In our increasingly digital world, types of cryptocurrency and blockchain technology are reimagining how we transfer value and conduct commerce.

From the first cryptocurrency and beyond, crypto assets, such as altcoins and stablecoins, have exploded in popularity as both speculative investments and tools empowering financial inclusion worldwide.

In this blog post, we'll explore the diverse realm of cryptocurrencies, what to consider before getting involved, and how one stablecoin in particular promises to bridge traditional finance with blockchain innovation. Prepare for an immersive journey into the world of cryptocurrencies with Cryptobunq!

What is cryptocurrency?

Cryptocurrency secures digital money through cryptography to regulate the generation of units and verify transfers. By operating on decentralized networks known as blockchains, these token-based currencies cut out middlemen and provide otherwise impossible transparency in transactions.

Bitcoin introduced the concept in 2008 and continues to lead the way a decade later in terms of market value as the pioneering blockchain network. As we'll see, Bitcoin sparked a crypto revolution far beyond its original scope. If you wonder, “How many cryptocurrencies are there?" check out our guide!

What should you consider before investing in cryptocurrency?

With thousands of cryptos available, knowing where to start can seem daunting. Here are some indispensable tips before investing in cryptocurrency:

• Research fundamental qualities like adoption, technology, teamwork, and roadmaps—these indicate long-term viability.
• Evaluate market conditions using volatility data from sources. Cryptocurrency can experience high price fluctuations.
• Consider crypto investment goals: do you want short-term speculation or long-term wealth creation? Crypto coins like payment leaders may suit the latter.
• Before choosing coins to buy cryptocurrency, evaluate market trends and understand how different investment styles, like long- or short-term holdings, may impact potential returns.
• Diversify among uncorrelated assets to reduce risk. A portfolio of blue-chip cryptos paired with stablecoins like EURK issued by Cryptobunq balances opportunity and stability.
• Only invest in amounts you can afford to lose, as crypto remains a speculative sector.

Doing due diligence on the fundamentals and your personal risk profile prepares you to take advantage of the opportunities while managing exposure in this new digital economy. Keep reading to learn about some of the potential benefits of investing in cryptocurrency!

What are the pros of investing in cryptocurrency?

As the crypto economy expands, more people are interested in options for crypto investment to diversify their portfolio beyond traditional assets. Despite inevitable risks, there are many benefits of cryptocurrencies that offer compelling long-term opportunities for strategic investors.

Here are the benefits of cryptocurrencies for investing:

Portfolio diversification

Low correlation to traditional markets allows crypto to help balance risk.

Strong potential returns

The best-performing cryptos in their early years saw gains measured in thousands or even millions of percent.

Global accessibility

Anyone with an internet connection can participate in the emerging cryptocurrency economy from anywhere.

Technology bets

Cryptocurrencies allow investors to invest in the development of groundbreaking technologies like blockchain, smart contracts, and decentralized networks.

Inflation hedge

Like other scarce assets, popular coins could act as a store of value superior to currencies undergoing inflation.

Enabling transactions

Cryptos facilitate direct value transfers worldwide without much need for intermediaries and their fees. Stablecoins, in particular, boost this ability.

Of course, past gains do not guarantee future results. But by carefully choosing quality projects that solve real problems, believers argue that cryptocurrency innovation justifies optimistic long-term outlooks.

If you need further guidance, you can check out “Which crypto to buy for the long-term?" “Which crypto to buy for the short-term?" “Crypto trading strategies," and “How to use crypto for your business?”.

How many different cryptos are there?

The number of cryptocurrencies has experienced exponential growth over the past decade. Currently, there are well over 20,000 cryptocurrencies in existence. However, the vast majority of these are low-volume altcoins with few users or active development.

Among the more established types of cryptocurrencies, the top 20 by fully diluted crypto market cap account for over 80% of the total crypto market size. Beyond the top 50 crypto coins, the field spreads more thinly with smaller and more specialized crypto token protocols.

A few hundred cryptocurrencies have active communities and developments, while many others remain obscure experimental projects. Overall liquidity, security, and adoption are key factors that tend to concentrate value among the major players.

What are the four most popular types of cryptocurrency?

As mentioned earlier, thousands of cryptocurrencies exist today across many categories.

Here are brief explanations of the four predominant types:

Bitcoin

As the first cryptocurrency, Bitcoin (BTC) introduced blockchain technology to the world. With a maximum supply of 21 million tokens, it remains the dominant cryptocurrency by market cap.

Ethereum

The Ethereum network hosts smart contracts and powers much of the decentralized application ecosystem. Ether (ETH) is its native cryptocurrency token.

Stablecoins

Cryptocurrencies like EURK aim to minimize price volatility by pegging their value to external assets like the Euro. For example, one EURK always equals one euro. This makes this euro stablecoin popular for crypto payments and crypto exchanges.

Altcoins

Investors collectively refer to all other cryptocurrencies, apart from Bitcoin, as altcoins.

Within these broad categories lie many other distinctions around intended use, technical features, and more. Let's now explore the benefits of one particularly useful stablecoin globally.

What is the most useful crypto?

It's difficult to declare any single cryptocurrency as definitively "most useful crypto," given the nascency and diversity of applications still evolving. However, some have uniquely valuable properties that make them stand out currently:

• Bitcoin established the concept of decentralization of currency and has achieved global brand recognition, giving it an essential network effect.
• Ethereum enabled the dawn of decentralized applications and remains far ahead for smart contract functionality, making it hugely useful for powering the burgeoning world of DeFi, NFTs, and DAOs.
• Stablecoins like EURK facilitate crypto trading between crypto and fiat while reducing volatility, thus increasing the utility of cryptocurrencies as a medium of exchange.
• Cryptos geared toward payments offer near-instant, low- or no-fee transactions for cross-border payments and micropayments—a huge boon for financial inclusion worldwide.

Why should you invest in EURK with Cryptobunq?

To take advantage of opportunities in the growing cryptocurrency sector, it's important to carefully research your options and strategically plan how to invest in crypto. Among stablecoins, EURK is especially compelling due to its strategic advantages:

• EURK is a 1:1-backed, euro-pegged stablecoin on multiple top blockchains.
• Monthly audits of transparent reserves ensure the stability of EURK.
• Low transaction fees and instant speed make EURK ideal for merchants, apps, and cross-border payments globally.
• Cryptobunq, an industry-leading crypto services firm, developed the EURK multi-signature vault technology, providing advanced security.
• Institutional-grade custody and wallet solutions from Cryptobunq provide regulated, insured storage for large EURK holdings.
• A modular, open architecture that focuses on interoperability optimizes future adaptability.

For euro-based traders, projects, and users, EURK and Cryptobunq’s robust solutions make accessing cryptocurrency seamlessly possible while bypassing the volatility of other crypto assets.

The EURK stablecoin aims to become the global standard for digital euro transactions online, thanks to CBQ. Cryptobunq is a one-stop-shop crypto service provider that offers expert crypto solutions.

These solutions include batch payments, node as a service, tokenization, checkout and invoicing, an exchange API, and more. You can easily integrate these solutions into your business for prospective business growth!

The bottom line: Get started with cryptocurrency and EURK

As this cryptocurrency primer illustrates, blockchain technology and blockchain payment solutions are transforming finance and value transfers worldwide. While risks remain, the opportunities for participation in this unfolding megatrend are vast.

For cautious starters, stablecoins offer a smoother entry point compared to highly volatile native crypto assets. EURK in particular presents an appealing mix of stability, security, accessibility, and future potential with its robust implementation and issuer partner Cryptobunq.

By understanding fundamentals, mitigating risks, and maintaining a long-term perspective, visionary investors can gain diversified exposure to cryptocurrencies’ ascent.

For more information on how to get started with EURK and Cryptobunq's secure crypto wallet and crypto payment solutions, you can explore our case studies and stay informed about new developments through CBQ blogs.

The future of digital money is here; don't miss your chance to be a part of catalyzing innovation through the power of cryptocurrency with Cryptobunq. Contact us today and explore the power of blockchain technology and cryptocurrency with our expert crypto services!