Ever wondered what cryptocurrency investment is about? If you have, this article is for you. Before you go any further, let’s correct the misconception that cryptocurrency investment is a quick way to make money. This is not the case. Investments are not fast money makers; If you would like to make money fast, try something else. However, if you are interested in making money with smart investments, invest in cryptocurrency.
What is Cryptocurrency?
Cryptocurrency is simply digital money. This means that you cannot touch it but you can use it. Do not be scared; it is completely safe and secure. The best part about cryptocurrency is that it can be used in any part of the world and it is really fast.
How do I use Cryptocurrency?
Ever thought of the countless things cryptocurrency can do? Well, the truth is cryptocurrency can be used for a lot of things. You can buy your favorite shoe or get those amazing products you’ve been looking at for a while. The only thing is, you should ensure that they accept cryptocurrency as a form of payment. Cryptocurrency did not just start today; it started out of necessity.
Remember when the mode of payment was trading your valuables in exchange for anything you want? It must have been hard to keep trading your favorite items for something else that you want more right? Coins and paper money came into existence to help people keep their valuables and still buy more if they want as long as they had the paper money. After a while, Bank money came into existence. You can send money from one bank to another, you can cash out money with cheques and withdrawal slips. Everything became easier by walking to the bank or using the bank mobile app to send and receive money.
Just like the banks came to assist paper money transactions, cryptocurrency was introduced to make money transactions easier and better. There are so many currencies coming into the market regularly and the latest addition is the Tatcoin. These currencies have been used to make purchases and even traded for profit.
Other uses of cryptocurrency include;
Education: It may come as a surprise but most Universities accept cryptocurrency as payment for fees. According to Futurism.com, universities in Switzerland, Germany, Cyprus, and the United States have started to accept cryptocurrency as payment. This means that with proper research, you can check these universities and apply to study if you are a cryptocurrency investor.
Business Transactions: You can always make a transfer from one bank to another for business transactions; however cryptocurrencies make it easier. It is smooth and easy.
Safe and Secure Transactions: Most times, organizations steal money through different means. The use of cryptocurrencies would limit this type of fund leaks. This is another reason why the World Food Programme (WFP) is on the cryptocurrency trend in making transactions. The money can securely get to the hungry; the very purpose of what the money is needed for.
There are more uses of cryptocurrency but here are a few you need to know before investing in cryptocurrency.
How to Invest in Cryptocurrency.
The first rule of investment is patience and this also applies to cryptocurrency. You also need to know the type of cryptocurrency to buy, where to buy them and how much you need to invest in. Here are some quick tips to keep in mind when you are ready to invest.
- Decide if you would like to invest in knowledge or trading: People invest in cryptocurrency knowledge. It may sound cliche but they do. You can learn everything about cryptocurrency and teach others for a fee. Better still, you can become an investor and watch your money increase after a period of time.
- Choose an exchange: The first thing you have to do when you decide to become an investor in cryptocurrency is to choose an exchange. An exchange is where you can go and buy currencies. There are lots of exchanges out there so you have to be very careful and do research before choosing one. Some popular ones include Coin base and Bitfinex. You can always use ABiTrader as it is trustworthy.
- Start with two different types of currencies: Just to be safe, Do not buy one cryptocurrency. Just like everything in life, it is always good to have extras. The nature of cryptocurrencies might be unpredictable. Start with two different currencies. A popular currency to start with is the Bitcoin. You can also try the Tatcoin as it is affordable because it just recently entered the market.
- Get a Cryptocurrency Wallet: Now that you have your currencies, you will need a place to keep them. This is known as a wallet. Unlike physical cash, you can keep currencies in your wallet for as long as you want.
- Prepare yourself for a fall in the currency: Unfortunately, a currency can experience a fall. If a coin is worth millions of naira today, it can fall to a thousand naira tomorrow. Do not panic, it happens sometimes. It is best to look at it another day. It rises up the same way that it falls.
There are other vital things to note when investing in cryptocurrency but these are like the 5 commandments of investing in cryptocurrency. Before you start investing in cryptocurrencies, you need to know this. We give more tips on cryptocurrency investment in our newsletters. Subscribe or talk to us; we’d love to know your thoughts.
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