Like me, you’ve probably been hearing more and more about cryptocurrency recently and are wondering what it is and how it works. I’ve definitely been intrigued to find out more and to see if my finances could benefit from investing in this new currency. Let’s take a look…
What is cryptocurrency?
So what actually is cryptocurrency? Put simply crypto is a new form of digital money, that involves no middle men such as governments or banks. Cryptocurrency uses cryptography technology to ensure that transactions are made securely without the need for a third party to be involved. You can easily send and receive cryptocurrency online but there are no physical copies of it in the real world. You’ve probably all heard of Bitcoin as it was one of the first cryptocurrencies available, but there are many others now.
1. It’s easy to get started
One of the biggest attractions to cryptocurrency is that it’s really easy to get started with it. There are many guides out there to help you if you need it, but in reality all you need to do to get started is to buy some coins, which you can do at a cryptocurrency exchange. You can pay for your purchase in all the usual ways – bank transfer, debit or credit card.
2. Get big returns on your investments
Crypto prices, particularly Bitcoin have skyrocketed in recent years meaning there is the potential to get a very good return on your investment. You can earn interest on Bitcoin on certain platforms too. Please be aware that as with any investment, there is a chance that prices could drop and for you to lose money. So make sure you do your research before you get started.
3. Help fight against corruption
The idea behind cryptocurrency is to stop the middle men being able to abuse their power over money. As cryptocurrency cuts out the middle man, there’s less chance of corruption occurring. If you happen to trust your government, you may not have a problem but of course not all governments are trustworthy. Cryptocurrency can also help prevent fraud and corruption due to easy access to information and faster crosschecks.
4. More control over your money
Investing in crypto gives you much more control over your money. As I mentioned earlier, cryptocurrency completely cuts out the middle man. If you think about it, banks and governments have complete control over your money and have the power to freeze your accounts at any point, this cannot happen with crypto.
5. Crypto is the future…
Cryptocurrency isn’t going anywhere any time soon, in fact it’s only growing in popularity so now is the time to get onboard. More and more places are starting to accept cryptocurrency as payment, which just shows that it is fast becoming a legitimate form of currency.
I hope that you have enjoyed learning more about the world of cryptocurrency. I know I have. It’s certainly not as complicated as I had first thought, it actually makes a lot of sense. Are you considering investing in crypto? I’d love to know your thoughts on it.
Thank you for reading.