Well the currency just shares the same last name as Howard, Tech Crunch is out today with an article on NeuCoin, a cryptocurrency that wants to specialize in micropayments. Speaking of Micro Payments, I had someone give me a tip on Twitter using a company called ChangeTip.com, I just had to connect my Twitter account and I received $3.50 in BTC. I need to do more research into the company as it seems kind of cool.
From the article:
Meet NeuCoin, a new cryptocurrency designed specifically to tip content creators and make online micropayments. NeuCoin is both a startup based in Paris and a new currency. It raised $2.25 million from dozens of business angels and signed partnerships with a few content distribution websites. Here’s how it works.
NeuCoin explained me why we need yet another new cryptocurrency. Bitcoin presents a few risks when it comes to microtransactions. First, it is incredibly complicated to understand what a wallet is, how it works and why you would need one to pay for a song or a movie. It basically replaces your credit card for online transaction. Yet, this is not enough to convince mainstream users.
On the mining side, there are now very few players and there is a risk that mining becomes an oligopoly. Bitcoin’s original mission of killing banking fees could fade away.
Read the full article on Tech Crunch
This is a Pre-mined POS coin. if you don’t know what that means please don’t put any of your hard earned money into this unless you expect a very high risk gamble.
Pre-mined: that is where the developer mines many of the coins before it released so they have a big stash to start out with. If the price ever goes up anytime during its life they can sell and they can crash the market if they sell too much. This pump and dump type things goes on all the time with cryptocurrencies.
POS: This describes the mining procedure, the most important part about crypto-currencies. POS means “Proof of State” which means you don’t need large amounts of computer power to mine it. Your mining power depends on how many coins you hold. this means the early adopters will be the ones who can mine the most coins going forward. This means there is a barrier to entry and the original adopters have most of the coins. combined with pre-mining this could be a very bad situation. Brock Pierce is involved with this coin.
As for ChangeTip.com, I use them all the time. they apparently bought or rent the premium tip.me domain. They take 1% of withdrawals when you collect your tips so their revenue stream is very small but they have investors.