Get acquainted with Crypto Assets, Popular Online Investments
Crypto Assets as Online Investment Instruments
Online investment is now often discussed, millennials have finally become investment literate. Massive technological developments finally make it easier for us to invest. Like conventional investments, online investing is an investment to get long-term profits. What distinguishes it is that all processes of the investment are done digitally.
A crypto asset is a digital currency designed as a medium of exchange. This crypto asset is run with a cryptographic system to secure and verify every transaction from its owner. Yup, because all crypto asset transaction processes are done digitally and use high technology, that's why it is one of the online investment instruments.
Causes of the Popularity of Crypto Assets as Online Investment Instruments
Capital Futures analysis Wahyu Laksono said that the reason for the large number of crypto asset enthusiasts was the increasing distrust of people towards official or fiat currencies. He said, the value of fiat money will be eroded by inflation. This is what ultimately makes many people vying to invest their funds in non-monetary economic assets to avoid the reduction in value.
He also added that although gold investment instruments can also be chosen to avoid inflation, many people are still interested in crypto assets because of their efficient nature, which does not require special storage space, unlike gold. He explained, gold has a physical and needs storage, this is what makes it less efficient. Meanwhile, crypto because it is done digitally, the advantages are that it is technologically more efficient, unbanked, connected, and open.
Another influence comes from many world businessmen who helped popularize the type of crypto. One of them, Tesla CEO Elon Musk, continues to talk about various types of crypto through his Twitter account. In fact, he will also make Bitcoin one of the legal means of payment for transactions for his electric car, Tesla.
Types of Crypto Assets
Now there are many types of crypto assets, you know! Listed on coinecko.com, there are more than 6000 types of crypto assets spread all over the world. Here are some types of crypto assets you need to know about!
1.Bitcoin
The first type of crypto asset is, of course, Bitcoin. This coin, which is often dubbed the King of Cryptocurrency, is a digital currency that occupies the first position that has a high price value. Its limited quantity and high demand is what causes it to have a high price.
2.Ethereum
Next up is Ethereum. Ethereum occupies the second position as a crypto asset that has a fairly high level of liquidity. This is because there are quite a lot of currencies in circulation, so the disbursement is easier than other currencies.
3.Litecoin
Litecoin is often referred to as the best digital currency and can be compared to BTC and ETH. Why is that? It has a high level of liquidity and a large market. Litecoin circulating in the market currently amounts to 84 million LTC.
4.Dogecoin
This digital currency was first launched in 2013 using technology derived from Litecoin. Who would have thought that initially doge was just a joke currency, now he has many fans. This currency is indeed able to attract the attention of many people in early 2021. If in early January 2021 the price of doge was still around tens of silver, now it has a high price many times over. Even on 7 May 2021, the price can reach IDR 9,783 per doge!
5.Binance Coin (BNB)
Binance coin was launched as an ERC-20 token running on the ethereum network. Binance itself is used on the Binance cryptocurrency exchange platform. You can use binance to pay for trades on the Binance Exchange.
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