Should you buy an Ethereum? This is a question a lot of us have had at least once in these last few years. Cryptocurrencies have caught our attention and refuse to let it go. Wherever you go to you will be hearing about cryptocurrencies. Ethereum is one of the biggest crypto coins in the world. It is discussed on the internet, on the TV and in every café you sit down. With this cryptocurrency-crazed world, you keep asking yourself, “Should I buy Ethereum now or later or did I miss my chance?”
After enough researching, we are able to answer this hard question for you with our Ethereum guide, so make sure you keep reading until the end.
What is Ethereum
Ethereum is one of the largest influencers in the cryptocurrency market. Ethereum is a blockchain platform that generates the second biggest cryptocurrency in the world after the Bitcoin, ETH (Ether). VitalikButerin first proposed the idea for the Ethereumblockchain in 2013 to help us build decentralized applications. Decentralized applications run on the blockchain. They are much harder to tamper with than traditional apps. For the blockchain to be kept online, it requires a lot of electricity and computing power. The blockchain generates Ether coins to reward people that volunteer their computing power.
How Ether is mined?
To keep the blockchain safe, it encrypts every single transaction that happens on it. Then the blockchain updates all the ledgers in the world. The system records all these changes in the blockchain and when one block reaches its capacity, the blockchain creates a new one. The blockchain encrypts every transaction with a puzzle that contains all the data, which means that hacking these transactions is almost impossible. The people solving these puzzles that keep the blockchain running are called miners. Ether is usually mined with a Graphics Processing Unit, usually referred to as Graphics cards in consumer PCS or you can use specialized ASIC machines. However, the Ethereum-crazed mining has evolved so much that it is now mined on an industrial scale since the puzzles have become so difficult that they run your computer full throttle 24/7. This costs a lot in electricity bills while also increasing the degradation of your PC components.
So, if you are asking yourself if you should buy Ethereum or mine it, then the answer is definitely to buy it since mining can cost you tens of thousands of dollars. If you are planning on buying Ethereum, you should consider visiting this website to get yourself an automatic trading bot that will do all the work for you.
Is it a good time to buy Ethereum?
While I am writing this sentence, the Ethereum is currently 214 dollars per coin. In just a few minutes or hours, the price of a single coin could increase or decrease considerably. This is why answering with a simple “Yes” to a simple question as “Should I buy Ethereum?” is not easy. While Ether is a great crypto coin and holds its 2nd place for years after the Bitcoin, supply, and demand are what control its price. For more information on Bitcoin, check the-bitcoinmillionaire.com. If more people are willing to buy Ether, the price rises, if more people want to sell their Ether, the price goes down. However, investing in Ethereum is usually a good idea since history has proven us that cryptocurrency value will keep rising over time. Keep in mind that the crypto progress might be very slow.