What is cryptocurrency?
Cryptocurrency (“crypto” for short) is a digital currency that is transacted on the blockchain. It’s decentralized because the validators (users who mine or stake crypto on the blockchain) of the network govern its policies and verify all transactions from anywhere around the world.
Through a completely digital commerce system, blockchain allows people to change the way they look at financial autonomy. This is because blockchains are transparent and easily accessible by anyone with an internet connection, making them more universally available and capable of new innovations in comparison to traditional financial systems.
Crypto is for the people, by the people, without being controlled or operated by any single country or corporation, bringing a level of freedom to the financial space that was previously unavailable to the everyday investor.
Why is the crypto market growing?
The crypto industry has come a long way since the founding of Bitcoin, and there are now over 4,000 cryptocurrencies available on the market. They range across the board from DeFi (decentralized finance) to stablecoins, NFTs, and more. Even with this surge in expansion and media coverage, many think that we are in the early stages of the industry’s growth.
Perhaps the biggest sign of crypto market growth is the way it has affected the institutions surrounding it. Crypto adoption has increased, especially recently, because it is garnering high-impact use cases due to mainstream demand.
Investment firms, banking institutions, and businesses alike are trying to find ways to incorporate it into their portfolios and payment options. Governments, in particular, are beginning to give serious attention to the use of stablecoins as CBDCs (central bank digital currencies).
While the volatility of the crypto market may cause more reserved investors a preliminary pause, even conservative banking platforms are beginning to suggest incorporating cryptocurrency investments for portfolio diversification. With so many use cases and offerings developing daily, crypto continues to make its way into more diversified households and portfolios.
Why do people buy crypto?
There are a couple of reasons why even those who aren’t early crypto believers are getting into the game. The world of crypto has advantages that the traditional world of finance can’t compete with.
Hedge against inflation
There is also the constant consideration of economic inflation, which is only heightened with every uptick of the Consumer Price Index. As everyday necessities increase in cost, the common economic solution of printing more money has consumers waking up in a cold sweat. In this instance, Bitcoin presents itself as a crypto hedge against inflation. There will only ever be 21 million Bitcoin available in the world, and it is often referred to as “digital gold” or “digital beachfront” due to its limited supply and increasing value.
Invest as you want
Another advantage of crypto investing is that you can invest in a portion of an asset as opposed to the whole thing. For example, you don’t have to buy a whole Bitcoin to own Bitcoin. Instead, you can buy fractions of a Bitcoin, also known as satoshis, and still see a return on investment. This is why Voyager offers recurring buys on Bitcoin, so you can easily schedule crypto buys in small amounts over time to passively grow your portfolio.
Is it too late to buy crypto?
Unlike the traditional stock market, there are facets of Bitcoin and crypto as a whole that make them an opportunity at any point in the game. The people who got in on Bitcoin in 2009 have most certainly seen a spectacular return on investment (unless they spent it on pizza a year later—timing applies to selling, too).
The current market is gaining momentum at an unprecedented rate, and after 10 years of consistent growth, crypto is just starting to have its day. Powerful voices in the financial community have acknowledged the bright future of Bitcoin, citing its recent institutional adoption and the benefits of using it for mainstream commerce.
We are just at the beginning of the financial revolution, and you have all the tools you need to get started.
How to start investing in cryptocurrency
Are you ready to dive in? Voyager is making it easy for you to get in on the crypto action. Invest in over 60 digital assets on the Voyager app any time with just a swipe. You can also earn annual rewards on over 30 digital assets when you hold the monthly minimum average in the app. Head to the app to get in the crypto game.
All digital asset transactions involve risk, and the past performance of a digital asset or other financial product does not guarantee future results or returns. Cryptocurrencies are highly speculative in nature, involve a high degree of risk and can rapidly and significantly decrease in value. It is reasonably possible for the value of Cryptocurrencies to decrease to zero or near zero. While diversification may help spread risk, it does not assure a profit or protect against loss. Traders should consider their objectives and risks carefully before trading. Previous gains may not be representative of the experience of other customers and are not guarantees of future performance or success.