In the most basic sense, a cryptocurrency is an encrypted currency (generally decentralized but not always) that functions on a blockchain. This was executed first by satoshi Nakamoto in 2008 after the financial crisis caused by the crash of the housing market. The creation of bitcoin and blockchain solved the double-spending problem, which in turn paved the way for everything that has and will come.
“The blockchain is an incorruptible digital ledger of economic transactions that can be programmed to record not just financial transactions but virtually everything of value”. What that means is that it’s a system that cannot be corrupted, and records everything done on a given exchange network. In terms of the currency that means that every transaction is recorded somewhere on the blockchain. In terms of other goods or services, there are endless possibilities.
In its most basic sense, a coin is a cryptocurrency unit that is exactly that, a currency. Generally, the early players in the cryptocurrency world are coins. You have coins such as bitcoin, litecoin, and monero. A token on the other hand is a cryptocurrency that has a broader function. These tend to be the new school of crypto and you get things like ether, ripple, raiblocks, and so on. It is important to be able to distinguish between the two so that you know exactly what you end up investing in.
So, once you finally decide you want to get involved the first steps are to find yourself a wallet and exchange for your desired currency. Wallets can be found online and generally most cryptocurrencies have designated wallets you can find on their website. Exchanges are where your fiat currency (things like cad and usd) and then exchange for whatever you desire.
I personally use Shakepay, it is a Canadian exchange based out of Montreal where uploading fiat currency is easy once you become verified (submit required documents). It is very secure, and I have had no problems with it to date. There the major players such as Coinbase and Binance which you could also use. Once you get more accustomed to the environment of trading then I would say branching out is a good idea.
You must understand that cryptocurrency is not stocks. You are not buying into a company, you are purchasing a good. This is imperative to understand. The cryptocurrency world does not sleep like the stock market does, it is constantly moving whether you are paying attention to it or not. It is a volatile market and you must do the best you can in the present moment and not get caught up in the past or future. Those who try to predict the market lose it all. Be smart all the time and think every decision through. One of the best parts of cryptocurrency is that everyone involved wants it to succeed, and for it to succeed everyone needs to help everyone. That is why I am writing this for you. You need to constantly be educating yourself. Understand that you can’t be an expert, but you can be educated.
If you sign up for Shakespay using this link, you'll get $30 FREE if you buys $100 of BTC or ETH using this link. The $30 referral reward is applied to new signups who create their account on or after December 1st.
In order to receive your reward, the new sign up must complete phone, email, and identity verification and purchase at least $100 worth of digital currency.
Once the criteria are met, it can take up to 1 day for the bonus to be credited to your accounts.
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The Brown Investor Agreed but Newton is way better than Shakepay in terms of spread. BTW, you forgot to write about Shaking feature of shakepay. :)
Vicky Ahh yeah, I will try to mention in my next article. Thanks!