If you have ever gone to an arcade and received a token that can be used to purchase items or play games, then you have a glimpse of how Cryptocurrency works. Cryptocurrency is a coin and token form of exchange. While you can invest in Cryptocurrency, you can also purchase physical goods. Here are 16 facts about Cryptocurrency that will impress your friends and grow your knowledge of this ever-growing method of exchange.
1. Bitcoin is not the only Cryptocurrency
While bitcoin is the most popular form of Cryptocurrency, there are currently more than 6700 different types on the market. Competing for first place in notoriety are Bitcoin, Tether, and Chainlink.
2. Cryptocurrency is a multi-billion-dollar market
There is a misconception that cryptocurrencies and domain and web hosting services that cater to cryptocurrencies are unstable. This is far from the truth. Annually, the market for Cryptocurrency has netted around 300 billion dollars. This number is expected to increase as the Bitcoin domain, and web hosting services grow.
3. Cryptocurrency is not standard money
Cryptocurrency can be used to buy goods, products, or services. However, it is not like standard money regarding how to gain or purchase it. For one, you can break a 20 down into two tens. With Cryptocurrency, you have a digital wallet with a set value within the wallet. While you can have a physical coin from Cryptocurrency (purchased with real USD or with other Cryptocurrency), most transactions are conducted digitally.
4. The Legality of Cryptocurrency varies
In the United States, cryptocurrencies are a legal form of tender with businesses that will accept them as payment. Additionally, it is legal to offer a USA domain name catered to Cryptocurrency. Other countries have various laws about cryptocurrencies. Due diligence is required for anyone seeking to invest in Cryptocurrency, especially if that person wishes to exchange the coins/tokens globally.
5. Anyone can track your wallet
Ambiguity with Cryptocurrency is an issue as all transactions are made public. Anyone who wishes to see your purchases can do so long as they have the wallet address and the person's name. A search of the Blockchain shows the current transaction, but previous purchases are also displayed. While some argue that this minimizes the risk for fraud, as everything is bluntly transparent, others would argue that it decreases its appeal, as consumers do not want everyone to know who or what they are spending their coins on.
6. No one knows exactly who created Bitcoin
No one knows exactly who created the first Cryptocurrency. A pseudonym is attached to the creator, but the person behind that name remains a mystery. Consensus narrows the field down to either Dorian Nakamoto, Craig Wright, or Nick Szabo. However, conspiracy theorists have speculated various groups and even governmental agencies as the founders because there is no definitive creator.
7. Though purchased primarily with USD, validation is primarily conducted in China
When you purchase Cryptocurrency, the currency must be mined or validated before becoming a part of your Blockchain. As most transactions and acquiring of Cryptocurrency are done with US dollars, one would expect validation to be conducted through a USA domain name. Yet, more than 75% of all blockchain validation is done in networks owned and controlled by China.
8. Google now allows for Bitcoin-based advertisements
In the past, Google banned all advertisements related to Cryptocurrency. Since the currency has proven to be a valuable means of exchange, the web giant has lifted the ban allowing websites with domain and web hosting services oriented to Bitcoin and other cryptocurrencies to have ads on Google.
9. The value of Cryptocurrency has grown by over a hundred thousand percent
Cryptocurrency has exploded in the past ten years. With Bitcoin alone gaining 193,639.36% from 2010 to 2020, it is one of the fastest-growing markets available. As such, confidence in the coin has increased in 2021 to 97%. Should the market continue as it is currently, estimations calculate a global market of $23 billion net worth by 2023.
10. Social Media is a cryptocurrencies playground
Digital content developers have known for years that social media is the quickest and most effective way to boost SERPs, drive traffic, and increase ROI. Bitcoin and other cryptocurrencies have saturated the social media market showing visitors more than a thousand posts per hour about cryptocurrencies.
11. Cryptocurrency is controlled mainly by the top 10 providers
There may be more than 6000 different versions of Cryptocurrency on the market, but that does not mean that all of these markets are thriving. Only ten companies control nearly 90% of the entire cryptocurrency market.
12. You can buy bitcoins at ATMs
Bitcoin ATMs are becoming more popular in 2020 and will continue to flourish in 2021. While the number of ATMs has not exceeded 20 thousand globally, the increase in demand on the global market may spark an increase in physical teller stations.
13. Cryptocurrency pushes 10 billion dollars a day in transactions
While we may think that the USD is the king of all online purchases, Cryptocurrency quickly narrows any margins between them. In recent studies, Cryptocurrency averaged 6 billion dollars a day in online transactions. This is only 8 billion behind Mastercard. Visa still leads with 30 billion in sales.
14. An up and down market
Cryptocurrency is more apt to purchasing stock than it is to buying money. The market fluctuations are substantially different than the USD. In 2021 cryptocurrency has seen declines equivalating to 100 billion dollars in losses in a day and then showing substantial gains in the following weeks. It is speculated that the Blockchain will gain more traction in upcoming years. Purchasers should monitor the markets with the same diligence as the stock exchange.
15. Cryptocurrency is getting more secure
There has been a significant decline in crypto-related crimes in 2021. This may be the result of better monitoring from Bitcoin and other leaders and website security from those wishing to advertise on Google. Since sites must have a higher level of security to rank highly in SERPs, new measures are being implemented.
16. Cryptocurrency is not just digital
Currently, Cryptocurrency is accepted at several select locations for globally recognized merchants. Among the most notable vendors are Starbucks, Virgin, and Telsa.
