The first crypto currency that came into existence was Bitcoin which was founded by a man named Satoshi Nakamoto in 2009. Bitcoin was initially built to operate on blockchain technology. Bitcoin was just the beginning that initiates the idea of crypto currencies in different markets and all around the world. It took a lot of time for people to understand how exactly this currency works. Even today, in most third world countries people are not clearly aware of crypto currencies and their functioning. There are other popular crypto currencies including Ethereum, doge coin, Lite coin, Shiba INU coin in the market these days. And a huge number of people are investing in these digital currencies.
It is always recommended by the experts to not put all the money in one crypto currency and try to hold yourself back when the crypto currency bubble is at its peak. It has been seen over the year that the prices drastically dropped during the peak time, which saw people losing so much money. Since we know crypto currency is an unstable market, it is always better to put money that would not disturb your budget.
Steve Wozniak who is a Co-founder of Apple company once said that crypto currency is the future and it will dominate all the other top currencies in the years to come. And we are already witnessing its effects as the world is getting prepared to move digital entirely. The demand for digital currencies will grow more and more with time.
Why to invest in crypto currencies?
Bitcoin is the pioneer of crypto currencies but since its introduction, there are as many as 2000+ new crypto currencies has been launched having unique features for each coin.
The first and foremost-edge that crypto currencies have got over other currencies is that it has been made using a decentralized platform, which means you don’t require a third-party inclusion to transfer funds from one account or place to another. In fiat currency, you need a third party like a bank to transfer your money from one account to another. Moreover, crypto currencies provide users with top-quality security as it is built on block chain technology, this makes it super difficult for a hacker to hack and steal crypto currencies unless or until you shared information with anyone.
Why not to invest in crypto currencies?
The mistake that most people make is they get excited as soon as they see crypto currencies touching the peak, in the hope of making quick money, they usually invest a lot of their money and lose their money in a matter of seconds. You must never go to put all your money when the crypto currency bubble is hitting its peak as in often cases the chances of dropping increase.
It is always a good idea to do a lot of research on different currencies before investing the money. This can save you money and time. It is suggested to play safe by putting money in different currencies as some grow more and some average.
Cryptocurrencies to Focus
Bitcoin was the most popular crypto currency in 2014 as it was holding 90% of the market leaving all the other way back. There was no competition with bit coin. But in 2022 we have seen that a lot of new currencies emerged and captured a good chunk of the market in no time. Some of the companies that rock the year 2021 are given below.
Etheurum has a market cap of over $447 billion. Etheurum has seen significant growth in the last few years as its price went from $11 to over $3700 in just 5 years.
Program developers like etherum more than any other available currency only because of its dynamic applications like smart contracts that automatically operate when conditions are met on Non-fungible tokens.
- Binance coin
Binance coin has a market cap of over $86 billion which is in a way remarkable. Binance is one of the largest crypto exchanges in terms of producing the highest volume of trading in the world was founded in 2017.
Binance is a type of cryptocurrency which you can use to trade or pay a fee on Binance. The price for the Binance coin was a mere $0.17 when it came into existence but as of 2022, its rate has pummeled to $520.
- Tether (USDT)
Tether has a market cap of over $78 billion. Tether cryptocurrency uses entirely different strategies and there is a clear difference in its functioning. In simple meaning, tether is a stable coin which means it is backed by fiat currencies.
The value of tether generally remains consistent, unlike other top cryptocurrencies. And usually, those people invest who are afraid of the volatility of the crypto market.
When to buy cryptocurrencies?
There are a lot of things that you need to consider before investing money in any of your favourite cryptocurrencies. You must do a lot of research on the stability of the market to predict rightly. Putting all the money at the peak of the cryptocurrency bubble is always proven to be costly for investors. You also must hold yourself when the price is countionusily dropping and being in an unstable state. It is always perfect to chip in when the price is stable for quite some time, especially when on the lower side.
Cryptocurrencies storage method
Before purchasing a cryptocurrency, you must be aware of how to keep your cryptocurrency safe.
In most cases, all the exchanges provide the facility to keep your coins in protection. It is always recommended not to share your user credentials when holding cryptocurrency on an exchange.
There are few channels available to keep the coin safe and protected. Hardware wallets, paper wallets and software wallets are the most popular forms.
Hardware wallet is a physical storage device where you can keep all your cryptocurrency safe.
Paper wallet is an offline form of storage technique to keep your crptocurreny safe.
Software wallet uses some high-end software’s to keep crypto currency safe and protected.