How does Cryptocurrency Work

Bitcoin is a decentralized cryptocurrency. Its emission is not controlled by any state, transactions are transparent and anonymous. The system is securely protected, it is simple and at the same time extremely complex. In a couple of years, the cryptocurrency and mining are spreading all over the world.

Who Invented Bitcoin?

The history of the Bitcoin creation is ambiguous, intriguing and mysterious. The author of the cryptocurrency is the ephemeral Satoshi Nakamoto – an Internet user (or a group of users) who published an article on cryptocurrency in the mailing list at the end of 2008. They described the digital peer-to-peer currency. At the beginning of the next year Nakamoto released the first software for working with cryptocurrency.

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Bitcoin Basis

  • Hash function. A mathematical transformation by an algorithm that turns any set of information into a unique number-letter value of a certain fixed length – a hash. Something like a cipher. Even a small change of one character in the original data set, causes the output (hash) to change drastically.
  • The key element of the bitcoin system is a blockchain. It is a chain of blocks where information on transactions in the network is stored for the entire time of its existence. A copy of this unique database is kept by every member of the system, gradually and constantly updated due to the receipt of new blocks.

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Why is It Safe?

What happens if someone decides to change the transactions in the block and cancel the money transfer or change the addressee? He can do it, but then the hash of the block will change. A new branch will appear in the chain.

To fix its fraudulent block, a hacker will have to solve a new task in 10 minutes faster than others. And one can not solve it beforehand by building blocks, because the solution depends on the hash of the previous block. Thus, an attacker will have to own at least half the power of a Bitcoin network, in order to solve a new task with 50% probability and build new blocks. All in all, this is practically unreal and completely unprofitable.

How are Bitcoins Mined?

Performance diagrams of the network clearly demonstrate that video cards are not of the utmost importance in the field of mining. CPU left this niche in 2011, GPU – in 2013. Now the Bitcoins are mined on the application-specific integrated circuits (ASICs), which are exclusively for the hash calculation. Nevertheless, lots of other cryptocurrencies are still being mined on video cards.

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Korean Exchange Bithumb Welcomes New Users

The South Korean currency exchange Bithumb opened registration for new users after the introduction of theknowyourcustomer” (KYC) procedure.

At the end of December, the government of South Korea reported on a demand to prohibit the opening of anonymous unverified accounts for users of crypto exchanges. It resulted in the development of laws and regulations, according to which at present registration on the Korean stock exchanges everybody must pass through the KYC.

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The developers of the Bithumb reported that from February 9, users are able to verify their profiles via an open account in Nonghyup Bank. Moreover, the report says that the last revisions on the integration of the verification through Shinhan Bank will soon be completed.

The South Korean crypto exchange Bithumb was able to introduce the KYC system within ten days after the official ban of anonymous trading accounts in the whole country.

According to media reports, on January 30, 2018, new legislation was introduced in the country, created by the Financial Services Commission (FSC). It obliges crypto exchanges to introduce the KYC procedure for all the platform users. Thus, for the implementation of trading on the Bithumb, new users, as well as previously registered ones, must pass the KYC necessarily.

Artificial Intelligence Becomes a Jury in the Photo Contest

International Business Times starts the contest of architectural photography with an artificial intelligence acting as a jury. It was created by the developers of the well-known mobile app EyeEm. Developers say that the system is able to analyze the images according to a number of criteria: from identification of objects on the photo to evaluating the aesthetic features of the photo.

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The Graphic City competition is dedicated to architectural minimalism. Mangers ask participants to focus on geometric elements, corners, and curves. They want photographers to send visually concise photos. Recruitment continues until February 12.

EyeEm is one of the most popular photo apps. The number of users is equal to approximately 20 million people all over the world. Technologies of AI in the program have been used for a few years – mostly for sorting photos regarding the themes and categories.

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CES18: Mercedes Smart Vision EQ – Two-Seater Autonomous Vehicle

Smart-Vision EQ from Mercedes-Benz demonstrated its unique opportunities at the recent CES 2018 show in Las Vegas. It was first shown at the Frankfurt motor show in September. Engineers have completed autonomous control systems and connectivity options. The result was a car built on the platform Smart Fortwo, which is capable of winking at pedestrians. Moreover, it has the fifth autonomy level and welcomes passengers by their names.

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Thanks to the fifth autonomy level, the car does not have a steering wheel and pedals in the cabin. Mercedes says that the concept is not intended for sale to private individuals. Instead, it will be a part of the fleet of autonomous cars of the future. The company sees that in a few years such cars will come to the destination and greet their passengers by their names. They will get to know all the information needed through to the connection service between cars-taxi data and photos.

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As soon as the passenger has been taken to the destination, Smart Vision EQ politely bids him farewell. An interesting feature is the car’s equipment with hygiene products. Therefore, people can, while in the salon, for example, clean their hands or have lunch.

Mercedes has updated the front display with the image of the Las Vegas Strip Boulevard, which was installed by default. During the show, he made several short trips at a distance of about 500 metres. For passengers it was absolutely new and exciting experience riding a car with the fifth autonomy level.

However, the trip was not absolutely autonomous. A technician controlled the car through the remote control. The manufacturer has not risked the safety of people in such a crowded place yet. However, the experiment gave a clear idea of what the traffic would be in the near future.

CES18: Solana. The New Attractive Sex-Robot from RealDoll

Not so long ago the first sex-robot Harmony from the RealDoll Company was presented to the world. It was not merely a commercial step. Developers stated it was an experiment and engineers wanted to understand what kind of emotions machines cause: disgust or interest. This year, at CES the company released RealDoll Harmony’s sister with a new face, updated AI and several new features. They tried to make it even more realistic. The new robot received the unusual name Solana.

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Its first difference is blonde hair. The creator of the robot Matt McMullen explained that the robot’s appearance is universal, as everyone loves blonde-haired women. Switching in the Harmony application to another robot, one can choose the personality features and make an individual profile and an avatar. The user can easily move and add various faces to one and the same robot. The app users get the opportunity create the unique character of their Solana robot, talk to it, working with an algorithm that processes and remembers the answers just like with the previous sex AI.

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Currently, the company is creating a body equipped with a great deal of sensors that allow it to react to touch and give to AI the ability to move. The engineer added that he wanted to get a moving robot, but as for now, he has built a torso that gestures and rotates. Until then, McMullen was able to collect around 20 bots, and already has the same number of pre-orders. During an interview at the CES scene, he said that he was also working on the development of male sex bots.

Cryptocurrency Got the Voice of «Virtual Currency Girls»

Not so long ago in Japan a musical group «Virtual Currency Girls» appeared. The girls have already become popular all around the world.

The Virtual Currency Girls have already had their devoted fans. There are eight participants in the pop group. Earlier this group performed under the name «Kaso Tsuka Shojo». Every performer gets the name of one widespread cryptocurrency. There are Bitcoin and Ethereum among them.

The leader of the group, 19-year-old Rara Naruse reported that their musical group is going to shed some light on the Altcoins and block chain. In an interview for Japan Today, Naruse described the objectives of the team. She said that they carefully selected several cryptocurrencies, which would undoubtedly continue to exist in the future. Rara stated that the group strived to expand understanding of cryptocurrencies and block chain with the public through entertainment.

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Japan becomes a country where the authorities are loyal to the introduction of cryptocurrencies. Eastern neighbours South Korea and China have applied strict rules. They try to abolish the cryptocurrency movement. On the contrary, the Japanese are open to innovations and easily accept changes.

In addition, the Japanese group “J-Pop” also hopes to spread the deep understanding of the digital currencies among their fans. “J-Pop” was at the peak of popularity in the 1990s. It seems that nowadays the group will be able to announce itself once again and return to show business thanks to cryptocurrencies.