Swap is indeed a famous form of derivatives. It is primarily used in case of interest bearing securities like bonds, debentures or most popularly in case of loans. Plain Vanilla Swap is the most common form of Swap and involves two parties wherein one party agrees to pay other party a fixed rate of return while other agrees to pay floating (changing) rate of return to the first. For example, Company X agrees to pay interest @ 12% p.a. on $10,000 after 4 months to Company Y. While Company Y agrees to pay interest @ LIBOR + 1% to Company X after same period.

Now both parties are speculating here. Suppose after 4 months, LIBOR stands out to be 17%. It means Company X will pay $400 (10,000*12%*4/12) and will receive $600 (10,000*18%*4/12). Hence, Company X stands out to be the winner and made the profit of $200 out of nothing while Company Y bore the loss of $200.

Unlike Futures and Options, Swap is mostly used for hedging purpose instead of speculation. It is a tool commonly used by Banks and financial institutions to fix their profits by swapping floating rate loans for fixed rate interests.

But since Cryptocurrencies like Bitcoins aren't interest bearing securities, it is not possible to apply the exact concept of 'Swap Derivatives' in Crypto Market. However, I have seen some application of swaps in cryptocurrencies. But these are mostly a rip-off of Options. For example, suppose Ada and Marie entered into Swap Deal of 0.10 Bitcoin worth $1000 for 4 months. Ada has to pay $50 to Marie after 4 months while Marie has to pay as per the spot rate after 4 months. Now suppose after 4 months, Bitcoin price stands to be at $12,000 which means 0.10 BTC now worth $1200. Hence, Marie will pay Ada $200 while Ada will pay Marie $50. So Ada made a profit of $150 while Marie suffered the loss of $150. Inversely, if the price dropped to $8000 after 4 months, Ada will have to pay Marie $50 while Marie doesn't have to pay anything to Ada. So Marie will make the profit of $50 while Ada will suffer the loss of $50.

In short, Swaps are not viable option in case of cryptocurrencies. So in crypto, we primarily stick to Futures and Options.

I take 'f'

3G8uPe3XKGhyQ2HGZfrmT7yJSxeQ6kJHK4

Hey Hampz,

I forgot to include timestamp while taking the screenshot so I edited pic to include timestamp as well as bet id from 'History'. I hope these will be considered. I will try to include 'My Wager' from next bet.

https://ibb.co/dPpXv47
https://ibb.co/6Z2F2x8

I can see that the transaction has been processed on the address above 5 hours ago. Hope your issue is resolved because funds are already withdrawn from the above address.


Just a friendly note that the transactions will not be processed from the deposit address that Paxful or any other centralized exchange shows you. It will rather be processed from the hot wallet which exchange usually uses to process all the pending withdrawals at any particular point of time.

Derivative markets are already becoming popular in crypto niche. Since 2019, I have got several promotional deals of new Bitcoin Derivative Exchanges on Twitter and I even accepted couple of deals. One of which paid me healthy trading bonus alongside my promotion fees so I got good first hand experience in Bitcoin Derivatives.

Derivatives are primarily used for speculation in crypto world. I doubt if anyone uses these for hedging crypto deals at all. In crypto market, Futures and Options are two most popular derivatives. As I guess, you already have a sound knowledge on how both of these works and difference between the two so I will straight come to the point. In short, if you are in crypto trading world, don't try Futures. Prices of cryptocurrencies are very volatile. For example, if you are in long position with 100x leverage, just 1% fall in price will dilute your margin. Unlike stock market, as soon as margin is diluted in Crypto Market like on Bitmex, your position will be closed and your margin money will become your loss.

If you are new try studying crypto patterns and start with either low leverage (3-5x maximum) futures or with writing options (selling options). Don't start with high leverage futures or buying options. Else, you will lose your money pretty quickly.

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Derivatives in Crypto market are almost similar to Stock or Commodity Market. There isn't much difference. Just difference of volatility which is both bane and the boon. You can make unprecedented profits by just staking small margin money but at the same time you have higher probability of losing money due to volatility and manipulation (unregulated market).

Serie A Top 4 before lockdown:



Serie A Top 4 after lockdown:



What was looking so close at the top turned into comfortable lead for Juventus and Lazio. Are clubs following social distancing in points table?

However, there are still 10 matches left for each team and we can still see some changes in top of the table. Atlanta can finish in top 3 with the form they are playing, Lazio can still win the league, all they need is 2 bad games from Juve. With this legendary campaign from Lazio, it would be really sad if Lazio fail to win the league.

By the way, I would like to mention one player specially - Josip Ilicic. He is one of the reason why Atalanta scoring goals like fire. If they give Best Serie A Player award to Ronaldo instead of him this season, I will lose trust on these awards.

There have been many crypto projects in past which tried to peg their coin's value to gold but failed. However, Digital Gold or simply GOLD is a project which stood out and successfully created an ecosystem of gold pegged cryptocurrency which is highly liquid and can be used on ETH blockchain for making instant payments or for simply storing value in gold.

GOLD team is providing high liquidity on exchanges so the value of GOLD token is always equal to market price of 1g gold. Hence, it is surely related to gold and you are correct in saying that anticipated increase in prices of gold in upcoming days/months will positively impact the price of GOLD token.

More about GOLD project: https://gold.storage/en/home

Are you serious? He is one of the best midfield prospect in La Liga right now. His ball retention is probably the best in Europe (maybe at Iniesta level already). I agree he hasn't shown much promise in creative play and hardly making vertical passes but I won't blame him for the same. It's more because Barca style of play revolves around Messi and under Valverde/Setien, midfielders role is mostly limited to retain possession and pass to Messi.

Arthur has been creating some of the incredible piece of play at Barcelona especially that goal against Villarreal. I had no doubt he will grow as the prominent midfielder at Barcelona in 2-3 years especially after Messi leaves. But board had entirely different intentions. Pjanic + 10M for Arthur, what a joke! You know what is the most ridiculous part, Barcelona setting the release clause of 400M on Pjanic!! I don't even know should I laugh or cry as a Barca fan.

Mnemonic code is as secure as private key. When you are generating 12 words mnemonic seed, the probability of getting same one is 1 in 2048¹². That is:


I think that is secure enough against most of the brute forces. If that's not enough, you can even generate mnemonic seed up to 24 words. I prefer 15 words long mnemonic seed i.e. 160 bits of entropy and decrease probability of getting same one to:


Well if that's not enough, you can always choose your custom passphrase to generate seed. Such passphrase will be used with mnemonic code to generate final seed which will be then used to generate private key and bitcoin address.

Well if that's not enough, you can be more creative. Choose two passphrases, let say 'mySecretPassphrase' and 'myNotSoSecretPassphrase'. Now after generating mnemonic code, create two seeds, one with each of the passphrase. Now send 0.001 BTC on the bitcoin address generated with 'myNotSoSecretPassphrase' + mnemonic and write down 'myNotSoSecretPassphrase' on the sheet where you wrote or printed the mnemonic code. Send your rest of the bitcoins on the address generated with 'mySecretPassphrase' but don't write it anywhere. Now even in the situation where someone got the hold of the sheet, they will be directed to the wallet having 0.001 BTC funds and no will even suspect that there is another wallet with the same mnemonic having all the funds.

In short, mnemonic seed is very secure way of storing and using bitcoins if you know how it works.

Stood 7th. Not a bad start for new series. Hope, more players will join the future tournaments.

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Well, I was kicked by Hhampuz too.
Good hunting day for him. I had 44 and he had A10s. Usually, I don't play high bets with 44 but did anyone else notice too that 4 was dealing too many times among community cards today? So I thought another 4 will surely come. But it didn't happen and Hhampuz won the hand with the pair of Aces.

See you all next week. Happy Sunday.

Thanks for quick credits.

Being a Barcelona supporter, I was looking to bet against Real Madrid.

These $5 on Espanyol won't be a bad deal with the odds of 6.8. Hope Espanyol can do some magic tonight

I was thinking the same but looks like bookies aren't so sure about that. 1.5 is not at all bad odd considering how good Real Madrid is playing. It would be great bet to include if someone going for parlay.

Zidane must be the happiest manager on the Earth right now. He has options which none other manager in Europe got, not even Liverpool. Imagine having 9 quality forwards, 7 quality midfielders, world-class defenders and goalkeepers and all in fit form! He is rotating his players superbly. Even Bale and James started in last couple of matches which is keeping whole squad fresh. While on the other hand, Barcelona is struggling due to bad decisions and injuries. Messi has to play all minutes in every game else Barca will straight away lose, De Jong and Roberto are injured, Arthur leaving, Dembele always injured, Carles Perez and Todibo were shipped on loan. Board has really messed up the Barcelona and now only miracle could make them win the league.

Username: webtricks

I still think paying tax on such holdings in not justifiable. Why should I pay taxes if I am still holding an asset? It is clear that Bitcoin is considered as capital investment for the calculation of tax. So going by that definition, receiving payment in cryptocurrencies can be considered equivalent to "receiving asset in lieu of cash payment". When a person receives income by the way of capital asset, he is not subject to pay taxes right away. Tax event arises only when he sells the asset.

Let's understand this with the help of example:

Suppose I provided a social media service to XYZ Ltd. for the fees of $300 in 2017. But instead of paying $300 in cash, XYZ Ltd. gave me gold coins worth $300. I didn't sell those coins for another year and then sold those for $450 in 2018-19 and received payment in my bank account. Now, even though the income of $300 belongs to the previous year 2017-18 but still tax liability for such income will arise in 2018-19 when I actually realize the asset i.e. gold coins.

Now let's consider Bitcoin payments in similar situation. I received $300 as my signature earnings in Bitcoin on 31st Jan, 2020. But I sold it on 15th June,2020 for $400 due to increase in bitcoin price. Hence, tax on such income shall be payable in previous year 2019-20 and not in 2018-19 when I actually received the payment.

Another interesting concept arises here. People may ask whether the whole $400 shall be considered as Income from Other Sources? Well, actually no! $300 is your income from other source but $100 ($400-300) is your short term capital gain. But since tax on STCG is charged at the same rate as other source income, there will be no effect on the amount of net tax payable.

Long story short, don't pay tax if you are holding any payment in Bitcoin. Pay only when you sell such payment in INR because:
-> You may overpay/underpay tax due to the difference in the prevalent rate on the date of actual sale and the date considered for the purpose of taxation.
-> There will no receipt transaction in your bank account which will attract unnecessary attention from Income Tax Department.

Yeah! After reading the recent replies, I am getting the idea that this competition has turned into first come, first win format. But when the thread was created, I read those lines:

"A maximum of 5 bets in each round will be calculated and you have 24 hours to decide which one you want to submit and which one you don't".

So I had the idea that I have 24 hours to get the best picks for this contest but it seems like all prizes have already been clinched.

I think the format of this contest is not correct. If only 5 bets in each round to be considered then there will be lots of draw for three positions. How will you determine who are top 3 if say 10 participants get 10p in this round?

Why not allow unlimited submissions if someone reaches top of the tower and 5 if someone fails to reach to the top?

251,980,000

webtricks

Now this is interesting. This issue arises due to complex nature of cryptocurrencies. Government itself is unclear about the status of cryptocurrencies so it would be hard to guess whether any gain arises out of transfer between cryptocurrencies is subject to tax or not.

Let's see the easy case first i.e. Capital Gains. You buy X cryptocurrency with INR then buy Y cryptocurrency by selling X at profit. So is the profit on the sale of X taxable? Well, as per Income Tax Act, it should! You have already closed your investment in X so it should be viewed as separate taxable event than the buying of Y. But non-withdrawal of money to the bank makes the situation tricky here. So to be at the safer side, it's better to clear taxes on all capital gains at the end of year no matter you withdrawn the profit into bank or bought other coins with it. I have written about this particular situation in details here: https://bitcointalk.org/index.php?topic=5206607.msg54447056#msg54447056

Now comes the main issue:


A situation may arise when you receive cryptocurrency on the address which could be linked to your real identity and you don't realize such cryptocurrency in fiat. There is a chance that authority may go to the high degree of investigation and question you about it but it is difficult to ascertain true taxes on such transaction even if your willing because you don't have exact conversion rate for such amount unlike trading.

In my knowledge, I won't pay tax on such income because how I view it is like 'Law of Differentiation'. Suppose we are differentiating y = log (sin x) with respect to x as per first principle. So to solve the equation, you have to assume sin x as u hence final equation will be:

 dy/dx = d(log u)/du * d(sin x)/dx    where y = log u and u = sin x

Similarly when it comes to dealing with crypto transactions and fiat transactions, I view crypto transactions as u and fiat transactions as y. Just like you can't directly differentiate log u with respect to x and you have to differentiate it separately with respect to du first and then dx. Similarly, you can't estimate taxes on cryptocurrencies unless you withdraw them to bank (i.e. realize them in fiat).

Hence, NO! You shouldn't be paying taxes on any income which you have received in crypto and haven't realized in fiat money yet. But just to be safe, try to receive such payments on address which can't be linked to your real identity and transfer those to your exchange address only when you intend to sell.

Can anyone else smells the hatred of the committee for ICOs here?

Committee has made it pretty clear that, raising money by the way of Initial Coin Offering = Destroying your Life!

I can't help but laugh at the short-sightedness of our deary lawmakers. In short, if you don't understand something then just ruin it!

PS: Sorry, I am out of merits right now so only 1 for now.

Platform acting as a mediator between lender and borrower and charging few percentage of interest as fees may not be the best idea when it comes to cryptocurrencies. It may be difficult for platform to realize the value of collateral in the event of non-payment of loan by the borrower. There can be hundred of other complications because everything is digital.

So you shouldn't put your crypto holdings in such area especially when the retaining period is as high as 12 months. Better try investing in bankroll of genuine crypto casino (although profit-sharing is not high but acceptable rather than keeping funds idle), or try PoS. There are many good PoS coins which are growing consistently and paying good percentage to validators  (however, you have to stake large amount of funds). If you are not happy with these options, better go for trading. Keep you ears open to market news, keep yourself regularly update with market movements but invest occasionally whenever there is clear chance of making some good bucks. That's the best way you could earn in trading as a newbie.