How To Teach Your Kids About Bitcoin And Cryptocurrency Basics

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Source: financemagnates.com

Our children are, by their nature, very curious creatures. In the age of digital technology, we shouldn’t be surprised that our children know how to use the Internet, smartphones, or some other devices available to them. However, for children to know what they want to learn – we need to explain everything to them properly. So it is with the terms of cryptocurrency or the famous Bitcoin. The kids heard about it – but how do we explain to them the basics of Bitcoin and Cryptocurrency in the simplest way? We will try to help you with that.

Children And Finances – Are Those Two Going Together?

Unfortunately (or fortunately) – today’s children are much more mature than previous generations. Exposure to television, the Internet, and digital devices has taken its toll – so today we are not surprised to see kids who are very good at using computers or smartphones. Although many people will say that this is not good and that children must remain children – we must keep in mind that times have changed a lot. Today, children from an early age are exposed to a large amount of information that they absorb like sponges. Therefore, they should be taught from an early age to properly consume such information – and we should explain to them everything they want to know. The same thing is with digital currencies. Although many people think that children and finances do not go together in the same sentence – we will remind you of the fact that children know much more than we think.

Therefore, they need to get rid of any doubts and we must find a way to explain to them everything they want to learn. However, this can sometimes be quite difficult. This is also the case with the explanation of the term cryptocurrency or Bitcoin. So how do you explain that to kids in a simple way?

How To Explain The Concept Of Cryptocurrency To A Child?

Source: discover.luno.com

To explain the concept of cryptocurrency to children – they must first know something more about the concept of money and its value. However, most kids learn the basics of money from an early age. What is important is to teach your children in a timely manner – is what kind of role money actually plays in our lives. Although for some people this is a negative aspect of raising children – we cannot agree with that. The role of money in securing the financial future is clear to everyone – so children should not be taught otherwise. Once they understand the value of money – you can further explain to them the ways in which money can be increased. One of the ways you can do that – is to invest in cryptocurrencies. If you are unsure how to explain some of the details to children, click here, and find all the information that can make this job easier for you. With the help of advice from experienced cryptocurrency traders, you may find it easier to explain the basics of cryptocurrency trading to your child.

Explain To Your Kids What Cryptocurrency Is, And Who Invented Bitcoin

When explaining more complex things to children, it is important to always start from the beginning and the basics. Try to present cryptocurrency to your kids as something that looks like money – but is still a little bit different. Just like kids use digital coins when they play games – you can explain to them the use of digital files in the form of money in a similar way. Children need to be explained that such files use a special encrypted program and digital signatures – to make these kinds of payments safe. Tell them that the first digital money was invented by a group of people named Satoshi Nakamoto – but that they kept the secret of their identity, and that to this day, no one knows who they truly are. Children will be able to better understand such a simplified explanation – and the element of mystery in the whole story will further intrigue them and make them understand you more seriously.

What Are The Value Of Cryptocurrency And Mining?

Source: lawfareblog.com

Just like when you explain to children the value of money – you can explain the value of cryptocurrency and the concept of mining. To determine the value of a cryptocurrency, it is necessary to sort a large amount of data from files. We must properly group all that information and that is called mining. Mining helps us make a good estimation of the value of a cryptocurrency. Since the miners invest their resources, time, and money in this business – it is clear that they will not give you this information for free – but they will use the excavated money to exchange it, for example, Bitcoin – or for some other type of purchasing.

Are Cryptocurrencies Valid In Real World Or Only Online?

This is easiest to explain to children if we draw a parallel with payment and credit cards. So, the more people use them, the greater their value will be. If you have them longer and save them – their value increases. However, explain to the children that with the help of Bitcoin and other cryptocurrencies you can also buy things. Moreover, you can do it anywhere around the globe – because this is the universal currency for all countries in the world. So it’s similar to payment cards, only even better.

Be A Support To Your Children As They Research

Source: raisingchildren.net.au

You may find all this too complicated to explain to a child – but let’s not underestimate our little ones. Be sure they will grasp the basics of the cryptocurrency very quickly – and they may even surprise you with their abilities. Anyway, when you teach them the basics – don’t hold them back. On the contrary, try to encourage your children to explore the world of cryptocurrencies – and maybe even create their own, new cryptocurrency. Some platforms allow children to practice this type of activity – so let your little broker try something like that.