WHAT ARE CRYPTOCURRENCIES AND HOW DO YOU MAKE MONEY TRADING IT

I know you must have heard of a concept called cryptocurrency, and how people make money out of it. But the confusion is you do not know how it works, and how to make money out of it.

I am here to guide you in that respect. In this post I would be discusiing the following:

  1. What does cryptocurrency actually mean?
  2. How do you make money out of it.
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A cryptocurrency is a type of digital money created from code. They function autonomously, outside of traditional banking, and government systems. Cryptocurrencies use cryptography to secure transactions and regulate the creation of additional units. If you may know, cryptocurrencies differ significantly from traditional fiat currencies. Nonetheless, you can still buy and sell them like any other asset.

You can now also trade on the price movements of various cryptocurrencies via CFDs, and spread betting

Cryptocurrencies fall under the banner of digital currencies, alternative currencies and virtual currencies. They were initially designed to provide an alternative payment method for online transactions. However, cryptocurrencies have not yet been widely accepted by businesses, and consumers, and they are currently too volatile to be suitable as methods of payment. As a decentralised currency, it was developed to be free from government oversite, or influence, and the cryptocurrency economy is instead monitored by peer-to-peer internet protocol. Meaning you own your coins, and determine it usage
The individual units that make up a cryptocurrency are encrypted strings of data that have been encoded to represent one unit.
Bitcoin is credited with being the first decentralised cryptocurrency. Like all cryptocurrencies, it is controlled through a blockchain transaction database, which functions as a distributed public ledger. For those who do not know, Bitcoin was created by Satoshi Nakamoto – whether the name refers to an individual or a group is unknown. A feature of most cryptocurrencies is that they have been designed to slowly reduce production, and to ensure that inflation is checked and prevented. Consequently, only a limited number of units of the currency will ever be in circulation. This mirrors commodities such as gold and other precious metals. For example, the number of bitcoins is not expected to exceed 21 million.

Cryptocurrencies such as Ethereum, on the other hand, work slightly differently. Issuance is capped at 18 million Ethereum tokens per year, which equals 25% of the initial supply. Limiting the number of bitcoins provides ‘scarcity', which in turn gives it value. Some claim that bitcoin's creator actually modelled the cryptocurrency on precious metals. As a result, mining becomes more difficult over time, as the mining reward gets halved every few years until it reaches zero. The major types of cryptocurrencies are:

  1. Bitcoin
  2. Ethereum
  3. Litecoin
  4. Ripple
  5. Bitcoin Cash
  6. Stellar

HOW TO MAKE MONEY TRADING CRYPTOCURRENCIES

With the current good news surrounding widespread adoption of Bitcoin and the somewhat relaxation in volatility. I understand that there are a lot of new comers entering the Bitcoin community. So, I am glad you invariably want to learn how to trade cryptocurrency. Making money from cryptocurrency involves the following:

  1. Being an investor
  2. Being a professional trader
  3. Acting as a retailer
  4. Mining cryptocurrencies

With these various ways you can make tons of wealth from cryptocurrency. So, as an institution, we teach people how to trade, we invest for people and finally, we recover cryptocurrencies for people using one of the best tools in the world. Connect with us today admin@phoenixsouls.com to learn more.

You may be surprised that Crypto Scammers gained about $24 million worth of BTC in the first six months of 2020, according to reports from watchdog Whale Alert. As the COVID-19 pandemic kept a lot of individuals more active online, scammers have pulled dozens of different types of scams such as fake ICO's, BTC recovery, fake exchanges, giveaways, video scams, fake tumblers, Ponzi schemes, malware and many more. Interestingly, some of the most successful scams include a crypto fraudster making more than $130,000 in 24 hours with just a single web page, a BTC address, and decent amount publicity on YouTube. Indeed, these acts of fraud is steadily on the rise, this is due to the fact that Bitcoin are Borderless and Trust less payment system. I would indeed want you to exercise caution while using the internet and in the act of making money. So, as not to be a victim. Over a decade after the creation of Bitcoin, it has been a valuable asset and a digital currency whose value keeps appreciating. Indeed the year 2020, has been a redefining cycle for Bitcoin. We saw how bitcoin after a huge downward trend sometime in March 2020, due to the coronavirus lockdowns and downturns to $3700 to breaking it all time high at $19800. Also, we have seen government of various nations, putting bitcoin and other cryptocurrency into perspective. Some describing it as a digital asset, while some accreditjng same as a corporate security

It would interest you to know, that in Africa, Nigeria leads as the country with the most adoption of cryptocurrency. Thus as the year draws to a close. A whole lot of young Nigerians are storming the internet wanting to learn how to make money with Bitcoin. The video below is specifically created for you. Do well to watch and remember to hit the subscribe button.