Crypto Product FAQs

 

What cryptocurrency information and products does Quantamize offer?
 
We maintain an extensive database across 100+ cryptocurrencies that is constantly calculating volume weighted prices in real-time. We currently offer 3 unique cryptocurrency products: Crypto Trading Signals, Crypto Model Portfolios, and Crypto Research Reports.
 
How to interpret the Buy/Don't Own product?
 
The goal of our “Buy/Don’t Own” output for cryptocurrencies is to provide subscribers with the clearest directional signals possible. These signals are a rolling 3 day window and are applied to the currencies we model. Our proprietary algorithms are run daily and with the new output signals, incorporating the most up-to-date data. Changes in the data may change the signal in any rolling 3 day window because our models take into account the latest data.
 
What is a Crypto Model Portfolio?
 
A specialized portfolio that has been quantitatively optimized to help you manage risk in the cryptocurrency markets.
 
How does Quantamize calculate cryptocurrency prices for its models?
 
We geeked out using our proprietary quantitative algorithms to analyze and select a group of coins based on a set of specific characteristics. Through considerable research, we determined which characteristics most affect outcomes, and optimize our Crypto Model Portfolios to maximize these specifications.
 
Can you trade options on Cryptocurrencies?
 
We do not offer options trades for cryptocurrencies. To view our suite of cryptocurrency products, click here
 
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General Blockchain & Cryptocurrency FAQs

What is a blockchain?
 
A blockchain is a cryptographically created digital ledger which records chronologically and publicly all the transactions in a particular cryptocurrency ever made. When applied to cryptocurrencies the blockchain becomes a confirmed public database that is not stored in any single location. It comprises individual blocks that are chained to each other with a unique cryptographic identifier. All blocks are linked from the genesis block to the current block. Each cryptocurrency has its own blockchain.
What is a cryptocurrency?
 
Cryptocurrencies are digital assets designed to act as a medium of exchange that uses cryptography to secure its transactions, to control the creation of additional units, and to verify the transfer of assets. Unlike fiat currencies, cryptocurrencies are unregulated and operate independently of a central bank.
What is an altcoin?
 
An altcoin is simply any cryptocurrency that is not Bitcoin. Since Bitcoin was the first cryptocurrency, the consensus is that an altcoin describes coins that are alternatives to Bitcoin.
 
What does cryptography mean?
 
Cryptography is the science of encoding and decoding. It is the method of completing and confirming cryptocurrency transactions over a blockchain network by encrypting public keys via advanced mathematical principles.
What is mining?
 
Mining is a complex cryptographical methodology of adding and confirming transaction on the blockchain. Miners are usually rewarded for verifying transactions on the blockchain by receiving coins for each block mined. Mining requires significant computer power and absorbs substantial electrical energy.
 
What is a block?
 
Blocks are digital files in which cryptocurrency transactions are permanently recorded. A block contains recent transactions that have not been recorded in any prior blocks. When a block is completed, it is entered into the blockchain by the miner. Once completed, any new transactions must be recorded in a new block.
 
What is a hash?
 
A hash is a cryptographic byproduct of a hash algorithm. It is the output generated when a hash algorithm takes data and converts it into a fixed alphanumeric string.
 
What is hash rate?
 
Hash rate is the measurement unit that describes how much power the blockchain is consuming and producing while operating. In other words, how much net power is needed to process each block at the given block interval. As the difficulty of processing blocks increases, hash rates go up as do miners’ rewards.
 
Do you have to purchase a full coin when buying one?
 
Investors may buy fractional amounts of cryptocurrencies when trading and investing. The smallest unit is a Satoshi.
 
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Basic Cryptocurrency Trading & Storage FAQs

How do cryptocurrency exchanges and markets work?
 
Cryptocurrencies are traded across the globe and each cryptocurrency has a unique set of exchanges on which it trades on. There are currently over 70 cryptocurrency exchanges and over 1000 cryptocurrencies that investors can buy and sell. Not every cryptocurrency is available on every exchange. Each cryptocurrency has its calculated price which is derived from the supply and demand components of the individual exchanges. Its circulating coin supply multiplied by its current price allows investors to arrive at the cryptocurrency’s current market capitalization.
 
When and how often can I trade cryptocurrencies?
 
Cryptocurrencies can be bought and sold 24/7 throughout the whole year.
 
What is a Satoshi?
 
A Satoshi is the smallest unit of Bitcoin and is equal to 1/100,000,000th of a Bitcoin. Bitcoin is a benchmark refence coin for larger cryptocurrencies, while Satoshis are a benchmark for smaller cryptocurrencies. Satoshis are named are Satoshi Nakamoto, the founder of Bitcoin.
 
What is an Initial Coin Offering (ICO)?
 
Similar to an initial public stock offering, an initial coin offering allows the company/group that created the cryptocurrency to generate funding by issuing a new coin.
 
What is a “burned” cryptocurrency?
 
Any particular cryptocurrency that can no longer be spent or traded can be described as being “burned”.
 
What is a cryptocurrency wallet?
 
A cryptocurrency wallet is a digital wallet used to store, send and receive cryptocurrencies. Most cryptocurrencies have digital wallets that can be downloaded from their websites. There are also additional third-party hot storage wallets that cryptocurrency investors use. Additionally, investors can store cryptocurrencies in the cold-storage method away from the internet.
 
What is the difference between cold and hot storage?
 
Hot storage refers to using a cryptocurrency wallet that is connected to the internet or a software program used on a computer – typically free of charge. Cold storage refers to a cryptocurrency wallet that is not connected to the internet.
 
What is the difference between a public key and a private key?
 
A public key is a unique wallet identifier which uses a string of letter and numbers as an address. It is viewable to the public and is used to receive cryptocurrencies. A private key is an investors individual password for accessing their cryptocurrency wallet. This is not viewable to the public and should be protected.
 
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