Cryptocurrency in simple terms refers to the process of using digital currency to undertake buying and selling of goods and services. Bitcoin was the first cryptocurrency to enter the global market. With the growing interest in cryptocurrency, there have been other market players as well following the Bitcoins league. As of today, there are more than 14000 cryptocurrencies available globally. Most of these currencies are already attracting global investments. In addition to these, there are also native currencies launched by the respective government. Such type of currencies are monitored and falls under the radar of central banks as well.
The primary attraction of cryptocurrency is its decentralized finance and blockchain philosophy. Every crypt transaction is backed by the technique of cryptography. Additionally, these transactions are also stored as multiple layers of chains in user computers. There is also nil intervention from any third-party regulatory authority on these crypto transactions. Every crypto transaction undergoes a validation process and users who are involved in validating these transactions are known as data miners. Over the last decade, there have been multiple concerns raised about the environmental hazards and impact due to this data mining. It involves a user glued to his high-speed computer consuming a huge volume of power.
Nevertheless, the craze for crypto and its investments continues.
Let us look at cryptocurrencies currently available in Australia and how you can invest in the same.
If you are an Australian resident and interested in crypto investment, then it is advised that you choose a legitimate crypto exchange like yuanpayteam.net. Every crypto exchange that wishes to undertake trading activity in Australia needs to undertake its registration process with AUSTRAC. This registration aims at guarding crypto investments against illegal activities.
Listed below are four key activities involved while buying cryptocurrency in Australia
Identify and compare available crypto exchanges
This is the first step. Before investing in cryptocurrency you need to identify the best in the market. A simple Google search can help you here. Understand the market competition amongst each exchange. Choose a user-friendly exchange that provides low transaction charges, the ability to manage traffic, is secured against hacking, etc. in addition to this, you also need to look at other features including market trends analysis and another research article that exchange can make available. These factors allow an investor to make a better investment decision.
Create your login credentials
This is the registration process. Now that you have finalized the crypto exchange and downloaded the same on your computer or phone, the next step involves registration. Create your user profile with a valid user name, password, and other authentication services. You will also need to set up your authentication process including secured pins during this stage. Additionally, the crypto exchange will also ask you to upload your KYC documents so that verification can be completed and a user profile may be set up.
Deposit funds into your account
Now that user verification is also completed, the next step is about adding funds to your digital wallet. You can choose the payment method and make payments through either credit card, debit card, or direct bank transfer. The funds will be added in AUD to the digital wallet.
Use the Buy option to pick your cryptocurrency
Once the money is added to your wallet, you may use the option to buy your preferred cryptocurrency. Post payment, cryptocurrency gets added to your digital account. You can continuously use this account to trade your cryptocurrency. Or if you are not interested in daily trading then you can have these cryptos stored in your wallet until prices increase.
The digital wallet assigned to your name in the exchange will be used to store your cryptocurrency. The currency will be held in this account until you choose to sell the same. Certain exchanges charge transaction fees while selling your crypto and additional profits are directly debited to the bank account. Your bank account details are updated during the registration process.
The Australian government has legalized the use of cryptocurrencies. You can buy, sell and trade cryptos from any reputable and legitimate exchange. The multi-layered security feature also ensures that your cryptocurrencies are safe and are not prone to any kind of hacking.
(Devdiscourse’s journalists were not involved in the production of this article. The facts and opinions appearing in the article do not reflect the views of Devdiscourse and Devdiscourse does not claim any responsibility for the same.)