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Welcome to Blockchain & Cryptocurrency.
Feeling NEW?

Blockchain technology was actually first outlined in 1991 by Stuart

Haber and W. Scott Stornetta, two researchers who wanted to
implement a system where document timestamps could not be
tampered with. But it wasn’t until almost two decades later, with the
launch of Bitcoin in January 2009, that blockchain had its first real-
world application.

Bitcoin & Blockchain is so complicated, it requires days and weeks of

research and study to understand it.

To help you fast track to understand nothing to everything, this book

was created to help demystify this topic and give you the frameworks
for blockchain and cryptocurrencies, most importantly how you can
gain significant money out of it!

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Crypto Abbreviations
A shortened form of a word or phrase that you will usually used, spotted or read within the crypto-
community, news or crypto traders. On this page, you will get to know the most frequent and
basically used crypto short forms.

HODL – Meme that followed from a simple mistype of hold.

FOMO – Fear of Missing Out

BTFD – Buy The Fucking Dip

DYOR – Do Your Own Research

FUD – Fear Uncertainty Doubt

WHALE - Refer to individuals, or entities, that hold large amounts of digital currencies.

PoW – Proof of Work

PoS – Proof of Stake

BFT – Byzantine Fault Tolerance

ERC – Ethereum Request for Comments, it’s the preceding acronym for Ethereum based tokens like
the ERC20 standard.

DAO – Decentralized Autonomous Organization

DAPP – Decentralized Application

SegWit – Segregated Witness

LN – Lightning Network

SoV – Store of value

MoE – Medium of Exchange

ASIC – Application Specific Integrated Circuit

OTC – Over the Counter

CEX – Centralized Exchange

DEX – Decentralized Exchange

PnD – Pump-and-Dump

ICO – Initial Coin Offering

ITO – Initial Token Offering

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STO – Securities Token Offering

MCAP – Market Capitalization

FIAT – Conventional government issued currency, like the Pound Sterling, US Dollar or the Euro.

Tx – Transaction

TxID – Transaction Identification

TPS – Transactions Per Second

P2P – Peer to Peer

ALT – Alternative Cryptocurrency, often used as a prefix to Altcoin

Hopium – An addiction to false hopes.

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 WHAT is Blockchain?
The blockchain technology, also known as the foundation of a cryptocurrency – Bitcoin
founded back in 2009, has received broad attentions lately due to its uniqueness purpose.

The blockchain technology present as an irreversible ledger which grants transactions to take
place in a distributed manner.

This technology has enabled the establishment of decentralized situation whereby

transactions and data are being validated without any control of any single party or central
authority.

Bitcoin and blockchain are not the same entity as blockchain itself can serve a wide range of
applications and industries.

Figure 1: Visual representation of Blockchain

Blockchain represent a technology that facilitate a new way to track the information or value
exchanges between participants over a network in a secured way.

The decentralized database will used to maintain an endless growing list of records which
called the blocks. Each and every of these blocks contain a fingerprint of some digital data
like date, time, and any other character is typed in it (anything can be filled).

A blockchain gathers and order data into blocks, then these blocks are chained together
securely by implementing cryptography methods. Blockchains are mean to be modification
resistant, hence all data recorded will be permanent and valid.

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 HOW Blockchain works?
One of the easiest description of blockchain can be explained by using the comparison of
Google Sheets.

Figure 2: Visual representation of distributed Google spreadsheet.

All parties in your particular industry hold a copy of spreadsheet that are both connected and
distributed in the network. The particular spreadsheet will record and tracks the movement
of value across the industry. Each party in this network is adequate to add their transactions
with other parties into the spreadsheet and entries will be permanent and can’t be modify
once it has been added. Whenever there is a new transactions being added and verified, it
will be automatically represented to all copies across the entire network. In the meantime,
the present of encryption will allow this action to be done without revealing sensitive
information between both supplier and manufacturer to the entire network.

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A blockchain can be also known as a database which is commonly shared over a network of
computers. The entire network will constantly check and ensure all the copies of database
are similar.

Blockchain can function and serve as an immutable public distributed ledger which can
record transactions in a decentralized manner. By taking the example of one of the most well-
know cryptocurrency – Bitcoin, it was built on the technology of blockchain thus it doesn’t
require a third party authority (such as financial institution) anymore.

Figure 3: Bitcoin payment system without the need of third party validation.

1st Running Example

Figure 3 above shows Peter wanted to send 100$ to James.

Without the present of blockchain:

Peter will required to send his bank an order to remit 100$ from his personal account to
James’ bank account. Typically, the bank will first check whether Peter has sufficient money
in his account and few other things which require this transaction to take place. Once
everything has passed, the bank will then send Peter’s 100$ over James’ bank account.

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With the present of blockchain:

Peter first creates a transaction with the value of 100$ to James, then the particular
transaction will be send over the internet. Peter’s transaction will be queue to be included
into a block. Everyone in the network will check whether this is a valid transaction. Once
confirmed, James will acquire the 100$ of Peter.

With the use of blockchain, each of the transaction will be checked by everyone who takes
part in the system such as the Bitcoin network and anyone that will join the system in the
forthcoming time rather than a centralized authority such as the bank.

Without the need of a centralized third party will carry considerable advantages such as lesser
transfer costs, higher anonymity, and irreversible transactions while maintaining the same
standard of money being transacted over a financial institution.

Certainly, there are some given rules in blockchain to check every transaction in order to
ensure flawless scenario such as double spending to happen due to the absent of third party
authority to check on all the information.

Figure 4: Peter promised two receiver at the same time.

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 Figure 5: Blockchain validated this, hence only the first promised will get to receive the payment.

2nd Running Example

Figure 4 and 5 above shows Peter promised two person for his 100$.

When someone tries to promise a payment to two person at a same time like what happened
to Peter in Figure 4, immediately one of the ‘promise’ of 100$ will be inserted into the next
block pending for network validation (for e.g. block number 321), this happen as the promise
of Peter toward James at time t=1.

Then the very next moment t=2, when the next block 322 is created and the network verifies
that Peter does not hold the required 100$ that needed to handover to Sahra, in such a way
Peters promise towards Shara will be invalid and rejected. Meanwhile, when James audit his
balance, he will found that the promise that Peter made was kept and legit.

In the Bitcoin network, every ten minutes a block (group of transactions) will be added to the
ledger. Then, every participants in the Bitcoin network keep a copy of this global ledger (the
blockchain).

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 Figure 6: Blockchain versus Time.

Blockchain is an order of blocks chained conclusively in order to determine each transactions

to take place. Basically, it is an endless chain of data growing over time.

Figure 6 above shows the different colours of each blocks indicating the different types of it:

The green block also known as the genesis block, which is a special block which started the
whole chain without a preceding block.

The black blocks are known as the official chain, thus it has the longest chain of same colour
(black) blocks.

The purples blocks are known as the forks, these block are born when two blocks are being
found at the same exact moment.

These forked block will remain for a short period until exist of another equal length chain,
whereby whichever chains of the new block is constructed faster, it will be decided as the
official chain.

The other chain which left behind will often called as the orphan block.

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How Bitcoin Payments Are Being Transacted

The process as below:

1. When present of new transactions, it will be broadcasted entirely over the network to all
nodes.

2. Each and every nodes pickup these new transactions into a block.

3. All nodes will ‘work’ to solve the difficult mathematical problem for its block.

4. Once a node get to ‘solve’ the problem, it will then proceed to broadcasts the block entirely
to the network again to all nodes.

5. All nodes will only accept the block if the transactions included are valid and as stated in
2nd running example earlier.

6. All nodes will consider the block acceptance by moving on to create the next block over the
chain.

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Miner or Node in Blockchain

A computer that solve complicated math problem to create a new block over the blockchain
system are called miners or sometimes referred as a node; it basically select transactions and
structure it into a block.

Figure 7: Visual representation of Bitcoin transaction life cycle.

Figure 7 above shows the entire Bitcoin transaction life cycle; divided into two parts – The
user and the Machine (aka the miner/nodes). Rob plan to send a certain amount of Bitcoin to
Laura.

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 Blockchain Technology Use Cases
The decentralized blockchain integration has brought huge impact to life, it has change the
way people transact their business, protect business dealings, reduce errors, costs and many
more. Blockchain technology are widely used in today’s industry such as supply chain,
financial services, energy market, healthcare and more!

Blockchain technology has influenced numerous industries, one of the main beneficiary
sector is the banking industry. Companies in the financial technology (Fintech) sector are
springing up like mushrooms after the rain and everyone are building up solutions based on
blockchain. Blockchain is absolutely the next big thing when comes to use cases of cross
border payments, optimized asset management, and etc.

This is mainly due to blockchain technology is capable of:

1. Speeding Up & Simplifying Cross-border Payment

2. Reducing Transactions Costs Significantly
3. Reducing Paper works
4. Fraud Reductions
5. Safer & More Secure

Fraudulent activities in the banking sector still exists today even with the current leading-edge
innovations on security. The current banking systems are based on centralized databases as
all the intel is being stored in a single place, thus it is very prone to threats such as cyber-
attacks and hacking. These malicious activities will lead to significant losses for the banks and
their clients as research has shown that fraud itself has cost consumers $16 billion in 2017.

With the implementation of blockchain technology, it can help accomplish of reducing the
risk of fraud as such that data storing by blockchain is carried out in the way of deep
encryption and distributed nature. Information in the blockchain ledger has also provided the
historical records of all undertaken activities, thus any malicious attempts towards these data
will present itself noticeably and authority can act immediately in accordance.

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Figure 8: The March of Financial Services Firms into Bitcoin & Blockchain Startups 2014-2017

SWIFT (Society for Worldwide Interbank Financial Telecommunication) – the global provider
of secure financial messaging service has also expanding their projects towards blockchain for
payments transactions. They started developing a blockchain based digital currency as a bank-
to-bank global system to avoid higher exchange rates and faster transaction time.

Westpac Banking Corp – Australia’s largest bank has partnered with Ripple, a global payment
solution firm that offers low-cost cross-border payment using blockchain technology. Ripple
which established back in 2012 are here to focus on cross-border payment using real time
system and re-engineered transaction technology using the underlying technology of
exchanging digital assets over blockchain. Westpac has already running as a pilot user on
Ripple’s technology which they move their real client money between Australia and New
Zealand. Besides, other giant banking corporation such as Royal Bank of Canada, Standard
Chartered and DBS of Singapore are also using Ripple technology for money remittances and
financial trading.

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 WHAT is Cryptocurrencies?

Instead of a tangible piece of currency you can take with you, a cryptocurrency is a digital
asset that can be exchanged. The "crypto" part stems from the use of cryptography for
security and verification purposes during transactions.

In using cryptocurrency for an exchange instead of fiat currency, crypto owners don't have
to rely on banks to facilitate transactions.

Cryptocurrency transactions are processed and completed via a blockchain network (as
stated on the earlier part).

Cryptocurrency vs. Banks

Fiat currency is “legal tender” backed by a “central government.” ; Cryptocurrency is not

“legal tender” and it is not backed by a central government or bank (it is decentralized and
global).

Both fiat currency and cryptocurrency can be called money or currency, both are mediums
of exchange that are used to store and transfer value, both can be used to purchases goods
and services, both have their value governed by supply, demand, work, scarcity, and other
economic factors, both have their value affected by the quality of the system surrounding it,
both can be traded on exchanges, etc.

There are banks interested in what blockchain can do for them, but cryptocurrencies like
Bitcoin were developed expressly to avoid the use of banks altogether.

Fans and developers of crypto like the idea of a decentralized network that does not
require the need of any other parties to process a transaction.

What can you do with cryptocurrency:

• Buy Goods
• Invest
• Accept as payment (for business)

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 WHAT is Bitcoin & Alt-Coins?
Bitcoin, created in 2009 by an unknown entity named Satoshi Nakamoto; some believe it is
one person, others believe it is a group. That same year, Bitcoin software was made public,
allowing people to mine bitcoins and creating the first Bitcoin blockchain.

Figure 9: Timeline of Cryptocurrency

Used as actual currency for the first time in 2010, when someone successfully used 10,000
BTC to buy two pizzas. As of this writing, 10,000 BTC are currently worth more than $65
million.

Bitcoin became more well-known every year, but the height of the price was limited until a
surge in late 2017. It was the most volatile price year for a currency with a history of volatility;
1 BTC was worth under $1,000 dollars in mid-January but by late December had reached
nearly $20,000 in value.

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 Figure 10: Bitcoin & the top 10 Alt-Coins List

Others began to pop up as well in the hopes of chasing the crypto/blockchain trend, known
as altcoins. Litecoin was released in 2011; Dogecoin, a joke cryptocurrency based on a meme,
was released in 2013 and currently has a market cap of more than $289 million.

Most common Cryptocurrencies:

— The first ever cryptocurrency that started it all.

— A cryptocurrency that was created with an intention to be the ‘digital

silver’ compared to Bitcoin’s ‘digital gold.’ It is also a fork of Bitcoin, but unlike its predecessor,
it can generate blocks four times faster and have four times the maximum number of coins at
84 mln.

— A Turing-complete programmable currency that lets developers

build different distributed apps and technologies that wouldn’t work with Bitcoin.

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 — Unlike most cryptocurrencies, it doesn’t use a Blockchain in order to reach a
network-wide consensus for transactions. Instead, an iterative consensus process is
implemented, which makes it faster than Bitcoin but also makes it vulnerable to hacker
attacks.

— A fork of Bitcoin that is supported by the biggest Bitcoin mining

company and a manufacturer of ASICs Bitcoin mining chips. It has only existed for a couple of
months but has already soared to the top five cryptocurrencies in terms of market cap.

— It’s a smart contract network that allows for all kinds of financial contracts
and third-party distributed apps to be developed on top of it. It has many of the same goals
as Ethereum, but it’s developed in China, which can potentially give it some advantages due
to improved relationship with Chinese regulators and local businesses.

— It’s a two-tier network. The first tier is miners that secure the network and
record transactions, while the second one consists of ‘masternodes’ that relay transactions
and enable InstantSend and PrivateSend type of transaction. The former is significantly faster
than Bitcoin, whereas the latter is completely anonymous.

— A cryptocurrency with private transactions capabilities and one of the

most active communities, which is due to its open and privacy-focused ideals.

— An original version of Ethereum. The split happened after

a decentralized autonomous organization built on top of the original Ethereum was hacked.

— The cryptocurrency of the Binance Trading platform, usually

used to offset trading fees and participation grant for certain platform’s voting events.

— Tether (USDT) is a cryptocurrency with a value meant to mirror the value

of the U.S. dollar. The idea was to create a stable cryptocurrency that can be used like digital
dollars.

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 HOW to get your first coin?
There are a few different methods of acquiring a cryptocurrency:

• Cryptocurrency Mining

• Cryptocurrency Exchanges

• Cryptocurrency P2P (peer-to-peer exchanges)

• Cryptocurrency ATMs

• Dealing with a real person (face-to-face dealings)

Which one you use will depend on a number of factors. Are you able to buy your preferred
cryptocurrency with fiat currency, or will you need to exchange other cryptos for it?

The most popular and common way is from mining. In order to start mining, you need to
purchase crypto-mining hardware or a computer, then a basic setup is needed in order for
your miner to run. Payout of mining can will be in daily but the whole process is time
consuming and requires numerous process.

To make life easier, you can buy cryptocurrency is via a cryptocurrency exchange. A platform
that allows you to use fiat currency like USD to buy, but for others you may need to already
own some cryptocurrencies like BTC that you can exchange for another. Exchanges like
Remitano or Coinbase allow you to purchase them with online bank transfer, credit or debit
card.

Exchanges like Bitmex, Binance or Kraken allow you to trade crypto vs fiat & crypto vs
crypto in pairs. Some even allow margin trading for higher risk reward and speculations.

Another way of acquiring cryptocurrency is via an ATM. Bitcoin ATMs have popped up around
several major cities where you can, in an instant, get BTC in exchange for cash.

Lastly, you can also make purchase via a face-to-face basis with someone who have
cryptocurrency already that wish to sell or a miner that generates coin from mining activity.

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 HOW to manage your coin?
Regardless of your method for buying cryptocurrency, you will need a wallet in order to
obtain it. A cryptocurrency wallet is a public key and a private key. These digital keys confirm
that it is you who is purchasing the cryptocurrency and links you to the blockchain.

Figure 11: Types of Cryptocurrency Wallets

There are several types of cryptocurrency wallets to consider, among the safest are hardware
wallets and paper wallets. Hardware wallets can connect to a computer so you can purchase
cryptocurrencies, and then be stored offline. Paper wallets are literally just your public and
private keys on a piece of paper, meaning they don't connect online at all.

Hardware wallets can be expensive, though. Software wallets don't come with the same costs,
but run into more security risks, like getting hacked or a computer crash. Often, software and
online wallets also have a mobile app available for iOS and Android.

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 HOW to make Profit from Cryptos
Right now, investing in cryptocurrency offers more potential reward than any other
investment opportunity, this is the financial revolution. Get involved or miss out.

In July 2010, the price of a single Bitcoin was eight cents.

2016, when I bought my first Bitcoin, it cost $650.

Late-2017, the price of a single Bitcoin reached $19,800 dollars.

Firstly, it’s important to make sure you only invest money you can afford to lose – trading
cryptocurrencies, or any other stock or commodity, carries a risk. Something you need to
understand is you don’t have to buy a whole coin, you can buy 0.000001 of a BTC if you want
to.

Cryptocurrency trading beginners is to simply split your investment across Bitcoin, and other
top cryptocurrencies among the 10-30 list.

Figure 72: Etheruem price from Jan - Dec 2017

Since January 2017, the value of Ethereum has skyrocketed from $6 to $1000 (+16,566%). It
has also broke the $1400 mark on January 2018. The potential return of investing in
cryptocurrency is enormous.

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 The Different Ways of Investing Cryptocurrency

Exchange (Spot Buy)

• 1:1 Leverage
• Low Risk
• Buy – Hold – Sell Strategy
• Mid-Long Term
• Small ROI

Margin (Borrow & Repay Buy)

• 1:2-5x Leverage
• Mid-High Risk
• Borrow funds multiply of your initial capital
• Short-Mid Term
• High ROI
• Interest of Borrow involved (Hourly – Daily
incurred)
• Risk of Liquidation (Margin Call)

Futures (High Leverage Buy)

• 1:25-120x High Leverage

• Extremely High Risk
• Margin Trading (fraction/percentage of capital
needed)
• Short Term
• High ROI
• Interest Trading Positions involved (Daily Rollover)
• High Risk of Liquidation (Margin Call)

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 Staking (Hold Funds Earn Interest)

• 1:1 Leverage
• Low-Zero Risk
• Hold Cryptos in the wallet to earn interest
• Flexible Term
• High Interest compared to Bank Deposits
• Funds are movable anytime
• Interest Accrued and Payout
• Price Fluctuation may deter your profits

Binance Exchange staking sample, high annual yields up to 16% with low min. holdings!

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 Lending (Lend your Funds & Earn Interest)

• 1:1 Leverage
• Low-Zero Risk
• Hold Cryptos into platform’s custody
• Fixed or Flexible Term
• High Interest compared to Bank Deposits
• Funds are movable depends on Terms
• Interest Accrued and Payout on period
• Price Fluctuation may deter your profits
• Huge Funds are required

Binance Exchange funds lending sample, short tenure with high annualized interest.

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 The Order Book, Market Maker & Taker Explained
Order Book
An order book is the list of orders (manual or electronic) that a trading venue (in
particular exchanges) uses to record the interest of buyers and sellers in a particular
financial instrument. A matching engine uses the book to determine which orders can
be fully or partially executed.

The sample of Bitcoin order book in a trading exchange with market depth background.

Cumulative chart of Buy & Sell orders, price at horizontal-axis & total orders at vertical-axis.

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Market Maker and Taker
Market makers generally try to buy at the current best bid or sell at the current best offer,
i.e., they are making a market that is reflected in the current last price. Market makers are
almost always willing to buy or sell, but may be inclined to step away in times of extreme
volatility.

• Pending Orders (Order Execution)

• Providing constant liquidity
• Turn over positions rapidly
• Usually pay a lower fees

Market takers are less concerned with executing at the best bid or offer. Instead, they seek
liquidity and immediacy, which is enhanced by the constant availability of a tight bid/ask
spread created by the market makers. The relationship between market makers and market
takers is symbiotic. Each needs the other in order to thrive.

• Market Order (Instant Execution)

• Remove liquidity
• Turn over positions rapidly
• Usually pay a higher fees

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 Cryptocurrency Spoofing:
How Bitcoin Whales Fool Markets
What is Spoofing?

Spoofing (also called dynamic layering) is not something that is new to

the cryptocurrency markets. In fact, it has been used to a great extent
in other markets including the commodities and Equity markets. It has more recently been
used by High Frequency Traders (HFT).

Basically, spoofing is the practice of placing multiple visible orders for an asset in order to
manipulate the market’s perception of supply and demand for said asset.

The goal of spoofing = Make a profit by moving the markets slightly.

For example, if you take a look at the above order books from an exchange you can see
massive sell walls (260BTC sell order, approx. 529,000$ in USD value). This will appear to most
market participants to be a bearish sign as it gives off the impression that someone is looking
to sell a great deal of Bitcoin. It also makes it seem that a bull run is almost impossible.

For most cryptocurrency traders, this could be slightly intimidating and they will elect to
either sell their Bitcoin or completely withdraw any buy orders that they may have. However,
this is exactly what the spoofing agent would want.

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The moment that the market has panic sold some of their coins, the spoofer will pick them
up and completely cancel the massive sell orders that they have placed in the books. You will
be left stunned with your Bitcoin bought from you and the sell orders eliminated.

Another example above shows (left) Bitcoin with massive buy walls with a single 500 BTC
order placed at $8,900. Then, on the right you can see the order book a mere few seconds
later. As you can see, the massive 500 BTC buy order has been removed from the books. This
was perhaps done after the participant noticed that the orders could be executed and hence
he pulled it few seconds later.

Algorthmic Bitcoin Spoofing

With the advent of exchange APIs (read on Application programming interface) and advanced
trading algorithms, it is entirely possible that a great deal of the spoofing that is being done
today is as a result of bots. These bots are the type that are developed by software engineers
to interact with the exchanges and place the orders.

You can also trade with a healthy dose of skepticism. Whenever you see order books that
appear to be too good to be true, then there is a realistic chance that it is. Indeed, caution
should always be embraced in general when investing in unregulated markets.

Conclusion

Cryptocurrency spoofing / layering and wash practices have now started to attract the
attention of the authorities, they still have a long way to go before they can effectively clamp
down on the participants in a largely unregulated market.

Whether you will fall victim to it depends on how you approach your cryptocurrency trading.
If you are the individual who likes to buy and hold, then the appearance of buy / sell walls is
unlikely to change your view. However, if you are a trader that relies on market signals to
inform your positions, you should always be aware of the fact that may be being manipulated.

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 HOW to build a Crypto-Portfolio?
Diversifying into multiple different coins and your cryptocurrency portfolio can be split into
several tiers of investment. Select which coins to invest in with care as every coin are on the
list for a reason. Some of these coins cost thousands of dollars a pop, others are mere cents.

Build your cryptocurrency portfolio using a risk-reward formula that is acceptable to yourself.
You’ll have to decide how much risk you want to take on and that should influence which
coins you invest in.

ChartsD’Works recommend keeping at least 50% of your portfolio in safe-ish coins like
Bitcoin, Ethereum, Litecoin.

Figure 8: Blockfolio Apps

Use free Apps like Blockfolio to keep track of ALL your cryptocurrency transactions with real
time price updates, news and many other functions to shape your crypto-portfolio.

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 ChartsD’Works Top Picks Based on Dec 2020*

In this section, we are covering some great potential cryptocurrencies which we also invested
on and it can goes at least x2 or up to x10 in near future. Investor must understand that we
only invest on what we’ve done research on, what we believe that it carry potential and
technically will bring values. Read risk warning below for more info.

1. Bitcoin (BTC) – Coin, Max supply 21mil only, ATH 24,209$, Rank 1.
2. Ripple (XRP) – Coin, Max supply 100bil only, ATH 3.84$, Rank 3.
3. Etheruem (ETH) – Coin, No cap, estimate 100mil+, ATH 1418$, Rank 2.
4. Litecoin (LTC) – Coin, Max supply 84mil only, ATH 375$, Rank 5.
5. Binance Coin (BNB) – Coin, Max supply 187.5mil and burning, ATH 39.57$, Rank 9.
6. Dash (DASH) – Coin, Max supply 18.9mil only, ATH 1579$, Rank 28.
7. ZRX (0x) – Token, Max supply 1bil only, ATH 2.53$, Rank 62.
8. Basic Attention Token (BAT) – Token, Max supply 1.5bil only, ATH 0.98$, Rank 57.
9. Monero (XMR) – Coin, Max supply 17.8mil only, ATH 495.84$, Rank 16.
10. VeChain (VET), Aave (AAVE), Uniswap (UNI), yearn.finance (YFI), Compound (COM),
Dogecoin (DOGE), SushiSwap (SUSHI), Algorand (ALGO),
Data Compiled via coinmarketcap.com

*Risk Warning: Cryptocurrency are complex instruments and come with a high risk of losing
money rapidly due to the nature extreme volatile. A number of 99% retail investor lose money
when trading or investing cryptocurrency. You should consider whether you understand how
cryptocurrency work and whether you can afford to take the high risk of losing your money.

Abbreviation, Meaning & Explanation:

Coin vs Token

• Coin = Digital money, created using encryption techniques, that store value over time,
having the same characteristics of money. Tied to public-open blockchain — anyone is
allowed to join and participate in the network
• Token = Digital assets, issued by a project, can be used as a method of payment inside
project’s ecosystem, performing similar functions with coins, but the main difference is

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 that it also gives the holder a right to participate in the network, represent a company’s
share, give access to the project’s functional and many more.

• Creating a token is easier than creating a coin, as you don’t have to create a new code or
modify already existing one — you just use a standard template from platforms like
Ethereum, that are blockchain-based and allow anyone to create tokens in just few steps.
Using a template for creating tokens provides smooth interoperability, so users can store
different types of tokens in one wallet. Ethereum was the first to simplify the process of
creating a token, being not the last reason why tokens flooded the market.

• Coins are just method of payment while tokens may present a company’s share, give
access to product or service and perform many other functions. Coins are currencies that
can be used for buying and selling things. You can buy a token with a coin, but not vice
versa. Coin operates independently, while token has a specific use in the project’s
ecosystem.

• Max supply means the total amount of coin/token will ever be created and exist in this
world (not to confused with total supply and circulating supply).

• Ranking number are based on total market cap value at the time of writing based on a
specific data source provider – coinmarketcap.com.

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 Secret to Cryptocurrency
The secret is no secret… Always remember that when comes to investing, it require extensive
amount of research, self-hands on, trial & error and other hardworks. In ChartsD’Works, as
we always emphasize and also mentioned before on our Psychology Course’s cover page
that a profitable investment and trading journey consist of three important part, all these
part play an important roles from one to another. Which are the Knowledge – Expreience –

Figure 17: Bitcoin price 2010 - 2016

Psychology.

• Bitcoin first 4-figure record happens in Nov 2014.

• Price instantly crashed -83% back to 200$ area.
• Price slowly recover back 1x fold after a year.

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 Figure 18: Bitcoin price 2010 - 2018

Figure 19: Bitcoin Price 2018 YTD

• History will keep repeat itself, look on how the past history price patterns of Bitcoin.

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 Figure 20: Bitcoin Price 2017 – Dec 2020

• There is always a boom and bust cycle going-on.

• In 20th December 2020, Bitcoin hit another ATH at $24,209+
• There was a plunge towards $3,800 zone on 13th March 2020, since then price
sparked a bull run all the way up til end of year.
• $10,000 was the psychological resistance, once broken it went all the way up to
$20,000 and beyond with less than 2-months time

Figure 21: Bitcoin Price since March 2020

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 Figure 22: Historical Snapshot - November 24, 2013

• Throwback 8-years ago, the list of the ‘top’ 15-coins.

• Marketcap and ranking means nothing but there are something more important
than that.
• Always do your research before investing on any coins.

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Where we are currently located??

Crypto Assets & Internet Growth?

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Even Blockchain has been around for quite some time and application of it were more than
a decade. Please note that:

- We are still undergoing the 2nd phase which is the early majority and pilot users.
- Government around the world are still implementing rules and regulations.
- Blockchain managed to penetrate and transform primary industry sectors like
healthcare, finance, and banking, and brought about game-changing business
practices in many other industries.

What Does the Future of Blockchain Hold?

According to Forbes, with time the trust factor in the capabilities of blockchain is expected
to rise. The real impact of a distributed ledger is still under speculation, but given the spurt
of applications already crowding the markets, it is only a matter of time before blockchain
penetrates every industry sector.

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