{"id":5705,"date":"2021-08-18T19:42:37","date_gmt":"2021-08-18T19:42:37","guid":{"rendered":"http:\/\/www.autotradethemasters.com\/?p=5705"},"modified":"2025-05-15T12:50:47","modified_gmt":"2025-05-15T12:50:47","slug":"what-is-cryptocurrency-we-take-a-deep-dive-into-this-mysterious-way-to-pay","status":"publish","type":"post","link":"http:\/\/www.autotradethemasters.com\/index.php\/2021\/08\/18\/what-is-cryptocurrency-we-take-a-deep-dive-into-this-mysterious-way-to-pay\/","title":{"rendered":"What is Cryptocurrency? We Take a Deep Dive Into This Mysterious Way to Pay\u2026"},"content":{"rendered":"

If you\u2019ve been curious about cryptocurrency, here\u2019s everything you need to know.<\/em><\/p>\n

\"Cryptocurrency<\/p>\n

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With the future of cryptocurrency evolving by the second, it\u2019s hard to keep up!<\/strong><\/p>\n<\/blockquote>\n

If you\u2019re like me, every time you hear about cryptocurrency, you think of Bitcoin, but you don\u2019t know exactly what it is. I\u2019ve come up with a great guide for beginners who are interested in learning about the currency of tomorrow!<\/p>\n

Simply put, cryptocurrency is a digital currency, or form of payment, used to buy goods and services. The only difference is it uses a tracking system known as an online ledger, or blockchain, that helps with security purposes. Although Bitcoin is the most popular, there are over 10,000 cryptocurrencies<\/a>, and each company has its own \u201ctokens\u201d, similar to the concept of arcade tokens. \ud83e\ude99<\/p>\n

Cryptocurrency may sound too advanced or hard to grasp because there is literally no physical money, but, if you think about it, every physical dollar has a serial number that tracks where it was distributed. Cryptocurrency has that same aspect, except there\u2019s no physical dollar, and instead only a \u201cserial number\u201d. This means that many cryptos can be tracked due to their coding.<\/p>\n

\"computer<\/p>\n

As mentioned earlier, blockchain is important to know when dealing with crypto. When dealing with the bank, it will record all your transactions and be the middle man. Blockchain is similar to this where it manages and records transactions.<\/p>\n

According to Forbes, \u201cBlocks\u201d are the recorded transactions<\/a>, and they are connected to a\u00a0 \u201cchain\u201d of previous transactions. It\u2019s nearly impossible to hack and isn\u2019t limited to the world of crypto. Medical records at some hospitals have been using blockchain, and it\u2019s even been rumored that this kind of technology may be used for online voting purposes in the future!<\/p>\n

\n

The cryptocurrency industry is worth $1.4 trillion<\/a> but you may be wondering\u2026\u00a0why is it so popular?<\/em><\/h2>\n

\"Woman<\/p>\n

It\u2019s the currency of the future!<\/h3>\n

With the rising popularity of contactless payment, it\u2019s not too far off that one day we may be using crypto as an everyday currency. There are a bunch of people in today\u2019s society that don\u2019t even carry cash, so I think cryptocurrency will only evolve further over time. In fact, El Salvador became the first country this year to allow Bitcoin to be an acceptable payment<\/a> throughout the country.<\/p>\n

\n

\"woman<\/p>\n

There is no inflation from banks.<\/h3>\n

This is a big advantage and<\/em> a bigger responsibility. There\u2019s no one to report to other than keeping track of your own personal record. Even the government has no way to affect your money. There\u2019s no manipulation of funds from any authority, and there\u2019s a minimal way of hacking.<\/p>\n

\n

\"cryptocurrency<\/p>\n

It\u2019s easy to transfer cryptocurrency.<\/h3>\n

There\u2019s no waiting on the bank to approve a certain amount of money before sending it. Between two people both using cryptocurrency, there is no third-party involvement. It is straightforward and efficient.<\/p>\n

\n

So, how do I get involved with cryptocurrency?<\/strong><\/h2>\n

\"Robinhood<\/p>\n

When it comes to how to get involved, there are thousands of Cryptocurrencies such as Tether, USD Coin, Uniswap, and Dai. It\u2019s important when choosing which crypto you\u2019d like to invest in to research extensively, as there are many scam cryptos out there.<\/p>\n

To avoid this, see if they have a notable founder or investors. This is a good sign if they do. Anywhere in the top 200 currencies<\/a>, according to Coin Bureau<\/a>, is usually a good place to find an established, legit cryptocurrency.<\/p>\n

Joining an app such as Robinhood<\/a>\u00a0allows you to buy and sell different cryptocurrencies commission-free. Although it\u2019s not available in every state, it\u2019s a great tool for beginners who want guidance and an easy platform to navigate and transfer trades and real money to crypto!<\/p>\n

When you sign up for Robinhood<\/a> and link your bank account, you can score a FREE stock with a potential worth of up to $177.15! You have a 1 in 150 chance of receiving a share of stock from big name companies such as JPMorgan Chase ($158.57), Apple ($149.43), or Johnson & Johnson ($177.15). Pretty sweet considering all you need to do is simply get yourself started on this highly talked about app<\/a>!<\/p>\n

\n
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Now that you know why many people are using cryptocurrency and how to get involved, you should know the risks.<\/h2>\n<\/blockquote>\n

\"\"<\/p>\n

It\u2019s important to be informed and do your own individual research to make sure you\u2019re prepared for potential investments within the world of cryptocurrency.<\/p>\n

Making a profit is risky.<\/strong><\/h3>\n

Like the origin of any currency, someone has to pay more than you to make a profit. It\u2019ll never go up in value automatically with time; it all depends on other investors. Because of this, there will be times when you lose money, make money, or have no change.<\/p>\n

Bitcoin is currently worth around $630 billion, but with more people investing due to stimulus payments and other factors, it reached its all-time high last April where it was worth $1.2 trillion<\/a>. \ud83d\ude31The fluctuation will always occur depending on when people invest. Patience is important when dealing with cryptocurrency, but there\u2019s always a risk of losing money before cashing out.<\/p>\n

\n

\"laptop<\/p>\n

There\u2019s no backup storage.<\/strong><\/h3>\n

No bank involvement is a great benefit of cryptocurrency for the right people, but this makes you in charge of your own records. Arguably, the biggest risk of crypto is if your hard drive gets destroyed or lost, you\u2019ll lose your money with no way of getting it back. You have ten guesses on Bitcoin, for example, before it locks you out permanently.<\/p>\n

A man from San Francisco lost the password to access his 7,002 Bitcoin, equivalent to $250 million<\/a>. \ud83e\udd2f With this in mind, be sure to ALWAYS keep your passwords on file when investing!<\/p>\n

\n

\"person<\/p>\n

It\u2019s not available in every country.<\/strong><\/h3>\n

Cryptocurrency is primarily used between individuals locally\/within the same country, but, in case you were unaware, countries such as China, Russia, and Bolivia<\/a> do not allow the use of crypto. The majority of developed countries, however, including the US, Canada, EU countries, and Australia<\/a> allow it.<\/p>\n

\n

\"girl<\/p>\n

Cryptocurrency is an exciting yet risky investment.<\/strong><\/p>\n

If you\u2019re unsure whether investing in crypto is the right decision for you, look into investing within an established company or financial advisor. It\u2019s less risky and will give you a great introduction to the world of investment, and you can later bring that experience to your future with the world of cryptocurrency!<\/strong><\/em><\/p>\n

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Want more money tips? Check out how to score virtually free products from Rebaid<\/a>!<\/p>\n","protected":false},"excerpt":{"rendered":"

If you\u2019ve been curious about cryptocurrency, here\u2019s everything you need to know. With the future of cryptocurrency evolving by the second, it\u2019s hard to keep up! If you\u2019re like me, every time you hear about cryptocurrency, you think of Bitcoin, but you don\u2019t know exactly what it is. I\u2019ve come up with a great guide…<\/p>\n","protected":false},"author":1,"featured_media":5707,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[15],"tags":[],"_links":{"self":[{"href":"http:\/\/www.autotradethemasters.com\/index.php\/wp-json\/wp\/v2\/posts\/5705"}],"collection":[{"href":"http:\/\/www.autotradethemasters.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/www.autotradethemasters.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/www.autotradethemasters.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/www.autotradethemasters.com\/index.php\/wp-json\/wp\/v2\/comments?post=5705"}],"version-history":[{"count":1,"href":"http:\/\/www.autotradethemasters.com\/index.php\/wp-json\/wp\/v2\/posts\/5705\/revisions"}],"predecessor-version":[{"id":5706,"href":"http:\/\/www.autotradethemasters.com\/index.php\/wp-json\/wp\/v2\/posts\/5705\/revisions\/5706"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/www.autotradethemasters.com\/index.php\/wp-json\/wp\/v2\/media\/5707"}],"wp:attachment":[{"href":"http:\/\/www.autotradethemasters.com\/index.php\/wp-json\/wp\/v2\/media?parent=5705"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.autotradethemasters.com\/index.php\/wp-json\/wp\/v2\/categories?post=5705"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.autotradethemasters.com\/index.php\/wp-json\/wp\/v2\/tags?post=5705"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}