The launch of the first Altcoin back in 2009 is often viewed as a response to the then ongoing World Financial Crisis. Its main purpose was to decentralize monetary exchanges and sway them away from banking institutions. The latter had lost the savings of millions of people worldwide which created a great distrust in their ability to keep funds safe and sound. This is still valid today.
It would also explain why the average Bitcoin value, as well as that of the other main cryptocurrencies, has risen dramatically over the last year and a half. The events of the cryptopocalypse, however, showed that this online sphere can not offer complete protection of the earnings one stores in his or her respective hot or cold e-Wallet.
Still, a lot of people prefer to keep a portion of their annual income in the different digital exchanges. They are not recognized by most of the world’s countries, meaning that they are not covered in divorce settlements. This creates greater financial independence for the average person.
Investing in cryptocurrencies has also taken the digital financial sphere by storm. Bitcoins and Ethers can be purchased and traded freely. One does not even have to have specific knowledge or understanding of what the blockchain technology actually is.
People do not even have to get started with a crypto mining or scrypt mining solution. They can simply sign-up for a CFD trading robot that operates on the Altcoin market and acquires great daily results without a view if there is a cryptopocalypse happening or not.
What Drives the Price of Altcoins?
The rise and fall of a given Altcoin’s price are usually determined in the same manner as regular currencies – based on fluctuations in the supply-and-demand rates. The higher the supply – the bigger the increase. The vice verse situation is also true.
This creates some room for speculation and the formation of a ‘crypto bubble’. But given the fact that a lot of people have already invested in Bitcoin, for example, and the fact that there is a limited amount of it – this scenario is highly unlikely to happen.
Only time will tell how digital currencies will develop. One thing is for sure – they are here to stay. Official recognition is bound to happen at some point. Some experts even consider that Altcoins might replace gold or liquid assets.
CFD Trading with Cryptocurrency Exchanges
There is a sufficient number of cryptocurrency exchanges and CFD trading platforms that provide users with the possibility to buy and sell digital coins. Users do not have to engage in cryptocurrency mining or be blockchain experts. They can simply purchase a given amount and them convert them into a regular currency of their choosing.
Online investors will have to open an e-Wallet first and attack their bank or credit card to it. E-Wallets are nowadays used for all kinds of financial transactions, even when people wish to get something off of Amazon or eBay.
The procedure is safe as data gets automatically encrypted, making the end user anonymous to any kind of third parties. Buying something means that a given monetary amount will be withdrawn from the account. Selling means that a sum will be transferred into the e-Wallet.
CFD trading with one of the legit and authentic cryptocurrency exchanges can be summarized like this:
1. Open E-Wallet or Trading Account
2. Attach a Bank or Credit Card to It
3. Purchase a Given Amount of Digital or Regular Currency
4. Users Receive a Transaction Notice
5. They Are Free to Invest
Diversify the CFD Trading Portfolio!
The recent cryptopocalypse showed that Altcoin market leader Bitcoin might not always hold the first position. An old English proverb advises us to ‘never hold all your apples in one basket’. But achieving good daily results with the use of cryptocurrencies requires us to do the exact opposite.
Users should do their best to try and diversify their investment portfolio as much as possible. Even during the first cryptopocalypse, the value of some Altcoins remained stable and unaltered. This is why it is best to purchase as many different digital currencies as possible. This is a good precaution against future drastic shifts in prices.
Cryptocurrencies – the Possible Future of Worldly Finances!
Altcoins taught humanity that evolution and regular re-assessment of the established monetary system is necessary if one wishes to generate favorable daily results and stay afloat. Many speculate that cryptocurrencies might replace their regular cousins one day.
They are decentralized, anonymous, and provide greater personal freedom. Moreover, the eliminate the need for a middleman and introduced humanity to the revolutionary blockchain technology. We are merely just beginning to comprehend its true value and appliance.
Since time and history do not have the ability to go backward, all of us are in for an amazing ride. The final destination is still unknown. But every one of us has the chance to improve his future with the means of investing in cryptocurrencies.