Crypto

Cryptocurrency


A quick search online shows there are over 10 THOUSAND cryptos which is bad news if you're new and looking for a place to start. so let's look into it


What is crypto?


Crypto is digital money, exactly like a coin that you hold in your hand, but this one is an online token. Although there is no “actual” coin, all computers, which have crypto software, recognize you do have an invisible coin! People can buy things directly in some places with cryptocurrency or trade traditional currency (dollars/pounds) for this digital money. Some of the main cryptos are:

  • Bitcoin

  • Ethereum

  • Binance

  • Tether

  • Litecoin


How to invest?

You can buy crypto on your laptop directly using a digital wallet (a secure encrypted location where you store your cryptocurrencies - BUT DON’T LOSE YOUR LAPTOP!!!). You can also create an account with a crypto exchange like Binance, Okex, Coinbase, which allow you to trade (buy and sell) within their site. If you manage to buy when the crypto coin is cheap (e.g. £1) and sell when it’s high (e.g. £10), you make money!

But you could lose money if the crypto goes down after you buy. Trading Crypto is like gambling, you could be lucky and make money, but you may lose value and then BOOM you’re broke so only invest as much as you are willing to lose.



Safety


There’s little risk of crypto owners fooling the system by creating fake money (like creating fake pound notes), due to what is known as the “Blockchain” - the crazy and intelligent verification process for crypto.


However, if internet thieves find out your crypto passwords, it is easy for them to steal your money and not at all easy for you to find it again. Also beware of losing your password! There is a great video of a man who hired someone to hack his own account to recover his 2 Million dollars of crypto…


If the crypto exchange gets hacked like MtGox did, you may also lose money too. So the moral of the story. Protect and look after your passwords and be careful with the exchanges you choose!!!



The Dark Side


Crypto got a bad wrap due to thieves, drug lords and bad people channeling money through crypto as it escapes many government controls. Some governments have ban their citizens from trading crypto - but not very effectively.





By Joshua.H.F