CryptoCurrency

"There are now more than 3000 cryptocurrencies in existence, with each falling into one of the three major categories: altcoins, tokens, and Bitcoins"

Bitcoin (BTC) was the first cryptocurrency to be created and remains the world’s leading cryptocurrency by market cap. Bitcoin is a global peer-to-peer electronic payment system that allows parties to transact directly with each other without the need for an intermediary or institution such as a government or any bank. The Bitcoin whitepaper, which outlined how this revolutionary new currency would work, was released in 2008, and the Bitcoin network launched in 2009. Since its launch, Bitcoin has experienced no downtime, allowing anyone to transfer value at any time and from anywhere. The transaction time has also improved a lot in recent years. Bitcoin’s creator goes by the pseudonym, Satoshi Nakamoto. Their real identity remains unknown to this day. It is also unclear whether Nakamoto represents a single person or a group of individuals who worked on the Bitcoin project. Bitcoin is often regarded as the digital alternative to both fiat currencies and gold. That is because Bitcoin can be spent and saved just like traditional money, but is also a scarce finite resource and thus a good store of value like gold.

There are at least 11,000 altcoins in existence(as of 11th September 2021), according to data from CoinMarketCap, and the top 5 altcoins by market cap are Ethereum, Ripple (XRP), Bitcoin Cash (BCH), Litecoin, and EOS.IO (EOS). Like Bitcoin, all altcoins can operate independently on their networks utilising publicly accessible distributed ledger technology (DLT). Blockchain technology is the most famous and commonly used type of DLT, introduced to the world by still unknown Satoshi Nakamoto via Bitcoin. While all coins use DLT, slight variations in the whitepaper, i.e. underlying code of each protocol, are what gives altcoins their unique attributes.

IOTA is specifically designed to be a new data transfer and transaction settlement layer for the machine economy and the Internet of Things (IoT).

IOTA also uses its proprietary distributed ledger technology called the Tangle.  Litecoin (LTC) is a peer-to-peer currency and global payment network similar to Bitcoin. Litecoin’s creator Charlie Lee states that his intention was for Litecoin to be a complementary cryptocurrency to Bitcoin.

Unlike Bitcoin and Altcoins, tokens cannot operate independently. They're dependent on the network of another DLT, such as cryptocurrency. They do not have their underlying blockchain product but instead are built on top of an existing cryptocurrency's blockchain. Data from CoinMarketCap shows that at least 1496 tokens exist, deployed on the blockchain platforms of 36 cryptos. Here are few examples of different types of cryptocurrencies that host tokens include:

Tokens are easier to create as building a blockchain from scratch is not needed. “Tokenise the world” means the ability of tokens to represent almost any asset. Tokenisation of stocks, commodities, fiat currencies, other cryptocurrencies, property, etc., have already been achieved. Trust me, we have barely even scratched the surface yet as to what else can be tokenised. 

While we are on the topic of different types of cryptocurrency, we may as well look at some of the various subtypes that you will likely come across in the crypto world. Here are four terms commonly used to categorise cryptocurrencies that have specific characteristics:

Cryptocurrencies are mainstream now! Govt. & other Law enforcement agencies are figuring out the concept of crypto coins and where they fit in existing financial regulations and legal frameworks. With the introduction of Bitcoin, a completely new paradigm was created. Decentralised, self-sustained digital currencies not controlled by any singular entity that doesn’t exist in any physical shape or form were always set to cause an uproar among the regulators. Many concerns have been raised regarding cryptocurrencies’ decentralised nature and their ability to be used almost completely anonymously. The authorities worldwide are worried about the cryptocurrencies’ appeal to the traders of illegal goods and services as their use in money laundering and tax evasion schemes can rise. As of September 2021, Bitcoin and other digital currencies are outlawed only in Algeria, Bolivia, China, Colombia, Egypt, Indonesia, Iran, Nepal, North Macedonia, Russia, Turkey and Vietnam. Other jurisdictions, however, do not make the usage of cryptocurrencies illegal, but the laws and regulations can vary drastically depending on the country.

There are a lot of different options when it comes to buying Bitcoins. For example, there are currently almost 1,800 Bitcoin ATMs in 58 countries. Moreover, you can buy BTC using gift cards, cryptocurrency exchanges, investment trusts and you can even trade face-to-face.

When it comes to other, less popular cryptocurrencies, the buying options aren’t as diverse. However, there are still numerous exchanges where you can acquire various crypto-coins for flat currencies or Bitcoins. Face-to-face trading is also a popular way of acquiring coins. Buying options depend on particular cryptocurrencies, their popularity as well as your location.

Cryptocurrencies are digital, which entails a completely different approach, particularly when it comes to storing it. Technically, you don’t store your units of cryptocurrency; instead it’s the private key that you use to sign for transactions that need to be securely stored.

There are several different types of cryptocurrency wallets that cater for different needs. If your priority is privacy, you might want to opt for a paper or a hardware wallet. Those are the most secure ways of storing your crypto funds. There are also ‘cold’ (offline) wallets that are stored on your hard drive and online wallets, which can either be affiliated with exchanges or with independent platforms.

Yes, crypto is legal to buy, sell, send, receive, and own in most parts of the world. The full list of countries we support includes the USA, UK, Australia*, Canada*, Singapore*, and the following countries in Europe:

In some countries there is still a lot of confusion in trading so countries like Canada, Australia, and Singapore currently allows you to buy crypto but not sell it.

 You can buy Bitcoin (BTC), Litecoin (LTC), Ethereum (ETH), Bitcoin Cash (BCH), and Ethereum Classic (ETC). While we can’t recommend one currency over another, we can still share a few approaches that can help you decide which crypto is right for you.

One simple option is buy some of each currency. It’s a straightforward way to get started without playing favourites.

Another good option is to ask yourself what you’re hoping to do with crypto and choose the currency that will help you achieve your goals. For example, if you want to buy a T-shirt with crypto, then Bitcoin might be a good option because it is the most widely accepted cryptocurrency. On the other hand, if you want to play a digital card game, then Ethereum is a popular choice.

Cryptocurrencies and regular money share some traits — like how you can use them to buy things or how you can transfer them electronically — but they’re also unique in interesting ways. Here are a few highlights.