What is Cryptocurrency?

James Justin Financial Health Leave a Comment

Cryptocurrency (or “crypto”) is digital money that you can use to buy or sell products or services. It’s virtually a new technology. You can trade your crypto for profit. You can get it from any crypto firm such as Coinbase.com or Cryto.com.

In other words, a cryptocurrency is a form of payment that can circulate without the need for a central monetary authority such as a government or bank. Instead, cryptocurrencies are created using cryptographic techniques that enable people to buy, sell or trade them securely.

Cryptography is the study of secure communications techniques that allow only the sender and intended recipient of a message to view its contents. The term is derived from the Greek word kryptos, which means hidden message.

Why crypto is getting popular every day

Like any other technology impacting our world, crypto is getting more popular every day. Thirteen percent of Americans bought or traded cryptocurrency in the past 12 months, according to a survey published by NORC. More than 1 in 10 Americans invested in cryptocurrency over the past year, according to a survey published by the University of Chicago, a sign of the popularity of digital currencies.

Bitcoin, the original cryptocurrency, was created anonymously by a group named ‘Satoshi Nakamoto’ in 2008. Its value has exponentially increased to a ridiculous level. For example, you may have seen many posts around the Internet such as “if I had brought $100 of bitcoin back in 2010, I’d have over US$100 million now.”

The digital currency is up nearly 70% since the start of 2021, driving the entire crypto market to a combined $2 trillion in value. Coinbase, the largest digital currency exchange in the U.S., went public in mid-April. And celebrities like Tesla and SpaceX chief executive Elon Musk have also expressed enthusiasm for crypto investments. In May, Tesla said it would accept bitcoin as payment for vehicle purchases.

5 Benefits of Owning Crypto 
  • Easy Transactions with Incredible Security.
  • Short Settlement Times and Low Fees.
  • Exponential Industry Growth.
  • Portfolio Diversification.
  • Inflation Hedge.

Top 12 Cryptocurrencies to Explore this year

  1. Bitcoin (BTC) The granddaddy of all cryptocurrencies, Bitcoin was first and is the most well-known cryptocurrency on the market.
  2. Chainlink (LINK)
  3. Dogecoin (DOGE)
  4. Ethereum (ETH)
  5. EOS (ESO)
  6. Litecoin (LTC)
  7. NuCypher (NU)
  8. Polygon (Matic)
  9. Shiba Inu (SHIB)*
  10. Rai Reflect Index (RAI)
  11. Tether (USDT)
  12. Chiliz

New cryptocurrencies to add to your watchlist

  1. Arpa Chain
  2. Assemble Protocol
  3. Badger DAO
  4. Bounce Token
  5. Rarible
  6. Jasmy

Ready to invest in crypto?

Like any investment classification, I encourage you to keep learning and consider adding crypto to your investment watchlist.

Remember, before you invest or implement any investment strategy toward your financial goals, please do your own research and consult with your financial advisors.

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Happy Investing!

JustinCoaching.com

Reference: Investopedia.com/terms/c/cryptocurrency.asp

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DISCLAIMER: The content of our blog is for educational purposes only. I’m NOT a financial advisor, accountant, tax expert, or lawyer. If you need a financial advisor. Please consult a licensed professional in your city if you need financial and/or other professional services. Investing of any kind involves risk. While it’s possible to minimize risk, your investments are solely your responsibility. It’s imperative that you conduct your own research before investing. I’m merely sharing my opinion with no guarantee of gains or losses on investments.

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