I’ve been hearing terms like decentralized, crypto, Ethereum, and bitcoin a lot lately and I had no idea what that meant. I was fortunate enough to get a copy of Into the Cryptoverse by Trevor Yeung and I now have a basic idea of Cryptocurrency and how it works.
Into the cryptoverse as the book suggests is a beginner’s guide for anyone trying to get their head around Cryptocurrency. It’s written in simple language and is a relatively short read with tons of knowledge.
Into the Cryptoverse
So the big question is what is cryptocurrency?
Cryptocurrency is a digital asset that is created using encryption algorithms that can be transferred between peers without the need for a central authority. Cryptocurrency is used as a medium of exchange, and is also referred to as virtual currency.
Unlike a bank there is no middleman or third party that’s where the word decentralized is heavily used. Cryptocurrencies are not controlled by any single entity and are not backed by any kind of physical commodity like gold or silver.
Cryptocurrencies are different from traditional currencies because they don’t have a centralized authority, like a central bank. Instead, cryptocurrencies depend on cryptography to regulate the generation of units and verify the transfer of funds.
Cryptocurrency exchanges are websites where you can buy or sell cryptocurrencies in exchange for other digital currencies or fiat money (government-issued currency). They operate as marketplaces with sellers and buyers trading cryptocurrency for other assets.
Top Cryptocurrency Exchanges
A cryptocurrency exchange is an online platform where you can buy, sell, and trade cryptocurrencies. These exchanges allow users to buy and sell cryptocurrencies using different types of currencies such as US dollars or Euros.
Some of the Top Cryptocurrency Exchanges are:-
Cryptocurrencies are not printed like paper money but are mined on the internet by people who use computers to solve complex math problems. The more computer power they have, the more chance they have of solving these math problems and earning cryptocurrency as a reward.
Cryptocurrency exchanges are online brokerage services that allow traders to buy or sell cryptocurrencies. These exchanges are not really different from traditional stock brokerages. They provide a platform for people to buy and sell coins or tokens of their choice.
The main difference is that while stocks are traded on the stock market in the form of shares, cryptocurrencies are traded in the form of tokens or coins on cryptocurrency exchanges.
Benefits of Cryptocurrency
Cryptocurrency is different from regular currencies because it doesn’t have any physical form. It exists only in digital form and can be transferred between two people without going through a financial institution like a bank or credit card company.
This database is not stored in any single location, meaning the records it keeps are truly public and easily verifiable. Such a system allows money to be transferred between two parties with complete assurance that no one can alter the transaction, and that neither party can cheat the other. This is the power of blockchain technology.
How to get started with Cryptocurrency
Buying cryptocurrencies is not as difficult as it seems. All you need to do is follow these four steps: Decide where to buy it, choose how you’ll pay, invest in crypto, and store.
There are different types of cryptocurrency available in the market right now. Bitcoin is the most common one and there are other altcoins too. You can also invest in ICOs or Initial Coin Offerings if you want to get started with cryptocurrency trading.
One of the important things to remember while buying cryptocurrencies is that you need a wallet for storing your digital assets.
For starters buy a small amount of bitcoin or any other crypto for that matter but don’t break the bank. Once you have that piece of crypto track it and get used to how the platform works.
Acquire it at a low price and sell at a high price that would be the go-to advice if you are in it for the short run else hold on to it and see where the market goes.
Another good resource to learn about Crypto is podcasts. I listened to the Full Send Podcast featuring GaryVee not too long ago and it was decent but the language is NSFW.
How to store cryptocurrency
Cryptocurrencies are stored in digital wallets, which can either be hardware or web-based.
There are a few ways to get started with cryptocurrencies – you can buy them on an exchange, mine them, or receive them as payment for goods/services rendered.
There is also a way to store your cryptocurrency – you can store it on an exchange, in a desktop wallet
There are different types of cryptocurrency, which are classified based on their use case. One of the most popular types of cryptocurrency is utility token, which provides access to a company’s product or service. Another type of cryptocurrency is store of value tokens, which are often referred to as cryptocurrencies like bitcoin.
If you want to get started with cryptocurrency, you should first start with learning about the different types and then decide on what type suits your needs best. You should also learn how to store your cryptocurrencies securely in order to avoid being hacked or scammed.
As long as your crypto is connected to the internet then it is called hot storage. Keeping your crypto offline is called cold storage. You can also generate a brain wallet but don’t forget your private key. If you want to learn more I suggest you dive Into the cryptoverse get yourself a copy of Into The Cryptoverse Today!