How To Make Money From Cryptocurrencies

Have you heard about the cryptocurrency Bitcoin and how it is changing the world as we know it ? There are many cryptocurrencies available online but one of the most popular is Bitcoin so we are going to spend most of our time reviewing the benefits associated with it. There are many helpful books available like Cryptocurrency mining for cash, by Alex Davidovic which is packed full of helpful advice. The reason we are mentioning this book is to help you get off on the “right foot” otherwise your chances of success will be greatly limited.


How Inflation Prompted The Birth of Bitcoin

Open up your wallet and look inside, you will see piece of paper money and on that paper it says “this note is legal tender”. The paper itself has no value the only reason this “money” is worth anything is because the government says it has value.  Since the government is in control of the production of this “money” the decisions they make can have a direct impact on the buying power of this money commonly referred to as “fiat currency”.

In the past the paper money being used had gold to back up the value so $1 U.S. dollar had to have one dollar worth of gold in reserve to back up that value. Since gold has been used as a form of currencies for centuries no one had a problem with it since it is very hard to mine gold the risk of “inflation” was manageable. Inflation is like a “tax” that everyone pays without realizing it, as the buying power of your currency reduces you have to earn more to purchase the same things. Think back to a time when you were a child how much did it cost to go and watch a movie or buy a bottle of Coca Cola ? The prices have gone up because our money has lost value. This loss of value is not due to us being lazy or not working hard it is due primarily to the government printing more money than what it can afford to spend.


This “Inflation” Sounds Really Complicated And What Does It Have To Do With Bitcoin?

Think of the country like any household, every month you have to pay the bills just with government it is on a larger scale. The first step is making a budget which notes how much income you have, for governments this income is derived from taxes and then you have to look at all of your debts which are referred to as liabilities. If you are spending more money every month then you are taking in you are in a “deficit”. When that happens to a person they have to use credit which charges them interest or cut corners to reduce their expenses or boost income.

The government uses “credit” by selling treasury bills to countries like China, The reason China buys these treasury bills is to earn interest from the government of the USA. When the countries borrows money to pay these debts it increases the supply of money in the market. The more money there is in the market the less value it has, this is inflation in a nutshell. Since the government can borrow money whenever they want it reduces the buying power of all your wealth. The only way to overcome this challenge is to find a form of money that cannot be manipulated by government or other external forces. But before we can look at the benefits of Bitcoin we need to define what is “money”.


So What Is Money Anyway?

Money is a medium of exchange that people generally agree has stored value. In order for something to be considered money it has to be portable, easy to exchange and durable otherwise it is not “money”. For example gold and silver are portable, easy to exchange because they have standardized weights and it holds value. If you had livestock like cattle it is not money but an asset, since these cows could die at any time they are not “durable”. Now that have defined what money and inflation is we can look at Bitcoin and how people are making money from it.

Bitcoins are a form of cryptocurrency that has a finite number of “bitcoins” that can be produced. This currency is not something you can physically hold in your hand since it is exchanged electronically between devices. What makes these Bitcoins awesome is they cannot be forged or counterfeited so you don’t have to worry about being ripped off. There are many layers of verification built into this currency so it is virtually “hack proof”.

The value of Bitcoins like any other currency is traded in the open market so the value of a Bitcoin today will change tomorrow but the value will become more fixed as the number of people and businesses who use Bitcoins greatly increase you will want to start getting your Bitcoins while they are relatively “cheap”.


There Are No Middlemen When Using Bitcoins

When you use a credit card, debit card or even cash there was a bank somewhere that charged you a service fee to access the cash or perform the transaction. All of these “middlemen” eat into the buying power of your money especially if you are a merchant. With Bitcoins the processing fees are virtually nonexistent unless you are transferring millions of Bitcoins at one time and even then it would only be a few cents to move billions of dollars!


Your Bitcoins Are Fraud Proof

If you lost your wallet or credit cards then you’d more than likely lose all of the money you had but with Bitcoins you don’t have to worry about anything since the Bitcoins can only be transferred with the right password, A password that only you know.


How Can I Get Bitcoins Of My Own?

This is the “meat and potatoes” of the conversation so let’s look at how you can get Bitcoins of your own. You could work for them or conduct an online business then you could trade for them but the best way to earn Bitcoins is by mining for them. This type of mining does not require a pick or shovel but it is labor intensive but fortunately for us there are tutorials like Cryptocurrency mining for cash, by Alex Davidovic that can really help.

What we need to do is take a few moments to review how Bitcoins are mined and once you have reviewed it then you can begin to appreciate the importance of this book by Alex Davidovic.


So What Is Bitcoin Mining?

Bitcoins are earned by figuring out mathematical problems that become progressively more complex. {The first Bitcoins were found on home computers running a simple mining program but as the number of Bitcoins increase it will become progressively more difficult to earn these coins so you really need to be proactive and follow the tips offered in Cryptocurrency mining for cash, by Alex Davidovic if you want to earn more.}

Once you have solved the problem the Bitcoin network will verify the work and if the results are confirmed you will receive 25 Bitcoins for your efforts. These Bitcoins are you reward for the “mining” work you have done.  Since Bitcoins are currently trading at around $1,000 each that would mean you earned $25,000 for that bit of work.

In order to keep the Bitcoins coming in you have to upgrade your mining system to perform these calculations faster. The more calculations that are performed per second the greater your chances are of realizing success.  But the question remains on what type of hardware and mining software should a person use to maximize their return on investment. There are many people who claim to have the best approach but the vast majority of them with the exception of Cryptocurrency mining for cash, by Alex Davidovic lack consistency which is what you want. Everyone can get lucky and find some Bitcoins but you need more than luck, You need certainty.


I Am Not Rich Should I Even Bother Trying To Mine Bitcoins?

That depends on how you want to approach this challenge, if you are trying to do it all on your own without getting the right advice from those who know what they are doing then you are setting yourself up for massive disappointment but if you want to follow the advice given in Cryptocurrency mining for cash, by Alex Davidovic then you stand a really good chance of making a profit from Bitcoins. You need to ask yourself what are you going to do with the Bitcoins being earned. There are some people who want to quickly convert them into fiat currency which is their decision but we strongly recommend holding on to the Bitcoins for as long as possible. As more people start migrating over to these Bitcoins the demand is only going to increase which should drive up the buying power of these Bitcoins making you richer in the process.


Long Term Benefits Of Using Bitcoins

As a private citizen you can use these Bitcoins to purchase things on the Internet without having to worry about handing over your private, personal information. Consumers who use credit cards or payment services like PayPal are putting their private information at risk while at the same time making it easy for organizations to monitor your purchases. With Bitcoins you don’t have to worry about this since everything is secure and completely anonymous.

Since there are no government agencies that rule these Bitcoins you do not have to worry about income tax or taxes in general but you should speak with your accountant before filing a tax return just to stay on the “right side of the law”.


Where Should I Go From Here?

If you are serious about changing your life for the better then you owe it to yourself to read Cryptocurrency mining for cash, by Alex Davidovic and learn the right way to mine bitcoins. You will get all of the information to make the most of your resources. We know that these cryptocurrencies are here to stay so the only question that remains is whether you will embrace this new technology or will you wait, The longer you wait the more expensive it will be to purchase these Bitcoins and trade with them so do yourself a favor and start collecting these Bitcoins now while you have the ability to.


Which Type Of Cryptocurrency Is Right For Me?

You have no doubt seen all of the different types of cryptocurrencies being promoted but from our experience the top choice is Bitcoins so it is in your best interest to use the most popular cryptocurrency so your “money” will always have stored value and can be easily exchanged with other Bitcoin holders..

Naturally you may feel somewhat apprehensive about using this modern form of money but you really have nothing to worry about, over time the majority of people will freely accept Bitcoins just like they accept the paper fiat currency you have in your wallet the only difference is the value of these Bitcoins will be harder to manipulate so it has better long term value. You should try to get other members of your family to join you with mining these Bitcoins, The more people you have with you on your team the better your results so do yourself a favor and start mining Bitcoins now, you can always sell them to other people who want to purchase them. Just think about what you can use the money for, pay off bills or save for retirement. Whatever you decide Bitcoins are here to stay so have fun with them while you can otherwise you could end up kicking yourself in the backside when you realize what you are missing out on!


Leave a Reply

Your email address will not be published. Required fields are marked *