The Basics of Crypto and Its Practical Uses

Cryptocurrencies have been around since 2009, however, this digital payment form has left many people scratching their heads. If you are one of those people, worry not, as we’ll cover everything you need to know from the basics of crypto and its practical uses to everything in between. If you’re enticed to learn more, make sure to keep on reading.

Understanding Cryptocurrencies

The most basic explanation of what cryptocurrencies are is that it is a virtual currency. These currencies use cryptography for security and are built on a blockchain. Blockchains are a decentralized technology, which simply means that it is not controlled by a single entity such as a government or bank.

Since they are not controlled by a single entity and there are no intermediaries, this results in crypto transactions being much faster and cheaper than regular currencies. This offers a much-needed alternative for those seeking an out from regular banks. 

Speaking of crypto transactions, they are recorded into so-called blocks with timestamps. The entire process is quite intricate and complex which means it is incredibly difficult for anyone, including hackers, to meddle with. Thus, using crypto to make any payments or keeping them as an investment is relatively safe.

Practical Uses of Crypto

To this day, many people still believe that crypto does not have any actual use. While others simply aren’t aware of how to use the crypto they hold in their wallets. However, we’re happy to help out by giving you some of the most popular, and practical, uses of crypto. 

⚫ Bitcoin Casino

There are billions of people around the world who use casinos at least once a year. To facilitate the most popular coin in the world, Bitcoin, a bitcoin casino platform offers the same services as an online casino, with the main difference being that they accept crypto payments as deposits. This offers more flexibility for users, along with more privacy as there are no intermediaries. Players won’t have to worry about bank approvals or limits, which also results in cheaper and faster transactions. Plus, depending on the platform, you will receive a bonus of some kind for playing your favorite games, such as slots and poker, with bitcoin deposits. 

Using cryptocurrencies is quite straightforward, you just need to first have the right currency in your digital wallet. Depending on the Bitcoin Casino of your choice, they will give you different options. For instance, Ignition Casino accepts Bitcoin, along with Ethereum, Bitcoin Cash, Litecoin, USD Tether, and Bitcoin SV.

Once you have the right currency and amount you want to deposit, you just need to scan a QR code or copy and paste the address on the platform. Just make sure to select the right amount and then hit send, then you’ll see a confirmation pop-up. Make sure that you have all of the right details so you avoid any issues going forward.

As soon as the balance is reflected in your account, you can proceed and enjoy whichever game you want. Be it online poker, blackjack, jackpot slots, or any other option you may want to play.

When it comes to withdrawing your winning, the process is very similar. Go back to your crypto waller, select the currency, and then click on receive. After that is done, copy your wallet address, go back to the Bitcoin Casino, and enter the address and amount you want to withdraw.

⚫ Investing

If you’re someone who has quite the investment portfolio, you’ll know that one of the most important rules is diversification. If you put all of your eggs in one basket, it can be exceptionally risky as you can lose it all in one go.

Diversifying doesn’t just mean investing in different stocks but investing in entirely different asset types too. And one great asset type is crypto, however, doing your due diligence is a must in such cases. Cryptocurrencies are well renowned for being exceptionally volatile, which can work both in your favor and against it.

Of course, not all cryptocurrencies are built in the same way. Depending on the cryptocurrency of your choice, they may have different algorithms so make sure to research any coin you’re looking to invest in. Having a wide variety of cryptocurrencies in your portfolio can reduce your risk significantly. 

To invest in crypto, you have several options. The easiest would be using a banking app such as Revolut where you can hold your regular currency and also purchase crypto through it. Such apps also allow you to stake your crypto, along with giving you the option to receive notifications when a currency has reached a certain price point.

However, your options may be a bit more limited on such apps, so reputable exchanges like Binance might be your best bet. There, you will encounter a wider variety of cryptocurrencies and more of the aforementioned features.

To most important step is to make sure to keep up to date with industry-relevant data and trends so you make informed decisions when buying and selling your crypto. This will also help you adjust your strategy according to your investment goals. 

We’d also like to note, that just like with any other investment decision, crypto investments come with a certain level of risks. Patience, strategy, and informed choices are your best bet when it comes to mitigating them.

⚫ Shopping

As time goes on, more and more platforms accept crypto payments. Some purchases can exclusively be made with cryptocurrencies which adds to its levels of usefulness. 

We’ll start this out with NFTs, which are a non-fungible token. Each NFT has a completely unique digital identifier recorded on the blockchain that can confirm both ownership and authenticity. NFTs can range from digital art to gaming tokens to even digital real estate, which can be purchased, sold, and traded.

You might wonder why they would even hold any value but you can easily relate it to physical art, which has an arbitrary value that can increase and diminish at any point. As to digital real estate, with the rise of VR and digital spaces being created, claiming a section as your own can be beneficial in the long run.

Apart from digital purchases, there are plenty of physical ones you can also enjoy. Nowadays, companies such as Microsoft and AT&T allow you to use crypto as a payment method for their services and products.

Even restaurant chains like Pizza Hut and Subway let you buy their food using crypto. And we don’t just mean online for delivery or pick up. In certain restaurants, like Burger King in Paris, you can physically pay with your crypto using their Instpower power bank rental machines that are connected to services Alchemy Pay and Binance Pay.

Conclusion

The world of crypto is expanding at an exponential rate and as such getting properly acclimated to it can only be beneficial to you. And while cryptocurrencies may seem scary at first just like with everything else, once you understand the basics you are good to go. Regardless if you see it as an investment opportunity, a way to enjoy your favorite hobbies, or simply for your basic purchases – there’s so much you can do with it.

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