There is a famous saying that belongs to Phillip Fisher: Don’t confuse price with value.
Let’s take a close look at the work with cryptocurrencies and try to clarify some moments that might be misunderstood by those who are interested in investments and crypto.
But before we start let’s get acquainted with Maddex. Maddex.io is an investment platform that is run by experienced and skilled specialists who have come a long way that includes overcoming serious crises, thus they know for sure how to act in different situations.
Maddex has 10 years experience of working in different spheres of crypto investments and an army of successful clients that trusted them to handle their funds.
Several years ago, the Internet was blown up by a unique event that had a significant impact on the financial sphere of human life. However, many ordinary people just did not notice it. The coup happened very quietly.
Someone Satoshi Nakamoto (perhaps there were a few men) created a unique system for conducting calculations in electronic form. It is fully decentralized and operates on the principles of the blockchain.
Experts from Maddex.io that have more than 10 years of cryptocurrency investment experience prepared this interesting and informative article about crypto and passive income.
Principles of Work
There is a blockchain that is the core. It is a chain of blocks with data stored. Moreover, all information is reliably protected by a cryptographic cipher. There is not a single center for storing information. A copy of the blockchain is immediately available on all networked computers. This allows to secure the funds, as well as protect them from external interference.
The first currency unit was created on the principles of blockchain and is called Bitcoin. It was the first cryptocurrency to get free of any payment systems, states, and financial organizations. In fact, when Bitcoin only started, it was at the price of from around $0.0008 to $0.08 per coin in July 2010.
Today it reached $60,000! That’s just a breathtaking number that really inspires investors all around the world and gives passion to thousands of businessmen to start investing in crypto.
As a result, in just a few years, Bitcoin’s exchange rate has increased by several thousand times. This eventually allowed those who in 2009 bought several hundred monetary units for only a few dollars to eventually become millionaires.
Bitcoins currently remain the most popular cryptocurrency, that has the maximum rate. However, it is not the only electronic money. There have been several dozen cryptocurrencies in the last few years.
Theoretically, everyone can develop their own electronic money. But it is worthwhile to understand that it requires considerable investment since cryptographic encryption and promotion are not cheap.
However, it is not necessary to create your own currency to earn money. Everyone can generate a good income from investing in crypto money, just waiting for the growth of its value.
At the same time, a feature of cryptocurrencies is that among the most popular of them, the rate is increasing steadily. Therefore, the investor remains to purchase the currency and wait for it to grow in value.
The Main Advantages of Cryptocurrencies
There are several advantages of investing in cryptocurrencies:
- Cryptocurrencies are transferred between counterparties based on Peer2Peer principles. That is, it happens without the use of intermediaries, as in the case of traditional money with financial organizations and payment systems.
- During cryptocurrency transferring, commissions are set at a very low level.
- Electronic money is an international means of payment. That is, it can be used in any state subject to the availability of the Internet.
- Cryptocurrency wallets cannot be controlled from the outside, so no one has the right to freeze them, as well as introduce restrictions on the amount of transfer.
- The rate of electronic money is growing steadily. In comparison with the previous year, the cost of bitcoins has increased by more than four times, and Ethereum has risen in price by almost 300% for just four months.
How to Invest in Cryptocurrency?
There are several ways to invest in cryptocurrency:
- Cryptocurrency mining;
- Cryptocurrency trading on the exchange;
- Direct acquisitions.
Each of these options has its own characteristics. Some methods require quite serious capital investments, and others are suitable even for beginners with a minimum amount of investment.
If you are eager to start crypto investing, but you feel like you don’t have much experience – there is no problem to start making your way with Maddex.
Many have heard about such a method of generating income as mining. There are two options for cryptocurrency mining:
- The traditional option of cryptocurrency mining requires huge investments. The fact is that the equipment for it is quite expensive. Moreover, it is not enough to purchase video cards, power supplies, and other devices. You will also have to connect and configure the equipment. It is necessary to wait for profits long enough because the farm will pay off in no less than 12 months.
- Cloud mining is a joint investment in mining capacity. In other words, the miner invests in a large enterprise that has a fairly large number of professional farms. The profitability of such investments is much higher than with individual mining. The extraction process can be carried out automatically or semi-automatically.
Cryptocurrency Trading Platforms
Exchanges allow not only to acquire and exchange cryptocurrencies but also to earn on exchange differences. Experts recommend investing in cryptocurrency through exchanges only to those who know at least the minimum fundamentals of these places.
One of the trusted cryptocurrency investing platforms is Maddex, whose partners became Binance, BSCPad, ChainList, MoonEdge, and Pancake Swap during the latest time.
Although experts do not recommend starting active trading on the exchange immediately after registration, the Maddex platform allows you to start without special knowledge, and the platform support is always there to answer any of your questions.
At Maddex believe in what they do, but even more, they believe in people that work with them and multiply the community of successful ones! If you wish to bring big changes into your life, visit Maddex.io.