How would you like the idea of earning money while sleeping? Cryptocurrencies promise just that. In theory you could leave you PC running and “mining” coins while you take a nap. Few years back when cryptocurrencies ware just a fancy news or a geek oriented experiment. General public did not took this new money model seriously, and to be hones not much people does it now. But today there is some serious money to be made in cryptocurrencies.
Wikipedia defines cryptocurrency as a medium of exchange designed around securely exchanging information which is a process made possible by certain principles of cryptography. What it means is that there is no printout money, what is exchanged is information that keep value of some sort. You keep those information in a special wallet. The reason it is called “crypto” currency is that this information in the wallet are encrypted. You can’t decrypt, system that is exchanging information is doing this for you. Those mystical information are actually transactions that took place when value is exchanged. What about the mining you might ask. Well the whole idea is that the value comes from solving some type of mathematical problem for which someone is paying some money. Then this money reflects the value of mined coins. I am not going to explain the whole idea here, I strongly advise on reading official bitcoin page.
How to start. Well this is exactly what I am trying to do now. One thing I learned so far is that there are other ways to make much, much more money in cryptocurrencies than just mining. Yes, you can still do that, but as it turns out, there are hundreds of bitcoins like coins. And they all compete on a global coin market. Just like public shares/stocks you can buy them and sell them. If you know how to do it you might make a lot of money. Rules are similar and principal of gaming is the some. One difference is that most of the players are just teenagers how want to see what this is all about. They usually don’t really know what they are doing. So what I am doing now is seeking help of a friend who has experience on real stock market. He understands the rules of the game. What I am going to do is invest around a $100 CAD to buy some coins and see if I can buy and sell with profit. If I can I will share all the details here.
Here are some links for you to start getting to know more about cryptocurrencies: