With the Bitcoin rally, other cryptic investments such as Ethereum are also becoming the focus of investors. What should investors pay attention to?
Great atmosphere among the owners of cryptos: Bitcoin's course has increased by more than 150 percent since the end of 2016. Compared to Ethereum, however, this is only "peanuts", but the course has nearly tripled in the same period.
With a stock market value of 21.1 billion dollars, the crypt diet weighs more than half the weight of Bitcoin (40.1 billion dollars) and is thus the second largest alternative currency. As a result, the interest of investors is growing. The price development, the trading volume and the stock market value of the leading cryptos can be traced on the coinmarketcap.com website.
Many investors are wondering how to get hold of the virtual coins, the ether. There are two options for this: by "mining" (mining) or buying on a trading platform. A powerful computer is enough for the "mines". In addition, you have to download the software for mining on internet pages, such as coinotron.com. The fact that security is the top priority in the procedure is self-evident. In the case of mines, the PC becomes part of a network, whereby a special algorithm is executed on the PCs.
Is the mining cost?
The Ethereum miners thereby participate in the computing power of the network and in turn receive ether. Currently, a maximum of 30,000 Ether Coins are distributed per day, which means 10.95 million per year. Whether mining is worthwhile because of the cost, like for the PC, or the electricity costs, depends mainly on the development of the Ether price. You can calculate this with calculators such as cryptowizzard.com.
"In contrast to Ethereum, bitcoin mining has become so difficult that it is produced almost exclusively by industry, using so - called mining equipment that houses batteries from servers to produce bit - coins," says Radoslav Albrecht, CEO and founder Bitbond, the first block-managed financial services provider licensed by Bafin Financial Services. The blockchain technology is behind Bitcoin and Ethereum.
The principle of a blockchain is that encrypted data is stored on multiple computers over all transactions. New information such as additional blocks is attached to the chain of previous data in chronological order - hence the name (eg block chain). Since the collected information is stored in many places and is synchronized every time by different computers, manipulations are immediately noticed.
If you do not want to mine yourself, you can purchase the crypt diet on internet sites, such as ethereum-kaufen.de.Investors should pay attention that this is a German-language page that accepts Euro. Payment with PayPal increases the security additionally. Investors should later also make possible sales via secure websites that have an "HTTPS" encryption.
An alternative is the trading platform Kraken.com, which belongs to a US company, but generates a large part of its sales in euros. It already exists for several years and generates large trading volumes. Investors here also have the advantage that the commercial account is managed at a German bank and the money is deposited there.
Is the mining cost?
The Ethereum miners thereby participate in the computing power of the network and in turn receive ether. Currently, a maximum of 30,000 Ether Coins are distributed per day, which means 10.95 million per year. Whether mining is worthwhile because of the cost, like for the PC, or the electricity costs, depends mainly on the development of the Ether price. You can calculate this with calculators such as cryptowizzard.com.
"In contrast to Ethereum, bitcoin mining has become so difficult that it is produced almost exclusively by industry, using so - called mining equipment that houses batteries from servers to produce bit - coins," says Radoslav Albrecht, CEO and founder Bitbond, the first block-managed financial services provider licensed by Bafin Financial Services. The blockchain technology is behind Bitcoin and Ethereum.
The principle of a blockchain is that encrypted data is stored on multiple computers over all transactions. New information such as additional blocks is attached to the chain of previous data in chronological order - hence the name (eg block chain). Since the collected information is stored in many places and is synchronized every time by different computers, manipulations are immediately noticed.
If you do not want to mine yourself, you can purchase the crypt diet on internet sites, such as ethereum-kaufen.de.Investors should pay attention that this is a German-language page that accepts Euro. Payment with PayPal increases the security additionally. Investors should later also make possible sales via secure websites that have an "HTTPS" encryption.
An alternative is the trading platform Kraken.com, which belongs to a US company, but generates a large part of its sales in euros. It already exists for several years and generates large trading volumes. Investors here also have the advantage that the commercial account is managed at a German bank and the money is deposited there.