Month: April 2022

On March 9, 2022, President Joe Biden signed an executive order to mobilize the federal government to create a strategy for digital assets like cryptocurrencies that promote innovation in the industry while minimizing risks to Americans and the global financial system.

Wednesday’s executive Orde tasks federal agencies with researching and developing policy recommendations on cryptocurrencies. It might seem like an insignificant step, but it’s crucial in digital-currency adoption.

The adoption will help cryptocurrencies like ether and bitcoin pare recent losses. The value of all cryptocurrencies was $1.9 trillion on March 9, 2022, down roughly 36% from an all-time high above $3 trillion in November. The market cap of bitcoin was $745,565,932,766 on March 09, 2022, down more than 50% from its all-time high above $300 billion in 2021.

A Glossary to Help you Make Sense Of Biden’s Executive Order

The institution’s adoption lifted cryptocurrencies to meteoric highs last year. But the absence of centralized governance became a source of concern for numerous top U.S. officials. The concerns aren’t new in the industry since the harsh government regulations have previously rocked the immature market.

Despite the lack of regulation, SEC Chairman Gary Gensler has repeatedly stated that cryptocurrencies demand more official investigation, mainly because they can implicate securities, commodities, and banking laws.

Last year, Gary urged Congress to strengthen its regulations in the bitcoin industry. “We simply don’t have enough investment protection in crypto right now,” he stated. “To be honest, it’s more like the Wild West right now.”

For the past few months, the White House has been looking into the matter, and on Wednesday, President Biden took a significant step toward regulating cryptocurrency. It’s a move that some experts described as ‘long overdue.’

“In my opinion, it is long overdue. The U.S. is lagging behind most of the western world in developing a regulatory and legislative framework for blockchain in general and crypto specifically. There has been significant interest from regulators like the SEC, the Treasury, and the Commodity Futures Trading Commission in regulating the space. However, there’s a lack of clarity and understanding of what is in whose jurisdiction to regulate and even how to approach cryptocurrency.” the founder of SPiCE VC, Tal Elyashiv, said.

The Key Crypto Regulations Addressed in Biden’s Executive Order

Wednesday’s executive Order, which was expected since October 2021, will establish “key regulations” for the administration that will help assess digital assets and the global economy. The regulations are;

Protect Crypto Investors

An administration official noted crypto’s volatility as one concern that might affect investors, noting that bitcoin’s (BTC) price during the beginning of the COVID-19 epidemic was roughly $10,300. The price reached a high of almost $70,000 in November before dropping in the fall of 2021 and the beginning of 2022.

The official stated that investor protection is a top priority since several high-profile investors have been burned by cryptocurrency in recent years. Understanding the technology that underpins digital assets will be a part of this endeavor. Another aspect will be comprehending the current financial system’s flaws and which regions do not serve all consumers.

According to Biden’s crypto regulations, the Department of the Treasury and other agency partners should review and create policy recommendations to address the effects of the expanding digital asset sector and changes in financial markets for consumers, investors, businesses, and modest economic growth.

The white house order also encourages regulators to maintain adequate control and protect against any systemic financial risks that digital assets may pose.

Protect The National Security

The (FBI) Federal Bureau of Investigation and the U.S. Department of Justice have relatively young departments dedicated to cryptocurrency crimes. According to the press release, the departments will focus on crypto exchanges, mixers, tumblers, and other digital asset infrastructure providers that could enable “criminal exploitation of cryptocurrencies.”

The developers of most cryptocurrency networks theoretically design their systems to make identification more complex and more decentralized. It means that the government cannot track funds making it easier for illegal transactions. To address this, the presidential order “represents a continuation” of the United States’ development efforts to establish international financial and technology standards.

Biden’s Order also instructs agencies to collaborate with the U.S. allies and partners to ensure that international frameworks, capabilities, and relationships are coordinated and responsive to national security risks posed by the illicit use of digital currencies.

Look into the U.S. Central Bank Digital Currency (CBDC)

More than a hundred countries are already looking into Central Bank Digital Currency (CBDC), with use cases encompassing local and international transactions.

Biden’s crypto regulations placed an urgency on researching and developing a potential United States CBDC, should issuance be deemed in the national interest.

The directive aligns with the Federal Reserve’s continuing research into digital dollar issuance. The central bank’s branches have released several reports in recent months, examining the regulatory and technological issues that must be addressed before the central bank digital currencies (CBDC) are created.

The regulations orders the U.S. government to analyze the technological infrastructure and capacity requirements for a prospective US CBDC in a way that preserves the interests of Americans.

With implications of the U.S. Dollar in the global financial system, Biden’s crypto regulations will ensure that the U.S government has a leadership role and a seat at the crypto table.

Protect Global Financial Stability

One of the top priorities is to protect global financial stability. The executive Order encouraged the Financial Stability Oversight Council to identify and manage global economy financial risks presented by digital assets and provide suitable policy proposals to fill any regulatory gaps.

 The Order tasked agencies to study how people use cryptocurrencies and whether they pose a risk to the stability of the American and global financial systems.

Prevent Illicit Finance Uses

The president’s Order comes as global regulators scrutinize cryptocurrencies used to finance everything from drug sales to terrorist attacks.

In the U.S, Treasury Secretary Janet Yellen has called for tighter digital currencies regulations to prevent their use in criminal activity. The Justice Department is also investigating several high-profile cases involving cryptocurrency fraud.

Promote American Innovation and Leadership

The Order asks agencies to identify gaps in digital assets’ research and development then recommend policy actions to fill those gaps. It also directs agencies to work with the private sector to develop best practices for using, trading, and protecting cryptocurrencies.

Biden crypto regulations urge government agencies to establish policies against risks and guide responsible innovation with U.S. partners and allies. This is to develop aligned international capabilities that respond to national security risks and with the private sector to study and support technological advances in digital assets.

The president’s Order will promote American innovation in an area where China has taken the lead. Beijing has been aggressively promoting blockchain technology and has even developed its own digital currency, the e-yuan.

Ensure Proper Consumer Protection

The Order asks agencies to develop a plan to educate investors about the risks of digital assets and protect Americans from fraud and other crimes related to cryptocurrencies.

Biden also instructed the U.S. government to investigate and assist technological advancements in the responsible development and implementation of digital asset systems, focusing on privacy security, preventing criminal exploitation, and mitigating negative climate impacts.

The Biden crypto regulations also direct the Treasury Department to develop guidance on how federal consumer protection laws apply to digital assets.

The Consumer Financial Protection Bureau has already taken action against several cryptocurrency-related schemes, including an alleged $600 million Ponzi scheme.

Develop Safe and Affordable Financial Services.

The crucial need for secure, affordable, and accessible financial services is a critical national interest in the United States. The Order instructs agencies to identify opportunities for digital assets to provide such services.

Cryptocurrencies hold the promise of reducing costs and expanding access to financial services, particularly in developing countries. It is envisioned that agencies will research implications of distributed ledger technology on consumer protection, anti-money laundering safeguards, and other areas related to safety and soundness.

In collaboration with other agencies, the Secretary of the Treasury will produce a report on the future of money and payment systems. This will include implications for economic growth, financial growth and inclusion, national security, and the extent to which technological innovation may influence that future.

Crypto is Here to Stay; What Does it Mean for Everyone?

The Executive Order’s release means that cryptocurrency is here to stay. The United States is taking it seriously as an asset class and a potential disruptor to the financial system.

It’s a massive relief that the U.S. government is taking a more cautious approach and generally accepting digital assets as the cornerstone of the future financial system. For a reason, the executive Order sparked a massive rally in the crypto markets: regulatory clarity on digital assets would be highly beneficial to the business.

Investors have seen a change since the White House announced that president Biden would sign an executive order on crypto.  Bitcoin climbed up 9%, above $40,000, and Ethereum’s price saw an immediate boost as well.

The administration’s move may cause some disruption and volatility in the cryptocurrency market in the short term.

Fundamentally, an American approach to digital assets supports innovation while minimizing risks to consumers, investors, and enterprises, a broader financial system, as well as more extensive financial stability and environmental concerns.

On March 11, 2021, Christie’s auction house sold its first NFT. Although the sale was a historic first for an emerging sector, the $69 million price tag was the highlight of the moment. About ten months later, interest in the term ‘NFT’ peaked, according to Google Trends.

NFT is short for Non-Fungible Token. The story of NFTs is just one of the many offshoots of blockchain technology – others include decentralized finance (DeFi). But this story is not all about glory and money. NFTs have become increasingly ingrained in popular culture, and numerous digital platforms have come up to facilitate their sale.

It would be a serious disservice to you if we launched straight into the discussion of the top NFT marketplaces without explaining NFTs and why they are popular. So, read on for a short description of NFTs and why they are revolutionizing the world of art, sport, and more.

Non-fungible tokens, in simple terms

A non-fungible token is a unit of data linked to a piece of art stored on a blockchain. The data has markers that certify the digital asset’s uniqueness, making it uninterchangeable or non-fungible.

Let’s use an example for a better understanding. Suppose you want the original copy of J.K. Rowling’s Harry Potter and the Philosopher’s Stone, and you know a friend who has it. This is a unique piece of literature, and only one exists. If your friend asks for the book back and you return a similar item but not the original one, the friend will be furious. The friend will be upset because the returned book lacks the original item’s value. In other words, it is impossible to interchange a collector’s item with intrinsic value.

Similarly, the fact that NFTs are uninterchangeable enables them to hold onto their value. Thankfully, the fundamental design of blockchain technology enforces the non-fungible nature of NFTs.

The inventors of NFTs – Kevin McCoy and Anil Dash – intended for NFTs to “empower artists to sell digital works.” But this was back in 2014 when the concept was still alien to many. As of this writing, there are four main types of NFTs. They are:

• Digital art – this is the original NFT. It is also the most common use of the technology. For example, the NFT that fetched $69 million at Christie’s auction last year was digital art by Beeple.
• Music – some artists pre-release their albums on NFT marketplaces before launching on traditional media. The NFT grants the buyer a share in the album, and the returns are realized when the album starts selling on traditional streaming platforms. For example, Kings of Leon sold multiple NFTs representing a share of the album ‘When You See Yourself’ in March 2021.
• Collectibles – together with digital art (artworks), collectibles were the pioneers of the NFT niche. NFT collectibles are similar to traditional collectibles, only that the former is represented by units of data stored on blockchains. Some NFT collectibles already launched include Cat Colony, Bored Ape Yacht, Curio Cards, and more.
• Video game and virtual land assets – these are the latest craze in the NFT ecosystem. The NFTs became popular, particularly after giant tech companies like Facebook (now called Meta) consummated their interest in the metaverse. Also, NFT-based video games are in vogue. One of the significant players in this sector includes Axie Infinity with games like Sorare and CryptoKitties.

There are many more types of NFTs that we can exhaust, and the list is growing every waking moment.

According to a Reuters report, NFTs sales volume skyrocketed in 2021 to $24.9 billion, against $94.9 million the previous year. One of the primary reasons for the upsurge is a better organization in the ecosystem – there are more organized platforms for buyers to snap up the NFTs. Let us discuss some of the top marketplaces powering the NFT wave.

OpenSea

OpenSea is the largest NFT marketplace by all accounts. At writing, the platform had recorded $23.5 billion in sales volume since its inception in 2017, with 1.4 million traders.

Catherine Sison Pariño, Alex Atallah, and Devin Finzer founded the company in 2017 and unveiled it in a December 29, 2017, press release. From the onset, they set out to create a marketplace where users would sell NFTs “directly at a fixed price, or through an auction, based on the Ethereum ERC-721 standard and the layer-2 scaling solution for Ethereum Polygon.”

According to the founders, the space and time for OpenSea were ripe, given that major NFT collections like CryptoKitties and Decentraland were already in the picture. As such, the marketplace arose to fulfill a need – the need for a central place for enthusiasts to indulge in the NFT wave.

The New York-based company enables users to collect, sell, and even discover NFTs from various collections. Users can sign up for free and browse the vast collection. The web platform also includes educational material to guide creators and artists who wish to create (or mint) NFTs.

OpenSea supports more than 150 payment tokens, including WHALE and Uni Coin (UNI), although the core currencies are USD Coin (USDC), Dai (DAI), and Ethereum (ETH). Unfortunately, you won’t be able to trade on OpenSea with fiat currencies like the US dollar (USD) or the euro (EUR).

Axie Infinity

Trung Ngyugen, Aleksander Larsen, and Jeff Zirlin founded Axie Infinity in 2017. The three created a development team called Sky Mavis that built Axie Infinity on the Ethereum blockchain.

According to the founders, the vision behind Axie Infinity was to create a game like Pokemon on the blockchain. As such, the platform was initially a game.

However, the game’s popularity grew spontaneously, notably because players earned tokens for the playtime. The economic opportunities present in the game attracted even more players from all corners of the world.

Initially, Axie Infinity was a pet community. The game’s developers built fantasy creatures called Axie that players could collect, train, raise, and battle. Furthermore, they built unique genetic data linked to each Axie and stored on the blockchain. Even better, players have complete control over their game assets.

In 2021, Axie Infinity ruled the gaming sector of the NFT universe, generating more than $3.5 billion in sales volume. At writing, the marketplace boasted $4.17 billion in sales volume since its founding, highlighting the extraordinary year 2021 was to the platform.

Because of the overwhelming popularity in 2021, the AXS token – Axie Infinity’s native cryptocurrency – surged 18,000% year over year. Also, the platform claims 2.8 million daily active players at present.

CryptoPunks

CryptoPunks began as an NFT project under Larva Labs. In 2017, Larva Labs gave away all the 10,000 punks to anyone with an Ethereum wallet. However, the owners started selling the punks on secondary markets and among themselves, giving rise to the CryptoPunks NFT marketplace.

A Punk is an algorithmically generated 24×24 pixel art image of guys and girls looking punky. There are also Zombies, Apes, and other odd-looking aliens. Every punk’s code is hosted on the Ethereum blockchain, which is unalterable.

CryptoPunks is one of the largest NFT marketplaces by sales volume, having raked in over $2 billion since its founding. In 2022, Larva Labs sold CryptoPunks to Yuga Labs. Furthermore, all NFTs on the platform are sold out, although interested buyers can bid on them through third-party marketplaces.

Rarible

Rarible is a Moscow-based company with Alexei Falin and Alex Salnikov as the founders. The NFT marketplace is built on Ethereum and has a native token called RARI that facilitates value exchange.

Unlike other popular marketplaces like OpenSea and CryptoPunks, Rarible users must use the RARI token to complete transactions. Some of the NFTs you can find on the marketplace include virtual land, memes, and digital artwork.

Additionally, Rarible has built-in software that enables users to mint new NFTs and list them. The software then leverages the Ethereum blockchain to create new tokens. Users can then transfer the tokens to preferred wallets. However, one should note that Rarible collects transaction fees every time one uses the Rarible software to transfer tokens.

NBA TopShot

NBA TopShot is a digital platform that is a product of a collaboration between Dapper Labs and the US National Basketball Association (NBA). The platform went live in October 2020, intending to provide a landscape for trading sports collectibles. Essentially, NBA TopShot is an NFT marketplace where users can trade popular NBA images called Moments. By April 2021, the marketplace had over 800,000 users and a $500 million sales volume.

The platform’s primary objective is to pair NFTs with real-life experiences. Thus, the NFT ecosystem will likely extend into video highlights and virtual tickets. Unlike most NFT marketplaces, NBA TopShot is closed – users cannot trade assets across marketplaces. Also, the primary currency is the US dollar.

Conclusion

Beyond the attention-grabbing sales and FUD, the future of NFT seems brighter than ever. Specifically, more marketplaces are emerging, focusing more on improving user experience and solving security challenges encountered so far. Also, more choices for users will eventually weed out the unpleasant players, increasing the NFT ecosystem’s potential to evolve into something bigger.

According to a Reuters report in early January 2022, global NFT sales in 2021 topped $25 billion. If anything, the sales volume indicates the massive potential that blockchain technology, mainly the non-fungible token (NFT) ecosystem, offers. But the report further details that digital art comprised a disproportionate share of the sales.

Many will ready their wallets to plunge into the NFT ecosystem on seeing the figures in the report. However, others might wonder whether NFTs have such a narrow scope of practical applications.

But non-fungible tokens are an up-and-coming aspect of blockchain technology, whose practical applications are still expanding. Besides digital art, enthusiasts can acquire a variety of NFTs spread over many industries. This article offers a granular overview of the top 10 practical applications of NFTs.

1.   Tracking artwork

Most of the notable NFTs sales so far are in the art segment. For example, Beeple’s Everydays: The First 5000 Days fetched over $69 million in March 2021, marking a turning point in the NFT ecosystem.

In fact, an Art Basel & UBS Global Art Market Report released in March 2022 stated that international art sales recovered strongly in 2021. Sales grew 29% to $65.1 billion compared to 2020 – but the report’s highlight is the sizable contribution of NFTs to the revenue jump.

However, the smart contracts built on blockchain technology have more practical applications in the global artwork sector. For starters, a non-fungible token is a unit of data stored on a blockchain network capable of representing a physical or virtual asset. The data is unalterable once recorded on the blockchain.

The traditional artwork industry can leverage the NFTs to tag pieces of art for tracking and, of course, to combat counterfeits. Artists and other players can track the originality of a particular piece to ensure nobody buys an inauthentic property.

2.   Gaming

Art is essential to the NFT ecosystem, but it is not the sector where the NFT technology has found relevance. Gaming is one of the sectors that could evolve to a higher dimension if stakeholders adopt the full potential of blockchain and smart contracts.

Take, for instance, Axie Infinity. The online gaming company has built a virtual universe where players can collect, breed, and battle virtual pets – also called Axies.  What sets Axie Infinity apart is how it built synergy between regular online gaming and blockchain technology. Also, players can own their virtual assets.

The best part is that Axie Infinity is built on a blockchain and that an NFT represents each in-game asset. As mentioned earlier, NFTs are cryptographically unique, which enables the players to exchange the game characters for fiat currency like US dollars (USD).

Thanks to the ingenious business model, Axie Infinity boasts $4.17 billion in sales volume since its launch in late 2017. Furthermore, DappRadar data indicates Axie Infinity has sold more NFTs worldwide, just under a million less than NBA TopShot, the leading NFT collection in the market.

The point here is that online gaming is the natural home of NFTs. Unlike other industries, gamers are nearest to the virtual world, where NFTs thrive, and, already, the value addition of the technology is apparent.

3.   Metaverse

There was a rush of explanations and ‘ultimate guides’ to the metaverse in global media after Facebook unveiled its new name on October 28, 2021. Although knowledgeable observers argued that the name change was a necessary face-saving PR stunt for a beleaguered tech giant, CEO Mark Zuckerberg explained that the new company name, Meta, indicated the shift in priority.

The new priority was the virtual world, where today’s online social experiences are expanded into three dimensions or projected into the physical world. In other words, Zuckerberg was referring to the metaverse.

According to Wired, the metaverse is a lot of things. Still, to put it simply, it is a computer-generated virtual-reality space where users can have real-world interactions and even run a thriving digital economy.

Seeing that NFTs are already transforming online gaming, there is little doubt that the technology is a game-changer for the metaverse. For instance, users can store and appreciate digital art in ways not possible before.

4.   Real estate

Zuckerberg might have steered his company towards the metaverse because he believes the future of social media is headed in that direction. However, he could have missed another critical aspect of the virtual-reality environment – it is attracting virtual land prospectors.

On March 23, 2022, Forbes ran an article describing the typical process for buying virtual land in the metaverse. Less than two weeks later, it emerged that virtual land was one of the hottest NFTs on Decentraland, an NFT marketplace. The report came in the wake of Decentraland’s hugely successful virtual-reality Fashion Week.

It could be that the rising interest in virtual land is driven by buyers’ trust in the cryptographic power of NFTs. However, it could also be due to the fact that most virtual worlds have a hard cap on their real estate. Therefore, the resulting finite supply implies the asset’s price will soar if demand increases.

If people in the real world can profit from land in a virtual space, the possibilities of virtual real estate are immense.

Furthermore, NFTs can extend their usefulness to the real world of real estate. The traditional real estate market involves lots of paperwork, including proof of ownership paperwork and transfer deeds. Indeed, stakeholders could vastly benefit from the ability of NFTs to keep track of property via the blockchain.

For example, software developers could link each property to a smart contract that tracks its value over time and simplify and expedite transactions. The technology could also enable the creation of decentralized home rental services – significantly reducing expenses for buyers and sellers.

5.   Documentation and digital identity

There has never been a period when technology reined supreme as today. But its ubiquity has made technology complicit in many of the crimes taking place in many places worldwide. For example, identity thieves are wrecking families by destroying their financial lives.

Fortunately, it turns out NFTs could unlock the door to secure digital identities. One aspect of NFTs is self-sovereign identity, an integral technology in the blockchain architecture.

Self-sovereign identity or SSI is a technology that leverages the blockchain to enable people to manage their identities without the need for centrally managed databases. This technology allows users to self-manage their digital identities without depending on third-party providers to store and centrally manage the data.

The technology is akin to a digital passport that proves your identity easily and securely. Plus, one instance of your information is acceptable everywhere on the internet. What’s more, users have complete ownership of their data.

Based on SSI, developers can create utility NFTs – not exchangeable for money – that help owners prove ownership of an item or information.

Besides digital identity, such utility NFTs can help authenticate documents like college diplomas. Accordingly, employers and academic institutions can verify critical documents speedily and with zero chance of giving frauds a free pass.

To demonstrate the promise of NFTs in this sector, San Marino partnered with VeChain, a blockchain company, in 2021 to digitize coronavirus vaccine passports. According to one of the officials involved in the project, the technology created a proof of vaccination status that was “immutable, secure, and seamless.”

6.   Combating counterfeit products

If NFTs can weed out fake diplomas, the technology should indeed ensure the authenticity of products in the supply chain. According to William Quigley, co-executive of the Tether crypto project, NFTs could operate as digital certificates of authenticity for nearly every physical product within a decade.

Interestingly, some industries are already busy at work creating digital twins for their products. For example, fashion brands Prada, Cartier, and LVMH are working on a blockchain solution, Aura Blockchain, “for customers seeking greater authenticity.”

Aura Blockchain will provide encrypted certificates of guarantee for every product the brands produce. Additionally, the certificate enables better traceability and makes it easy for luxury goods consumers to sell their items on the secondary market.

Other sectors that could vastly benefit from the technology are food and medicine. They could prevent counterfeit medicines and food products from circulating in the global supply chain by leveraging the immutability and traceability aspects of NFTs.

Imagine if a manufacturer places a QR code on a product on the factory floor, and scanning the code provides you with all the details of the product’s journey since leaving the floor.

In this case, manufacturers will be better protected against erroneous claims by unscrupulous consumers or others who might have been conned. Also, customers will have previously inaccessible insight into the products/services they are spending their hard-earned funds on. In the end, an efficient and transparent supply chain will benefit everyone.

Conclusion

There is already a lot of hype about NFTs, but many might only have heard of the part where the technology is revolutionizing the art sector. However, the technology has immense potential to smoothen operations in many other sectors. It could be too bold a statement, but there isn’t denying that all forms of value will have an NFT twin soon.

“Not your keys, not your bitcoin,” cypherpunks usually use this phrase to persuade beginners to use wallets rather than exchanges. After all, most Cryptos are based on the concept of self-sovereignty.

So, even if cryptocurrency is only available in digital form, you must store it somewhere, whether you plan to use it to purchase goods and services today or to invest it in the future.

That’s why, when you start buying crypto, you’ll also need to hunt for the best crypto wallets. Fortunately, crypto wallets work similarly to physical billfolds— they keep track of your cryptocurrency and save information verifying ownership of any tokens you have in them.

There are various wallets available today. We reviewed ten of the most popular wallets on the market to save you time.

The Best Crypto Wallets

There are different wallets from software wallets, mobile wallets, third-party custodial wallets, multi-sig wallets, and hardware wallets. If you hold a wealth of cryptocurrency, experts recommend considering a hardware wallet for maximum security.

Most beginners will begin by using an exchange wallet such as Binance or Coinbase, then progress to a hot wallet (typically a mobile app), and then to a cold/hardware wallet as their security needs grow.

When setting your crypto wallet, there are things you should keep in mind:

• Security– Make sure your crypto wallet is encrypted and has a strong password.
• Private keys– You control your private keys, and you shouldn’t share them with anyone.
• Backup & recovery– Make sure you have a backup of your wallet in case you lose access to it.
• Fees– Wallet fees can vary, so compare the prices of different wallets before you choose one.

Now that you know the essential basics, let’s get into the top ten wallets:

1.  Coinbase

Pros and Cons

Pros	Cons
User-friendly(easy to navigate)Supports multi-factor and two-factor authentificationAccepts 500+ crypto assetsBacked by a trustworthy exchange, able to recover assets lost or stolen	Similar security risks and flaws as to other storage alternativesOnly mobile and tablet devices support it (except for the Chrome extension)

Coinbase Wallet is a self-custody wallet that provides complete control over your digital assets. This implies that your Wallet’s private keys (which signify cryptocurrency ownership) are held on your mobile device rather than on a centralized exchange such as Coinbase.com.

Coinbase Wallet is an excellent wallet for newbies to cryptocurrency. The software can link to the most prominent bank accounts. It also features a user-friendly interface with a straightforward three-tab structure and easily recognizable functionalities.

Coinbase Wallet offers over 500 crypto assets– the most sought-after wallet on this list. It can hold non-fungible tokens (NFTs) and digital collectibles, making it an excellent choice for investing in the emerging digital collectible market.

It’s vital to understand the difference between Coinbase crypto, the exchange, and Coinbase the wallet. Coinbase crypto exchange is one of the largest crypto exchanges, with a trading volume of $2,963,851,215.09.

It is possible to utilize the Coinbase wallet without first creating an account with one of the big bitcoin exchanges.

Nowadays, Coinbase has an extension on chrome. The Coinbase Wallet extension is the most secure and user-friendly way to use cryptocurrency apps in your browser. You can use the Wallet extension to access hundreds of dapps, trade tokens on DEXs, earn interest on your crypto, and buy NFTs. The new Wallet extension ensures interoperability with all desktop apps, so you don’t have to worry about switching to another wallet when using the most recent desktop dapps.

2.  Ledger Nano X

Pros and Cons

Pros	Cons
Suitable Bluetooth connectivityOpen-source software that comes with customer and community support.Ledger Live interface is simple and easy to useStorage for three to twenty different apps	Bluetooth integration as a potential cyberattack variable Inadequate wallet storage

This is one of the most popular non-custodial wallets on the market, and it’s also one of the most straightforward wallets to use with a PIN code and a recovery word. Ledger wallets include a certified chip design with software to withstand advanced threats. You can also buy cryptocurrency directly through the Ledger Live App and send, receive, and stake it.

The Nano X is designed like a USB drive and connects to your device via USB or Bluetooth. You can use the wallet without a PC by connecting it to your iOS or Android device. It accepts over 1,800 different cryptocurrencies. This list grows year after year as the Bitcoin community requests support for their favorite cryptocurrencies.

While the device is a cold storage hardware wallet, the Ledger team has developed the Ledger Live software, serving as a user interface for all of your assets. This helps users add new wallets for various cryptocurrencies to their devices and manage their portfolios.

Users can use open-source 3rd party tools such as Electrum, Lily Wallet, Caravan, or Casa Wallet with Ledger hardware wallets in multi-sig setups. You can begin your crypto journey by purchasing crypto through a Ledger Live exchange integration, then secure, manage, receive, send, and stake your crypto assets.

3.  Electrum

Pros and Cons

Pros	Cons
Customizable trading feesFast and easy to useMore shielded than the majority of hot walletsWallets do not experience downtime as a result of excellent server configurations.	There is no proper customer support; only documentation and community are available.The setup and interface are not suitable for beginners.Only supports Bitcoin trading

Electrum— founded in 2011, is one of the earliest and most well-known crypto wallets today. It’s also one of the few existing crypto wallets that only accept Bitcoin, a currency that Electrum distinctively handles. The wallet includes several powerful security features that other wallets do not. Users can adjust their fees based on how long they are willing to wait for a purchase to be completed ( Pay more fees, and your payment gets completed more quickly.)

Although it doesn’t have an immense selection of other cryptocurrencies, you can use Electrum on various devices. It’s also one of the few wallets that allow you to import your private keys into other software wallets if you wish to do so.

One of the wallet’s most valuable features is that it employs a lightweight client. You can set up light clients in minutes and take up less space on your computer than traditional wallet clients. The wallet only downloads details of the blockchain when using simple payment verification (SPV), which speeds up transactions without compromising security.

4.  Trezor Model T

Pros and Cons

Pros	Cons
Open-source software that comes with customer and community support.Web-based user interface with built-in exchangesSupports several cryptocurrencies	Priced higher than competitors

The Trezor Model T is one of the most popular wallets, offering multi-signature security and a magnetic dock for convenience. The device requires a computer connection and is compatible with Trezor Suite and third-party desktop wallets such as Electrum, Exodus Wallet, Magnum Wallet, and Blockstream Green.

The new Model T has a touch screen, which may be easier for newbies to use than the buttons on their original version. The Trezor also has a MiniSD card slot, permitting you to encrypt the PIN and further safeguard your device from attacks.

Trezor supports over 1600 tokens and is the only fully open-source hardware wallet, allowing thousands of people to create their own devices. SatoshiLabs, named after Satoshi Nakamoto, was founded by long-time Bitcoin miners Marek “Slush” Palatinus and Pavol “Stick” Rusnak.

5.  Crpto.com

Pros and Cons

Pros	Cons
Earn interest on over 35 tokens. Select your desired trading fee and confirmation speed. Supports over 100 coins, including BTC, ETH, CRO, ATOM, DOT, and LTC.	Some geo-restrictions apply to the built-in token swap. If you misplace your private key and forget the recovery phrase, you cannot access your funds.

The Crypto.com DeFi Wallet is an ideal choice for newcomers to the world of decentralized finance. Defi wallets give users complete control over their crypto assets and private key, which they must keep safe. They also allow users to swap cryptos one-to-one and gain access to various Cryof tools to earn residual income on the crypto they already own — features not available in traditional, custodial wallets.

It’s essential to distinguish between custodial and non-custodial wallets on this exchange. You can download  Crypto.com DeFi Wallet and use it for day-to-day crypto activities without the need for a Crypto.com exchange account.

Conclusion

Hardware wallets also called “cold wallets” like Ledger and Trezor, are physical devices that store your private keys offline and away from the internet. This makes them the most secure options for storing your cryptoassets.

While cold wallets are the safest way to store your cryptocurrency because they are entirely offline and cannot be hacked, they also pose a similar risk: You cannot access your crypto if you lose the physical drive or the private key. There is no password reset feature, no back button, nothing. If you lose it, your money is completely gone.

You are not bound to a single type of wallet for the rest of your life; you can have multiple crypto wallets. You can take the best features of each wallet, such as keeping a small amount in a mobile wallet for transactions while keeping the majority of your holdings in a more secure hardware wallet.

In the wake of the $600 million crypto hack in 2021, decentralized finance (DeFi) came under increased scrutiny. The burgeoning industry offers several advantages over traditional finance, but security has remained a significant concern since the hack.

As a result, more decentralized insurance platforms flood the market. They all promise to protect crypto users from smart contract hacks, losses resulting from centralized exchange failures, and other common ways that users can be victimized (excluding scams or user error).

However, “[insurance] is not perceived as super sexy, but it’s the bedrock upon which everything else rests. Insurance is the lifeblood of any finance business, whether it be banking, international commerce, or anything else in the financial world.

So this article will explore DeFi insurance, and it works? Will it become a mainstay in the industry, or is it simply a Band-Aid for a much larger problem?”

What is DeFi Insurance?

A DeFi Insurance policy protects crypto assets and covers risks according to the coverage agreement. The policy covers investors who lose their funds or crypto-assets due to hacking, cyber-attacks, and other DeFi-related exploits.

Insurance may be obligated to play an even more critical role in the decentralized finance market (DeFi). Investors from the fiat-based financial system are accustomed to insurance. This means that DeFi must also provide a sense of security to gain widespread acceptance.

The DeFi insurance product consists of Crypto Wallet Insurance, Smart Contract Insurance, Cryptocurrency Insurance, Mutual Insurance that replaces auto insurance, and Collateral Protection for Crypto backed loans.

If you have keenly followed the market from 2017 until now, you have seen many examples of exchanges being hacked, like Binance, Okex, Mtgox, or even Kucoin just recently. Hackers can also attack Dapps, as with the DAO hack in 2017 that shook the Ethereum community and led to the hard fork in 2017.

These hacks show that no DeFi entity is safe, and this is where DeFi insurance comes in to provide the safety net that crypto needs. The DeFi Insurance allows insurers to compensate customers for losses caused by hacker attacks while at the same time ensuring sustainable earning potentials for insurers and customers.

How Does DeFi Insurance Work?

The objectives of DeFi insurance are similar to those of traditional insurance. The system protects people and institutions from financial losses caused by fraud, theft, and unanticipated problems with the infrastructure.

However, there are three critical components to any decentralized insurance product, regardless of its implementation.

• Insurance buyers– They are individuals who want to protect themselves from the risks of participating in crypto or DeFi-related activities. In this instance, they buy the relevant insurance, and should something go wrong; they get compensated according to the contract in the smart contract.
• Insurers– DeFi insurers believe in the products or systems related to DeFi and are willing to take on the risks should something go wrong. They receive premiums from customers, which they use to cover claims in the event of an incident.
• Insurance protocol– The party evaluates and issues insurance contracts encoded in smart contracts. Most of these systems are DeFi applications in the insurance field, such as 3F mutual, Nexus mutual, etc.

In the event of a hack, the user files a claim with the insurance provider. The insurance company will then investigate the claim and determine its validity. If it is, the user gets compensation for their losses.

The key to making this work is to have a large pool of users who pay premiums into the system. This way, when there is a claim, there is enough money to cover it.

Is Decentralized Insurance Similar to Decentralized Finance?

Decentralized insurance apps and DeFi insurance are often used interchangeably. Though DeFi insurance explicitly protects financial transactions, investors, and DeFi providers, decentralized insurance apps can offer just about any insurance. People can create their insurance products using the blockchain in a decentralized insurance app.

Etherisc community members, for example, have already used the platform to create hurricane and flight delay insurance products. It is also possible to develop DeFi insurance products using a platform like Etherisc, and several users have done so.

Smart contracts establish the relationship between the insurer and the customer in a decentralized insurance app, whether it covers financial issues, flight delays, or anything else. Smart contracts contain the typical insurance details, such as the coverage and the number of assets the user has put into protection.

The smart contract infrastructure makes a lot more possible as well. A user’s account or wallet can also be credited by automating the payment process. A smart contract could often save an insurance company time, human resources, and money by bypassing much of the claims process.

The Main Decentralized Insurance Providers

Decentralized Insurance products offer complete protection of DeFi deposits, hedge risk against crypto volatility and flash crash, and provide security against the risk of theft and attack on crypto wallets. Investors feel safer because they are protected from all possible DeFi risks, technical and financial risks, thus building trust. So, some of the well known DeFi insurance providers include;

• Nexus Mutual

Launched in 2019, Nexus Mutual allows its users to insure their smart contract positions with its native token, NXM. It functions by drafting risk-sharing pools. As a result of these pools, Nexus Mutual customers can invest capital in the pool or cover smart contact positions, therefore generating passive income.

Nexus mutual represents the first crypto-insurance provider. Within DeFi’s ecosystem, the company offers ways of protecting a user’s activity. Nexus Mutual avoids the term “insurance” despite utilizing it for practical purposes. Why? For legal reasons and each of the services that Nexus provides differs fundamentally.

The traditional insurance industry gets driven by the desire to generate revenue. These traditional insurance companies will go out of business if they don’t regularly rake in money. In other words, the desire to make profits outweighs the needs of individual policyholders.

Nexus Mutual, however, operates on a different model. They depend on blockchain technology to change the focus from profit to service. Goal? For the betterment of consumers, we must shift away from the for-profit model.

Nexus Mutual has, of course, some improvements to make as a forerunner in this area. Moreover, it has a lot of ground to cover before it can be considered a potent disruptor of the insurance market.

• Etherisc

Etherisc develops protocols for decentralized insurance applications to make insurance transactions more efficient, reduce operational costs, and provide greater transparency. Etherisc does not plan to offer its services directly; instead, it plans to partner with existing or upcoming insurance companies.

Etherisc is split into two prominent “folds” of business. One is a non-profit foundation devoted to insurance-related products and services. The other is a for-profit commercial entity spread across several jurisdictions and combined into Etherisc Holding AG.

The commercial entities take on the risk and demonstrate the value of decentralized products to other companies to encourage them to adopt them. This proves the concept and serves as a revenue generator for Etherisc’s products and services.

The platform is underpinned by the protocols it develops, consisting of a barrage of rules, primarily in smart contracts to ensure smooth operation. Basically, the platform is a marketplace for insurance products and services, where protocols bind all parties.

• CDX

The CDX protocol is a revolutionary smart contract framework that enables the issuance, trading, and resolution of credit swaps on the Ethereum blockchain. Through Tokenized credit default swaps, CDX solves the problem of hedging credit risk.

CDX protects crypto assets and covers investors against scams and hacks. The method eliminates credit risks, allowing investors to store digital assets on exchanges to ensure that their vital liquidity will be well-preserved. Additionally, investors can trade with greater confidence because they are fully aware of the actual credit risk.

• Aigang

Aigang is a fully automated insurance network with a platform for insurance innovation. Using AIX tokens and prediction markets to crowd-source community intelligence, the network combines IoT devices, data, and autonomous insurance. As a result, a new set of insurance products may be developed and the insurance DAO protocol powered.

Members of the Aigang Network stake their predictions on specific insurance pools or commodities using smart contracts. As a proof of stake (POS) and proof of reputation (POR) algorithm based on token ownership, Aigang assesses reputation scores based on AIX token ownership.

The Aigang network enables the crowd to forecast insurance that can be profitably applied to new or existing insurance products, thereby rewarding AIX token holders to increase their symbolic value.

Benefits of Decentralized Insurance

There are many benefits of decentralized insurance, the most important being complete protection from hacks. Other benefits include;

• Deposit protection for DeFi
• Protection from cryptocurrency volatility and flash crashes
• Immediate redemption of tokenized cryptocurrency
• Protection against the risk of crypto wallet theft and attack
• Security of funds from exchange platform hacks
• Protects against technical and financial risks
•  Immediate payment of claims
• Honest risk evaluation

Conclusion

Decentralized insurance is still in its early days, with many kinks yet to be ironed out. However, the industry is growing exponentially, with new projects and solutions in development daily. With the recent hack of a major cryptocurrency exchange, it is clear that there is a need for such services.

There’s nothing like a rush of blockchain news to leave you wondering, “Um… what’s going on here?” That’s the feeling most people experienced when they heard Grimes got millions of dollars for NFTs. And by the time we all believed we had a handle on what was going on, crypto artist Beeple sold an NFT for $69.3 million at Christie’s, busting digital art records.

And for a good reason! These digital assets are blowing up the art world and showing no signs of slowing down.

But what exactly ARE NFTs? And more importantly, how can YOU create them? This guide will walk you through the process step by step. So keep scrolling to grasp everything you need to know about this exciting new technology!

What are NFTs, and How Do They Work?

Non-fungible tokens, or NFTs, are digital assets that are not interchangeable. These digital assets prove to be one-of-a-kind. NFTs have uniquely identifiable codes that provide proof of ownership. Each token is unique and cannot get replaced by another token of the same type. You can use NFTs for various things, including artwork, digital collectibles, music, and video game products.

The term “NFT” refers to a non-fungible token. Its developers programmed it in the same way as cryptocurrencies like Bitcoin or Ethereum, but that’s where the similarities end. Most cryptos are fungible, and their fungibility makes them a trusted means of conducting transactions on the blockchain.

But, NFTs are different. Each holds a digital signature that prevents NFTs from being altered or compared to one another (hence, non-fungible). This provides a high level of assurance for digital asset holders and further secures the validity of NFTs as unique collectibles.

NFT is excellent for maintaining scarcity and establishing digital and physical goods ownership. It provides effective monetization alternatives for digital creators and a level of flexibility that is sometimes lacking in traditional creative industry models. Attaching non-fungible tokens to the blockchain to sell digital material online is a secure and verifiable method. NFT production also provides artists with unrestricted access to a global network of collectors and like-minded individuals.

NFTs also continue to provide value to “minters,” or creators. When an NFT is sold, the proceeds from that and future purchases can be channelled to the minter of that NFT, creating a stream of cash for the creator after the original sale, similar to how royalty payments are paid to songwriters.

Fortunately, building an NFT isn’t hard, expensive, or time-consuming. Anyone can make an NFT without writing any code but with the appropriate instructions.

How to Create Non Fungible Tokens

NFTs have proven profitable, attracting investors from all over the world looking to profit from their investments. So, how do you create them?

Select An NFT Marketplace

First and foremost, to create an NFT, you’ll need an NFT marketplace. These marketplaces are platforms that allow you to create, manage, and trade your NFTs. To join a peer-to-peer marketplace, you can select between a curated platform and a self-serve platform.

The curated platform allows authorized producers to mint digital art tokens, focusing on digital artists who produce high-quality tokens.

Everyone is welcome to use the self-serve platforms, which allow for the production of NFTs in any format. These platforms also give the developer additional flexibility in determining the royalty % earned on each token and future sales. There are a variety of different marketplaces to choose from, but some of the more popular ones include:

• OpenSea– In terms of NFT sales, OpenSea is the market leader. OpenSea has a wide range of digital materials available on its platform. Signing up and browsing the comprehensive options is entirely free. It also supports artists and creators, and it provides a simple approach for creating your own NFT (known as “minting”). OpenSea is a beautiful place to start if you’re new to the NFT world.
• Rarible– Rarible, like OpenSea, is a big marketplace for all kinds of NFTs. You can create, sell or buy all kinds of GIFs, art, music, movies, and collectibles on the site. However, unlike OpenSea, you’ll have to buy and trade using the marketplace’s token, Rarible (CRYPTO: RARI). The Ethereum blockchain encourages Rarible (although you can manage your artwork on OpenSea using Rarible tokens).
• LarvaLabs– Larva Labs is primarily known for the CryptoPunks NFT project, which went viral. CryptoPunks were initially given away for free in 2017, but some have since sold for millions. Larva Labs is working on additional digital art projects, including Autoglyphs and other Ethereum blockchain-based app development initiatives.

Remember that the cryptocurrencies you used to buy the NFT might get taxed if their value has grown since you purchased them, so consult with a tax specialist before adding NFTs to the profile.

Create a Digital Wallet

To store cryptocurrencies and NFTs, you must first construct a digital wallet. To create NFTs, you’ll need cryptocurrency like Ether. Before placing the NFT for sale, you will need to purchase Ether, a coin known as ETH native to the Ethereum network, to cover the transaction costs related to its creation.

Because each NFT wallet has its own set of features, keep an eye out for the most critical ones like Consumer-friendly, Supporting multiple devices and Cross-chain interoperability. You can use a variety of wallets to store your NFTs. The most popular wallets for NFTs include;

• Ledger– With over one million units sold, the Ledger hardware crypto wallet is one of the most popular markets. These small, portable gadgets are ideal for anyone looking for a safe place to save their cryptocurrency assets.
• Coinomi– Coinomi is a popular, user-friendly mobile wallet that supports a variety of cryptocurrencies, including ETH and ERC20 tokens.
• Jaxx– Jaxx is another multi-currency mobile wallet that supports ETH and ERC20 tokens. It also has a desktop version for added convenience.
• Trezor– Trezor is a hardware wallet that is similar to the Ledger. It is also small, portable, and secure. Trezor has the compatibility benefit with other popular apps like MetaMask. You can profit from cold storage and a variety of third-party apps. However, this NFT wallet is only available on Windows and Linux.

Design an NFT Gallery

Creating the collection, or gallery, where others can see the digital asset is the third step. Create the gallery, give it a name, add a description, and upload a file image before publishing. This creates a storefront for you to showcase your digital assets after they’ve been created.

Create An NFT

Now that you understand what’s needed to create a non-fungible token, it’s time to get started. You’ll now start making the NFT, depending on your platform. Find how to build a new item on the platform and click on it. You’ll be able to add information to your files, including visual file formats, audio file formats, and other files, such as 3D files.

You can name your token after you’ve provided the metadata. You can choose to mint one token without making any copies, which will raise its value. You can also make numerous copies of the token, referred to as edition tokens and numbered to indicate how limited they are.

You can add attributes and stats to the token after selecting the minting type, such as the date of creation or social linkages, that may be useful to buyers. When you finish, save or create the NFT on the platform to add it to the blockchain, where it will now be shown. This stage necessitates the use of ETH to pay transaction costs, sometimes known as “gas” fees. Next is to decide which payment tokens you’ll accept for the digital asset and the percentage of royalties you’ll receive from future sales.

List Your NFT for Sale

The fifth step is to list your newly minted NFT for sale on the marketplace. You’ll need to set a price and decide on the duration of the auction. You can also pick a “buy it now” price if you want to sell your NFT immediately. Depending on your preference, the sale will be a fixed price listing, an auction, or a bundled sale.

You also decide on the price at which you will sell the NFT. A gas fee may be charged to list the digital asset for sale at this step. Now is the time to publicize your asset on social media and market the sale to possible buyers.

Receive Payment for Your NFT

 The final step is to receive payment from the buyer. Once you finalize a sale, the funds get transferred to your digital wallet. Congratulations! You have now successfully created and sold a non-fungible token.

Conclusion

Because crypto art and NFTs aren’t bound to a single format, the sky’s the limit to your new NFT’s creativity. There’s a project for you to utilize whether you want to make, purchase, or sell NFTs

The world of NFTs is constantly evolving, so it’s essential to stay up-to-date on the latest news and trends. As new platforms and features become available, creating NFTs will continue to evolve. So ensure you check back often to stay ahead of the curve. Happy minting!

The internet is rapidly evolving from an entertainment and information platform to a commercial one. Every year, more individuals become interested in profiting from the internet hence settling on mining cryptocurrency.

Cryptocurrency mining was once a luxury that only a few people in the crypto space could afford. But, this changed five years ago when MinerGate launched as a shared mining solution. It allows all users to participate in the mining process regardless of their wealth.

Mining is exciting and straightforward, but some miners find it hard to withdraw their funds. Imagine everything is going well; your digital money is accumulating. But when it’s time to withdraw funds, it becomes nearly impossible. Frustrating, right? Let’s make things easier for you. This article will discuss how to withdraw your money from MinerGate to PayPal.

What is MinerGate?

MinerGate is a mining pool created in 2014. It allows users to mine various cryptocurrencies without setting up any expensive mining software and hardware. MinerGate also offers a simple GUI miner used on laptops or desktops.

The main aim of Minergate was to make it possible for millions of people to mine cryptocurrencies and make the process easier for them. How? MinerGate is a transparent mining pool where anyone can use laptops or computers to add hashing power to thousands of other miners. The user link is openly downloadable and allows people to start mining quickly.

MinerGate’s specialized application, MinerGate xFast, allows you to mine for cryptocurrencies. The tool enables you to grow Bitcoin, the most well-known cryptocurrency, and altcoins such as Ethereum, Monero, and Zcash.

For maximum crypto mining ease, the program also includes real-time exchange rates that show your assets’ current value and allow for instant withdrawals. While MinerGate is quick and straightforward to use, complex algorithms run in the background. In just a few clicks, it utilizes the maximum power of your hardware, based on how much you want to dedicate to the process.

MinerGate lets you diversify your assets by mining other coins. You can use your computing power to mine for Monero-Classic coins while also earning Bytecoins; this is significant since mining for Monero has no impact on your main mining operation; your other processes will continue as usual.

You can install MinerGate on both Windows and Mac computers. But unlike other cloud mining pools, the MinerGate mobile app does not allow you to mine cryptocurrency using your phone.

How to Withdraw MinerGate

Unlike other crypto services, MinerGate allows you to withdraw funds instantly and deposit them directly into your cryptocurrency wallets. Some of these cryptocurrency wallets include;

• Trust Wallet– Trust Wallet is a cryptocurrency wallet that allows you to trade various coins safely. The application offers you a secure access key that prevents unauthorized access to your assets.
• Coinbase Wallet– Coinbase Wallet is the world’s most popular cryptocurrency wallet. The application offers you a user-friendly platform to trade and store over 100 cryptocurrencies.
• Edge Bitcoin Wallet- The Edge Bitcoin Wallet is a mobile-based cryptocurrency wallet that allows you to store your Bitcoins securely. The application has a built-in two-factor authentication system and offers you a user-friendly interface.
• Freewallet– Freewallet is a cryptocurrency wallet that allows you to trade and store your assets. The application offers you a user-friendly interface and is available on Android and iOS devices. You can easily recognize it on the play store because the Freewallet logo is an F-like symbol.

There is a difference between “transfer money” and “withdraw” actions. You choose “transfer money” when sending your funds to another account within MinerGate. You choose “Withdraw” when sending your funds to an external wallet. To withdraw your funds from MinerGate, follow these simple steps;

1. Log in to your account on the MinerGate website.
2. Click on the ‘Withdraw’ tab.
3. Pick the cryptocurrency you would like to withdraw.
4. Enter the ID. Once you indicate which currency you will exchange and enter the platform from which the electronic cash will flow, the system will automatically generate the ID. In this section, you will need to enter the ID on the Minergate site when withdrawing money.
5. Enter the amount you wish to withdraw.
6. Confirm the withdrawal request.

Note; Your withdrawal amount should be higher than the withdrawal fee amount. You can see the fee amount right under the “Amount” field.

How to Withdraw Money from MineGrate to PayPal

PayPal is an online payment service that makes it easy for people to send money to each other. Clients can create an account on PayPal’s platform linked to their credit card or checking account.

PayPal has been slowly integrating cryptocurrency into its platform over the past year. In October 2020, PayPal announced that it would allow US customers to buy, sell, and hold cryptocurrencies.

The company also announced that it would allow merchants to accept Bitcoin and other cryptocurrencies as payment for goods and services. PayPal’s integration of cryptocurrency will make it easier for people to use digital assets as a form of payment.

As the world’s largest online payment service, PayPal has the potential to bring more people into the cryptocurrency market. The company’s decision to allow withdrawals to PayPal will make it easier for people to convert their cryptocurrencies into fiat currency.

Users in the US can now purchase, sell, and keep cryptocurrencies with as little as $1 invested through PayPal. The service is also available in the United Kingdom, Australia, Canada, and select European countries.

MinerGate is one of the few cryptocurrency mining platforms that allows you to withdraw your earnings directly to PayPal. The procedure is simple and only takes a few minutes.

Here’s how you can withdraw money from your MinerGate account to PayPal;

• Log in to your account on the MinerGate website.
• Click on the ‘Withdraw’ tab.
• Proceed to the currency tab and choose the cryptocurrency you want to withdraw.
• Select PayPal as your withdrawal method.
• Enter your email address, then the password.
• Enter the amount you wish to withdraw.
• Confirm the withdrawal request.
• You’re on your way!
• MinerGate will then send funds to your PayPal account within 24 hours.

Note; ensure to fill in all the fields for a successful withdrawal.

How do You Check Your Balance?

All transfers and withdrawals (both incoming and outgoing) are on the Transaction History. The developers of MinerGate designed the Transaction history tab to help users navigate through their transfers and withdrawals.

The currency- drop-down list helps you check all your transactions on the transaction history. On the other hand, the transaction type drop-down list allows you to see every single type of transaction, or you can be more specific and choose transfers or withdrawals.

Your account balance is the total of all your confirmed balances in all currencies you’ve mined at current rates.

You can check your balance anytime by selecting the ‘dashboard’ tab. The dashboard displays all your minings and available funds, as well as your current hashrate and active workers.

Account status is the first top block on the dashboard, displaying cumulative information on your account balance. These balances are solely for informational purposes; you cannot use them for anything other than reference.

What does Balance Confirmation Mean?

Balance confirmation is a procedure that an unconfirmed balance should go through to become confirmed. At this point, MinerGate’s system checks your balance and activity for potential fraud. The process is needed to improve security measures and ensure only authorized users access account management.

There are three types of balance confirmation; confirmed, unconfirmed and total mined.

Total mined is the amount of cryptocurrency mined on MinerGate. It’s worth noting that all currencies mined have separate total mined balances. It’s visible in the dashboard.

Unconfirmed balance is the amount of cryptocurrency mined, but it’s yet to get confirmed. After receiving your rewards, the system places them in your unconfirmed balance. Although this amount includes the overall mined, it is not accessible for withdrawal. It becomes confirmed once it meets a confirmation threshold and the amount gets applied to your current balance.

Remember, when you receive a mining reward, it adds up to your unconfirmed balance and remains there until your unconfirmed amount hits a specified confirmation threshold, which varies by currency.

A confirmed balance is the amount of cryptocurrency that has been successfully confirmed and is now available for withdrawal. It happens when your unconfirmed balance reaches the required confirmation threshold.

The process of balance confirmation takes up to 24 hours. Once it’s complete, your balance will appear in the main account overview. The confirmed balance is updated every 60 minutes.

Which are the MinerGate Fees?

Users of MinerGate must pay a fee to use their mining services. The cost is calculated based on the hash rate per second. Reason? Because the miner rents hashing power from the platform to mine and receive cryptocurrency as a reward.

The mining fees are usually between 1-1.5% PPNS/PPS+ (Pay Per Last N Shares/ Pay Per Share +), which is a little higher than other mining pools.

MinerGate also has an affiliate program that offers a commission of 20% for each new user you refer to the platform. It means you can ask your friends and family to sign up for an account and receive a commission on their mining fees for as long as they continue to use the service.

Crypto strikers is an online soccer game built on the Ethereum blockchain that allows users to buy, sell, or trade digital players – aka non-fungible tokens or NFTs. The game is still in development, with a beta version set to launch later this year. In the meantime, users can get their hands on the digital trading card game by participating in promotional giveaways or buying them from other players.

CryptoStrikers’ purpose was to recreate the thrill of actual trading cards on the Ethereum blockchain. It also aimed to use blockchain to address traditional card game collecting issues, such as lack of supply transparency, counterfeit cards, and global distribution.

The game is designed to be a global, competitive platform where users can battle for supremacy on the virtual soccer field. The ultimate goal is to create the best team of strikers possible and compete in tournaments for prizes and glory. Crypto Strikers will use OpenSea as its marketplace, allowing users to buy, sell, trade players and other digital collectibles.

Crypto Strikers have the potential to change how we think about both digital and real-world sports. The nft project provides a new way for fans to show their support for their favorite teams and players. It also offers athletes a new revenue stream outside traditional endorsements and salaries.

CryptoStrikers were created in May 2018 and published on June 11th, 2018, just in time for the 2018 World Cup, making it the first-ever sports NFTon the Ethereum blockchain.

Benn Gurton and Gianni Settino are the co-founders of CryptoStrikers. Their inspiration came from CryptoKitties, the first decentralized gaming application based on the ERC-721 smart contract.

Benn has over ten years of experience implementing strategic initiatives and developing software products across many startups and corporations in the sports industry. Gianni’s expertise is in product management and marketing, focusing on the digital and technology sectors.

The team behind CryptoStrikers has a wealth of experience in sports, gaming, and blockchain projects. They are committed to designing the best possible user experience for their users. The Crypto Striker’s team designed the game for fun, and it’s easy to play while also competitive and fair.

Crypto Strikers on OpenSea

Crypto Strikers will use OpenSea as its marketplace, allowing users to buy, sell, trade players or in-game items. OpenSea is the world’s first and largest NFT marketplace.

OpenSea is a marketplace identical to eBay, Etsy, and Amazon, except that all of the items displayed are digital treasures in the form of NFTs that users may mint, buy, and sell. The program is a decentralized, peer-to-peer exchange that allows users to conduct direct, trustless transactions with one another.

Alex Atallah and Devin Finzer formed OpenSea in 2017. Their inspiration came from the release of the popular NFT series CryptoKitties and saw the potential for NFTs to provide actual ownership of digital objects for the first time.

The marketplace on OpenSea is non-custodial, which means that no central entity has control over the platform’s transactions. Instead, self-executing a smart contract to facilitate transactions and ensure fair commerce. On OpenSea, transactions are either completed (the buyer receives the NFT and the seller is compensated) or not completed. They are called atomic transactions.

However, the platform retains 2.5 percent of each transaction. The costs of competitors range from 0% to 15%. It allows OpenSea to cover the costs of infrastructure, moderation, and customer service.

According to Dune Analytics, OpenSea logged over $5 billion in volume in January, nearly double what it did in December and a tremendous rise from its volume of about $8 million in January 2021.

How Do Crypto Strikers Work on OpenSea?

CryptoStrikers is a project that depended on an unfinished ERC-721 wrapper. Crypto Strikers users wrap their digital trading cards in the ERC-721 wrapper on OpenSea to buy and sell the assets.

In short, crypto Strikers are also known as Wrapper Strikers because they were created with an old and inadequate implementation of ERC-721, rendering them incompatible with several subsequent protocols.

To compensate for the early technology, each NFT must be “wrapped” before being listed on a marketplace like OpenSea. Remember that you can always unwrap a card and return it to its original state.

There are Bronze, Silver, Gold, Diamond, and iconic cards, each with varying rarity.

The Players Featured on Crypto Stickers

The original collection includes 100 players from the 2018 FIFA World Cup, with a limited number of Iconics set featuring 32 players. The players are global superstars like Cristiano Ronaldo, Lionel Messi, Neymar Jr., and more.

The founding team stated that they wanted to include more players in the product, but because they only had three months to complete the project before the 2018 World Cup, they had to limit the number of players included.

Since Crypto Strikers went live during the World Cup, the player-set centered on players actively competing in the tournament. The platform’s designers offered user cards in packs, and only one out of every five premium packs sold had an Iconic card.

The Iconic cards are the rarest and have a higher value. The Ronaldo card, for example, is currently listed for $999 on OpenSea.

Holders could stake their cards during games and win stars if the players chosen scored a goal. One card has two gold stars (that is not yet active on OpenSea).

The Future of Crypto Stickers

This project’s price has skyrocketed, and there may be more supply on the way from dormant wallets looking to cash in on an old digital item they’ve had for years.

The founders are currently improving the game mechanics and adding new features, like a card-leveling system. They should release an update before the 2022 World Cup.

Crypto sticker’s team tends to expand the list of players to include more global superstars. The team is also working on mobile apps that allow users to scan cards and view their stats.

Crypto Strikers may be the NFT trading cards you’ve been seeking if you’re a sports lover looking forward to having fun and earning. The Wrapped Strikers are available for purchase on OpenSea.

Other Top NFT Marketplaces

OpenSea is the world’s biggest open marketplace for NFTs. But there are other top NFT marketplaces such as:

• Binance NFT; Binance NFT is one of the most popular curated NFT marketplaces, having launched in June 2021. The Binance Smart Chain powers the platform, which has no marketplace costs.
•  MakersPlace; MakersPlace is an online marketplace specializing in digital art and creative works. The site has a community of artists and buyers who use the site to buy, sell, and trade digital assets.
• Crypto.com NFT; On the Crypto.com chain, Crypto.com went live in March 2021. The site has partnered with well-known brands such as Aston Martin and the UFC. There are no marketplace fees on Crypto.com NFT.
• LooksRare; it’s a “community-first” NFT marketplace that debuted in Jan. LookRare is a decentralized marketplace for rare digital art and collectibles. The NFT is here to challenge OpenSea’s dominance. Within a week of its launch, the Ethereum-based marketplace had surpassed $1 billion in sales volume. For NFT sales, the platform levies a 2% basic sales fee.
•  Rarible; Rarible is a community-owned NFT marketplace with comparable characteristics to OpenSea and is built on the Ethereum network, supporting Flow and Tezos on several chains. The platform became live at the start of 2020. Rarible has 1.6 million members to date and charges a 2.5 percent marketplace fee.
• Solanart; Solanart is the first and largest NFT marketplace developed on the Solana blockchain. Its trustless marketplace strives to encourage artists and innovators. Solanart began operations in July 2021 and charges a 3% marketplace fee.
• Nifty Gateway; Gemini owns Nifty Gateway, the first USD-based, centralized NFT marketplace. The Winklevoss twins bought the market in 2019 after its creation in 2018.

Although these platforms are host to hundreds of NFT creators and collectors, it’s essential to do your research before purchasing.

The cryptocurrency universe is growing by leaps and bounds. This burgeoning industry offers opportunities for anyone with an internet connection and a desire to be their bank.

One of the sizzling topics in cryptocurrency is decentralized finance or DeFi. The goal of DeFi is to build an entirely new financial system that is wholly independent of the traditional financial (TradFi) economy. Thousands of developers worldwide are funding this goal with billions of dollars

We have seen developers crowd the market with different projects, each auditioning for your attention, promising good margins and no financial pain. It can be laborious to know which ones are worth your time and money.

This article will look at the top 8 DeFi projects in 2022. These are the projects that we believe have the most significant potential to change the way we interact with money. Keep reading to learn more!

DeFi Projects to Watch Out For Before The End of 2022

DeFi projects are mushrooming everywhere, intending to provide solutions to the centralized nature of the current financial system. So, here is the list of the top DeFi projects that you should keep an eye on in the year 2022:

1.  Avalanche

Any DeFi system must be built on a pre-existing smart contract platform, such as Ethereum, Binance Smart Chain, Solana, Avalanche, etc. These smart contract platforms are currently competing head-on. They are in an arms race to improve security, scalability and customizability, transaction processing speed, or be more energy-efficient and environmentally friendly.

 So, because blockchain technology is still in its early stages, there is still plenty of room for more customization of smart contract platforms to help them become even more efficient.

Avalanche is a new-generation smart contract platform developed recently. It competes directly with Ethereum with perceptible advancements like infinite transaction per second (compared to Ethereum’s 14 tps), transaction processing duration of less than 2 seconds, and a high level of security, all based on the Proof of Stake mechanism.

DeFi systems built on Avalanche are also more competitive than those built on other blockchains due to technological advancements in smart contracting. Transactions on Avalanche-based DEXs, for example, are significantly less expensive than those on Ethereum-based DEXs.

2.    Idle Finance

Idle finance stands out from other cryptocurrency projects due to its unmatched level of security—being one of the few non-hacked. It has lending DeFi protocols—and a user-friendly design that requires no gas fees for transactions.

The platform provides its users with a decentralized rebalancing protocol to manage digital asset allocations among various third-party DeFi protocols algorithmically and automatically.

Furthermore, their Best Yield product fully maximizes the interest accrual process for users to ensure they are constantly receiving the highest interest rates.

Idle Finance’s Perpetual Yield Tranches, a yield aggregator product that tranches risk and yield, is another industry-defining product. The two related tranches are senior with deposit protection plus yields and Junior with leveraged stablecoin yields.

Despite having such innovative functions, Idle Finance does not require the user’s undivided attention for them to benefit from the platform; the entire model, as the name suggests, is built around ease of use.

3.  Synthetix

Synthetix (SNX), a fast-growing decentralized exchange, allows users to trade crypto for stocks, commodities, currencies, and other assets still dominated by Wall Street, London, and Hong Kong’s traditional financial institutions.

Its most distinguishing feature is that it allows users to create their synthetic assets, known as “synths,” which enable exposure to fiat, derivatives, cryptocurrencies, and various asset classes.

Examples are Bitcoin, USD, euros, Tesla stocks, gold, and other currencies. This means that dealers can bet on the price of an asset without holding the actual asset, making Synthetix one of the most popular DeFi products on the market.

Hodlers can stake their SNX to generate new Synths for trading. Alternatively, they can sit back and collect fees and rewards from the Synthetix exchange (hopefully). However, the primary goal of Synthetix is to trade Synths. Traders can go long or short on an underlying asset on the platform. They accomplish this by holding other cryptocurrencies in Synths.

A trader, for example, could purchase a synthetic MKR token (sMKR) that reflects the price of MKR. However, they would not own an actual MKR token or have voting rights as standard holders would.

To create a new Synth, regardless of whether one prefers staking or trading, one must stake 800% of the Synth’s value in SNX tokens. It is important to note that supply and demand dynamics are here.

The more SNX locked up as collateral, the lower the supply. When it decreases in reserve, the more it increases its value. Currently, approximately 85 percent of the total supply of SNX is locked.

Synthetix also has its cryptocurrency, sUSD, pegged to the US dollar and used to pay transaction fees on the platform.

4.  Bondex

Bondex is a project with a long-term vision that is slowly but surely gaining recognition in the DeFi space. By resolving the prevalent issues in the blockchain industry, Bondex aims to transform how business gets conducted in the modern world. A tokenized rewards system allows its community of users to own certain parts of the next-generation Web 3.0 talent ecosystem.

Bondex aims to solve the industry’s challenges by leveraging its professional Network and implementing tokenized incentives to maximize the recruitment process and fill the growing talent gap. By using a decentralized P2P model, this project will enable a new revenue-sharing business model.

The Network affects this in three ways: 1) by distributing more profits among its global talent pool and hiring companies, 2) by aligning incentives across all participants for long-term growth, and 3) by changing its economic model.

Recently, Bondex partnered with KyberSwap – Kyber Network’s powerful liquidity hub. As DeFi’s first dynamic market maker, KyberSwap maximizes returns for liquidity providers and provides the best trading rates for token holders alike.

KyberSwap can aggregate liquidity from multiple exchanges (including KyberSwap) and determine the best trade route based on its Dynamic Trade Routing technology. This will give Kyber Network’s liquidity providers another avenue to earn a yield on their idle digital assets.

Bondex and Kyber Network hope to provide a better solution for the decentralized talent economy with this partnership.

5.  Sin City

“Sin City” is a Meta-verse multi-player game based on Blockchain Technology. The game’s background occurs in some of the most controversial cities where users can buy digital real estate. Users can purchase this land to build their empires.

There will be a high degree of social interaction on this platform, where people can create clubs for their friends to hang out in, create venues for online events to hold, or even compete in underworld challenges to win in-game rewards.

Featuring some of the high octane thrills of games like Grand Theft Auto on the blockchain, it’s appealing to many users, including game enthusiasts. Unlike other games, Sin City offers a unique 3D open world, play-to-earn model, in which a player can earn the native $SIN token and prosper both as an in-game player and an investor.

6.  Keep Network

Keep Network (KEEP) is a decentralized security protocol that enables the secure transfer of digital assets between blockchain networks. The protocol uses “Keeps,” which are particular purpose smart contracts that act as a bridge between different blockchains.

Keep Network’s key features are its security and privacy-focused design and its use of “Bonded Keeps” to ensure the safety of user assets.

In addition, Keep Network has partnered with Chainlink (LINK), the most widely used decentralized oracle network, to provide reliable data to its users.

With Chainlink, Keep Network can offer its users the ability to connect to off-chain data sources, such as real-world events, data from web APIs, and more.

Keep Network is an essential piece of the DeFi ecosystem and will be a significant player in the market in the years to come.

7.  Unicrypt

Unicrypt is a decentralized protocol that enables the creation and management of digital assets. The protocol provides tools that allow users to create, issue, and trade digital assets on the Ethereum blockchain.

Unicrypt’s key features are its user-friendly interface and support for a wide range of digital asset types.

In addition, Unicrypt offers a variety of features that make it an attractive option for users looking to create and manage digital assets. These features include supporting multiple signature schemes, atomic swaps, and more.

Unicrypt is a powerful tool that can be used to create and manage a wide variety of digital assets. The protocol will be a significant player in the DeFi space in the years to come.

Conclusion

The primary objective of DeFi is to create an open, trustless, and permissionless financial market. Notable development and investment are going into the advancement of DeFi, and financial advisors must understand this space. Much of the DeFi technology builds on and enhances the TradFi system, potentially resulting in a better outcome for users. As the space evolves and strengthens, it is critical to understand decentralized finance and be prepared to interact with its projects.

The growing interest in Bitcoin and other digital currencies has focused on getting than giving. But behind the scenes is a promising trend leveraging cryptocurrency for philanthropy. Like cryptocurrency, the foundation for effective charities is transparency, immutability, and traceability.

Traditional philanthropy differs significantly from crypto philanthropy. The most notable difference is how donors give. The demographics of donors, funding models, and even the reasons for giving are changing with crypto philanthropy.

There is growing evidence that crypto donations will play a lasting role within non-profits, perhaps even reshaping philanthropy.

Giving using crypto has already encouraged waves of young people to consider philanthropy and helped smaller charities compete for donations, but this may only be the first step as digital assets become more embedded in our lives.

How Did Crypto Donations Start, and How is it Going?

Towards the end of 2017, an anonymous post on Reddit read, “I’m donating the majority of my bitcoins to charitable causes.”. There has never been any revelation of the donor’s identity – they are only known as Pineapple Fund. The Pineapple Fund donated 5,104 bitcoins worth over $55 million to 60 charitable organizations (2017).

In 2017, non-profits encountered cryptocurrency for the first time, but the necessity of understanding how to move digital money in philanthropy has since increased.

Five years after introducing cryptocurrency donations, non-profit organizations are still struggling with the idea– the concept is still unfamiliar and challenging to comprehend. Cryptocurrencies can be volatile, the technology behind them can be confusing, and they are constantly evolving.

Despite these challenges, more non-profits are beginning to explore cryptocurrency philanthropy and its potential benefits.

A new group of donors who made money quickly in the crypto market has emerged in the sector in a big way. Contributions to donor-advised funds (DAFs) at Fidelity Charitable Trust (2021) increased from $13 million in 2019 to $28 million in 2020.

The average contribution size also increased, from $33,000 to $47,500. The Giving Block reports that the value of cryptocurrency donations is now over $300 million annually and is only expected to increase.

The Progress of Crypto Donations

Charitable organizations can now have global donors thanks to the ease of transferring cryptos. And there are now many international charity organizations that accept cryptocurrency donations. To deal with cryptocurrencies, UNICEF launched a new financial vehicle, CryptoFund. As a result, many organizations, including the Red Cross and Greenpeace, now accept cryptocurrency.

Government restrictions make it difficult for non-profits to get funding, which crypto donations alleviate. For instance, the U.S. blacklisted WikiLeaks, a non-profit organization that published news leaks in 2010. On the other hand, a block on its funding came from Visa (V), Mastercard (M.A.), and PayPal (PYPL).

Today, WikiLeaks receives millions of dollars in crypto donations. While cryptocurrency philanthropy has reached unprecedented levels of growth, it remains a niche form of giving and differs from traditional methods to a great extent.

Compared to traditional philanthropists, the pool of cryptocurrency users tends to be much younger. More than 60% of cryptocurrency users are under 40 years old. According to the U.S. Census Bureau, crypto users are 38 years old, while the average age of donors is 64 years old.

Young, tech-savvy adults donate most cryptocurrency to causes that receive more attention online. Some donors may bond emotionally to particular events after reading heartfelt stories. Narratives shared on Twitter about the Russia-Ukraine war, for example, led to about $100 million in cryptocurrency donations for Ukraine.

In the same vein, social media served as a global COVID-19 helpline with global reach when India got hit by the 2nd wave of the pandemic, which also led to crypto donations. As part of the relief effort, Ethereum co-founder Vitalik Buterin contributed around $1 billion to India’s COVID-19 relief program in Shiba Inu (SHIB) tokens when they were soaring in value.

The Tor Project, a non-profit dedicated to internet freedom and privacy, received 58% of its donations in cryptocurrencies in 2021. The organization said it received donations from over 100 countries, with the US, Germany, and France topping the list.

Cryptocurrency: Why Philanthropy is Giving it Attention

In a blockchain-based digital payment network, cryptocurrency is the unit of account. Any central bank or government doesn’t regulate the crypto market, and the cryptocurrency market isn’t intrinsically valuable beyond what people collectively agree upon.

Cryptocurrency acts as a borderless currency, making international transactions cheaper and more manageable since international financial regulations and exchange rates are not involved. More than 7,000 cryptocurrencies exist, including Bitcoin, Ethereum, and Dogecoin, whose price and popularity soared in early 2021.

Philanthropic organizations face new challenges and opportunities due to the advent of this digital, online market. The following are two particular benefits of cryptocurrency gifts:

• Taxes

 Cryptocurrencies are like any appreciated asset, including securities and real estate, regarding U.S. taxation. When donated to charity, these assets don’t attract capital gains taxes, resulting in more significant gifts to non-profits.

Converting crypto to fiat, however, can trigger capital gains taxes. When an investor donates an appreciated long-term asset directly, the investor can debit the fair market value of the crypto during the time of the donation.

• Cost and Speed

Blockchain technology offers greater efficiency and transparency. Completing international transactions can take just minutes and cost a few dollars. Crypto donations have lower transaction costs than credit cards or debit cards, which were the most popular giving methods for 63% of donors worldwide, according to the 2020 “Global Trends in Giving Report.”

The processing wage on credit card transactions – a deduction made directly from the charity amount – ranges from 2.2% to 7.5%, according to Charity Navigator. An ordinary wire transfer of $2,000 from the U.S. to India may cost between $30 and $50 more in transaction fees. When transferring the same amount through the Ethereum blockchain, gas fees can range from $10 to $15.

Additionally, transacting in crypto only takes a few seconds or minutes, whereas transacting in fiat currency requires hours or even days

• Anonymity

It is easier for non-profits to target existing donors than find new ones. Therefore, donors increasingly prefer to remain anonymous as the pressure to donate rises.

 Additionally, large donations may need the completion of a know-your-customer (KYC) and several personal identification requirements. While donating millions of dollars, donors can maintain their anonymity by using cryptographic donations.

• Private Funding

Cryptocurrency donations are increasing in areas where traditional giving is impossible, or federal policy is still catching up. For instance, to support its clinical research into the effects of cannabis, the University of New Mexico Medical Cannabis Research Fund, for example, heavily relies on donations.

Cannabis research is primarily excluded from federal funding, and banks are prohibited from facilitating cannabis-related transactions under federal law. 420coin, for example, uses bitcoin’s market independence to circumvent these restrictions to fund research at the University of New Mexico.

What Non-profit Organisations Should do With Crypto Donations

In this space, non-profits must decide whether to sell cryptocurrencies immediately, hold them indefinitely, or diversify their donations. There is value in each strategy.

UNICEF launched the CryptoFund in October 2019, letting it receive, hold, and disburse cryptocurrency while learning more about digital assets. CryptoFund’s first year saw twelve investments in eight countries. UNICEF realized that by keeping crypto in its native form, it could track where funds go and how they get spent.

Non-profits who need to convert crypto donations into cash immediately to pay for operational expenses have third-party intermediaries step in to help them. The Endaoment is an example of a crypto public charity that sponsors DAFs and accepts over 150 different cryptocurrencies.

Robbie Heeger started Endaoment to make giving cryptocurrency easy without first selling it and make it possible for non-profits in the United States to accept it as cash. Heeger built Endaoment on the Ethereum blockchain.

When a donor sends cryptocurrency to an organization’s unique address, the funds are held in a smart contract. When the non-profit is ready, they can convert the cryptocurrency into cash with one click.

The Risks of Crypto Philanthropy

Challenges persist as philanthropy learns how to use cryptocurrency for the public good. Despite being transparent, crypto donations recorded on blockchain can be anonymous, limiting organizations’ ability to cultivate relationships with supporters.

The recipients of crypto-contributions can also be exposed to significant risks if the source of the donations is questionable – reputational damage is possible if the donations are tainted or financial ruin if non-profits receive laundered money.

Volatility and the unregulated nature of the asset present additional challenges- a crash in the cryptocurrency market could have severe consequences for non-profit crypto holders. Federal regulations and tax laws related to the crypto market currently lag behind other assets, and they are still in the process of catching up.

Conclusion

Cryptocurrency philanthropy has the potential to upend how we think about giving. Cryptocurrencies’ borderless, digital nature presents new opportunities for donors and organizations alike. For donors, crypto philanthropy offers a way to support causes they care about without going through traditional channels. For organizations, crypto donations provide a way to receive funding from a global pool of donors.