70

Arbitrage - What it is and how it works Arbitrage refers to the process of instantly trading one or more pairs of currencies or odds for a nigh risk-free profit. Usually, this involves two exchanges (this is then called a two-legged arbitrage); although more are, of course, possible. There are several steps when executing an arbitrage: Find a suitable ...


6

First, you're going to have to prove that your altcoin is useful and has value and liquidity. You can't just create a new coin and expect people to value it. The most successful altcoins have something different about them or some feature that other coins don't have. In other words, you need to create some demand. Second, once you have demand, then you need ...


4

Essentially you want to start a cryptocurrency exchange? If that is true, you need liquidity for people to be able to buy these coins. There are two ways of going about it: Use a broker/third party exchange, such as Kraken.com or any other in your region and have your orderbook go through their's. You would have to price it so you are profitable however. ...


3

Exchanging means you are swapping one currency for another. That means you need to find someone who has the currency you want, who also is willing to swap for the currency you have. The purpose of exchanges is to make that 'finding' process easy, because lots of users meet on an exchange to swap their currencies around. There is no way to 'manually' convert ...


3

The idea that bitcoin rising leads to altcoins falling is an unproven hypothesis, it is something that traders have noticed, but due to the various flaws in human observation, we cannot say for certain it is true. That said, there are several factors that could lead to this effect in the short term - but these are all speculative. Traders are attracted to ...


3

The only way to convert them is by trading one for the other, or by going through a third currency. Meaning: Find a person or exchange platform that trades exactly the currency pair you want e.g. LTC/BTC or BLK/BTC. Trade LTC -> USD -> BTC Some exchanges trade a number of different altcoins, so they would lend themselves to do what you want. I have no ...


2

The public to whom you've addressed your question won't provide the best answer. Yours is a question about a particular business (digital currency exchanges) and so it is best directed to the few people who run them. However, here is my guess: Generate loads of PR. Engage technologists in discussions about the comparative advantages of various alt coins. ...


2

Crypto Street is a platform launched to do exactly this. We support BTC, LTC and FTC for now. We plan to add additional altcoins as they prove viable or in some way substantial. (DISCLAIMER: I am one of the owners of the site).


2

Here's the way it works in theory (and in fact how it worked for bitcoin): 0) initially there's no market, no trades, but there is a cost of producing the item. You might ask why anyone would make something that costs money but can't be sold - nerd enthusiasm 1) trade offers at specific prices are made. These were based on the cost to produce. Offers are ...


1

Of course you profited, because your market value just increased by 300%. In your case: You had 1BTC (worth $5000) on Monday. You sell 1 BTC and buy 50 XYZ( 50 * $100 = $5000). Then comes Tuesday, both XYZ and BTC goes up 300%. Now your 50 XYZ is worth $15000, you exchange 50 XYZ for 1 BTC. You see, your total market value increased from $5000 to $15000.


1

While you are starting to look a person on different IRC channels to exchange, let me tell you a poor story of me. When everything just started to begin, I've tried to exchange 8 BTC just for cash... It was dark-dark ages of Internet and cryptocurrencies market at all. Mtgox just like now loudly told everyone how much tens of dollar currently bitcoin costs.....


1

Your coins will be held on the exchange site itself until you choose to withdraw them to your own wallet. If you want to withdraw them, you will have to create a wallet for the currency you have purchased, and use it to generate an address to withdraw to.


1

Use an exchange such as Bittrex, Poloniex, ShapeShift, etc. There you can create an account, deposit your BTC to your account, trade one cryptocurrency for another, and withdraw your new coins to an external wallet.


1

The prices of basically all altcoins follows that of Bitcoin's. So generally when Bitcoin goes up, so do altcoins', when it drops, so do altcoins'. This is generally because altcoins are primarily used as a way for people to get more Bitcoin.


1

This is fairly speculative, so take it with a grain of salt: In the long term, Bitcoin and altcoins are serving the same global market and have very little distinguishing features that make one stand out. One of the most distinguishing features is Bitcoin's strong brand recognition and network. I expect that most of the altcoins will disappear from ...


1

In order for the exchange to process deposits and withdrawals, they must have an actively running instance of the coin's daemon, which is connected to the primary chain of the altcoin's network (i.e., not on a fork). Wallet maintenance implies one of several possible things could be happening: The exchange wallet is not on the correct fork, and needs to be ...


1

If you are not in New York or North Korea, you can use ShapeShift. If you are in New York or North Korea, you need to use a VPN to use the site. It doesn't even require you to make an account and you can easily swap between various cyrpto-currencies.


Only top voted, non community-wiki answers of a minimum length are eligible