Digital Assets
Digital assets are digital representations of economic value which can be digitally traded, stored and transacted. Digital assets include cryptocurrencies such as Bitcoin, Ethereum and Litecoin; tokens created on a blockchain platform, including utility tokens or security tokens; virtual currency issued by central banks such as the Chinese Renminbi (RMB); stablecoins backed by fiat currencies like US Dollar Tether (USDT); non-fungible digital items that have unique properties such as CryptoKitties; digital collectibles like baseball cards or artworks; and even certain types of tokenized securities.
Digital asset trading is conducted through online exchanges where buyers purchase their desired coins/tokens with other forms of payment methods like credit card payments or bank transfers. The most popular crypto exchanges today are Binance, Coinbase Pro, OKEx, Huobi Global & Bitfinex – though there is a large variety to choose from depending on your location in the world. When making trades you will need to pay transaction fees which vary depending on the exchange type used – typically ranging between 0% – 1%. It’s important to research each exchange before deciding upon one to use for your transactions so that you get an understanding of its features and services offered.
To ensure secure storage for all your valuable digital assets it’s recommended that users create wallets either at their chosen cryptocurrency exchange or via third-party wallet providers offering custodial solutions with multi-signature protection mechanisms built into them for added layers of security against theft attempts from hackers. Private keys should always remain private and not shared with anyone else since these provide access to funds held in any given wallet address (public key). For maximum safety when storing significant amounts it’s best practice also store cryptos offline using hardware wallets providing further levels defense against malicious actors attempting unauthorized entry into user accounts holding high quantities of coins/tokens etc…
