The ETH merge is expected to help the blockchain transition from PoW to PoS protocol. Here are all the insights you need to know in this guide.
What is the ETH merge?
Why is the ETH merge important?
What are the differences between Proof of Work and Proof of Stake?
Will ETH fees reduce after the merge?
Will Ethereum transaction speed improve?
Will ETH price increase?
I have ETH, what must I do after the merge?
Can I be among the ETH stakeholders that approve or disapprove a block?
Many ground-breaking developments happen in the crypto space now and then, but the proposed ETH merge may be the most revolutionary idea anyone can witness in the crypto industry.
Do you know about the ETH merge or the possibilities it brings to the blockchain world? This article will show why the ETH merge could be a big deal.
What is the ETH merge?
Before this move, speculated to hold around September 15 this year, Ethereum processed transactions using the power-expending PoW (Proof of Work) algorithm. However, the merge will see Ethereum fully transition from the Bitcoin-pioneered PoW algorithm to the PoS (Proof of Stake) algorithm.
Interestingly, Ethereum had proposed the PoS network (called the Beacon Chain) in 2020, but the team didn’t process transactions with the network. Instead, it was a staging area preparing the Ethereum ecosystem for a PoS network upgrade.
Crypto critics often come against the industry, making claims about its volatility and extreme power consumption. While the issue of volatility may need readdressing, the inflated rate of crypto power consumption is undeniable.
With the merge, crypto energy consumption will drastically reduce up to 99 percent. Moreover, this development will positively influence the energy sector, our physical environment, and the fees included in crypto transactions.
What are the differences between the PoS (Proof of Stake) and the (Proof of Work) algorithm?
The proof-of-work algorithm is the pilot method for verifying blocks in a blockchain transaction. And so, the earliest cryptocurrencies like Bitcoin and Ethereum use the PoW algorithm.
The PoW algorithm consumes large amounts of energy when processing a block. The reason for the enormous power consumption is the amount of work needed to solve complex computational or mathematical questions.
After a complex math question is solved, the block is verified, and the miner gets more tokens as a reward. On the other hand, the PoS algorithm does not rely on solving complex computational puzzles to mint coins. Instead, computers on the blockchain with the highest stakes determine whether a block is verified.
On the Ethereum blockchain, stakeholders with $50,000+ worth of ETH can participate in verifying blocks, resulting in a massive reduction of the typical computational energy required to verify blocks.
Will ETH transaction fees reduce after the merge?
Ethereum transaction fees will remain the same, primarily because the payments do not depend on the Ethereum mainnet. Other third-party platforms have lower ETH processing fees, Arbitrum and Optimism. These platforms process ETH transactions away from the Ethereum mainnet.
With the introduction of network updates – danksharding and proto-danksharding – the Ethereum network may see a significant slash in transaction fees. However, that’s a development we may not see until 2023.
Will Ethereum transaction speed increase because of the merge?
Unfortunately, the transaction speed will only increase by a fraction after the merge. With the PoW algorithm, blocks take 13-14 seconds to process. But the merge promises 12 seconds per transaction, which is relatively insignificant.
Will ETH prices go up after the merge?
Nobody can say for sure whether ETH prices will rise or fall. The merge comes with many uncertainties that make it difficult to predict the price. A significant uncertainty is the security of the PoS system in contrast with the PoW algorithm.
However, the massive energy reduction and the change in how ether is distributed are likely positive trends that can significantly increase the price of Ethereum.
I have ETH; what must I do after the merge?
Ethereum users don’t have to do anything after the merge, as it won’t affect their holdings. The significant change the merge brings is in how the blocks are verified, which has nothing to do with existing users.
Can I be among the ETH stakeholders that approve or disapprove of a block?
Any user with ETH holdings worth $50,000 or more can participate in the PoS governance protocol. Although, your holdings won’t guarantee that you must verify the block, as the system chooses the node with the highest stake.
The ETH merge is revolutionary for the Ethereum blockchain and our physical environment. But more than that, it might just be the move that changes how people perceive blockchain and cryptocurrencies.
Wire transfers are commonplace globally, but what can go wrong in the process is less talked about. Here are insights on how to reverse a wire transfer,
Money transfers can go wrong for a variety of reasons and when this occurs, the sender has to know what to do. If you know how to reverse a wire transfer, when errors occur, you could get a way out. Electronic money transfers happen globally, making them convenient. Bu,t speed can become a disadvantage if something goes wrong.
In this guide, we have provided the needed information on wire transfer errors and reversals.
How to make a wire transfer?
In the first place, you can do a wire transfer by using a banking app on your mobile or desktop device. You can also walk into your bank to conduct a wire transfer transaction. Whether you can use an app or resort to a banking hall visit depends on your service provider.
The details needed for a wire transfer are:
Sender’s name and address
Sender’s bank account number
Beneficiary’s name and address
Beneficiary’s bank account number
Beneficiary’s bank SWIFT/IBAN code (mostly for international transfers)
Value of transfer and currency
Assent to terms and conditions (with signature appended, where required)
Quick wire transfer facts
In many countries, cases of unsuccessful wire transfers are not uncommon. According to a 2021 report by Vibepay, the following statistics were highlighted:
At least 28% of wire transfers sent to the wrong account could not be reversed by the sending banks
Up to 33% of individuals who made wire transfers with the wrong details had to resort to their banks to cancel such. Recoveries were made within six days of such remedial actions
The money transfer algorithm recognized up to 25% of such wire transfers with wrong input or unmatched beneficiaries and immediate reversals were made
Can a wire transfer can go wrong?
Yes. When a there are errors in the details provided for a wire transfer, the process can go wrong. The errors recorded can make it impossible for the intended recipient to receive the funds, and if there is an inadvertent match for the details provided, the funds could be lost forever.
Recovery of funds when there is an unintended beneficiary has a slim chance to succeed. Even when the complaints are filed, the receiving bank can use its internal systems to attempt to reverse the wire transfer, but no obligation exists here. The recipient has to be willing to assent to the wire transfer reversal for it to happen.
Instead of leaving your fate to chance, always double-check your details before completing a wire transfer transaction. There are internal mechanisms provided by some banks to ensure that an intended beneficiary’s details are verified using a lookup tool. If such an option exists in your bank, you can make use of it.
Cancelling an international wire transfer will take a longer processing time than domestic transactions. The geolocation of sender and beneficiary has to be taken into consideration here. Transfers within North America will sail through faster during reversals than any other between two continents.
Transfers within the same network such as domestic transactions are likely to be barred for inconsistent information immediately the beneficiary’s details are provided. If there is any entry that escapes the first line of check of beneficiary details, a reversal could proceed fast and get completed by the bank within a week. Other problematic cases could linger for a longer time.
SWIFT transfers usually take up to three working days to process and reversing such can take up to a week or more if it is a case of wrong account destination. The recipient bank would reverse the transaction if no account type matched the beneficiary as intended. If there is an inadvertent match, the sender has to file a complaint so that the sending bank can request a reversal. Again, this can become a tussle if the unintended recipient is not honest.
With wire transfers, it is always best for the sender to take the necessary steps to avoid errors. Whenever a wire transfer error occurs, the sender should register an immediate complaint to increase the chances of a wire transfer reversal going through successfully.
NFTs have emerged as an attractive extension of cryptocurrencies and the possibilities of blockchain. Here is how staking works with NFTs.
One of the hottest trends in the industry today is the idea of “NFTs”. What is NFT? It is a special kind of token that represents a digital asset or physical item.
For example, a token that represents a digital art piece that you’re selling on the NFT marketplace could be considered an NFT. Non-fungible tokens are an interesting concept because they represent a way of adding utility to something — in this case, art. it then becomes a digital asset and can be sold.
The token’s identifying information is stored in a decentralized registry, in the form of Smart Contracts. These registries, similar to the ones used for decentralized apps, enable developers to digital assets directly to users.
As opposed to cryptocurrencies like Bitcoin where one BTC has the same value as another, non-fungible tokens are all unique in their own right. Furthermore, they are not divisible like fungible tokens. In this guide, we will explore NFT with regards to staking and the mechanics of how it all works.
One of the thoughts that come to mind is the prospect of staking them for additional profits. Let’s start with the basics, and build from there.
What is Staking?
Among many other things a user can do with NFTs is the idea of staking, which allows you to lock up some of your NFT tokens in a proof-of-stake crypto wallet to secure and govern a blockchain network. It is done in exchange for rewards, rather than a simple deposit or withdrawal model. It’s like a spin-off from mining, but not the same thing.
Why Stake NFTs?
The NFT ecosystem is hampered by low liquidity. At present, it is underdeveloped, as most users purchase the tokenised asset for long-term appreciation. Others do so to burn them, which creates scarcity, and, in turn, increases the value. Staking comes into play to resolve this problem. Staking a non-fungible is no different from staking a cryptocurrency.
Once you’ve found, for example, a digital asset with a revenue-generating potential, stake your tokens and receive incentives. The fee and block could come in the form of an annual percentage yield (APY) of the staked token, depending on the lock option duration. It could feature additional network validation, to ensure transaction integrity and confirmation.
Staking rewards depend on a variety of factors. Among them is the NFT asset’s potential to generate considerable income streams. NFT crypto staking can provide rewards up to 100% APY. Besides generating income for users, NFT staking also increases liquidity and attract more investors to the ecosystem. In turn, this will further facilitate the ecosystem’s growth.
Projection of the NFT Ecosystem
At the moment, NFTs encapsulates crypto, gaming, and digital artwork collectibles. However, content creators are currently hopping on the bandwagon, incorporating NFT into their products. For instance, artists who are into oil painting can create a digitized version of their works and even earn royalties.
Notable brands current license their NFTs, including Kellogg’s, Pizza Hut, Ubisoft, MGA Entertainment, and Taco Bell. As of June 2021, Twitter launched its NFT collections. If there’s any better time to become a part of the NFT ecosystem is now!
If you are already an NFT enthusiast who’s short on ideas for how to generate additional income other than HODLing long-term, NFT staking may be the answer. Look for NFTs with the potential to create good returns and invest your money. What makes staking interesting is that you don’t need to purchase your asset of choice outright; yet, you can partly own it and still earn high ROIs.
NFTs have carved a niche for themselves in the crypto marketplace. Here are insights on how NFT auctions are done?
A Comprehensive Guide to NFT Auctions
Ever thought of creating and selling your NFT at an auction to generate a lucrative income stream? Come to think of it, do you know how much the famous “Disaster Girl” meme sold for as a non-fungible token? A whopping $500,000. And if that isn’t enough, how about Jack Dorsey’s first tweet auctioning for $2.5 million.
However you want to consider it, NFTs are the new goldmine, creating opportunities for owners and collectors to earn sustainable incomes.
Perhaps, you missed out on the Bitcoin rave when it was just a few cents, and then Ethereum and the likes. You wouldn’t want to overlook this once in a lifetime opportunity, would you?
The demand for digital gaming, artwork, and crypto collectibles is skyrocketed. One memorable event in the industry is the Beeple NFT auction, Everdays: The First 5,000 Days, which sold at Christie’s for $69.2 million. The same NFT auction also set a record for the high-selling digital art in history.
An NFT is a non-fungible token or cryptographic token that is attached to a unique asset of value. The digital asset can be sold, traded, or transferred.
With the proliferation of cryptocurrencies and the advent of blockchain technology, tokens have taken on a new lease of life. In fact, they are now being treated as real digital assets. This is a major step in their evolution from just pure digital currency to an asset class in its own right.
While NFTs are often associated with the art and gaming (game items and avatars) industry, they have a variety of applications, including financial transactions (payment solutions), intellectual property (patents, copyrights, and trademarks), ownership (real estate, collectibles, and more), reputation (social media, marketing, and branding), and utility (smart contracts).
NFT Auctions: How Do They Work?
NFT auctions connect creators with audiences. Collectors looking for unique digital artwork or other collectibles can find them on reputable NFT auction websites. An NFT auction site runs on a blockchain, most likely, Ethereum.
In most NFTs, an ownership transaction is initiated by a wallet and the NFT is then registered and stored, similar to cryptocurrencies. The blockchain verifies the identity of the seller and the ownership and validity of the NFT. Of course, bidders on the platform are also verified.
In an auction, the owner of the NFT sets a reserve or starting price for the asset. The auction site runs on the Ethereum blockchain, which means that prices are set in ETH and are used for all transactions on the network. The reserve price is the lowest possible bid price, and is also called the “opening bid”. Collectors are to bid above this limit. With each bid, the price of the asset increases.
There is a time limit for the bid duration after which the seller accepts the highest bid price and receives it in ETH, while the NFT auction platform transfers ownership of the NFT asset to the buyer after the individual must have settled the NFT. There are no further bids on the asset except the new owner decides to auction it in the future.
When listing an NFT on an auction site, there is a certain percentage charge or GAS fees on the potential transaction. Hence, it is essential for you as a creator to factor in this cost before auctioning your NFT.
The most interesting fact about an NFT auction is that it operates in a digital world and yet it incorporates real-world assets. Depending on if you decide to be a creator or a collector, there is an avenue for you to make money and own highly treasured collectibles.
Nigeria is a booming market for cryptocurrency right now, and here is how to buy bitcoin in the country using some of the leading platforms available.
How to Buy Bitcoin in Nigeria
When it comes to the selling and buying of bitcoin, Nigeria is at the forefront having the highest Google searches for Bitcoin after the US and ranking top in peer-to-peer transactions. If you are interested in joining the current revolution and being well informed on how you can trade Bitcoin safely in Nigeria, please read on.
What is Bitcoin
According to Bitcoin.com, Bitcoin in the practical sense is money that exists in a digital form.
Bitcoin Price Highlights
The price of Bitcoin is the current price at which bitcoin is being traded. It is determined by the buyer and seller. Despite this, its price varies across exchange platforms such as Coinbase and Binance because of market inefficiencies.
Within the past five years, Bitcoin has witnessed dynamic surges in its value rising to around $1,290 in March 2017, the highest ever it has been before then. This trend continued across the months getting to a peak of $19,783.06 nine months after on December 17, 2017.
Up till the year 2021, the price of Bitcoin continues to increase with surges and minimal decline along the way. On April 10, 2021, Bitcoin recorded its highest ever price to date some months after Elon Musk and Tesla announced their investments in Bitcoin peaking at above $60,000.
Though the value of Bitcoin in the crypto market suffered a crash to half this price in May 2021 due to rumors of Tesla selling its Bitcoin holdings, the price is still on the high side when compared to how it was a year ago.
The Features of Bitcoin
It is Decentralized
The very first and intriguing feature of bitcoin is its decentralization. This simply means that there is no central power or regulator as the case is with traditional currencies which are designed, issued, and managed by a central authority.
Bitcoin transactions are visible to everyone in the digital world of cryptocurrency though Individual Bitcoin assets are concealed to promote privacy and confidentiality which motivates positive trading.
It is to be stated here that the identity of users of Bitcoin remains anonymous and the chances of tracking transactions back to Bitcoin users are very minimal. This is to prevent online robbery or digital theft.
When compared to other modes of transaction such as bank transactions, bitcoin transactions are faster.
Nonrefundable mode of transaction
Bitcoin transactions are a one-way mode of transaction. Any transaction made from a sender to a buyer cannot be reversed unless the buyer is willing to do so.
Bitcoin is not a physical currency but a digital one. You can never carry a bitcoin in your purse or pockets in the form of notes or coins, but you can easily carry it on your phone or tablet.
Simple to use
Most of the time, to open and manage a bank account is quite tedious and long. This is not the case with a Bitcoin account. You can set up your account in a matter of minutes.
Value is determined by demand
The value or price of Bitcoin is not fixed like other assets. It depends on market dynamics. The value of Bitcoin is determined by the strength and volume of its demand.
How to Buy Bitcoin
If you are interested in buying Bitcoin in Nigeria and ready to explore the untapped benefits in the world of cryptocurrencies, there are different exchange platforms, brokers, and marketplace that can help you. Below is a guide on how you can go about this.
Buying Bitcoin on Binance
Binance is the biggest cryptocurrency trading platform on earth today, recording up to $2.46 trillion in May 2021 transaction volumes. The platform offers the largest trading base for listed crypto and offers the major trading pairs with leads like BTC, ETH, XRP, USDT, DAI, BNB and BUSD on the P2P front.
At present, to buy Bitcoin in Nigeria using the Binance platform will only be possible using the P2P platform it offers. Firstly, you need to register your new account using this process:
·Your driver’s license, international passport or national ID card will be needed
·You also need to link a bank account to your profile to use for the transactions
·You will be notified if your application is successful, and you can start using your new account.
How to buy Bitcoin on Binance P2P Platform
On the platform, log in to to your account, and navigate to the P2P page from your account dashboard.
Locate the the P2P and express tab and click on your preference
With the express tab, the platform matches you with the available sellers on the platform with you deciding
transfer the funds to the seller and wait for at lest 15 minutes
You will have to click on payment made tab to notify the seller
Your BTC will show up on your balance after the seller confirms receipt of payment made.
Buying Bitcoin on the Coinmama Exchange platform
Coinmama as an exchange platform was founded in 2013 with the mission of making simple how Bitcoin (BTC) is traded. The platform has more than 2.9 million users in over 190 countries in the world. It also provides the platform for some users in selected markets to sell their Bitcoin.
How to open an account on Coinmama
Go to the sign-up page to create your account. Fill in your email in the allocated spaces as well as your country of residence to get started.
Thereafter, click on the verification link sent to your email
Complete the requested form to confirm your identity and safeguard your account.
Thereafter, you will be required to upload an ID to approve you for purchase. Choose the ID type you will like to upload based on your country of residence. Take a photograph of the front and back of your ID with your phone camera with all four corners visible and clear image and text, then upload them to your account.
Then, write “Coinmama” and date on a piece of paper. Hold the paper and the ID you’ve just uploaded and take a photograph of yourself. Ensure your face, ID, and paper note are visible. Then upload the photo to your account.
After successfully uploading, click to submit. Your form and documents will be reviewed by the verification team for verification. If everything is okay, you will be approved to buy Bitcoin online with Coinmama within fifteen minutes.
How to buy
Sign in to your account to buy bitcoin. Select the cryptocurrency (Bitcoin) you want to buy and the currency of your choice
Select the package of your choice and input your desired amount, thereafter you can tap “buy”
Input your selected third party wallet address
A confirmatory link will be sent to your email to confirm your wallet address, click on it if it is correct
After your payment has been approved and the wallet address confirmed, the coins will be immediately delivered to your wallet.
Buying Bitcoin on the Luno Exchange platform
Luno has been in the cryptocurrency industry since 2013 with transactions worth more than 14 million dollars. The platform has customers in over 40 countries.
First, you need to go to the sign-up page to create your account. Similar to that of Coinmama
Complete the requested form by filling in your first name, middle name, gender, date of birth, phone number address, city, and zip code. You can also click on the ‘I’ve confirmed my email’ option in the Luno app. After which you will be automatically verified with the submitted phone number and personal details.
If not, you will be required to upload a document for verification (driving license, identity card, or passport). Open the Luno app and sign in, tap Profile on the Menu, navigate to Settings, select Upgrade. The document is required to show your identity number, name, date of birth, and a clear photo.
You may also need to confirm your address. To get this done, you will upload a photo or an ID which contains your name, address, residency, and issue date. This ID must not be older than 3 months.
How to deposit
Open the Luno app and sign in
Select Wallets from the menu
Choose your local currency wallet
Choose the method with which you’d like to top-up your wallet
And follow the on-screen prompts from there
How to buy
Verify your identity on Luno.
Deposit to your local currency wallet, once it reflects in your wallet, then you can proceed to buy.
Thereafter, you can simply tap the specified amount on the homepage screen to buy or specify the amount of your choice. Then pay or make use of Luno Exchange.
Buying Bitcoin on Coinbase
Almost all users begin their crypto journey through Coinbase. The platform has been in the cryptocurrency industry since 2012 with quarterly trade worth more than 335 billion dollars. The platform has more than 56 million verified users, 8,000 institutions, and 134,000 ecosystem partners in over 100 countries.
How to buy on Coin base
Sign in to Coinbase. Account creation and verification quite like Coinmama
Choose either Buy / Sell on the upper right-hand side.
Select the Buy field to choose the asset you’d like to purchase.
Specify the amount you’d like to buy either in crypto or your local currency.
Choose your payment method.
Click Preview Buy to verify your purchase (you can always click the back arrow to make a change).
If your details are correct, click Buy to complete your purchase.
Buying Bitcoin on eToro
eToro is a social trading network founded in 2007. It is among brokers hosted on trusted brokers.ng. You need to register an account on the platform to buy bitcoin.
Opening an account involves:
Uploading a valid ID (ID Card or Passport) and a proof of address (electricity, water bills, etc.), through eToro’s platform. Approval takes less than a day.
To buy Bitcoin on eToro:
Select a bitcoin exchange or trading platform, in this case, the eToro trading platform
Ensure your account is verified
Deposit through your preferred deposit method and buy bitcoin fractionally.
Buying Bitcoin on plus 500
Plus 500 is a trading platform founded in 2008 which allows for the trading of cryptocurrencies among other commodities such as Forex and ETFs.
It is among the brokers hosted on trustedbrokers.ng. Though it is one of the main trading platforms in the United Kingdom, it is not open to customers from Nigeria.
Buying Bitcoin on marketplaces such as Localbitcoin
LocalBitcoins is an escrow service that serves as a crypto marketplace helping to match bitcoin buyers and sellers. Users are free to advertise trades for any payment method they choose. Below are five steps you can follow to buy bitcoin:
After registration, go to the main page, and search for offers.
Step 3: Select an advertisement
From the list shown, select offers.
Step 4: Pay the seller
Evaluate the offer and pay
Step 5: Mark payment complete
Click the paid button and the transaction will reflect in the wallet
How to store Bitcoin
In the same way money or cards are stored in a purse or handbag containing a wallet, bitcoins are also stored on the phone or computer desktop hosting a digital wallet whether web-based or on hardware.
Bitcoin Price Outlook
Though Bitcoin has struggled over the past few months, even falling by more than half in April 2021, many analysts that bitcoin may overtake the U.S dollar as the dominant form of global finance by the year 2050 which puts the price of Bitcoin at above $66,000 by the end of 2021.