Where is the cryptocurrency used?

 Where is the cryptocurrency used?

How is a cryptocurrency used?

Although virtual, they too are to be considered in the same way as traditional currencies, so they are used to buy and sell products, software, online services. But also to make payments between individuals or money transfers. However, we said at the beginning that cryptocurrencies can also be considered as taxis, just like commodities, stock indices, stocks, precious metals, Forex, etc. To exploit them in this sense, it is necessary to trade online on brokers. And we will deal with it in a separate paragraph.

To own and use cryptocurrencies you need the so-called " exchanges ", sites where it is possible to buy and sell different types of cryptocurrencies. But also to exchange your own cryptocurrencies for real money. There is also the alternative of forums, where users who are passionate about cryptocurrencies participate and where there is usually a section for buying and selling cryptocurrencies. But be careful with this mode, as the forum managers do not act as guarantors for these transactions, so you could end up in the clutches of some scammer. It's always best to rate the reviews, but there may be other problems. So better to rely on the Exchange and not everyone. Then we will list them below.

At this point, it is advisable to store the newly purchased cryptocurrencies in a wallet. If you have used an exchange to buy cryptocurrencies, you will have an online wallet at your disposal (accessible from the exchange's website). However, it must be said that even exchanges are not very safe places, as some are crafty and charge you commissions in an arbitrary manner. Or they have poor security levels and often end up prey to cyber theft. And exchanges are hardly covered by insurance. It is therefore advisable to have a wallet outside the exchange site where you purchased the cryptocurrencies.

Once subscribed to a wallet, remember to make backup copies of it. As if you lose your wallet, you will obviously lose the cryptocurrencies stored there as well. Once you have done this, once you have your wallet, you can start spending the purchased cryptocurrencies.

Of course, there is still a long way to go for cryptocurrencies to become accepted even in the tangible economy. Already in e-commerce, they are still struggling, but it seems that Amazon is gearing up. So for now they are mainly used for exchanges between individuals. However, it must be said that there are some comfortable examples: like the University of Nicosia, which has accepted Bitcoin for the payment of university fees since 2014. But after all, we are in Cyprus, where many brokers and also the CySEC are based. The most important supervisory authority on the financial markets in Europe.

Criptovalute Exchange

What are the best cryptocurrency exchanges? Here they are below:

Coinbase

Coinbase is considered to be one of the best exchanges out there. Founded in June 2012, it presents itself as a digital currency wallet with a platform where traders and consumers can trade major cryptocurrencies such as Bitcoin, Ethereum, and Litecoin. But not only. It is headquartered in San Francisco, California. Coinbase boasts the following numbers:

12.6 million users

40 billion dollars in transactions carried out

more than $ 20 billion worth of cryptocurrencies

more than 39,700,000 active portfolios

47 thousand shopkeepers

11,000 application developers

Coinbase is operational in over 30 countries including ours and obviously in many languages. Among the additional services, it offers a wallet or wallet also for mobile apps, offline storage, insurance coverage of its deposits on its servers. It also allows you to negotiate the exchange between cryptocurrencies and traditional Fiat coins. First of all the US dollar, almost always present in Forex, but also the Canadian dollar, the Australian dollar, the Singapore dollar, the British pound, and obviously the Euro.

Coinbase has a 1% commission. Cryptocurrency deposits and withdrawals are all free and commission-free.

Bittrex

Bittrex is one of the largest and oldest cryptocurrency exchanges. Allows trading with 910 currency pairs. Based in Las Vegas, it responds to American regulation. Over the years, Bittrex has become the reference point for many traders who require immediate execution, with stable portfolios and also better trading conditions if not also security practices in the sector. The expected commission is 0.25% not linked to the volume. If you don't want to verify your account by email, you can withdraw up to a maximum of 3 bitcoins per day. Otherwise, 100 bitcoins per day. Bittrex is a very secure exchange, but at the same time, it also provides excellent security.

Kraken

Kraken is based in San Francisco. Allows exchange with 16 cryptocurrencies, including Euro, Yen, USD, CAD. Compared to the previous one, it also provides for the exchange with fiat currencies. Kraken currently represents the largest Bitcoin exchange in terms of volume and liquidity in euros. Kraken is also regarded as one of the best Bitcoin exchanges. It was the first to pass a cryptographically verifiable proof-of-reserve audit and is a partner of the first cryptocurrency bank. It is possible to trade as many as 59 currency pairs. Regarding the fees, they depend on the type of currency pairs you use or the volume of transactions. But they don't go beyond 0.26%.

Poloniex

Poloniex is headquartered in Delaware, USA. It boasts 365 currency pairs, however, there is no exchange with fiat currencies. It is the largest exchange in the US and the first in the world in the exchange of Bitcoin. Fees may in fact depend on the volume of Bitcoin transactions, which should not exceed 0.25% for those who make a purchase.

If you don't want to verify your account, the maximum possible withdrawal limit will be only $ 2,000. For verified accounts, i.e. those that send their documents, the limit goes up to $ 25,000 per day.