Beam

Beam (BEAM) - A Beginner's Guide

Welcome to the world of cryptocurrency! This guide will introduce you to Beam (BEAM), a privacy-focused cryptocurrency. We'll cover what it is, how it works, and how you can start trading it. This is aimed at complete beginners, so we'll keep things simple.

What is Beam?

Beam is a cryptocurrency built with a focus on privacy and scalability. It uses a technology called Mimblewimble, which is a bit different from how Bitcoin and many other cryptocurrencies work. Instead of tracking every transaction with specific addresses, Mimblewimble combines transactions making it harder to trace them back to individual users. Think of it like mixing paints – you start with distinct colors, but after mixing, it's difficult to separate them back out.

Beam aims to provide confidential transactions by default, meaning the amount being sent isn’t publicly visible on the blockchain. This is different from Bitcoin, where while your *identity* isn't directly linked to your transactions, the amount *is* public.

How Does Beam Work? (Simplified)

The core of Beam's privacy lies in Mimblewimble. Here’s a very simplified explanation:

• **Confidential Transactions:** Beam uses cryptographic techniques to hide the amount of BEAM being transferred.
• **Cut-Through:** Mimblewimble combines multiple transactions into a single block, effectively removing unnecessary data. This makes the blockchain smaller and faster.
• **No Addresses:** Instead of traditional cryptocurrency addresses, Beam uses *commitment keys*. These keys are generated for each transaction.
• **Kernel:** A kernel is a vital part of a Beam transaction; it proves the transaction is valid without revealing the amounts involved.

For a more in-depth understanding, you can explore cryptography and blockchain technology.

Beam vs. Bitcoin: A Quick Comparison

Let's compare Beam to the most well-known cryptocurrency, Bitcoin:

Feature	Bitcoin (BTC)	Beam (BEAM)
Privacy	Pseudonymous (transactions are linked to addresses, not identities)	Confidential (transaction amounts are hidden)
Transaction Speed	Relatively slow (around 7 transactions per second)	Faster (potentially higher throughput due to Mimblewimble)
Blockchain Size	Large and growing	Smaller and more efficient
Technology	UTXO-based	Mimblewimble

Both are cryptocurrencies, but they approach privacy and scalability differently.

Buying Beam (BEAM)

You can’t directly buy Beam with fiat currency (like USD or EUR) on most major exchanges. You'll typically need to first buy Bitcoin (BTC) or Ethereum (ETH) with fiat, and then use that to buy Beam.

Here are some exchanges where you can trade Beam:

• Register now Binance (often has the highest trading volume)
• Start trading Bybit
• Join BingX BingX
• Open account Bybit (again, for variety)
• BitMEX BitMEX (consider risks, it's a derivatives exchange)

• • Steps to Buy Beam:**

1. **Choose an Exchange:** Select an exchange that lists Beam. 2. **Create an Account:** Sign up for an account and complete the necessary verification steps (KYC - Know Your Customer). 3. **Deposit Funds:** Deposit BTC or ETH into your exchange account. 4. **Trade:** Find the BEAM trading pair (e.g., BEAM/BTC or BEAM/ETH) and place your order.

Storing Beam (BEAM)

Once you've purchased Beam, you'll need to store it securely. Here are a few options:

• **Exchange Wallet:** Leaving your Beam on the exchange is the easiest option, but it’s also the least secure. Exchanges can be hacked.
• **Desktop Wallet:** A software wallet installed on your computer. This gives you more control, but you need to keep your computer secure. The official Beam Wallet is a good option.
• **Hardware Wallet:** The most secure option. These are physical devices that store your private keys offline. Examples include Ledger and Trezor.

Understanding cryptocurrency wallets is crucial for secure storage.

Trading Beam (BEAM)

Trading Beam is similar to trading any other cryptocurrency. You buy low and sell high, aiming to profit from price fluctuations.

• • Trading Strategies (Beginner-Friendly):**

• **Hold (HODL):** Buy Beam and hold it for the long term, believing its value will increase.
• **Day Trading:** Buy and sell Beam within the same day, trying to profit from small price movements. Requires substantial technical analysis.
• **Swing Trading:** Hold Beam for a few days or weeks, trying to profit from larger price swings.

• • Important Considerations:**

• **Volatility:** Beam, like all cryptocurrencies, is highly volatile. Prices can change rapidly.
• **Trading Volume:** Check the trading volume before buying. Low volume can make it difficult to buy or sell quickly.
• **Market Capitalization:** Understand Beam's market capitalization – it gives an idea of its overall value.
• **Risk Management:** Never invest more than you can afford to lose. Use stop-loss orders to limit potential losses.
• **Technical Analysis:** Learn basic chart patterns and indicators to help you make informed trading decisions. Candlestick patterns are a good place to start.
• **Fundamental Analysis:** Research the Beam project, its team, and its potential use cases. Whitepapers are a great source of information.
• **Order Books:** Learn how to read an order book to understand buying and selling pressure.
• **Moving Averages:** Utilize moving averages for trend identification.
• **Relative Strength Index (RSI):** Use RSI to gauge overbought or oversold conditions.
• **Fibonacci Retracements:** Learn how to use Fibonacci retracements to identify potential support and resistance levels.

Resources for Further Learning

• Official Beam Website: [1](https://beam.mw/)
• Beam Documentation: [2](https://docs.beam.mw/)
• CoinMarketCap: [3](https://coinmarketcap.com/currencies/beam/)
• CoinGecko: [4](https://www.coingecko.com/en/coins/beam)
• Decentralized Finance (DeFi)
• Smart Contracts
• Altcoins

Disclaimer

This guide is for informational purposes only and should not be considered financial advice. Cryptocurrency trading involves significant risk. Always do your own research before investing.

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Binance	Largest exchange, 500+ coins	Sign Up - Register Now - CashBack 10% SPOT and Futures
BingX Futures	Copy trading	Join BingX - A lot of bonuses for registration on this exchange

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