S4B Crypto Contest - Season 6

in hive-109435 •  8 months ago  (edited)

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picture from pixabay>

Hello my steemian friends ,hope you all are doing well ,am glad joining this contest by @waqarahmadshah to share my own Idea about crypto.I will really appreciate your time reading.

How is the price of a cryptocurrency determined in the market?

Cryptocurrency is like having a shop in a a bussy area . When many customers keeps buying in your shop ,you will start having in mine to start charging a higher prices in your goods because it’s in demand. Thats same thing with cryptocurency, and if you don't have many people buying from you in your shop and your still have a lot of goods still stock in the shop, then you might think of lowering the price to make them more appealing.

So in crypto market,price of a crypto coins goes up or down depending on how many people want to buy it compared to how many people want to sell it.Other things which can affect the price too, is what people think will happen with cryptocurrencies in the future, and rules set by governments. All these things come together to decide how much a cryptocurrency is worth at any time.

How can individuals purchase and store cryptocurrencies?

Buying and keeping cryptocurrency is like getting a special kind of money online.
Here’s how you do it in easy steps:

  • Find a Shop: Look for a website or app where you can buy this special money. It’s like an online shop for digital money.
  • Sign Up: Make an account on that website or app. You’ll give some details about yourself to get started.
  • Put in Money: Before you can buy, you need to add some regular money to your account. You can use your bank account or a card to do this.
  • Buy the Money: Now you can buy the special digital money with the regular money you put in.
  • Get a Safe: You need a place to keep your digital money safe. There are two kinds:

Online Safe: This is easy to use but not the safest because it’s on the internet.
Offline Safe: This is super safe because it’s not connected to the internet. It’s like a safe that no one can touch.

  • Move the Money to Your Safe: After you buy the digital money, move it to your safe so that it’s secure.

Note:Just remember, to keep your safe’s key (password) somewhere nobody can find it,

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because if you lose it, you might not be able to get your digital money back.

How secure is cryptocurrency transactions compared to a traditional banking

Crypto transaction It’s like having a super-secret code that keeps your digital money safe.No one can change the code easily, which makes it tough for bad guys to steal.
While banks are like big unit with lots of guards and cameras. They follow lots of rules to keep your money safe, but sometimes, smart thieves can find a way in because it’s all in one place.
Soo, cryptocurrency transaction is secure because it’s spread out and locked with a secret code, while banks keep everything in one spot
, which can be really safe but not perfect. It’s always good to be careful.

Can cryptocurrency be used for illegal activities like money laundering?

Yes it can be used,cryptocurrencies are like secret online money. Some people use them for wrong things because they’re hard to see and move fast. But, most people use them the right way.
Now, the people in charge are getting smarter at finding the wrong uses and making rules to stop them. So, it’s rare, but just like any money, you have to use them the right way.
For me Cryptocurrency is the best because steemit here is a Blockchain I enjoyed it so much ,i hope my readers enjoyed it too.

Am inviting @mhizta, @crystal247, @kidi40 to participate in this contest.

Cc;
@waqarahmadshah
@wilmer1988
@goodybest

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crypto currency is like buying good example bag of rice in the market when the rice low in the market and selling it when the price is high. Though it not regulated in some country like in Nigeria, its can risky to the extent that its possible to lose an asset there.

Yeah very sure
I appreciate for your contribution

thanks bro

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That's right, the more demand there is, the more value an asset has, but the more supply there is, the lower its price will go down. Just like your comparison with the store, it is something similar. It is a good example to understand it. Good luck @emishael60