In the past year, we have seen an explosion in the value of the global cryptocurrency market. Bitcoin’s price has increased by 850%, Ethereum’s by 2900%; and the market capitalisation of the cryptocurrency market has increased from around $13 billion to over $200 billion. Such a rapid increase reflects uncertainty surrounding the value of global currencies and increasing faith among investors in cryptocurrencies as an investment vehicle. While financial institutions and regulators now accept that crypto is here to stay, future demand will depend on widespread adoption and the response of policymakers. Read more
What is block chain and what is cryptocurrency? Is there a difference?
Blockchain is the enabling technology that underpins cryptocurrency. Cryptocurrency is money based on trust in cryptographic, mathematical proofs.
Why has block chain and cryptocurrency become so popular?
Crypto currencies are not inflationary. They are cheaper to transact and do not rely on third party involvement – it is straight peer to peer . Negative perceptions of future monetary trends have accelerated acceptance.
How many people are currently involved in cryptocurrency and will interest keep rising?
Approximately 16 million Bitcoin wallets and at least the same again in other crypto currencies. These figures are rising exponentially all the time. Interest will continue to rise as adoption and use continues to rise.
How safe is block chain?
Blockchain is based on incredibly complex cryptography. Mathematically it is safer than the chances of finding one specific grain of sand not just on earth but in the entire universe.
What is the difference between cryptocurrency and the money in my wallet?
The value of a crypto currency does not rely on issuance of money by governments or Central banks – hence no quantitative easing and falling value over time of your wallet’s content.
Will Cryptocurrency overtake money as we know it?
Indications are that it may eventually – growth will be exponential then explosive. Actual cash transactions are already disappearing fast.
What is an e-wallet?
A piece of software that allows you to transact your crypto coins – it does NOT store them. A crypto wallet (e.g. freewallet.io) enables you to store and spend them.
Where can I spend my cryptocurrency?
Dell, Microsoft, Overstock, Expedia etc, all accept Bitcoin. Scotcoin will shortly be accepted in over 2000 places in UK. It was recently used to buy a flat.
How can I use my cryptocurrency?
With your crypto-wallet (e.g. freewallet.io)
Do I need to pay CGT on any gains made?
Yes HMRC treats any gains from any source in exactly the same way. Around 1000 people in the USA paid tax on their Bitcoin earnings last year.
Can I leave cryptocurrency in my Will?
Yes, make sure your beneficiaries get your pass phase(s) at the appropriate time. Lose the pass phrase and you lose the wallet and its contents. THERE IS NO RESET.
SCOTCOIN INCREASES IN VALUE: Following a hike in the value of Bitcoin, Scotcoin too is enjoying an uplift in value… But how do it actually work? With respected financial journalists such as Ed Conway of The Times writing headlines such as “Bitcoin could turn capitalism on its head“, economists now predict that cryptocurrency has the potential to bypass governments and the digital media giants to become the new power behind big decisions not just in financial markets but in many different areas of life.
How is cryptocurrency valued?
Simply put, cryptocurrencies are worth what someone is willing to pay for them – just as any other asset is valued, such as house prices or stocks or traditional currencies.
In the case of cryptocurrencies the value is usually derived from exchanges (very similar to traditional stock exchanges) where bids are placed for buying and selling an asset and an average value is therefore established for that stock.
As a Bitcoin backed asset that uses the Bitcoin blockchain via Counterparty, the rising prices of BTC and XCP thus increases the value of Scotcoin. So with 1 BTC now costing over £2,000, the price of Scotcoin being based on BTC has gone up. Effectively your Scotcoin is now worth more!
What sort of an investment is Scotcoin?
So if you bought just £100 of Scotcoin just 2 years ago, it’s now worth over £20,000. The Scotcoin Project CIC as a non-profit company, will continue to spread the word about Scotcoin, increase the users, find new merchants willing to accept Scotcoin as a trade, and promote the use of cryptocurrencies in Scotland generally.
Where can I buy Scotcoin?
When The Scotcoin Project first launched, one of the main questions we got asked was: “How can I buy Scotcoin?” People didn’t necessarily want to set up trading accounts and buy Bitcoin then transfer it into Scotcoin, so we set up a very simple £ to SCOT exchange. You can access it here and buy directly from £ to SCOT: