Cryptocurrencies & NFTs
Get to grips with virtual money and tokensThey’re easier to
understand than you
might think...
Whilst Cryptocurrencies (also known as Crypto) can seem very intimidating, there’s nothing really too much you need to know in order to understand them.
Crypto is simply a virtual currency. Easy, right? And as they solely exist online, it means there are no central issuers or regulating authorities so everyone has the power to distribute, watch and access it.
Like Crypto, NFTs (Non-Fungible Tokens) are an aspect of virtual trading that are a lot simpler. Where ‘Non-Fungible’ refers to each unique piece, NFTs are the virtual alternative to trading cards - if it’s rare and the original, it can be worth a lot...
Key Features
Genesis
Crypto uses encryption to ensure high levels of security - each and every transaction requires enhanced coding to verify it, so only those who know how, can.
Exclusive Groups
An attractive element of NFTs is the exclusivity surrounding them. People have long built communities based on things they own, and NFTs are no different - if you can’t beat them, join them.
Cheaper Transfers
Another reason for the popularity of Crypto is that its transaction cost is low to nothing; unlike the fee for transferring money across the globe, Crypto transfers cost little to nothing.
Unique Ownership
Like a Van Gogh painting or a limited edition Hermès bag, NFTs are exactly as unique. Whilst you can hypothetically have one by ‘Copy’ and ‘Paste’ you can never have the original unless you’ve bought or traded it.
Open for Business
More and more organisations are turning to the idea of using Crypto as a form of payment; brands such as Microsoft, Paypal and even Starbucks are already accepting various cryptocurrencies
More than a few pixels
With NFTs, it’s not just pixels that you can buy. Whilst mainstream news explains that NFTs are digital pieces of Art, an NFT can be anything from a music composition to a piece of coding for the Mars Rover... the opportunities are endless.
Bottom-line benefits
So whilst this has been a brief exploration into cryptocurrencies and NFTs, our consulting experts are an email away when you’re ready to find out more.
Their utility, alongisde fast and secure transactions, is one of the many reasons why more and more people are turning to Crypto and NFTs which are only going to grow more accessible over time with fewer technical hurdles. So combined with the benefits of diversification and the potential to hedge against inflation, it’s no wonder this new Web3 venture is picking up the pace.
