Cryptocurrency is more than just a buzzword in the 2020s: It is a digital asset that is helping many buyers to increase their net worth. Before jumping into cryptocurrency, buyers need to understand what these types of purchasing options are and the unique benefits they offer, according to Domenic Carosa and Dan Schatt, experts at the new social cryptocurrency marketplace Earnity. Let’s take a look at three of the most important things to know about cryptocurrency.
First, cryptocurrencies are virtual assets that buyers can exchange and trade for services and goods, just as they would traditional currencies, like the United States dollar. All of this is done online. The very first cryptocurrency, now widely known as Bitcoin, made its debut more than 10 years ago. Since that time, alternative coins, such as Ethereum and Dogecoin, have grown in popularity.
Second, consumer confidence ultimately dictates the success of cryptocurrencies. Supply and demand, which impact large cryptocurrency holders, also have a bearing on cryptocurrency’s success. This makes cryptocurrency very different from traditional currencies, which have a tendency to fluctuate as a result of several other factors, including the current inflation outlook and a nation’s economic performance at a given time. In light of the above, the value of cryptocurrency can quickly change.
Third, cryptocurrency transactions are stored and verified in blockchains, which helps to ensure safe crypto transactions. With blockchains, sellers cannot sell the same digital asset more than once, and they will also receive the money due to them in their transactions.
Fortunately, although navigating the crypto space can seem daunting, Earnity makes it easier, according to Domenic Carosa and Dan Schatt. These financial technology experts said they are excited to equip more people around the world to hold, buy, and sell cryptocurrencies through the platform and subsequently achieve the financial futures of their dreams.