What are Cryptocurrencies? And Cannabis Cryptocurrencies? Well, Cryptocurrencies, which already exist in the world, arouse interest both in terms of the idea of freedom and independence, which they carry with them, as well as from the point of view of possible investment profits. But it is worth asking what is actually a cryptocurrency?
Cryptocurrency, in other words a cryptographic currency, is an innovative, dispersed accounting system, storing information about the state of ownership in contractual units. Translating this into a more understandable language, one of the main features of a cryptocurrency is that it works like a virtual currency. The owner of such a cryptocurrency stores it on his computer or in a smartphone application in the so-called wallet, to which only he has access. If he wishes to make a transaction, it is done electronically, directly between him and the counter party. Each cryptocurrency unit has a unique code, which contains information preventing its copying or re-disbursement.
The key to the cryptocurrency concept is also the fact that there is no regulator in trading in them. Therefore, there is no “Central Crypto Bank”, which can decide e.g. on increasing the cryptocurrencies supply and thus the decrease in its value. How much of a given cryptocurrency, or even Cannabis Cryptocurrencies, will be in circulation is decided by its creator at the stage of creating the system. Its value is in the hands of the free market. Cryptocurrencies are traded electronically, without the participation of any banking system directly between users of the cryptographic currency, i.e. in peer to peer technology. This means that the transaction is not supervised in any way. Therefore, there is no entity that will inform the tax authorities if we want to sell a large number of cryptocurrency units, as in the case of bank transactions for an amount exceeding the equivalent of EUR 15,000. Nobody can “block” our account either. A bailiff will not “enter” them either. Considering the above, it turns out that the mission of a cryptocurrencies comes down to one word, which sounds “freedom”. Cryptocurrencies are electronic currencies completely free from the control of politicians, national or international financial institutions, the circulation of which is not controlled in any way, but is subject only to a strong system of electronic, automated safeguards.
We still have a small idea about cryptocurrencies. If we have already had something on our ears, we usually think that it is simply virtual money or a transaction system on the Internet. However, cryptocurrencies are primarily a breakthrough Internet technology, and using it as a means of payment is only one of its possible applications. It is a system based on a peer-to-peer network, i.e. fully distributed, without a central unit, organization or place that controls it. Users of the system, their computers, are network nodes through which transactions are exchanged, authorized and accounted for. This system stores information about the state of ownership in contractual cryptocurrency units. The ownership of a given cryptocurrency is related to individual portfolios containing information about the ownership of the cryptocurrency of a given user. The portfolio is created automatically during the first authorization of the user in the system. Only the holder of the corresponding encrypted private key has control over the portfolio. Advanced mathematical and cryptographic methods make it impossible to double release of a cryptocurrency, its forgery or theft. The whole system is based on blockchain technology. The cryptographer is the first invention in the financial system, which was developed outside financial institutions, even without cooperation with them. It is innovative, simple and does not use existing financial systems. What is more, it poses a threat to the status quo of the financial system. The cryptocurrency is considered by most countries in the world as a currency unit. Currently, over 200 coins are listed on several special exchanges like the bitcoin prediction market . The most popular cryptocurrency is indeed bitcoin (BTC). But what is it? How does it work? Currency exchange rates are raging. The zloty (PLN) is screwing up further infamous records of low value, and this unfortunately affects our wallets. Financial markets do not trust the Polish currency. And to which currency do they have? No, not only to the dollar. Some time ago I read that in economically turbulent times investors found a safe haven for themselves. It is Bitcoin, the famous cryptocurrency. But not only them. Crypto betting games are able to bypass national anti-gambling laws and they are already being considered the future of worldwide gambling and sports betting according to many crypto sport news.
In this article I would like to focus on a few of the many varieties of cryptocurrencies and they are them:
1. CannaCoin (CCN) has 1479th largest capitalization on the market. The capitalization amounts to 73.02 thousand USD, which is 0.0000% of the total cryptocurrency market. Currently there are 4.7 million coins available. The price of CCN is currently characterized by average volatility. CannaCoin runs on a decentralized blockchain using Peer2Peer tech. The currency was developed in 2014 but transitioned to Proof-Of-Stake at block 370,000. Cannacoin, as described by its founders is “A group of cannabis enthusiasts working towards the future development of cryptocurrency applications related to cannabis production, seed production, extract production, glass blowing facilities, vape and dab station manufacturing, crypto development, and more” As of April 2018, CannaCoin has a price of $0.058 and a market cap of $272,000. There’s a circulating supply of 4.7 million CannaCoins
2. CannabisCoin (CANN) – It is a proof-of-work, peer-to-peer open source currency and like Potcoin was aimed at easing transactions for medical marijuana dispensaries. While it initially gained popularity, it has generally failed to deliver much for investors. Focusing on its market, CannabisCoin has proposition to convert cryptocurrency directly into marijuana. Under the name ‘CANNdy’ there is a line of medicines and marijuana strains grown of the specific purpose of exchange at the rate of 1 CannabisCoin to 1 gram of medication. The total supply of CannabisCoin is set at 91.8 million, with over 77 million Cannabis Cryptocurrencies currently in circulation. The currency has a market cap of $5.2 million.
3. Potcoin – (PTO) has the 489th largest capitalization on the market. The capitalization amounts to USD 4.61 million, which represents 0.0023% of the total cryptocurrency market. Currently there are 220.83 million coins available out of 420 million, which is the maximum availability. The remaining 199.17 million remains to be recovered, worth USD 4.16 million. The volume in the last 24 hours has decreased, which suggests low interest in this instrument. The price of the PTO is currently characterized by high volatility. Launched in January 2014, PotCoin was one of the earliest Cannabis Cryptocurrencies. It was designed to solve banking problems for people looking to transact in legal marijuana. The currency was looking to capitalize on Colorado’s legalization of marijuana and even installed a PotCoin ATM at a marijuana dispensary in Colorado. However, the currency failed to make a huge mark and remained in the shadows till June 12, 2017. A press release and a video of NBA star Dennis Rodman sporting a potcoin.com shirt in North Korea gave PotCoin a shot in the arm. By funding Rodman’s trip, not only did PotCoin re-enter the media spotlight it was also up 76% in just one day, according to Coinmarketcap.com. Its current market cap is close to $31 million, a huge increase from $81,547 in February 2014. It currently sits at #263 in market cap ranking for crypto. As for price, in February 2014, 1 PTO was worth $0.004625, which has now increased to $0.144990, a jump of over 3,000%. PotCoin is in limited supply of, you guessed it, 420 million coins, with close to 219 million in circulation. With its recent transition to Proof-of-stake, investors can earn 5% annual returns on their PotCoins. One point to note is that PotCoin claims transaction speeds of 40 seconds, which are pretty impressive compared to those for Bitcoin.
4. DopeCoin – (DOPE) In February 2014, DopeCoin was founded by Adam Howell or ‘Dopey’, according to its website. Little is known about the specific markets that the currency serves except that its “mission is to provide marijuana enthusiasts with a modern and secure way of doing business for the 21’st century,” the website notes. Started with a vision of creating a ‘Silk Road’ for transactions in marijuana across the world, DopeCoin supply is limited to 200 million coins with about 117 million of the Cannabis cryptocurrencies currently in circulation. It is also a Proof-of-Stake currency, where a 5% annual interest can be earned. The currency currently has a market cap of close to $7.7 million, according to coinmarketcap.com.
5. HempCoin – (THC) also came into existence in 2014, although its focus is less on individuals using it to buy weed, and is instead designed to be used by the farming industry and medical/recreational dispensaries. HempCoin’s website claims that the currency can be used to “facilitate transactions between marijuana farmers and the local dispensary shops” as well as purchasing gear and tools used for farming marijuana. It’s interesting to note that HempCoin is used in all areas of agriculture, not just among Cannabis Cryptocurrencies. As of April, 2018, HempCoin has a price of 0.101USD, a market cap of more than $23.4 million.
Cannabis Cryptocurrencies made it very easy for people in the cannabis industry – or simply for those who are just looking to buy some weed – to carry out transactions. Nevertheless remember that pot is still illegal in most countries in the world, which poses various dangers for anyone attempting to sell or buy weed even while using cryptocurrencies. Of course, a worldwide legalization of marijuana is coming, but while waiting for it we are doomed to buy it from the dark net markets, local drug dealers or we can just come to Canada to buy marijuana without this whole paranoia of being caught.
