What Is Cryptocurrency and How To Use It - Everything You Need To Know
What Is Cryptocurrency and How To Use It - Everything You Need To Know
What Is Cryptocurrency and How To Use It - Everything You Need To Know
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What is cryptocurrency, how does it work and why
do we use it?
By Telegraph Reporters
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11 MARCH 2021 • 1:31PM
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6/2/2021 What is Cryptocurrency and how to use it: Everything you need to know
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6/2/2021 What is Cryptocurrency and how to use it: Everything you need to know
4000%
3000%
2000%
1000%
0.0%
⬤ Bitcoin: (https://www.telegraph.co.uk/markets-hub/currency/Y31/Bitcoin)976.7 →
33452.1 3325.1%
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6/2/2021 What is Cryptocurrency and how to use it: Everything you need to know
Bitcoin's volatile price has led to sudden peaks in interest as its value
goes up. This has surge in professional and amateur speculators
(https://www.telegraph.co.uk/investing/shares/made-100k-meet-bitcoin-investors-
cashing-profits/) (https://www.telegraph.co.uk/investing/news/meet-real-life-
everyday-bitcoin-investors/)investing in bitcoin and other
cryptocurrencies, seeing them either as a quick way to make returns
(https://www.telegraph.co.uk/luxury/technology/bitcoin-investment-multiplied-ten-
just-two-years-one-catch/) or as part of an investment portfolio.
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6/2/2021 What is Cryptocurrency and how to use it: Everything you need to know
(https://www.telegraph.co.uk/investing/shares/made-100k-meet-bitcoin-investors-
cashing-profits/)
Bitcoin profits are subject to capital gains tax at the normal 10pc or 20pc
rates, depending on income. However, there are ways to get it into your
Isa and avoid a CGT bill, such as by buying Bitcoin mining companies.
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6/2/2021 What is Cryptocurrency and how to use it: Everything you need to know
Other smaller coins can be more volatile still. Some have been
accused of being outright fraudulent. Others have seen investors
spend their money being digital coins only for the developers to
make off with the cash themselves. Hackers have taken advantage of
digital coins and can target exchanges and accounts, in one case
crashing (https://www.telegraph.co.uk/business/2018/09/16/flood-payouts-could-
crash-bitcoin-market/)one of the world's largest cryptocurrency
exchanges.
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6/2/2021 What is Cryptocurrency and how to use it: Everything you need to know
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