One of the most frequently asked questions among newbies in the world of cryptocurrencies is about such thing as a crypto converter. People want to know what it is and where to get it. This article will explain what crypto converter is, and provide a couple of examples of the most popular crypto converters.
Cryptocurrency converter definition
Crypto converter can be defined either as a virtual marketplace where it is possible to convert one currency (cryptocurrency) into another one or as an online program that allows calculating how much can you get for converting money.
Crypto converter – digital marketplace
The first type of crypto converter can be called a middleman that opens you the road to the world of cryptocurrency. When you have a desire to invest in the cryptocurrencies or to trade them, the first thing you should do is to purchase some units of the digital currencies. It is possible to do only by one way – to convert your fiat currency into some cryptocurrency. In general, there are three possible stages of conversion.
Purchase base cryptocurrency. It is essential to understand that it is impossible to convert any currency into any cryptocurrency. It is perfect if your main fiat currency is USD or EUR because, probably, it is possible to purchase any cryptocurrency. However, if your fiat currency is some other currency, especially not popular currency, you need to purchase some base cryptocurrency first. Usually, such cryptocurrencies are Bitcoin, Ether, Litecoin, and so on.
Convert one cryptocurrency into another one. When you have the units of the base cryptocurrency, you can buy any cryptocoin you want. However, you should know that one of the most convenient crypto coins for such operations is Bitcoin because every exchange has this digital currency and also shows how much every cryptocurrency costs in Bitcoin.
Sell cryptocurrency. The last stage includes selling. If you want to convert cryptocurrency into fiat money, you also need a crypto converter.
The most popular cryptocurrency converters are Coinbase, Changelly, Kraken, Poloniex, etc. Yet, some exchanges or converters don’t work with fiat money. It is good to start from some local exchanges.
Crypto converter – calculator
The second type of converter is simpler. Basically, such calculators are necessary when you want to know how much a few units of the currency or cryptocurrency will cost. There are many popular crypto converters, such as Cryptonator, FX-Rate, Coingecko, and many others. There are converters online and those that can be download on your computer or phone. Yet, it is vital for the converter to work in real time. You should be sure that you see the real converted numbers entering the sum of money.