If you are new to the concept and wondering what’s happening, here are some basic concepts and factors for investment in cryptocurrencies.
What cryptocurrencies are available and how do I purchase them?
With a market cap of about $278 billion, Bitcoin is the most established cryptocurrency.
BitStamp and Coinbase are two renowned US-based exchanges. Bitcoin.de is an established European exchange. If cryptocurrency investments interested in trading other electronic currencies along with Bitcoin, then a crypto market is the place you will find all the digital monies in 1 area. Here is a listing of trades according to their 24-hour trade volume.
What choices do I have to store my cash?
Another important factor is storage of the coins. One option, of course, would be to keep it on the market in which you purchase them. However, you will need to be careful in selecting the exchange. The prevalence of digital currencies has resulted in many new, unknown exchanges popping up anywhere. Just take the time to do your due diligence so you are able to prevent the scammers.
Another option you have with cryptocurrencies is you could save them yourself. Among the safest options for storing your investment is hardware wallets. Firms like Ledger let you store Bitcoins and several other digital currencies as well.
What’s the market like and how can I find out about it?
The cryptocurrency economy fluctuates a lot. The volatile nature of the marketplace makes it more suited for a long term play.
There are lots of established news websites that report on digital currencies, such as Coindesk, Business Insider, Coin Telegraph, and Cryptocoin News. Besides these sites, in addition, there are many Twitter accounts that tweet about digital currencies, including @BitcoinRTs and @AltCoinCalendar.
Digital currencies aim to interrupt the traditional currency and commodity market. When these currencies still have quite a ways to go, the achievement of Bitcoins and Ethereum have shown that there’s genuine interest in the concept. Understanding the fundamentals of cryptocurrency investment can help you start in the ideal way.