Cryptocurrency Terms to Know Before You Invest: A Beginner’s Guide

 

Cryptocurrency

A type of currency that’s digital and decentralized. it can be used to buy and sell things, or as a long-term store of value.

Bitcoin

The first and most valuable cryptocurrency, launched on Jan. 3, 2009. While its value has climbed steadily since then, it has seen wild fluctuations. In the past months alone, the price of Bitcoin has fluctuated from a record high of $60,000 to to below $3,500

Altcoin

Any coin that’s no t Bitcoin. Altcoins can be anything from the second-most popular coin, Ethereum, to any of the thousands of coins with very minimal market value. Experts say you should largely stick to the bigger, more mainstream cryptocurrencies as an investment.

Block

Groups of data within a blockchain. On cryptocurrency blockchains, blocks are made up of transaction records as users buy or sell coins. Each block can hold only a certain amount of information. Once it reaches that limit, a new block is formed to continue the chain.

Blockchain

A digital form of record keeping, and the underlying technology behind cryptocurrencies. It is the result of sequential blocks that build upon one another, creating a permanent and unchangeable ledger of transactions (or other data).

Coin

A representative store of digital value that lives on a given blockchain or cryptocurrency network. Some blockchains have the same name for both the network and the coin, like Bitcoin. Others can have different names for each, like the Stellar blockchain, which has a native coin called Lumen. 

Cold Wallet/Cold Storage

A secure method of storing your cryptocurrency completely offline. Many cold wallets (also called hardware wallets) are physical devices that look similar to a USB drive. This kind of wallet can help protect your crypto from hacking and theft, though it also comes with its own risks – like losing it, along with your crypto.

Hot Wallet

A software-based cryptocurrency wallet connected to the Internet. While more convenient for quickly accessing your crypto, these wallets are a bit more susceptible to hacking and cybersecurity attacks than offline wallets — just as files you store in the cloud may be more easily hacked than those locked in a safe in your home.

Decentralization

The principle of distributing power away from a central point. Blockchains are traditionally decentralized because they require majority approval from all users to operate and make changes, rather than a central authority.

Decentralized Finance (DeFi)

Financial activities conducted without the involvement of an intermediary like a bank, government, or other financial institution. 

Decentralized Applications (DApps)

Application designed by developers and deployed on a blockchain to carry out actions without intermediaries. Decentralized finance activities are often completed using decentralized apps. Ethereum is the main network supporting activities in decentralized finance.

Digital Gold

Experts sometimes compare specific cryptocurrencies to real gold based on the way it can store and increase in value. Bitcoin is commonly referred to as digital gold. 

Ethereum

The second largest cryptocurrency by trade volume, Ethereum is a crypto network and software platform that developers can use to create new applications, and has an associated currency called ether. Vitalik Buterin was the programmer who invented Ethereum in the year 2015.

Exchange

A digital marketplace where you can buy and sell cryptocurrency.

Fork

When a blockchain’s users make changes to its rules. These changes to the protocol of a blockchain often result in two new paths - one that follows the old rules, and a new blockchain that splits off from the previous one. (Example: a fork of Bitcoin resulted in Bitcoin Cash).

Gas: 

A fee that developers have to pay to the Ethereum network in order to use the system. Gas is paid in ether, the native cryptocurrency of Ethereum. 

Genesis Block

The first block of a cryptocurrency ever mined.  

HODL

Stands for “Hold On for Dear Life” though the term originated from a user typo on a Bitcoin forum in 2013. It refers to a passive investment strategy in which people buy and hold onto cryptocurrency — instead of trading it — in the hopes that it increases in value. 

Halving

A feature written into Bitcoin’s code in which after a certain number of blocks are mined (typically every four years) the amount of new Bitcoin entering circulation gets halved. The halving can have an impact on Bitcoin’s price.

Hash

A unique string of numbers and letters that identify blocks and are tied to crypto buyers and sellers.

Initial Coin Offering (ICO)

A way that funds are raised for a new cryptocurrency project. ICOs are similar to Initial Public Offerings (IPOs) of stocks.

Market Capitalization

For cryptocurrency, market cap refers to the total value of all the coins that have been mined. You can calculate a crypto’s market cap by multiplying the current number of coins by the current value of the coins. 

Mining

The process whereby new cryptocurrency coins are made available and the log of transactions between users is maintained. 

Node

A computer that connects to a blockchain network.

Non-fungible Tokens (NFTs)

These are units of value used to represent the ownership of unique digital items like art or collectibles. NFTs are most often held on the Ethereum blockchain.

Peer-to-peer

Two users interacting directly without a third party or intermediary. 

Public Key 

Your Wallet's address, which is similar to your bank account number. You can share your public wallet key with people or institutions so they can send you money or take money from your account when you authorize it.

Private Key

The encrypted code that allows direct access to your cryptocurrency. Like your bank account password, you should never share your private key. 

Satoshi Nakomoto

The pseudonymous creator of Bitcoin. No one knows the true identity of Nakomoto — or if it’s more than one person.

Smart Contract

An algorithmic program that enacts the terms of a contract automatically based on its code. One of the main value propositions of the Ethereum network is its ability to execute smart contracts. 

Stable-coin or Digital Fiat

A stable-coin pegs its value to some other non-digital currency or commodity. A digital fiat represents a fiat, or government-backed currency on the blockchain. (Example: Tether, which is pegged to the U.S. dollar)

Token

A unit of value on a blockchain that usually has some other value proposition besides just a transfer of value (like a coin). 

Wallet

A place to store your cryptocurrency holdings. Many exchanges offer digital wallets. Wallets may be hot (online, software-based) or cold (offline, usually on a device).

What is decentralized finance (DeFi)?

 

What is decentralized finance (DeFi)?

Cryptocurrencies have exploded into a trillion-dollar industry today, sparking a wave of worldwide financial disruption.

At the heart of cryptocurrencies is a remarkable history of innovation that goes back to the 1980s, with advancements in cryptography. Since then, a series of events have shaped crypto space; the first cryptocurrency, Bitcoin, being the most prominent. Despite its spectacular growth in the past 12 years, financial services have very slowly appeared for Bitcoin — mostly due to its inherent lack of stability and adoption. Mainstream institutions won’t accept a Bitcoin loan because of its significant price volatility — it makes Bitcoin a poor asset to plan any investment accurately.

Things change quickly in the crypto space, and decentralized finance (DeFi) is a current trend — it's an exciting space to be, undoubtedly. If you're still unaware, let’s dig a little deeper into DeFi and learn more about it.

Decentralized finance (DeFi) explained

Short for decentralized finance, DeFi is an umbrella term for a variety of applications and projects in the public blockchain space geared toward disrupting the traditional finance world. Inspired by blockchain technology, DeFi is referred to as financial applications built on blockchain technologies, typically using smart contracts. Smart contracts are automated enforceable agreements that do not need intermediaries to execute and can be accessed by anyone with an internet connection.

DeFi consists of applications and peer-to-peer protocols developed on decentralized blockchain networks that require no access rights for easy lending, borrowing, or trading of financial tools. Most DeFi applications today are built using the Ethereum network, but many alternative public networks are emerging that deliver superior speed, scalability, security, and lower costs.

Why smart contracts?

Most smart contracts offer Turing Complete programming languages that allow multiple parties to interact with each other, without needing a centralized intermediary. Blockchain’s ability to capitalize on smart contracts has made them ideal platforms to choose when building out financial applications.

How did DeFi get its start?

Humans bartered initially for goods and services. But, as humans evolved, economies evolved: We invented currency to make it easier to exchange goods and services. Subsequently, coins helped usher in innovations and created better levels of economies. However, progress comes at a cost.

Historically, central authorities have issued currencies that underpin our economies, which eventually gave them more power as more people began to trust them. However, trust has been broken from time to time, which makes people question the centralized authorities' ability to manage said money. DeFi was developed based on the idea of creating a financial system that is open to everyone and minimizes the need to trust and rely on a central authority.

It’s argued that DeFi started in 2009 with the launch of Bitcoin, which was the first p2p digital money built on top of the blockchain network. Through Bitcoin, the idea of ushering transformation in to the traditional financial world using blockchains became an essential next step in the decentralization of legacy financial systems. The launch of Ethereum and, more specifically, smart contracts, in 2015 made it all possible. The Ethereum network is a 2nd generation blockchain that first maximized the potential of this technology within the financial industry. It encouraged businesses and enterprises to build and deploy projects that formed the ecosystem of DeFi.

DeFi brought a plethora of opportunities to bring about a transparent and robust financial system that no single entity controls. But the turning point for financial applications started in 2017, with projects facilitating more functionalities in addition to just money transfer.

Challenges within centralized finance

Financial markets can enable great ideas and drive the prosperity of society. Still, power in these markets is centralized. When people invest in the current financial system, they relinquish their assets to intermediaries, such as banks and financial institutions — this keeps the risk and control at the center of these systems.

Historically, we’ve seen bankers and institutions failing to see risks in the market, as seen in the 2008 financial crisis. Undoubtedly, when central authorities control money, risk accumulates at the center and endangers the system as a whole.

Bitcoin and early cryptocurrencies, which were initially developed to give individuals complete control over their assets, were only decentralized when it came to issuance and storage. Providing access to a broader set of financial instruments remained challenging, up until the emergence of smart contracts and that enabled DeFi.

DeFi protocols and how they work

DeFi has grown into a complete ecosystem of working applications and protocols that deliver value to millions of users. Assets worth over $30 billion are currently locked in DeFi ecosystems, making it one of the fastest-growing segment within the public blockchain space.

Here's an overview of the most popular DeFi use cases and protocols available in the market today:

DeFi lending and borrowing

DeFi gave finance a new direction by enabling lending and borrowing. Widely regarded as ‘Open Finance’, decentralized lending offered crypto holders lending opportunities to gain annual yields. Decentralized borrowing allowed individuals to borrow money at a specific interest rate. The aim of lending and borrowing is to serve financial service use cases while fulfilling the needs of the cryptocurrency community.

Top DeFi lending and borrowing platform: Compound Finance

Launched in 2018, Compound Finance is the brainchild of Rober Leshner. The project is a lending protocol developed on the Ethereum blockchain that allows users to gain interest by lending out assets or to borrow against collateral. The Compound protocol makes this possible by creating liquidity for cryptocurrencies through interest rates set using computer algorithms.

How does Compound work?

Users of Compound earn interest by depositing cryptocurrencies. Here's a list of cryptocurrencies that can be deposited on the protocol, along with the expected Annual Percentage Yield (APY). Once cryptocurrencies are supplied on the Compound platform, users can use them as collateral for loans.

Compound token: $COMP

$COMP, the governance token for Compound protocol, is a token used by its holders to suggest and implement development changes to Compound protocol. Changes include:

• Selecting which digital assets to support.

• Adding modifications to how $COMP tokens are distributed.

• Adjusting collateralization factors to the platform.

Decentralized exchanges

Decentralized Exchanges (DEx) are one of the essential functions of DeFi, with the maximum amount of capital locked compared to other DeFi protocols. DExs allow users to exchange or swap tokens with other assets, without a centralized intermediary or custodian. Traditional exchanges (centralized exchanges) offer similar options, but the investments offered are subject to that exchange's will and costs. The extra cost on each transaction is another negative aspect of CExs, which DExs address.

Top decentralized exchange: Uniswap

Founded in 2018 by Hayden Adams, UniSwap is the largest automated token exchange by trading volume deployed on the Ethereum blockchain. The project was launched after receiving grants from multiple capital ventures, including the Ethereum Foundation. UniSwap automated transactions between cryptocurrencies through smart contracts.

How does it work?

UniSwap today offers three functionalities: Swapping tokens, adding liquidity, and removing liquidity.

Swapping tokens

1. Users are required to create an account on Metamask to utilize this service.
   

2. Once a Metamask account is created, users can select tokens they own to swap for another type of cryptocurrency.

Adding liquidity

1. To provide liquidity, users deposit an equivalent value of tokens into the token's associated exchange contract

2. Once you have tokens for liquidity, you can add them to a “pool" on the UniSwap interface.

3. Users who provide liquidity on UniSwap earn exchange fees, calculated per the value of tokens offered for liquidity.

Removing liquidity

1. You can remove the liquidity on UniSwap by merely choosing the 'Remove Liquidity' option from a drop-down menu.

UniSwap token: $UNI

$UNI is the governance token of UniSwap, meaning the token holders have a say in the protocol's development and treasury. The token was launched in September of 2020 and was awarded to anyone who has used Uniswap.

Stablecoins

Stablecoins are a viable solution to volatility issues surrounding cryptocurrencies and are helping DeFi gain prominence. The name says it all — stablecoins' value is tied to a relatively stable asset, like gold or the US dollar, to keep its price consistent. Stablecoins became useful during risk-off moments in the crypto space, providing a safe haven to investors and traders. Stability makes them a reliable collateral asset. Stablecoins also play an important role in liquidity pools — an integral part of the DeFi ecosystem and DExs.

MakerDAO

Founded in 2015 by Rune Christensen, MakerDao is an organization building technology for savings, borrowing, lending, and a stable cryptocurrency on the Ethereum blockchain. The project was one of the earliest DeFi protocols. Instead of conducting an ICO, the project privately sold $MKR tokens to fund the development over time. $DAI, Maker's stablecoin, was launched in 2018 and has experienced significant traction.

How does MakerDAO work?

The protocol works like this:

• A user can send or deposit $ETH to a smart contract on Maker's protocol and create a Collateralized Debt Position (CDP). This will enables the ability to take $DAI at a specific collateralization rate.

• Suppose the price of $ETH drops in the future. In that case, the CDP of a user will automatically be closed to ensure the network has enough capital locked against the borrowed tokens. This can be prevented by putting in more $ETH or taking out less DAI in the first place.

• $ETH can be claimed back by paying back the amount, with the addition of a small fee.

Maker protocol tokens: $DAI and $MKR

The project requires two kinds of tokens to work: $DAI and $MKR

$DAI is created by locking a cryptocurrency in the Maker protocol. $DAI is used like any stablecoin: trade it against other digital assets or use it to make purchases.

Unlike $DAI, MakerDAO's $MKR token is volatile and isn't pegged to any asset. $MKR tokens are used in voting on proposals that affect how $DAI can be used. Holders of $MKR tokens are benefitted when the token increases — however, when the system fails, they take the largest hit in price.

Prediction markets

Predictions markets are platforms where individuals can make predictions on the realization of future events, ranging from sports bettings or politics to predictions on stock prices and more. DeFi opens these markets for participation. The concept of decentralized prediction markets has long been touted as a possibility through smart contracts.

Top prediction market: Augur

Augur is a decentralized prediction market platform that utilizes the collective prediction of the masses. The DeFi platform August uses Ethereum to harness the "Wisdom of the Crowd" to create real-time predictive data. The first version of Augur was released in 2015 and its mainnet was released in 2018.

How does Augur work?

Augur offers you two primary actions:

1. Market creation: Users can create an Augur market by spending some amount of Ethereum. When creating a market, users need to set the taker fees and maker fees, which should be low enough to incentivize people to bid and high enough to cover the Ethereum cost.

2. Trading Events Shares: Users can buy or trade shares that represent the odds of the occurrence of a market event. Traders can make money by buying positions at a low cost and selling them when the price goes up. People who predict an event correctly will also receive rewards when the market closes.

Augur token: $REP (reputation token)

$REP is an ERC-20 token used on the Augur platform to create a prediction market, purchase participation tokens, or dispute an outcome. As the name suggests, $REP represents token holders' reputation in the market. For any action that requires tokens, users stake their reputation.

Asset management

Another class of service offered by DeFi is asset management. It intends to make investing faster, less expensive, and more democratized. Aspects of the DeFi ecosystem play very favorably for Asset Management, including: transparency, composability, and trustlessness.

Transparency promises to make information accessible and secure, composable to enjoy hyper-customization of portfolios, and trustless to allow access to historically illiquid assets and manage their investment regardless of location.

Ampleforth

Launched in 2020 by Evan Kuo, Ampleforth aims to provide a non-collateralized digital asset that helps traders and investors diversify their crypto portfolios. Ampleforth is an asset-management protocol of DeFi designed to be synthetic and smart commodity-money. "Synthetic" because they're created by humans but aren't raw materials like gold.

How does it work?

Ampleforth adjusted its tokens' supply daily to match the market demand using a smart contract. These smart contracts use Ampleforth's and Chainlink's price oracle to get real-time data from Bitfinex Exchange and KuCoin Exchange. These decentralized price feeds help determine if the token's price is within the equilibrium range (0.96-1.06 USD range). Suppose an $AMPL token price is lower than $0.96, the supply decreases. If it is greater than $1.06, Ampleforth increases the supply.

Ampleforth token: $AMPL

$AMPL is an ERC-20 token that seeks the price target of 1 US dollar. However, instead of pegging it to a fiat currency, Ampleforth allows the tokens to fluctuate in addition to price, as it seeks to achieve an equilibrium range. The price is adjusted automatically in Ampleforth wallets. Since the supply of $AMPL tokens remains unaffected during inflation or deflation, Ample is an ideal asset that can maintain its purchasing power against other assets.

The future of DeFi

We’re observing a quantum leap in the new possibilities of the functionalities of money through the innovation of distributed ledger technologies. For the first time in history, a global financial system for a worldwide population is being shaped by that very population. Everyone can take part in the governance of DeFi protocols and get a seat at the table where the world of decentralized finance is actively created.

The DeFi space is gradually catching up with the traditional financial system and despite some of the obstacles which are certain while operating on the bleeding edge of innovation, the world of decentralized finance is on the path to prosperity. Over time, it's difficult to predict how this space will shape when the power to build financial services will democratize. However, at the point where DeFI and fintech map and merge, we'll have an inflection point where nascent financial technology is just part of a new financial system. One that realizes the dream of being fast, secure, available, and egalitarian.

Learn About BITCOIN and become your own BOSS... $25-$1000+ weekly is up to you

Investing in Bitcoin can seem complicated, but it is much easier when you break it down into steps. Buying Bitcoin is getting easier by the day, and the legitimacy of the exchanges and wallets are growing as well.

Before You Buy Bitcoin

There are several things that every aspiring Bitcoin investor needs. A cryptocurrency exchange account, personal identification documents if you are using a 'Know Your Customer (KYC)' platform, a secure connection to the Internet, and a method of payment. It is also recommended that you have your own personal wallet outside of the exchange account. Valid methods of payment using this path include bank accounts, debit cards, and credit cards. It is also possible to get Bitcoin at specialized ATMs and via P2P exchanges. However, be aware that Bitcoin ATMs have increasingly required government-issued IDs as of early 2020.

Privacy and security are important issues for Bitcoin investors. Even though there are no physical Bitcoins, it is usually a bad idea to brag about large holdings. Anyone who gains the private key to a Public Address on the Bitcoin Blockchain can authorize transactions. Private keys should be kept secret; criminals may attempt to steal them if they learn of large holdings. Be aware that anyone can see the balance of a public address that you use. That makes it a good idea to keep significant investments at public addresses that are not directly connected to ones that are used for transactions.

Step One: Choose an Exchange

Signing up for a cryptocurrency exchange will allow you to buy, sell, and hold cryptocurrency. It is generally best practice to use an exchange that allows its users to also withdrawal their crypto to their own personal online wallet for safer keeping. For those looking to trade Bitcoin or other cryptocurrencies, this feature may not matter.

Right now, however, the most popular exchanges are not decentralized and do require KYC. These exchanges include Binance, Kraken, Coinbase, Kucoin, Gate, to name a few. Each of these exchanges has grown significantly in the number of features they offer. Binance, Kucoin, and Gate offer Bitcoin and a growing number of altcoins. These three are probably the easiest on-ramps to crypto in the entire industry. 

An important thing to note when creating a cryptocurrency exchange account is to use safe internet practices. This includes using two-factor authentication and a password that is unique and long, including a variety of lowercase letters, capitalized letters, special characters, and numbers.

Step Two: Connect Your Exchange to a Payment Option

After you have chosen an exchange, you will need to gather your personal documents. Depending on the exchange, these may include pictures of a driver's license or Social Security number, as well as information about your employer and source of funds. The information you may need can depend on the region you live in and the laws within it. The process is largely the same as setting up a typical brokerage account.

After the exchange has ensured your identity and legitimacy, you will then be able to connect a payment option. At most exchanges, you can connect your bank account directly or you can connect a debit or credit card. Though you can use a credit card to purchase cryptocurrency, it is generally something that should be avoided due to the volatility that cryptocurrencies can experience.

Though Bitcoin is legal in the United States, some banks do not take too kindly to the idea and may question or even stop deposits to crypto-related sites or exchanges. It is a good idea to check to make sure that your bank allows deposits at your chosen exchange.

There are varying fees for deposits via a bank account, debit, or credit card. Coinbase is a solid exchange for beginners and has a 1.49% fee for bank accounts, with a 3.99% fee for debit and credit cards. It is important to research the fees associated with each payment option to help choose an exchange or to choose which payment option works best for you.

Exchanges also charge fees per transaction. This fee can either be a flat fee (if the trading amount is low) or a percentage of the trading amount. Credit cards incur a processing fee in addition to the transaction fees.

Step Three: Place an Order

When you have chosen an exchange and connected a payment option, you can now buy Bitcoin and other cryptocurrencies. In recent years, cryptocurrency exchanges have slowly become more mainstream. They have grown significantly in terms of liquidity and their breadth of features. The operational changes at cryptocurrency exchanges parallel the change in the perception of cryptocurrencies. An industry that was once thought of as a scam or one with questionable practices is slowly morphing into a legitimate one that has drawn interest from all the big players in the financial services industry.

Now, cryptocurrency exchanges have gotten to a point where they have nearly the same level of features as their stock brokerage counterparts. When you have found an exchange and connected a payment method, you are ready to go.

Crypto exchanges today offer a number of order types and ways to invest. Almost all crypto exchanges offer both market and limit orders and some also offer stop-loss orders. Of the exchanges mentioned above, Kraken offers the most order types. Kraken allows for market, limit, stop-loss, stop-limit, take-profit, and take-profit limit orders.

Aside from a variety of order types, exchanges also offer ways to set up recurring investments, allowing clients to dollar-cost average into their investments of choice. Coinbase, for example, lets users set recurring purchases for every day, week, or month.

Step Four: Safe Storage

Bitcoin and cryptocurrency wallets are a place to store digital assets more securely. Having your crypto outside of the exchange and in your personal wallet ensures that only you have control over the private key to your funds. It also gives you the ability to store funds away from an exchange and avoid the risk of your exchange getting hacked and losing your funds.

Some wallets have more features than others. Some are Bitcoin only and some offer the ability to store numerous types of altcoins. Some wallets also offer the ability to swap one token for another.

When it comes to choosing a Bitcoin Wallet, you have a number of options. The first thing you will need to understand about crypto wallets is the concept of Hot Wallet (online wallets) and Cold Wallet (paper or hardware wallets).

Hot wallets

Online wallets are also known as hot wallets. Hot wallets are wallets that run on Internet-connected devices like computers, phones, or tablets. This can create vulnerability because these wallets generate the Private Keys to your coins on these Internet-connected devices. Though a hot wallet can be very convenient in the way you are able to access and make transactions with your assets quickly, storing your private key on an Internet-connected device makes it more susceptible to a hack.

Cold wallets

The simplest description of a cold wallet is that it is not connected to the Internet and therefore stands at a far lesser risk of being compromised. These wallets can also be referred to as offline wallets or hardware wallets. These wallets store a user’s private key on something that is not connected to the Internet and can come with software that works in parallel so that the user can view their portfolio without putting their private key at risk.

Alternate Ways of Buying Bitcoin

Though exchanges like Coinbase or Binance remain some of the most popular ways of purchasing Bitcoin, they are not the only method. Below are some additional processes Bitcoin owners utilize.

Bitcoin ATMs

Bitcoin ATMs act like in-person Bitcoin exchanges. Individuals can insert cash into a machine and use it to purchase Bitcoin that is then transferred to a secure digital wallet. Bitcoin ATMs have become increasingly popular in recent years; Coin ATM Radar can help to track down the closest machines.

P2P exchanges

Unlike decentralized exchanges, which match up buyers and sellers anonymously and facilitate all aspects of the transaction, there are some peer-to-peer (P2P) exchange services that provide a more direct connection between users. Kucoin and Binance is an example of such an exchange. After creating an account, users can post requests to buy or sell Bitcoin, including information about payment methods and price. Users then browse through listings of buy and sell offers, choosing those trade partners with whom they wish to transact.

Binance facilitates some of the aspects of the trade. Though P2P exchanges do not offer the same anonymity as decentralized exchanges, they allow users the opportunity to shop around for the best deal. Many of these exchanges also provide rating systems so that users have a way to evaluate potential trade partners before transacting.

How to Sell Bitcoin

You can sell Bitcoin at the same venues where you purchased the cryptocurrency, such as cryptocurrency exchanges and peer-to-peer platforms. Typically, the process of selling Bitcoin on these platforms is similar to the process used to purchase the cryptocurrency.

For example, you may only be required to click a button and specify an order type (i.e., whether the cryptocurrency should be sold instantly at available prices or whether it should be sold to limit losses) to conduct the sale. Depending on the market composition and demand at the venue, the offering price for Bitcoin may vary. For example, exchanges in South Korea traded Bitcoin at a kimchi premium during the run-up in its prices back in 2018.  

Cryptocurrency exchanges charge a percentage of the crypto sale amount as fees. For example, Coinbase charges 1.49% of the overall transaction amount as fees.

Exchanges generally have daily and monthly withdrawal limits. Therefore, cash from a large sale may not be immediately available to the trader. There are no limits on the amount of cryptocurrency you can sell, however.

Go ahead and start making cool Cash Daily.

THANK ME VIA

My Bitcoin Wallet: 13qNfQrcwRS1LSbuXD9hPh63PQw2bWcV9r

My Perfect Money: U13887686

God Bless you.