The decentralized economy is on the rise and there has never been a better time than now to join. The decentralized economy is all about spreading wealth and eliminating centralization in the financial sector. These networks leverage unique systems that replace vital personnel with smart contracts and network participants. In this way, the decentralized economy can improve payouts for all.
What are Cryptocurrencies?
The easiest way to enter the decentralized economy in 2023 is via cryptocurrencies. The first cryptocurrency, Bitcoin, remains the largest and most valuable coin in operation today. However, there has been a lot of progress since Bitcoin entered the market almost 14 years ago.
Today’s advanced cryptocurrencies can be put into a variety of categories depending on their purpose and structure. While there are now cryptos for nearly every industry, some tokens, like META 1 Coin, kept to Bitcoin’s original task of providing a more transparent and freer alternative to the current centralized economy.
How do Cryptocurrencies Work?
One of the best ways to explain how cryptocurrencies work is to use the Monopoly explanation. Anyone who has played the board game Monopoly knows that there is a person who is designated the bank. The banker is responsible for collecting and paying out funds to players. They also handle other vital task like property deed distribution.
It’s common for the banker to make an error or even to try and skew the game in their favor, as they are also seeking to win. This tendency to skew the game in their favor is similar to how the centralized economy functions. The best options and opportunities are only available to those in the inner circle. The average person is left out of the loop.
Now, if Monopoly was decentralized, everyone would play a role as the bank. Every person could monitor and approve every transaction. This would provide much more transparency to the game and eliminate any chance of a single banker skewing the game in their favor.
Cryptos Leverage Tech to Eliminate Centralization
Cryptocurrencies use technology to accomplish this task in the real world. For example, Bitcoin uses network nodes called miners to approve transactions. The network requires all nodes to review and validate the state of the blockchain in exchange for rewards. This process is called mining.
The miner’s rewards are in the form of Bitcoin. This is the only time new Bitcoin enters the market which gives the system a predictive issuance schedule. When you couple this trait with its limited supply of only 21M coins, it’s easy to see how time will drive the scarcity and value of Bitcoin up.
Next Gen Cryptos Work Faster
Today cryptocurrencies are generations ahead of Bitcoin’s early system. Most of today’s networks have done away with miners in exchange for stakers. Staking systems are more sustainable and open. They enable anyone to participate in network validation systems and secure rewards.
PoS networks are also much faster than their PoW predecessors. These networks are capable of thousands of transactions per second while Bitcoin can only handle 7 tps. As such, earlier networks like Bitcoin have to integrate 2cd layer protocol like the Lighting Network to improve performance and add functionality.
Can Cryptocurrencies Replace My Bank?
There are many people curious about replacing their banks with cryptocurrencies. Until recently, this task would take a lot of creativity and workarounds. However, with the introduction of seamless onboarding DeFi networks like META 1 Coin, and crypto debit cards, anyone can enter the decentralized economy, secure rewards, and then spend their winning like fiat currency.
Crypto banks are on the rise and crypto banking services are even making their way into traditional institutions. More banks are adding support for digital assets. However, their support is very limited and often lacks any substantial changes to their core centralized nature.
Crypto Debit is Here
Crypto and hybrid banks offer users a better option. For example, the META VAULT provides users with high transparency and decentralization. The network pays out 10% APY to savers which is both sustainable and far better than the national fiat average of 0.03% on fiat accounts. Additionally, the rewards are paid out in META 1 coin which means that account holders enjoy compounding rewards.
The META VAULT features an interactive interface that provides access to all the vital features needed. You can buy, sell, send, and save your META 1 Coins. The network partnered with MasterCard to offer the META VALT crypto debit card to users. This card connects directly to your crypto account.
The card will register the amount needed to cover your purchases and convert your META 1 Coins directly into fiat currency at the moment you swipe. The process takes seconds to complete and is the same as a normal credit transaction in terms of time and actions. The vendor receives fiat and you have your product.
Are Cryptocurrencies Good for Retirement Funds?
The debate continues on the viability of crypto retirement strategies. Many, view cryptocurrencies as too volatile to offer retirement security. However, lots of people are living off their crypto earnings and they have a different story to tell. Today, there are blockchain assets that are designed to serve this role.
META 1 Coin was built from the ground up with long-term savers in mind. The token derives value from a basket of gold-related assets which gives it both self-appreciation and stability. META 1 Coin is connected to the volatile crypto market in terms of value. The coin’s reserves keep it stable like gold but with the transferability and security of cryptocurrencies.
This structure enables META 1 coin holders to enjoy self-appreciation of the asset over time. Additionally, when coupled with the 10% payout of the META VALT, savers can beat out the high inflation that is decimating the fiat sector currently. META 1 Coin holders have seen a 1.3% value increase even while the rest of the crypto market took losses of +50% from their all-time highs. This trial by fire helped the platform secure more user confidence.
How to Earn Crypto Rewards in 2023
There are a lot of ways you can get your hands on some healthy crypto rewards in 2023. The best options are going to be low-risk and high payout. Of course, you always need to be discerning when dealing with new technology. This statement means that if a project’s payouts sound too good to be true, they probably are just that.
You can avoid a lot of headaches and unnecessary losses by not jumping on projects that promise ridiculous payouts. If a project says 100% APY, it’s probably not going to be around in the next few years. Remember, a project’s long-term sustainability depends on its financial stability. Paying out too much means that they are probably dipping into new registers’ funding to cover the payouts.
A more realistic and effective approach is to stick with a network that pays out more in the range of 10% APY. This payout level is reasonable, ahead of the inflation rate, and sustainable over time for the network. The best options will pay you rewards in the same token you used to secure returns. This structure provides compounding returns which can add up quickly.
DeFi Open the Doors
The introduction of DeFi (decentralized finance) into the crypto market has changed everything for users. These networks focus on providing traditional and next-gen financial services to users. Today DeFi systems involve a lot of cool features that can help you put your stored crypto to work.
Staking is a common feature that you will find on most DeFi networks today. There is a variety of different types of staking systems. Some are used for network security, while others are for providing liquidity to a smart contract. The main thing to remember about staking protocols is that you agree to lock up your crypto during the staking time.
For these efforts, you will receive rewards. Staking is ideal for new traders because there isn’t any guesswork in terms of determining what the payout will be. You can use the staking calculator to see exactly what you will earn based on your participation level. The more you stake and the more returns you get at the end of the process.
Stakers can lose their rewards and even get penalties on their staked asset if they remove their tokens from the staking pool early. This requirement means that you need to let your tokens stay locked up for the entire staking period if you want to succeed in using this method to generate rewards.
The concept of farming came about after developers wanted to eliminate the loss of funds for stakers. They decided that they could make pools that don’t need to have lock ups if they had fluctuating APYs. This structure means that a farmer needs to move their tokens from farming pool to pool to get the maximum returns. This approach is similar to staking but requires a bit more skill and effort.
The best option for new users is high-yield savings accounts. These systems are the simplest to use as you only need to deposit tokens or connect your network wallet to begin. High-yield savings accounts can payout much more than traditional fiat accounts because they reduce overhead and personnel using smart contracts. The META Vault is a popular crypto bank that offers users a lot of features to secure returns.
Using Safehaven Tokens to Improve Saving
Fiat-backed stablecoins were seen as a viable way to escape crypto volatility before the rise in inflation over the last 2 years. However, the inflation rate is currently at a 40-year high and these assets suffer from the same issues as their fiat reserves. As such, a better option is to use a safehaven asset like META 1 Coin that leverages a basket of gold-related reserves coupled with advanced smart contract protections.
Protecting the Community in 2023
Safehaven tokens represent a strong shift in the priorities of developers. These assets include a lot of protections that keep the community safe from the actions of large traders like whales. For example, the META 1 Coin has a variety of systems that work together to defeat whale manipulations and centralization.
The first system focuses on ensuring the token doesn’t see massive value losses due to whale sell-offs. The system will cross-reference all trades to ensure they meet the minimum asset value of the token. Those trades that are below asset value cant be completed which prevents sudden sell-offs.
Eliminate the Trouble Makers
This system is complemented by a token limit and humans-only protocol. They first set the limit for all individual token holders at $5M. This limit helps to ensure that a single trader doesn’t control enough tokens to influence its long-term value. This limit is the first of its kind in the market and other DeFi networks have been watching to see how effective it has been.
Notably, the system is coupled with a humans-only rule that requires all traders to prove they are individuals and not working for trading groups or firms. This system helps to eliminate the most common forms of centralization. In this way, META 1 Coin remains a community-led project that has decentralization as its main focus.
Prepare for Anti-Crypto Regulations
Depending on where you live, there may be a strong pro or anti-crypto sentiment by regulators. There are parts of the world like China, where the government has pursued blockchain technology but they have banned citizens from operating exchanges or mining crypto. There is also the reverse like El Salvador which made Bitcoin legal tender and even distributed Lightning Network-enabled wallets with $60 of BTC to each citizen.
Since it’s impossible to dictate how legislators may view a product that challenges the traditional financial system, it’s best to prepare for the worst-case scenarios. This was also the mindset of many cryptos develops. The META 1 Coin is located outside the jurisdiction of centralized regulators as are of their strategy to buffer against anti-crypto legislation.
The Decentralized Economy Awaits You
There are so many reasons why you need to get in on the decentralized economy n 2023. This fast-expanding economic system provides new earning opportunities to the masses. The main thing to remember is that you want to stick to reputable and proven networks to ensure you avoid losses.