The summer of 2017 has seen an explosion in new cryptocurrencies, with dozens of startups using digital currency as a fundraising mechanism. According to Bloomberg, initial coin offerings (ICOs) have raised over $1.6 billion in the past year.
ICOs are similar to crowdfunding in that they use digital networks to aggregate financial support from multiple funders. But ICOs have several features that do not apply to traditional crowdfunding platforms.
Despite much of the early hype, blockchain applications are not “unhackable.” In the last year, a handful of highly visible attacks against blockchain-based tools served as a reminder that there’s no such thing as flawless security.
Bitcoin’s price is so volatile because of speculation. While it’s possible to buy physical goods with Bitcoin in some places, the large majority of Bitcoin transactions are still investment based. As such, people buy and sell Bitcoins like they would any other investment. This buy-sell cycle is what makes Bitcoin’s price so volatile.
With public votes like the one in Turkey having such far reaching consequences, we need to have complete faith in them. Blockchain technology gives this security – surely it’s the way of the future.
You want to start your own exchange, but don’t know where to start? This article intends to clarify which things you need to consider before you want to launch your crypto exchange.
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