Short Course on – What You Should Know
Where to Start when you Wish to Invest in Cryptocurrency
Cryptocurrencies have become more popular, thus increasing in value. This has made many investors gain interest in this new market. Most of them are however not conversant with it to know where to start. Its mystery also adds to the confusion many of them express. Here is where you shall learn how to trade and sell Bitcoin and other kinds of cryptocurrency.
You need to start by choosing a cryptocurrency exchange. There are many out there, each with its pros and cons. You need to analyze them by considering their fees and purchase options, supported coins, security, as well as liquidity. These are critical to any exchange you are contemplating. You need to go for one with favorable fees to it. The more the supported coins, the better the returns you shall realize. The security is also critical. You should see the implementation of powerful security features, like secure passwords, two-factor authentication, offline cold storage for most of your funds, and professional grade encryption.
You should then create a wallet. This shall enable the safe storage of your cryptocurrency. There is always a provisional wallet at your chosen exchange, but you should not leave your currency in there for too long. The best place has always been your personal wallet. You need to take care of that private key. That is what you use to transact safely. All the amounts you do not intend to trade with should be stored offline. This should be followed with keeping that info secure at all times. If you lose that offline info, you will have lost a huge investment permanently. There are hardware wallets for such scenarios. You can find more info on them here.
You should now proceed to buy your first Bitcoin. This shall be possible once you fund your wallet. There are many ways you can do so. There are options that allow you to use your credit card or bank account to make the buy. You can then move them to your personal wallet of the trading wallet at a larger exchange.
You shall thus be ready to trade and sell Bitcoin. You should have a plan on how you intend to do so, and the discipline to do so. You may, for instance, avoid the temptation to put more than 5% of your total portfolio on a single investment. This is how you keep your losses down should there be a poor trade.
You should always keep the investments to figures you can afford to lose. There are risks in investing. The ups and downs common in other markets are here as well. You need to watch how much you are dealing with.
You can read more info about investing in this site.