guide bitshares cryptocurrency

A Beginners Guide to Bitshares

There is no denying that with the recent popularity of cryptocurrency and its exchange benefits, the beginning of a new era of digital currency has now come to exist. And just like every other cryptocurrency that has emerged, the Bitshare cryptocurrency has become a leading weight through their mode of decentralised operation and how its mining process occurs. This has made people approach Bitshare as more of an equity system of decentralised financial services.

History of Bitshare

Bitshare was created by Daniel Larimer, an individual who many see as a lord when it comes to anything concerning digital currency. He has his work written and revealed on Steemit as also a co-founder of EOS, where he was the original developer. His name always rings a bell in the cryptocurrency niche for his tremendous contribution.

When Bitshares was created by Danel, it was designed as a system where all form of banking operations like financial networking, a ledger, and exchange could take place. It then took a full swing in 2014.

What is Bitshares?

Bitshare was formerly known as Protoshares. It is a decentralized peer-to-peer system that works as a crypto-equity. Bitshares centres its operation based on the equity in which its coin is used as collateral for other decentralized services like cryptocurrency performing smart contracts, and banking.

Bitshares works on an algorithm of Delegated Proof of Stake (DPoS) whereby delegates are voted into their roles by token holders. The voting weight by the token holder is determined by how many of the base tokens the account is holding. These delegates are assigned always to keep the entire network running.

Bitshares was also modelled based on Graphene which is an open source c++ blockchain. Graphene was believed to be first managed by Cryptonomex. But because of its vulnerability to be forked, it is now being used by Steemit, and Peer Plays which is a gaming site.

Bitshares and its market cap

As at when Bitshares was released, its maximum supply was over 3.6 billion BTS. But around 2.6 billion BTS are currently on circulation. Bitshares has a market cap of over 129 million USD making it ranked 38 among other cryptocurrencies.

Bitshares features and benefits

Are you looking to invest in Bitshares? Here are some of the benefits that Bitshares offers;

  • A scalability network with the use of the Graphene technology; Scalability is an essential aspect of cryptocurrency that gives a cryptocurrency platform an edge towards another. When Bitcoin was released, the areas of scalability have always posed a threat to its network. Bitshares was built and designed to solve the problem of scalability with the use of Graphene technology. This technology is able to push hundreds and thousands of transaction within minutes making it highly scalable.
  • A decentralized asset exchange; Securing funds and assets forms a high priority to individuals trading on cryptocurrency. This major problem has made newer and more evolving coins like Bitshares to tackle the need for securing funds and asset. In a decentralized asset exchange, users are in control of their security taking it away from exchanges between peer to peer. This not only guarantees a high level of security but also improved performance making sure the prices are not manipulated over time.
  • A multi-user environment for an organization; Bitshares has a unique feature to create dynamicity to an organization’s account system. This allows the organisation to grant permission to other users to have access to their account. These multi-users can also operate the account making it more dynamic and friendly to users.
  • A community of growth through referral scheme; As a way of fostering the growth and spread of Bitshares in the cryptocurrency niche, a referral program was implemented. This referral programme was geared to spread Bitshare across every community.
  • A platform to create a personalized token; The priority of Bitshares was to operate a more decentralized mode of transaction for individuals and businesses. One way this was achieved was to grant permission for users to create their cryptocurrency token to the public.

How to own a Bitshare wallet

Wallets are essential storage for crypto coins. These wallets act as a secured platform where coins can be stored for a long or short period of time. You can own a Bitshare wallet both as a desktop and as a mobile wallet. Most types of the wallet are compatible with various devices.

Some examples of Bitshare wallet include;

  • Smartcoins wallet; This wallet is an open source android wallet for mobile devices. It allows for the sending and receiving of smart coins like Bitshares. It is built in an absolute secured network using the Graphene blockchain base for a quick transaction.
  • Bisq (Bitsquare); This wallet is designed for desktop users as an open source. It works on the Mac, Windows and Linux operating system and plays a vital role to ensure a high level of the security system with a 2-of-3 multi-signature address.

How to own a Bitshare

  • The buying of Bitshare can be done in two different ways; Directly with your USD dollar account; This is one of the easiest and direct ways of owning Bitshares. It first involves signing up for an account with the US-based exchange site Coinbase and then transferring funds by entering your desired USD amount after all accounts have been verified.
  • Through a cryptocurrency exchange; A cryptocurrency exchange is a platform that grants access to carry out exchanges between different cryptocurrencies. Individuals that already have a Bitcoin or Ethereum account use it as an avenue to access other altcoins. Binance is a crypto exchange platform that allows for trading pair between BTS/BTC. Other examples are Huobi, YoBit, KuCoin, Livecoin and Poloniex.

How to mine Bitshares?

The mining of Bitshares is done through a consensus algorithm called the delegated Proof-of-Stake. This mining process is so decentralized that the voting process selects which nodes will process the blocks making it difficult to mine unlike the proof of work algorithm. Active delegates are voted into their roles by individuals holding tokens. These delegates always ensure that the node is always up and running, that they collect any transaction across the network into the block, and that the broadcast blocks are validating transactions.

An alternative way by which people mine Bitshare is by joining a mining pool. This mining pool will first mine Bitcoin and will later convert it into Bitshares. Once that is done, it will share the profits among the miners according to their contributed harshing power.