In today’s modern times, living with modern technology is our daily routine. Starting from games that are an increasing occupation of children, to keeping various computer records that facilitate business and data storage. Thanks to the Internet, today it is possible to make various money transactions and purchases in this way. However, modern times have brought us something else, and that is digital money.
Cryptocurrencies have been around for 13 years. The first to appear was Bitcoin. After all these years, this currency is still at the very top when it comes to value and popularity.
Bitcoin was created in 2008 by an anonymous group of people hiding behind the pseudonym Satoshi Nakamoto. At the time of creation, the value of this currency was negligible and was considered worthless – $ 0.03. Although it did not have a bright future and was considered a great success if it managed to reach the value of the US dollar, this currency succeeded much more. Today’s value of Bitcoin is even 63296.20 times higher than that!
Source: kriptomat.io
It’s hard to say that trading or mining is a better option, but the fact is that more and more people are opting to invest in cryptocurrencies, both in Bitcoin and many others, which may be less valuable but still profitable.
Then when you decide to invest, the first and most important thing is to provide a safe place for your virtual money – a digital wallet. There are two types of these wallets, and they are cold and hot. Although their purpose is the same, and that is to keep new ones safe, they differ in several important things, and safety is certainly one of them.
Hot wallets are very available today and are usually free. What distinguishes them is easy access because all you need is a smartphone and internet access. However, what we need to be aware of is that there are many dangers lurking in Internet access, especially when money is at stake. So, we will not make a mistake if we say Crypterium keeps your money safe and accessible in one step.
Source: coinbase.com
On the other hand, we have a cool, hardware wallet that provides users with much more security, but the price is also higher. In this case, there is no need for an internet connection which makes it better protected from a hacker attack. What is important to pay attention to are the specifications, ie the level of protection, because each wallet has different characteristics. We need a wallet to keep cryptocurrencies safe and to send them to others or send them to the stock exchange for trading.
In principle, those who keep cryptocurrencies, in the long run, should invest in a cold wallet without any regrets. Consider this a smart investment. It is important to remember that each wallet is slightly different and that it takes a little time to see all its options.
Cryptocurrency wallet is an application that allows cryptocurrency owners to store and retrieve digital assets. When purchasing a cryptocurrency, either by purchasing at a service or receiving as income, the sender receives a unique cryptographic address issued by the recipient’s wallet. The sender enters this public address on its own sending service, after which the transaction enters the verification process on the blockchain network. Once the transaction is confirmed on the blockchain, the recipient becomes the owner of a particular sent cryptocurrency.
Source: cryptoadventure.com
Now that you’ve chosen a wallet, it’s time to choose a trading platform as well. Although the market is full of them, it is important to approach them carefully because there are often fake ones that disappear overnight after they empty your wallet money. Therefore, it is important to be careful, read recommendations and reviews before making a final decision.
Thanks to modern technology, platforms have been created that have their own mobile applications, which facilitate access. Thanks to artificial intelligence, these platforms act as assistants to traders, and plow the market situation and inform them of any change quickly enough to be able to react even before other traders. These apps are very useful for all those who want free time for themselves and their family while someone else is doing all the work for them.
We have already mentioned that there are other currencies worth mentioning, and Ethereum, Ripple, Litecoin, and Neo are just some of them. Although they are significantly less valuable than Bitcoin, they are considered profitable. Those who are new to trading are advised to invest in several different cryptocurrencies, at least initially. Why? The reason is very simple – in this way you reduce the possibility of losing everything you have if a cryptocurrency experiences a sudden drop in value.
Source: blog.robinhood.com
We will also mention mining, which may be a bit more complex and time-consuming, but equally profitable. However, what makes it different from trading is the cost of electricity and equipment that you must be prepared for if you decide to take this step. There are several types of mining, and the CPU is one of the most popular. To increase your chances of making money, you will need to join one of the many mining pools.
Final thoughts
As you can see, trading cryptocurrencies can be very easy if you take into account a few basic things. It is also important that you do not heal too much but think about every step. While they say there is no success without risk, a good investor is one who says you should never invest more than you are willing to lose. In other words, you only get in as much money without which you will be able to continue the flow of your life unhindered if you lose.
Blockchain technology creates a new wave of digital assets in the form of cryptocurrencies, which are resistant to censorship and unstoppable automation. For the first time in history, people can electronically transmit digital value worldwide without the need for approval third-party transactions.
