Your Crypto Guide at VanEck
June 10, 2022
Read Time 6 MIN
As the crypto space develops, we at VanEck regularly create resources to try to educate investors about the growing economy around digital assets and cryptocurrencies. To aid your learning, we have created this guide to lead you through our crypto education resources.
Before you begin, we recommend reading this No Jargon Blockchain Cheat Sheet, a helpful reference while navigating these educational pieces.
Table of Contents:
- What is a Crypto Wallet?
- How to Set Up Your Crypto Wallet
- Your Guide to Buying an NFT
- Become an NFT Expert
- How to Avoid Cryptocurrency Scams
- Step Into the Metaverse
- How to Navigate the Metaverse
- Flex in the Metaverse with Digital Wearables
- Bitcoin Basics
- Bitcoin Energy Consumption
- What are Smart Contracts?
- What is the Underlying “Asset” and How are Prices Set?
- Why is Crypto a Hedge for Inflation?
- Is Crypto Currency a Fad?
- What does Fungible in Non Fungible Token (NFT) Mean?
- What is Ethereum Gas?
- How does NFT Ownership Work?
- What is Blockchain Technology?
- The Latest on Bitcoin – Without the Jargon
- No Jargon Bitcoin #2: What is Bitcoin?
- No Jargon Bitcoin #3: Why Invest in Bitcoin?
- The Investment Case for Bitcoin
- Bitcoin is in a Supply Shortage
- Bitcoin’s Correlation to Traditional Assets
- Revisiting Gold and Bitcoin as Commodities Rally
- Bitcoin: Less Volatile Than Many S&P 500 Stocks?
- Ethereum: Crypto’s Evolutionary Platform
- Q&A: The Bull and Bear Case for Ethereum
- Ethereum Shows Potential for Significant Growth
- Ethereum Competitors and the Race to Innovate
- Sorting Out the Crypto World
- Crypto Categories: Smart Contracts Explained
- Crypto Categories: Enter the Metaverse
- Crypto Categories: Defining DeFi
- Crypto Categories: Identifying Infrastructure Applications
- Bridging Traditional Banks and Crypto Wall Street
- Trends with Benefits Podcast # 62: LIVE - All Things Crypto with Jan van Eck
- Trends with Benefits #64: Institutions Embrace Crypto with Lauren Abendschein
- Tracking the Sovereign Adoption of Bitcoin: A Potential Tipping Point?
- Is Crypto Still Deflationary?
How to Access Crypto and Digital Assets
For those looking to get involved in the space, we have created resources to help you begin your journey in accessing crypto and digital assets.
What is a Crypto Wallet? by Matthew Bartlett, Head of NFT Community and Web3
This blog covers the fundamentals of crypto wallets, the difference between hot and cold wallets, and the importance of wallets for the safekeeping of crypto and digital assets.
How to Set Up Your Crypto Wallet, by Matthew Bartlett, Head of NFT Community and Web3
Once you are comfortable with the different types of crypto wallets, we have created instructions for how to set up a crypto wallet to store your digital assets.
Your Guide to Buying an NFT, by Matthew Bartlett, Head of NFT Community and Web3
For those looking to access the growing NFT space, this walk-through outlines how to find and securely purchase your NFT of choice.
Become an NFT Expert, by Matthew Bartlett, Head of NFT Community and Web3
Learning the nuances of NFTs is no easy task. Experience and research are the best ways to immerse yourself in the NFT space and build your expertise.
How to Avoid Cryptocurrency Scams, by Matthew Bartlett, Head of NFT Community and Web3
With crypto scams on the rise, we walk you through simple ways to protect your digital assets and steps to take if you encounter fraudulent crypto activity.
Step Into the Metaverse
How to Navigate the Metaverse, by Matthew Bartlett, Head of NFT Community and Web3
The metaverse has opened the door for a customizable, virtual experience where users can interact in real time, and even use for real world utility.
Flex in the Metaverse with Digital Wearables, by Matthew Bartlett, Head of NFT Community and Web3
Demonstrating your status—or “flexing” within the metaverse based on the digital wearables you own—is a growing trend and companies are taking advantage of this branding model.
Crypto Clarified - Quick Crypto Concepts
Our Crypto Clarified video series is designed to bring you crypto information in quick, easy to understand video clips.
Jan van Eck, CEO, explains how bitcoin works in this quick video using simplified language, without the jargon.
Jan van Eck breaks down how energy is used in crypto and digital assets, and how crypto miners might adapt in the future.
What are smart contracts and how do they work? Jan van Eck provides a simplified explanation in this video.
Matthew Sigel, Head of Digital Assets Research, explains the software underlying cryptocurrencies.
Matthew Sigel addresses inflation and how cryptocurrencies can work as a hedge.
This video addresses the implications of new technologies with cryptocurrencies and why they are here to stay.
Non Fungible Tokens, or NFTs, have been a popular topic, but what does “fungible” mean, and how does it impact NFT ownership? Matthew Bartlett, Head of NFT Community and Web3, explains in this episode of crypto clarified.
Gas refers to the fee required to perform a transaction on the ethereum network. How do these gas prices work, and how are they impacted by supply and demand?
This video explains how NFT ownership works, what traits make NFTs unique, and how can NFT holders see utility in the real world.
Matthew Bartlett, Head of NFT Community and Web3, explains how blockchain technology affects crypto ownership, and how it helps keep crypto wallets secure.
Learning About Bitcoin
Bitcoin has brought mainstream attention to the technology of blockchain and cryptocurrencies. Our no-jargon resources simplify the concepts around bitcoin.
After covering the basics of bitcoin, we address how bitcoin correlates to the market and other traditional assets.
Jan explores the drivers behind the 2020 bitcoin rally, bitcoin’s capability for lending and interest accrual, and the advancement of secure technology used for smart contracts.
This quick, two-page blog assesses the risks and opportunities associated with bitcoin as well as important aspects, including bitcoin as a software, developments and upgrades, supply limitations, developers, and advancements for the future.
This blog recaps a discussion with Dan Tapiero, CEO and Managing Partner of 10T Holdings and co-founder of Gold Bullion International, and how he has convinced institutions to purchase bitcoin.
Bitcoin is often regarded as a store of value and referred to as “digital gold,” demonstrating low correlation to traditional assets and potentially enhancing risk and return reward in a portfolio.
Bitcoin’s limited supply, inherent in its design, could provide a hedge against inflation and currency debasement resulting from creating more money.
Bitcoin’s Correlation to Traditional Assets
Commodities are rallying after a 10-year bear market. We explore what this means for gold and Bitcoin as stores of value.
Despite Bitcoin’s assumed volatility, other asset classes have demonstrated greater volatility over time.
Positive momentum behind Ethereum is pushing the platform and its currency forward.
Topics include: how digital currency is backed, monetary and regulatory authority around cryptocurrency, public safety in the Ethereum paradigm, revenues, and energy usage.
Matthew Sigel discusses Ethereum as a disrupter as well as its capabilities, possible revenue outlook, and 10x growth potential.
This blog touches on how Ethereum begins “buying back stock,” encrypted/ decentralized chats (AAPL), “smart contract protocols” and how to quantify the threat from competitors, Cardano’s smart contract capability, and Solana going head-to-head vs Nasdaq.
Advance Your Crypto Knowledge
Once you feel you have a handle on crypto, use this section to further advance your knowledge around evolving concepts and digital assets in the space.
Sorting Out the Crypto World, by Kyle DaCruz, Director of Digital Assets Product
This blog outlines the different categories used to classify cryptocurrencies and digital assets according to their use cases.
This blog explains the function of smart contracts as well as the main benefits of this blockchain technology.
As NFTs and the metaverse gain attention, this blog seeks to explain the metaverse and its disruption potential.
This blog addresses decentralized finance (DeFi) protocols and exchanges, and how this compares to traditional finance.
In this blog, we identify the differing infrastructure applications and their functions.
VanEck meets with Silvergate Bank, one of the banks that focuses on servicing Coinbase and other leaders in the digital assets space.
Ed Lopez speaks with Jan about how cryptocurrency is disrupting financial services and different ways investors can take advantage of that trend.
Lauren Abendschein, Head of Institutional Sales at Coinbase, discusses the inner workings of crypto exchanges and why institutions are becoming more comfortable with crypto.
Matthew Sigel addresses the implications of El Salvador’s decision to accept bitcoin as legal tender, along with some other topics including Latin America’s strong structural set up for digital asset adoption.
This blog addresses the deflationary concern surrounding crypto as well as the threat of credit/debit card transaction fees, the potential benefit of an Ethereum bear market, and an Ethereum-based game that lets you play to earn.
Crypto Glossary References
For key terms and definitions, we find these glossary references helpful in deciphering crypto jargon:
Enhance Your Crypto Exploration
For more insights to the digital assets space, check out our Digital Assets research.
Register for upcoming webinars and replays of our crypto discussions.
Please note that VanEck may offer investments products that invest in the asset class(es) or industries included herein.
This is not an offer to buy or sell, or a recommendation to buy or sell any of the securities/financial instruments mentioned herein. The information herein represents the opinion of the author(s), but not necessarily those of VanEck, and these opinions may change at any time. Non-VanEck proprietary information contained herein has been obtained from sources believed to be reliable, but not guaranteed. Not intended to be a forecast of future events, a guarantee of future results or investment advice. Historical performance is not indicative of future results. Current data may differ from data quoted. Any graphs shown herein are for illustrative purposes only.
In consideration of the receipt of non-fungible tokens ("NFTs") from VanEck, you represent, acknowledge, accept and agree that you received the NFTs as a gift from VanEck. You did not pay any consideration, monetary or otherwise, for the NFTs.
You may receive an NFT as a gift from VanEck. You are not paying any consideration, monetary or otherwise, for the NFT. The NFTs are not an investment. Rather, the NFTs are digital memorabilia intended solely for entertainment purposes. As entertainment memorabilia given to you as a gift, the NFTs have no value and are not intended by VanEck to ever have any value. Neither VanEck nor anyone else will take or not take any current or future action that is designed in any way to maintain the value of the NFTs, or to cause their value to grow or increase. You must not attempt to obtain an NFT from VanEck if you view it as an investment.
As a condition of receiving the NFTs, you shall hold the NFTs for your own personal benefit, and you shall not act, and are not acting, on behalf of any other person or entity; except that, if you are an affiliate of an entity or person whose relationship or affiliation you have made VanEck aware of prior to your receiving the NFT, and VanEck consents to your receiving an NFT, you may receive an NFT. You shall not sell, assign, alienate, lease, lend, fractionalize, re-gift, convey or transfer in any way the NFTs (or any interest therein) to any other person or entity, even an affiliate. Any sale, transfer, assignment, or other action covered in the preceding sentence shall be void. You must not attempt to obtain an NFT from VanEck if you plan to sell or transfer it.
Cryptocurrency is a digital representation of value that functions as a medium of exchange, a unit of account, or a store of value, but it does not have legal tender status. Cryptocurrencies are sometimes exchanged for U.S. dollars or other currencies around the world, but they are not generally backed or supported by any government or central bank. Their value is completely derived by market forces of supply and demand, and they are more volatile than traditional currencies. The value of cryptocurrency may be derived from the continued willingness of market participants to exchange fiat currency for cryptocurrency, which may result in the potential for permanent and total loss of value of a particular cryptocurrency should the market for that cryptocurrency disappear. Cryptocurrencies are not covered by either FDIC or SIPC insurance. Legislative and regulatory changes or actions at the state, federal, or international level may adversely affect the use, transfer, exchange, and value of cryptocurrency.
Investing in cryptocurrencies comes with a number of risks, including volatile market price swings or flash crashes, market manipulation, and cybersecurity risks. In addition, cryptocurrency markets and exchanges are not regulated with the same controls or customer protections available in equity, option, futures, or foreign exchange investing. There is no assurance that a person who accepts a cryptocurrency as payment today will continue to do so in the future.
Investors should conduct extensive research into the legitimacy of each individual cryptocurrency, including its platform, before investing. The features, functions, characteristics, operation, use and other properties of the specific cryptocurrency may be complex, technical, or difficult to understand or evaluate. The cryptocurrency may be vulnerable to attacks on the security, integrity or operation, including attacks using computing power sufficient to overwhelm the normal operation of the cryptocurrency’s blockchain or other underlying technology. Some cryptocurrency transactions will be deemed to be made when recorded on a public ledger, which is not necessarily the date or time that a transaction may have been initiated.
- Investors must have the financial ability, sophistication and willingness to bear the risks of an investment and a potential total loss of their entire investment in cryptocurrency.
- An investment in cryptocurrency is not suitable or desirable for all investors.
- Cryptocurrency has limited operating history or performance.
- Fees and expenses associated with a cryptocurrency investment may be substantial.
There may be risks posed by the lack of regulation for cryptocurrencies and any future regulatory developments could affect the viability and expansion of the use of cryptocurrencies. Investors should conduct extensive research before investing in cryptocurrencies.
Information provided by Van Eck is not intended to be, nor should it be construed as financial, tax or legal advice. It is not a recommendation to buy or sell an interest in cryptocurrencies.
All investing is subject to risk, including the possible loss of the money you invest. As with any investment strategy, there is no guarantee that investment objectives will be met and investors may lose money. Diversification does not ensure a profit or protect against a loss in a declining market. Past performance is no guarantee of future results.
Van Eck Associates Corporation
April 08, 2022
August 05, 2022
Digital assets prices rallied in July, with Bitcoin up 19% and Ethereum up 58%. Among the crypto sectors we track, DeFi was the best-performing sector.
July 28, 2022
To help investors make sense of the current Bitcoin volatility and what to watch for next, our digital assets thought leaders share their perspectives in this Q&A.
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Fallout continued from Ethereum’s delayed transition from proof of work to proof of stake. We take a closer look at the impact, and discuss the prospects of widening adoption of NFT technology.
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Web3 and NFTs offer expansive potential and use cases. Learn more about Web3’s decentralization and the importance of NFTs.