1. Basic knowledge that newcomers in the cryptocurrency world must know!

More and more people are paying attention to cryptocurrency trading, but very few truly understand it. Newcomers often don't know where to start, so today I will share some basic knowledge about the cryptocurrency world.

1. What is cryptocurrency trading?

First, let's talk about cryptocurrency trading. In fact, cryptocurrency trading is similar to stock trading, real estate trading, and foreign exchange trading; it involves buying at a low price and selling at a high price to make a profit.

For example, if you believe that real estate prices will rise, you will immediately buy property, and when the prices have increased sufficiently, you will sell it for a large profit. The difference is that cryptocurrency trading involves digital currencies, which have a more flexible trading mechanism (trading 24 hours a day without interruption) and greater profit potential (no limits on price fluctuations).

This allows digital currencies to become investment targets with returns far exceeding those of traditional stock markets, futures markets, mutual funds, and real estate.

2. What is an exchange?

An exchange is a platform for trading digital currencies. Currently, the most commonly used exchanges are Binance, OKX, and Huobi.

There are also many other smaller exchanges, just like there are four major banks and various other banks in the banking sector.

Using top-ranked exchanges has a high safety factor, allowing for secure trading. Some cryptocurrencies can only be purchased on specific exchanges.