How to acquaint with crypto from the newbie’s point
Every new activity or less-known branch of one causes a great share of fear among those who want to approach it, but do not understand where to start with. Same goes for cryptocurrencies, too – even the traders that spend a lot of time with traditional stocks and exchanges feel somewhat unsure about getting to know the cryptoindustry better. It happens mainly because of different set of rules, so the things causing stress in fiat environment are totally normal in crypto – for example, high volatility of some currencies. Still, it is worth trying to get into the realia of digital assets, as they hold the potential of becoming the top-priority point in the future for the whole world.
What to start with when approaching cryptocurrencies
There are quite different opinions concerning the tactics for traders on buying, selling or withdrawing crypto assets, but many actually agree on the fact that anyone interested should rather set off with the most popular currencies by nowadays.
- Bitcoin or BTC – the oldest and leading option for everyone who is familiar with the cryptocurrencies. Currently, it is the most accessible cryptocurrency, with the help of which you can sell or by almost everything if the marketplace supports crypto transactions. But the user should also be prepared for some of its specifics, as it holds quite the reputation for being one of the most volatile currencies that can send the owners on the rollercoaster of price rises and drops.
- Ethereum or ETH – the main opponent of Bitcoin in terms of liquidity and approach to putting crypto into work. The Ethereum blockchain operates on creating smart contracts that allow to receive transaction only after performing some certain conditions, which is a great mechanism for future application of it to large-scale industries, and Ethereum currency serves as the payment for their fulfillment. As the system currently undergoes the major upgrade that will fix some of the known issues and improve the service, many expect it to become even more popular and replace Bitcoin on the leading position.
- Litecoin or LTC – the adapted version of Bitcoin, as expected from its name, which works faster and more effectively. It contains many similarities to the predecessors, relying on the mechanism of “proof of work” consensus and having specific limit in released amount that prevents cryptocurrency from devaluation. With its relatively stable reputation, low fees and high performance speed, Litecoin becomes a good option for starters.
Sure thing, it is up to the user whether to pick the recommended currencies or try out some less popular options that contain even more advantages, but with greater promotion also come greater risks. Even if you choose another option, make sure it has enough reviews and track its flow through the corresponding services. Always put safety first in the list of priorities, and only then cryptocurrency will ensure the stable income from exchanging, selling, buying or holding it.