Jump to content

Questions about cryptocurrency


Recommended Posts

On 11/3/2020 at 7:58 AM, Ghost said:

Simply, if you send YOUR crypto to someone else or a smart contract or any other address, the crypto is no longer YOURS.

Crypto is a one way transfer typically.

 

 

So how does it come BACK to me, then? Could you elaborate on this?? I'm not really GETTING the whole thing in my head......

  • Like 1
Link to post
Share on other sites
On 11/4/2020 at 7:37 PM, onebigindian said:

So how does it come BACK to me, then? Could you elaborate on this?? I'm not really GETTING the whole thing in my head......

Think of cash, you give your cash to someone, they take it, you get something in return typically and you dont get your cash back. Same thing with crypto, once you "send" your crypto to someone it is theres you cant just take it back or dispute it (like a credit card).

  • Like 1

Founder of BlockForums.org - PM me for any help - Join our Discord Server: https://discord.gg/UPpQy3n

Link to post
Share on other sites
On 11/4/2020 at 7:03 PM, onebigindian said:

When making a payment with Bitcoin etc, is there a concept of an OTP? ie. a random number that comes to your phone, that you have to key in, for Protection??

Typically no OTP (2FA, Two factor authentication) is not used as there is no central party holding your funds, unless you are using a 3rd party service like Coinbase who does and then you can have OTP (2FA) enabled with your account and it is almost always required for any 3rd party service, though use caution, as using a third party you do not actually OWN your own private keys to your cryptocurrency with them.

Typically you have a public address and a private key (you store the private key offline somewhere safe) and the public address is what you give out to anyone you want to send you funds.

  • Like 1

Founder of BlockForums.org - PM me for any help - Join our Discord Server: https://discord.gg/UPpQy3n

Link to post
Share on other sites
On 11/8/2020 at 10:44 AM, Ghost said:

Think of cash, you give your cash to someone, they take it, you get something in return typically and you dont get your cash back. Same thing with crypto, once you "send" your crypto to someone it is theres you cant just take it back or dispute it (like a credit card).

OK, so - in the case of smart contracts, ie. where one is involved, I send the money to the smart contract, which then runs software which does whatever, and then maybe decides to send it BACK to me, as in my (dratted! :) ) ice-cream example above? I don't send it to a guy?

  • Like 2
Link to post
Share on other sites
1 minute ago, onebigindian said:

OK, so - in the case of smart contracts, ie. where one is involved, I send the money to the smart contract, which then runs software which does whatever, and then maybe decides to send it BACK to me, as in my (dratted! :) ) ice-cream example above? I don't send it to a guy?

Correct, typically when you are interacting with a smart contract you are sending small transactions with typically just data in them and a gas fee for said transaction to interact with the smart contract, once you interact with it, it will do whatever function you had called from it. So if the contract is setup to refund funds or send you something after interaction then it will.

https://pool.ari.finance is an example of a smart contract (each pool is a smart contract that you can interact with)

  • Like 1

Founder of BlockForums.org - PM me for any help - Join our Discord Server: https://discord.gg/UPpQy3n

Link to post
Share on other sites
On 11/12/2020 at 11:39 PM, Ghost said:

Correct, typically when you are interacting with a smart contract you are sending small transactions with typically just data in them and a gas fee for said transaction to interact with the smart contract, once you interact with it, it will do whatever function you had called from it. So if the contract is setup to refund funds or send you something after interaction then it will.

https://pool.ari.finance is an example of a smart contract (each pool is a smart contract that you can interact with)

...function *I* had called from it? Surely you mean whatever function the guy who CODED it programmed it to do....???

....and basically any moron can write these "contracts", and activate them? Is there any way to know what one of them is programmed to do BEFORE you interact with it in any way? In a VERIFIABLE way? ...cause anything else is just a RECIPE for trouble...!

  • Like 2
Link to post
Share on other sites
1 minute ago, onebigindian said:

...function *I* had called from it? Surely you mean whatever function the guy who CODED it programmed it to do....???

....and basically any moron can write these "contracts", and activate them? Is there any way to know what one of them is programmed to do BEFORE you interact with it in any way? In a VERIFIABLE way? ...cause anything else is just a RECIPE for trouble...!

Yes that is what I meant, the creator of the smart contract makes different functions for whatever the smart contract does, then as a user you are using a dapp that interfaces with those smart contract calls typically.

You can verify contracts and see what they do with a little bit of reading, though it is heavily DYOR, for example since I used the ARI Pool Dapp example above, this is the contract for one of the pools inside of the dapp: https://etherscan.io/address/0x4747cA5474f3044e3F9d3b8dC237E9C9f3A8fc04#code <- Essentially all of the contracts code.

  • Like 1

Founder of BlockForums.org - PM me for any help - Join our Discord Server: https://discord.gg/UPpQy3n

Link to post
Share on other sites
4 minutes ago, Ghost said:

Yes that is what I meant, the creator of the smart contract makes different functions for whatever the smart contract does, then as a user you are using a dapp that interfaces with those smart contract calls typically.

You can verify contracts and see what they do with a little bit of reading, though it is heavily DYOR, for example since I used the ARI Pool Dapp example above, this is the contract for one of the pools inside of the dapp: https://etherscan.io/address/0x4747cA5474f3044e3F9d3b8dC237E9C9f3A8fc04#code <- Essentially all of the contracts code.

No hang on, there is no way for a guy who doesn't know coding what the smart contract is doing??? ie. there's no .NFO or readme.txt file or something like that - for which we'd have to take the programmer's own word for it ANYWAY, what the thing was DOING, but - no whatthiscontractdoes.txt generated BY the code auto, in some way? (yeah, I know, real Sophisticated Shit!).

 

Sorry, what's "DYOR"?

  • Like 2
Link to post
Share on other sites
1 minute ago, onebigindian said:

No hang on, there is no way for a guy who doesn't know coding what the smart contract is doing??? ie. there's no .NFO or readme.txt file or something like that - for which we'd have to take the programmer's own word for it ANYWAY, what the thing was DOING, but - no whatthiscontractdoes.txt generated BY the code auto, in some way? (yeah, I know, real Sophisticated Shit!).

 

Sorry, what's "DYOR"?

Well, sometimes the developer or company will put their smart contracts up on Github to read through the code including some form of a README.md. Etherscan  is the ETH and token block explorer, which has the same code, it is just compiled/flattened essentially. So, typically, for someone super new to smart contracts it is a bit of a learning curve. Usually if you are not a developer (99% of people using smart contracts) they will look at other things involved with a project like the community, who is behind it, what is being developed etc.

 

DYOR stands for Do your own research (A fairly global cryptocurrency term for people to do due diligence on projects and research before they invest)

  • Like 1

Founder of BlockForums.org - PM me for any help - Join our Discord Server: https://discord.gg/UPpQy3n

Link to post
Share on other sites
2 minutes ago, Ghost said:

Well, sometimes the developer or company will put their smart contracts up on Github to read through the code including some form of a README.md. Etherscan  is the ETH and token block explorer, which has the same code, it is just compiled/flattened essentially. So, typically, for someone super new to smart contracts it is a bit of a learning curve. Usually if you are not a developer (99% of people using smart contracts) they will look at other things involved with a project like the community, who is behind it, what is being developed etc.

 

DYOR stands for Do your own research (A fairly global cryptocurrency term for people to do due diligence on projects and research before they invest)

The only people behind my Ice Cream is one little ol' ice cream man, tiny little ME, and one coder HE has hired, who could basically be ANYONE - if HE, OTOH, is Baskin Robbins (ie. a giant corporation), and the coder has been paid 100000000000 Rupees to write the smart contract NOT TO GIVE ME A REFUND COME WHAT MAY, then what happens??

  • Like 2
Link to post
Share on other sites
20 minutes ago, onebigindian said:

The only people behind my Ice Cream is one little ol' ice cream man, tiny little ME, and one coder HE has hired, who could basically be ANYONE - if HE, OTOH, is Baskin Robbins (ie. a giant corporation), and the coder has been paid 100000000000 Rupees to write the smart contract NOT TO GIVE ME A REFUND COME WHAT MAY, then what happens??

Well then you are kinda SoL lol. Typically merchants that accept crypto provide some sort of refund method still, though cryptocurrency is volatile still so you may not receive back the same amount fiat value wise. There are many scam smart contracts out there and shitty dapps that ARE built almost just like that to just steal funds or rob you, so just be careful, hence the "DYOR". The ARI pool I posted for example is safe and verified safe. Mostly it is up to the merchant you are buying from say the Ice Cream man to obtain a refund or not, as they do not usually use smart contracts for simple merchant purchasing.

  • Like 1

Founder of BlockForums.org - PM me for any help - Join our Discord Server: https://discord.gg/UPpQy3n

Link to post
Share on other sites
  • 2 weeks later...
39 minutes ago, onebigindian said:

'kay, so does this mean our Taxes our now calculated *auto*, then? Like, every time money comes into our account, it calculates 20% of that or whatever, and zaps it over to our government?? AUTO??

No. Typically a wallet platform that most use like Coinbase for example or Cash app have tax document export features to make it easy for you to import into something like TurboTax etc.

Cryptocurrency is yours and yours only when it comes down to it, you do not have to pay tax on crypto you own or hodl. You are your own bank, your financial institution etc. by owning cryptocurrency. Everything is your sole personal responsibility, security, taxes, etc. Typically for most areas you only have to pay tax on actual trades if any are done. Taxes though are entirely dependent upon the jurisdiction that you live in.

  • Think About It 1

Founder of BlockForums.org - PM me for any help - Join our Discord Server: https://discord.gg/UPpQy3n

Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

×
×
  • Create New...