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Beware the impossible smart contract

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The three most common smart contract misconceptions

As the developers of a popular blockchain platform, we sometimes get asked whether Ethereum-like smart contracts are on the MultiChain roadmap. The answer I always give is: no, or at least not yet.

But in the hype-filled world of blockchains, smart contracts are all the rage, so why ever not? Well, the problem is, while we now know of three strong use cases for permissioned Bitcoin-style blockchains (provenance, inter-company records and lightweight finance), we’re yet to find the equivalent for Ethereum-style smart contracts.

It’s not that people lack ideas of what they want smart contracts to do. Rather, it’s that so many of these ideas are simply impossible. You see, when smart people hear the term “smart contracts”, their imaginations tend to run wild. They conjure up dreams of autonomous intelligent software, going off into the world, taking its data along for the ride.

Unfortunately the reality of smart contracts is far more mundane than all that:

A smart contract is a piece of code which is stored on an blockchain, triggered by blockchain transactions, and which reads and writes data in that blockchain’s database.

That’s it. Really. A smart contract is just a fancy name for code which runs on a blockchain, and interacts with that blockchain’s state. And what is code? It’s Pascal, it’s Python, it’s PHP. It’s Java, it’s Fortran, it’s C++. If we’re talking databases, it’s stored procedures written in an extension of SQL. All of these languages are fundamentally equivalent, solving the same sorts of problems in the same sorts of ways. Of course, each has its strengths and weaknesses – you’d be crazy to build a website in C or compress HD video in Ruby. But in principle at least, you could if you wanted to. You’d just pay a heavy price in terms of convenience, performance, and quite probably your hair.

The problem with smart contracts isn’t just that people’s expectations are overblown. It’s that these expectations are leading many to spend time and money on ideas that cannot possibly be implemented. It seems large companies have sufficient resources to travel a lengthy path – from the moment when senior management encounters a new technology, to when that technology’s advantages and limitations are truly understood. Perhaps our own experience can help shorten this time.

Over the past nine months, we’ve been pitched many smart contract use cases, and have found ourselves responding, time and again, that they simply cannot be done. As a result, we’ve identified the three smart contract misconceptions that are most commonly held. These ideas aren’t wrong because the technology is immature, or the tools are not yet available. Rather, they misunderstand the fundamental properties of code which lives in a database and runs in a decentralized way.

Contacting external services

Often, the first use case proposed is a smart contract which changes its behavior in response to some external event. For example, an agricultural insurance policy which pays out conditionally based on the quantity of rainfall in a given month. The imagined process goes something like this: the smart contract waits until the predetermined time, retrieves the weather report from an external service, and behaves appropriately based on the data received.

This all sounds simple enough, but it’s also impossible. Why? Because a blockchain is a consensus-based system, meaning that it only works if every node reaches an identical state after processing every transaction and block. Everything that takes place on a blockchain must be completely deterministic, with no possible way for differences to creep in. The moment that two honest nodes disagree about the chain’s state, the entire system becomes worthless.

Now recall that smart contracts are executed independently by every node on a chain. Therefore, if a smart contract retrieves some information from an external source, this retrieval is performed repeatedly and separately by each node. But because this source is outside of the blockchain, there is no guarantee that every node will receive the same answer. Perhaps the source will change its response in the time between requests from different nodes, or perhaps it will become temporarily unavailable. Either way, consensus is broken and the entire blockchain dies.

So what’s the workaround? Actually, it’s rather simple. Instead of a smart contract initiating the retrieval of external data, one or more trusted parties (“oracles”) creates a transaction which embeds that data in the chain. Every node will have an identical copy of this data, so it can be safely used in a smart contract computation. In other words, an oracle pushes the data onto the blockchain rather than a smart contract pulling it in.

When it comes to smart contracts causing events in the outside world, a similar problem appears. For example, many like the idea of a smart contract which calls a bank’s API in order to transfer money. But if every node is independently executing the code in the chain, who is responsible for calling this API? If the answer is just one node, what happens if that particular node malfunctions, deliberately or not? And if the answer is every node, can we trust every node with that API’s password? And do we really want the API called hundreds of times? Even worse, if the smart contract needs to know whether the API call was successful, we’re right back to the problem of depending on external data.

As before, a simple workaround is available. Instead of the smart contract calling an external API, we use a trusted service which monitors the blockchain’s state and performs certain actions in response. For example, a bank could proactively watch a blockchain, and perform money transfers which mirror the on-chain transactions. This presents no risk to the blockchain’s consensus because the chain plays an entirely passive role.

Looking at these two workarounds, we can make some observations. First, they both require a trusted entity to manage the interactions between the blockchain and the outside world. While this is technically possible, it undermines the goal of a decentralized system. Second, the mechanisms used in these workarounds are straightforward examples of reading and writing a database. An oracle which provides external information is simply writing that information into the chain. And a service which mirrors the blockchain’s state in the real world is doing nothing more than reading from that chain. In other words, any interaction between a blockchain and the outside world is restricted to regular database operations. We’ll talk more about this fact later on.

Enforcing on-chain payments

Here’s another proposal that we tend to hear a lot: using a smart contract to automate the payment of coupons for a so-called “smart bond”. The idea is for the smart contract code to automatically initiate the payments at the appropriate times, avoiding manual processes and guaranteeing that the issuer cannot default.

Of course, in order for this to work, the funds used to make the payments must live inside the blockchain as well, otherwise a smart contract could not possibly guarantee their payment. Now recall that a blockchain is just a database, in this case a financial ledger containing the issued bond and some cash. So when we talk about coupon payments, what we’re actually talking about are database operations which take place automatically at an agreed time.

While this automation is technically feasible, it suffers from a financial difficulty. If the funds used for coupon payments are controlled by the bond’s smart contract, then those payments can indeed be guaranteed. But this also means those funds cannot be used by the bond issuer for anything else. And if those funds aren’t under the control of the smart contract, then there is no way in which payment can be guaranteed.

In other words, a smart bond is either pointless for the issuer, or pointless for the investor. And if you think about it, this is a completely obvious outcome. From an investor’s perspective, the whole point of a bond is its attractive rate of return, at the cost of some risk of default. And for the issuer, a bond’s purpose is to raise funds for a productive but somewhat risky activity, such as building a new factory. There is no way for the bond issuer to make use of the funds raised, while simultaneously guaranteeing that the investor will be repaid. It should not come as a surprise that the connection between risk and return is not a problem that blockchains can solve.

Hiding confidential data

As I’ve written about previously, the biggest challenge in deploying blockchains is the radical transparency which they provide. For example, if ten banks set up a blockchain together, and two conduct a bilateral transaction, this will be immediately visible to the other eight. While there are various strategies for mitigating this problem, none beat the simplicity and efficiency of a centralized database, in which a trusted administrator has full control over who can see what.

Some people think that smart contracts can solve this problem. They start with the fact that each smart contract contains its own miniature database, over which it has full control. All read and write operations on this database are mediated by the contract’s code, making it impossible for one contract to read another’s data directly. (This tight coupling between data and code is called encapsulation, and is the foundation of the popular object-oriented programming paradigm.)

So if one smart contract can’t access another’s data, have we solved the problem of blockchain confidentiality? Does it make sense to talk of hiding information in a smart contract? Unfortunately, the answer is no. Because even if one smart contract can’t read another’s data, that data is still stored on every single node in the chain. For each blockchain participant, it’s in the memory or disk of a system which that participant completely controls. And there’s nothing to stop them reading the information from their own system, if and when they choose to do so.

Hiding data in a smart contract is about as secure as hiding it in the HTML code of a web page. Sure, regular web users won’t see it, because it’s not displayed in their browser window. But all it takes is for a web browser to add a ‘View Source’ function (as they all have), and the hidden information becomes universally visible. Similarly, for data hidden in smart contracts, all it takes is for someone to modify their blockchain software to display the contract’s full state, and all semblance of secrecy is lost. A half-decent programmer could do that in an hour or so.

What smart contracts are for

With so many things that smart contracts cannot do, one might ask what they’re actually for. But in order to answer this question, we need to go back to the fundamentals of blockchains themselves. To recap, a blockchain enables a database to be directly and safely shared by entities who do not trust each other, without requiring a central administrator. Blockchains enable data disintermediation, and this can lead to significant savings in complexity and cost.

Any database is modified via “transactions”, which contain a set of changes to that database which must succeed or fail as a whole. For example, in a financial ledger, a payment from Alice to Bob is represented by a transaction that (a) checks if Alice has sufficient funds, (b) deducts a quantity from Alice’s account, and (c) adds the same quantity to Bob’s.

In a regular centralized database, these transactions are created by a single trusted authority. By contrast, in a blockchain-driven shared database, transactions can be created by any of that blockchain’s users. And since these users do not fully trust each other, the database has to contain rules which restrict the transactions performed. For example, in a peer-to-peer financial ledger, each transaction must preserve the total quantity of funds, otherwise participants could freely give themselves as much money as they liked.

One can imagine various ways of expressing these rules, but for now there are two dominant paradigms, inspired by Bitcoin and Ethereum respectively. The Bitcoin method, which we might call “transaction constraints”, evaluates each transaction in terms of: (a) the database entries deleted by that transaction, and (b) the entries created. In a financial ledger, the rule states that the total quantity of funds in the deleted entries has to match the total in those created. (We consider the modification of an existing entry to be equivalent to deleting that entry and creating a new one in its place.)

The second paradigm, which comes from Ethereum, is smart contracts. This states that all modifications to a contract’s data must be performed by its code. (In the context of traditional databases, we can think of this as an enforced stored procedure.) To modify a contract’s data, blockchain users send requests to its code, which determines whether and how to fulfill those requests. As in this example, the smart contract for a financial ledger performs the same three tasks as the administrator of a centralized database: checking for sufficient funds, deducting from one account, and adding to another.

Both of these paradigms are effective, and each has its advantages and disadvantages, as I’ve discussed in depth previously. To summarize, Bitcoin-style transaction constraints provide superior concurrency and performance, while Ethereum-style smart contracts offer greater flexibility. So to return to the question of what smart contracts are for:

Smart contracts are for blockchain use cases which can’t be implemented with transaction constraints.

Given this criterion for using smart contracts, I’m yet to see a strong use case for permissioned blockchains which qualifies. All the compelling blockchain applications I know can be implemented with Bitcoin-style transactions, which can handle permissioning and general data storage, as well as asset creation, transfer, escrow, exchange and destruction. Nonetheless, new use cases are still appearing, and I wouldn’t be surprised if some do require the power of smart contracts. Or, at the very least, an extension of the Bitcoin paradigm.

Whatever the answer turns out to be, the key to remember is that smart contracts are simply one method for restricting the transactions performed in a database. This is undoubtedly a useful thing, and is essential to making that database safe for sharing. But smart contracts cannot do anything else, and they certainly cannot escape the boundaries of the database in which they reside.

Please post any comments at LinkedIn.

Source: https://www.multichain.com/blog/2016/04/beware-impossible-smart-contract/

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Bitcoin Preis erreicht neues Allzeithoch bei 64.800 USD

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Am 13. April 20201 ist der Bitcoin Kurs über das vorletzte Allzeithoch ausgebrochen.

Heute, am 14. April 2021 ist der Bitcoin Preis auf ein neues Allzeithoch (64.854 USD) angestiegen.

Bitcoin Kurs Tageschartanalyse

Der Bitcoin Preis ist gestern nach längerer Zeit über das Widerstandslevel bei 61.500 USD angestiegen, das seit dem letzten Allzeithoch vom 13. März 2021 intakt war. Heute, am 14. April 2021, erreichte der Bitcoin Kurs ein neues Allzeithoch bei 64.854 USD.

Das nächste Widerstandslevel liegt wahrscheinlich bei dem externen 1.61-Fib-Retracement-Level des letzten Drops (68.724 USD). Die technischen Indikatoren liefern uns eindeutig bullische Signale. Der MACD steigt wieder an, nachdem er ein Plateau erreicht hat. Der RSI und der „Stochastic Oscillator“ steigen ebenfalls weiter an. Darum wird Bitcoin Kurs wohl bald das gerade erwähnte Widerstandslevel erreichen.

Bitcoin Kurs Tageschart 14.04.2021
Bitcoin Kurs Tageschart By TradingView

Bitcoin Preis kurzfristiger Ausblick

Auf dem 2-Stunden-Chart siehst du, dass der Bitcoin Kurs über eine ansteigende Trendlinie angestiegen ist. Danach erreichte er das letzte Allzeithoch.

Weder der MACD noch der RSI signalisieren, dass die letzte Aufwärtsbewegung bereits wirklich an Fahrt verloren hat. Der RSI befindet sich zwar seit kurzem im überbewerteten Bereich. Allerdings kann der Kurs eines Assets trotzdem noch eine Zeit lang weiter steigen, während er im überbewerteten Bereich bleibt. Darum wird der Bitcoin Preis wohl kurzfristig insgesamt weiter ansteigen, auch wenn wir kleine Korrekturbewegungen sehen könnten.

Der Bitcoin Preis wird wohl bald wieder auf die zuvor erwähnte Trendlinie fallen. Diese ehemalige Widerstandslinie fungiert jetzt wahrscheinlich als Support.

Bitcoin Preis 14.04.2021
Chart By TradingView

Bitcoin Kurs Wellenanalyse

Laut unserer Wellenanalyse befindet sich der Bitcoin Kurs gerade in der dritten kleineren Teilwelle (Schwarz) er letzten Teilelle eines bullischen Impulses. Der Hochpunkt der letzten beiden Teilwellen wird voraussichtlich zwischen 83.000 USD und 90.423 USD liegen. Sobald die letzte, Orange Teilwelle vorbei ist, werden wir wahrscheinlich eine Korrekturphase sehen.

Hier geht es zu unserer Langzeitwellenanalyse.

Bitcoin Kurs Wellenanalyse 14.04.2021
Bitcoin Preis Chart By TradingView

Fazit

Der Bitcoin Preis wird wohl kurzfristig zumindest auf das Widerstandslevel bei 68.724 USD ansteigen. Mittelfristig wird der Bitcoin Kurs höchstwahrscheinlich ein neues Hoch zwischen 83.000 USD und 90.000 USD erzielen.

Hier geht es zur letzten Bitcoin-Analyse von BeInCrypto!

Eine interessante Krypto-Exchange für das Krypto-Trading und Investment in die verschiedenen Kryptowährungen: Stormgain.

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Valdrin ist ein Kryptowährungs-Enthusiast und Finanzhändler. Nach seinem Master-Abschluss in Finanzmärkten an der Barcelona Graduate School of Economics begann er im Ministerium für wirtschaftliche Entwicklung in seinem Heimatland Kosovo zu arbeiten. Im Jahr 2019 beschloss er, sich ganz auf Kryptowährungen und den Handel zu konzentrieren.

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Source: https://de.beincrypto.com/bitcoin-preis-neues-allzeithoch-64-800-usd/

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Tech firm unveils Australian first initiative to help charities access blockchain funding

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In an Australian first, social enterprise Little Phil is partnering with a cryptocurrency provider to provide local charities access to alternative and sustainable fundraising streams.

To deliver this groundbreaking initiative it is working with Netherlands-headquartered firm Legends of Crypto (LOC) – a non-fungible token trading card game – to implement a trial that will see 10% of all sales go towards directly funding selected causes on the Little Phil platform.

Non-fungible tokens, or NFTs, are a special class of digital assets that cannot be exchanged with one another for equal value, or broken down into smaller bits, that often operate as a type of collectors’ item and cannot be duplicated. These represent the next phase in the application of cryptocurrency technology with LOC itself receiving significant support from leading industry heavyweights such as the CEO of bitcoin.com.

This initiative is designed to provide not-for-profits access to alternative streams of fundraising outside of traditional avenues and aid them in diversifying their revenue raising activities.

According to Little Phil Co-founder and CEO, Josh Murchie this trial is designed to test the efficacy of alternative funding streams as it seeks to empower charities to diversify how they raise revenue for their causes.

“This is a really exciting trial for Little Phil and Legends of Crypto as we seek to test this groundbreaking fundraising trial,” said Mr Murchie.

“Although awareness among the public about crypto currency is generally around Bitcoin and maybe Ethereum, the reality is that this is just the tip of the iceberg in terms of the technology explosion in this space. What we are seeking to do here is to trial the efficacy of utilising NFT’s to create a recurring revenue stream for charities and see if we can free them up from continually asking for donors to donate.”

Founded in 2017, Little Phil is a total giving ecosystem that connects donors, businesses, and brands more directly with charities and beneficiaries through its Blockchain inspired Fintech technology platform that allows users to select a cause that they care about and directly give to that specific initiative – allowing them to track their impact in real-time.

Its technology provides donors full transparency around where their donations go, while providing charities the ability to showcase the difference every dollar makes as it provides not-for-profits the ability to give updates on the impact each gift has – ensuring transparent giving.

Some of its clients and partners include Greenpeace, mental health charity LIVIN, and the Currumbin Wildlife Sanctuary located on the Gold Coast.

That is why it is trialing the partnership within LOC’s marketplace that sees users buy and sell uniquely designed NFTs only available via its marketplace – as it adheres to this philosophy of directly allowing donors to connect via the causes they care about.

In this instance the 10 per cent of the funds raised will go directly towards cancer survivors requiring funding for their treatment.

For Josh Murchie, this initiative is all about ensuring that Little Phil is providing the charity sector access to funding and technology that might otherwise not be available to them.

“Last year we ran a national survey – the State of COVID report into Australia’s not-for-profit sector – that unearthed some of the biggest issues facing the industry as a result not just of the pandemic but broader micro and macro trends,” Mr Murchie said.

“One of the critical elements we unearthed from the data is that the sector is beset by two key issues, the giving behavior of Gen Z’s and millennials, along with digital transformation and technology usage. This trial, allows us to test the ability of charities to raise funds using the latest digital currency technology to hopefully better engage these demographic cohorts by creating greater connectivity with causes they care about using these new financial assets.”

Coinsmart. Beste Bitcoin-Börse in Europa
Source: https://australianfintech.com.au/tech-firm-unveils-australian-first-initiative-to-help-charities-access-blockchain-funding/

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COPA verklagt Craig Wright wegen Bitcoin-Copyright

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Die gemeinnützige COPA-Organisation hat eine Klage gegen Craig Wright eingereicht und fordert von dem Gericht eine einstweilige Verfügung sowie eine Bestätigung, dass er keine Copyright-Ansprüche auf das Bitcoin-Whitepaper hat.

Die gemeinnützige Krypto-Organisation Cryptocurrency COPA (Cryptocurrency Open Patent Alliance) hat eine Klage gegen Craig Wright wegen seines Copyright-Anspruchs bzgl. des Bitcoin-Whitepapers eingereicht.

Die Organisation twitterte am 12. April 2021, dass sie ein Gerichtsverfahren bei dem britischen High Court of Justice einreichen wird, um „festzustellen, dass Mr. Craig Wright nicht das Bitcoin White Paper-Copyright besitzt“.

„Heute hat die COPA eine Klage eingeleitet, bei der der UK High Court aufgefordert wird, zu erklären, dass Mr. Craig Wright nicht das Urheberrecht am Bitcoin Whitepaper besitzt. Wir stehen auf der Seite der Bitcoin-Entwickler-Community und den vielen anderen, die bedroht wurden, weil sie das Whitepaper veröffentlicht haben.“

Die COPA fordert unter anderem, dass Wright nicht als Autor des Bitcoin White Papers anerkannt wird. Außerdem bittet sie um eine einstweilige Verfügung, die Wright davon abhält, zu behaupten, er sei der Autor des Whitepapers.

Wer ist die COPA?

Die COPA ist eine Non-Profit-Organisation, die laut eigene Angaben „versucht, Patente und Rechtsstreitigkeiten, die ein Hindernis für das Wachstum der Kryptowährungen sind, zu beseitigen“. Sie wurde von dem Unternehmen Square, das von Jack Dorsey gegründet wurde, ins Leben gerufen.

Die Organisation möchte den unethischen Missbrauch von Rechtswegen, mit dem teilweise Konkurrenten aus dem Weg geräumt werden sollen oder bei dem ausschließlich eigennützige Interessen vertreten werden, verhindern. In der Kryptobranche war dies leider schon öfters der Fall.

Wrights Anwälte behaupteten im Januar 2021, dass er einfach nur sein Copyright durchsetzen wolle. Außerdem schickten sie angeblich eine Nachricht an Square, in der sie erklärten, dass sie klagen würden, wenn Square das Whitepaper nicht von ihrer Seite entfernen würde. Wrights Anwälte bedrohten auch Bitcoin.org und Bitcoincore.org mit ähnlichen Nachrichten.

Ist Craig Wright Satoshi Nakamoto?

Wright ist derzeit in mehrere Rechtsstreitigkeiten verwickelt. Die meisten davon startete er selbst. Als Grundlage benutzte er seine Behauptung, dass er der Schöpfer von Bitcoin ist. In dem aufsehenerregendsten dieser Fälle wurde er aufgefordert, die Eigentumsrechte an den privaten Schlüsseln zu Satoshis Einlagen zu beweisen.

Viele Mitglieder der Krypto-Community zweifeln Wrights Behauptungen an. Die Klage der COPA Klage könnten dem Ganzen ein Ende bereiten.

Wird Wright irgendwann aufhören?

Wright behauptet schon seit langem, dass er der Schöpfer von Bitcoin ist. Er sagte sogar, dass er die private Keys zu Satoshis geheimen Bitcoin Wallets besitzt. Diese Behauptung handelte ihm allerdings einige Probleme ein.

Kurz nachdem er diese Behauptung als Grundlage für einen Rechtsstreit benutzt hat, wurde eine Text-Nachricht veröffentlicht, in der Wright als Betrüger bezeichnet wurde. Die Text-Nachricht wurde mit einer der Bitcoin Adressen signiert, die mit dem Rechtsstreit zu tun hatten.

Wright hat auch mehrere andere Ansprüche erhoben bzw. Rechtsverfahren eingeleitet und sogar eine Klage gegen Bitcoin-Entwickler eingereicht. Die Imageschäden, die Wraight wegen seiner dubiosen Rechtsstreitigkeiten erlitten hat, stärken nicht gerade seine Position vor den Gerichten. Trotzdem hält Wright an seiner Behauptung fest

Faketoshi: Doktorarbeit von Craig Wright ein Plagiat?

Übersetzt von Maximilian M.

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Rahul Nambiampurath is an India-based Digital Marketer who got attracted to Bitcoin and the blockchain in 2014. Ever since, he’s been an active member of the community. He has a Masters degree in Finance. <a href=”mailto:editorinchief@beincrypto.com”>Email me!</a>

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Source: https://de.beincrypto.com/copa-klagt-craig-wright-bitcoin-copyright/

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Guide to Gambling with Ethereum Now and in the Future

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In recent years, online gambling with the use of cryptocurrency has been increasing in popularity. One of the widely recognized cryptocurrencies in online gambling is Ethereum. However, despite its abrupt rise in popularity, many interested people still have little or no knowledge at all regarding how to gamble online using this crypto.

 Ethereum Defined

 Ethereum is a decentralized and blockchain-based technology. Several machines amounting to millions support this platform which is used to form a blockchain of several transactions that are all secured since they are all stored in every machine at once.

 Similar to Bitcoin, which is another popular cryptocurrency, the blockchain of Ethereum is a ledger that is viewed publicly and contains every transaction of the currency it supports. The currency for Ethereum is called Ether. 

 Ethereum was launched in the year 2015. During the years since its launch, Ethereum has significantly grown in value and size. Just like other cryptocurrencies today, it is used for payments online and has a peer-to-peer format presentation.

 Ether and other cryptocurrencies have many similarities. For one, a lot of cryptocurrencies can be used in several online casinos. To date, there are already several sites that accept Ether, and we can expect this to grow in number in the following years. 

 Despite the many similarities of Ether and other cryptocurrencies like Bitcoin, Ether has one major advantage which is the speed at which it processes its transactions. When you do a transaction using Bitcoin, the whole process usually takes 10 minutes more or less. Meanwhile, doing a transaction in Ethereum can be as fast as a mere 15 seconds.

 Gambling with Ethereum

 Now that we have a background on what Ethereum is, here’s how you can go and buy Ethereum so that you can use it for gambling in online casinos. 

  1. Register for a digital wallet

 A digital wallet or a cryptocurrency wallet is the one that holds all your cryptocurrencies. To buy Ether, you must first register or acquire a crypto wallet. There are many different types of digital wallets available today. Some of the most reliable and trusted are Coinbase, Bittrex, Gemini, Kraken, CoinMama, and many others. 

 A simple search for their official sites should do the trick. Visit their official sites and open an account. You may need to fill out a few personal information for this step. Generally, most digital wallets have a verification process through a phone call. Once you have successfully opened your digital wallet, you can then proceed to buy Ether. 

  1. Input your financial details

 Here is how digital wallets work. First, you need to put traditional money into it which may be done through the use of a credit card or a bank account. Take note that there may be some limitations to the method that you choose. After that, you will then need to enter your FIAT information. What this does is that allows you to move your cryptocurrency to and from your normal bank account.

  1. Buy Ether

 Your wallet will then allow you to buy many different cryptocurrencies available today. All you have to do is search for Ether and purchase your desired amount. Once the transaction is over, you should be able to see your Ether balance in your digital wallet.

  1. Start gambling

 Now that you have an Ethereum balance, you can now start gambling. There are many online casinos nowadays that accept Ether. If you are looking for a reliable and trusted Ethereum casino, you can visit Bitcoinbuster for a list of several online casinos that accepts Ethereum. 

 Once you have selected your desired online casino, the next thing that you need to do is connect your digital wallet to your gambling account. Simply choose Ether as your payment option then follow the steps until your funds will enter your gambling account.

 Ethereum Gambling Now and in the Future

 There are many advantages of using Ethereum in online gambling, one of which is security. Since every action you make is on the Ethereum blockchain, everything is encrypted and the online casino has no access to your personal information. Next is the speed of the transactions since Ethereum is known to be very fast and efficient in processing transactions.

 However, despite the several advantages, there are still many things on which Ethereum can improve upon.

 The first thing is the unpredictability of Ethereum’s value. Despite its upward trend in the world of cryptocurrency, Ethereum is still a fairly new cryptocurrency and its value fluctuates now and then. This means that you will not only be gambling on the online casino but also on the value of Ethereum itself.

 Apart from that, despite Ethereum’s growing popularity, there are still several online casinos that do not accept Ether.

 Shortly, however, it is safe to say that the value of Ethereum will stabilize or at least minimize that fluctuation rate. It could also mean that various sites will begin to adapt Ethereum and other cryptocurrencies.

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