Articles: Articleshttps://topgold.forum/articles/cryptocurrencies/?d=1Articles: ArticlesenHow To Tell That A Cryptocurrency Deal Isn’t Legithttps://topgold.forum/articles/cryptocurrencies/how-to-tell-that-a-cryptocurrency-deal-isn%E2%80%99t-legit-r170/

Scams and fraud are evolving realities we all face when operating in the virtual space. Whether placing bets on the best online casino or making a simple online purchase, you’re always at risk of being tricked into having your personal and financial information exposed to parties that only want to take advantage of your details without your knowledge.

When it comes to crypto investments, the risk is no different. And because many traders are constantly looking for opportunities to grow their investment portfolio, they open themselves up to frauds and scams that could cost them a lot of money.

However, suppose you know the common signs and red flags to look for. In that case, you’ll be able to identify such instances quickly and take necessary action to protect yourself accordingly.

Wanting Crypto-Only Payments

Suppose a retail establishment or ‘credible’ person insists on being unable to accept any form of payment other than Bitcoin or Ethereum. In that case, the transaction is likely to be a scam.

According to experts, Bitcoin and other leading altcoins are considered a burgeoning asset class. This means legit institutions and people won’t accept crypto alone without making room for other fiat currency options through online payments like card payments, wire transfers, checks, and cash.

Fake Or Anonymous Identities

The fact that KYC protocols don’t exist on blockchain makes the entire process questionable. But this cannot be avoided forever because, in due time, law enforcement agencies existing on every municipal level will begin to implement new tools that they can use to investigate scams that are on smaller-scale blockchains.

In the meantime, there’s still a possibility that digital blockchain assets, NFTs, and crypto tokens could be used by criminals to engage in money laundering activities on small and large scales.

By sticking to beginner-friendly crypto exchange platforms like Gemini and Coinbase, you can avoid risks that generally surface with trading on smaller, less popular, niche exchanges. Also, it’s best to begin the trading journey by sticking to popular cryptocurrencies like Bitcoin and Ethereum since these cryptos have a longer track record that shows an increasing value compared to others that recently entered the market.

Games And Digital Collectibles

Sophisticated coders can create imaginary worlds and new games on the blockchain. So, when a scammer wants to take advantage of this, they will entice excited blockchain beginners into buying a newly minted token or coin to get the game.

When there’s enough demand, the price will go up for the game, giving the scammer a chance to sell all of their holdings and disappear. This move is called a “rug pull.”

Unlike what you’d find with a bank account where you have FDIC insurance or fraud protection when you’re victim to the “rug pull”, your money will get stolen, and the only way to get it back is if the recipient reverses the payment.

As most experienced traders would know, this kind of gesture is highly unlikely to happen because all of this happens on a decentralized exchange.

Crypto Investment Schemes

New cryptocurrencies are being minted and launched on the blockchain as an initial coin offering (ICO). Though this may be an exciting time for founders and investors to try something new to find another lucrative opportunity, it also means scammers have a new way to create opportunities for themselves.

When a founder in the form of a company or individual presents an offer that sounds too good to be true, they may add a lot of pressure to the deal so you can deposit several new coins into a digital wallet that’s already been messed with. Or you could be pressured into buying the coin and selling it when the price explodes.

Romance Scams And Phishing Scams

Romance scams are when scammers pressure buyers to buy specific new crypto simply because the relationship was established on a dating app. And then phishing scams are when scammers bait recipients through enticing emails so the recipient can click a specific link and share personal details.

]]>170Sun, 01 Oct 2023 18:54:49 +0000How you can make profits with Cryptocurrencieshttps://topgold.forum/articles/cryptocurrencies/cryptocurrencies-profits/

Cryptocurrency is taking the world by storm, and although there are a few that are picks against the spread, the majority of crypto is doing well. Crypto is still a relatively new concept, but with some easy tips, anyone can make some money from it.

Today, we focus on cryptocurrency, its different aspects, and how it can make money for you.

What are Cryptocurrencies

Krypton in Greek means hidden, which cryptocurrency is mainly loved for. The truth is that cryptocurrency is just like normal money, except that it is a digital currency and decentralized. Not only can you receive and send money, but you can also use it as a means of investment.

The fantastic thing about crypto is that you can work it like a normal job, thanks to crypto mining. Crypto mining is the process of generating cryptocurrencies while simultaneously approving transactions.

This process will involve new coins being created. The people who mine cryptocurrency are called virtual miners. These miners are paid through transaction fees; however, some are given a small portion of cryptocurrency. This field is highly competitive and needs the right equipment.

Speaking of equipment, another form of mining is essential to note: cloud mining. Cloud mining can happen by either leasing or purchasing mining equipment.

The mining equipment is leased or purchased from a third party. The leaser of the equipment is responsible for maintaining it. Different cloud models are used. However, a few popular ones include leased hash power and hosted mining.

How You Can Make a Profit Off Crypto

There are various ways to make a profit off of crypto. In this section on how to profit from crypto, we look at a few of these.

Investing in Crypto

Investing in crypto is a very common way to make money. You can invest in cryptocurrency without owning a single piece of crypto. Think of investing in crypto the same way you would think of investing in minerals such as gold, silver, platinum, etc.

All you need to do to invest in a cryptocurrency is choose a broker or a crypto exchange. From there on, all you would need to do is create an account and verify that account. After this is complete, you must deposit the funds you want to invest and place your order. You can then go on and choose a storage method.

Staking and Lending Your Crypto

Staking involves locking your money in a cryptocurrency wallet. Staking is used to validate transactions. It’s important to note that when you are staking cryptocurrency, you do not spend the cryptocurrency you have; instead, you lock it in a cryptocurrency wallet.

When looking to stake your crypto, you must understand that you must look for a proof-of-stake network. The idea of staking is to lend your coins to the network. The staking method helps maintain security and verify transactions that are happening.

When we consider borrowing money from a bank, we think of interest. The interest you receive from borrowing the network of your coins is the profit you will make. It’s important to know that proof-of-stake uses an algorithm to choose validators.

The algorithm will choose you based on the number of coins you commit to the stake. If you want to profit but cannot afford crypto mining, this would be your best shot at making money. You can also lend your coins to investors to make money off of lending.

When you do this, you can generate an income. Many platforms can assist you in beginning your journey with crypto lending.

Final Thoughts

Making money from cryptocurrency is simple once you have the information you need. Various options make it easier for you to choose what best suits you. Always do your research and find the best thing that works for you.

]]>169Sun, 01 Oct 2023 18:47:40 +0000Top 25 Cryptocurrencies you should know abouthttps://topgold.forum/articles/cryptocurrencies/top-cryptocurrencies/

This guide will present you with the top 25 cryptocurrencies you should know this year. It doesn't matter if you are investing or trading cryptocurrencies or not.

In one way or another, you will hear about them this year because these cryptocurrencies are set to disrupt the current financial system as we know it. So it doesn't matter if you want to invest in them and make an excellent return on your funds or if you want to stay on the fence.

Here are the top 25 cryptocurrencies you will hear more about.

What are the best cryptocurrencies?

In 2020, several reputable financial institutions had already recognized crypto's potential. To give you several examples: JP Morgan started banking Coinbase and Gemini. Visa and Mastercard provided services to crypto companies, and PayPal launched a new service, enabling users to buy, sell, and hold cryptocurrencies. Fidelity started a new Bitcoin index fund, which appears to be Wall Street’s latest play for high-dollar institutional crypto bets. But there are more than 7,000 cryptocurrencies on the market today.

With such a broad range of cryptocurrencies, how do investors know the best cryptocurrency? From the most popular cryptocurrencies making headlines worldwide to lesser-known digital currencies you may never have heard of, here are the best cryptocurrencies to buy.

Do you have thought that I would start with Bitcoin? Well...no. I think Ethereum is going to boom in 2024. Continue reading to find out why.

1. Ethereum (ETH)

Vitalik Buterin created Ethereum and went live on July 20, 2015. It aims to utilize a blockchain to replace third web parties — those who store information, transfer mortgages, and monitor complicated financial instruments.

The team developing Ethereum has started implementing a series of upgrades called Ethereum 2.0, which includes a transition to proof of stake and increased transaction throughput using sharding.

What is Ethereum - Complete Guide

Ethereum blockchain network has always been preferred for decentralized applications (dApps). In addition to its native cryptocurrency, Ether (ETH), the platform supports other crypto platforms such as Uniswap (UNI), Maker (MKR), and Aave (AAVE), which are active in the decentralized finance sector. DeFi is considered one of the fastest-growing crypto trends, transforming insurance, loans, and savings programs, making them independent from banks and other centralized financial institutions.

What is Ethereum, and how to use it? [Complete Beginners Guide]

2. Bitcoin (BTC)

Bitcoin is the first cryptocurrency invented. It was released by someone called Satoshi Nakamoto. We don't know if this person exists or is just a pseudonym. According to this article, Satoshi's BTC account holds 1,148,00 bitcoins, which should be around 46 billion USD in today's money, but the coins have never been moved and keep adding up.

Bitcoin is still the 1st cryptocurrency with a 748 billion USD market cap and a daily transaction volume of 70 billion USD. Today (February 17), for the first time in its history, 1BTC was traded for $51K.

Being the main entrance door for people in the cryptocurrency market and the most known cryptocurrencies will make it relevant for years. But in my opinion, its importance will continue to fade as better blockchain systems appear. We can mention the high transaction fees, low transaction volume (up to 7 per second), and the high energy costs to mine it as downsides.

3. Cardano (ADA)

Cardano is the largest third-generation cryptocurrency, packed with plenty more upside potential in 2021. Here is a short video that explains what Cardano is:

ADA cryptocurrency on the Cardano network is one of the most technologically exciting cryptocurrencies. Its proof-of-stake system means it can operate more efficiently than the standard proof-of-work system. And its use of smart contracts means it can keep track of transactions like Bitcoin while handling payments like Ethereum. In short, it’s a third-generation coin that improves on its predecessors.

4. Polkadot (DOT)

Polkadot is an open-source project founded by the Web3 Foundation and has commissioned five teams and over 100 developers. The leading figure of Polkadot is Dr. Gavin Wood, who some of you may know as one of the founding fathers of Ethereum and author of the Solidity smart contract programming language. The video below will find what the Polkadot (DOT) is and some of its unique features. Also, you will understand why Polkadot is called the next version of Ethereum.

The Polkadot project aims to enable a completely decentralized web where users are in control. Polkadot facilitates an internet where independent blockchains can exchange information and transactions trustlessly via the Polkadot relay chain.

From a technological standpoint, Polkadot’s key difference is its use of parachains — multiple blockchains that can run parallel. That solves a massive issue for Bitcoin, a single, growing blockchain that all miners (and transactors) need to store.

Interoperability and scaling are the next major steps in the blockchain industry that Polkadot aims to resolve, making it a reputable cryptocurrency.

Now that you know what Cardano and Polkadot are, it's time to take a step-by-step comparison between these blockchain models because I believe smart contracts (which both these blockchain supports) will be the future.

It's essential to start learning about digital currencies like Polkadot so that you can make the most of their potential. The video below was created by CoinBureau and compared side by side with Cardano and Polkadot.

5. Ripple (XRP)

Ripple was created as an alternative financial payment system to transform and facilitate cross-border payments, making them 100%  safe, almost accessible, and instant. According to the report by OMFIF (the Official Monetary and Financial Institutions Forum), Ripple, with its distributed ledger technology (DLT), could “position itself as an alternative to SWIFT,” solving five significant issues: security, speed, traceability, cost, transparency, and risk management.

On December 22, 2020, the SEC announced that it had “filed an action against Ripple Labs Inc. and two of its executives, who are also significant security holders, alleging that they raised over $1.3 billion through an unregistered, ongoing digital asset securities offering.” 

After this, many big US cryptocurrency exchanges dropped Ripple's support, but the price remains relatively stable as XRP sees considerable support overseas, especially in Japan.

6. Stellar (XLM)

Stellar offers low-cost, cross-border transactions. After lagging behind bitcoin in 2020, Stellar surprised analysts and investors by rocketing 200% in the first week of January. 2021 is shaping to become Stellar’s year. Check the video below, created by the guys at Exodus Wallet, to find out why Stellar (XLM) is: 

Much of its success comes from XRP’s misfortunes. That's because, much like XRP, Stellar was designed to facilitate cross-border transactions.  In January 2021, the Ukrainian government announced a partnership with Stellar Development to create a national digital currency. XLM is gaining additional global adoption after Grayscale Investments created a dedicated trust.
 
Now that you know what Ripple and Stellar are, it's time to compare these blockchain models. CoinBureau created the video below and compares side by side with Ripple and Stellar.
 
 

7. Chainlink (LINK)

The problem with smart contracts or agreements on a blockchain network is that these transactions can only occur on a platform like Ethereum. They need some way to draw real-world data into the platform to execute smart contracts when certain conditions are met.

The solution is data providers called oracles. While several crypto platforms have created ways for oracles to retrieve data for their network, Chainlink has developed a reputation system that guarantees accurate data, ensuring smart contracts' validity. This system builds confidence in the platform, and the growing popularity of decentralized finance, or DeFi, helps make Link a contender for the best cryptocurrency.

The robust development of the ecosystem (already over 350 partnerships) and the increasing adoption in various global economy areas are just some of the fundamental reasons making Chainlink an increasingly accelerating enterprise. So, we can expect the LINK cryptocurrency to be one of the dominant cryptocurrencies in 2021.

8. Aave (AAVE)

The Aave project is a decentralized lending system that helped drive the DeFi sector's interests to new heights. This next-gen protocol was one of the first to enable users to lend, borrow and earn interest on crypto assets. Best of all, there is no need for a middleman when you use Aave because the entire system is run autonomously via smart contracts that live on the Ethereum blockchain.

One of Aave’s best features is that the protocol allows a borrower to gain exposure to various cryptocurrencies without owning them outright. Using Aave, you can earn rewards without trading your favorite digital assets. This strategy reduces the risk of loss.

9. Yearn.finance (YFI)

Yearn.Finance is a portal for various DeFi products. And given that DeFi now has nearly $8 billion in crypto assets committed to it, mainstream traders could start rolling in any day. If that happens, a front door might end up being very valuable.

 

10. Tether (USDT)

Tether is called a "stablecoin" because it was initially designed to be worth $1.00, maintaining $1.00 in reserves for each tether issued. Stablecoins are helpful for entities and individuals who want to store or pay using cryptocurrencies but don't want to risk market fluctuations.

Cryptocurrencies traders sell cryptocurrencies like BTC, ETH, and XRP, buy stable coins when the market is bear, and sell them when they predict the market will go bull. There is some controversy around Tether.

On March 14, 2019, they claimed that the funds were based on US dollars and loans to affiliate companies. Tether's price decreased to lows of $0.90 on October 15, 2018, on speculation that investors are losing faith in the token. We've included Tether/USDT in our top because it's a huge market cap, but we recommend caution using it.

Here are several other stable coins you can use to preserve value: USD Coin (USDC), Binance USD (BUSD),  PaxG (1PaxG - 1 Gold oz.)

11. Bitcoin Cash (BCH) 

Instead of Bitcoin, which has fewer transactions and increases transaction fees, Bitcoin Cash has blocks that can store 8 MB of data, allowing for faster and more frequent transactions with lower fees. 

That's why in August 2017, some Bitcoin developers created their version of Bitcoin and called it Bitcoin Cash. Bitcoin Cash may be more recent and less popular than its predecessor. Still, its scalability means it has incredible potential for growth and puts it in the running for the best cryptocurrency. 

12. NEO

Formerly known as Antshares, NEO is one of China’s earliest and largest cryptocurrency ventures. The coin fell hard in 2018 as the Chinese government cracked down on cryptocurrency exchanges. But in 2021, the coin staged a remarkable resurgence as Chinese regulators turned their ire to Ant Group, a payments processor.

13. Uniswap (UNI)

Uniswap is a decentralized cryptocurrency exchange (DEX) that facilitates automated transactions between tokens on the Ethereum blockchain through smart contracts. It is estimated to be the largest decentralized and fourth-largest cryptocurrency exchange by daily trading volume.

On traditional centralized exchanges, there needs to be a buyer for you to sell a currency. But on a decentralized cryptocurrency exchange, some providers are getting incentives to provide liquidity. Also, there isn’t owned and operated by a single entity.

Read this guide to find out more about Uniswap. Don't like reading too much? No problem, we also have a video 🙂

14. Binance coin (BNB)

Even though more cryptocurrency trading is moving towards decentralized exchanges, their well-managed centralized older sisters still dominate.  Binance is the largest cryptocurrency exchange in the world based on volume. Binance Coin was initially hosted on Ethereum until the Binance decentralized exchange, or DEX went online in 2017.

The Binance DEX platform is much like Ethereum, albeit with a different mission. The Binance DEX is a decentralized platform where users can buy and sell Binance coins and use BNB to convert other cryptocurrencies from one to another.  Most importantly, the Binance DEX offers a discount to users who pay transaction fees on the exchange with BNB – an innovative strategy that keeps users on the platform and helps sustain Binance Coin's growth.

Binance Coin have a clear purpose (offering smaller fees on transactions through the Binance network) and is powered by the largest cryptocurrency exchange in the world, so it has all the ingredients to grow aggressively in 2021.

Buy Binance Coin (BNB) on Binance Exchange Buy your first Binance Coins (BNB) on Binance Exchange.[/caption]

15. Celsius (CEL)

.Celsius is a cryptocurrency with the potential to become a bank. Considering the Celsius extreme 2020 rise makes it a currency worth considering.  The network looked to write $6.2 billion in loans, making it more like a bank than money. And by registering as an exempt issuer with the SEC, Celsius has soared even as other cryptocurrencies like XRP have struggled.

Still, Celsius has plenty of risk behind it. As companies from Bear Stearns to Lehman Brothers found, bad loans can quickly sink your battleship. And Celsius itself could blow up if loans aren’t well-vetted. But until then, investors stand to make a lot of hot-money returns.

16. Elrond (EGLD)

Elrond is a blockchain designed for immense scalability and significant transaction throughput thanks to its adaptive state-sharding system, enabling transactions to be handled rapidly by multiple validators.

Whereas Bitcoin can handle just a maximum of seven transactions per second, Elrond claims to be able to push through 15,000 transactions per second at only $0.001 each, with instant finality.

17. Litecoin (LTC)

Former Google employee Charlie Lee created Litecoin to improve transaction times (roughly 2 1/2 minutes) and lower transaction fees. It has a substantially faster block generation rate than Bitcoin. And unlike most cryptocurrencies, the list of merchants that accept Litecoin is snowballing. Even if it has a large merchant pool, Litecoin is losing momentum to the Ethereum and DeFi movement.

Litecoin is based on Proof of Work (PoW) mining instead of proof of stake, which has more extensive acceptance in the cryptocurrency world. On a positive note, Litecoin's large fan base will keep it relevant in 2021.

18. Dogecoin (DOGE)

  • Market Cap: $7B
  • Established: 2013
  • Transfer Cost: $0.03
  • 1Y return: 1865%
  • Score: 4.2/5
  • DOGE on CoinGecko

Dogecoin is a cryptocurrency invented by software engineers Billy Markus and Jackson Palmer, who decided to create an instant, fun, and free payment system from traditional banking fees.

Created as a joke, Dogecoin was co-founded by IBM software engineer Billy Markus from Portland, Oregon, and Adobe software engineer Jackson Palmer, who made a peer-to-peer digital currency that could reach a broader demographic than Bitcoin.

In January 2021, Dogecoin went up over 800% in 24 hours due to Reddit users' attention, partially encouraged by Elon Musk and the GameStop short squeeze. In February 2021, Dogecoin hit its all-time high price following Twitter encouragement from Elon Musk, Snoop Dogg, and Gene Simmons.

19. TRON (TRX)

The Tron project is a blockchain-based decentralized platform that aims to build a free, global digital content entertainment system with distributed storage technology and allows easy and cost-effective digital content sharing.

The Tron network uses a cryptocurrency called Tronix (TRX). Content consumers can use Tronix to pay for the content they want to access. These coins would then go to the content producers’ accounts, where they can be exchanged for other cryptocurrencies or used to pay for blockchain services.

On January 23, Tron’s Justin Sun met the chairman and CEO of Berkshire Hathaway, Mr. Warren Buffet, for dinner after placing a record-breaking $4.5 million bid at the Glide Foundation last year. In a statement after the dinner, Sun said it “was an honor, and I’m grateful for Mr. Buffett’s dinner, wisdom and vision.”

He added that he would “take Mr. Buffett’s advice and guidance to make TRON a better ecosystem, business with all the partners in the blockchain space and beyond,” though he did not provide specifics.

20. Compound (COMP)

Compound cryptocurrency is a decentralized, blockchain-based protocol that allows you to make money by lending and borrowing crypto — and have a say in its governance with its native COMP token. The project is part of Ethereum and, more broadly, DeFi. The Compound ecosystem was created by a former economist, Robert Leshner (Linkedin).

Compound raised $25 million in its Series A funding round, which prominent venture capital firm Andreesen Horowitz led. The protocol also received $1 million in USDC from Coinbase’s “USDC Bootstrap Fund.”

 

21. Swipe (SXP)

Swipe wants to be the leading company that brings cryptocurrency to commerce and standard banking.

With Swipe, you can access over 50 cryptocurrencies, stablecoins, and fiat currencies. You will also easily buy and sell crypto with a linked debit card, credit card, or bank account. 

Through their app, you can manage your swipe visa debit card quickly. You can access your Swipe Wallet balance at over 60 million locations worldwide that accept Visa.

The Swipe Visa Card has four benefits: up to 8% cashback, no foreign transaction fees, Apple/Google/Samsung Pay, top-brand rebates, virtual cards, and real-time security features. Even better, all the cashback funds will be paid in Bitcoin so that you can earn even more.

22. Solana (SOL)

Solana is a web-scale blockchain that provides fast, secure, scalable, decentralized apps and marketplaces. The system currently supports 50K transactions per second (TPS).  Compared with other blockchains, here are some numbers from the competition: BTC - 7 TPS, ETH - 15 TPS, ADA - 1000 TIPS, DOT - 1000 TPS, EGLD - 15K TPS.

The Solana (SOL) platform was founded in 2017 by Anatoly Yakovenko. Yakovenko worked at Qualcomm before founding Solana. The team is backed by global experiences from top organizations, including Apple, Qualcomm, Intel, Google, Microsoft, Twitter, and Dropbox. Solana's impact also brought to the attention of many investors: Multicoin Capital, Foundation Capital, SLOW Capital, CMCC Global, Abstract  Ventures, and more.

You can find more about Solana in this video:

 

23. Akash Network (AKT)

Akash is the world’s first decentralized cloud computing marketplace, leveraging 85% of underutilized cloud capacity in 8.4 million data centers. Akash enables anyone to buy and sell unused computing. Akash DeCloud is a faster, better, and lower-cost cloud built for DeFi, decentralized projects, and high-growth companies, providing unprecedented scale, flexibility, and price performance.

10x lower in cost, our serverless computing platform is compatible with all cloud providers and all applications that run on the cloud. Considering the development of AI and the vast computational resources needed, Akash has come up with a great solution to reducing costs. This is excellent news for its token, AKT. Unfortunately, you can't purchase AKT yet on Binance, but the following exchangers: BitMax, BitMart, or Bithumb. You can find more about Akash Network in this video:

 

24. Basic Attention Token (BAT) 

The Basic Attention Token (BAT) is a blockchain-based system for tracking media consumers' time and attention on websites using the Brave web browser. Built on Ethereum, its goal is to efficiently distribute advertising money between advertisers, publishers, and readers of online marketing content and ads.

The BAT token is used as currency on the Brave platform and can obtain several advertising services. It is designed to be exchanged between users, advertisers, and publishers. It is based on an unusual concept, although it is critically essential to advertising companies operating in the digital age: user attention. Another Exodus video explains Basic Attention Token (BAT) and how it works.

 

25.Reef Finance (REEF)

This top will not be complete without REEF.  Reef cryptocurrency is a hub for DeFi and other cryptocurrency financial services on Polkadot. As a founding member of the Polkadot DeFi Alliance, it will support and grow the ecosystem's overall success as a cross-chain solution with a cohort of members and partners, such as Interlay, Equilibrium, and Moonbeam.

Besides that, I see the Reef team committed to developing the project by adding new features and marketing it to the world. I see it as a project that will get much exposure in 2021, so my bet is on Reef if you like to gamble on cryptocurrencies.

Cryptocurrencies that will be hot 2024

In our opinion, the following cryptocurrencies will be hot in 2024: Cardano (ADA), Kusama (KSM), Polygon (MATIC), Injective Protocol (INJ), UniSwap (UNI). We will update our article with more research on Kusama, Polygon, and Injective Protocol.

Top Cryptocurrencies FAQ

Here are several cryptocurrency questions and answers I got over time. If you have one not listed here, please post it in the comments section, and I will do my best to answer it ASAP.

How do you make money with cryptocurrency?

There are several ways you can make money with cryptocurrencies.

  • The first is investing in cryptocurrencies by creating a wallet on a specific coin.
  • The second way is to do day trading on a platform like Binance and analyze the charts to purchase a coin and sell it higher.
  • The 3rd way is to deposit your coins in a service like BlockFi, which offers you interest for your coins as they offer loans. Check the following questions to get more details.

How do you invest in cryptocurrency?

When investing in cryptocurrency, you should pick a cryptocurrency you believe will increase in value over time. After researching, the next step is to get a wallet on that specific coin like Bitcoin, Ether, or Polkadot to keep your coins. I recommend owning a hardware wallet like Ledger or SafePal for complete security. Then, using an exchanger like CoinMamma, CoinBase, or Binance, transfer cash from your credit card or bank account into your wallet. Do not sell fearfully and wait until you are happy with the profit.

Remember that these cryptocurrencies can lose up to 90% of their value, but most will return if you are patient and don't sell in fear. When you purchase cryptocurrencies on eToro or Robinhood, you do not own the cryptocurrency but order on that crypto. You only own the cryptocurrency when you have complete access to the wallet.

What is the best cryptocurrency to invest in?

That's not an easy question because I don't have a crystal ball to predict the future. However, I have rules when deciding to invest in cryptocurrency. These are:

  • [1] I pick a cryptocurrency that solves a real problem, and people use it for other reasons rather than speculating on its price.
  • [2] I take a look at the technology used and the whitepaper.
  • [3] Do research on the project team and their project's roadmap. If they do what they promised, then it's a winner.
  • [4] I look at market adoption and the response from the investors. I've seen excellent man technologies that the market rejected.
  • [5] I monitor the cryptocurrency for several months before investing the funds, and then I do it to see how it performs.

I hope these pieces of advice have offered you an excellent start to finding the best cryptocurrency to invest in.

How to day trade cryptocurrency?

You should pick a volatile cryptocurrency to make day trade on the cryptocurrency market. It would help to aim for coins that grow and decrease because you will make money whenever you purchase on low and sell on its high.

Sign up with a platform like Binance and analyze the charts. Don't get in love with a coin. Remember that the purpose is to sell when you make a profit. Day trading smaller cryptocurrencies can be very lucrative, but higher risks exist. Crypto prices can crash just as fast as they have risen, so if you don't have time to look at charts and take immediate action, you better avoid day trading.

Which cryptocurrency will explode in 2024?

That's impossible to predict, but considering the current evolution of the cryptocurrency market, I think the DeFi projects will see a considerable increase in 2024.

Conclusion on Top Cryptocurrency

So there you have it. Here are 25 top cryptocurrencies that you should know. I've left out of this top with so many crypto coins, but I check them regularly. I will post them in the next update of this article. What about you? What is your top cryptocurrency? Let me know in the comments below. 

Further resources on cryptocurrencies:

Disclaimer: Cryptocurrency trading carries a high level of risk and may not be suitable for all investors. The views expressed here are those of the author and do not necessarily represent or reflect the opinions of TopGold.Forum

]]>153Fri, 29 Sep 2023 15:54:01 +0000How To Protect Your Cryptocurrencies As An Investorhttps://topgold.forum/articles/cryptocurrencies/how-to-protect-your-cryptocurrencies-as-an-investor-r152/

Bettors can protect themselves from making poor betting decisions using readily available data like NBA odds on a BetUS platform.

In the same way, as an investor, you can protect your crypto despite the new and evolving risks that the modern world has to present thanks to advanced and sophisticated technology.

Being victim to a crypto scam is something that even professional and experienced traders sometimes fail at when hackers can compromise private wallets and their key information to steal massive amounts of money that can’t be traced back or reversed.

Stores and testimonies in line with such events highlight the evident possibility of fraud and loss when dealing with these new, volatile asset classes.

Many financial experts continue to advise passive investors to hold their portfolio cryptos to under 5%. Also, they advise them to avoid investing in crypto if the funds being used to invest is meant for savings or paying off debts that have high interest fees. However, when an investor feels that they are ready to invest and aware of all the risks involved, here are the various ways to protect their money.

Your Tips

There are certain common red flags with crypto scams that are quite similar to classic money-wiring scams or fraudulent activity associated with credit cards.

Common examples of red flags include:

  • Obvious misspellings that you’d find in an email, on a social media post, or during any form of communication
  • Unnecessary promises that say that the party will multiply your money
  • Contracts that will bind you into holding crypto without being allowed to sell it
  • Fake claims of being a celebrity or influencer
  • All kinds of psychological manipulation that will feel like extortion or blackmail
  • Crypto schemes that are trending on social media
  • Promises in line with giving away free money
  • Very little detail discussing where exactly your funds are going

Always Know When To Use Your Crypto Wallet

As you would do with your physical wallet, you also have the same responsibility when it comes to your digital one. Always practice responsible digital security habits, especially when handling large amounts of money.

According to experts, small-scale investors that are only investing a few hundred dollars in cryptos are better off keeping their investments on mainstream exchanges like Coinbase. But with large crypto investment values, it’s best to have a digital wallet for added safekeeping, because you can also use it at betting sites such as BetUS. You have the option to open a hot or cold wallet.

With hot wallets, these are stored online. While they are safe to use, they’re not as secure as cold wallets that you can use to store crypto offline on hardware. It’s worth noting that crypto held in hot wallets is not insured with the FDIC like the cash you find at the bank. Therefore, you’ll want to ensure that the money you store in your digital wallet uses robust security measures.

Here are several of the security feature a digital wallet should include:

  • The ability to store a portion of your crypto in cold storage
  • Two-factor authentication
  • Private insurance policies

Keep Your Wallet Keys Safe

When you open a digital wallet, you’ll only get one unique key to use so you can access it. Should you lose this key or have it get stolen, you will face the possibility of losing the entire crypto altogether.

All digital wallet owners must have complete control over access to their wallet keys. This is because a very delicate process goes into manufacturing each code and assigning characters to it making it exceptionally personalized so your funds remain protected even when they’re in the virtual space.

Report Fraud

Always report fraud or any suspicious activity that involves cryptocurrency.

You can contact the following bureaus for further assistance and report the matter:

  • The Federal Trade Commission (FTC)
  • The U.S. Securities and Exchange Commission (SEC)
  • The Commodity Futures Trading Commission (CFTC)

In addition, be sure to report the fraud to the crypto exchange that you’ve used to facilitate the crypto transaction if you ever suspect any foul play or trial of a bad actor.

]]>152Fri, 29 Sep 2023 14:46:10 +0000Is Cryptocurrency Practical in Today's World?https://topgold.forum/articles/cryptocurrencies/is-cryptocurrency-practical-in-todays-world-r151/

Most of us have heard of cryptocurrency and how it's changing the face of money; however, we've also heard of cryptocurrencies rising and falling.

Some people have even said you stand a better chance of getting rich with NASCAR betting odds. In today's article, we look at cryptocurrency from a practical perspective and see if cryptocurrency is a practical means of exchange.

What is Cryptocurrency?

Before we look into the practicality of cryptocurrency, we need to understand what it is and how it operates clearly. Cryptocurrency is a digital exchange that many use to receive and make payments and wheel in some income. It must be understood that cryptocurrency, like normal money, has many currencies attached to it.

You can find currencies such as Bitcoin, Ethereum, and many more, all falling under the bracket of being a cryptocurrency. Many have fallen in love with cryptocurrency for many reasons; however, what stands out the most is its safety and security.

We can attribute the safety and security of cryptocurrency to what is called cryptography. Cryptography is also commonly known as cryptology; however, it studies specific techniques used for secure communication in the presence of adversarial behavior. Cryptography is a study of communication that allows only the sender and receiver of a message to view the contents.

Blockchain

This term is commonly used in cryptocurrency and is among the most important. When people refer to a blockchain, they refer to a system. This system is used to record transactions that are made within cryptocurrency. This system is maintained within several different computers, and in many cases, blockchain is used within a peer-to-peer network.

Read more:

Is Cryptocurrency Practical?

The truth is that the world is changing at a fast pace. Transactions are happening daily and across the world. People are always looking for better ways to handle their money and make quicker transactions, and in this manner, cryptocurrency seems like a practical solution, or is it?

A few governments and banks do not think so. This is because cryptocurrency is decentralized. This means that the power is not in the hands of one particular person or group, making it hard for the government to have any control over cryptocurrency.

A few countries have looked at cryptocurrency as an asset, meaning that it can be taxed; however, this would still mean that there is little control over it.

Many countries have claimed that cryptocurrency is not a safe means of making transactions. There have been claims about cryptocurrency use in a few fraudulent cases. The truth about this is that there is a certain level of anonymity when it comes to cryptocurrency; however, there is still a paper trail. This means that users linked to a specific account can be found.

For banks, cryptocurrency would mean their end as they would no longer need to use banks to conduct transactions, keep money, keep records of transactions, and many more.

Another stumbling block to using cryptocurrency as a sustainable means of exchange globally in third-world countries. Unfortunately, technology is not easily accessible, and because cryptocurrency is a digital means of exchange, it would become problematic for many. Although the world may move in one direction, a few countries may be left behind.

Read more: Implications of Bitcoin on third world countries

Another important thing to remember is that many businesses, such as the Forex market, rely on the money exchange rate. Forex relies heavily on the trading of currencies, and without it, those doing Forex may be left without money.

It's important to remember that Forex is also decentralized. However, it would still be affected.

Bottom Line

Cryptocurrency would be amazing to help combat the issue of exchange rates, transaction times, and many other things. However, a few countries would still need to catch up. Another side effect to expect is the banks' end, which could spell disaster for many.

]]>151Fri, 29 Sep 2023 14:26:38 +0000How to Use Your Crypto to Get More Crypto [5 Proven Ways]https://topgold.forum/articles/cryptocurrencies/get-more-crypto/

Everyone enters the crypto market intending to make money, but not everyone succeeds. Because they don't fully grasp how to profit from cryptocurrencies, most people either give up halfway through the process or lose.

Bitcoin leads all virtual currencies with a market share of around 38%, but the cryptocurrency industry is vast. There are dozens of cryptocurrencies that you can trade, and as of September 2022, the total market value of all cryptocurrencies was around $1 trillion.

The global crypto sector is still developing and has a long way to cover. More people are joining the industry as the value of crypto assets rises. These novices are constantly trying to understand how to make money from cryptos.

Here's how you can use your crypto to get more crypto:

Playing Online Crypto Games

Playing online games is one of the most popular ways of multiplying crypto. For example, you can find the best crypto casinos, choose a casino game and try your luck.

You can play slots, poker, blackjack, or roulette using crypto. But profits are not a guarantee. If casino games are not your cup of tea, try to play to earn games. Decentraland is one of the best crypto games to take into consideration. The game provides a metaverse that allows users worldwide to create virtual characters, interact with others, and, most importantly, purchase LAND.

Once you have acquired a piece of LAND and constructed your housing project, it will be shown as a distinctive NFT. After that, you can sell your real estate on the marketplace for NFT. While it may seem impossible, several LAND parcels in Decentraland's metaverse have traded for a fortune. Therefore, investing early allows you to get an NFT at the most affordable price.

Further readings:

Staking and Interest

Crypto markets provide two unique ideas that let you profit passively from unused digital tokens you already hold. The first is crypto staking, which entails locking away your tickets for a predetermined period to validate transactions on proof-of-stake crypto networks. Cardano and Tron are a few prominent staking network models.

Most importantly, you will receive interest while your tokens are tucked away. There is no minimum lock-up period that you must meet if you stake on the eToro platform. As an alternative, you may always withdraw your assets. In contrast to staking, your crypto assets will not be committed to a smart contract.

On the other hand, the service provider of your choice will loan your assets to those who need to borrow money. As a result, the debtor will pay you interest when the assets are loaned out. Aqru provides the all-around most incredible cryptocurrency savings account available on the market.

With deposits made in Bitcoin and Ethereum, you can earn 7% annually, and deposits made in stable coins like Tether can yield 12% annually. Aqru does not impose lock-up requirements on any of its accounts because they are flexible. Additionally, you can use the Aqru app to deposit fiat money and purchase cryptocurrencies.

Day Trading

Participating in day trading is one of the most rewarding ways to earn more crypto with cryptocurrencies. The tiny catch is that to assess if the asset's value in consideration is likely to increase or decrease, you must, at the very least, have a fundamental knowledge of how to evaluate prices. If you can pull this off, you can profit from trading crypto all day.

The primary idea behind day trading in virtual currencies is to look for opportunities to profit from recent price changes. Expert investors in this field will also infrequently maintain a position for longer than a day. The goal is to open many daily opportunities and make smaller but more regular profits.

Find a certified cryptocurrency exchange that satisfies two essential requirements for day trading digital currencies: minimal costs and support for a wide range of markets. Regarding the former, you will find it difficult to justify the procedure if you day trade cryptocurrency on a platform with high costs. After all, fees will decimate your winning deals. For example, Coinbase charges 1.49% for each slide, so you must pay this cost before concluding the trade in the black. However, eToro is a lot more competitive.

You may access many popular virtual currencies on eToro, so you'll never want day trading opportunities.

Further readings:

Crypto Yield Farming and Lending

Yield farming and lending are two more cryptocurrency income streams that don't require any prior experience. Although you can earn income passively through these investment strategies, they relate to significantly distinct strategies. Crypto yield farming is primarily lending your unused assets to a liquidity provider. Most of the time, you will supply distributed exchanges with much-needed liquidity.

Money deposited into a liquidity pool is frequently locked up for a predetermined period. Additionally, you will receive an interest payment for the duration that the assets are in the liquidity pool. In most instances, the pool will provide a greater APY for a newer virtual currency and less liquid. This is the idea we covered earlier regarding cryptocurrency lending when you put your digital assets into a savings account.

Further readings:

Decentralized Autonomous Organizations (DAOs)

Decentralized autonomous organizations (DAOs), along with the metaverse and NFTs, are anticipated to substantially impact the development of cryptocurrencies and blockchain in the coming years. Projects that the community and investors collaboratively own are referred to as DAOs. Additionally, all you need to do to participate in a DAO is to possess the relevant token.

There are numerous active crypto DAOs, and each initiative differs. Uniswap is a prime illustration. It makes it possible to trade in crypto through its decentralized platform without the involvement of a controlling private entity.

Uniswap exchange's DAO token holders will receive a proportionate share of any revenues earned by the platform. Additionally, DAO asset owners have a voice in managing each project. A poll must be held before a DAO project can decide how to proceed with its development.

Further readings:

]]>150Fri, 29 Sep 2023 13:18:02 +0000What Businesses Should Know Before Accepting Cryptocurrencyhttps://topgold.forum/articles/cryptocurrencies/business-accept-crypto/

Today, as the world is quickly becoming increasingly global, traditional payments no longer satisfy the needs of businesses and customers.

They do not like the slow processing speed, high commissions, and insecurity of transactions. Under these conditions, cryptocurrency payments are becoming increasingly popular, with huge advantages over conventional electronic money.

Many large companies that need to accept customer payments are thinking about gradually shifting their business to cryptocurrency payments.

The Popularity of Cryptocurrencies

There is a significant discussion on the topic of cryptocurrency payments today. Even though some businesses still doubt that they should switch to such a payment system, one cannot but admit that the future of all world financial settlements lies in cryptocurrency payments. However, the difficulties of accepting bitcoin payments are almost entirely leveled if the business needs to make large payments.

In this situation, digital currencies allow you to make the fastest transaction with minimal commissions and accept bitcoin on a website. At the same time, when using payment in cryptocurrency, such commissions will be much lower than those that must be paid when conducting transactions using conventional bank cards.

In this case, they range from 1% to 3%. In addition, intermediaries in such transactions charge additional fees for processing transactions and servicing the card. When making cryptocurrency payments, the commission will not exceed 1%.

At the same time, payment in Cryptocurrency has its drawbacks, which do not outweigh its advantages. One of them is the non-refund of payment in Cryptocurrency. The buyer of a product or service cannot cancel their payment.

Only the recipient of the money can do this. As a rule, this problem is more related to small e-commerce companies. In the case of large businesses, this does not happen in practice. Another disadvantage is the volatility of cryptocurrency rates. This can prevent you from accepting bitcoin on your website and overall accepting crypto payments. The rate can fluctuate significantly, so businesses that accept cryptocurrency payments must transfer their digital assets into cash daily.

There may also be problems with data security, which occur, as a rule, solely through the fault of the private key owner. If they lose it, they lose all of their digital currency stored in a cryptocurrency wallet.

At the same time, it is impossible to count on any compensation and that you can recover at least some part of the lost funds. Cryptocurrency is not insured in any way, and this, of course, creates some difficulties. So far, not all countries are ready to recognize Cryptocurrency as payment. However, bitcoin has already won this title in some countries to answer the question: «What can you use cryptocurrency for?».

What Does the World Think About Cryptocurrency?

First, we are talking about El Salvador - the first country in the world where bitcoin was recognized as an official means of payment. El Salvador did this primarily to attract the attention of investors. The government has created its cryptocurrency fund, constantly replenishing new bitcoins. It also directs the money earned on the exchange rate growth to the construction of social facilities.

Other countries in Latin America are also following this experience with interest but are still hesitant to follow the example of El Salvador. Although, this may be a matter soon while consultations and discussions are underway.

Many states treat cryptocurrencies as property and believe that transactions with digital assets should be taxed. This creates additional difficulties for those who send the payment and those who receive the money. Today's largest payment systems look at cryptocurrency payments carefully, believing they are the future.

For three years now, AT&T has been making cryptocurrency payments. The international PayPal service allows you to place orders using digital money and pay in bitcoins and other cryptocurrency payments.

With great interest are digital currencies and the largest payment systems in the world: Visa and Mastercard. Following the example of payment giants, what should those businesses do if they have decided to start accepting payments in Cryptocurrency?

How to choose the right payment gateway?

The first thing to answer the question "How to accept cryptocurrency?" is to choose the right payment gateway. This is not as simple as it might seem at first glance. There are many such gateways.

Cryptocurrency Payment Gateways Requirements

  • The legitimacy of Work - Such a gateway must be officially registered in a reputable country and have a license for its activities.
  • Speed of Transactions -  It must guarantee its customers that all transactions will be carried out quickly. Indeed, this is one of the most critical aspects of the volatility of cryptocurrency rates.
  • Low Commissions -  When paying in Cryptocurrency by users, it is important not to overpay. Commissions need to be transparent and reasonable.
  • User-Friendly Interface - A user-friendly interface is one of the main criteria by which they choose a payment gateway. It should be convenient and pleasant for them to work with such a payment system.
  • Security - All transactions through the gateway must meet the highest security standards. Users must be sure that they will not lose their money.

 One of the best choices can be the CoinsPaid payment gateway. It is one of the leading projects in the crypto payment market and has its token.

Benefits of working with CoinsPaid:

  • Low and understandable commissions (at the same time, a big plus is the absence of hidden commissions. You immediately understand how much you have to pay).
  • The payment system supports more than 30 digital currencies and 20 fiat currencies.
  • Instant conversion of Cryptocurrency to fiat. In addition, direct settlements in 6 cryptocurrencies are also provided.
  • It is the only payment gateway that has passed the system security check by Kaspersky Labs and 10Guard.

Many businesses wonder how to accept bitcoin and other cryptos. The company must take simple and understandable steps to connect the ability to accept altcoin and bitcoin payments.

How to Accept Cryptocurrency as a business?

There are several points to keep in mind when accepting crypto:

  • Customize API
  • Decide on Cryptocurrency
  • Withdraw funds automatically
  • Set up fiat options
  • Learn how to manage transactions
  • Conduct testing
  • Add a crypto payment button
  • Tell users you have started accepting altcoin payments

Let's go through all of them step by step.

First, the API allows the party's website accepting the digital payment to exchange data with the CoinsPaid payment gateway server. After that, you must verify the merchant account, activate the API key, and get the secret code to access the API. After that, you can withdraw the funds from the account.

Bitcoin today is one of the most popular cryptocurrencies for making such payments. And yet, there is a vast number of other digital assets that are quite suitable for this. Among them are Ethereum, Dogecoin, Litecoin, and many other tokens.

Withdrawing received money manually is very inconvenient. However, automatically withdrawing funds to an external wallet is much better. You can do this when the balance in your account reaches a certain amount. You can set any limit that is convenient for your work.

The CoinsPaid payment gateway, after being approved by the security service, allows its users to set up bank account details to make withdrawals in fiat. This convenient feature allows you to accept altcoin payments and withdraw fiat money. CoinsPaid can transfer fiat funds to the seller's balance via SEPA or SWIFT transfer.

The seller can access all information about accepting cryptocurrency payment transactions: the receipt of funds from the buyer and the automatic withdrawal from the account. Moreover, this list of payments in Cryptocurrency can be filtered by various parameters: amount, date, and so on. Those in eCommerce who are just starting to accept altcoin payments should practice before beginning to work with real money from users.

This can be done in a unique virtual "sandbox" that will demonstrate all the possibilities of accepting cryptocurrency payments without testing it with real money. After almost everything is ready and configured, you must create a noticeable and eye-catching button showing you accept cryptocurrency payments on your company's website.

With its help, your cryptocurrency merchant services customers learn that such an opportunity exists. Now that all the technical part has already been done, you need to notify the world that the company has begun accepting crypto payments.

Of course, at first, some of the clients may have doubts. After all, everything new is always a little scary. Nevertheless, they will gradually get involved and appreciate such additions' advantages.

]]>149Fri, 29 Sep 2023 13:10:11 +0000Who Wants Your Money in the Crypto World? [Top 5]https://topgold.forum/articles/cryptocurrencies/who-wants-your-money-in-the-crypto-world-top-5-r135/

You must know the other players and their objectives in every opportunity you want to join and make money. And the crypto world is no different.

There is a well-known saying in poker: "If in the first half of an hour of a poker game you don't know who is the sucker at the table, then you are". That's why today I will tell you the leading players in the crypto world and who wants your money.

Considering that large amounts of money change hands so often and the market is barely controlled, you should keep your eyes open. Otherwise, you will get scammed and lose your hard-earned money.

1. Coin & Token Creators

These people launch cryptocurrencies: blockchains (LTC, ETH, DOT, XPRT) or Tokens (MDT, BAT). They create a website and the project roadmap and distribute tokens in exchange for cash or other currencies. Their main objective is to sell as many as possible of their tokens for as much money. Also, they can coordinate PUMPs and DUMPs.

Besides that, they know when they will announce new features or listings on new exchanges so they can purchase more tokens on the market and sell them after the event at higher prices.

2. Whales

Whales in crypto are persons and entities that own a large portion of a cryptocurrency. In the picture below, you can see on the Elrond blockchain who are the primary holders of EGLD.

EGLD_whales.png

The whales are close to the people that develop the project or maybe some of the coin's owners. The point is that they own large quantities of cryptocurrency. So they can easily coordinate themselves to make the market by selling or buying specific cryptocurrencies. 

Remember that I said they are close to the cryptocurrency owner and developers? This means they may have inside info about the going of a cryptocurrency, so they know when to buy or sell them. At some point, some of the whales may be enemies of crypto-owners when the interests are divergent. 

3. Exchangers & Traders

Exchange companies like Binance, Crypto.com, CoinBase and all other exchangers make money on spreads (the difference between the price of a cryptocurrency and the price they are selling it to you).

Also, they make money by fees on deposits and withdrawals of users' funds. I hope you understand those ads that say that a particular crypto price was going down and up, inviting you to deposit.

Besides, they require cryptocurrencies to pay to get listed on their exchange. For instance, to list a specific cryptocurrency on Binance is $1M+.

4. Institutional buyers and Investment funds

These are banks, significant investment funds, and companies making investments and trades in cryptocurrency. Consider here Elon Musk and Tesla, MicroStrategy and all other investment funds.

These companies usually get in proven cryptos and keep their positions for longer. That's because it's not easy to move large quantities of money from banks to exchangers and because if you sell large amounts of crypto fast, the price drops abruptly. 

5. Influencers

There are several types of influencers. The ones with the most connections in the crypto world and a large follower base got big sponsorships contracts to promote and boost specific cryptocurrencies. 

Other influencers get in early in specific projects and then shout videos to boost these projects on their channels. When the price grows, they start dumping the coins they purchased.

Lastly, some influencers spread rumours and dummy analyses but are not highly invested in the industry. They want to increase their subscribers and make money from advertising.

It's important to follow only influencers that have proven to have correct influencers, didn't promote any pump and dump schemes and don't pump shady projects.

Conclusion

Now you know the leading players in the cryptocurrency market.

The main point here is all these people want to make money, and usually, the money is taken from impatient little fellows. 

]]>135Sat, 02 Jul 2022 23:21:35 +0000How to Get Started Investing in Cryptocurrencieshttps://topgold.forum/articles/cryptocurrencies/how-to-get-started-investing-in-cryptocurrencies/

Travis Fauque recently discussed how to start investing in cryptocurrency.

LANDER, WY / DEC. 10, 2021 / Cryptocurrency is one of the hottest topics discussed in the investment world. The currency is creating new millionaires weekly while providing investors an opportunity to further diversify their portfolios. 

Travis Fauque explains that many people are further looking into this currency and searching for a basic understanding as well as how to get started investing.

Bitcoin and the Creation of Cryptocurrencies

Bitcoin was created at the heels of the 2009 economic recession to be a virtual peer-to-peer decentralized network. This network was created using blockchain technology and the protocol cannot be changed or altered in any way by any sole person or entity, including governments or even Satoshi Nakamoto himself.

When cryptocurrencies are released, the inventor(s) set the currency’s parameters (how much there is, rules for buying and selling, as well as how many new coins will be added to the marketplace, etc..), on a protocol before launching the coin. With bitcoin’s protocol reflecting a max supply of 21 million coins, many investors see this as deflationary and a store of value.

“Governments can print more money when they want, but no one can issue more bitcoins," Fauque said. "This results in scarcity, and ultimately proving a financial hedge against deflationary assets, specifically fiat currency.

The change from Bitcoins' first appearance in the marketplace to where the current market sits today provides evidence of the vast amounts of opportunities for ordinary people to create substantial wealth. The speed and size of a wealthy investor experience, makes many people wonder how to get started.

Fauque explained that the cryptocurrency market, as of the date of writing, is just under 3 trillion dollars in total market cap, with bitcoin dominating the market by 35 percent.

“Bitcoin is the north star for current cryptocurrencies, ultimately paving the path for other currencies to follow," Fauque said.

Cryptocurrency Trends

Fauque believes other competing currencies will someday overtake Bitcoins' dominance, however, Fauque suggests investors stay current with the dominating cryptocurrencies trend and trade in favor of their trend.

"The trend is your friend. It's essential to never go against the trend," Fauque said.

Fauque advises to never invest blindly in cryptocurrencies, rather seek to understand the currency before investing.

Technical Analysis

“Investors must understand technical analysis, as well as how to utilize this analysis," Fauque said.

Technical analysis is not a guarantee for future market movements, technical analysis provides the investor with a competitive advantage, inevitably increasing profits while strategically minimizing your losses.

“People lie, but charts don’t lie,” Fauque said. “Technical analysis lowers risk long-term but maintain a solid risk management plan is the foundation of any successful investor."

"You are only one trade away from losing profits if you don’t value risk management," he added.

Lessons Learned

Fauque experienced losses exceeding tens of thousands of dollars his first few months investing in cryptocurrencies. He attributes the losses to not following a proper risk management plan, as well as investing in opinions rather than on facts.

The loss really wasn’t a loss in hind site, more of an invaluable lesson on risk management,” Fauque said.

He expressed the importance of risk managing and the need for investors to obtain proper financial education before making any financial decisions.

Tips for Beginners from Travis Fauque

As a beginner in the crypto space, Fauque suggests that investors perform their own analysis and not blindly follow the crowd.

The crowd is broken and easily manipulated. He warns new investors to stay cautious when investing in new coins and to fully understand the fundamentals in the coin before investing.

Fauque suggests the 40-30-30 percent diversification strategy inside your crypt portfolio, with 40 percent allocated in large market capitalization cryptocurrencies, 30 percent in mid-cap, and the remaining 30 percent in low cap cryptocurrencies.

"Buy the investment before the crowd buys it. That’s where the substantial returns are made,” Fauque said.

Smaller financial capital invested into one currency tends to elevate the financial risk of the asset and experiences major price movements. However, traditional investors advise investing up to ten percent of your total portfolio into cryptocurrencies, specifically the top ten by the size of market capitalization.

Fauque does not follow traditional investor advice, while currently holding nearly 50 percent of his total portfolio in cryptocurrencies alone, while the remaining diversified in other asset classes.

“You’re not late to the crypto game, as long as you show up," Fauque said.

Starting small and becoming a long-term student of the asset is key. Fauque suggests utilizing the D-C-A investment strategy for beginner cryptocurrency investors. DCA refers to dollar-cost-averaging.

Fauque explained this method tends to smooth out the price volatility for the given currency while decreasing the risk of emotionally trading. He suggests finding a trustworthy platform that provides this option, such as crypto.com.

Fauque utilizes crypto.com for the enhanced security the platform provides, as well as its reward programs. A user has the option for the platform to withdraw funds from their bank account as frequently and often as the user specifies.

“You can treat the automatic withdrawal like a tax, only this tax will create wealth for upcoming years," he explained.

In conclusion, Fauque suggests, getting started in crypto, regardless of current market conditions. Many new investors attempt to successfully time price tops and bottoms resulting in inaction, or even worse emotionally trading.

This makes the DCA strategy more appealing for the new investor. Fauque explained this strategy is a good start but maintains his stance in expanding to the strategy, as the investor's financial education increases.

Travis Fauque’ holds firm to the 40-30-30 rule for diversification and emphasizes he is not a financial advisor and does not provide any financial advice. He simply shares his personal successes as well as previous learning experiences with others.

]]>127Fri, 11 Mar 2022 06:30:25 +0000How to Make Money Trading CryptoCurrencies [Guide]https://topgold.forum/articles/cryptocurrencies/how-to-make-money-trading-cryptocurrencies-guide-r44/

People have made large amounts of money trading cryptocurrencies and continue to do so. This doesn’t mean cryptocurrencies trading is easy and effortless.

There is a chance you will end up losing money, you might end up losing all of it, but with the right strategies you can certainly minimize risk and end up with nice profits.

If you have some money lying around, you too can get started in no time with as little as you like.

It’s never too late to start cryptocurrencies trading. You need to be strategic, patient, able to research and analyze market trends. As a rule of thumb - never invest what you cannot afford to lose.

#1 - Get Bitcoin

In order to start trading cryptocurrencies, you will first need to buy some bitcoins. That's because most of the exchange companies you will use to trade accept payments in Bitcoin, BitcoinCash or Ethereum.

5a5b88e8a5ee4_Top5BestCryptocurrencyExch

The best way to do it is through a bitcoin local exchanger in your country. In the US, exchanges like Coinbase, CoinMama and Kraken are go-to for most people. You can check exchanges in your country here. If there is no bitcoin exchange in your country, you could always use localbitcoins.com and buy bitcoin from other people.

Localbitcoins is an escrow service which helps to match buyers and sellers. You can either pay the seller by cash or bank transfer. Most of the sellers advertise whichever payment method they prefer. localbitcoinsRemember: You don’t have to buy a whole bitcoin ($11900 as of writing); you can purchase bitcoin in fractions known as Satoshis. For instance, 100k Satoshis is equal to 0.001 bitcoin. Now that you have some bitcoin, it’s time to transfer them to a trading exchange.

There are many exchanges, but the most popular and reliable ones are Bittrex and Poloniex. There other cryptocurrencies you should look into like for instance, Ethereum.

#2 - Prerequisites for Trading

Before you start investing your hard earned money in other cryptocurrencies, there are a few things to keep in mind:

Research

Before placing a trade you must do an in-depth research on the coin you want to invest in. The best starting point is the announcement page of the coin.It shows all the important information you need to know: total coin supply, technical details, development plans, mission statement, community speculation, and a lot more.

Just google “coin-name ann” and go to bitcointalk.org forum announcement thread.CoinMarketCap 

CoinMarketCap.com is another good source of information as you will see all the crypto-coins listed along with market details, past time evolution etc.

Other threads you can find information about crypto-currencies are: Top Gold Forum and InvestOpen.com

It is highly recommended to read the whitepaper (usually available on the coin’s official website). Join their team on slack and ask them questions in case you have any. You’ll be surprised to see how engaging these communities are.

Stay updated

News in the crypto world spreads like fire. Thanks to Twitter, Reddit, Telegram and crypto-specific news website, you can stay up to date with what’s going on.

Pay close attention to the news on Twitter in particular and make sure they are from reputed sources.

Learn to ignore biased sources and rumors. This is where pump and dump schemes take place; people post misinformation on websites and hope for people to fall for it. Recently, the hoax of Vitalik Buterin’s (founder of Ethereum) death started spreading from 4chan, which in turn crashed Ethereum price and wiped out $4 billion in Ethereum’s market value.

Don’t let these people get you; seek advice from trusted and unbiased sources, and make your investing decisions accordingly.

Set achievable goals

Cryptocurrency trading is not one of those get-rich-quick schemes. Set a realistic plan of return on your investment, it could be 5%, 10% or 20%. This market is very volatile.

If you don’t stick to your expected returns, you’re bound to panic and make mistakes. As the crypto veterans will tell you, setting up realistic long-term goals (2-5 years) will take you a long way in cryptocurrency trading.

#3 - Begin trading

You’re all set to trade. By doing your research, gain the right information at the right time and understand how it will interact with the market. This will help you predict trends - whether or not the coin will rise.

Also, look out for any technical analysis on the coin - study charts and find patterns. In a nutshell, this is exactly what you need to do - buy low, sell high. If the price of a coin you’ve bought goes up quickly, cash out into bitcoin and buy back again once the price goes down.

If it’s a coin that you really believe in - you’re confident of the idea, tech, and team - you’d want to hold on to that coin long-term because a good coin will always rise back up again. Now we get to trading. Here are some of the exchanges that you can trade on.

Each exchange has it's own nuances and rules, so be sure you understand them before trading any significant amount of money. For example, you don't even have to set up an account at ShapeShift. It feels weird in the beginning, but after the first transaction, it makes total sense.

There are a lot of apps that can help you track all your crypto investments. My personal favorite is Blockfolio, available for both Android and iOS. It has major exchanges integrated into it and almost all the coins.

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Lastly, greed can be extremely dangerous in trading. The more patient you are, the better you will do. Period.

No one knows what will happen to the markets tomorrow. Doesn’t matter how experienced of a trader you are, you will make some mistakes and lose money.

Learn from those mistakes, get back up and make sure not to repeat them.

#4 - Takeaways

Investing in cryptocurrencies is a fun ride. There are a lot of ups and downs. The community is super active and always willing to help you out.

Like I said in the beginning, always invest within your means. No need to sink your life savings in crypto trading. We are most likely living in a bubble which could burst at any time.

Don’t overreact when the market is doing good and panic when it is down. Learn what affects the bitcoin market growth.

Take it slow. Do your research before investing and most importantly, have fun trading.

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