Topic: Annual Proof of Keys January 3rd (Read 685 times)

You don't need to move your bitcoin in your private wallet since you have total control over it. This practice is more on your crypto's is sitting on an exchange or any third party. But it is not mandatory though, if you don't want to involved yourself moving funds around because of the hassle then don't do it, simply as that.

Firstly, I understand the importance of having decentralized exchanges DEX and permission-less entry points. The fact is we are not there quite yet and it's neither easy nor convenient for the majority to get involved with.

This is not a permission-less exchange, in fact its only available for Canadians at the moment and is fully KYC and AML compliant. What it does do is forces buyers to provide their own BTC address for each purchase eliminating exchange custodial risks and encouraging holders to claim responsibility.  I also like that they are Bitcoin ONLY, also, all coins are freshly coin-joined and their spread is not gouging. They offer a convenient payment service called "bylls" that pays any Canadian financial institution directly with BTC.  Further, this platform does not support trading or even limit orders taking away the urge to "gamble". Account Funding via E-transfer during business hours is near immediate allowing one to effectively buy the dip. Buyers here are going long term, have conviction and are doing it for the right reasons.  
IMO its platforms like this that will succeed and pave the way forward toward adoption while fully satisfying government regulations.
By that it is not permission-less however I fully support their efforts in on-boarding Canadians in a very transparent, moral, and largely trust-less way congruent with BTC best practices while creating a role model business and healthy atmosphere for the Bitcoin space in general.

Creator, Francis Pouliot from satoshi portal and co-creator Dave Bradley @bitcoinbrains

I was not familiar with this event. It is a little cumbersome to move Bitcoin for just one day. I have some in a private wallet and some on an exchange but only because it’s easier to hold it there right now.

ok. so proof of keys only started last year. so it was not truly an annual thing as this year is only the second time the event has occured.

and looking at how the 'bitcoin richlist' has not really changed over the last few days.. just shows that not many actually participated in it.

infact since last year there are more coins hoarded in addresses of 1000+ meaning more people are putting coins into custodial wallets than before this time last year

to me thats now more of a 'proof of failed campaign'

I'm reading on that web site "Login" and "Signup". I don't know how permissionless it can be... Can you explain me this doubt, please?

Yeap. The proof of keys website really does lacks a lot of information. If you want to get a sort of more "in depth" information about the proof of keys movement though, I suggest listening to those What Bitcoin Did Podcast episodes whereas Peter McCormack(the podcast host) talks with Trace Mayer(the person who started the movement). Trace Mayer goes more in depth about the movement that isn't explained or mentioned on the website, as the website does need a lot more work.

I don't see how it's a "convoluted argument".  Look at the way in which the event is reported in certain parts of the media (bold emphasis mine):


"For the duration of the day".  And then presumably go back to business as usual and forget about it for another year.  I mean, I don't see any other way to interpret that.  

In my view, I think they could be doing a much better job of explaining exactly what they mean on the https://www.proofofkeys.com/ homepage, because the intended message is clearly getting lost somewhere along the way.  I'm not saying it's a misguided effort on their part, but it should be abundantly clear that checking for exchange insolvency is a secondary objective and not the main purpose of the event.

I completely agree, hence I think we should try our best to educate the masses, especially the younger demographic. And yes, A LOT of people will learn basic internet/computer security in the hard way, a.k.a. the "Darwinian" way(by getting their funds stolen). This is why I tend to think that unfortunately, it looks like decentralized cryptocurrencies like bitcoin will be for the millennial generation and onwards; as the percentage of computer-illiterate baby boomers and GenX-ers are just too much.

Canadians are leading the way with non-custodial solutions. Only great things to say about https://bullbitcoin.com/
Take note, we need more like this!

I consider the single days of abstention to something, one-off per year, totally useless. To have real effects one should always behave like this, in every field, to be consistent. Relatively to the crypto world, we urgently need true and pure DEX!!!

Happy Proof of Keys day everyone! Don't forget to take ownership of your Bitcoin today 

The entire point of this event is to see if we can achieve this. Ultimately we are talking about adoption and best/safe practices, no?  I'd argue that proof of keys is a positive effort that does more for adoption than doing nothing or worse, making nonsensical arguments that its designed for the single purpose of keeping exchanges solvent. Don't get me wrong, keeping honest exchanges honest is great right?
I simply don't see anyone taking time to learn how to hold their own BTC in their own wallet with their own keys, with the understanding that its superior to being held in exchanges simply to transfer it back the next day.
Traders will be the only ones to do this right?
Sorry, IMO anyone with that convoluted argument is doing it to hear themselves talk or in an effort to protect their interest in an exchange.

What's being questioned is whether it actually achieves that, though.  Some people are presenting this Proof of Keys event as "keep all your coins on an exchange for 364 days a year and just withdraw them on this one particular day to make sure the exchange is still solvent".  No one is learning anything if they're only doing that.  They need to keep the bulk of their stash in their own personal wallet and only have what they're actively trading on the exchange.

thats the whole point of the event..

its like independance day.. most people kinda know about independance but each year there is a default big event as a classical reminder.
it saves all the drama of having to remind people all the time. and gets more people aware that may not have been aware before. then after the event more people think more carefully about how to hold it.

its like other events. you should respect your mother all year but have a big reminder event called mothers day. many family renew-refresh their respect for thir parents on father/mothers day. yea some slip up and be disrespectful other times of the year but they kind of remember again on the event. which reduces bad experiences the rest of the year compared to never having such an event

its like a training day. a masterclass. a significant event that can be talked about and learned from the rest of the year because of its significance at the event.

without such, many fools will have just trusted custodians all the time and thought it was never a problem. this way they can learn

You can't but why do you think it should be relevant?
It's not dumb. Plenty of people have simply not yet learned how to hold coins in their own wallet simply because banks are all they have ever known. So to the average person who keeps hearing about this Bitcoin thing and wants to invest a little, Coinbase looks like a bank, can you blame them?  Proof of keys will challenge that concept.

So how can we check how many does this?

Education is exactly what this is about. Yes, you nailed it.
Bitcoin proposes a challenging conscientiousness shift to traditional finance and personal responsibility in holding your own asset (especially digital) is a new concept that requires exercise to feel comfortable with.

I'm supporting this effort (officially), I don't think the sentiment/intent will change much or cause exchanges to fail due to lack of widespread support etc etc. It's clearly about educating newer investors into cryptocurrency about owning their own assets and the dangers of allowing a third party to own it. I know it took a hile for me to learn to begin with when there was already so much to learn about Bitcoin that appeared more important (or more interesting), so it's likely some people learn will learn about this around this time and it will help them about one day. It's irrelevant that my Bitcoin remains owned by me, not just on January 3rd.

People are not ready to be their own bank, and even if they wanted to, most are not capable of it. To be perfectly honest, a good portion of those who buy/sell or just store crypto have big problems with the basics of IT, and the importance of private keys for them is something like science fiction. All this is the result of a long-standing system that promotes as little of one's own responsibility and the transfer of that responsibility to others, of course, with a price or a violation of privacy.

If you open a bank account, all you need to access your funds is a plastic card (ATM) and a PIN, or your ID if you need something in the bank. If we compare this type of service with the usage of cryptocurrency it is evident why a large number of users continue to use crypto exchanges as normal banks. Many live in the belief that this is the same type of service, which is partially true - until the exchange is hacked, or the owner takes all the private keys to the grave.

Unless you're leaving your funds with a lending platform or unless you actively trade, how is it a "great deal" though? You literally gain nothing besides convenience for leaving funds on a third party. You might think it's great, well, until that third party gets hacked.