Meta-Hoops 2 MetaBytes 4 MetaBits

by Eric G. Satterwhite

Latterly, the National Basketball Association's (NBA) California State Capitol franchisee -- the Sacramento Kings divulged the team's decreed acceptance of the virtual money BitCoins-- as legitimate currency for organizational financial transactions. 

The NBA's Kings crowned themselves as the aboriginal United States major professional sports institution to welcome  BitCoins as authorized medium of exchange equivalent to cash and/or credit/debit cards.

Yet, many are not anchored to the machinations of the crypto-currency BitCoins. 

We'll overwhelm the realm dubiously doffing the veil (of the viral virtual money sale)no due adieu salaciously saliently we shall sail....

Cyber Kinetic Money Magnetics

In contempo months the Bitcoins payment system has captivated oodles of observance: whereas the rate of the virtual coins soared pointedly from $200 in September last year to $1,200 at the apogee of November 2013. As of this writing,  Bitcoins are traded at $814.92  singularly (per marketplace MtGox.com). Most folks perceive that this pragmatic coinage abides only in cyberspace-- chilly chants chitchat "Bitcoins nothing but  the next 'bubble' and not to be trusted"--and others boastfully banter boldly "Bitcoins are the future of electronic payments". 

The Metaphysics of Hoops and Beyond has plucked 12 (akin to an NBA active roster ) factoids about the growing cost of cyber centralized currency for your evaluation/insinuation and beloveds the compensatory hater alert their 'how deep is his range'...consternation. 

Coinage Cathedral Dodecahedral

 1. Who is behind Bitcoins? 

This is  a buttoned up scenario cloaked in cryptogram. According to the predominant humdrum version, the author of Bitcoins is a computer programmer from Japan named Satoshi Nakamoto. In 2008 Nakamoto (or a covert faction guised with this pseudonym)  published a cryptographic virtual wallet protocol specification-- and in 2009 maturated the first Bitcoins client  launched network. In 2010 Nakamoto abandoned the aforementioned project while transferring all personal powers to further improve the electronic money system  to a cat named Gavin Andresen (Chief Scientist of the Bitcoins Foundation) .

While hearsay endures that the mythological mogul Mr. Nakamoto maintains multi-millions of Bitcoins  {if so}-- the Bitcoins Boss  balance tallies $850 million liquid. (Estimate calculated per the exchange rate of Coindesk.com  January 18, 2014). 

2. In contrast to  'paper' money, which is produced by variant Global governments (out of range) of any Bitcoins regulator. Current currency carry zero administrators and  functions fully-- (automatically autonomous)  easily expediting paper currency citizenry praxis. Yet, with dynamism I share  Bitcoins  is a clutch of numbers that can be passed via hyperspeed from one computer to another (all online mobile devices)-- and  transit transaction trajectory data stored/encrypted to all latching Global schematics.  Now you can surmise why Bitcoins are typically in character as"decentralized centralized cyber cash." 

3. Keeping intel moving a sole single center, is responsible for the "issue" of virtual money  hence, the second feature of Bitcoina-- users of the system can independently 'mine' coins-- cycling a mining card in their own computers that are ciphered as hashing the block header. 'Mining' is actualizing money out of thin air yet, is a very slow process-- craving titanic computational power-- eliciting elephantine electricity costs. Knowing the complexity of this process increases automatically with each new mining member-- resulting in the eventual linking of extractions via  supercomputer--interfacing  every participant of the Bitcoins system. However, this does not roadblock discrete enthusiasts continuance in  spawning outright virtual 'farms' harvesting Bitcoins. 

4. The algorithm incorporated Bitcoins honors one very exigent solidity: the total number of coins should not exceed 21 million. Superseding this ground zero of Bitcoins emanations the algorithm triggers  Bitcoins virtual-ism  to automatic nihilism. Since 2009, more than half of the 21 million max (approximately 12 million) were produced. According to analog funding forecasts-- hauling into account the increased complexity of formulation-- the Bitcoins resource exchange may  exhaust in early  2140. 

5. Legally the status of Bitcoins globally are interpreted in contrary contrivance-- which incurs this high tech financial system-- to behave  vulnerably/valorously versed vitriolic volatility . The People's Bank of China (December 2012) banned all Financial agency divisions from welcoming transactions with Bitcoins. Notwithstanding, The Central Bank of France labeled Bitcoins as a, "speculative financial instrument  prone to high volatility".  

The Thailand National Banking (Summer 2013) refused recognition of  cyber coins as  independent currency. Taking all the above in accord-- Bitcoins are not regulated at the government level, Germany postured that Bitcoins fails the definition of private money while Singapore grants the Bitcoins full financial rights and privileges for digital transactions. 



6. As we 'shareth'  in the now Bitcoins can purchase electronics, clothes, books and other products on the Internet-- as well as pay for hordes of other online services. In the loop number 'exchangers'  can convert electronic coins to regular money. Additionally, hosts of retail outlets invite cyber centralized currency carrying forward Bitcoins rise steadily increasing utilization ...magnanimously.

In October of this year  Canada became the first Country in the world with a public ATM apparatus that translates Canadian currency into Bitcoins and converse (back to cash). Apparatus Robocoin certifies identity of the person on the basis of individual hand-prints governing access.

Peep game: you can make money --Bitcoins as cash and credit cards. At night beloveds one can procreate transactions  upward to three thousand Canadian dollars(approximately  2,900 U.S. dollars). 


7. As with any other mold of money  (maintaining 100%) Bitcoins are vulnerable to theft.

Though these theft  episodes are difficult to confirm--  they occur as a blur. To further concur in June 2011 one cyber cash enjoyer stated that their worldwide web wallet-- was wasted of 25,000 Bitcoins while in March 2012  the upshot of a hijack hack attack-- the hosting company Webhost  had 50,000 Bitcoins sneakily snatched/snaked (  230K value when boosted).


8. Bitcoins are not  the only 'cyber centralized currency' just the first to velvet widespread popularity. Among the alternatives - exists Litecoin

which can  mainframe algorithmics  four times fleeter than Bitcoins. The Peercoin limits mining and no limitations in respect to cyber movement. Namecoin applies modified Bitcoin-algorithms and dozens of others yet to blow up out of the umbra come up . 



9. Anonymity begets the Bitcoins payments system sure enough tantalizing underworld accountants. The most prominent prototype - was an online store slinging illegal contraband called Silk Road-- shuttered by the FBI in October 2014. This nefarious project was implemented on the anonymous network TOR - the quantum of the Internet-- not indexed by worldwide web search engines. In addition to psychotropic substances (including and not limited to LSD, marijuana, heroin) Silk Road  hustled electronics, cornucopia pornographic by products, and banned books.

The site owner, Ross William Ulbricht was detained and Silk Road servers storing Bitcoins data were warlike withdrawn. Another point of interest is that in January 2014, U.S. authorities appropriated another Bitcoin purse  conducted  by dint of Silk Road. The raid pinched nearly 30,000 Bitcoins meriting $25 million in paper dough assessment. 


10. During the autumn of 2013 in the same notorious closed network TOR  the earned Assassination Market (yes real murder for hire) offered visitors-- Bitcoins chips to murder major political figures.  The alleged killer for hire could gather  Bitcoins before the implementation of the rubout order yet,  had to make a donation of 1 Bitcoin encrypting the dates of the alleged assassination attempt.

After the hit the reward was to be listed and the founders of the resource itself would gate 1% of donated amount as walk away commission. Needless to state  the highest levels of USA Federal law enforcement terminated this stealth internet entity entirely.







11. United Kingdom resident James Howells utilizing a personal laptop  generated 7500 Bitcoins in 2009, when mass productions of Bitcoins was incomplex. After the British IT-specialist accidentally spilled lemonade on his laptop-- Howells decided to disassemble the electric brain into parts-- then  save the hard disk with Bitcoins. The Summer of 2013 Howells appraising his hardware chucked the old hard drive (Bitcoins cyber wallet) in the trash.

 This dicey detached decision   Howells greatly regretted  when the market of cyber centralized currency-- soared thousands of dollars-- potentially cashing out Howells $6 million dollars. Howells attempted to fervently feverishly find the dumped drive at varied garbage disposals which proved frustratingly frantic fraught fruitlessness.  There exists a old US Navy saying, "Stupid will be punished."



12.  Three years ago  Bitcoins could  practically acquisition zero commodities. In May 2010 American programmer Floridian Hanyecz Laszlo decided to pan out solidified solvency of centralized cyber cabbage.  Laszlo transmitted 10,000 Bitcoins (BTC),  the online-only gravy to a volunteer in England, who then spent nearly $25 to order Hanyecz a taste of Papa John's pizza. Hanyecz then uploaded the tomato pie facsimile  as proof positive that the Bitcoins transaction had been successfully completed. This  major milestone in Bitcoin's short history cornered computer coinage confidence . As we 'rappeth' in the now Hanyecz original 10,000 Bitcoins pioneer payout is valued now at $815.00 (per BTC). That's right esteemed readership today 1/26/14  $8,150,000.00 pizza pie purchase. That's amore!

Thanks exorbitantly to the financial crisis in Cyprus, Greece that spurred Europeans to buy  Bitcoins at a blistering rate, a single BTC is currently valued at   $815.00 US dollars. However, 47 months ago, when the computerized coined currency was unveiled in February 2010, a singular bitcoin was valued at $0.03. Interesting interest indeed. 

Ad interim, Bitcoins are monetary worth. Bitcoins maintain alarming volatility, and there are still relatively meager real-world marketplaces that accept Bitcoins ad nauseum.   Reuters media conglomerate  recently reported that Wall Street behemoths Goldman Sachs and Morgan Stanley have been marinating in Bitcoins exchanges. Investors are taking digital dinero Bitcoins so so seriously. The value of the crytopcurrency may  
hold (hmmm) or even accelerate ascension atmospherically. Then the lucky few (who dare the rare) omnipresent during the birth spasms of the world's initial CPU money mint might monetize meritorious mounds of moolah.