Ballet has the upcoming Bitcoin Cash fork covered

Bitcoin Cash is set to undergo yet another fork. The lead developer of Bitcoin Cash BCH issued the following statement of intent to implement a controversial change to the BCH network consensus rules:

“The Coinbase Rule improvement is as follows: All newly mined blocks must contain an output assigning 8% of the newly mined coins to a specified address.”

The purpose of this 8% tax on all newly-mined BCH coins is said to be for funding the development and maintenance of the Bitcoin Cash infrastructure. But a large segment of BCH users do not support this new tax, and they are expected to reject the update that will introduce this change. Attempts to find a peaceful solution to this problem have failed. The update is scheduled to be implemented on November 15, 2020. At that time, a fork will occur. The network will split between those BCH users who have implemented the update and those who haven’t. As a result of the network split, there will be two different versions of the BCH blockchain, and each BCH holder at the time of the fork will own coins on both blockchains.

Bitcoin Cash itself was created by a fork of Bitcoin on August 1, 2017. That was also the result of a failure to agree on a change to the Bitcoin network consensus rules. One faction wanted to implement an upgrade called Segregated Witness, while the other faction wanted to prevent it. Neither side backed down and the fork occurred. Whoever held BTC at the time of the fork automatically controlled an equal number of coins on the new Bitcoin Cash network (BCH). This new conception of cryptocurrency creation and issuance became known as a “crypto-dividend” or “airdrop.” It kicked off a new phase in the unrelenting march toward the democratization of money printing. Following Bitcoin Cash came Bitcoin Gold and numerous other forks.

In 2018, Bitcoin Cash was forked, resulting in a new network called Bitcoin Cash SV (BSV). Whoever held BCH at that time automatically controlled an equal number of new BSV coins. When Bitcoin Cash forks yet again in November 2020, the same thing will happen. Whoever holds BCH at the time of the fork will automatically control an equal number of coins on the new blockchain. One of the two networks will need to use a new name and ticker symbol to distinguish it from the other. It is an interesting question to consider which of the two branches of the fork is the original and which is the new, and which exchanges, if any, will list the coins.

Whenever a coin is forked, holders of the coin automatically control coins on the new fork branch through the same private key. But if your coins are on a custodial exchange, not in your own wallet, then you cannot have full assurance that you will be able to access the new fork coins that are rightfully yours. The custodial service may decline to support the new blockchain, and you would have no recourse to take possession of your coins and sell them, as should be your right.

One of the most valuable capabilities of a physical cryptocurrency wallet like Ballet is that users have full control of their own private keys. When a fork or airdrop occurs, Ballet wallet users automatically have full possession of the new coins created. The Ballet Crypto app makes it easy to access and move these new coins, and we are committed to support every fork and airdrop for which there is sufficient interest and technical stability. With most other software and hardware wallets, the process of extracting newly-created coins from forks and airdrops is complex and risky. Many people have lost significant funds when attempting to access the new coins from forks and airdrops. So if you are not an expert, a Ballet wallet is the best way to securely store your cryptocurrency while maintaining the ability to safely and easily access your future crypto-dividends.

If you have coins in another crypto wallet that doesn’t support a new fork or airdrop, you can use the Ballet Crypto app to conveniently import that wallet and all the accumulated crypto-dividends that we support to another wallet of your choice. Then you are free to use, trade, or sell your new coins as you wish. The entire process of importing a wall can be completed in only a few minutes. The way Ballet handles blockchain forks and airdrops for our customers is yet another reason why we believe Ballet products offer the EASIEST method of cryptocurrency cold storage.

Not investment advice

Celebrating Ballet’s Customers (and Announcing Selfie Contest Winners)

Until Bobby Lee founded Ballet in 2019, the concept of a physical, non-electronic cryptocurrency wallet designed for the mainstream market had not occurred to anyone. Based on his extensive experience in the industry, Bobby came to understand the major difficulties for ordinary, non-technical people to acquire and store cryptocurrency. Devoted crypto users often take for granted the fact that using cryptocurrency securely is not easy for mainstream people who don’t have knowledge of computers. To address this unmet need, Bobby invented the cryptocurrency cold storage product now known as the Ballet REAL Series wallet.

In early 2019 Ballet raised 3 million dollars in seed round financing led by Ribbit Capital, a Silicon Valley venture capital firm that has invested in Coinbase, Xapo, Robinhood, and other notable fintech companies. Since then, after a lot of hard work and iteration, our vision of bringing an easy, safe, reliable cryptocurrency storage solution for the mainstream market has become a reality. 

We are proud of the progress we have made. Ballet physical wallets have been sold to customers in 90 countries and they currently secure more than 21 million dollars worth of cryptocurrency in aggregate. These data points clearly show growing use and trust in Ballet. We strongly believe that these positive trends will continue as the ongoing Bitcoin bull market gains momentum.

In 2020 Ballet launched additional product lines to supplement the flagship REAL Series. The PRO Series, with customized BIP38 passphrases and triple backup, was designed for advanced cryptocurrency users. The Bitcoin Block is a rare collectible for elite Bitcoin investors. The REAL Pizza Series is a stealth wallet – it doesn’t have any words or symbols identifying it as cryptocurrency-related. Third-party cryptocurrency exchange service has been integrated into the Ballet Crypto companion app. And there’s much more in the pipeline.

None of our progress would have been possible without our generous customers being open minded and giving Ballet a chance. To you early adopters, we offer our sincere gratitude. We will continue working to meet and exceed your expectations, and ensure that you always have peace of mind about your cryptocurrency holdings.  

Not only are Ballet customers geographically and culturally diverse, they are passionate about Bitcoin and actively promote it in their communities. Our recent selfie contest garnered over 100 submissions from around the world. You can see their wonderful smiles reflect the excitement and optimism we all feel as we live through this financial revolution.

The winners of the selfie contest ($3,000 worth of BTC prizes) are:

First prize: Dan — Indiana, USA

First prize: Sebastian — Hawaii, USA

First prize: Bello — Abeokuta, Nigeria

Second prize: Mike — Toronto, Canada

Second prize: Cory — Illinois, USA

Second prize: Babao — Jieyang, China

Third prize: Kyle — New York, USA

Third prize: C. — Florida, USA

Third prize: P. — Innsbruck, Austria

Third prize: Jimoh — Ilorin, Nigeria

Third prize: Matthieu — Shanghai, China

Bobby Lee’s hacking challenge

Having just surpassed the milestone of 21 million dollars worth of cryptocurrency secured by Ballet wallets, Ballet CEO Bobby Lee has issued a hacking challenge to demonstrate confidence in the security of Ballet’s two-factor private key generation process. As an incentive, he has put 2 BTC at stake for anyone who can crack a REAL Series wallet.

Ballet two-factor private keys are generated using the open-source BIP38 protocol. Each Ballet wallet contains an encrypted private key and a corresponding passphrase, and both pieces of information are required in order to spend any of the coins stored on the wallet. BIP38 was created by some of the leading Bitcoin developers and has proven to be safe for many years.

In this challenge there are two Ballet REAL Series wallets that have each been loaded with 1 BTC by Bobby Lee. Each wallet has one of the two components of the private key exposed – the tamper-evident sticker concealing the encrypted private key has been removed from one and the scratch-off material concealing the passphrase has been removed from the other. 

In order to win Bobby’s BTC, you simply need to take the coins. Given the BIP38 encrypted private key, can you find the passphrase? Given the passphrase, can you find the encrypted private key? You can use brute force computation or any other method to crack a BIP38 two-factor private key. This challenge will remain open until at least August 2021.

You can track the status of the challenge here: https://www.takebobbysbitcoin.com/

Special discount sale

In order to celebrate the milestone of 21 million dollars worth of cryptocurrency secured by Ballet wallets, we are pleased to announce a special, limited-time offer for all Ballet REAL Series wallets (BTC, LTC, ETH, and XRP versions available; normal price $35). From now until August 6, you can get a discount of up to 30% on all REAL Series wallets, depending on purchase quantity: 

1 or 2 wallets = 10% discount

3 to 5 wallets = 20% discount

6 or more wallets = 30% discount

To take advantage of this fantastic deal, go to: https://bobbylee.com/collections/all

Ballet selfie contest: win up to $500!

Ballet recently passed a major milestone – 21 million dollars worth of cryptocurrency secured by Ballet wallets. In celebration of this achievement, we are holding a photo contest to give away $3,000 worth of Bitcoin.

How to Play

1. Take a selfie photo that includes you and an interesting/beautiful/cute background. You can hide the deposit address in your photo to protect your privacy and you can wear a face mask.

2. Email a selfie of you and your Ballet product with a scenic/interesting/cute background to marketing@balletcrypto.com or tweet/DM us or post in the Ballet Telegram group.

Contest Period

The selfie contest will begin at 3 AM UTC on July 30th, 2020 (8 PM Pacific Time on July 29th, 2020), and will end at 3 AM UTC on August 6th, 2020 (8 PM Pacific Time on August 5th, 2020). 

Winners will be announced at 5 AM UTC on August 8th, 2020 (11 PM Pacific Time on August 7th, 2020).

Prizes

1st prize (3 winners) – $500 worth of BTC 

2nd prize (3 winners) – $300 worth of BTC

3rd prize (3 winners) – $200 worth of BTC

Rules

1. All submitted photos must include a clear shot of one or more Ballet wallets. You can choose to cover up your wallet’s QR code for privacy reasons, if you would like. 

2. All images must be at least 2,048 pixels wide. Each submission should include information about the general geographic area where the photo was taken, and a caption if you have one.

3. By submitting a photo in this contest, you grant Ballet a royalty-free, nonexclusive right, in perpetuity, to use the photograph for marketing purposes.

4. Prize winners may not request a cash substitute for the BTC awarded as prizes in this contest.

5. Maximum 5 photo submissions per person. 

6. Participants must have taken any photo they submit or they must have the rights to submit it. By submitting or tweeting a photograph, participants guarantee that the photograph does not infringe on the copyrights or intellectual property of a third party.

7.      In order to ensure the fairness and integrity of the contest, Ballet may decide, in its sole discretion, to disqualify individuals from participating, change the number or amount of prizes, suspend the contest, or otherwise interpret the rules of this contest as it sees fit. 

21 million dollars of assets secured

Today we are proud to announce a major growth milestone for our company. There are now over 21 million dollars worth of cryptocurrency secured by Ballet wallets. This milestone was achieved only 9 months after the Ballet REAL Series was launched in October 2019. That makes Ballet one of the fastest growing wallet services worldwide. 

Ballet’s flagship product is the REAL Series physical cryptocurrency wallet. It’s the world’s first non-electronic cryptocurrency wallet with multicurrency support. It was specifically designed to provide the ideal balance of security and usability for new cryptocurrency users. Ballet wallets are ready to use right out of the box; no computer setup, no recovery seed phrases, no passwords or pin numbers, and no KYC required. They are constructed of stainless steel for high durability, and elegantly crafted. 

In addition to the physical Ballet wallet itself, there is a companion app called Ballet Crypto that provides a number of useful functions. You can monitor and organize all of your Ballet wallets, see their transaction history and aggregate value in real-time, exchange currencies within your wallet, automatically sweep funds from private key seed phrases into your Ballet wallet, and more. We are building a rich software ecosystem to support and enhance the Ballet user experience, and this is just the beginning of our vision.

The 21 million dollar milestone is an affirmative sign that trust in Ballet and recognition of the unique utility of non-electronic cryptocurrency wallets is growing. It may not seem like a big number, but the amount of value locked up in Lightning Network channels is only 11 million dollars. Although Ballet wallets and Lightning Network exist for very different purposes, the comparison offers a sense of scale. As we move forward, our foremost priority is to maintain the trust that our users have placed in us. Devotion to security is deeply embedded in the DNA of our company, and it always will be.