ALTCOIN

Most frequent questions and answers

Altcoins are all cryptocurrencies that are not bitcoins.

There are currently just over 1600 altcoins in existence, but the number is liable to grow and change.

Unfortunately, they do not have an identifiable value: it mainly depends on the market conditions.

A wallet is technically a container for private keys. It would almost be more fitting to call it a “keychain”, in that it is used to store both public and private keys that are nothing more than access codes to the quantity of money held within the blockchain. Having access to these keys gives you the ability to manage the associated amount of money. For example, on your keychain (the one you use in your daily life), all the keys to your house are grouped together. If someone were to get ahold of this keychain, they would have complete access to your home, and everything inside it. The same concept applies to your wallet. To gain an address you just need to install a wallet, which then automatically generates an address for you.

It is the access code to the public address containing the money held. The private key allows you to manage the cryptocurrencies owned.

The “address” is a receipt address provided to the sender of the transaction. Whenever you want to receive any cryptocurrency, you need to provide your referral address to the sender, which works as a kind of IBAN code. Every cryptocurrency has its own address format which is not compatible with others.

“Hash” is an alphanumeric code that allows you to trace a transaction within a specific blockchain. It is used to verify the status of a payment, that can be “pending” – awaiting validation, “confirmed” – confirmed by the network (also by hubs), or “rejected” – not accepted for any reason.

At the moment, the taxation of cryptocurrency commonly refers to Ministerial Resolution n.72 E from 02/09/2016, relating to capital gains exceeding €51,000.00 held for 7 consecutive days. Watch out! The legislation is constantly evolving, and we strongly advise that you go and see a professional who is up-to-date with the most recent legislation. For any doubts you may have, our experts are available to you for tax consultancy.

A “faucet” is an old method that was once used to promote a new cryptocurrency. Tiny quantities of cryptocurrency, its value equivalent to just a few cents, were given to anyone who repeatedly clicked on certain online adverts, etc. It is a promotional method that is no longer used.

There are two ways. The first is to buy from a platform called an “exchange”, that is nothing other than a market where demands and offers meet. The other way is to buy privately, from someone who is prepared to sell.

The fork represents a bifurcation in the blockchain. It happens when a group of people want to modify the protocol of a currency, creating another with the same “genetic makeup” as the original, but with a few differing technical characteristics. Therefore, they generate a new cryptocurrency, starting from the structure of an existing one.

Tokens can be considered secondary units of measurement for a pre-existing blockchain. They therefore do not require an actual ad hoc chain of blocks, in that they use predefined models that the pre-existing blockchain has already made available. This allows the tokens to be issued in a simpler and faster way than that of a normal coin.

Only if you want to receive cryptocurrency. In this case, you just need to provide the sender with your wallet’s address and the transaction will take place without you, as the recipient, being connected. However, if you want to send cryptocurrency, and therefore act as the sender, you need an internet connection that allows you to access the blockchain.