What is Bitcoin and is Cryptocurrency a Safe Investment?
By now, the entire world has heard of the new international currency that has been flooding all of the markets. There are so many different kinds of currency out there with varying degrees of volatility and value. It is so important to be educated when it comes to investing and researching into the cryptocurrency markets. Thankfully, we have done the research as a courtesy to our customers because we value everyone’s safety. Remember, knowledge is power!
What is Bitcoin?
Bitcoin was the very first currency created and released with open sourced software in 2009. What makes it so unique is the fact that is is strictly peer to peer. There are no financial institutions or regulatory commissions that affect the market. However that doesn’t deter major companies such as Microsoft, Overstock.com, and Newegg accept Bitcoin or other cryptocurrencies.
Bitcoin is monitored/regulated by blockchain. Blockchain is basically a network that runs bitcoin software and the transactions are calculated with communications nodes. It’s not a centrally regulated currency by any means and that has been part of why it has performed so well. The lack of regulation has also contributed to some spouts of volatility. It can be a very profitable investment, but it can also lead to a number of dangers. With the proper tools, you can ensure that your computer stays unaffected and your wallet stays full.
How Safe is the Investment Is Cryptocurrency?
We have long been accustomed to all of our investments having some sort of reassurance that our money shouldn’t just disappear into the air overnight. Typically, when it comes to market research and predictability, the stock market has been the place to put you money. When there is a direct correlation in the market it’s way easier to be confident in your investment. If you read in the New York Times that Sears is having a bad couple of quarters and losing money, you should easily deduce that that stock might be on its way down. Unlike stocks, there is not a ton of market research out there to determine where bitcoin will be going. However Bitcoin is the most stable of these. Other fly by night cryptocurrencies offer both greater profits and risks. This type of trading is often more risky than options, stocks, or other securities.
Although Bitcoin reached an all-time high of 20,089 it it currently trading at 7323.19
Ethereum (another older and more established cryptocurrency) had an alltime high of 1432.88 but is currently trading at 148.62
The hype-train of cryptocurrency seems to have left the station and seems unlikely to return.
What to look out for:
Earlier this year as many cryptocurrencies were skyrocketing and being bought up like hotcakes, there was a company called Onecoin that popped up. They were pitching themselves as the next big CC (cryptocurrency) that was going to have a hugely successful initial offering. Just before they were able to fully launch, they were raided by enforcement officers. They were able to run over $350 million in scammed funds through a payment processor in Germany before they were taken down. It is so essential to be mindful of all these new CC’s that keep popping up all over the place.
Find the right wallet to keep your money secure
Digital wallets are very similar to stock trading accounts such as Etrade. You have to make sure to diligently research any company before you decide to put your money somewhere. One of the most reputable companies to use is Coinbase.com. Be wary of reviews on the internet so that you can rest assured that your money is well kept.
It is also common for a “hardware” wallet to be used to store crytocurrency. This is a physical device which is used to store the crytocurrency data for safe keeping.
Here is an article explaining that option more in depth with some suggestions:
Other CC’s that are secure
One of the safer alternatives that has been gaining popularity is Ethereum. It has a secure way of keeping everything in check by not allowing any changes unless all users across all networks agree to the requests. Even if a hacker gets into one part of the network, they won’t be able to make changes to corrupt any information. A great rule of thumb to follow is if it sounds too good to be true, it absolutely is 100% of the time.
How to Keep Your Computer Safe
Being that some of the primary investors in the CC markets are illegitimate (to put it lightly), there are a ton of dangers lurking on the internet that are sticking around the CC scene.Just like in life, if there is opportunity, there are going to be opportunists that will stop at nothing to get a piece of your pie. With that being said, it is so important to have the right protection in place.
What measures should be taken:
Invest in a VPN software – When browsing through the internet and various CC platforms, you HAVE to make sure that you remain untraceable. More so than losing just your investment, if the government ever decided to shut a CC down, you might be putting your own freedom at risk. It’s always best to use a VPN when browsing so that your location is mirrored to a completely separate location. Any financial information or sensitive data should only be accessed online if you are 100% confident that it can’t be accessed by a 3rd party. Rush Tech Support recommends Avast VPN as a great option to protect your cryptocurrency trading.