Where to Start when you Wish to Invest in Cryptocurrency
The popularity that cryptocurrencies enjoy presently has made the highly desirable and valuable. There are more investors keen in getting in on this market. But most of them have no idea where to start. Its unique characteristics add to the confusion of how to trade and sell it. 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 exist several of those, each with their pros and cons. You need to assess them in terms of fees and purchase options, supported coins, security, as well as liquidity. These are critical to any exchange you are contemplating. It is important you get one with favorable fees. The more the supported coins, the better the returns you shall realize. There is also the security issue. You need to see some strong measures in place, such as secure passwords, two-factor authentication, offline cold storage for most of your funds, and professional grade encryption.
You should then create a wallet. This is where you will jeep your cryptocurrency safe. As much as there is a provisional wallet when you pick an exchange, this does not mean you leave your currency in there. The best place to give you the security you need is your wallet. It is important to always keep your private key secure. That is what you use to transact safely. Any amount you have no use in the trade should go to the offline storage. You need to then keep that info secure at all times. If you lose that offline info, you will have lost a huge investment permanently. You will find hardware wallets for such storage. You can find out more about them here.
You should now proceed to buy your first Bitcoin. This shall be possible once you fund your wallet. There are choices you can make in this. There are ways you can use your credit card or bank account to make the purchase. You can then move them to your personal wallet of the trading wallet at a larger exchange.
You can so far go into selling and trading Bitcoin. You should have a plan on how you will do so, and the discipline to see it through. You need to stick to trading not more than 5% of what you have per a single investment. If the trade does not work out, you will have lost very little.
You need to only trade with an amount you can afford to lose. There is always risk in investment. The cryptocurrency faces the ups and downs to trading markets as well. You need to watch how much you are dealing with.
You shall find more investment advice on this site.