What are mainstream digital currencies?
Mainstream coins refer to valuable coins. Bitcoin is the leader, Ethereum is the second. Some people believe only these two are mainstream digital currencies, while others think only the top ten by market capitalization on trading platforms count as mainstream digital currencies. Some believe that any coin listed on a mainstream trading platform is considered a mainstream digital currency. Taking CoinMarketCap as an example, we can see the market value rankings of relevant coins. Mainstream coins rank at the top, for example, Bitcoin's market value firmly occupies the first place. Generally, coins with higher market capitalization are recognized by the market, have good liquidity, and possess higher investment value; conversely, coins with lower market capitalization have low recognition, poor liquidity, and correspondingly higher investment risks, so users are advised to purchase cautiously.
What is a trading platform?
In fact, trading platforms are platforms for trading digital currencies. Currently, the most commonly used are Huobi, Binance, and OKEx. There are many other smaller trading platforms, similar to how there are four major banks and various other banks. Using top-ranked trading platforms has a high safety factor, allowing for secure trading.
What is trading cryptocurrencies?
In fact, trading cryptocurrencies is similar to trading stocks, real estate, or forex; it involves buying low and selling high to earn the price difference for profit. For example, if you believe housing prices will rise, you immediately buy a house, and when the prices have risen enough, you sell it for a big profit. The difference is that trading cryptocurrencies involves digital currencies, which have a more free trading mechanism (24-hour uninterrupted trading), and a larger profit margin (no limits on price fluctuations), making digital currencies an investment target with a return on investment that far exceeds traditional stock markets, futures markets, funds, and real estate. Ultimately, everyone is just a speck of dust in the world, nothing more, so don't be too harsh on yourself, and don't fall into unnecessary self-exhaustion.
What is USDT?
A trading platform is a place to trade Bitcoin and other digital currencies. Trading digital currencies requires a kind of intermediary coin, also known as a stablecoin, which is USDT. This is also the fiat currency we use most frequently. USDT, known as Tether, is a virtual currency that links cryptocurrency with the fiat currency US dollar, and is a virtual currency backed by foreign exchange reserve accounts. You can simply think of it as US dollars. Tether (USDT) is a token introduced by Tether, based on stable value currency US dollar (USD), where 1 USDT = 1 US dollar. Trading platforms themselves cannot directly sell or buy virtual coins, nor can they sell you USDT, and you cannot buy it from the trading platform either. If you want to buy coins, you need to first buy USDT with Chinese yuan, and then use USDT to exchange for the digital currency you want to buy. If you want to sell coins, you need to exchange your digital currency into USDT and then sell it for Chinese yuan. Once you have USDT, you can exchange it for any digital currency on the trading platform, which is called coin-to-coin trading.
What are the risks of trading cryptocurrencies?
The most honest advice for investing in cryptocurrencies might come from Ethereum founder Vitalik Buterin: do not invest any money you cannot afford to lose. Once again, I remind all beginners to act within their means, and it is advised not to borrow money, take loans, mortgage, or use credit cards to participate in such investments, especially in contracts.
Three essential factors for trading cryptocurrencies!
One, an Android phone. (Android is more convenient, while iPhone is prone to losing certificates) An Android phone is also essential for playing projects.
Two, spare money. Money that isn't urgently needed in the near term, and losing it won't affect your quality of life.
Three, mindset. Trading cryptocurrencies involves risks; those who are overly anxious about gains and losses should not participate.
The cryptocurrency world is not just about trading coins to make money.
There are too many paths to explore.
Returns are always proportional to the investment.
I hope we can both gain something in the cryptocurrency world.
Deeply engaging in the cryptocurrency world for eight years can help you avoid many detours #关注 .
