Cryptocurrency is the Future of Money

Cryptocurrency is the Future of Money

Fri, 05/13/2022 - 01:55
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Crytpocurrency Q&A Omare Kinsey
Crytpocurrency Q&A Omare Kinsey

The following is a conversation between (GRW) and Financial Strategist      Omare Kinsey (OK)

GRW: What is cryptocurrency? 

OK: Cryptocurrecncy is a digital form of currency in which transactions are verified and records are maintained      by a decentralized system.  As opposed to a physical representation like the US dollar which is backed by a centralized authority such as the government or a bank. The decentralized system uses cryptography to secure your transactions and is verified by peers, not a central bank.

GRW: This sounds confusing to me, how is it similar to paper money? In other words, can I take my cryptocurrency to the supermarket and buy groceries? 

OK: It shouldn't be confusing. If you take your cell phone and pay someone via CashApp, then the concept already exists in your brain. It's similar in that paper money is just the physical representation of the money that exists in your bank account. Most people use some kind of credit or debit card for purchases and most supermarkets are moving toward kiosks where you pay for everything digitally.

As of right now, you can either convert your crypto back into dollars to use, or acquire a crypto debit card which is backed by major credit company. Many online stores are accepting crypto and eventually more physical stores will be doing the same.


GRW: I'm understanding this a little better, so what's the difference between Bitcoin and the thousands of other cryptocurrency like Ethereum?

OK: Bitcoin was the first cryptocurrency, or crypto coin, that was created. Today, its the most popular and most valuable cryptocurrency. Since crypto coins can be created by anyone, thousands of other coins were created after Bitcoin. After Bitcoin, Ethereum was created and it is the second most valuable.

All crypto coins derive their value from their utility. Some help internet users make transactions faster, some are used for gaming platforms. Other really don't have much value or utility to them, so do your research first.

One of the easiest ways to understand the value behind crypto currency is quantity. If a million pairs of one shoe design is created, the demand for those shoes is not high. So, the price can be lowered, but if there are only 10 pairs available on Earth, the seller can price them at $10 million a pair because they are rare and scarce. There is a limited amount of Bitcoin and this has created the situation where it is worth $40 thousand for one coin. 


GRW: Wow, with all these different types of cryptocurrency, is my paper money going to be valuable in 5-10 years? 

OK: Well as it stands right now, our paper money loses value everyday. What $20 bought you 10 years ago definitely wont buy you the same amount of goods today. As we move into a cashless society we are seeing the popularity of tap/touch options for most retailers. The need to turn your cash into other kinds of assets, especially items which are rising in value, is necessary.


GRW: This is making more sense, so answer this for me: where can I buy crypto currency? How much should I buy? 

OK: So there are many crypto exchanges that you can use to set up an account. Coinbase, Kucoin a d Binance, among many other platforms will give you the ability to own a wallet for you to hold your crypto assets. You can start with an amount that is considered disposable income to you.

What do you spend daily on a cup of coffee? Use that same amount to invest. Cryptocurrency works in fractional shares. So, if the price of a coin is $15 dollars you can buy $5 worth of that coin and you will receive a fraction of the coin.

There is a concept in investing called dollar cost averaging which pretty much says buying a share over time is more valuable than one big purchase. So start with a nominal amount if you're comfortable, but just make it a habit to invest daily, weekly or monthly to see the best results. 


GRW: Thanks for explaining all of this, is there anything I should know about cryptocurrency that I haven't asked you already?

OK: Just remember to not be afraid of change. No one asked you if you wanted a chip on your debit card, they just sent you one. The most important thing is that we are in the early stages of another major shift in finance. We have been left behind on many other transition in history. With education and patience, we can emerge victorious this time around. Welcome to the future of money.

If you are interested in learning more about the services that Omare Kinsey offers, go to