What Can You Actually Use Cryptocurrency For?

Cryptocurrency was first introduced by Satoshi Nakamoto in 2009 when Bitcoin was made available to the world. It took a while for Bitcoin to become mainstream and for people to look past their initial doubts.

Cryptocurrency was first introduced in 2009 by Satoshi Nakamoto when Bitcoin was made available to the world. It took a while for Bitcoin to become mainstream and for people to look past their initial doubts.

However, people now regard it as a legitimate digital currency. Society’s acceptance of cryptos is partially due to other digital currencies, like Ethereum and Tether, entering the market. But what can you actually use cryptos for?

Top 7 Ways Cryptocurrency Is Used Today

Cryptocurrency has expanded in the last few years, and there are now several markets in which you can use them. Below, we examine which markets have become the most common places to use cryptos.

1. Investing

Investors are always looking for new products and sectors to invest in. With the economy fluctuating, they’re always on the lookout for sectors that are resilient against these fluctuations.

Crypto was one option that quickly became popular, as the extreme volatility of this currency can result in excellent returns on a small investment.

For example, in 2016, you could buy one bitcoin for around $513.40, and now it’s worth $88,292.39. However, the opposite can also happen, with investors investing thousands into a currency and getting almost nothing in return.

For example, when it was worth $16,462 in 2017, it dropped to $3,397.70 in 2019, which was an immense loss for many businesses. Still, investors love investing in these digital currencies, with several companies also investing in them.

The idea behind investing in it is that you buy crypto and keep it as long as possible in the hopes that the value increases.

2. Trading

Many people choose to become crypto traders who handle short-term transactions over long-term investments. You use an exchange platform to buy and sell crypto based on the CFD account movements.

What this means is that you predict the value movement of coins without having to own them. As such, you can buy cryptos you think will increase in value and sell cryptos you believe will fall in price.

Typically, these trades are fast and conclude permanently, so they require a particular type of mindset and quick action to do it successfully.

Many traders also use software and AI programs to monitor coin prices rise and fall so that they can react faster and take advantage of price fluctuations. This can be a lucrative process, but it can also result in significant losses if the market changes quickly.

3. Mining

Another way to use cryptos, or more accurately, receive cryptocurrency, is by mining. Mining refers to when blockchain transactions are approved.

Blockchain adds complicated mathematical puzzle encryption to each block to safeguard the transaction.

People can then “mine” the block by using high-energy computers (nodes) to “solve” the puzzle and add the block to the blockchain. By solving the puzzle, they receive new bitcoin, called block rewards.

It acts as an incentive to record the transactions on the blockchain and remain as transparent as possible.

However, this is a very competitive field, which means that it can be challenging to come by mining rewards. You also need access to extensive and high-quality hardware and software to stand a chance of competing with others.

4. Playing at Online Casinos

One area where cryptos are becoming more accepted is online casinos. Many casino sites are now crypto-exclusive or accept cryptocurrencies along with other fiat currencies.

You make deposits using the crypto of your choice, though some casinos only support specific ones.

These are typically Bitcoin, Ethereum, Litecoin, Dogecoin, and Tether. Once you’ve deposited, you can play the best slots using these digital currencies, and any winnings are included, too.

Some popular slots available to play are Pragmatic Play’s Sweet Bonanza, Play’n GO’s Book of Dead, and NetEnt’s Starburst.

When you withdraw winnings, you can do so using the crypto you’ve deposited with. It’s important to note that you typically won’t be able to deposit using one crypto and then withdraw using another.

Deposits are typically instant, and withdrawals cash out within a few minutes to 24 hours at most.

5. Purchasing Products

Crypto has become mainstream enough that some retail stores allow customers to use it to buy items. Some car showrooms will also accept crypto payments when buying vehicles, while many other brands will allow crypto payments.

These brands include Apple, Alternative Airlines, Aveda, Best Buy, Christian Dior, Disney, Expedia, Gamestop, Nike, PlayStation, Walmart, and Ray-Ban.

With items like jewelry, games, and electronics purchasable with cryptocurrencies, it won’t be long till it’s available at all stores.

6. Buying Insurance

Some insurance companies have begun accepting cry