LEARN HOW TO INVEST IN (CRYPTOCURRENCY)
CRYPTOCURRENCY
In the modern world people says that 'time is money'. Most of the world is introduced to new technologies which makes things easier and saves time. What if I told you there is a digital currency or better known as crypto currency, it's a digital/virtual currency that let you buy goods and services, or trade them for profit.
What is cryptocurrency?
Crypto currency is form of payment that can be exchanged for goods and services. Many companies provides currencies to users known as tokens which can be used for trading goods and services of the company. Cryptocurrency system that allow for secure payment online which also makes it safer to use and harder to counterfeit and is also not regulated by any central bank or government. Cryptocurrency works using a technology called blockchain, that is centralized technology spread across many digital device.
What is the worth of cryptocurrency and their growth?
More than 10,000 different cryptocurrencies. The worth of cryptocurrency according to coinmarketcap.com and The cryptocurrency market size is expected to grow from USD 1.6 billion in 2021 to USD 2.2 billion by 2026, at a CAGR of 7.1%.
HOW TO USE CRYPTOCURRENCY?
You need an crypto trading app which is available in your country.
1. Make an account
2. Link your wallet with you account
And boom you are ready to trade your real money with your cryptocurrencies . After the account is created now you can use it effectively and make money of your dreams. The job is not done yet.
1. Decide what type of cryptocurrency you want. There are many different cryptocurrencies out there.
2. Choose a better cryptocurrency exchange available in your country.
3. Place your order for cryptocurrency. Typically you'll specify the type of cryptocurrency you want and add the amount of 'coin'.
WHAT MAKES CRYPTOCURRENCY DIFFERENT FROM TRADITIONAL CURRENCY?
To understand the difference you might need to understand 2 basic components : blockchain and cryptography
BLOCKCHAIN is digital board of transactions that records information which makes cryptocurrency more reliable and difficult for someone to HACK. UNLIKE traditional currency there is no central authority overseeing blockchain. The data is stored in form of 'blocks'.
CRYPTOGRAPHY codes the blockchain also known as hashes. The conversion of blockchain into hashes is known cryptography which makes it secure.
WHAT IS CRYPTOCURRENCY MINING?
When a new transaction is made it get adds a new block into blockchain, this process is called cryptocurrency mining.
WHY TRADE CRYPTOCURRENCY?
When you trade cryptocurrency with firststands, you are speculating in whether your chosen market will rise or fall. However there are tons of benefits of trading cryptocurrency : obviously trading cryptocurrency will give you money but trading correctly is the key which can make your income from zero to hero. You can trade crypto anytime from anywhere you want, due to it's independence from the government and economic benefits.
WHAT AFFECTS THE CRYPTOCURRENCY MARKET?
To understand that, you need to know the difference between cryptocurrencies and fiat currencies (Indian rupees, US dollar, etc..). The biggest difference fiat currencies are backed by government and declared trust as legal tender.
Other than that both currencies have similar characteristics. Both can be a medium of exchange to buy products and services. So there are some things that you need to avoid while trading cryptocurrencies that can affect the market.
MASS ADOPTION can affect the market badly. If more people invest in crypto coin, it's value can shoot through the roof. But still adopting by the masses is not good. Why? Because there are real-world problems associated with them. One :they cannot be exchanged for goods and services as widely as a fiat currency.
DETERMINING PRICE OF CRYPTOCURRENCY : The most effective way the price of a cryptocurrency coin is determined is by it's demand. Heavy demand from buyers will push the value of a digital coin up.
THIS WAS ALL ABOUT INTRODUCTION TO CRYPTOCURRENCIES, IF YOU WANT TO LEARN MORE ABOUT TRADING , CLICK ON FIRSTSTANDS.