Everybody has heard how Bitcoin along with other crypto currencies are made millionaires of those who bought recently as a year ago. Gains of 1,000% or more are not just possible, they’ve been common place with many of those crypto currencies. Someone who purchased Bitcoin at May 2016 at under $500, would have had a gain of 1,400% in approximately 17 months. Then over the last couple of days, we saw Bitcoin lose almost $1,000, so to say these crypto monies are volatile could be a massive understatement.
Since the beginning of Bitcoin at 2008, we at Trend News have already been skeptical of crypto currencies’ ability to survive, given that they present a very clear danger to governments who wish to view and tax all trades. But while we may continue to be cautious on the actual crypto monies, we’re extremely alert to the potential of the underlying technology that forces these electronic currencies. In fact, we believe this technology will be a substantial disruptor in how data is handled, and that it is going to affect every sector of the global economy, much like how the net impacted media sumokoin.
Here are a few questions & answers to get us started…
Q: What are Crypto Currencies?
It was the first CC, started in 2008. Nowadays there are more than 800 CC’s, such as Ethereum, Litecoin, Dash, Zcash, Ripple, Monero, and they’re all”virtual”. There are no”bodily” coins or currency.
Q: How can CC’s work?
CC’s are virtual monies which exist in very large distributed databases. These databases use BLOCKCHAIN technology. Because each Blockchain database is broadly dispersed, it is thought to be resistant to hacking, as there’s not any central point of attack and each transaction is visible to everybody on the network. Each CC has a group of administrators, often called”miners”, who validate transactions. One CC named Ethereum uses”smart contracts” to confirm transactions. Crypto TREND provides additional information in upcoming news books.
Q: What is BLOCKCHAIN?
Blockchain is the technology which underpins all CC’s. Each transaction for the purchase, sale, or exchange of CC’s is entered to a BLOCK that is added to the series. This technology is complex and won’t be explained here, but it has the capability to revolutionize the financial services sector, as transactions may be implemented quickly and easily, eliminating or reducing fees. The technology is also being examined for applications in many other industries.
Q: Why Are CC Orders controlled by authorities?
For the most part, the solution is NO, which, for many users, is a huge attractions of the marketplace. It’s the”wild west” right now, but authorities in most developed countries are examining this marketplace to decide what regulation could be needed. A major decision is whether to take care of CC’s as a currency or a commodity / safety. Canada and USA have declared that CC’s are lawful, no matter how the situation remains fluid as for reporting and taxation implications. Crypto TREND will be following and reporting on those improvements.
You may purchase, sell, and exchange CC’s using the services of specialized”Exchanges” that work as a brokerage. You begin with selecting an Exchange, establishing an account, and transferring fiat money in your account. There are lots of exchanges across the world. Opening an account is fairly simple and these exchanges have their own rules about first withdrawals and funding.
Crypto TREND will probably be recommending CC Exchanges at the future.
Q: Where do I maintain my CC?
To have the freedom to move your crypto currencies around, and to pay invoices, you will have to have a digital wallet. These pockets come in several formats, for example cloud, desktop based, hardware (USB), cell phone, and paper. A number are FREE, but safety is a huge factor as no one ever wants to shed their wallet or have it stolen. Crypto TREND will be advocating electronic pockets in future.
Q: What do I really do with my CC?
In addition to investing in CC products, you can also use crypto money for several financial transactions, such as cash transfers and paying invoices. The list of businesses accepting crypto money is growing quickly, and includes big hitters like Microsoft, GAP, JC Penny, Expedia, Shopify, Bloomberg.com, Dish Network, Zynga, Subway, and WordPress.
Q: What is next?
As we start off, we’ll continue to keep every one of the Crypto TREND posts short and keep the scope of each one as narrow as you can. As we mentioned earlier, we believe that the crypto currency technology will be a game changer and potential investment opportunities such as this come by once or twice in a lifetime. Make no mistake, early investing in this industry will be just for the speculative capital, money that you could afford to lose.
Even if you are not wanting to invest at this time, gaining a historical comprehension of this new disruptive technology will put you in an advantageous position to profit from our recommendations as we proceed.