Starting out in the crypto scene can be very daunting. There are a lot of seemingly confusing terms and graphs that can easily overwhelm a new investor.
Making any investment should never be a quick decision, but if you just want to know your Bitcoin from your Monero, then you’re in the right place.
‘What is Monero?’ I hear you ask. Stick with this article, and you’ll learn everything you need to know.
What is Monero?
Monero (abbreviated as MXR) is an open-source cryptocurrency similar to Bitcoin. Monero is a totally anonymous currency thanks to its blockchain being incredibly opaque.
In cryptocurrency, blockchains act as a sort of ledger showing participants’ activities with that currency. With Monero, it’s not so easy to see this information, so it offers a high degree of privacy.
The mining process for this cryptocurrency works on very egalitarian principles. The currency was launched in 2014, and the developers did not take a stake in it, preferring to rely on community contributions to keep the currency running and help it thrive. When trading forex, currencies are listed in pairs. The base and quote currency are used to reference the first and second currency in a price quote.
Monero vs Bitcoin
Monero and Bitcoin are both similar, but there are a few key differences between the currencies.
The biggest difference between the two is the level of privacy offered. Bitcoin allows people to use pseudonymous names and addresses when making purchases, which provides some degree of privacy, but nothing comprehensive.
These pseudonymous names and addresses were still easy to see on the blockchain of the currency, and from that information, real names and addresses could be found. Monero doesn’t work this way and instead obscures the blockchain itself to make information much harder to find.
Another difference is that Monero is fungible and Bitcoin is not. Any two units of Monero are completely interchangeable, whereas two units of Bitcoin are not.
Is it a Good Investment?
To answer this in a short way: potentially, yes. Between 2020 and 2021 the currency jumped a huge 231%, one of the biggest leaps in value that the crypto world saw that year.
Another reason you might be right to invest in Monero is that your startup costs will be quite low. You don’t need any specialist or expensive hardware to begin mining Monero, you can do it with just your computer’s CPU or GPU.
Where to Buy Monero
As mentioned above, mining Monero is a fairly straightforward process that doesn’t require a great deal of hardware. You’ll be able to do it on most computer operating systems.
If you want to purchase any Monero, you can simply find an exchange selling it, and go from there. Or, if you’d rather, you can buy it through an ATM that is able to work with cryptocurrencies, such as the ones you’ll find when you visit this link.
Monero: A Roundup
So, that’s your question ‘what is Monero?’ answered. Monero is a rival to Bitcoin in the cryptocurrency game. Its blockchain offers users far greater levels of privacy than other currencies, and is easy to mine without having to buy expensive hardware.
As with all cryptocurrencies, you should take your time before deciding that you want to invest. Don’t dive in head-first without taking the time to do some research and find the right investment opportunity for you.