Crypto comes from the word cryptography, which in basic terms means to encrypt and decrypt secure & reliable data. Cryptography added with blockchain technology (an immutable ledger) forms the basics of what we are here to learn about. Cryptocurrency, Security Tokens & Utility Tokens.
Blockchain is a digital ledger used to record transactions in blocks across many devices across the world, all communicating and storing a copy of the agreed upon ledger. Blocks that are agreed to be correct on the network are added to the chain of blocks. Blocks in the chain are permanent and can not be tampered with.
Normally, if you want to send someone money, you would need to go through a third party such as a bank or a payment processor. With Crypto, there is no third party, you can send directly to anywhere in the world, instantly with any amount, for a minimal fee. Now what if we applied the same concept to everything that holds value, such as stocks or doctor records. This is where security and utility tokens come into play. Storing these items of value in a digital, easy to access system makes things extremely efficient. Ever wonder why every time you go somewhere (doctor, dentist, bank etc, you find yourself filling out the same info (name, address, number, ID) on a piece of paper, only for that person to input it into a computer?Why couldn’t you just send that information instantly in a secure manner? Well the future is here..welcome to Crypto. Welcome the billions of people without access to current digital systems. Crypto also allows anyone with a smart phone or internet access to play a role in the same system, which will bring an opportunity to billions of people currently left out.
Most people use what’s called an exchange to convert their Fiat currency into Crypto
Find an exchange that allows the trading of your crypto.
By sending or withdrawing them to the correct public address.
Market cap is the price times the amount of coins in circulation. Giving a total valuation of supply that could hit the market.
Total supply is the maximum amount of supply a coin or token can have.
I use the website CoinGecko.com for basic information.
YES, Stable coins. They are backed by something of value, such as Dollars, Fiat, gold, etc…. for example Tether (USDT) is backed 1:1 of a dollar.
I’d say no, unless you really trust that person. It’s best to have a piece of mind knowing no-one else has your passphrase or private keys to steal your funds sometime in the future. As a business this can be different by holding whats called a Multi Sig wallet.
As secure as the Exchange it is on or if its in your own wallet it depends on has how well protected your private keys are. Once you use them as a backup and put them into a digital place, make new ones.
I’m not a financial advisor, but I believe that Crypto is in a phase of exponential growth. It also has the ability to reach everyone that has access to a smartphone. Crypto shows signs of reaching a market cap much bigger than the current market cap of stocks today.
That’s a Million Dollar Question and Everyone Will Have a Different Answer. Always Do Your Own Research (DYOR) and invest responsively.
This is called Technical Analysis (TA). TA comes in handy when trading any market and Crypto is no different. Get some basic Crypto TA skills as you move along your Crypto journey.
For the once in a lifetime Opportunity. There is No Other Market Out there today that is pointing in the direction of exponential growth than crypto currencies.