This is going to be a lot of information all at once, but knowing it, you can make a good amount of money.
First, there are Altcoins, not just Bitcoin. Bitshares is an Altcoin, and it was created by Dan and Ned and the “Bitshares Team”. Bitshares is a Coin that when you buy it, it has a website attached to it. And it’s Blockchain (Blockchain being all the customer transactions made by you and others, as well as all the people mining; and all that information of all that happening going onto a Ledger or into a Book or Docket. That is the Blockchain, like how people say that a company “Cooks the Books”, no one can Cook Bitcoin’s Books because it’s just all on the Blockchain. So on Bitshares’ Blockchain they have a Website called OpenLedger, which is a trading platform. On that trading platform people can create a new Coin (Actually called a Bitshares Asset or “User Issued Asset” UIA) which is a Coin you can create by spending $11,000 in Bitshares on the OpenLedger website to launch a new Asset/UIA. UIAs are different than coins because they are not mined and the person who created them has complete control, and can distribute it like stock, or like concert tickets, or as a representation of some item they can redeem in the future; and people can go and trade these UIAs on the Bitshares platform. There is something called an ICO, Initial Coin Offering, in an ICO a UIA is created and sold for super cheap (maybe 1 penny or 10 cents or 1 dollar each) then it is bought back by the UIAs creator for 2x or 10x the amount or more. This is a good way to make money in the Cryptocurrency world right now, and you can do it by going to Bitsharestalk.org and going to the UIA section and getting involved.
Then there is Steemit. This will explain how Steemit really works for someone on the outside to understand what is happening in the background, instead of just the day to day stuff. Steemit is like Reddit, but for a Coin (not a UIA) called STEEM. STEEM was created by the same people who created Bitshares (Dan and Ned), if you Google right now “Dan Steemit”, then “Ned Steemit”, then “DanTheMan Steemit”, and whatever other accounts they have right now and you look at their Wallets, their Steemit accounts are each worth Millions and Millions of Dollars, and they have already withdrawn Millions and Millions of Dollars from those accounts. Now stay with me because I am going to go on a tangent, so that I can tie all this together. Most Coins (not UIAs) are PoW which means Proof of Work, and means that you mine the coin in order to get it. Then there are PoS, which is Proof of Stake, which is where you buy a coin and put it in your wallet, and instead of being mined, it is minted like interest. It looks like interest in your wallet, but really it is brand new coins. STEEM and Steemit are DPoWS, or Delegated Proof of Work and Stake, the Delegated part is because in Steemit you Vote. There are 2 forms of Voting in Steemit, in Steemit you can (Voting Type 1) vote for Witnesses (Which is like voting for Congress, I will explain it in more detail) or and you can (Voting Type 2) vote on other people’s posts like on Reddit, or similar to a Facebook Like, or Twitter Like, or Instagram like, except that “Like”, that Vote, is worth money. You don’t give someone your money, STEEM is minted and given to them because you voted on them (that is Voting Type 2). Voting Type 1 is where you vote for Witnesses. A Witness is a person who has a computer that can handle keep a node open for everyone to connect to Steemit; and they also have to check that it is working and check out a few things on the network a few times a day, hence the name “Witness”. Steemit and OpenLedger are both run the same way; Steemit is on the STEEM Blockchain, OpenLedger is on the Bitshares Blockchain, and when you Vote for a Witness they have the opportunity to hold open a Node for everyone, which holds up Steemit. Then they mine STEEM, and only they can mine STEEM, no one else can mine STEEM (Delegated Proof of Work). But as they mine 100% of the STEEM, most of it goes to paying people for Voting Type 2. So they keep everything working for everyone. And all the Witnesses and Dan and Ned and everyone are on Bitsharestalk.org. Then there is the Proof of Stake part of STEEM. Once you get Votes on your Steemit post through Voting Type 2, 50% is paid in STEEM Dollars which are liquid, and 50% is paid in STEEM Power which is not liquid, but gains 90% interest the first year. You can watch your interest grow by waiting 5 seconds and refreshing. Another way to use this part is to buy STEEM and then put it on your account, which allows you to gain interest and Vote higher on other people’s posts, etc. You just have to make sure if you do that that you buy STEEM when it is low so you get the most STEEM for your money.
And if anyone is wondering how to get from Cash into all of this, just go to Coinbase; they are completely trustworthy and you just hook up your Bank or Card and buy Bitcoins and you get them in the next few days. You can also sell Bitcoins there and have it direct deposited a few days later. Then go to a Website like Bittrex and sell the Bitcoins for STEEM or Bitshares or whatever, then go to Steemit.com or OpenLedger.io or wherever, and make some money.
Say someone here wanted to start a Stock for their Dispensary, or even say all of Colorado wanted to start a Weed St. (like Wall St.) they could go on the OpenLedger.io website, put in $11,000 in Bitshares (BTS), and create their own Asset, that can be traded for other Assets like Open.BTC (Bitcoin backed Asset), Open.STEEM (STEEM backed Asset), etc. BTS is the main thing that is traded on OpenLedger.
But just as an example, MMJ America is an Interstate Dispensary. Say they wanted to create an Asset (kind of like a Token), and if you came into their locations, and sent 1 of their Assets (Tokens) to their OpenLedger Account, you could get 1 Joint, or 5 Assets (Tokens) for 1 Joint or whatever, or 20 Assets (Tokens) for a Gram.
And since no one can mine these Assets, and only they can distribute them, they can make them as plentiful or as rare as they want, and they can give them out for people posting about them on Social Media, or on Leafly, or for coming in 10 times, or for whatever they want people to do. And what OpenLedger does, is it allows people to sell those Assets; they don’t have to go into MMJ America and use the MMJ America Asset the way MMJ America uses it, they can sell it on the Open Exchange on OpenLedger. And eventually, 1 Asset (Token) could be $500 or anything. So they could make a lot of money by taking in 1 Asset or 5 Assets for a Joint.
Then they just put down another $11,000 at that point and create a new Asset and let people trade those for Joints, and if that one becomes to expensive, do it with another one.
And it’s not like coins, so they don’t have to actually mine their token and accept it in order to get it, they should accept it just to help it shoot up in value; but because it is an Asset they can magically produce more, (say it were $500 per Asset) so if they want to crash the market they can destroy the market, or if they need money they can produce like 100 and sell them as they need them.
And anyone can do this, and there are Assets being traded right now on OpenLedger. All you have to do is get involved with someone else’s, or create your own for $11,000.