zen – Crypto-corner

Types of Forks in Crypto Explained.

Welcome to another edition of my short series “Crypto Jargon”.
In these series, I break down the complex terminology we use in reference to cryptocurrencies and blockchain technology.

In this article are featured the following acronyms for software changes and upgrades (known as software forks):

Soft Fork (SF)
Hard Fork (HF)
User-Activated Soft Fork (UASF)
User-activated Hard Fork (UAHF)
Miner-Activated Soft Fork (MASF)
Contentious & Non-Contentious Forks.

These are some of the types of forks most commonly referred to, so let’s explain the differences.

First, what is a fork?

In programming terms, a fork is a (permanent) modification, upgrade, divergence or simply any change in the original code of a software.

Forks generally happen in the crypto world when new “rules” are built into a blockchain’s code. Sometimes a fork is used to test a process, but with cryptocurrencies, it is mostly used to implement a fundamental change or to create a new asset with similar (but not equal) characteristics as the original.

There are two main types of programming fork: hard and soft.

A Soft Fork is an upgrade in the software that is compatible with the original version. When the changes are implemented, they are backward compatible, meaning that even users who haven’t upgraded to the new software, are still able to run their nodes and mine blocks on that blockchain. In the case of Segwit for instance, which was a soft fork on the bitcoin blockchain, users and node operators could choose if they want to run the older version (legacy) or the new version (segwit) of the protocol. And still, to this day there are certain economical nodes, such as the Blockchain.com Wallet and KeepKey for instance, which are running the legacy version and you can tell by the wallet address – a Legacy Bitcoin address begins with the number 1 while a Segwit wallet address begins with the number 3.

A User Activated Soft Fork (UASF) is when a soft fork is activated on a specified date and is enforced by full nodes; a concept sometimes referred to as the economic majority. A UASF requires a lot of industry support and coordination. Originally Segwit was going to be implemented as a UASF and as a response to that Bitmain, a major mining firm, announced A contingency plan against it in the form of a User Activated Hard Fork UAHF which they did anyway and thus Bitcoin Cash was born.

A Hard Fork is an upgrade in the software that requires all users to switch to the new version of that software. It is not backward compatible, meaning that anyone who wants to mine blocks on that blockchain has to use the latest version of the code.

It can be a “Planned hard fork” – which is simply an upgrade to the protocol that had already been made clear in advance by the project developers and there’s no conflict in its implementation. Usually, a high-degree of consensus from the project developers and the community would have already been reached, before the hard fork occurred. Examples of a planned hard fork is Monero’s hard fork in January of 2017, which saw the addition of a new privacy feature known as Ring Confidential Transactions (RingCT) and the 2019 Ethereum change to a Proof Of Stake protocol which was announced years ahead of implementation.

In this regard it’s also known as a non-contentious hard fork which means everyone upgrades and moves on.

The opposite is a “Contentious hard fork“, which is not being accepted by everyone and some users decide to continue running the older version and this way the chain splits into two: one path which follows the new, upgraded blockchain; and one path which continues along with the old blockchain version. This is how Ethereum Classic was created and also Bitcoin Cash when it split from Bitcoin in 2017.

A hard fork can also be initiated if a 51% attack occurs, or due to a bug in the system so it doesn’t always create a new coin.

A User Activated Hard Fork (UAHF) is where developers add a mandatory rule set to change the node software. These changes make previously invalid blocks become valid after a flag day, which does not require a majority of hash power to be enforced.

The most significant example for applying UASF and UAHF is the forking of Ethereum.

In May 2006, Ethereum started The DAO project. But a month later the project was hacked and a sum of about $55,000,000 was stolen. This amounted to more than 10% of the circulating supply of Ether at the time. After the incident three solutions were suggested:

To accept the theft and do nothing
To roll back the Blockchain to the time before the theft which would be through a hard fork
To accept all the transactions to the hacker’s wallets false and return the money back which would be done as a soft fork.

The Ethereum community chose to go with the second proposal, but some users weren’t happy with that. They assumed that “code is law” and is the main concept of cryptocurrency. These users accepted the theft and decided to stick to the original version without any rollback, so when the hard fork was executed, there were two chains. One that is known as Ethereum, ETH, and another, known as Ethereum Classic, ETC.

The signaling for consensus on a fork proposal can also be handed to the miners which are known as a Miner Activated Soft/Hard Fork (MASF).

There are also Accidental forks – a rare occasion when two or more blocks have the same block height, forking the blockchain. Typically occurs when two or more miners find blocks at nearly the same time. It can also happen as part of an attack.

As you probably know I also post these definitions on my YouTube channel, here’s my episode with today’s terms:

If you liked this article, you will most certainly love my eBook “Crypto Jargon A-Z” – this is the most up-to-date publication of its kind. With over 700 terms, acronyms and trading slang, it contains everything related to cryptocurrencies and blockchain tech – all the complex terminology we use in media articles, blogs, forum chats, social media posts and of course video content too so go check it out on Amazon at one of the following links:

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🏆Exchanges I use for trading crypto:

►Binance
►Kucoin
►Bittrex
►Bitfinex
►HitBtc

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Where I buy crypto:

►BitPanda (Europe)
►Cex (Global)
►Coinmama (Global)
►Changelly (good for instant coins swaps)(Global)
►Payeer (Europe, Asia, alternative to paypal)
►Bitfinex
►Coinbase (USA, EU, Africa) Get $10 worth of Bitcoin on your first $100 crypto purchase with this link: http://bit.do/coinbase_join

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Where I store my crypto:

Ledger Nano – the best hardware wallet (offline storage)
Trezor – also one of the best wallets out there.
Exodus – desktop wallet
Coinomi – mobile phone wallet with instant coin swap feature
Crypto.com – mobile wallet and exchange

How to receive ZEN coins for FREE.

I have been posting a lot about Zen – a privacy coin that came into existence back in 2017 as Zencash and in 2018 it rebranded to Horizen in tune with the expansion of the project into a all-round platform that offers a variety of layers and features which go beyond the monetary use of Zen as a coin. Horizen’s ecosystem includes a technology platform for building dApps, sidechain solutions that enables the connection of bespoke blockchains to the Horizen mainchain and ZenChat – a secure messaging service – censorship resistant, private and encrypted.

I will post my latest interview with their main developer here on my blog very soon, but this post is about their latest incentive – Giving Away ZEN (coins) for FREE to users worldwide. So, let me take you through the process which is very simple:

The ZEN faucet went live just a few days ago and you will find it here.

For those who aren’t aware what a faucet is you can find it explained in my kindle book “Crypto Jargon A-Z : Definitions of Crypto Terminology” but in simple words, it is a website that awards users free coins in order to create awareness and increase the popularity of a certain coin. These giveaways are random (small) amounts of the cryptocurrency in question and in the case of ZEN here, they occur EVERY DAY.
Every 20 hours to be more precise.In order to get these free rewards, f ollow this link : https://getzen.cash/auth/register?ref=124527

You will be prompted to register but the only details they ask for are first name and email address, so there’s no elaborate KYC process or anything like that.

The next step is to confirm your email address (bear in mind that currently they allow gmail only) and you’re all set.

Once you have completed the steps above, you can go and claim your daily ZEN for free.

I use this service with my Coinomi wallet but you can also get the official ZEN wallet directly from their website.

You can also use an exchange wallet such as Bittrex if you are a member but in this article I will show you how to set up a Coinomi wallet which is the one I used.

First, download the Coinomi app on your mobile or desktop computer. I use the Andriod mobile app.

Once you’re in the app, you will need to add the coin to your account. Here’s how to do this:

First you’ll select “add coins” because ZEN is a coin, not a token, then you scroll down through the list of supported coins to find Horizen (ZEN is the currency of Horizen).

Once you add the ZEN wallet you will be sent into the main screen of the wallet which will be empty of course. Now you need to add some ZEN and to do this you will need to copy your wallet address and go to the Horizen faucet to claim your free zen rewards.

Follow these steps:

After you copy the wallet address you will go to the faucet website, paste the wallet address in the window and hit “CLAIM”. You will be prompted to sign-in at that point, so make sure you have already completed the registration stage and confirmed your email too. Once this is done, your ZEN rewards will be in your wallet within a few minutes.

And one more thing: if you claim these every day, you will receive a bonus : for each consecutive days (up to 5 days) you are awarded and you receive extra:

Day 2 you receive x1.2 compared to day 1
Day 3 you receive x1.4 compared to day 1
Day 4 you receive x1.6 compared to day 1
Day 5 you receive x1.8 + a Bonus Round where you can earn up to 1 ZEN
Day 6 you receive x2 compared to day 1

It’s worth setting up a daily reminder about this so you don’t miss a day because that would reset the bonus counter if you miss a day. The Bonus Round is really the one that makes the biggest rewards as you can earn 0.0025 or 0.10 or even 1 ZEN and in my experience 0.10 is not that unusual so try to get these bonuses and don’t miss a day. Here’s a screenshot of my most recent rewards, the bonuses stand out.

This is the whole process. Just set a reminder to go back to this website the next day and claim your next reward. This free reward is a small amount as I mentioned, but remember, this is a reward you will be able to claim EVERY DAY, so good luck and let me know in the comments if you have any questions.

To register for this free giveaway of ZEN follow my link: https://getzen.cash/auth/register?ref=124527

Top Facts about Bitcoin on its 11th Anniversary.

It’s 31 October 2019 and today marks exactly 11 years since the release of Bitcoin’s whitepaper by Satoshi Nakamoto. On this day in 2008 the first cryptocurrency was conceived and it created a monumental shift in the way we perceive the future of money and provided a revolutionary new direction for resisting censorship from the corrupt central banking system that has been ruling over our lives for over a century.

Indeed, censorship resistant ownership of one’s capital is a giant leap for anyone who’s ever been a victim of unfair seizure of their funds by the authorities and there are many an example of such abuses of power throughout the years across the world and even though most people today see Bitcoin and other cryptocurrencies mainly as means to become rich quick, the true essence of this new asset class lies in the fact that it provided a real opportunity to combat the dangers of having one’s capital taken away from them.

I don’t want to undermine the fact that Bitcoin did create hundreds of millionaires throughout the past decade and continues to do so, nor do I try to oppose the concept of shifting power and capital from the centralised banking system back to the common folk. This was all very beneficial to everyone who was bright enough to enter this space in the early years and especially to those risk-takers who believed in the power of the digital currency from the early days when it was in its infancy and the rest of world was completely dismissive of it (myself included in those sceptics), so let’s take a moment and reflect on what we have achieved in the past 11 years.

Here are just a handful of examples of what Bitcoin managed to bring to the world and why this (still hugely volatile) digital currency is so important to the world and everyone who is involved in its network.

Blockchain – possibly the biggest and most widely recognised invention that Bitcoin brought to the world is the creation of a decentralised, independently shared and publicly accessible and verifiable record of data that is immutable and resistant to censorship or control from any one entity.
There have been many nay-sayers and sceptics of Bitcoin but even the hardest opposition to crypto, such as the central banking system, admits that Blockchain technology is the future and recognise it as one of the greatest innovations of our time.

The first Bitcoin transaction in the real world was for 2 pizzas on May 22 2009 which became known as Bitcoin Pizza Day. The guy who wanted to be known as the first person to buy something with Bitcoin paid 10 000 bitcoins for the pizzas which today comes to about 93 million US dollars.

Bitcoin has created more millionaires than any other asset in the past decade. The exact number is not recorded but it’s a fact that there are even a handful of billionaires created by investments in Bitcoin.

Over the past decade we managed to mine more than 85% of the total bitcoin supply which is capped at 21 million coins. Today the circulating supply amounts to 18,022,262 coins produced by 601,794 blocks according to coinmarketcap.

Bitcoin’s network consists of thousands of computers worldwide is more powerful than the world’s top 5 supercomputers combined. It has never been hacked and is fully decentralised.

It took 4 years for bitcoin to go from $0 to $1000 and less than 1 year to jump from $1000 to $20 000 (back in 2017). Since then the price has corrected and we experienced a downtrend in 2018 but things picked up again and the $20k price tag is once again within reach in the foreseeable future.

Bitcoin’s produce is halved every 4 years and although we have already mined the majority of it, it will take us another 100+ years until we mine the last satoshi.

In its decade of existence bitcoin has outperformed every other stock or asset in the world in terms of price appreciation, surpassing even the value of Gold and Silver and bringing in much higher Return of Investment to its hodlers.

The term HODL was born by a simple mistake in a drunken post on a Bitcoin forum and it became a worldwide acronym used by everyone, even mainstream media.

The smallest spendable denomination of Bitcoin is called a “satoshi” in reference to its creator and this month the term was added to the Oxford English Dictionary. The term “bitcoin” was already added to the dictionary back in 2014 and was defined as: “a digital currency in which transactions can be performed without the need for a central bank.”

Bitcoin gave birth to a whole new industry called cryptocurrencies and today there are more than 2000 of them, many of which are trying to add new use cases and go beyond the monetary use of bitcoin.

There are currently 9255 public nodes running on the Bitcoin network. (at the time of writing, but this number is changing daily.)

The price of Bitcoin is by far the biggest catalyst in its popularity amongst the retail investor and to date it’s price appreciation comes to a whopping +292,635.11% since its conception.

If you liked this article, consider following this blog and leave a comment below. I would like to hear your thoughts on Bitcoin and whether you are a fan or a sceptic.
I also run a YouTube channel where I post various content related to cryptocurrencies and blockchain technology.

🚩My book “Crypto Jargon A to Z” – the most comprehensive dictionary to date is out now.

Over 700 definitions of terms, acronyms and all the crypto slang people use in their market analysis, blogs and media articles related to blockchain technology and cryptocurrencies.
Grab your copy today: www.ojjordan.com/cryptojargon

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🏆Exchanges I use for trading crypto:

►Binance
►Kucoin
►Bittrex
►Bitfinex
►HitBtc

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Where I buy crypto:

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Where I store my crypto

Ledger Nano – the best hardware wallet (offline storage)
Trezor – also one of the best wallets out there.
Exodus – desktop wallet
Coinomi – mobile phone wallet with instant coin swap feature
Crypto.com – mobile wallet and exchange

What’s new on the Horizen? Crypto Corner 56

This is episode 56 of the Crypto Corner Podcast and my guest today was Rolf Versluis, co-founder of Horizen (formerly known as Zencash) — a very well-known privacy-orientated project.

We discussed decentralization and how the prolonged bear market is affecting the developers and miners, the latest developments with ZEN and much more.

To keep up to date with the latest crypto news check out my “Crypto Corner Daily” (ePaper) — http://bit.ly/2HaC1c7

Links from this episode:
Latest Horizen report by Rolf: https://www.slideshare.net/RolfVersluis1/horizen-cryptocurrency-overview-october-2018

CORNER

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Where do I store my crypto? The best device on the market is without a doubt LEDGER – a hardware storage for all major cryptocurrencies. It provides the SAFEST storage for Bitcoin, Ethereum, Ripple, Litecoin, Stellar, Bitcoin Cash, Neo, Pivx, Eos, Tether, Tron, Dash, Zcash, Doge, Lisk, 0x, Nano, Icon, Strat, Bat, Augur, Golem, Factum and many many more. Check it out here: