What is Crypto and its latest news
CryptoCurrency is a form of online payment that can be exchanged for services and goods. There are thousands of CryptoCurrencies, some more known,some more expensive than others. An easier way to explain how CryptoCurrency works is as if it were some sort of token that you have in an arcade, video game, or casino. You will need to pay off your own money for it to convert into that token and you could access certain things with this token. This will vary depending on where you are going to use the token.
A lot of big companies such as Microsoft, AXA Insurance, Amazon, Visa, Paypal, and Tesla are accepting bitcoins as a payment for their services and goods. There are not that many companies that accept Cryptocurrencies because of their instant boom that many of them are still not wanting to change their payment into a crypto payment system.
Elon Musk Tesla, one of the richest men on Earth with his most known company. Invested 1.5 billion dollars worth of a CryptoCurrency called Bitcoin. In February, he said that he will invest more money into different CryptoCurrency to increase his investments.In addition, he accepted the payment via Bitcoins for the purchase of his vehicles. That day, he caused Bitcoin’s price to increase by 17% of its current value after posting on his twitter about Bitcoin. After Tesla’s investment, there has been an acceleration of companies starting to allocate Bitcoin into their own monetary payment system.
3 months after this decision, Elon Musk suspended the use of bitcoin to purchase his vehicles. This decision caused the decrease of Bitcoins value by 12% of the current value that day. When he tells the world that Tesla isn’t accepting more Bitcoins, he also informs that he did not plan to sell any of his Bitcoin investments. His main reason was because the way Bitcoins are made are not safe for the planet because of its use of fossil fuels to create each bitcoin. He says that he will again accept the purchase of his vehicles via Bitcoins when the bitcoin mining stops using fossil fuels and starts using sustainable energy for them to not harm the environment.
Bitcoin Mining is a process made by sophisticated computers that solve complex computational mathematical problems. This software takes around 10 minutes to complete the complex program and create a blockchain on it. This mining uses a lot of electricity in its process, the electricity that is mostly used to mine is with fossil fuels. As bitcoin starts to rise then there will be more use of fossil fuels. If Bitcoin was looked at as a country, they would count as the top 30 energy users in the whole world. This was seen as an estimation of terawatt-hours annually. Bitcoin uses more power than countries such as UAE, Argentina, Netherlands,etc. The way that Bitcoin is being made is not efficient because all of the energy that it is being used is not 100% sure that you will get the complex operations right and the energy used on the 10 minutes of mining one bitcoin will go to waste.
If Bitcoin keeps going upwards in price and people keep investing more and more money into it, this could bring a lot of problems to the whole world. With Elon Musk invested it showed that a lot of people believe in the biggest mens on Earth to see what they are investing. It is safe for their money and they will generate good money via bitcoin. However, it is not that easy as it sounds and it is not completely safe to just invest and you are going to generate money long term. Not only with bitcoin but with any CryptoCurrency you are going to see times where the price of this spikes and sometimes drops. This mostly occurs when a big investor sells his stocks/crypto. and then there isn’t that much buying power that lowers the price of that currency. It is not that recomendable that you buy this type of investments without knowing what you are entering and the risks that you are taking. If you want to start trading with crypto it is better that you inform yourself of what it is about. This could be the future of society and one of the most used ways to generate money. For now, it is still overlooked because of the environmental problems that Elon Musk started but in the future it could be fixed for the best and Crypto could be the future of everythings. In the future, you could look and even buy a spoon with a type of CryptoCurrency.. Time will tell.