A Guide To Peercoin: What Is It And How Does It Work
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Peercoin serves as a decentralized blockchain network designed to transfer digital assets. Many of you may know that this is the first green cryptocurrency, which was largely possible due to the adoption of proof-of-stake (PoS) consensus. You can also find this coin as PPCoin or PPC on various crypto exchanges.
The versatility and security it offers are nothing short of astonishing. For example, a single Peercoin transaction will take about 8.5 minutes to complete, which makes it faster than some other cryptocurrencies.
However, the coin also has a few drawbacks. Even though this blockchain was a pioneering cryptocurrency that had a goal to reduce carbon footprint, it never really took off as people expected it. But, since the crypto market is as volatile as it can get, one can never really predict what would be the next popular cryptocurrency.
If you’re interested in knowing more about Peeroin, continue reading to learn what is it and how it works.
Creation of Peercoin
The whitepaper was launched by Sunny King and Scott Nadali, both IT specialists. What’s interesting is that the whole creation of this coin was done anonymously. On top of the anonymity, Sunny King, also created Primecoin and VEE.
Moving away from their other ventures, they built Peercoin based on Bitcoin technology but also incorporated PoW and PoS methods. The PoS method focuses on long-term sustainability and security and is a popular trend nowadays.
How to store PPC and its price
If you are looking to purchase Peercoin, wallets are available for download from the official Peercoin site. With these wallets, you can rest assured that your coins will be safe and stored properly.
You can also create paper wallets to increase security. But, if you are still worried about security and the security of the coin itself, there’s a telltale sign that everyone can follow to make sure that the coin has a bright and safe future. Since Peercoin is listed on almost every major crypto exchange, this means that the coin is completely legitimate and complies with all the rules.
However, you should always be wary of crypto exchanges that aren’t well established. For that reason, make sure you purchase your coins from major crypto exchanges. As things stand, the current price of PPC is hovering around $0.3347, but it doesn’t mean that this is not a good investment.
Should you purchase Peercoin?
Its PoS tech is what makes this coin unique. This is because, unlike other cryptocurrencies, it is focused on sustainability as well as user-friendly investment strategies. It is therefore a good investment option whether short or long-term.
However, be careful when investing because you should never invest more than you can afford. Cryptocurrencies are extremely volatile and prices can drop or surge in a matter of seconds. There are a few methods you can use to capitalize and make profits such as Fibonacci retracements (golden ratio trading), but nothing is guaranteed. Keep in mind that investing in crypto always comes with a few risks, and you need to decide whether you want to take a chance or not.
The risk of investing in Peercoin
Investing in Peercoin on paper seems like a good idea. It was way ahead of its time and the first one to implement the green method in the cryptocurrency world. But in reality, the competition from other PoS coins is greater than ever. Some of the main risks of investing in Peercoin may be its lack of popularity as well as the greater competition from eco-friendly cryptocurrencies.
In addition, other coins produce much less carbon footprint and offer much higher ROI ratios. From 2013 onward, this coin hasn’t produced significant booms on the market compared to other blockchains. Even its small community isn’t very active, which makes it hard to buy. However, if you’re interested in investing you can always find a few exchanges that offer it.
Final Thoughts
Peercoin is one of the first blockchains to use the proof-of-stake consensus which is very commendable. Its creation and history might seem interesting but the current ROI may not be as interesting for those that decide to invest in it. However, the crypto market is unpredictable and everything can happen. If you do decide to invest in Peercoin, make sure that you are using the right wallets and that you are keeping your investments secure.
