CRYPTOCURRENCY-A BUD READY TO BLOOM
INSIGHTS of CRYPTOCURRENCY
There are different currencies in the world like Rupee, Pound, Dollar e.t.c. A similar case is with cryptocurrency. Here it is important to know that Crypto is not only a name of currency but it contains a list of coins on an exchange. Some of the examples are “BITCOIN” (BTC), “ETHEREUM” (ETH), “LITECOIN”(LTC), and many more.
When we have to buy a Crypto, we have to buy some specific coins that are mentioned above. Each coin has its demand, supply, price range, or in general pros and cons.
BINANCE, A Cryptocurrency App
We usually go to a money exchange to buy or sell a currency like giving some amount in PKR and buying its equivalent money in US dollars. The same is the case with Cryptocurrency. To buy or sell a crypto coin we need exchanges. The common and easy-to-use exchange is “BINANCE”.
It’s a website/platform/exchange, where we have to register ourselves, put in some amount of money, and finally buying a cryptocurrency against that amount.
Binance provides a high level of security and real-time data of the market. One should be 18 or 18+ to make an account on Binance.
Creating an account on Binance
1)Create a Binance account by filling in your Email and password.
2) Security verification by sliding a puzzle and put it in its right placement.
3) Account verification is done through a code that is sent on the email you used at the time of registration.
4) The account has been created!
How to start trading?
For this, you’ll need to go on a dashboard and set up two-factor authentication.
What is two-factor authentification?
It is a security protocol, which Binance and other apps offer. In case if there is a security breach or someone tries to hack your account. Just because of two-factor authentication, your account remains safe.
Two-factor authentication can be done through “google-authenticator”.
After that what comes is:
1) Account verification. It includes your first middle and last name, address. This all information must be the same as written in your English(smart card)National ID.
2) Intermediate verification. It needs one of two things:
a) English(smart card)National ID, or
Upload the picture of any one of the mentioned above.
3) Upload your face selfie in proper lighting, without glasses, hats, caps. More easily, the way you are appearing on your National ID card.
4) Then finally comes facial recognition.
How to do trading?
As in Pakistan, the government hasn’t officially accepted the concept of cryptocurrency. But still, the people of Pakistan are buying and selling cryptocurrency. Something of the concept and terminologies that needed to be understood at the initial stage before starting trading is:
1) Crypto cannot be bought directly by just putting a currency like rupees, pounds in it. For buying crypto we need to select a standard token/coin; like USDT(the crypto equivalent of US dollar).
2) On the right of each trader’s name, there is a number mentioned which shows how many times the trader has done trading or simply buying and selling. For example, 845 represents that trader A has done buying and selling 845 times.
3) Besides that, there is a percentage positivity rate that shows the reliability, trustworthiness of traders. Low percentage positivity rates represent that the trader service is not good, has cheated, or releases crypto late.
4) Below each trader’s name, his total USTD’s current exchange rate is given which increases as you go down. E.g.1 USDT = Rs 166.01
5) Below that the Crypto amount shows the total amount the trader has currently. If trader A has 30.2 USDT then you can either buy it all once or a part of it.
6) Trading with the trader can be performed within the specified limit by a trader. E.g. Rs 5,000 til Rs 10,000.
7) The payment window shows that the trader will release the crypto in some amount of time mentioned.
8) Different payment modes are available for buying and selling crypto, like Bank transfer, Upaisa, JazzCash, Easypaisa e.t.c.
Depositing money & buying Crypto:
“BY FIAT” option mentioned in Binance, tradings become easy just select the trader, click buy, mention the amount you want to invest, click USDT, enter the payment details of the trader, select payment mode, select funds(make sure the trader is online by messaging him in chat window so that he releases the crypto ASAP). Select transferred, next, and wait till the trader releases the asset.
Now your P2P(person to person)wallet will be filled with some USDT amount sent by the trader.
P2P to Spot wallet:
Transfer all that amount from P2P wallet into SPOT wallet by clicking transfer mentioned under P2P tab, select USDT or other standards in which you have an amount. Finally, you can buy any of the coins listed on the exchange like BTC, ETH, LTC depending on the market. Market fluctuates. Sometimes you will see a peak and sometimes drip.
Which coin to trade with?
Different coins come day to day and list on the exchange, each having its pros and cons. In the present condition Bitcoin(BTC) and ETHEREUM(ETH) are going on top because they are having relatively a higher stability in the market compare to others. The whole world has almost invested and investing in these coins/tokens.
If a person is not well-versed in crypto, doesn’t know the basics of crypto, and having zero knowledge about day-to-day trading as it requires proficiency that can be learned through practice. A beginner can do long-term trading just like buying a piece of land waiting for 2 to 3 years until the price of asset rises and then selling it at the right time when the market is high. Start long-term trading with a small amount, buy a coin, forget it for about 2 to 3 years, notice marking conditions, observe fluctuations, wait for the right time, when it comes just sell the coin and earn profit.
Since the government of Pakistan has not accepted the idea of cryptocurrency. Islamic scholars are still observing the conditions. Some of them are resisting to accept this by saying that cryptocurrency has no physical existence. Some of them say that the coming world is of crypto. Some of them say that a person living in a country where crypto is officially accepted can do trading but only with those traders that are dealing with Halal products.
Is Crypto the currency of the FUTURE?
What are your thoughts?