Categories
Knowledge

Listing Announcement! Now Accept-Send Binance Smart Chain and Binance Pegged USDT.

Coinremitter, we are pleased to announce that we will soon fully support the Binance Smart Chain & Binance Pegged USDT.

On Crypto wallet & payment gateway services, available to merchants and wallet users on our platform.

Which will add an advantage for anyone on our platform that can boost profits due to the lower fees.

Binance Smart Chain

This Coin is a blockchain project which was initiated by Binance.

We want to ensure the creation of a blockchain that will serve as an alternative marketplace for issuing, using, and exchanging digital assets in a decentralized manner.

Binance Pegged USDT

Binance-Peg tokens are BEP20 tokens that are backed by tokens vaults in Binance public addresses and are part of a new initiative known as Project Token Canal.

A pegged token by Binance gives you the joint benefits of open blockchain technology and traditional currency by converting your cash into a stable digital currency equivalent.

Soon all users can start depositing Binance Smart Chain, and Binance Pegged USDT in their Coinremitter Wallets.

And respective merchants across the globe as well as can start accepting payment.

You can also see the official announcement on the Twitter account.

Categories
Knowledge

What is the external address in coinremitter and where to get it from?

coinremitter provides the auto-withdrawal feature for every wallet. So it requires your external address to withdraw funds automatically from your wallet. However, you can stop the auto-withdrawal feature in some coins. but an external address requires in every coin wallet.

Every digital wallet has its unique address and it differs from cryptocurrency to cryptocurrencies. But when it comes to an external address in coinremitter it simply means all the addresses which must not belong to coinremitter wallet address but the address of other wallets from different digital wallet platforms, like blockchain.com, coinbase.com, etc.

First, let’s see what can be considered as the external address.

For example, you have an account in coinremitter and also in third-party sites like exchanges or wallet provider. The coin address of the third party will be considered as an external address in the coinremitter.

You might have a question about what it is used for and how it is going to help you.

As you might know that coinremitter is just not a digital wallet platform but also provides you a gateway facility. So, having an external address in your coinremitter wallet will you get money (coins) to that address through your coinremitter wallet address when you enable the auto-withdrawal feature. You can not set litecoin address as an external address in bitcoin wallet. you need to set an external address while creating a new wallet which you can edit later.

Steps to edit external address.

  • Login to your account
  • Click on wallet
  • In the wallet select your wallet (name) in which you want the external address
  • Go to the General section
  • In the General section, you will find the external address tab, paste the address in that and save it
  • Coinremitter will send you an email at your registered email address. Once you confirm, changes will commence.

Note: Make sure you add the correct address in your wallet because once the fund is transferred then the coinremitter is not responsible for any issue related to that.

Final remark

This blog was to answer the question of what is it, what it is used for and how can you save it on your wallet. To receive payment on that address through coinremitter wallet address.

Categories
Knowledge

Every address on coinremitter has its expiry.

Address, If you’re using coinremitter to receive payment or to send payment to coinremitter wallet then you might know what it means, and what it is used for.

This is really important news for you and everyone who is using coinremitter.

So, make sure you go through it thoroughly and understand it for your betterment.

If you are using coinremitter then you must know about how to use and install its plugins. If you are new to this concept then refer to our blog page to understand it perfectly.

To receive or send crypto coin you need a unique code to do that, which can be created through the rest API. Coinremitter has set its limit about 6 months and after that will automatically expire.

When you create a new address using API, It has an expiry date. We hope you understand the reason behind that.

To Check address expiry date of address, Follows the simple procedure.

  • Login to your account (In our plugin).
  • In the wallet detail, you can see the address tab where every address has its expiry date.

To create new address follows the simple procedure.

  • Send a request for a new address from the plugin (need to do API call).
  • In the response part, you’ll receive a new address and a new barcode of your wallet. Plus it has an expiry date.

Note: If your address has reached the expiry date then make sure to create a new one, if you fail to do that then you might have to bear the loss. Example “Someone sends the crypto coin to expired address then that you won’t receive it and at the same time even you won’t get it back.” It will be considered null and void.

So, kindly create a new one from time to time. To avoid any back clash.

Categories
Tutorials

Best Bitcoin Payment Gateway to Consider in 2021

Wondering about which is the best Bitcoin payment gateway to go with?

If you are then, you have just discovered the right place.

Coming straight to the point.

The pricing of Bitcoin began to increase at the end of 2020. The bitcoin price has reached an all-time peak of nearly $20,000 in three years since the last soared cryptocurrency to that level.

You can estimate how using Bitcoin is profitable to your business because millions of people use it for their day to day transactions.

Integrating a Bitcoin payment gateway for businesses will draw more clients who prefer safe payments.

This is a way of reducing the processing rates for credit card fees that are mandatory.

You’ll quickly find yourself on track to optimize your business potential if you plan to go ahead and implement Bitcoin into your website.

To achieve that, you need to have a good Bitcoin payment gateway integrated on your site.

Let’s get to understand everything about the Bitcoin payment processor, how it can benefit your business, why merchants should consider and give it a top priority, and more.

What is Bitcoin Payment Gateway?

A Bitcoin Payment Gateway is a kind of portal of online transactions that enables Bitcoins to receive payments from several businesses.

For instance, consider the crypto payment gateway Coinremitter, you can integrate it on your website and begin to receive your payments in the coins you want.

It will allow the instant conversion to the fiat currency of bitcoin and other altcoins.

Moreover, it will also allow merchants to automate these payments and provide a host of other resources and reports to make it as easy as possible for the entire transaction.

NOW, let’s look at some advantages of accepting bitcoin payments on your website.

Benefits of Accepting Bitcoin Payments:

1. Untraceable:

If we talk about Bitcoin then its transactions are highly confidential. 

The anonymous Bitcoin address can change with each transaction which is generated every time when the user makes any purchase.

Bitcoin transactions are entirely anonymous or fully untraceable, but they are much less easily connected to personal identification than other conventional forms of payment.

2. One Way Transaction:

In the case of the Credit/Debit card, when you make a payment you get a message that your money has been reversed.

Since credit/debit transfers are reversible and your information is not secured. There is also a chance of your money being dragged out of your account.

However, making a transaction with Bitcoin, the amount goes straight to the other person’s wallet. Since there are no chargebacks, your payment will be completely safe.

3. Lowest Fee:

If we compare the fees of credit/debit cards and bitcoin then the per-transaction fee of Bitcoin is significantly lower than the card method.

Small merchants are the ones who can get the benefit of this by receiving their payments in Bitcoin.

Coinremitter for example offering the lowest transaction fee which is 0.23%.

4. International Payments:

Due to costly cross-border transaction fees, small online retailers and independent consultants frequently don’t market their products and services globally. 

Bitcoin reduces the high cost of going global, making it simpler, quicker, and cheaper to make cross-border payments.

5. Maximum Protection Level:

Since individuals can pay companies Bitcoin without sharing personal details like names, billing addresses, etc. They enjoy a degree of security against identity fraud that credit cards simply can not give.

With Bitcoin, this type of value has no personal identity attached to it. It’s a lot like digital currency, and it can’t be tracked in any way, and it can’t expose the identity.

Why Should Merchants Start Accepting Bitcoin Payments?

The advantages of using Bitcoin as a payment alternative are countless. Some of the reasons are listed below.

  • A new payment mode will be a huge plus point for customers who prefer cryptocurrencies.
  • For your current customers, it will make a new way of paying.
  • Payments are safe and permanently retained on the blockchain ledger.
  • It is secure and clients will have total control of their transactions.
  • No involvement of third-party.
  • The transaction fees are considerably low if compared to debit and credit cards.
  • Protected by a genuine electronic signature.

Bitcoin Payment API

By integrating Bitcoin API, you can accept Bitcoin payments hassle-free on your website.

Now, what this Bitcoin API does is that it links with your company’s checkout system to a payment acquiring network, allowing your clients to make transactions from you.

Nevertheless, you can also use the same payment infrastructure in order to make payments on your mobile app.

You will make more informed decisions when you have access to real-time buying data.

Once you started accepting Bitcoin on the website it will enable your business to capitalize on the trends and will cater to current and future consumers. It will also set the presence of your company apart from the competition.

How to Implement a Bitcoin Payment Gateway On Your Website?

Here we are going to show you the implementation process of the Bitcoin payment gateway which is much simpler and quicker with Coinremitter.

But before we head to the integration part let’s first clear out what is Coinremitter?

Coinremitter is a merchant friendly bitcoin payment gateway allows merchants to accept their day to day payments in Bitcoin.

Not only that but you can also list out several other coins too such as Ethereum, DASH, Litecoin, and more.

Moreover, coinremitter offers some great features like no KYC requires, multi-wallet support, currency swap, create an invoice, and most significant is the low transaction fees of 0.23%.

Coinremitter is the one who offers the lowest transaction fees among other gateways.

NOW Integrate Bitcoin Payment Gateway on your store in just three steps:

1. Create Bitcoin Wallet:

To create a Bitcoin wallet, the first thing you need is your coinremitter account. Fill out the details in the Sign-up form.

After login, create a Bitcoin wallet by filling up the details like wallet name, password, etc. Your Bitcoin wallet will be created right after that.

2. Get API Key & Password:

After successfully creating a wallet, you’ll need to have an API key and password in order to start accepting bitcoin payments on your site.

You’ll get the API key on the wallet page by clicking on the bitcoin wallet. Consider this API Guide for better understanding.

3. Bitcoin Payment Gateway Installation:

Now it is time to install the Coinremitter on your platform.

There is a different integration process for every platform like coinremitter offers prominent platforms like Magento, WordPress, Prestashop, etc.

Check this guide and integrate it according to your platform.

Last Words:


You must have got the idea of how integrating a bitcoin payment gateway is useful to businesses.

To make it more effective, you need to catch the attention of your customers to tell them that you are accepting Bitcoin payments. 

Add the button “Bitcoin accepted here” or put a symbol of whichever currency you are accepting for your transactions.

Categories
Cryptocurrency Knowledge

What is Stablecoin? Know Every Bit of Information In-depth

Giving a straight answer to the question of what is Stablecoin is that it is a kind of cryptocurrency with low price volatility.

Unlike the other cryptocurrencies such as Bitcoin and Litecoin, which are extremely volatile in nature due to their price spikes and collapses.

However, Stablecoins are resistant to price fluctuations. They can use as value stores or account units, also in other situations where volatile cryptocurrencies may be less attractive.

Stablecoin is a modern cryptocurrency segment that seeks to be the antithesis of bitcoin-like cryptocurrencies.

By acquiring a reserve commodity like the US dollar, gold, or some other international currency, Stablecoin aims to maintain market STABILITY.

Moreover, Stablecoins thus provide regular currency stability and the privacy and protection of cryptocurrency transactions.

Ultimately, this helps central banks to enable the use of cryptocurrencies and regulate them more comfortably.

To understand the use of Stablecoin, why it is so popular, and what are its limitations, we have to dive deeper into the pool of Stablecoin.

SO let’s get straight to the points.

What is Stablecoin?

As we explained above, Stablecoin is a type of cryptocurrency that is supported by fiat currencies like USD, Rupees, Euro, etc.

Stablecoins is a bridge between the advantages of cryptocurrencies and the steady nature given by fiat currencies.

It is also known as a crypto token because the value is linked to the price of the national currency to overcome its volatility.

If we talk about the market condition then the popular currency Bitcoin and Ether are highly volatile. It is not suitable for users and investors due to its unsustainability.

Stablecoins have now emerged as a new tool for driving the modern way of accepting cryptocurrencies.

Moreover, the use of fiat-backed currency has an advantage over the use of fiat currency.

Because the decentralized currencies do not require a certain authority to put trust in the system and therefore it reduces the additional costs.

Not only that but, cross-border payments can be made quickly with cryptocurrencies.

Supporting crypto tokens will add more value and create more trust between investors and users with secure fiat currency or properties.

Why Stablecoins are Popular and Most Chosen Over Other Cryptocurrencies?

When talking about Stablecoins then we can not forget the name Tether. After Bitcoin, it is one of the most traded cryptocurrencies.

Now the reason why people choose Stablecoin is that it is backed by fiat currencies.

If investors think that their Stablecoins are worth one dollar each, the price should represent that because the coin prices are influenced by the belief.

It’s always difficult for investors to cash out their cryptocurrencies quickly when things get rough. To do so they can have to transfer via multiple exchanges or even wait for a few days.

Now, this is the time where Stablecoins comes into the picture. After all, Stablecoins are cryptocurrencies, they stay up on the exchanges.

Nevertheless, since they remain true to the value of a single fiat currency, they serve as a sort of temporary refuge for investors in the bear market who are looking to protect their funds.

So the Stablecoins are similar to blockchain-enabled variants of the dollar in this way.

What are Stablecoins Used For?

The main use of Stablecoins is to store value and as a means of TRDAE.

Moreover, they give traders temporary relief from uncertainty when the market is crashing.

And this will use for things like yield-farming, lending, and liquidity provision in the increasing field of decentralized finance (DeFi).

By buying them from exchange platforms, most traders and investors gain Stablecoin exposure.

However, by depositing the necessary collateral with the issuing firm, such as US dollars with Tether or physical gold with CACHE gold, it is also always possible to mint fresh Stablecoin.

What are Some of The Stablecoin Examples?

Popular Stablecoins include Tether (USDT), True USD (TUSD), Gemini Dollar (GUSD), DAI, and more.

There are mainly four types of Stablecoin:

  1. Fiat-backed Stablecoins
  2. Cryptocurrency-backed Stablecoins
  3. Algorithmic Stablecoins
  4. Commodity-collateralized Stablecoins
1. Fiat-backed Stablecoins:

Crypto tokens associated with the value of a particular fiat currency are known as Fiat-backed Stablecoins. These tokens keep their value set at a ratio of 1:1.

Let’s take the Tether example, which is parallel to the US dollar at 1:1. 

To guarantee the life of a fiat-backed Stablecoin, Fiat currency is deposited as collateral.

As a consequence, to determine that the token still stays collateralized, it requires a financial custodian and time to time auditing.

2. Cryptocurrency-backed Stablecoins:

These Cryptocurrency-backed Stablecoins work exactly the same as a fiat-backed Stablecoin. 

However, instead of using fiat money, it locks up the cryptocurrency as collateral. For example, in order to build a crypto-currency-backed Stablecoin, Ethereum can be held as collateral.

Such tokens use a security guarantee to compensate for cryptocurrency uncertainty to use as collateral.

It asserts that Stablecoin will not be based on the crypto collateral’s 1:1 ratio.

3. Algorithmic Stablecoins:

When it comes to algorithmic Stablecoins then there is no fiat or cryptocurrency support for algorithmic Stablecoins.

Instead, algorithms and smart contracts that control the supply of the released tokens accomplish their peg entirely.

As the price falls below the price of the fiat currency it tracks, then an algorithmic Stablecoin system will decrease the token supply.

And if the price exceeds the value of the fiat currency, then the new tokens enter into circulation to reduce the value of the Stablecoin.

4. Commodity-collateralized Stablecoins:

Now, these commodity-collateralized Stablecoins are backed by stable assets, like valuable metals, real estate, gold.

Theoretically, this tells investors that these Stablecoins can appreciate their value at the same time as their underlying assets rise in value, thereby offering an increased incentive to retain and use these coins.

Anyone can invest in real estate assets or precious metals around the globe using commodity-collateralized Stablecoins.

Stablecoin Advantages and Limitations:

First, the advantage of Stablecoins is its ability to provide a means of exchange that complements cryptocurrencies.

Cryptocurrencies have been unable to gain widespread adoption in daily applications such as payment processing because of high levels of uncertainty.

These stabilized currencies have overcome this ongoing problem by offering higher levels of predictability and stability.

Furthermore, we now know how useful Stablecoins are in financial transactions, so traders and investors can take advantage to protect their investments.

It is an efficient means of reducing overall risk. At the same time, a successful tactic would be to maintain a store of value to purchase other cryptocurrencies as prices decrease.

Yet, Stablecoins have some limitations too. Like the regulations of fiat currencies, which undermine the efficiency of their conversion, restrict Fiat-backed Stablecoins.

If the economy collapses, then the fiat-backed Stablecoins will also crash, since they are so closely related.

Moreover, Stablecoins backed by commodities are less liquid, which means they are harder to redeem.

What is The Future of Stablecoins?

Stablecoins have been on the demand now. In view of the current situation, the volume of Stablecoin will certainly commence the peak in the upcoming months.

Also, there is a clear belief that sooner or later cryptocurrencies will become mainstream due to the support of Stablecoins.

Stablecoins have immense growth because individuals and companies are looking for quicker, simpler, and cheaper ways of sending payments globally.

Last Words

As we talked above its benefits and some disadvantages, Stablecoins will remain an essential element for the cryptocurrency industry.

These digital currencies can be stable at fixed prices through a range of mechanisms. It is apparent that Stablecoin applications extend well beyond trading.

So what are your thoughts about the Stablecoins, Will it survive or not in the coming times?

Do let us know in the comments!

Categories
Cryptocurrency Knowledge

What is Ethereum 2.0?: All You Need To Know About

Ethereum is familiar to all of us, but now the bigger update “Ethereum 2.0” is on its way to launch on December 1, which will ultimately improve scalability, security, and sustainability.

Also, various teams of the Ethereum ecosystem are building these upgrades.

The long-planned Ethereum network update is on the horizon to address problems with the scalability and security of the network.

Ethereum 2.0 will come out in several “phases.” Each phase will boost Ethereum’s functionality and performance in numerous ways.

The beacon chain genesis of Ethereum 2.0 is now planned to take place on the earliest feasible launch date of December 1.

Let’s go deeper to understand Ethereum 2.0 and what significant improvements are coming out of it.

The Use of Ethereum

Ethereum is accessible to everyone. There is no involvement of the government or corporation in Ethereum.

Also, it is almost impossible for someone on Ethereum to prohibit you from collecting payments or using services.

Ethereum provides you convenient access to financial services and an internet connection is all you need to access its lending, investing, and savings services.

Moreover, to use an Ethereum application, your personal details are not required.

Without going through intermediary firms, you can also make deals and directly transfer cash to someone else with Ethereum.

All the time better apps and experiences are being developed because Ethereum products are by default compatible.

Moreover, customers have a secure, built-in assurance that if you provide what has been negotiated, funds will only change hands.

What is Ethereum 2.0?

By market cap, Ethereum is the second-largest cryptocurrency. The team of Ethereum is now planning to give a major update to its network. It is going to roll out on Dec 1, 2020.

Moreover, Ethereum 2.0 can also be understood by Eth2 or “Serenity”. The coming upgrade of Ethereum 2.0 will be more scalable, fast, and safe by introducing new proof of stake (PoS) protocol, virtual machines (VM), sharding, and more.

What is New in Ethereum 2.0?

This is the upgraded version of Ethereum 1.0 so there are some changes and improvements in it.

This new upgrade “Ethereum 2.0” offers two major improvements such as Proof of stake and Shard Chains.

Proof of Stake:

Presently, the Ethereum blockchain works on the proof of work consensus protocol.

The current consensus relies on solving complex math problems via huge computing power.

Moreover, this uses a lot of energy on the blockchain to check transactions.

On the other hand, Proof of Stake (PoS) depends on ether validators and deposits, saving a significant amount of energy consumption.

Shared Chains:

Each blockchain node must save the entire copy of the distributed ledger, making the process of verification slower.

What shard chains do is that a transaction is broken down into shards (small bits of transactions) and distributed to the network.

Each node can operate side-by-side on verifying transactions, reducing the time taken overall.

EVM to eWASM:

Smart Contracts are pieces of code that run automatically when a specific event occurs.

Also, they are the Ethereum blockchain’s USP and are the network’s real foundations.

In Ethereum 1.0, on the Ethereum Virtual Machine (EVM), these smart contracts were executed.

The EVM is an environment that allows for the execution of the actual code of smart contracts and dApps, the storage of the database, and the documentation of transactions.

Furthermore, Ethereum 2.0 supports the use of the Ethereum Web Assembly or eWASM. The language of the web assembly allows the code to be executed anywhere in the web browser.

When it comes to strengthening security, eWASM is better than EVM. For writing code for smart contracts and dApps, it supports various conventional programming languages such as C, C++, and Rust.

Utter Security:

With security in mind, Ethereum 2.0 has been invented. There are a limited number of validators in most proof of stake networks, which allows for a more centralized system and reduced network security.

At minimum 16,384 validators are needed for Ethereum 2.0, making it much more decentralized and thus, stable.

For Ethereum 2.0, the Foundation is setting up a dedicated security team to study potential cryptocurrency cybersecurity issues.

The Phases of Ethereum 2.0 (Roadmap)

This Eth2 update will be released in phases in order to ease the transition for Ethereum users to the new platform. The date has come out of the Phase 0 launch on Dec 1.

There will be a total of four phases:

=> Phases 0, 1, 1.5 and 2.

Let’s commence by looking at the Ethereum 2.0 Roadmap.

Phase 0:

On December 1, Phase 0 of Eth2’s beacon chain will take place. Proof of Stake (POS) will be enforced by the beacon chain and the validator list will be monitored, which will begin to confirm the existence of blocks on eth2.

On November 4, the conversion of 524,288 Ethereum from 16,384 validators into the Ethereum 2.0 deposit contract was carried out.

However, the people who have participated in genesis will not withdraw their coins until Ethereum 2.0 hits Phase 1.5.

The actual Ethereum PoW blockchain will persist to operate as the beacon chain goes live and Proof of Stake is integrated.

Phase 1:

The launch of Phase 1 is scheduled to take place somewhere in 2021.

Implementation of shard chains is the primary creation of Phase 1. The information on shard chains is mentioned above.

Moreover, sharding would result in the Ethereum blockchain being split into 64 different chains (called shard chains) for Ethereum 2.0, which run parallel to each other and seamlessly interoperate.

Phase 1.5:

Phase 1.5 will be the temporary update in 2021. The Ethereum main net will officially become a shard and turn to the proof of stake.

Phase 2:

And in late 2021 or maybe in 2022, the final phase will roll out. As of now, not much has been determined about this phase.

Phase 2 according to sources, will include adding accounts, allowing transfers and withdrawals, developing development environments to create DApp on top of Ethereum 2.0, and having people use the updated blockchain.

And Ethereum 1.0 (based on PoW) will be fully gone by then.

The Bottom Line

In the blockchain ecosystem, Ethereum 2.0 has been long-anticipated and much debated.

Scalability, protection, and accessibility will be dramatically improved by proof of stake and sharding.

Ethereum 2.0 presents a new way for ETH holders to participate and gain rewards for sustaining the network.

Categories
Tutorials

What is Token Burning: Understand Everything

Token burning is not something that you can burn with fire. We will come to soon what is token burning and many other things that you need to know.

The primary goal of token burning is to increase the effectiveness of the other tokens in Distribution.

Many cryptocurrencies have a small total number that can survive, and thus, knowing the need for the token is the same.

If there are few in distribution, the value can possibly increase.

Moreover, token burning has been embraced by several crypto-currency ventures to limit the availability of their tokens.

Let’s address the token burning more in-depth.

What is Token Burning?

Token burning implies the continuing removal of existing cryptocurrency coins from distribution. 

There are particularly two ways to burn tokens.

Either by buying the existing tokens from the market or by taking the current currency out of circulation.

To store tokens, the place would be anywhere, like in a team wallet, or also it could be tokens that are not allocated.

Some of the firms burn tokens as a one-off event, while others maintain quarterly burns, such as Binance and OKEx.

How and why companies burn tokens depends heavily on what they are planning to achieve.

As standard fiat currencies are not typically burned, the burning process is distinct to the cryptocurrency, although the flow of available currency is otherwise regulated.

Token burning is analogous to the notion of publicly held corporate share buybacks that decrease the amount of available stock.

NOW let’s delve into how the method of token burning works.

Token Burning Process

Token burning can take place in a variety of ways.

The aim is to decrease the current number of available tokens. It does not literally kill burning tokens but makes them difficult to use in the future.

The token burning process the redemption or withdrawal by the project developers of the available currency, and then its removal from circulation.

Moreover, a special public wallet known as the eater address is put with token signatures, that available to all nodes but permanently blocked.

However there are several ways to burn tokens, and this depends on the intent of the operation.

After the end of the initial coin offer, others will use a one-off burn to delete unsold tokens from circulation. Others opt to burn coins periodically at static or variable cycles.

Binance, for example, as part of the pledge to hit 100 million burned BNB tokens, it burns tokens per quarter.

The number of tokens differs from the number of purchases per quarter carried out on the network.

if we speak about the stablecoin like Tether, as they deposit funds into their reserves and burn the equivalent amount as funds are extracted or withdrawn, it will generate tokens.

Why are Businesses Burning Tokens?

There are multiple reasons that an organization would want to burn tokens, and for token holders, all of them have value. 

The most prevalent explanation is to increase the value of each token by reducing the current supply.

Theoretically, fewer coins are available for sale and transactions mean that each particular token is more valuable. Indeed, this is why most cryptocurrencies are either in circulation or in future supply for a finite sum.

Projects will increase the value of the current supply of each token holder and establish rewards for ongoing support by taking controls over the figurative faucet.

Token burns may be the result of an error correction in certain situations.

Moreover, about security tokens, which allow holders to a project’s dividends, token burning operates just like corporate buyback of stock.

Coins can be bought back at good prices and then burned immediately to maximize the value of the current token quantity of each holder.

And at last, some projects use token burns to prevent spammed transactions. And to add a layer of protection, some projects use token burns.

Are There Any Advantages of Buring Tokens?

It may seem like token burns are intended to offer an advantage to ventures, but the fact is that both developers and investors profit from the process.

Burning tokens can help stabilize the value of a coin in certain cases and prevent future price inflation.

Stability offers a greater incentive for investors to retain the coins and holds values at more desirable rates, thus keeping network uptime and bandwidth safe.

Token burns also project a sense of trust and reliability, particularly at the early stages of the coin production.

Moreover, like halving, burning tokens limits availability. The price would automatically go up if the demand remains the same or rises.

However, If demand goes down, then burning won’t have much impact.

When it comes to Ripple, token burning enhances consumer protection and helps them to speed up their transactions safely without improper incentives.

The reason is that there is no incentive to charge higher except for quicker execution to charge higher rates, consumers can believe that the network will be used more wisely.

Final Thoughts

Token burning is offering to be an efficient way to preserve a stable crypto-ecosystem. 

Future cryptocurrencies will absolutely utilize this mechanism with time by giving its numerous perks, particularly in a coin’s infancy stage.

Categories
Knowledge

What is Facebook Libra Cryptocurrency? What You Need To Know

The majority of people TODAY knows about Facebook’s Libra because Facebook has shared almost everything of its Libra cryptocurrency.

Due to the COVID19 pandemic, Libra will most probably to roll out somewhere in 2021. Yet, there is no update for its launch from Facebook.

This Facebook Libra will enable billions of users to make financial transactions online across the globe.

Not only that but with Facebook’s Libra, people will able to purchase their stuff at local grocery stores or transfer money to others with almost zero fees.

On top of that, Libra lets people spend it via fully integrated third-party wallet apps or Facebook’s own Calibra Wallet that will be incorporated into Facebook Messenger, Whatsapp, and more.

There are a lot of things that you need to know about Libra. SO here we are to give you thorough information.

Let’s dive deep into the pool of Libra. 

What is Facebook Libra?

Libra is the approved payment system built on the blockchain (the same technology used by bitcoin and other cryptocurrencies) which is developed by the social media company Facebook.

The aim of the organization is to create a simple global currency to provide financial inclusion for the billions of adults who do not have access to a bank account.

Moreover, Facebook Libra cryptocurrency can give you the opportunity to exchange for Libra in local currency and vice versa via wallet apps, including third-party apps, Calibra wallet from Facebook, and local resellers such as grocery stores.

Libra is being developed on an open-source blockchain, and a non-profit organization in Switzerland is leading its growth.

One of the most asked questions is that Libra is a cryptocurrency or not?

The answer is yet in between yes and no.

The blockchain of Libra is not decentralized the way Bitcoin is. Anyone can potentially run a node with the Bitcoin blockchain, regardless of how expensive it is.

Also, Libra’s nodes can only operate from the Libra Association’s members’ servers.

The official explanation for this make-up on Facebook is that Libra aspires to be a completely decentralized model that would not be strong or quick enough to provide the “global financial infrastructure.”

How Does Facebook’s Libra Work?

NOW you are already acquainted with the fundamentals of Libra, it is time to understand more in deep.

In order to bring trust among users, Facebook formed a management team, known as the Libra Association.

SO what exactly the Libra association?

Facebook thought people would not trust the project, so it hired the association’s founding members to manage token production and real-world asset reserves.

A minimum $10 million has been spent by each Libra Association member to connect the network and become validator node.

Moreover, Members of the Libra association have also received one vote and are entitled to a share of the dividends from the Libra reserve’s earned interest, where users pay in fiat currency to get Libra.

There are 28 companies that have been associated with Libra. Below we have listed these companies by its category.

  1. Blockchain:

Coinbase, anchorage, Xapo Holdings Limited, Bison Trails.

  1. Payment Gateways: 


Mastercard, Paypal, Visa, and Stripe.

  1. Venture Capital: 

Thrive Capital, Breakthrough Initiatives, Ribbit Capital, Andreessen Horowitz, and Union Square Ventures.

  1. Marketplaces/Tech: 

Booking Holdings, eBay, Farfetch, Lyft, Facebook/Calibra, Mercado Pago, Uber Technologies, Inc., and Spotify AB.

  1. Nonprofit/multilateral organizations/academic institutions: 

Women’s World Banking, Kiva, Mercy Corps, and Creative Destruction Lab.

Before officially releasing the Libra Coin, Facebook expects to hit 100 founding members.

It is open to anyone who meets the criteria, including competitors such as Twitter and Google.

Facebook Libra Blockchain:

The Libra Blockchain will act as a solid financial services base. 

And the team Libra agreed to come up with a new blockchain platform on the basis of three criteria, based on the process of analyzing existing blockchain platforms:

  1. Highly protected in order to guarantee that the financial data and the funds are safe.
  1. Ability to scale to billions of accounts requiring low latency, storage system with high capacity, and high throughput of transactions.
  1. Flexibility to power regulation of the Libra ecosystem and future financial services innovation.

What features we can expect from the Libra Blockchain?

  1. Libra utilizes a byzantine-fault-tolerant (BFT) consensus approach.
  2. Also, it can emphasize universally accepted blockchain data structures.
  3. For implementing custom transaction logic, it uses Move Programming Language.

As a pseudonym, Libra Blockchain enables users to have one or more addresses that are not associated with their identity in the real world.

How Distinct is Libra From Other Cryptocurrencies?

Like other cryptocurrencies, Libra transactions are recorded on a software ledger that checks every transfer, known as the blockchain.

The Libra blockchain will be run by founding members in initial stages but later evolve in the future to a fully open system.

However, there are similarities too like Libra is somehow similar to other cryptocurrencies.

Such as bitcoin and Ethereum, Libra exists entirely in the digital platform. You won’t be able to get a note, or a coin, for a Libra.

Libra would be connected to real money, a format generally known as a ‘stablecoin,’ unlike bitcoin, Ethereum, and some other cryptocurrencies, which are not backed by anything and swing wildly in response to the speculation.

Does Libra Need to be Centralized?

If the Libra would become centralized then it will make the system less prone to hacks or shutdowns but takes time.

For instance, the Bitcoin blockchain can only process about seven payments every second.

If we compare it with the Visa payment network then it currently supports up to 24k payments each second. So for the initial stages, we can estimate that Libra should be able to handle around 1,000 transactions every second.

It has been projected by the white paper that over the next five years, Libra will change from a “permissioned” blockchain to a completely decentralized or “permissionless” blockchain from the current proposed model. However, there is no certainty about that.

How to Buy and Where to Store Libra?

Unfortunately, Facebook’s Libra coin is currently not available to purchase as it’s under development.

When it releases, new coins will only be created when users buy them through apps like Messenger or WhatsApp.

Libra is a kind of stable coin, which implies that its value would be fixed to a fiat currency like the US dollar.

Each time new Libra is generated, the money of the consumer will be kept in reserve to protect its value.

Moreover, there is a wallet to store Facebook Libra which known as Calibra. The company said that sending libra is as easy as that sending a text message from one to another.

Over time, the cryptocurrency is supposed to be used to pay taxes, purchasing daily groceries, and can be the substitute for bus and train passes.

Facebook said that they are highly concerned about privacy. Calibra will be kept separate from its social network, which ensures that the buying preferences of a consumer will not be used to generate targeted ads.

Categories
Cryptocurrency Knowledge

Yield Farming in DeFi: Everything You Need to Know

Yield Farming currently becomes a hot topic in the crypto world. Those who have a good understanding of Defi are possibly also acquainted with the Yield farming.

To simply understand, yield Farming is the method of efficient use of crypto tokens in a decentralized finance (DeFi) market in order to gain interest.

It is one of DeFi’s popular solutions that enable investors to get an interest in lending their tokens out.

With yield farming, one can generate passive income with that. One thing to note that, yield farming occurs on the Ethereum blockchain.

Let’s drive straight on the aspects of the Yield Farming.

What is Yield Farming?

The idea of yield farming has emerged from the decentralized finance division.

Understand Yield farming with the example of a bank. There is a purpose of gaining interest when you deposit your money to the bank.

The same goes for Yield farming, you can staking or locking up the cryptocurrencies in order to get a reward in return.

The basic concept is that people can earn a significant amount of tokens and in return for their involvement in DeFi applications.

Moreover, yield farming is also similar to liquidity mining. On top of that, yield farming can be correlated with staking.

In the background, though, there’s a lot of uncertainty going on. In some ways, it deals with users called liquidity providers (LP) who add funds to liquidity pools.

Now you may have wondered what the liquidity pool is?

SO basically the liquidity pool is a smart contract that contains funds.

LPs get a reward in return for adding liquidity to the pool. This reward may come from fees that the underlying DeFi network, or some other source.

Yield farming is normally done on Ethereum using ERC-20 tokens, and the rewards that genrated are also a form of an ERC-20 token.

Why Yield Farming is Currently The Hot Topic?

There are several reasons for this, such as in the midst of the Covid-19 pandemic, that all cryptocurrencies are generally seen in the long term as a non-correlated asset. 

In addition, it has also seen an increase in interest in many traditional assets in the light of high volatility.

Moreover, The launch of the COMP token, the governance token of the Compound Finance ecosystem can be attributed to a sudden strong interest in yield farming.

Tokens of governance give privileges of governance to token holders. But if you want to keep the network as decentralized as possible, how do you distribute those tokens?

There is a way with a decentralized blockchain is distributing these governance tokens algorithmically, with liquidity rewards.

SO, this draws providers of liquidity to plant the new token by supplying the liquidity to the protocol.

The Types of Yield Farming

There are basically several ways in which users can begin farming new protocol tokens.

It all started with the token Compound when the users can easily convert their USDT to USD and then place it on Balancer to help the Automatic Market Maker for traders.

Moreover, protocols have been innovating new ways to optimize the yield for their users. 

Currently, you are part of a major experiment that AIMED at eliminating intermediaries from financial transactions.

Token Farming

There are specific protocols that incentivize liquidity providers with fees, also some add the new flavor to the equation by adding a giveaway of protocol tokens as well.

Users can get a chance to earn NATIVE tokens from yEarn and Compound protocols but after giving liquidity to the pools.

The reward rate appears to be greater when the pool has less quantity, and hence draws more and more “farmers.”

Moreover, to start farming the protocol’s tokens, users need to add a collection of tokens to pools on Uniswap and then stake the Uniswap tokens on the network.

Each protocol using a different approach to reward its users. Many have different use cases for their tokens for the network as well.

How To Calculate Yield Farming returns?

The returns on yield farming calculated annually. It forecasts the returns that you might expect over the course of a year.

Annual Percentage Yield (APY) and Annual Percentage Rate (APR) these two are common matrics. 

The distinction between them is that the IMPACT of compounding is not taken into consideration by APR, whereas the APY does.

If we talk about compounding, it means reinvesting profits directly to produce more returns. It is advisable, although, to be aware of APR and APY because they can be used interchangeably.

One thing to note is that these are only estimations and predictions. Short-term rewards are pretty tough to figure out accurately.

Why is this difference? because the market of yield farming is fast-paced and it is highly competitive as well. On top of that, the rewards also can fluctuate quickly.

Suppose that the strategy of yield farming works just for a while, there are many farmers who are ready to jump for the opportunity and the chances that it will stop yielding high returns.

What are The Platforms of Yield Farming?

There is no set plan for yield farming strategies, it may change by the hour.

Before you step into yield farming, you should have an idea of how decentralized liquidity protocols operate.

Because every platform and plan will have its own guidelines and risks.

The fundamental principle is to invest funds into a smart contract and receive rewards in return.

A nice piece of advice is not to deposit blindly in order to hope for a high return. You need to have a good understanding of risk management.

BELOW are some of the best yield farming platforms that need to be considered.

Compound Finance:

The compound is a money market algorithm that enables users to loan and borrow funds.

Now you can earn interest straight and easily, all you need is the ethereum wallet and an adequate amount of funds.

The compound is the first among the other platforms that come to provide support for Yield Farming.

Aave:

Aave is yet another protocol that offers lending and borrowing token. 

It is a system of smart contracts that operating on the Ethereum blockchain, which enables these assets to be operated by a distributed network of computers operating its software.

The tokens lent instantly begin to earn interest.

Aave’s other feature is flash loans, which enables users to borrow any amount of capital if it is repaid in the same deal, helping to seize immense opportunities for arbitration.

MakerDAO:

MakerDao is a decentralized lending facility built on the Ethereum blockchain.

Maker is a decentralized credit network that supports the development of DAI, an algorithmic stable coin linked to the USD value.

Users may open a Maker Vault where they lock the collateral assets like ETH, BAT, USDC, or WBTC. Moreover, They can produce DAI as a debt against this locked collateral.

Over time, this debt incurs interest that referred to as stability tax, whose rate is determined by MKR token holders.

Uniswap:

Uniswap is a crypto exchange that is based on Ethereum to allows everyone to swap ERC20 tokens.

To create demand, liquidity providers deposit the equal value of two tokens. Then traders will sell against the pool of liquidity. 

Liquidity providers receive fees from trades that happen in their pool in exchange for providing liquidity.

Many platforms designed to work with yield farming strategies that enable users to add liquidity to the pools and then stake those LP tokens for yield farming.

Synthetix:

Synthetix is a protocol for synthetic assets. This enables everyone to lock up Synthetix Network Token (SNX) or ETH as collateral against it and mint synthetic properties.

Talking about the asset. Then it is something with a stable feed rate.

However, This allows the Synthetix platform to be applied to almost every financial asset. Virtually everything can be used as a yield-farming commodity.

Yearn.finance:

Yearn.finance is a shared aggregator ecosystem for loan services like Aave, Compound, and others.

It aims at optimizing token lending by identifying the most profitable lending services algorithmically.

Upon depositing the periodic rebalance to maximize benefit, funds are converted to yTokens.

Moreover, Yearn.finance is beneficial for farmers who want a protocol that selects the best strategies for them automatically.

The Advantages and Risks of yield farming

Last but certainly not least. The advantages of yield farming are instantly obvious: benefit. Yield farmers who are early in adopting a new project will benefit from token incentives that can appreciate value quickly.

They can gain some important gains if they sell certain tokens at the right time. In other DeFi programs, these profits can be reinvested to generate even more yield.

In order to produce any meaningful income, yield farmers typically have to put down a large value of initial money, even hundreds of thousands of dollars could be at stake.

Yield farmers are exposed to a substantial risk of liquidation if the price unexpectedly drops, as it did with HotdogSwap, due to the extremely volatile nature of cryptocurrencies and particularly DeFi tokens.

However, there are risks like yield farmers take chances with the project teams and the smart contract code underlying them.

Many developers and entrepreneurs who bootstrap projects from scratch or even copy their predecessors’ code are attracted by the potential for gains in the DeFi space.

Although, the code is always unaudited, even though the project team is truthful, and could be subject to bugs that make it vulnerable to attackers.

Another RISK is BZx, which endured a number of hacks earlier this year and, most recently, lost an extra $8 million, which was later returned due to a single misplaced code section.

There so many risks like these are around with yield farming.

Conclusion:

So we have covered almost all the questions related to yield farming that you need to know.

DeFi money markets will help build a financial system that is more open and transparent and available to anyone

Let us know about how this yield farming is useful to you and what else do you want to know.

Categories
Cryptocurrency Knowledge

Setup ERC20 Payment Gateway With Coinremitter

Why don’t you take an advantage of ERC20 Payment Gateway to integrate it on your site?

There are ample benefits of embracing the ERC20 token on your website.

It is time to implement something new. You will be the one out of your competitors who accepts the Payments in ERC20.

It does not only give a new shape to your business but also it will expand your business to a GLOBAL level. Just another payment option and you are good to go!

Coinremitter has already started to give support to the ERC20 token. It will allow businesses within their platform to accept their tokens as payment.

Let’s go deep down to understand more about Tether USDT ERC20.

What is the USDT ERC20 token?

If you belong to the crypto world then you must have heard about the ERC20 Token.

ERC20 is a blockchain-based asset and has the same features as the other crypto coins such as bitcoin, litecoin, ether, and bitcoin cash.

The protocol standard used by the Ethereum network is ERC20. 

There are some guidelines and requirements in the protocol that must be complied with in order to publish tokens on the network. The Ethereum network operates on a large number of tokens.

The key difference between ERC20 tokens and other cryptocurrencies is that on the Ethereum network, ERC20 tokens are generated and hosted. Whereas bitcoin and bitcoin cash are the native currencies of their respective blockchains.

What does the ERC20 token stand for?

In order to differentiate this standard from others, ERC stands for Ethereum Request For Comments, and 20 stands for the specific ID number.

It can be compared to the Internet HTTPS protocol that websites need to stick to. Similarly, tokens must also follow all the specifications laid down in the ERC20 norm.

In smart contracts, these criteria are implemented. You are not ERC20 compliant if you do not comply with these standards, and the token is not considered to be ERC20.

Let’s quickly head to the benefits of ERC20.

What are the key benefits of USDT ERC20 for merchants and customers?

USDT ERC20 optimizes account usage and makes transactions much easier. 

If you are a merchant then the ERC20 token will bring a plethora of benefits to your company. 

Now you will receive your payments more instantly (compared to the conventional method) in USDT ERC20 after your customers send it.

ERC20 is the same as the other cryptocurrencies, the transactions through the ERC20 token are irreversible. 

Once you sent the payment, it will not be possible to recover it unless the beneficiary decides to repay your fund at their own convenience.

Moreover, transactions are fluid with this token, and even for a second, when the traffic is heavy, they are not obstructed.

For customers, USDT ERC20 utilizes complete anonymity for transactions that secure wallet addresses of senders and receivers across the network.

It’s easier to pay with an ERC20 token, although no need to carry credit/debit cards. Users just need to type their name and detail about shopping and they’re good to go.

Furthermore, due to its decentralized nature, there are no intermediaries running the network.

Start accepting ERC20 payments:

Now it’s time to start accepting your daily payments with the USDT ERC20 token.

In order to do that, you need a crypto payment gateway that handles all your ERC20 transactions securely and seamlessly.

Consider Coinremitter: ERC20 Payment Gateway to receive your daily payments.

The API will connect with a payment receiving gateway (Coinremitter) to the company’s checkout system.

All you need to do is an initial setup only, and you will be on your way to accepting ERC20 payments and other payments for cryptocurrencies in no time.

Integrate the ERC20 payment gateway on your website:

Before we head to the integration process, you first have to understand what the Coinremitter is and how it is different from the other gateways.

Coinremitter is a merchant friendly crypto payment gateway that offers quality services around the world to merchants and large/small organizations.

With Coinremitter, you can easily store, send, and receive crypto coins online safely around the globe.

There are a lot of features that Coinremitter offers to merchants such as currency swap, multi-currency wallet, No KYC requires, and create an invoice.

On top of that, the reason for the Coinremitter separates its presence from the other gateways is its low transaction fee which is just 0.23%.

Just because of its merchant-friendly functions and low transaction fees it becomes one of the top most acquired payment gateway among merchants. 

NOW you can integrate the payment gateway in just a few steps:

  1. Simply creates your ERC20 wallet on Coinremitter by filling up your details such as wallet name, password, etc.

    Soon after you fill out the details, your wallet will be created.
  1. Now you’ll need to have an API key and password after successfully creating a wallet.

    In order to get the API key, you just need to click on the ERC20 wallet that you have just created. Take a look at this API Doc for proper understanding.
  1. Finally, install the Coinremitter plugin on your platform.

However, Coinremitter supports well known open-source plugins such as Magento, Laravel, WordPress, and more, before you take a step, check that your platform is compatible.

There are different integration processes for every platform.

Conclusion:

Once you start accepting payments in ERC20 and in other cryptocurrencies, you will understand how it is beneficial for my company.

Some of its vital advantages such as:

  • Fast transaction.
  • It more effectively confirms the transaction.
  • Also, it reduces the probability of breaking contracts.

Remember not to forget to place a button “ERC20 Accepted Here” next to your other gateways, as a result, you will get the attention of your customers.