Why Data Encryption Continues to Be Secure

The New Yorker, of all ‘specialist’ tech magazines out there, has an article on “How the NSA Cracked the Web”!

What a surprise.

For starters, as the web isn’t encrypted in the first place, it cannot be ‘cracked’. Further down into the article — and after some extensive sorting out all the mis-understandings of its obviously computer-illiterate author — the reader is finally let in on that ‘cracking success’ of the NSA: it turns out to be pretty lame and, in fact, limited mostly to compromising Microsoft’s and some other commercial software vendors’ master keys.

This got nothing to do with real decryption or with ‘cracking’ or  any ‘code breaking’ whatsoever.

What’s noteworthy, though, is that it is admitted between the lines that all the “real” encryption technologies are as safe as always assumed (with e g 2048-bit keys still unbreakable). Therefore, applying these coupled with a few simple steps of protecting and securely hosting any content one might have out on the public internet continues to be the way to go.

At the end of the day, the so-called ‘spectacular success’ of the NSA does nothing more than illustrate why:

  • Microsoft IIS (Internet Information Server software) is insecure (a fact widely known since 10+ years),
  • Windows in particular (and to a lesser extent Apple OS X) contains government backdoors and is less secure than peer-reviewed Open Source operating systems,
  • wLAN setups can never be fully secured (a fact known throughout the IT Security industry since wLANs exist and now re-enforced),
  • mobile communications as well as wLAN technologies are never secure (nor healthy for the user, both facts are known but usually disputed by the industry in order to sell their stuff)
  • common sense is still superior to “intelligence” (as in military etc)
  • all industrial-strength and professional encryption and IT security measures are effective

From the last bullet point it is obvious that encryption tachnologies, in fact, are so effective the NSA and U. S. federal government have stupid media outlets publish their rubbish in order to “win back territory” by means of psychological warfare instead of embarking on the — next to impossible — journey of cracking Phil Zimmerman’s PGP encryption or any of the derivative technologies like GPG (GnuPG) or openPGP. (Read our upcoming separate article on how to obtain these open source tools, for FREE, and what basic measures to take in order to make illegal government surveillance as well as data theft as hard as possible.)

Bitcoin Has Official Seal of Approval in Europe

Back in 2013, the European Banking Authority (EBA) issued a statement warning consumers of certain dangers in using Bitcoin and similar cryptographic payment systems (so-called Crypto Coins or even Currencies). Apparently prompted by significant price increases of predominantly Bitcoin but also Litecoin, Ether, Dash and other Crypto coins, the sudden increase in virtual currency trading, and the fact that virtual currencies are constantly in the mainstream media headlines, the regulators are quoted as saying:

“Consumers should be aware that exchange platforms tend to be unregulated and are not banks that hold their virtual currency as a deposit. Currently, no specific regulatory protections exist in the EU that would protect consumers from financial losses if a platform that exchanges or holds virtual currencies fails or goes out of business,” the EBA bureaucrats said in a statement.

Obviously meant to primarily be a “warning against” using Bitcoin, this statement is, upon closer scrutiny, a great gift in disguise for the worldwide Crypto coin community. The statement reveals the official view of European officials to, quite surprisingly, give a nod of approval to Crypto payment systems like Bitcoin, Litecoin, Monero and all the other similar payment systems.

The EBA statement has a similar effect as some — initially wrongly reported — statement by China that banned Chinese commercial banks from using Bitcoin but, at the same time, defined use for private individual as perfectly legal in the country and stating an official hands-off approach to Bitcoin by the Chinese government.

In admitting that all Crypto coin-related businesses and services like exchanges or merchant service providers and similar are “unregulated”, that they are “not banks”, and that “no specific regulatory protections” existed for them in EU countries, the EBA gave de-facto blessing to that unregulated status quo. This gives all sorts of Bitcoin businesses worldwide a strong incentive to move their operations to Bitcoin-friendly countries within Europe, some of which — like Sweden, Germany, Austria, the U. K. and, to a lesser extent, even expensive Norway — are particularly suitable due to their individual regulatory situations, property prices, and/or overall features of their local legal systems, business culture and similar aspects.

On the back of the above announcement, it is time for any Bitcoin business seeking more certainty for their operations to cease the new opportunity and extensively go Forum Shopping in Europe now.

The Ever-Accelerating Discussion on AI

Talking about AI is a “trending topic” these days. That’s because anything-AI is currently hyped up and, as a result, sells like hot cake. With AI having been made the latest flavor of the day, it’s easy to churn out books on the subject too. Throw in a few claims of “how great” AI would be “for us”, and with that slightly different-sounding angle you have a fairly good shot at selling a good number of copies.

That does not mean that we can, let alone should, believe anything written in books like these when it comes to potential “benefits” of AI for all of us. Especially not as that claim is easily debunked by simple technical facts.

The overall consensus in Computer Science is that AI is an enslaving technology — whereas ENCRYPTION methods are tools for freedom and for protecting liberties. (Fact number one apparently neglected in this discussion.)

What’s more though is that AI does not even have any trace of “intelligence” in it (no matter what the mainstream calls it), but it is merely a (slightly) more complex way of connecting list entries, database tables, and networked/distributed information. So ultimately merely a “phoebook-lookup” type of “knowledge”, nothing particularly noteworthy actually.

And it gets worse when you know how this alleged AI is doing its “learning”: initially by interviewing mediocre contemporaries (who already are severely deficient in knowledge, reason, and even real-life skills) not as to FACT but as to THEIR OPINION about how something is, for instance, spelled or pronounced in their own language (let alone a foreign one!) with — unsurprisingly — dismal results. This is not science but merely poll-taking, and from an unsuitably selected base of participants at that.

We all know, or at least should still remember even in today’s day and age, that we cannot pop the question “What’s 2 + 2” to a handful of “diverse” groups and let the result be dictated by Trump supporters, the LGBT fringe group, BLM, the Better-Business Bureau or homeowners association, Amnesty International, labour unions, the National Trust in the UK, nor even a “trusted” school board, a Mensa chapter or Wikipedia volunteers. Any such attempt clearly is dumb and bound to fail. Yet, that’s exactly how the foundations of AI are built.

It is, therefore, fairly safe to say that AI can actually be discounted as a technology altogether, let alone be seen as “overall beneficial”. Anyone alleging this must be severely screwed. AI can be dangerous to our health (and wellbeing) though due to the simple fact that police authorities, governments, tyrants, and other forces in today’s public life are pouring (rather diverting or mis-allocating) large sums (of our tax money) into “policing” something that does not need to be (and legally even MUST NOT be!) policed that starkly — hence threatens our culture, our liberty, and everything that makes life worth living quite similar to the ex-Soviet secret police.

Steve Wozniak and Elon Musk have prominently warned of AI and are trying to halt any further AI research and development until and unless there are reliable rules in place that define what must not be regulated by AI — for precisely the above reasons.

So we’d all be well-advised to be really concerned, and certainly not believe the idiocies of AI being “beneficial”. Not even with AI itself actually isn’t functioning in the first place, better prepare for the worst. Powerful tools of preparation are readily available — more about that in a separate, more in-depth article on Privacy and crypto technologies as methods of re-gaining at least some of our freedom.

Why Bitcoin, Other Crypto Coins Have Value

“Where is the value of Bitcoin coming from, actually…?”

Pretty simple: Bitcoin has evolved into something that a lot of people want — like, or even more so than, a dollar or a yen — and Bitcoin is in limited supply due to the complex proof-of-work requirements underlying Bitcoin. This means, that even tough the system continues to crank out “coins”, this will stop when it reaches 21 million.

The underlying idea of Bitcoin was to create a currency whose value, unlike that of the dollar, could not be watered down by some central authority like the Federal Reserve.

When all 21 million “coins” are issued and the system quits making new money, the value of each Bitcoin will necessarily rise further as demand rises.

Along the way, there is currently very high and sometimes extreme volatility and, always will be some degree of price volatility — and this is where speculative Bitcoin traders can make a profit (or loss).

Crypto coins will settle and cease being overly volatile once common uses bot online and in point-of-sale transactions become more widespread than today. That is exactly what our organisation is supporting by publishing information on merchants accepting “normal” Bitcoin, Litecoin, and other crypto currency payments.

A Single Bitcoin is now sometimes worth as much as a full 1 oz of gold. That is not to say that Bitcoin is a proper long-term “store of value”. As that is the very monetary function Bitcoin is lacking, the prudent strategy would be to use Bitcoin for transactions (very efficient and low cost) but gold and silver for asset protection (tested and proven throughout all of history, commonly known intrinsic value, very secure).

If you are looking for highly aggressive and potentially very profitable trading, this is your time to get aboard the Bitcoin express — also remember that high profit opportunity comes with equally high risk of losses (so always remember to invest risk capital only, i e capital you can afford to lose).

With its long-term upward trend and its extreme volatility Bitcoin may in many ways be a perfect currency for traders, but we’d rather see an era of less volatility enhancing usability and suitability of (all) crypto currencies for transactions online and off. This will likely be brought about as acceptance of crypto currencies increases and the user base for every-day transactions expands to outweigh their mostly speculative uses by traders.

Credit Cards: Over 41% of Total Revenue Going to “Fraud Prevention”

Credit card issuing companies are spending upward of 41% of total revenue every year on — more or less futile anyway — attempts to prevent (or at least limit) credit card fraud. This is a well-known fact throughout the banking and credit card industries.

Outdated Infrastructure

Largely anachronistic money transfer systems such as credit cards but also bank wire transfer technologies, dating from the age of the telegraph but still in use today, prove increasingly unfit for today’ where much more frequently than in pre-internet days some sort of “overseas” aspect is present.

High Extra Cost Consumers Have to Pay

Despite the high extra cost thus associated with all “international” transactions, a large percentage of transactions in the consumer and B2C fields alone involve a “foreign” party in today’s world. These “overseas” transactions are particularly prone to fraud or other kinds of loss as legacy systems used by banks were not designed to process the volume of worldwide transfers they have to in this day and age.

Making It Worse: the Only “Features” That Are New

Banks’ only “innovation” offered is the reckless integration of useless, and even more risky, new features into retails customer credit cards such as NFC (near-field communications). This makes the unsuitability of both credit cards and banks themselves for the real world even more obvious. All “new” NFC-equipped cards can be read at points of sale without card terminal contact, a fact that is already frequently used for cracking into and fraudulently charging to cards located in bags and wallets of passers-by.

Will Be Worse in the Future

Therefore, it is quite likely that these 41% will increase even further, unless a fundamental shift in the technologies employed takes place — even as established banks appear to see very little reason to finally offer their customers appropriate, modernised tools and business models.

Much rather, it will be “business as usual”: banks will roll all their costs (and losses) over to the “stupid little customer” who, in their view, is only “there to be milked” (or slaughtered). If you feel insecure about using NFC-enabled debit or credit cards, send them back to your bank and ask for a replacement without that “feature”. It might even make your “usage fees” lower in the long run.

Why MEGA Cloud Storage Is Also Great for Traders

MEGA offers a one-of-its-kind solution for securing your stored files, whether for personal or business use. The cloud-storage platform comes with a free Starter Plan, and there are also numerous paid-for plans that scale up to both power users and commercial use requirements.

MEGA Cloud Storage Compares Extremely Favorably

It’s the much better (and smarter option) than, say, Google Drive or Dropbox. (Read up on Privacy basics here if you didn’t know that and need to look up why Dropbox/AmazonS3 is not really a good idea.)

Better than Dropbox, Google Drive: MEGA cloud file storage

It is also worth mentioning that the MEGA secure storage platform seamlessly integrates with a wide range of devices, including NAS devices like QNAP and Synology, and has browser apps as well as standalone apps for all major operating systems. MEGA also offers MEGAcmd, a very neat command-line tool, to address the needs of IT professionals or programmers as well.

What Traders Can Do with MEGA a Cloud Storage Account

For marketers, MEGA Secure Cloud Storage offers a great alternative to much-hated Google Drive and Dropbox — both of which are infamous for their surveillance and lack of real control over user data. (To learn more about these concerns, read DuckDuckGo’s educational articles on Privacy and how to use alternatives to Google products in order to claim back your legitimate self-control over your data on the internet.) MEGA Secure Cloud Storage convincingly and masterfully addresses these concerns and offers an alternative option for all of us who want to be in charge ourselves (rather than any corporations, governments or faceless entities so wholly unrelated to us).

Storing Your Trading Data or Other Content with MEGA

With MEGA Secure Cloud Storage, it is easy to store your Lead Magnet or Free Downloads or other materials online. Simply link to your storage location, and your users and sign-up followers or anyone you want to share files with if you have an automatic onboarding process for your new users. (Or you can do it manually, if we’re talking smaller numbers of fellow traders or similar here.)

MEGA Secure Storage is a great offer from the New-Zealand-based startup that had been founded by Kim Dotcom when he came to the country in search for greener pastures.

MEGA Is Secure (Unlike Most of the Others)!

MEGA offers a unique safety feature where encrypted files — that cannot even be accessed by the company’s tech people — can be safely shared across the internet, including unsafe (unencrypted) simple emails or mobile text messages if need be. This is achieved by cleverly dividing the stored file’s URL into a public part and a private-key part that can be disguised or can be sent separately for security reasons.

Give it a try and see for yourself how this works!

The Right Tools for These Unusual Markets

5x-leveraged long and short, called "Bull" or "Bear" coins
Bull- and Bear-market ups and downs illustrated. Image (c) 2022 ffWeb. All rights reserved.

To trade Crypto coin calls or puts, Gate.io is a great exchange offering 5x long and short positions along with many other trading choices. Of course, it’s FREE to sign up for a trading account there. Wondering what to do in falling Crypto markets? Looking for smart strategies to make the best of a pretty bad situation? Then read this post and discover pro trader methods! In this article, you will discover the tools you need for the type of free-falling markets we have been witnessing in Crypto coins for multi-months a little while ago.

Tools to Apply to Any Market Situation

Find the right tools for any market, good or very bad ones! In this article, you will be introduced to and find some explanations about the tools and strategies you need in order to prepare and turn big profits on the back of the breakdown we’ve been experiencing in bitcoins across the board. No matter if it gets worse, or how nasty it’s going to be specifically, here’s how you can turn the tables on markets “doing this to you” right now! There are “Tools of the Trader” that are meant to be used specifically in markets like this! It’s not simply “buy low, sell high” or “buy now and wait for better times” but something more refined (and much more effective).

Call and Put Options for Crypto Markets

To do the same on Bitcoin as an underlying asset, you can use Crypto Long-Instruments and Short-Instruments. These are similar to Calls and Puts as we know them in other markets. Here they are structured as “perpetual leveraged positions” in a Crypto asset, i e a specific coin such as Bitcoin, Ether, Litecoin, Dogecoin, and many more. To see what this looks likein real life, use this chart and link to register for a trading account on Gate.io. Again, tt’s FREE to sign up.

If you like this post and want to stay in the loop on available “Tools of the Trader” and strategies, then please subscribe on this website in order to be notified of news and updates like this one WHEN the markets change and WHEN they’re needed.

Disclaimer: This article is for general informational purposes only, as are all articles and posts on this website. None of the information in this or our other publications or articles on this site is financial advice. Content authors do not even know your individual situation and, therefore, cannot and do not offer such financial advice here.

Opinions expressed in these articles and posts  are observations, thoughts, and analyses of the article or post author and opinions derived from them. Do not rely on them or any other content of our videos for your own trades or investments; do your own due diligence and/or seek any necessary financial advice from licensed professionals before investing your money.

Disclosure notice: Links in the description above are affiliate links; if you click them for signing up, I will receive a commission — and YOU RECEIVE rebates on trading fees they offer on Gate.io for referred customers, depending on the individual offer chosen.

Bitcoin Safekeeping

Crypto-coin paper wallet exampleBitcoin and other Crypto currencies allow users to Be Their Own Bank, but being foolish or lax with security can prove very dangerous for those bankers-to-be. We explain how advanced users keep their Crypto coins safe and introduce tools and services available for Bitcoin and other Crypto currency owners.

Best and Safest Way

Despite what the media — and even mainstream bitcoiners, or at least the loudest ones! — keep telling you, the best solution is not the Trezor wallet or any other gadgetty hardware solution, however neat it may look. Don’t fall for shiny object syndrome here. The best way is a, literally, not at all shiny one — namely a simple paper wallet.

What Is a Paper Wallet, Anyway?

A paper wallet is a simple piece of paper, printed out on any computer printer (but preferably one without WiFi or any other smart or wireless capabilities — the dumber the better)! What’s not quite as simple about paper wallets is the underlying cryptography as well as other technological aspects involved. As a Crypto user, you do not have to worry about any of these though.

How You Do This

In fact, you do not have to stress out over any of the things happening in the background, The only thing you need to do is properly generate your paper wallet. Basic steps for this involve loading a paper-wallet generator website for your coin, disconnect your computer (and printer) from the internet (also turn off WiFi or any other local wireless connections that might act as a backdoor), then move your mouse around to create randomness (usually your progress is displayed on your screen), and print out your resulting paper wallet (or list of key pairs, depending on which format or type you have chosen).

Make Sure to Do This Properly — and Safely

Also make sure to put away all cellphones with cameras to also prevent these from eavesdropping; nobody must except you see your private-key portion on that paper you print! It’s also a good idea to fold over your paper wallets immediately, private key down. Afterwards, you may re-connect your devices, strip off any tape over cameras or what not.

That’s it — you now have a paper wallet. Note that different coins have different wallets (following from the different encryption mechanisms and other Block-index features of the different coins). You don’t have to worry about that either, but only make sure you follow the obvious steps of using the proper wallet generator for the coin you want to store.

Convenience & Showing Off

Sure, all Crypto coins are the coolest thing around — and conveniently using them is tempting. Showing off and being a great person for having the latest in portable cards, equipment or devices is anyway 

Be aware that most of the convenient or cool toys out there are less secure than the other stuff listed in our Coin Security section. Be sure to use them only for limited amounts or “risk capital” as in you can afford to lose it…