Cryptocurrency is basically a virtual exchange medium that uses a cryptography in order to secure its transactions and control the creation of the system units. Meaning, cryptocurrency simply represents money in the digital marketplace nothing else. It is based on an open-source software, cryptography and networking. It lets people or users avoid fees or the lowest fees as compared to what your banks are charging. The system takes part in the non-cash transactions that is anonymous while guaranteeing a secure transactions.

use cryptocurrency? Basically, cryptocurrencies are known for its extreme security and anonymity to the highest level. Transactions made by this system cannot be reversed nor faked and compared to what your local bank are doing in its client charging high transaction fees. In cryptocurrency the fees are to the lowest level, making it reliable than the conventional currency in the marketplace. Its decentralized nature means they can be available to everyone, in which banks can only be available to those they permitted to open accounts.

There is no exact number of existing cryptocurrencies exist in the ecosystem, this is because the code of the cryptocurrency is an open source, this means that anyone has the chance to create their own version of cryptocurrency by just using the code. But as to this moment, the estimated cryptocurrencies in the marketplace is about more than 900, along with the data embedded on them, which can be seen on the list of registered coins.

This is all about storing a cryptocurrency, wallet concept can be daunting a bit for the uninitiated. Basically, there are wallet software (this can be desktop, online or mobile), hardware based wallets, and of course the paper wallets. Talking about the “best” wallet in the ecosystem will be different for each one of us, it depends on a particular needs.

Wallets don’t just store cryptocurrency directly. It is accurate to think wallet as storing private keys. The Public key cryptography allows cryptocurrency to function, and uses a specific algorithms in order to generate pairs of keys. Public key is the address to which anyone can send its cryptocurrency balance. The private key allows owners spend funds from the specified address. Without the private key, public address becomes bottomless pit that you can only see; money still be sent there, but lost without a private key.

The type of wallets simply represents various ways a certain can secure their secret private key. There are two main types of cryptocurrency wallet, the hot and cold, these refers to the level or internet connectivity of the wallet. Paper wallet and hardware wallets are not actively connected to internet and considered as cold storage. Hot wallet is internet connected wallet, easy to spend, but vulnerable to cyber-attacks. A cold storage protects you from cyber-crime, but still it will be the owner’s responsibility to secure their property.

A cryptocurrency market and exchange are both service in web, allowing cryptoccurrency token holder to trade to other currency or conventional monetary to their system. According to record, there are more than 2000 cryptocurrency exchangers in the ecosystem, among the largest are Bitstamp, Cryptsy, and Coinbase.

The value of cryptocurrencies are ranked in a value or unit times and the cost of exchange to buy equals the capitalization in the market. For instance 1 Steem coin is worth $1.50 on Poloniex this rate was in the previous month. But the price can move at any moment, the market capitalization is only an estimate of the overall value of the digital currency.

The best cryptocurrency to purchase is the one that you want to hold on, whether the value goes down and goes up. I believe Bitcoin is the type of crypto that I am willing to hold even it totally goes down and will buy more eventually when the price goes really down. I don’t have any intention to sell these tokens and continue to invest in the long term because I believed that there are community behind it. One more thing focus on the established one. And only invest to what you can afford to lose.

The best time to sell a cryptocurrency is when you get 25% increase from the original purchase of your token. If it goes down, the option is to hold and wait till it gets back to higher price. As mentioned cryptocurrency are extremely volatile, you can lose 95 percent of your asset anytime or earn 95 percent.

When is the right time to invest? The best strategy that most successful people did was consistently investing over time, this strategy minimizes the strong impact of volatile prices. For instance, you want to invest on Monero, but don’t have the idea if this currency is going to go down in the next days, buying every week instead of buying them at once is the ideal way because you will have a track of the changes in the marketplace, and with the strategy you will get a higher chances of getting a good deal. In short, investing in time is ideal, because this helps you adjust on the ups and downs of the prices effectively.

It is very much understandable to have this question regarding its legality, e.g. using Bitcoin or BTC. This platform introduced a new paradigm which is away from traditional regulations and regulators that is govern by the fiat currency. { All the questions regarding cryptocurrencies and the law depends on how these digital currency in the ecosystem are being utilized in the marketplace.

These activity are not helping out Bitcoin’s reputation with establishments that was prevalence of using it as major payment services in the digital marketplace, in which customers purchase illegal goods. Whether people uses Bitcoin or not as long as you are doing illegal activities it’s always be illegal. The issue here is the illegality of the activity, whether you paid something in cash, gold, Bitcoin, or any other forms of currency.

The legality of these cryptocurrencies, for instance Bitcoin is viewed differently by experts, but one thing that is sure, as long as it is not connected to any illicit activities, then you don’t have to worry about it. These cryptocurrencies do not exist on the list of sanctioned list currencies, its status could somewhat place a user at risk but no violation of any laws.