Bitcoin for Beginners Articles 5. & 6. (Market Review Included)

5.) Other Digital Currencies

Bitcoin is the main digital currency that everyone is talking about right now. But, as investors close in on the 21 million coins that exist, other currencies are gaining in popularity. Whether this is a good thing or a bad thing is still unknown. But, when you think about it, any type of money is risky – not just digital currency.

If you want to invest in digital currency, you should learn about the many others that exist. Follow what’s happening, pay attention to the news and what financial investors are saying, and you can be very successful with this type of investing.

1. Litecoin (LTC) – You can learn about Litecoin at Litecoinpool.org. This cryptocurrency is a peer-to-peer online currency that enables almost zero-cost payments around the world for goods and services. It’s becoming quite popular due to the high cost of transactions with other types of cryptocurrencies. Miners get 25 new litecoins per block, which is halved about every four years.

2. Ethereum (ETH) – In order to get more ETH miners, you can work to earn it, or buy it with fiat currency. First, you have to buy a mining contract, which means you agree to give part of your earnings to the mining company.

3. Zcash (ZEC) – This open, permission-free cryptocurrency lets you keep your transaction more private. It shields the sender and recipient as well as the value of the block chain. Yet, the transactions are still safe and fully encrypted. They’re very new, so watch them before you participate.

4. Dash – This digital currency allows you to have digital cash that you can use anywhere so that you can make instant payments privately online or in a store using an open-source platform. You make purchases from your Dash Wallet. Go to Dash.org to find out more, sign up to be a merchant, or to find merchants.

5. Ripple (XRP) – You can use Ripple to make fast payments all over the world online (and offline in some cases) and at a lower cost than bitcoin. The block chain technology that is used is much more scalable and secure than some other types of cryptocurrency.

6. Monero (XMR) – This secure, private, and untraceable cryptocurrency is used all over the world. You act as your very own bank, and no one can see how much you have. You cannot be blacklisted by vendors. It works sort of like the old gold standard that fiat money used to use.

Even though there are other digital currencies, remember that right now bitcoin is the leader. Having said that, it doesn’t mean the others won’t catch up. Many others are becoming popular as people try to think of new ways to pay for what they want.


Market Review

BTC posted a bear inverted at the end of last week chart. Cautious are to be taken despite a unfinish long inverted bfor last week close. Afraid that she will fall first before pick up in the mid week. If pick up first she probably will not cross $10,950 and fall back between 8 to 7 level. Protection order are to be place.


Indexes looks very risky too because the week still post more like a indecision and a bear inverted is longer than the top shadow. She won’t move higher than the resistant indicated. Overall is a fall trend this week.


6.) The Pros and Cons of Using Bitcoins

Whether you call it cryptocurrency, virtual currency, or digital currency, bitcoin is a type of new currency that you should learn all you can about before you buy it, mine it, or use it to pay for products and services. There are pros and cons of using bitcoins that all users should be made aware as they move forward. Let’s look at the main ones here.

Con

* Security Issues – There are some issues with hacking where people have lost their bitcoins. Additionally, there have been issues of fraud where someone misrepresented themselves and were really sending you to a fraudulent website to pay money for non-existent bitcoins.

Pro

* Anonymity Protections – You can buy using your private key, which is essentially a password, up to 78 digits long (and you can have more than one). This is how you make a bitcoin transaction, and you cannot make one without your key.

Con

* Private Keys – This was just a positive and now it’s a con. The reason is that you cannot recover your private key. If you lose it and can’t remember it, you’re out of luck because they are unrecoverable. The best place to store your key is by printing it out on paper and keeping it locked up in a file cabinet or even a safety deposit box.

Pro

* Wallets – Your bitcoins are stored in a wallet that is accessible via the cloud, an internal hard drive, or even an external storage device. You cannot save your wallet on paper, only electronically.

Con

* Hacking – Wallets are great but if you don’t sign in often and you don’t watch your accounts, you’re making yourself vulnerable to hacking. Anytime you store anything on a computer it’s vulnerable to hacking, so it’s essential to use only super-secure servers.

Pro

* Finite Supply – This is a good thing. Fiat money (the money sponsored by governments) is not backed by anything and most money is valued based on the US Dollar. Since there are only 21 million units of bitcoin and there will never be more, it’s just like the old gold standard which is seen by some as superior than fiat money.

Con

* Black Market Activity – Bitcoin is often used for nefarious reasons on the dark web. This means that it can have a bad reputation due to some of its users. This is a shame, because it can erode bitcoin’s reputation and value.

Pro

* It’s Unpolitical – There is no central bank, and no state agency controls bitcoin or its value. A government cannot freeze your bitcoin, and bitcoin isn’t even regulated by its creators. It just exists and can be used by the users the way they want to use it.

Understanding the myriad of issues surrounding cryptocurrencies and all the pros and cons of them is essential to know the potential risks and rewards. That way you can move forward with an understanding of what you’re doing. When you do that, you can protect yourself from fraud and make better decisions.

Thank you

Tangoh

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