What is Crypto? Knowledge about the crypto market from A - Z

Characteristics of Crypto in today's financial market

4. Crypto classification

In the current virtual currency market, Crypto will be divided into two main types:

- Token

Token is a type of virtual currency issued based on the activities of projects built from a specific Blockchain. Most tokens on the market today often use the Ethereum blockchain. Others can develop on the basis of Bitcoin, Solana or Avalanche,... 

- Coin

Coin is a currency developed based on the blockchain platform and is completely independent. Coin can completely solve problems related to payment activities, finance, or applications and security.

Types of Crypto are traded on the market

5. How to invest in crypto effectively

- Investors need to filter information carefully.

- Investors also need to learn and continuously improve their financial knowledge and gain experience. 

- You need to have faith in yourself with every decision you make.

- Always be prepared for all possible bad situations to analyze to bring yourself to a new, more accurate level.

Smart Crypto Investment

6. Frequently asked questions about Crypto

6.1. Where is Crypto Stored?

Crypto will be stored in electronic wallets with two popular types of electronic wallets: cold wallets and hot wallets.

- Cold wallet: This is a type of wallet designed on a separate device platform, managed in offline mode and investors can only access it when they own the device. Cold wallets are suitable for value investors who hold large amounts of cryptocurrency for a long time.

Thanks to being stored on a separate device in offline mode, cold wallets ensure high security and Crypto theft is very rare. Some commonly used cold wallets include: Atomic, Exodus, Jaxx or Blockchain,...

- Hot wallet: This type of wallet is called hot wallet because they always need to be connected to the Internet. Therefore, hot wallets are often suitable for short-term investors with many transactions that need to be performed continuously and frequently. However, because of the feature of always being connected to the Internet, hot wallets are less secure than cold wallets due to the possibility of being easily attacked and having information stolen. Some popular hot wallets today include: are: Trezor, Keepkey or Ledger,...

6.2. Is Crypto in Vietnam legal?

According to current regulations of Vietnamese law, Bitcoin and virtual currencies - Crypto are not recognized as a currency and are not a legal means of payment in our country. Therefore, the use of cryptocurrency as a means of payment or transaction will not be recognized and protected by Vietnamese law. Activities of buying, selling and using cryptocurrency will also pose many risks because they are not controlled and protected by law.

In addition, according to Decree 88/2019/ND-CP, activities of providing and using Cryptocurrency that cause damage to others may be subject to administrative sanctions, higher than criminal prosecution. the.

6.3. Is Crypto a scam?