The Beginners Guide to All things Cryptocurrency and Blockchain
Though this website, by its very name, is dedicated to Bitcoin Cash, it is important to us that you understand the overall landscape of this phenomenon.
With the word Cryptocurrency making its way through mainstream media, many people remain confused about what it is, what you can do with it, and why it’s worth taking the time to understand what it is. Along with CryptoCurrency comes the word Blockchain, which continues to elude the masses.
The purpose of this post is five-fold, we aim to help you understand exactly what this space is all about, and ultimately to help you get into possession of cryptocurrency without outright buying it.
We are going to tackle all of these concepts, in one post, as succinctly and understandably as possible: blockchain, cryptocurrency, Bitcoin, Ethereum, tokens, distributed ledger, censorship, Bitcoin Cash, and much more. While explaining all of these concepts, we are going to help guide you to resources and information that will help you along your journey.
If you have any questions, please feel free to ask below in the comments and we will ensure they get answered.
To understand Cryptocurrency, you need to understand Blockchain.
Ultimately, blockchain is the underlying technology with which cryptocurrency can operate. You often hear that blockchain is going to change the world. Yes, yes it will. But what is it? How does it work? Here is a video that is just under 7 minutes and well worth the watch.
So, is blockchain a revolution or an evolution? I think it could be defined as a little bit, or even, a lot of both. As the world has evolved, so has the way in which we interact with one another. Blockchain will ultimately revolutionize the evolution of the way in which we conduct business and interact with one another.
So now, that we have a better understanding of Blockchain, let’s try and understand cryptocurrency and the notable important characteristics of it.
What is Cryptocurrency?
As seen in the above video, blockchain can be used in many parts of our everyday life, from land deeds to notarizing documents and even to financially transacting with one another. Cryptocurrency in it’s simplest form is a means to electronically transfer funds, through the use of a blockchain, from one person to another (peer to peer), without the need of a middleman (bank or intermediary like Western Union).
And with that goal, Bitcoin was born. Bitcoin aimed to allow people to financially interact with one another instantly. Secondly, the goal was to allow people to transact in a way that would nearly eliminate their fees to do so, all while ensuring that their money and transaction was secured on the blockchain. Bitcoin allowed you to send money from one person to another, instantly, with extremely low fees.
Notice how I used “allowed” in past tense? Well, that’s really because with Bitcoin (BTC), that’s no longer possible. Without going too much into the politics for the purpose of this post, we urge you to google things like “censorship in Bitcoin,” “Censorship in R/BTC,” and “Blockstream censorship.” Here is an 11-minute video by Roger Ver on this topic. Censorship in the community is extremely important and worth mentioning as it will help you understand exactly what’s happening when you continue your research.
Bitcoin Cash was born, or better yet Bitcoin was resurrected!
In August 2017, there was a lot of contention within the Bitcoin Space. Developers had essentially overtaken Bitcoin and imposed their views on how Bitcoin should continue to scale for the world. Through the censorship mentioned above, anyone who had an opposing view from these “core developers” were silenced, banned and shamed. It seems evident that the purpose of this was to ensure that Bitcoin would have high fees. In December of 2017, we witnessed Bitcoin transactions fees spike and rise to upwards of $50 (USD)/transaction. This means that if you wanted to buy a coffee during this time, that cup of coffee would have cost you $2.00 + $50.00 = $52.00!!! No thanks!!!
This can be illustrated in this chart:
As you can see in the above chart, in December 2017, a transaction fee for Bitcoin reached a peak of $55. In addition to this, it took anywhere from 1 hour to 1 week for your transaction to work it’s way through the network, proving just how unreliable Bitcoin really is.
The unreliable nature of what Bitcoin proposed was foreseen by those earliest adopters of Bitcoin. As a result, they proposed “forking” the chain and creating Bitcoin Cash. What does this really mean? In it’s simplest form, everyone who owned Bitcoin got an equal amount of Bitcoin Cash. This opened the floodgates to scams and greed. People realized it was possible to “fork” the Bitcoin blockchain and create a new coin leading to things like “Bitcoin Gold,” “Bitcoin Diamond,” and potentially some others too.
The important part to note here is how those behind Bitcoin (BTC) used tactics like “censorship” and “Social media propaganda” to confuse the world, and ultimately set the foundation of cryptocurrency back several years. People began to believe that Bitcoin Cash (BCH) was a scam, was unnecessary, and was a threat to the ecosystem, when in actual fact, the reverse was true. Bitcoin Cash ensured that the underlying concept of Bitcoin came true to what it originally promised – Reliable, Scalable, Peer to Peer Electronic Cash With Low Fees.
As Bitcoin Cash continued to evolve, the last network upgrade in May 2018, brought about some additional needed upgrades to the protocol. These upgrades now allow many other options to be built on to the Bitcoin Cash chain – like land titles and deeds, notarization, contracts, and so much more. This has ultimately positioned Bitcoin Cash into a world-use option. It’s now scalable for everyone to use, it’s reliable, fast, and your fees will always remain low.
How To Get Some Bitcoin Cash Without Buying it.
I often hear people wanting to get into the ecosystem, but either not wanting to outright purchase the currency, or being blocked by their banks to do so. This section will tackle ways that you can get some Bitcoin Cash, and in some Cases some other Cryptocurrencies, without buying it.
Sell Stuff on a Website
Alternatively, you could set up an account on OpenBazaar, a decentralized marketplace, where you can sell goods exclusively for Bitcoin Cash.
Write Good Content
With sites like Yours.org, you can write content, and get paid for your valuable content with Bitcoin Cash. Obviously, with sites like yours.org, the more informative and valuable your content, the more you’ll earn from the users.
In addition to Yours.org, you can join communities like The Bitcoin Cash Fund, where there are often random raffles, and other users can tip you in Bitcoin Cash. Similarly, if you have a twitter account, people can tip you for content in Bitcoin Cash. These tips can all be withdrawn directly to your own personal Bitcoin Cash wallet.
Get a Job in the Ecosystem
There are many companies that will hire you and pay you in Bitcoin Cash. Bitcoin.com is one of them. If you do some searches online, you’ll find places that pay in Bitcoin Cash, with which you could offer your services.
Add a Money Button To Your Website
You can add a Money Button to your website. This will allow users to Tip You for your content, directly on your own personal website.
Find a Funnel
Sign up for programs like Cointext. Cointext allows users to send money to one another via a simple text message. They will give you some Bitcoin Cash for signing up.