It’s no surprise that cryptocurrencies have had a huge influence in the past few years; especially under the premise that they can make you rich quick.
Here, at Count, we pride ourselves on finding you the best way to get into the crypto buzz, whether that is teaching you about cryptocurrencies, or what cryptocurrencies to choose from.
This article will show you what cryptocurrencies you should keep an eye on in 2022, including very high trending crypto, and some that are only just taking off.
What is Cryptocurrency?
Cryptocurrency is a virtual coin backed by a real-life value embedded within it. It is a strange concept to those only just getting into it; a coin that isn’t real but costs money? Unheard of, but it’s true.
Their prices deflate and inflate at times depending on the demand for them. It’s always recommended to be prepared for the money you spent to be lost, and only buy it if you have money to lose.
There are a lot of cryptocurrencies out there, some that do good, some that do bad, and some that are pure scams.
Positives and Negatives
The crypto world being as sparse and diverse as it is may seem like a goldmine for money-making but it comes with numerous positives and negatives! These positives and negatives can be a huge turning point for indulging in this digital world.
- Patterns can be predicted and eventually you can tell which crypto may launch off
- Inflating prices based on popularity
- Can get you a lot of money
- Prices can inflate before you buy it
- Prices can deflate while you hold it, meaning you’ll lose money
- Some cryptocurrency can be rugpullers (scams)
- Very volatile
- Harms the environment
Read Now: How to Navigate Cryptocurrency
Where to Buy Cryptocurrency?
Look out for things such as KYC (Know Your Customer) verification, which most of these exchanges use to prevent fraud. This means you need to provide identification to go forward with buying cryptocurrencies.
Make sure you also buy from only verified websites which are talked about and have a lock in the URL. This confirms that the website is legitimate, and you can go ahead with your purchase.
There are a lot of security checks to go through when buying cryptocurrency, but you can relax at the thought that once it’s bought then that is it. The reverse to turn your crypto into money shouldn’t be half as hard as it was to begin with.
The Cryptocurrencies to Look Out For
These cryptocurrencies are all gaining popularity or were already popular, but may have a pattern that means it is slowly increasing in price.
Bitcoin is currently stationed at 1 bitcoin to £31,360.14 pound sterling.
It’s popular because of the functionality that it involves. It can be used to buy items, and this is what makes it such an attractive cryptocurrency to get involved in.
The biggest mystery of bitcoin is that the creator is still widely unknown despite being created in 2008.
It is still growing now and is always a good option to invest in for the long-term rather than a short-term solution to get rich quick.
Ethereum is currently 1 Ethereum to £2,334.86 pound sterling.
It was created more recently than Bitcoin. It’s used for decentralised application but it’s biggest use recently is in connection with NFTs. It is used in creating and exchanging them.
Ethereum is more professional than Bitcoin as the creators are widely known and always communicating with its customers, but, it is still not as popular and demanding as bitcoin is.
Tether is equal to 1 Tether to £0.77 pound sterling – or $1 dollar.
It’s is very different to other cryptocurrencies. Tether is based on keeping it’s value at exactly $1 dollar.
You may ask, how do I make money from this? But keep in mind – it will always be worth a dollar so it contrasts with however much a dollar is to other currencies. Let’s say a dollar is someday worth a pound then you essentially gain money from a good equal real-life economy.
It isn’t necessarily for the long-term in terms of investment but in hindsight is a better alternative to the volatile nature of most other cryptocurrencies.
Binance is currently at 1 binance to £318.91 pound sterling.
In terms of functionality, Binance is similar to Bitcoin. It is used mainly to buy all other types of cryptocurrency itself on it’s own exchange and most others. Usually, to buy cryptocurrency you buy Binance first, and then use an exchange to swap it into the cryptocurrency of your choice.
With that method still being the most efficient around, it means that Binance will always be popular and have a decently portioned price attached to it.
U.S Dollar Coin:
U.S Dollar Coin is equal to 1 USDC to £0.76 pound sterling.
This coin is very similar to Tether but instead it is powered by Ethereum. It also grants the idea that it will always be worth 1 dollar.
They call these types of coins ‘stablecoins‘, as they avoid the volatility of other cryptocurrencies, but the payoff is that you won’t get as much money back.
It can be a good one to invest in due to it being safer than Tether in terms of transparency.
Hopefully, these cryptocurrencies inspire you to pursue your own journey into the digital world. It may be stressful, and annoying but keeping an eagle eye on your investments will lead to good fortune. By ignoring your investments, you may miss out on crucial upgrades, or all-time-high prices.
If you would like to find out more regarding finance, then feel free to contact us here at Count today.