Tag Archives: digital currency

Is Cryptocurrency for African-Americans?

Is cryptocurrency for African-Americans? Are we in on the game or are we just too cautious with our money to get in right now? Can cryptocurrencies like Bitcoin help the Black economy? Are we ready or even willing to get in the digital cash game? I said it before and I’ll say it again; Black people don’t play when it comes to money!

From Black celebrity endorsements to black people actually mining cryptocurrencies the game is starting to open up and awareness is growing. But are we truly on board?

Black celebrities are pushing cryptocurrencies and initial coin offerings or ICO.   An ICO is an unregulated way to raise money for new cryptocurrencies. ICOs are used by startups to get around the rigid rules and laws associated with  the regular capital-raising process. In other words they can raise money without any rules or laws to obey. This makes ICOs an extremely risky investment.

Risky investments do not appeal to African-Americans. “African-Americans are risk-averse,” says Deborah Owens, formerly of Fidelity Investments. Owens calls herselfAmericans Wealth Coach.”  Owens told Forbes.com that, “So, one of the major reasons they have less in retirement savings is they are ultra-conservative, particularly African-Americans who work in the public sector and nonprofit organizations.”

Ultra popular DJ Khaled, alongside boxer Floyd “Money” Mayweather are pumping up Centra Tech. Chief operating officer for Centra Tech, Raymond Trapani, told Fortune.com that Khaled and Mayweather are working as  “official brand ambassador and managing partner” of the company. But the government has issued warnings about their investment advice in digital currencies.

Mayweather, in addition to Centra Tech, he is also associated with ICOs from Stox.com and Hubii Networks. Critics say both companies are risky blockchain technologies and neither has produced a product, service or profit.

Other Black celebrities involved in cryptocurrency include rapper Snoop Dogg, Nas, former Spice Girl Mel B, actor Donald Glover, Seattle Seahawks cornerback Richard Sherman, former NFL wide receiver Chad Ochocinco, actor/comedian Jamie Foxx,  and WuTang Clan’s GhostFace Killah.

Needless to say these are fairly wealthy artists and athletes who can afford to play in the cryptocurrency casino and help ICOs raise billions of dollars. But is their involvement even legal?

The U.S. Securities and Exchange Commission (SEC) is looking real hard at these celebrity endorsements. The SEC issued a statement to “celebrities and others” who use social media networks to encourage the public to purchase stocks and other investments.

The statement advises celebrities that, “These endorsements may be unlawful if they do not disclose the nature, source, and amount of any compensation paid, directly or indirectly, by the company in exchange for the endorsement.”  Put simply these celebrities need to come clean and let people know they are partners or investors in the company they are pushing.

But are Black people buying cryptocurrencies? Edwardo Jackson of Blacks in Bitcoin believes its still early and that African-Americans need to get in the game and get in the game now. Jackson told TheAtlantic.com, “Can you imagine what it would have been like to own a piece of email technology in 1994? That’s what Bitcoin is like right now, and it’s only getting bigger.”

Along with Black celebrities Jackson could be opening the door for minorities to get into cryptocurrencies. Research in 2014 showed that black people and minorities in general were not aware of the cryptocurrency phenomenon.  But now the African-American community is becoming more aware of digital currency and the wealth it can produce. Black people interested in Bitcoin and possibly investing in digital currency are beginning to form groups to study this phenomenon. One MeetUp group in Atlanta has over 180 members and the interest appears to be growing. Sources of information for black people are also growing as evidenced by Jackson’s blogBlacks in Bitcoin.”

Can digital currency help the African-American community? An interesting fact about Black people in the digital age is our love of mobile technology. Black people have become early and enthusiastic adapters of mobile technology. We are most likely to shop and access the Internet using smartphones than white people. So the idea of using a digital currency is not out of the realm. Another interesting fact is that Black communities, low income neighborhoods, are severely under-banked.

Chief market strategist for ConvergEx Group, Nicholas Colas believes digital currency like Bitcoin can make a difference. Colas sees the currency filling the hole where banks are not in these communities. Colas cited a 2013 Senate committee letter from then-Federal Reserve chairman Ben Bernanke. Bernanke did not endorse digital currency but agreed low-cost transactions could benefit low income, under-banked communities. Providers of pre-paid cards and payday loans often thrive in low income communities.  Colas added, “That’s where the promise is for the African American community, because in a finished form, it allows for a cheaper money-transfer system than anything that the current financial system can provide.”

 

African-Americans are beginning to take notice of digital currency and are venturing in with their own brand of digital currency. A Black owned digital currency company, BitMari, has emerged. Founded in 2015, BitMari is a Pan-African blockchain company seeking to secure a piece of the action in the billions of  dollars sent to Africa each year. BitMari is facilitating the transfer or remittance of money using the Bitcoin technology into Africa.

 

 

 

 

$Guap Black Owned Digital Currency

Another Black owned digital currency is $Guap launched by tech visionary Tavonia Evans. The ICO for $Guap is aimed at recycling wealth within the Black community. $Guap is intended to leverage the one trillion dollars in Black spending power. $Guap will jump on the cryptocurrency wave by rewarding African-American consumers for supporting businesses that support them.

Now you know.

 

 

Cryptocurrency – What’s It All About?

What is cryptocurrency? Or you may call it Bitcoin. Where does it come from? How does it work? Is it real money? In case you haven’t heard we are in the midst of a monetary revolution. Many people are raving about Bitcoin. Some say it’s the money of the future. Others are saying it’s a scam or worse. So what’s it all about?

First of all lets clear up the definition. Bitcoin is cryptocurrency but not all cryptocurrency is Bitcoin. As a matter of fact there are as many as 1,000 different brands of cryptocurrencies. Bitcoin is just the most valuable.

What is Cryptocurrency?

Cryptocurrency is a digital form of currency that is different from real money. Money or currency is produced by banks and nations who create the money’s value based economic strength. This money is managed through a central banking system of that nation.

How is cryptocurrency different?

Transactions of traditional money are controlled, taxed and tracked by banks and nations.  Cryptocurrency transactions are made with no banks or governmental interference.  Some economist and investors like to say that transactions are frictionless. Cryptocurrency users are anonymous . So essentially cryptocurrency is stateless money with no banks and the users are completely unknown. That is until they change Bitcoin into real cash. 

Where did cryptocurrency come from?

Satoshi Nakamoto, the inventor, created Bitcoin in 2009. He has never been seen. No one even knows who or where he is. He may not even be a single person but a group of programmers. No one really knows. So cryptocurrency’s origin is a mystery. However, some believe that the National Security Agency has identified him. As usual the NSA has declined comment.

How is it created?

Cryptocurrency is created or “mined” using computers to solve incredibly complex math problems. Performing this work eats up a lot of electricity. So much electricity that you could never make a profit with the average computer. Cryptocurrency “miners,” as they are called, have begun building their own computers or hijacking other people’s computers to create Bitcoins. This has become known as Cryptojacking.

Mining a Bitcoin is not easy or cheap. Bitcoin’s value is about $6,000. How many Bitcoins would you have to produce to deal with a monthly $6,000 electricity bill and still make a profit? 

After a computer solves a series of problems it becomes known as a block. The blocks is then verified by other users and, once confirmed, are added to what is called the blockchain. The blockchain grows rapidly with a new block being added about every 10 minutes. A blockchain is a record of the Bitcoins created. It also records Bitcoin transactions that can never be changed. The blockchain never ends and is not hosted in single location making it immune to hackers.

How do you store or spend Bitcoins?

Bitcoin transactions move between users like email. Each transaction is digitally signed using cryptography and goes to the entire Bitcoin network for verification. These transactions are open to the public and can be found on the blockchain. All Bitcoin transaction leads back to the point where the Bitcoins were first mined.

Bitcoins are kept in a bitcoin wallet or the digital equivalent of a bank account. You can download the Bitcoin wallet from the Google Play store or iTunes. Your wallet allows you to send, receive and store Bitcoins. 

To complete a Bitcoin transaction you need two things; a public encryption key and a private encryption key.

Public keys or Bitcoin addresses, are random sequences of letters and numbers that work the same as an email address or username. Public keys are safe to share. You must give your Bitcoin address to receive Bitcoin. The private key must keep secret. This private key allows you to spend the Bitcoin.

Is Bitcoin real money?

Well, that is where Bitcoin may run into problems. First of all Bitcoin must meet the current standard of what money is. There are four basic standards for money.

ScarcityThere can be a only a limited amount available to secure its value. There can only be 21 million Bitcoins in the world. Right now there are about 9 million Bitcoins. Once it reaches 21 million no more Bitcoins can be mined.

Durability It must stand up to constant handling with no maintenance or special treatment. Bitcoin is completely digital and is never actually touched but human hands. However, Bitcoin is vulnerable. User error can cause the loss or destruction of Bitcoins. Users have lost or forgotten their private key making access to the currency impossible. Recently a a single user error caused the destruction of over $300 million worth of Bitcoin. So durability is an issue as well as security.

FungibilityIs every Bitcoin worth the same.  Let me make this simple for you. According to CoinMarketCap.com there are 1,037 different cryptocurrencies available. So not every one is worth the $6,000 I spoke about earlier. 

PortabilityCryptocurrency can be carried anywhere you carry your smartphone just like cash. So it is portable.

Breaking It Down.

Cryptocurrency is growing in acceptance but is not yet considered a viable currency. Its value is unstable and it is considered  an unacceptable risk by most financial experts and the coin of the future by others. In addition, governments are now examining the cryptocurrency phenomenon. Its anonymity makes it useful for crimes such as drug dealing, terrorism, money laundering and tax dodging. So the future right now depends on the view world governments take. A single law or crime could bring the whole thing to a halt or change the very definition of cryptocurrency.

 

Celebrity Cyber Report – Dennis Rodman, Drake and Kanye

Dennis Rodman and PotCoin.

Smoking weed has always been big business. And now it is also slowly becoming a very legitimate business. Anytime Microsoft comes looking for a piece of the pie you know its legit.

Dennis Rodman has stepped into the weed game endorsing a new virtual currency to pay for your weed. Rodman showed up in North Korea on a ticket paid for by PotCoin. A new digital currency that bills itself as “Banking for the Marijuana Industry.” Rodman Tweeted a thank you to PotCoin for “financing his mission.”

PotCoin issued a press release announcing the “mission.” According to PotCoin Rodman will tell us all about it when he returns to the states. But we would be remiss if we did not point out that smoking weed is perfectly legal in North Korea. Something I am certain those nice folks at PotCoin are well aware of.

Sporting a PotCoin-branded t-shirt and baseball cap, Rodman released a short video  touting his visit as “all about peace.” This is not the first time Rodman has promoted a company by visiting the most closed country on earth.  Previously Rodman’s visit to the North was sponsored by an Irish betting company. Of course with this visit PotCoin crypto-currency shot up in value.

See also: Snoop Dogg Launches MerryJane.com 

Drake and Kanye Under Hack Attack

 Hackers love celebrities. So why not Drake and Kanye? According to reports a group calling itself the “Music Mafia” hacked Drake’s Twitter account. The same group also released two of Kanye’s unreleased recordings on YouTube and are threatening to strike again. Music Mafia’s website is offering more un-released music for sale using the Bitcoin virtual currency. 

Music Mafia, after claiming responsibility for the leaks,  had been laying low until this week. The group hacked Drake’s Twitter account on June 2nd  and posted a link to their website. The Tweet was quickly deleted.

Then Music Mafia leaked Kanye’s new music. According to the hacker website they are in possession of  unreleased  “songs from artists recorded years ago” as well as new tracks and music videos. Music Mafia is also offering members of the public exclusive leaks. 

Music Mafia offered the unreleased tracks of Calvin Harris’ ‘Slide’, Future’s ‘Ransom’ and a few other songs. But are now threatening to release more music from Kanye, Maroon 5 and PartyNextDoor,  for payments in Bitcoin.

The hackers seem to be are offering the stolen cuts only after they collect an unknown number of Bitcoins. The thefts are being carried out by highly professional hackers who have done well covering their tracks.The Music Mafia website is registered in the Kingdom of Tonga. But that tiny country’s servers appear to be hosted in Iceland by a company specializing in secure and anonymous web hosting. The only way to get in touch with them is through the decentralized and encrypted Bitmessage communications platform.

Celebrity Cyber Report – Mike Tyson

Iron MikeFormer heavyweight boxing champ Mike Tyson has jumped into the Bitcoin game. You might remember the mountains of money that boxing legend George Forman made by endorsing an electric grill? Well Iron Mike is using that strategy by endorsing an app based Bitcoin wallet and ATM.

Bitcoins are a digital currency that is created and held electronically. Unlike hard currency such as the dollar or Euro, there is no controlling authority and its completely untraceable. Bitcoins are produced by people, and by more and more businesses, running computers all around the world using software that solves mathematical problems. Solving these problems results in the creation of a Bitcoin. That’s Bitcoin in a nutshell. To learn more about Bitcoins check out this article.

Tyson is endorsing Bitcoin Direct, a subsidiary of Connexus Corporation. In a separate deal Tyson previously announced another partnership with this company  which is making Bitcoin ATMs more widely available.

This new app based digital wallet is designed to introduce Bitcoins to smartphones. Users of smartphones  will be able to buy and sell Bitcoins through the app. The app will set certain thresholds for minimum amounts, letting the user quickly confirm payments over the platform and reducing the risk of losing their Bitcoins through a glitch or hacking.

Tyson admits he is no expert on the digital currency and neither was George Foreman a chef. So Like George, Iron Mike is bringing his name, fame and facial tattoo to the company.