The Crypto Chaos
I've been reading up on cryptocurrencies and exchanges all day today, and what a maze it is. What a mess. What a waste of both money and resources.
To buy Bitcoin you need to first fund an exchange account with viable money. If you don't already have Bitcoin you can either do this via bank deposit or card payment, depending on which exchange you use.
For example Kraken and Coinbase seem to only support cards and a special kind of bank transfer not all banks provide. Meanwhile Binance allows SEPA transfers in EURO - beware of your bank's exchange rates or transfer costs here - or card payments with just a 1,8% fee, whereas the previous two take between 4-5% depending on currency or amount.
SEPA transfers are free if you have a bank that doesn't incur fees on their behalf, or add to the currency exchange rate with a higher percentage than Binance does on their card payments. However card payments can incur an extra fee too if your bank distinguishes between cryptocurrency exchanges and other purchases.
I'm not sure how my own handles this yet. They have no information available on it, and I didn't want to ask support for fear they maybe invoke some kind of fee/distinction. I guess I'll find out if they already have something in place next time I view my bank record.
Then, when you finally have the money in place, you just need to buy your currencies, and there's a plethora. Didn't realize I'd zoned in on Bitcoin speficially above - you can get whatever you want.
And as mentioned there are many alternatives!
I'm amazed at how they can all co-exist in what I assumed was a somewhat limited financial ecosystem.
I mean who actually buys anything with crypto? With anything but Bitcoin? With anything but a most popular few?
It's almost starting to feel like a marketplace for in-game purchases, where each type is it's own franchise and brand.
I hear good things about Ethereum, and how they might be modifying their blockchain to have a less environmental impact - you can see on ledgers that each transfer is actually measured in energy cost rather than monetary cost. Or both. Energy and monetary... depending on how said crypto is transferred. Heard good things about Litecoin and Doge too...
Whichever currency you opt for and buy the next challenge is: moving it.
If you move money from one user to another on the same exchange for example then chances are it's free. At least it is with Binance.
If you don't, though - if for example you just want to help channel freelance commission payments to a Russian friend who no longer has access to any international income, then there's a withdrawal fee too.
It differs between currencies, though the rate seems to be a network standard more so than an exchange/marketplace one.
Exchanges may add on their own percentage on said transaction, but if they don't, then it's a flat fee that differs depending on network congestion and (I assume) energy use.
For Bitcoin there's currently (it fluctuates constantly) a minimum transfer fee on 0.0005 BTC at least with Kraken and Binance, so I assume it's similar for all, and a minimum transfer amount on 0.001 BTC.
So if you for example transfer the minimum amount (currently equivalent to roughly 400 SEK, or 40 USD) then you pay 50% to move this money outside of its innate ecosystem.
If you have more money to deal with it won't be so notable.
At 4,000 SEK it's suddenly just 5%, and at 40,000 just 0,5%!
Since when did this digital ecosystem become one that benefits the rich, more so than the people? Wasn't this intended as an infrasture that'd benefit all, regardless of geographical location or monetary surplus? And most of all those who'd have a difficulty relying on more traditional payment methods and systems?
It feels like cryptocurrencies might've been a better idea initially; that they've somehow either gamed or oversaturated the system to the point this is no longer the viable 'real money' alternative it once was.
But do enlighten me if I'm reading all of this wrong.
My first impressions aren't entirely positive, but I'm still intrigued. So much to learn.
In other news I booked a trip to Östersund today, to visit my big bro and co around Easter, and I got my car back from repairs yesterday!
Pretty much the entire exhaust system short of the catalyst had to be replaced, so both the middle and rear muffler, middle pipe and exhaust pipe.
At times like this I am superbly happy to be working at a small car parts company that deals specifically with exhaust systems such at this.
Massive rebates, that's all I have to say.
Though workshop fees feel akin to these cryptocurrency marketplace transfer fees: excessive. Even if I've found a local workshop that does do things cheaper, and seems trustworthy. It's good to have such a place.
And I ordered a new laptop, for potential distance work up North (hope to spend a bit more time at the family farm this summer), and freelance, and travel, and for all those moments when it might be good to actually have a solid portable accessory as such you can carry with you should you need it.
My savings are waning but life is alright. I'm moving onward. Hope my 0.000something BC investment grows by 10,000%.
The future is bright... like radiant bitcoin.