It is very likely that you have ever heard the word “Bitcoin” and if it has not happened, we would tell you that it is like the Coca-Cola of the virtual coins. It is the first, but it is not the only one. It is certainly an investment that you cannot miss, at least if multiplying your earnings is on your agenda.
Since the birth of virtual currencies, better known as cryptocurrencies, in 2009, more than 200 classes have emerged. Not all have achieved success, but among all, hidden, is the competition of Bitcoin, the Pepsi equivalent of this market, and today we will teach you not only to identify them but to take advantage of them. The first thing you have to know is that a cryptocurrency is a digital medium of exchange. Unlike fiduciary money, virtual currencies only generate a number of previously defined units.
This means that these coins are part of a system where there is no counterpart of physical assets, such as gold. Its value is based on the faith and predictions of those who use it and those markets willing to support it.
Why Invest In Cryptocurrencies?
The cryptocurrencies represent a paradigm free of intermediaries. They are decentralized currencies with fast transactions and lower costs. Another advantage of investing in digital currencies is that they preserve anonymity and security since their system precludes any type of counterfeiting. In addition, operations can be performed at any time and every day.
The truth is that the market for cryptocurrencies offers the public a range of instruments of great attractiveness in terms of risk-return, although due to its characteristics, its operation and nature, it presents a series of entry barriers that make it impossible to an investor take advantage of the incredible opportunities offered by the universe of cryptocurrencies.
7 Fashion Cryptocurrencies
The cryptocurrency par excellence, gaining more followers every day. Many online stores accept it as a means of payment. This mega-powerful currency has not only opened the door to other currencies but runs the world of cryptocurrency with pride. It is controlled to ensure that there is no Bitcoin surplus since a maximum issue amount of 21 million units has been agreed upon.
Litecoin is similar to Bitcoin in many of its features and is also one of the most veteran cryptocurrencies of all.
A very stable cryptocurrency, which can be acquired at good price thinking about its potential. It came to be quoted at $ 5.65 in mid-2016.
Ethereum is much more than just a currency – it’s like a giant computer that hosts many computers around the world. Ethereum can respond to really sophisticated requests.
This currency allows anyone to write intelligent contracts and decentralized applications. It has high potential and you can buy it for 10 dollars.
Monero (XMR) was created in April 2014 and focuses on privacy, decentralization, and scalability. It is a private, safe and unlocalizable currency system.
Despite its initial problems, this cryptocurrency has been overcome. At the moment we see it as a digital currency only for short-term speculative purposes.
The popular cryptocurrency, Dash, has been called by many as the Bitcoin 2.0. This digital asset was created to solve some of the weakest parts of Bitcoin. Programmers added new features to the Dash, making it faster and more anonymous than its predecessor.
This currency advances by leaps and bounds and some are encouraged to say that it could dethrone the Bitcoin. In fact, in recent months it has lost 50% of its value, giving a good purchase opportunity.
Its initial price this year was much higher than that of Bitcoin. It is a high-risk cryptocurrency, but there are those who see great potential.
It has stood for more than 3 years, being accepted by some online brokers. Your quote is today practically an invitation to buy to bet on the future.
Why Operate With Cryptocurrencies
There are many reasons why digital currencies are gaining increasing popularity and momentum around the world. They have a limited supply identified and source codes that trace the exact number that can be operated. Users of this currency benefit in a different way to users of traditional currencies. For example, governments cannot intervene and banks cannot freeze their accounts. Since there is a limit on the amount, cryptocurrency in that sense, they are limited raw materials, more like metals instead of a usual currency, and over time, their value may start to rise.
Invest In Bitcoins
In 2015, the investment firm ARK Investment Management created the first ETF that replicates the behavior of the virtual currency, the ARK Web x.0 ETF (ARKW). According to CNN Money, the instrument does not consist of a bet focused 100% on Bitcoins, but rather involves actors from the technology sector such as Netflix, LinkedIn, and Athenahealth. In addition, the ETF is not exposed directly to the currency but to shares of an instrument called Bitcoin Investment Trust, which began trading in the financial market in May.
If you want to diversify in the world of virtual currencies, we also have the answer.
The Competition of Bitcoin
At first, we told you that Bitcoin was Coca-Cola so that somewhere would be your competition. E-DINAR emerged at the end of 2015, a new generation cryptocurrency that is gaining strength every day. This currency guarantees a volume of growth of 0.65% per day. Make instant payments without commissions and can be exchanged for other traditional currencies, such as euro or dollar.
How to Invest In Cryptocurrencies?
The most popular way to invest in cryptocurrencies is online. There are different sites on the internet where they are exchanged. Coinbase is one of the most popular since it allows us to exchange euros, or any other currency, for the virtual one. There is also another type of platform such as TopOption, with which we can operate on the Bitcoin price.
The problem with these transactions is that our account may take time to be verified. In addition, we will have to attach some data to be able to take into account that allows us to operate.
Coinbase aims for 0.25% of each transaction that takes place in this market. However, during the first 2 months of operations, no charges will be charged. It is important to bear in mind that for this project Coinbase had contributions of around 106 million dollars, coming from investments of the size of the New York Stock Exchange.