Don’t worry! The platforms like smslansnabb.se have brought you a pool of financial service providers. You can explore the offers listed by different financial service providers.

Every firm performs various risk assessments and offers 20.000 SEK to 600.000 SEK depending upon the case.

Some of the options that you can consider here are as follows:

You can consider going for a Business Loan

Although startups find it difficult to raise loans, it’s not impossible in Sweden. Many service providers like https://smslansnabb.se/lendo-logga-in can offer you various loan options after scrutinizing your application.

Some of these loans need no certifications, and your card will not straightforwardly influence your FICO rating. Nevertheless, it is an enormous reward, and that is one assuming it is one of the best ways of raising assets for new businesses.

You can consider going for a crowdfunding

Another choice you could want to go for is to crowdfund with one and various funders. Again, numerous crowdfunding sites are accessible, and you can take a stab there. This approach to creating capital for your new startup is simply effortless.

Utilizing the crowdfund site, you just need to foster a profile and feature how much cash you want to run your thoughts. Then, individuals who find your thought fascinating and what you are attempting to accomplish will give.

In return, they will require a prize. It is typically one of the administrations or items you are offering, alongside different advantages or limits. They could likewise go for some kind of benefit or value sharing.

You may have the option to fund-raise this way by telling them a compelling story that is incredibly convincing. In addition, you likewise need to give them significant prizes for their gifts. There have been numerous models where new companies have had the option to raise a huge number of dollars through crowdfunding.

Another choice you can attempt is startup credit cards.

No doubt you heard that right! There are many issues with these startup Visas, which take special care of these new companies. A large number of these accompany different unique offers. These incorporate carrier miles, cashback, and additional advantages.

These guarantors typically require the card to be connected with the FICO rating of the proprietor. Furthermore, you understand what that implies! It implies that any default on the installments utilizing your startup card will impact your FICO rating straightforwardly.

You can apply for this card through a bank, and various kinds of leasers accessible available. 

Another approach to subsidizing your idea is startup payouts

One more choice that you must attempt is startup payouts. These payouts are accessible from a scope of various gatherings as well as leaders. What’s more, these payouts can help you push your startup.

You can involve these assets for various purposes, from statistical surveying to growing your mission to new boundaries. You can help with a wide range of exercises with this asset, which is the conventional approach to financing your startup.

There is a scope for these payouts accessible. These incorporate any semblance of the credit extension for new companies, funding for records of sales, payouts for working capital, term payouts for new businesses, SBA payouts, gear payouts, and others. In addition, you can raise loans against your payday using the financial services of firms like https://smslansnabb.se/daypay-logga-in.

One of the most outstanding subsidizing options is angel investors supporting

Heavenly angel investor funding is a venture from people into new companies. What’s more, they do as such in return for a stake in value.

As of late, there is a flood in the number of private supporters as an ever-increasing number of individuals hoping to broaden their riches, and new businesses are similarly profiting from them. Various models can be thought of. These incorporate any semblance of Uber, Facebook, and thus numerous others.

This kind of venture begins from USD 25000 and can go over USD 100000. These private supporters are keen on the uprightness and unwaveringly the possibility of the originators behind the startup.

They will be hoping to contribute when there is an immense potential for them to begin to develop at a dramatic rate. You should give them a reasonable startup plan and execution. In addition, they need lower valuations as remuneration for their speculation at the beginning phase when the gamble is most elevated.

Private supporters can be tracked down in various ways. For example, you can search for them through business people, bookkeepers, legal counselors, heavenly angel investor organizations, speculation investors, and financial speculators. 

However, sequential business people are the best concerning heavenly angel investors contributing. They have an awe-inspiring record as they have previously worked with numerous new companies, and obviously, they have the money to contribute.

Nonetheless, they are additionally exceptionally clever regarding getting more contacts. They can likewise guide you on the best way to make the thought more functional.

They also have contact admittance to clients and workers and know bookkeepers, banks, and legal advisors. As such, they have full market information and can be profoundly creative.

The post Financing for Your Startup Firm: Where to Get It? appeared first on RaxCard_2022.

Not only will you be able to learn more about the current market trends but you will also sharpen your skills for professional growth. And who knows you might develop a knack for attending these conferences and this will open a gateway to a world of new information that you weren’t aware of. 

These financial conferences can provide you with so many opportunities to hone your skills that are directly or indirectly related to your career. 

Here are some of the benefits of attending these financial conferences,

• More Opportunities to Grow and Educate Yourself

With these financial courses, you will be able to grasp more educational opportunities for yourself. You will be able to gain important knowledge that your regular job might not provide you with. 

You might learn about some complicated updates, new field methodologies, best practices, and so much more. And we are just talking about a single conference here. What if you attend multiple professional conferences and make it a habit? The sky will be the limit for you when it comes to learning new things about finance. 

• Credits for Recertification

Professional or career fields with certifications including the likes of accounting and finance, you can go any. You can choose workshops that enable you to earn some credits for recertification 

These credits come in handy if you are looking to keep the certification you have up to date all the time. It’s a speedy way to keep investing in your career and stay relevant by learning new techniques on the go. 

Again, this kind of knowledge is not available on the job. And if you are looking for promotions and want to change your line then going for these credits will work wonders for you. 

• Opportunities to Network

One of the biggest advantages of attending these professional financial conferences is that you get plenty of opportunities to network there. Networking is always a great way to explore new horizons. 

Just attend your lectures and linger around for a while to mingle with participants of the conferences and presenters. You will be able to connect with other professionals in your field and this way you will be able to share your knowledge and ideas with others like you in the field. 

It provides you with an opportunity to exchange your business cards. And of course, you will have the opportunity to develop links and friendships. 

You can use the internet for this purpose as well. Many of these professional conferences take palace online in webinars. You can also access recordings of conferences that you have attended in person or online. 

• You Can Spread Product Awareness

As a business owner, when you are able to network with other people in your field or outside your field, you will be able to develop more awareness about your product. And the best thing is that you are not spending much on this style of marketing. 

This can work for new businesses and the old ones with new products. These conferences have numerous breaks, you will get plenty of opportunities to spread the word about your products. And of course, the more people you approach and interact with, the more your company and brand can benefit.

• Great PR Opportunity

Of course, you are the only one spreading the word about your new products there at the conferences, you have the opportunity of leaving a long-lasting impression on others. During the Q&A session, you can participate and shift the entire spotlight towards yourself. 

When you are more vocal, you will be more memorable. As you will be able to spread the word, maybe next time you get the opportunity as a guest speaker at a conference. And that will be a good opportunity to spread the word about your company and brand. 

• You Become More Motivated 

Ultimately, you will be able to become even more driven and motivated towards your goal. Industries have become so competitive. And with extreme competition, you might lose motivation to see your business grow and flourish.

But these professional financial conferences will help you deal with this demotivation. You will meet with several people who are going through the same business growth phase and some might have only started. 

But seeing more people like you in such a situation will make you feel more relaxed in your approach and you will be able to look at your business goals with more focus while deriving some inspiration from the people who have succeeded. 

• Keeping Your Business Immune to Recession

As we are going through tough times these days, many financial conferences are geared towards learning various techniques and concepts on how to run a business in a way immune to recession and remain profitable. 

Attending such conferences will enable you to learn new methodologies and business philosophies to tackle your hindrances and think outside the box. You will be able to learn new ways of doing business and make it immune to any economic situation. 

Conclusion: 

Attending financial conferences can result in business success. It’s because you will get opportunities to learn new industry practices and make your business more profitable in the long run. 

You will also be able to network at these conferences and this will enable you to create awareness about your brand or products. So attending a financial conference is beneficial to your business success in more than one way. 

The post How Attending a Financial Conference Increases Chances of Business Success appeared first on RaxCard_2022.

The investor’s own assets serve as a pledge, which guarantees that he will be able to pay off his broker. Such pledge is called a margin, and the number, which shows how many times the amount of transaction will be increased, is called a leverage. Therefore, transactions in which a client uses assets of a broker or forex dealer are often called margin trading, or trading with leverage. And the transactions themselves are unsecured transactions.

If a trade will be profitable, thanks to the leverage it will be multiplied. But if it fails, losses will increase in the same proportion.

Margin trading gives players a chance to make profit from both rise and fall of asset prices. Suppose an investor assumes that the value of some of his securities will decrease. He sells them and then buys them back, but at a lower price, and makes a profit on the difference.

Trading on the margin “short” allows you to make money on the sale of even those assets that are not in your portfolio: you borrow them from your broker and sell them. If the securities get cheaper, you buy them later at a lower price and return them to the broker, keeping the difference between the buy and sell prices. But if the price goes up, then you get a loss instead of a profit: you still have to return the paper to the broker, but you have to pay more for it.

Keep in mind that margin trading is not possible for all instruments. Brokers place the list of assets that can be bought or sold with a leverage on their website or in the terminal.

Margin trading “on the short side” always involves a reverse trade. If you sell securities that you borrowed from a broker-in other words, you open a position, then after a while you have to buy them back and give them back-or close the position.

When you’re trading long and you buy a number of securities with leverage, you don’t have to sell them later. You can just fund your account to give the money back to the broker.

What happens if my securities drop in value and my margin goes down?
When this happens, the broker will usually notify the client that he/she has to deposit the funds into the account, otherwise the value of the assets might not be enough to close the position. Such notification comes through the trading platform or by e-mail; this is called a margin call.

Brokers determine the level of loss, at which they send a margin call. Some clients are notified immediately when their margin drops by at least a ruble. Others send a notification when an investor’s own assets lose, for example, 50 or even 80% of their value. Some do not use a margin call at all, and in these cases, investors risk even more – they can suddenly lose all of their assets.

If an investor does not deposit money in his account and losses reach a certain level (usually from 50 to 90% of margin), the broker will usually use stop-out – that is, forcibly close positions in order to get his money back. The client in this case will receive losses.

In trading programs brokers always indicate the minimum level of a client’s margin, at which they themselves will close his positions. But you must keep in mind: brokers have the right to use a stop-out, but they are not obliged to use it. It could very well be that your losses will exceed your margin, leaving you in debt to your broker. This is why you should not rely entirely on margin and stop-out, but rather monitor your portfolio yourself.

The post What is margin trading and what are its risks appeared first on RaxCard_2022.

Legal entities in principle cannot officially use cryptocurrency now, which applies to wages, among other things.

Mining of cryptocurrency is called “mining”. It is made with the help of special computer equipment. You also need a special program that allows you to choose what you will “have” and where. This all needs to be set up and learn the subject matter, and there are special forums for this.

“Mining” is the basis of the network’s activities. “Miners” compute the same blocks that are included in the transactions of the same bitcoin. Without this, the process is impossible. “Miners get rewarded for finding those blocks plus they get another commission for the transactions they attribute to the block,” the specialist explains.

You don’t have to invest large sums to make money from cryptocurrency, but it does increase earnings and its likelihood.

Bitcoin is very difficult to mine now because bitcoin mining equipment is highly specialized and expensive. Ordinary users successfully mine other cryptocurrencies on ordinary video cards of home computers or build farms where you can put several cards.

The post You can’t earn it, but how do you get it? appeared first on RaxCard_2022.

Unlike securities and even cash money, which sometimes – as history shows – turned out to be unsecured pieces of paper, gold, silver, platinum and palladium always have an independent value. In this sense your investments are protected – the value of precious metals can not become zero even in times of economic turmoil. On the contrary, in unstable times their prices grow along with the demand.

On the other hand, to predict the income from precious metals is difficult even for analysts. The prices are influenced by the world demand conjuncture, and it is almost impossible to take all the factors into account. The cost of precious metals fluctuates a lot, literally every day. There were even periods of several years when their average annual price was steadily declining. For example, from 2012 to 2015, the price of silver halved and then started rising again. But when you look at the long term, investments in precious metals outpace inflation, which means your savings will actually last.

Conclusion: investing in precious metals does help you keep your savings, but only if it is an investment for the long term – at least 10-15 years. In a short period of time you have the chance not only not to increase, but even to lose part of the savings.

Myth 2: When precious metals go down in price, you must buy them with all your money, because then they will go up anyway.
No and no. First, you should not invest more than 10% of your investment portfolio in precious metals. Don’t put all your eggs in one basket, even if they’re gold or silver. Second, you need to decide what your goal is: do you want to make a quick buck or keep your savings? Your investment strategy depends on it.

If your goal is to make a quick return, follow the universal advice of financiers: buy assets when prices are just starting to rise after a downturn, and sell as soon as prices are starting to fall. But you have to watch the market very closely to make that kind of profit.

But that’s not all, you have to go against your psychology. After all, if after the purchase the price goes up, you instinctively want to fix the profit.

Or you have purchased an ingot and the price has gone down, and you are waiting for it to go up. Selling at a loss can be psychologically difficult. As a result, you can lose more on such mental fluctuations.

And you should not buy and sell too often – after all each time you pay a commission to the company through which you conduct the transaction. That can take all of your profits. So set yourself clear boundaries: how much you should wait to check the trend.

If you have no experience in the market, it is better to invest for a long time – so you will surely earn more. You can follow a strategy where you invest a small amount of your free money regularly in precious metals, regardless of the price. For example, once every six months. Over several years such tactics must pay off: growth of precious metals value will outstrip inflation.

Myth 3: It is better to buy the most expensive metal, you can earn more money on it.
No, not always. It all depends on your financial plans, the economic situation and the dynamics of the price of a particular metal.

You can invest in any of the four precious metals: gold, silver, platinum or palladium. The most popular is gold. It is held in the reserves of central banks around the world. Historically, it is the most common form of wealth accumulation.

Silver is in second place. It’s very affordable. Banks offer it both in bullion and in coins. Like gold, silver becomes more expensive during an economic downturn or crisis. From this perspective, gold and silver can be seen as a form of savings insurance in unstable times.

Platinum and palladium have been in circulation only in the last hundred years, and have not yet become as widespread and accepted as silver and gold as savings instruments. These metals are used more in industry, and therefore demand and prices for them are increasing during times of general economic growth.

More importantly, the price dynamics of platinum and palladium are much more strongly influenced by production factors: volume of production (and not many companies produce them), industrial consumption, demand for cars (in the production of which these metals are used) and so on. That is, factors that are not directly related to the financial market, so they are more difficult to predict.

The post Myths and Truth about Precious Metals appeared first on RaxCard_2022.

The work of the computing machines that produce bitcoin, Ethereum (etherium) and other cryptocurrencies is more like actual mining than expected. This is the conclusion reached by researchers from the Oak Ridge Institute for Science and Education (USA). Their study is reported by The Guardian newspaper.

The scientists calculated that bitcoin costs about 17 megajoules of energy per U.S. dollar, while the production of metals – copper, gold and platinum – requires four, five and seven megajoules, respectively. The energy input for etherium was also seven megajoules, and for Monero it was 14. All cryptocurrencies combined, according to scientists, can be compared to aluminum production: it takes 122 megajoules of energy to mine one dollar of ore.

“It can take as much energy to mine one bitcoin as it does to electrify your house for a few months,” The Independent quoted John Mark Truby, director of the Center for Law and Development at the University of Qatar. In his view, maintaining the current rate of energy consumption could “ruin the planet.

Mining is the name given to the process of producing bitcoins, which appear as a result of solving numerous mathematical problems by computers located in different locations around the globe. This happens without the involvement of any central authority. Miner computers perform arithmetic operations quintillions of times per second. A miner (or pool of miners) who picks up a hash (a fixed-sized block of data resulting from the transformation of an arbitrary-length array of input data) wins 25 bitcoins, as well as the right to verify all transactions made in the last 10 minutes.

As The Guardian notes, cryptocurrency may be virtual, but the cost of energy is very real. Previous attempts to estimate how much electricity is burned to power the bitcoin network, still the largest transaction blockchain (blockchain), have focused on estimating the network as a whole. In November 2017, according to one study, the network’s energy consumption was equivalent to that of Ireland. Another source notes that the annual carbon emissions from the bitcoin network are similar to those from a million transatlantic flights.

To account for the huge fluctuations in the price of cryptocurrencies and the effort expended by miners, the researchers used the median of their value between January 1, 2016 and June 30, 2018, as well as the geographic distribution of miners. “A cryptocurrency issued in China produces four times more carbon emissions than the same cryptocurrency produced in Canada,” the authors wrote, emphasizing the importance of country specificity.

John Mark Truby, while not opposing cryptocurrency as such, emphasizes that government regulation should encourage miners to choose more energy-efficient ways of production. For example, Ethereum is considering switching from the more energy-intensive proof-of-work protection algorithm to the proof of stake algorithm, which gives more chances to generate a block of transactions to the node with the highest balance.

The post Bitcoin mining has become more energy-consuming than metal mining appeared first on RaxCard_2022.

Currency is the monetary unit of a country

Currency is a monetary unit of a foreign country, as well as credit and means of payment, expressed in foreign currency units and used in international settlements.

Currency is an international regional monetary unit and means of payment (ECU, SDR, Euro, convertible ruble). Currency system – a state-legal form of organization of international currency relations of the states.

Tasks of currency system:

to effectively mediate payments for exports and imports of goods and other activities in relations between individual countries.
creation of favorable conditions for development of production
promotion of expansion and limitation of intensity of international monetary relations
spillover of economic resources from one country to another, thus expanding the degree of national economic independence.
the transfer of economic functions (unemployment, inflation).
The national monetary system is a certain order of monetary settlements of a given state with other countries. It includes the following elements:

National currency
The terms of convertibility of the national currency
The parity of the national currency
The exchange rate regime of the national currency
Existence of no currency restrictions in the country
National regulation of international currency liquidity of the country
Regulation of international circulation
National currency market and gold market regime
National body servicing and regulating currency relations of the country.
A world currency system is a form of organization of international monetary relations developed on the basis of global economic development and fixed by international agreements.

Convertibility is a possibility for participants of foreign economic transactions to legally exchange national currency into foreign currencies and back without direct government interference in the exchange process.

Currencies can be convertible according to their degree of convertibility as follows:

Freely convertible (reserve currency)
Partially convertible
Closed
Clearing currency
Freely and unrestrictedly exchangeable into foreign currencies, i.e. it has full external and internal convertibility (and the exchange applies to all transactions and payments).

Partial SW: the national currency of the country in which currency restrictions are applied to residents and on certain types of exchange transactions, i.e., this currency is exchanged for certain types of foreign currencies and not on all types of international turnover.

Closed: a national currency that functions only within a single country and is not exchanged for foreign currencies.

Clearing: settlement currency units for which bank accounts are kept and for which settlement operations are performed between countries that have concluded a clearing-type payment agreement on the obligatory mutual set-off of international claims and obligations arising from the monetary equality of goods and services rendered (SDR, euro, transferable ruble).

The exchange rate is the price of the monetary unit of a given country expressed in the monetary units of other countries, i.e. it reflects the interaction between the spheres of the national and world economy.

The exchange rate as well as the price of any commodity has its cost basis and fluctuates around it depending on supply and demand.

Currency parity is the ratio of the weight content of gold in the monetary unit of one country to its gold content in the monetary unit of another country.

Each country implements measures to regulate exchange rates. In the practice of international monetary relations, the following exchange rates are used in the conditions of paper money circulation:

Fixed rate. A fixed rate is a system that assumes the existence of registered parities underlying exchange rates.
Real-fixed exchange rate, which is based on the gold parity
Contractual-fixed exchange rate, which is based on the agreed benchmark, by which the parity is registered and the size of limits of acceptable deviations of market quotations from the parity is agreed upon.
A flexible exchange rate is a system in which currencies have no official parity.
A floating rate changes depending on supply and demand in the market
Fluctuating exchange rate – it depends on supply and demand, but is adjusted by national banks (currency interventions) in order to smooth out temporary sharp fluctuations.
Factors affecting the formation of the exchange rate:

Purchasing power of a monetary unit
Inflation rate
Balance of payments situation
Interest rate differentials in different countries
Currency speculation
Level of confidence in the currency on the global foreign exchange market
Government regulation of currency rates
Quotation – determining the exchange rate of currencies:

Direct – the rate of a unit of foreign currency is expressed in the national currency.
Indirect – the rates of two currencies are commensurate through three currencies.
Currency basket – a set of currencies that are used when quoting foreign currencies. SDR: USA – 42%, Germany – 19%, Japan – 15%, France – 12%, England – 12%.

Central Bank levers that affect the purchase of currency domestically:

1. Discount (discount) purchase – change of a discount rate of the Central Bank for the purpose of regulation of an exchange rate by influence on movement of short-term capitals. When the balance of payments is passive, the Central Bank inflates the discount rate and thus stimulates the inflow of foreign capital from countries where the discount rate is lower.
2. Currency intervention – direct intervention of the Central Bank in the foreign exchange market in order to influence the exchange rate of the national currency by buying foreign currency. Currency risks – arising in export-import operations and the sale of goods on credit due to changes in the exchange rate of foreign currency against foreign currencies due to a decline in its purchasing power due to deteriorating terms of trade.

Currency clauses are used to minimize currency risks. They are of two types:

Bilateral, which protect the interests of both the buyer and the seller.
Unilateral, which protects interests of suppliers from highly developed countries when supplying goods to developing and developed countries.
In banking practice, various methods are used to insure currency risks by creating counter claims and liabilities in foreign currency (hedging methods).

The post Currency system and its elements appeared first on RaxCard_2022.

How cryptocurrencies are structured

Cryptocurrencies have no physical form and are stored in “electronic wallets”. Most cryptocurrencies are based on blockchain, a distributed, decentralized database technology. In such systems, data about user accounts and exchange transactions are stored in an encrypted form by all users (on all “nodes” of the network). This provides anti-fraud protection, transparency, and reliability for the entire system.

As a rule, the only source of issuing cryptocurrency is its mining by the users themselves. Mining is the earning of cryptocurrencies through the power of equipment (a personal computer or specialized mining farms). The work of cryptocurrencies is supported by users and volunteers who run the appropriate applications on their computers.

History of Cryptocurrencies

The first cryptocurrency – bitcoin (Bitcoin) – was launched in January 2009 by an author (or team) known by the pseudonym Satoshi Nakamoto. Initially, it was only used by computer enthusiasts. Later, bitcoin analogues began to appear, with different encryption methods or other features: namecoin (“neumcoin”, first released in 2009), litecoin (“lightcoin”, launched in 2011), peercoin (“peercoin”, first released in 2013) and many others.

The first usage of the cryptocurrency for real purchase was stated on May 22, 2010, when programmer from the State of Florida Laszlo Hajic transferred 10 thousand of bitcoins to user with nickname Jercos in exchange for two pizzas.

In 2011, the first bitcoin exchanges appeared on the Internet to exchange bitcoins for real currency. In the same year, bitcoin reached parity with the U.S. dollar. Due to the anonymity of the transfers, bitcoin, and then other cryptocurrencies, began to be used in drug trafficking and other illegal businesses.

Since 2012, bitcoin began to be accepted for payment by some online stores, recently including Amazon, and online services. In 2013, the University of Nicosia (Cyprus) became the first university working with bitcoins.

Over the years, more and more cryptocurrencies have become available, and their scope is still expanding today. On the wave of growing interest and speculation, prices for the most popular cryptocurrencies began to rise. The peak of the excitement came in December 2017, when the price of bitcoin reached $20,000 and its capitalization exceeded $330 billion.

At the beginning of May 2020, there were 2.5 thousand cryptocurrencies operating around the world, their combined capitalization was about $250 billion, the capitalization of the largest of them – bitcoin – about $170 billion.

How cryptocurrencies are regulated

Authorities generally seek to enforce controls over questionable transactions or to tax any transactions. In most countries, including the EU and the U.S., bitcoin circulation is not yet banned or restricted in any way by law.

Russia is currently preparing a draft law “On Digital Financial Assets. The wording, which passed its first reading in the State Duma in May 2018, defined cryptocurrencies as digital assets that are not legal tender.

Some states, such as Japan, have recognized cryptocurrencies as fully legal money since April 2017. In February 2018, Venezuelan authorities launched the first state-owned cryptocurrency, petro, as part of an effort to overcome the economic crisis and hyperinflation of the official currency, the bolivar.

Unified international norms have not yet been worked out, and experts fear that cryptocurrencies could cause another financial crisis.

The harm and benefits of cryptocurrencies

At the moment, the energy costs resulting from the use of cryptocurrencies are comparable to the energy consumption of countries and industrial sectors. It’s not just about mining, but also about transactions. And some doctors equate the fascination with cryptocurrencies with a gambling addiction that requires treatment.

On the other hand, the advent of cryptocurrencies has given the world a new data technology – blockchain. Today, it is increasingly being used in fields other than finance, from science and medicine to environmental and social projects.

The post Cryptocurrency – what it is, history and description appeared first on RaxCard_2022.

Bitcoin is the first cryptocurrency based on the ideas of cryptography, decentralization and the possibility of confirmation of each transaction by other participants of the system. The creator of this cryptocurrency protocol, known under the pseudonym Satoshi Nakamoto, published the first article describing the development exactly ten years ago, on October 31, 2008. There can be a limited number of bitcoins – no more than 21 million. They can be mined by mining – energy-consuming calculations on a computer. The complexity of mining is constantly increasing, which makes the formal costs of “mining” each new bitcoin increase. In recent years, the cryptocurrency has become a popular means of payment in some communities, as well as an asset in which investors are investing money because they hope to get rich from the growth of the rate.

In a new paper, researchers at the University of Hawaii at Manoa in the United States analyzed the energy consumption needed to keep bitcoin running, suggesting that it will evolve similarly to other widespread technologies such as cell phones and credit cards. The researchers concluded that it would require so much electricity that the carbon dioxide emissions associated with it could cause a global warming of 2°C as early as 2033.

“Right now, the main emissions contributing to global warming are thought to be related to transportation, residences, and food production, but our study shows that bitcoin should be added to that list,” says paper co-author Cathy Taladay. The researchers also note that the situation is already becoming alarming today, as bitcoin use in 2017 alone is associated with emissions that are equivalent to 69 million metric tons of carbon dioxide.

Cryptocurrency experts have already criticized the study, saying it relies on “naive assumptions.” They also doubt that bitcoin’s rate of proliferation will match that of other everyday technologies such as the Internet, television, radio and so on.

The post Bitcoin could cause climate warming by two degrees appeared first on RaxCard_2022.