type of service!

    The motor industry

    The critics, who thought Elon Musk was crazy for inventing electrically powered battery motors to run engines and now trucks – are now eating their shorts.

    Not only did Tesla´s market capitalization beat that of Ford and recently BMW, but it also outperformed petro/diesel-powered vehicle companies. Outdoing them in speed and performance, attractive looks, and practicality – Tesla is changing the motor industry.

    Manufacturers like Volvo, Porsche have now rolled out their own hybrids cars. They are looking to go the route of fully electric motors within a short matter of years.

    Such notable paradigm shifts in the way we do things embody the beautiful concept of creative destruction. Those that shun it get left behind.
    And while it is not all about the monetary gains, you can own the coins to use for transactions rather than for investment.

    It will serve you better, in the long run, to get in the know of what is out there.

    Beware of scammers

    Be wary and vigilant, as like with money and investment, there are sharks out there (offering deals). The aim is to exploit you and many other unknowing technophobes looking to make a quick buck or two from Crypto.

    Mining Cryptocurrencies (is particularly conducive for gaming enthusiasts) and using them to benefit you quickly and securely in the way of a new digitized future.

    Some Internet pirates in desperation use anonymous digital currency such as Monero. They now use java-scripted mining devices (hidden behind ads) to drain hash power unsuspecting from your web-page browsers.

    The way forward

    Everyone is trying to get a piece of the action! There are also legitimate paid commission-based add-ons for trading as well – opening up a new world of digital earning online.

    Don’t get left behind. But as with any investment, and a caution to the wise: Cryptocurrencies are highly volatile, and should not substitute any investment portfolio. They should only and always account for a fraction of your overall investment.

  • >>DRUMROLL for….. the first blog post!

    So, apparently, this is my very first post so I guess I have to say something…//awkward moment!// 😀

    *takes a deep breath*

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    I am uploading some of my previous posts from my other social media platforms and future ones here to consolidate my thoughts, ideas and growing knowledge and understanding of the global economy in which we live in from a macro- to micro-, to the individual level.

    I hope you will find something that touches and inspires you to work your way up Maslow´s hierarchy of needs (if that is the still the benchmark of human fulfilment) and find your true self and happiness – and yes while the last part sounds all sloppy and what one has come to term: tree-hugging and hippy-like, it is also common knowledge that wealth and money don´t fulfil that inner void of happiness, which indeed, comes from within. Wealth also won’t also buy you longevity and health so you have to make the most of your life. The best way to do so is to understand how the world works to see how you fit in,  and how you can help make a positive (and selfless) change for yourself and your fellow human-beings.

     

    There is nothing better than going to sleep with a smile or laughing and so why not take our final nap the same way I say…

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