Picture source: https://raw.github.com/shphrd/cryptocurrency-icons/master/
In my quest to start comprehending the world of crypto-currencies I have been reading around different news outlets and documents. From where I stand, it looks to me that crypto is set to become a good replacement for fiat, and yet every once in a while I encounter some skeptics saying this is just a hype.
I found an article that has a sounded explanation as to what is lacking on Bitcoin to become what they called a "legit currency". I disagree with the author making the claim that there is still doubt about Bitcoin being the real deal. That initial statement asking if bit coin is a legitimate currency or imaginary money is like placing Bitcoin to the level of Monopoly money, that is imaginary money. I guess we all agree here that crypto-currencies are real and are here for the long run. Putting that aside, there are some interesting questions about safety, liquidity and returns.
Safety is perhaps the bigger issue I have encounter. Given the recent issues with the Parity wallet and the general risk of hacking, I thing the concern about safety are valid. Also, as a safety issue almost everywhere they point that volatility associated with this currencies is high and is something any investor has to take into account before investing. Perhaps also related to liquidity I have been made aware of the scam like offers that are out there trying to get a grasp on your crypto, be careful!
I just wanted to share this short note on what has been a crazy and exciting ride for these few days learning and getting my first investments in crypto. I am paying attention now to what is going to happen with Bitcoin on August first, and if Bitcoin cash is going to take off. For the moment I feel Litecoin and Ripple seem to be reasonable bets at this point, I put some money on them. These are the main lessons I have learned from my first week as a crypto newbie and wanted to share with you all. I hope that with time I will be able to provide more thoughtful comments. Also, I am looking forward for your advice and comments.
For those interested in my findings here are couple of links I liked:
http://www.marketwatch.com/story/this-is-what-it-will-take-for-bitcoin-to-become-a-legit-currency-2017-07-25
http://fortune.com/2017/07/25/bitcoin-ethereum-cryptocurrency-predictions/