At the same time, we must also see that through measures such as consensus mechanism improvements, lightning network, channel technology, and layered sharding technology, public chains are expected to solve performance problems in the future. For example, Zilliqa's test performance reached more than 2,400 transactions per second. Elrond's simTruffle Ethereumulation performance exceeded Visa's average level (3500 TPS) under 2 shards, and was close to Visa's highest level (50,000 TPS) under 16 shards. ). In comparison, the daily average TPS of the trading system of the stock exchange was 1,380, the historical peak of 90,000, and the pressure peak of 130,000; the average daily TPS of the trading system of the Shenzhen Stock Exchange was 218, the historical peak of 120,000, and the pressure peak of 230,000. In theory, through various optimization techniques, the performance of the blockchain system is expected to approach the normal performance of the traditional financial system.
As shown in Figure 2, when the central bank issues digital currency to commercial banks, it sets the digital currency to an invalid state. In this state, the commercial bank cannot transfer the digital currency in its own bank treasury to the market. When commercial banks carry out loans to enterprises and individuals, they first send a digital currency validation request to the central bank. At this time, the central bank verifies whether the request meets the set time trigger conditions. If it does, the digital currency will take effect and the commercial bank’s lending behavior will proceed. .
BitShares was once regarded as a model for the application of blockchain technology in financial scenarios at that time. When the Babbitt community saw DAI’s plan, someone left a message, “It’s better to engage in DAI than to engage in BitShares.” No one thought that DAI and Ethereum, which were not optimistic at the beginning, have now become the protagonists in the world of encrypted assets. BitShares, which lacks ecological construction, has moved to the edge.
Conversely, if you are a miner and want to lock in the earnings of mining bitcoin in advance, then you can buy a put option with an exercise price of $8,500 after 4 months, if the bitcoin falls to $6,000 after 4 months After you exercise the option, you can still sell it at the unit price of $8,500. In the same way, if Bitcoin rises sharply, you can sell it in the spot market instead of exercising the option. Perhaps you are already confused about the ups and downs trading, there will be an explanation of option call/put + buy/sell below.
Blockchain technology is a network environment composed of nodes that lack mutual trust. Through the dynamic cycle of competition-verification-synchronization-competition, it solves the problem of how each node can reach a credible consensus. A new technology platform for effective and credible cooperation through three-party certification. In layman's terms, the blockchain is a distributed ledger. Each node can display and maintain the ledger, and the ledger cannot be tampered with. The technical characteristics embodied by the blockchain can just meet some specific needs in the military field.
Interest in Bitcoin is rising: more than half of US investors are interested in investing in Bitcoin in 2020, and more than half (55%) of the respondents expressed interest in Bitcoin investment products. Compared with 36% of investors who expressed interest in Bitcoin in 2019, this is a significant increase. Businesses, investment banks and retail investors all recognize that Bitcoin has huge growth potential, which may be the reason why companies such as PayPalTruffle Ethereum and Square decided to support cryptocurrencies.
In other cases, a formal voluntary disclosure to the IRS may be more appropriate. In either case, it is wise to do your best under the current regulatory guidelines, but you should also retain the possibility of adjustments based on the new guidelines. Know that nothing is perfect. In the past five years, the IRS has not even reacted to cryptocurrencies at all. However, there is no doubt that the IRS intends to bring huge law enforcement and taxation drivers into this brave new world.