The desi in me ended up going “tch, tch, tch, all this is malarkey” the first time I have heard about virtual currency. However, once generation y me regained consciousness, I decided to deconstruct this complicated rocket space thing for myself so that I could at least understand what all the fuss was really about!
So here’s the deal:
What Exactly Is a Bitcoin?
To put it another way, virtual currency uses cryptography assets. It is a type of payment that can be used to exchange goods and services over the internet. So, in essence, you can digitize transfer your traditional, non-crypto currency money!
But wait, there’s more: once virtual currencies become “mainstream,” you might be allowed to use them to pay for things digitally in the same way that you would with traditional currencies. Are you starting to get the hang of it? Hold on, buddy, we’re almost there.
Cryptography’s history! Please refrain from yawning.
I’m Pretty Sure Everybody Knows, but Bitcoin Was the First Cryptocurrency!
If you’re a proper adult, you’ve likely heard of Bitcoin. It was the first result of the first blockchain (more on that later), which was created by an unnamed entity named Satoshi Nakamoto.
Bitcoin was invented by Satoshi Nakamoto in 2008, and he described it as a “pure friend version” of digital payments. Alright, that’s fine.
What Distinguishes It Now?
Cryptos are distinguished by the new tech that underpins them. Cryptocurrencies work with a new tech blockchain uses, which is a decentralized innovation that manages and records transfers across different computers.
The best part, and what attracts people’s attention, is humankind’s security, so your internal desi can relax now.
Why Would They Be So Well-Liked?
Cryptocurrencies are attracting people for a variety of reasons. Cryptocurrencies like Bitcoin are seen as the monetary system of the long term, and proponents are rushing to buy them now, assumedly before they are more beneficial and out of reach.
Some people such as the fact that encryption software frees financial institutions from trying to manage the supply of money because banks tend to devalue money over time through rising prices and other means.
Others prefer the technology behind cryptos, such as the blockchain, as it is a decentralized handling and capturing system that can be safer than traditional payment methods, as stated earlier.
Are They a Great Investment, in Reality?
Cryptocurrencies may appreciate in value, but many shareholders regard them as speculative investments rather than long-term investment opportunities because they generate no cash flow. To profit, someone must expect to be paid more for the monetary system than you did.
For those who believe that cryptos like Bitcoin will be the medium of exchange of the future, it’s important to remember that a currency needs to be stable in order for merchants and customers to know what a fair price for goods is. This price buoyancy is the source of the issue.
Individuals are less inclined to spend and distribute cryptocurrencies today if they may be worth quite a bit more in the long term. Why probably have spent a bitcoin when it could have been worth three times its actual price the very next year? is the basic logic.
The Bottom Line Is This: How Do I Buy, Sell, or Put the Money?
Investing in cryptocurrency does not have to be as difficult as we may believe. We can get the best results if we use the right platform. For that, I recommend CoinSwitch Kuber for a safe and quick crypto trading experience, where you can start buying and selling for as little as Rs. 100!
With successful investment stories, the platform recently surpassed 10 million users. You can also visit their KuberVerse section to learn everything you need to know about cryptocurrency!