Everyone has heard that bitcoin and other cryptocurrencies have made millionaires out of the ones they recently purchased. Winnings of 1000% or more are not just possible, they were a common place with many of these cryptocurrencies. Someone who bought bitcoin in May 2016 for less than $ 500 would have made 1400% profit in about 17 months. Then over the last few days, we have seen that Bitcoin is losing almost $ 1,000, so to say that these cryptocurrencies are volatile would be a huge understatement.
Since the creation of Bitcoin in 2008, Trend News has been skeptical of the ability of cryptocurrencies to survive, given that they represent a very clear threat to governments that want to see and leverage all transactions. But while we may still be wary of actual cryptocurrencies, we are very aware of the potential of the underlying technology that powers these electronic currencies. In fact, we believe that this technology will be a major breach of data management and that it will affect every sector of the global economy, similar to how the Internet has affected the media.
Here are some questions and answers to get you started …
Question: What are cryptocurrencies?
The most famous cryptocurrency (CC) is BITCOIN. It was the first CC launched in 2008. Today, there are more than 800 CCs, including Ethereum, Litecoin, Dash, Zcash, Ripple, Monero, all of which are "virtual". There are no "physical" coins or currency.
Q: How do CCs work?
CCs are virtual currencies that exist in very large distributed databases. These databases use BLOCKCHAIN technology. Because every Blockchain database is widespread, it is considered to be immune to hacking, as there is no central point of attack and every transaction is visible to everyone on the network. Each CC has a group of administrators, often called "miners," who validate the transactions. An CC, called Ethereum, uses "smart contracts" to validate transactions. Crypto TREND will provide more details in upcoming news releases.
Question: What is BLOCKCHAIN?
Blockchain is the technology that underpins all CC. Each CC purchase, sale, or exchange transaction is entered into a BLOCK that is added to the chain. This technology is complex and will not be explained here, but it has the potential to revolutionize the financial services industry as transactions can be done quickly and easily by reducing or eliminating fees. The technology is also being researched for applications in many other industries.
Q: Are CC Exchange regulated by government?
For the most part, the answer is NO, which for some consumers is a big attraction in this market. It is currently the "wild west", but governments in most developed countries are examining this market to decide what regulation might be needed. A big decision is whether to treat CCs as currency or commodity / security. So far, Canada and the US have declared that the legislation of the Constitutional Court is legal, but the situation remains current in terms of reporting and tax implications. Crypto TREND will monitor and report on these developments.
Question: How do I invest in this market?
You may buy, sell and exchange CC of the Services by using the services of specialized "Exchange" services that act as intermediaries. You start by choosing Exchange, creating an account and transferring a fiat currency into your account. You can then place your BUY and SELL CC orders. There are many exchanges all over the world. Opening an account is quite simple and all these exchanges have their own rules for initial financing and withdrawal.
Crypto TREND in the future i will recommend CC exchange.
Q: Where can I save CC?
To have the freedom to move your cryptocurrencies around and pay bills, you'll need to have a digital wallet. These wallets come in several formats, such as desktop, cloud based, hardware (USB), mobile phone and paper. Many are FREE, but security is a big factor as no one ever wants to lose their wallet or steal it. Crypto TREND will recommend digital wallets in the future.
Q: What can I do with my CC?
In addition to investing in CC products, you can also use cryptocurrency for some financial transactions, such as money transfers and bill payments. The list of cryptocurrency companies is growing rapidly and includes major hits such as Microsoft, GAP, JC Penny, Expedia, Shopify, Bloomberg.com, Dish Network, Zynga, Subway and WordPress.
Q: What's next?
To begin with, we will keep each of the Crypto TREND articles brief and keep each of them as narrow as possible. As we noted earlier, we believe that cryptocurrency technology will be a game changer and potential investment opportunities like this come once or twice in a lifetime. Make no mistake, early investing in this sector will only be for your most speculative capital, money you can afford to lose.
Even if you do not want to invest at this point, acquiring an early understanding of this new disruptive technology will put you at a disadvantage to benefit from our recommendations as we move forward.
Expect to see more news and specific recommendations from Crypto TREND as we begin this journey in what may seem like a foreign jungle at the beginning. This is a volatile market and may not appeal to all investors, but Crypto TREND will be your guide if and when you're ready.