Before I summarize the five main categories of cryptocurrencies, I want to highlight on two main aspects which can help contrast different features within the cryptoverse.
I already posted the following paragraphs to my Facebook earlier today.
To use extremely simplified banking terminology, some cryptocurrencies have been more suitable and geared towards being more like a CHECKING ACCOUNT in the utility and convenience of more short-term micro-level spending in particular or other kinds of transactions in general.
While other cryptocurrencies have been more suitable at being more like a SAVINGS ACCOUNT in the investment ability and potential of more long-term macro-level storage of agreed-upon value of decentralized blockchain-archived contract-bound mathematically-governed non-digital-cash-manipulated virtually-perceived hardware-earned tokens.
But since then, I couldn't help myself but to add the following which I started writing especially while watching Stefan Molyneux on Bitchute.
Well, I was actually already writing some of this before I started watching Molyneux today. But I started writing even more so as I was watching Molyneux talk to these guys in that video.
So, without further ado, here are four or five types of cryptocurrencies as follows.
I would split cryptocurrencies into five main categories based either on how things have been or potentially on how things should be.
First, some cryptocurrencies are more suitable as a SAVINGS ACCOUNT; second, some are more suitable as a CHECKING ACCOUNT for making transactions; third, some are more suitable as a WIRING ACCOUNT for transferring, wiring, moving fund; fourth, some are more suitable for "MAKING-MONEY" so to speak, as in like mining or specifically as in earning via proof of stake, proof of work, etc, or other methods as seen on Hive Blog, Steemit, other cryptocurrency-fed blockchain social networks, etc. And number five, some are more suitable for privacy, like Monero for example.
Why would a Nerd get banned from a Nerd Haven?
Specifically, on one hand, which of the four you may need may depend on your specific circumstances; but on the other hand, generally speaking, it would be better if some cryptocurrencies could be more suitable in regards to all of those features and more including that of the need for privacy (Monero) or other things.
So, I seek after unicorn cryptocurrencies, that is a jack of all trade cryptocurrencies which could potentially be the best of both worlds or all the worlds at meeting all the needs people may have as referenced briefly in the four categories mentioned above, ideally speaking.
However, at the same time in the real world, practically speaking, some or maybe even most cryptocurrencies may be better at specific features depending on the pros and cons of different cryptocurrencies. In generic sense, I'm interested in investing into all four types of cryptocurrencies as mentioned in the general categories as seen above.
A 5th main category or type might be relating to privacy as seen in something like Monero, allegedly speaking. There may be other general categories or types as well. But these would be the first five I would start with.
Bitchute Video - Stefan Molyneux - BITCOIN: TOO LATE TO INVEST?
Long-term macro-level investments should be made more into SAVINGS ACCOUNT type cryptocurrencies like that of some of the versions or forks of Bitcoin. The pros might be in regards to the ability to store money or value for a very long time while minimizing inflation, taxes, etc, anything that might decrease the value of the stored tokens or coins.
I would also invest in gold, land, and other things too. Don't keep all your eggs in one basket.
A major con might be if certain cryptocurrencies had higher fees for making transactions or if it may be slower than the VISA or MASTER CARD credit card networks. In those situations, it may be better to invest long-term as much as you can in these types of cryptocurrencies even at the cost of higher transaction fees or mining fees or block fees or taxes or whatever the specific terminology may be for a particular cryptocurrency ecosystem. Some cryptocurrencies may be less suitable at smaller and more frequent types of transactions.
I would also want to experiment on projects like Hive Blog, Steemit, Blurt, and other blockchain systems and social networks, etc, which features the ability to [MAKE MONEY] earn cryptocurrencies via creating content and via curating content. I'm not sure if I would specifically include Bitcoin faucets and other similar things on this list or I would not want to rely too much on faucets. Hive, Steem, and other similar types of cryptocurrencies may be pretty good at long-term investment like a savings account but at the same time may also be more suitable at earning the money via content creation and curation as well.
The free market means competition and volatility like a roller-coaster with ups and downs. So, for example, you might be able to make some money on Steemit today. But tomorrow, Tron-Overlord Justin Sun may do something diabolical to freeze your wallet or something.
The philosophy here is that there is a distinction between SAVINGS ACCOUNT type cryptocurrencies which may be more geared at long-term storing of agreed-upon value ("money" so to speak) and that of MONEY-MAKING type cryptocurrencies like that of Hive Blog, Steem, etc.
I would not necessarily want to [deposit or POWER-UP] put all of my money into the Steemit Wallet for example. However, I don't mind [POWERING DOWN] withdrawing my money and transferring fund to SAVINGS and CHECKING ACCOUNT style cryptocurrencies.
Speaking of checking accounts, that brings me to my next point.
Some cryptocurrencies may be more suitable as a CHECKING ACCOUNT at making transactions as in, for example, actually spending the money at stores via apps, cryptocurrency style debit cards, etc.
And some cryptocurrencies may be more suitable at the ability to wire money from place to place, the ability to transfer, to convert, to exchange, to move funds from point A to point B kind of thing from one kind of cryptocurrency to another cryptocurrency to bridge the gap between different blockchain networks and I hate to use Tron as a possible example of how that might work. But Tron might be a bad example. But that is the only one I can think of from the top of my head. Some coins may be more suitable at this, especially if they have lower transaction fees. Perhaps, some cryptocurrencies may have no transaction fees or at least lower fees. Those types of cryptos are more suitable for trading, for wiring.
In conclusion, like I said already, of course we would love to have cryptocurrencies which could be good at everything and perhaps some can or perhaps some may someday. But for the most part, it is important to note the pros and cons between the different cryptocurrencies and to consider your specific circumstances in determining how much of which of the four types of cryptocurrencies which you may want to major in.
My advice is to attempt to get your feet wet at trying to invest just a little bit into all four or five categories of cryptocurrencies to start with at least. Take baby steps and emphasize more on long-term investments if you had to pick only one type of cryptocurrency, something like BTC Bitcoin. That would be number one.
And number two, my second priority would be in making money via something like the Hive Blog or in the ability make crypto via mining, etc. Number three would be in the ability to transfer and wire funds. Number four, in the ability to spend the money. And number five, in the aspects of privacy.
Those would be my five priorities in that order.
I can't think of any more priorities from the top of my head apart from maybe specific preferences. But this post is here to highlight general principles as opposed to diving into technical specifics. There have been thousands of alleged cryptocurrencies or similar types of projects.
My advice is to stay focused. Don't get lost as some alleged cryptos, websites, exchange networks, etc, end up being or becoming scams or other things. Only invest in as much as you're willing to risk losing because it is gambling and you may end up losing everything in the end.
In other words, don't put all your eggs in one basket, be smart, try different things, experiment, take calculated risks sometimes (not all the time), have backup plans and plan ahead as life is full of surprises (curve balls to use a baseball analogy).