Beginner's Guide: Introduction in Cryptocurrencies

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Introduction: To buy Cryptocurrencies

The first cryptocurrency which makes the existence was Bitcoin which was built on Blockchain technology and probably it was launched just last year by a mysterious person Satoshi Nakamoto. At the time writing this blog, teen million bitcoin had been mined and it is believed that total 21 years of age million bitcoin could be mined. The other most popular cryptocurrencies are Ethereum, Litecoin, Ripple, Golem, Civic and hard forks of Bitcoin like Bitcoin Cash and Bitcoin Gold.

It is advised to users to not put all money in one cryptocurrency and stay away from investing at the peak of cryptocurrency bubble. It has been observed that price has been suddenly dropped down when it is on the peak of the crypto bubble. Since the cryptocurrency is a volatile market so users must invest the amount which can afford to lose as there is no control of any government on cryptocurrency as it is a decentralized cryptocurrency.

Charlie Wozniak, Co-founder of Apple believed that Bitcoin is a real gold and it will dominate all the stock markets like USD, EUR, INR, and ASD in future and turn into global currency in coming years.

Why and Why not Invest in Cryptocurrencies?

Bitcoin was the first cryptocurrency which has been around since and thereafter around 1600+ cryptocurrencies has been launched with some unique feature for each coin.

Some of the reasons i always have noticed and would like to share, cryptocurrencies have been created on the decentralized platform -- so users don't require an authorized to transfer cryptocurrency from destination to another one, unlike fiat currency where a user require a platform like Bank to transfer money from account to another. Cryptocurrency built on a very safe blockchain technology and almost nil opportunity to hack into and steal your cryptocurrencies unless you don't share your some critical information.

You should always avoid buying cryptocurrencies at the high point of cryptocurrency-bubble. Many of us buy the cryptocurrencies at the peak in the anticipate to make quick money and fall victim to the hype of bubble and lose their money. It is best for users to do a lot of research before investing the money. It is always good to put your money in multiple cryptocurrencies instead of one as it has been pointed out that few cryptocurrencies grow more, some average if other cryptocurrencies go at a negative balance zone.

Cryptocurrencies to concentrate

In 2014, Bitcoin holds the 90% market and other countries in the cryptocurrencies holds the remainder 10%. In 2017, Bitcoin is still owning the crypto market but its share has sharply dropped from 90% to 38% and Altcoins like Litecoin, Ethereum, Ripple has exploded rapidly and captured the most of the market.

Bitcoin is still owning the cryptocurrency market but not the only cryptocurrency which you need to consider while investing in cryptocurrency. Some of the major cryptocurrencies you must consider:

Where and How to buy Cryptocurrencies?

While some years ago it was quite difficult to buy cryptocurrencies but now the users have many available platforms.

In 2015, The indian subcontinent has two major bitcoin platforms Unocoin wallet and Zebpay wallet where users can purchase and sell bitcoin only. The users have to buy bitcoin from wallet only but not from another person. There was an amount difference in buying and selling rate and users has to pay some nominal fee for completing their transactions.

In 2017, Cryptocurrency industry grew tremendously and the price of Bitcoin grown automatically, especially in last six months of 2017 which forced users to look for alternatives of Bitcoin and surpassed 14 lakhs in the Indian market.

As Unodax and Zebpay are the two major platforms in The indian subcontinent who have been owning the market with 90% of market share -- which was dealing in Bitcoin only. 

uniswap It gives the chance to other organization to grow with other altcoins and even forced Unocoin yet others to add more stock markets to their platform.

Unocoin, one of India's leading cryptocurrency and blockchain company launched an upmarket platform UnoDAX Exchange for their users to trade multiple cryptocurrencies apart from trading of Bitcoin in Unocoin. The difference between both platforms was -- Unocion was providing instant purchase and sell of bitcoin only whereas on UnoDAX, users can place an order of any available cryptocurrency and if it matches with the beneficiary, the order will be executed.

Other major transactions available to trade cryptocurrencies in The indian subcontinent are Koinex, Coinsecure, Bitbns, WazirX.

Users have to open a merchant account in any of the exchange with signing-up with email id and submitting the KYC details. Once their account gets verified, one can start trading of coins of their choice.

Users have to research well before investing in any coins and not fall into the trap of cryptocurrency-bubble. Users must research the exchange credibility, openness, security features and much more.

All Transactions charge some nominal fee on each transaction. There are two types of charges -- Maker fee and Taker fee. Independent of the transaction fee, you have to pay the transfer fee, if you want to transfer your cryptocurrencies in other exchange or your private wallet. The charges solely depend on the coins and exchange as the different exchange has difference price component for transferring the coins.

Major Altcoins other than Bitcoin

As mentioned above, Bitcoin is owning the market with a 38% market share accompanied by Ripple, Ethereum, Litecoin, Bitcoin Cash. Transactions like UnoDAX, Bitfinex, Kraken, Bitstamp have listed many other coins like Golem, Civic, Raiden Network, Kyber Network, Basic Attention, 0X, Augur, Monero, Tron and much more. If any of the coins match your collection then you must buy it.

But, you must put the money in the market which you can afford to lose as cryptocurrency market is very volatile and no government has control over it.

When to buy?

There is no hard rule when to purchase favorite cryptocurrency. But one must research the market stability. You should not but at the peak of a cryptocurrency bubble or when the price is ramming continuously. Always best time is considered when the price is stable relatively at a low level for a long time.

Cryptocurrencies Storage Method

Before buying any cryptocurrency one must discover how to keep your cryptocurrency safe.

Generally, all the transactions give you the storing facility where you can keep your coins safely. One should never share their user details, security password, 2FA when you hold cryptocurrency on transactions.

Paper Wallet, Hardware wallet, Software wallet are some of the channels to store their cryptocurrency.

Paper Wallet: Paper wallet is an traditional cold storage method to keep your cryptocurrency. It images your private and public key on a piece of a paper where QR code is also printed. You have to just scan the QR code for their future transactions. Why is it safe? No need to worry about the hack into of your account or attack of any malicious malware. You just need to keep your part of the paper safe in a locker and if possible keep few waste paper wallet all in your complete control.

Hardware Wallet: Hardware wallet is a physical device where you keep cryptocurrency safe. There are many forms of hardware wallet but popular hardware wallet is UNIVERSAL SERIAL BUS. When you keep your cryptocurrency in hardware wallet you just need to keep in that mind that you should not lose your hardware wallet as once it is lost you cannot retrieve your cryptocurrency.

One famous incident, where a person as mined 7000+ bitcoin and stores in their hardware wallet and kept it with another hardware wallet. One day he used the hardware wallet in which he stored his cryptocurrency instead of damaged hardware and he lost all his bitcoin.

So what can buy from cryptocurrencies in The indian subcontinent?

A lot of people assume that buying and selling of any cryptocurrencies are just for the investment and getting the high returns on a long and short-term. Influencers and bitcoin investors are assuming that in coming years Bitcoin will dominate all the fiat stock markets and you will be accepted as International currency.

Dell is one of the largest e-commerce business accepting bitcoin as payment. Expedia and UNICEF are other examples.

In The indian subcontinent, Sapna Book Shopping mall was accepting bitcoin as payment using Unocoin merchant service. Individuals were booking movie tickets through BookMyShow or charging their mobile using Unocoin platform. Per the report, they have stopped the service but planning to start again in forseeable future.

Conclusion:

Cryptocurrency is one of the growing investment sectors and possesses given nice returns than real-estate, gold, stock-markets, etc in the past. You can purchase the cryptocurrency and hold for long-term to get nice returns or go for the short-term for the quick profit even as have witnessed the growth of many coins in 1000%+ in past. Since the cryptocurrency is a volatile market and no control of government on the industry. One must invest the amount in a cryptocurrency which can afford to lose.