Category: Cryptocurrency

On the BSC network, sometimes known to as the Binance Smart Chain, tokens are frequently issued in the form of BEP20 tokens. These BEP20 tokens may be converted into ERC20 tokens using one of many different methods that are available on the Ethereum network. These processes would either take place in a centralized environment, which requires a high level of trust, or in a decentralized environment, which does not need the same level of trust.

What are the steps to convert BEP20 to ERC20 tokens?

Numerous cross-chain bridging technologies are available, enabling users to send BEP20 to ERC20 tokens or the other way around. These processes might be handled centralized or implemented using smart contracts. Wallet connection functionalities may be used on any platform that allows for the deployment of smart contracts. But there are several major negatives to these services that you should know about, such as the high possibility of losing money or having it stolen.

When is the appropriate time to convert an ERC20 token to a BEP20 token, and vice versa?

Cross-chain mobility and the ability to transfer tokens would probably be helpful for a variety of reasons. The first and most apparent problem is that different customers have varying tastes when it comes to prices. It is well known that some users view the Ethereum network’s transaction costs to be too exorbitant. As a consequence, these users may consider shifting their money to a well-known network with significantly reduced transaction costs where they may continue to enjoy using their preferred token while paying much lower transaction fees and where they already have their token (for instance, USDC). The transaction costs on the BSC network are now much less costly than those of Ethereum.

One of these networks may be hosting an Initial DEX Offering (IDO), thus if someone wants to participate in that sale, they would need to convert their suitable token to that other network via one or more bridges, and they would likely have their cash in a Metamask wallet.

If users want to buy NFTs from a marketplace, they may need to transfer their tokens to a separate network so that they may use dApp, which is only available on one chain. This may be the case for a wide range of applications of decentralized technologies, including Decentralized Finance (DeFi) services like lending, borrowing, yield farming, staking, and many more.

In order to convert BEP20 to ERC20 or vice versa, you may make use of any one of the several cryptocurrency bridge services that are presently available. Every one of these services employs its own one-of-a-kind approach, and in the not-too-distant future, there will be even more options available at more competitive pricing. However, Allbridge Core (https://home.core.allbridge.io/) is now the finest, and here’s why.

The cross-chain swaps that can be completed with just one click that is made available by Allbridge Core simplify the process of moving money between the Ethereum and BNB Chain networks. When wrapped assets are fully disregarded in favor of native liquidity, the user experience is considerably improved, and new prospects for the supply of single-sided liquidity are made available. In addition, since it supports a variety of different communication protocols, Allbridge Core broadens the scope of networks that may be included in the near or far future. This, in turn, increases the degree to which cross-chain transactions are decentralized.

Having its own blockchain, every cryptocurrency faces the so-called “Blockchain Trilemma.” It refers to a widely held belief that a network should be decentralized, secure, and scalable. As you know, Ethereum has had concerns in all the mentioned areas, but everyone placed hopes on The Merge. 

Did the upgrade solve all the ETH issues, and why traders are switching ETH to BTC?

What Is Wrong with ETH?

The Ethereum network has been around for 7 years. While Ethereum’s performance (30 tps) outperforms the Bitcoin network (7 tps), the platform cannot even come close to competing with traditional payment systems. For example, Visa processes around 1,700 tps.

The fact is that the number of transactions conducted by the network is limited by the block capacity. This is the main stumbling block for Ethereum scaling. 

This issue also makes the users of the anonymous cryptocurrency exchange give up using ERC-20 in favor of faster and cheaper solutions (BEP-20, etc.)

In mid-2021, the high activity of buyers, the hype around NFTs and DeFi investments made transactions unprofitable on some days, or very long for the user. Luckily, the London update partially addressed this vulnerability. Now EIP-1559 plays a crucial role.

What Do We Know About the Merge?

To cut a long story short, the Merge switched the Ethereum consensus algorithm from PoW to PoS. But here is what it means in more detail.

What Will the Merge Do?

The transition to the new security model of the network means the end of ETH mining through Proof-of-Work. Under the new rules, the number of tokens owned by the user will be of key importance.

Ethereum has been using mining to maintain the security of the network and the production of coins. Ethereum was secured by miners with powerful computers solving complex computations since its inception in 2015. But the creators of the project have always planned to switch to another more secure protocol (participants stake Ether (ETH) tokens with validators to secure the network) that will allow the implementation of new solutions and will consume less electricity. 

In addition to reducing electricity consumption, the transition to a new algorithm entails many changes in the operation of the entire Ethereum ecosystem. For example, now validators, and not miners, provide the security of the blockchain and order transactions. 

Also, this switch makes the further issuance of the coins by mining impossible; now this will be done only with the help of staking. Eventually, the Merge reduced the issuance of new ETH by around 90%.

The Merge and the Blockchain Paradox

As we already mentioned, every blockchain creator is in search of a solution to the blockchain paradox/trilemma.

Currently, to offer, for example, 100% decentralization to the network, you have to forget about scalability and/or security. This makes it impossible to solve this problem as your blockchain has to always sacrifice one or two of the aspects.

And since the Merge doesn’t expand the capacity of the Ethereum blockchain, it would be short-sighted to think that the upgrade solved the scalability issue.

How to Solve the ETH Scalability Problem?

While reduced energy consumption and giving full power and control to validators is a significant improvement for the project, it brings less value to the ordinary network user.

The time spent on transactions and relatively high fees make leveraging Ethereum a rather unprofitable solution.

That’s why ETH creators have to finally choose the path they are moving on:

• Opt for a system of multiple layers (expanding vertically). We already have Optimism, Polygon, Immutable X, Arbitrum, etc.
• Introduce a special technique called sharding (expanding horizontally).

Both options have their pros and cons, but who said that building the #1 blockchain is a simple task? Seems like the journey to becoming the go-to solution for crypto traders has only started.

Making another swap of BTC to USDT, one may doubt whether this stablecoin is worthy of trust. Indeed, being the most popular digital dollar, this isn’t the only solution on the market. That’s why we decided to tell you more about its main competitor and finally figure out which coin is a better option.

The Concept of a Stablecoin

Stablecoins are cryptocurrencies that have zero volatility. One stablecoin is always one unit of fiat currency it is pegged to (dollar, euro, etc). In the crypto market, we tend to use coins pegged to one dollar. 

These assets help us see the actual price of a particular token in dollars, hold our funds with no risk to their value, and make transactions in a familiar to all manner (as if we used fiat money).

USDT vs USDC Comparison

The choice of a stablecoin is very crucial because they aren’t issued by the FED, and consequently, we trust our real dollars to a third company for some tokens. Also, these coins serve as a storage of value; therefore, we can’t let them drop in price.

As of today, the two most popular digital dollars are USDT and USDC, but what are the differences between them? We recommend you read this USDT vs USDC comparison to find out.

What Is USDT?

USD Tether (USDT) is a cryptocurrency issued by Tether. Each USDT token is pegged to the US dollar, which is held in Tether Limited’s reserve balance, and can be withdrawn through the Tether platform. Tether has been issued on the Omni, Ethereum, Tron, EOS, Polkadot, and Algorand blockchains.

Tether uses an alternative to the Proof of Solvency consensus algorithm — Proof of Reserves. The process is simple: the amount of tokens is verified on the blockchain using publicly available tools, and the corresponding amount of dollar reserves is confirmed by bank accounts and periodic audits.

It should be noted that tokens are issued only in the amount the equivalent of which was received on the company’s account. Accordingly, the token disappears from circulation in exactly the same way.

The token issued by Tether takes third place in the crypto ranking with a market cap inferior only to BTC and ETH.

What Is USDC?

USD Coin (USDC) is a collaboration between 2 companies: Coinbase and Circle. However, the development of the cryptocurrency was carried out by their subsidiary Center Consortium.

The creators of the digital currency did not use their blockchain to work, so they took the Ethereum platform as a base. All USDC tokens are issued under the ERC-20 standard. This allowed the team of developers to reduce the cost of creating new software and networks. The token works with all classic wallets that support the Ethereum blockchain.

The token is open source. It is mainly used for payments and financial transactions in smart contracts. One of the main directions of USDC is openness and accountability through fixed governance standards.

Main Differences Between USDT & USDC

How to Make the Best Choice?

Now it comes clear that both stablecoins are well worth your attention. However, the choice of the final winner should be individual.

USDT is a less transparent but very popular asset whose trading volume exceeds the one of USDC by 14 times. So, if you want to take advantage of high liquidity pools and support on all existing platforms, Tether is your best bet.

At the same time, if you just want to hold your dollars in a cold wallet for a long time, your primary goal is to store the value, and you don’t care which exchanges support it — then you should 100% opt for USDC.

The ideal blockchain should be scalable, decentralized and secure. In reality, it turns out as in numerous jokes, where out of the three desired qualities, you can use two to choose from. Each of the early blockchains is essentially one of the options for a technical compromise, where improvement in one of the parameters directly or indirectly harmed one of the other two. It is unlikely that we will greatly err against the truth, arguing that most of the problems arose due to the low bandwidth of blockchains.

Solana as a contender for an ideal

The Solana blockchain was launched in 2020. It is a high-speed blockchain created for the development and deployment of dApps and DeFi solutions. The network uses Solana’s native token, which is required to pay fees, operate decentralized applications, make payments, manage the network, and ensure network security. In short, Solana offers almost the same thing as Ethereum, but faster, safer and cheaper.

The development team claimed that the system would be able to process up to 710,000 transactions per second. In reality, this figure turned out to be much lower, “only” about 65,000 transactions per second. Unattainable speed for the good old Ethereum, although after the completion of the Merger, the situation should change radically.

It was possible to achieve salt high performance due to a significant number of original technical solutions. Not the last role in this is played by the hybrid consensus mechanism – the combination of PoS with the added PoH (Proof-of-History), unprecedented and the first of its kind.

In fact, a timestamp is added to each transaction, due to which the system works faster. It is also important that Solana is a single-level system. That is, all operations are carried out at the same level of the blockchain.

The SOL coin became one of the new stars in last altcoin season when its price rose from $1.50 to $258.78 from January to November. The young coin broke into the TOP-10 of the most capitalized cryptocurrencies and pushed out the old-timers of the rating. Even after a rapid fall in 2022, it has moved into the second ten leaders and is still considered a promising asset.

Where to buy SOL?

The coin is traded on many top exchanges, forms trading pairs with Bitcoin, Ethereum, USDT, BUSD, USDC and several fiat currencies. Direct SOL to BNB conversion is also possible, but there are few trading platforms where this trading pair is supported.

Binance

It is most logical to look for trading pairs with BNB in the native ecosystem of the token. The Binance exchange is so well-known that it practically does not need additional presentation. And yet, we recall that the site supports spot, margin and futures trading, provides a large selection of ways to passively earn money on cryptocurrency.

About 60 deposit methods are available, including in fiat currencies, about 400 digital coins and more than 1600 trading pairs are supported. Not least, the fees on Binance are below industry averages.

However, access to the functionality of the platform is possible only after registration and fulfillment of the requirements of the KYC.

BITStorage

This is a relatively little-known platform that has been operating since 2018. The company’s trading turnover reaches 33 BTC per day, which is quite a high figure. Judging by customer reviews, the use of the platform is as simple as possible, so trading here is easy and pleasant, and thanks to two-factor authentication, it is also safe.

You can start trading immediately after a quick registration without identity verification (KYC). The platform supports 10 popular cryptocurrencies and 20 pairs.

LetsExchange

LetsExchange fast exchange service is your best choice for converting SOL to BNB and more than 2000 destinations. The site is available without registering an account, to perform any operation with cryptocurrency, you just need to have crypto wallets to store the coins you need. You simply select a trading pair, indicate the amount of the transaction, replenish the deposit and indicate the wallet address. After confirmation of the application, it is carried out completely automatically. The platform does not store your coins, which means that it is almost impossible to steal them.

The American Institute of CPAs (AICPA) pitched a set of revisions to its Statements on Standards for Tax Services (SSTSs). They also sent the recommended revisions to the IRS separately. The recommendations were to revise the virtual currency question and instructions on Form 1040, requesting it to not be switched to the term “digital asset.”

The changes pitched to the SSTSs include alterations to the current SSTSs along with the three new standards and remarks on the entire issue of quality management and tax. Furthermore, the changes aim at the current and future needs of AICPA members with high ethical standards. 

Jan Lewis, the Tax Executive Committee Chair of the AICPA said in a statement that changing the standards is a great step forward to improving services offered by the members of AICPA so they are perceived as the best providers of tax services. 

The AICPA has requested to make the remarks by December 31, 2022. The comments can be made via an online form or email to SSTScomments@aicpa-cima.com. The SSTS document will be changed based on the comments and will be approved by May 31, 2023, effective from Jan 1, 2024. 

The AICPA also submitted its comments to the IRS separately regarding the virtual currency question on 2021 Form 1040 along with the draft 2022 Form 1040. According to the draft, the IRS is looking forward to changing the question from “virtual currency” to “digital asset.”  Currently, the question is “At any time in 2021, did you happen to sell, receive, exchange, or dispose of a financial interest in either of the virtual currencies?” Next tax season, the IRS has changed it to “At any time last year (then 2022), did you happen to: (a) receive/accept (any compensation, award, or reward); or (b) exchange, gift, sell, or dispose of a digital asset (or a financial interest)?”

Quite possibly the question could be interpreted as a question related to the purchase of other types of cryptocurrency such as NFTs. AICPA’s request is to get clarification on the question before the 2022 tax forms are finalized. This will help taxpayers comply with the question and report for virtual currency. 

It is requesting the IRS to explain the meaning of virtual currency and recommends the IRS change the meaning of virtual currency as described in the first part of Form 1040. The AICPA wants further clarification on whether all the terms “store of value,” “unit of account,” and “medium of exchange” need to be present on the form or if just one is sufficient. 

According to AICPA, all the terms should be defined and any asset with the “characteristics of virtual currency” should be dismissed because it’s not a part of the IRS’ official and binding guidance. Annette Nellen, from the AICPA Virtual Currency Task Force, said in a statement that they strongly urge the IRS to consider their recommendations, which will facilitate compliance from taxpayers. 

What You Should Do?

It is going to take some time for the IRS to consider the recommendations. Whatever decision the IRS takes, you as a taxpayer have to pay your taxes on time. For your convenience, you can use crypto tax software such as ZenLedger. This software is designed to meet your crypto tax needs. If you are new to the crypto world and don’t understand how is crypto taxed and how to file taxes, look no further. ZenLedger makes crypto taxation easier and even if you are a seasoned crypto investor/trader with thousands of transactions a year, ZenLedger can handle this quantity with ease. 

The AICPA is taking these steps for the ease of the taxpayer and helping them comply with the IRS. The revisions requested and the clarifications asked by the AICPA might work in the favor of the US taxpayer and provide some explanation to the ever-so-confusing crypto taxation. 

FAQs

1. What is AICPA?

AICPA or the American Institute of Certified Public Accountants is a national professional organization for CPAs or certified public accountants in the US. 

2. Do you have to pay taxes on cryptocurrency in the US?

Yes, you have to pay taxes on cryptocurrency in the US. If you sell the cryptocurrency within a year of buying it, you have to pay short-term capital gains tax. It is usually higher than the long-term capital gains tax. If you hold crypto tokens for more than a year and sell it, here, you will have to pay a long-term capital gains tax.

3. How to avoid crypto tax?

You must not avoid paying the crypto tax as the IRS knows it will be aware of all the transactions. Nevertheless, you could save some taxes by using the tips listed below. 

• Gifting someone a virtual currency is not a taxable event. However, one must make sure to keep the amount exempted in mind. 
• Transferring the tokens to another wallet, exchange, or account, as these are not considered a taxable event.
• Purchasing crypto tokens in USD and only need to pay taxes only when you sell. 
• If you receive a token in a hard fork, even then it isn’t a taxable event.

To Conclude 

The AICPA is taking these steps for the ease of the taxpayer and helping them comply with the IRS. The revisions requested and the clarifications asked by the AICPA might work in the favor of the US taxpayer and provide some explanation to the ever-so-confusing crypto taxation. 

It’s 2022 and a lot of people are considering the crypto industry for their investments. When it comes to crypto, you have a wide set of choices to consider if you want a profitable investment. You can purchase and hold crypto, lock, farm tokens, or invest in Non-fungible tokens. Here we want to discuss Solanart which is a unique and great new NFT marketplace.

You can also read the XLM price prediction here.

Solanart is an NFT marketplace that takes zero percent fees on transactions. It’s the first NFT marketplace on the Solana (SOL) ecosystem that is offering this service for NFT users. Solanart is the first and probably the only NFT marketplace that enables creators with zero percent fees.

Then, let’s find out what is Solanart and how much users should pay to create on Solanart io. We will also discuss how much it costs to create NFT on the Solanart NFT marketplace. Therefore, let’s begin and start our article by discussing what Solanart is. 

What is Solanart?

Solanart NFT marketplace runs on the Solana ecosystem since 2021. In this little time, Solanart was successful to become one of the most famous NFT marketplaces on Solana. Then, we will also discuss what are the reasons that make Solanart NFT marketplace so unique.

You can gain more official information about the Solanart project on Solanart io.

As we also mentioned above, Solana takes zero percent fees on transactions. Then, this alone can be one of the defining reasons why users like Solana NFT marketplace.

How much does it cost to list an NFT on Solanart?

This means that the users don’t need to pay any fee to buy or sell NFT on Solana io. Therefore, users prefer to trade NFT on Solanart rather than on other NFT marketplaces. Then, they don’t pay large fees that you usually should pay on Ethereum NFT marketplaces. You don’t need to pay any fees at all, the whole process of buying or selling on Solanart is free.

Then, this causes new groups of users to migrate to Solanart after they learn about it. 

Pros of using Solanart io

Here, we will learn about the features that the Solanart nft marketplace has to offer. Developers have considered a lot of details to make Solanart io as user-friendly as possible. Therefore, even newcomers in the crypto community can easily create and sell NFTs on Solanart io. Then, creating and trading NFTs on Solanart also is free and will be a great experience for users.

You can view the trending and hot NFT collections on the Solanart io. Therefore, you can easily find the NFTs that can potentially be profitable and increase in price. Users can easily target the Trending NFTs on the Solana NFT marketplace. You can also change the time frame to view the Trending NFTs on Solanart io 

Or you can create and start selling your NFT on Solanart right away as it’s free. Solanart NFT marketplace strives to enable everyone to easily create or trade NFTs. Then, it’s a platform that is helping the community and the industry by making the process easier for users.

How to buy from Solanart?

To purchase from solanart you should first visit Solanart io. Then, visit the Solanart marketplace to view the NFT collections. 

1. To do this, you should tap on Collections located on top middle side of the screen.

2. You can view the NFTs in the Solanart NFT market. So, choose the one that you want to buy and move on to the next step.

3. We are going to continue this tutorial with the Board Dogs collection. As you can guess, Board Dogs is a NFT collection that is trying to copy Board Apes’ success. 

4. Choose the NFT from the collection that you prefer to buy. After that, connect your wallet to Solanart io to make a purchase. Then, tap on the three dots below each NFT.

5. Then, tap on Make an offer to start purchasing the NFT from Solanart. 

What is the Solanart API?

In general, Solanart API is the set of APIs that developers can use to include solanart tools in their apps. Then, Solanart enables developers to use features that Solanart offers to developers. One of the Solanart API groups is the Solanart API scan that you can use in your application. 

There is also documentation regarding Solanart API on the web.

Who owns Solanart?

Anatoly Yakovenko created the Solanart NFT marketplace that became one of the biggest NFT marketplaces. Solanart NFT marketplace is the first NFT marketplace ever that could rival opensea. Opensea is another NFT marketplace like Solanart io that is running on another blockchain. But Solanart NFT marketplace doesn’t charge you any fee for your transactions on the platform.

Therefore, more users will be migrating to the Solanart NFT platform in the future. If you are looking for a platform to create NFT and start selling it Solanart io is one of your best choices. Solanart NFT marketplace is also a great option for you if you are considering investing in NFT.

Then, go check Solanart NFT marketplace if you haven’t already. You will have a great experience.

Conclusion

Solanart is one of the biggest NFT marketplaces that is running on the Solanart blockchain. Users don’t need to pay any fee to create or trade NFTs on Solanart io as it’s completely free. Solanart NFT marketplace is the first and only marketplace that charges a zero percent fee. There is a set of Solanart API that developers can use to include Solanart tools in their applications.

Almost everyone in the crypto community has heard about the Luna and terra blockchain. This is because of the problem that caused the luna coin and thus the wluna price. But that is a different story from WLUNA crypto. In this paper, we want to discuss what is WLUNA and a short history of WLUNA price.

You can also read about Volt Inu Review.

A lot of users ask if will WLUNA recover. Then, we will also discuss that matter after we have discussed the WLUNA price. But, we should discuss what is WLUNA and what is the difference between WLUNA crypto and LUNA. Therefore, let’s begin to understand what WLUNA or Wrapped LUNA is. 

What is Wrapped LUNA?

WLUNA is the wrapped version of LUNA classic. To understand what WLUNA is, you should first figure out what a wrapped token is. 

A wrapped token is the equivalent of the token itself, that exists outside of the blockchain. For example, a wrapped Bitcoin is a token its price is equal to the price of BTC at the moment. Therefore, the WLUNA price is always equal to the price of LUNA as well. The WLUNA price will always stay at a 1:1 rate to the LUNA classic price.

To put it in another way, the WLUNA crypto is a representation of LUNA that isn’t part of its network. Then, after the failure of the TERRA network, the WLUNA price also crashed alongside LUNA. Therefore, a lot of users’ questions are “Will LUNA recover?”. To answer that question, we will first check out the WLUNA price and price history.

Wrapped LUNA: Origins

Before we get to discuss the WLUNA crypto price history, let’s discuss the WLUNA crypto history. 

The developers launched WLUNA crypto in August of 2021, 9 months before the LUNA classic crash. WLUNA crypto is the wrapped LUNA classic token that exists outside of the blockchain. While it’s true that WLUNA crypto isn’t the LUNA classic itself, the WLUNA crypto price will follow LUNA’s. 

A few months ago, after the LUNA and TERRA blockchain crashed, users started withdrawing their deposits. Then, it resulted in a dramatic drop in the LUNA classic and the WLUNA crypto price. The LUNA classic was trading at around $80 with an ATH at $100. Then, the WLUNA and LUNA price dropped to around $0.0001.

Now, you probably have learned what WLUNA is and what happened to LUNA and WLUNA price. Then, let’s discuss the WLUNA price history and answer the question “Will WLUNA recover?”.

Wrapped LUNA (WLUNA) price history

We have talked about what a WLUNA token is. Then, it’s time to discuss the WLUNA price and if WLUNA has a future. Or will WLUNA recover in the future or not?

To view the WLUNA price and price history there are multiple options. You can view the WLUNA crypto price on TradingView, CoinMarketCap, etc. 

Here, we will use TradingView to go over the WLUNA price in this paper. Then, enter the platform and search for WLUNA against USD or WLUNA/USD. 

Here, you can see the WLUNA price against USD in the Coinbase crypto exchange. As you can see, the WLUNA crypto price follows the LUNA classic price closely. Therefore, the WLUNA crypto price also has an ATH of around $120 and also crashed when the LUNA classic crashed.

Then, the WLUNA price stopped moving after it dropped to around $0.0001 in May 2022. Therefore, a lot of users have the question: will WLUNA recover? Then, we will discuss that in the WLUNA price prediction. 

Wrapped LUNA price prediction for 2022 and beyond

Here, we will discuss the future of WLUNA and WLUNA price. Then, instead of WLUNA price prediction, it’s more of a: Will WLUNA recover? That is because the WLUNA price stopped moving in May 2022 and a lot of users started to worry. 

Then, we will discuss the future of WLUNA price and will answer the question: Will WLUNA recover? And if WLUNA crypto has a future. 

Does WLUNA have a future?

The reason why the WLUNA price stopped moving in May of this year is that Coinbase removed it from the platform. Then, the WLUNA crypto price can recover and there is no reason for the token to be lost. But the WLUNA represents the LUNA classic which is a separate blockchain from the second one.

The new LUNA will continue instead of the LUNA classic. Then, the users may still have the question that will WLUNA price recover?

A lot of analysts have predicted high numbers for WLUNA price prediction. But they don’t take that fact into account that the LUNA classic is the old version. 

Conclusion 

WLUNA crypto token is the wrapped version of LUNA classic. The Wrapped LUNA or WLUNA price follows the LUNA classic price as they trade with a 1:1 ratio. The WLUNA token crashed after the LUNA classic crash in May and Coinbase removed it from the exchange. That’s why the WLUNA price has not moved since May 2022.