In the year 2016, the worldwide phenomenon regarded as cryptocurrencies came to limelight. At this time, people who had at initial stages showed passive interest became more interested and were actually itching to know more.
You will agree with me that of all the cryptocurrencies in the world, bitcoins are probably the most popular so even if you have heard nothing about other types of cryptocurrencies, you will be a tad familiar with the term bitcoin!
This article would give you the basic idea required to be able to contribute knowledgeably to any discourse on cryptocurrencies. Of course at the end of the article, we would highlight why this could be the best investment you ever made. Relax while learning a thing or two about the world of crypto.
What are cryptocurrencies?
A cryptocurrency simply put is a virtual currency (amongst many other types of virtual currencies). Cryptocurrencies were made to function as a medium of exchange between individuals or as we would begin to see as this year wears on, corporate bodies.
These currencies are fast becoming favourites amongst people because of the special protection they are coated with. They are protected by cryptography which in turn helps users transact in a safe atmosphere. Reports have it that there are over 1300 cryptocurrencies now in existence.
It is quite understandable that with the constantly growing popularity cryptocurrencies are garnering, one would want to fully understand the concept. Asides bitcoins, other popular cryptocurrencies include ethereum, ripples, litecoin etc.
Why should you buy cryptocurrencies/why are people buying them?
This is probably the part you have been waiting for. The fact that people are heavily investing in bitcoins should make you want to understand their reasons. The reason why you should buy cryptocurrencies or the reasons why people are buying cryptocurrencies would be discussed vis-a-viz its advantages.
- A safe medium to carry out transactions globally: The fact that cryptocurrencies were made to be a means of exchange on a global scale is the first reason why you should want to buy them. Sometime in the year 2017, there were speculations that some notable service providing platforms would begin to accept bitcoins as a medium of payment for their services. They are protected by cryptography making your units secure for any transactions you want to use them for. Cryptocurrencies are also the fastest means of exchange anyone could use out there so the question is why shouldn’t you?
- Rapid increase in value: To buy cryptocurrencies, you absolutely do not need large sums of money. A steadily growing means of exchange, your investment is sure to grow over the years! We watched how amazingly bitcoins grew in the past year and how it achieved landmark figures, ones never attained by any cryptocurrencies before. The thing is, with the constant recognition cryptocurrencies are garnering, now would be a good time to invest.
- Transacting with cryptocurrencies provides a free rein of anonymity. You can do every transaction from the comfort of your home. This is fast becoming a truly digital world, what are you waiting for?
These are just the most basic explanations with regards to cryptocurrencies, hopefully, this can spurn you to do more research and to eventually invest.