Crypto POS Features

Some benefits of blockchain POS:

• PoS boasts a significant advantage in terms of efficiency when compared to PoW. By eliminating the need for participants to tackle intricate math problems, PoS greatly reduces the waste of power and electricity. As a result, PoS networks are much more cost-effective.
• PoS is regarded as a means to mitigate the centralization of power often observed in PoW systems. In PoS, validators are chosen depending on the stake they hold, which inherently aligns their interests with the security and prosperity of the network. The prevailing belief is that stakers with a larger stake have more to lose should they engage in malicious activities, as their tokens can be forfeited.
• PoS systems face their fair share of challenges. One notable concern is the “nothing-at-stake” problem, wherein validators may be inclined to support multiple blockchain forks simultaneously. This has the potential to cause blockchain instability. To address this issue and ensure the network’s security, various mechanisms, including slashing of stakes, are implemented to discourage such behavior.

All in all, POS presents an alternative consensus approach, offering the benefits of power efficiency, decentralization, and expandability when compared to POW.

Also Read: Finding Trouble In Converting Currency Through Currency API

The post What Is Blockchain POS? appeared first on TechReviewsCorner.

Although this may seem easy to you, it is not. It is a process that requires a lot of time and research. But if done correctly, your efforts can pay off later. The idea is to source a collection with great potential, as NFT collections are more likely to succeed than isolated non-fungible tokens.

When looking for projects, remember that the main objective is to buy NFTs at a low price and then resell them at a considerably higher price. Above all, they must meet all the necessary criteria. Most NFT tools provide access to detailed information about available collections.

Join A Community On Social Networks.

A community’s support remains a fundamental aspect of an NFT project. In other words, a project with many fans can resell more easily. Therefore, it is recommended to ensure the legitimacy of an NFT project’s community by analyzing its social media pages.

Like most cryptocurrency projects, NFT projects have Twitter accounts and Discord servers. The latter is used to share news related to their projects. Because of this, it’s a good idea to find NFT projects with Twitter communities of at least 10,000 followers.

Be aware that many projects buy fake accounts to inflate their follower count. Therefore, you should always ensure this is not the case for the project you are interested in.

Consult The Founders Pages And The Project’s Website.

NFT projects always have a credible website with no red flags. As alarming signals, we distinguish among others:

• Grammar or spelling errors;
• Lack of critical information;
• A misconception.

In addition, the site should make all vital information about the NFT project accessible. The information is usually: the white paper, the partners, the founding members of the project, and many other essential details.

It is not advisable to invest in projects that do not publicly reveal the identity of their founders. It’s not a risk worth taking, especially with the recent increase in NFT scams and stack draws. Information related to the founders is often on the social networks of the latter.

Also Read: The Top 100 Companies, Such As Visa, PayPal & Co., Rely On New Technologies Such As Blockchain & NFTs.

Appreciate The NFT Artwork.

Today, most NFTs are digital works of art. If the chosen NFT falls into this category, ask yourself if you like the job. The primary purpose of NFT art is to be purchased by art collectors.

Although evaluating a work of art is still subjective, determine if it is a quality work and not just a reproduction of another element. Also, be aware that you cannot correctly predict whether a coin will increase in value.

That’s why you have to at least like what you buy. Almost anyone can create an NFT and list it on the market. By the way, it is possible to earn NFT by playing games.

Reasons For Choosing NFT

Aesthetics alone are not enough for an NFT to be profitable. Most NFT collections today are part of a blockchain game, metaverse, or other digital projects. They can have different uses, but NFTs can also be classified as digital gaming assets.

The necessary information is usually accessible on their website or on white paper. For example, if the non-fungible token can be used in a blockchain game, be sure to understand the type of people playing the game and the size of their community. Also, celebrity-backed games often show promise.

The post How To Invest In NFT – The Steps To Follow appeared first on TechReviewsCorner.

Research Types of Cryptocurrency

First, new investors in cryptocurrency have to do their research. The most popular type of crypto is Bitcoin, but there are lots of other altcoins for investors to think about. Bitcoin may be more expensive than other currencies, so if you have a limited budget, you may want to invest in a cheaper currency. Cryptocurrency is a digital currency that is typically associated with a blockchain. Crypto coins can be used as payment with multiple vendors and tokens may only apply to one specific network or vendor. 

Choose an Exchange

The next step in getting started in investing in cryptocurrency is choosing an exchange. An exchange for cryptocurrency acts as a broker to manage your purchases and investment strategy. In an exchange, customers can trade other hard assets for crypto, such as standard currencies like dollars, Euros, or Yen. The exchange platform may provide anonymity for people who want to protect their privacy. It’s important for potential investors to be careful about their exchange choice and make sure it’s reliable and secure.

Purchase Currencies

Once your account is up and running on an exchange platform, and you’ve linked your personal bank account to your digital wallet, you can begin purchasing different cryptocurrencies. Your online exchange will act as a broker to expedite your currency orders and give you a price for each currency. The most popular cryptocurrencies to purchase include Bitcoin, Tether, Binance Coin, Solana, XRP, Dogecoin, and more. Once you purchase your cryptocurrency, you can either hold onto your purchases as an investment or use your crypto to pay for transactions online.

Monitor Their Value

If you choose to hold onto your digital currencies in your crypto wallet, you need to monitor the value to make sure your investment strategy is appropriate. Use OKX crypto exchange to see the value of different cryptocurrencies against standard currency so you can determine if it’s smart to hold your investments or start selling them off. Cryptocurrency values can change rapidly so you’ll need to pay careful attention each day to what’s happening in the market.

Withdraw Money to Your Bank Account

At some point, you may want to sell off your cryptocurrency investments and withdraw your money from the exchange. For most exchanges, you can do this by linking your bank account to your digital wallet and then selling your crypto. Once you have unloaded your crypto for whichever currency you prefer, you can transfer the proceeds into your bank account. 

Learning how to invest in cryptocurrency can be a great way to add some diversity to your wealth portfolio. This type of investment is not for the faint of heart, so make sure you understand the risks.

The post How To Start Investing in Cryptocurrency appeared first on TechReviewsCorner.

A point spread can do a lot in helping a player want to make a more informed decision for their next point spread bet, but it’s quite surprising to find that with all the crypto resources and information available online, there are still many crypto investors that make these distinct common errors that leave them facing a potential loss yet again. If you’re interested in knowing what these common crypto mistakes are, then you can keep reading for more. 

Buying Cryptocurrency Simply Because The Price Is Low

Behind any smart trade, the rule is to buy low so you can sell high when the opportunity presents itself. But when you’re on the search for crypto to invest in, choosing to purchase the crypto simply because it’s at a low price doesn’t always mean that you’re in for a bargain. Sometimes, you need to do some digging on why exactly the price has dropped at that particular moment.

When a crypto’s user rate has fallen, don’t be too quick to buy. Watch out for this closely because, in many cases, this happens when the developers of the crypto decide to leave the project, and updates are no longer being done correctly on the coin, making the crypto insecure to invest in.

Going “All-In”

Some trading platforms go around encouraging traders to maximize their money by investing their funds as much as possible. Once a site suggests this, know that there’s a high possibility that you’re likely trading on a suspect trading platform that’s providing you with a quick route to the poor house.

For a more realistic and reasonable crypto investment tip, it’s best to invest in a certain proportion of your capital. A reasonable estimate would be something like 5%.

Thinking You Can Make Easy Money From Crypto Investing

There’s no easy way to make money off of trading any kind of financial asset whether it be shares, stocks, or cryptos. Even commodities like gold and silver can’t be traded as a way to make easy money. Those who go around telling you that this is possible are trying to trick you into making a crypto mistake and it’s within your own best interests to not heed to this advice.

Not Remembering Your Crypto Keyphrase

When you have a hardware wallet that’s used for storing purchased crypto offline, you’re assigned a keyphrase that works like a key to your digital wallet. If you happen to forget this keyphrase and can’t seem to find the details, then just know that there’s no way of retrieving this again, because losing your keyphrase is like losing the only key you have to your bank vault.

Getting Scammed

As you go about your journey as a crypto trader, you’ll come across many crypto deals. If a deal leaves you feeling as though it’s too good to be true, then it likely is. Here are four common scams that you should be very careful of:

• Cloud Multiplier Scams: This is where scammers will send you emails and texts with deals that promise returns that are double or triple your initial investment. This will later prove to be too good to be true. 
• Pump And Dump: This is where crypto owners will deflate prices to exceptionally low prices for people to rush in and buy, and then inflate the prices right after so they can sell their coin at a higher price right before the coin crashes. 
• Malicious Wallet Software: This is where criminals encourage investors to store their cryptos in less known digital wallets to then rob them of their money.
• Fake Coins: This is when you invest in a fake coin and the criminal goes about stealing your identity and money. 

Also Read: What’s the Difference Between Cryptocurrencies and Stocks?

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Since the securities market is tightly regulated, many feel cryptocurrencies should have something similar, while others think regulation could restrict them too much and slow down their progress. However, since regulation is to protect people’s investments and lessen the amount of fraudulent activity, any regulation needs to be balanced not to make it too difficult for people to buy and sell cryptos, which would slow down their usage.

Prices Could Be Drastically Affected

The big question on many people’s minds is if cryptos will fall in price once new regulations are implemented. For example, if the government imposes a regulation to ban crypto exchanges, it would be almost impossible for the average person to buy them. That loss of interest would undoubtedly cause a sharp decline in the market. 

However, regulations that would require the exchanges to keep more accurate records of transactions and prevent manipulation of the market would make cryptos more readily available to conservative investors, which could cause the price to increase. The U.S. isn’t currently interested in banning any crypto exchanges and will probably end up allowing banks to sell digital currency in the future. However, there is no concrete plan to reach that point. 

Current Regulations

Cryptocurrencies were a part of legislation in the U.S. for the first time back in November 2021, when the government issued a small group of crypto provisions as part of the Infrastructure Investment and Jobs Act. They define cryptos as digital assets. In addition, any individual or company that transfers digital assets for anyone else is now considered a broker, who is required to issue a 1099-B form to every customer and the IRS.

This is mixed news for crypto investors. The good news is it will help them to keep track of their profits and losses more easily by receiving a 1099-B from the government every year. It could be bad news for some, as the IRS also gets a copy of the form, which means investors can no longer hide their profits from the government. The regulations won’t take effect until the 2024 tax season, so any profits or investments won’t be reported until 2023.

Europe Proposing Regulations

The E.U. will soon be handling its own regulation of cryptocurrencies as digital assets are being lost during the recent crisis that has affected the prices of some of the biggest cryptos. They have become very popular in Europe due to limited government interference. The new regulations would only make cryptos approved by the E.U. available to investors, with minimal regulation of the crypto exchanges.

The E.U. will become the first organization outside of the U.S. to propose a specific program for regulation, with some states already having legislation for digital tokens and crypto. However, other countries outside of the E.U., such as Hong Kong and the U.K., are hesitant to impose regulations or apply existing legislation for securities.

Any crypto from outside the E.U., such as Bitcoin, must register with the organization to gain admission to the market. Consumers who don’t know the difference between international and E.U. crypto will take most of the risks due to these regulations.

Consumers will be at risk of buying unregulated cryptos or opening themselves up to scams. The government will need to inform those consumers to learn how to distinguish between deceitful and legitimate schemes.

The post How Regulation Will Affect Cryptocurrency appeared first on TechReviewsCorner.

The Exodus 1 by HTC is a feature phone that’s built to work seamlessly with blockchain. Its hardware specifications are similar to those of a typical feature phone, except that it has a built-in software wallet called Zion that enables the secure storage of various cryptocurrencies.

The Finney by Sirin Labs is a more advanced phone that’s built on top of hardware that’s designed to be crypto-centric. It features a retractable display that’s used to store the native crypto-wallet. Aside from its hardware wallet, the Finney also comes with a decentralized apps browser and a token conversion center. It’s powered by Sirin OS, an Android-based operating system that’s designed to handle cryptos.

In addition, Sirin Labs signed Leo Messi as its brand ambassador. This led to the opening of a flagship store in London. The launch of these first crypto-centric smartphones by Sirin Labs and other companies is expected to have a huge impact on the cryptocurrency community.

A Small Niche?

Considering the high price of these phones, they’re competing against flagship models from major brands. For crypto enthusiasts, the choice between the Finney and a high-end model from a major brand is not an easy one. Hardware wallets, which are small devices that are designed to store and manage crypto-currencies, are already in widespread use. Some of these include Trezor, KeepKey and Ledger.

These devices are ideal for people who are looking for an affordable way to store their digital assets. They offer the added benefit of being offline most of the time. Feature phones that are built with blockchain technology can also be very convenient for cryptos enthusiasts. They can store their digital assets on their phones without the need for additional devices.

Smartphones and Blockchain Are a No-Brainer

Due to the increasing popularity of blockchain technology, it’s widely expected that most feature phones will eventually come equipped with hardware wallets and other blockchain-related features. Aside from phones, blockchains are also expected to address the mobile data needs of users. Many developers believe that their solutions will allow users to share their bandwidth without intermediaries.

Last December, Opera, the world’s fifth most-used browser, added a built-in crypto wallet and the ability to access and store decentralized apps. Aside from smartphones, blockchains are expected to address the mobile data needs of users. Developers are working on projects that will allow users to share their data across various peer-to-peer networks.

One of the first mobile operators to implement blockchain technology is World Mobile, which is a startup that aims to provide decentralized mobile services. The company’s platform is built on a blockchain and features a network of towers and nodes.

In December, World Mobile partnered with Phore, a crypto-currency that’s focused on privacy and anonymity. Through the partnership, World Mobile users will be able to purchase a customized SIM card that’s linked to the company’s network using Phore’s decentralized marketplace.

The company also unveiled a new feature phone that’s designed to be a hardware wallet. Dubbed Thunder, the device will allow users to store and manage their digital assets. Although feature phones are expected to eventually come equipped with blockchain-related features, it’s not yet clear if they’ll be built with dedicated hardware wallets.

Also Read: Android To iOS: This Is How You Transfer Your Data

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For a long time, blockchain has been synonymous with cryptocurrencies such as Bitcoin and Ethereum, to name a few. However, as innovators and entrepreneurs get knee-deep into this next-gen technology’s potential, the real-world benefits of blockchain are revealed, including immutability, speed, and increased security.

Blockchain technology makes it impossible or difficult to hack, cheat, or change a system. This digital ledger of transactions can be distributed and duplicated across the vast network of computers within the blockchain.

The mobile app industry can take advantage of the high level of security, enhanced traceability, and exceptional transparency that only blockchain can bring. It can impact the mobile phone sector’s transaction speed, operational efficiency, and customer service.

Projects built on blockchain shed light on how this technology can maximize the mobile phone’s potential. The 4th Bitcoin SV hackathon winner (bitcoin phone), for example, enables real-time data streaming while propagating Bitcoin transactions. More blockchain innovations can revolutionize how we use the mobile phone to work hard and play harder.

To give you a first-row seat into the future of the mobile phone industry, we’ve rounded up the ways blockchain can impact this crucial sector in business and everyday life.

6 Ways Blockchain Will Transform the Mobile Phone Industry

Businesses are always looking for technological innovations to revitalize and future-proof their operations. Blockchain can be what these enterprises need to usher in a new area of communication and commerce.

1. Blockchain can offer a mobile phone experience to far-flung areas

Even in this technological advancement age, many remote areas have no access to either personal credit systems or bank accounts. The people from these areas may have smartphones but could not transact with businesses and other people online.

Users in these areas who have internet access can obtain loans and make online transactions. They can even transfer money to family and friends without paying expensive bank or transaction fees. Individuals can install mobile wallets to store tokens and coins until needed through blockchain technology.

2. Blockchain can facilitate mobile number portability

The mobile number has become a crucial digital asset and primary identity of today’s consumers. It is a vital tool for business transactions and personal connections. However, due to innovations from Communications Service Providers or CSPs, consumers clamor for the freedom to switch operators.

Blockchain technology can be a platform where consumers can have the flexibility of using another CSP without changing their numbers. It can make Number Portability (NP) possible for users anywhere in the world. Operators can still provide their services while enabling their subscribers to port out to another CSP. Data sharing and financial transactions can happen over a highly secure network.

3. Blockchain can promote the safe and efficient use of roaming networks

Issues within the roaming network, such as slow payment reconciliation, exorbitant fees from clearinghouses, and fraud, cost CSPs billions of dollars every year. Since CSPs do not have complete access to their roaming subscriber’s activities, it’s difficult to trace the trail and origin of these problems.

Blockchain can provide a solution to this billion-dollar dilemma by allowing CSPs to collaborate within a single blockchain Hyperledger Fabric network. It also enables direct data exchange with immutable transactions that use smart contract rules.

Furthermore, blockchain allows CSPs more visibility into their subscribers’ roaming activities. This innovation significantly reduces fraudulent transactions and facilitates rapid payment reconciliation.

4. Blockchain can provide a more secured mobile phone environment

Mobile devices have always been targets for security attacks that compromise valuable digital assets and sensitive personal data. As more individuals and businesses rely on mobile phone use, attackers have become more creative in hacking bank details and corporate data.

Mobile phone companies can create a high level of device security by combining blockchain technology with secure enclaves, known as the “root of trust” (RoT). RoT contains private keys or cryptographic codes that can protect digital transactions. These keys act as a digital signature that validates the user’s identity during messaging, cryptocurrency, or other financial transactions.

5. Blockchain can streamline SLA automation

A Service Level Agreement (SLA) is a commitment between CSPs and subscribers that outlines the performance parameters that a network service needs to follow. However, there are times when the inefficient monitoring of SLAs results in disputes and service delays.

To prevent glitches in CSPs services, they have started to utilize smart contracts made within the blockchain network. These contracts offer specific conditions and transparent monitoring. They also allow the automation of payments and rebates without the hassle of completing paperwork.

6. Blockchain can make in-app purchases possible for everyone

A considerable percentage of the global population own a smartphone, but not everyone has the means to participate in transactions within the app. In-app purchases usually require credit card payments, a required method that is unavailable to many. Even if users have credit cards, the transactions involved are open to fraud, app store fees, and bank processing fees.

With blockchain technology, users can pay an app store using app coins. This method can eliminate credit card use, thus reducing costs and preventing fraud issues. Users can acquire app coins through a reward system facilitated by the developer. In turn, app developers would also receive a more significant share of the payment from in-app buyers.

Blockchain is the Future of the Mobile Phone Industry

Mobile phones are vital for business, communication, entertainment, and education. It has proven its worth in everyone’s daily life, and it seems like there’s no stopping its presence in the global landscape.

The emergence of blockchain can answer the problems hounding the mobile phone industry. This technology is built on strengthening security and transparency – crucial aspects that can protect the identity and livelihood of mobile phone users. Blockchain can also streamline several vital processes in the mobile industry, an innovation that can revitalize the industry and prepare it for the future.

The post The Impact of Blockchain on the Mobile Phone Industry appeared first on TechReviewsCorner.

People often consider the Constitution a masterpiece of writing, and although there is a copy on display in Washington, many people don’t know that there are more copies available, 13 in number – one for each of the original colonies to ratify. There was no photocopying in those days, so every one of them was handwritten, but they are still considered official documents.

Several copies have been lost over the years. In 2021, a copy of the book was found and was auctioned by Sotheby’s. This copy doesn’t belong to a private collection but was bought almost immediately by an Internet collective known as ConstitutionDAO for $5 million. This is an impressive accomplishment that demonstrates online collective organizing’s financial potential

The Constitution and the Internet

You will need some form of cryptocurrency to join a decentralized autonomous organization (DAO). Digital funds are exchanged for tokens, which in turn grants owners voting power within the group. You operate with a more powerful voice when you’re able to buy more tokens. To enter the ConstitutionDAO conversation at all, Forbes revealed that it cost approximately a million tokens or $4600.

ConstitutionDAO is a crypto investor collective that attempted to buy a rare copy of the United States Constitution using cryptocurrency. One of the above 13 original copies came up for auction for the first time in more than thirty years, and it was the first time this particular copy had been offered for auction.

According to their website’s frequently asked questions page, the organization wanted to find an esteemed partner to display the document publicly. They asked for the expertise of someone who could appropriately store, protect, and maintain this most precious work of art. Additionally, ConstitutionDAO requested that any partner chosen offer it to the public at no cost and cover all costs associated with it.

With more than $40 million raised, ConstitutionDAO has demonstrated the financial potential of collective organizing online. However, it wasn’t enough. A private collector purchased the document for $43.2 million, more than double Sotheby’s original estimate.

Derivatives from the Organized Collective

More than 17,000 people donated to ConstitutionDAO with a median donation of $206.26. According to a statement on their main page, a significant portion of these was made from cryptocurrency wallets for the first time. However, Sotheby’s had never worked with a DAO community before, so there were a variety of questions that were difficult to answer.

In respect to this, there was a need for a background information from some websites. Among the several included the Bitcoin Prime review. The review also showed detail of the reliability of the site and the security and comfort it’s customers enjoy.

The origins of the group may have also contributed to the trouble. A series of semi-comical tweet exchanges started the whole thing a week before the auction. Even though the auction was still five days away, history had already been made.

All members of a DAO are recorded in the blockchain, which is a type of digital ledger that is publicly accessible and cannot be altered. Members rarely meet in the same room at the same time; instead, all efforts were coordinated via various messaging apps.

People who donate to ConstitutionDAO may receive a refund, minus specific fees if they so choose – and this is to ConstitutionDAO. If they had won the auction, they would submit a proposal about what they would do with the money to their community, which would then vote on it. If the collective had won the rare Constitution, the 17,000-plus people would not have been able to claim ownership.

The ConstitutionDAO site made it clear that donors would receive a governance token instead of fractionalized ownership. According to the organization’s leadership, the fractionalized ownership included advising on where to ultimately store and display the Constitution (essentially voting rights), as well as how to display it. Additionally, those who donated would have an opportunity to voice their opinions on “the mission and values of Constitution DAO.

Bottom Line

Despite the loss of the Constitutional bid, it still offers a glimpse of bigger things to come. DAOs are particularly appealing to young people, especially to those who have successfully navigated the ever-changing world of cryptocurrency.

Also Read: Enterprise Blockchain: More Than Just Virtual Currency

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Whether buying gift cards or any other products, e-commerce websites are working towards making it easy for their clients to use crypto payment. Therefore, most of these websites have to get a suitable crypto payment processor.

What are crypto payment processor sites

A crypto payment processor’s role is to accept crypto payments. It is software on top of a Blockchain-based network to facilitate the transfer of crypto assets. There are two types of crypto payment processors; custodial and non-custodial. Custodial processor sites offer features like conversion of crypto to local currency. They also enable transactions through a wallet. The wallet keeps your private keys and provides backup for your assets.

On the other hand, non-custodial processor sites allow a range of crypto payments and lightning payment transactions. They allow transactions through third-party wallets. Thanks to the private keys, this allows you total control over your assets.

Ways to vet a crypto payment processor site

When choosing an ideal crypto payment processor site for your e-commerce website, you must vet it to ensure it is the best option. The following are some ways to vet a crypto payment processor site;

Consider its credibility

The easiest way to vet the site is by checking its credibility. You can find out how many other merchants are also using it to process their crypto transactions. Naturally, the more people use the payment processor site, the more credible it is, and vice versa. It would also help to look into the company behind the payment processor site. Ask questions like “is the company reputable and well-established?”

Consider its reliability

When vetting a payment processor site for crypto, the next thing you must do is its reliability. It would be wise to consider technically reliable options. This way, you need not worry about technical issues during the payment processing. More often than not, these issues cost a lot of money and influence your customer retention. You may also want to consider how long the site can function without experiencing technical issues, especially if you have a lot of traffic on your e-commerce website.

Consider the fees

A good crypto payment processor site should help you save on fees to a significant extent. This is one of the primary advantages of accepting crypto as a payment technique in e-commerce. You get to enjoy lower fees on your earnings compared to credit cards and other payment methods. The payment processor site should also offer a similar benefit. The best crypto payment processor sites, like CoinGate, only charge 1% transaction fees.

Integration and flexibility

The ease at which you can integrate the crypto payment processor with your website is also worth considering. Its flexibility will also help determine how it suits the different features on your e-commerce site.

Final word

Many people currently buy bitcoin and buy cryptocurrencies because they are becoming an acceptable payment method. According to research, more than 10% of americans are currently trading crypto. Therefore, it makes sense for e-commerce websites and companies to accept crypto payments. Crypto assets will soon be taking banks and credit card networks out of business. However, a few issues like the instability and volatility of the crypto market are still holding it back from going 100% mainstream.

The post Ways to Vet a Crypto Payment Processor Site appeared first on TechReviewsCorner.

Asset Category

Stocks, like cash and receivables, are considered financial assets. The middle ground between real and intangible assets, financial assets are liquid assets that have a stated and documented value. The documentation can come in the form of a piece of paper or computer file, and it can be a claim of ownership of an entity or a contract declaring one’s right to payment. In particular, stocks have no expiration date, so they can be held indefinitely or sold to others.

Cryptocurrencies, on the other hand, are often classified under intangible assets or assets that lack physical substance, though some people also insist that these are likely security, which is a financial instrument. The truth of the matter is that the technology behind cryptocurrency is still changing and far ahead of the standards that financial institutions currently use, so it exists in a gray area.

The values of intangible assets are recorded at acquisition cost or the price that the owner paid to own them. You need to use a digital wallet if you’re planning to dabble in cryptocurrencies. If you’re investing in Monero (XMR), you have to use the best Monero wallet—XMRWallet.com is a good option—to store the units you’ve acquired. The way these assets are categorized can have a big impact on your portfolio, as this will determine the level of risk you assume and the financial responsibilities you need to fulfill with every acquisition.

Ownership and Possession

Stocks are issued by specific groups, and compared to cryptocurrencies, owning this type of asset is a more stringent process. Stocks are created as a means to raise funds for a company, and they are expected to turn a profit. Before they’re made public, stock offerings must first be cleared by government agencies and undergo auditing. After that, they can be traded on investment applications, and retail investors can buy shares sold by the companies they favor. If you want to cash out, you have the option of selling your shares at a good price to another investor.

Cryptocurrencies are founded on the idea of decentralized finance, so the process of acquiring digital coins isn’t as restrictive. As long as you have capital and the digital instruments needed to trade and store digital coins, you can acquire tokens from your preferred currency and trade them as well. If you want to cash out your crypto investment, it’s likely that you have to make multiple trades to do so, especially if you’re aiming to exchange them for fiat money.

Level of Volatility and Assumed Risks

In general, stocks are a much safer investment than cryptocurrencies. This type of asset is backed by public and private institutions, and there are laws and regulatory bodies that are aimed to protect the rights of the investors in case something goes awry during the process. Also, this asset type has a significant impact on the economy. As such, it’s unlikely to see high levels of volatility on stock prices unless there are significant events that are influencing the business itself or the general economic activity.

In contrast, cryptocurrency investors have to deal with high levels of volatility and numerous risks, and this can be a bane or a boon for investors. Early adopters of crypto tokens like Bitcoin, for example, have seen their capital grow multiple times in the past decade. From just about USD 1 per unit in 2011, a single Bitcoin now costs around USD 57,000. Monero also used to be available at USD 13 in 2017, but these days, the coin’s price ranges between USD 110 to USD 500.

Those who have put their money into these currencies when they were still at rock-bottom prices and held on to their investments were able to increase their profits significantly. However, it’s worth noting that there are tens of thousands of cryptocurrencies in the market today, and it’s highly likely that some of these currencies will not thrive. As such, investors who put their money on digital currencies should be careful when choosing the coins they want to invest in.

What are your financial plans, goals, and strategies? If you want to play it safe and enjoy the protection offered by laws and establishments, then putting your money on stocks seems like a good fit. If you’re willing to take on more risks for the chance of getting better rewards, then crypto should make a good addition to your portfolio.

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