Hi Folks,
This is my first post today and new to Steemit so be nice 😊 Hope this information may be helpful and I look forward to being an active member of the Steemit community moving forward.
As a beginner to the world of Crypto Currency things can be quite overwhelming. I know as I have recently been through this experience. There is a wealth of information available online and multiple ways of going about purchasing your crypto but making sense of all the technical jargon can be daunting. I hope by sharing this information I may be able to make this step a little easier to fathom. Before we begin I must quickly mention that trading in Crypto is not for the faint hearted as the markets can be quite volatile so if patience isn’t your strong suit perhaps give some serious consideration before beginning.
So what is Crypto Currency? By now I assume you have heard or read about Bitcoin. Bitcoin was the brain child of the mythical Satoshi Nakamoto. I use the term mythical as no one actually knows who Satoshi is and it is assumed the name is a pseudonym used by an individual or group of people. Released in early 2009 Bitcoin is known to be the first decentralized digital currency and uses Blockchain technology which was released as an open source software at the time of creation. Blockchain is an open ledger which can be used to record all transactions of anything that has value. It is considered to be safe from hackers due to the blockchain database not being stored in one single location but across a whole network of computers who have voluntarily allowed the network to access their computing power. Users allow the network to access their computing power to verify any transactions done on the blockchain via solving complex computing equations and in return if they are the one to solve the ‘puzzle’ they will be rewarded in Crypto Currency. This is also known commonly as mining. This is a very basic description and for those looking for more information I recommend doing your own research. Since the release of Bitcoin there have been thousands of other crypto currencies created using the same or slightly altered blockchain technology.
Now you have a base understanding of what Crypto Currency is and if still considering entering the crypto market you will need to pick an exchange to trade on. There are multiple exchanges that you can trade with and each have their pro’s and con’s so it worth looking into the exchange that suits your needs best. As I am in Australia and wanted a quick and easy way to deposit AUD and invest In Crypto Currency I personally use Coinspot as my exchange. They are relatively new to the Market and as of today offer most of your mainstream Crypto’s. Fees are slightly higher than others with 2 -3% for any trades involving AUD or 1% for trading coin to coin but this seemed like a reasonable trade off given the ease in using them compared to others. The website is easy to navigate, includes a wallet to store your crypto and offers charts of each Crypto’s performance since being included on their exchange. They also allow payments via POLI which are fee free and funds are deposited in real time. BPAY and Cash Payments are also available but incur fee’s and not as quick and easy as POLI. They also offer an affiliate program with incentives for this being very competitive when comparing with other exchanges. The sign up process for Coinspot can seem daunting to begin with but don’t let this deter you as when dealing with Crypto exchanges security is a good ingredient which is also evident with the option for 2 step authentication to sign in to your account. Sign up begins when you click the deposit AUD button and you are required to enter your personal details. Following on from this you are required to upload a photo of your driver’s license and also have the option to upload a recent utilities bill and link your Facebook account. The last 2 are optional but there in order to speed up your approval process. Next you are provided with a code and requested to write this on a piece of paper with a short paragraph of text which the website provides. You then upload a picture of yourself holding the detailed paper. From here your application is sent for review and you may receive a quick call to answer a couple of basic questions. At this point your application is approved or denied. Whilst this seems lengthy the online part took me all of about 10 minutes, and as I done this in the early hours of the morning (1a.m) I received the call about 12 hours later which took less than 5 mins and was very unobtrusive.
Now you have signed up to an exchange and deposited cash into your account you can start to purchase your Crypto. From my limited exposure what I can gather is there seems to be 2 main groups of investors. You have those who are there to trade daily, moving their currency around between different crypto’s and buying low and selling high to build up their investment. The second group are those who are purchasing crypto to hold onto hoping they could be the next big thing. I would personally like to be in the first category but due to limited funds am in the second group so have a strategy to make small but regular investments to build my portfolio. So, figure out what strategy you are going for. Coinspot offers a limited description of each currency but this is where I recommend you do your own research. There is an abundance of information online and I suggest you do thorough research in any circumstance where you are investing your hard earned cash. Things I personally look for when conducting research are as follows and in no particular order:
- Does this Crypto have any real world use?
- Who are the development team who have created it and what experience do they have?
- Is this Crypto backed by any big name Companies or Individuals?
- Is there a community following this Crypto?
- Do the developers keep the community updated regularly?
- Do the developers stick to their timelines and if not is there good reason?
- Check the price chart, is it a good time to buy? (is the price low?)
- Is there anything in the pipeline? Upcoming conference’s or announcements/developments?
- Do they have a decent website/wallet and information available about their goals and ambitions?
I have personally gathered my information online trolling through many articles and have found good information available on Reddit, Youtube, steemit and various forums but as with anything don’t believe everything you read online, take time to assess the information to see if you think it is legit and cross reference the information. Get involved in the online chats and ask questions or peoples thoughts on certain topics so you can leverage their knowledge to your own advantage. When looking online for your information you will come across some terms that you may not know of. Common things may be:
ICO – This is an initial coin offering where a new crypto is released on to the market. The developers raise capital to develop their technology via selling their own offering for existing Crypto Currency.
HODL – Hold on for dear life. This is for the long-term investor
Lambo or to the moon – This is a term used to describe a huge price rise on a crypto
Market Cap – Current Price multiplied by the total supply in circulation
So now you have a beginner’s guide into starting your Crypto portfolio in Australia. Continue your research, look in to various ways of how to store your Crypto in order to keep it safe, keep an eye out for upcoming ICO’s that may interest you and most importantly don’t spend what you can’t afford. Remember there is no such thing as a sure thing in life and if you are looking for a guarantee you would be better of buying a T.V. I wish you the very best of luck and may your Crypto go to the Moon! If you have enjoyed this article or have found it helpful and do decide to sign up with Coinspot please do so via my affiliate link : https://www.coinspot.com.au?affiliate=NHEHW
Also any upvotes, resteem or comments are very much appreciated and definitely welcomed
N.B – Any opinion or view in this article is expressly my own. I have no formal qualifications in regard to Journalism, investing or programming. I am not a representative of any company mentioned in this article and it has been written to aid you in starting your Crypto journey as well as the hope of assisting myself in gaining additional affiliates through the Coinspot exchange.