Proof -of- keys: Well-known crypto investor Trace Mayer started Proof-of-Keys through Twitter. On Thursday, January 3rd, 2019 investors are being urged to move their cryptocurrency of exchanges (Coinbase, Binance, etc.) and into a Bitcoin wallet where they have control over the private key. Make sure that these exchanges are solvent. Founding by honors crypto’s This Proof-of-keys’ has secure steam and we are supportive.
Why January 3rd? January 3rd, 2019, is the 10-year anniversary of the Bitcoin Genesis block being mined. Proof-of-Keys is considered to become an annual tradition so a date that’s easy to remember, as it celebrates the creation of the Bitcoin blockchain, was chosen.
At Blockchain, we’ve always trusted that controlling and owning your private key and with it, your crypto. Without having full control over your private key. Blockchain Wallet users to exchange crypto allows next-generation trading product and with ease, for the price you’d pay on an exchange, without giving up control of your keys.
Point of Proof of Keys:
“Not your keys; not your bitcoin.” Trace Mayer stated in his tweet, Most crypto experts, but far too few no coiners .comprehend that cryptocurrency stored on an exchange is, , owned by that exchange. After all the exchange has full control over the private keys (users have no access to them) they have the ability to do whatever they select with the wallets and the crypto stored in them.
This poses a massive risk to investors that Proof-of-Keys is attempting to resolve. By convincing users to move their crypto it having proficient a few things;
Urge users to learn, or re-familiarize themselves with, how to create and use Bitcoin wallets (regardless of hardware or software wallets, whether they’re paper in as much as the user controls the private keys)
If you control the private keys it will Teach or remind cryptocurrency investors the critical lesson that you only own the asset.
As stated by Mayer, “Declare and re-declare our monetary sovereignty” which was one of the primary purposes of Bitcoin, to begin with.
keep the creation of the Bitcoin blockchain.
Why Should You Care?
The Proof of Keys concept incorporates the actual purpose of Bitcoin to replace a ‘trusted 3rd-party’, which is liable to errors and vulnerabilities, with machines and math. In cryptocurrency ecosystem Exchanges play an important role but that limited role is in the name itself to exchange one asset for another.
We can’t say that the withdrawal function won’t be unfrozen, or that HitBTCs clients lost all their crypto holdings, but now it proves the point that Trace Mayer and Proof-of-Keys are trying to make. If yesterday you had 1 bitcoin on the HitBTC exchange, today you saw that you couldn’t withdraw it, and tomorrow HitBTC vanished… how would you access that 1 bitcoin? Correct… you wouldn’t.
Should Participate in Proof-of-Keys?
Yes. It’s a short, simple answer. It costs you nothing but the minor withdrawal fee to participate. What you gain in knowledge or practice of controlling your bitcoin, not to mention the declaration of your economic domination is worth much more than that.
Proof of keys having some case studies:
1. Exchanges handled “failure” incidents
The Proof-of-Keys site lists some exchanges that have reportedly ‘failed’ with bitcoin solvency event. However, some of these listed exchanges do not have withdrawal issues as under the “failures” event.
For example, The issues related to withdrawals challenges were reported by coinbase the end of December last year. However, it is reported the exchange moved to have fixed it within hours Bitfinex is Another exchange have to experience an outage “during an upgrade.” The exchange has tweeted that its platform is running and up, with the issue fixed within an hour.
2. HitBTC fails to respond to “failure”
HitBTC has come under fire as its determination to freeze customer accounts gets reprehend, including by John McAfee who claimed ‘foul play.’ The exchange has not made any comments via its Twitter account about withdrawal issues its users continue to face.