Cryptocurrencies

Metaverse NFT/Metaverse Real Estate

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Metaverse real estate refers to a virtual real estate or an NFT (non-fungible token) asset in the digital world. It is a virtual space in the metaverse that represents a scarce and limited piece of virtual land and that is there in the metaverse. 

You can purchase this virtual real estate using your cryptocurrency. So, it means it is an effective way to manage your cryptoportfolio. In this article, we are going to discuss this matter in more detail to find out what it is all about, so keep reading. 

What is Metaverse NFT?

Of course, the metaverse is an immersive but shared virtual world where avatars represent players and they can interact with one another. They can construct or develop various experiences, and create different in-world objects or even landscapes. In other words, you can use these NFTs to buy and sell different digital things using cryptocurrency and manage your cryptoportfolio. 

Metaverse NFTs are non-fungible tokens or digital assets that cannot be replaced with anything else. For instance, bitcoin is fungible, because you can trade wine bitcoin for another and you will have the same thing. But how about a unique trading card, that thing is an NFT or non-fungible token. 

After the trade, you will have to replace it with another card, which is not similar. So that card is an NFT. So is a virtual clip-art of rocks or some kind of a virtual painting that you have created, and it can be digital space within the metaverse. 

But How Does It All Work? 

At the top level, most of these NFTs are part of the Ethereum blockchain. Ethereum is a cryptocurrency just like Litecoin, Dogecoin, or Bitcoin. Blockchain supports all these currencies and many others. Different blockchains can implement their own NFT versions. 

But what is it all worth? As NFTs can be anything that is digital, a lot of hype is to sell digital art and space using tech. Copies of these NFTs can be downloaded but the original rights remain with the owner or creator. 

If you have a really cool-looking digital art or an awesome-looking sticker then you can sell it as an NFT. The items you can sell as digital art are something that you cannot sell anywhere else. As a buyer, you can really support an artist by appreciating his/her work. 

NFTs and Real Estate

In recent times the real estate industry has really shown that it can use NFTs pretty well. As these NFTs are associated with digital things. But there is a game where players can sell and buy digital land in the Virtual real estate market and it’s called Decentralnd. 

These properties are bought and sold as NFTs. You will get a deed that shows your ownership proof. And you can buy and sell this piece of virtual land using cryptocurrency (Mana Coin). 

But Etherland is a new NFT project that incorporates real-world properties and links them with NFTs. So you have a unique property, and you can NFT it using the Ethereum block, a pretty secure cryptocurrency.  

Top Metaverse NFTs

Here is a list of top metaverse NFT projects that are completed or are in the works,

  1. Beeple or Mark Winklemann’s digital artwork called the Everydays: the First 5000 Days went for USD 69.3 million in 2021. 
  2. There is another Beeple piece called the Crossroad, a 10-second video showing animated pedestrians walking past a Donald Trump figure that went for USD 6.6 million in March 2021. 
  3. Curio Cards is a set of 30 unique cards that went as a part of Ethereum Blockchain and sold for USD 1.2 million.
  4. Within a game, you can buy or sell pieces of land as NFTs. These pieces are controlled by the users and not the game developers. 
  5. You can also buy and sell game artifacts as NFTs. 
  6. Various games have virtual worlds in them. Games like Decentraland, Star Atlas, Sandbox, Somnium Space, CrytpoVoxels allow you to purchase virtual lands as NFTs. in 2021, a virtual plot of 16 acres in Decentrland went for USD 913,228.
  7. You can benefit from it as a musical artist as you tokenize your work and then publish it. Moreover, artists use NFTs during the pandemic to recuperate from their income losses. In February 2021, 3LAU sold the 33-NFT collection for USD 11.7 million to commemorate the third anniversary of his Ultraviolet album. 
  8. In March 2021, Kings of Leon released their new album, When You See Yourself, in NFTfor USD 2 million in sales. Other musicians that have used NFTs include Lil Pump, Shepard Fairey with Mike Dean, and Eminem. 
  9. In May 2018, 20th Century Fox paired with Atome Tokens to release Deadpool 2 digital posters as NFTs. 
  10. In March 2021, Claude Lanzmann: Spectres of the Shoah by Adam Benzine was the first documentary to be NFT-auctioned. 

Final Thoughts

Metaverse NFTs are quickly becoming real digital assets, and people are pretty serious about buying these assets. It means if you are a creator, you can pounce upon this opportunity and really hit some good numbers in your cryptocurrency efforts. It is a pretty effective way to manage your cryptoportfolio too.

Everything You Need to Know About Metaverse

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Ever since Mark Zuckerberg announced the name change of Facebook to Meta, everyone in the world has a new buzzword. 

Mark announced earlier in 2021 that the future of Facebook will be in the metaverse, and now all the companies are in the metaverse business and we have so many experts on metaverse too. 

But what is this Metaverse and why does it even matter? Should you worry about it if this metaverse is the next chapter of the internet? 

But one thing’s for sure, you should not be standing flat-footed when the wave of metaverse catches you on. Metaverse is going to fuse cryptocurrency and embed it with your online world.  

So scroll down to read further about this metaverse and what does it has to offer that can assist you in managing your cryptoportfolio,

What is Metaverse? 

At its core, the metaverse is an engulfed internet, a social sphere where people can meet with one another to assist in avatar personalization and allow them to be more present than just a simple video call. 

This metaverse is synchronous and it feels like real life compared to the present-day social media which is feed-based. You will not catch up on what others are doing, you can meet them in real life. 

This experience can be persistent just like the world around us. And when you get back to your metaverse space, you will not have to start from scratch. 

Just like your real life, it will have all kinds of things that you love to do with your company. Of course, you can also go to your favorite concerts and other events. Plus, you can play games, work, shop, date, and hang out. It is going to integrate cryptocurrency and you can even manage your cryptoportfolio using it.  

Where is This Metaverse? 

This metaverse does not exist at the moment. But we do have some predecessors to this metaverse that are currently in place and people love using them. These predecessors are, 

Virtual reality

People often confuse virtual reality or VR with the metaverse. They both provide you with a feeling of an embodiment so it is understandable that people often confuse them. If you wear the headset, this embodied feeling becomes much more real. You are not controlling any avatar with your keyboard or gamepad.

Augmented reality, virtual reality, and other capital computing forms will be part of this metaverse, it will work across multiple devices. It will not be something that you can dive in and out of anytime you want. Instead, it will be something that will remain with you throughout the day on your phone, with your AR glasses, or your VR headsets.

Roblox and Fortnite

Both games are considered to be the early incarnations of this metaverse. Both these games do check a couple of boxes in comparison with the metaverse. Moreover, both games are social spheres, and they have avatars with in-world economies. 

There are massive live events, and they both are way more than just gaming. You cannot take your Fortnite avatar to your Microsoft Teams meetings, and you are not going to find any business outside Roblox that accepts Robux payments.  

Some of these games already allow you to trade in cryptocurrency. Therefore, they will become an obvious source for cryptoportfolio management in the future. 

Metaverse Stocks

In the latest stock market news, you might have heard about those metaverse stocks. These metaverse stocks are the companies with a business that brings metaverse more increasingly to real life. 

Metaverse is a virtual space where people can interact with one another seamlessly for numerous reasons. And companies that are making these technologies more real and accessible for people are metaverse stocks. 

The best metaverse stocks in the market today are,

  • Facebook Inc.
  • Unity Software Inc. 
  • Autodesk Inc. 
  • Amazon Inc.
  • Microsoft Corp.
  • Roblox Corp.
  • Nvidia Corp. 

Metaverse Gaming

Metaverse gaming will not be something like Spielberg’s dystopian sci-fi Ready Player One based on Ernest Cline’s book. But it is an online area where decentralized finance or DeFi fuses cryptocurrencies. 

These games are virtual worlds that are driven by artificial intelligence. There are various products already available on the market where people can interact with one another, But metaverse takes it to the next level. In these worlds, players will exist in their avatars and participate in different events across the globe. 

NFTs

Non-fungible tokens are digital content linked to the blockchain, and they underpin cryptocurrencies like ethereum and bitcoin. But these crypto are fungible. It means that you can replace them or exchange them with another identical one with the same value, just like a dollar bill. 

But non-fungible tokens are non-interchangeable and can be associated with easily reproducible items like audio, videos, photos, or other media to provide proof of ownership. These are useful for video games, digital collectibles, music, and artwork. 

Final Words – Why Does It All Matter? 

More and more people are rushing to the metaverse by adopting social gaming platforms with avatars. Plus, the pandemic has allowed them to explore new forms of real-time interaction. 

All major tech giants are looking to explore the next big thing after smartphones. And while they explore the new trends, some other questions need to be answered. 

  • Who will be the new gatekeepers? 
  • What about the safety, privacy, the mental health of the users? 
  • And who will pay for it all? 

This metaverse will allow people to interact with one another using their avatars. They will participate in different events and even interact with distant friends and family and log in with coworkers. The metaverse might be decades away, but the foundations for the next chapter of the internet have been laid. Many of these online games are already accepting cryptocurrency transactions and you can manage your cryptoportfolio using these games pretty effectively even if it is pretty limited.

Follow these personal finance experts if you’re curious about crypto

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There’s a lot of bad crypto advice out there.

For every even-keeled crypto investor, there are five meme accounts imploring you to put all of your money into Bitcoin, and others trying to convince their followers that some new altcoin is the crypto of the future.

The reality is a bit more nuanced, experts say. “Optimal investing is very simple and boring,” says Jeremy Schneider, the creator behind Personal Finance Club on Instagram. “Today this crypto craze and meme stocks are making headline news, and for young investors, who [are new] to investing, they’re trying to figure out how to navigate that.”

Financial advisors and experts we’ve talked with about crypto investing warn people against allocating too much of their portfolio to crypto, or not understanding the risks. Make sure investing in cryptocurrency doesn’t hold you back from saving and maintaining an emergency fund, paying off credit card and other high-interest debt, and saving for retirement with a more conventional investment strategy.

1. Jeremy Schneider, Personal Finance Club

Schneider has been familiar with Bitcoin since its inception.

“I remember the day in 2010 when I learned about Bitcoin. For about 30 minutes I pondered buying some Bitcoin and decided there was no way it could ever reach $1,” says Schneider. Bitcoin, of course, blew past $1 on its way to a high of more than $60,000 in April 2021; it currently sits just under $40,000 after a tumultuous May.

Still, Schneider warns against letting investing FOMO pressure you into making your decisions. Instead, Schneider constantly reminds his followers of two simple rules for building wealth: live below your means and invest early and often (preferably in index funds).

Schneider says his net worth is about $4.1 million. Of that, he has about $2,000 in cryptocurrencies — far less than even 1%. For those interested in playing around in the space, Schneider recommends making a similarly small investment compared to your net worth.

“At its core, I don’t see it as a productive asset. If you buy an index fund or real estate, you get dividends or rental income, whereas if you get crypto you’re basically just hoping someone pays you more money for it in the future,” says Schneider. “I can imagine a world 30 years from now where crypto could go to zero, or a different coin emerges, whatever. But I can’t imagine a world in 30 years where index funds and real estate don’t make you very wealthy.”

2. Jully-Alma Taveras, Investing Latina

Jully-Alma Taveras, who goes by “Investing Latina” online, thinks there’s a great opportunity to diversify your holdings with a cryptocurrency asset.

“It’s something people should start learning more about, at the very least,” says Taveras. “It’s not something anyone should be putting all of their money or fortunes into, but I think it’s something that we should include in a diversified portfolio.”

As a new and uncertain new investment asset, Taveras recommends keeping your allocation to 1% of your total assets. She’s also sticking to the two largest cryptos for now.

“I have Bitcoin and Ethereum, and that’s as far as I’ve gone in my personal portfolio,” says Taveras.

Comparing crypto to the conventional stock market misses the mark, Taveras says. “It’s not the stock market. It’s a completely different world,” says Taveras. And the new world definitely comes with uncertainties. “The stock market has been around for over 100 years, and blockchain technology has only been around for a little over a decade.”

3. Kiana Danial, Invest Diva

Kiana Danial started tracking crypto markets in 2016 but didn’t actually start investing until the end of 2018. Danial, who runs an account called @InvestDiva on Instagram, recommends giving plenty of thought to your investing goals before buying cryptocurrency.

“Are you buying it because you want a lottery ticket to make a million dollars in a year?” Danial asks. If that’s the case, “then you might want to reconsider your investment strategy because some people have got lucky, but a majority of people have got burned,” Danial told us recently.

But if you’ve done your research and are OK with the risk, Danial says it might make sense for investors who still have a lot of time before retirement to allocate as much as 20% of their portfolio to crypto. But “please don’t invest in cryptocurrencies based on trends on Twitter.”

4. Marc Russell, Betterwallet

As the creator of @BetterWallet on Instagram, Marc Russell’s investing philosophy is to “stick to the basics,” he says. “Long-term, boring strategies that work every single time is really where I focus my attention.” However, Russell acknowledges crypto may have a place in your longer-term strategy.

“I think a lot about asset allocation, and just making sure that you have the appropriate mix of stocks, bonds, and alternatives, which is where cryptocurrencies kind of fall under for the simple, long-term investor,” says Russell. For educated investors, Russell recommends allocating about 5% to cryptocurrency but would caution going beyond 10%.

Like others, Russell warns of getting swept up in the headlines and the emotional rush of getting in on crypto without doing proper diligence. “People don’t understand the other side of the spectrum, where you can make 50% on your investment, but you can also lose 50%. They think you’re either making 50% or you’re making 30%, and it doesn’t work that way,” says Russell. But for those who are educated on the market, and know what’s at risk, “it’s an excellent diversifier because it’s not correlated to the [stock] market for the most part. And when you’re looking for something to diversify you, that’s essentially what you’re looking for,” says Russel.

5. Humphrey Yang, Humphrey Talks

Humphrey Yang’s personal finance advice has gone viral on TikTok and YouTube. He’s a strong believer in index funds, “but most people don’t want to do that because it’s too passive and not fun, it’s a little bit boring,” says Yang. “But that is honestly the best advice I can give any average investor, is just put your money in an index fund and check it once per year.”

As an experienced investor, Yang considers cryptocurrency a speculative investment. He likes to put between 5% and 15% of his total portfolio there, an amount he says limits his exposure on days when it’s falling. He also sticks with two of the better-known cryptocurrencies out there.

“I don’t really believe in too many altcoins,” says Yang. “I do Bitcoin and Ethereum because they’re the two most stable ones and have the most history.”

6. Tori Dunlap, Her First 100K

Tori Dunlap has had her doubts about crypto.

“It still feels very speculative,” says Her First $100K creator Dunlap, who saved her first $100,000 by age 25 and shares personal finance advice on TikTok and Instagram. But she also recognizes the big interest in crypto investing, “even if it’s just a small amount of money.”

But when people ask her about it, she recommends following the 5% rule. “You don’t want to contribute more than 5% of your portfolio toward these things that haven’t been proven over time,” says Dunlap. “If you are investing a certain amount of money, you should maybe be OK losing that amount of money.”

7. A’Shira Nelson, Savvy Girl Money

A’Shira Nelson of Savvy Girl Money on Instagram is the ultimate retirement-minded investor.

“My strategy is to max out my retirement accounts. For the most part, I only invest in low-cost index funds,” says Nelson. “I know that I can see history on that. I can read books on that.”

That’s one of the biggest deterrents for her from investing in cryptocurrency — a lack of history and study on the space. But she’s quick to remind her followers that there are many other types of investments you can make outside of the stock market and cryptocurrency if you want diversification.

“I do a lot of real estates investing,” says Nelson. “My husband helped me spice up my portfolio with real estate, and it’s an easy way to have fun with it, too.”

4 Personal finance tips every entrepreneur should know

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Being a business visionary is significantly really intense — both actually and intellectually — than the vast majority think. Most of the business people work definitely over 40 hours every week, and most don’t get close to as much cash flow as they would in case they were working a corporate occupation in a similar field.

Business people are additionally liable for the entirety of their monetary commitments outside of the business, including protection, investment funds, and retirement. While it tends to be not difficult to remain laser-zeroed in on your business, plan ahead and plan appropriately.

In the long run, retirement will deal with you directly, and in case you’re not ready, it very well may be a severe shock. There are additionally shocks that you could confront while maintaining your business that you should be ready for. Being ready for the direst outcome imaginable is consistently the best methodology.

The enterprising way can be fulfilling, and it can likewise be amazingly upsetting and brimming with difficulties. Here are some individual accounting tips that will assist you with exploring through the pioneering travel and set you up for the future, just as ensure you en route.

1. Make an individual month to month financial plan

Be focused with regard to your funds, particularly when you are beginning a business. The less fatty you can run both your business and your own life, the more cash you can keep on moving once again into the business and fuel its development.

Numerous business people center around looking effective instead of becoming fruitful. Keep away from huge homes, extravagant vehicles, costly feasting, and other superfluous costs.

Make a financial plan containing the minimum essentials alongside some extra for diversion (you need to get out and have a ball once in a while!) When you have a set arrangement and stick to it, you put yourself and your business in a good position.

2. Put resources into quality protection items

At the point when you work for yourself, that leaves all external obligations on your shoulders, and one of the most significant is protection. Try not to attempt to pursue faster routes with regards to ensuring yourself and your business.

Get a solid medical coverage strategy that covers you and your family, and make certain to have life and inability protection set up. It is in every case better to plan for the absolute worst circumstances instead of attempt to save a couple of dollars.

One thing numerous business people disregard is business protection. It doesn’t make any difference in the event that you have a worldwide business with a large number of workers and you are selling a great many actual items a month, or you are a solopreneur. Ensure yourself with a business protection strategy that covers obligation for whatever it is you sell.

3. Assign cash towards a just-in-case account month to month

Most entrepreneurs don’t have a hold set aside that would permit them to work for a while without income coming in. The Covid-19 circumstance constrained a ton of organizations to close for great since they couldn’t keep the lights on.

Put cash into a business bank account every month. Ideally, you won’t ever need to contact these assets, and they will keep on working over the long haul. In any case, in the disastrous occasion that you need to keep afloat for a couple of months during a plunge, it will assist you with keeping afloat.

It’s a smart thought to have somewhere around 90 days of functional costs set aside to cover everything, accepting there will be no approaching income. On the off chance that you can, a half year of stores is great.

4. Stay away from individual obligation no matter what

To fabricate and maintain a fruitful business, you need to dispose of whatever number distressing circumstances as would be prudent. This permits you to zero in additional on the main jobs. One of the greatest genuine reasons for pressure includes obligation.

Piles of individual obligation — from charge cards to mind and home credits — can pull your concentrate away from your business. Keep away from obligation no matter what, and on the off chance that you totally should put a few costs on a charge card, do all that could be within reach to take care of it rapidly.

Numerous business visionaries attempt to maintain an unrealistic lifestyle, and in the event that they just cut back in the beginning phases and zeroed in on building an effective business, the cash and independence from the rat race would come quicker.

Strategies for safe cryptocurrency trading

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Cryptocurrency trading can be very profitable and rewarding, but you can also lose a lot of money if you take unjustified risks. Of course, even if you don’t, the market is unpredictable and you can always end up in the red. If you want to minimize the risks of doing so, these six strategies show you how to stay safe when negotiating cryptography.

1. Don’t invest more than you can afford to lose

I believe you’ve heard of this rule before, but it never hurts to repeat it – don’t invest more than you can afford to lose. Crypto markets are volatile, and huge fluctuations in the price of a currency happen all the time. While it is highly unlikely that your coins will end at 0, it is entirely possible that your value will drop two, three or more times in a day or two. Sure, it can go up in a week or more, but don’t bet your life on it. To sleep well, do not invest more than money in your pocket – at least not in the beginning, when you are new to the crypto trade.

cryptocurrency trading

2. Diversify your portfolio

If you are trading only one or two currencies, you can lose a lot if / when those currencies fall. If these coin (s) win, you can also win big, but don’t count on it. To stay on the safe side, always trade multiple currencies, not just one or two. There is not an ideal number of currencies to trade, but at least five or ten is a good bet. In this way, even if one or two currencies fall, your total will still increase if the other currencies perform decent.

3. Don’t limit yourself to just one exchange

To spread the risk, in addition to trading multiple currencies, you must also plan for multiple exchanges. Again, there is not an ideal number, but if you divide your assets between at least three to five exchanges with perhaps three to five currencies in each exchange, this is a good diversification. In addition, you minimize the risk in the not-so-unlikely event that an exchange is hacked or disappears (along with your money), because if that happens, not all of your money will be lost.

4. Avoid risky trades, even if they appear profitable

Greed is a great motivator, and when you see a currency with good variations on the last day, week or month, you instinctively want to bet on it. However, this is less rational and more risky behavior. If there are large variations or drastic spikes in the price of a currency, it may be due to a bomb attack and dumping on that currency or simply a coincidence. As a result, it is very likely that the price of that currency will drop in the next few hours or days, along with your money. Always put your money in currencies with a more uniform trend – your profits may not be as high as when you trade risky currencies, but neither will your losses.

5. Play losers quickly to minimize losses

Even the best and most experienced traders cannot always predict the market and end up with currencies they would rather not have. In this case, a strategy is just to insure – that is, don’t sell the coins now, but wait for the price to rise again. In many cases, you don’t have to wait long – a few days or a week until the trend is reversed and the price is right (again).

However, in many other cases, the dive is over. This means not only that you have lost money in this transaction, but that the rest of your money is blocked and you cannot use it elsewhere. In such situations, the best you can do is to sell at a loss, to free up your money. Unfortunately, there is no recipe for when to insure and when to sell at a loss – you need to trust your intuition, but when you are a beginner, your intuition is not always wise.

6. Don’t lose your sanity with the crypto commerce

Finally, don’t let the crypto commerce take over your life! Don’t lose sleep (and sanity) with it, don’t spend fourteen hours a day in front of the computer and earn a living! Even if you make a lot of money as a crypto trader, it is hardly worth your health and social life – just know where to set limits.

I could give you more advanced tips on how to stay safe when negotiating cryptography, but as this is a beginner’s article, I’ll stop here. I have covered the basics and more, and I believe these tips will be useful for anyone who is starting out as a cryptocurrency or who is considering this option.

What does blockchain technology bring to cryptocurrencies and how should we invest in it?

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Blockchain technology also called the “chain of blocks” brings multiple benefits and not only to cryptocurrencies and the financial sector but also to other sectors. It is the foundation that supports the structure of virtual currencies. It has great potential, which has provided its great evolution. The future that experts predict for blockchain technology is far from a failure, as the expectations placed on it are enormous. It only needs to successfully survive the obstacles that lie ahead and those who use it to instill fear in society by speaking ill of this technology.

It is one of the most revolutionary technologies of the century, but do we know what blockchain is?

The technology sector is advancing by leaps and bounds. Until recently, it was difficult to think of autonomous cars, smart homes, virtual reality simulators, or social media. All of them have meant, to a greater or lesser extent, a revolution in each of their areas. However, none of them have had the repercussion and impact that the blockchain, also known as the blockchain, currently has. It is, without a doubt, the most disruptive technology of this century. A concept that has revolutionized many industries and areas of our day to day and in which you can also invest. But do you know what it is and how to invest in this technology?

WHAT IS BLOCKCHAIN TECHNOLOGY

Let’s start at the beginning: What is this blockchain? The blockchain is nothing more than a decentralized information system that grows continuously, a kind of distributed and secure database that guarantees the privacy of transactions. In the blockchain, the blocks are all linked to each other and encrypted to protect the security of the users. Your most important requirement is that multiple users are validating these transactions so that they can be inserted into this huge ledger.

THE APPLICATIONS OF THE BLOCKCHAIN

Although the largest field of application of the blockchain is economic transactions, the truth is that this technology encompasses many more potential ideas. For example, the Japanese government has started a project to unify all urban and rustic property registration through blockchain. Some companies want to decentralize cloud storage so that it does not depend on a specific centralized provider. Another example is healthcare, in which the medical records of all patients could be stored through the blockchain. In reality, the potential of blockchain is practically limitless.

HOW TO INVEST IN BLOCKCHAIN

When we think about investing in blockchain, we are not talking about doing it directly in this technology, but about buying assets or securities that make use of it. These are some of the most interesting alternatives today.

Cryptocurrencies

Cryptocurrencies are undoubtedly the best-known use of blockchain technology. Their popularity has been growing over the last few years thanks to the guarantee of security and anonymity that they incorporate in transactions over the Internet. 

The best known is Bitcoin, but there are others such as Ethereum, Ripple, Litecoin, or Cardan. Currently, more than 1,300 different ones can be found. At the investment level, cryptocurrencies are characterized by their high volatility, in some cases higher than 80%. 

This makes them considered a high-risk asset and not very suitable for retail investors, as stated by the Security Exchange Commission (SEC). There are two options for investing in cryptocurrencies: buy them or mine them. 

The first option is the most common and consists of getting the cryptocurrencies in the market. The second option is to create new coins and register them on the blockchain. However, it is an increasingly residual alternative, because the processing capacity to mine new cryptocurrencies is increasingly expensive. 

In any case, it is the user who can do it directly without resorting to an intermediate figure. In the case of the purchase of cryptocurrencies, you only need a virtual wallet to acquire them that provides access to the blockchain of those cryptocurrencies. In the case of mining, you just need to install software on the computer and let it work autonomously. 

ETFs 

ETFs (Exchange Traded Funds) are investment funds that contain a set of securities that replicate an index. There are already indexes that allow exposure to the blockchain. Some of the most interesting ETFs to invest in blockchain and their returns are as follows.

Stocks of large companies 

Large companies are betting heavily on blockchain technology. Companies such as Microsoft, Visa, and, above all, IBM, are developing solutions based on block technology. In general, almost any company that is listed on the Nasdaq, America’s tech stock index par excellence, has some kind of blockchain-based solution. So, if you want to invest in blockchain without having to assume the volatility that characterizes this sector and in a much more accessible way, it is advisable to bet on consolidated companies in the technology sector that are developing this technology. 

Cryptocurrency ICOs 

The Initial Coin Offering (ICO) or Initial Coin Offerings are a financing mechanism through which a company seeks to raise capital through cryptocurrencies such as Bitcoin or Ethereum. A kind of public offer for sale or business crowdfunding project that has a peculiarity: It uses the blockchain in the entire process of attracting economic resources. Its operation is simple. 

A project issues a certain amount of crypto assets or virtual tokens on a blockchain platform and investors pay through cryptocurrencies. If the project goes ahead and succeeds, the cryptocurrencies on which its financing was based gain value and that ends up offering an interesting return on investment for all these investors. The growth of ICOs has been spectacular. 

According to data from the ICO Bench, projects worth $ 1.2 billion were financed in May 2019 alone, and applications such as Telegram managed to raise $ 1.7 billion in several rounds. The returns are, in some cases, spectacular and far from those that can be obtained by any other traditional investment. The five most successful ICOs in history in terms of return on initial investment have been, according to Cointelegraph:

  • NXT, with profitability of 11,547,519%.
  • Spectercoin, with profitability of 676.227%.
  • IOTA, with profitability of 522,900%.
  • Ethereum, with profitability of 442,869%.
  • Neo, with the profitability of 378,453%.

HOW BLOCKCHAIN’S EARNINGS WILL BE DECLARED

Although there is no specific regulation on the blockchain, as of today, assets such as cryptocurrencies are considered intangible assets for the Treasury. This category is the same as that used for web domains, farm exploitation rights, or the transfer of a bar. But what do you do when you convert your investment in cryptocurrencies or other blockchain-related assets to money? 

Well, the same thing we do with any other investment: Declare them in our income statement, incorporating capital gains into the tax base of savings. The amount that you will have to pay to the Treasury is obtained by subtracting the transmission value from the acquisition value, excluding expenses and commissions. The corresponding savings rates are applied to this value, which in 2019 are as follows:

If the investor is a legal person (for example, a limited company), the profits obtained are included in the tax base of the corporation tax, which has a tax rate of 25% on the profits of the company. In short, the blockchain is here to stay. More and more solutions based on this blockchain technology and its applications will continue to grow in the future. Given this reality, investing in blockchain is an interesting option, although, yes, as long as we assess the risks associated with such an incipient concept.