Cryptocurrency and Commonly Asked Questions

What you need to know

A cryptocurrency, or crypto for short, is a digital currency that can be used to buy goods and services, just like any other currency. This works using a technology called “blockchain”, which is a decentralized technology spread across computers that manage and records transactions.

In recent news, cryptocurrency is on the rise. The popularity stems from the appeal of futuristic qualities, such as online tokens used for buying and trading. However, there is often confusion about how it works, and the following topics should answer any questions you might have.

How many variations of cryptocurrencies are there? 

There are more than 10,000 different cryptocurrencies traded publicly, and as of July 16, 2021, all cryptocurrency was worth more than $1.3 trillion. The total value of all bitcoins (the most popular digital currency) is alone worth $599.6 billion.  Following Bitcoin, the second-largest publicly traded crypto is Ethereum, worth $224.3 billion.

How do I buy cryptocurrency? 

To buy most cryptocurrencies, you need an online wallet app to keep track of the exchange. Using an online trading account, you must transfer real money to a digital form to buy the cryptocurrency. These exchanges often have low fees but can have more complex interfaces with advanced features, which may intimidate new investors. Some well-known crypto exchanges are Coinbase, Gemini, and Bianance.US.

Are cryptocurrencies something I should invest in?

As with any investment, it is highly recommended that you do research, or hire a professional broker before investing any of your money. Investing in cryptocurrency is generally riskier than investing in stock trading of established companies because it is more of a speculative and volatile buy. 

Although cryptocurrency is exciting and volatile, owning a real asset like a home will always be a good investment. When it comes to money and investing, The Galaxy Lending Group is committed to providing secure home loans. Contact us today to find out more information and get a loan today!