Bitcoin (BTC)</strong></a> has evolved since the cryptocurrency's inception, although they are far from popular, with just a few companies active in this embryonic sector.</p>\n<p>Despite the fact that Bitcoin is a necessary good of the digital age, there has been a lot of interest in procedures like pricing <a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-private-key-secret-key/">private keys</strong></a> and protecting them in the form of<strong> physical items</strong>, or looking for ways to make digital assets feel more like traditional <a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-fiat/">fiat currencies</strong></a> by using a physical token.</p>\n<p>For many people, possessing something physical is very appealing and this was the main reason the industry of Bitcoin decided to create the idea of a physical variation. Some people are also intrigued by the idea of the item becoming a collectible object.</p>\n<p>A physical Bitcoin has <strong>three main factors</strong>. Firstly is the development of a physical coin, which in itself does not have a virtual value. Secondly, there is a favorable design of the front side of the coin, but this is only performed for cosmetic reasons. Lastly, the design could be a <strong>basic logo</strong>.</p>\n<p>However, coins that contain an empty, blank side are referred to as blanks. In this scenario, the coin is not loaded with any Bitcoin or Bitcoin addresses.</p>\n<h3>How Can a Physical Item Be Transformed Into Bitcoin?</h3>\n<p>In total, to transform a physical item into Bitcoin, <strong>two components are required</strong>, which are similar to the principle behind <a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-paper-wallet/">paper wallets</strong></a>. The first is the provision of a public key, which is masked from plain sight.</p>\n<p>However, it should be available to the owner whenever he needs it. Based on how the physical Bitcoin is constructed and configured, the <strong>holder can see the public key on the backside in a variety of ways</strong>. This enables him to spend the Bitcoin held on the real coin.</p>\n<p>The second component is the storage of a private key, which is often accomplished with the use of a tamper-proof hologram to provide optimum safety.</p>\n<p>Examples of Physical Bitcoins:</p>\n<ul>\n<li>Casascius</li>\n<li>Alitin mint</li>\n<li>Titan Bitcoin</li>\n<li>Cryptmint coins</li>\n<li>Antana coins</li>\n<li>Ravenbit Satoshi coin</li>\n<li>CoinedBits</li>\n</ul>\n<p>Besides, note that there are <strong>several coins that were never materialized</strong>.</p>","level":"medium","meta_title":"What are Physical Bitcoins? Definition & Meaning | Crypto Wiki","meta_description":"Physical Bitcoins meaning: Physical Bitcoins - A physical Bitcoin is a physical token that has a public key and a private key.","meta_keywords":null,"language":"en","created_at":"2022-03-25T13:24:20.000000Z","updated_at":"2022-05-13T14:32:23.000000Z","preview_url":"https://www.bitdegree.org/crypto/learn/crypto-terms/what-are-physical-bitcoins"},"prevSection":{"id":602,"original_id":null,"author_id":42,"translator_id":null,"title":"What is Public Blockchain?","slug":"what-is-public-blockchain","section":"P","keyword":"Public Blockchain","status":"published","definition":"a blockchain that is fully accessible to everyone.","content":"<p><strong>A public blockchain is a permissionless decentralized platform that can be accessible to everyone.</strong> A blockchain is a <a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-distributed-ledger/">distributed ledger</strong></a> that collects and stores transaction data in the form of blocks. As a result, a blockchain is formed by combining these blocks.&nbsp;</p>\n<p>The <a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-timestamp/">timestamp is a fundamental feature that distinguishes one block from another. Note that, despite being publicly accessible, data stored on the platform cannot be changed once it has been validated.</p>\n<p>A consensus mechanism is used to validate transactions on a public blockchain. There are various types of consensus mechanisms. However, <a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-proof-of-work-pow/">Proof-of-Work (PoW)</strong></a> and <a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-proof-of-stake-pos/">Proof-of-Stake (PoS)</strong></a> are two of the most popular ones.</p>\n<p><strong>In comparison to</strong> <a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-private-blockchain/">private blockchains</strong></a><strong>, a public blockchain provides more transparency and is more decentralized</strong> because anybody can join, and no one has authority over the entire system. Unfortunately, many public blockchains have slow transaction speeds and other scaling problems. Besides, a public blockchain is limited to only a few types of consensus mechanisms.</p>\n<p>However, private and public blockchains also have some similarities. They both store <a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-immutable/">immutable data, rely on transaction <a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-validator/">validators, and their <a href=https://www.bitdegree.org/"/crypto/learn/crypto-terms/what-is-node/">nodes have an exact copy of their ledger.</p>","level":"easy","meta_title":"What is Public Blockchain? Definition & Meaning | Crypto Wiki","meta_description":"Public Blockchain meaning: Public Blockchain - a blockchain that is fully accessible to everyone.","meta_keywords":null,"language":"en","created_at":"2022-03-25T12:15:52.000000Z","updated_at":"2022-10-12T06:12:39.000000Z","preview_url":"https://www.bitdegree.org/crypto/learn/crypto-terms/what-is-public-blockchain"},"currentChapter":"P","currentSection":"what-is-pump-and-dump-pandd-scheme","chapterTitle":"P","readingLevel":"easy"},"url":"/crypto/learn/crypto-terms/what-is-pump-and-dump-pandd-scheme","version":"cdd198d50cbe5c9c21c9329d7c096ffc"}" class="container-fluid d-flex crypto-book p-0">
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Crypto Terms: Letter P

What is Pump and Dump (P&D) Scheme?

Pump and Dump (P&D) Scheme MEANING:
Pump and Dump (P&D) Scheme - a type of deception in which false and misleading positive statements are used to artificially inflate the price of a cryptocurrency.
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Let's find out Pump and Dump (P&D) Scheme meaning, definition in crypto, what is Pump and Dump (P&D) Scheme, and all other detailed facts.

The Pump and Dump (P&D) scheme is a type of fraud when the price of a cryptocurrency is artificially inflated using false and misleading positive statements.

How do P&D crypto schemes work? A group of coordinated cryptocurrency traders targets a certain coin with the goal of artificially boosting demand for the coin. Pump and dumpers target not only a single coin, but also a specific exchange. 

Their goal is to increase the volume of the coin in question, and they usually go after coins with low volumes. As the price of the targeted coin rises, many traders who aren't familiar with it typically fall for it, pushing up its demand and price. 

This coordinated move is frequently repeated in the reverse direction later, with the organizers exiting the market after a certain price goal is accomplished. Usually, this results in a sharp decline in the price of the coin, which leads to significant losses for traders who were uninformed of the scam and purchased the currency based on unreasonable and false expectations.

Traders that participate in P&D schemes usually use communication platforms like Discord and Telegram to coordinate their actions. P&D scheme organizers are typically the ones who stand to earn the most at the expense of traders who bought into their lies.

According to the research from crypto data firm Chainalysis, in 2021 P&D schemes took in more than $2,8 billion worth of crypto.
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