Cryptocurrencies

Ever thought about the fact that there are millions of people around the world who earn money with cryptocurrencies; of which just a small amount mines it. That is insane and of course you want to become part of that giant network of people. That’s why today I’m writing this for you so you don’t have to figure out on your own how to start with buying and selling cryptocurrencies.

First of all, we need to understand what cryptocurrencies are and how they work and how they gain value. A cryptocurrency is an secure encrypted decentralized digital currency which is transferred between so called peers and is confirmed in a public ledged which is called a blockchain via a process known as mining. The blockchain is a giant storage of all the transactions to keep track of everything and stores them in a safe-and-sound way by encrypting everything. Mining is the process of confirming all of the transactions and adding them to the blockchain, to do so they need to solve complex computational problems which get harder as time goes by. The first miner who solves the complex puzzle gets to add a block (set of transactions) to the chain, they get rewarded for their effort in the coin they are mining and receive the fees paid for the transactions.

Next I’ll explain how cryptocurrencies gain more value. There are many reasons why cryptocurrencies have value and how they lose and gain value. One of the first ones I want to talk about are the supply and demand of the coin: If there is a small supply and a high demand of something the price will rise, when there is a high supply and a low demand of something the price will drop also even though there might be a high demand and low supply the coin needs to get used to increase the usage of the coin and get more in the circulation so it’s value will rise

Finally we can start with becoming part of the network, we need to make ourselves a wallet; which in most cases is very easy and doesn’t require any effort whatsoever, please take note that we need to be sure to write everything down because if you forget something there is a big chance that you’ll never get access again to it.

There are a few wallets to pick from that I’ve tested and suit everyone, for Bitcoin and Etherium I’d love Blockchain.info the most because their platform is easy to use and is one of the most secured ones out there. Also they have integrated buy, sell and exchange system to get your coins. For other coins try Cryptonator, they have an easy to use platform and is also very secure.

When you buy any cryptocurrency from a website be sure to do a quick background check about the company and check the current price per amount of coins to see the amount of money to see the fee they charge you for buying the coins. Also be sure to always double check if you’ve entered the correct wallet address by first buying a little bit of coins, which might take up to a week to receive in some cases. For selling it’s the same and you’ll always need to double check to see if you’re making any mistakes.

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