Cryptocurrency is a type of non-tangible I.e. digital currency that is used to purchase good and services online. This currency only exists online. Here’s more about Cryptocurrency you need to know about.
Cryptocurrency or Crypto is an online form of currency that is used to trade for goods or services online or you can also trade them via various applications.Most famous cryptocurrency is Bitcoin that is currently priced at $ 54,3248 as of November 2021. The first cryptocurrency which was started on 2009 was Bitcoin. By Satoshi Nakamoto.
Bitcoin is the first and most popular cryptocurrency. It is most by the market capitalization.
As you know now that what Cryptocurrency is , Let us take other things to consider. Here are the important questions you should know about Cryptocurrency.
- Is Cryptocurrency transactions recorded?
Definitely Yes, Cryptocurrency’s transactions are recorded on a digital ledger known as Block-chain. A Block-chain is a decentralized ledger that records the source or the birthplace of the digital asset. Now you know the meaning of block-chain as well as where the transactions of the Cryptocurrency recorded.
- Should I Invest in Cryptocurrencies?
Cryptocurrency is am good idea to invest if you want to have some exposure to block-chain technology or digital currencies. But due to its high volatility, if you are looking for a safe investment with lower volatility rate, then you can go with other options. As the cryptocurrency are not so much stable, it is also hard to tell whether cryptocurrency have future or not.
- Which are the top Cryptocurrencies in the Market?
As there are more than 14,500 types of cryptocurrencies that is traded publicly. The most famous are 2 – Bitcoin and Ethereum. As of November 2021, the net worth of Bitcoin is more than $1.2 trillion and ethereum is $494 trillion.
- Is Cryptocurrency even Legal?
Yes, as of November 2021 the cryptocurrency is Completely legal in US, UK , Japan and other countries. China has essentially banned the cryptocurrencies and India is also thinking to make it illegal too.
- OK, Cryptocurrency is legal. So how could I invest in it?
That’s the good question. Let me share you the platform for cryptocurrency exchange.
- Coinbase 2 Voyager 3-Blockfi 4-Uphold 5-Kraken
- So how does cryptocurrency works?
If you want to make transactions you should need a wallet for cryptocurrency. Noe, this wallet will provides the address to the block-chain for your funds or balance, You can buy, sell or trade cryptocurrencies using an cryptocurrency exchange.The exchanges which is discussed on point number 5.
- Which cryptocurrency to invest in?
Before investing in any cryptocurrency, you should know the following go to check-
- Who is the owner of the company. An owner which is identifiable.
- Investment, who are the major firms investing in that company? If big firms or people or other companies are investing in it, that is a good sign. See, big investing firms or companies have very strong managements that looks on to the aspects of every stocks or cryptocurrencies to put their chunk of money. They have done their research on the target cryptocurrency and put their money. So take this opportunity to invest on the cryptocurrency.
- Is this currency already evolve or it is in an early stage to evolve and grow.
- Why it is known as block-chain, why not other name?
That’s the good question. See, As you might know that a block is a collection of all your data of transactions. Just like your bank statement. It states that A person John has sent this amount to Nick. Just like this it records the transactions.
Now when a block shares the information to other, it creates a chain by linking one to another.
That is why it is known as Block-chain.
- In which time I can trade?
You can trade bitcoins or any other cryptocurrencies at any point of time in 24 hrs.
So the main aim of cryptocurrency is to fasten the conventional currencies or money by giving the whole power in the hand of the currency holder.
TESLA STOPS ACCEPTING BITCONS
In February 2021, Elon Musk’s Tesla has brought around bitcoins that are worth $1.5 billion. Just after this news, the price of the Bitcoins rose near to 20% in a day. Then after few months, Tesla owner Elon Musk has tweeted that their company will stop accepting bitcoins as a mode of payments as it is being too harsh on environment as their EV’s are environmental friendly.
DID YOU KNOW?
Microstratergy, a company lead by Michael Saylor holds the most number of Bitcoins than any other public company. They have more than 1,05,000 Bitcoins.
So in a nutshell cryptocurrency is in trend right now and new to investment, it also have complications with it. Yes, there is a possibility that you can make lot of money with the cryptocurrency but it is also super risky. The volatility of the Cryptocurrency is very high and it is very risky.