Cryptocurrency investment as the name implies are all areas of Blockchain ecosystem where one can invest your money or resources in other to receive returns after a particular period of time. It is as any other kind of investment plan in the financial system, but unlike other platforms e.g banks and stock exchange, cryptocurrency has more to offer due to its decentralized nature.
It is a free market without rules and regulations where international bodies can team up in other to create an open platform. Investing on the Blockchain is a new trend all over the world in which every one who hears about it always likes to be part of it, therefore a trusted source of content is always needed in other for one not to operate blindly especially when choosing a strategy for crypto investing.
There have been encounters of people leaving the sphere being that they chose the wrong platform to invest which lead into a great lost, ranging from the exchange, trading, ICO etc. Day by day, there are reports about lost funds and a platform is needed where the right knowledge on how to play safe can be acquired.
Cryptocurrency has many merits, and while it can be quite fun, new investors must not forget that these are very volatile assets. It's always fun to watch the prices run up and to think about how much money you'll be able to make, but you must remember that these prices also go down.
For this reason, it's important to have a defined strategy before you go into any cryptocurrency trade. Making spur of the moment emotional decisions is typically a fast way to lose your hard-earned money. In this article, we'll look at a few strategies that investors of all walks of life and experience levels can utilize.
If you've spent any time bumming around cryptocurrency boards such as Bitcointalk or Reddit, then it's likely you've heard this at least once or twice. While this typo has turned itself into the biggest crypto meme, it is still sound advice. Almost everyone who has made significant money in cryptocurrency has done it by buying and holding. Some of these traders have held their assets for years in order to achieve the gains that they have.
If you don't really have the stomach for day trading, then this is likely your best bet for making gains as a beginner. While this method could probably work with any asset, as long as you're willing to hold long enough, it's best to buy something that has recently taken a downturn and is currently sitting at an attractive price.
As long as the project behind the asset looks solid, then it's ideal to buy a recently beaten down coin, and then wait for it to appreciate. However, don't buy just anything because it looks cheap, make sure that you understand all of the coin or token's fundamentals.
This is by far the easiest cryptocurrency trading strategy, and it will likely appeal to those who don't have time for anything else. Purchase your assets, store them in a secure wallet, and then forget about them. Try to avoid checking the price every day if it's giving you anxiety, as this may cause you to respond emotionally and to sell before your asset has matured.
Similar to the buy and hold method, this strategy was traditionally championed by Warren Buffet in the original finance market. He's what you would call a value investor or someone who spends their time looking for underappreciated companies to put his money behind. This can be a valuable strategy if you don't mind doing the research to support it, but it is a little more actively involved than the buy and hold method.
As a value investor, it's your job to search for well-structured projects that are down on their luck or not yet matured. These events can happen for all sorts of reasons, including some bad news that has temporary effects, or perhaps even missing an important deadline which disappointed their investors.
The point is, that these are temporary issues, and the emotional reaction of the sellers may not have been warranted. It will be up to you to decide whether or not the project has merit, but if you take some time to research it, that information should be easy to find.
The best place to do this is often in Telegram or Discord channels. Not many investors take advantage of these pathways, and they often reveal behind the scenes information that does not always make it message boards immediately, as you need to be closely following the project to find it.
When searching for a potentially undervalued project, you'll need to ask yourself many questions regarding the asset. Investigate all of their material, and make sure that you fully understand the project.
What problems does it solve? Is there a market for this? Do they have any competitors? Do they have a product yet? What about valuable partnerships with other companies? What is their marketing plan? What about the coin's supply, is it too large? These are certainly not all of the issues that you should make yourself aware of, but it's a good start.
This method is particularly attractive if you are still young and without much income to dedicate to cryptocurrency. It's perfectly reasonable to find severely undervalued projects for a few cents per coin if you do your homework.
While you can get some projects even cheaper than that, it's often hard to get in that early, especially for a beginner. There's also the fact that a project that is this early in its development has not yet fully formed its own ideals, and that can make it hard to evaluate whether it actually has a future.
There are stories all over the internet about people becoming overnight millionaires in the cryptocurrency space. However, the reality is often quite different. Typically, these people held on to a very volatile asset, that nobody cared about for years before acquiring their fortunes.
Due to the sudo-anonymous nature of crypto, the identities of all of these players will never be known. However, there are some very public figures in this space who have come forward about their wealth, and in this article, we're going to highlight five of the most successful cryptocurrency investors across the globe.
The list is far more extensive than this, but these players have also made some very interesting contributions to the crypto sphere as a whole. These investors were not content to just sit back and get rich, they wanted to be actively involved. All of them have taken great strides to increase the presence of cryptocurrencies all over the world, and most of them are still actively pursuing ventures that will lead to increased adoption and usability in the crypto space.
Tyler and Cameron Winklevoss are some of the most famous guys in the space. They were originally turned on to Bitcoin back in 2012 before anyone was really interested in the digital currency. However, to be fair, they didn't exactly go from rags to riches thanks to Bitcoin. They were already pretty well off considering they sued Facebook for $65 million dollars, claiming Zuckerberg had stolen their idea to create Facebook in 2004.
The judge apparently agreed because they won, and that gave them plenty of money to dump into cryptocurrency. The duo claims that at one time or another they have owned over 1% of the total supply of the currency, clocking in at a billion dollars.
They've also pioneered several entrepreneurial efforts for crypto adoption, including BitInstant, a payment processor for Bitcoin. They also acquired a patent for settling exchange-traded assets revolving around alternative currencies such as Ethereum, Doge, and Litecoin. They've been included in the list as one entry, since essentially all of their business and investing has been done as a pair, and not as individuals.
Their patent presents an interesting opportunity for cryptocurrencies to earn additional market attention from those who would not typically participate in such a market. They have actually applied for this before, and have been rejected, however, their persistence has won out.
With the increased interest from institutional investors in blockchain companies, they hope to use this patent to bring futures contract type investments to larger markets with more capital. Whether or not this is actually good for cryptocurrencies as a whole is yet to be decided.
Dan Larimer is partially responsible for at least three different blockchain based platforms. As the driving force behind Social media platform Steemit, decentralized exchange bitshares, and the new darling of the crypto world, EOS, it's safe to say he has some serious experience in the space.
Whether he had traditional cryptocurrency wealth before these projects is unclear, but it's estimated now that his portfolio could be worth 600-700 million dollars. Depending on how much EOS he has retained for himself, that number could soon be much, much bigger.
Larimer was the first to pioneer the delegated proof of stake protocol, which all of these platforms are built upon. His initial test projects, Steemit and BitShares helped to establish a proof of concept for what would become the groundwork of EOS. This new project is a massively scalable platform for dapps, which could rival Ethereum.
While the platform has not yet launched its main net, it's perceived ability to process 20-50,000 transactions per second will leave its predecessor in the dust. When the project does finally come together, it's likely that Dan's holdings will be worth far more than what they are now. EOS is his biggest success yet, with a market cap exceeding 10 billion dollars.
All three of these projects remain in development, with no signs of slowing. While EOS is currently the new bouncing baby, big brothers Steemit and Bitshares are also increasing their market penetration. As more and more people search for ways to start earning their own online digital currency, it's likely that Steemit will also see some additional growth thanks to its ease of use.
Most newbies come into the space only because of the testimony they heard of how Bitcoin and other alternative currencies (altcoins) have done wonders but fail to get the right knowledge before putting in their resources. Here you will find well-written tips and guides for newbies from pros on how to choose the right investment plan so as not to fall into being scammed or losing fund investing in shitcoin.
These guides include the best coin to buy, the best exchange to trade, the best way to make a purchase, the best way to secure your asset from hackers, the dos and don'ts of cryptocurrency investment and altcoins with great future potentials. Our guide/tips are mostly compiled for newbies who want to know more about crypto investment and the ecosystem as a whole.
NOTE: having read the guides, tips, and reviews, it is important to do more analysis and research before making your final decision, we know that all our articles are written by experts but the crypto ecosystem is still in its beginning phase and cannot be 100% predicted even by professionals.
Crypto is built on blockchain which is a decentralized and distributed technology, meaning that it is owned by no one and also by everyone, it is the first of its kind invented and has been around for just 9 years which is a short period of time to draw conclusions.
Nevertheless, we can assure that the articles in this category will give one the best and right information needed to understand the workings of the crypto market, but cannot guarantee the profit.