Everyone has heard how it was Bitcoin and other cryptocurrencies that made millions of those who recently bought a year ago. Earnings of 1000% or more are not only possible, they were a popular place in many of these cryptocurrencies. The person who bought Bitcoin in May 2016 for less than $ 500 would have made a gain of 1,400% in about 17 months. Then over the past few days, we've seen that Bitcoin is losing nearly $ 1,000, so to say that these cryptocurrencies are volatile will be undervalued.
Since the creation of Bitcoin in 2008, we at Trend News have been questioning the crypto currencies' viability, given that they pose a very clear threat to governments that want to see and tax all transactions. But while we remain cautious about real cryptocurrencies, we are well aware of the potential of the underlying technology that powers these cryptocurrencies. In fact, we believe that this technology will be a major disruption in how data is managed, and that it will affect every sector of the global economy, such as the impact of the Internet on the media.
Here are some questions and answers to get started with us …
Q: What are encryption currencies?
The most famous cryptocurrency (CC) is BITCOIN. The first CC version, started in 2008. Today there are more than 800 copies, including Ethereum, Litecoin, Dash, Zcash, Ripple, Monero, all "virtual". There are no "physical" currencies or currency.
Q: How does CC work?
CC's are virtual currencies found in very large distributed databases. These databases use BLOCKCHAIN technology. Because each Blockchain database is widely distributed, it is believed to be immune to piracy, as there is no focal point of attack and every transaction is visible to everyone on the network. Each CC has a group of officials, often called "miners", who validate transactions. One CC called Ethereum uses "smart contracts" to validate transactions. Crypto TREND will provide more details in upcoming news releases.
Q: What is blockchain?
Blockchain is a technology that supports all CC &. Each transaction to buy, sell or exchange CC & is entered into a block 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, where transactions can be carried out quickly and easily, reducing or eliminating fees. Technology is also checked for applications in many other industries.
Q: Is the exchange of securities regulated by the government?
For the most part, the answer is NO, which, for some users, are great attractions in this market. It is the "Wild West" at the moment, but governments in most developed countries are looking at this market to decide what regulation might be needed. The big decision is whether to treat the CC as a currency or commodity / security. Canada and the United States have so far declared that the Personal Status Law is legal, but the situation remains in question for reports and tax implications. Crypto TREND will be tracked and reported on these developments.
Q: How can I invest in this market?
You can buy, sell and exchange CC using specialized "exchanges" services that act as an intermediary. You start by selecting Exchange, creating an account, and transferring paper currency to your account. You can then place the BUY and SELL CC commands. There are many exchanges around the world. Opening an account is fairly simple, and all these exchanges have their own rules for financing and initial withdrawals.
Directional encryption CC exchanges will be recommended in the future.
Q: Where can I keep CC format?
To get the freedom to transfer your encryption currencies and pay your bills, you'll need a digital wallet. These wallets come in many formats, such as desktop, cloud-based, hardware (USB), mobile phone, and paper. Many are free, but security is a big factor because no one wants to lose or steal their wallet. 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 encryption currency for some financial transactions, such as transferring funds and paying bills. The list of companies that accept cryptocurrency is growing rapidly, and include major hitters like Microsoft, GAP, JC Penny, Expedia, Shopify, Bloomberg.com, Dish Network, Zynga, Subway and WordPress.
Q: What's next?
When we start, we will keep each of the Crypto TREND articles short and keep the scope of each as narrow as possible. As noted earlier, we believe that cryptocurrency technology will be a change in the game and potential investment opportunities like this come once or twice in a lifetime. Make no mistake, early investment in this sector will be only for your speculative capital, the money you can lose.
Even if you don't want to invest at this time, gaining an early understanding of this new disruptive technology will put you in a good position to take advantage of our recommendations as we move forward.
We expect to see more specific news and recommendations from Crypto TREND as we begin this journey to what might seem to be a foreign forest at first. This is a volatile market and may not attract all investors, however, Crypto TREND will be your guide if you are ready and when.