Crypto for beginners – 5 Reasons to get into Cryptohttps://www.youtube.com/watch?v=s4g1XFU8Gto
You can see crypto-currencies as financial system 2.0, The Internet of Money, Digital Money and many others in this regard. The truth is that however you call it, crypto-currencies were developed starting from Bitcoin invented by Satoshi Nakamoto, and they are here to bring financial freedom and decentralization.
This means that those instruments bring people back the power to be masters of their own hardworked finances.
There are my 5 reasons why an individual would benefit from going into crypto.
I. Benefits of Stake
You spend years of hard work to keep your hard saved money in your bank. Your bank would take money from you for administrating your account. Often if you would like to receive dividends for the money you keep into your bank, which allows the bank to make money on your back they would require you to lock in your funds for a certain period of time. This if you do not respect you will end up not even getting that silly 2% of interest.
In crypto the interest rate measured for 2017 is 4,800% average.
By investing in crypto you allow your funds to work for YOU not for your BANK.
The advanced technology will allow you to use a debit card which you can fund with crypto, for anytime that you need your funds, they will not be locked up and you will not lose your interest rate just because you had an emergency and needed to withdraw some of your savings.
Basically, crypto brings back the power of your money to you.
Historically, when it comes to transacting money or anything of value, people and businesses have relied heavily on intermediaries like banks and governments to ensure trust and certainty. Middlemen perform a range of important tasks that help build trust into the transactional process like authentication & record keeping.
The need for intermediaries is especially acute when making a digital transaction. Because digital assets like money, stocks & intellectual property, are essentially files, they are incredibly easy to reproduce. This creates what’s known as the double spending problem (the act of spending the same unit of value more than once) which until now has prevented the peer to peer transfer of digital assets.
And this is exactly what blockchain technology solves, in decentralized matter.
But what is decentralization:
For those who are more comfortable with a predictable form of reward, mining is the way. Mining involves setting up of a rig, consisting of GPUs or
CPUs and an investment in the electricity. Mining is only possible on cryptocurrencies that follow the Proof of Work protocol. It takes some effort to
setup and gets things running, but it is attractive as a long-term passive income as long as you frontload the work.
Staking is the Proof of Stake version of ‘mining.’ Think of this as making dividends on your stock. The reward rate and staking method differ greatly
among Proof of Stake coins, but in general, it takes less effort as compared to mining.
Both can be done as a hobby or professionally. Either way you are provided the possibility for passive income. You let your finances work for you.
Trading cryptocurrency is currently way more exciting than stocks trading.
You will find many projects with different specifications and scope.
Store of value projects, New Technology projects, Anonymity projects up to Projects where the currency represent an investment share in the given
The most common place where people buy and trade cryptocurrency is on the exchanges. Exchanges are places where you may buy and sell your
crypto, using fiat. There are multiple measures to judge the reliability and quality of an exchange, such as liquidity, spread, fees, purchase and
withdrawal limits, trading volume, security, insurance, user-friendliness.
My advice is – read about the project, understand the project goal, research the available information and choose your bright future projects for
building up a portfolio.
You can check my post on how I choose the projects to invest in here – https://pirl.io/blog/insights-crypto-enthusiast-miner-and-trader/
V. Anonymity , data security, independency, new technologies
The increasing adoption rate in crypto brings new technologies and possibility every day.
Since projects can easily get funded if they bring a reliable concept, the advancement is fully covered, stimulated and expected.
You can already notice how these technologies bring entirely new functionalities and ease of use to in your hands. The future of money is happening
and taking a part of it brings you a step forward into the new financial order.
You can send value to the other side of the planet – Instantly, Cheap, Securly!