Crypto & Cryptocurrency Explained

The first cryptocurrency was Bitcoin, created in 2009. Today there are more than 1,500 different types of cryptocurrencies. These digital currencies (cryptos) can be traded or used as payment methods on thousands of websites, ranging from small stores to global corporations like Microsoft and Expedia. More and more places accept
Cryptocurrencies like Bitcoin can be used as a hedge against fiat currency.
Using cryptocurrencies may not make sense for people who cannot afford to lose money; it’s an extremely high-risk investment. However, there are plenty of different cryptocurrencies out there with different benefits and properties. It is important to learn all about the cryptocurrency you want before buying any because prices are volatile and do not go up over time automatically.

It is usually completely safe to buy and use crypto.
Crypto coins like Bitcoin and Litecoin are secured by a form of cryptography called “hashing.” Cryptography is the science of writing messages in code for keeping messages secret, and hashing translates messages into an unreadable scramble. The message always reverts back into readable language when you receive it on the other end.

To purchase cryptocurrencies, sign up to a cryptocurrency exchange and deposit your currency. For exchanges supporting fiat deposits (e.g., US dollars) you will need to identify the account type: individual or institutional. Once approved, it may take three-to-five days for there to be sufficient funds in your account before purchases are allowed on the exchange.
Once your identity is verified, you can purchase coins through many exchanges including Binance, Coinbase, Kraken or Bitrex. Finding an unfilled market order of one crypto pair at a good price relative to another can generate enormous capital gains of 100% or more in both coins but with their own risks that need considering first.

Depositing money into crypto is one of the easiest steps. If you are new to crypto, this step will start with signing up on an exchange. There are plenty of exchanges available for each country, but be sure to do research beforehand in order to find the best ones that offer great customer service too. Most exchanges have a slight fee associated with them when it comes to depositing money in USD using your debit/credit card or bank account. The good news is there are services like Coinbase where they allow free transfers in from banks/Faster Payments or wire transfers in GBP or EUR if you live in Europe!
Finally, once my fiat currency has been transferred over I can choose what cryptocurrency I want and how much I want based on what I have just transferred. You can then deposit the money into your account, which may take a few days to show up in your balances depending on what exchanges you are using.

The easiest way to withdraw your current cryptocurrency balance is by transferring it from the exchange to a wallet on your computer, which you control.


First, log into your account on the cryptocurrency exchange and proceed to the “Withdraw” section. Enter the amount of money that you want in your local currency and confirm this transaction. You can then choose a withdrawal provider (e.g., PayPal, Skrill, Bank Account), enter the details of that provider, confirm all fields again and initiate the withdrawal process. Once this has been completed, know that it may take up to 5 days for funds to become available with some providers.

Fiat money is the money that a government has declared to be legal tender, but it is not backed by a physical commodity. The value of fiat money is derived from the relationship between supply and demand rather than the value of the material that the money is made of. Historically, most currencies were based on physical commodities such as gold or silver, but fiat money is based solely on the faith and credit of the economy.