Cryptocurrency explained: Blockchain, Investments & Co.

Cryptocurrency is nothing more than digital money. Here, all the important data around the holder and transaction is encrypted and stored. Instead of storing all this on just one server, the transactions are found in a decentralized network – also called: The Blockchain. This technology makes transactions faster, more secure, and less expensive than they would be otherwise. Sounds like the future? Read our analysis here: cryptocurrency development.

No investment advice or purchase recommendation!

All information provided here does not constitute investment advice or a recommendation to buy. All statements are my general published opinion. I have obtained the information from my experience as a private investor. This experience report cannot and is not intended to replace personal investment advice from professionals.

Owning and trading cryptocurrencies brings many advantages. Transactions take place directly between the buyer and seller. It is a decentralized network. So, unlike a bank transfer, exchange and bank fees are eliminated, as are transfer limits and unnecessary waiting times. Bitcoin trading is therefore not only uncomplicated, but also anonymous and secure. Instead of the own name, all crypto assets are managed with an identification code. The blockchain technology also ensures that transactions are constantly checked in advance, making any manipulation and forgery almost impossible. Learn more about the technology, course and trade explained here: BitCoin, cryptocurrency & blockchain.

Reading tip: Which app do I use to buy and sell shares, cryptocurrency & Co. Here is the answer! My recommendation: Trading App.

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Download (Android + iOS): eToro

And a little tip, Made in Germany:

Download (Android + iOS) Trade Republic

Trading with Bitcoin, Ethereum, Litecoin & Co.

The cryptocurrency Bitcoin is now a household name. It is the most popular, but by far not the only one. In the meantime, several new creations have emerged. Some of the others are Bitcoin enhancements. Thus, there are now over 4,500 cryptocurrencies. While that sounds like a large amount, only just under 100 of them achieve a daily trading turnover of $1,000 or more. Other popular cryptocurrencies are Ethereum, Ripple and Litecoin.

Cryptocurrencies – List

Here you can find a selection of interesting digital currencies:

Binance Coin (BNB)

• Binance Coin (BNB)

Bitcoin Cash (BCH)

• Bitcoin Cash (BCH)

Bitcoin (BTC)

• Bitcoin (BTC)

Cardano (ADA)

• Cardano (ADA)

Dash

• Dash

EOS

• EOS

Ethereum

• Ethereum

Ethereum Classic (ETC)

• Ethereum Classic (ETC)

IOTA (MIOTA)

• IOTA (MIOTA)

Litecoin (LTC)

• Litecoin (LTC)

NEO

• NEO

Ripple (XRP)

• Ripple (XRP)

Stellar (XLM)

• Stellar (XLM)

Tezos (XTZ)

• Tezos (XTZ)

TRON (TRX)

• TRON (TRX)

ZCASH (ZEC)

• ZCASH (ZEC)

Questions and answers: cryptocurrency

So now you know what the blockchain technology is, what cryptocurrencies there are and what advantages trading Bitcoin and Co. brings with it. Finally, you will get all the important questions about trading with cryptocurrencies answered:

Which is the best cryptocurrency?

The best cryptocurrencies include the classic Bitcoin, as well as IOTA, Ripple, EOS, Litecoin, Binance Coin and Tether.

Which cryptocurrency has a future?

According to forecasts, Bitcoin, Ethereum, Ripple and NEO have the most potential to increase in value in the future.

Are gains from cryptocurrencies tax-free?

The speculation period for cryptocurrencies is one year. If a profit of 600 euros or more is made during this period, the total profit must be taxed. So if the coins are left in the wallet for at least 12 months and only paid out after the speculation period, no taxes are due.

Should you invest in cryptocurrency?

Only invest in cryptocurrency if you are familiar with blockchain technology, different currencies and wallets. After all, this is a decentralized network based solely on demand. So always be aware of the risks and only invest if you are really sure and familiar with cryptocurrency trading.

Cryptocurrency: reading tips

1. Trading App: Recommendation
2. Trading strategies

Trading App: Recommendation

eToro App – Trade stocks, ETF, cryptocurrency, in my blog you have already learned a lot about trading. Lots of questions of course: which app do you trade with, what do I recommend? So today I want to share with you my favorite trading app, eToro. 29.88% asset growth in 12 months, with low risk through “Copy People” and “Copy Portfolios” or up to 127.35% through active trading and trading strategies. Learn about the app, fees and more here step by step.

• Trading App

Trading strategies

Whether it’s crytocurrency, currency trading, stocks, commodities or precious metals, these 3 strategies will help you understand the basic stock market game. I developed these 3 strategies to help beginners and novices understand the mechanics in a nutshell. Since I grew up with Bitcoin rather than stocks, here in particular a strong reference to digital currencies. But the mechanisms or strategies are the same for these 5 investment types: crytocurrency, currency trading, stocks, commodities or precious metals. I would exclude ETFs and index funds, as the risks and price fluctuations are significantly lower here.

• Trading strategies

Did you already know? Open transactions in the blockchain

Cryptocurrency itself is, simply put, a coded chain of data. The so-called blockchain.

How does cryptocurrency work?

Everything is set up as a P2P network (peer-to-peer). Data is therefore stored in a decentralized manner. All data blocks are linked to that of the predecessor. Within this distributed database, all transactions are actually known!

The whole thing is therefore a network in which cryptographically signed messages are published – technical term: blockchain. You want to have a look at these transactions? Here you can see live how individual trades sometimes sell up to 100 Bitcoins and how sums in the millions go over the table:

• Bitcoin transactions – live on blockchain.com
• Ethereum transactions – live on blockchain.com

Outsourcing of tasks for sales and rentals

The brokerage of a property is not possible without a high bureaucratic and organizational effort. As an owner, you certainly do not have the time to take care of the brokerage of your property around the clock, all day long. Prospective buyers ask many questions, expect immediate answers and your constant online and telephone availability. If you are not a “full-time owner”, it is only possible to carry out these tasks in addition to your main job under the most difficult of challenges. In addition to answering inquiries, the arrangement and realization of viewing appointments is on the agenda.

Experienced brokers already make a pre-selection and conduct viewings with solvent, potentially interested prospective buyers or tenants. This way you save time and can be sure that your property will not become a meeting point for “real estate tourists” without a real intention to buy. From the success-optimized description of your object, over the appealing illustration up to the procurement of all documents and the execution of dates an agent is your support, if the house sale or the letting should take place fast, surely and to your conditions.

Time saving and security through real estate agents

Obtaining the documents alone takes a lot of time and requires you to literally run from pillar to post. Do you want to avoid mistakes, have all the necessary documents to hand and not spend time at authorities and offices for this? If you have commissioned a real estate agent, he or she will take over the tasks and take care, for example, of ordering the energy certificate, obtaining the land register excerpts, making the creditworthiness query with Schufa and checking the proof of income of potential buyers.

With a broker’s experience and core expertise, you benefit from the advantage of receiving referrals only from genuine, solvent prospects who match your search. Would you like to hire a broker, but not completely outsource your ability to act? Then you can decide to take over individual tasks and reserve the right to carry out the sale yourself if a prospective buyer comes to you directly. However, we recommend that you better rely on an estate agent and rule out the possibility of making costly mistakes when selling your property.

Price negotiation: Sales success through negotiation skills

On the basis of the real estate valuation you have an offer price in mind. The price determination is authentic, as it is explicitly based on the market value. However, prospective buyers usually want to bargain and try to modify the offer price in their favour and literally “push you down in price”. With negotiating skills, you can get the amount you want without making a buyer feel limited in their options. This is because you have already factored a small price concession into the asking price, and this way you can be sure that you will make the buyer happy and be satisfied yourself.

When it comes to price negotiations, know-how and mental strength, a convincing voice and self-confidence in conveying the pricing arguments are important. A real estate agent deals with people on a daily basis who want to propose prices and lower the purchase price of a property. While you as the owner quickly become nervous and uncertain, especially in a personal conversation about the asking price, your real estate agent remains strong and steers the communication in the desired direction with psychological skill.

Credit assessment, offer price determination, market value determination

When selling a house, we recommend realtor services that include all the tasks and relieve you on a whole level. Keep in mind that there are some pitfalls and difficulties in any process from listing to signing the contract.

You want to save time and be sure that your offer price is not “undercut” and your house changes hands at the end far below the value? To rule out a price that is too expensive or too low, your property needs a competent valuation. The price is set, but can the prospective buyer guarantee financing and pay the purchase price you have set? It is understandable that you ask yourself this question and of course you want to know that the purchase contract will not fail at the last moment because of the financing. A real estate agent checks the creditworthiness of the prospective buyer and, on top of that, asks for proof of income and a self-disclosure of the financial situation.

Real estate agent tips

You want to sell a house or an apartment, have no experience in the real estate market and want to avoid mistakes at all costs? Then you are well advised to use the comprehensive services of an estate agent and simplify the time-consuming and complex sale of your residential property. When you hire an agent, you don’t have to factor the sale of your property into your schedule, as all tasks are handled directly by your real estate agent and executed with your best interests in mind. More information about estate agents.

Broker commission: The most important regulations

More than 80 percent of all properties for sale or rent are brokered. This means that the owner commissions a real estate agent to advertise the offer and to carry out all tasks up to the conclusion of the contract on his behalf. Professional brokerage is a service that is agreed between the client and the real estate agent. After the service has been rendered, a commission, the so-called brokerage fee, is due. Who pays the commission depends on the type of commission and the reason for the commission. If you sell your property through an estate agent, the buyer usually pays. In the case of lettings, the buyer principle has applied since 2015, so that the invoice recipient and commission payer is identical to the person who has commissioned a brokerage service.

• You can find more on the subject of broker commission here.