Cryptocurrency Revolution: Understanding the Basics for Investors
- Inflation has eroded the value of savings, affecting 1.4 billion adults without bank accounts. Sending money abroad results in an average 6.62% loss in fees each time.
- Central banks are exploring digital currencies, with $49 billion invested in Bitcoin ETFs since SEC approval on Jan 10, 2024.
- Cryptocurrency, now mainstream, addresses inflation, financial inclusion, and institutional investments.
- Cryptocurrency operates on a public blockchain, ensuring secure and tamper-resistant transactions.
- Cryptocurrency offers 24/7 transactions, lower fees, and borderless transfers, revolutionizing the financial system.
- Investors can access cryptocurrency through ETFs, crypto exchanges, or hot and cold wallets for self-custody.
- Risks of cryptocurrency include volatility, counterparty failure, and evolving regulatory frameworks.
- The future of cryptocurrency is promising, with SEC approval and EU regulations integrating digital assets into existing laws.
- Cryptocurrency is reshaping money for the internet age, offering scarcity, openness, and speed in transactions. Understanding the basics is crucial for all investors.
Read more at Yahoo Finance: What is Crypto? Cryptocurrency explained