What is a cryptocurrency, and how does it work?
The traditional investment and payment methods have been evolved since Satoshi Nakamoto brought the first cryptocurrency, Bitcoin, to life in 2008. Cryptocurrency, a decentralised and encrypted digital money concept, is based on blockchain and cryptographic proof technology. The ecosystem is not associated with banks or central authorities. The transactions are recorded in a public ledger enforced by a distributed network of computers. Instead of bank accounts, cryptocurrencies are stored in digital wallets.
What is crypto mining?
The cryptocurrency is created by a process known as mining, which involves using computer processing power to solve complex mathematical problems. The mining process requires high-functioning computers and energy. Therefore, it is an expensive way of earning cryptocurrency.
Is investing in cryptocurrency safe?
Cryptocurrencies are volatile and unregulated trading instruments. It comes with a high possibility of losing some or all of the original investment. Traders should consider related risks and have an investment strategy. In 2020 Elon Musk supported bull-run, some people became overnight millionaires while the others sold their portfolio at a loss.
Remember the golden investment rule always: Never invest money you can't afford to lose. Only invest with money you can afford to lose.
How do I start investing in cryptocurrency?
Generally, people get cryptocurrencies by buying and investing directly through online exchanges, trading platforms, and mainstream services. While any cryptocurrency exchange provides users to purchase virtual currencies, some other platforms enable them to carry out crypto transactions by predicting price moves. You can invest in blockchain and crypto-related equities and enrich your profit with a FairMarkets multi-product investment account.
What are the most traded cryptocurrencies?
According to data presented by CoinMarketCap, Tether, a stable coin nearly always equals 1 USD, Bitcoin and Ethereum remain the most traded digital coins in the crypto market. Bitcoin takes the lead with an almost USD 1 trillion market value. Ethereum ranks second with a nearly USD 500 billion market cap.
What FairMarkets offers to you?
FairMarkets enables you to be a part of the digital revolution. You can easily invest in game-changer crypto products such as Bitcoin, Ethereum, and Litecoin available to trade on our platform. All you need to do is to predict the price change accurately since you don't own cryptocurrencies.
The available cryptocurrencies on the FairMarkets multi-product investment platform are indicated below:
- BTCUSD
- ETHUSD
- LTCUSD
Leverage
ASIC has imposed conditions on the issue and distribution of CFDs to retail clients. These conditions will be in place from 29 March 2021 to 29 September 2022, after which time they may be extended or made permanent.
From 29 March 2021, CFD leverage offered to retail clients will be restricted to a maximum ratio of:
- 30:1 for CFDs referencing an exchange rate for a major currency pair.
- 20:1 for CFDs referencing an exchange rate for a minor currency pair, gold or a major stock market index.
- 10:1 for CFDs referencing a commodity (other than gold) or a minor stock market index.
- 2:1 for CFDs referencing crypto-assets.
- 5:1 for CFDs referencing shares or other assets.