Indeed, 8% of all humanity now owns some form of cryptocurrency assets (with the percentage expected to rise), while corporations like IBM and Sony (and many others) are working on integrating these currencies into people’s everyday lives. There has also been a huge uptick in initial coin offerings taking place lately–which allows startups to raise vast sums of capital more easily without having to initially go through venture capitalist hoops.
FinancialCentre broker Joe Delaney says all in all, it’s clear that cryptos are here to stay. So, what do you need to know in order to make the most of this exciting new investment arena? Here are five key points:
1) Not all cryptos are created equal. Just as there are different stocks and shares which represent different companies, so too are there a variety of cryptocurrency tokens available on the market. Some (like Bitcoin and Ethereum) have been around for a while and are more commonly accepted, while others (such as TrumpCoin) are still relatively unknown. It’s important to do your research before investing in any particular coin or token.
2) Cryptocurrencies can be volatile. The value of Bitcoin, for example, has fluctuated between $4000s and $1000s in the last six months alone. It’s therefore no surprise that many people have lost money on their initial investment–and with so many risks involved, it is important to only spend what you can afford to lose.
3) You don’t have to buy a whole coin or token at once. Many of the most popular crypto exchanges allow users to purchase fractions of a single coin rather than entire units. This allows investors to get into the market with minimal capital required without feeling too much risk.
4) Crypto products are still in their very early days. We are still learning new things about blockchain technology every day–which means that there are boundless possibilities for its future applications! While cryptos might be a good investment right now, there is no telling what could happen in the future so it’s important to always stay informed.
5) You don’t need to be a tech expert to invest in cryptos! Coinbase, for example, is a user-friendly platform which allows you to buy and sell cryptocurrencies with ease. There are also many other exchanges out there which offer similar services, so do your research before choosing one.
So, there you have it! With these five tips in mind, you’re well on your way to becoming a successful crypto investor. Remember to always play it safe and never invest more than you can afford to lose, and happy trading!
Now, lets quickly go over the top cryptocurrencies for 2021 and forward.
Ethereum (ETH): The world’s second-largest crypto network by market capitalization and one of the most popular networks for building new projects, Ethereum is an essential backbone in almost all initial coin offerings or ICOs. The DeFi protocols it houses help form key aspects to many non fungible tokens (NFT) created on top such as Chainlink(LINK), Tether USDC , Binance CoinBMB etc…
Ethereum’s upgrade, Ethereum 2.0 will be the most prominent update in history of network and is due out next year! With this new protocol we can expect lower gas fees as well as faster transactions with an increased efficiency for our computing power on GPUs or CPUs vs just graphics cards alone – which means more people would benefit from it too because they’ll have access to cheaper costs whether building decentralized applications (dApps) using Ethereum blockchain tech like Status did before launch their own cryptocurrency earlier this month or if they’re simply Holding’ the digital asset.
Bitcoin (BTC): Bitcoin is the OG of cryptos and is still king when it comes to price and market capitalization. It was the first ever cryptocurrency created and is still used as a benchmark for other digital assets. It’s important to note that Satoshi Nakamoto, the pseudonymous creator of Bitcoin, has never been found – adding to its mysterious allure!
Litecoin (LTC): LTC was created back in 2011 as a lighter and faster version of Bitcoin. It has since cemented its place as one of the top cryptos, often acting as a test net for new features being developed for Bitcoin.
Bitcoin Cash (BCH): BCH was created as a hard fork from Bitcoin in 2017 due to disagreements on how to scale the network. It has since failed to recapture past glory but remains among the top 10 cryptos by market cap.
Disclaimer: Our content is intended to be used for informational purposes only. It is very important to do your own research before making any investment based on your own personal circumstances. You should take independent financial advice from a professional in connection with, or independently research and verify, any information that you find on this article and wish to rely upon, whether for the purpose of making an investment decision or otherwise.