Cryptocurrencies are all the craze. If you’re like me, you might still be trying to wrap your head around the whole concept. I can barely keep a hold of my cash and debit card– and now there are a plethora of different currencies popping up and taking the financial world by storm. This graphic is a great guide to wrapping your head around the basics of Bitcoin.
Bitcoin is undoubtedly the shining star of cryptocurrencies, being the first successful company of its kind. Despite all eyes currently being on them, Bitcoin definitely had its ups and downs getting started. Since the company’s birth in 2009, it has faced major skepticism and two major crashes, all while laying the pavement for an entire cryptocurrency culture. The long road that Bitcoin had to take to get to its current focal point in society shows great reward is impossible without innovation and risk.
One common misconception around cryptos is that they’re coming to save our planet. While it’s truly great that Bitcoin isn’t chopping down trees to turn into dollar bills, Bitcoin and its competitors are still having major impacts on the environment. With Bitcoin alone using 120 gigawatts of power per second last year, we might remain skeptical about the pros and cons of introducing cryptocurrencies for our planet. That being said, the traditional banking system also uses a lot of power too, so we have to compare apples to apples here.
Ready or not, it’s clear that crypto isn’t going anywhere anytime soon. Whether you’re investing or just curious, it’s good to have a grasp around such a large part of our new monetary reality.