铭文小公举

SSV: A potential leader that may surpass ldo

1: What is this project? What to do? Is the problem being solved a concept? Pseudo demand?
Currently, if we are going to run an ETH validator, we need to bear the following costs:
explicit cost
Capital cost: 32 integral multiples of ETH pledge Equipment cost: Cloud server running the validator node Labor cost: Server operation and maintenance personnel Security cost: A series of costs to ensure security
Hidden costs
Opportunity cost: Opportunity cost caused by staking ETH Offline penalty: Offline penalty caused by node downtime or offline Operation and maintenance loss: Cheating penalty loss caused by operational errors Intangible assets: Network value loss caused by node centralization
1.The full name of SSV is "Secret Shared Validators". Translated into Chinese is "Secret Sharing Verifier".
2.ssv.network is a fully decentralized open source ETH staking network based on Secret Sharing Validator (SSV) technology.
3. Provide developers with an easy-to-use and scalable infrastructure.
4. Technical features: Improve security and stability, and jointly manage key information through multiple participants.
Explain SSV (Secret Shared Validators) and the secret sharing concept behind it in a popular way. First, imagine that you have a very important secret, such as a combination that opens a safe. If this password is kept in only one place, it can be lost or discovered by someone who is not supposed to have it. To prevent this, you might consider breaking your password into parts and giving them to different trusted friends. Only when these friends come together and combine their respective parts of the code can the safe be opened. The principle of SSV (Secret Shared Validators) is similar to this example. It is a technology used on the Ethereum network to improve the security of validator keys. In the Ethereum network, validators are responsible for processing transactions and maintaining the security of the network. They hold some very important keys that are used to perform transactions and maintain the network.
In the SSV system, these key keys are not completely stored in one place, but are divided into multiple parts, each part is kept by a different participant (or operator).These parts are useless individually, and only when they are aggregated by a specific number of participants can they be combined into a complete key and perform relevant operations.

What if one of the validators loses the private key?
1. Redundant backup: The SSV system may be designed to be redundant, that is, each key part does not only exist at one participant, but there may be backups stored in other secure locations. This way even if a participant loses their part, the system can still recover that part of the key from somewhere else.
2. Regeneration and redistribution: If a key part is lost, the system may allow the entire key to be regenerated and redistributed to various participants. It's like changing a lock when a key is lost.
3. Threshold scheme: In some secret sharing schemes, even if part of the key is lost, the entire key can be recovered as long as there are a sufficient number of key parts. For example, in a system that requires at least 2 out of 3 parts to recover a key, even if one part is lost, the other two parts can still be used to recover the key.

2: What are your advantages and prospects compared with market competitors? Does the track you are on have a future?
The difference between SSV and Lido and other node service providers
What is the difference between SSV and Lido on the Eth staking track? Here I will summarize the differences between the two: their positioning is different.
SSV itself is an infrastructure that serves validators, but SSV does not do asset management, that is, SSV does not absorb users' ETH and then combine it.

Advantages and Disadvantages of SSV

Advantage
1. Key Splitting: SSV increases the security of the system by splitting the verifier’s key, which reduces the risk of single points of failure.
2. Stronger decentralization: Since the keys are dispersed among different participants, it further strengthens the idea of ​​decentralization.
Disadvantages
1. Complexity: SSV’s key division and management are more complex than the traditional verifier model.
2. Emerging technology: As a newer technology, it may face more stages of experimentation and adjustment. The team is strong, in line with the spirit of decentralization, and V God is more supportive.
Advantages and Disadvantages of Lido
Advantage
Ease of use: Lido provides a simplified staking method so that users can more easily participate in staking on the Ethereum network.Large number of users
Liquidity: Users who stake through Lido can receive tokens representing their staked shares, improving liquidity.
Disadvantages
Centralization risk: Although Lido is committed to decentralization, its operating model may lead to dependence on specific validators, thereby increasing some degree of centralization risk.
Security issues: Compared with SSV’s key splitting method, Lido’s traditional validator mode may face higher security risks in some cases.

Three: If it rises, how high are the expectations for the next bull market and the multiple? If it falls, what will happen in the future? If it falls, to what extent will it fall.
1. It is very easy to be overvalued to 1 billion U.S. dollars, with an 80% probability. The technology has been recognized by mainstream institutions, and there is still room for more than five times the current level. There are opportunities for 10-100 times in the bull market, and it may exceed LDO in the future. The degree of decentralization is better. When his pledge amount reaches a threshold, more and more people will use it.
2. There is 50% room for decline, and the probability is lower than 50%. There hasn't been much pressure above recently, so a small amount of positions have been opened.
Strong technical skills, bonus points for industry contributions, large imagination space, and high ceilings.

If you want to know more about the currency circle and first-hand cutting-edge information, follow Gongzhonghao: Inscription Xiaogongju, there will be more high-quality information to share.

5-point summary of 2023: Why did the interest rate hike fail to prevent Bitcoin from skyrocketing?

The Federal Reserve continues to raise interest rates for a year. By then, the price of Bitcoin has risen from US$17,100 at the beginning of the year to US$43,000 today. Therefore, raising interest rates will not necessarily cause the currency price to plummet, but will cause the currency price to skyrocket. Do not trust any bookmakers. If so, most bookmakers on the market do not make real investments or transactions, they only earn traffic fees. Believe in the practical side.
The capital market is still speculating on expectations. It will turn into a bull market when the interest rate hike is about to end, and it will turn into a bear market when the interest rate cut is about to end. This wave of interest rate cuts by the Federal Reserve will last for 2-3 years, which will extend the time for the bull market to arrive.
With the current market situation, don’t doubt whether the bull market is coming. Unless you are a novice, I can understand. If you are an old leek, don’t doubt it. The simplest operation idea in the bull market is to get a lot of Bitcoin and Ethereum. Every wave of correction is an opportunity to add short-term positions, and every wave of plunge is even an opportunity to increase leverage again. Don’t envy the rise and fall of small currencies. It is difficult for you to grasp this opportunity and it is difficult for you to catch up with every one. Project dynamics. In the end, you will find that the big currencies are the ones that really make you big money. Generally, callbacks in bull markets are safe within 30%. There is no market that keeps rising. If the callback is within 10%, you can add positions now with spot stocks. If the callback is 20%, you can choose short-term leverage with stop loss to add positions. . No matter what currency you speculate on, the premise is to speculate on Bitcoin, which is the benchmark for the entire currency circle. It is the general direction, and we must grasp the general cycle.
Next year, there is more than 90% probability that sec will forward Bitcoin spot ETFs, which will cause a large amount of money from global speculation in US stocks to flow into the currency circle. The size of the United States is tens of trillions, and if 10% of it comes in, it will be several trillions of dollars. The market value of the currency circle will easily double. Institutions only play a guiding role.
Don’t bet on the plunge before the pie is halved. The last wave was just an illusion. Don't bet that this bull market will last forever, only going up but not falling, and don't bet on the everlasting bear market in the future. The market still has cycles
This bull market in the Bitcoin ecosystem will explode. Previously, everyone only focused on AI, GameFi, Soufi, DeFi, etc. We should also pay attention to Bitcoin ecological projects. The beginning is Bitcoin and the end may be Bitcoin.Bitcoin can be popular without ecological Bitcoin, but it will be even more popular with ecological Bitcoin. Bitcoin will steal some of the limelight from Ethereum, but it will definitely not steal all of the limelight. There is a high probability that Ethereum’s spot ETF will pass next year and the year after.
Mining is still the most stable way to make money, and this wave of Bitcoin ecological explosion will create a wave of rich Bitcoin miners. Don’t worry, the coins have been mined. No one keeps accounts.

If you want to know more about the currency circle and first-hand cutting-edge information, follow Gongzhonghao: Inscription Xiaogongju, there will be more high-quality information to share~

Bitcoin’s Colored Coin and Data Storage Functions
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Hello, I am Xiao Gongju of Ming Wen. Today we will discuss in depth the ecological development history of Bitcoin. In the previous issue, we introduced the form of Bitcoin and mentioned the new concept of colored coins, which was proposed by a great god in 2012. So what exactly are colored coins?

Colored coins can be understood as a concept on the Bitcoin blockchain that allows people to add color to a small part of Bitcoin so that it represents other types of assets or values. This concept may sound a bit abstract, but think of Bitcoin as a blank slate. Bitcoin is a fungible token that can represent different asset types such as movie tickets, tickets, artwork, or NFTs by adding special tags to it.

The concepts of dyed coins and inscriptions are somewhat similar, but there are also obvious differences. Colored coins are primarily designed to allow Bitcoin to represent other assets, while inscriptions embed or store other data directly on the Bitcoin blockchain. The implementation is also different. Colored coins are implemented by appending additional information to a part of the Bitcoin, while inscriptions are implemented by inserting data into the Bitcoin transaction.

In addition, the data type and size of colored coins are relatively simple, while inscriptions can store larger and more complex content. The biggest difference is their relationship with Bitcoin. Colored coins rely more on Bitcoin as a medium for value transmission, while Inscription uses Bitcoin transactions as a platform for storing and transmitting information.

Continuing to discuss the development of the Bitcoin ecosystem, in addition to its functions as electronic cash and digital gold, Bitcoin can also achieve data storage like VI Co. Although storage costs are higher, it is technically feasible. Each Bitcoin block is one megabyte in size, and data can be stored on-chain through multiple Bitcoin transactions. However, storage is expensive and it is recommended to use non-coin to improve efficiency and security.

When it comes to security, Bitcoin is considered one of the most secure blockchains currently. Its nodes are widely distributed and every transaction recorded has remained stable and secure since 2009. Although Bitcoin was originally designed for processing financial transactions and is not suitable for large-scale data storage, in theory, it is one of the most secure and longest-storage tools in the world.

The key turning points and hot spots of speculation in this bull market

What are ETFs?
An ETF is a security that tracks an index, commodity, or basket of assets and trades like a stock. Bitcoin ETFs allow investors to gain exposure to the price of Bitcoin without having to deal with actual BTC. So baby boomers and regular people can buy Bitcoin easily.
What does ETF mean?
Institutions and individuals can invest in Bitcoin in a regulated and accessible way without having to handle actual Bitcoin using complex things like defi wallets.
In the long term, a Bitcoin ETF may increase Bitcoin’s liquidity and price stability. As more people are able to invest easily, the market should see increased trading volume and more stable prices due to diversification + more investors.
ETFs will signal regulatory acceptance and enable the creation and approval of more Bitcoin-related financial products in the future.
Additionally, due to the acceptance of Bitcoin, there will be a massive inflow of liquidity from institutional investors and ordinary people, which could spike the price of Bitcoin like we have seen with gold. When the gold ETF was approved, it rose more than 3x over the next few years, and Bitcoin could rise even more.

What are the biggest benefits of ETF adoption?
It is convenient for institutions to enter the market to purchase cryptocurrencies. The institutions referred to here are Wall Street capital institutions that control hundreds of billions of dollars.
Previously, there were many institutions in web3, but they usually invested in the primary market, and occasionally market makers operated the secondary market. However, the size of these institutions was still too small compared to traditional institutions.

What should I do if BTC ETF fails?
The biggest opportunity will not be passed when there is a huge decline. When the copycat falls by more than 30% and the big pie falls by more than 10%, it will be a game for the brave. We have only one choice: buy the bottom!

What to do if BTC ETF passes?
It is very simple to pass. First, pay attention to the BTC ecology, mainly ordi and sats. Next, you should pay attention to the new protocol RGB. RGB will have a huge move this month.

What are the opportunities for Bitcoin’s second-layer network?

1. Turing completeness of Bitcoin scripting language:
- Explain the non-Turing complete scripting language used by Bitcoin, which limits its ability to perform complex calculations and logical operations.

2. The concept of Turing completeness:
- Introducing Turing completeness, pointing out that it is the characteristic of a computer system that has the ability to perform any computing task.

3. Bitcoin’s secondary network and side chains:
- Briefly introduce Bitcoin’s secondary network and side chains, emphasizing the role of solving smart contracts, performance and scalability issues.

4. The difference between Ethereum and Bitcoin:
- Comparing the Turing completeness of Ethereum and Bitcoin, pointing out that Ethereum supports smart contracts, while the Bitcoin mainnet has limitations.

5. The impact of Turing completeness on Bitcoin:
- Explain the importance of Turing completeness for performing complex tasks, emphasizing the limitations of the Bitcoin mainnet.

6. Bitcoin secondary network and side chain support:
- Clarify that Bitcoin’s secondary network and sidechains actually support elliptic curve encryption, solving smart contract issues.

7. Bitcoin Scalability:
- Explain the scalability of the Bitcoin secondary network, taking the Lightning Network as an example to illustrate its success in solving performance and transaction efficiency issues.

8. The settlement process of Bitcoin mainnet:
- Use examples to illustrate the final settlement process of the Bitcoin main network, emphasizing that secondary network transactions will eventually return to the main network.

9. Threats to the Bitcoin ecosystem to Ethereum:
- Answer the question of whether the Bitcoin ecosystem threatens Ethereum, emphasizing the advantages of Ethereum in the field of smart contracts due to the limitations of the Bitcoin main network.

10. Infinite scalability of the Bitcoin quadratic network:
- Emphasizes the infinite scalability of the Bitcoin secondary network and illustrates its advantages in processing large amounts of small transactions through vivid examples.

The ecological development history of Bitcoin (1)

Hello, I am Mingwen Xiaogongju. Today we will learn about the ecological development history of Bitcoin, because the best way to understand a person is to understand the person’s history and see what he has done before. Just to know whether this person is reliable, we understand the ecology of Bitcoin. The same is true. We should also first look at the ecological development history of Bitcoin. If you want to understand the development history of Bitcoin, you must first start with the Bitcoin white paper, because to this day, there is still a lot of controversy about the specific application and maximum value of Bitcoin. The main differences in the circle are currently The point is whether Bitcoin should be used as a payment system or as digital gold. If you follow Satoshi Nakamoto's wishes, the original intention of Bitcoin was to be a peer-to-peer payment system, because the title of the white paper released by Satoshi Nakamoto on Bitcoin on November 1, 2008 is "Bitcoin: A Peer-to-Peer" "Cash Payment System", this white paper mainly talks about 5 parts, namely:
Decentralized Network: The Bitcoin network is completely decentralized, with no central server or governing body.
Blockchain technology: Introduces a public transaction ledger, the blockchain, which contains records of all transactions on the network and cannot be tampered with.
Proof of Work: In order to prevent double spending and network attacks, Satoshi Nakamoto proposed the Proof of Work mechanism.
Digital signature: In order to ensure the security of transactions, Bitcoin uses digital signature technology.
Incentive mechanism: Maintain the security and vitality of the network through mining incentives (that is, Bitcoin rewards are given in the process of creating new blocks and verifying transactions).
Moreover, the ultimate goal of these five points is to turn Bitcoin into a peer-to-peer electronic cash payment system. This is why Bitcoin’s forked currency bch has the highest market value among all forked coins. The reason why it is the most forked currency with the support of people, technology and institutions is because bch is Bitcoin Cash. He said that what he wants to inherit is the original intention of Satoshi Nakamoto. The bch community believes that bch is the best Bitcoin and the real one. of Bitcoin.
However, with the subsequent development of blockchain technology, other higher-performance public chains emerged, resulting in the speed of Bitcoin being too slow to realize the function of electronic cash. The handling fees are high and the speed is slow. Even if you BCH has expanded the block capacity to 4M or even 8M 32M, but it still cannot fundamentally solve the problems of high handling fees and slow transfers.
Therefore, starting in 2017, the mainstream voice in the Bitcoin community is that Bitcoin should be digital gold and not electronic cash. Bitcoin is regarded as digital gold, but it is actually a store of value. This is primarily due to its limited supply (the total is capped at 21 million Bitcoins) and gold-like properties, such as being resistant to inflation and not controlled by central banks. Although this was not Satoshi Nakamoto’s original design goal, these characteristics of Bitcoin have made it a store of value for many investors and users. Moreover, this concept is particularly easy to speculate. The total amount is limited and there is no way to issue additional shares. This means that as long as there is a steady stream of money to buy it, its price will be increased indefinitely.
However, recently there has been a sudden addition to the market, that is, is it possible for Bitcoin to achieve the dual functions of a payment system and digital money at the same time.
My answer is yes, it can be achieved, and in fact, Bitcoin already exhibits both of these properties to some extent, although its development and acceptance of both aspects vary.
As a payment system, Bitcoin has developed slowly in the past 15 years. Bitcoin was originally designed as a decentralized electronic payment system, allowing users to conduct transactions directly without going through traditional financial institutions. This design philosophy was reflected in the early use of Bitcoin, which users could use to make online payments and transfers.
The first transaction in Bitcoin history occurred on January 3, 2009. Satoshi Nakamoto sent 10 Bitcoins to developer Hal Finney, completing the first Bitcoin transaction.
The most famous transaction occurred on May 21, 2010, when Florida programmer Laszlo Hanyecz used 10,000 BTC to purchase a pizza coupon worth $25. The first price of Bitcoin appeared, which was equivalent to 0 .$0025/btc.
However, over time, Bitcoin has faced some challenges as a daily payment method, such as transaction speed, handling fees, scalability and other issues. Nonetheless, Bitcoin is working to overcome these challenges through technological innovations and protocol upgrades such as Segregated Witness and Lightning Network to improve its efficiency and usefulness as a payment system.
Bitcoin-bugs Bitcoin vulnerabilities were discovered and exploited. More than 184 billion Bitcoins were generated in one transaction and sent to two Bitcoin addresses. The illegal transaction was quickly discovered and fixed.