Ethereum (hereinafter ETH) is a relatively recent cryptocurrency on the market. Unlike others, it operates on its own settlement platform, running on a continuous chain of transactions or “blockchain”.
Is it worth investing in Ethereum?
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The feasibility of any investment is determined by the ratio of profit to possible risks. Experts disagree on the profitability and prospects of investing in this cryptocurrency.
There are several reasons to invest in Ethereum:
1. Reliability and prospects of the investment fund Grayscale, implementing the sale of ETH. Both private individuals and large investors are bidders. The popularization of the fund is facilitated by the fact that after the launch, the value of ETH increased by 20%.
2. Limited issue of tokens according to the financial policy of the community of 230 million Ethereum. The issue of cryptocurrency is not yet limited.
3. Own blockchain for ICO. The start of the launch is scheduled for June. It will be possible to conduct crowdsale and Ethereum on this platform. Once possible, the price of ETH will rise compared to ETH, making it more attractive to invest.
4. Saving the idea of an immutable blockchain. To this end, the Ethereum community has distanced itself from Ethereum after the launch of the Decentralized Autonomous Organization (DAO) in April 2016. After a hacker hacked the DAO code on June 18, 2016, the Ethereum community decided to hard fork. All those who disagree with this continued to mine the original code, forming the Classic cryptocurrency. The capitalization of this money has increased dramatically.
How and where to exchange money
To invest in Ethereum, you need to create a wallet. The most famous is MyEtherWallet, which supports work with all Ethereum forks. You can replenish it both in cash and by wire transfers. There are several services that allow you to buy, sell or exchange ETH:
· online exchangers,
· private persons.
The service is convenient because many support ETH. But they can also close at any time. At the same time, the funds participating in the auction can be instantly blocked without a refund.
There are many services and each offers its own courses on exchanging cryptocurrencies one to another, withdrawing to an electronic wallet or bank card. Top 5 among them:
- Xchange Cash,
- Blue Cash.
You can use them to make a eth to btc exchange. Against the backdrop of the growing popularity of cryptocurrencies, miners and traders are opening exchange points. This is the least reliable of all services. It is worth resorting to it only if it is impossible to use other methods.
The essence boils down to finding a “money changer”, an agreement on the rate. Next, you transfer a certain number of tokens to his account, after which he transfers the funds at the rate to you.
Advantages and disadvantages
Ethereum has attracted the attention of large investors who are ready to invest in its development. This is facilitated by its obvious advantages:
- Preservation of the principles of decentralization and free choice of markets.
- High level of protection, withstood after several attacks.
- High liquidity.
Like any digital currency, it also has a number of disadvantages:
- Effective mining is possible with significant hardware spending.
- Unsecured cryptocurrency.
- High risk of loss due to hacker attacks.
As a result of the Bitcoin correction, investors turned their attention to less expensive and more stable altcoins. Ethereum, against the backdrop of all market fluctuations, looks like a promising currency with a good reputation.