From xLog to Cryptocurrency: A Beginner's Guide to Buying Coins

After using xLog to write a blog, naturally you will become curious about blockchain, and the most obvious question is what token is needed to publish articles? Therefore, as a blockchain novice, I tried to break down the question into several steps and deepen my understanding through practical operations.

  • What is the difference between virtual currency and cryptocurrency?
  • How to purchase cryptocurrency in China?
  • How is cryptocurrency exchanged?
  • Can $CSB be recharged?

Virtual currency and cryptocurrency difference

I always thought that virtual currency and cryptocurrency were different names for the same thing. However, this is not the case.

Virtual currency is a digital currency issued and managed by a central institution or platform, such as Alipay and WeChat Pay.

Cryptocurrency is a type of digital asset that uses encryption technology to protect transaction security and has no central institution intervention, such as Bitcoin.

The difference between virtual currency and cryptocurrency is that virtual currency is issued and managed by a central institution, while cryptocurrency is issued and managed through decentralized technology.

Virtual currency can only be used on specific platforms or systems, while cryptocurrency can be traded and used in a wider market.

Actually, I still don't quite understand, but at least I understand that I need to buy a decentralized cryptocurrency rather than virtual currency.

How to purchase cryptocurrency in China

Since I have decided to buy cryptocurrency, is there a platform that allows me to use Alipay or WeChat Pay, which are commonly used in China, even though it is not allowed in China?

After searching and comparing, I chose to use Binance. Although the installation requires various verifications, such as mobile app, Google Authenticator, and personal identity verification, it is all in Chinese and supports WeChat Pay and Alipay. The authentication process is a bit troublesome, but it becomes smooth afterwards.

Which cryptocurrency should I buy?

For beginners, it is recommended to buy USDT (Tether), which is a type of cryptocurrency that is pegged to the US dollar at a 1:1 ratio. It is issued by Tether company and aims to provide stability in the cryptocurrency market, maintaining a fixed proportion with the US dollar.

The purchase process is relatively smooth.

How is cryptocurrency exchanged

What is the purpose of buying USDT?

Because I saw the MIRA exchange tutorial in the xLog backend. I initially understood that platform rewards or MIRA received from others can be exchanged for USDC through the website, then recharge to Binance, sell it, and convert it into Chinese yuan.

But what I need now is to transfer USDT to MIRA and then exchange it for the CSB token used on the xLog website.

  • Metamask browser extension, which is like a digital wallet, similar to Alipay or WeChat Pay. It allows you to manage and use cryptocurrencies on web browsers.
  • Crossbell and Polygon, they are both Ethereum's extension technologies. Ethereum is the second largest cryptocurrency network, with Bitcoin being the first.
  • Different networks are like different companies. How do you transfer money from WeChat to Alipay? You need a bank to transfer in between, which incurs transaction fees.
  • GAS is fuel, and each transaction requires fuel fees to be paid to miners.

This is what I did:

Withdraw USDT from Binance to the Polygon network, and then transfer the USDT to MATIC on the same network. How to understand? It's like transferring money from one bank card in Construction Bank to another bank card in Industrial and Commercial Bank of China (ICBC) through Alipay.

This step went smoothly. The Metamask Polygon chain received the USDT withdrawn from Binance, and then used the built-in SWAP function of Metamask to exchange USDT for MATIC. This step may encounter an error because MATIC requires a certain initial amount for transaction fees.

How to understand? It's like sending a package from USDT to MATIC. Normally, as the sender, I pay for it. But now the logic is that the recipient needs to pay for the shipping fee, which means that there must be a cash on delivery.

But what if the recipient doesn't have money? It will remind you that the gas fee is insufficient and the transaction cannot be completed.

Alipay doesn't care, so we go to the local bank of Polygon and tell them that both cards are from your bank, and transfer some money from Card A to Card B within your bank. This process does not incur any transaction fees.

There is actually such a service called Polygon Bridge: Bridge Assets from Ethereum to Polygon zkEVM. I want to recharge 1 MATIC from the USDT card, which is a free exchange, but at least 1 MATIC is required. In other words, your USDT card must have at least 0.7 coins to transfer.

It went smoothly. At this point, I have money in both the USDT and MATIC cards of this bank in Polygon, so I can perform operations such as transferring cryptocurrencies using Metamask.

Why do I have to deposit money into MATIC? Actually, I confused MATIC with MIRA. MATIC is a cryptocurrency on the Polygon network, while MIRA is a cryptocurrency on the Crossbell network.

My goal is to deposit money into MIRA and then transfer it to CSB. Fortunately, although MIRA is not listed, it can still be circulated and exchanged.

I can exchange MATIC for MIRA through the Uniswap Interface.

In fact, Uniswap can directly exchange USDT for MIRA. This is a mistake I made, but it is a lesson learned.

The final step is to exchange $MIRA for CSB through $MIRA. This is where things get tricky, so pay attention.

The official xLog exchange tutorial states that MIRA rewards from the platform can be transferred to the Polygon network. I am now doing the reverse operation, exchanging MIRA for CSB. From this official exchange website, I initially understood that since it can be transferred out, it can naturally be transferred in.

In fact, it can be transferred in, but it is still MIRA. Why is that? What is the meaning of this transfer? Preliminarily, it's like receiving a red envelope on WeChat and opening it yourself. The balance remains the same after going around, but these incoming and outgoing records are recorded.

But the logic of this MIRA transfer is a bit confusing. After exchanging MIRA on Uniswap, it still needs to be transferred from the Polygon chain to the Crossbell chain? I haven't tested what will happen if I don't do this step, but I guess that if you don't do this step, you may not truly own MIRA.

After completing this step, you have reached the lowest level of cryptocurrency circulation. There is no way forward unless you go back.

Failed to exchange MIRA for CSB.

Can $CSB be recharged?

The conclusion is that the CSB used in xLog cannot be recharged or exchanged with other cryptocurrencies, not even MIRA on the same Crossbell network.

It's like Crossbell is a university, MIRA is tuition, and CSB is the points obtained by students in the university for scholarships or academic achievements. Tuition cannot be exchanged for points, and points cannot be used as tuition. They are not interchangeable.

Points can only be used for publishing articles, modifying articles, updating configurations, etc. They do not have channels for exchange, recharge, or circulation. The only way to obtain them is through the faucet. When CSB is below 0.02, you can go there to receive "relief funds" for free.

Therefore, in order to circulate, exchange, or withdraw on the xLog platform, MIRA cryptocurrency is used, while CSB is only used as an interactive token for operations. They are two different sets of currencies with different functions.

So for those who are curious like me, you can rest assured that there is no other way to increase CSB except for receiving the minimum "relief funds" from the faucet.

If your CSB is below 0.02 and the faucet is broken and you cannot receive the minimum interactive token, theoretically, you will not be able to publish articles on xLog. Of course, the probability of this situation is very low, but you need to know that it is possible.

The official explanation may support cryptocurrencies in the future, such as using MIRA to pay for gas fees, so there is no need to worry.

As for withdrawing the platform's rewarded MIRA, you can do the reverse operation.

Transfer MIRA out, exchange it for stablecoins through Uniswap, recharge it back to Binance, and finally sell it for cash.

For blockchain novices, understanding to this extent is enough, after all, we are using xLog to write articles, not studying cryptocurrencies on this platform.

Ownership of this post data is guaranteed by blockchain and smart contracts to the creator alone.