Whether it’s the thought of cryptocurrencies itself or diversification of the portfolio, folks from all walks of life are buying digital currencies. If you’re new to the style and wondering what’s going on, here are a few basic concepts and considerations for investment in cryptocurrencies.
What cryptocurrencies are available and how can I get them?
With a market cap of approximately $278 billion, Bitcoin is the most established cryptocurrency. Ethereum is second with a market cap of ellytoken over $74 billion. Besides these two currencies, you will find numerous other options as well, including Ripple ($28B), Litecoin ($17B) and MIOTA ($13B).
Being first to promote, there are certainly a large amount of exchanges for Bitcoin trade throughout the world. BitStamp and Coinbase are two well-known US-based exchanges. Bitcoin.de is definitely an established European exchange. If you are enthusiastic about trading other digital currencies along with Bitcoin, a crypto marketplace is where you will find all the digital currencies in one single place. Listed here is a set of exchanges according with their 24-hour trade volume.
What options do I have to store my money?
Another important consideration is storage of the coins. One option, obviously, would be to store it on the exchange where you get them. However, you must be careful in selecting the exchange. The popularity of digital currencies has resulted in several new, unknown exchanges popping up everywhere. Make an effort to complete your due diligence in order to steer clear of the scammers.
Another choice you’ve with cryptocurrencies is that you can store them yourself. One of the safest alternatives for storing your investment is hardware wallets. Companies like Ledger allow you store Bitcoins and some other digital currencies as well.
What’s industry like and how do I find out more about it?
The cryptocurrency market fluctuates a lot. The volatile nature of industry helps it be more suited for a long-term play.
There are numerous established news sites that report on digital currencies, including Coindesk, Business Insider, Coin Telegraph, and Cryptocoin News. Besides these sites, there’s also many Twitter accounts that tweet about digital currencies, including @BitcoinRTs and @AltCoinCalendar.
Digital currencies aim to disrupt the original currency and commodity market. While these currencies still have a lengthy way to go, the success of Bitcoins and Ethereum have proven that there’s genuine fascination with the concept. Understanding the fundamentals of cryptocurrency investment will help you go in the right direction.