Skip to main content

How to make money on Bitcoins

I’v seen a lot of discussions around bitcoins lately: how long they will be around, if this is a new bubble,  how “fixed” they are. For me, another question is more interesting, how will people make money on bitcoins?

I can see these money-making opportunities:
  •      Bitcoin Mining. I think that the prime time for mining is over for bitcoins. There is an opportunity in mining for alternative virtual currencies but it’s risky as it is unknown what alternatives will be around in a few years
  •       Making tools for bitcoin mining. There are several major players in this space and it is amazing how fast technology is progressing
  •       Conferences and publications. That’s guaranteed to work for the few people with experience in that space
  •       Developing software. There is a need for plug-ins into major web store fronts, end user wallets, point-of-sale devices, etc. May be at some point we will even see plug-ins into accounting software
  •       Arbitrage between bitcoin exchanges
  •       Speculation on price spikes. Creating price spikes by purchasing and dumping large amount of coins
  •       Running bitcoin exchanges
  •       Financial consulting
  •       Combination of the above

Anything I am missing? (old-fashion steeling will not be counted here)

Watching how people made money on Y2K, Web1.0 bubble, mobile apps, I feel that there is a clear pattern and the list above with some small modifications will be applicable for the next “big” thing. What will it be? Does it matter? People who are good with words will always make money on words. People who are good with code will always make money on code. People with business talent will always find a way to monetize their brain waves. 


Popular posts from this blog

Posting to FaceBook feed using Graph API

Graph API was announced at F8 with a promise to dramatically simplify the FB API. I checked the read access over the new interface during the presentations and to my big surprise it worked flawlessly and from the first time. When I tried, JSON-formatted info about the FaceBook page was returned (as expected).
Then I tried OAuth 2.0 way of accessing the API to post a message to the feed. And to my even bigger surprise it worked too!
Here is what you need to do to access Graph API over OAuth: 1. Create a FB app, store app properties to a file:
$appkey='7925873fbfb5347e571744515a9d2804'; $appsecret='THE SECRET'; $canvas=''; 2. Create a page that will prompt user the access permission (I am prompting for the publish_stream and offline_access permissions at the same time)
// require'settings.php';
$url=""; $url.=…

Developing Google Glass application showing the Heart Beat Rate

Wearable Sensors + Google GlassWearable sensors  are a lot of fun! I played with them for some time by now, both professionally (at work), and for the coding pleasure. This post is about my latest weekend project - native google glasses app showing heart rate. The idea is to continuously measure hear rate using the sensor and to show pulse rate in real time, for example, while running or exercising. Honestly, I did not find running with Google Glasses to be much fun (as they tend to fell off when I am running), but to see what makes my heart beat faster is an interesting and educational experience.

Google Glass (GG) Turns out to be a nice piece of hardware that is a fun to work with: reasonably fast processor, Android 4.0.1, wide range of sensors, WiFi, and Bluetooth interface!

IngredientsGG ( glass SDK ( SDK ( Sensor (…

Respect Coin

Respect I think it's time to talk about currency. Let's create a Respect Coin.
Step 1. Install OpenZeppelin library npm install zeppelin-solidity
When it comes to coins, I like to use some functions that smart people already implemented and other smart people verified. I think that Zeppelin is a nice collection of Solidity contracts that can be trusted. Let's use the StandardToken contract and use it as a parent class for our own RespectCoin contract.
Step 2. Create RespectCoin contract and store it in "contracts/RespectCoin.sol" file pragma solidity ^0.4.4; import "../node_modules/zeppelin-solidity/contracts/token/StandardToken.sol"; /** * @title RespectCoin * @dev ERC20 Token example, where all tokens are pre-assigned to th e creator. * Note they can later distribute these tokens as they wish using `transfer` and other * `StandardToken` functions. */ contract RespectCoin is StandardToken { string public constant name = "RespectCoin&quo…