Blasko has some advice for anyone who'd like to try minting a new cryptocurrency. Making your own coin, he says, is the easy part: anyone can clone code from an existing entrant, like Bitcoin, and rename the result — and that's exactly what he did. The hard work is what comes after: making worthwhile changes, building trust, and making it tradeable. Blasko's done the legwork to get his own currency, which he's bravely called "Unbreakable Coin," listed on exchanges like Cryptsy, and is working on his own auction site as well. He's also got an interesting idea for cryptocoin trading cards, and had a few prototypes on hand. (Part 1 is below; Part 2 to follow.) Alternate Video Link
Tim: So, Jim you have a couple of different Cryptocoin related businesses or enterprises that are all going on at once. But I’m going to start out talking about one thing that intrigues me, which is that you have created your own coin, can you talk about how that came to be?
Jim Blasko: Creating UnbreakableCoin?
Jim Blasko: It started off with seeing what was happening out there with other Crypto coins, seeing what was going on. This was about a year ago now. I registered the name a few months before I actually finished the coin. I knew what I wanted to call it. I am a Crestron Control Systems programmer and those are systems that we use here in large houses or casinos and it controls everything, the lights, the security, the cameras, the doors, I mean, the sound, everything is controlled by Crestron these days. So, by taking that experience I have been working with that since 1998 and by taking that experience I said, let’s make our own Crypto coin, let’s use bitcoins core, so let’s call them bitcoin, but let’s modify it a little bit, so that it’s faster, so that it’s bigger, it gives us an opportunity to give the Crypto world a second chance because not everybody got into bitcoin, a lot of people found out about it later and it was like, oh man, so we thought we can do this, I thought at least that I can do this, I always say we because we have a team now and I don’t like to not include my team, my team is great, the Unbreakable team is awesome. But, I thought let’s make this coin and let’s not pre-mine it, let’s give it to the world from day one. So, like I said we took bitcoin, we just cloned it, we made it faster and little bigger and we just said, here it is world, here it is, start mining it.
Tim: When you call it unbreakable, talk about what makes it deserve that name?
Jim Blasko: Well, SHA-256D is the same encryption algorithm that the government uses and it’s pretty much the best thing on the planet, it is unbreakable, even the government says it’s about 10 to 15 years away from being cracked itself and by then they will have improvements to it to keep it from being that, so that’s what bitcoin is based on, SHA-256D, so that’s why I chose that instead of what the Scrypt coin. There are too many vulnerabilities in Scrypt that I don’t like and I saw that, if the government thinks SHA-256D is the best encryption, I think they are probably right, we got a pretty smart group of guys out there.
Tim: If they are telling the truth.
Jim Blasko: If they are telling the truth, but it seems to be, that’s what they send all the mission data over, SHA-256D encryption. So that’s pretty important stuff.
Tim: What kind of background did it take to get into actually doing the program?
Jim Blasko: The Crestron programming?
Tim: I mean, the Bitcoin work.
Jim Blasko: It actually started off with something like a program, it’s a very simple program called QT or Cute and this is where you can open up Bitcoin core, the source code, because Bitcoin is open source, Satoshi Nakamoto encouraged building off of the Bitcoin and so that’s what we did. So you start with that, you open it up, start making modifications recompile, you add your logos and boom! you got the Cryptocoin.
Tim: Is all your development public?
Jim Blasko: I am sorry.
Tim: Is all your development public?
Jim Blasko: Yes, all of our code is open source code just like bitcoin, it’s on GitHub, I am the only person who has actual access to it. So, nobody can go in there and make modifications, they can ask us, how can you commit this and I would like this to be part of your code, but, for right now we are just going to leave it the way it is, we have been asked several times, I have been asked a lot to implement certain things into our code, but I like keeping it pure to Bitcoins core because that is one hell of an unbreakable code, it really is. So it makes sense to call it Unbreakable coin.
Tim: What type of challenges have you come into so far?
Jim Blasko: That is the hardest part about the Crypto world is actually getting people to like bitcoin, getting people to know about it, giving it a purpose.
Tim: More than a hundred of them are out there right now.
Jim Blasko: There is thousands of Crypto coins now. There is only 200 of them exchanged on Cryptsy, Cryptsy.com which is the largest Bitcoin exchanger here in America and we are one of them, which I am very proud of that, all the 1000s and 1000s of Crypto coins out there, they chose us because our code is clean, they checked it, they said it’s easy to work with their systems that they have existing, so they implemented it right away and since then we don’t have a very large market cap yet, still cheap to buy unbreakable coins for those who are selling or wanting to buy it, it’s still pretty cheap about half of penny right now in USD value or about 1200 _____4:47 today which is very low, but that’s going to change, we’re getting out there, the world is starting to know about UnbreakableCoin and there is a team behind it, an actual office behind it, there is a company backing it, there is good developers making products and services that are built around it. So we are trying to expand not just ourselves but Crypto in general and UnbreakableCoin was our way in. So now we’ve got all these other products that we have been releasing coming out like unbreakablecoinauctions.com which is going to become the paid up version for Bitcoinnables.com, the world’s first Crypto auction where you can buy a Bitcoin, bid in Bitcoin, anybody can buy and sell their goods and you can pay, the sellers can continue to accept 100s of Crypto currencies as a payment. So, no more credit card chargebacks, no more problems of that nature, it has become a Crypto only site and that’s just one of the projects. We’re trying to expand it so that everybody can get involved. Now moms and dads and anybody out there who don’t know how to mine, they can sell their old stuff and get some Crypto currency, get Bitcoin for their old goods.
Tim: Yeah, with bitcoin and I think it’s true of any that are built along similar lines, the hardware it takes to actually getting to mining yourself has gotten rather prohibitive?
Jim Blasko: Well, it started with CPU mining before, I heard that, then guys figured out hey, we can make these video cards do the mining, and that was better, but then some very smart people came up with these little ASIC chips and that has just taken the world over, and with any coin like Unbreakable coin we need mining to keep the coin running, no mining it does become breakable because mining is what makes a wallet work, it’s a pattern where everybody has got to be connected together and creating hash and breaking these blocks that allows the block chain to keeping rolling forward, keeps the wallets in sync and the whole system running. So in that sense, yeah, mining is very important. These days it’s gotten easier actually, you’ve got to spend a little more money where you go buy like a computer price device and that’s strictly for mining, but that’s where it’s going and those are not going to stop, we’ve got some new computers that are coming out they’re going to rival that that soon, and they’re just going to always battle back and forth on that.
Tim: It’s a little bit sad though that it’s no longer part of the – I think part of the fun of having Bitcoin as it used to be, and as we knew that in the background where you use these a few CPU cycles actually somehow making your own now.
Jim Blasko: I think with anything this big times like that are short lived, you know the corporations are going to jump in, the corporations are looking at like the Intel, Intel processing company, I think they are looking at how many video cards got sold for Bitcoin miners, and it must have blew their mind, you couldn’t buy a video card here in Vegas anywhere for a while, I mean you go in there to buy a $600 video card it wasn’t on the shelves they came in that morning they were gone that morning.
Tim: It’s an interesting city, there are a lot of Bitcoin related businesses that are here in a relatively small piece of desert.
Jim Blasko: Yeah. Yeah, I think that we are becoming sort of the Crypto capital of the United States here in Vegas, it’s starting to grow into that, you get a lot of techies who are coming over from California because it’s just too expensive to live there, they come here, they live in Vegas, it’s cheaper, they can have their businesses here, it’s cheaper, the taxes here are better, and we are a growing technology state, with the – the gaming never stops, that’s a technology of a monster of its own. And that’s never going to stop and I think we’re going to see Crypto gambling here very soon.
Tim: Can I ask you about that, what’s your prognosis for that? What do you see?
Jim Blasko: It’s going to take one guy to risk it at first, and once he risks it I think the rest of the corporations are out here, because there’s some casinos that are still small privately owned and then you’ve got the corporate casinos the MGMs, these – the MGM is not going to be like the first place to take it, but I think the smaller casino maybe like the D Casino they might take it for gaming at some point, they already take it for food and drinks and – so I don’t think it’s that much different really.
Tim: There is certainly online gambling with the Cryptocoins going on right now.
Jim Blasko: Yeah, that’s still a great area, it’s a very great area, I thought about doing that because I’m in Las Vegas, why not make the Crypto gambling site, it made lot of sense to me.
Tim: One of the few places that it’s at least legally possible.
Jim Blasko: That’s right, I could have legally done it here, but I think it becomes an issue once at least state lines, and if somebody over there in Utah you know decides they will use our Crypto gambling site then it would be a bad thing, so I didn’t do it.
Tim: Yeah, states have been using a geolocation to track down gambling in all kinds of ways.
Jim Blasko: And to be honest online gaming here is suffering, since the big crackdown, there – I think there Ultimate Bet opened up here in Vegas and they just recently shut down, so and that was part of the station casino, that was – it’s a big ring of casinos out here and they couldn’t keep it going.
Tim: Jim, I want you to talk about and not forget is that you’ve got next to you for a couple of cards and I am wondering if you could show those off a little bit and talk about them.
Jim Blasko: Yeah. This is AllStar Crypto these are just prototypes, this is a project that we’re going to try to get you this year and basically it’s like baseball cards, for Crypto currency, and some of the packs will contain like a scratch off card with a private key underneath, that you will be able to import to your wallet, now I thought a couple of people say that’s like lottery and I say that’s not like lottery because it comes in a pack and you don’t know if you’re going to get one and it’s much like baseball cards, or basketball cards anybody who wants a Kobe Bryant autograph card, might go out and buy 10 packs they’re probably not going to get one in pack.
Tim: You could argue they’re gambling too.
Jim Blasko: You could argue they’re gambling too. So to me it’s baseball cards, my father owned a chain of baseball card stores in Florida for a while, he needed to travel the state and sell the sports cards and, so that’s where the idea kind of came from, I know that there is that – let me have a physical product aspect that doesn’t exist with Bitcoin, okay. Nobody really has something physical, now you see these coins being made and stuff like that, but this is a something that I thought all ages could get into younger generation, older generations something they could hold maybe in trade, it’s a whole new aspect, that’s something I hope to release this year, bitcoinables.com which is the auction site for Bitcoin and not for – well that users, sorry, that uses Bitcoin, it’s kind of like eBay, but a crypto version and that’s really kind of our baby right now.