You cannot deny that cryptocurrencies have taken over the digital financial market. If you have been paying any attention to the financial world, you must have noticed how many people are now investing in various crytocurrencies. Just hearing Elon Musk speak about it at convention after convention, often hiking up the price the more he markets this neutral currency, it gains in headline attention. Although it is known to be a volatile market, it can be a lucrative opportunity if you know what you’re doing. For women in finance, technology and investment, this could be the newest trading and funding avenue, however, just as every smart woman knows, comprehension and research lie at the heart of every capital venture.
This article aims to shed light on some of the most popular forms of cryptocurrency, identify the security and safety around this current and shed light on its market and market value.
There Are Many Different Types of Cryptocurrencies
There are many different kinds of cryptocurrencies out there and it’s important to know the variety of ones out there so that you can make the most informed decision about the cryptocurrency you want to invest in.
One of the most popular crytocurrencies out there is called Solana. You have most likely already heard of it quite often, it is one that has been around for quite some time, almost five years to be precise. It was first launched in March of 2020 and it aimed to work similarly to Ethereum (another cryptocurrency that will be outlined for you) and actually improve upon it. This cryptocurrency and blockchain technology was already in the works in 2017, which should give you peace of mind because it means that it has been in the works for a long time. The main thing you need to know is that with each cryptocurrency, the market impacts it differently. Just like with fiat currencies, when the dollar goes up, the rand might go down. Therefore, it’s crucial that you properly research the data set and trends of a specific cryptocurrency before investing in it so you might make as informed decisions as possible. With the popular Solana, you would therefore want to look at the Live Solana Price Data so that you might see the upward or downward spiral of that specific currency.
This data set is worthwhile for all other popular cryptocurrencies and the nice thing about investing in the more common options is the fact that there is typically more information surrounding these. You’ve likely heard of other popular ones, such as Bitcoin, Tether and Dogecoin. Bitcoin was actually the first cryptocurrency to enter the market, which is why it holds such a powerful position in market share. It was introduced back in 2012 by a group (or one person, no one is really sure) that went by the name of Satoshi Nakamoto, who when you Google them, comes up as a developer. Or even looking at Dogecoin, a cryptocurrency that was developed in 2013, kind of as a joke to make fun of the world of digital currencies but then became rather popular.
Knowing the different types of cryptocurrencies out there is crucial information for any woman trying to invest in this area.
The Security Behind Cryptocurrencies
Not sure if you noticed the term ‘blockchain technology’ above but if you didn’t, no matter, you’re about to hear quite a lot about it.
You see, blockchain technology is the bedrock on which cryptocurrencies sit. Without blockchain technology, cryptocurrencies would not be able to function as safely as they do today, which means that they would not be as popular as they are today, either.
Blockchain technology is built as bit as it sounds, it’s a whole bunch of blocks that store sensitive data, these are then all joined through a digital chain, that links and integrates them into a mainframe or network. Now, due to the nature of blockchain technology, it does not infringe upon any singular individual’s data, it saves it but does not take advantage of ownership. This is why it is so popular as people enjoy using a financial means that allows them to be anonymous users. This is especially helpful in terms of security as it means that their data is safer than usual. Plus, blockchain technology also has incredibly rigid software tech, meaning that if a hacker or cyber criminal were to ever try to hack the system, the blocks would immediately close up on themselves and become completely impenetrable. Very helpful when it comes to people storing their financial records online.
A Volatile Market
The last but certainly not the least important piece of information that any woman wanting to invest in cryptocurrencies needs to know, is just how volatile the market is.
Investing in financial means always comes with a bit of risk, trading stocks or fiat currencies comes with its own ups and downs. However, you cannot deny that cryptocurrencies have an additional sense of risk, as they are not actually rooted anywhere and have no governing body. With a stock that is linked to a commodity, you may never know when and how people’s opinions on that commodity will change but you do know that the opinions are at least linked to a physical place, whereas cryptos are completely digital, so you need to bear this in mind.
Take the Plunge
As you can see from the above, cryptocurrencies are a versatile market. Knowing the different types of cryptocurrencies is crucial information as it will give you a better idea of which digital currency you should invest in. Understanding the strength of Solana, for example, plus the movements of the currency is vital to making solid steps forward in this journey. Having the security of blockchain technology and understanding that cryptocurrencies are part of a volatile market is important, as this might impact how you approach crypto.