Loading...

Follow MOJO Day Trading on Feedspot

Continue with Google
Continue with Facebook
or

Valid
MOJO Day Trading by Protrader Alpha - 1w ago
Journaling is the Seminal Act to Become a Great Stock Trader
By ProTrader Alpha
Journaling a task so simple is shunned by so many; a forgotten, avoided activity that separate the great from not-so-great traders.
So why don’t you journal and learn?
Don’t have time?
Don’t know how?
Keep it all in your head and don’t need to write it down?
Afraid to tally the score and see the facts about your trading?
All are poor excuses. Most professionals journal. Chefs, CEOs, golfers, fishermen, and football players are examples of professionals who journal.
Why do they journal?
Simply to learn and to get better.
So why don’t you journal?
THE NEW TRADING FOR A LIVING
One of the best books on Trading is ‘The New Trading for A Living’ by Dr. Alexander Elder (Wiley Trading Series: ISBN 978-1-118-44392-7).
Dr. Elder, a famous professional trader and best-selling author dedicates a chapter to how to maintain a Trade Journal. He refers to the Trade Journal as “diary entries [that] serve as your “extra-cranial memory, a tool for building the structure for success.”
He proclaims three key benefits from journaling. First, immediately after you start a journal you will have a greater sense of “order and structure”. You will be capturing the conditions surrounding your trades. Second, with time you will have the history and basis to see trends. Third, your learning curve will begin and accelerate, probably at an exponential rate, with your study and review of the trades. A key point made by Dr. Elder is “keeping a detailed trade record feels burdensome – but that’s what serious traders do.”
THE DISCIPLINED TRADER: DEVELOPING WINNING ATTITUDES
Mark Douglas wrote the book titled “The Disciplined Trader: Developing Winning Attitudes” (New York Institute of Finance: ISBN 0-13-215757-8). Douglas’ focus is on the mental part of the trading game and how to develop a winning mental model. He proclaims there are formidable psychological barriers to become a successful trader. My favorite passage in the book is:
“If you don’t know what you did to win the last time, you obviously don’t know what to do to keep from losing this time. The end result is intense anxiety, frustration, confusion, and fear. You feel out of control, experiencing a sense of powerlessness as you are swept along by the ensuing events and wondering what is the market going to do to you today.”
Douglas emphasizes the importance to monitor yourself and develop self-discipline. Journaling your trades will increase your self-awareness and is a critical self-discipline.
KEEPING A JOURNAL WILL CHANGE YOUR LIFE
Keeping a journal can change your life according to Andrew LaCivita who is an award wining author and inspirational speaker. LaCivita is driven to helping people and corporations realize their full potential. His YouTube video titled ‘Keeping a Journal That Will Change Your Life’ discusses how he keeps a journal and his personal daily questions to keep him aligned to his goals. While LaCivita’s wisdom is more career based, his strategy of daily introspection and learning can be easily applied to the business of stock and option trading.
MY EXPERIENCE
I started journaling one year ago and it has dramatically changed my trading…for the better. I tried journaling before, short periods of attempting to track my trades. A spreadsheet here, a trade log there, but nothing regimented, everlasting, and truly honest. Nothing that forced me to capture my reasons and conditions for the trade. Nothing to capture lessons learned from a bad trade. Nothing to enable me to learn.
Why did my past attempts fail?
Because I was lazy and afraid. I didn’t want to put forth the effort. Afraid that I would discover I wasn’t good at trading. Afraid that someone might see my journal. But primarily afraid I would document failure.
Who wants to document their own failure?
One bad trading habit that journaling helped me stop was pre-market trading. I found myself chasing hot stocks in the pre-market and about 50% of the time I would see the stock quickly rise and then decline below my entry price in the 30 to 45 minutes before the market opened, often falling further after the market opened. So, I entered a good trade that quickly became a bad trade.
By journaling I recognized several pre-market conditions that I should avoid and some conditions to capitalize on.
First, since I was journaling my trades I was able to look back at every pre-market trade and determine patterns.
For example, hot stocks tend to rise on press releases and earnings during the pre-market from 6 am (CT) to about 7:30/8:00 am. Then those stocks decline between 8:00 am and 8:30 am and often decline further after market opened at 8:30 am. So, I wrote a ground rule not to trade pre-market.
Even though I had the new ground rule I made a few more pre-market trades without a high consistency of profits. I would chastise myself, in writing, in my trade journal, harshly asking myself why did I just trade pre-market when I just established a trading rule not to trade pre-market.
But there were conditions when pre-market trading was profitable. Reviewing my pre-market trades I established some enhanced and restrictive pre-market trading rules based on volume, price, and time of day.
A key aspect of my learning and now one of my critical trading rules is the necessity to take quick profits. Through my journaling and learning from journaling I corrected a bad habit and then tailored a set of trading rules that have produced consistent pre-market trading success. I would have never accomplished my rule based pre-market system without journaling.
SUMMARY
Here are my take-aways to consider:
Start – No more excuses! Begin today; the journal doesn’t have to be perfect. Don’t let the desire for perfection be the enemy of initiating the proven success tool of journaling.
Be Honest – Don’t just capture the trade, your broker does that for you. Truly document the environment of the trade, why you made the trade, and most importantly what did you learn from the trade.
Review – Review your journal on a regular basis. For some that might be daily…Others might benefit from weekly review. Establish a routine to read about your lessons learned and apply those lessons to future trading.
Feel Good – Take pride and celebrate your journaling success.
Journaling is the seminal act to become a great stock and option trader. So why don’t you learn to journal and journal to learn?
Profitable Trading!
ProTrader Alpha
Read Full Article
  • Show original
  • .
  • Share
  • .
  • Favorite
  • .
  • Email
  • .
  • Add Tags 
Artificial Intelligence and sophisticated robots have already begun making their way into the world.
The Manufacturing Industry
Siemens, Harley Davidson, GE and Cisco all use smart, interconnected machines to run plants. The typical manufacturer is projected to see productivity increase 34%, workforce efficiency surge 48% and have annual plant savings of $1.5 million.
The Health Care Industry
The University of California San Francisco Medical Center has a robotics-controlled pharmacy that has dispensed 350,000 prescriptions without making one error. The next time you pick up your prescription, there might be a robotic pharmacist behind the counter.
The Legal Industry
The New York Times reports that BlackStone Discovery – an e-discovery and litigation firm that uses electronic data discovery software – of Palo Alto, California, can analyze 1.5 million documents for less than $100,000. A team of paralegals would have charged $2.1 million to review.
The Fast Food Industry
At Eatsa, a futuristic San Francisco-based vegetarian fast-food restaurant, there are no employees. Customers use a touch screen to order their food and pay electronically. When the order is ready, the meal slides into a “cubby” that lights up with the customer’s name. The meal is ready in a matter of minutes.
Thanks for reading and watching make sure you subscribe to my channels.
ProTrader Mike
Read Full Article
  • Show original
  • .
  • Share
  • .
  • Favorite
  • .
  • Email
  • .
  • Add Tags 
MOJO Day Trading by Protrader Mike - 3w ago
You might as well get used to the Bitcoin headlines because cryptocurrencies like Bitcoin aren’t going away.
Using history as my guide, this may only be the beginning of the run for Bitcoin.
Bitcoin may be the most lucrative investment opportunity in the history of the world.
I believe the Blockchain will be a new era of the internet. think of the blockchain as a more developed and secure planetary exchange powered by Artificial Intelligence and backed by cryptocurrency. The chain must go full circle through the miners that produce the coins building the crypto-sphere of peer to peer accountability.
You know Jeff Bezos started Amazon just like that....
Let's see he had a book store in his garage selling online...
Now analyze this idea he had ....
Amazon will use supply-chain management software to create a virtual book warehouse developed into a single website?
Nobody knew anything about AMZN and just 10 years ago should you have invested a few thousand into the stock or maybe in the software that he used to build the empire he has today... you'd be filthy rich!
Fast forward to 2018, and Jeff is the richest man in the world. According to ZDNet he ended 2017 worth $99 Billion.
I was trading Amazon.com in the dot-com era. If that sounds as scary as it does exciting, it should. While it is true that trading digital currencies holds risk, there is also a real opportunity right now.
Amid the roiling price churn and innovation headlines, it is important to see the bigger picture. Bitcoin and all the other cryptocurrencies are the start of something that's changing human behavior around the world.
Internet 5.0 and the blockchain, a technological accounting protocol, is a human nature changing idea whose time has come.
People you were not able to fully and accurately quantify Amazon's share value at first.
Even by the start of 1997, everyone knew Amazon had a great idea, but no one could fully explain how much its shares should be worth.
Consequently, investors had to guess at the company’s value, notoriously overestimating the possibilities for a time. Amazon rose more than 6,000% in its first two years after its public offering.
18 years later the peak price from back then looks cheap by comparison today.
Surprisingly, Bitcoin’s performance in its first two years only achieved two-thirds of Amazon’s original run-up.
The recent price appreciation of Bitcoin over the last two years and the price of Ethereum since its initial coin offering have both made dramatic gains, but have yet to match Amazon’s meteoric rise.
It’s possible that cryptocurrencies are not only here to stay, but potentially a life changing mechanism for all of us. If that’s the case, then Bitcoin offers people a multi-decade investment opportunity, rising like Amazon's market cap — and a price — that defies logic.
Please watch Minute 44 and scroll ahead if you like in this video on how I compare AMZN and Bitcoin and show how Bitcoin can go as high as $170,000 per coin.
Thanks for reading and watching make sure you subscribe to my channels.
ProTrader Mike
Read Full Article
  • Show original
  • .
  • Share
  • .
  • Favorite
  • .
  • Email
  • .
  • Add Tags 
$11,270 in profits trading $ACHV watch me trade this stock live for over one hour click here = watch...
Read Full Article
  • Show original
  • .
  • Share
  • .
  • Favorite
  • .
  • Email
  • .
  • Add Tags 
Just imagine in your dreams that you are a day trader with a modicum of success. Then one day, you stumble upon a day trading chat room where there is one trader calling out a select few picks. Guess what? They're almost always the biggest winners of the day and are given to you before anyone else online knows about them.
Wake up!!!
You no longer have to dream of such a place because it exists in the real world: MOJO Day Trading Chatroom.
Here is all you have to do Monday-Friday:
1. Join the service (mojodaytrading.com)
2. Enter the room about 9:00 am
3. Log-in to your trading platform
4. Wait for ProTrader Mike to verbally and visually hand feed you the biggest winners of the day
5. Buy when Mike says buy
6. Sell when Mike says sell
7. Rinse and repeat
8. Once you reach your daily $ goal shut everything down and go enjoy the rest of the day
I'm ProTrader Alan, and this is how my life is since joining Mike's service in 2013. It's a life most people only dream of, but it can become a reality for you if you heed my advice and join our elite trading team today, not tomorrow.
I look forward to seeing you in the MOJO Day Trading Chat Room.
Read Full Article
  • Show original
  • .
  • Share
  • .
  • Favorite
  • .
  • Email
  • .
  • Add Tags 
MOJO Day Trading by Protrader Mike - 1M ago
I was wearing my Bitcoin or Die Mining shirt and my waitress did not know what Bitcoin was. Oh boy...now there’s a decent likelihood that many of the people who stumble upon this article don’t even know what bitcoin is or Bitcoin Miners.
How Bitcoin Mining Works
Where do bitcoins come from? With paper money, a government decides when to print and distribute money.
Bitcoin doesn't have a central government.
With Bitcoin, miners use special software to solve math problems and are issued a certain number of bitcoins in exchange.
This provides a smart way to issue the currency and also creates an incentive for more people to mine.
Bitcoin is Secure
Bitcoin miners help keep the Bitcoin network secure by approving transactions. Mining is an important and integral part of Bitcoin that ensures fairness while keeping the Bitcoin network stable, safe and secure.
Bitcoin Mining Hardware Comparison
Currently, based on (1) price per hash and (2) electrical efficiency the best Bitcoin miner options are:
AntMiner S7
AntMiner S9
Avalon6
Bitcoin mining is the process of adding transaction records to Bitcoin's public ledger of past transactions or blockchain. This ledger of past transactions is called the block chain as it is a chain of blocks. The block chain serves to confirm transactions to the rest of the network as having taken place.
Bitcoin nodes use the block chain to distinguish legitimate Bitcoin transactions from attempts to re-spend coins that have already been spent elsewhere.
What is the Blockchain?
Bitcoin mining is intentionally designed to be resource-intensive and difficult so that the number of blocks found each day by miners remains steady. Individual blocks must contain a proof of work to be considered valid. This proof of work is verified by other Bitcoin nodes each time they receive a block. Bitcoin uses the hashcash proof-of-work function.
The primary purpose of mining is to allow Bitcoin nodes to reach a secure, tamper-resistant consensus. Mining is also the mechanism used to introduce Bitcoins into the system: Miners are paid any transaction fees as well as a "subsidy" of newly created coins.
This both serves the purpose of disseminating new coins in a decentralized manner as well as motivating people to provide security for the system.
Bitcoin mining is so called because it resembles the mining of other commodities: it requires exertion and it slowly makes new currency available at a rate that resembles the rate at which commodities like gold are mined from the ground.
What is Proof of Work?
A proof of work is a piece of data which was difficult (costly, time-consuming) to produce so as to satisfy certain requirements. It must be trivial to check whether data satisfies said requirements.
Producing a proof of work can be a random process with low probability, so that a lot of trial and error is required on average before a valid proof of work is generated. Bitcoin uses the Hashcash proof of work.
What is Bitcoin Mining Difficulty?
The Computationally-Difficult Problem
Bitcoin mining a block is difficult because the SHA-256 hash of a block's header must be lower than or equal to the target in order for the block to be accepted by the network.
This problem can be simplified for explanation purposes: The hash of a block must start with a certain number of zeros. The probability of calculating a hash that starts with many zeros is very low, therefore many attempts must be made. In order to generate a new hash each round, a nonce is incremented. See Proof of work for more information.
The Bitcoin Network Difficulty Metric
The Bitcoin mining network difficulty is the measure of how difficult it is to find a new block compared to the easiest it can ever be. It is recalculated every 2016 blocks to a value such that the previous 2016 blocks would have been generated in exactly two weeks had everyone been mining at this difficulty. This will yield, on average, one block every ten minutes.
As more miners join, the rate of block creation will go up. As the rate of block generation goes up, the difficulty rises to compensate which will push the rate of block creation back down. Any blocks released by malicious miners that do not meet the required difficulty target will simply be rejected by everyone on the network and thus will be worthless.
The Block Reward
When a block is discovered, the discoverer may award themselves a certain number of bitcoins, which is agreed-upon by everyone in the network. Currently this bounty is 25 bitcoins; this value will halve every 210,000 blocks.
Additionally, the miner is awarded the fees paid by users sending transactions. The fee is an incentive for the miner to include the transaction in their block. In the future, as the number of new bitcoins miners are allowed to create in each block dwindles, the fees will make up a much more important percentage of mining income.
Thanks for reading,
ProTrader Mike
Read Full Article
  • Show original
  • .
  • Share
  • .
  • Favorite
  • .
  • Email
  • .
  • Add Tags 
MOJO Day Trading by Protrader Mike - 1M ago
Did you know the Mojo Day Trade show has done 1500 Live YouTube shows every single day for past 6 years? Well, if you haven’t heard, this is been happening for over six years! There are some crazy good videos in that collection, so I want to share some of the ones I like Best in 2018!
The LIVE Streaming usually begins live from YouTube at around 10:30 AM, but if you want to get up to the minute alerts, make sure to subscribe to the MOJO Day Trading YouTube channel or the MOJO Twitter Feed:
Now, MOJO presents to you the Top MOJO Videos in the 2018 Gallery, for your viewing pleasure:
Read Full Article
  • Show original
  • .
  • Share
  • .
  • Favorite
  • .
  • Email
  • .
  • Add Tags 
By ProTrader Mike
Have you ever come across the term cryptocurrency airdrop and wondered what it meant?
Well, it’s nothing like the image you probably have in your head of an airplane dropping coins from the sky.
In times of war, natural disaster, or other forms of crisis where the lives of people have been affected in places that are difficult to access by land, airdrops are carried out to provide essential supplies to people trapped in those zones.
In the world of cryptocurrencies, airdrops have a different meaning. The cryptocurrency world has its own unique vocabulary which is expanding as the market evolves over time. In this article, cryptocurrency airdrops will be explained in detail.
Airdrops can be defined as the process whereby a cryptocurrency enterprise distributes cryptocurrency tokens to the wallets of some users free of charge.
Airdrops are usually carried out by blockchain-based startups to bootstrap their cryptocurrency projects. Also, established blockchain-based enterprises like cryptocurrency exchange platforms and wallet services can also carry out airdrops as well.
Process Mechanism There are basically two major types of airdrops; the ones that come as a surprise and the ones that are announced beforehand.
For already established blockchain-based enterprises, they may choose to go the route of the former rather than the latter.
Getting to know about it might depend on how involved one is in the crypto community. These are the types of airdrops that occur and have people commenting on online forums that their wallets have been credited with coins and no one is the wiser as to where the coins came from.
For blockchain-based startups, they mostly favor the route that involves pre-airdrop announcements to get the buzz going.
Since the aim is mostly to bootstrap the project, the airdrop process usually involves the completion of a number of tasks by the user in order to qualify for the airdrop.
When the date of the airdrop arrives, the enterprise will release the free tokens to the users who qualify.
Reasons for Carrying Out an Airdrop From creating hype and buzz around a new blockchain-based enterprise to rewarding loyal customers, there are a number of reasons why a cryptocurrency airdrop is carried out.
The following are some of the reasons for carrying out a cryptocurrency airdrop.
As a Reward for Loyal Customers From time to time, blockchain-based services like cryptocurrency exchange and trading platforms, wallet service providers etc. wish to give back to their customers and subscribers. Airdrops can be used as a means of rewarding loyal customers with free cryptocurrency tokens.
This serves as an incentive that can assure continued patronage on such platforms. This type of airdrop mirrors the voucher and discount giveaways of non-blockchain companies in the mainstream commercial world.
In 2017, the cryptocurrency exchange platform, Binance, carried out an airdrop of 500 TRX cryptocurrency to account holders on the platform. The airdrop lasted from the end of October 2017 to the middle of November 2017. In order to qualify for the airdrop an account holder needed to have at least 0.003 BTC in addition to having completed at least one transaction on the account. Binance account holders who had the equivalent of 0.003 BTC in other cryptocurrencies were also eligible for the airdrop as long as they fulfilled the transaction requirement.
To Generate Lead Database Marketing is all about leads. Organizations tend to pay a lot of attention to generating appropriate leads that will drive their marketing campaigns and increase patronage. Airdrops can be used by blockchain-based enterprises to generate valuable lead databases for their organizations.
In exchange for free cryptocurrency tokens, users will be asked to complete online forms that contain valuable user information which can be used to develop targeted marketing strategies. This application of airdrops to generating lead databases can even be utilized by none-blockchain enterprises.
To Create Awareness About a New Cryptocurrency With the sheer size of the cryptocurrency market, a new cryptocurrency can go completely unnoticed if it isn’t given the right boost in terms of substantial marketing campaigns.
Just like every other aspect of the digital world, hype and buzz play an important role in the cryptocurrency ecosystem. With many cryptocurrency enthusiasts looking for new cryptocurrency options, an airdrop is a great way to get people interested in a cryptocurrency.
The marketing campaigns on social media for an airdrop can lead to increased attention being paid to a new cryptocurrency. Word of mouth advertising and other forms of organic engagements brought about by an impending cryptocurrency airdrop can lead to increased user participation in the cryptocurrency.
This can help to bootstrap a new cryptocurrency as seen in the case of Bitcoin Cash. After the Bitcoin fork that led to the creation of the Bitcoin Cash, the developers of Bitcoin Cash carried out an airdrop rewarding all of its users. For every bitcoin held by a Bitcoin Cash participant, the developers gave a corresponding amount of Bitcoin Cash. The end result was that in less than one month, Bitcoin Cash was among one of the top 10 cryptocurrencies in the market.
How to Get Involved in Airdrops Getting involved in airdrops requires access to information and the ownership of a cryptocurrency wallet to receive the free coins.
The first step is to sign up for online services that provide timely information about cryptocurrency airdrops. These include websites, Twitter accounts, Telegram groups, as well as online cryptocurrency airdrop forums.
Some examples of such online services include These services provide vital information that will help users stay informed about upcoming cryptocurrency airdrops. They also provide information on the qualifying criteria for participating in the airdrops.
FundYourselfNow also has an ongoing Airdrop Program — Click here for more details.
Getting a cryptocurrency wallet is an essential part of being in the cryptocurrency market and that applies for airdrops as well. It is a good idea to get an ERC20 compatible multicurrency wallet since the majority of the cryptocurrency tokens in the market are ERC20 tokens. When participating in airdrops, it is important to be security conscious so as to not fall a victim of fraudulent airdrop campaigns.
Some airdrops are designed to hack wallets and steal private keys. Always confirm the authenticity of a cryptocurrency airdrop campaign before participating in it.
Thanks for reading,
Keep it profitable
ProTrader Mike
Read Full Article
  • Show original
  • .
  • Share
  • .
  • Favorite
  • .
  • Email
  • .
  • Add Tags 
MOJO Day Trading by Protrader Mike - 1M ago
By ProTrader Mike
Picture courtesy of cointelegraph
Proof-of-Work, or PoW, is the original consensus algorithm in a Blockchain network.
In Blockchain, this algorithm is used to confirm transactions and produce new blocks to the chain.
With PoW, miners compete against each other to complete transactions on the network and get rewarded.
In a network users send each other digital tokens. A decentralized ledger gathers all the transactions into blocks. However, care should be taken to confirm the transactions and arrange blocks.
This responsibility bears on special nodes called miners, and a process is called mining.
The main working principles are a complicated mathematical puzzle and a possibility to easily prove the solution.
What do you mean a “mathematical puzzle?”
It’s an issue that requires a lot of computational power to solve.
There are a lot of them, for instance:
hash function, or how to find the input knowing the output.integer factorization, in other words, how to present a number as a multiplication of two other numbers.guided tour puzzle protocol. If the server suspects a DoS attack, it requires a calculation of hash functions, for some nodes in a defined order. In this case, it’s a ‘how to find a chain of hash function values’ problem.
The answer to the PoW problem or mathematical equation is called hash.
As the network is growing, it is facing more and more difficulties. The algorithms need more and more hash power to solve. So, the complexity of the task is a sensitive issue.
How come?
Accurate work and speed of Blockchain system depend on it.
But the problem shouldn’t be too complicated. If it is, the block generation takes a lot of time. The transactions are stuck without execution and as a result, the workflow hangs for some time. If the problem cannot be solved in a definite time frame, block generation will be kind of a miracle.
But if the problem is too easy it is prone to vulnerabilities, DoS attacks and spam.
The solution needs to be easily checked. Otherwise, not all nodes are capable of analyzing if the calculations are correct.
Then you will have to trust other nodes and it violates one of the most important features of Blockchain - transparency.
How is this algorithm implemented in Blockchain?
Miners solve the puzzle, form the new block and confirm the transactions.
How complex a puzzle is depends on the number of users, the current power and the network load. The hash of each block contains the hash of the previous block, which increases security and prevents any block violation.
If a miner manages to solve the puzzle, the new block is formed. The transactions are placed in this block and considered confirmed.
And where PoW is usually implemented?
Proof-of-Work is used in a lot of cryptocurrencies.
The most famous application of PoW is Bitcoin. It was Bitcoin that laid the foundation for this type of consensus. The puzzle is Hashcash.
This algorithm allows changing the complexity of a puzzle based on the total power of the network. The average time of block formation is 10 minutes. Bitcoin-based cryptocurrencies, such as Litecoin, have the similar system.
Another large project with PoW is Ethereum. Given that almost three of four projects are implemented on Ethereum platform, it’s safe to say that the majority of Blockchain applications use PoW consensus model.
Why use a PoW consensus algorithm in the first place?
The main benefits are the anti-DoS attacks defense and low impact of stake on mining possibilities.
Defense from DoS attacks. PoW imposes some limits on actions in the network. They need a lot of efforts to be executed. Efficient attack requires a lot of computational power and a lot of time to do the calculations. Therefore, the attack is possible but kind of useless since the costs are too high.
Mining possibilities. It doesn’t matter how much money you have in your wallet. What matters is to have large computational power to solve the puzzles and form new blocks. Thus, the holders of huge amounts of money are not in charge of making decisions for the entire network.
Any flaws in the PoW consensus algorithm?
The main disadvantages are huge expenditures, “uselessness” of computations and 51 percent attack.
Huge expenditures.
Mining requires highly specialized computer hardware to run the complicated algorithms. The costs are unmanageable Mining is becoming available only for special mining pools. These specialized machines consume large amounts of power to run that increase costs. Large costs threaten centralization of the system since it benefits. It is easy to see in the case of Bitcoin.
“Uselessness” of computations. Miners do a lot of work to generate blocks and consume a lot of power. However, their calculations are not applicable anywhere else. They guarantee the security of the network but cannot be applied to business, science or any other field.
51% attack, what are you talking about?
A 51 percent attack, or majority attack, is a case when a user or a group of users control the majority of mining power.
The attackers get enough power to control most events in the network.
They can monopolize generating new blocks and receive rewards since they’re able to prevent other miners from completing blocks.
They can reverse transactions.
Let’s assume Alice sent Bob some money using Blockchain. Alice is involved in the 51 percent attack case, Bob is not. This transaction is placed in the block. But the attackers don’t let the money be transferred. There is a fork happening in the chain.
Further, miners join one of the branches. And as they have the majority of the computational power, their chain contains more blocks.
In the network, a branch that lasts longer remains, and shorter one is rejected. So the transaction between Alice and Bob does not take place. Bob doesn’t receive the money.
Following these steps, the attackers can reverse transactions.
51 percent attack is not a profitable option. It requires an enormous amount of mining power. And once it gets public exposure, the network is considered compromised, which leads to the outflow of users. This will inevitably move the cryptocurrency price down. All consequently, the funds lose their value.
Thanks for reading,
Keep it profitable
ProTrader Mike
Read Full Article
  • Show original
  • .
  • Share
  • .
  • Favorite
  • .
  • Email
  • .
  • Add Tags 

Separate tags by commas
To access this feature, please upgrade your account.
Start your free month
Free Preview