Cryptocurrency is bigger and better than ever before. It is estimated that there are over 100 million active Bitcoin owners worldwide. There are around 53 million traders of Bitcoin, the most prevalent of the 500+ altcoins currently available. That said, crypto is still a hugely misunderstood form of wealth management, and many who might consider investing in a cryptocurrency hesitate to do so because they neither understand how it works nor believe they’ll be able to easily spend any of the money they amass.
In these politically partisan times, it’s all the more important to invest in a currency not owned or controlled by any individual country’s government. The mining of cryptocurrency is an equal opportunities operation that doesn’t care what species of political regime you live under. In a shaky economy, cryptocurrency could prove an unusually reliable bet. In a recent interview on CNBC, as reported in Business Insider, Fundstrat’s Tom Lee said that Bitcoin’s value could surge by up to 300% in 2021.
Far from being just an undifferentiated slew of ones and zeros, Bitcoin and other cryptocurrencies are protected and limited in several vital but much misunderstood ways.
- Crypto is “mined” using a method analogous to the traditional mining of precious metals. Bitcoin miners solve incredibly complex mathematical puzzles to speedily generate 64-digit hexadecimal numbers, hoping to match one to a changing target, whose complexity is modified to regulate rates of mining. Since there are literally trillions of possible combinations of the 16-symbols in a hexadecimal system, it requires both time and huge amounts of computational power for each miner to generate a matching number and generate a block.
- Transactions are “clumped” into numbered blocks, which are stored in a virtual ledger called the
“blockchain.” This method prevents illicit duplication as well as providing a record so that identities of parties involved in a transaction can be verified.
- Finally, bitcoins are limited in number, just as any paper currency would be. This works through a system of halving the number of bitcoins released per block every 210,000 blocks. At the moment, halving occurs roughly once every four years. Cryptocurrencies work in a way analogous to gold in that most of the world’s gold supply has been mined already. Smaller and smaller quantities are discovered and mined with each passing year, maintaining the currency’s intrinsic value.
Aside from the complexity and opaqueness cryptocurrencies hold for the average consumer, the biggest challenge of this innovative new suite of currencies is how to use them to purchase goods and services. It’s still the case that uptake of cryptocurrencies by traditional businesses is minimal. A little over 15,000 companies directly accept Bitcoin in 2021, with around 2,300 of these located in the US. This may seem generous, but it doesn’t often include debit card providers, mobile phone networks or big box retailers, for instance.
This is where Coinsbee comes in. They act as a third party to convert your bitcoins into a currency that mobile phone providers, credit card companies and other major businesses will accept. Using Coinsbee, you can buy virtual vouchers and phone cards using cryptocurrency. These can then be used to pay your phone or charge card account in a suite of real-world currencies, including US or Australian dollars, euros or British pounds.
Gift vouchers are available for Amazon, Apple Store, PlayStation, Xbox, eBay, Spotify, Netflix, Home Depot and many more, in denominations from $5 to $100 and in a dozen major currencies. Prepaid credit cards are available for all the major credit providers including American Express, Visa and Mastercard. Top up cards can be found for over 440 telecom companies in 148 countries. Users need never run out of phone credit again. They are able to top up accounts using only their phones, in a safe and secure transaction.
All of these outlets help to secure the future legitimacy of cryptocurrencies. With major financial players like Amex and Visa, as well as many global brands coming on board, it is evident that even traditional entrepreneurs, investors and credit providers are looking for a piece of the action. Coinsbee offers a huge range of cryptocurrencies. It’s not all about Bitcoin, although that remains the biggest player on the crypto scene.
The website runs a regular blog advising on the ins and outs of cryptocurrencies, as well as outlining the unique opportunities they represent. Coinsbee also provides helpful “how-to” articles and a lengthy and even-handed “Cryptopedia” helping beginners understand the brave new world of e-currencies. For instance, there’s a thorough article on the Lightning Network, the second layer of transactional data that unclogs the main Bitcoin network, reduces transaction fees and makes the whole network properly scalable. Removing this limitation will really allow cryptocurrencies to blossom in the near future.
Third-party companies like Coinsbee are going to be increasingly important as cryptocurrencies enter mainstream consciousness in the 21st century. Providing that vital link between secure digital currencies and readily spendable money, Coinsbee is a young but growing company that has already partnered with an impressive range of big names to bring consumers the choice they need to shake the moths out of their virtual wallets.