Ponzi, Bitcoin et amalgames • BitConseil

Why Ethereum Problems Make UMI the Flagship Among the New Generation Cryptocurrencies

Why Ethereum Problems Make UMI the Flagship Among the New Generation Cryptocurrencies

https://preview.redd.it/8skuypxp9lj51.jpg?width=1023&format=pjpg&auto=webp&s=ba5a38ba592428f92dc7c1943a780ff127132875
Ethereum cryptocurrency that comes second in terms of capitalization on the crypto market is traditionally seen as fast and profitable. However, over the last few weeks it's had a rough patch. Since early August, the network has had huge queues of transactions pending processing while fees have skyrocketed and surpassed the historical high.
The main issue though is that even fees of a few dollars per transfer don't help get rid of the“traffic jams”. The cause of this is numerous DeFi projects and a huge number of financial pyramids based on the Ethereum platform. Both generate excessive load on the network.
The situation is downright unpleasant, and our users might question whether the UMI network could face a similar challenge? We'd like to assure you it could not. The UMI network is by default protected against these problems — it cannot have “traffic jams”, fees or financial pyramids. But first things first.
How has the Ethereum network ground to a halt?
In its report dated August 4, Arcane Research that provides analysis within the field of cryptocurrency stated that over the previous week the daily size of transaction fees in the Ethereum network has surged up to a record high for over two and a half years. On August 3, the median value #%D0%9F%D1%80%D0%B8%D0%BC%D0%B5%D1%80_%D0%B8%D1%81%D0%BF%D0%BE%D0%BB%D1%8C%D0%B7%D0%BE%D0%B2%D0%B0%D0%BD%D0%B8%D1%8F)of the fee amounted to $0.82, with the overall amount of transaction fees totaling $2 mln. However, it only signaled the start of real problems.
Over the next week, fees continued to grow and by August 11 the median fee value almost doubled equaling $1.57. Larry Cermak, an expert at a big analytical and news-making crypto portal The Block, wrote in his August 15 tweet that over a week the total amount of transaction fees in the Ethereum network totaled $34.5 mln, having surpassed its historical high. Meanwhile, in the Bitcoin network that is seen as too expensive the fees were almost four times lower at $9 mln.
The total fee amount paid by cryptocurrency users over a week:
  • Ethereum — $34.5 mln;
  • Bitcoin — $9 mln;
  • Monero — $2,240;
  • Tezos — $1,876;
  • Cardano — $1,615;
  • XRP — $1,138;
  • BSV — $1,102;
  • Stellar — $1,059;
  • Bitcoin Cash — $1,027;
  • UMI — $0. Let's talk about it a little later.

https://preview.redd.it/z9azd9v6alj51.png?width=1600&format=png&auto=webp&s=25c365d6e14665ecda4a2b8d19b2fc57dd5cde1e
Historical Growth Chart for Ethereum Fees. Source
The existing situation shows that Ethereum is actually not as fast and profitable as commonly cited. Additionally, this could happen to almost any cryptocurrency except UMI that charges no fees whatsoever. We will tell you why.
Why have these problems emerged?
There is nothing unoriginal: the Ethereum network simply can't handle an increased load. Arcane Research analysts consider that a principal cause of this situation is the constantly increasing number of the DeFi ecosystem projects built on the Ethereum blockchain. Their number is growing all the time which causes the overload of the network. As of August 12, the total amount of funds in DeFi applications reached $4.3 billion which is 19.5% higher than that in the past week. At the time of writing this article, the amount surged to $6.21 billion. You can see the current data here. What is the most unpleasant about DeFi protocols is that a lot of them are scam projects.
Which is not the worst part though. There is also another factor that significantly slows down the Ethereum network. There are a lot of pyramid-like projects that are built on the EOS platform and use smart contracts. One of them is SmartWay Forsage, which regularly overloads the network with a large number of transactions, causes traffic jams, and, consequently, leads to increased fees (keep in mind that Ethereum miners choose transactions with a higher commission). Vitalik Buterin, the co-founder of Ethereum, revealed his disapproval of the SmartWay Forsage methodology and asked them to "leave and not pollute Ethereum ecology in the future". However, the project is slow to do this — it continues to deceive users.
This is only the tip of the iceberg of scam projects which abounds on the EOS network –– they continually emerge, work for a while, then go down as scams and are replaced with new ones. This never-ending stream of "investment projects" based on the Ponzi scheme overloads the system. This is the reason why Adam Back, a pioneer of the crypto industry and founder of the technology company Blockstream, equated Ethereum with such infamous projects as Onecoin and Bitconnect. Adam Back's solid dig at Ethereum became the subject of much debate among crypto enthusiasts.
Of course, it all doesn't mean that Ethereum is a bad cryptocurrency. On the contrary, it has a lot of advantages over other coins. But all that has happened exposes Ethereum's faults which must be eliminated. The problem is that they may not be fixable. It is far from certain that the developers will be able to get rid of all the defects as the system has huge scalability problems.
The crypto community has to admit that Ethereum, like other first-generation cryptocurrencies, has issues with capacity, fees, and scalability and is gradually becoming obsolete.
2020 is the time for young innovative cryptocurrencies such as UMI.
UMI is the flagship of new-generation cryptocurrencies.
In real fact, any cryptocurrency could face it. Each cryptocurrency charges fees which typically surge when the network is overloaded or the price is going up. Everyone will remember 2017 when in line with price growth and the network's overload Bitcoin transaction fee reached a high of around $40.
But when it comes to UMI, it works the other way round. The UMI network's advantages are high capacity, no fees, and scaling possibilities. It uses the best and fastest crypto industry solutions and excludes all inefficient methods by default. Smart optimization in combination with the Proof-of-Authority technology operating on the master node basis enables almost instant payments.
At the stage of network testing, an incredibly high capacity was achieved:
  • up to 4,369 transactions per second;
  • up to 262,140 transactions per minute;
  • up to 15,728,400 transactions per hour;
  • up to 377,481,600 transactions per day.
Ethereum processes about 20 transactions per second. It means that the UMI network can process transactions that Ethereum processes over a year in 1 to 5 days — and with no fees.
https://preview.redd.it/rwohnov3alj51.png?width=1125&format=png&auto=webp&s=4329b75c0bd8b7a22276b529f5ca433d17a0874f
The UMI network can process transactions that Ethereum processes over a year in a few days and with no fees. More details
What is more important is that less than 0.001% of the network's overall potential is used now. The UMI network has a lot of reserve capacity and can handle hundreds of thousands of times heavier load. Moreover, with scaling possibilities, UMI can keep up with the times. The UMI code ensures the safe introduction of any upgrades — the network can be easily modified and scaled with cutting edge technology solutions. In other words, traffic jams will never pose a problem for us. UMI will instantly process all transactions, with no fees. Always.
https://preview.redd.it/t0068th0alj51.png?width=544&format=png&auto=webp&s=019f46ec8c093480c4638cf098312a5a146134a8
A real-time speedometer displays the number of transactions processed by the UMI network per second. Link
Additionally, unlike Ethereum and other cryptocurrencies, the UMI's staking smart contract prevents possibilities of any pyramid schemes, meaning eliminates their negative influence. Our staking is completely safe and secured against scammers. Read more about this in our article. Any UMI staking structure could work forever. In other words, you can multiply your coins at a rate of up to 40% per month for an indefinitely long period of time.
UMI doesn't inherit the disadvantages of the first-generation cryptocurrencies. This is an innovative, carefully designed network based on state-of-the-art technologies. UMI is an ambitious step toward the future. And we're making it together right now!
Sincerely yours, UMI team
submitted by UMITop to u/UMITop [link] [comments]

BoostMiner.io Review: Genuine? Not Legit: BoostMiner Scam Alert!

BoostMiner.io Review: Genuine? Not Legit: BoostMiner Scam Alert!
Boost Miner is a fraudulent website due to the following reasons:-
# BoostMiner is a Ponzi scheme which is neither a legal nor a sustainable scheme. Legal authorities have already warned the general public to stay out of the Ponzi scheme due to its unsustainable nature. The majority of members will lose their money in Ponzi scheme and only a few ones who join the system at first will make some few bucks due to which you will find out few people who promote and support some Ponzi schemes.
# We can say Boost Miner is a Ponzi scheme because it doesn’t have any real source of income to pay profit to its members. It claims to pay up to 13% daily profit for 100 days (0.13 BTC per day for 1 BTC investment) on the investment amount of members by using the money of members in its so-called Bitcoin Mining Pool. But in reality, it is not mining any Bitcoin anywhere. It fails to provide the physical location and proof of its Bitcoin Mining Farm which proves it doesn’t have any real source of income and only can pay members by routing the money between the members which is not a sustainable business.
# All the Ponzi schemes like BoostMiner trick people by showing the real payment proofs because they pay few members at starting by routing the money between the members so that they can lure more people into their scheme by showing those payment proofs. However, it is practically not possible to pay all members in that way because when they pay one member, they need to use the money invested by other two members so that they can pay the principle and profit to that one member. But, whenever they pay members in that way, they will create a debt equal to the amount of profit that they use to pay the members. So, even Ponzi schemes like Boost Miner want to pay all members, they can’t because day by day the debt will be kept on increasing and they will not have enough fund to pay all members. That’s why Ponzi schemes like BoostMiner are illegal schemes.
BoostMiner also operates a Pyramid scheme which is another illegal scheme. If you want to know why is BoostMiner a Pyramid scheme, then you can check our detailed BoostMiner review by clicking this link:- https://de-reviews.com/boostmine

Boost Miner Review: BoostMiner fraud, not trustworthy
submitted by NewsOnlineIncome to u/NewsOnlineIncome [link] [comments]

Latest SEC Bitcoin ETF Comment - Comp. Sci. Professor @ UNICAMP - Stanford Ph.D Alumni (Controversial)

Objective thoughts on the latest comment to the SEC?
The comment below was posted by this professor (received his PHD in Comp Sci. from Stanford): https://en.wikipedia.org/wiki/Jorge_Stolfi
"Dear SiMadam:
I am not a US citizen, but the proposed ETF has a global impact, given its connection to Bitcoin -- a venture that is intrinsically international in scope. Bitcoin is being itself traded and advertised as an investment instrument, the world over; and the proposed ETF would legitimize it even in my country. So, please let me offer my comment about that proposal.
For the purpose of the fund, bitcoin is being characterized as a commodity. However, bitcoins do not really exist. They do not have material existence, of course; but they don't have even the virtual existence of MP3 or video files.
The latter are specific patterns of bits, that can be "owned" in the broad sense of the DCMA and other "intellectual property" legislation. Bitcoins are not specific patterns of bits, however. One cannot display them on a screen, print them, play them on a speaker -- as one can do with other forms of intellectual property.
In that respect, bitcoins are similar to the money in a bank account. The bank client cannot see his money, either. All he can do is see a ledger entry that states that he has a certain amount in his account. Likewise, he cannot display his bitcoins, but only see a ledger entry -- in the "blockchain" -- that states that he owns a certain amount of bitcoins.
There are important differences, however. A bank is bound by contract and by law to transfer the amount stated in that ledger to other banks, or to cash, if the client requests it; and the government is morally obliged to preserve the purchase value of that cash, to a reasonable degree. But there are no legal, contractual, or moral obligations about bitcoin transfer or conversion to other money instruments; and there is no entity tasked with preserving its value.
Thus, bitcoins are more like "penny stock", shares of a company with no assets, no products, and no staff; or shares in a pure ponzi schema, like Madoff's fund. The value of bitcoin is supposed to come only from the existence of an (allegedly) secure ledger that records the distribution of coins among numerous accounts ("addresses" in the system's terminology), and therefore allows their use as a means for internet payments. But penny stocks and ponzi funds offer that capability, too.
Another important difference between bitcoin and other assets, real or virtual, is that the ledger (blockchain) does not really establish ownership of the bitcoins to identified individuals. The bitcoins are assigned to "addresses" (accounts) that are identified by numbers, and can be moved anonymously by using "private keys" associated to the addresses.
Anyone who knows the private key of an address can move the bitcoins stored there. By design, there is no identity verification, not even the possibility of it. In that regard, bitcoin accounts in the blockchain are like the old numbered accounts in Swiss banks. As the case of the MtGox exchange showed, when btcoins are stolen, it is nearly impossible to identif the thief, or even to determine whether it was an outside or inside job. This feature creates a security risk that is impossible to quantify.
Since 2010 or so, bitcoin has been heavily used for for investment and speculative trading, more than as a currency or payment network. All that trade has been occurring in totally unregulated exchanges that are not subjected to any meaningful auditing.
The market price of bitcoin, like that of a penny stock or ponzi fund, is entirely speculative, based on expectations of traders about future prices, which will be based on expectations of future expectations...
Unlike legitimate stocks and bounds, that infinite regression is not ultimately grounded on fundamentals -- because bitcoin does not have any. In fact, its primary use as speculative financial instrument causes extreme price volatility, that prevents its use as a currency.
Ownership of bitcoins does not yield any dividends or interest. While eventual users of bitcoin as a currency would be required to pay transaction fees, those fees will not be paid to bitcoin holders, but to the "miners" that maintain the public ledger.
The only way to make a profit by investing in bitcoins is by selling them to other investors, for more than their purchase price. Thus, bitcoin has the essential character of a penny stock, or a pyramid schema: the profit of early investors comes entirely from the investment of later ones.
Investment in bitcoin does not contribute to mankind's real wealth or well-being: it does not finance the creation of any material goods or real services. On the other hand, it has ruined many naive investors who have been induced to put their savings into it, by spurious promises of fantastic price increases in some undefined future.
In my view, since it is primarily used for investment, bitcoin should be regulated like a security; in which case it would probably get from the regulators the same treatment that a penny stock or ponzi fund would get.
As for the proposed ETF, it does not add any productive mechanism to the underlying bitcoins. It only provides a level of indirection, that is intended to make bitcoin accessible to investments funds that it would not otherwise get (such as retirement funds). But, would the SEC authorize an ETF whose shares are to be backed exclusively by shares of a specific penny stock?
I hope you will consider these points when deciding on whether to authorize the ETF.
Thank you for your attention,
--stolfi
PS. Another minor problem with the proposal is that the nominal price of the shares is supposed to be tied to the market price of bitcoin at the Gemini exchange. That exchange is closely tied to the ETF proponents, and has relatively low liquidity and trade volume. There seems to be a significant risk that the nominal ETF share price will be manipulated, by relatively small trades that manipulate the bitcoin price at that exchange.

Jorge Stolfi Full ProfessoProfessor Titular Instituto de Computação/Institute of Computing UNICAMP"
https://www.sec.gov/comments/sr-batsbzx-2016-30/batsbzx201630-2.htm
EDIT: Apparently this guy is a redditor, and an avid poster in Buttcoin. This guy sounds ridiculously bitter, even his post titles reek of disdain. I won't post his username, but will say that it can be found in the comments here.
submitted by Kitten-Smuggler to Bitcoin [link] [comments]

Bitcoin : une pyramide de Ponzi ? BITCOIN : Un système de PONZI PYRAMIDAL ?! How do I know Sun-mining is a SCAM? Bitcoin BITCOIN SCHEMA DE PONZI ET SANS UTILITé ? Réponse à ... REVIEW MINERWORLD. BITCOIN MINING PONZI WITH NO PROOF!

Entre septembre 2011 et septembre 2012, l’américain Trendon Shavers a créé une pyramide de Ponzi autour du Bitcoin, faisant miroiter à certains des rendements de 7% par semaine (basés sur un soi-disant arbitrage…) alors qu’il utilisait simplement l’argent de nouveaux clients pour financer les anciens. système de ponzi bitcoin - « Un système de Ponzi est un tour de passe-passe financier, dans lequel on promet un retour sur investissement, même peu élevé, comme c’était le cas pour le fond Madoff. Ces retours sont réglés à l’aide de l’argent des nouveaux investisseurs, et non à l’aide de l’argent investi. Le Bitcoin [ne promet rien et] n’a pas […] - système de Ponzi ... Pyramide de ponzi bitcoin. De second niveau depuis le début du burger s’est accompagnée d’un fond en matière de la plupart des sinistres pourrait s’ébranler rapidement et organisation du bimétallisme au vendredi dernier n’aura lieu le prix a prouvé avec de nouveaux produits complexes tels que le bitcoin devrait entrer un contrat avec les réseaux sociaux et votre application ... Certains ignares sont même allés jusqu'à prétendre que Bitcoin était en soi une pyramide de Ponzi! Cela n'a évidemment aucun sens. Nos lecteurs avertis auront bien compris que Bitcoin est un système de cash numérique pair à pair, une monnaie ou une réserve de valeur, alors qu'un système de Ponzi est un montage financier. Les deux objets sont donc de différente nature. C'est un peu ... Er braucht an der Spitze der Ponzi-Pyramide nur darauf zu warten, dass der Kurs gegen Unendlich strebt. Denn das wir er in der Tendenz auf jeden Fall, weil die Mengenausweitung den Kurs nicht stabilisieren kann. Matthias sagt: 11. November 2017 um 14:28 Uhr @Siegentaler: Was Sie schreiben hat weder Hand noch Fuss. Das Mining wird nicht primär aus den noch nicht verteilten Bitcoins bezahlt ...

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Bitcoin : une pyramide de Ponzi ?

This video is unavailable. Watch Queue Queue This video is unavailable. Watch Queue Queue. Watch Queue Queue Bitcoin Ponzi and pyramid schemes do exist and if you fall prey to them you will suffer the consequences. In addition, bitcoins are a very new type of money. Because their value depends on how ... This video is unavailable. Watch Queue Queue. Watch Queue Queue Queue In this video for beginners we will cover, what a ponzi is and how Bitcoin relates to these schemes. Feel free to subscribe and learn about bitcoin add me on...

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