Reading this article means you are already on the way, taking the most important first step. Informing yourself. While diving into the world of blockchain and cryptocurrencies is way easier than you might think, there are a few things you should know before you start.<\/p>\n\n\n\n\n\n\n\n
There are still huge regulatory differences because cryptos are still pretty new currencies. While most countries allow trading cryptocurrencies, some have made cryptos illegal. This means there is no general answer to this question.<\/p>\n\n\n\n
Whether cryptos are legal or not is not even a black or white issue. Their status as a currency differs from country to country, resulting in regulatory differences.<\/p>\n\n\n\n
In Canada for example, it is legal to buy and sell digital currency on open exchanges. Despite this legality cryptocurrency is not considered to be legal tender<\/a>. Consequently, they are banned from banking. This means Canadian citizens are not able to buy cryptocurrencies with their credit card.<\/p>\n\n\n\n You can check the legal status of cryptocurrency on the official channels of your country. For a quick overview, you can also use the service of the library of congress<\/a>. It covers the laws and policies of 130 countries.<\/p>\n\n\n\n Purchasing cryptocurrencies is as easy as getting any other currency. You only need an exchange<\/a>. An exchange accepts payments in your currency (USD, Euro, etc.) and gives you whatever kind of coins you want for it.<\/p>\n\n\n\n On top of that such exchanges are not limited to buying and selling currencies themselves. If you want to trade with others directly, they offer specialized platforms. If you do not want to trade with others, without a partner securing the trade, there are even websites offering an escrow service.<\/p>\n\n\n\n In fact we wrote a guide which will help you find the best fitting exchange.<\/a> Note, there are several important aspects you need to consider when choosing an exchange.<\/p>\n\n\n\n While it is optional to put your currency in a wallet when using fiat money, it is indispensable when using cryptos. Besides the name, there is not much they have in common. Unlike your physical wallet, the prime function of a cryptocurrency wallet is not to carry money with you.<\/p>\n\n\n\n These wallets are basically programs or web services that handle all your interactions for you. Consequently, they have more in common with a traditional bank account. Like a bank account, there is no specific place where your currency is stored. It is more like a list of transactions between accounts stating how much money the bank enables you to use. Only when it comes to losing it or being robbed\/hacked, it is like using a physical wallet. In such a case you will lose all your funds irreversibly. So security is a top priority when choosing a wallet.<\/p>\n\n\n\n We recommend you read our guide on which wallet fits your needs best<\/a>, because there are many different providers who offer this service.<\/p>\n\n\n\n Cryptocurrencies are most often used as an extremely safe (but also very volatile) investment option. There is a limit to the amount of coins that can be produced. This is why you do not need to be afraid of inflation because of someone producing more and more coins. For example, there will never be more than 21 million Bitcoins.<\/p>\n\n\n\n Furthermore, their value does not depend on your political location and is accepted almost anywhere in the world.<\/p>\n\n\n\n Other than investment you can also use cryptos for recreational purposes. There are a lot of games especially designed to use crypto-currencies. Some, like LiteBringer<\/a>, are designed to run on the blockchain, making the assets as safe as the currency itself.<\/p>\n\n\n\nHow to purchase cryptocurrency<\/strong><\/h2>\n\n\n\n
How to store your currency?<\/strong><\/h2>\n\n\n\n
How to spend cryptocurrencies?<\/strong><\/h2>\n\n\n\n