I don’t know about you, but I regret not buying Bitcoins when they cost fractions of a penny. Now they’re worth $400. But if you’re ever going to get a second chance, this might be it. Could ETH be the standout altcoin that gives Bitcoin a run for the money?
This is not an in-depth analysis, but I had to post something. Because I like to gloat when I’m right ;-)
Take a look at this. ETH is up 10x in 2016 so far.
I have not had time to investigate this thoroughly or give ETH my seal of approval. But my first impression is that it’s legit. Thus far, I don’t really hear developers shouting from the rooftops: ETHEREUM IS AWESOME. But I don’t hear them saying it’s BS either. From reading Hacker News, my impression is that Bitcoin advocates want Bitcoin to catch up with the current capabilities of Ethereum, and developers on the Bitcoin side are feeling the pressure.
With that bit of skepticism out of the way, here’s why I think Ethereum is hot:
2. Ethereum made the front page of Hacker News recently. Which is a big deal, if you didn’t know.
3. Hashflare.io recently announced they will mine Ethereum for you for $4.25 per 100 KH/s of mining power. For less than $5 you can get a piece of this “world computer.”
We constantly monitor global cryptocurrency trends and listen to your feedback and suggestions, and now we are proud to announce that starting from March 21 we are launching a new mining contract on ETHASH! ETHASH is an algorithm used to mine one of the world’s most promising cryptocurrencies – Ethereum.
Now maybe you’re thinking to yourself: Let’s assume Ethereum has a future. How do I make money from this?
Like I’m doing, write something about Ethereum. Or make a video, or an infographic. “Fintech” is really hot now and the traffic commands high CPMs. Maybe I rank #1 in Google for “How to buy Ethereum coins?” Then I would get ad revenue from Ethereum ads. Then maybe I get to interview Ethereum entrepreneurs. Maybe I get to review their products and services. Maybe you’re selling an ebook about Ethereum and I get a referral commission. Maybe you’re building a course about Ethereum or you’re an “Altcoin Coach” or something like that, and I’m able to send you traffic. That’s how it works.
Buy and hold Ethereum until it’s really valuable. There’s no guarantee, but maybe you’ll become an ETH millionaire in a few years. Stranger things have happened. So how would you buy Ethereum, today? At the minimum, you need these three things:
- An Ethereum wallet to store your booty. You should probably do some research to avoid losing your golden ETH egg to hackers.
- A Coinbase or Circlepay account. Circle allows you to easily buy Bitcoins through your smartphone and it works on Android and iPhone. Coinbase works on Android and iPhone too, though I haven’t played with their app recently. In any case, this isn’t difficult.
- The final step is a little more involved, but much easier than buying a stock like GOOG. You’re going to need an “exchange” like Bittrex or Poloniex. I do not endorse these exchanges, you should investigate them yourself. But the idea is, you create an account and trade your BTC (Bitcoins) for ETH (Ethereum) and then you would transfer your newly acquired ETH coins into your ETH wallet. Use these exchanges at your own risk.
This process is likely to change over time. For example, in the future, maybe your Ethereum wallet is connected directly to your bank account and there’s no need for Bitcoins at all.
Mining these coins yourself would be a real pain. The mining hardware is expensive, uses a lot of electricity, and is really hot and really loud. Unless you’re somewhere cold like Iceland, it’s a terrible idea to mine coins yourself. Even if you wanted to, the hardware will be obsolete in no time (just to break even) and you need a lot of engineering ability. So you’re probably thinking, why can’t I just pay someone to “mine” these coins for me? Well, you can. Hashflare.io will mine Ethereum coins for you.
Here’s the mind-blowing part of this. Their system has an option to reinvest your mined coins back into buying more mining power. Before you say “Ponzi scheme,” the reinvestment mode is just an option that’s easy to turn off. You can easily withdraw your mined coins to your wallet. But I must say, the reinvestment option is really interesting. How long would it take to double, triple, quadruple your mining power this way? Then again, how do you know Hashflare.io won’t go out of business with all your mining power? Well, you don’t know. That’s a real risk. Heck, they are in Estonia and could vanish into the night without a trace. But if you ask me, it’s an intriguing business model.