Investment involves risk, but with the proper mindset and strategy involved, investing in crypto can be worth your while.
Given the volatile nature of cryptocurrencies, it really is crucial to prep up for just about anything. As such, we'd like to share some tips on investing.
Learning = Better Results
More than reading up on how the market moves, take some time to learn more about the different cryptocurrencies that you'd want to invest in. Here's the thing with these coins - they're more than just money! By implementing the use of blockchain technology, a coin's value is actually more than it's monetary rate (if you're considering as well the possible use of your chosen coin).
Let us take Ethereum (ETH) as a case example. Aside from it's possible use as a form of currency, it's actual use is pegged as a platform for developers to develop all sorts of decentralized applications.
So, the actual usage of a cryptocurrency does go hand-in-hand with its monetary value. It really does not come as a surprise that ETH is a hit - with its really nice concept, more people support it. And with more support, its monetary value increases.
Tip: Don't Put all Your Eggs in a Single Basket
It's one of the most common investor tips, but it really does make sense when it comes to investing in cryptocurrency. Diversify by having multiple investments on several coins. You really wouldn't want to end up in tears if price drops for a single coin you've put all your assets into, right?
And that's why you'd need to learn more about altcoins. On Singbit, you can trade Ethereum as well as Bitcoin.
Let's talk more about risk. Considering the volatile nature of cryptocurrencies, it is expected to take dips and rises every now and then. And the price drops can actually bring anxiety.
On the flip side, though, HODL! Those coins may also increase in a matter of time. And this is why learning a coin's utility and diversifying your portfolio is a great way to approach cryptocurrency investments - you just gotta have faith!
Tip: Be Part of a Solid Cryptocurrency Platform
More than having nifty features, a reliable exchange platform would help you store, transfer, and withdraw your cryptocurrencies with little to no hassle at all. This goes part and parcel with the idea of HODL - you want to make sure that your coins are secured, no matter what.
Again, that's where Singbit shines. Transactions on the platform are secured with escrow. What is escrow? Think of it as an automated security system that safeguards transactions (payments are kept safe by an independent 3rd party until all the agreed terms are met). In short, escrow ensures that buyers and sellers stick to their ends of the deal. This helps to weed out scammers and ensures legitimate transactions.
And there we have it folks. Sweet and simple - educate, diversify, and HODL! Three important cryptocurrency investment concepts that can reward you in the long run.
Make sure to sign up for a Singbit account today to start trading Bitcoin or Ethereum with zero transaction fee.