Investing in cryptocurrency is still extremely promising, despite the high volatility, which is a “shadow” of this market.
It is estimated that the overall capitalization of the cryptocurrency market is almost $2 trillion. So, a desire to get a slice of that investment pie is quite logical.
But there’s a little unpleasant nuance: mining Bitcoin or its numerous rival coins isn’t as cheap as the miners would like it to be.
For example, a crypto-mining farm like Antminer S19, which is based on the ASIC mining, would cost about $15,000 apiece. But it’s only half the trouble.
Another issue that the mining hardware from home brings is the colossal electricity bill. The mining equipment consumes about 3,000+ watts on average. Use this calculator to learn how much mining would eventually cost you.
And of course, don’t forget about the heat emissions and noise. While the former would demand an air conditioner, which adds to the costs, the latter would require having a separate place to live.
But even with all these factors, investment in cryptocurrencies is still possible. We are talking about the cloud mining.
Basically, it’s almost like outsourcing a task. The only difference is that you’re not just having some type of job done. You also reap profits for every dollar/ euro invested.
So, here’s how the concept works:
• Renting. The initial stage. You make an investment — it can be as little as 100+ euros — and the cloud computing power begins to work in your favor.
• Currency. Select a currency of choice. The two classic options are Bitcoin and Ethereum. You can easily trade them for other cryptos like Tron, Polkadot, Cardano, Dogecoin, etc.
• Ownership. You do own a piece of that mining platform. You can even visit it personally and have a tour around the facility.
• Profit. You will receive your rightfully earned money in a crypto form. Or you can request fiat money — it will be wired to your card.
This is a great long-term crypto investment, which will generate handsome passive income on a regular basis.
Cryptocurrencies are often criticized for their volatility. It’s true: sometimes even the biggest coins demonstrate dramatic fluctuations.
At the same time, crypto won’t go anywhere in the future, nor will blockchain. These two concepts are too convenient to be rejected: they allow decentralizing of financial operations and provide quick and cheap money transactions.
It is even predicted that blockchain will change the way money moves around the world. And the Chinese digital Yuan signals that more countries will employ e-money technologies in the future.
What also makes people want to invest in crypto, namely Bitcoin, is its immunity to inflation. Most cryptocurrencies are limited in volume, just like gold or platinum.
You can’t “print” more Bitcoins after this crypto reaches its limit of 21 million coins. Therefore, you don’t have to worry about BTC losing its value due to inflation.
Finally, what also sets crypto apart from other valuable assets is that it’s not directly tied to the global market.
Sometimes, cryptocurrencies are called “safe havens” due to the fact that they aren’t influenced by the tumultuous events that can happen on the stock market. The only exception is the Stablecoin, which can be tied to USD or any other physical asset.
It’s up to you which top cryptocurrency to invest in. Just diversify your funds with the help of crypto solutions and boost your financial well-being!