bc simulator debunk

I will start with the first page on onecoinscam.info and it is titled:

[size=200][url=http://onecoinscam.info/blockchain-simulator/]OneCoin Blockchain Simulator[/url][/size]

Ok so we see that someone made the whole diagram of every aspect of Onecoin and Onelife technology.
We can see left (green) side that represents complete flow diagram of onelife back office functions and on the right (red) side they made complete diagram of alleged "blockchain simulator"
[img]http://onecoin-debate.com/haters/OneLifeArchitecture-v5.jpg[/img]

A smart man would wonder, they seem to have access to company's source code right? Well, they do not have the access so all this is their opinion based on knowledge from open source decentralized community. I can download some source code of any open cryptocurrency out there, even bitcoin, make some adjustments, launch my own cryptocurrency, but in order to be credible and to make people mine my coin I need to put mu code to Github and list on coinmarketcap.com (which by the way is not the real stock exchange, it is just website owned my someone). Also, people will want to see my explorer that needs to show ALL transactions inside blockchain and also I need to be able to browse every single transaction that is recorded in my blockchain. Only by providing all that I can be credible PUBLIC decentralized cryptocurrency. And that is true and ok by me.

Thing is, Onecoin is NOT public nor decentralized cryptocurrency. It is a private company that is launching its private cryptocurrency shaped by its own regulations. No speculations are possible. The same as people demand ALL INFO (code on Github, explorer, list on coinmarketcap.com) for public networks in order to join mining and later, trading, in private cryptocurrencies, possible users must trust in company's vision. Since one of the main foundations of cryptocurrency and blockchain technology is to make an alternative to the banking system and remove trust we need in central entities  (banks), decentralized cryptocurrency community does not recognize the possibility of private centralized cryptocurrency.
Someone who only learned the definition of cryptocurrency self-issued by bitcoin community would also agree that centralized cryptocurrencies are not possible. Until they learn problems that decentralized cryptocurrencies bring with them and how centralized systems actually solve all that. The only issue: trust in one entity is only needed in the early stage of creation where Onecoin is right now. Later they will anchor its blockchain to the public network making an ultimate trust that company will not alter any block.

Since Onecoin is in the early highly trust-sensitive state, many non-believers emerged with their own "proofs and opinions" that Onecoin is fake.

So how can I actually explain this "Blockchain Simulator" page and all text inside it.

I will quote some paragraphs from there and make my answer bellow it.

[quote]Note the “wall” between the Member accounts on the left and the Blockchain Simulator on the right. Whatever the transaction type you execute with OneCoins in the OneCoin and Coinsafe Account (Dealshaker purchase, Send OneCoins to Upline/Downline, “Mining”, Convert OFCs, all visible on the left side of the diagram) you will NEVER see a corresponding OneCoin Transaction on the Block and OneCoin Transaction screens (visible on the right side of the diagram).[/quote]

Basically what they are trying to tell us is that there is onelife back office on one hand and there is "blockchain simulator" on the other side and they are not connected.

First of all, that is not blockchain simulator, that just a term invented by them as their opinion. I will call it back office blockchain viewer.
I must say that this is in no way fully working explorer and the company itself is stating that back office blockchain viewer DOES NOT show ALL the transactions inside blockchain and since Onecoin is private cryptocurrency they are not yet obligated to show all the transactions. That is actually true, because being centralized, people who want to join trust in the company anyway.

So where did those people come up with the idea that they can see ALL transactions in back office blockchain viewer?

Well it is from dr Ruja interview with Udo and Ralf: [url=http://d.pr/v/SvlMF]here is link to exact words that confused them[/url]

So dr Ruja said that "you can see all the transactions inside blockchain if a user sends coin to another user etc".
By "you" those guys thought all members but what she meant is that THE COMPANY can see all of that, she did not refer to "blockchain" as blockchain in the back office.

[b]This confusion led them to waste hours on trying to send coins from one wallet to another and waiting to see that transactions in blockchain viewer. Since they can not see them in any blocks in viewer they decided that there is no blockchain. I think they know that "no all transactions" theory is easily detected as not credible, they went even further trying to identify elements and way of work of decentralized networks inside blockchain toy that shows something. That thing alone does not add up, especially idea of comparing public network to private network does not add up cause public networks are vulnerable to attacks and hacks so many different elements are needed there (public keys, security algorhitms etc). That is not needed in private networks. [/b]

So if we know that is not a real explorer, that is just blockchain viewer that shows some info from the blockchain but not all transactions are shown and that is intentional. Why? The company knows and we trust them to carry all this anyway. But that is NO WAY proof that there is no blockchain.

In fact, I will try to shed my point of view in what is going on.
Let's take [url=https://www.onelife.eu/backend/cryptocurrency/blockchain/block/a15fbeb6671976eede5e96ac48fc2cf42b9edac7954d841324b74c0dab3a4f25]this block for example:[/url]

[img]http://onecoin-debate.com/haters/block%20example%20forum1.png[/img]

We see there are 54 transactions in this block. With a total output of 32 945 709.08400710 ONE.

When we look at transactions below we see that new block first made a reward of 50000 mined OC and later we see some transactions that are around 700.000 OC and are divided into 2 smaller transactions, one really small and one bigger.

Researching public and private networks I came to the conclusion that private blockchain can have treasury accounts where smaller transactions are gathered for confirmations by nodes owned by the company and then released to recipients.
I think right now we can only see treasury account transactions, not small user2user input-outputs.
But I am sure company can see ALL smaller peer2peer transactions and that is also what auditor sees.

[img]http://www.onecoin-debate.com/haters/block%20example%202.png[/img]

So, the conclusion is: they miss understood dr Ruja, they thought she meant that all transactions can be seen in blockchain in back office, they made many tests and failed to see their transactions and they concluded there is no blockchain. You don't come as open source community worker knocking on private closed companies doors and cry how their system is fake because they do not understand crumbs company shows in the front end.

[b]Yet they failed to try to question is it even possible for such company to do such stupid error and how come a multi-billion company can not afford to have a blockchain when any geek can make a cheap fork of any public blockchain. They probably started with some fork of existing blockchains and now there is more effective and faster one that is currently enough for private purposes. [/b]

As we all know there is also the third generation of blockchain ready to hit public use and it will be able to anchor to public blockchains and store digital block stamps (merkle tree root) so users will be SURE that company will not manipulate any transactions in blocks so the only trust we will have to have in the company is not to turn off servers but hey, it will be public company with millions of users and who knows how many investors. We also trust paypal, google and facebook not to do the same too ;)

Now I explained misconception of their claims and what I think is going on, I will quote and answer their key points:

[quote]Our investigators have executed and examined nine types of transactions with OneCoins, see menu option Tests with OneCoin Transactions for a description. Among others, they purchased products via Dealshaker, sent OneCoins to Upline/Downline IMAs, “Mined” OneCoins by submitting Tokens and converted OneCoins into OFCs. They NEVER saw a corresponding OneCoin Transaction on the BLOCK and TRANSACTION screens in the Crypto Currency section of the onelife.eu website.[/quote]

As I already explaind above, your investigators were not informed that is not blockchain explorer and they were never supposed to see all transactions in blockchain viewer in back office.

[quote]Secondly, the vast majority of OneCoin transactions in the Blockchain Simulator Area are nonsensical anyway, for instance:
a. There are transactions with extremely small OneCoin amounts, much smaller than the corresponding value of 1 Token submitted for “mining”.
b. A number of “addresses” are involved in extremely many transactions.
c. A large number of Transactions with amounts with fractions don’t match with the applicable Difficulty Factor.
d. There are wild fluctuations in the total number of transactions per day which don’t match with events in the “real world”[/quote]

This only proves that you do not have access to blockchain itself and code and that you do not seem to be able to understand what is shown based on experience from certain public networks so negation of onecoins system seems to be the only relevant result for you. it did not cross your mind that you simply do not understand something you do not have access to... Private network can have more treasury accounts that have permanent addresses and seems like we only see such cumulated transactions in back office, that is why you can not understand it, cause you do not have real access to it. A total number of transactions are subjected to a number of users sending coins, you can not know what exactly is going on every day.

[quote]Thirdly, if you inspect the transaction history in the OneCoin Account and Coinsafe Account there is not a single piece of evidence that these transactions are related to (i.e. recorded in) the Blockchain:
a. All accounts (OneCoin, Coinsafe, Tokens, Cash, Trading) are connected to the User Name/Account Name that members choose themselves when they create a OneLife account, before the first OneCoin transaction is recorded in the OneCoin Account.
b. OneLife members don’t own a Private Key.
c. OneLife members don’t see a Wallet ID.
d. In the OneCoin Account no Transaction IDs are visible which refer to the OneCoin Transactions in the Crypto Currency section.
e. In the OneCOin Account no Transaction Timestamps are visible, only Dates (however, in the past with the old version of the onelife.eu website, Timestamps were visible in the Transaction History of the OneCoin, Coinsafe, Tokens, Cash and Trading Accounts).
f. No Address of sender/receiver is visible in case of transfers of OneCoin from/to other members or Dealshaker purchases, only the User Name/Account Name of the other member or Merchant.[/quote]

Well, this proves that you being public network experts do not understand benefits of private networks where we do not need most of the security obstacles that are indeed needed in the unregulated public network where it is easy to lose your coins. You seem to not understand that Onecoin is a centralized company, it is like mix of bitcoin exchange and bitcoin blockchain, web front account uses a separate database for account transactions so time in web database and blockchain can not be the same. They depend on time delay in performance of blockchain and time zone difference between nearest nodes and exchange web server. Onecoin indeed has blockchain in totally different time zone than web server for back office.

[quote]On the other hand we have found hard proof of the following events:
a. The first two transactions in the OneCoin Account of a OneLife account we used for experiments have Date/Timestamps which are 9.5 hours earlier than the launch of OneCoin Blockchain Simulator Version 2, i.e. these transactions were recorded long before the creation of the very first OneCoin Block. See screenshot in Tests with OneCoin Transactions.
b. “Mining” OneCoins by submitting Tokens was possible on 1 February 2017 at a point of time when the OneCoin Blockchain Simulator was down for maintenance.
The Date/Timestamps of the two consecutive Blocks before and after these mining transactions show a time gap of 26 hours, 23 minutes, so even if the Blockchain viewer shows only a part of the transactions (which in our opinion would be nonsensical anyway) this is a major inconsistency[/quote]

You seem to think that all info from back office is synced with actual timestamps from blockchain? Do you really think back office front end is stored in blockchain? By that logic, times from bitcoin exchanges would need to match with times from blockchain? Well, now I am starting to think that you are either pretty ignorant or you just put up tech bullshit to try to scare nontech people from Onecoin.
Let me show you one transaction time on my bitcoin wallet from coinmate.io
[img]http://www.onecoin-debate.com/haters/audit-coinmate.png[/img]
[img]http://www.onecoin-debate.com/haters/audit-my%20btc%20transaciont.png[/img]
As you can see times do not match in web account and blockchain, they are not linked, website account back office use a separate database, maybe mysql or whatever, and blockchain records only coin transactions. Meaning, blockchain is not account-centric, there is another database for that, blockchain is only coin-centric. Web database and blockchains might be on different time zone locations. That is probably the reason why they removed times from back office so you rats could not use it for your crap cause most people will not know that the same happens with bitcoin exchanges and transactions.
Also, if it is possible to submit tokens into mining while blockchain viewer is down, that only means that there is a blockchain running somewhere and that this blockchain viewer in back office is just a toy, a viewer for people that would like to see some things that are going on in the blockchain. By no means, you can see actual blockchain and if you can not see blockchain there that is no way proof that there is no blockchain.

[quote]In our opinion this all is irrefutable proof that the OneCoin “Blockchain” is a fake simulator and that OneCoin is not a cryptocurrency[/quote]

On this we agree, this only is your personal OPINION based on ignorance, not being able to hear and understand what had been said, and you actually used a toy in back office to make a serious investigation that requires real explorer. Sorry, back office blockchain viewer is a toy and can not be used for any investigations. It can be only used for playing around, which is just what you did.

[quote]
For an extensive investigation of the characteristics of the OneCoin Simulator we used an automated tool (Selenium IDE, a Firefox plugin) to browse through the Blockchain screens and save relevant Block and Transaction data.

REMARKS

You may try to download this 615 MB file at your own risk (WARNING: IT TAKES A LOT OF BANDWIDTH!!!) from: Dropbox – OneCoin Transactions Oct 2016 – May 2017
The file is too big to be viewed with Windows software like Word, Notepad, Excel, Notepad++
Depending on the specs of your computer, EditPad Lite 7 might be usable. Download link: Free Download for Personal Use[/quote]

I am still trying to understand what kind of no lifer would sit and download 250.000+ pages of data from back office web toy...

[quote]
Explanation of Transaction data format
After the line with the Block data follows one line for each Transaction in the Block, starting with “TXID: “.
The second item on each Transaction line is the TransactionID, which can be used in a hyperlink to see the Transaction data screen. If you put the TransactionID behind:

https://www.onelife.eu/backend/cryptocurrency/blockchain/tx/
… the result is a direct hyperlink of the Blockchain Simulator screen with the Transaction data. The complete hyperlink of the Transaction in Genesis Block #0 is:

https://www.onelife.eu/backend/cryptocurrency/blockchain/tx/f6346514762d370a8771d2426d36e3fee50c25986ad10170eb5fa4589c72d1c1
The TransactionID is followed by one or more combinations of Input/Output Address and OneCoin Amount, separated by spaces.

Remark: this format does not show the difference between Inputs and Outputs, so if a Transaction contains three or more Inputs/Outputs, the meaning of the data can be ambiguous. In some cases the meaning can be derived by comparing  Amounts, in other cases the Transaction must be checked on the TRANSACTION screen.[/quote]

More proofs that you do not understand how this actually works. You do not understand if they are treasury account transactions and public networks do not have such thing. You seem to impose your personal opinion what COULD be just because you have no understanding how it actually works. This would be the same as trying to guess how banks IT system works. And you give yourself credit just because you ASSUME that onecoin works or it was supposed to work like other decentralized networks. Ignorance is bliss.

[quote]
We imported the Block data into an Excel spreadsheet to gather statistical data, for instance calculations of the daily number of OneCoin Transactions.
In a different worksheet we made a summary of the daily totals.
Based on these daily summary data we made a graph, which shows the total number of OneCoin Transactions on each day in the period 1 October 2016 up to and including 31 May 2017. Each vertical bar in the graph below represents one day.
Note the nonsensical wild fluctuations in these daily totals which have no relationship whatsoever with real life events in the OneCoin/Onelife ecosystem:[/quote]

I am amazed by ignorance... Ok so here you imported outputs of blocks and made a graph that shows number of onecoins in circulation every day and you think that makes no sense that some days there is like tens thousands of coins in circulation and some days there are millions? Why does that make no sense? Sometimes people send fewer coins to other usernames, sometimes more.
This ignorance of yours seems to be produced from bitcoin experience where circulation is more stable but you do not understand why. Bitcoin price is artificially inflated because each day there are hundreds of transactions of flowing altcoins into bitcoin where bitcoin value goes up or flowing bitcoin into some ICOs where bitcoin price drops. There is no speculation in onecoin, it is closed and private and people sometimes send less, sometimes more. Period.

[quote]Characteristics of Blocks
Each Block contains one, and only one, so-called “coinbase transaction”. This is a Transaction with no INPUTS and only one OUTPUT of 50,000 newly “mined” OneCoins which is the reward for the “miners” (this OneCoin mining process is completely fake though).
Note: the only exception to this rule is the “genesis” Block with Height (= sequence number) #0. The Output Amount of this Block is 1,986,580,000 ONE.
A Block can contain 0, 1 or more “OneCoin Transactions” which use Unspent Transaction Outputs of earlier Blocks as Transaction Inputs and create new Unspent Transaction Outputs.
A Block can contain 0, 1 or more “KYC Transactions”.
Blocks are created at intervals of one minute at an average, with deviations of only a few seconds.
All Blocks make up a continuous chain (hence the term “Blockchain”), connected by previous block and next block(s) hyperlinks.
It is possible that some cryptographic techniques are used in the OneCoin Blockchain Simulator, for instance for the calculation of the Transaction Hash, and for the calculation of the “Merkle Root”, which in real cryptocurrencies is a Hash of the Hash of all Transactions in the Block.
Note: the usage of cryptographic techniques would not really be relevant because all Blocks and Transactions are fake anyway, but we’re still curious about this.[/quote]

This is your description of what you can see on blockchain viewer toy in back office. Most points are correct observing and thus admitting seeing elements of cryptocurrency but you crapped on it at the and by ASSUMING that some cryptographic techniques is used. Come on, are you being professional?
First you describe that on blockchain viewer you see all the elements of cryptography then you say that some form of cryptography technic is used and at the end you say even if any crypto technic is used it does not matter because you think it if all fake?
Who the hell will take you for serious? Well, probably ignorant people that do not understand what you write and of course those who agree with you. So again, one more personal OPINION.

[quote]No “double spends”
Transaction OUTPUTs can be used as Transaction INPUTs in later Transactions only once; so-called “double spends” are strictly prohibited in any cryptocurrency. To check this, a table or list of Unspent Transaction Output / UTXO must be maintained. As soon as an UTXO is used as Transaction Input in a later OneCoin Transaction the UTXO is deleted from this table.

Remarks:
Because combinations of Address and OneCoin Amount are not unique, i.e. the same combinations can occur multiple times in different Transactions, some extra Identification is necessary for the TRANSACTION and UTXO tables in the Blockchain Simulator database to have a unique “key” for each UTXO. This Identification is not visible on screens.
Although all OneCoin Transactions in the Blockchain Simulator section are fake, it is worth noticing that during our investigations we have never detected a double spend.[/quote]

While double spend is prohibited in cryptocurrencies some hackers did make a way to double-spend bitcoins intentionally and also it can happen unintentionally. Here is list for bitcoin: https://blockchain.info/double-spends but since it is only 10 min cache, sometimes there is 0 so here is a screenshot as a proof of double spends in bitcoin:
[img]http://www.onecoin-debate.com/haters/btcdoublespends.png[/img]

So what is a problem if onecoin does not have double spends? Public networks have better regulation and security so you can not manipulate your public key to make intentional double spend. Bitcoin must go through segwit in order to solve that issue but Onecoin made it impossible from the start. You do not need to enter wallet ID or use keys because usernames are unique and you can not double send or spend the same coins and also this way of payment makes it much easier for users to remember their usernames than keys and addresses. Centralized system security makes it possible. You would not know that being decentralized dinosaur.

[quote]Characteristics of OneCoin Addresses
A OneCoin Address, or in short Address, is an identifier of 34 alphanumerical characters, always beginning with the number 9, that represents a destination for a OneCoin Transaction or “payment” in the Blockchain Simulator.

Interesting finding: we checked about50 randomly selected OneCoin Addresses on http://lenschulwitz.com/base58 and we found that they all pass the so-called Base59Test. This a validator of Bitcoin addresses, it looks like the OneCoin Addresses also use Base58 Encoding. The screenshot below shows the validation of the Output Address of the Transaction in genesis Block #0: 9UHVMKSB8xdgzjY5X82gC5An4NiupfiUE5

Note: For OneCoin Addresses the validator gives a warning “Address type: ‘Abnormal’ ” because this website is made to check Bitcoin Addresses which always start with a 1 or a 3, while OneCoin Adressess always start with a 9.[/quote]

God knows your point here. You used bitcoin (open system that you have access to) address checker to try check onecoin addresses that are part of central system that you do not have access to...

[quote]Diagram of OneCoin Transaction types
This diagram contains a summary of the data of four Blocks and seven Transactions which exist in the OneCoin Blockchain Simulator. By means of these data we explain some concepts and terms[/quote]

Since you do not have full access to blockchain, you do not understand what kind of transactions are shown in back office so you can not say anything about transaction types, let alone spend addresses...

[quote]Explanation of the diagram
a. BLOCK #0: the Transaction of this Block sends 1,986,580,000 ONE, which according to Ruja Ignatova were “mined” during the OneLife MasterMind Event in Bangkok on 1 October 2016, to Output Address (starting with) 9UHVMK.
b. In the second Transaction of BLOCK #16041 this Unspent Transaction OUTPUT / UTXO of 1,986,580,000 ONE with Address 9UHVMK  is used as INPUT (see first blue arrow). The Transaction with Transaction ID / TXID 43d938 creates two new OUTPUTs/UTXO:
1,000,000 ONE is sent to Output Address 9ZTji2.
1,985,580,000 ONE is sent to Output Address 9gZYr1.
Now the genesis Transaction OUTPUT of 1,986,580,000 ONE at Address 9UHVMK is fully spent and may NOT be used as INPUT again in later Transactions, so it is deleted from the UTXO table. If it would still be used again, this would be an illegal “double spend” which would make the Blockchain corrupt.
Note: we have checked hundreds of Transaction OUTPUTs and INPUTs and we have never found a double spend.
c. Three Transactions of BLOCK #20519 use three Unspent Transaction OUTPUTs of earlier Transactions (see the three blue arrows) and they each create two new Unspent Transaction OUTPUTs / UTXO.[/quote]

I am trying to understand what do you impose here, I did not see anything double spent here and I searched full addresses not just 6 characters. You seem to refer to some treasury account address being used few times in different blocks (first time in genesis block).
Since you do not have access to blockchain itself you can not understand reasons for that. I think those are treasury account addresses that are permanent.
But, ny opinion is that even if there were some "illegal" double-spends that would maybe be a reason why they are buying third generation blockchain from dxmarkets. Maybe some unintentional double-spends in private network are perfectly normal since they also happen in bitcoin public network, at least onecoin would only have unintentional double spends.
Time to expose double standards from you guys. You seem to yell at incidents from Onecoin blockchain that also happen to bitcoin. The same goes for value overflow incident that also happened to bitcoin. You count to scare ignorant people that have nothing to do with cryptocurrency.

[quote]KYC Transactions
This unique feature to store KYC documents in the Blockchain was announced on 11 June 2016 during the CoinRush Event. The news was repeated when the new Blockchain was launched on 1 October 2016, but only on 27 February 2017 the first “KYC Transaction” was visible in Block #207038.
Apart from the Transaction Id no (encrypted) data are visible. Only a Simple Simon will believe that it is useful to store some encrypted version of a drivers license or passport in a Blockchain. It goes without saying that this feature is complete nonsense however.[/quote]

I can not say for sure what does mean when we see KYC transaction, probably that means when someone gets KYC approved and it gets recorded into blockchain. Why did first kyc transaction appear in February who knows, that does not mean anything. They do not show all transactions anyway.
As for data showed in transactions, do you really think you will ever be able to see any data inside kyc transactions? Let's make onecoin blockchain public ledger of IDs and addresses for millions of people. The company can see those data, not users.


Ok so I went through all points and remarks.

My conclusion is that I was not obligated to make this long post anyway because you made false start to begin with.

You misunderstood that you can see all transactions in back office blockchain viewer. Thus you debunked yourself because that toy is not to be used as any valid blockchain probing. I only pointed that here thoroughly so people will decide.

Also, you are using knowledge and experience from public open source networks that can not be used in checking private networks because systems are totally different since private networks do not need most of the heavy security algorithms.

Sorry, you can not be unix guy and go and test unix stuff in macox terminal cause most of them won't work cause The company made it different for good reasons.