If cryptocurrencies are unknown space for you, but you’ve heard that you can make good money on them. Then some tips will be useful for you.
We will tell you how dangerous investments in bitcoins are, how to choose an asset, and where to start.
What is crypto?
Cryptocurrency is a virtual money, which does not have a physical expression. The unit of such currency is “coin.” A feature of the monetary unit is protection against forgery because it encrypts data that can not be duplicated. The key feature of the cryptocurrency is the absence of any internal or external administrator.
This exchange currency, protected by particular methods of data encryption — cryptography. Cryptocurrency can only be paid on the Internet.
Turnover of the currency occurs through a single network consisting of different independent computers.
You can buy different goods or services on the bitcoins, and it can be exchanged for real money.
Everyone can create their own analog of the cryptocurrency.
Is it worth investing in cryptocurrencies?
Today, cryptocurrencies are considered to be one of the best investment instruments. Why so?
Growth in value. Most currencies are rapidly becoming cheaper, and a lot of people are in search of ways to hedge their capital and turning it to cryptocurrencies.
Technologies. Cryptocurrencies are based on stunning solutions that allow using of currency anywhere in the world. Unless the government has decided to ban it.
History of growth. Since the creation of bitcoin, investors have benefited greatly from the growth of its price. Thus, investing in assets related to blockchain gives an opportunity to improve the financial situation.
How to start investing?
Decide what you want to invest in. Since there are more than a thousand types of bitcoins, this choice is very important. Set aside funds for investment. Any investment requires planning, and you need to decide how much you would like to invest in crypto assets and how repeatedly — weekly or monthly. Set aside the amount for this purpose and wait for an excellent opportunity. Create a wallet. The address of such a wallet allows you to request and receive purchased coins. There are different types of wallets — each for its own blockchain. Register on the exchange. Trading takes place on stock exchanges, and there are a lot of them. E.g., Coinbase, HitBTC, Bitfinex, Bittrex, BitstamP, etc. Buy the chosen bitcoin. It’s time to buy, after creating an account on the exchange.
Wallet for cryptocurrency
You are capable to store the bitcoin on special electronic wallets. To date, there are several dozens of different wallets. Some of them are installed on a computer/phone, others work online. That is, through some site on the Internet. Finding best crypto wallets on the web is easy.
Purchase and sale and transfers of blockchain are carried out either directly through transfers between the owners of wallets or through special exchangers.
Due to its popularity, bitcoins can now be paid in many online stores and even in ordinary stores.
You can even issue a payment card attached to your crypto-wallet. Such a card can be used in any store or ATM. Conversion from bitcoin into ordinary money will automatically take place at the current exchange rate.
If we have a wallet with bitcoin, we can issue a card tied to the balance of this wallet. With this card, we can go to a regular store and buy sausages, bread, and milk. Well, or something more significant.
If you do not see how to do this, contact the support team, and they will be happy to help you. Transfer coins to offline storage. Autonomous storage allows you to save funds from hacking.
Note that investing in cryptocurrency is considered risky, and when making a decision, you will have to conduct your research.