Rich Insights

The Lottery Side of Crypto Currency

What does a cryptocurrency node computer set for solo mining have in common with the lottery? Both of them are winners if you play them long enough.

What is the difference? You are more likely to win more money by owning a node than by gambling on the lottery.

Blockchain technology is a peer-to-peer encryption system that allows online transactions to be sent directly from one party to another without going through a third party like a financial institution or the government.

The Blockchain is unbreakable because it uses hundreds of millions of mining and node computers to form a peer-to-peer network that working collectively controls more CPU power than anyone else. The general rule for breaking encryption systems is you need 10 times the computing power of the targeted encryption system.

One of the interesting offshoots of blockchain technology is solo mining.

Most mining is done in pools. Think of a pool as a large number of people who buy millions of lottery tickets and share the winnings. The node that gets the tickets sends them out to the people, the people check to see if they have a winner and report back to the node the winning tickets. The node cash’s the tickets and pays everyone a share of the winnings.

Solo mining can only be done by a node computer that is set up to receive a lottery ticket and instead of sending the ticket to a pool checks to see if it is a winner. If the ticket is a winner the money is paid to the solo node.

What is the probability of catching the winning lottery ticket aka the encryption block solo mining?

Solo mining while a guaranteed payoff is very dependent on luck and time. The reward or payoff for solo mining changes depending on what is being paid for solving the encryption code.

In order to calculate the probability of hitting the bitcoin lottery you need to understand that the hash rate is the speed an encryption problem is solved at. One terahash per second (TH/s) is 1 trillion (1,000,000,000) hashes per second. In the context of Bitcoin mining or blockchain, the rate of hashes per second is important because it determines how long it takes to complete an encryption block.

The node miner, depending on its speed or hash rate has a 0.000065% chance of catching the payable code every 10 minutes. Statistically this means if the node is in service continuously, a payoff will occur once every 1,538,357 blocks or 10,683 days, which equals 29 years.

The payoff like the lottery changes every day so the odds can be calculated but they depend on the hash rate and the current pool payout. Like playing the lottery every ticket is a potential winner and if you play long enough you will win.

When I wrote this using the above numbers I figured the odds using the current payout which is $65,000 and a hash rate of 250 to be 1 in 78,000 or if you keep your solo node working the first hash like a lottery ticket could be a winner and the odds are the same each time thereafter. If everything remained constant, buying a lottery ticket every 10 minutes never changes the chances of winning but sometime over the next thirty years your miner will hash a winner and you will be paid immediately in bitcoins.

– Crypto Rich – 12/12/22

Cryptocurrency Wallets Explained pt. 2

Crypto wallets are an essential tool for buying, trading and selling cryptocurrencies. Traders need them to store crypto securely, as well as to protect and validate transaction information. Be they hardware or software, also called hot and cold storage, custom crypto wallets offer traders dedicated solutions compared to those from crypto exchanges.

There are three kinds of wallets.

1.  Electronic wallets with the keys stored on someone else’s computer. This is the least secure. Pretend you’re in the wild west. The town bank (someone else’s computer) was robbed and there is no FDIC. You’ve lost everything!

2.  Electronic wallets with the keys stored on your computer.  Better, but watch out for intruders Backups are essential but not enough security. When you send crypto from any wallet and the other guy doesn’t come up, you’re screwed. There’s no trusted third party like Visa to give you back your money.

3. Hardware wallets or as they are sometimes called offline crypto wallets are the best and most secure. If you lose a hardware wallet there are keys (stored securely) for a backup.

The reputation of the wallet maker is one of the most important factors because it’s entirely possible for a wallet to have built-in security flaws (whether by design or by accident) that put your bit coin and other crypto assets at risk. To check that the wallet is on the up and up, search for it on forums such as the Bitcoin Reddit or the Bitcoin.com Forum to see what people are saying about it.

The following are Crypto Rich wallets we sell and service:

Ledger Nano X

Trezor Model T

Ledger Nano S

ELLIPAL Titan

CoolWallet Pro

To learn more enroll in a Crypto rich Class on Mining.

– Crypto Rich – 10/12/22

Racecars and Bitcoin Mining

Bitcoin and Ethereum mining have been making headlines again, as prices and mining profitability were way up compared to the last couple of years. Everyone who didn’t start mining last time is kicking themselves for their lack of foresight. Not surprisingly, the best graphics cards and those chips at the top of our GPU benchmarks hierarchy end up being very good options for mining as well as gaming.

Here at Crypto Rich mining is a game where we design and build computers that mine. It is like building a race car. Each component of the car or the miner is a tradeoff between advantages and disadvantages. The three tradeoffs for video cards are electricity costs associated with the card, hash rates and cost to acquire the card. The trick is to minimize power consumption, while maximizing hash rates at the cheapest cost. Here are what we use at Crypto Rich’s top build our miners.

JINGSHA GeForce GTX 1060 6G Graphics Card, 2X Windforce Fans, 6GB 192-Bit GDDR5, Video Card

SAPLOS Radeon RX 560 Graphics Card, 4GB GDDR5 128-bit, DisplayPort HDMI DVI-D, Dual Air Cooling, PC Gaming Video Cards GPU Computer, PCI Express 3.0, DirectX 12, Low Power, Plug and Play

PNY GeForce GT 1030 2GB Graphic Card

EVGA GeForce GTX 1070 SC GAMING ACX 3.0 Black Edition, 8GB GDDR5, LED, DX12 OSD Support (PXOC) 08G-P4-5173-KR

MSI Gaming Radeon RX 5600 XT Boost Clock: 1620 MHz 192-bit 6GB GDDR6 DP/HDMI Dual Torx 3.0 Fans Freesync DirectX 12 Ready Graphics Card (RX 5600 XT GAMING MX)

PowerColor AMD Radeon RX 5500 XT 8GB AXRX 5500XT 8GBD6-DH/OC

MSI Gaming GeForce RTX 3070 8GB GDRR6 256-Bit HDMI/DP TORX Fan 3.0 Ampere Architecture OC Graphics Card

ASRock Radeon RX 5700 XT Taichi X 8G OC+ 8GB

SAPLOS Radeon RX 560 Graphics Card, 4GB GDDR5 128-bit, DisplayPort HDMI DVI-D, Dual Air Cooling, PC Gaming Video Cards GPU Computer, PCI Express 3.0, DirectX 12, Low Power, Plug and Play

ZOTAC Gaming GeForce GTX 1660 Ti 6GB GDDR6 192-Bit Gaming Graphics Card Super Compact – ZT-T16610F-10L

To learn more enroll in a Crypto rich Class on Mining.

– Crypto Rich – 09/12/22

Crypto Currency Wallets Explained

There are two ways to be involved in cryptocurrency. A user can either buy the currency or mine it.

Either way the user must decide where to store the currency. In the crypto industry the method of storage is in an electronic wallet. The purpose of a wallet is to act as a conduit for the currency. The end process of cryptor currency is the ability to retrieve it or store more of it in the wallet.

Whether you mine or buy you need a wallet to store and disperse your currency.

There are three kinds of wallets:

1.  Electronic wallets with the keys stored on the net (someone else’s computer.) This is the least secure Pretend you’re in the Wild West. The town bank (on the net) was robbed, there is no FDIC. Another problem is, you no longer know how to get into the site or the site is moved. There is no customer support in cyber currency.

Crypto Rich has consulting services to help recover lost funds.

2.  Electronic wallets with the keys stored on your computer.  Still on the net now security shifts to your own computer. Lose or break your computer you lose your keys. Backups are essential but not enough security. Your currency is only as secure as your computer is. Crypto Rich has consulting services to help recover lost funds because of hardware failure or other reasons.

3. Hardware wallets are the best and most secure. A hardware wallet is a USB storage device that will access any computer that has the hardware site software loaded on it. Crypto Rich sells Trezor, Ledger Nano and others. If you lose a hardware wallet there are keys AKA seed codes that can recover your wallet if you lose it. Crypto Rich proves a service contract to store your seed codes and recover your wallet.

To learn more enroll in a Crypto rich Class on Wallets.

– Crypto Rich – 07/11/22

A Short History of Bitcoin

The history of mankind is written by two different types of humans; those who rule us and the rest of us. The rulers of humanity control the resources of our planet by keeping most of it for themselves. The wealthy rule by dividing the rest between those who will protect the wealthy and those who will replace them, you are either part of the problem or part of the solution.

Y2K and the failure of Swiss banks to protect the wealth of the wealthy were the precursors to the creation of cyber currency. The wealthy will be with us until the end of time. How they control us continues to be by transferring their wealth to those who will protect them. Cyber currency using blockchain technology is the evolution of transferring wealth from those who have it to those who want to have it.

History teaches us that if you want to be wealthy you are either born into it or you make yourself useful to the wealthy. Today is no different. The 15^th wealthiest individual in the world is the unknown, unpictured, enigma Satoshi Nakamoto aka Crypto Rich. Crypto Rich remains unknown for the practical reason, “dead men tell no tales.” Whether he or she is alive or a myth makes no difference. People who serve the wealthy only live long enough to be useful.

Regardless of the history of cyber currency the wealthy have a new way to hide old wealth.

Today is a golden opportunity for all of us, who serve with the desire to become wealthy.

Buy bitcoins and HODL.

– Crypto Rich – 07/07/22

Who is Nakamoto?

The cyber currency industry is the digital equivalent of the American Wild West. There are no laws to protect snowflakes. Governments and for that matter most of the people today have no idea about how the cyber currency industry originated and the impact it is having on business and banking.

I became involved in the crypto industry in 2000 when the uber wealthy of the world were upset because the government had gotten Swiss Bankers to release banking information on them. I was still working in the banking industry and followed with much interest the technical discussions centering on solution of eliminating the need for banks and bankers. Tech papers on the future of banking referencing cryptocurrency began to appear on the internet. The Holy Grail of the wealthy was to eliminate the need for fiat currency, while providing a safe and secure way to store wealth digitally.

It was 2010 that I first heard the name Satoshi Nakamoto and blockchain technology. Nakamoto is credited as the creator of the first blockchain database. In the same year he is credited with being the author of the seminal work on bitcoin, “The Bitcoin White Paper.” This defining documentation created and deployed bitcoin’s original implementation plan.  By this time I was actively involved in researching this paradigm technology.

Nakamoto continued to collaborate with other developers on the bitcoin software until mid-2010, making all modifications to the source code himself. He then gave control of the source code repository and network alert key to Gavin Andresen, transferred several related domains to various prominent members of the bitcoin community, and stopped his recognized involvement in the project.

Nakamoto owns between 750,000 and 1,100,000 bitcoin. As of November 2021, that puts his net worth at up to 73 billion US dollars, which would make him the 15th-richest person in the world.

Nakamoto is as ephemeral as a rose, be bloomed in the light of recognition and disappeared shortly thereafter taking billions with him. 

– Crypto Rich – 06/15/22