Aside from Bitcoin – interesting cryptocurrencies

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Cryptocurrencies earned a lot of traction in the recent years. For the most part it is thanks to Bitcoin, which turned a niche cryptography project into a practical technology. Now cryptocurrencies are a dynamically developing branch of the industry, offering diverse tokens with many uses. Thanks to the growing interest the threshold for entry into the world of cryptography also became lower, so today nearly anyone can invest in virtual money.

Investing in cryptocurrency – rules

Investing on the cryptocurrency market differs greatly from investing on the “traditional” stock exchange. There are many reasons for these differences, one of the being the simply the nature of these digital assets. In most cases they are not tied to any physical stock, which makes it impossible to calculate their “correct” price. On the other hand, there aren’t too many regulations concerning the trade, exchange, and use of e-coins and platform created for this purpose. The reason is that not only is it a relatively new and “uncharted” territory, but also because the anonymity and minimal supervision are one of the basic rules upon which the cryptocurrencies were founded in the first place.

Due to the aspects, the only “traditional” investment rule that can be applied to the cryptomarket is the supply-and-demand rule along with its direct derivatives. This in turn causes the need to use different strategies while investing in crypto. First of all, it’s important to remember that cryptocurrencies are priced mostly based on their popularity, as it is the biggest factor that drives the demand, with their use and functionality coming second, as they will ultimately decide how long the e-coin will hold. An investor should also be prepared for occasional losses, as crypto-market is very dynamic and can change drastically within minutes. Selling in panic is not rare, which causes destabilisation to further.

Finally, it’s worth mentioning that despite a growing amounts of widely-available knowledge on the topic, e-coins are still a relatively new thing for many, including people with previous experience in investing. Which is why it’s important to take a moment to prepare before starting a cryptocurrency trade.

How to prepare?

Preparing for investing should begin with gaining knowledge and learning the nomenclature used when discussing cryptocurrencies. Coin and token may seem interchangeable, but they describe different applications of crypto. Coins serve as internet currency, becoming digital money, while tokens are used to obtain certain services, usually being an internal currency for a concrete platform. There are so many cases like that, listing them would require a whole separate article. Without the basic knowledge about them it would be hard to perform a successful, independent cryptocurrency trading.

After making yourself familiar with the various types of cryptocurrencies, it is time to choose what do you want to invest into. It’s a very important decision, as it will dictate the details and difficulty level of the next steps.

After choosing an appropriate crypto it is time to take care of the tools that will be needed to manage the units. The most basic element that makes it possible to operate on a crypto-market is the crypto-wallet. E-wallets are divided into two main types:

  1. Hot wallet, installed on a device connected to the internet,
  2. Cold wallet in the form of a separate device with no such connections.

As a rule of thumb, cold wallets are recommended for long-term investments, while hot cryptowallets are used with more dynamic strategies. In the end, however, their usage doesn’t differ too greatly, and the choice between them will come down to the personal preferences and investment style of the user.

The last step is obtaining the chosen cryptocurrency. Crypto-market is no longer the only way to get the units, which gives the new investor quite a range of methods to pick from. While buying for the first time it is recommended to use an online cryptocurrency cantor. This method is much safer than buying from buying at the cryptographic market and much more convenient than looking for a stationery exchange. An important thing to pay attention to while looking for a good platform is the security measures it uses, not only against hacker attacks, but also sudden price changes that can occur between sending out the payment and it being recorded, which can result in huge losses. When it comes to this matter, one of the most noteworthy platforms is the independent crypto-cantor Crypto-ATM, which allows the client to set up an upper limit on the acceptable price growth. It guarantees that that if the costs of obtaining a cryptocurrency climb over the threshold specified by the user, the transaction will be stopped, saving the client from overpaying. Additionally, this crypto-cantor offers up to 24 possible crypto-fiat pairs, which is very important considering that the times Bitcoin was the biggest player in the field are coming to an end.

Is BTC becoming a thing of the past?

Bitcoin is expensive due to its popularity and historical meaning. BTC was the first actual cryptocurrency, which gained unprecedented fame and recognition, causing a true breakthrough in the modern technology. But currently the systems that keep it going are outdated, and its price overstated and highly unstable, even by crypto standards. Its functionality also leaves a lot to be desired, especially when compared to other, new altcoins. Currently, instead of a pioneer technology and money of the future, Bitcoin turned into a store of value, like a digital gold.

At the same time, cryptocurrencies as a whole made incredible progress, evolving, differentiating between themselves, creating and filling new niches. Right now crypto has many kinds and applications, with some of them even being implemented and used by international companies and global corporations, which is the best proof of their effectiveness.

That’s why BTC, although still greatly valued and widely recognised, seems to be mostly fueled by its past glory and few faithful investors. But it’s far from being a real leader of the cryptocurrency market now.

Aside from BTC

If not Bitcoin, then what? Depending on the needs and interests of the investor, there are quite a few crypto that deserve attention:

TRON:

  • CEO with a strong media presence, which ensures continued interest in the crypto
  • Unarguably the leader of the new niche of crypto-gaming
  • Dynamically developing cryptocurrency
  • Aims to create a new quality of entertainment, resistant to censorship
  • Steadily grows in value

Ripple:

  • Created for corporate clients
  • Used by many international companies
  • Cheap and fast
  • A perfect example of applying crypto to financial technologies

Stellar:

  • Dedicated to private users
  • Highly functional
  • Accepted as payment in many places
  • Easy to use

Ethereum:

  • Leader of the smart contract technology
  • Allows for creating decentralized applications
  • Strong position as a second most popular crypto overall

Of course, there are many more interesting cryptocurrencies out there. The ones mentioned above, however, are definitely leading in their respective fields while also popular enough in comparison to other crypto overall to ensure obtaining them will be relatively easy.

Cryptocurrencies and crypto-based technologies are consistently gaining popularity. Crypto market is growing in worth and evolving all the time. Which is why Bitcoin, even though it was a real breakthrough 10 years ago, is slowly being on its way out. Right now there are so many interesting cryptocurrencies worth our attention. Although they obviously build their success on the nearly legendary renown of Bitcoin, more often than not they are trumping it in aspects like security, usefulness, and functionality. This is why it’s worth to look a bit further and take part in the technological revolution of our times that comes with cryptocurrencies.