Crypto-related questions.

[NLamki]

Long story short, I have to find a way to convince a bank that creating their own cryptocurrnecy is a good idea, If I'm able to achieve that, they will give me a 6 month paid internship with them. So pls help me, I need a job as soon as I leave college lol. Btw, I have done some research, these are just questions I still haven't understood.

My questions are:

• If you make a crypto currency, how would you get it on the market? I.e. How can the bank be able to put it up on a business such as coinbase for example
• I read that the coins are made through mathamatical equations, can someone breifly but clearly explain this? Is it like "1+1=2" is a coin?
• Wtf is a token????
• Also, could a bank artificailly control the price of the coin by controlling the availbility of it or does all the coins have to be made in order to sell it? (Like can the bank just make 100 coins and publish the coin and add 100 every year or so OR would they have to drop all the coins all at once). 

Thank you for the help, and I am aware that this probably isn't the right place to ask this but honestly, I prefer this forum over any other forum. 

If you help, I'll find a way to help you too.   

[tikker]

1 hour ago, NLamki said:

I have to find a way to convince a bank that creating their own cryptocurrnecy is a good idea

Is it really? (no)

1 hour ago, NLamki said:

If you make a crypto currency, how would you get it on the market? I.e. How can the bank be able to put it up on a business such as coinbase for example

If you want to make a cryptocurrency, you'll need an attractive reason for it. If you want it to be succesful some major questions you'll need to answer are:

1. What problem(s) is your crypto trying to solve?
2. How will it solve those problems?
3. How and why is it a better solution than its competitors?

Then you start developing it on either an existing blockchain (e.g. Ethereum's) or its own and start promoting it. I don't know how coins end up on exchanges. Probably once they have hit cricitcal mass in a combination of market cap, usefulness and popularity.

1 hour ago, NLamki said:

I read that the coins are made through mathamatical equations, can someone breifly but clearly explain this? Is it like "1+1=2" is a coin?

Some coins are minted through mining. Watch e.g. 3Blu1Brown's video about Bitcoin to get an idea of what a blockchain and mining is.

1 hour ago, NLamki said:

Wtf is a token????

Still learning this myself, but to my understanding a token is an asset (that is not the coin) that represents something and is used by a certain application on a specific blockchain.

1 hour ago, NLamki said:

Also, could a bank artificailly control the price of the coin...

Stop right there. Why would the bank even need to control the price? This is a big red flag and immediately makes it sound like something I want to stay away from.

 

2 hours ago, NLamki said:

(Like can the bank just make 100 coins and publish the coin and add 100 every year or so OR would they have to drop all the coins all at once).

You can release coins over time, many projects do so and is up to you. There are still multiple problems to me here however:

1. Nobody will trust or use your crypto if the bank controls it, unless its made legal tender they are forced to pay their taxes with it. The entire point of crypto is to get currency away from banks and central entities.
2. People will not buy or invest in a random coin besides for shits and giggles or moonshots. Even then they will only do so if they expect either a) some very uncertain, but sizeable potential or b) a pump&dump where it's just hyped for the sake of hype.
3. 100 coins will get you nowhere and it won't make it valuable just because there are very few of them

 

Unless I'm misunderstanding the situation, I think the bank is right is doubting why they would need a crypto currency. Governments are already introducing / looking into digital versions of their respective currencies. They don't want cryptos. They want something they control and cryptos by their intent are not that.

[gloop]

2 hours ago, NLamki said:

Also, could a bank artificailly control the price of the coin

That the exact opposite of what cryptocurrency is aiming for, if I understand correctly. 

[WkdPaul]

* thread moved to the Folding@home, Boinc, and Coin Mining section *

[NLamki]

42 minutes ago, tikker said:

Is it really? (no)

If you want to make a cryptocurrency, you'll need an attractive reason for it. If you want it to be succesful some major questions you'll need to answer are:

1. What problem(s) is your crypto trying to solve?
2. How will it solve those problems?
3. How and why is it a better solution than its competitors?

Then you start developing it on either an existing blockchain (e.g. Ethereum's) or its own and start promoting it. I don't know how coins end up on exchanges. Probably once they have hit cricitcal mass in a combination of market cap, usefulness and popularity.

Some coins are minted through mining. Watch e.g. 3Blu1Brown's video about Bitcoin to get an idea of what a blockchain and mining is.

Still learning this myself, but to my understanding a token is an asset (that is not the coin) that represents something and is used by a certain application on a specific blockchain.

Stop right there. Why would the bank even need to control the price? This is a big red flag and immediately makes it sound like something I want to stay away from.

 

You can release coins over time, many projects do so and is up to you. There are still multiple problems to me here however:

1. Nobody will trust or use your crypto if the bank controls it, unless its made legal tender they are forced to pay their taxes with it. The entire point of crypto is to get currency away from banks and central entities.
2. People will not buy or invest in a random coin besides for shits and giggles or moonshots. Even then they will only do so if they expect either a) some very uncertain, but sizeable potential or b) a pump&dump where it's just hyped for the sake of hype.
3. 100 coins will get you nowhere and it won't make it valuable just because there are very few of them

 

Unless I'm misunderstanding the situation, I think the bank is right is doubting why they would need a crypto currency. Governments are already introducing / looking into digital versions of their respective currencies. They don't want cryptos. They want something they control and cryptos by their intent are not that.

Basically, I have to find an idea of how to improve fintech, I thought cryptocurrency for a bank would be a good idea, evidently it isn't. What idea would you recommend?

[tikker]

7 minutes ago, NLamki said:

Basically, I have to find an idea of how to improve fintech, I thought cryptocurrency for a bank would be a good idea, evidently it isn't. What idea would you recommend?

I'm not properly schooled in that field and have no proper grasp on what current big issues, so no real idea there. You can still look in the direction of crypto/digital money. Perhaps there are aspects within that bank of in their ecosystem that need addressing. They may even (should) be able to help there, as obviously they know what they are looking for in an intern. Just "improve our company" sounds vague, so my guess is they would have a focus on something.

[NLamki]

2 minutes ago, tikker said:

I'm not properly schooled in that field and have no proper grasp on what current big issues, so no real idea there. You can still look in the direction of crypto/digital money. Perhaps there are aspects within that bank of in their ecosystem that need addressing. They may even (should) be able to help there, as obviously they know what they are looking for in an intern. Just "improve our company" sounds vague, so my guess is they would have a focus on something.

To explain the situation, a bank here is hosting this "Innovation hub" for anyone to join, Whoever has the best fintech related idea would win a cash prize + paid internship + chance to work there.
At first, I thought of having a semi-cryptocurrency. Where its in the middle of cash and crypto, as you said before, most banks and government want control over the financial aspects of their citizens. So my idea was to allow the governments and banks to see who is sending and receiving but without giving them the power to intervene. The major problem with banks is that they have a choice to decline or accept a transaction + the delay. With the semi-crypto, these issues won't be there. And one of my ideas was to also treat it as an actual crypto currency, meaning that if you owned bitcoin or Ethereum, you could exchange it to X bank's crypto to allow for online shopping easier with no issues such as "Card declined" or "incorrect pin"

[NLamki]

4 minutes ago, NLamki said:

To explain the situation, a bank here is hosting this "Innovation hub" for anyone to join, Whoever has the best fintech related idea would win a cash prize + paid internship + chance to work there.
At first, I thought of having a semi-cryptocurrency. Where its in the middle of cash and crypto, as you said before, most banks and government want control over the financial aspects of their citizens. So my idea was to allow the governments and banks to see who is sending and receiving but without giving them the power to intervene. The major problem with banks is that they have a choice to decline or accept a transaction + the delay. With the semi-crypto, these issues won't be there. And one of my ideas was to also treat it as an actual crypto currency, meaning that if you owned bitcoin or Ethereum, you could exchange it to X bank's crypto to allow for online shopping easier with no issues such as "Card declined" or "incorrect pin"

also to add, this currency was not meant for international use, but rather national use with the added ability of trading and exchanging with other crypto currencies 

[tikker]

16 minutes ago, NLamki said:

So my idea was to allow the governments and banks to see who is sending and receiving but without giving them the power to intervene. The major problem with banks is that they have a choice to decline or accept a transaction + the delay. With the semi-crypto, these issues won't be there.

That's pretty much full on crypto already. In the case of Bitcoin and Ethereum the ledgers are public and everybody can view transactions where you see the source wallet and target wallet.

19 minutes ago, NLamki said:

And one of my ideas was to also treat it as an actual crypto currency, meaning that if you owned bitcoin or Ethereum, you could exchange it to X bank's crypto to allow for online shopping easier with no issues such as "Card declined" or "incorrect pin"

I think this would be difficult, because you are now making it an actual currency and adding an additional hoop for people to jump through and will need to push shops to accept it. Instead of paying with dollars (a single step, fiat > payment) or crypto (two steps, fiat > crypto > payment) directly, you are now asking people to do a triple step process fiat > crypto > bank money > payment, or introducing just another crypto as a means of payment, for which there are working alternatives (e.g. Stellar or Nano to name two).

 

However, what you describe sounds similar to what they are trying to do with the digital euro/dollar/whatever that they're planning to start with soon, so perhaps you can find something there.

[airborne spoon]

First I gotta say that is a terrible idea and goes against the very core of crypto.

Second it sounds like you know between very little and a little knowledge of how crypto works. I would recommend you first learn how it works before trying to create a new coin.

Also your best place for this type of discussion and knowledge base will be bitcointalk.org there is a lot of people there that know excessive amounts about all things crypto and stuff and you can learn a lot there.

[NLamki]

Alright, thank you both for your help!