If you are pondering on trading cryptos, here are several takeaways to start investing knowledgeably.
1. Cryptocurrency as a financial asset to invest
Cryptocurrencies are indeed a promising asset on which investors have positioned themselves massively in recent years. For many who have flocked to this new kind of financial asset, cryptocurrencies are first and foremost a potentially profitable investment.
However, you might be wondering if cryptocurrencies really are an investment like any other? Well, what is certain is that alternative digital currencies already represent a new kind of investment, enabling new investors to participate in the new digital economy.
Bitcoin was conceived as an alternative way to trade. The players are not subject to arbitrary decisions by central banks and do without traditional intermediaries (banks, PayPal, Visa, MasterCard, etc.).
Thus, an exchange does not involve tremendous commissions and is much faster. When an international transfer takes several hours or even several days, a bitcoin transaction takes only several seconds, like an email.
2. But how do you get cryptos quickly and easily?
You can buy bitcoins through specialized platforms called a crypto brokers or crypto exchange. To choose which one, it’s all about knowing what you want to do there: just buying or speculation on the volatility of prices. Some only manage bitcoin, while others offer to buy and sell other cryptocurrencies. They charge transaction commissions and demand identity verification.
These platforms offer an easy way to buy Bitcoin with PayPal, with credit card and wire transfer. Just select a service, register, then buy the virtual currencies you want. You will then be able to handle your investments independently.
In general, a good crypto broker must be licensed by multiple financial authorities, have a large number of available cryptocurrencies, a smooth trading platform, affordable trading fees, excellent customer support, and multiple payment methods.
3. Secure your deposits
You can transfer your tokens to a hard drive that is not connected to the Internet. Be careful, however, not to erase your hard drive! You can also buy a physical, electronic device. With this USB stick-like tool, it is impossible to complete a transaction without entering a PIN code, and you can recover your coins if they are lost.
4. Don’t forget about other cryptocurrencies besides BTC
Bitcoin is the most well-known and the most expensive cryptocurrency. But other currencies are on the rise. That’s the case with Ether (which runs on the Ethereum blockchain) or Litecoin. They have different usage protocols but are exchanged in the same way.
Remember that a bitcoin transaction is anonymous, but it is fully traceable on the blockchain. Analytical firms, fueled by government research grants, are now successfully tracing back to individuals.
5. How to buy bitcoin without verification?
Buying Bitcoin anonymously is a bit more complex than buying it through a broker or cryptocurrency platform, but it is possible. There are three ways to purchase Bitcoin without registering and without going through the verification process.
The first option is to go to a Bitcoin buy and sell site between individuals. A site like LocalBitcoins will allow you to get Bitcoin and other crypto without registering or sharing your confidential information.
The second option is to buy Bitcoin in person: by contacting the seller directly. You will be able to get Bitcoins in cash without the need for a credit card or identification.
The third option would be to go through a Bitcoin ATM. This method will allow you to buy Bitcoins with your bank card, while your personal details will not be saved. It’s an easy way to get Bitcoin, but be aware that it is one of the more expensive options.
