Introduction to Cryptocurrencies for Beginners

Investing in Cryptocurrencies: An Overview

The first cryptocurrency was Bitcoin, built on Blockchain technology and most likely launched in 2009 by a mysterious person named Satoshi Nakamoto. At the time of writing, 17 million bitcoins had been mined, and it is estimated that 21 million bitcoins could be mined. Other popular cryptocurrencies include Ethereum, Litecoin, Ripple, Golem, Civic, and Bitcoin hard forks such as Bitcoin Cash and Gold. The Interesting Info about twitter crypto KOL.

Users are advised not to put all their money into one cryptocurrency and to avoid investing at the peak of the cryptocurrency bubble. It has been observed that the price has suddenly dropped when the crypto bubble is at its peak. Furthermore, because cryptocurrency is a volatile market, users should only invest what they can afford to lose, as there is no government control over cryptocurrency because it is decentralized.

Steve Wozniak, Apple’s co-founder, predicted that Bitcoin is real gold and will eventually dominate all currencies, such as USD, EUR, INR, and ASD, and become a global currency in the coming years.

Why Should You Invest in Cryptocurrencies?

Bitcoin was the first cryptocurrency to be created, and since then, approximately 1600+ cryptocurrencies have been launched, each with a distinct feature.

Some of the reasons I’d like to share are that cryptocurrencies were created on a decentralized platform, so users don’t need a third party to transfer cryptocurrency from one location to another, unlike fiat currency, which requires a platform like a bank to transfer money from one account to another. In addition, cryptocurrency is built on very secure blockchain technology, with almost no chance of hacking and stealing your cryptocurrencies unless you share some critical information.

You should never buy cryptocurrencies at the peak of a cryptocurrency bubble. Many of us believe cryptocurrencies at the rise, hoping to make quick money, only to fall victim to the bubble’s hype and lose our money. Users should conduct extensive research before investing their money. It is always a good idea to invest in multiple cryptocurrencies rather than just one, as it has been observed that some cryptocurrencies grow faster than others while others grow at a slower rate.

Focus on Cryptocurrencies

In 2014, Bitcoin controlled 90% of the market, while the rest of the cryptocurrencies controlled the remaining 10%. In 2017, Bitcoin continued to dominate the crypto market. Still, its share dropped from 90% to 38%, and altcoins such as Litecoin, Ethereum, and Ripple have proliferated and captured most of the market. Check out the Best info about crypto influncers.

Bitcoin continues to dominate the cryptocurrency market, but it is not the only cryptocurrency to consider when investing in cryptocurrency. Some of the significant cryptocurrencies to think about are:

Bitcoin

Litecoin

Ripple

Ethereum

Tron

Civic

Golem

Monero

Where and how can I buy cryptocurrency?

While it was difficult to purchase cryptocurrencies a few years ago, users now have many options.

In 2015, India had two major Bitcoin platforms: Unocoin wallet and Zebpay wallet, through which users could only buy and sell Bitcoin. Users must purchase Bitcoin only from their wallets and not from other people. There was a price difference between the buying and selling rates, and users had to pay a small fee to complete their transactions.

In 2017, the cryptocurrency industry grew tremendously. As a result, the price of Bitcoin increased spontaneously, particularly in the last six months of 2017, forcing users to seek alternatives to Bitcoin, which crossed 14 lakhs in the Indian market.

Unodax and Zebpay were the two major platforms in India that dominated the market with a 90% market share – dealing only with Bitcoin. However, it allows other organizations to grow alongside other altcoins and has even compelled Unocoin and others to add more currencies to their platform.

Apart from trading Bitcoin in Unocoin, Unocoin, one of India’s leading cryptocurrency and blockchain companies, has launched an exclusive platform UnoDAX Exchange for their users to trade multiple cryptocurrencies. The difference between the two platforms was that Unocion only offered instant buy and sell of bitcoin. In contrast, UnoDAX allows users to place an order for any available cryptocurrency and have it executed if it matches the recipient.

Other major cryptocurrency exchanges in India include Koinex, Coinsecure, Bitbns, and WazirX.

Users must open an account in any of the exchanges by signing up with an email address and submitting KYC information. Once their account has been verified, they can begin trading the coins of their choice.

Users must conduct extensive research before investing in coins to avoid falling victim to the cryptocurrency bubble. Users must investigate the exchange’s credibility, transparency, security features, and other factors.

Every exchange charges a small fee for each transaction. There are two kinds of payments: maker fees and taker fees. You must pay a transfer and transaction fees if you want to transfer your cryptocurrencies to another exchange or private wallet. The coins and trade solely determine the charges, as each business has a different price module for sharing coins.

Other significant altcoins besides Bitcoin

As previously stated, Bitcoin leads the market with a 38% share, followed by Ripple, Ethereum, Litecoin, and Bitcoin Cash. In addition, many other coins have been listed on exchanges such as UnoDAX, Bitfinex, Kraken, and Bitstamp, including Golem, Civic, Raiden Network, Kyber Network, Basic Attention, 0X, Augur, Monero, Tron, and many more. If any of the coins match your portfolio, you must purchase them. Get the Best information about top twitter crypto influencers.

However, you should only invest money you can afford to lose because the cryptocurrency market is highly volatile, and no government controls it.

When Should You Buy?

There is no hard and fast rule for when you should buy your favorite cryptocurrency. However, one must investigate market stability. You should not do so at the peak of a cryptocurrency bubble or when the price is constantly falling. Always consider the best time when the price has been relatively stable at a low level for some time.

Method of Cryptocurrency Storage

Before purchasing any cryptocurrency, you should understand how to keep it safe.

All exchanges generally offer a storage service where you can keep your coins safely. However, when holding cryptocurrency on sale, one must not share user details, passwords, or 2FA.

Read Also: Why You Should Have a Personal Financial Statement and How to Prepare One