Bitcoin Webinar Part 1: What is Bitcoin & Why Should Bettors Care?

[SBR Forum]

Update: Part 4 is now up http://www.sportsbookreview.com/foru...s-rewards.html

Update: Part 3 is now up http://www.sportsbookreview.com/foru...coin-cash.html

Update: Part 2 is now up http://www.sportsbookreview.com/foru...e-bitcoin.html

__________

Bitcoin Webinar Part One: What is Bitcoin?

Sportsbook Review's Peter Loshak is joined by bitcoin expert Justin for a four-part webinar on bitcoin. Bitcoin has exploded in popularity in recent years and has been of particular interest to online sports bettors frustrated with the lack of easy ways of funding their accounts. Part one focuses on the basics: What is bitcoin? | Jump to article

<iframe src="http://www.sportsbookreview.com/video/embed/?videoId=31437" allowfullscreen="" frameborder="0" height="330" width="560"></iframe>

[jjgold]

Still a lot of steps though

I still will not do it

[Russian Rocket]

Thanks for the video Peter & Justin.

[shaunovery]

Too confusing

[KVB]

Well, part one really dug deep. Can't wait for part two.

lol...good job guys...look forward to the rest.

[gauchojake]

Hard hitting and in depth

Kudos Loshak

You made it pal

[raiders72001]

Good video.

[JAKEPEAVY21]

good segment, thanks Loshack and Justin

[BIGDAY]

Nice work.

[raiders72001]

Too confusing

'The terminology may be confusing. Synopsis:

1. Bitcoin is decentralized meaning that bitcoins aren't controlled by banks, governments or other financial institutions.

2. Crypto-currencies are digital cash. Here's a list. http://coinmarketcap.com/. Most are just traded, but some such as Litecoin can be used to purchase items. Bitcoins have been around for 7 years. Not in video but bitcoins have been used by sportsbooks for 5 years.

3. Wallets are safe and only controlled by you. Wallets are different than exchanges such as Coinbase and Circle. A wallet, such as one at blockchain.info, does not care who you make transactions with and won't ask. Your bitcoins are stored in a wallet the same way as cash is stored in a bank.

[KVB]

So if you make a mistake with a transaction, it isn't coming back. Whether you send to the wrong place or give the sender the wrong info there's no way to track the coin down.

Correct?

Are wallets, when left alone with Coin in them, safe?

[Russian Rocket]

So if you make a mistake with a transaction, it isn't coming back. Whether you send to the wrong place or give the sender the wrong info there's no way to track the coin down.

Correct?

Are wallets, when left alone with Coin in them, safe?

That is correct...That's why when the BTC hack occur, majority of the times it will be on the wallet side...the hacker basically gains access to your wallet and ships BTC to a specific address - The hack is done and there is nothing you can do about it.

Nowadays wallets are a lot more secure, than they used to be...using a two-factor authentication for your acct is a must. Encrypting your wallet or smartphone is very important here. This however won't save you from keylogging programs.

Many people use offline wallets also known as cold storage for just storing and saving BTCs.

[raiders72001]

I use 2FA for my wallets and will get a text message with a code. My password and the code will have to be entered to open my wallet.

[raiders72001]

With Bitcoin sportsbooks, most now offer 2FA if you choose so that no one can hack into your account.

[Russian Rocket]

With Bitcoin sportsbooks, most now offer 2FA if you choose so that no one can hack into your account.

This is totally untrue...anything can be hacked even a 2FA...There was this very famous 2FA hack that happened about 2 years ago for @GB Instagram acct. Read about it online.
What hackers do is instead of going after the most secured acct, that has 2FA protection on it, they rely on using weak points in other services to get into a key hub account. As an example, a lot of people use Google 2FA and if that's the case, hackers will go after your Gmail account and then try to do standard password reset on any account associated with that email address.

There are many other ways to crack 2FA protection, but won't go into details here.

Don't think that 2FA is bulletproof - It's not...it just makes it harder to crack...but you can still crack it.

[raiders72001]

This is totally untrue...anything can be hacked even a 2FA...There was this very famous 2FA hack that happened about 2 years ago for @GB Instagram acct. Read about it online.
What hackers do is instead of going after the most secured acct, that has 2FA protection on it, they rely on using weak points in other services to get into a key hub account. As an example, a lot of people use Google 2FA and if that's the case, hackers will go after your Gmail account and then try to do standard password reset on any account associated with that email address.

There are many other ways to crack 2FA protection, but won't go into details here.

Don't think that 2FA is bulletproof - It's not...it just makes it harder to crack...but you can still crack it.

How would they hack 2FA with text messages?

[Russian Rocket]

How would they hack 2FA with text messages?

the keylog app on your phone/computer would be one of the ways to do it

it records every keystroke you make on your device and also sends screenshots of your texts and pages that you visit

it can sit their for years and you wouldn't even know that it's there

[raiders72001]

the keylog app on your phone/computer would be one of the ways to do it

it records every stroke you make on your device and also sends screenshots of your texts and pages that you visit

it can sit their for years and you wouldn't even know that it's there

But the code changes every time you try to open your wallet. The other thing with your wallet is that you can add IPs allowed.

In essence, how are bitcoin wallets less secure than your bank account?

[raiders72001]

Blockchain.info even allows you to block Tor IP addresses.

[FlipsideRM]

How long does a deposit from bank to Bitcoin wallet usually take?

[Russian Rocket]

But the code changes every time you try to open your wallet. The other thing with your wallet is that you can add IPs allowed.

In essence, how are bitcoin wallets less secure than your bank account?

That's right the code changes every time...that's why they don't need you, if they already have access to your phone...you can be sleeping while they've generated a new code and copied from your phone.
Adding allowed IPs is a good way to protect your acct.

But to give you an example on why Bitcoin acct is less secure, than your standard bank acct. The simplest example of them all would be, if for example someone who works say for Coinbase and has access to the database of bitcoin accts and personal info, goes rouge and copies the entire access file with personal info, ph#, email addresses...etc. And then logs in into your acct and simply sends all of your Bitcoins to various addresses, you as a general user won't be able to do anything about it. You simply won't get your coins back. You can't call the bank, going to police won't help, your acct is not insured and there is no way to ever confiscate those coins and return them back to you.

[raiders72001]

That's right the code changes every time...that's why they don't need you, if they already have access to your phone...you can be sleeping while they've generated a new code and copied from your phone.
Adding allowed IPs is a good way to protect your acct.

But to give you an example on why Bitcoin acct is less secure, than your standard bank acct. The simplest example of them all would be, if for example someone who works say for Coinbase and has access to the database of bitcoin accts and personal info, goes rouge and copies the entire access file with personal info, ph#, email addresses...etc. And then logs in into your acct and simply sends all of your Bitcoins to various addresses, you as a general user won't be able to do anything about it. You simply won't get your coins back. You can't call the bank, going to police won't help, your acct is not insured and there is no way to ever confiscate those coins and return them back to you.

I'm just asking about extremes here since I don't know. Can you set your IPhone or Computer to fingerprint only?

[Russian Rocket]

I'm just asking about extremes here since I don't know. Can you set your IPhone to fingerprint only?

Yeah I understand...most of the times the most extreme scenario is also the easiest one to pull.
You CAN set your iPhone to fingerprint only access (TouchID). But also make sure to never leave your device unattended for long periods of time and don't let anyone borrow your phone to make the call or text.

[Russian Rocket]

How long does a deposit from bank to Bitcoin wallet usually take?

The bank transfer typically takes 3-5 business days to complete

[KVB]

...Adding allowed IPs is a good way to protect your acct...

So the wallet can ignore every IP except allowed ones? Is this easy to change?

...3. Wallets are safe and only controlled by you. Wallets are different than exchanges such as Coinbase and Circle. A wallet, such as one at blockchain.info, does not care who you make transactions with and won't ask...

Do the exchanges have consistent IP’s? In a sense, by adding only allowed IPs, the wallet does care who you make transactions with, right?

Signed,

Curious in Cali.

[raiders72001]

The bank transfer typically takes 3-5 business days to complete

and purchases are instant with a credit card.

[raiders72001]

So the wallet can ignore every IP except allowed ones? Is this easy to change?



Do the exchanges have consistent IP’s? In a sense, by adding only allowed IPs, the wallet does care who you make transactions with, right?

Signed,

Curious in Cali.

Here are the choices at blockchain.info

Enable API Access

Check the following option to allow access to this wallet through the wallet API.
<label class="control-label" style="font-weight: bold; display: block; margin-bottom: 5px; float: left; width: 140px; padding-top: 5px; text-align: right;">Enable / Disable:</label>

<input id="api-access-enabled" type="checkbox" style="margin-right: 0px; margin-bottom: 0px; margin-left: 0px; font-size: 13px; vertical-align: middle; font-family: 'Helvetica Neue', Helvetica, Arial, sans-serif; width: auto; max-width: 270px; cursor: pointer;">

Block Tor IP addresses

Enable the following option to prevent ip addresses part of the Tor network from accessing your wallet.
<label class="control-label" style="font-weight: bold; display: block; margin-bottom: 5px; float: left; width: 140px; padding-top: 5px; text-align: right;">Enable / Disable:</label>

<input id="block-tor-ips" type="checkbox" style="margin-right: 0px; margin-bottom: 0px; margin-left: 0px; font-size: 13px; vertical-align: middle; font-family: 'Helvetica Neue', Helvetica, Arial, sans-serif; width: auto; max-width: 270px; cursor: pointer;">

IP Address Whitelist

The whitelist is a list of trusted IP Addresses that are allowed to access your wallet via the merchant APIs and bypass certain security restrictions. You will still be able to access your wallet from other ip addresses however the connecting device must be authorized by email.
Multiple ip addresses should be comma separated. Use % as a wildcard. For example 127.0.0.% to whitelist
<label class="control-label" style="font-weight: bold; display: block; margin-bottom: 5px; float: left; width: 140px; padding-top: 5px; text-align: right;">Whitelist:</label>

<input id="ip-lock" type="text" style="margin: 0px; font-size: 13px; vertical-align: middle; line-height: 18px; font-family: 'Helvetica Neue', Helvetica, Arial, sans-serif; width: 270px; max-width: 270px; height: 18px; padding: 4px; color: rgb(85, 85, 85); border: 1px solid rgb(204, 204, 204); border-radius: 3px; box-shadow: rgba(0, 0, 0, 0.0745098) 0px 1px 1px inset; transition: border 0.2s linear, box-shadow 0.2s linear;">Multiple IP addresses should be comma separated.

<label class="control-label" style="font-weight: bold; display: block; margin-bottom: 5px; float: left; width: 140px; padding-top: 5px; text-align: right;">Current IP:</label>

Restrict To Whitelisted IP Addresses Only

Enable this to restrict access to your wallet to only IP addresses listed in the whitelist. You will not be able to login or access any API's from any computers not on the specified network however the mobile apps will continue to function once paired.
<label class="control-label" style="font-weight: bold; display: block; margin-bottom: 5px; float: left; width: 140px; padding-top: 5px; text-align: right;">Enable / Disable:</label>


<input id="ip-lock-on" type="checkbox" style="margin-right: 0px; margin-bottom: 0px; margin-left: 0px; font-size: 13px; vertical-align: middle; font-family: 'Helvetica Neue', Helvetica, Arial, sans-serif; width: auto; max-width: 270px; cursor: pointer;">

2FA choices: SMS, Yubikey, Email, Google Authenticator.

[KVB]

[Russian Rocket]

Yeah all of those IP exceptions options from Raiders post are great.

And one more thing...since all of the BTC transactions can be traced to a specific address, as a good security practice, it is recommended to generate a new receiving address for every single transaction. This of course applies more to someone who has a large balance and/or does a big volume of transfers.

[gauchojake]

I have been a bit of a contrarian to the whole bitcoin thing, but I decided to give it a try. I opened the wallet and exchange account and linked a few funding methods prior to my test. The transaction took a few minutes from funding the account to transferring the btc to the wallet to sending to the book. It was pretty easy. It reminded me of the good old NetTeller days TBH.

I lost a couple bucks on the transaction from cash >BTC>book>cash but it wasn't really a big deal.

A word of warning - DO NOT DO THIS WHEN YOU ARE DRINKING You will fukk it up.

The downside is that you really have no recourse if you fukk up the address/get hacked/etc. Also the volatility of BTC is a concern which I have voiced before.

All in all not bad.

[jjgold]

good 1st part

I still think safety of the coins is what will continue to scare people

[minet123]

seriously
WTF
3 years to late
you can have hired that math wiz that rebate wager hired and now works at heritage to start a betpoint altcoin three years ago and now you have that Santa Rita practicing dope fiend Loshack acting like betcoins the greatest thing since running water

[Optional]

How would they hack 2FA with text messages?

The most common way is porting your phone number to another carrier.

It's worth ringing your phone provider and asking them to add a password that is needed before your number can be transferred to beat this one.

[Optional]

how are bitcoin wallets less secure than your bank account?

They are way more secure than my banks online banking system.

But the bank will return any stolen funds with almost no questions asked if hacked.

[eidolon]

How about the times where bitcoins are hacked/stolen, how is that safer than a bank?

http://www.zdnet.com/article/bitstamp-bitcoin-exchange-suspended-amid-hack-concerns-heres-what-we-know/

https://www.washingtonpost.com/news/the-switch/wp/2014/02/28/hackers-allegedly-stole-400-million-in-bitcoins-heres-how-to-catch-them/

http://www.newsbtc.com/2015/06/22/scrypt-cc-hacked-large-amount-of-bitcoin-stolen/

https://www.cryptocoinsnews.com/bitpay-hacked-5-000-bitcoins-stolen/