{"headers":{"Content-Type":"application\/x-www-form-urlencoded"},"body":"source_lang=&target_lang=PL&tag_handling=xml&split_sentences=1&preserve_formatting=1&text=What+are+altcoins%2C+and+what+do+they+do%3F&text=Altcoins+are+newer+digital+currencies+sometimes+created+by+%27forking%27+an+existing+project%2C+or+by+launch+through+an+ICO.+We+explore+how+the+term+altcoin+was+formed%2C+how+it+applies%2C+and+how+new+cryptocurrency+projects+launch+to+the+market%21&text=%3Cspan+style%3D%22font-weight%3A+400%3B%22%3EIn+2008%2C+%3Ca+href%3D%22https%3A%2F%2Fwww.coininsider.com%2Fwhat-is-bitcoin%2F%22%3EBitcoin+launched%3C%2Fa%3E+as+the+world%E2%80%99s+first+peer-to-peer+currency+system+that+brought+with+it+an+entirely+new+paradigm+in+the+form+of+blockchain+technology.+In+the+years+since%2C+Bitcoin+continues+to+stand+as+the+most+recognizable+example+of+a+cryptocurrency+-+yet+it+is+no+longer+alone.%3C%2Fspan%3E%0A%0A%3Cspan+style%3D%22font-weight%3A+400%3B%22%3EIn+the+years+since+Bitcoin%E2%80%99s+emergence%2C+other+cryptocurrencies+have+emerged+to+fill+not+only+the+space+left+by+Bitcoin%2C+but+have+applied+blockchain+technology+to+various+spheres+and+challenges+around+the+world.+%3C%2Fspan%3E%0A%0A%3Cspan+style%3D%22font-weight%3A+400%3B%22%3EWhile+together+their+emergence+marks+these+projects+as+digital+currencies%2C+projects+outside+the+scope+of+Bitcoin+are+sometimes+referred+to+as+%E2%80%98alternatives+to+Bitcoin%E2%80%99-+or+altcoins.%3C%2Fspan%3E%0A%3Ch3%3EWhat+exactly+is+an+%27altcoin%27%3F%3C%2Fh3%3E%0A%3Cspan+style%3D%22font-weight%3A+400%3B%22%3EAltcoins+can+either+take+the+form+of+an+entirely+new+digital+currency+project%2C+or+can+leverage+the+open+source+nature+of+other+initiatives+to+achieve+different+goals.+Specifically%2C+altcoins+can+introduce+different+monetary+policies+that+encourage+different+use+cases+or+treatment+such+as+by+introducing+minimum+spends%2C+positive+or+negative+interest+on+holdings%2C+or+even+changing+stances+on+mining+-+the+way+through+which+new+cryptocurrencies+enter+a+financial+system.%3C%2Fspan%3E%0A%0A%3Cspan+style%3D%22font-weight%3A+400%3B%22%3EMany+altcoins%2C+since+their+introduction%2C+have+begun+to+be+widely+accepted+and+recognized+next+to+the+media+frenzy+that+has+promoted+Bitcoin+into+the+worldwide+view.%3C%2Fspan%3E%0A%0A%3Cspan+style%3D%22font-weight%3A+400%3B%22%3EEthereum%2C+perhaps+the+most+recognizable+altcoin%2C+is+the+result+of+a+development+platform+which%2C+rather+than+serving+as+a+peer-to-peer+currency%2C+is+designed+to+program+binding+agreements+-+called+Smart+Contracts+-+into+the+blockchain+itself.%3C%2Fspan%3E%0A%0A%3Cspan+style%3D%22font-weight%3A+400%3B%22%3EEthereum+has+been+used+by+developers+to+exchange+code+and+subsequently+build+applications+on+top+of+the+platform+-+and%2C+given+that+Ethereum+is+run+on+computers+all+around+the+world%2C+the+New+York+Times+famously+labelled+the+project+as+%3C%2Fspan%3E%3Ci%3E%3Cspan+style%3D%22font-weight%3A+400%3B%22%3E%E2%80%9Ca+single+shared+computer+that+is+run+by+the+network+of+users+and+on+which+resources+are+parceled+out+and+paid+for+by+Ether.%E2%80%9D%3C%2Fspan%3E%3C%2Fi%3E%0A%0A%3Cspan+style%3D%22font-weight%3A+400%3B%22%3EOther+projects+take+similar+root+to+Bitcoin.+Litecoin%2C+another+recognizable+altcoin%2C+was+designed+by+former+Google+engineer+Charlie+Lee%3B+by+using+the+fundamental+technology+of+the+Bitcoin+blockchain+with+added+improvements%2C+Lee+was+able+to+craft+Litecoin+into+a+peer-to-peer+currency+network+that+sees+transactions+take+place+far+more+quickly.%3C%2Fspan%3E%0A%0A%3Cspan+style%3D%22font-weight%3A+400%3B%22%3ESome+altcoins+are+expressly+designed+to+have+a+wildly+different+use+case+or+utility.+The%3C%2Fspan%3E%3Cspan+style%3D%22font-weight%3A+400%3B%22%3E%C2%A0Golem+Network%2C+for+example%2C+allows+users+to+let+portions+of+their+computer%E2%80%99s+CPU+%28or%2C+accordingly%2C+rent+portions+of+other+CPUs%29+through+a+worldwide+distributed+network+of+computers.+The+Golem+Network+leverages+Golem+tokens+-+a+means+of+exchange+to+facilitate+the+use+of+CPU+cores+around+the+world+that+together+form+a+worldwide+supercomputer.%3C%2Fspan%3E%0A%0A%3Cspan+style%3D%22font-weight%3A+400%3B%22%3EAt+their+most+basic+level%2C+altcoins+serve+to+decentralize+the+utility+offered+by+Bitcoin+and+provide+new+and+interesting+ways+to+make+use+of+blockchain+technology%2C+and+further+provide+Bitcoin+with+healthy+competition+in+terms+of+both+intellectual+capital+and+fiscal+worth.%3C%2Fspan%3E%0A%3Ch3%3EHow+are+new+altcoins+launched%3F%3C%2Fh3%3E%0A%3Cspan+style%3D%22font-weight%3A+400%3B%22%3EWhile+many+altcoins+are+created+as+the+result+of+%E2%80%98forks%E2%80%99+-+wherein+either+a+cryptocurrency+project+is+duplicated+and+started+anew+in+a+%E2%80%98cloned%E2%80%99+interpretation+where+changes+can+be+made%2C+or+a+project+is+split+in+two+by+community+disagreement+over+a+proposal+for+improvement+-+some+are+created+through+the+process+of+an+Initial+Coin+Offering+which%2C+like+an+Initial+Public+Offering%2C+introduces+a+new+coin+or+token+to+a+market+in+a+bid+to+raise+early+capital+or+market+capacity.%3C%2Fspan%3E%0A%0A%3Cspan+style%3D%22font-weight%3A+400%3B%22%3EInitial+Coin+Offerings+-+commonly+abbreviated+to+ICOs+-%C2%A0%3C%2Fspan%3E%3Cspan+style%3D%22font-weight%3A+400%3B%22%3Esare+a+fundraising+method+by+means+of+crowdfunding.+This+happens+where+startup+projects+publically+sell+their+basic+cryptocurrencies+or+tokens+in+exchange+for+Bitcoin+or+Ether.%3C%2Fspan%3E%0A%0A%3Cspan+style%3D%22font-weight%3A+400%3B%22%3EICOs+are+similar+to+the+concept+of+Initial+Public+Offerings+%28IPOs%29+in+the+stock+exchange+which+see+the+initial+public+sale+whereby+investors+can+purchase+shares+of+a+company%3B+ICOs+see+investors+purchase+the+project%E2%80%99s+tokens+%28which+act+like+shares%29+and+pay+in+a+cryptocurrency%2C+such+as+Bitcoin.%3C%2Fspan%3E%0A%0A%3Cspan+style%3D%22font-weight%3A+400%3B%22%3EA+company+will+issue+an+IPO+in+order+to+gather+funds+to+further+business+development+and+expansion.+ICOs+are+similar+in+purpose%3B+the+initial+sale+where+a+project+or+business+will+offer+their+tokens+in+return+for+cryptocurrencies.%3C%2Fspan%3E%0A%0A%3Cspan+style%3D%22font-weight%3A+400%3B%22%3EBefore+a+company+can+issue+an+IPO%2C+a+document+-+the+prospectus+-+must+be+created.+The+prospectus+must+legally+declare+the+company%E2%80%99s+intention+to+release+its+shares+to+the+public%2C+and+must+meet+the+required+standards+of+transparency%2C+to+assist+potential+investors+and+to+avoid+fraudulent+money+making+schemes.%3C%2Fspan%3E%0A%0A%3Cspan+style%3D%22font-weight%3A+400%3B%22%3EHowever%2C+this+is+%3C%2Fspan%3E%3Ci%3E%3Cspan+style%3D%22font-weight%3A+400%3B%22%3Enot+%3C%2Fspan%3E%3C%2Fi%3E%3Cspan+style%3D%22font-weight%3A+400%3B%22%3Ethe+case+with+ICOs+and+the+only+requirement+the+company+must+produce+is+a+document+in+the+form+of+a+white+paper+detailing+key+information+of+the+project.+The+weight+of+this+is+that+there+is+no+standard+for+an+ICO+whitepaper+whatsoever%2C+so+any+project+is+allowed+to+include+and+omit+information+at+their+will.+This+leaves+a+great+deal+of+room+for+scammers+to+deceive+investors+with+promises+of+projects%2C+which+are+ultimately+fraudulent+schemes.%3C%2Fspan%3E%0A%0A%3Cspan+style%3D%22font-weight%3A+400%3B%22%3EFurthermore%2C+because+there+is+such+little+need+for+legal+protocol+and+regulated+framework%2C+many+projects+do+not+have+any+sort+of+existing+track+record+and+only+the+whitepaper+is+able+to+back+up+the+project.+Since+there+is+no+past+history+recorded%2C+any+assessment+of+the+endeavor+is+solely+based+on+the+project%E2%80%99s+future+expectations.%3C%2Fspan%3E%0A%0A%3Cspan+style%3D%22font-weight%3A+400%3B%22%3EThere+are+a+number+of+different+digital+currencies+in+the+foreground+of+cryptos%2C+such+as+Bitcoin+and+Ethereum%2C+and+the+rabbit+hole+goes+even+deeper+with+ICOs.%3C%2Fspan%3E%0A%3Ch3%3EHow+are+altcoins+valued%3F%3C%2Fh3%3E%0A%3Cspan+style%3D%22font-weight%3A+400%3B%22%3E+Similarly+to+%3C%2Fspan%3E%3Cspan+style%3D%22font-weight%3A+400%3B%22%3Ehow+Bitcoin%E2%80%99s+value+is+determined%3C%2Fspan%3E%3Cspan+style%3D%22font-weight%3A+400%3B%22%3E%2C+the+increased+chance+of+an+altcoin+receiving+funding+-+and+acquiring+value+-+is+attributed+the+provision+of+solutions+for+growing+markets+with+real-world+demand+and+that+backing+from+top+investors+leads+to+a+wealth+of+invested+support.+Innovation+using+existing+technology+is+also+a+winning+catalyst+and+if+a+project+has+a+good+team+behind+the+development%2C+it+adds+to+the+recipe+for+success.%3C%2Fspan%3E%0A%0A%3Cspan+style%3D%22font-weight%3A+400%3B%22%3EOwing+to+the+difficulty+to+regulate+and+the+opening+this+provides+to+scammers%2C+ICOs+are+notoriously+risky+to+invest+in+which+results+in+a+rock+and+a+hard+place+for+projects+which+have+the+potential+for+something+great.%3C%2Fspan%3E%0A%0A%3Cspan+style%3D%22font-weight%3A+400%3B%22%3EIf+you%E2%80%99re+considering+investing+in+an+ICO%2C+the+best+advice+to+offer+would+be+to+research+as+much+as+possible+and+to+not+invest+what+you+can%E2%80%99t+afford+to+lose.+Interested+investors+can+always+opt+to+%3C%2Fspan%3E%3Cspan+style%3D%22font-weight%3A+400%3B%22%3Ebuy+cryptocurrencies%3C%2Fspan%3E%3Cspan+style%3D%22font-weight%3A+400%3B%22%3E+following+the+launch+of+an+ICO+to+mitigate+risk.%3C%2Fspan%3E%0A%0A%3Cspan+style%3D%22font-weight%3A+400%3B%22%3EWhile+it+remains+to+be+seen+if+another+cryptocurrency+will+ever+reach+the+same+peaks+of+triumph+and+valleys+of+loss+experienced+by+Bitcoin%2C+altcoins+provide+a+way+for+both+passionate+investors+to+stake+their+claim+in+a+project+they+can+believe+in%2C+or+for+seasoned+traders+to+earn+money+through+well-placed+trades.+For+those+who+%3C%2Fspan%3E%3Cspan+style%3D%22font-weight%3A+400%3B%22%3Ebuy+altcoins%3C%2Fspan%3E%3Cspan+style%3D%22font-weight%3A+400%3B%22%3E%2C+there+might+yet+be+a+blockchain+project+that+offers+staggering+returns+to+committed+investors.%3C%2Fspan%3E","timeout":15}