With more than ten years in the market, cryptocurrencies are more of a viable alternative than a novelty for a large part of society that seeks its space within the ecosystem of the digital economy. Little by little, finances diversify and institutions adapt to the challenges of living with a network of platforms that pose a more democratic and expansive financial world.
Cryptocurrencies fulfill all the functions of traditional currencies, and they also offer high returns as an investment instrument such as “OSOM Insights”. If you are going to start investing in this market, surely the first thing you will feel is a fear of losing all your money.
Although this is a possibility, portals such as novatostradingclub.com give the following recommendations:
- Never invest more money than you can afford to lose.
- Do not invest from unsafe pages: It is typical; we see or click on an ad believing that we are going to get rich overnight and we find the big scam. There are a number of fraudulent platforms that are constantly searching desperately. Don’t do them that favor.
- Invest safely: it is best to do so through a properly encrypted secure wallet.
- Manage your portfolio efficiently: this advice is essential; diversification is a primary tool to control risk. It is better to have different fronts open than to have one and have more come out.
- Do not ask for loans left and right, remember, use the money you have to invest without your loss affecting your quality of life.
How Many Cryptocurrencies Are There?
The amount of digital currency available changes from day to day. Being an open source, new cryptocurrencies are constantly being born in the virtual universe, but not all of them have the same level of loyalty and trust from users. Among the most popular there are two types of cryptocurrencies: stablecoins and altcoins.
The former are named for their characteristic of being more stable as they are tied to the value of the US dollar, or they depend on the value of a specific resource, such as oil. USD Coin, USDT or DAI are some of the most popular stablecoins.
In contrast, altcoins, currencies like Bitcoin, are independent of the value of any currency. Its price depends on its market capitalization or the total value of the coins in circulation. That is, the legitimacy of altcoins depends more on the loyalty of the community participating in the business than on financial entities such as banks in different countries.
Obviously, due to its age and the trust it generates, the most reliable and best-quoted currency is Bitcoin, followed by Ethereum, Chainlink or Dogecoin, which, unlike the first cryptocurrency, does not have an issuance limit amount. which makes it an even more volatile currency than the others.
Cryptocurrencies changed the way we see money, forced us to research and learn more about expenses and benefits, that is, to pay attention to the way we manage our personal finances. This feature makes the digital transaction market much more versatile, allowing users to obtain benefits such as higher return on investment, better payment facilities and excellent savings percentages compared to the traditional form of transaction.