You’re eager to dive your toes into the sea of cryptocurrency. Your coworker at work won’t stop raving about Bitcoin. Or maybe you’d like to know what all the hype is about. It doesn’t matter how you got here, this digital frontier is both intriguing and a bit confusing. Like trying to explain “Inception.” Continue reading to see the full picture!
Okay, let’s cut the pieces into bite-sized pieces. Digital currency, unlike the broken-up dollar that you have inside your wallet, is internet-based. Imagine that money you cannot feel or touch could be as if you’re trying to smell a colour, but it’s a real thing. It’s more real than the “homemade” sushi my friend makes. It’s cucumbers and rice glued together in an awkward manner.
Why do we talk about digital cash? It’s booming–figuratively like a firecracker, sometimes literally like an overcooked turkey. These crypto currencies — Bitcoin, Ether, Dogecoinare promising profits that are so great that traditional stocks seem like the tortoise of that old race.
However, this potential comes in the form of booty-to-booty, but with uncertainty. What is the return? Absolutely. High risk? You betcha. Investing in cryptos is like riding a rollercoaster operated by an 8-year-old–exciting, unpredictable, sometimes heart-stopping. The objective is to hang the line and perhaps catch a glimpse of the view.
Can we believe it? The million-dollar issue. Blockchain technology, which powers it, has tremendous potential. Imagine a digital ledger–like those ancient scrolls but not as papyrus-based, and more programmatic. Each transaction is a permanent entry, hard to alter, at least theoretically. This is all public, much as if you were to air your dirty laundry in a town-hall meeting.
Even techies find this subject difficult. It’s fresh, fast and keeps you on your toes. Be cautious, as errors are a part of the game. If you are prone to making a mistake the financial cost could be as high as the goldfish that you keep as a pet.
Many people ask themselves, “Which coins should I buy?” A lot of people have tried to alter their screens in an attempt to answer this question but have not had any results. Nobody has a magic crystal ball. Bitcoin is the largest player however there are numerous smaller players with exciting possibilities. Have you ever heard of “altcoins”? They’re not just hip replacements at a party in the bull market; they are every digital currency that’s not Bitcoin.
You should think about setting up checks and balances while you play digital roulette. You wouldn’t jump off a board and not have water, right? Don’t throw your savings from life into the digital abyss. Only invest the funds you’re willing to give away, like that strange stain that you find in your favorite pair socks.
Remember, it’s not all chaos and storm clouds. Some have made it big. Like Mr. “Bitcoin Pizza Guy” who spent 10,000 BTC on two pizzas in the past, pizzas that’d now be worth more than a yacht. The moral of this story is that being patient can get you the best cheese.
Good advice is just as useful as cryptos. Forums and social media, as well as opinion pieces–they’re the new advisors. Be wary and cautious. Internet chats are both sources of wisdom as well as pitfalls of folly.
Be aware that enthusiasm is infectious but discerning is the king. The digital currency story continues to unfold. Who knows what’s next? It could fizzle out, like a forgotten bottle of Coke, or it could rise like a carnival. There’s plenty of room for both excitement and skepticism in the thrilling world of cryptocurrency investment.
Dive in, but always keep a life raft nearby–just in case you have to return to shore.